Sabadell Strategic Business Plan 1

Banco Sabadell faces an exciting opportunity in the next few years: the opportunity to solidify itself as one of the largest national banks, with offices in other attractive international markets. Our opportunity –and our challenge– is to consolidate Banco Sabadell as a bank with a differential value proposition for its customers, which knows how to take advantage of the opportunities offered by technology in the digital age. An organisation that has an engaged team that makes a difference in the relationships with its customers. A company that offers its employees attractive opportunities to advance their careers. A sound bank that offers an interesting return for its shareholders. In short, a bank with a consolidated and long-term project to generate value for customers, employees, shareholders and society in general.

In this landscape, Banco Sabadell has defined its Sabadell 2020 strategic business plan, setting its priority objectives around five pillars: Profitability, Brand and Customer Experience, Transformation, People, and the United Kingdom and Mexico.

The plan’s overarching aim is to achieve profitability levels that ensure value creation for our shareholders, keeping our commitment to society, customers and employees. The improvement in profitability will be driven, firstly, by the growth of the business in the different markets in which we operate, whilst maintaining discipline when ensuring the profitability of this growth. Secondly, the improvement in profitability will arise from an improvement in our efficiency levels, leveraging the company in rigorous cost management. Finally, the normalisation of the volume of non-performing assets will be the third factor that contributes to profitability improvement.

At Banco Sabadell, we have established the brand and customer experience as two of our key differentiation elements. Our brand is a reflection of the way we are and how we behave, and in this strategic business plan, we want to continue building a brand that is differential, renowned, relevant and genuine. In addition, we will continue to focus on ensuring consistency between the brand promise and its delivery to customers, which materialises in the form of an outstanding customer experience.

The evolution of technology offers us multiple opportunities to improve our competitiveness and, throughout the strategic business plan, we will take an important step forward in this direction. We are speeding up the development of new capabilities and digital businesses to transform our customer value proposition to make it more attractive, and we are also increasing the use of technology to improve efficiency and productivity of our operating model.

We are convinced that our people are one of the key levers of differentiation. Therefore, one of our first objectives is to continue to have an engaged team that has the necessary skills. To achieve this, we will focus on being an attractive organisation to attract and retain talent. In addition, we want to improve our employees’ satisfaction and envision Sabadell as the best company for our employees to advance their careers.

The United Kingdom and Mexico are two attractive markets that complement the Spanish one well, in which Banco Sabadell expects to play a key role. We are going to develop our business in these markets, growing our current businesses and entering new segments, with business models that enable us to increase the value of our franchises.