American Express Company (AXP)

American Express reported record third-quarter 2026 revenue net of interest expense of $20.1 billion on 23 October, up 9 percent from a year earlier 1. Net income was $3.7 billion against $2.9 billion a year ago, and earnings per share were $5.42 1.

A $982 million gain on selling its stake in Global Business Travel Group lifted that profit 2. The company sold its approximately 30 percent interest and used part of the gain for a $336 million restructuring charge tied to efficiency work 2.

The company told investors it plans to cut its workforce by 5 percent, or about 3,500 employees, which the Associated Press called its first major job cuts in roughly a decade 6. Chief executive Stephen Squeri said the layoffs were about efficiency, not a downturn in business 6.

Squeri said in the results release that the company is raising its full-year earnings per share guidance to between $18.30 and $18.60 1. He also said it is on track to deliver another year of 10 percent revenue growth 1.

On 8 October 2026 the Federal Reserve and the Office of the Comptroller of the Currency issued consent orders over the company's financial crimes compliance program 2. The bank agreed to a $350 million civil money penalty, a portion of which the company had already reserved for 2.

The company expects growth in what it pays for rewards, benefits and partners to moderate next quarter, because the Platinum Card refresh will then be in both periods' results 2. Whether cost discipline and the new compliance work hold that line is the open question 2.

American Express was founded in 1850 as a joint stock association and incorporated in 1965 as a New York corporation 3. It issues cards, signs merchants to accept them and runs the card network, all under one roof 3.

In 1995 the company signed an agreement with Berkshire Hathaway designed to keep Berkshire's investment passive 5. Those commitments remain in effect while Berkshire owns 10 percent or more of the voting securities 5.

In the year before 2025 the company's earnings included a $0.66 per share gain from selling Accertify 3. In 2025 net income was $10.8 billion, or $15.38 per share, against $10.1 billion, or $14.01 per share, a year earlier 3.

Revenue net of interest expense reached an all-time high of $72.2 billion in 2025, up 10 percent 5. Net card fees grew 18 percent to a record $10 billion 5.

Billed business, the spending on its cards, was $1,670 billion for 2025, and the company had 86.6 million proprietary cards in force worldwide at year end 3. The company said billed business grew 8 percent in 2025 3.

By segment, International Card Services billed business grew 14 percent, U.S. Consumer Services grew 8 percent and Commercial Services grew 3 percent 3. The company credited younger Millennial and Gen-Z Card Members for much of the consumer growth 3.

The company said net card fees rose 18 percent on high levels of new card acquisitions on fee-paying products, strong Card Member retention and its ongoing cycle of product refreshes 3. Rewards and service costs grew faster than revenues as the card mix moved toward premium products 3.

In September 2025 the company refreshed its Platinum Card, raising the annual fee from $695 to $895 and adding statement credits and travel and lifestyle perks 9. The Points Guy called it the card's first fee increase in four years and its biggest refresh since 2021, when the fee rose from $550 to $695 9.

The Associated Press reported in October 2026 that nearly all customers moved to the higher-fee card decided to keep it 6. That retention is why net card fees kept rising 6.

In 2025 it acquired Center, an expense management software company, and launched the Amex Travel App 3. On 16 October 2025 the wind-down estate of Kabbage, a lender whose platform the company had acquired, sued to recover up to approximately $746 million 2.

On 12 January 2026 the company completed the acquisition of its partner's interest in its Swiss joint venture, Swisscard, which became wholly owned 2. On 25 February 2026 it announced a new headquarters of about 1.95 million square feet at 200 Greenwich Street 2.

On 4 May 2026 Global Business Travel Group agreed to a $6.3 billion acquisition by Long Lake, and American Express said it would part with its approximately 30 percent equity interest 8. That sale closed on 29 September 2026 2.

