Santander has revealed its intention to distribute €5.5 billion (£4.7 billion) to its shareholders, following a year of unprecedented profits driven by rising interest rates.
Owned by the Spanish conglomerate Banco Santander, the bank is set to repurchase around €1.5 billion (£1.3 billion) of its shares and issue a final cash dividend of 9.50 euro cents per share for the year 2023.
This announcement comes in the wake of Banco Santander reporting a historic high profit of €11.1 billion (£9.5 billion) for 2023.
Ana Botín, the Executive Chairman of Banco Santander, stated:
“Our approach and unique strengths have consistently yielded sustainable growth and increasing profitability over the years.
Following our exceptional performance in 2023, we are focusing on future growth while enhancing returns for our shareholders. This includes distributing over €5.5 billion through dividends and share buybacks, equating to a yield of roughly 10 percent.
As we move into 2024, we are already witnessing positive developments and are confident in meeting our goals for the year, including achieving a return on tangible equity of 16 percent.”
