Ana Botín | Executive Chair 25 February | London 1 Important information Non-IFRS and alternative performance measures Banco Santander, S.A. ("Santander") cautions that this webcast may contain financial information prepared according to International Financial Reporting Standards (IFRS) and taken from our consolidated financial statements, as well as alternative performance measures (APMs) as defined in the Guidelines on Alternative Performance Measures issued by the European Securities and Markets Authori ...

Core Viewpoint - Santander announced strong results alongside the acquisition of Webster Financial Corporation, marking a significant strategic move for the group [2]. Group 1: Financial Results - The presentation will begin with an overview of the financial results by CEO Hector Grisi [3]. Group 2: Acquisition Details - Executive Chair Ana Botín will provide a detailed explanation of the acquisition, including its strategic and financial rationale and implications [3]. Group 3: Future Outlook - The presentation will conclude with closing remarks and an outlook for 2028 [3].

Financial Data and Key Metrics Changes - Santander reported a record annual profit of EUR 14.1 billion for 2025, marking a 12% year-over-year increase, and 15% excluding Argentina [3][4] - The annual dividend per share grew by 14%, reflecting strong shareholder value creation [4] - The CET1 ratio reached an all-time high of 13.5%, up 70 basis points from the previous year, indicating strong capital generation [13][30] Business Line Data and Key Metrics Changes - Retail profit increased by 9% year-on-year, with a cost-to-income ratio of 39% [8][9] - Consumer business net interest income (NII) grew by 5% year-on-year, while group NII, excluding Argentina, increased by 3% [5][6] - Wealth profit surged by 27% in 2025, driven by strong commercial activity and double-digit fee growth [11] - Payments volume rose by 9%, with PagoNxt EBITDA margin exceeding 34% [11] Market Data and Key Metrics Changes - The customer base expanded by 8 million to 180 million, showcasing strong market penetration [3] - The U.S. market is highlighted as a key growth area, with profits growing over 30% from 2023 to 2025 [15][16] Company Strategy and Development Direction - The acquisition of Webster Financial Corporation is a strategic move to enhance Santander's U.S. operations, aiming for a return on tangible equity (ROTE) of 18% by 2028 [17][22] - The focus remains on improving efficiency and profitability through the "One Transformation" initiative, which emphasizes simplification and automation [7][8] - The company aims to maintain a disciplined approach to capital allocation while pursuing growth opportunities in key markets [12][31] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving a ROTE exceeding 20% by 2028, driven by the integration of Webster and ongoing transformation efforts [34] - The U.S. market is viewed as attractive due to its growth potential and favorable regulatory environment, with expectations for continued value creation [33][34] - The company anticipates mid-single-digit revenue growth in 2026, with double-digit growth including M&A impacts [35] Other Important Information - A new share buyback program of up to EUR 5 billion was approved, with 65% of the acquisition price for Webster to be paid in cash [13][19] - The integration of Webster is expected to yield approximately $800 million in cost synergies, with a focus on operational efficiencies [27][40] Q&A Session Summary Question: Can you provide more details on the EUR 800 million cost synergies? - Management highlighted that the synergies will come from significant overhead reductions and technology integrations, with a focus on eliminating duplicative structures [37][39][40] Question: Why is the expected ROTE for the U.S. set at 15%? - Management explained that the 15% ROTE aligns with their capital hierarchy and reflects the strong performance of the U.S. operations over the past five years [38][44] Question: What has changed regarding the West Coast market? - The acquisition of Webster allows Santander to operate as a full-service retail commercial bank in the Northeast, which was not feasible previously [49][50] Question: What are the implications of the 140 basis points impact on capital? - The capital impact from the acquisition will primarily come from cash payments, with additional adjustments for deferred tax assets and risk-weighted assets [52] Question: Will new shares be issued for the Webster acquisition? - Yes, 35% of the acquisition consideration will be paid in new shares, while a EUR 5 billion share buyback program will also be initiated [62][63]

