Banco Santander, S.a. · BME:SAN
Banco Santander — Q1 2026 Earnings Presentation
59 slides from Banco Santander's earnings presentation, Apr 29, 2026
Slide 1: Q1'26 Earnings Presentation
Q1’26 Earnings Presentation 29 April 2026
Slide 2: Important information
Important information Non-IFRS and alternative performance measures Banco Santander, S.A. (“Santander”) cautions that this presentation may contain financial information prepared according to International Financial Reporting Standards (IFRS) and taken from our consolidated financial statements, as
Slide 3: Important information
Important information • our own decisions and actions, including those affecting or changing our practices, operations, priorities, strategies, policies or procedures; and • changes affecting our access to liquidity and funding on acceptable terms, especially due to credit spread shifts or credit ra
Slide 4: Additional information about the acquisition of Webster
Important information ADDITIONAL INFORMATION ABOUT THE ACQUISITION OF WEBSTER AND WHERE TO FIND IT INVESTORS AND SECURITY HOLDERS ARE URGED TO READ THE REGISTRATION STATEMENT ON FORM F-4 AND THE PROXY STATEMENT/PROSPECTUS INCLUDED WITHIN THE REGISTRATION STATEMENT ON FORM F-4, AS WELL AS ANY OTHER R
Slide 5: Index
Index 1 2 3 4 Q1’26 Highlights Group review Final remarks Appendix Progress on our strategy
Slide 6: A strong start to 2026 with another record quarterly profit
A strong start to 2026 with another record quarterly profit Revenue Underlying profit Continued growth, backed by 8 million new customers YoY and good activity levels €15.1bn €3.6bn +4% +12% Efficiency Underlying RoTE Strong operating performance and profitability on the back of ONE Transformation 4
Slide 7: Higher revenue and lower costs are driving double-digit growth in underlying profit
Higher revenue and lower costs are driving double-digit growth in underlying profit Group P&L Current Constant € million Q1'26 Q1'25 % % Excellent business and comme NII 11,019 10,634 4 5 dynamics with cost discipline Net fee income 3,357 3,179 6 7 Other income 764 740 3 5 Revenue up 6%, with strong
Slide 8: Our unique business model, ONE Transformation and network businesses
Our unique business model, ONE Transformation and network businesses are driving profitable growth and value creation Customer growth +6% Increasing underlying+0.5pp Revenue Scale up YoY RoTE YoY Every year1 Customer focus ONE Transformation Costs -1% Higher +19% Diversification down value Network b
Slide 9: Customer growth and structural revenue and cost improvement
Customer growth and structural revenue and cost improvement are driving better economics per active customer Active customers Fees per active customer € constant2 102mn 130 +3mn +3% c.125mn in 2028 Customers c.135 in 2028 176mn Revenue Costs +8mn Cost per active customer € constant2 +6% -1% 253 >210
Slide 10: Delivering significant efficiency improvements
Consistent execution of ONE Transformation, leveraging AI and our network businesses, is delivering significant efficiency improvements… Efficiency ratio ONE AI Global Tech Network Announced Transformation businesses bolt-ons 45.3% c.-3pp c.-1pp c.-2pp c.-1pp c.-2pp c.36% 2025 • CX for customer grow
Slide 11: Businesses
… and double-digit profit growth, supported by our 5 global businesses Underlying FY’28 Revenue Profitability Q1’26 (€ bn) Efficiency profit Q1’26 profitability (€ bn) target Underlying RoTE 8.3 40.5% 2.01 16.7% Retail >21% +2% -2.9pp +9% +0.4pp PBT ex. Motor Finance Operating profitability1 3.3 42.