U.S. Consumer Services

U.S. Consumer Services issues proprietary consumer cards and provides travel, lifestyle, banking and dining-reservation services to U.S. consumers 2. Its third-quarter 2026 revenue net of interest expense was $9,840 million, up 11 percent, and pretax segment income was $2,295 million against $1,852 million 2.

Billed business grew 9 percent, which the company tied to spending by Millennial and Gen-Z Card Members, its largest and fastest-growing cohort 2. Average fee per card was $136, up 14 percent, and net card fees reached $2,969 million, up 16 percent 2.

The flagship Platinum Card carries an $895 annual fee 10. NerdWallet wrote that its lounge access is unparalleled and its credits can offer tremendous value, but only if used, otherwise the hefty fee is hard to justify 10.

Credit Karma, in a guide updated 2 October 2026, said that despite the higher $895 fee the updated card likely offers enough extra value to keep its appeal for those who liked it before 11. Its direct rivals in premium cards include Capital One and JPMorgan Chase, the Associated Press reported 6.

Commercial Services

Commercial Services issues corporate and small business cards and provides U.S. businesses with payment and expense management, banking and non-card financing 2. Its third-quarter 2026 revenue was $4,553 million, up 6 percent, while pretax segment income fell to $1,029 million from $1,090 million 2.

Billed business grew 3 percent, which reflected the exits from two small business cobrand portfolios that had been held for sale 2. In the quarter the company launched a new generation of Amex Corporate with integrated expense management software and a Business Savings account 1.

International Card Services

International Card Services issues proprietary consumer, small business and corporate cards outside the United States and manages certain international joint ventures and its loyalty coalition business 2. Third-quarter 2026 revenue was $3,682 million, up 10 percent, but pretax segment income slipped to $432 million from $441 million 2.

Billed business grew 11 percent, and the company calls it its fastest-growing segment 2.

Global Merchant and Network Services

Global Merchant and Network Services runs the payments network that processes and settles card transactions, signs merchants and licenses the American Express brand to third-party issuers 2. Network volumes were $517.9 billion in the third quarter, up 8 percent 2.

The annual report names Coinbase and Credit Saison as examples of cards offered on the network by other institutions 3. Card acceptance reached more than 190 million merchant locations worldwide, the company said 1.

The company calls itself the fourth largest general-purpose card network globally by purchase volume, behind Visa, China UnionPay and Mastercard 3. Discover and Diners Club International are owned by Capital One 3.

Travel, dining and partners

The company extended its long-term partnership with Marriott International, including the U.S. cobrand cards, in the quarter 1. It also launched an exclusive partnership with Airbnb that brings over one million listings globally to Amex Travel 1.

Cobrand partners named in the annual report include Delta Air Lines, Marriott International, British Airways and Hilton Worldwide Holdings 3. The dining platform spans Resy and Tock restaurants and venues 3.

It opened its newest Centurion Lounge at Amsterdam Airport Schiphol, bringing the total to 33 locations 1. It also said it ranked first among issuers in the J.D. Power 2026 U.S. Credit Card Satisfaction Study for the seventh consecutive year 1.

People and places

Stephen Squeri is chairman and chief executive, and Christophe Le Caillec is chief financial officer 16. As of 31 December 2025 the company employed approximately 76,800 people, with approximately 25,900 in the United States 3.

Its principal executive offices are in a 2.2 million square foot building in lower Manhattan, on land leased from the Battery Park City Authority 3. Other principal sites include data centers in Phoenix, Arizona and Greensboro, North Carolina, and the bank's headquarters in Sandy, Utah 3.

Problems and probes

On 8 October 2026 the bank consented to an OCC order and the parent to a Federal Reserve order over its financial crimes compliance program, with a $350 million penalty 2. FinTech Global reported that roughly $13 billion in suspected illicit activity went insufficiently monitored and reported for almost 11 years 7.

The consent orders place no limit on its assets, FinTech Global reported 7. Two merchant antitrust suits challenge its anti-steering rules: Pizza Hazel, filed 30 September 2024, and 5-Star General Store, filed 21 March 2024 2.

