Axa, Europe's second-largest insurer, yesterday reported a 5.3 per cent increase in sales for the first nine months of the year, but said it was cautious over the outlook for full-year earnings.
The group said improvements in the US and Japan had contributed to the rise in like-for-like revenues from €55.9 billion to €56.9 billion in the period to end September. Revenues at the Irish operation - which includes motor and home insurance - rose by 15 per cent making it one of the best performing European operations.
The performance reflected the 5.8 per cent rise in life and savings revenues which represent 64 per cent of the group's business helped by a 10.2 per cent surge in the third quarter despite the poor market conditions for unit-linked sales.
Axa shares closed down 2.7 per cent at €12.82, with analysts citing management's continuing cautious guidance over full-year operating income. Axa had said when presenting its interim results that its 20 per cent operating profit growth target was not achievable.
Property and casualty revenues, which account for 22 per cent of Axa's business, increased 6 per cent in the third quarter following rate increases in the main European countries and stricter underwriting. At the nine-month stage, property and casualty sales were up 5.1 per cent at €12.5 billion.
