American Express Company (AXP), a provider of charge and credit payment card products and travel-related services, has disclosed an 8.83 percent rise in earnings for the quarter ended Jun. 30, 2014.
The company earned $1,529 million or a $1.43 a share in the second quarter compared with $1,405 million or null $1.27 a share, a year ago. Analysts on average had predicted net income of $1.38 a share.
Revenue during the second-quarter climbed 5 percent to $8657 million from $8245 million in the last year period.
Net interest income for the quarter rose 9.48 percent over the prior year period to $1316 million.
Non-interest income for the quarter rose 4.23 percent over the last year period to $7,341 million.
American Express has made provision of $489 million for loan losses during the quarter, which was lower by 5.60 percent from $518 million in the same period last year.
''The strong underlying performance this quarter reflected a continuation of some familiar themes: higher Card Member spending, credit metrics at or near their historic lows, a modest increase in loan balances, continued success in containing operating expenses and a substantial return of capital to our investors through share repurchases,'' said Kenneth I Chenault, chairman and chief executive officer.
Shares of the company declined 15 cents or 0.16 percent to close at $91.71 on Tuesday.