American Express Company (AXP) 25th Annual Scotiabank Financials Summit 2024 summary

Executive background and business overview

• Anna Marrs joined in 2018 after leadership roles at Standard Chartered and McKinsey, now leading a $14.8B revenue business segment.

• Commercial Services represents 25% of revenue, with a focus on global leadership and growth opportunities.

• The company’s growth plan was energized by a new CEO, emphasizing transformation and expansion.

Macro environment and commercial segment performance

• Billings growth remains stable despite a mixed macro environment, with expectations for continued variability.

• U.S. SME billings grew 2% in Q2, with strong customer acquisition and retention, and best-in-class credit performance.

• Global corporate T&E spend has recovered, with industry-specific differences post-pandemic.

• International commercial and SME billings grew 14% in Q2, with significant runway for growth outside the U.S.

Regional focus and investment

• Canadian market share is about 4%, with a focus on premium segments and expanding merchant acceptance.

• Over 111,000 new Canadian merchants were added in 2023, with ongoing investments in brand and product features.