Axa Sa · EURONEXT:CS
Axa Sa — Axa Sa Ord — FY2024 Earnings Presentation
57 slides from Axa Sa's earnings presentation, Feb 27, 2025
Slide 1: Full Year 2024 Earnings Presentation
Full Year 2024 Earnings Presentation February 27, 2025
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, tr
Slide 3: Table of contents
Table of contents 1. FY24 Highlights p.04 Thomas Buberl, Group CEO 2. FY24 Business Performance p.12 Frédéric de Courtois, Group Deputy CEO 3. FY24 Financial Performance p.18 Alban de Mailly Nesle, Group CFO 3 Full Year 2024 Earnings GIE_AXA_Internal
Slide 4: FY24 Highlights
1 FY24 Highlights Thomas Buberl, Group CEO
Slide 5: Full Year 2024 | Strong growth performance
Full Year 2024 | Strong growth performance +8% +8% 15% 216% Revenues UEPS ROE Solvency II ratio vs. FY23 vs. FY23 FY24 FY24 High organic Consistent Attractive Strong growth results return on equity balance sheet Delivering value for shareholders +9% DPS1 growth and new €1.2bn annual share buy-back2
Slide 6: Simple model, built on leading insurance businesses at scale
Simple model, built on leading insurance businesses at scale Leading positions in our markets SME & Mid-market European in Europe multi-line insurer Global Commercial & 50% 50% Protection & Health in Specialty lines with AXA XL Commercial Retail Japan & Hong Kong Insurance Insurance Global Employee
Slide 7: Delivering high and balanced growth
Delivering high and balanced growth In Euro billion Gross written premiums and other revenues +8% +8% Attractive positioning 110 in growing markets 102 103 100 P&C +7% High customer satisfaction Life +9% driving improved retention Health +8% Investment in growth initiatives FY21 FY22 FY23 FY24 Busin
Slide 8: Proven track record of consistent earnings delivery
Proven track record of consistent earnings delivery Underlying earnings per share +8% +8% €3.59 €3.31 Disciplined execution, delivering on €3.08 strategic priorities €2.75 Excellent technical profitability Investing in technology, data & AI FY21 FY22 FY23 FY24 Underlying earnings €6.8bn €7.3bn €7.6b
Slide 9: Well positioned to sustain growth
Well positioned to sustain growth Commercial Insurance Retail Insurance (P&C and EB1) (P&C and L&H) Personalized advice Mid-market growth for Pension & Savings Catalysts for near term Favorable environment Energy transition growth in Retail P&C Demand for Overburdened public Employee Benefits health
Slide 10: Compounding value for shareholders
Compounding value for shareholders Attractive capital return Growing book value FY24 capital distribution €2.15 €24.5 €1.98 +9% DPS €22.7 €1.70 vs. FY23 €21.7 €1.54 €20.4 €1.2bn Dividend Share buy-back per share ~7% FY21 FY22 FY23 FY24 Total yield2 FY21 FY22 FY23 FY24 Total Pay-out 56% 70% 75% 75% B
Slide 11: Well on track to deliver on all our key financial plan targets
Well on track to deliver on all our key financial plan targets Targets Achievements 2024-2026E in 2024 Underlying 6-8% +8% Earnings per share CAGR 2023-2026E vs. FY23 Growing and strengthening our Underlying core businesses Return on Equity 14-16% 15.2% with rigorous execution Cumulative Cash remitt
Slide 12: FY24 Business Performance
2 FY24 Business Performance Frédéric de Courtois Group Deputy CEO
Slide 13: Executing our strategy in a changing environment
Executing our strategy in a changing environment Business performance in line with plan Political uncertainty ✓ Growth in P&C Commercial Inflation with margins at attractive levels Macro ✓ Delivering margin recovery Diverging in P&C Retail while growing in key markets environment interest rates ✓ Hi
Slide 14: P&C Commercial | Growth with margins at attractive levels
P&C Commercial | Growth with margins at attractive levels Executing on our growth strategy Levers to maintain margins FY24 renewal rates Volume1 for selected lines FY24 vs FY23 88% 90% Leading and €18bn premiums 82% 86% -10% 0% +10% balanced in SME and Mid-market Retaining Disciplined Intl. Property
Slide 15: P&C Retail | Delivering margin recovery while growing in key markets
P&C Retail | Delivering margin recovery while growing in key markets Delivering Expanding in markets with Strong €19bn premiums franchise margin recovery attractive margins leading positions in Europe and International markets FY24 net new contracts 94% including -2.0pts from CY undiscounted +341k F
