PARIS (Reuters) – AXA reported on Wednesday a turnover (gross written premiums and other income) generally in line with analysts’ expectations, confirming its annual objectives as part of its strategic plan.
The number two insurance company in Europe indicated in a press release that its turnover increased by 7% on a comparable basis to 84 billion euros for the first nine months of the year.
Analysts on average expected a level slightly higher than 84.142 billion euros, according to a consensus compiled by the group.
In terms of revenue, Axa benefited from the dynamism of all of its activities, with property and casualty insurance activities showing an increase of 7% on a comparable basis to 44.5 billion euros, life and health insurance activities of 7% to 38.2 billion euros and those of asset management by 6% to 1.2 billion euros.
The insurance group benefited from a significant price effect in property and casualty insurance, with price changes at the end of September reaching +5.9% in total and +10.6% in personal insurance.
In the press release, Axa estimates the preliminary combined amount of losses linked to hurricanes Helene and Milton at less than 200 million euros before tax and net of reinsurance, maintaining its annual claims budget linked to natural catastrophes at 4.5 ratio points combined.
Its solvency II ratio, a key measure of its financial health, stood at 221% at the end of September, down six points compared to the first half of 2024 when analysts expected a level of 224%.
This ratio decreased due to unfavorable market effects with the fall in interest rates and the widening of government bond spreads, explained Axa financial director Alban de Mailly Nesle during a conference. telephone with journalists, still mentioning “an excellent level”.
Asked about the consequences of the revenue component of the Finance Bill for 2025 presented by the government, Alban de Mailly Nesle recalled that France represented around a quarter of the insurance group’s results.
“At this stage, we do not believe that this will have an impact that would cause us to deviate from our ambitions in terms of growth in our results,” added the financial director of Axa.
The group confirmed its objective of achieving growth in operating profit per share of between 6% and 8% in 2024 in line with its 2023-2026 strategic plan.
Concerning the timetable for the sale of Axa IM, “We are still in line to finalize the transaction around the end of June and beginning of July”, indicated Alban de Mailly Nesle.
(Writing by Bertrand De Meyer, edited by Kate Entringer)
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