Slide 12: Retail
Retail ONE Transformation driving operational leverage and profit growth, in line with our vision to be the best digital bank with branches Q1’26 execution Q1’26 performance ONE Transformation progressing at speed: customer interaction platform deployed in Mexico in Q1, now Loans Deposits CoR live i
Slide 13: Openbank
Focus on efficient digital deposit gathering is driving funding optimization Openbank and supporting underlying PBT growth Q1’26 execution Q1’26 performance Single legal entity in Europe to accelerate cross-selling and AI implementation Loans Deposits CoR Loans up, driven by auto lending in Europe a
Slide 14: CIB
CIB Efficiency and profitability improvements driving 16% profit growth on the back of client flows Q1’26 execution Q1’26 performance Solid execution of our strategy focused on advisory and capital-light business, driving RoTE up to 21%, Loans Deposits CoR while we maintain a leading position in eff
Slide 15: Wealth
Wealth Double-digit increase profit growth, with revenue up on the back of 10% AuM Q1’26 execution Q1’26 performance Increased focus on value-added investment solutions and services (e.g. UHNW and portfolio advisory) improving AuMs CAL (PB) Gross written premiums recurrency for another quarter €545b
Slide 16: Payments
PaymentsGlobal platforms driving scale, revenue growth and profitability improvements Q1’26 execution Q1’26 performance On track with our key strategic priorities to capture scale through global platforms, driving strong cost per transaction improvements Getnet Getnet Platforms Ebury Activity increa
Slide 17: Strong profitability improvement and value creation
Strong profitability improvement and value creation with EPS +17% and TNAV per share + cash DPS up 19% Underlying RoTE Underlying EPS TNAVps + cash DPS € cents € per share Cash DPS: €35.0 cents +0.5pp +17% +19% 6.48 15.2% 23.4 14.6% 5.46 19.9 6.13 Q1'25 Q1'26 Q1'25 Q1'26 Mar-25 Mar-26 We have delive
Slide 18: Index
Index 1 2 3 4 Q1’26 Highlights Group review Final remarks Appendix Progress on our strategy
Slide 19: Underlying profit
Higher revenue and lower costs are driving double-digit growth in underlying profit Group P&L Current Constant € million Q1'26 Q1'25 % % Underlying profit € mn NII 11,019 10,634 4 5 Net fee income 3,357 3,179 6 7 +12% Other income 764 740 3 5 Total revenue 15,140 14,553 4 6 Total costs -6,484 -6,660
Slide 20: Total revenue
Revenue growth underpinned by customer activity across our businesses Total revenue Constant € mn YoY growth Group • c.95% of total revenue is customer related +6% 15,234 15,140 • Solid revenue increase YoY, both in NII and fees, with all businesses growing, reflecting the benefits of our model 14,6
Slide 21: NIM, Margins and NII
Solid NII performance across most global businesses on the back of higher activity NIM 2.65% 2.71% 2.61% 2.68% 2.67% Margins Quarterly • NIM slightly up YoY: – Slight decrease in Retail in a less favourable interest rate environment. Of note, NII improvements in Argentina and Mexico YoY growth – Str
Slide 22: Net fee income
Strong net fee income in Q1 driven by value added from our global businesses Net fee income Constant € mn YoY growth Detail by business • Retail: +7% – Good commercial dynamics and customer growth (+6mn YoY), supporting 3,508 generalized growth across our footprint 3,357 3,148 3,187 3,214 – Of note,
Slide 23: ONE Transformation drove 11% growth in net operating income
ONE Transformation drove 11% growth in net operating income GROUP RETAIL AND OPENBANK 43.6% 41.1% Total revenue Retail and Openbank represent Efficiency Constant € mn c.75% of the Group’s total costs 15,234 15,140 14,342 14,615 14,550 11,544 Revenue 11,225 Constant € mn +3% Total costs -4% Constant