Slide 16: Short-term Life & Health | Key earnings driver over the plan
Short-term Life & Health | Key earnings driver over the plan Profitability at a good place Engine for profitable growth following UK business turnaround €16bn premiums +11% +8% in short-term €11bn France Europe2 -1.4pts Protection & Health Total EB premiums1 +10% +18% Short-term L&H COR +12% vs. FY2
Slide 17: Long-term Life & Health | Improving Savings net flows
Long-term Life & Health | Improving Savings net flows to drive earnings over time Strong growth Improving net flows dynamics in Savings to drive CSM growth €36bn premiums Savings net flows (€bn) in Savings and Premium +18% +15% FY23 FY24 4Q 3Q long-term Protection & Health growth Unit- Capital light
Slide 18: FY24 Financial Performance
3 FY24 Financial Performance Alban de Mailly Nesle Group CFO
Slide 19: P&C | Remaining disciplined on pricing while accelerating volume growth
P&C | Remaining disciplined on pricing while accelerating volume growth In Euro billion GWP & Other Revenues +7% o/w o/w 56.5 Change pricing1 volume2 53.0 ▶ Continued favorable pricing and higher volumes reflecting Commercial 34.9 +6% +3% +3% better customer retention and attractive margins lines ▶
Slide 20: P&C | Attractive combined ratio at 91%
P&C | Attractive combined ratio at 91% Combined ratio 93.2% 91.0% Nat Cat 4.8% ▶ Better undiscounted current year loss ratio excluding Nat Cat 3.8% ▶ Nat Cat charges below normalized load even in an active year Undiscounted CY 68.5% 67.4% ▶ Expense ratio increase due to higher commission ratio from
Slide 21: P&C | Earnings growth from higher underwriting result
P&C | Earnings growth from higher underwriting result In Euro million Underlying Earnings +10% +410 ▶ Better underwriting result from strong revenue -551 -706 growth and improved all-year combined ratio +1,201 5,510 5,012 Financial result -103 +247 ▶ Increase in investment income reflecting better r
Slide 22: Life & Health | Strong growth in premiums, positive net flows
Life & Health | Strong growth in premiums, positive net flows In Euro billion Life GWP Health GWP & Other Revenues & Other Revenues Net flows: €+1.5bn +9% +8% 34.5 32.0 17.5 16.1 Protection +3.2 Protection +3% 15.8 9.4 Individual +5% Health +2.7 Unit-Linked -0.8 Unit-linked +18% 8.1 Capital light G/
Slide 23: Life & Health | Growth in new business value from higher volumes
Life & Health | Growth in new business value from higher volumes In Euro billion PVEP -0.5pt +14% 5.0% 50.9 4.4% 45.9 NBV margin ▶ Higher PVEP from higher volumes in Life, particularly in France, Japan, and Italy, and in Protection 33.2 FY23 FY24 Health in France +11% & Health ▶ NBV margin impacted
Slide 24: Life & Health | Growth in new business driving CSM growth
Life & Health | Growth in new business driving CSM growth In Euro billion Contractual Service Margin rollforward +1.4 -2.8 34.0 +2.2 33.3 +0.0 33.6 -0.6 -1.0 +0.4 ▶ Unfavorable scope impact from in-force transactions2 Normalized CSM growth +2% ▶ Normalized CSM growth at +2% from quality new business
Slide 25: Life & Health | Earnings supported by multiple growth engines
Life & Health | Earnings supported by multiple growth engines All figures are pre-tax in Euro million unless otherwise stated Short-term technical result CSM release Net financial result +149% -1% +10% 415 2,861 2,775 889 975 168 FY23 FY24 FY23 FY24 FY23 FY24 FY24 vs. FY23 Revenues €14.8bn €16.2bn +
Slide 26: Life & Health | Earnings in line with expectation with recovery in UK Health
Life & Health | Earnings in line with expectation with recovery in UK Health and improved trends in Life In Euro million Underlying Earnings +4% +43 +92 3,323 +278 3,232 -278 Technical & -45 1,295 909 financial results ▶ Negative scope impact related to Life in-force transactions, partly offset by i
Slide 27: Asset Management | Higher earnings from management fees
Asset Management | Higher earnings from increase in management fees and improvement in cost income ratio Assets under management and gross revenues in Euro billion Underlying earnings in Euro million Assets under management Underlying earnings +4% +11% +3 +26 +7 879 843 99 402 JVs 360 Third-party +4
Slide 28: Growth in net income reflecting higher earnings
