[GUEST ACCESS MODE: Data is scrambled or limited to provide examples. Make requests using your API key to unlock full data. Check https://lunarcrush.ai/auth for authentication information.]  LongYield [@LongYield](/creator/twitter/LongYield) on x 4474 followers Created: 2025-07-18 21:53:32 UTC $AXP American Express Company Earnings Call Key Highlights: (2/2) 💼 Expense Management & Operating Leverage Variable Customer Engagement (VCE) expenses grew faster than revenue in Q2, in line with expectations due to the premium mix and marketing investments. Operating expenses (excluding Accertify) rose X% YoY, driven primarily by investments in enterprise risk management and technology as the business scales. Despite the higher OpEx, AXP delivered four points of operating leverage since 2023, with OpEx as a percentage of revenue improving from XX% to 21%. Marketing spend grew in the mid-single digits, with elevated spend levels attributed to increased demand and continued strong returns on acquisition efforts. 🏛️ Capital Position & Shareholder Returns Common Equity Tier X (CET1) ratio stood at 10.6%, comfortably within the 10%–11% target range, providing ample capital flexibility. Returned $X billion to shareholders during Q2 through $XXX billion in dividends and $XXX billion in share repurchases; dividend was increased by XX% in Q1. The Fed CCAR test reaffirmed a XXX% stress capital buffer—the lowest possible—highlighting the company’s conservative risk posture and capacity to return excess capital. Return on equity (ROE) reached XX% in Q2, underscoring continued high capital efficiency and earnings power. 🛠️ Technology, Blockchain, and Stablecoin Strategy Continued investment in enterprise technology capabilities, with active monitoring of blockchain and stablecoin developments for potential cross-border and SME use cases. New partnership with Coinbase enables Card Members to earn digital currencies and offers off-ramp solutions for stablecoin holders. Management reaffirmed stablecoins are unlikely to replace existing payment rails due to limited value-added services (e.g., rewards, dispute resolution), but could complement wire and ACH systems. Amex Ventures remains active in fintech innovation, with a focus on long-term infrastructure enhancements in payments and lending ecosystems. 🌍 International Business & Acceptance Expansion International revenues continued to grow at a double-digit pace, supported by increased merchant acceptance and premium product demand. Amex continues expanding coverage with strong progress in its five strategic international markets and millions of new merchant relationships added. Management sees long-term upside in international small business penetration, where premium card offerings are nascent and underpenetrated. International premium cards often carry higher fees than U.S. equivalents, offering favorable revenue dynamics. 🧠Investor Perception & Competitive Outlook Management addressed recent investor skepticism related to valuation and competition, reaffirming long-term growth drivers and execution consistency. Emphasized resilience of spending trends, stable customer acquisition, superior credit performance, and competitive product differentiation. Management sees increased competition as a validation of the market opportunity, not a threat, and credits past industry activity with expanding demand for premium products. Confident that refreshed strategy, elevated customer service, and scaled global platform position AXP to sustain 8%–10% revenue growth in a moderate macro environment. XXX engagements  **Related Topics** [stocks technology](/topic/stocks-technology) [faster](/topic/faster) [asset allocation](/topic/asset-allocation) [quarterly earnings](/topic/quarterly-earnings) [$axp](/topic/$axp) [stocks financial services](/topic/stocks-financial-services) [Post Link](https://x.com/LongYield/status/1946327504630972719)
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LongYield @LongYield on x 4474 followers
Created: 2025-07-18 21:53:32 UTC
$AXP American Express Company Earnings Call Key Highlights: (2/2)
đź’Ľ Expense Management & Operating Leverage
Variable Customer Engagement (VCE) expenses grew faster than revenue in Q2, in line with expectations due to the premium mix and marketing investments.
Operating expenses (excluding Accertify) rose X% YoY, driven primarily by investments in enterprise risk management and technology as the business scales.
Despite the higher OpEx, AXP delivered four points of operating leverage since 2023, with OpEx as a percentage of revenue improving from XX% to 21%.
Marketing spend grew in the mid-single digits, with elevated spend levels attributed to increased demand and continued strong returns on acquisition efforts.
🏛️ Capital Position & Shareholder Returns
Common Equity Tier X (CET1) ratio stood at 10.6%, comfortably within the 10%–11% target range, providing ample capital flexibility.
Returned $X billion to shareholders during Q2 through $XXX billion in dividends and $XXX billion in share repurchases; dividend was increased by XX% in Q1.
The Fed CCAR test reaffirmed a XXX% stress capital buffer—the lowest possible—highlighting the company’s conservative risk posture and capacity to return excess capital.
Return on equity (ROE) reached XX% in Q2, underscoring continued high capital efficiency and earnings power.
🛠️ Technology, Blockchain, and Stablecoin Strategy
Continued investment in enterprise technology capabilities, with active monitoring of blockchain and stablecoin developments for potential cross-border and SME use cases.
New partnership with Coinbase enables Card Members to earn digital currencies and offers off-ramp solutions for stablecoin holders.
Management reaffirmed stablecoins are unlikely to replace existing payment rails due to limited value-added services (e.g., rewards, dispute resolution), but could complement wire and ACH systems.
Amex Ventures remains active in fintech innovation, with a focus on long-term infrastructure enhancements in payments and lending ecosystems.
🌍 International Business & Acceptance Expansion
International revenues continued to grow at a double-digit pace, supported by increased merchant acceptance and premium product demand.
Amex continues expanding coverage with strong progress in its five strategic international markets and millions of new merchant relationships added.
Management sees long-term upside in international small business penetration, where premium card offerings are nascent and underpenetrated.
International premium cards often carry higher fees than U.S. equivalents, offering favorable revenue dynamics.
🧠Investor Perception & Competitive Outlook
Management addressed recent investor skepticism related to valuation and competition, reaffirming long-term growth drivers and execution consistency.
Emphasized resilience of spending trends, stable customer acquisition, superior credit performance, and competitive product differentiation.
Management sees increased competition as a validation of the market opportunity, not a threat, and credits past industry activity with expanding demand for premium products.
Confident that refreshed strategy, elevated customer service, and scaled global platform position AXP to sustain 8%–10% revenue growth in a moderate macro environment.
XXX engagements
Related Topics stocks technology faster asset allocation quarterly earnings $axp stocks financial services