Spartked by a 14% increase in cardmember spending, American Express Co. Oct. 21 reported net income of $1.1 billion for the third quarter ended Sept. 30, up 71.9% from $640 million during the same period last year. Total revenue net of interest rose 39.6%, to $6.7 billion from $4.8 billion.
The largest increases in spending came from charge and premium cobranded products and from corporate cards issued by the company’s bank partners, Kenneth Chenault, AmEx chairman and CEO, said in a press release.
AmEx’s U.S. Card Services unit posted net income of $595 million, up 277% from $158 million last year. Total revenue net of interest expense increased 23.3%, to $3.7 billion from $3 billion.
The company’s International Card Services unit reported net income of $153 million, up 15% from $133 million. Total international revenue net of interest expense was $1.17 billion, up 0.9% from $1.16 billion.
