Axa has posted stronger full-year earnings, powered by its core property and casualty (P&C) business.

Group underlying earnings rose 5% on a reported basis to €7.6 billion ($12.5 billion), in line with the insurer’s guidance, and net income grew 8% compared with 2022 to €7.1 billion ($11.7 billion).

Gross written premium (GWP) and other revenues grew 3% on a comparable basis to €102.7 billion ($169 billion), driven by a 7% rise in P&C premium to €53 billion ($87 billion). The higher P&C result offset declines in Axa’s other businesses – life and health, and asset management.

“Axa reported strong results in 2023, reflecting continued execution of its strategy ... we continued to see good growth momentum in our core businesses including P&C,” CEO Thomas Buberl said.

Axa says P&C commercial lines GWP grew 9% to €33 billion ($54 billion), benefiting from favourable price effects and higher volumes across most geographies.

Personal lines GWP also benefited from favourable prices, rising 6% to €17.8 billion ($29 billion), but this was partly offset by a reduction in natural catastrophe exposure at Axa XL Reinsurance, in line with the business’ strategy.

Axa has published a new strategic plan outlining its financial goals through to 2026. It is focused on growing and strengthening its core businesses, with continued disciplined execution, it says.

In P&C commercial lines, Axa will aim to deliver revenue growth above nominal GDP, driven by structural portfolio expansion reflecting continued demand from corporates, and leveraging its global scale, product capabilities and diversified distribution.

“The group will seek to expand in P&C mid-market, including in white spaces in Europe where the group can grow its market share, and through selective initiatives in the US, and to address emerging risks such as cyber and energy transition,” Axa says.

“The group will focus on disciplined cycle management at Axa XL and leverage use of data analytics to strengthen SME and mid-market pricing and risk selection capabilities, in order to sustain its technical excellence.

“The group will also leverage proprietary risk consulting services to drive higher customer loyalty and margin, by integrating its digital commercial platform across entities.”

In retail P&C, Axa will target revenue growth in line with nominal GDP across its mature markets, with faster growth in P&C non-motor.

“Growth is expected to be driven by expanding distribution capabilities, including by increasing our agent network size selectively and improving agent productivity, and by increasing wallet share within our existing customer base, capitalising on high customer satisfaction.”