American Express Defies Slowdown Fears with Robust Profit Gains

American Express exceeded its first-quarter profit expectations as premium customers kept spending despite economic slowdown fears. The credit card company reported a 6% profit increase, crediting its focus on high-spending, affluent customers, even as U.S. tariffs caused market jitters.

American Express has exceeded Wall Street's first-quarter profit expectations, as premium customers maintained their spending patterns despite concerns of an economic slowdown. The credit card company's profits rose 6% to $2.58 billion, equating to $3.64 per share.

AmEx's focus on affluent users, who benefit from exclusive perks and rewards, helped counter the anxiety stirred by U.S. President Donald Trump's tariff decisions. CEO Stephen Squeri stated that areas such as card member spending and customer retention continued to perform well.

Revenues reached $17 billion, representing a 7% increase and surpassing projections. Despite this growth, company shares dipped slightly, influenced by the announcement of tariffs dubbed "Liberation Day" by President Trump.

(With inputs from agencies.)