American Express Q2 2026 Earnings: AI Push, Premium-Card Gains, and Rising Costs

In Q2 2026, American Express posted net income of $3.11 billion, up from $2.88 billion a year earlier, and earnings per share of $4.53, beating the consensus $4.40. Revenue reached $19.64 billion, a 10 % year-over-year rise. The company lifted its full-year revenue growth guidance to 10 % while keeping the EPS target of $17.30-$17.90 unchanged. Management cited stronger spending by affluent cardmembers, a Platinum-card refresh, and a rollout of AI tools in product development, customer service, and fraud detection.

The Globe and Mail (Toronto)

American Express runs a closed-loop network, issuing cards, processing transactions, and acquiring merchants. This model concentrates merchant-discount revenue and detailed transaction data, supporting premium-card pricing and targeted offers. The 2025 Platinum refresh raised the annual fee to $895 and added lifestyle credits, boosting card-fee income and encouraging spend on travel, dining and luxury retail.

American Express Delivers EPS Beat and Guidance Raise as Card Spending Hits 3-Year High American Express stock trades near record territory as premium spending supports earnings

• Billed business grew 9 % to $455.8 billion (FX-adjusted).

American Express Delivers EPS Beat and Guidance Raise as Card Spending Hits 3-Year High

• Operating expenses rose 12 % to $14.5 billion, driven mainly by the Platinum refresh and higher service-reward costs, which lifted card-member service expenses by 50 % YoY.

American Express Delivers EPS Beat and Guidance Raise as Card Spending Hits 3-Year High

• Net write-off rate held at 2 %, indicating stable credit quality.

American Express stock trades near recent highs as spending and earnings grow

• TheFork acquisition (announced June 15 2026) will add a European restaurant-reservation platform generating $232 million in revenue and $28 million in adjusted EBITDA for the twelve months ended March 31 2026.

American Express Delivers EPS Beat and Guidance Raise as Card Spending Hits 3-Year High

• AI initiatives include an internal service portal for representatives, generative-AI agents for underwriting and fraud detection, and participation in the Agent Payments Protocol (AP2) launched late 2025.

How AI is changing work at Amex

The earnings beat highlights the durability of the premium-consumer segment, now accounting for roughly half of U.S. consumer spending. AI-enabled product cycles could improve operational efficiency, but the expense surge tempers margin expansion. The raised revenue guidance signals confidence in affluent spend, while the unchanged EPS target reflects a strategic choice to reinvest rather than return cash immediately.

American Express Delivers EPS Beat and Guidance Raise as Card Spending Hits 3-Year High

CEO Steve Squeri said a “large backlog of tech products” is being accelerated by AI, allowing faster market rollout. He added that prioritizing growth over share-buybacks reflects a belief that “investing to grow the business” creates longer-term shareholder value.

How AI is changing work at Amex

Some outlets reported revenue “met Wall Street’s expectations,” while others noted a slight miss—analysts forecast $19.69 billion versus the reported $19.64 billion. No source provided a detailed breakdown of the expense surge beyond the Platinum refresh, leaving the precise cost trajectory of AI investments unclear.

The Globe and Mail (Toronto)

• “We have a large backlog of tech products, with AI we are getting to more things quicker,” — Steve Squeri

How AI is changing work at Amex

• “We have a choice, we can either drop the overperformance to the bottom line and buy back more shares, or we can invest to grow the business,” — Steve Squeri

Salem Radio Network News

American Express will release its third-quarter results on October 23 2026. The company plans to integrate TheFork into its dining ecosystem, expand AI-driven agentic commerce, and continue rolling out the Graphite Business Card series. Monitoring expense growth versus AI-generated efficiency gains will be central to assessing whether the reinvestment strategy translates into higher margins in the coming quarters.

How AI is changing work at Amex