Santander: profit beats, despite restructuring costs
(CercleFinance.com) - Santander reported a 18% fall in second-quarter net profit on Tuesday, as restructuring costs hurt the Spanish bank's results.
The euro zone's biggest bank by market capitalisation reported net profit of 1.4 billion euros for the past quarter, 10% ahead of the consensus.
Santander said it had to book 706 million euros in charges, primarily relating to restructuring costs incurred as part of plans to reduce its cost base in Europe by 10%, as announced in April.
Excluding these charges, profit in the second quarter would have increased to 2.1 billion euros, up 5% compared to the same quarter last year - its strongest quarterly performance since 2011.
The beat was driven by strong growth in lending in Latin America, as well as particularly good growth in North America, which
now represents 17% of the group's profits, from 14% a year ago, Santander said.
The shares are currently up 2.5% in Madrid.
Copyright (c) 2019 CercleFinance.com. All rights reserved.
The euro zone's biggest bank by market capitalisation reported net profit of 1.4 billion euros for the past quarter, 10% ahead of the consensus.
Santander said it had to book 706 million euros in charges, primarily relating to restructuring costs incurred as part of plans to reduce its cost base in Europe by 10%, as announced in April.
Excluding these charges, profit in the second quarter would have increased to 2.1 billion euros, up 5% compared to the same quarter last year - its strongest quarterly performance since 2011.
The beat was driven by strong growth in lending in Latin America, as well as particularly good growth in North America, which
now represents 17% of the group's profits, from 14% a year ago, Santander said.
The shares are currently up 2.5% in Madrid.
Copyright (c) 2019 CercleFinance.com. All rights reserved.