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Updated Wednesday, January 31, 2024-07:26
Money and investment Santander expands its range of alternatives with the Secondaries 2023 fund and the objective of 15% profitability
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Banco
Santander
recorded a
net profit
of
11,076 million euros in 2023
, a record figure and 15% higher than that of 2022.
As reported to the National Securities Market Commission (CNMV), the entity achieved record profits despite the
payment of 224 million for the extraordinary tax on the sector
and attributed them to the strong growth in income, especially in Europe; to the increase in the number of clients; and good cost control, which more than neutralized the planned increase in provisions for bad debts of 19%. In the fourth quarter alone, profit increased by 28% - in current euros - compared to the fourth quarter of 2022, up to 2,933 million.
Revenues
grew by 11%, to 57,647 million
.
The increase in both customer activity and interest rates led to a 12% increase in net interest income. Commission income increased 2% thanks to the sale of value-added products, especially in global businesses. Interest margin and commission income represent more than 95% of the group's total income. Customer resources (deposits plus investment funds) grew by 4%.
For its part, ROTE profitability (on tangible capital) stood at 15.1% at the end of the year, 1.7 points more than in 2022, and the CET1 'fully-loaded' capital ratio grew to 12 .3%, above the group's objective.
The bank highlighted that it
has met all its objectives set for 2023
of increasing double-digit income, having a ROTE greater than 15%, improving efficiency between 44% and 45% and a cost of risk below 1.2 %. By 2024, a mid-single-digit revenue growth, a ROTE of 16%, a reduction in efficiency of 43%, maintaining the cost of risk around 1.2% and the capital ratio above 12% are proposed. .