Slide 1: Half Year 2023 Earnings
Half Year 2023 Earnings Press conference August 3, 2023
Slide 2: Important Legal Information and Cautionary Statements
IMPORTANT LEGAL INFORMATION AND CAUTIONARY STATEMENTS CONCERNING FORWARD-LOOKING STATEMENTS AND THE USE OF NON-GAAP FINANCIAL MEASURES Certain statements contained herein may be forward-looking statements, including, but not limited to, statements that are predictions of or indicate future events, t
Slide 3: Agenda
Agenda 1 Introduction Thomas Buberl, Group CEO 2 Business lines Frédéric de Courtois, Group Deputy CEO 3 Financial performance Alban de Mailly Nesle, Group CFO 4 Conclusion Thomas Buberl, Group CEO 3 Half Year 2023 Earnings | August 3, 2023
Slide 4: 1 Introduction
1 Introduction Thomas Buberl Group CEO 4 Half Year 2023 Earnings | August 3, 2023
Slide 5: Half Year 2023 earnings: continued strong delivery
Half Year GWP1 GROUP UE 2023 earnings Continued strong delivery, €55.7bn €4.1bn demonstrating +5% vs 1H22 IFRS4 +2% vs 1H22 IFRS17/9 the strength of +18% vs 1H22 IFRS17/9 2 our strategy C, GROUP UEPS3 SOLVENCY II RATIO +8% 235% vs 1H22 IFRS4 +20pts vs FY22 5 Half Year 2023 Earnings | August 3, 2023
Slide 6: Solid performance across our markets
Solid performance across our markets UNDERLYING EARNINGS ASIA, EME-LATAM ASSET FRANCE EUROPE AXA XL & AFRICA MANAGEMENT €1.0bn €1.5bn €0.9bn €0.8bn €0.2bn +8% vs 1H22 IFRS4 -2% vs 1H22 IFRS4 +35% vs c1H22 IFRS4 -2% vs 1H22 IFRS4 -7% vs 1H22 IFRS4 +20% vs 1H22 IFRS17/9 +18% vs 1H22 IFRS17/9 +33% vs 1
Slide 7: A well-positioned business model
A well-positioned business model _ % ~50 _ % ~50 Commercial Retail Global leader Leading positions in Western Europe, in commercial lines insurance Japan, Hong Kong and select emerging markets c P&C Commercial lines (~40%) _ P&C Retail lines (~20%) _ Excellent technical results driven by Pricing and
Slide 8: AXA reinforces leadership in Health in Europe
AXA reinforces leadership An acquisition1 fully in line with our strategy to accelerate in Health in Europe. position in Ireland with the AXA HEALTH GWP AND OTHER REVENUES acquisition of (EXCL. LAYA) 1H23 €650m €6.0bn Laya Healthcare €0.11bn TOTAL FRANCE & EUROPE 600,000 Clients €1.23bn €1.95bn €2.3
Slide 9: Strengthening employee and client satisfaction
Strenghtening employee and client satisfaction Employees Clients 37pts 100% Employee Net Promoter Score c NPS of our business lines at/or above market1 +2pts vs 2022 vs 54% in 2018 Progress on gender diversity and on inclusion Action plans implemented to improve customer at large: 40% of women in le
Slide 10: Continuing our climate leadership position
Continuing our climate leadership position Announcements of new targets1 Continuing our Pioneering initiative to drive the decarbonization of various decarbonization efforts1 to purchase green P&C insurance portfolios in our investments electricity C, -30% -20% -50% 84GWh of the absolute carbon of t
Slide 11: Confident to deliver key targets
Confident DRIVING PROGRESS 2023 2023 to deliver KEY TARGETS UNDERLYING EARNINGS OUTLOOK key targets UEPS GROWTH +8%vs 1H22 3%-7% To deliver at the high end 2020 – 2023E SOLVENCY II RATIO 235%+20pts vs FY22 190% Target capital level >€7.5bn1 CASH REMITTANCE € 5.5bn FY22 >€14bn Cumulated cash remittan
Slide 12: 2 Business lines
2 Business lines Frédéric de Courtois Group Deputy CEO 12 Half Year 2023 Earnings | August 3, 2023
Slide 13: P&C: Profitable growth
P&C I Profitable growth GWP & OTHER REVENUES In Euro billion CHANGE1 +7% 28.7 30.4 +9% • Strong demand in commercial lines in a context of rising prices Commercial 18.9 Insurance -3% • Reduction in Prop Cat exposure, in line with strategy Reinsurance 1.7 +5% • Remain focused on profitability Persona
Slide 14: P&C: High level of technical profitability
P&C I High level of technical profitability IFRS17 COMBINED RATIO • Frequency claims improvement • Lower Nat Cat level 90.9% • Maintaining disciplined pricing 14 Half Year 2023 Earnings | August 3, 2023 See glossary for terminologies and footnotes on page 29, 30, 31 & 32 of this document.
