Santander closes 2025 with record profits and buys a bank in the US
The entity reports a profit of €14.101 billion, up 12%, reaching 180 million customers
MadridBanco Santander posted a net profit of €14.101 billion in 2025, a 12% increase year-on-year (16% increase at constant exchange rates), marking another record year. The bank also reached 180 million customers for the first time, adding eight million during the year, as reported by the CNMV (Spanish National Securities Market Commission). According to the bank, these "solid" results are due to strong net interest income (€42.348 billion, down 3.3%), record fee income, and efficiency improvements, along with positive developments in credit quality. The non-performing loan ratio improved to 2.91% (down 14 basis points), remaining at historically low levels, with a solid coverage ratio of 66%, reflecting prudent lending practices and a continuous focus on monitoring and early risk identification.
The bank reiterated on Tuesday its commitment to distribute at least €10 billion through share buybacks against the 2025 and 2026 results. This includes a share buyback of approximately €5 billion approved today, for which funds are already allocated: roughly €1.8 billion against the second half of 2025, and approximately €3.2 billion linked to excess capital.
"In 2025, we achieved record results again and met our three-year strategic plan. We added eight million new customers, achieved record fee income, reduced costs, and increased earnings per share by 17%, while maintaining a strong 13.5% market position," the bank's chairwoman, Ana Botín, stated in a press release.
Purchase of a bank in the USA for €10.15 billion
The publication of the results coincided with the announcement of the agreement to acquire Webster Financial Corporation, the parent company of Webster Bank, a US retail and corporate bank headquartered in Stamford, for $12.2 billion, approximately €10.15 billion. The bank explained that the transaction will create a "stronger and more competitive" bank for its customers. The United States has long been a strategic market for Santander. "The acquisition will make us one of the top ten US retail and corporate banks in terms of assets," Santander stated.
