By Pietro Lombardi and Matteo Castia 
 

Banco Santander SA has followed U.S. and European peers in preparing for loan losses by increasing provisions, the latest sign of the impact the coronavirus pandemic will have on European banks.

The Spanish bank, one of Europe's largest, set aside 2.31 billion euros ($2.50 billion) in the first quarter for potential loan losses, a 6% increase from the same period last year.

The higher provisions, coupled with lower revenue, contributed to a 82% decline in attributable profit to EUR331 million, it said Tuesday.

Revenue fell 2% to EUR11.81 billion.

Analysts had expected a net profit of EUR1.75 billion on revenue of EUR11.86 billion and provisions for credit losses of EUR2.61 billion.

 

Write to Pietro Lombardi at pietro.lombardi@dowjones.com and to Matteo Castia at matteo.castia@dowjones.com

 

(END) Dow Jones Newswires

April 28, 2020 01:19 ET (05:19 GMT)

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