Overview

* Chemung Financial ( CHMG ) Q2 net loss of $6.5 mln, compared to net incomeof $5 mln a year ago

* Co issued $45 mln in subordinated debt, sold securities for balance sheet repositioning

* Net interest income rose 5% qtr/qtr

Outlook

* Company anticipates lower funding costs starting in Q3 2025

* Company's strategic actions aim to strengthen regulatory capital position

* Chemung Financial ( CHMG ) sees improved funding flexibility for loan growth

Result Drivers

* BALANCE SHEET REPOSITIONING - Co issued subordinated debt and sold securities to strengthen regulatory capital and improve funding flexibility, per CEO Anders M. Tomson

* LOAN GROWTH - Increased interest income on loans driven by higher average balances, particularly in commercial real estate

* SECURITIES SALE IMPACT - Sale of securities resulted in a pre-tax loss, impacting non-interest income negatively

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Net Miss -$6.45 $6.36

Income mln mln (1

Analyst)

Q2 Net $20.81

Interest mln

Income

Q2 Miss -$8.81 $8.07

Pretax mln mln (1

Profit Analyst)

Q2 Basic -$1.35

EPS

Q2 $1.14

Provisio mln

n For

Credit

losses

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 1 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the banks peer group is "buy"

* Wall Street's median 12-month price target for Chemung Financial Corp ( CHMG ) is $55.50, about 5.8% above its July 16 closing price of $52.27

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)