Axa Posts Rise in 1Q Revenue Boosted by Property and Casualty Business

By Pierre Bertrand

Axa on Monday reported a rise in its first-quarter revenue driven by growth at its property and casualty business.

The French insurer's total gross revenue came to 31.8 billion euros ($34.51 billion) in the quarter, a 2% rise compared with EUR31.17 billion a year ago.

Revenue for the period rose 6% at its property and casualty business, while revenue fell 4% at both its life and health and its asset management units, Axa said.

Within property and casualty, commercial lines revenue grew 7% due to favorable prices and higher volumes, while personal-lines revenue grew 4%, again driven by prices.

Life and health revenue declined due to lower premiums, the insurer said.

Asset management saw net inflows of more than a billion euros, but revenue decreased 4%, driven by lower management fees due to a lower average asset base. Average assets under management at the end of the first quarter decreased 7% to EUR736 billion, Axa said.

The insurer's Solvency II ratio--a measure of an insurer's financial strength--was 217% in the first quarter, up 2 percentage points from Dec. 31, 2022.

Axa added that it expects Solvency II normalized operating capital generation of between 25 to 30 points this year and that it is confident it can achieve more than EUR7.5 billion underlying earnings in 2023.

Write to Pierre Bertrand at [e-mail]

(END) Dow Jones Newswires

May 15, 2023 01:23 ET (05:23 GMT)

Copyright (c) 2023 Dow Jones & Company, Inc.