American Express Company Revenue Soars 9% on Strong Quarter

American Express Company reported second-quarter net income of $2.9 billion, a (4)% decrease from $3.0 billion in the prior year. Revenues net of interest expense reached a record $17.9 billion, marking a 9% increase year-over-year. Diluted earnings per common share (EPS) was $4.08, down 2% from $4.15 a year ago, but up 17% excluding a $0.66 gain from the sale of Accertify in the prior year. The company's revenue of $17.9 billion exceeded the analyst estimate of $17.702 billion, while its EPS of $4.08 also surpassed the analyst estimate of $3.86 for Q2 2025.

Performance Drivers

The growth in consolidated total revenues was primarily driven by increased Card Member spending, higher net interest income due to growth in revolving loan balances, and continued strong card fee growth. Card Member spending reached a quarterly high, up 7% over last year. Provisions for credit losses increased to $1.4 billion from $1.3 billion a year ago, reflecting a higher net reserve build and higher net write-offs driven by growth in Total loans and Card Member receivables.

Strategic Highlights and Outlook

The company noted strong demand for its premium products and best-in-class credit performance. American Express reaffirmed its full-year guidance for revenue growth of 8 to 10 percent and EPS of $15.00 to $15.50. Management expressed confidence in sustaining leadership in the premium space, particularly with the upcoming refresh of U.S. Consumer and Business Platinum Cards this fall. Strategic initiatives include the launch of the new Coinbase One Card on the American Express network.

Key business highlights for the quarter included the results of the 2025 Comprehensive Capital Analysis and Review, which demonstrated that American Express has the lowest projected credit card loss rate and highest projected Return on Assets under the Federal Reserve's stress test. The company also ranked #1 U.S. Credit Card Mobile App and #1 U.S. Credit Card Website Experience for Customer Satisfaction by J.D. Power, and #4 on the 2025 Best Companies to Work For® in the U.S. list by Great Place to Work®.