American Express Q3 Profit Surpasses Expectations Amid Increased Card Spending

The credit card company raises its annual earnings outlook as affluent cardholders continue to drive growth despite economic uncertainties.

American Express reported a third-quarter profit of $2.51 billion, or $3.49 per share, exceeding analysts' expectations of $3.28 per share.
Total revenue for the quarter reached $16.64 billion, marking an 8% increase year-over-year, though slightly below the consensus estimate of $16.67 billion.
Card member spending rose by 6% to $387.3 billion, with significant contributions from millennial and Gen Z consumers.
The company increased its full-year earnings outlook to a range of $13.75 to $14.05 per share, up from the previous forecast of $13.30 to $13.80 per share.
Despite strong performance, American Express stock fell 2.5% in premarket trading, as some analysts remain cautious due to inflation and high interest rates.