Chief Executive Stephen Squeri described the cuts as a necessary step to foster agility, noting that while the company maintains strong momentum, it must optimize its structure to remain competitive. The layoffs coincide with a robust third-quarter performance, where the company reported a profit of $3.71 billion, or $5.42 per share, comfortably outpacing the $2.9 billion earned during the same period last year. Despite the upbeat financial report, shares dipped 2.9% to $315.80 in Friday's premarket trading, reflecting investor reaction to the workforce reduction.

American Express has simultaneously raised its annual earnings forecast to between $18.30 and $18.60 per share, bolstered by the divestment of its stake in Global Business Travel Group. The company continues to see significant traction with its high-end membership model, particularly its Platinum card, which remains a primary growth driver in the U.S. consumer segment. By reallocating resources from the restructuring toward core priorities—specifically adding travel and luxury perks—management intends to secure its hold on higher-income consumers who continue to increase their spending on the platform.