American Express Earnings: Card Fees Grew Twice as Fast as Spending
American Express reported $2.97 billion in card fee revenue for July to September 2026, up 16% and twice the 8% rise in what its customers spent. The cost of the benefits cardholders use rose even more, by $529 million against $418 million of extra fee revenue.
The short answer. American Express reported record third quarter revenue of $20.1 billion on October 23, with annual card fees growing far faster than card spending. For anyone who pays for a premium card, it shows Amex counting more on what people pay to hold the card. It also spends more on the benefits that come with it. We also show that the extra benefits cost outran the extra fees. Most of the 31% jump in earnings per share, the profit for each share, came from a one-time sale.
American Express card fee revenue, card spending and fee revenue per card, Q3 2026
What we calculated
- The benefits cost line rose $529 million and card fee revenue rose $418 million: each line of the Q3 2026 tables minus the same line a year earlier.
- In the spring the extra benefits cost was about 1.7 times the extra fee revenue: the same subtraction on the Q2 2026 tables.
- About 14 of the 16 points of fee revenue growth came with higher revenue per card: average fee per card against the count of cards, a year apart.
- Profit before tax rose about 1.6% without the one-time items: reported pretax income minus the sale gain, plus the restructuring charge.
- Profit before credit costs and tax fell about 5%: the same figure plus provisions for bad debt.
- About $235 million released from the card credit reserve, the money set aside for future losses: net write-offs minus card provisions.
- $4.11 to $4.41 of adjusted earnings per share, the measure without the one-time items, left for the fourth quarter: the adjusted 2026 range minus the first nine months.
- All seven big card lenders we compared wrote off a smaller share of balances than a year earlier: each lender’s own third quarter filing.
On this page
- Amex card fees after the Platinum fee increase
- Are Amex customers still spending?
- Why American Express earnings jumped 31%
- American Express $350 million penalty and legal reserves
- Are credit card defaults rising at Amex?
- What is the American Express 2026 earnings forecast?
- American Express dividend, share buybacks and debt
- How we counted
- Frequently asked questions
Amex card fees after the Platinum fee increase
Card fee revenue rose $418 million from a year earlier, and the cost of the benefits cardholders use rose $529 million. The company does not say how much of the fee rise came from Platinum.
Net card fees, the revenue line for the annual fees on Amex cards, were $2,969 million in the quarter, according to the company’s third quarter statistical tables. That is revenue the company records, not cash taken in during the quarter. Growth picked up to 16%, from 15% in the spring.
Fee revenue per card did most of the work. It rose 14% to $136 a year, while the number of Amex-issued cards grew less than 2%. The figures cannot tell higher prices apart from a richer mix of premium cards.
In our reading, the timing fits the Platinum refresh. In September 2025 the company raised the U.S. Platinum card fee to $895 and added credits for Resy, lululemon and Uber One. Existing consumer Platinum members pay the new fee from their first renewal on or after January 2, 2026, so it reaches the books one renewal month at a time.
The benefits have a price too. Card Member services, the expense line for cardholder services and benefits, rose 36% to $2,006 million. The earnings release names the Platinum refresh among the reasons expenses grew.
Show the data
| Category | Value |
|---|---|
| Card Member services | $529M |
| Net card fees | $418M |
| Card Member rewards | $482M |
| Marketing | $171M |
That line covers every Amex card, and points rewards are counted separately. So the comparison sets a companywide cost line against companywide fee growth. It says nothing on whether Platinum alone pays for itself, or on what a single cardholder gets back.
The gap has narrowed since the spring, when the extra benefits cost was about 1.7 times the extra fee revenue. The refresh was announced on September 18, 2025, so the year-ago quarter already held about two weeks of it. In our reading, that explains part of the smaller gap.
Show the data
| Line | Q3 2025 | Q3 2026 | Change |
|---|---|---|---|
| Net card fees, $ millions | 2,551 | 2,969 | +418 |
| Card Member services, $ millions | 1,477 | 2,006 | +529 |
| Card Member rewards, $ millions | 4,608 | 5,090 | +482 |
| Marketing, $ millions | 1,599 | 1,770 | +171 |
| Average fee per card, yearly, $ | 119 | 136 | +14% |
| Proprietary cards in force, millions | 86.0 | 87.5 | +1.7% |
Source: American Express Q3 2026 statistical tables, consolidated statements of income and selected card statistics, quarters ended September 30.
