American Express

AXP Q1 2025 Earnings

Reported Apr 17, 2025 at 7:03 AM ET · SEC Source

Q1 25 EPS

$3.64

BEAT +4.80%

Est. $3.47

Q1 25 Revenue

$16.97B

BEAT +0.23%

Est. $16.93B

vs S&P Since Q1 25

-9.3%

TRAILING MARKET

AXP +27.6% vs S&P +36.9%

Market Reaction

Did AXP Beat Earnings? Q1 2025 Results

American Express opened 2025 on firm footing, posting first-quarter earnings per share of $3.64, ahead of the $3.47 consensus estimate by 4.80%, as its affluent cardholder base continued spending freely on travel, dining, and everyday essentials. Rev… Read more American Express opened 2025 on firm footing, posting first-quarter earnings per share of $3.64, ahead of the $3.47 consensus estimate by 4.80%, as its affluent cardholder base continued spending freely on travel, dining, and everyday essentials. Revenue came in at $16.97 billion, edging past estimates by 0.23%, though the figure reflected a 4.7% decline year-over-year amid tough prior-period comparisons. The clearest engine behind the beat was a powerful combination of surging card fee income, up 18% to $2.33 billion, and net interest income rising 11% to $4.17 billion on growing revolving balances, which together offset higher customer engagement costs. Credit quality held steady, with the net write-off rate flat at 2.1% and provisions falling 9% to $1.15 billion, reinforcing confidence in the premium customer strategy. Notably, Gen Z and millennial cardholders, who accounted for 60% of new card acquisitions, are showing stronger spending growth than older cohorts, a dynamic management cited as a durable tailwind. American Express reaffirmed its full-year 2025 guidance for revenue growth of 8% to 10% and EPS of $15.00 to $15.50, though it added a caveat around the broader macroeconomic environment.

Key Takeaways

  • Higher net interest income supported by growth in revolving loan balances (net interest income up 11% YoY)
  • Increased Card Member spending with billed business up 6% YoY to $387.4 billion
  • Strong card fee growth with net card fees up 18% to $2.333 billion
  • Average fee per card increased 13% to $111
  • Proprietary cards-in-force grew 4% to 84.6 million
  • Card Member loans grew 10% YoY to $139.2 billion
  • Credit performance remained stable with net write-off rate flat at 2.1%
  • Modest net reserve release compared to net reserve build a year ago
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AXP YoY Financials

Q1 2025 vs Q1 2024, source: SEC Filings

24/7 Wall St

AXP Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q3 25

“We delivered strong results during the first quarter, reflecting the power of our premium customer base. FX-adjusted revenue increased 8 percent year-over-year, or 9 percent excluding the leap year impact, to $17.0 billion. Total Card Member spending continued to grow at a solid pace, up 6 percent, or 7 percent excluding the leap year impact.”

— Stephen J. Squeri, Q1 2025 Earnings Press Release