Santander shares rose 7% after lenders announced record quarterly profits, with 10 billion euro buybacks

Shares Santander Bank Spain's largest lender announced a €10 billion (USD 10.4 billion) share buyback program, from 2025 and 2026 earnings and expected excess capital.

The bank's net profit rose 11% year-on-year to €3.265 billion in the fourth quarter, and the bank's net profit year-on-year was 14% to €12.574 billion during the full year. Strong profit management and growth across businesses, especially in core retail businesses. Lenders added 8 million new customers to 173 million in 2024.

The bank's return on tangible equity (rotto) (a measure of profitability) received 16.3% in 2024 from 15.1% a year ago.

Santander shares rose 7.4% at 10:58 am London time.

Like other European lenders, the bank has benefited from a high-interest post-inventory environment and is now facing losses of losing support as the European Central Bank continues to ease its monetary policy. Santander released guidance in 2025 for about €62 billion in revenue, unit growth in net income, rote, rote and CET1 ratios (indicating lender's resilience), which suggests lender's Toughness is 13%, reaching 12.8% in 2024.

“We have announced record results for the third year in a row as we continue to increase revenue, profitability and returns,” Santander Executive Chairman Ana Botín said in an accompanying result statement. Cost and improve its operating leverage.

“We are adding customers, eight million. Banks are targeting lower costs,” Botín said on CNBC's “Squawk Box Europe” on Wednesday.

The bank may be reporting that it may be considering withdrawing from its UK operations, but Botin dismissed Santander's global footprint. “The first thing that really matters in Europe is that cross-border mergers and acquisitions today have no frameworks,” Bobin said on Wednesday, when asked about the future of the European banking landscape. “It has been seen that it is a merger in the market.” “

Her comments are amid strengthening the appetite for European banking integration, and questions raise questions about whether Unicredit's surprise stake in Commerzbank, Germany, will lead to cross-border bids since September. Since then, Italy's second largest lender has also made an offer to acquire it Bank BPMwith Monte dei Paschi bidding for Mediobanca within the Italian space.

“Many of our peers are a more single market. This means that when there is a lot of growth, there is no cross-border option, you will see market mergers,” Bobin said.