New York, April 23, 2026, 17:56 (EDT)
- American Express posted first-quarter earnings per share of $4.28, beating the $4.02 expected by LSEG.
- Billed business climbed to $428 billion, as card-member spending—adjusted for FX—logged its fastest growth in three years.
- Despite topping expectations, the company left its 2026 revenue and profit outlook as is.
American Express Company topped analyst profit forecasts for the first quarter on Thursday, driven by a surge in spending from its wealthier cardholders—the quickest jump in three years. Shares dropped, though, as the company stuck with its full-year guidance and flagged new pressure on travel-related spending.
Timing’s key here. AmEx hits the tape early among card issuers, drawing much of its business from affluent users spending big on travel, entertainment, and high-end retail. Those numbers serve up a pointed—if limited—snapshot of upper-income U.S. consumers’ resilience, with rates, inflation, and fuel prices still sticking around.
The company, headquartered in New York, reported net income of $2.97 billion, up 15% from last year’s $2.58 billion. Diluted EPS jumped to $4.28, compared with $3.64 a year ago. Revenue net of interest expense was $18.91 billion, an 11% increase. Billed business — the total charged to AmEx cards — hit $428 billion; spending rose 9% on an FX-adjusted basis, which excludes currency fluctuations.
Stephen J. Squeri, Chairman and Chief Executive, described it as a “very strong start to the year,” emphasizing that credit performance “remained excellent.” American Express is sticking with its 2026 outlook—revenue growth between 9% and 10%, and earnings per share targeted at $17.30 to $17.90. The company is also putting more money into marketing and technology.
Revenue sources shuffled around a bit. Net card fees landed at $2.75 billion, up 18%. Discount revenue—AmEx’s cut from merchants—climbed 9% to $9.51 billion. Net interest income added 13%, reaching $4.69 billion.
“Very strong growth across the board,” Chief Financial Officer Christophe Le Caillec said to Reuters, highlighting an 11% bump in retail spending and an 18% jump in luxury retail. Credit trends? “We see no noise or concerns there,” he added. Reuters
Credit costs ticked higher, but nothing shifted the overall story. Provisions for credit losses climbed to $1.25 billion from $1.15 billion. The net write-off rate—principal-only—on consumer and small-business loans slipped to 2.0% from 2.1%. Delinquencies of 30 days or more stuck at 1.3%.
The lens on Visa and Mastercard stays fixed on card volumes and travel trends. AmEx, though, stands apart—its latest quarterly filing raises flags around merchant-fee and payment-network regulation for the broader sector, but if you drill into its own earnings tables, loan loss reserves and write-offs take on a much bigger role.
Still, the risks aren’t minor here. Le Caillec flagged “some movement and some noise” in airline volumes late in the quarter, pointing to a rise in refund requests as the Middle East conflict escalated. Despite that, airline spending managed to climb 8% for the quarter. On the expense side, costs jumped 11% to $13.9 billion, mainly coming from rewards, travel and lifestyle perks, and pricier operations. Reuters
Shares of American Express changed hands at $318.55 as of 5:40 p.m. EDT, slipping $14.42 from where they finished last session, market data showed. Even after topping earnings estimates, AXP still finished in the red.
AmEx is sticking with its strategy, leaning on sports tie-ups, airport lounge perks, business cards and new AI-powered shopping tools to attract and keep members. Speaking to American Banker, CEO Squeri promised the company would stand behind cardholders “left holding the bag” on eligible purchases made using AI agents. American Banker
So far, American Express has handed investors the spending and credit figures they were looking for. The challenge: can elevated spending levels continue to balance out pricier rewards, ongoing travel snags, and a market that was expecting more than just confirmed guidance?
