American Express (Amex) has released its earnings report for Q1 2025, revealing a surprising stability despite economic uncertainty. The company’s CEO Stephen Squeri expressed confidence in its projections of 8% to 10% revenue growth and $15-$15.50 per share earnings, citing the resilience of its affluent and younger customer segments.
Squeri emphasized that Amex’s fee-based model and premium customer base have remained robust through the year’s first quarter. The company has also been successful in raising annual fees only when it enhances card benefits, a strategy Squeri described as “raising fees when you add value.”
Amex’s revenue rose 8% year over year on an FX-adjusted basis to $17 billion, outpacing results across key metrics such as customer retention and credit performance. The company is standing by its full-year forecast despite the economic uncertainty.
However, the CFPB’s recent downsizing has raised concerns among regulators and consumer advocates. The Consumer Financial Protection Bureau (CFPB) reported a reduction-in-force (RIF) effort, laying off 1,500 employees, which will reduce the agency’s staff to 200. Sen. Elizabeth Warren expressed outrage over the move, calling it an “assault on consumers and our democracy.”
Despite these challenges, Amex remains committed to its long-term investment strategy, focusing on technology, small-business solutions, and new product refreshes. The company’s forward-looking approach has earned praise from some Republicans in Congress.
Source: https://www.pymnts.com/earnings/2025/amex-projects-resilient-consumer-demand-anchored-by-gen-z-and-millennial-growth