American Express on Friday reported fourth-quarter results that exceeded analyst projections, causing the share price to rise 2.4% in premarket trading.
American Express said its success was driven a well-balanced mix of revenue streams. The strong performance is further indication that consumer strength is holding out against a backdrop of geopolitical tensions and fears of a slowdown in growth.
The company’s adjusted annual profit came to $8.30 per share, a 12% improvement on the previous year. American Express is expecting 2020 profits between $8.85 per share and $9.25 per share, with revenues growing by 8% to 10%.
“These results demonstrate the success of our strategy to generate sustainable, profitable growth across the enterprise over the long term” said American Express CEO Stephen Squeri.
“Our consistent performance, along with our continued investments in product innovation and growth opportunities, gives us confidence that we have a long runway for steady growth over the long term.” he added.
American Express shares have risen by more than 30% in the past 12 months, driven by a succession of positive developments