American Express (AXP) stock fell at the open, even as results beat across the board. But considering US households were hit over the head with $4 per gallon gas in the quarter, one could appreciate the resiliency of the card giant’s business.
“I think the impressive statistic … I would focus on is 18% growth in retail luxury spend, 12% growth in premium cabin on airlines, and global travel bookings being at a record high,” Amex CEO Stephen Squeri told Yahoo Finance moments after the company released earnings. “That tells you they [our cardholders] don’t care about gas prices.”
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Revenue increased 11% year over year to $18.91 billion (consensus estimate: $18.62 billion)
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Earnings per share were up 18% year over year to $4.28 (consensus estimate: $4.03)
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Billed business was up 10% year over year to $428 billion (consensus estimate: $420.57 billion)
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Spending by category:
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Retail was up 11%
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Luxury goods spending was up 18%
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Restaurant sales were up 9%
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Spending on premium airline cabins was up 12%
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Amex reiterated its 2026 sales outlook of +9% to +10% growth
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Its 2026 earnings per share outlook was $17.30 to $17.90 (consensus estimate: $17.57)
Amex raised the annual fee on its iconic Platinum card to $895 on Sept. 23, 2025, up $200. The company will likely feel that price benefit over the next few quarters.
Read more: Amex just revamped the Platinum Card — here’s how much you can get with this luxury travel card
When Yahoo Finance caught up with the high-energy Squeri, his comments suggested that consumers are more resilient right now than many economists believe (though not the record-setting, forward-looking stock market).
“Look, we’re not representative of the economy,” Squeri said. “From a [billings] growth perspective, it’s because the premium consumer is still spending. Are they immune? You know, our card members are rolling with it. They’re still spending in restaurants, they’re spending in lodging, they’re spending on travel.”
“I think one of the leading indicators here that they’re going to continue to spend is the advanced travel bookings,” he added. “They continue to book in advance. So only time will tell what will happen, but we feel really confident.”
Brian Sozzi is Yahoo Finance’s Executive Editor and a member of Yahoo Finance’s editorial leadership team. Follow Sozzi on X @BrianSozzi, Instagram, and LinkedIn. Tips on stories? Email brian.sozzi@yahoofinance.com.
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