Financial Data and Key Metrics Changes - Santander reported a record annual profit of EUR 14.1 billion for 2025, marking a 12% year-over-year increase, and 15% excluding Argentina [4][5] - The return on tangible equity (ROTE) post-AT1 reached 16.3%, up nearly one percentage point year-over-year [13] - The fully loaded CET1 ratio increased by 70 basis points to 13.5%, exceeding the target range of 12-13% [15][32] - The annual dividend per share grew by 14% [5] Business Line Data and Key Metrics Changes - Retail profit grew by 9% year-on-year, with a cost-to-income ratio of 39% [9][10] - Consumer business net interest income (NII) increased by 5% year-on-year, while group NII, excluding Argentina, grew by 3% [7][10] - Wealth profit surged by 27% in 2025, driven by strong commercial activity and double-digit fee growth [12] - Corporate and Investment Banking (CIB) and Payments also saw strong revenue growth, with payments volume up 9% [12][13] Market Data and Key Metrics Changes - The customer base expanded by 8 million to 180 million [4] - The U.S. market has shown significant growth, with profits increasing by over 30% from 2023 to 2025 [17][18] - The acquisition of Webster Financial Corporation is expected to enhance Santander's position in the U.S. market, making it the tenth largest retail and commercial bank by assets [19][22] Company Strategy and Development Direction - The acquisition of Webster is a strategic move to enhance profitability and efficiency in the U.S. market, aiming for an ROTE of 18% by 2028 [19][23] - The company is focused on a "One Transformation" strategy to simplify operations and improve efficiency, which has already resulted in significant cost savings [8][10] - Santander aims to maintain a disciplined approach to capital allocation while pursuing growth opportunities in core markets [13][32] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving a ROTE in excess of 20% by 2028, supported by the integration of Webster and ongoing transformation efforts [35] - The U.S. market is viewed as attractive due to its growth potential and favorable regulatory environment [34] - The company anticipates mid-single-digit revenue growth in 2026, with double-digit growth including M&A [37][38] Other Important Information - A new share buyback program of up to EUR 5 billion was approved, with 35% of the acquisition cost for Webster to be paid in shares [15][65] - The integration of Webster is expected to yield approximately $800 million in cost synergies, fully phased in by the end of 2028 [27][43] Q&A Session Questions and Answers Question: Can you provide more details on the EUR 800 million cost synergies? - Management highlighted that the synergies will come from headquarters and overhead reductions, technology integrations, and operational efficiencies [40][42][43] Question: Why is the expected ROIC set at 15% for the U.S. market? - Management explained that the 15% ROIC aligns with their capital hierarchy and reflects the expected returns from the acquisition [41][47] Question: What has changed regarding the attractiveness of the West Coast market? - The acquisition of Webster allows Santander to operate as a full-service retail commercial bank in the Northeast, which was not feasible previously [51][52] Question: Will new shares be issued for the Webster acquisition? - Yes, 35% of the acquisition consideration will be paid in new shares, while a share buyback program will also be initiated [65][66]

