SAN Banco Santander SA

   By Pietro Lombardi 
 

Banco Santander SA's (SAN.MC) fourth-quarter net profit rose significantly, beating expectations and helped by one-offs, with the bank strengthening its capital position.

Net profit for the quarter rose 35% to 2.78 billion euros ($3.06 billion), the Spanish bank said Wednesday.

The results include EUR711 million capital gains, mostly related to the agreement the bank reached with Credit Agricole SA (ACA.FR) to combine their custody and asset-servicing operations.

On an underlying basis, net profit rose 2% on year.

Revenue for the quarter was EUR12.33 billion.

Analysts had expected net profit of EUR2.59 billion on revenue of EUR12.38 billion, according to a consensus forecast provided by FactSet.

For the full year, the bank reported net profit of EUR6.52 billion on revenue of EUR49.23 billion.

The bank's core tier 1 ratio, a key measure of balance-sheet strength, was 11.65% at the end of December, compared with 11.30% as of September.

"We are well on track to achieve our medium-term goals and expect to deliver high single digit average annual earnings per share growth over the next three years," Executive Chairman Ana Botin said.

The bank proposed a second dividend for 2019, taking the total dividend for the year to EUR0.23 a share, of which EUR0.20 will be cash.

Write to Pietro Lombardi at pietro.lombardi@dowjones.com

(END) Dow Jones Newswires

January 29, 2020 01:27 ET (06:27 GMT)

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