(Reuters) – American Express reported a first-quarter profit on Friday that beat Wall Street estimates, thanks to its wealthy customers increasing spending as recession fears faded.

American Express reaffirmed its 2024 earnings per share forecast of $12.65 to $13.15 per share and revenue growth of 9% to 11%.

American Express shares gained around 2% in pre-market trading in New York.

“We continue to attract high-spending, high-credit quality customers,” Stephen Squeri, chief executive, said in a statement.

The credit card issuer has been immune to changes in spending and downplayed fears of an economic slowdown over the past two years, bucking a broader trend of slowdown expectations of consumption.

American Express’ provisions amounted to $1.3 billion (939.67 million euros) in the first quarter, compared to $1.1 billion recorded a year ago.

The New York-based company earned $3.33 per share for the quarter ended March, up from $2.40 per share a year earlier.

According to LSEG data, analysts were expecting earnings of $2.96 per share.

(Reporting Mehnaz Yasmin and Niket Nishant in Bangalore; Lina Golovnya, edited by Blandine Hénault)

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