Growth in net income reflecting higher earnings and a favorable change in fair value of assets, UEPS growth at 8% In Euro billion Underlying earnings per share FY23 FY24 Change In Euro Property & Casualty 5.0 5.5 +10% +8% Life & Health 3.2 3.3 +4% 3.59 3.31 Asset Management 0.4 0.4 +11% Holdings & o
Slide 29: Growing Shareholders' Equity
Growing Shareholders’ Equity In Euro billion Shareholders’ equity1 49.6 49.9 FY23 Shareholders' equity 49.6 Change in Net OCI -1.8 Net income for the period 7.9 SHE (excl. OCI) 55.9 58.0 Dividend -4.4 Share buy-backs -1.8 Net OCI -6.3 -8.1 Undated and deeply subordinated debt repayment -0.6 FY23 FY2
Slide 30: Delivering compelling returns to shareholders
Delivering compelling returns to shareholders In Euro billion Total capital return ▶ +9% dividend per share growth1 FY24 vs FY23 6.2 0.7 ▶ €1.2bn annual share buy-back2 4.9 1.2 to be executed in 2025 1.1 1.1 ▶ Additional ca. €3.8bn share buy-back expected to be executed in 2025 & 2026 following the
Slide 31: Higher cash remittance and robust cash position at Holding
Higher cash remittance and robust cash position at Holding In Euro billion Net Cash Remittance FY23 Cash position 4.0 7.7 Net cash remittance from subsidiaries +7.7 6.5 o/w ordinary cash remittance from subsidiaries +7.1 o/w from inforce management +0.6 Dividend -4.4 ▪ €-0.7bn to offset earnings dil
Slide 32: Solvency II at 216%
Solvency II at 216% In Euro billion Foreseeable dividends: -4.7 +8.7 0.0 Provision for annual share buy-back for 2025: -1.2 -1.6 57.4 0.0 -5.9 55.9 Eligible Own -2.6 Funds (EOF) FY23 FY24 ▶ Strong capital generation at +28pts ▶ Reduced reliance on subordinated Solvency II 227% -1pt +28pts 0pt -13pts
Slide 33: Conclusion
Conclusion Thomas Buberl Group CEO
Slide 34: Conclusion
Conclusion Leading franchise delivering high organic growth across business lines Executing on priorities, producing consistent results Generating 15% return on equity with a strong balance sheet High shareholder return with +9% DPS1 and new €1.2bn annual share buy-back2 Confident in the delivery of
Slide 35: Q&A
Q&A Full Year 2024 Earnings February 27, 2025
Slide 36: AXA Investor Relations | Keep in touch
AXA Investor Relations | Keep in touch Meet our management Contact us Investor Relations +33 1 40 75 48 42 investor.relations@axa.com March Management Roadshows Europe and US Follow us www.axa.com May 7 1Q25 Activity Indicators Paris June 3-5 BNP Paribas Exane CEO Conference Paris June 10-12 Goldman
Slide 37: Appendices
Appendices Full Year 2024 Earnings February 27, 2025
Slide 38: Table of contents
Table of contents 1. Debt and Invested Assets p.38 2. Solvency II Key Sensitivities p.42 3. Additional P&C Disclosures p.44 4. Additional IFRS17 Disclosures p.48 5. Sustainability p.51 GIE_AXA_Internal
Slide 39: Gross financial debt and maturity breakdown
Gross financial debt and maturity breakdown as of December 31st, 2024 In Euro billion Gross financial debt1 Contractual maturity breakdown 0.5 Debt 20.3% 20.6% gearing 0.8 9.1 18.8 19.2 4.8 0.9 2.7 3.5 0.5 0.8 1.5 2025 2026 2027 2028 2029 2030 2031-2039 ≥2040 Undated 10.6 10.8 Economic maturity brea
Slide 40: General Account Invested Assets
General Account Invested Assets Invested assets (100%) FY24 % In Euro billion Fixed income 359 77% FY24 Total General Account o/w Government bonds 181 39% invested assets Duration gap at -0.2 year o/w Corporate bonds and loans 126 27% o/w Other fixed income 1 52 11% Real estate 2 42 9% Infrastructur
Slide 41: Investment portfolio | Fixed Income reinvestment
Investment portfolio | Fixed Income reinvestment FY24 Fixed Income reinvestment FY24 Fixed Income reinvestment yield 5.3% 3.4% 3.8% Euro 54 billion Core Alternative Total fixed income fixed income fixed income Government bonds & related (53%) – Average rating: AA Euro 54 billion fixed income investe
Slide 42: Table of contents
Table of contents 1. Debt and Invested Assets p.38 2. Solvency II Key Sensitivities p.42 3. Additional P&C Disclosures p.44 4. Additional IFRS17 Disclosures p.48 5. Sustainability p.51 GIE_AXA_Internal
Slide 43: Solvency II Key Sensitivities
Solvency II Key Sensitivities Ratio as of December 31, 2024 216% Interest rate +50bps +2 pts Interest rate -50bps -4 pts Corporate spreads +50bps -1 pt Euro Sovereign spreads +50bps1 -10 pts Credit migration2 -4 pts Equities3 +25% +13 pts Equities3 -25% -18 pts Inflation swap curve +50bps -6 pts 1.
