Santander realizes 36% profits in the third quarter in Brazil and Spain

Santander, the largest bank in the euro zone market capitalization, reported a net profit of 1,990 million euros between July and September, for an amount of 2,264 million of dollars. This amount is higher than badysts' forecasts (1,920 million euros).

In Argentina, where the bank gets 1% of its net profit, the entity recorded losses of 169 million euros during the quarter, after restating its accounts to reflect the hyperinflation , although it also had a positive impact on the net worth of 105 million euros.

The diversification of Santander abroad, especially in Brazil, helped it to cope with the harsh conditions of banks in Europe in the years following the financial crisis.

In Brazil, where the bank makes more than a quarter of its profits, net profit fell by 6.1% compared to the same period of the previous year. the depreciation of the Brazilian real.

Without taking into account the depreciation of the real, the net profit for the quarter increased by 16.7%, driven by the strong growth in volumes of

In Spain, its second largest market, net profit almost tripled thanks to to the positive contribution of the acquisition of Banco Popular.

In this market, the interest margin – the difference between what the bank charges for loans and pay deposits – decreased by 0.9 during the quarter, but increased by 5.5% over in the previous quarter.

Overall, the interest margin was 8.35 billion euros from June to September, 3.8% less than a year ago and 1.5% higher than previous quarter due to the pressure exerted by low interest rates.

Analysts had forecast a net interest margin of 8.220 million euros.