The bank Santander yesterday presented a record half-yearly profit and fine-tuned the messages around the economic situation in Spain, the remuneration of deposits and the political landscape after the general elections on Sunday. The country, he said, is "doing well" in economic terms and the bank is already offering attractive remuneration to savers. The next government, he added, should offer "clear rules", whatever color it is.
The results of the group have had Spain as the protagonist. Earnings in the first months of 2023 were the largest in its history, of 5,241 million euros, 7% more, and were mainly due to the greater contribution of the Spanish business, of 1,132 million, a 74 % month. In the UK, it gained 16% more, but in North America it cut its profit by 19%, and in South America, with Brazil in the lead, by 23%.
In Spain, Santander must pay the new tax approved by the central government for banking and energy companies, described yesterday by the group's CEO, Héctor Grisi, as "discriminatory" and inadequate to "help the economy". This lien, which confronts the Spanish Government with the banks in the courts, is one of the reasons why at yesterday's press conference the focus was, in Santander's opinion, on the political scene.
The bank, Grisi indicated, has three demands for the future government: "We ask for economic growth, private investment and clear irregularities". "The more predictable and boring things are, the better for us, but I'm not saying that there is now legal uncertainty", said the manager, stubborn to take all kinds of precautions and to approach the situation with "caution".
Yesterday morning, Santander held a conference with analysts and, as the CEO recalled, there were no questions about possible "legal instability" in Spain. Goldman Sachs, Moody's and S
Santander is in a good moment thanks to interest rate hikes and improved efficiency. Adds 22 quarters of growth to the customer portfolio and works on product simplification. Half-yearly income increased by 13%, up to 28,234 million euros, while delinquency remains at a minimum - just 3.05% - and quality capital, over 12%, exceeds requirements of the ECB.
On deposits, Grisi said the bank already offers returns of more than 3% through subsidiary Open Bank. "We cannot say that we are not remunerating the savings", he pointed out. The Spanish, he indicated, have multiplied the mortgage amortization rate by five.
