Core Viewpoint - American Express is proactively betting on continued consumer spending despite economic uncertainties, showcasing resilience in its customer base and strong financial performance [1][2]. Financial Performance - American Express reported record revenue of $17.9 billion, a 9% increase year-over-year, driven by fee income from premium cards and higher net interest revenue [5]. - Net income decreased by 4% to $2.9 billion as the company invested in technology and risk management systems [5]. - Cardmember spending reached a quarterly record, up 7% from the previous year, excluding currency fluctuations [7]. Consumer Behavior - Spending on discretionary categories like airlines and lodging was softer, while purchases in restaurants and everyday goods remained stable [3]. - Millennials and GenZ cardholders increased their spending by 10% and nearly 40%, respectively, indicating a shift towards premium annual-fee products [7]. Risk Factors - The company is monitoring potential impacts from announced or future tariff increases, which could affect cardmember confidence and lead to higher everyday prices [4]. - Despite no significant impact in Q2 results, there is caution regarding how rising import costs may affect small business customers [4]. Strategic Initiatives - American Express is set to refresh its Platinum card this fall, enhancing travel and lifestyle benefits while adjusting fees only at renewal [8]. - The company has partnered with Coinbase to launch a new CoinbaseOne card, allowing rewards in digital assets and positioning itself in the crypto space [8]. International Growth - The company continues to experience double-digit growth outside the United States, with management noting millions of new merchant locations and higher premium annual fees compared to domestic offerings [9].

Core Insights - American Express Company (AXP) reported Q2 2025 earnings per share (EPS) of $4.08, exceeding the Zacks Consensus Estimate by 5.7% and reflecting a 17% year-over-year increase [1][9] - Total revenues net of interest expense reached $17.9 billion, surpassing the Zacks Consensus Estimate by 1% and showing a 9% year-over-year growth [1][9] Financial Performance - The strong Q2 results were driven by increased Card Member spending and a premium customer base, alongside rising revolving loan balances and robust card fee growth [2] - Network volumes amounted to $472 billion, a 7% year-over-year increase, beating the Zacks Consensus Estimate by 1.3% [3] - Total interest income rose to $6.3 billion, an 8% year-over-year increase, also exceeding the consensus mark by 0.4% [3] - Provision for credit losses increased by 11% year over year to $1.4 billion due to higher net write-offs and net reserve build [3] Expense Analysis - Total expenses grew by 14% year over year to $12.9 billion, driven by higher operating expenses and elevated customer engagement costs [4][9] Segment Performance - U.S. Consumer Services segment pre-tax income was $1.7 billion, a 7% year-over-year increase, but fell short of the Zacks Consensus Estimate by 4.7% [4] - Commercial Services segment pre-tax income was $905 million, consistent with the prior year but below the consensus estimate [5] - International Card Services segment pre-tax income surged 60% year over year to $465 million, exceeding the consensus mark [6] - Global Merchant and Network Services segment pre-tax net income decreased by 31% year over year to $1.1 billion, yet still beat the Zacks Consensus Estimate [7] Balance Sheet Overview - As of June 30, 2025, cash and cash equivalents stood at $57.9 billion, up from $40.6 billion at the end of 2024 [8] - Total assets increased to $295.6 billion from $271.5 billion at the end of 2024 [8] - Long-term debt rose to $58.2 billion from $49.7 billion at the end of 2024 [10] - Shareholders' equity improved to $32.3 billion from $30.3 billion at the end of 2024 [10] Capital Deployment - In Q2 2025, American Express repurchased 5 million common shares for $1.4 billion and paid $600 million in dividends, with a per-share dividend of 82 cents [11] 2025 Outlook - The company anticipates revenue growth of 8% to 10% in 2025 from the 2024 level of $65.9 billion, with EPS expected in the range of $15-$15.50, indicating an 8.9% improvement from 2024 [12]

Core Insights - American Express has maintained a strong focus on affluent customers, benefiting from their appreciation for travel and dining perks, which has helped the company remain resilient amid concerns of a spending slowdown [1] - Total spending on Amex cards increased by 7% in the second quarter, matching the first quarter and surpassing the 6% increase from the previous year [1] Spending Trends - Travel spending showed weakness compared to goods and services transactions, particularly due to stagnant airline spending, which remained flat year-over-year [2] - The decline in economy class domestic airfare, which fell by 3.5% in June compared to the previous year, indicates that consumers are spending less on tickets despite overall inflation rising [3] Financial Performance - American Express reported second-quarter profit and revenue that exceeded expectations and reaffirmed its 2025 guidance for these metrics [3] - Despite positive financial results, shares of American Express fell by 2.7% during midday trading, with year-to-date share growth at less than 4%, lagging behind other financial institutions like JPMorgan Chase and Citigroup [3] Competitive Landscape - Increased competition in the premium card market from companies such as JPMorgan, Capital One, and Citigroup poses challenges for American Express, particularly as it launches a refreshed Platinum card [4] - Concerns have been raised regarding the company's spending on rewards programs, as it may need to invest more heavily to achieve growth [4]

American Express on Friday reported better second-quarter revenue and profits than analysts had expected. https://t.co/8eXSHeQS5W ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended June 30, 2025 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Transition Period from ____ to ____ Commission file number 1-7657 AMERICAN EXPRESS COMPANY (Exact name of registrant as specified in its charter) | New York | | 13-4922250 | | ...

