Advertisement
Canada markets open in 1 hour 45 minutes
  • S&P/TSX

    21,885.38
    +11.66 (+0.05%)
     
  • S&P 500

    5,048.42
    -23.21 (-0.46%)
     
  • DOW

    38,085.80
    -375.12 (-0.98%)
     
  • CAD/USD

    0.7323
    -0.0000 (-0.00%)
     
  • CRUDE OIL

    84.12
    +0.55 (+0.66%)
     
  • Bitcoin CAD

    87,597.83
    +379.08 (+0.43%)
     
  • CMC Crypto 200

    1,384.69
    -11.85 (-0.85%)
     
  • GOLD FUTURES

    2,358.50
    +16.00 (+0.68%)
     
  • RUSSELL 2000

    1,981.12
    -14.31 (-0.72%)
     
  • 10-Yr Bond

    4.7060
    +0.0540 (+1.16%)
     
  • NASDAQ futures

    17,747.50
    +180.00 (+1.02%)
     
  • VOLATILITY

    15.59
    +0.22 (+1.43%)
     
  • FTSE

    8,119.11
    +40.25 (+0.50%)
     
  • NIKKEI 225

    37,934.76
    +306.28 (+0.81%)
     
  • CAD/EUR

    0.6826
    +0.0005 (+0.07%)
     

AmEx profit beats as pandemic curbs ease, aiding spending recovery

Oct 22 (Reuters) - American Express Co on Friday reported a higher profit that topped Wall Street estimates for the fourth straight quarter, underpinning a recovery in spending from consumers emboldened by an easing of COVID-19 restrictions.

After months of seeing a stagnation in spending, credit-card issuers like AmEx are starting to see a turnaround with resumption of social activities made possible by a rise in the number of fully-vaccinated people.

Net income came in at $1.83 billion, or $2.27 per share, for the quarter ended Sept. 30, up 70% from last year. Analysts were expecting a figure of $1.80 per share, according to IBES data from Refinitiv.

AmEx said the growth was driven by higher spending on goods and services (G&S) by consumers and small businesses.

ADVERTISEMENT

Spending on travel and entertainment (T&E) also continued to rebound in the quarter, with restaurant spending growing above pre-pandemic levels as restrictions were eased and more people ventured out of their homes, the company said.

AmEx released $393 million of reserves in the quarter, reflecting an improved credit outlook overall.

Excluding interest expense, the New York-based company's total revenue rose 25% to around $10.93 billion. (Reporting by Niket Nishant in Bengaluru; Editing by Shailesh Kuber)