AXIS’ INCOME DOUBLES ON UNDERWRITING AND INVESTMENT GAINS

Bermudian re/insurer Axis Capital Holdings saw second-quarter net earnings more than double to $227.9m from $112.5m, as underwriting income rose 70% to $148.3m and investment income more than doubled to $104.7m. Operating income per share rose to $2.00 from 84¢ and beat analysts’ forecast of $1.38. With the rise in underwriting income, the group’s combined ratio improved by 4.1 points to 90.6%, while gross written premiums grew 13.1% to $1.94bn, driven by the insurance segment. For the first six months of the year, Axis swung to net income of $343.6m from a loss of $72.9m, reflecting in part a swing to underwriting income of $227.9m from a loss of $109.4m. The improved underwriting result was driven by a $197m reduction in catastrophe losses. Six-month results also reflected a 58% increase in investment income to $218m and a positive $112.7m swing in investment gains. The combined ratio improved by 12.4 points to 94.7%, while gross written premiums grew 7.9% to $4.48bn.