American Express delivered a strong financial performance in 2025, highlighting how sustained investments in artificial intelligence and digital infrastructure are reinforcing its premium-focused growth strategy.
The company reported record full-year revenues of $72.2 billion, up 10 percent, reflecting rising engagement from high-spending customers and the continued success of its Membership Model.
In the fourth quarter of 2025, American Express posted revenues of $18.98 billion, supported by a double-digit increase in net card fees for the 30th consecutive quarter and a record 12.2 million new card acquisitions during the year.
American Express said digital capabilities and AI-driven personalization were critical in attracting younger, affluent customers while maintaining strong credit performance.
Technology spending of about $5 billion annually is at the center of American Express’s modernization efforts. American Express has spent 7 percent of its total revenue on technology in 2022, 2023, 2024 and 2025. American Express has revealed that its technology spending has increased to $5 billion in 2025 from $4.5 billion in 2024 and $4.1 billion in 2023.
Stephen J. Squeri, Chairman and Chief Executive Officer of American Express, said: “We continued to strategically invest in areas that strengthen our Membership Model and drive our growth, such as our successful U.S. Platinum Card refresh and technology enhancements like new app and Gen AI-powered experiences.”
“As demonstrated in our results, our investments are paying off – driving increased customer demand, engagement and loyalty, while generating efficiencies across the enterprise and supporting our excellent credit performance,” Stephen J. Squeri said.
Ravi Radhakrishnan is the Chief Information Officer (CIO) of American Express Company and American Express National Bank. He leads Enterprise Technology Services, overseeing global technology delivery and operations, technology risk and information security, enterprise data governance, and core platforms. His team is responsible for digital product and design, product management, and enterprise AI platforms, enabling American Express to drive growth, innovation, operational efficiency, and competitive differentiation with speed and trust.
American Express, as part of its digital transformation strategy, is rolling out its third-generation data and analytics platform, a cloud-native architecture designed to consolidate enterprise data and eliminate legacy systems. This digital backbone has reduced processing times for key marketing and fraud functions by about 90 percent and significantly improved system resilience, enabling faster deployment of AI use cases across the organization.
AI is playing a central role in credit underwriting and risk management. By applying machine learning models to billions of transactions, American Express has maintained stable delinquency and write-off rates throughout 2025, despite a challenging macro environment. Automation and advanced analytics are helping the company keep expense growth disciplined, with operating costs expected to rise only at mid-single-digit levels in 2026.
Beyond risk management, generative AI is being used to enhance customer engagement and operational efficiency. AI-powered travel assistance, personalized onboarding, and digital self-service tools have reduced customer service calls per account by about 25 percent. These capabilities supported strong spending growth in premium categories, including a 15 percent increase in luxury retail spending in the fourth quarter.
Personalization remains a key growth lever, particularly among Millennials and Gen Z cardmembers, who accounted for about 65 percent of new global accounts in 2025. Digital platforms such as the Resy restaurant network and curated travel experiences are helping American Express deepen relationships with these segments, with spending on Resy-enabled dining rising more than 20 percent during the year.
In the commercial segment, American Express is expanding data-driven tools for small businesses, offering real-time cash-flow insights and automated expense management through its digital platforms. These capabilities position the company as a technology-enabled financial partner as global commerce becomes more digitally integrated.
Looking ahead, American Express expects revenue growth of 9 to 10 percent in 2026. American Express said investment in AI, data platforms, and premium product innovation will remain central to sustaining long-term growth. By embedding digital transformation across its operations, American Express is strengthening its competitive position and building a future-ready payments and services platform.
FASNA SHABEER
