Unique Crypto Strategies
  • Business
  • Politics
  • Investing
  • World
  • Business
  • Politics
  • Investing
  • World

Unique Crypto Strategies

Business

American Express CFO says spending picked up at year-end, thanks to millennials and Gen Z

by January 25, 2025
January 25, 2025
American Express CFO says spending picked up at year-end, thanks to millennials and Gen Z

American Express’ affluent cardholders got comfortable spending more freely again late last year, Chief Financial Officer Christophe Le Caillec told CNBC.

Spending on AmEx cards jumped 8% year over year in the fourth quarter after slowing from a 7% growth rate early in the year to 6% during the second and third quarters, according to the firm’s earnings presentation.

While the year-end pickup was seen across all customer segments and geographies, it was especially fueled by millennials and Gen Z users, where transaction volumes jumped 16%, up from 12% in the third quarter.

Older groups were more restrained with their cards. Gen X customers spent 7% more in the fourth quarter, while baby boomers saw billings rise just 4%.

“We had very strong growth from Gen Z and millennials, and that 2 percentage point acceleration gives us a lot of optimism for 2025,” Le Caillec said.

Elevated transaction levels have continued into the first three weeks of this year, he added.

Younger Americans are said to spend more on experiences rather than goods, and that is reflected in the results from AmEx, which along with rival card issuer JPMorgan Chase, dominate the market for high-end credit cards.

Travel and entertainment billings rose 11% in the quarter, compared with 8% for good and services. The boost in travel came from airline spending, which rose 13%, with spending for business class and first class airfares up 19%, according to Le Caillec.

AmEx shares fell more than 2% in midday trading Friday after the company reported earnings and revenue that were roughly in line with analysts’ expectations. Shares of the New York-based company have been on a tear over the past year, hitting a 52-week high on Thursday.

“We are encouraged by accelerating billings growth as we believe it will be a key factor for Amex to meet its aspirational target of at least 10% revenue growth,” William Blair analysts led by Cristopher Kennedy wrote Friday in a research note. “We remain buyers on any pullback.”

This post appeared first on NBC NEWS
0
FacebookTwitterGoogle +Pinterest
previous post
Senate forces rare weekend vote to push through Kristi Noem as Homeland Security chief
next post
Trump’s ‘two sexes’ executive order comes on heels of SCOTUS accepting another challenge to LGBT agenda

You may also like

Ad revenue should stabilize for media companies in...

All Quiksilver, Billabong and Volcom stores to close...

Reddit co-founder Alexis Ohanian takes minority stake in...

The fight over credit card swipe fees enters...

Art created autonomously by AI can’t be copyrighted,...

Intel CEO retires as chipmaker loses ground in...

Drone company’s stock soars after appointing Donald Trump...

Mattel says Barbies and Hot Wheels could soon...

Domino’s Pizza finally launches stuffed crust to keep...

Comcast announces plan to spin off cable channels,...

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Latest

    • Senate Republicans eye changes to Trump’s megabill after House win

    • Trump shares post saying Biden was executed, replaced with clones

    • House Dems’ campaign chair says her party’s ‘on offense’ in 2026 battle to win back majority from GOP

    • Athletes, coaches and officials among 22 killed in road accident in northern Nigeria

    • How a Trump-fueled brain drain could be the rest of the world’s brain gain

    Categories

    • Business (479)
    • Investing (2,277)
    • Politics (3,731)
    • Uncategorized (1)
    • World (2,420)
    • About us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: uniquecryptostrategies.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2024 uniquecryptostrategies.com | All Rights Reserved


    Back To Top