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Dec 31, 2023
American Express Q4 2023 Earnings Report
American Express reported record full-year revenues and profits, driven by strong customer engagement and demand for premium products.
Key Takeaways
American Express reported a strong Q4 2023, with net income of $1.9 billion, or $2.62 per share, compared to $1.6 billion, or $2.07 per share, the previous year. Total revenues reached $15.8 billion, an 11% increase. The company's full-year guidance for 2024 includes revenue growth of 9% to 11% and EPS of $12.65 to $13.15.
Total revenues net of interest expense increased by 11% to $15.8 billion.
Net income increased by 23% to $1.9 billion.
Diluted earnings per common share increased by 27% to $2.62.
The company plans to increase the quarterly dividend by 17% to $0.70 per common share.
American Express
American Express
Forward Guidance
American Express provided full-year 2024 guidance for revenue growth of 9% to 11% and EPS of $12.65 to $13.15.
Positive Outlook
- Focus on revenue growth of 10% plus.
- Mid-teens EPS growth aspiration.
- Continued investment in areas that can drive sustainable growth.
- Effective management of risk.
- Execution of share repurchase program.
Challenges Ahead
- Macroeconomic conditions, such as recession risks and inflation.
- Geopolitical instability, including the ongoing Ukraine and Israel wars.
- Impact of regulation and litigation.
- Competition in the payments industry.
- Failures in operational or security systems.