Amex Shows Premium Travel Demand Is Still Flying Through Turbulence

American Express (Amex) reported stronger-than-expected first-quarter 2026 results, helped by continued spending from its premium customer base.

The company earned $4.28 per share for the quarter ended March 31, beating analyst expectations of $4.02.

Revenue rose 10 percent on a foreign-exchange-adjusted basis to $18.9 billion, while total spending on Amex cards reached $428 billion.

Airline spending grew despite disruption

Airline spending on Amex cards rose 8 percent in the quarter, even though aviation faced disruption from the Middle East conflict, airspace closures, refund requests, and fuel concerns. CFO Christophe Le Caillec said airline volumes saw some volatility near the end of the quarter due to the war, but overall airline performance remained strong.

Luxury and retail spending added support

Amex’s growth was not only driven by travel. Retail spending rose 11 percent, while luxury retail spending increased 18 percent. Luxury shopping, premium dining, and high-value travel often depend on the same group of affluent customers.

Lower and middle-income households are usually more exposed to high prices and borrowing costs. Amex’s customer base has more financial flexibility, which makes its business more resilient when the economy becomes uncertain.

Credit trends remained stable

American Express also said credit quality stayed strong. The company set aside $1.3 billion for credit losses, compared with $1.2 billion a year earlier, but management said there were no major warning signs in customer payments.

The company reported both higher spending and stable credit performance, which supports the view that premium demand remains healthy.

Amex kept its full-year outlook unchanged

American Express reaffirmed its 2026 guidance after the strong quarter. The company still expects revenue to grow 9 percent to 10 percent this year and earnings per share to reach $17.30 to $17.90.

Premium travel demand continued after a stronger Q4

AmEx’s US commercial customers increased their travel and entertainment spending by 4 percent in the fourth quarter of 2025, while US consumer customers raised travel and entertainment spending by 9 percent.

The new first-quarter results suggest that this recovery did not fade at the start of 2026. Instead, premium and business-linked travel demand continued to support Amex, even as airlines faced disruption, refund activity, and higher operating risks.

Photo by CardMapr.nl on Unsplash