The Spanish financial group Banco Santander has seen a significant increase in profits in the third quarter. This was due, among other things, to the removal of large one-off burdens in the United Kingdom, which were still very heavy on the figures a year ago.
Santander put a net profit in the books of almost 1.8 billion euros. This is much more than in the second quarter, when Santander reported a record loss of over EUR 11 billion due to massive depreciation due to the consequences of the coronavirus.
Santander’s underlying profits did fall considerably compared to a quarter earlier. This result includes, for example, provisions for bad loans. And they were coming up, a signal that Santander is counting on a further wave of defaults.
The bank also noted that the level of loans to private individuals in the measurement period was approximately the same as before the outbreak of the coronavirus. Lending to small and medium-sized enterprises has also become more standardised, following a sharp increase in the initial phase of the crisis to support businesses.