AXA publishes today its 1Q 2023 Activity Indicators.

Paris, May 15, 2023 (7:00am CET)

1Q23 Activity Indicators

Gross written premiums and other revenues1up 1% to Euro 31.8 billion
- P&C Commercial lines2 premiums up 7% to Euro 11.5 billion
- P&C Personal lines premiums up 4% to Euro 5.9 billion
- Protection premiums up 2% to Euro 4.4 billion
Solvency II ratio3 at 217% up 2 points vs. FY22
Group underlying earnings target4 of above Euro 7.5 billion in 2023
Publication of 1H22 and FY22 earnings under IFRS17/9 accounting standards4

"AXA performed well in the first quarter of 2023", saidAlban de Mailly Nesle, Chief Financial Officer of AXA. "We delivered robust growth in technical lines and our balance sheet remains very strong with a 217% Solvency II ratio."

"Our activity indicators are again of excellent quality. We recorded strong premium growth in P&C Insurance up 6% and in Protection Insurance up 2%. We also continue to deliberately right-size some specific businesses, including in Property Catastrophe Reinsurance, in traditional G/A Savings and across some Group Health international contracts. This should be largely completed by year-end."

"Our fundamentals are strong across all our businesses. Pricing momentum remains favorable in P&C and Health, and our Life performance is resilient reflecting the dynamism of our proprietary distribution networks."

"The Group enters the last year of its "Driving Progress 2023" plan in a position of strength. We have an attractive business mix focused on technical and cash generative lines set to deliver organic growth over time. Our balance sheet is very strong, with a high level of solvency and a prudent and diversified asset allocation. All of this places us well in the current uncertain and volatile economic environment."

"This year marks an important milestone for our company and our industry as we move to the new IFRS17/9 accounting standards. Today we are publishing our 2022 results restated under the new standards and confirm that our earnings power remains unchanged, and there is no change to cash and capital. We are confident that we will achieve more than Euro 7.5 billion underlying earnings in 2023, including a negative Euro 0.1 billion foreign exchange impact, subject to prevailing market conditions and a normalized level of natural catastrophe charges."

"I would like to thank all our colleagues, agents and partners for their commitment and support, as well as our clients for their continued trust."

KEY HIGHLIGHTS

1Q23 key highlights

Key figures (in Euro billion, unless otherwise noted)

	1Q22	1Q23	Change on a	Change on a
	reported basis	comparable basis

Gross written premiums & other revenues1	31.2	31.8	+2%	+1%
o/w Property & Casualty	17.6	18.6	+5%	+6%
o/w Life & Health	13.1	12.8	-2%	-4%
o/w Asset Management	0.4	0.4	-4%	-4%
NBV margin (%)5,6
5.2%	5.6%	+0.4pt	+0.4pt

	FY22	1Q23	Change on a
	reported basis


Solvency II ratio (%)3	215%	217%	+2 pts

Total gross written premiums and other revenues1were up 1%, driven by (i) Property & Casualty (+6%), with growth in5Commercial lines2(+7%) from continued favorable price effects as well as higher volumes notably across AXA XL and Europe, and in Personal lines (+4%), driven by favorable6price effects7, partly offset by Nat Cat exposure reduction at AXA XL Reinsurance(-2%).This was partly offset by (ii) Life & Health (-4%),with Life down 4% from lower premiums in Savings(-9%)mainly in Italy and France reflecting challenging market conditions, partly offset by growth in Protection (+2%), and Health down 5% following thenon-renewalof two large legacy international Group contracts, and

Asset Management(-4%) from lower management fees, reflecting a lower average asset base due to unfavorable market conditions.

Solvency II ratio3 was 217% as of March 31, 2023, up 2 points versus December 31, 2022, mainly from

a strong operating retu(+7 points) net of accrued dividend for 1Q23 (-4 points), (ii) management actions (+5 points) to further narrow the duration gap, partly offset by (iii) regulatory and model changes (-6 points) mainly from the combined impact of the change in the EIOPA reference portfolio and the IBOR transition, partly compensated by other model changes. There was no net impact from financial markets as lower interest rates were offset by higher equity markets and lower implied volatility.

The Group now expects Solvency II normalized operating capital generation8 of 25 to 30 points in 2023, reflecting greater alignment of underlying earnings with Solvency II capital generation and the impact of lower required capital at the end of 2022.

Page 2

LINES OF BUSINESS

Property & Casualty

Key figures (in Euro billion)	Gross written premiums and other revenues	Total price effect7
	1Q22	1Q23	Change on a	1Q23 (in %)
	comparable basis


Commercial lines	10.7	11.5	+7%	+4.5%
Personal lines	5.7	5.9	+4%	+4.8%
AXA XL Reinsurance	1.2	1.2	-2%	+12.5%
Total P&C	17.6	18.6	+6%	+5.1%

Gross written premiums & other revenues were up 6% to Euro 18.6 billion.

