American Express Company (AXP) Q3 2024 earnings summary

Executive summary

• Q3 2024 delivered record revenues of $16.6 billion, up 8% year-over-year, and EPS of $3.49, marking the 10th consecutive quarter of record revenues.

• Net income for Q3 2024 was $2.51 billion, up 2% year-over-year, driven by stable billings growth, strong new card acquisitions, and excellent credit performance.

• Full-year 2024 EPS guidance was raised to $13.75–$14.05, reflecting 23–25% year-over-year growth.

• Product refresh strategy and premium card growth drove strong card fee revenue and high engagement, especially among Millennials and Gen Z.

• Continued investments in dining capabilities and technology, including acquisitions of Tock and Rooam, to differentiate offerings and drive growth.

Financial highlights

• Total revenues net of interest expense reached $16.6 billion, up 8% year-over-year; net income was $2.51 billion, and diluted EPS was $3.49, up 6%.

• Net card fees increased 18% year-over-year, with 3.3 million new cards acquired in Q3.

• Net interest income grew 17% year-over-year, driven by higher revolving loan balances and net yield.

• Billed business grew 6% FX-adjusted, led by 13% growth in International Card Services and 6% in U.S. Consumer Services.

• Total expenses rose 9% year-over-year to $12.1 billion, with card member rewards up 10% and marketing up 19%.

Outlook and guidance

• Full-year 2024 EPS guidance raised to $13.75–$14.05, including $0.66 from the Accertify gain.

• Full-year revenue growth expected around 9%, within initial guidance.

• Management remains confident in the business model and committed to sustainable, profitable long-term growth.