May 18, 2024

Amex GBT earnings boosted by new client wins

New client wins across a number of industries have helped American Express GBT report a strong set of financial results for 2023.

“We acquired significant new client wins in entertainment, financial services asset management and green energy, contributing to our total new wins value of $3.5 billion,” said President Andrew Crawley.

“Looking ahead, we will continue to enhance our software and experience capabilities and invest in long-term technology resilience to deliver for our customers.”

Amex GBT CEO Paul Abbott said the account wins included $2.2 billion among small and midsized enterprises.

He said SME transaction growth was “relatively faster” in 2023, up 20% year on year compared with a 17% year-on-year rise among global multinational clients.

Revenue for the year to December 31 2023 increased 24% to $2.3 billion compared to the full year 2022 while TTV was up 23% to $28.2 billion.

Looking forward to 2024, the group forecast 6-9% revenue growth driven by “expected stable growth in business travel and continued share gains”.

It aims to grow margins by focusing on productivity and leveraging automation and artificial intelligence (AI) to deliver 18%–32% Adjusted EBITDA growth to $450–$500 million.

Abbott added: “In 2023, we delivered outstanding financial results, with revenue and Adjusted EBITDA finishing above the guidance issued at the start of the year.

“We expect our scalable model to generate 18% to 32% Adjusted EBITDA growth in 2024 as we settle into a more stable level of industry growth.

“We expect 2024 will be another year of share gains, strong growth in profits and cash flow and continued margin expansion.”