AmEx consumer spending hits 8-year high

American Express posted its strongest quarterly growth in U.S. consumer billing in eight years, with an 11% increase in the second quarter compared to the same period last year. Executives said the surge marked the company’s best performance in the segment since early 2018.

The results led AmEx to raise its full-year revenue growth forecast to 10%, up from earlier projections. Chief Executive Steve Squeri attributed part of the gain to the Platinum card, which received a major refresh last year. Updates included $3,500 in new and expanded statement credits and a redesigned mobile app.

Platinum card fees rise, but momentum builds

The Platinum card’s annual fee increased from $695 to $895 after the changes. Squeri described it as a “great premium product that’s very difficult for competitors to replicate on a global scale” during a conference call with analysts. The card, introduced in 1984, has seen renewed demand.

AmEx’s overall revenue for the quarter climbed 10% to $19.6 billion. Net card fees rose 16% to $2.9 billion, while fees merchants pay to accept AmEx grew 9% to $10.2 billion.

Expansion into restaurants and AI-driven commerce

The company is investing heavily in the restaurant industry. In June, AmEx announced a $700 million offer to acquire The Fork, a booking platform operating in 11 European countries and Australia. The pending deal would expand AmEx’s presence in dining reservations, building on its 2019 purchase of Resy.

Squeri cited Resy’s success as a model, noting that spending at Resy-affiliated restaurants is twice that of other locations. He said that advantage made The Fork an attractive acquisition, though integrating the service would require significant investment in the second half of the year.

AmEx is also preparing for the rise of AI-driven commerce. The company recently introduced “agentic insurance,” a product designed to protect consumers when AI agents make purchases on their behalf. Squeri described the current state of AI shopping as risky, positioning AmEx as a trusted intermediary in a market where fraud concerns persist.

This push isn’t just defensive. The company sees an opportunity to use its fraud detection and customer service systems in a space where consumers remain cautious. Squeri called the initiative a long-term effort, saying, “We’re not even in the early innings here. We’re in the pre-season.”

The growth in consumer billing comes as AmEx balances high-end offerings with broader market appeal. Future success will depend on how well AmEx integrates The Fork, competes in premium cards, and adapts to AI-driven commerce.

Squeri’s careful remarks about The Fork’s integration timeline highlight the challenges ahead. Still, for a company that has spent decades building an image of exclusivity and reliability, the current growth shows brand loyalty still matters in the payments industry.

The company’s ability to maintain momentum will test its strategy in the coming quarters.