Amex downplays shutdown impact

Core Insights - American Express (Amex) reported significant increases in spending across key sectors, with a 14% year-over-year rise in front cabin airline ticket purchases and a 9% increase in restaurant spending in the third quarter [3] - Despite economic uncertainties, Amex's affluent customer base appears resilient, insulating the company from broader economic challenges [4][7] - Amex exceeded Wall Street expectations in various categories, reporting $421 million in card member spending, a 9% increase compared to the same quarter in 2024 [5] Financial Performance - Amex achieved a net income of $2.9 billion for the quarter, marking a 16% increase over the same quarter in 2024 [6] - Total revenue for the quarter reached $18.43 billion, reflecting an 11% increase compared to the year-ago quarter [6] Strategic Initiatives - The company is encouraging corporate clients to utilize their business cards more frequently for expenses, as a proactive measure against potential economic downturns [6] - Analysts from Jefferies noted that the momentum in Amex's performance was supported by better-than-expected spending volume [5]