Banesto ,the retail-focused Spanish-based
lender in which Santander has a near 90% stake, has kicked
off the European reporting season with a 73% fall in net profit for
fiscal 2011 to €125m (€160.2m) from €460m the previous year.
Net interest income for the 12 months to 31 December 2011 fell by
12.4% to €1.45bn while net fees and commission was down by 0.2% to
€616m.
In the fourth quarter, Banesto posted a net loss of €173.3m
following a provision of €400m against souring property
loans.
For the full year, total loans declined by 8.6% year-on-year to
€69.2bn; total deposits also fell sharply, by 9.8% to
€59.4bn.
Non-performing loans increased by 86 points to 4.94% from 4.08% a
year earlier.
In a statement, the bank said:
“Economic weakness was persistent throughout the year, and in the
second half new uncertainties gave rise to a scenario of high
tensions and great volatility in the markets.”
Banesto profit falls 73%
Banesto ,the retail-focused Spanish-based lender in which Santander has a near 90% stake, has kicked off the European reporting season with a 73% fall in net profit for fiscal 2011 to 125m (160.2m) from 460m the previous year.Net interest income for the 12 months to 31 December 2011 fell by 12.4% to 1.45bn while net fees and commission was down by 0.2% to 616m.In the fourth quarter, Banesto posted a net loss of 173.3m following a provision of 400m against souring property loans.For the full year, total loans declined by 8.6% year-on-year to 69.2bn; total deposits also fell sharply, by 9.8% to 59.4bn.Non-performing loans increased by 86 points to 4.94% from 4.08% a year earlier.In a statement, the bank said:Economic weakness was persistent throughout the year, and in the second half new uncertainties gave rise to a scenario of high tensions and great volatility in the markets.