10:20 AM EST, 01/24/2025 (MT Newswires) -- American Express' ( AXP ) fourth-quarter results rose year over year and came in slightly ahead of market estimates, while the payments company projects results in 2025 to be higher than the previous year.

Per-share earnings are set to come in between $15 and $15.50 for the current year on revenue growth of 8% to 10%. The consensus of analysts on FactSet is for GAAP EPS of $15.26 and revenue of $71.27 billion. The firm's net income climbed 25% to $14.01 a share in 2024, while revenue grew 9% to $65.95 billion.

"The revenue guidance reflects the balance between the spend environment we saw for the most of the year and the acceleration in spend growth we saw in (the fourth quarter)," Chief Financial Officer Christophe Le Caillec said on an earnings call, according to a FactSet transcript. "If the spend momentum we saw in (the fourth quarter) were to continue, we would expect revenue growth to be closer to the high end of the range all equal."

For the December quarter, the company's profit increased to $3.04 a share from $2.62 the year before, just above the Street's view for $3.03. Revenue, net of interest expense, rose to $17.18 billion from nearly $15.8 billion, driven by factors including robust card member spending and higher net interest income, the firm said. Analysts' estimate was for $17.16 billion.

US consumer services revenue advanced 12% to $8.25 billion while international card services climbed 11% to $2.99 billion. Commercial services rose 8% to $4.12 billion, while global merchant and network services declined 2%.

"We exited the year with increased momentum, with billings growth accelerating to 8% in the fourth quarter, driven by stronger spending from our consumer and commercial customers during the holiday season," Chief Executive Stephen Squeri said in a statement. "I am confident that we can sustain our strong momentum over the long term."

Provisions for credit losses totaled $1.29 billion, compared with $1.44 billion a year earlier, reflecting a lower net reserve build, partially offset by higher net write-offs, according to the company.

American Express ( AXP ) said it plans to raise its quarterly dividend by 17% to $0.82 per share, beginning with the first quarter of 2025.

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