Company: BCDRF
Filing Date: 2025-10-29
Form Type: 6-K
Source: 0000891478-25-000130
Chunk: 3

Company: Banco Santander, S.A.
Filing Date: 2025-10-29
Form: 6-K
Chunk 3
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, supported by continued progress in executing the ONE Transformation programme.

Corporate Communications Ciudad Grupo Santander, edificio Arrecife, planta 2 28660 Boadilla del Monte (Madrid) comunicacion@gruposantander.com www.santander.com 3 Loan-loss provisions declined 1% as the cost of risk improved by five basis points to 1.13%, in line with the 2025 target, supported by strong credit quality and proactive risk management. Retail and Consumer, which together account for around 80% of the group’s loan-loss provisions, improved to 0.89% and 2.06%, respectively. The non- performing loan (NPL) ratio improved to 2.92% (-14 basis points), with a solid coverage ratio of 67%. The CET1 capital ratio strengthened during the quarter to 13.1%, up 0.1 percentage points, exceeding the upper end of the bank’s operating range (12–13%) and ahead of the 2025 target3. The increase was driven by strong attributable profit (+56 basis points), which more than offset shareholder remuneration and AT1 costs (-30 basis points), as well as other charges. On 30 September 2025, the board of directors approved an interim cash dividend of 11.5 euro cents per share against 2025 earnings2, up 15% compared to the same dividend last year. The payment will be made from 3 November 2025. The total amount returned to shareholders as interim remuneration for 2025 is expected to be around €3.4 billion, equivalent to approximately 50% of the group’s first-half profit. Around half will be paid in cash dividends, while the remaining €1.7 billion will be distributed through the ongoing share buyback programme launched in July. Once the programme is complete, the bank will have repurchased more than 15% of its outstanding shares since 2021, returning approximately €22.5 billion to shareholders over the period through both buybacks and dividends. Strategy and outlook Santander continues to make excellent progress in executing its strategic priorities, deploying shared global platforms, simplifying the group and driving profitable growth. The group’s strategy centres on delivering ONE Santander, combining global scale with local strength. The successful execution is reflected in strong profit growth across all five global businesses in constant euros: Retail (+9%), Consumer (+6%), CIB (+10%), Wealth (+21%) and Payments (+62% even after excluding