Are Amex customers still spending?
Yes, a little more slowly. Spending on U.S. consumer Amex cards rose 9% from a year earlier, after 11% in the spring.
Card spending across the whole company, which Amex calls billed business, was $454.0 billion. That is up 8% both as reported and with currency moves removed. In the U.S. consumer business, more cards and more spending on each card both added to the rise.
The slowdown came in goods and services, where spending grew 7% after 9% in the second quarter. Travel and entertainment held at 10%.
Chief executive Stephen Squeri said in the release that the business showed “strength in billings, new acquisitions and Card Member retention.” Billings is his word for card spending, and retention means members keeping their cards. The release gives no retention figure, so it does not show how many Platinum members renewed at $895.
These figures cover Amex’s own cardholders, so they do not describe every American household. Spending is also counted in dollars of the day, and part of any rise is higher prices.
Why American Express earnings jumped 31%
Most of the jump came from selling a stake in another company. Without that one-time gain and a related charge, earnings per share rose 13%.
Earnings per share, the profit for each share of stock, were $5.42, up 31% from $4.14. They include a $982 million pretax gain from selling the company’s stake in Global Business Travel Group, a business travel company it partly owned.
Part of that gain paid for a restructuring charge, the cost of reorganizing to run more cheaply. Adjusted earnings per share leave out both items, and they rose 13% to $4.68. That beat the $4.47 consensus, the average analyst forecast compiled by Zacks as of October 16.
Show the data
| Step | Value |
|---|---|
| Q3 2025 | $3,825M |
| Higher revenue | +$1,636M |
| Smaller bad debt charge | +$302M |
| Costs before gain, charge | -$1,878M |
| Stake sale gain | +$982M |
| Restructuring charge | -$336M |
| Q3 2026 | $4,531M |
Below the headline, the picture is flatter. Take the gain out and add the charge back, and profit before tax was about 1.6% above a year earlier (our calculation).
A smaller charge for bad debt helped too. The company released about $235 million from its card credit reserve, money set aside for future losses. Before that charge and before tax, with the legal reserves still inside, profit was about 5% lower than a year earlier (our calculation).
Two more things lifted the per-share figure. The effective tax rate, the share of profit paid in tax, fell to 18.1% from 24.1%, which the release ties to settling tax items from earlier years. Buybacks, the company purchasing its own stock, also cut the average share count by about 3%.
Show the data
| $ millions, except per share | Q3 2025 | Q3 2026 |
|---|---|---|
| Revenue net of interest expense | 18,426 | 20,062 |
| Provisions for credit losses | 1,287 | 985 |
| Total expenses, as reported | 13,314 | 14,546 |
| Pretax income, as reported | 3,825 | 4,531 |
| Pretax income without the gain and the charge (our calculation) | 3,825 | 3,885 |
| Same, before provisions (our calculation) | 5,112 | 4,870 |
| Net income, as reported | 2,902 | 3,712 |
| Adjusted net income | 2,902 | 3,214 |
| Diluted earnings per share, as reported | 4.14 | 5.42 |
| Adjusted earnings per share | 4.14 | 4.68 |
| Average diluted shares, millions | 693 | 674 |
Source: American Express Q3 2026 earnings release, Appendix I, and statistical tables. Revenue of $20,062 million compares with $20.13 billion in the same Zacks consensus.
American Express $350 million penalty and legal reserves
Two weeks before these results, Amex settled with two bank regulators over its checks against financial crime. Its bank agreed to pay a $350 million penalty.
On October 8 the company disclosed consent orders, agreements to fix problems under a regulator’s supervision. One is with the Federal Reserve, the other with the Office of the Comptroller of the Currency, which oversees national banks. They concern its financial crimes compliance program, the checks a bank runs to catch financial crime.
The company said part of the penalty had been set aside in earlier periods. It also said the orders impose no asset cap, a regulator’s limit on how large a bank may grow. The latest results release says costs included higher legal reserves, money set aside for legal costs, for previously disclosed matters. It does not say how much of that relates to the orders.
