The Santander Group made 0.7% in 2009 despite recession
According to information released to the National Stock Market Commission (CNMV) the Santander Group made a net profit of 8,943 million euros in 2009 which is 0.7% more than in 2008 when it made 8,876 million euros.
These results mean that the bank fulfilled its promise to shareholders with regards to its profits and the money destined for dividends which has gone up by 2% compared to 2008 and now stands at 4,919 million euros.
According to the Chairman of the Santander Group, Emilio Botín, these are ‘the best results in the history of the bank taking into account the difficulties of the current economic climate placing the bank at the top of the league for the second year in a row’.
The rate of defaulting on loans was calculated to be 3.24% at the end of 2009 compared to a rate of 2.04% at the end of 2008. At the end of 2009 the Santander Group had conceded 682,551 million euros in loans which is 8.
9% more than in 2008. The banking group also managed 900,057 million euros for its clients which also represents an increase of 8.9%.
Profits in Latin America were 3,833 million euros (+6%) at the end of 2009. Profits for the United Kingdom grew by 38% to 1,726 million euros with an increase of 5% in credits and 8% in deposits in pounds.
The net margin obtained by the banking group from all of its businesses centred in a dozen markets around the world was 22,960 million euros – 19.3% more than in 2008.
The Santander Group closed 2009 with 79,704 million euros in capital, 34,769 million euros more than the minimum required by regulations which meant that at the end of 2009 the banking group had a core capital and reserves of 8.6% compared to 7.5% for 2008.
These figures make the Santander Bank, one of the few banks not to have received any public aid in any of the markets where it operates, one of the most solvent world banks.
Finally the payment of 0.22 euros per share on 1st May 2010 was approved by the Board of Directors which means that the total dividend is 0.60 euros per share. This is 7.8% less than in 2008 following the increase in its capital by increasing the number of shareholders by 32%. The total quantity which is to be paid out in dividends by the banking group has gone up by 2%.