Oct 23, 2026 earnings call — AI strategy and quarter results with guidance raise
Reaffirmed full-year revenue growth of 10% and raised reported EPS guidance to between $18.30 and $18.60.
Revenue $20.1B (est $20.1B) · EPS $4.68 (est $4.50)
Key quotes
"AI is fundamentally changing how consumers and businesses discover, compare, decide, pay, and manage their finances and their lives."
"Turning to billed business, overall spend was 8% this quarter, in line with the trend of the past four quarters."
"As a result, we took a $336 million charge for restructuring in the quarter, which is expected to result in the elimination of approximately 5% of our positions globally."
Analyst Q&A 11
people gaming rewards
Q (Sanjay Sakhrani · KBW): He asked how customers might game rewards and how the company would adjust or act offensively.
A: Management said customers already optimize across cards and their strategy is not to compete only on points. They noted they have levers (like spend thresholds) to limit gaming and many tools to manage it.
"I think our overall model is so much more than just about points." — Steve Squeri (CEO·CHAIR)
sustainability of spend and VCE
Q (Ryan Nash · Goldman Sachs): He asked whether the current spend levels can be maintained and how confident they are in mid-teens EPS next year given VCE moderation.
A: Management said the VCE is performing as expected and the VCE ratio should stabilize, with growth in VCE dollars moderating back toward pre-refresh levels. They also said spend showed 9.4% growth in U.S. consumer billing with strength in discretionary categories.
"As you think about going forward, and Q4 is going to be a good example for that, you should expect that VCE ratio to stabilize in this kind of range." — Christophe Le Caillec (CFO)
international growth and competition
Q (Don Fandetti · Wells Fargo): He asked about market share in U.S. consumer as banks invest in premium, and about moderating international billed business.
A: Management said international growth remains strong at 11% after a prior 13%, calling 11% still very strong and noting acquisition demographics skew younger. They also said competition has been intense for years and they continue to step up marketing and innovation.
"Look, it's 22 straight quarters of double-digit growth rate in international." — Steve Squeri (CEO·CHAIR)
AI access and rewards maximization
Q (Erika Najarian · UBS): She asked whether AmEx will allow external AI agents into its systems and how AI might affect VCE and rewards maximization.
A: Management said they will embrace AI but take a risk-based approach and will not let assistants run rogue through their systems. They will only allow agents approved via API or MCP and will use AI themselves to manage gaming and adapt controls.
"We're just not going to let assistants run rogue through our systems." — Steve Squeri (CEO·CHAIR)
competitive intensity in premium cards
Q (Bill Carcache · Piper Sandler): He asked whether competition feels different now, especially with players like Capital One investing heavily and operating closed loops.
A: Management said competition is highly competitive as it has been, and they do not see material change versus prior years. They noted increased participation could bring more people into premium products and that they must continue to innovate.
"Look, I think Citi, Capital One, Chase, everybody is sort of playing in this space." — Steve Squeri (CEO·CHAIR)
allowance coverage ratio (reserve rate)
Q (Rob Wildhack · Autonomous): He asked why the allowance coverage ratio is 2.6% and whether that reflects conservatism or what a normal level might be.
A: Management said the 2.6% reserve rate reflects the premiumization of the portfolio as they attract more fee-paying, creditworthy card members. They also pointed to stable, low delinquency and improved vintage performance as drivers of the lower rate.
"The key dynamic here is the premiumization of the portfolio." — Christophe Le Caillec (CFO)
card fee growth outlook
Q (John Pancari · Evercore): He asked about card fee growth, whether the high-teens growth expected in Q4 still holds, and how to think about the pace into 2027.
A: Management said they expected a moderation earlier in the year with an inflection in the second half and that they saw that inflection this quarter with a 17% increase. They would not give 2027 guidance now and will update at the start of next year.
"If you take a step back, performance on this line has been amazing since 2019, since we started focusing more of our energy investments, innovation towards premium products and fee-paying experiences and customers." — Christophe Le Caillec (CFO)
customer borrowing and revolve runway
Q (Terry Ma · Barclays): He asked if they see changes in customer revolving behavior and how much more lending growth is possible without changing credit standards.
A: Management said their penetration rate has been stable and they will meet card members' borrowing needs but are not forcing borrowing. They said they are not changing underwriting and will capture revolving balances as engagement and premiumization increase.
"What matters to us is that we meet the needs of our card members." — Christophe Le Caillec (CFO)
commercial segment competitiveness
Q (Darrin Peller · Wolfe): He asked for an update on commercial initiatives, milestones, and how to accelerate segment volume as they integrate new platforms and acquisitions.
A: Management described three commercial segments: small, middle, and corporate, saying small and corporate are performing well. They said the middle market lagged, which motivated the Center acquisition and product launches to better compete with players like Ramp and Brex.
"When you look at the commercial space, there is really three segments." — Steve Squeri (CEO·CHAIR)
network deals and card network settlement
Q (Mihir Bhatia · BofA): He asked how the Visa/Mastercard settlement might change merchant behavior and the competitive implications for their network business.
A: Management said they shifted strategy to partner with smaller and mid-size banks and fintechs to reach more segments, citing Bread Financial as an example. On the settlement, they said surcharging is common at small businesses and that honoring all cards could cause consumer backlash, but they will watch how it plays out.
"I think with Bread Financial, the synergy there between our NFL deal and their NFL partnership, it just made all the sense in the world for us to do business with them, and we respect them a lot." — Steve Squeri (CEO·CHAIR)
digital banking and deposits
Q (Chris Kennedy · William Blair): He asked about progress in digital banking and the role of banking products going forward, given only about 10% of U.S. customers have deposits with AmEx.
A: Management said banking services are part of growing the core relationship and are important for understanding creditworthiness and acquisition. They said they are on a careful journey to expand banking products and pointed to the new Business Savings account as another step.
"I think you'll see this continue to play a bigger part in our overall strategy in not only engaging with our card members, but acquiring card members." — Steve Squeri (CEO·CHAIR)