Santander, the largest and most acquisitive Spanish bank, reported solid third-quarter results on Tuesday but grudgingly accepted the need to rebuild its core capital following the state-financed recapitalisation of US and European rivals.

Standing by the bank’s full-year net profit target of €10bn ($13bn) Alfredo Saenz, chief executive, used words rarely heard among bankers these days – “demonstration of strength”, “extremely good” and “optimistic”.