Five Star Bank’s parent company reported a 15.3 percent increase in profits in the third quarter from a year ago.
Warsaw-based Financial Institutions Inc. recorded net income of $8.3 million, compared to $7.2 million last year, and earnings per share of 56 cents, up from 49 cents a year ago.
“We have focused our marketing efforts on expanding our presence in Rochester and Buffalo while continuing to provide value to our long-standing customer base in the markets where we have historically operated,” said Martin K. Birmingham, the bank’s president and CEO.
The bank ramped up its lending through a Small Business Administration program, and hired more loan officers to connect with customers.
Five Star is preparing to open new branches in Rochester and Brighton. The bank also wants to bolster its branch presence in the Buffalo area.
The bank’s net interest income from making loans and taking deposits grew 3.4 percent to $24.1 million, despite continued net interest margin pressure.
Its non-interest income declined about 4 percent from a year ago, to $7 million. Its noninterest income a year ago included gains realized from the sale of investment securities.