American Express announced on February 3, 2026 that the annual fee for its Platinum Card will remain at $895 for renewals beginning January 2, 2026, while the company will implement a new Centurion Lounge access policy effective July 8, 2026. The fee increase is part of a broader refresh that added statement credits for Lululemon, Oura Ring, Resy dining, and Uber One, and it is designed to support the company’s record $10 billion in Net Card Fees for 2025, an 18% year‑over‑year rise.
The company’s Q4 2025 results reflected the impact of the Platinum refresh. Revenue of $18.98 billion beat expectations by $0.06 billion, driven by a 9% increase in billed business and strong demand from affluent customers. However, earnings per share of $3.53 fell short of the $3.54 consensus by $0.01, a miss attributed to the cost of the card refresh and a modest decline in the travel‑related fee mix. The miss prompted analysts to focus on the short‑term impact of the refresh rather than the long‑term revenue upside.
Competitive pressure from rivals such as JPMorgan Chase’s Sapphire Reserve and Citi’s Strata Elite has intensified the premium card market. In response, Amex is tightening lounge access—requiring guests to be on the same flight and limiting layovers to five hours—to preserve exclusivity and manage capacity. The fee hike and access restrictions are intended to offset the higher costs of the refreshed benefits while maintaining pricing power against competitors raising their own fees.
Stephen Squeri, Chairman and CEO, said the company is “focused on delivering a premium experience that justifies the higher fee.” CFO Christophe Le Caillec added that spending from Gen Z and millennial cardholders is now larger than that of Gen X, underscoring the company’s confidence in its affluent customer base and the long‑term value of its premium products.
Investors reacted to the Q4 earnings by scrutinizing the EPS miss, which highlighted the cost of the Platinum refresh. Despite the miss, management’s guidance for 2026—projecting earnings per share between $17.30 and $17.90—signals confidence in continued growth driven by strong demand and disciplined cost management.
The fee increase is expected to raise net card‑fee revenue, while the July 8 lounge policy will help sustain the Centurion brand’s exclusivity. Together, these moves position American Express to maintain its high‑margin fee income and defend its premium market share against rivals that are also raising fees and expanding benefits.
The content on EveryTicker is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.