The shares of Banco Santander (LSE: BNC) (NYSE: SAN.US) dropped 20p to 550p during early trade this morning today after the bank issued its third-quarter figures.
Santander, which operates more than 1,000 branches within the UK and a further 13,000 branches throughout Europe, South America and Latin America, reported earnings of €1bn for July, August and September.
The group said its largest profit contributors during 2013 to date had been Brazil, at 24%, the UK, at 15%, Mexico, at 11%, and the United States, also at 11%.
Today’s statement also showed total deposits rising 5% to €633bn and loans falling 2% to €687bn. Net book value was declared at €7.58 per share.
Emilio Botin, Santander’s chairman, said:
“After several years of high levels of write-offs and reinforcement of capital, Banco Santander is preparing for a new period of increased profitability.“
Sr Botin also confirmed Santander would maintain its ‘shareholder remuneration’ — or dividend — at €0.15 per share for the quarter and at €0.60 per share for the fifth consecutive year.
A €0.60 payout is equivalent to 51p per share and supports a 9% yield following this morning’s price reaction.
Meanwhile, the aforementioned book value is equivalent to 648p per share and represents 117% of the share price.
