In keeping with other financial services groups, Axa Asia Pacific Holdings has recorded strong profits for 2003 with a 97% increase in after tax profit.

CEO Les Owen, clearly pleased with the results, attributes Axa’s strong performance to the considerable improvement of equity markets.

“The second half of 2003 saw more positive equity markets, signs of strong economic performance in the US and in our key markets of Australasia, Hong Kong and China, and some return of consumer confidence,” he said

Profit after tax and non-recurring items for Axa was $926 million, up 181%. Non-recurring items included significant one-off profits from the sale of Axa Health, the 50% interest in Members Equity and the 3.7% stake in Axa Investment Managers.

Cashflow increased 123% to $3.7 billion. Axa achieved a top three ranking for net retail funds flows. Operating earnings in Australia and New Zealand (excluding health) were up 17% to $147 million.

Axa also performed strongly in Hong Kong. Despite weak equity markets in the first half and the impact of SARS, new business grew strongly and investment returns were favourable.

“We are now able to compete with the best,” Mr Owen said. “However we have more to do, we have no intention of standing still and will be setting new targets for the next three to four years which will be announced in early April.”