The six large listed Spanish banks, which are Santander, BBVA, CaixaBank, Sabadell, Bankinter and Unicaja, have closed the first nine months of the year with a profit not only record, but also comparable to that achieved throughout 2022.
They earned 19,761 million euros, 23% more than in the same period of the previous year, encouraged by the good results in Spain, where the progression was greater than that of the rest of the countries in which they operate. The increases in interest rates and the high pace of economic activity allowed them to obtain a joint profit similar to the 20,850 million in 2022.
The income of the six entities increased by 19%, up to 75,839 million euros. More than the commissions, the catalyst for this variable has been the interest margins, that is, the difference between what is received for the loans granted and what is paid for the deposits.
The bank that earned the most was Santander, 8,143 million, 11% more, of which 1,854 million came from Spain, 68% more. The country has become the one that contributes the most to the group's results, despite the 224 million euros for the extraordinary banking tax.
BBVA earned 5,961 million, 24% more. Although Mexico, with 54%, is the country where it obtains the most profit, the Spanish business was the one with the greatest growth, 61.9%, up to 2,110 million. The tax has subtracted 215 million from profits.
CaixaBank's result was 3,659 million, 48% higher than the same period of the previous year, after the interest margin recorded an improvement of 60%. Sabadell earned 1,028 million, 45% more; Bankinter, 2,005 million, 32% more, and Unicaja, 973 million, 25% more.
The banks were able to make the improvement in profits and the expected remuneration for shareholders compatible with contained bad debts, liquidity levels higher than the 100% required by supervisors and a quality capital ratio also above what is established by the ECB for each entity.
In the presentations of results, the entities have been critical of the possible extension in time of the extraordinary banking tax, arguing that it could reduce the granting of credit at a time marked by growing financial restrictions.
“In a low cycle, the bank tax would significantly affect the granting of credit,” said the CEO of Santander, Héctor Grisi, when asked about this issue. The bank, like the entire sector, has appealed the tax and especially criticizes its design, in which income is deducted and not profits.
The CEO of CaixaBank, Gonzalo Gortázar, criticized the "additional discrimination" that, from his point of view, the banks suffer in fiscal terms due to the new tax and its possible extension beyond 2024 in accordance with the agreement between PSOE and Sumar. From his point of view, it is a "shot in the foot" of the economy itself.
Banks have reported a high rate of mortgage repayments among individuals until September in response to increases in interest rates and also a reduction in the volume of loans granted.
Santander estimates the decline in loans in Spain at 1.8%, while Bankinter has recorded a 17% drop in the signing of new mortgages.
