American Express Raises Profit Outlook on Increased Member Spending
By Kelly Cloonan
American Express boosted its profit outlook for the year as its customers continue to spend more.
The credit-card company said Friday it now forecasts earnings per share of $18.30 to $18.60 for the full year, up from $17.30 to $17.90 previously. It expects adjusted earnings per share of $17.60 to $17.90, which excludes a boost from the sale of its equity investment in Global Business Travel Group, net of a restructuring charge.
The company said it remains on track for sales growth of 10% this year.
The updated guidance came as American Express posted higher profit and revenue in the latest quarter. Chief Executive Stephen Squeri pointed to strength in billings, new acquisitions and card-member retention, as well as excellent credit quality.
Third-quarter profit was $3.71 billion, or $5.42 a share, compared with $2.9 billion, or $4.14 a share, a year earlier.
Adjusted earnings per share were $4.68, compared with analyst estimates of $4.48, according to FactSet.
Revenue net of interest expense rose 9% to $20.06 billion. Analysts forecast revenue of $20.12 billion.
The increase in sales was primarily due to higher card-member spending, higher net interest income on growth in card balances, card fee growth, the company said.
Write to Kelly Cloonan at kelly.cloonan@wsj.com
(END) Dow Jones Newswires
October 23, 2026 07:30 ET (11:30 GMT)
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