Santander Posts Lower Net Profit on Effects of TSB, Poland Deals

Banco Santander reported a 36% drop in Q2 net profit to €3.52 billion, primarily due to restructuring charges from its TSB acquisition and a prior quarter gain on its Polish unit sale. Underlying profit rose 6% to €3.77 billion. Total income increased 3.6% to €15.68 billion. The bank remains on track for its 2026 targets despite these non-recurring items.

By Adria Calatayud

Banco Santander said its second-quarter net profit fell from the prior quarter due to nonrecurring gains and charges arising from its recent deals in the U.K. and Poland.

Net profit for the second quarter was 3.52 billion euros ($4.01 billion), down 36% compared with the prior quarter, the Spanish bank said Wednesday. Analysts polled by Visible Alpha had forecast a profit of 3.53 billion euros.

The bank attributed the decline to restructuring charges recorded in the second quarter linked to its recently closed acquisition of U.K. lender TSB, and to a gain on the sale of a big stake in its Polish unit booked in the previous quarter. Excluding those, underlying profit was up 6% on quarter at 3.77 billion euros, it said.

Santander, the eurozone's biggest bank by market capitalization, has moved to reshape its portfolio through dealmaking. It also agreed to buy Webster Financial in the U.S. in a $12.3 billion deal.

Total income, the bank's top-line figure, rose 3.6% from the prior quarter to 15.68 billion euros. Analysts had expected 15.70 billion euros, according to the same consensus.

The bank said it is on track to meet its 2026 targets, which include the effects of recent deals.

Write to Adria Calatayud at adria.calatayud@wsj.com

(END) Dow Jones Newswires

July 22, 2026 01:43 ET (05:43 GMT)