2nd October 2023
Banco Santander
Banking & Finance Business

Banco Santander post 18% rise in profit

Spanish banking giant Banco Santander on Wednesday posted an 18% rise in 2018 net profit as revenue growth in Spain offset the negative impact of exchange rate fluctuations.

The eurozone’s largest bank by market value said earnings jumped to 7.81 billion euros last year, slightly higher than forecasts by analysts polled by financial information firm Factset at around 7.68 billion euros.

In Spain, its second-biggest market, Santander’s net profit jumped 28% to 1.45 billion euros as the number of its clients grew, the bank said in a statement.

Santander said it had also began to reap benefits from its acquisition of troubled Spanish bank Banco Popular in June 2017.

Banco Santander
Banco Santander (library image).

In Brazil, Santander’s single biggest market which accounts for over a quarter of its income, net profit rise 2.4 % to 2.6 billion euros as loans and funds posted double-digit growth and the bank gained ‘an additional one million loyal customers during the year’.

But the bank’s overall net interest income – a measure of core earnings – was virtually unchanged, inching up 0.1% to 34.3 billion euros, which it attributed to exchange rate fluctuations.

‘Latin America has remained an important engine for growth within the group, with especially strong progress in Brazil and Mexico. In Spain, the integration of Popular is progressing ahead of plan,’ Santander executive chairwoman Ana Botin said in a statement.

ALSO READ: Santander shuts UK branches as online banking surges

In Britain, the bank said ‘a highly competitive landscape placed pressure on revenues’ while operating costs rose because of higher investments in provisions and the digital transformation of its business.

It posted a net profit in the country, its third-biggest market, of 1.36 billion euros, a 9.1% drop over the previous year.

Recent Posts

Spotlight: Supporting your child when they are studying abroad

Features

Spotlight: American shares insights about financial planning in Spain

Features

Spotlight: Volatility in GBP/EUR continued throughout August

Features

Spain to ensure ‘strategic autonomy’ of Telefónica after Saudi group takes significant stake

News Desk

Spotlight: How to save money when buying or selling property in Spain as an expat

Features

Spotlight: Protect your money from the volatility that plagued GBP/EUR in July

Features

Leave a Comment