Spanish banks


Bankia annual net profit in Q119 reaches 205 M€ (-10,8%) and beats expectations

Bankinter | Bankia has presented its first quarter results (Q12019). We highlight the principal figures compared to the consensus: Interest margins: 526 M€ (-4,7% vs 502 M€ expected); Gross margin: 813 M€ (-13,3%; vs 814 M€ expected); Operational margin: 357 M€ (-16,6%; vs 355 M€ esperado); Annual net profit: 205 M€ (-10,8% vs -40 M€ in Q4 18 vs 196M€ expected).


Banco Santander

Santander attributed net profit falls by -10% to € 1.840bn in 1Q19

Banco Santander revealed its 1Q19 numbers. Intermediation margin (NII or margin of interest) € 8.68 + 3% yoy <€ 8.75 bn € e cons. Attributed net profit is 1.84 bn € -10.41% yoy against the 1.83 bn € estimated by the consensus, after a net charge of € 108 M for restructuring costs in the United Kingdom and Poland and assets sale. Ordinary profit has grown in seven of its ten main markets.


Bankinter Q119: credit portfolio continues to increase profitability

Renta4 | Q119 results are below our estimates across the whole account: -3% in interest margins; -4% in gross profits; -2% in net margin for lower operational costs than expected and -4% in net profits. Compared to the consensus, slightly below in interest margins and gross profits (-1% in both cases), and 1% above in net margins and net profits.




Banco Santander

Santander: excessive digital focus, tied to domestic market

Alphavalue | During the last decade, Banco Santander has successfully diversified constructing a portfolio of low risk/high growth activities. Although it should guarantee the longevity of the group, it has not translated into profits for smaller shareholders.

 


Ibex: dividends and little else?

M&G Valores | A sustained annual growth in profits of 4% is well below that of previous bull cycles in the stock market, but seems realistic in the current situation. We have on one hand the modest growth of developed economies (secular stagnation), and on the other the composition of the Ibex dominated by regulated sectors, with modest growth, and the banks.


Spanish banks: less Tier1, no skeletons in the closet

Spanish banks are last in Eurozone in Tier 1 and penultimate in regulatory capital. But they have an unquestionable competitive advantage: they are the only transparent ones in the Eurozone for the ECB and for the other investors being the only audited ones. There are no skeletons in the closet even if there is less capital to compensate.


Spanish banks: attractive valuations but fragile trading

Spanish Banks: Attractive Valuations But Fragile Trading

The Q418 results have been a negative catalyst for Spanish banks and almost all of them (with the notable exception of BBVA) have seen how the stock market advances accumulated over the course of the year have vanished to the point of returning negative.The recurrent tendencies of incomes have remained moderately positive, as happened in 2018, but, in opinion of Santander Research, net financial margins remain vulnerable.