Commercial lines premiums increased by 7% to Euro 11.5 billion, driven by (i) Europe (+7%) both from favorable price effects and higher volumes across all countries, (ii) AXA XL Insurance (+4%) reflecting reacceleration of pricing across most lines of business and higher volumes in Property and Specialty lines, partly offset by lower premiums in North America Professional lines and continued underwriting discipline in International Casualty, (iii) Asia, Africa & EME-LATAM (+31%) mostly driven by Turkey from favorable price effects, and (iv) France (+6%) from favorable price effects.
Personal lines premiums increased by 4% to Euro 5.9 billion, resulting from higher premiums in Motor (+6%), mostly from favorable price effects across all countries, with the exception of Switzerland, where pricing is stable, and in Non-Motor (+2%), from favorable price effects, in particular in Europe, partly offset by lower volumes.
AXA XL Reinsurance premiums decreased by 2% to Euro 1.2 billion, driven by lower premiums in Property Cat reflecting reduction in exposure, in line with the Group's strategy, partly offset by strong price increases. Casualty and Specialty premiums were higher, mostly from favorable price effects.

Group natural catastrophe experience in the first quarter of 2023 was in line with expectations.

Page 3

LINES OF BUSINESS

Life & Health

Key figures (in Euro billion, unless otherwise noted)

	1Q22	1Q23	Change on a
	comparable basis


Gross written premiums & other revenues	13.1	12.8	-4%
PVEP5,6	14.2	11.7	-17%
NBV (post-tax)5,6	0.7	0.7	-11%
NBV margin (%)	5.2%	5.6%	+0.4pt
Net flows5	+1.7	-0.7

Gross written premiums & other revenues were down 4% to Euro 12.8 billion.

Life premiums decreased by 4% mainly due to lower premiums in Unit-linked(-17%) reflecting challenging market conditions, notably in France and Italy, and lower sales of traditional G/A9 products (-21%) in line with the Group's strategy. This was partly offset by continued success of capital-light Eurocroissance product in France, as well as growth in Protection (+2%), notably in Japan and Switzerland.
Health premiums decreased by 5% following the non-renewal of two large legacy international Group contracts. Excluding the impact of those two large contracts, Health premiums increased by 7%, with continued growth across all geographies.

Present value of expected premiums (PVEP)5,6 was down 17% to Euro 11.7 billion, driven by (i) Life (-18%) from G/A Savings, in line with the Group's strategy, as well as from Protection, notably reflecting higher interest rates, and by (ii) Health (-12%) also from higher interest rates.

Total NBV5,6 was down 11% to Euro 0.7 billion. NB CSM5,6,10 on a pre-tax basis, was down 4% to Euro 0.6 billion, primarily driven by Life (-5%) from Protection (-13%), notably as a result of higher interest rates impacting the present value of future profits, and Unit-linked(-30%) from lower volumes in France and Italy, partly offset by G/A Savings (+64%) reflecting a favorable mix, notably with a higher share of Eurocroissance, and Health (+2%) mainly from Switzerland reflecting higher pricing.

NBV margin5,6 was up by 0.4 point to 5.6%, reflecting improved underlying new business profitability. This was driven by higher margins in G/A Savings reflecting a higher share of Eurocroissance, as well as in Health from the non-renewal of two large legacy international Group contracts.

Net flows5 amounted to Euro -0.7 billion, driven by (i) G/A Savings (Euro -2.8 billion) reflecting outflows in traditional G/A across all geographies, in line with the Group's strategy. This was partly offset by (ii) Protection (Euro +1.6 billion), mostly in Asia, Switzerland and France, (ii) Health (Euro +0.4 billion), mainly from Germany and Asia, and (iii) Unit-Linked (Euro +0.1 billion), mostly in France.

Page 4

LINES OF BUSINESS

Asset Management

Key figures (in Euro billion)
	1Q22	1Q23	Change on a
	comparable basis


AUM	887	842	-5%
Average AUM11	790	736	-7%
Net inflows	+9.2	+1.1

Gross revenues	0.4	0.4	-4%

Average assets under management11 decreased by 7% to Euro 736 billion, reflecting unfavorable market effects.

Asset Management net inflows amounted to Euro +1 billion, with strong inflows from third-party clients (Euro +5 billion) notably in AXA IM Core (Euro +3 billion) and AXA IM Alts (Euro +2 billion), partially offset by net outflows from AXA Insurance companies (Euro -3 billion).

Asset Management revenues decreased by 4% at Euro 0.4 billion, mainly driven by lower management fees reflecting a lower average asset base, partly offset by higher transaction fees.

Page 5

This is an excerpt of the original content. To continue reading it, access the original document here.

Attachments

Disclaimer

AXA SA published this content on 26 May 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 26 May 2023 11:15:22 UTC.