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American Express posts Q2 profit of $4.53 a share, topping estimates

American Express posts Q2 profit of $4.53 a share, topping estimates

Affluent cardholders kept spending on travel and dining, helping lift revenue 10% and prompting American Express to raise its full-year revenue growth forecast.

Fact Check
The Reuters article confirms every element of the claim: Q2 diluted EPS of $4.53 (topping the $4.40 estimate), revenue up 10% to $19.6B, travel and entertainment spending up 10% by affluent cardholders, and a raised 2026 revenue growth forecast. Barron's independently confirms $4.53 a share beating expectations of $4.40 and revenue rising 10% to $19.64 billion. The Associated Press (via clickorlando) confirms the profit rise to $4.53 topping forecasts. Multiple independent primary sources agree.
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Summary

American Express reported stronger second-quarter sales and profit as its affluent customers continued spending on travel and dining despite economic uncertainty. Revenue rose 10% to $19.6 billion, billed business increased 9% to $455.8 billion on a foreign exchange-adjusted basis, and profit for the quarter ended June 30 rose to $3.11 billion, or $4.53 a share, from $2.89 billion, or $4.08 a share, a year earlier. Analysts expected earnings of $4.40 a share. The company also raised its full-year revenue growth forecast to 10%, while consolidated provisions for credit losses fell to $1.1 billion from $1.4 billion a year earlier.

Terms & Concepts
  • billed business: A measure of total spending on a company's cards over a given period.
  • provisions for credit losses: Money a lender sets aside to cover loans it expects may not be repaid.