CHMG

EX-99.1

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PRESS RELEASE

EdgarFiling

EXHIBIT 99.1

Chemung Financial Corporation Reports Third Quarter 2026 Net Income of $12.7 million, or $2.63 per share

ELMIRA, N.Y., Oct. 22, 2026 (GLOBE NEWSWIRE) -- Chemung Financial Corporation (the “Corporation”) (Nasdaq: CHMG), the parent company of Chemung Canal Trust Company, National Association (the “Bank”), today reported net income of $12.7 million, or $2.63 per share, for the third quarter of 2026, compared to net income of $8.8 million, or $1.82 per share, for the second quarter of 2026, and net income of $7.8 million, or $1.62 per share, for the third quarter of 2025.

"Third quarter results reflect the earnings power the Corporation has built through the strategic decisions of the past year and the efforts of our team across each of our markets," said Anders M. Tomson, President and CEO of Chemung Financial Corporation. "Steady commercial loan growth and disciplined management of funding costs continue to support earnings as we navigate a dynamic interest rate environment," Tomson added.

"Earlier this month, we completed our conversion to a national bank charter and announced our intent to unify our three divisions under a single name, Canal Bank & Trust," said Tomson. "In recent years, our footprint has grown from our roots in the Southern Tier to include the Capital Region and Western New York. Bringing those markets together under one brand reflects who we have become as an organization, one team, delivering a consistent experience to every customer we serve. While our name will change, the values that have guided us since 1833 will not," concluded Tomson.

Third Quarter 2026 Highlights:

Net interest income increased $3.0 million, or 13.2%, and pre-provision net revenue increased $2.8 million, or 24.9%, in the third quarter of 2026, each compared to the same period in the prior year. 1

Year to date annualized loan growth totaled 7.7%, including annualized commercial loan growth of 11.7%.

Year to date adjusted efficiency ratio was 58.83%, compared to 64.08% for the same period in the prior year, an improvement of 525 basis points. 1

Effective October 1, 2026, Chemung Canal Trust Company completed its previously announced charter conversion from a New York State trust company to a national bank, under the supervision of the Office of the Comptroller of the Currency (the "OCC"). Concurrent with the charter conversion, the Bank now operates under the name Chemung Canal Trust Company, National Association.

In October, the Corporation announced its intent to unify the three existing divisional brands of Chemung Canal Trust Company, N.A., which include Capital Bank and Canal Bank, under a single name, Canal Bank & Trust, N.A., to create a more consistent customer experience across its footprint. The rebranding will be introduced during the fourth quarter and rolled out across the footprint beginning in 2027.

The Corporation announced a $0.02 per share increase in its quarterly dividend during the third quarter, representing a 5.9% increase over the prior quarter. Dividends declared during the third quarter of 2026 were $0.36 per share. 1 See the GAAP to Non-GAAP reconciliations.

3rd Quarter 2026 vs 2nd Quarter 2026

Net Interest Income:

Net interest income for the third quarter of 2026 totaled $25.7 million, compared to $24.7 million for the prior quarter, an increase of $1.0 million, or 4.0%, driven by an increase of $1.3 million in interest income on loans, partially offset by increases of $0.1 million in both interest expense on deposits and interest expense on borrowed funds, and a decrease of $0.1 million in interest income on interest-earning deposits.

Interest income on loans increased mainly due to an increase of $37.6 million in average balances of total loans and an increase of six basis points in the average yield on total loans, each compared to the prior quarter. The increase in average balances of total loans was primarily the result of an increase of $41.4 million in average balances of commercial loans, which was concentrated in commercial real estate loans, driven by new origination activity and continued draws on construction loans. Average balances of residential mortgage loans increased $1.5 million, while average balances of consumer loans declined $5.2 million, each compared to the prior quarter. The decline in average balances of consumer loans was largely due to a decline in average balances of indirect auto loans, as paydowns and payoffs continued to outpace new originations, partially offset by growth in average balances of home equity lines of credit.

