🔹 EPS: $3.64 (Est. $3.48) 🟢; UP +9% YoY
🔹 Revenue: $17.00B (Est. $17.00B) 🟡; UP +7% YoY
🔹 Billed Business: $387.4B; UP +6% YoY
🔹 Net Write-off Rate: 2.1% (Flat YoY)
FY Guidance (Maintained, subject to macro environment):
🔹 Revenue Growth: 8% to 10%
🔹 EPS: $15.00 to $15.50
Key Operational Highlights:
🔸 Strong Card Member spending growth at 6% YoY (+7% excl. leap year impact)
🔸 Revenue increase driven by higher net interest income, growth in revolving loan balances, increased spending, and robust card fee growth
🔸 Modest net reserve release (vs. prior-year reserve build), partially offset by higher net write-offs
🔹 Provisions for Credit Losses: $1.2B (DOWN from $1.3B YoY)
🔸 Operating expenses rose moderately; marketing expenses flat YoY
🔹 Net Income: $2.58B; UP +6% YoY
🔹 Consolidated Expenses: $12.5B; UP +10% YoY (driven by higher variable customer engagement and travel-related benefit costs)
🔹 Effective Tax Rate: 22.4% (Prev. 22.5% YoY)
CEO Stephen J. Squeri’s Commentary:
🔸 "Strong Q1 performance reflects robust Card Member spending and premium customer base strength. Given steady spend and credit trends amid the current economic outlook, maintaining FY guidance, subject to macroeconomic conditions."
🔸 "Committed to disciplined expense management and strategic business investment."