The bank achieves a 13.5% profit increase and plans major share buybacks for 2025 and 2026. It attributes its growth to rising interest income, new customers, and improved efficiency.
Record-breaking earnings have positioned Banco Santander for another strong year, thanks to robust performance across its global markets.
The bank, which operates in more than 10 countries, has effectively capitalized on favorable economic conditions and high-interest rates to bolster its profitability.
According to 20 Minutos, Banco Santander reported a profit of €12.57 billion for 2024, up 13.5% from the previous year.
The bank exceeded key targets, including boosting return on tangible equity (ROTE) to 16.3%, up from 15.1%. Revenue also rose by 10%, reaching €62.21 billion.
Positive Performance Across Regions
Geographically, Spain showed a remarkable increase in earnings, contributing €3.76 billion—nearly 59% more than the previous year.
Brazil followed with €2.42 billion (+26.1%), while other key markets, including Mexico (€1.67 billion) and Poland (€800 million), also posted double-digit gains. Conversely, the UK market saw a decline, with profits dropping 15.4% to €1.3 billion.
By business segment, Retail & Commercial Banking led the way with a 29% increase in profit to €7.26 billion.
Corporate & Investment Banking (CIB) earned €2.74 billion (+16%), and Wealth Management & Insurance grew 14%, reaching €1.65 billion.
However, the Payments division experienced a 26% drop in earnings, largely due to the shutdown of payment platforms in Germany and Latin America.
Major Share Buyback Program
The bank plans to allocate €10 billion for share buybacks over 2025 and 2026, on top of a €1.59 billion buyback scheduled to begin on February 6.
Additionally, Santander expects to maintain a strong annualized return to shareholders, with dividend payouts and buybacks yielding over 8%.
Ana Botín, Banco Santander’s president, emphasized the bank’s focus on long-term value creation.
"We are entering a new phase of value generation, and our scale, diversification, and ongoing transformation will enable us to further increase profitability in 2025," she stated.
These financial achievements have been well-received by the market, with Santander's stock surging over 6% and exceeding €5.30 per share following the announcement.
