Santander raises interim cash dividend 39%

MADRID (Reuters) - Spain's Santander said on Tuesday its board had approved an interim cash dividend of 0.081 euros ($0.0856) per share against its 2023 results, up 39% from a year ago.

The cash dividend is equivalent to around 25% of the group's attributable profit in the first half of 2023, or 1.31 billion euros, the euro zone's No. 2 lender by market value said.

In February, Santander raised its dividend pay-out policy to 50% from a previous 40% of the group's profit, equally split into cash dividend payments and share buybacks.

The dividend was backed by an attributable profit of 5.24 billion euros in the first half and will be paid on Nov. 2. The last day to trade shares with a right to receive the interim dividend will be Oct. 31.

The board also agreed to implement a share repurchase programme equivalent to around 1.31 billion euros.

Terms of the share repurchase plan will be set out before it starts. Implementation of the remainder of the shareholder remuneration policy for 2023 is subject to regulatory approvals.

Santander's board also named Glenn Hutchins as vice chair and lead independent director, following the recommendation of the board's nomination committee.

Hutchins will replace Bruce Carnegie-Brown, who will retire in 2024 after more than nine years, as chair of the board remuneration committee effective on Oct. 1.

Carnegie-Brown will remain on that committee until the 2024 annual general meeting.

($1 = 0.9462 euros)

(Reporting by Jesús Aguado; Editing by David Latona and Richard Chang)