AXIS Capital has revealed that net income available to common shareholders in Q2 of 2024 was $204 million, up from $143 million in Q2 of 2023, while gross written premiums (GWP) increased by $156 million, or 7%, to $2.4 billion.
Within this GWP growth, there was an increase of $130 million, or 8% in the insurance segment, and an increase of $26 million, or 4% in the reinsurance segment.
Meanwhile, net premiums written in Q2 of 2024 increased by $127 million, or 9%, to $1.6 billion with an increase of $173 million, or 17% in the insurance segment, partially offset by a decrease of $46 million, or 11% in the reinsurance segment.
Pre-tax catastrophe and weather-related losses, net of reinsurance, hit $47 million, split $46 million in insurance and $1 million in reinsurance. $9 million, or 0.7 points was attributable to the Red Sea Conflict.
Underwriting income improved in both the insurance and reinsurance segments in Q2’24 for AXIS. Within insurance, underwriting income increased by 0.9% to $115.7 million, and in reinsurance increased by 34.5% to $45.5 million.
Group-wide, AXIS Capital’s operating income for Q2 of 2024 was $250 million, up from $191 million in Q2 of 2023, while the firm’s net investment income increased $54 million year over year to $191 million.
Vince Tizzio, President and CEO of AXIS Capital, commented, “This was an excellent quarter and first half of the year for AXIS defined by consistent, profitable results and strong diluted book value per share growth as we pursued our ambition of achieving specialty underwriting leadership.”
Tizzio continued, “In the quarter, we delivered on our stated goals, producing an annualized operating ROE of 20%, record operating EPS of $2.93, and a combined ratio of 90.4%.
“We continued to lean into attractive specialty markets where we hold leadership positions, while tapping into our deep distribution relationships.
“In our specialty insurance business, we delivered a solid 87.9% combined ratio while generating an 8% increase in gross premiums written, 17% net premiums written growth, and record second quarter new business volume.
“Within reinsurance, we produced an 89.3% combined ratio and a 4% increase in premiums highlighted by targeted growth in specialty lines, reflecting our repositioning of AXIS Re as a focused, specialist reinsurer.”
Tizzio concluded, “During the quarter, we also took important steps forward in enhancing our operations through our “How We Work” transformation program. This included implementing operating model changes to improve productivity, reduce our cost structure, and allow for reinvestment into the business.
“In summary, we are pleased with our second quarter results, feel good about the actions we are taking across all aspects of our business, and are intent on building on our momentum.”
