By Noemie Bisserbe
PARIS--AXA SA (CS.FR), Europe's second-largest insurer by market
value, said Thursday revenue in the first nine months of the year
held up despite slower growth in Asia.
In the nine months to Sept. 30, revenue rose to 69.5 billion
euros ($95.89 billion), from EUR68.4 billion a year ago, below
analyst forecasts of EUR70.6 billion, according to a Dow Jones
survey.
Revenue at the life and savings, and the property and casualty
divisions was up 1% to EUR41.4 billion and EUR22.6 billion,
respectively. The group's international insurance business was up
7% to EUR2.6 billion, while asset management revenue rose 6% to
EUR2.6 billion.
Life and savings annual premium equivalent, known as APE, was up
5% at EUR4.6 billion, from EUR4.4 billion in the same period last
year. APE measures new business growth for life insurance by
combining the value of payments on new regular premium policies,
and 10% of the value of payments made on one-time, single-premium
products.
As part of a new strategic plan detailed back in June 2011, AXA
has been investing in fast-growing businesses and emerging markets,
and pulling out of parts of Europe and the U.S., plagued by
sluggish growth.
Last April, the group announced the sale of its U.S. MONY Life
Insurance Co. as well as the reinsurance of a book of life
insurance policies, to Protective Life Corp. (PL) for $1.06
billion. Later that month, the French insurer, however, agreed to
buy a 50% share of Chinese insurer Tian Ping for EUR485
million.
AXA is targeting an annual growth rate of 10% in earnings per
share by 2015 and also aims to cut costs by EUR1.7 billion in 2015
from 2011's level.
AXA said its solvency ratio--a key measure of an insurance
company's financial strength--was 222% at the end of September, up
from 220% a year ago.
Shares closed flat at EUR18.64, valuing the company at EUR44.68
billion.
Write to Noemie Bisserbe at noemie.bisserbe@wsj.com
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