American Express Announces Q1 Profit Increase

American Express declared a 6% increase in its first-quarter earnings on Thursday, showcasing the resilience of its clientele who sustained their expenditure despite apprehensions regarding a potential economic downturn.

The company’s stock, headquartered in New York, experienced a surge of 4.1%, reaching $263.34 in premarket trading.

The credit card institution’s earnings reached $2.58 billion, translating to $3.64 per share, for the initial three-month period concluding on March 31. This is compared to the previous year’s figures of $2.44 billion, or $3.33 per share.

Although concerns arose from the tariff-related statements made by U.S. President Donald Trump during the quarter, the actual repercussions remained minimal, as the comprehensive details of the significant tariffs were only revealed earlier this month.

AmEx’s consistent emphasis on serving affluent individuals may have provided some insulation against these broader economic concerns. The company has long employed rewards programs and special privileges to draw in customers with substantial purchasing power.

CEO Stephen Squeri commented, “Our results in crucial domains, such as cardholder spending, customer loyalty, interest in our upscale offerings, and creditworthiness, have remained robust throughout our customer base, aligning with and often surpassing our performance in 2024.”

The provisions established for credit losses amounted to $1.2 billion during the quarter, contrasting with the $1.3 billion recorded in the previous year.

Squeri stated that the firm has observed consistent spending and credit patterns thus far, enabling AmEx to uphold its projections for the entirety of the year.

The corporation had previously indicated its anticipation of an 8% to 10% revenue growth in 2025, with projected profits ranging between $15 and $15.50 per share.

Since the unveiling of the tariffs on April 2, which Trump has hailed as “Liberation Day,” the company’s shares have decreased by 8%.