European banks post big nine-month profits — and ING spends its share on restructuring
ING, Santander and BBVA all reported strong first-nine-months results, but ING paired its numbers with a wholesale banking restructuring, about 400 redundancies and a 175 million euro provision.
- Santander reported an underlying profit of 11.2 billion euros for the first nine months of 2026, according to the company. Self-reported m:…4047
- BBVA reported a net attributable profit of 9.07 billion euros for the first nine months of 2026, up 13.6% year on year, according to the company. Self-reported m:…3005
- ING is restructuring Wholesale Banking into a Corporate and Institutional Banking unit, with about 400 redundancies globally and a 175 million euro provision expected in the fourth quarter, according to the company. Self-reported m:…9983
- BBVA's return on tangible equity reached 22% and its CET1 ratio was 12.21% at the end of September, according to the company. Self-reported m:…3005
Three banks, one pattern
Santander reported an underlying profit of 11.2 billion euros for the first nine months of 2026, according to the company. Its efficiency ratio reached 42.6%, which the company describes as its best level in 17 years. m:…4047
BBVA reported a net attributable profit of 9.07 billion euros for the first nine months of 2026, according to the company, an increase of 13.6% year on year. Its return on tangible equity reached 22%, and its efficiency ratio stood at 37.9%. m:…3005
ING reported a 16% return on tangible equity in the third quarter of 2026, according to the company, with a CET1 ratio of 13.3% at the end of the quarter. The three banks are not identical, but the direction is shared: profit is strong enough to fund change rather than merely absorb losses. m:…9983
ING spends profit on restructuring
ING announced it is restructuring its Wholesale Banking unit into a new Corporate and Institutional Banking unit, according to the company. The restructuring will result in approximately 400 redundancies globally. m:…9983
The company expects to book a 175 million euro provision in the fourth quarter of 2026 for the restructuring. That is a deliberate cost, taken while returns are healthy, rather than a cut forced by a bad quarter. m:…9983
ING added 259,000 mobile primary customers during the third quarter of 2026, according to the company, and its total customer base exceeds 41 million individuals. The retail engine is growing while the wholesale side is being reshaped. m:…9983
The company expects to reach its 5 billion euro fee income target in 2026, one year ahead of the original plan, and expects total income to exceed the original 2027 target by at least 1 billion euros. It also announced a 1.9 billion euro capital distribution to shareholders. m:…9983
Where Santander and BBVA made their money
Santander's growth was broad rather than single-market, according to the company. Net interest income grew 8% year on year, fee income increased 7%, and Corporate and Investment Banking profit rose 15%. m:…4047
Wealth Management profit increased nearly 20% year on year, according to the company. Its CET1 ratio stands at 12.7% after absorbing the impact of the Webster acquisition, and its non-performing loan ratio improved to 2.9%. m:…4047
Santander US profit grew 24% year on year excluding Webster, according to the company, and the bank has distributed approximately 9 billion euros in share buybacks for the 2025 to 2026 period. m:…4047
BBVA's lending grew strongly, according to the company, increasing by 20.4% year on year in constant euros. m:…3005
The profit split shows where BBVA earns: net attributable profit in Spain reached 3.11 billion euros, in Mexico 4.52 billion euros, and in Türkiye 789 million euros, according to the company. Shareholders received a gross cash dividend of 0.37 euros per share on October 15, and an extraordinary share buyback programme worth 2 billion euros is underway. m:…3005
What to watch
BBVA raised its full-year return on tangible equity guidance to above 21%, according to the company, but flagged that Turkey's cost of risk was 255 basis points year to date and may exceed its 220 basis points guidance. Strong profit and rising credit cost can coexist, and the tension between them is the story for the fourth quarter. m:…2451
For ING, the test is whether the fourth-quarter provision and the redundancies deliver the fee and income gains the company projects for 2026 and 2027. Restructuring announced in a good quarter is easy to applaud and hard to judge until the new unit reports. m:…9983
For Santander, the non-performing loan ratio improving to 2.9% is the number to track alongside the profit. If credit quality holds while buybacks continue, the bank's capital story stays intact; if it slips, the distribution debate changes quickly. m:…4047
What is still unresolved
- Whether ING's new Corporate and Institutional Banking unit delivers the projected fee and income gains
- Whether BBVA's cost of risk in Turkey and South America exceeds guidance in the fourth quarter
- Whether Santander's non-performing loan ratio stays near 2.9% as buybacks continue
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