We are talking about a temporary residence permit that lasts 1 year. After that, the first and second renewals last 2 years.
And at the time of applying for the third one, you will be able to get a long-term residence permit in Spain, with which you will be able to live in the country without renewing it for 5 years.
This will finally allow you to get Spanish citizenship; since every year you live in the country with this permit counts towards the total necessary for nationality.
If you are a Latin American citizen or from the Philipines, you will only need 2 years with the nonprofit visa to obtain citizenship.