The company said the penalty does not affect its 2026 forecast, and that meeting the orders is not expected to affect its 2027 forecast.
Are credit card defaults rising at Amex?
No. Amex wrote off a smaller share of its card balances than a year earlier, and so did six other big card lenders.
The net write-off rate is the share of balances a lender gives up on as unpaid, stated at a yearly pace. In the U.S. consumer business it fell to 1.6%, from 1.8%, and the wider consumer and small business rate edged down too. Amex had already put that U.S. figure in a filing on October 15.
Show the data
| Item | Q3 2025 | Q3 2026 | Change |
|---|---|---|---|
| American Express (US consumer) | 1.80% | 1.60% | -0.20 pts |
| JPMorgan (cards) | 3.15% | 2.91% | -0.24 pts |
| Bank of America (cards) | 3.46% | 3.22% | -0.24 pts |
| Citi (US cards) | 4.05% | 3.66% | -0.39 pts |
| Capital One (US cards) | 4.63% | 3.98% | -0.65 pts |
| Synchrony (store cards) | 5.16% | 4.79% | -0.37 pts |
| Bread Financial (store cards) | 7.39% | 6.40% | -0.99 pts |
Each lender measures this its own way, so the direction compares better than the levels. Amex counts only principal, the amount spent or borrowed without interest or fees, and its balances include cards that must be paid in full each month. So each lender’s rate says most when set against its own past.
The others moved the same way, each in its own third quarter filing. JPMorgan’s card rate fell to 2.91%, and Capital One’s U.S. card rate fell to 3.98%. Our October 13 look at JPMorgan and Wells Fargo found the same turn.
Across all Amex card balances, write-offs including interest and fees rose about 2%, while average balances rose about 7%. That rate, the broader measure, eased to 2.1% from 2.2%.
Show the data
| Lender, measure, yearly rate | Q3 2025 | Q3 2026 |
|---|---|---|
| American Express, U.S. consumer net write-off rate, principal only | 1.8% | 1.6% |
| JPMorgan, Card Services net charge-off rate | 3.15% | 2.91% |
| Bank of America, credit card net charge-off rate | 3.46% | 3.22% |
| Citi, U.S. Consumer Cards net credit losses | 4.05% | 3.66% |
| Capital One, Domestic Card net charge-off rate | 4.63% | 3.98% |
| Synchrony, net charge-offs | 5.16% | 4.79% |
| Bread Financial, net loss rate | 7.39% | 6.40% |
| American Express, balances 30 days or more past due, consumer and small business | 1.3% | 1.2% |
Sources: each company’s third quarter 2026 earnings release or supplement. The American Express 2025 figures are as restated in its Q3 2026 tables.
Why Amex’s rate differs from the banks’
American Express reports write-offs on principal only, and its card balances include balances customers pay in full each month. Since early 2026 it reports card loans and receivables together and has restated earlier quarters, so its 2025 monthly loan figures are not comparable.
What is the American Express 2026 earnings forecast?
On its adjusted measure, Amex raised only the bottom of its 2026 range, to $17.60 a share. The top stayed at $17.90.
The range set in July was $17.30 to $17.90. The reported range is now $18.30 to $18.60, but it includes the stake sale gain and the restructuring charge, so it is not comparable with July’s.
The company also said it remains on track for revenue growth of 10% for the year.
After the first nine months, the adjusted range leaves $4.11 to $4.41 a share for the fourth quarter (our arithmetic). The fourth quarter of 2025 brought $3.53, according to the same tables. A forecast can change.
American Express dividend, share buybacks and debt
Amex declared a quarterly dividend of $0.95 a share, 16% more than a year earlier, and kept buying back stock.
The company repurchased 5 million shares in the quarter, leaving 671 million at September 30. A year earlier there were 689 million.
Long-term debt was $58.5 billion at the end of September. Customer deposits, the money customers keep with its bank, are a larger source of funding, and the debt and deposit figures are in the data panel below.
| $ billions, September 30 | 2025 | 2026 |
|---|---|---|
| Long-term debt | 57.8 | 58.5 |
| Short-term borrowings | 1.4 | 1.4 |
| Customer deposits | 149.9 | 155.0 |
Source: American Express Q3 2026 statistical tables, consolidated balance sheets.
