Post Magazine

Post Magazine: "Axa earnings up despite flat revenues
AXA UK has reported underlying earnings of �118 million for the first half of 2005 � up 19% on H1 2004.
Globally, AXA reported a earnings of Euro 1,761 million, up 26% on the first half of 2004 (Euro 1,398 million). Henri de Castries, AXA Chief Executive Officer commented on 6 September 2005, �The combination of continued focus on efficiency improvement, organic growth and opportunistic acquisitions has enabled the Group to deliver another strong performance in the first half of 2005. We believe we are well on track to deliver strong double digit earnings growth for the full year 2005 despite the recent weather related events in the US.�
In the UK and Ireland, underlying earnings of �118 million for the first half of 2005 were 19% ahead of the first half of 2004 (�99 million). All AXA businesses in the UK have made a positive contribution to this improved result, a company statement said.
Total non life revenues in the UK and Ireland were flat at �1.56bn for the first half of 2005. This reflects rate softening in UK commercial lines and adverse developments in motor in Ireland offset by strong growth in UK personal lines (up by 9%) with property up by 16% and creditor up 24%.
UK health revenues also improved by 8% through the transfer of a major portfolio in the second half of 2004 and the successful launch of lower premium products designed to appeal to a wider market segment.
Non-life underlying earnings increased by �12 million to �110 million for the first half of 2005. It's combined ratio has been maintained at 97.3% for the first half of 2005 (97.5% for the first half of 2004) with lower average premiums together with higher motor claims frequency in Ireland being balanced by a better overall claims "