Financial Data and Key Metrics Changes - Banco Santander reported a record annual profit of EUR 14.1 billion for 2025, representing a 12% year-over-year increase, and a 15% increase excluding Argentina [3][4] - The annual dividend per share grew by 14%, and earnings per share rose by 17% due to solid profit generation and a lower share count following buybacks [4][12] - The CET1 ratio increased by 70 basis points to an all-time high of 13.5%, reflecting strong organic capital generation [4][13] Business Line Data and Key Metrics Changes - The Consumer business saw a net interest income (NII) increase of 5% year-on-year, while overall group NII performance, excluding Argentina, grew by 3% [5][9] - Wealth profit increased by 27% in 2025, driven by strong commercial activity and double-digit fee growth [11] - Payments volume rose by 9%, with PagoNxt EBITDA margin closing above 34% [11] Market Data and Key Metrics Changes - The customer base grew by 8 million to 180 million, indicating strong customer acquisition across all markets [3] - The retail profit grew by 9% year-on-year, with a cost-to-income ratio of 39% [8][9] - The U.S. market showed significant growth, with profits increasing by over 30% from 2023 to 2025, and the U.S. ROTE reaching 15% [16][46] Company Strategy and Development Direction - The acquisition of Webster Financial Corporation is a strategic move to enhance Santander's U.S. operations, aiming for a ROTE of 18% by 2028 [2][18] - The company is focused on a "One Transformation" strategy to simplify products and improve operational efficiency, which has already resulted in a 41% efficiency ratio [3][6] - The integration of Webster is expected to deliver approximately $800 million in cost synergies, enhancing the overall profitability and efficiency of the combined entity [21][27] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the U.S. market's potential, highlighting its attractive risk-return profile and growth opportunities [33] - The company anticipates achieving a ROTE in excess of 20% by 2028, supported by ongoing strategic initiatives and acquisitions [34] - The outlook for 2026 includes mid-single-digit revenue growth in constant EUR, with double-digit growth expected when including M&A [35] Other Important Information - The board approved a new buyback program of up to EUR 5 billion, with EUR 3.2 billion generated from the sale of Poland [13][31] - The acquisition of Webster is expected to close before the end of 2026, with a significant focus on integrating operations and realizing synergies [20][22] Q&A Session Questions and Answers Question: Can you provide more details on the EUR 800 million cost synergies? - Management explained that the synergies are derived from significant overhead reductions and technology integrations, with a focus on eliminating duplicative structures [41][42] Question: Why is the expected ROIC set at 15%? - The rationale for the 15% ROIC is consistent with the company's capital hierarchy, and management highlighted the U.S. market's strong performance in value creation over the past five years [45][46] Question: What has changed regarding the West Coast market? - Management clarified that the acquisition of Webster allows Santander to operate as a full-service retail commercial bank in the Northeast, which was not feasible previously [50][51] Question: What are the implications of issuing new shares for the Webster acquisition? - The company will issue new shares for 35% of the acquisition consideration, while also launching a EUR 5 billion share buyback program [66][67]

FY'25 Earnings Presentation Acquisition of Webster 3 February 2026 Important information Non-IFRS and alternative performance measures Banco Santander, S.A. ("Santander") cautions that this presentation may contain financial information prepared according to International Financial Reporting Standards (IFRS) and taken from our consolidated financial statements, as well as alternative performance measures (APMs) as defined in the Guidelines on Alternative Performance Measures issued by the European Securitie ...

FY'25 Earnings Presentation Acquisition of Webster 3 February 2026 Important information Forward-looking statements Santander hereby warns that this presentation may contain 'forward-looking statements', as defined by the US Private Securities Litigation Reform Act of 1995. Such statements can be understood through words and expressions like 'expect', 'project', 'anticipate', 'should', 'intend', 'probability', 'risk', 'VaR', 'RoRAC', 'RoRWA', 'TNAV', 'target', 'goal', 'objective', 'estimate', 'future', 'amb ...

Core Viewpoint - Capital Bancorp, Inc. has appointed Jacob Dalaya as Executive Vice President and Chief Financial Officer, effective immediately, to enhance its strategic and financial planning as the bank aims for accelerated growth [1][2]. Group 1: Appointment Details - Jacob Dalaya has been appointed as Executive Vice President and Chief Financial Officer of Capital Bancorp and Capital Bank, National Association [1]. - Prior to this role, Dalaya served as Chief Strategy Officer, overseeing strategic and financial planning and the acquisition of IFH [2]. - Dalaya has extensive experience in the financial sector, having held leadership positions at Webster Financial Corporation and Sterling Bancorp, and previously worked in investment banking at Keefe, Bruyette & Woods and J.P. Morgan Securities [2]. Group 2: Leadership Perspective - Edward Barry, CEO of Capital Bank, emphasized Dalaya's instrumental role in shaping the bank's long-term strategy and financial discipline, expressing confidence in his ability to guide the bank through its next growth phase [3]. - Dalaya expressed his commitment to working with the management team to generate best-in-class returns and growth for shareholders [3]. Group 3: Company Overview - As of September 30, 2025, Capital Bank has $3.4 billion in assets and operates a diversified portfolio of regional banking and national specialty platforms [4]. - Capital Bank is a member of the Federal Reserve Bank system and is FDIC insured [4].