We are getting a market flash on American Express. For that, we'll turn to Hugh Son. Just talked to the CFO.Morning, Hugh. >> That's right, Carl. So, AMX CEO Christoff Layak telling me that their customers have been quote amazingly resilient in the second quarter.Now, as a reminder, the company topped estimates for profit and revenue on a 20% jump in card fees. So, it's been no secret that affluent Americans haven't slowed down their spending, and that remains the case. There are, however, interesting trend ...

Market Overview - Pre-market futures show positive movement with the Dow up +0.12%, S&P 500 +0.09%, Nasdaq +0.16%, and Russell 2000 leading at +0.52% [1] Bond Market - Bond yields remain stable with the 10-year yield at +4.44%, a slight increase of 3 basis points from last Friday, while the 2-year yield is at +3.88% and the 30-year yield at +5.00% [2] Housing Market - Housing Starts for June are reported at 1.32 million, slightly above projections, but still historically low compared to multi-year highs of 500K more in April 2022 [3] - Building Permits increased to 1.397 million from 1.394 million in May, but remain low compared to nearly 2 million in January 2022, prior to interest rate hikes [4] Company Earnings - 3M reported Q2 earnings of $2.16 per share, exceeding expectations of $2.01, with revenues of $6.2 billion, raising full-year 2025 earnings guidance to $7.75-8.00 per share [5] - American Express surpassed Q2 expectations with earnings of $4.08 per share and revenues of $17.9 billion, reflecting a year-over-year growth of +9% [6] - Charles Schwab's Q2 report showed earnings of $1.14 per share and revenues of $5.85 billion, both exceeding consensus estimates, with shares up +5% in pre-market trading [7] Economic Indicators - A preliminary print on Consumer Sentiment for July is expected to improve to 61.8 from 60.7, aligning with a healthier economic outlook as fears of tariffs impacting the economy have lessened [8]

American Express (AXP) came out with quarterly earnings of $4.08 per share, beating the Zacks Consensus Estimate of $3.86 per share. This compares to earnings of $3.49 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of +5.70%. A quarter ago, it was expected that this credit card issuer and global payments company would post earnings of $3.45 per share when it actually produced earnings of $3.64, delivering a surprise of +5.51%.Ov ...

Market Overview - Pre-market futures are up with the Dow at +0.12%, S&P 500 at +0.09%, Nasdaq at +0.16%, and Russell 2000 leading at +0.52% [1] Bond Market - Bond yields have remained steady; the 10-year yield is at +4.44%, up 3 basis points from last week, the 2-year yield is at +3.88%, and the 30-year yield is at +5.00% [2] Housing Market - Housing Starts for June are at 1.32 million, slightly above projections, but still historically low, up from 1.256 million the previous month [3] - Building Permits increased to 1.397 million from 1.394 million in May, remaining at low levels compared to January 2022 when permits were close to 2 million [4] Q2 Earnings Reports - 3M reported Q2 earnings of $2.16 per share, beating expectations of $2.01, with revenues of $6.2 billion exceeding forecasts [5] - American Express reported Q2 earnings of $4.08 per share, surpassing the expected $3.86, with revenues of $17.9 billion, reflecting a year-over-year growth of +9% [6] - Charles Schwab's Q2 earnings were $1.14 per share on revenues of $5.85 billion, both exceeding consensus estimates, with shares up +5% in pre-market trading [7] Consumer Sentiment - A preliminary print on Consumer Sentiment for July is expected to improve to 61.8 from 60.7, indicating a healthier economic environment [7]

Core Insights - American Express reported $17.86 billion in revenue for Q2 2025, a year-over-year increase of 9.3% and a surprise of +0.95% over the Zacks Consensus Estimate of $17.69 billion [1] - The EPS for the same period was $4.08, compared to $3.49 a year ago, with an EPS surprise of +5.7% over the consensus estimate of $3.86 [1] Financial Performance Metrics - Book value per common share was $44.16, slightly below the estimated $44.84 [4] - Risk-Based Capital Ratios - Basel III - Common Equity Tier 1/Risk Weighted Assets stood at 10.6%, slightly above the estimated 10.5% [4] - Total Card Member loans amounted to $142.28 billion, compared to the average estimate of $143.69 billion [4] - Total non-interest revenues reached $13.67 billion, exceeding the estimated $13.4 billion [4] Market Performance - Shares of American Express returned +6.4% over the past month, outperforming the Zacks S&P 500 composite's +5.4% change [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market [3]