Slide 24: LLPs down 2% excluding Argentina and sound credit quality
LLPs down 2% excluding Argentina and sound credit quality, on the back of active risk management CoR 1.12% 1.13% 1.13% 1.14% 1.14% Credit quality 12 months • LLPs, CoR and NPL ratio impacted by Argentina performance, reflecting sector-wide trends in the country. Excluding Argentina: LLPs Constant €
Slide 25: Strong organic capital generation, with profitable front-book growth at 21% RoTE
Strong organic capital generation, with profitable front-book growth at 21% RoTE CET1 ratio % Maximize capital productiviy Front book pricing 21% +29bps net organic generation +0.42 14.4 +0.58 RoTE of new book +0.02 +0.20 13.5 -0.31 c.-0.60 Target -13% Asset rotation and 12.8 c.-1.50 risk transfer a
Slide 26: Index
Index 1 2 3 4 Q1’26 Highlights Group review Final remarks Appendix Progress on our strategy
Slide 27: Strong start to the year that puts us on track to meet our 2026 targets
Strong start to the year that puts us on track to meet our 2026 targets Q1’26 delivery2026argets t Revenue Mid-single Revenue and costs on track growth +6% digit on the back of our consistent execution of in constant euros ONE Transformation Down Costs -1% in constant euros Record quarterly profit s
Slide 28: Our Financial North Star
Our Financial North Star 2026 – 28 targets Strength Profitable growth CET1 Profit RoTE c.13% >€20bn >20% 12-13% operating range TNAVps+DPS by 2028 Excess >13% to be returned Accelerating to at the end of the plan High teens by 2028 & Shareholder remuneration EPS Reinvesting annual growth Payout Cash
Slide 29: Index
Index 1 2 3 4 Q1’26 Highlights Group review Final remarks Appendix Progress on our strategy
Slide 30: Appendix
Appendix 2028 Investor Day targets summary Detail by global business Detail by country Balance sheet and capital management Reconciliation of underlying results to statutory results Glossary and additional notes
Slide 31: We are well positioned to deliver on our 2028 Investor Day targets
We are well positioned to deliver on our 2028 Investor Day targets 2025 Q1'26 2028 ID targets Underlying profit (€ bn) 13.2 3.6 >€20bn Underlying RoTE (%) 15.2 15.2 >20% Profitability 17 17 DD annual growth Underlying EPS (%) Payout (Cash + SBB)¹ (%) 50 50 50 Total customers (mn) 174 176 >210mn Acti
Slide 32: Appendix
Appendix 2028 Investor Day targets summary Detail by global business Detail by country Balance sheet and capital management Reconciliation of underlying results to statutory results Glossary and additional notes
Slide 33: Retail & Commercial Banking
Retail & Commercial Banking KEY DATA HIGHLIGHTS Loans Deposits Mutual funds • ONE Transformation continues to deliver tangible results: fees +7%, €603bn €624bn €118bn cost per active customer -7% and higher profitability +2% +5% +17% • Loans rose YoY, mainly driven by mortgages in the UK, Portugal a
Slide 34: Retail Spain / Retail UK
RETAIL SPAIN RETAIL UK Loans Deposits Mutual funds Loans Deposits Mutual funds €158bn €231bn €52bn €230bn €213bn €8bn +1% +6% +14% +4% +6% +39% Yield on loans Cost of deposits Efficiency Yield on loans Cost of deposits Efficiency 3.42% 0.43% 31.9% 4.15% 1.95% 55.2% -39bps -15bps -4.1pp -4bps +2bps -
Slide 35: Retail Mexico / Retail Brazil
RETAIL MEXICO RETAIL BRAZIL Loans Deposits Mutual funds Loans Deposits Mutual funds €39bn €40bn €16bn €69bn €61bn €27bn +4% +7% +11% +1% +7% +20% Yield on loans Cost of deposits Efficiency Yield on loans Cost of deposits Efficiency 13.40% 2.91% 39.8% 16.31% 9.46% 43.4% -143bps -116bps -4.0pp +40bps
Slide 36: Openbank
