Pittsfield’s Berkshire Hills Bancorp reported net income of $3.4 million in the second quarter, a 46 percent increase from $2.3 million of net income during the same period last year.

The increase is due to positive operating leverage resulting primarily from strong revenue growth, according to a statement.

For the first half of the year, Berkshire reported net income of $6.7 million in 2010, a 9 percent increase from $6.2 million in 2009.

"We continue to generate positive earnings momentum as a result of double-digit growth in both net interest income and fee income. Commercial loans grew strongly, including market share gains and the contribution of our new asset based lending group. Our problem assets, delinquent loans, and net charge-offs have declined and are all at favorable levels compared to industry averages," said Michael P. Daly, president and chief executive officer. "We are opening two new branches in that region in the second half of this year and we expect that deposit growth in New York and from our new Springfield private banking group will continue to provide strong funding support for our loan growth."

Berkshire will be adding two branches in Albany and Latham to its existing 10-branch network in its New York region. Berkshire plans to double its branch locations in the New York Capital Region over the next several years, according to a statement.

The board of directors also declared a 16-cent dividend to stockholders of record at the close of business on Aug. 5 and payable on Aug. 19.