Slide 44: Table of contents
Table of contents 1. Debt and Invested Assets p.38 2. Solvency II Key Sensitivities p.42 3. Additional P&C Disclosures p.44 4. Additional IFRS17 Disclosures p.48 5. Sustainability p.51
Slide 45: P&C | Focus on Reserves
P&C | Focus on Reserves FY24 reserve ratios impacted by the strong growth in net earned premiums Claims reserves ratio (Net undiscounted claims reserves/Net earned premiums) 179% 185% 193% 188% 189% 198% 195% 180% FY18 FY19 FY20 FY21 FY22 FY22 FY23 FY24 IFRS4 IFRS17 Technical reserves ratio (Net und
Slide 46: P&C | 2025 Simplified Group Nat Cat Reinsurance Program
P&C | 2025 Simplified Group Nat Cat Reinsurance Program1 Stable reinsurance program for 2025 In Euro Insurance segment Reinsurance (occurrence protection) segment (illustrative) Capacity 4.0bn Alternative 3.9bn 1.2bn 1.2bn Capital & 2.1bn 2.1bn 1.2bn 1.2bn Cat Bonds Retention 600m 450m 400m 600m 600
Slide 47: P&C | AXA Group earnings deviation with different levels of Nat Cat cost
P&C | AXA Group earnings deviation with different levels of Nat Cat cost1 in 2025 In Euro billion Group underlying earnings deviation to average Nat Cat charges in 2025 Average expected Nat Cat charges net of reinsurance, post-tax net of reinsurance, pre-tax More severe years Negative deviation in c
Slide 48: Table of contents
Table of contents 1. Debt and Invested Assets p.38 2. Solvency II Key Sensitivities p.42 3. Additional P&C Disclosures p.44 4. Additional IFRS17 Disclosures p.48 5. Sustainability p.51 GIE_AXA_Secret
Slide 49: P&C | Margin Analysis and Sensitivities
P&C | Margin Analysis and Sensitivities Technical Result Financial Result In Euro million (pre-tax) In Euro million (pre-tax) FY24 Change FY24 Change Current Accident Year Undiscounted Technical Margin 2,090 +1,045 Investment Income 3,731 +410 Gross Earned Premiums 55,898 +7% FY24 Average Assets €11
Slide 50: L&H | Margin Analysis and CSM Key Sensitivities
L&H | Margin Analysis and CSM Key Sensitivities Includes scope impact1 Technical Result Financial Result In Euro million, pre-tax In Euro million, pre-tax FY24 Change Short-term Technical Margin 415 +249 Gross Earned Premiums 16,207 +10% FY24 Change All Year Combined Ratio 97.4% -1.4pts + Investment
Slide 51: Table of contents
Table of contents 1. Debt and Invested Assets p.38 2. Solvency II Key Sensitivities p.42 3. Additional P&C Disclosures p.44 4. Additional IFRS17 Disclosures p.48 5. Sustainability p.51 GIE_AXA_Internal
Slide 52: Expanding AXA's role in society: AXA for Progress Index
Expanding AXA’s role in society: AXA for Progress Index1 As a As a As a GLOBAL GLOBAL COMPANY INVESTOR INSURER Target 2024 Result Target 2024 Result Target 2024 Result >80,0006 Program €5bn2 €7.0bn €6bn3 €2.1bn AXA Group employees launched in in climate transition in P&C GWP to support trained on cl
Slide 53: Sustainability Performance & Ratings
Sustainability Performance & Ratings 2024 percentile: 98th in Dow Jones Best-in-Class 2024 score: AAA 2023 score: B Europe & World indices ESG Risk Rating: 2024 score: 4.3/5 14.3 – Low risk1 in FTSE4Good Index Series 53 1. For the ESG Risk Rating ranking of AXA Group, please refer to Sustainalytics’
Slide 54: Thank you
Thank you Full Year 2024 Earnings February 27, 2025
Slide 55: Scope
Scope ▪ France: includes insurance activities, banking activities and holding ▪ Europe: includes Switzerland (insurance activities), Germany (insurance activities and holding), Belgium (insurance activities and holding) and Luxemburg (insurance activities and holding), United Kingdom and Ireland (in
Slide 56: Glossary (1/2)
Glossary (1/2) ▪ Asset Management net flows: 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 in invest
Slide 57: Glossary (2/2)
Glossary (2/2) ▪ New Business Contractual Service Margin (NB CSM): a component of the carrying amount of the asset or liability for newly issued insurance contracts during the period, representing the unearned profit to be recognized as insurance contract services are provided ▪ New Business Value m