American Express Co.: Q3 FY2025 earnings call

What management said about Q3 FY2025, from the documents filed with the SEC on 17 October 2025: press release. Guidance figures: 2 raised. The quarter’s numbers.

Read the filing

Key takeaways

• Revenue rose 11% to $18.4 billion: Total revenues net of interest expense were $18.4 billion, up 11 percent. Growth came from Card Member spending, higher net interest income on revolving balances and card fees. Source
• Net income and diluted EPS rose: Net income was $2.9 billion, up from $2.5 billion a year ago. Diluted EPS was $4.14, up from $3.49. Source
• Card spend growth accelerated: Billed business rose 9 percent to $421.0 billion, or 8 percent on an FX-adjusted basis, compared with 7 percent growth in the second quarter. Source
• Platinum account acquisitions doubled: Management said initial demand and engagement for the refreshed U.S. Platinum cards exceeded its expectations, with new account acquisitions doubling from pre-refresh levels. Source
• Expenses rose 10% to $13.3 billion: Consolidated expenses were $13.3 billion, up 10 percent, driven by higher variable customer engagement costs and higher operating expenses. Source
• Effective tax rate rose to 24.1%: The effective tax rate was 24.1 percent against 21.8 percent a year ago, reflecting tax law changes across jurisdictions. Source
• Provisions fell to $1.3 billion: Provisions for credit losses were $1.3 billion, against $1.4 billion a year ago. The lower reserve build was partly offset by higher net write-offs. Source

“The initial customer demand and engagement exceeded our expectations, with new U.S. Platinum account acquisitions doubling compared to pre-refresh levels.”

Stephen J. Squeri, Chairman and Chief Executive Officer

Guidance

What changed from last quarter

• Guidance raised: Full-year 2025 revenue growth guidance raised to 9% to 10% from 8% to 10%; EPS guidance raised to $15.20 to $15.50 from $15.00 to $15.50. Source
• New: U.S. Consumer and Business Platinum Cards refresh launched; the refresh had been described in July as due this fall. Source
• New: An all-in-one Amex Travel App and digital tools for U.S. Card Members were launched to simplify the premium travel experience. Source
• New: Multi-year partnership with Toast to support personalized hospitality experiences across the Resy, Tock and Toast restaurant networks. Source
• New: Amex Ads, a new digital advertising platform for brands to connect with American Express Card Members, was introduced. Source

Results and growth drivers

• Revenue rose 11% to $18.4 billion: Total revenues net of interest expense were $18.4 billion, up 11 percent. Growth came from Card Member spending, higher net interest income on revolving balances and card fees. Source
• Net income and diluted EPS rose: Net income was $2.9 billion, up from $2.5 billion a year ago. Diluted EPS was $4.14, up from $3.49. Source
• Nine-month EPS rose 8%: For the nine months, diluted EPS was $11.85, up 8 percent from $10.97. Excluding the 2024 Accertify gain, EPS rose 15 percent. Source

Spending and billed business

• Card spend growth accelerated: Billed business rose 9 percent to $421.0 billion, or 8 percent on an FX-adjusted basis, compared with 7 percent growth in the second quarter. Source
• Second-quarter spending was $416.3 billion: In the second quarter, billed business was $416.3 billion, up 7 percent reported and FX-adjusted.
• Nine-month billed business up 7%: Billed business for the nine months was $1,224.7 billion, up 7 percent reported and on an FX-adjusted basis. Source
• FX-adjusted revenue growth matched reported: FX-adjusted revenues also rose 11 percent in the quarter, the same as reported growth. Source

“Looking ahead, we are confident in our growth prospects as we continue to execute our proven product refresh strategy”

Stephen J. Squeri, Chairman and Chief Executive Officer

Products and customers

• Platinum account acquisitions doubled: Management said initial demand and engagement for the refreshed U.S. Platinum cards exceeded its expectations, with new account acquisitions doubling from pre-refresh levels. Source
• Merchant acceptance reached 160 million: American Express Cards are accepted at an estimated 160 million merchant locations worldwide, and Amex-accepting locations have risen nearly five times since 2017. Source
• Top issuer ranking from J.D. Power: American Express was ranked number one issuer and number one in the Rewards, Annual Fee category in the J.D. Power 2025 U.S. Credit Card Satisfaction Study. Source

Costs, engagement spend and tax

• Expenses rose 10% to $13.3 billion: Consolidated expenses were $13.3 billion, up 10 percent, driven by higher variable customer engagement costs and higher operating expenses. Source
• Engagement costs rose with spending: Variable customer engagement costs rose on higher Card Member spending and greater use of travel- and lifestyle-related benefits, alongside higher operating expenses. Source
• Effective tax rate rose to 24.1%: The effective tax rate was 24.1 percent against 21.8 percent a year ago, reflecting tax law changes across jurisdictions. Source

“Card Member spend growth accelerated to 8 percent on an FX-adjusted basis, and our credit metrics remained best-in-class.”

Stephen J. Squeri, Chairman and Chief Executive Officer

Credit and provisions

• Provisions fell to $1.3 billion: Provisions for credit losses were $1.3 billion, against $1.4 billion a year ago. The lower reserve build was partly offset by higher net write-offs. Source
• Third-quarter write-off rate flat at 1.9%: The net write-off rate was 1.9 percent, flat year over year. Source
• Second-quarter write-off rate eased: The second-quarter net write-off rate was 2.0 percent, down from 2.1 percent a year earlier. Second-quarter provisions were $1.4 billion.

Capital and returns to shareholders

• Diluted share count fell 2%: Average diluted common shares were 693 million, down 2 percent from 709 million a year ago. The nine-month average was 698 million, down 3 percent. Source
• Preferred dividends slightly lower: Dividends on preferred shares were $14 million in the quarter, against $15 million a year ago. Source
• Participating share awards reduced EPS: Earnings allocated to participating share awards were $20 million, against $18 million a year ago, which reduced diluted EPS. Source

Figures management reported

Earlier plans management reported on

• Not stated: The Platinum Card refresh, described in July as due this fall, has launched. Source

Other quarters

• Q2 FY2026 earnings call
• Q1 FY2026 earnings call
• Q4 FY2025 earnings call
• Q2 FY2025 results

Summarised with AI from the documents the company filed with the SEC. Every point is checked against the filing before it is shown: management’s own words word for word, figures against the line or table row they come from. A point that fails the check is left out. Source opens the filing at that line.