Company: BCDRF
Filing Date: 2025-07-31
Form Type: 6-K
Source: 0000891478-25-000111
Chunk: 77

Company: Banco Santander, S.A.
Filing Date: 2025-07-31
Form: 6-K
Chunk 77
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1. Average exchange rates for the Argentine peso are not included since we use the exchange rate on the last working day of each period presented given it is a hyperinflationary economy. We apply the official ARS exchange rate except in the periods between Q2 2024 and Q1 2025, when we applied an alternative exchange rate for the Argentine peso that better reflected the evolution of inflation.

| January - June2025 |     | 87 |

| Significant events    
 Key consolidated data 
 Business model        |     | Group financial information |     | Financial information by segment |     | Sustainability       
 Corporate governance |     | Appendix |     | Index |
|                       |     |                             |     |                                  |     |                      |     | APMs     |     |       |

Impact of inflation rate on the variations of operating expenses Santander presents, for both the Group and the business units included in the primary and secondary segments: i) the changes in operating expenses in euros, ii) the changes excluding the exchange rate effect with the exception of Argentina which is calculated as described above in "Local currency measures", and iii) the changes excluding the exchange rate effect minus the effect of average inflation over the last twelve months except for Argentina as cost growth in euros should already largely reflect the effect of hyperinflation on exchange rates. The reason is that the two latter facilitate analysis for management purposes. Inflation is calculated as the arithmetic average of the last twelve months for each country and, for the global businesses, as the weighted average the inflation rate of each country comprising the global business, weighted by each country's operating expenses. For the Group and the global businesses, we exclude the impact of inflation in Argentina from the calculation as cost growth in euros should already largely reflect the effect of hyperinflation on exchange rates.

The table below shows the average inflation rates calculated as indicated.

| Average inflation               |     |                                  |     |     |
| %                               |     | Average inflation last 12 months |     |     |
| Retail & Commercial Banking1    |     |                                  |     | 3.5 |
| Digital Consumer Bank1          |     |                                  |     | 2.5 |
| Corporate & Investment Banking1 |     |                                  |     | 3.0 |
| Wealth Management & Insurance1  |     |                                  |     | 2.9 |
| Payments1                       |     |                                  |     | 3.3 |
| Spain                           |     |                                  |     |