Community Bank System, Inc. reported earnings results for the second quarter and six months ended June 30, 2018. For the quarter, the company reported, total interest income of $91,005,000, net interest income of $86,846,000, net interest income after provision for loan losses of $84,398,000, income before income taxes of $54,845,000, net income of $44,606,000, compared to total interest income of $81,422,000, net interest income of $78,029,000, net interest income after provision for loan losses of $76,568,000, income before income taxes of $24,915,000, net income of $17,191,000, for the same period a year ago. Adjusted net income (non-GAAP) was $46,710,000 against $34,797,000 a year ago. Adjusted net income (non-GAAP) was $46,710,000 against $34,797,000 a year ago. Adjusted return on average assets was 1.74% against 1.40% a year ago. Adjusted net income (non-GAAP) was $46,710,000 against $34,797,000 a year ago. Adjusted return on average equity 11.42% against 9.59% a year ago. Diluted adjusted net earnings per share (non-GAAP) were $0.90 against $0.71 a year ago. Diluted earnings per share were $0.86 against $0.35 a year ago. Return on equity was 10.91% against 4.74% a year ago. Return on tangible equity was 20.58% against 7.72% a year ago. The improvement in operating results over 2017, 21% is due primarily to last year's acquisitions of NRS and Merchants Bancshares.

For the year to date, the company reported, total interest income of $179,409,000, net interest income of $171,470,000, net interest income after provision for loan losses of $165,343,000, income before income taxes of $106,950,000, net income of $84,712,000, compared to total interest income of $151,380,000, net interest income of $145,303,000, net interest income after provision for loan losses of $142,014,000, income before income taxes of $61,104,000, net income of $43,448,000, for the same period a year ago. Diluted earnings per share were $1.63 against $0.91 a year ago.

For the quarter, net charge-offs amounted to $933,000 against $1,106,000 a year ago.

Excluding equity fine activities, the company expects effective rate to be in the range of 21.5% to 22% during the second half of the year.