Santander earns 10.337 billion through September and breaks a new record
The bank chaired by Ana Botín has seven million customers and 11% more profits.
BarcelonaBanco Santander is enjoying a winning streak. This Wednesday, the bank, chaired by Ana Botín, presented its results for the third quarter of 2025, in which it once again broke profit records. Specifically, Santander achieved a net profit of €10.337 billion through September, 11% higher than in the same period of the previous year, reaching its best historical result for this period, according to the bank. Banco Santander CEO Héctor Grisi stated during the presentation to analysts that he expects "positive momentum" in net interest income in Spain through 2026, after it improved by 1% in the third quarter. "Net interest income in Spain has improved significantly. [...] We expect it to continue with low single-digit growth in the fourth quarter, compared to our previous forecast where we expected it to remain flat," Grisi commented.
The bank has also reached 178 million customers, after adding 7 million new customers in the last twelve months. According to Santander, these results were supported by strong growth in net interest income, record levels of fee income, and further efficiency improvements, along with higher credit quality. Net profit attributable to shareholders for the third quarter amounted to €3.504 billion (+8%), marking the sixth consecutive quarter of record results.
Revenue reached €46.277 billion, stable in current euros, but 4% higher in constant euros thanks to record fee income (€10.011 billion). Net interest income decreased by 2.5% in current euros, to €33.816 billion, although in constant euros (excluding Argentina) it increased by 3%.
Waiting for the TSB
Just three months ago, coinciding with the presentation of the second quarter results, Banco Santander announced the purchase of TSB, the British subsidiary of Banc Sabadell. One win-win For both entities; on the one hand, Sabadell was slimming down its business and gaining cash to distribute more dividends and become more attractive to its shareholders in the face of BBVA's hostile takeover bid, and on the other hand, Santander was securing a good lifeline to develop business in the United Kingdom.
At the time, Grisi asserted that the acquisition was a perfect fit for them. Santander paid €3.1 billion to acquire TSB, which Sabadell used to announce a special dividend just before the takeover bid was finalized. Now, as the acquisition has been completed, Santander states that they are excited but will proceed cautiously. "We expect to have TSB by the first quarter of 2026," they affirmed during the results presentation.
When asked if there would be a restructuring plan at the bank once the TSB acquisition was completed, Santander explained that "what we're doing is an integration," and that the first priority is "to focus on being a better bank in the UK" than they were before, working on improving service and profitability. "It's a very beneficial transaction for us and it helps us reach the level we want much sooner than we expected," they asserted.
Furthermore, and as a result of BBVA's takeover bid, the debate has opened up about whether the regulation of takeover bids should be modified; in this regard, Santander has stated that they would understand a modernization to prevent a situation in which a takeover bid lasted so many months from happening again.
Profitability and dividends
Return on tangible equity (RoTE) stood at 16.1%, an increase of 0.7 percentage points. Earnings per share were €0.66 at the end of September (+16%), and tangible book value (TNAV) per share was €5.56.
Santander notes that including the cash dividend of 0.11 euros paid in May and the interim dividend of 0.115 euros to be paid in November, total value creation increased by 15% year-on-year.
The bank's president, Ana Botín, has stated that the accounts up to September reflect "very good results" and that in the last twelve months her institution has grown by more than seven million new customers and has increased profitability to over 16%, with a 16% growth in earnings per share.