Banco Santander-Chile Announces Fourth Quarter 2023 Earnings - Seite 3

Successful issuance on the Swiss market in January 2024
In January 2024, the Bank returned to the international market with the successful issuance of a bond in Swiss francs for CHF 225 million (equivalent to US$ 263 million) for a three-year term, achieving a spread of 125 basis points over the reference rate, which is equivalent to a coupon of 2.445%. The results of this transaction reflect the great interest and demand from investors, making it the third largest placement of a Chilean issuer in this market. The previous two also belong to Banco Santander, for CHF 250 million in 2010 and for CHF 300 million in 2014.

This new operation consolidates the excellent reception of Santander Chile in international markets, considering that the entity had not issued new bonds in this market since 2021. Thanks to this recent instrument, the Bank's position in the Swiss franc market is around CHF 900 million (close to US$ 1,000 million), consolidating itself as the second most relevant within the entity's financing diversification strategy, thus reaching around 25% of the total foreign debt.

We made important progress in our Chile First strategy in 2023

• Largest bank in terms of loans and deposits (17.4% market share according to latest information from the CMF).
• only Chilean bank included in the DJSI emerging markets.
• More than 167,000 people bankerized through the Life y Más Lucas accounts in 2023.
• A total of 91 Work/café in Chile, serving our clients and the community in their different formats.
• TSR of 35.8% in 2023, the highest among Chilean banks.
• First green bond of US$ 50 million to finance green mortgages.
• Recognized as the Best Bank in Chile in 2023 by The Banker and Euromoney.
• More than US$450 million committed to invest in infrastructure and technology between 2023 and 2026.

Loan growth led by retail banking
Retail banking loans grew 3.1% QoQ and 7.3% since December 31, 2022, driven by growth in mortgages. In recent periods, the origination of new mortgage loans has decreased due to high inflation and rates, however, in the second half of the year mortgage loans once again grew stronger than inflation, reaching a growth of 2.5% QoQ and 8.5% from December 31, 2022 in the way that clients adjust to market conditions.

Consumer loans increased 2.9% QoQ and 6.0% YTD. Between the end of 2019 and 2021 credit card loans decreased 7.0% as clients reduced large purchases such as travel and hotels which fuels credit card loans. At the same time many clients paid off credit card debt with the liquidity obtained from government transfers and pension fund withdrawals.