Axis Capital Holdings Limited · NYSE:AXS
Axis Capital — Investor Presentation (June 2023)
25 slides from Axis Capital's investor presentation, Jun 16, 2023
Slide 1: Investor Presentation AXIS Capital 2023 First Quarter
Investor Presentation AXIS Capital 2023 First Quarter
Slide 2: Safe Harbor Statement
Safe Harbor Statement 2 CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS This document contains forward-looking statements within the meaning of section 27A of the Securities Act of 1933 and section 21E of the Securities Exchange Act of 1934. All statements, other than statements of historical f
Slide 3: AXIS Overview & Financial Highlights
AXIS Overview & Financial Highlights AXIS Capital
Slide 4: Advancing Global Leadership in Specialty Risk
Advancing Global Leadership in Specialty Risk 4 AXIS Strengths AXIS is continuing to evolve our business to increase profitability, lower volatility, and strengthen the portfolio, establishing a strong position in the fastest growing specialty markets Risk Management Solutions Track record of provid
Slide 5: Long-Term Financial Strategy
Long-Term Financial Strategy 5 Invest in Sustained Momentum Continue to build on our momentum, invest in growth opportunities to drive further profitable growth and enhance the value we provide to our customers and shareholders Increase Efficiency & Expense Management Ongoing focus on expense contro
Slide 6: AXIS at a Glance
AXIS at a Glance 6 Note: ROACE, Operating ROACE, Cash & Investments and Total Assets data as of Q1 2023. 1) Market data per FACTSET as of 06/15/2023. $0.44 quarterly dividend paid 4/18/2023. 2) Annualized operating return on average common equity (“Operating ROACE”) is a non-GAAP financial measure a
Slide 7: The AXIS Journey
The AXIS Journey AXIS today is a high-performing global specialty underwriter and provider of insurance and reinsurance solutions, vastly different from the Company it was five years ago 2023 2003 2022 2018 2017 2004 2010 2013 2009 2001 2023 and Beyond Recognized specialty insurance leader with a re
Slide 8: Our Business Today
Our Business Today 8 • The AXIS portfolio is well-positioned in attractive growth markets globally. This includes U.S. E&S lines, North America professional lines, and Lloyds specialty insurance business as well as complementary specialty reinsurance lines • Insurance GPW in Q1’23 grew 6.7% versus Q
Slide 9: Diversified Specialty Portfolio
71% 29% Diversified Specialty Portfolio Total GPW by segment ($ in billions, 12 months ended in 3/31/23) GPW by line of business ($ in billions, 12 months ended in 3/31/23) Insurance 1) Gross premiums written for the reinsurance segment for the twelve months ended Q1’23 of $2,288.0M included $139.0M
Slide 10: Strengthening Underwriting Performance
$6,899 $6,827 $7,686 $8,215 102.6% 109.6% 97.5% 95.8% 108.6% 96.4% 96.0% 80.0% 95.0% 110.0% 125.0% FY2019 FY2020 FY2021 FY2022 $2,635 $2,382 91.4% 90.9% 95.7% 93.7% Q1 2022 Q1 2023 Strengthening Underwriting Performance 10 Margin improvements driven by disciplined underwriting and ongoing focus on i
Slide 11: Disciplined Reduction of Catastrophe Exposure
9.0% 6.1% 5.1% 3.5% 2.3% 1.9% 12.8% 12.0% 6.3% 4.4% 3.1% 2.5% -- $125 $250 $375 $500 $625 $750 Jul 1 2019 Jul 1 2020 Jul 1 2021 Jul1 2022 Jan 1 2023 Apr 1 2023 Disciplined Reduction of Catastrophe Exposure 11 1 in 100 1 in 250 1 in 100 as a % of TCSE(2) 1 in 250 as a % of TCSE (2) Exit from Reinsura
Slide 12: Balanced and Resilient Investment Portfolio
Balanced and Resilient Investment Portfolio 12 Well diversified portfolio invested primarily in highly rated bonds • Total cash and invested assets:(1) $16.0 billion • Average fixed maturities portfolio rating:(1) AA- • Duration:(1) ~3.0 years with cash flows positioned to cover liabilities along th
Slide 13: Connecting Our Business Purpose to Corporate Citizenship
Connecting Our Business Purpose to Corporate Citizenship Recent awards and recognitions Recognized as 3+ Company by 50/50 Women on Boards in 2022 Awarded Best ESG Initiative of the Year (2022) for Fossil Fuel Policy and Climate Initiatives #8 of 41 evaluated insurance companies in 2023 Top ranking i
Slide 14: Well Positioned for 2023 and Beyond
Well Positioned for 2023 and Beyond 14 Bottom line: AXIS has strong positive momentum to deliver sustained profitable growth and increased shareholder value AXIS is executing a multi-year transformation positioning itself as a leading specialty underwriter in our chosen markets Focused on specialty
Slide 15: Reportable Segments
Reportable Segments AXIS Capital
Slide 16: Insurance Overview
Insurance Overview Well-diversified, attractive portfolio of global specialty business with strong, profitable results • Meaningful improvement in ex-cat accident year loss ratio in the last several years; continue to expect low 50%s going forward Leading positions in Cyber (top-10) and Renewable En
Slide 17: Insurance Financial Highlights
Professional Lines Property Liability Cyber Marine and Aviation Accident and Health Credit and Political Risk 22% 25% 20% 12% 12% 5% 4% Insurance Financial Highlights 17 First Quarter 2023 Operating highlights, and changes from the prior year quarter, for the quarter ended March 31, 2023, include th
Slide 18: Accelerating Insurance Growth
$1,327 $1,416 87.5% 87.3% Q1 2022 Q1 2023 Accelerating Insurance Growth 18 Growth Underpinned • Growing in lines of business where rates are at or above loss cost trends, and where AXIS has the underwriting expertise, market relevance, and platform to drive sustainable growth • Strong presence in ma
Slide 19: Reinsurance Overview
19 Reinsurance Overview 1) The Company exited Reinsurance Catastrophe and Property business in June 2022 and will substantially complete this exit in 2023. Advancing efforts to reduce earnings volatility and grow a stronger book of business • Ongoing commitment to continuous portfolio management of
Slide 20: Reinsurance Financial Highlights
Liability Accident and Health Professional Lines Credit and Surety Motor Agriculture Marine and Aviation Runoff Lines 28% 16% 18% 14% 10% 5% 3% 6% Reinsurance Financial Highlights 20 First Quarter 2023 Operating highlights, and changes from the prior year quarter, for the quarter ended March 31, 202
Slide 21: Complementing our Specialty Insurance Book
Complementing our Specialty Insurance Book 211) “Ex-Property Cat Re” include Liability, Accident & Health, Professional Lines, Credit & Surety, Motor, Agriculture, Marine & Aviation and Engineering i.e., Exited Catastrophe and Property lines of business are excluded. For additional information, refe
Slide 22: Appendix
Appendix AXIS Capital
Slide 23: Non-GAAP Financial Measures Reconciliation
Non-GAAP Financial Measures Reconciliation Operating Income and Annualized Operating Return on Average Common Equity 23
Slide 24: Rationale for the use of Non-GAAP Financial Measures
Rationale for the use of Non-GAAP Financial Measures We present our results of operations in a way we believe will be meaningful and useful to investors, analysts, rating agencies and others who use our financial information to evaluate our performance. Some of the measurements we use are considered
Slide 25: Investor Inquiries
25 Investor Inquires Miranda Hunter Head of Investor Relations 441 405 2635 investorrelations@axiscapital.com
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