American Express cuts 5% of its workforce as record revenue tops $20 billion

American Express said Friday it is eliminating about 5% of its global workforce. CEO Stephen Squeri disclosed the cut on the company's earnings call, and CFO Christophe Le Caillec told CNBC the restructuring is meant to make the company "leaner, more agile, and also to prepare for AI." CNBC reported that Amex had almost 77,000 employees at the end of 2025.

The cut came with good results, not bad ones. In its third-quarter earnings release, filed with the SEC on Friday, Amex reported record quarterly revenue of $20.1 billion, up 9% from a year earlier, and raised its full-year earnings guidance.

The numbers in the filing

The headline EPS of $5.42 is flattered by a $982 million pre-tax gain from selling its stake in Global Business Travel Group, and by a lower tax rate (18.1% against 24.1%). Amex's own adjusted figure, which strips out the gain net of the portion used to fund restructuring, is $4.68, up 13%. Full-year EPS guidance is now $18.30 to $18.60 ($17.60 to $17.90 adjusted).

What the $336 million buys

Squeri said the company is taking a $336 million restructuring charge in the quarter. Charges like this typically cover severance. Dividing that figure by 5% of roughly 77,000 jobs, about 3,850 positions, gives something near $87,000 per role. That is our arithmetic on rounded figures, not a number Amex has given, and the charge may not all be severance.

Le Caillec's explanation is the more useful clue. He said the company wants to "reduce layers and increase spans of controls" so it can automate processes "in the coming quarters and the coming years." That points to management layers and process work rather than customer-facing jobs, though Amex has not broken the cut down by function in the material we read.

Why business owners should care

Amex is not only a consumer card. The same release lists a new Amex Business Savings account, a next-generation Amex Corporate expense platform, a new Resy integration with OpenAI, and acceptance at more than 190 million merchant locations. Billed business, the total spent on its cards, grew 8% on a currency-adjusted basis, which is a direct read on how much customers, including small companies, are still spending.

Credit looks steady. The write-off rate of 1.8% is slightly better than last year's 1.9%, and provisions for credit losses fell to $1.0 billion from $1.3 billion, partly because of a reserve release. For an owner who runs payroll and vendor payments on a charge card, nothing in the filing signals tighter credit.

The market's read

Amex shares were trading at $320.22 at 9:51 a.m. Eastern, down 1.52% on the day, according to Nasdaq.com. The stock is 16.8% below its December 11, 2025 peak by our chart. The pattern, a raised outlook and a falling share price, matches what happened to several companies this week: strong numbers met a market already wary of the AI trade. We have not found a statement from Amex or an analyst tying today's move to the job cuts specifically.

Sources: American Express filings on SEC EDGAR; CNBC; WSJ; Nasdaq.com. Related: markets. This is market information, not investment advice.