For an owner, the quarter shows a company returning cash through dividends and buybacks. Meanwhile its fee revenue grows twice as fast as card spending, and the cost of the benefits behind those fees grows faster still.
What to watch
- Whether management splits card fee growth between Platinum and other cards: the October 23 call replay and slides on the company’s investor relations site.
- How much of the higher legal reserves relates to the consent orders: the quarterly report on Form 10-Q for the period ended September 30, 2026.
- Whether U.S. consumer write-offs stay near the 1.6% three-month rate: the monthly credit statistics American Express files with the SEC, last filed on October 15.
How we counted
Figures come from the American Express Form 8-K of October 23, 2026, Exhibits 99.1 and 99.2, unless another source is linked or named. Increases are the Q3 2026 line minus the Q3 2025 line. The fee split multiplies the change in average fee per card (1.143) by the change in proprietary cards in force (1.017), about the reported 16%. The company’s fee per card uses average cards while the card count is at quarter end, so the split is approximate. Pretax income without one-time items is $4,531 million, minus the $982 million gain, plus the $336 million charge. Adding provisions of $985 million gives $4,870 million, against $5,112 million a year earlier.
The company booked the $982 million gain as lower expenses. So in the chart, higher costs before the gain and charge are reported expenses of $14,546 million, plus the gain, minus the $336 million charge, against $13,314 million. The reserve release is net write-offs of $1,130 million minus card balance provisions of $895 million. The fourth quarter range subtracts nine-month adjusted earnings per share of $13.49 from the adjusted 2026 range, an approximation because yearly and quarterly figures use different average share counts. Peer rates use each lender’s own definition.
Frequently asked questions
Did American Express beat earnings expectations?
Adjusted earnings per share of $4.68 beat the $4.47 consensus compiled by Zacks as of October 16. Revenue was slightly below that consensus. Reported earnings per share were $5.42, lifted by a one-time gain.
How much is the Amex Platinum annual fee in 2026?
The U.S. Consumer and Business Platinum cards cost $895 a year, according to the company’s September 2025 announcement. Consumer members who opened accounts before September 18, 2025 pay it from their first renewal on or after January 2, 2026. For the business card that date is December 2, 2025.
Are Amex credit card delinquencies rising?
Not from a year earlier. Balances 30 days or more past due on Amex consumer and small business cards were 1.2% at the end of September, down from 1.3% a year before.
Does American Express stock pay a dividend?
Yes. It declared $0.95 a share for the third quarter, up from $0.82 a year earlier.
Where can I find the American Express Q3 2026 earnings report?
The figures are in the company’s 8-K filing of October 23 and its results release. The AXP financials and American Express overview pages track them over time, and the stock return calculator shows what a past holding returned.
Sources
- American Express third quarter 2026 results release on StockTitan
- American Express 8-K of October 23, 2026 on StockTitan
- American Express Platinum card update, September 18, 2025
- JPMorgan, Wells Fargo Earnings: Credit Card Defaults Fell
- American Express Q3 2026 earnings release, Exhibit 99.1
- American Express Q3 2026 statistical tables, Exhibit 99.2
- American Express Q2 2026 earnings release, Exhibit 99.1
- American Express Q2 2026 statistical tables, Exhibit 99.2
- American Express 8-K of October 15, 2026, delinquency and write-off statistics
- American Express 8-K of October 8, 2026, consent orders
- JPMorgan Chase Q3 2026 earnings supplement
- Bank of America Q3 2026 supplemental information
- Citigroup Q3 2026 financial supplement
- Capital One Q3 2026 financial supplement
- Synchrony Q3 2026 earnings release
- Bread Financial Q3 2026 earnings release
The information provided in this article is for educational and informational purposes only. It does not constitute financial advice, investment recommendation, or an endorsement of any particular investment strategy. Past performance does not guarantee future results. Investors should conduct their own research and consult with a qualified financial advisor before making investment decisions.