A putative class action filed 15 May 2026, Rivetti, alleges ERISA violations in the company's retirement savings plan, and the company says it intends to defend vigorously 2. The Kabbage estate's suit seeks to recover up to approximately $746 million 2.

The umbrella, in words

Brands named in the annual report include Membership Rewards, Amex Offers, Resy, Tock and the OptBlue merchant-acquiring program 3. The company's main operating subsidiary under the holding company is American Express Travel Related Services Company, Inc., and both are bank holding companies 3.

Exhibit 21 to the annual report, as of 31 December 2025, lists subsidiaries that include American Express National Bank, American Express Kabbage Inc., Resy Network, Inc., Tock LLC and Payback GmbH 4. The company owns the voting securities of those not marked with an asterisk, directly or indirectly 4.

Swisscard AECS GmbH carried an asterisk in that exhibit, meaning it was not wholly owned then 4. The company completed the purchase of its partner's interest on 12 January 2026, making Swisscard wholly owned 2.

Until 29 September 2026 the company owned approximately 30 percent of Global Business Travel Group, a stake it sold when Long Lake completed its acquisition 2. It also invests through Amex Ventures, and its quarterly report records gains on those investments without naming the companies 2.

The company holds an approximately 49 percent ownership interest in its lower Manhattan headquarters building, and an affiliate of Brookfield Financial Properties owns the remaining approximately 51 percent 3. The land is leased from the Battery Park City Authority 3.

Berkshire Hathaway and its subsidiaries beneficially owned 151,610,700 shares, or 22.1 percent, on 6 March 2026, based on Berkshire's holdings report as of 31 December 2025 5. Vanguard held 6.8 percent and BlackRock 6.4 percent, per their ownership filings as of 31 December 2023 5.

Berkshire and its subsidiaries agreed to follow the board's recommendations in voting up to 17 percent of shares outstanding, as long as Squeri is chief executive and Berkshire owns 5 percent or more 5. It also may not, with certain exceptions, transfer shares to anyone owning more than 5 percent 5.

The company expects full-year 2026 earnings per share of between $18.30 and $18.60, or $17.60 to $17.90 adjusted for the Global Business Travel Group gain and the restructuring charge, Squeri said 1. He also said it is on track for another year of 10 percent revenue growth 1.

The company expects growth in variable customer engagement expenses, meaning rewards, services and partner costs, to moderate next quarter 2. Marketing expense rose 11 percent in the third quarter as it kept investing to acquire high-spending customers 2.

It plans to keep returning excess capital to shareholders while holding its Common Equity Tier 1 ratio within a 10 to 11 percent target range 2. It returned $2.2 billion in the third quarter through share repurchases and dividends 2.

Cash dividends declared were $0.95 per common share in the third quarter, up 16 percent 2. The annual report said the company planned a dividend increase of approximately 16 percent beginning with the first quarter 2026 declaration 3.

The company announced expansions at four Centurion Lounge locations, including a new 30,000-square-foot lounge at Newark Liberty International Airport, its largest to date 1. It also committed up to $2.8 billion toward the new 200 Greenwich Street headquarters 2.

The company said it had already reserved for part of the penalty and that the action leaves its full-year 2026 financial guidance unchanged, FinTech Global reported 7. The same report said the firm does not anticipate compliance costs affecting its 2027 guidance 7.

The Pizza Hazel antitrust case is on appeal to the First Circuit over the court's refusal to send it to arbitration, the quarterly report says 2. The Rivetti retirement plan suit and the Kabbage estate's suit are also pending 2.

The company says it is exploring how its products fit into agentic commerce, in which AI agents book travel and complete payments, through its Agentic Commerce Experiences developer kit 12. Its results release names Resy integrations, including with OpenAI 1.

The quarterly report notes that some US states have passed or are considering laws that prohibit interchange on components of transactions such as sales tax and gratuities 2. The annual report cites proposals to cap credit card interest rates as a possible change 3.