Slide 15: P&C: Strong earnings growth from higher technical margin
P&C I Strong earnings growth from higher technical margin UNDERLYING EARNINGS In Euro million +54% +1,302 -72 2,717 • Excellent underwriting results, 2,374 -264 driven by growth in revenues and a 90.9% combined ratio 1,750 1H22 1H22 Underwriting Net investment Tax, FX 1H23 IFRS4 IFRS17/9 result1 inc
Slide 16: Life & Health: High quality net flows, Unit-linked impacted
Life & Health I High quality net flows, Unit-linked impacted by volatile market conditions LIFE GWP & OTHER REVENUES HEALTH GWP & OTHER REVENUES NBV MARGIN In Euro billion In Euro billion or +7% excl. 5.0% +0.1pt 5.1% -1% non-renewed -6% Group contracts1 1H22 1H23 16.6 16.3 8.7 8.2 NET FLOWS In Euro
Slide 17: Life & Health: Resilient Life earnings, Health impacted
Life & Health I Resilient Life earnings, Health impacted by higher claims in the UK UNDERLYING EARNINGS In Euro million -13% 1,897 +41 • L&H underlying earnings driven 1,727 +43 1,643 by a predictable CSM release -137 800 Technical -200 470 & financial • Technical result reflects elevated results He
Slide 18: Asset Management: Robust third-party net flows
Asset Management I Robust third-party net flows, revenues impacted by market conditions ASSETS UNDER MANAGEMENT UNDERLYING EARNINGS In Euro billion In Euro million -1% -7% 845 +10 840 203 188 JVs -7 -8 97 AXA IM Alts 223 Third-party +8 (o/w +3 in Alts) Main fund -12 JVs -3 AXA IM Core 498 Architas 2
Slide 19: 3 Financial performance
3 Financial performance Alban de Mailly Nesle Group CFO 19 Half Year 2023 Earnings | August 3, 2023
Slide 20: Strong growth in UEPS
Strong growth in UEPS In Euro billion UNDERLYING EARNINGS PER SHARE1 In Euro 1H22 1H23 Change under IFRS4 under IFRS17/9 +8% Property & Casualty 2.4 2.7 +13% 1.79 Life & Health 1.7 1.6 -4% 1.65 including: Asset Management 0.2 0.2 -7% Holding & other -0.4 -0.4 - +5% from earnings growth Underlying ea
Slide 21: Solvency II at 235%, supported by strong capital generation
Solvency II at 235%, supported by strong capital generation and positive management actions ELIGIBLE OWN FUNDS (EOF) +4.5 +0.7 KEY SENSITIVITIES In Euro billion -0.2 0.0 62.3 -2.0 +0.8 58.5 L&S +2.2 Solvency II ratio as of June 30, 2023 235% P&C +2.7 Holdings and other -0.3 Interest rate +50bps +5pt
Slide 22: A capital-efficient business
A capital-efficient business SOLVENCY II RATIO In Euro billion • Strong operating capital 215% 235% generation • Lower capital requirement 62.3 • Shift in our Life business 58.5 toward capital light products • Actions to further reduce the Eligible Own Funds Group’s duration gap (EOF) • Improved con
Slide 23: 4 Conclusion
4 Conclusion Thomas Buberl Group CEO 23 Half Year 2023 Earnings | August 3, 2023
Slide 24: Very good performance in the first half of 2023
Very good performance Increase in gross written premiums, reflecting strong sales in the first momentum and the relevance of our business model. half of 2023 Strong growth in underlying earnings, driven by our P&C business line and technical profitability, particularly at AXA XL. C, Excellent balanc
Slide 25: Q&A session
Q&A session 25 Half Year 2023 Earnings | August 3, 2023
Slide 26: Thank you
Thank you 26 Half Year 2023 Earnings | August 3, 2023
Slide 27: AXA is a recognized sustainability leader
AXA is a recognized sustainability leader 2022 score: 91/100 2022 score: AAA 2022 score: B In DJSI Europe & DJSI World indexes DJSI accounts for 10% of performance conditions of AXA’s shares for top management Included in the 2023 score: C+, with Prime status Bloomberg Gender 2022 ESG Risk Rating: E
Slide 28: Scope
Scope France: includes insurance activities, banking activities and holdings. Europe: includes Switzerland (insurance activities), Germany (insurance activities and holding), Belgium (insurance activities and holding), Luxemburg (insurance activities and holding), United Kingdom and Ireland (insuran
Slide 29: Glossary (1/2)
Glossary (1/2) Asset Management net flows: Net inflows represent Inflows of client money less outflows of client money. Net inflows are used by the Management to measure the impact of sales efforts, product attractiveness (mainly dependent on performance and innovation), and the general market trend
Slide 30: Glossary (2/2)
Glossary (2/2) New Business Value Margin (“NBV Margin”): the ratio of (i) New Business Value representing the value of newly issued contracts during the current year to (ii) PVEP. Operating variance (net of reinsurance): the variation of the year-end CSM vs the expected at opening due to (i) the dif
Slide 31: Notes (1/2)
Notes (1/2) Changes at comparable basis are constant Forex, scope and methodology for activity indicators, and at constant Forex for earnings, unless otherwise specified. Page 5 1. Change in Gross Written Premiums & Other Revenues, New Business Value (“NBV”), Present Value of Expected Premiums (“PVE
Slide 32: Notes (2/2)
Notes (2/2) Changes at comparable basis are constant Forex, scope and methodology for activity indicators, and at constant Forex for earnings, unless otherwise specified. Page 18 1. Includes contribution from Architas. Excludes contribution from joint ventures and Capza, which are accounted for unde