American Express (Amex) has reported a net income of $825m, or $0.88 per diluted share, for the fourth quarter ended 31 December 2016, a decrease of 8.2% compared to $899m, or $0.89 per diluted share, for the same period of 2015.
The credit card issuer said that its total revenues net of interest expense were $8.02bn, down by 4.3% from $8.3bn during the corresponding period a year ago.
US Consumer Services business has recorded a net income of $351m, a decrease of 35% compared to $541m a year ago. Total revenues net of interest expense decreased 10% to $3bn from $3.4bn a year earlier.
International Consumer and Network Services’ net income registered a 40% decline to $84m compared to $140m a year ago quarter.
Global Commercial Services reported fourth ? quarter net income of $382m, down 22% from $487m a year ago. The year ? ago period included Costco ? related revenues, provisions and expenses.
Amex chairman and CEO Kenneth Chenault said: "At the start of 2016 we said we would move with a strong sense of urgency to change the trajectory of our business.
“The results we’re reporting today reflect substantial progress on that commitment. Revenue performance strengthened sequentially and showed year ? over ? year growth on an adjusted basis. We are ahead of plans to reset our cost base and improve our operating efficiency.
“We were able to make substantial investments to capitalize on opportunities in the marketplace and strengthen our competitive position.”