AmEx profits surge 13% as affluent customers splurge on luxury goods and travel

5 days ago 3

KEN SWEET

Fri, January 30, 2026 astatine 9:47 AM CST 1 min read

NEW YORK (AP) — American Express saw its profits turn 13% successful the 4th quarter, arsenic the recognition paper elephantine continues to payment from its well-to-do clientele spending heavy connected their cards connected everything from luxury goods to restaurants to travel.

The New York-based institution said Friday it earned a nett of $2.46 billion, oregon $3.53 a share, compared to a nett of $2.17 billion, oregon $3.04 a share, successful the aforesaid play a twelvemonth earlier. The net were astir successful enactment with analysts' forecasts, according to FactSet.

As it has been for respective quarters, AmEx continues to get its cardmembers to walk heavy connected their cards with perks and rewards. The institution did a refresh of the Platinum Card successful September, adding benefits similar a $400 yearly eating recognition but astatine the aforesaid clip expanding the yearly interest to $895.

AmEx customers spent $506.2 cardinal connected their cards successful the 4th quarter, up from $464 cardinal successful the aforesaid play a twelvemonth ago. That brakes down to $6,696 per paper member. Cardmembers are besides keeping a equilibrium arsenic well. AmEx present has $213 cardinal successful recognition paper loans connected its books, compared to $199.1 cardinal a twelvemonth earlier.

But contempt the higher fee, the institution continues to adhd customers, peculiarly younger ones. For the archetypal clip successful institution history, Gen-Z and Millennials are collectively spending much connected their AmEx cards than Gen-X, historically the company's biggest spending cohort, said Chief Financial Officer Christophe Le Caillec.

AmEx gave a forecast for 2026, expecting net per stock of $17.30 to $17.90. The institution besides plans to summation the quarterly dividend from 82 cents a stock to 95 cents a share.