The consolidated profit reduction was less steep than the decline in the financial margin—the difference between the interest paid on deposits and the interest received on credits—which decreased by 17.3% to 1,029.5 million euros.
The bank noted that this decline continues to “reflect the cycle of interest rate cuts implemented by the European Central Bank, resulting in a 150 basis point reduction in the deposit rate to 2.0%, which was then transmitted to the credit portfolio,” largely indexed to the variable rate.
In the first nine months, commissions increased by 5.9% to 365.2 million euros, attributed to the growth in the customer base.
Operational costs fell by 0.4% to 388.4 million euros due to the increased offering through digital channels and process simplification.
The credit portfolio grew by 7.3% among individuals and by 10.7% among companies and institutions, reaching 26,976 million euros and 25,187 million euros, respectively.
Among individuals, housing credit rose by 7.4% to 24,698 million euros, and consumer credit increased by 9.3% to 2,064 million euros.
Deposits rose by 5.6% year-on-year, reaching 39,055 million euros.
In terms of credit quality, the bank reported it “remained solid,” benefiting from the full employment context, income growth, and interest rate declines.
Net impairment of financial assets at amortized cost decreased by 46.5% to 7.4 million euros, while provisions and other results dropped to 2.3 million euros, compared to 38.5 million euros a year ago.
The non-performing exposure (NPE) ratio decreased by 0.3 percentage points to 1.4%, while the common equity tier 1 capital ratio reached 13.5% (-3.2 percentage points compared to the same period of 2024).
The efficiency ratio increased by 3.1 percentage points to 27.3%.
By the end of September, Santander Totta had 4,674 employees and 327 branches in Portugal, compared to 4,580 employees and 329 branches at the same time last year.
Owned by the Spanish banking group Santander, Santander Totta announced profits of 10,337 million euros in the first nine months of the year, a rise of 11% compared to the same period in 2024.
Santander Totta released the results solely via a statement, without holding a press conference.
[Updated at 10:41]
