Investing.com -- American Express (NYSE:AXP) reported third-quarter earnings that surpassed analyst expectations, while revenue fell slightly short. The company also raised its full-year earnings guidance, citing strong performance in its core business.
The financial services giant reported adjusted earnings per share (EPS) of $3.49 for the third quarter, beating the analyst consensus of $3.38. Revenue for the quarter came in at $16.64 billion, just below the estimated $16.68 billion but still representing an 8% increase YoY.
American Express raised its full-year 2024 EPS guidance to $13.75 - $14.05, up from the previous range of $13.30 - $13.80. The company continues to expect full-year revenue growth of around 9%, in line with its initial guidance.
"We had another strong quarter that reflects the earnings power of our business model and our continued investments for growth," said Stephen J. Squeri, Chairman and CEO of American Express.
The company reported a 6% increase in total Card Member spending and an 18% growth in card fee revenue. American Express acquired 3.3 million new premium Card Members during the quarter while maintaining high retention rates and excellent credit performance.
The net write-off rate for the third quarter was 1.9%, compared to 1.8% a year ago and down from 2.1% in the previous quarter.
Following the earnings release, American Express shares were down 1.7% in premarket trading.