Concerns About Guidance Dampen AMEX's Strong Q3 Performance
American Express (NYSE: AXP) released its quarterly results earlier this month and it was evident that concerns about the economy haven't translated into softness on the company's financials -- at least not yet. In Q3, Amex came out with another impressive earnings beat.
During the quarter, AMEX saw its revenue (net of interest) reach $11 billion, which was an 8% increase from the prior year. CEO Steve Squeri stated in the earnings release that he was "pleased with the breadth and consistency of our revenue growth, driven by a well-balanced mix of cardmember spending, loans and membership revenues from our fee-based products, which grew 19% and exceeded $1 billion this quarter for the first time."
However, beating earnings hasn't been unusual for the company, as it failed to come in above expectations only two times over the past nine quarters. Squeri also pointed out that it was the ninth-straight period where revenues, when adjusted for foreign exchange, were up by 8% or more.
Source Fool.com