Openbank KEY DATA HIGHLIGHTS • We aim to become a leading digital bank that combines advanced technology Loans Deposits New lending with a personal and human touch, placing customers at the heart of our €216bn €134bn €22bn management and maximizing profitability and shareholder value +3% +3% +7% • L
Slide 37: Openbank Europe / Openbank US
OPENBANK EUROPE OPENBANK US Loans Deposits Mutual funds Loans Deposits Mutual funds €143bn €82bn €5bn €49bn €51bn €4bn +3% -3% +12% -3% +12% +9% Yield on loans Cost of deposits Efficiency Yield on loans Cost of deposits Efficiency 5.76% 1.61% 47.5% 12.21% 2.22% 43.3% -6bps -53bps -3.0pp +12bps +8bps
Slide 38: Corporate & Investment Banking
Corporate & Investment Banking KEY DATA HIGHLIGHTS Loans Deposits • Solid execution of our strategy focused on advisory and capital-light business, driving RoTE up to 21%, while we maintain a leading position in efficiency €157bn €133bn +18% +3% • Good activity levels reflecting the benefits of our
Slide 39: Wealth Management & Insurance
Wealth Management & Insurance KEY DATA HIGHLIGHTS Gross written Net new money (PB) Net sales (AM) • We continue to build the best wealth and insurance manager in Europe premiums €3.5bn €3.8bn €2.8bn and the Americas, supported by our leading global private banking platform and our funds and insuranc
Slide 40: Payment Solutions
Payment Solutions KEY DATA Getnet Platforms HIGHLIGHTS Getnet – TPV Getnet Platforms – # transactions • Payment Solutions is positioned as our payments platform business, # transactions structured around three business lines: €62bn 4bn – Getnet, our acquiring business +11% 10x – Getnet Platforms, co
Slide 41: Corporate Centre
Corporate Centre P&L HIGHLIGHTS • NII affected by negative sensitivity to lower interest rates Underlying P&L* Q1'26 Q1'25 • Gains / losses on financial transactions worsened due to a higher NII -138 -112 impact from foreign currency hedges Gains / losses on financial • Other operating incomeincreas
Slide 42: Appendix
Appendix 2028 Investor Day targets summary Detail by global business Detail by country Balance sheet and capital management Reconciliation of underlying results to statutory results Glossary and additional notes
Slide 43: Spain / UK
SPAIN UK Loans Deposits Mutual funds Loans Deposits Mutual funds €245bn €318bn €110bn €231bn €220bn €8bn +7% +6% +14% +3% +4% +10% Efficiency CoR RoTE Efficiency CoR RoTE 34.2% 0.41% 26.0% 54.6% 0.08% 9.7% -1.6pp -8bps +4.1pp -6.3pp +4bps +0.5pp Underlying P&L* Q1'26 % Q4'25 % Q1'25 Underlying P&L*
Slide 44: Portugal / US
PORTUGAL US Loans Deposits Mutual funds Loans Deposits Mutual funds €43bn €41bn €6bn €115bn €86bn €16bn +8% +6% +12% +5% +1% +15% Efficiency CoR RoTE Efficiency CoR RoTE 27.0% 0.04% 30.6% 47.4% 1.57% 11.6% -0.1pp +7bps +0.0pp -3.1pp -15bps +0.9pp Underlying P&L* Q1'26 % Q4'25 % Q1'25 Underlying P&L*
Slide 45: Mexico / Brazil
MEXICO BRAZIL Loans Deposits Mutual funds Loans Deposits Mutual funds €52bn €47bn €23bn €98bn €87bn €58bn +9% +7% +8% +2% -0% +4% Efficiency CoR RoTE Efficiency CoR RoTE 41.1% 2.74% 19.9% 39.4% 4.14% 14.8% -2.7pp +19bps -0.8pp +0.5pp +4bps +0.4pp Underlying P&L* Q1'26 % Q4'25 % Q1'25 % Q1'25¹ Underl
Slide 46: Chile / Argentina
CHILE ARGENTINA Loans Deposits Mutual funds Loans Deposits Mutual funds €41bn €29bn €13bn €9bn €11bn €8bn +4% +1% +11% +10% +2% +25% Efficiency CoR RoTE Efficiency CoR RoTE 30.4% 1.27% 19.3% 40.7% 9.77% 7.0% -4.5pp +1bps +1.0pp -5.0pp +519bps -15.0pp Underlying P&L* Q1'26 % Q4'25 % Q1'25 % Q1'25¹ Un
Slide 47: Appendix
Appendix 2028 Investor Day targets summary Detail by global business Detail by country Balance sheet and capital management Reconciliation of underlying results to statutory results Glossary and additional notes
