Major Spanish banks increased their profits by 17.2% in the first quarter to 6.6 billion euros.
large Spanish bank continue up and continues improved results in the first quarter of 2024. In fact, the six main Spanish banks (Bankinter, Sabadell, BBVA, Unicaja, Santander and CaixaBank) managed to break profit records achieved in the 2023 financial year.upon receipt joint net profit 6,676.8 million euros, which corresponds to an increase of 17.2% compared to the same period of the previous year. To this end, during the first half of the year, all of these businesses continued to rely on revenue growth, especially margins, in a high interest rate environment.
Likewise, directors of these organizationsduring the presentations of the results held in recent days (with the exception of Santander and CaixaBank, which will hold them this Tuesday), expressed their confidence in maintaining interest margins in addition to profitability. However, they also foresee that the European Central Bank (ECB) will start cutting official rates in 2024, a fact that will lead to a reduction in the base rates that will apply to the loans it issues.
They also stand out such favorable results when produced, despite to an effect of 1,478.6 million euros for the whole year what banks reflected in their accounts for the first quarter on temporary tax on the sector which exists in Spain. Figure reflecting 32% increase compared to the previous year, due to the record results that the subjects registered in 2023. As for this tax, part of it was already paid by enterprises in February, and the rest will be paid in September. Let’s remember this This figure taxes income at 4.8%. (percentage margin and net commissions) of companies in our country with a turnover exceeding 800 million euros.
Initially, this tax was only in effect for two years (2022 and 2023, collected in 2023 and 2024), but at the end of last year The government approved the extension of the tax on income in 2024.. The executive is now exploring the possibility of making it permanent, a proposal that has prompted pushback from the sector.
Results by bank
If we break down these results by entity, we see that Santander Bank made a corresponding profit of 2.852 million euros in the first quarter of this yearThis 11% more in euros compared to the same period in 2023, in addition to return on equity (RoTE) 14.9%. Likewise, the organization chaired by Ana Botín received some in our country alone the profit amounted to 772 million euros. This implies Increase by 65.5% compared to the previous year, this is a noticeable improvement when you consider what has happened after increasing the impact of the temporary tax by 50%up to 335 million euros.
In its turn, BBVA registered within the first three months of this year Attributable net profit of EUR 2.2 billion.This 19.1% more compared to the same period last year. In Spain the company received profit 725 million euroswhat does it mean Increase by 36.2%. As in the case of Banco Santander, this increase in profits is noticeable, despite the fact that the bank recorded all profits at the accounting level in this first quarter. special bank tax, thus increasing to 285 million euros. This translates to growth by 26.6% compared to the amount paid in the previous year.
Based on the results of the first quarter of 2024. KaishaBank achieved a net profit of 1,005 million euros, which implies Increase by 17.5% more than registered for the same period last year. In addition, during these months the Catalan company recorded damage of 493 million euros due to emergency taxThis 32% more.
For Banco Sabadell, breaking records in the first quarter recording 308 million euros as net profit, which represents Increase by 50.4% compared to the same period last year. In this case impact of bank tax amounted to 192 million euros. 22.2% more compared to the impact recorded by the organization during the past year.
201 million euros was what he wrote down Bankinter How net profit During the first quarter 9% increase compared to the 185 million it accumulated over the same period in 2023. In turn, as in the previous year, the bank reflected all payment of special tax to banks in the accounts of this quarter. A tariff that has increased 23%reaching 95 million euros, compared to 77 that the bank paid last year.
Finally, Unicaja Received triple your net profit in the first quarter of this year, adding profit 111 million euros compared to €34 million for the same period in 2022. A positive result, despite the fact that the bank counted the entire temporary tax on banks in the first quarter, which had effect 78.6 million eurosthat is, increased by 23.1%.