AXIS reports Q1 working profits of $136M on Low disaster Losses

Bermuda-based totally AXIS Capital Holdings confined mentioned internet profits to be had to commonplace shareholders for the primary zone of 2015 of $156 million, or $1.54 consistent with diluted common proportion, compared with $137 million, or $1.24 per diluted commonplace proportion, for the primary region of 2014.

running income for the primary quarter of 2015 become $136 million, or $1.35 according to diluted not unusual percentage, as compared to $137 million, or $1.24 in keeping with diluted commonplace share, for the first region of 2014.

other first quarter highlights for AXIS Capital consist of:

•           Gross premiums written reduced eight percent (four percentage on a consistent foreign money basis) to $1.7 billion from $1.8 billion during the first quarter of 2014. Reinsurance segment gross charges written all through the first area of 2015 dropped through 12 percent to $1.1 billion (7 percentage on a constant forex basis), in most cases pushed by way of the effect of multi-12 months rates, at the same time as the employer’s insurance section gross premiums written have been flat (up 1 percentage on a regular forex basis);

•           internet rates written decreased 12 percentage (8 percent on a constant currency basis) to $1.five billion from $1.7 billion remaining year;

•           internet charges earned reduced four percentage (3% on a steady forex basis) to $906 million, compared with $946 million last year;

•           blended ratio of 94.three percentage, in comparison to 91.nine percent all through the first quarter in 2014;

•           present day coincidence year loss ratio of 62.8 percent, compared to 62.1 percent;

•           Low level of herbal catastrophe and weather-related pre-tax internet losses in each durations;

•           internet favorable previous yr reserve improvement of $50 million (reaping rewards the mixed ratio by way of five.5 factors), as compared to $43 million (benefiting the mixed ratio by using 4.6 points);

•           Pre-tax merger charges related to the proposed amalgamation with PartnerRe Ltd. of $7 million blanketed in company prices;

•           net funding profits of $ninety two million, compared to $83 million;

•           Pre-tax general return on coins and investments of 0.7 percentage, inclusive of foreign exchange movements, or 1.2 percent, with the exception of foreign exchange actions, compared to one.1 percentage, which include or excluding foreign exchange moves;

•           share repurchases for the duration of the zone totaling $15 million, as compared to $179 million. Following the signing of a definitive amalgamation agreement with PartnerRe Ltd. on January 25, 2015, the corporation has suspended its open market percentage repurchase program until the final date of the amalgamation transaction;

Commenting on the first region 2015 economic consequences, Albert Benchimol, president and CEO of AXIS Capital, said: “we're thrilled to file first quarter running earnings of $136 million, or $1.35 in step with diluted share, and annualized operating ROE of 10.three percent. Adjusted for dividends, diluted ebook price grew 3 percent at some stage in the sector and thirteen percentage during the last 12 months.”

The company’s solid underwriting outcomes “meditated low disaster and climate-related losses, ongoing favorable reserve development and a broadly different, properly-constructed portfolio of risks,” he went on to say. “Our effects meditated our tactical responses to the market surroundings and, importantly, proven development on our centered portfolio improvements and operational excellence initiatives. these projects, blended with our meaningful market presence, our technical information and our monetary strength, role us properly to continue to supply a robust value proposition for all of our stakeholders.”

AXIS Capital and PartnerRe Ltd. entered into a definitive amalgamation agreement on January 25, 2015. (That proposed deal recently got here beneath risk whilst EXOR SpA made an unsolicited $6.4 billion buyout provide for PartnerRe. PartnerRe’s board is currently comparing the cash offer.)

AXIS Capital said it continues to believe “that a merger among AXIS Capital and PartnerRe is within the high-quality pastimes of our shareholders, clients, brokers and employees.”

AXIS stated this strategic aggregate could create “one of the international’s preeminent specialty coverage and reinsurance groups, with gross premiums written in excess of $10 billion, overall capital of more than $14 billion, and cash and invested belongings of approximately $32 billion.”