The average yield on total loans increased mainly due to an increase of six basis points in the average yield on commercial loans, as well as an increase of eight basis points in the average yield on consumer loans, each compared to the prior quarter. The average yield on residential mortgage loans was relatively in line with the prior quarter, increasing one b

EX-99.1

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PRESS RELEASE

EdgarFiling

EXHIBIT 99.1

Chemung Financial Corporation Reports Second Quarter 2026 Net Income of $8.8 million, or $1.82 per share

ELMIRA, N.Y., July 22, 2026 (GLOBE NEWSWIRE) -- Chemung Financial Corporation (the “Corporation”) (Nasdaq: CHMG), the parent company of Chemung Canal Trust Company (the “Bank”), today reported net income of $8.8 million, or $1.82 per share, for the second quarter of 2026, compared to net income of $9.2 million, or $1.91 per share, for the first quarter of 2026, and a net loss of $6.5 million, or $1.35 per share, for the second quarter of 2025.

"One year after initiating our balance sheet repositioning, the positive trajectory of the Corporation's operating results demonstrates the effectiveness of the actions we took to enhance earnings power, improve balance sheet flexibility, and better position the organization for long-term success," said Anders M. Tomson, President and CEO of Chemung Financial Corporation. "Compared to the same period last year, net interest income increased significantly, net interest margin expanded, funding costs declined, and commercial loan growth remained strong across key markets. Together, these results reflect the benefits of the strategic decisions made in 2025 and our continued focus on disciplined execution," Tomson concluded.

Second Quarter 2026 Highlights:

Net interest income increased $3.9 million, or 18.8%, in the second quarter of 2026, compared to the same period in the prior year, while net interest margin expanded 62 basis points to 3.67% over the same period. 1 Year to date annualized loan growth totaled 8.7%, including annualized commercial loan growth of 13.0%. Year to date annualized customer deposit growth totaled 8.3%, supported by strong growth in non interest-bearing deposits, which comprised 28.8% of total deposits as of June 30, 2026, compared to 27.5% as of prior year-end. Dividends declared during the second quarter of 2026 were $0.34 per share. 1 See the GAAP to Non-GAAP reconciliations.

2nd Quarter 2026 vs 1st Quarter 2026

Net Interest Income:

Net interest income for the second quarter of 2026 totaled $24.7 million, compared to $23.6 million for the prior quarter, an increase of $1.1 million, or 4.7%, driven by an increase of $1.3 million in interest income on loans, partially offset by increases of $0.2 million in interest expense on deposits and $0.1 million in interest expense on borrowed funds.

Interest income on loans increased mainly due to an increase of $46.4 million in average balances of total loans and an increase of five basis points in the average yield on total loans, each compared to the prior quarter. The increase in average balances of total loans was concentrated in an increase of $54.5 million in average balances of commercial loans, which was further concentrated in non-owner occupied commercial real estate loans. A majority of the increase in average balances of commercial loans was attributable to the Corporation's Canal Bank division in Western New York, with the remaining portion of the increase being attributable to the Corporation's Capital Bank division in the Albany area market. Average balances of consumer loans declined $7.6 million, compared to the prior quarter, while average balances of residential mortgage loans were approximately in line with the prior quarter. The decline in average balances of consumer loans was largely due to a decline in average balances of indirect auto loans, as a result of the Corporation continuing to prioritize funding other types of lending.

The average yield on total loans increased mainly due to an increase of five basis points in the average yield on commercial loans, as well as an increase of 11 basis points in the average yield on consumer loans, each compared to the prior quarter. The average yield on residential mortgage loans was in line with the prior quarter. The increase in the average yield on commercial loans was primarily due to an increase in interest income recognized on the payoff of nonaccrual commercial loans compared to the prior quarter, an increase in average balances of commercial lines of credit, which tend to carry higher interest rates than commercial term loans, new balances continuing to be originated at higher interest rates relative to the portfolio's average rate, and the impact of interest rate resets on loans originated in the previous lower interest rate environment. The increase in the average yield on consumer loans was largely due to normal turnover in the Corporation's indirect auto lending portfolio as older, lower-yielding balances were replaced by higher-yielding balances in the current quarter. Also contributing to the increase was the repricing of prior promotional home equity lines of credit, which had carried below market interest rates for one year following origination, some of which repriced based on the Prime rate in the current quarter.

Interest expense on deposits

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