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As advanced previously, this new strategic plan revolves around three main pillars: transforming the production model and the balance sheet; achieving double-digit profitability, and consolidating the bases for a future entry into new international markets, while simultaneously optimising the branch network.

It is aimed to achieve these ambitious objectives fundamentally through intensive exploitation of the bank’s new commercial base, which has increased substantially in recent years, partly due to organic growth and partly due to the various corporate takeovers, as well as by exploiting to the full Banco Sabadell’s privileged position in the mobile banking and online banking sector. These are two key competitive differentials in an environment where a growing number of customers can now be considered as 100% digital.

1 billion euros in profits in 2016

The Triple Strategic Plan 2014-2016 forecasts that in 2016, Banco Sabadell will achieve a net profit of 1 billion euros, thanks to a profitability margin of 12%. The Plan also envisages a slight increase in credit with an average of 1% growth over the same period. Over the next three years, the Bank aims to attract 10 billion euros in deposits (+4%) and increase by 8 billion (+10%) its off-balance-sheet portfolios, as well as reduce by 10 billion euros its portfolio of bad debts (from 24.4 to 14.4) and by 5 billion its problem real estate assets.

Increased employee productivity and a new phase in the bank’s internationalisation process

The Triple Plan 2014-2016 also includes the target of increasing employee productivity by 50% in three years – without increasing resources and while maintaining quality levels – thanks to the implementation of a new commercial model.

Meanwhile, Banco Sabadell will also lay the foundations for a new phase in its internationalisation, setting up an organisational restructuring process that will allow it to manage this new phase much more efficiently. In the short term, its entry into new markets is already planned, an immediate objective being the Mexico Project, which has already taken its first steps, and should result in the obtaining of a banking licence and the setting up of a subsidiary bank that can operate in the Mexican market.

The Madrid Plan, an example of the new online business model

Furthermore, and within the development of the Triple Plan, the Bank has already launched its so-called Madrid Plan, setting itself a target of 50% growth in Madrid and its autonomous community, based primarily on an innovative and aggressive distance banking model that includes the specialisation of various bank branches and financial managers capable of concluding the majority of banking operations “100% online”.