CHEMUNG FINANCIAL CORPCHMG
CHEMUNG FINANCIAL CORP Segments Disclosure
SEGMENT REPORTING
The Corporation manages its operations through two primary business segments: core banking and WMG. The core banking segment provides revenues by attracting deposits from the general public and using such funds to originate consumer, commercial and industrial, commercial real estate, and residential mortgage loans, primarily in the Corporation’s local markets, and to invest in securities. The WMG services segment provides revenues by providing trust and investment advisory services to clients.
The Corporation's reportable segments are determined by the Executive Management Team (EMT), who collectively are designated Chief Operating Decision Maker (CODM). The CODM evaluates the financial performance of each business segment, which is based upon the business segment's net income. Components of net income for the business segments that are reviewed by the CODM include net interest income, provision for credit losses, non-interest income, non-interest expense and income tax expense. The CODM, in conjunction with management committees (such as ALCO and Corporate loan committees) evaluates financial performance to make decisions related to the products and services that are offered, pricing, and the allocation of resources for each business segment.
Accounting policies for the segments are the same as those described in Note 1. Summarized financial information concerning the Corporation’s reportable segments and the reconciliation to the Corporation’s consolidated results are shown in the following table. Income taxes are allocated based on the separate taxable income of each entity and indirect overhead expenses are allocated based on reasonable and equitable allocations applicable to the reportable segment. The Holding Company and CFS columns below includes income and expenses related to insurance products, mutual funds, and brokerage services (in thousands).
| Year ended December 31, 2025 | Core Banking | WMG | Holding Company and CFS | Inter-Segment Eliminations | Consolidated Totals | |||||||||||||||||||||||||||
| Interest and dividend income | $ | 132,833 | $ | — | $ | 10 | $ | (8) | $ | 132,835 | ||||||||||||||||||||||
| Interest expense | 43,683 | — | 2,003 | (8) | 45,678 | |||||||||||||||||||||||||||
| Net interest income | 89,150 | — | (1,993) | — | 87,157 | |||||||||||||||||||||||||||
| Provision for credit losses | 4,437 | — | — | — | 4,437 | |||||||||||||||||||||||||||
| Net interest income after provision for credit losses | 84,713 | — | (1,993) | — | 82,720 | |||||||||||||||||||||||||||
| Non-interest income | (5,171) | 11,945 | 1,185 | (14) | 7,945 | |||||||||||||||||||||||||||
| Non-interest expense: | ||||||||||||||||||||||||||||||||
| Compensation expense | 31,949 | 6,124 | 931 | — | 39,004 | |||||||||||||||||||||||||||
| Net occupancy expense | 5,560 | 252 | 14 | (14) | 5,812 | |||||||||||||||||||||||||||
| Furniture and equipment expense | 1,601 | 76 | 25 | — | 1,702 | |||||||||||||||||||||||||||
| Data processing & software expense | 8,786 | 1,238 | 24 | — | 10,048 | |||||||||||||||||||||||||||
| Other non-interest expense | 13,164 | 577 | 422 | — | 14,163 | |||||||||||||||||||||||||||
| Total non-interest expense | 61,060 | 8,267 | 1,416 | (14) | 70,729 | |||||||||||||||||||||||||||
| Income (loss) before income tax expense | 18,482 | 3,678 | (2,224) | — | 19,936 | |||||||||||||||||||||||||||
| Income tax expense (benefit) | 4,634 | 820 | (622) | — | 4,832 | |||||||||||||||||||||||||||
| Segment net income (loss) | $ | 13,848 | $ | 2,858 | $ | (1,602) | $ | — | $ | 15,104 | ||||||||||||||||||||||
| Supplemental Information: | ||||||||||||||||||||||||||||||||
| Total assets as of December 31, 2025 | $ | 2,677,610 | $ | 2,933 | $ | 298,200 | $ | (268,508) | $ | 2,710,235 | ||||||||||||||||||||||
| Capital expenditures | $ | 1,392 | $ | 295 | $ | — | $ | — | $ | 1,687 | ||||||||||||||||||||||
Depreciation expense1 | $ | 1,837 | $ | 58 | $ | — | $ | — | $ | 1,895 | ||||||||||||||||||||||
1 Included in net occupancy and furniture and equipment expense in the table above.
| Year ended December 31, 2024 | Core Banking | WMG | Holding Company and CFS | Inter-Segment Eliminations | Consolidated Totals | |||||||||||||||||||||||||||
| Interest and dividend income | $ | 127,534 | $ | — | $ | 36 | $ | (6) | $ | 127,564 | ||||||||||||||||||||||
| Interest expense | 53,511 | — | — | (6) | 53,505 | |||||||||||||||||||||||||||
| Net interest income | 74,023 | — | 36 | — | 74,059 | |||||||||||||||||||||||||||
| Provision for credit losses | (46) | — | — | (46) | ||||||||||||||||||||||||||||
| Net interest income after provision for credit losses | 74,069 | — | 36 | — | 74,105 | |||||||||||||||||||||||||||
| Non-interest income | 10,633 | 11,573 | 1,030 | (6) | 23,230 | |||||||||||||||||||||||||||
| Non-interest expense: | ||||||||||||||||||||||||||||||||
| Compensation expense | 29,131 | 5,672 | 828 | — | 35,631 | |||||||||||||||||||||||||||
| Net occupancy expense | 5,583 | 249 | 6 | (6) | 5,832 | |||||||||||||||||||||||||||
| Furniture and equipment expense | 1,542 | 94 | 23 | — | 1,659 | |||||||||||||||||||||||||||
| Data processing & software expense | 8,954 | 1,120 | 19 | — | 10,093 | |||||||||||||||||||||||||||
| Other non-interest expense | 13,080 | 546 | 409 | — | 14,035 | |||||||||||||||||||||||||||
| Total non-interest income | 58,290 | 7,681 | 1,285 | (6) | 67,250 | |||||||||||||||||||||||||||
| Income (loss) before income tax expense | 26,412 | 3,892 | (219) | — | 30,085 | |||||||||||||||||||||||||||
| Income tax expense (benefit) | 5,651 | 833 | (70) | — | 6,414 | |||||||||||||||||||||||||||
| Segment net income (loss) | $ | 20,761 | $ | 3,059 | $ | (149) | $ | — | $ | 23,671 | ||||||||||||||||||||||
| Supplemental Information: | ||||||||||||||||||||||||||||||||
| Total assets as of December 31, 2024 | $ | 2,746,344 | $ | 2,882 | $ | 215,366 | $ | (188,445) | $ | 2,776,147 | ||||||||||||||||||||||
Capital expenditures1 | $ | 3,626 | $ | — | $ | — | $ | — | $ | 3,626 | ||||||||||||||||||||||
Depreciation expense2 | $ | 1,797 | $ | 17 | $ | — | $ | — | $ | 1,814 | ||||||||||||||||||||||
1 Includes expenditures related to ATM fleet replacement across footprint and the addition of a new branch.
2 Included in net occupancy and furniture and equipment expense in the table above.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 13, 2026 | Showing above |
| 2024 | Mar 14, 2025 | |
| 2023 | Mar 13, 2024 | |
| 2022 | Mar 22, 2023 | |
| 2021 | Mar 23, 2022 | |
| 2020 | Mar 24, 2021 | |
| 2019 | Mar 12, 2020 | |
| 2018 | Mar 13, 2019 | |
| 2017 | Mar 8, 2018 | |
| 2016 | Mar 8, 2017 | |
| 2015 | Mar 11, 2016 | |
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.