Slide 48: SREP capital requirements and MDA
Santander’s capital levels amply exceed minimum regulatory requirements SREP capital requirements and MDA* Mar-26 CET1 ratio of 14.4%, on track to meet 18.91% our aim to end the year with a CET1 >16% ratio in the range of 12.8-13%3 2.97% T2 +480bps 14.11% 2.44% 1.58% AT1 +427bps 1.50% The minimum CE
Slide 49: Diversified bond portfolio represents just 8% of total assets
Diversified bond portfolio represents just 8% of total assets Bond portfolio %, Dec-25 Mar-26 Rest of the €153bn Chile Group 3% 6% Liquidity portfolio Brazil 9% €39bn Bond portfolio represents 8% of total assets Spain Mexico 44% 9% €153bn HTC&S duration: 1.9 years o/w HTC €119bn (78%) ALCO IRRBB Mar
Slide 50: Conservative and decentralized liquidity and funding model
Conservative and decentralized liquidity and funding model 1issued in public markets in Q1’26 Very manageable maturity profile €14.0bn € bn, Mar-26 € bn, Mar-26 Covered 11.9 7.5 8.1 13.5 4.9 Bonds 2.6 7.3 1.0 0.1 0.3 23.2 0.6 Senior 4.7 0.2 12.1 15.7 8.9 6.4 6.7 2.2 5.1 1.9 Senior Non - 15.8 11.4 12
Slide 51: Execution of 2026 funding plan
2026 issuances against funding plan Execution of 2026 funding plan € bn, Mar-26 AT1 + Tier 2 SNP + Senior Covered Bonds TOTAL Plan Issued Plan Issued Plan Issued Plan Issued 1 1 Banco Santander, S.A. 1 - 2.5 - 13 - 15 6.5 0.5 - 2 2.5 14.5 - 19.5 8.9 UK - - 3 - 5.5 2.0 3-4 2.2 6 - 9.5 4.2 SHUSA - - 1
Slide 52: TLAC/MREL for the Resolution Group
TLAC/MREL for the Resolution Group headed by Banco Santander, S.A. TLAC MREL % and € bn, Mar-26(e) %, Mar-26(e) Requirement Requirement 40.9% CBR CBR 4.5% 28.3% Buffer Buffer 171.4 4.5% 5.8% 27.4 Senior 32.9 SNP 4.5% 1.0 Sub debt 11.5 T2 2 15.3% 9.3 AT1 Req. 31.9% Req. 2.5% 22.5% 8.2% 36.4% 18.0% 1.
Slide 53: Well-funded, diversified, prudently managed and highly liquid balance sheet
Well-funded, diversified, prudently managed and highly liquid balance sheet with a large contribution from customer deposits, reflected in solid liquidity ratios Liquidity balance sheet € bn, Mar-26 Liquidity Coverage Ratio Net Stable Funding 1,561 1,561 (LCR) Ratio (NSFR) 1 1 Mar-26 Dec-25 Dec-25 L
Slide 54: Appendix
Appendix 2028 Investor Day targets summary Detail by global business Detail by country Balance sheet and capital management Reconciliation of underlying results to statutory results Glossary and additional notes
Slide 55: Reconciliation of underlying results to statutory results
Reconciliation of underlying results to statutory results EUR mn January-March 2026 January-March 2025 Underlying Statutory results Adjustments Statutory results Adjustments Underlying results results Net interest income 11,019 — 11,019 10,621 13 10,634 Net fee income 3,357 — 3,357 3,199 (20) 3,179
Slide 56: Appendix
Appendix 2028 Investor Day targets summary Detail by global business Detail by country Balance sheet and capital management Reconciliation of underlying results to statutory results Glossary and additional notes
Slide 57: Glossary - Acronyms
Glossary - Acronyms • A2A: Account-to-account • GFT: Gains on financial transactions • PBT: Profit before tax • AM: Asset Management • GM: Global Markets • pp: Percentage points • AuMs: Assets under management • GTB: Global Transaction Banking • ps: Per share • bn: Billion • I&AMS: Insurance & Asset
Slide 58: Glossary - Definitions
Glossary - Definitions PROFITABILITY AND EFFICIENCY • Underlying RoTE: Underlying profit attributable to the parent minus AT1 costs (annualized)1 / Average stockholders' equity2 (excl. minority interests) - intangible assets • RoRWA: Consolidated profit (annualized) / Average risk-weighted assets •
Slide 59: Thank you
Thank you ANS