American Express Co (NYSE:AXP) stock fell 0.64% (As on April 18, 7:59:57 AM UTC-4, Source: Google Finance) after the company maintained its full-year guidance for revenue growth and profit as its wealthier clientele continue to spend in spite of tariff-induced volatility and uncertainty. The New York-based firm set aside $1.2 billion to cover loans deemed uncollectible during the quarter, less than the average analyst estimate of $1.4 billion. Amex reported $387.4 billion in billed business, or the transaction volume on credit cards and other products issued by the firm, up 6% from a year prior. That volume missed predictions of $389.9 billion for the three-month period. Net income rose 6% YoY to $2.58 billion. The company’s consolidated expenses increased 10% to $12.5 billion, driven by higher variable customer engagement costs, a benefit in the prior year resulting from enhancements to the models for estimating future membership rewards redemptions, as well as increased usage of travel-related benefits. The company’s capital position remains strong, with a Common Equity Tier 1 (CET1) ratio of 10.7%, well within its target range of 10-11%.

Further, Amex announced a bevy of leadership changes during the first quarter as Anré Williams, head of the firm’s bank and group president for enterprise services, prepares to leave later this year. The company also announced the acquisition of the expense-management software company Center in March.

AXP in the first quarter of FY25 has reported the adjusted earnings per share of $3.64, beating the analysts’ estimates for the adjusted earnings per share of $3.47. The company had reported the adjusted revenue growth of 7 percent to $16.97 billion in the first quarter of FY25, beating the analysts’ estimates for revenue of $16.94 billion. This is primarily driven by higher net interest income (NII) supported by growth in revolving loan balances, increased card member spending, and continued strong card fee growth. The company’s growth was balanced across both Goods & Services (7%) and Travel & Entertainment (6%) categories, though results were impacted by a negative 1% effect from the leap year comparison to Q1 2024. The revenue performance was particularly strong in certain areas, with net card fees growing 18% (20% FX-adjusted) and net interest income increasing by 11%.

Amex still anticipates full-year revenue growth of 8% to 10% and earnings of $15 to $15.50 per share although it cautioned the ranges are “subject to the macroeconomic environment.”