AXA, Q1 2019: Strong and disciplined growth in first three months

In the first quarter of 2019, AXA Group reached EUR 35 billion in total revenues, increasing by 3% compared to the first quarter of 2018. European market (including French market) brought more than half of total AXA revenues (55.7%).


Key highlights:

  • Gross revenues: EUR 34,953 million (+3%, compared to Q1 2018), of which:
    • Life & Savings: EUR 12,872 million (+1%)
    • Property & Casualty: EUR 17,267 million (+4%)
    • Health: EUR 3,777 million (+6%)
    • Asset Management: EUR 930 million (-7%)
  • New Business Value (NBV): EUR 672 million (-2%)
  • NBV margin: 39% (-1 pt)
  • Solvency II ratio: 190%


Total revenues were up 3% due to (i) AXA XL (+7%) as the strong growth in both P&C Insurance and Specialty was partly offset by lower volumes in Reinsurance, notably in Property Cat lines, (ii) Europe (+2%) due to higher volumes in Commercial lines across all countries and higher sales in Life & Savings in Italy, (iii) the United States (+5%) from higher Unit-Linked sales, (iv) Asia (+6%) with higher revenues in Hong Kong and (v) International (+6%) notably in Mexico and Turkey. This was partly offset by France (-2%) mainly due to lower Unit-Linked sales.

Annual Premium Equivalent, APE (new business volume) was stable, as growth in (i) Asia (+23%) mainly due to China from higher New Year sales of G/A4 Savings products, as well as Japan and Hong Kong both driven by higher Protection sales, was offset by (ii) France (-13%) notably from the non-repeat of exceptional sales in Group International Health business and (iii) Europe (-5%) in the context of the strategic shift from full-value insurance to semi-autonomous contracts in Group Life in Switzerland.

New Business Value (NBV) was down 2% to Euro 0.7 billion. NBV margin was down 0.8 point to 39.3% mainly from a less favorable business mix in China.

Solvency II ratio was 190%, down 3 points vs. December 31, 2018, mainly driven by unfavorable market conditions (lower interest rates, partly offset by favorable forex), the negative impact of changes by EIOPA in both the Ultimate Forward Rate and the reference portfolio weights for the volatility adjuster, and the effect of transitioning entities that were part of the XL Group from the equivalence with the Bermudian regime to using the Solvency II standard formula.


Gerald HARLIN, Deputy CEO and Group CFO of AXA, said:

"AXA delivered another strong performance in the first quarter of 2019. Our topline grew overall across the Group, and particularly strongly in each of our three preferred segments: Health, Protection and P&C Commercial lines. (...) We have made significant progress towards our ambitions again this quarter. I am grateful to all our colleagues and partners for their strong support and passion, and would like to thank our clients for their continued trust."


Source: AXA 1Q19 Activity indicators

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