Summary
This 8-K filing from American Express (AXP) provides a snapshot of key credit performance metrics for its U.S. Consumer and U.S. Small Business Card Member lending portfolios as of and for the periods ending January 31, February 28, and March 31, 2019. Investors can find preliminary data for March 2019 and the first quarter of 2019, which offers insights into the company's asset quality and risk management. The data indicates stable delinquency rates and a slight upward trend in net write-off rates for the U.S. Consumer portfolio in the first quarter of 2019, while the U.S. Small Business portfolio showed more consistent performance. The filing also includes separate credit performance data for the American Express Credit Account Master Trust, which is securitized, and clarifies how this data may differ from the broader loan portfolios. Overall, the report offers transparency into American Express's credit exposure and its trends.
Key Highlights
- 1Preliminary U.S. Consumer Card Member loans totaled $58.0 billion as of March 31, 2019.
- 2U.S. Consumer 30-day past due loans remained stable at 1.5% across the reported periods.
- 3The net write-off rate for U.S. Consumer Card Member loans increased slightly to 2.5% for the three months ended March 31, 2019, up from 2.4% in February and 2.2% in January.
- 4U.S. Small Business Card Member loans stood at $12.7 billion as of March 31, 2019.
- 5U.S. Small Business 30-day past due loans held steady at 1.3% throughout the reported months.
- 6The net write-off rate for U.S. Small Business Card Member loans was consistent at 1.8% or 1.9% for the periods presented.
- 7Data for the American Express Credit Account Master Trust shows an increasing annualized default rate, net of recoveries, from 1.2% in January to 1.6% in March 2019.