Loading...
•
Mar 31, 2021
Community Bank Q1 2021 Earnings Report
Community Bank System reported solid first quarter earnings results driven by improving economic conditions, lower credit-related costs, higher revenues, and lower operating expenses.
Key Takeaways
Community Bank System reported a strong first quarter in 2021, with net income increasing to $52.9 million, or $0.97 per share, compared to $40.1 million, or $0.76 per share, for the same period in 2020. The increase in earnings was primarily driven by higher net interest income, a significant decrease in the provision for credit losses, and lower operating expenses.
Earnings per share increased by 27.6% compared to Q1 2020, driven by improving economic conditions and lower credit-related costs.
Net interest income rose by 4.3% year-over-year due to growth in earning assets and lower funding costs, despite a decrease in net interest margin.
Financial services businesses, including employee benefit services, insurance services, and wealth management, showed revenue increases compared to the previous year.
Total assets increased to $14.62 billion, reflecting a 23.8% increase from the previous year, primarily due to government stimulus-related deposit funding and the Steuben acquisition.
Community Bank
Community Bank
Forward Guidance
Based on current economic forecasts, the Company does not currently anticipate recording similarly large net benefits in the provision for credit losses in the remainder of 2021.