Axa posts strong Q2 profits

European insurer Axa has posted strong results for the second quarter of 2014 driven by strong growth in all business lines.

The insurer’s net income rose to €3 billion, a 22 percent jump from €2.5 billion in the second quarter of 2013. Its underlying earnings also grew to €2.8 billion in the quarter, compared with €2.6 billion in the same period of the prior year.

However, its total revenues fell 1 percent to €49.7 billion, compared with €50 billion in the second quarter of 2013. Its combined ratio for the quarter was 95.8 percent, a 0.1 percent increase from the prior year second quarter.

The insurer posted 2 percent growth in its life and savings segment, 2 percent growth in its property and casualty and 4 percent growth in its asset management segment.

"This half year is another stepping stone to achieving Ambition AXA. The effective implementation of our strategy has delivered strong earnings growth, the highest first half underlying earnings in the company's history", said Henri de Castries, chairman and chief executive officer of AXA.

"Life & savings topline is on track to deliver growth for the year while margins are enhanced through our selectivity initiatives. In property and casualty we are growing our portfolio and maintaining robust underwriting discipline. Asset management has recorded stronger net inflows of €14 billion in the first half of this year. Additionally, we continue to implement our efficiency strategy across the Group, and have increased our cost savings target by €0.2 billion to €1.9 billion by 2015."

"Looking ahead, Ambition AXA targets remain our top priority. I am grateful to our clients for their trust and our teams for their commitment which enable us to continue to create value for our customers, shareholders and communities."