AXA Third Quarter Results Are Looking Good

The latest results update from AXA is pretty positive all round, here are the highlights;

Total revenues were up 2% driven by Property & Casualty (+3%),with growth in Commercial lines Insurance revenues (+6%) from continued favorable price effects, partly offset by Nat Cat exposure reduction at AXA XL Reinsurance (-20%) while Personal lines revenues grew by +4% driven by improved pricing, notably in Europe,  Health (+14%), with continued strong growth across all geographies, and Asset Management (+2%) with higher transaction fees.

This was partly offset by Life & Savings(-6%), as the growth in Protection was more than offset by lower revenues in Unit-Linked, notably from the non-repeat of a large Group contract in France, and in G/A5 Savings mostly in France, Italy and Japan.

SOLVENCY

Solvency II ratio3 was 225% as of September 30, 2022, down 2 points versus June 30, 2022, resulting mainly from an operating return net of accrued dividends (+1 point) which includes theimpact from elevated Nat Cats (-1 point), more than offset by negative financial market effects (-3 points) due to increased implied volatility and lower equity performance, partly compensated by higher interest rates.

PROPERTY AND CASUALTY

• Commercial lines Insurance revenues increased by 6% to Euro 24.4 billion driven by Europe (+7%) and France (+8%), both from higher volumes and favorable price effects, AXA Assistance (+33%), primarily from strong volumes in Travel, and AXA XL Insurance (+1%), from favourable price effects, partly offset by lower exposure reflecting continued underwriting discipline.
• AXA XL Reinsurance revenues decreased by 20% to Euro 2.9 billion as a result of a strong reduction in Nat Cat exposure, in line with our strategy. This was partly offset by favorable price effects.
• Personal lines revenues were up 4% to Euro 13.3 billion, driven by both higher revenues in non-Motor (+4%), mainly from favorable price effects in particular in Europe, reflecting improved momentum in Belgium, UK & Ireland, and Spain, and Motor (+3%) across all geographies,mostly driven by improving pricing trends in Turkey and Europe.

HURRICANE IAN IMPACT

Hurricane Ian made landfall in the United States on September 28, 2022, impacting the state of Florida and subsequently several Southeastern states of the United States. It is expected to be one of the costliest hurricanes to hit the United States in recent years. Management’s preliminary estimate of claims from Hurricane Ian is ca. Euro 0.4 billion, grossof tax and net of reinsurance. This equates to a market share of around 0.7%8 based on a current estimated industry insured loss of ca. USD 60 billion.

More in-depth results data can be found here. 
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About alastair walker 10539 Articles
20 years experience as a journalist and magazine editor. I'm your contact for press releases, events, news and commercial opportunities at Insurance-Edge.Net

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