Santander’s profit in Portugal drops 35% to 254.5 million
The bank says the results reveal the impact that the Covid-19 pandemic is having on their activity.
Santander’s profit in Portugal fell 35% to 254.5 million euros, between January and September. Despite the recovery in the third quarter, throughout the year, the financial margin and banking product continue to be penalized by the pandemic, leading the bank to cut costs, particularly with personnel.
“The results for the first nine months of the year showed a decrease derived from the impact that the Covid-19 pandemic is having on our activity, although we felt an improvement when comparing the third quarter with the previous one. The evolution of deposits, loans and the customer base should be highlighted,” the bank announced in a statement.
Customer resources totalled 43.3 billion euros, an increase of 2.4% compared to the same period last year, an evolution supported by the 3.9% increase in deposits to 36.3 billion euros.
Total loans to customers reached 42.5 billion euros, equivalent to an increase of 5.4% over the same period last year. Also, loans to companies and housing stood at 17.4% and 25.0%, respectively, until the end of August.
In the opposite direction, the financial margin fell 7.9% to 591.9 million euros, the banking product decreased 5.5% to 964.1 million euros and commissions fell 4.2% to 274.4 million euros.
With the business being affected by the pandemic, the bank cut operating costs, which fell by 5.3%, “reflecting the 7.3% drop in personnel costs and 4.7% in general expenses.”
