American Express Raises Profit Outlook and Plans 5% Workforce Cut

American Express raised its 2026 earnings outlook on Friday, 23 October, and plans to eliminate 5% of its global workforce in a restructuring, Reuters reported.

Spending on its cards remained resilient. Billed business rose 8% from a year earlier to $454 billion in the third quarter. Revenue, after interest expense, increased 9% to $20.1 billion.

Adjusted earnings were $4.68 a share, up 13% year on year. The company said this measure removes a gain from selling its Global Business Travel Group stake, net of restructuring costs. Reported earnings were $5.42 a share.

For the full year, American Express now expects adjusted earnings of $17.60 to $17.90 a share, lifting the bottom of its previous $17.30–$17.90 range. Its separate GAAP forecast is $18.30–$18.60. These are company forecasts, not confirmed results.

Reuters said travel and entertainment spending grew 10% on a currency-adjusted basis, including a 13% rise in airline spending and 9% in restaurants. Higher air fares contributed to the increase, chief financial officer Christophe Le Caillec told Reuters.

Sources: Reuters via MarketScreener; American Express earnings release (issuer-distributed copy).

Archival photo: Brookfield Place, including 200 Vesey Street, New York, 2017. King of Hearts / Wikimedia Commons, CC BY-SA 4.0. Cropped to 16:9 by Morval Universal; adapted image shared under the same licence.