AXA published an Investor Presentation on its implementation of IFRS 17 and IFRS 9

AXA published today a presentation for investors and analysts on its implementation of IFRS 17 and IFRS 9 accounting standards, which will become effective on January 1, 2023.

The key highlights of the presentation are the following*:

• Underlying earnings poweris expected to be unaffected in aggregate post-transition,
• Shareholders’ Equity** is expected to be broadly stable on transition,
• A Contractual Service Margin of Euro ca. 34 billion*** is expected to be created on transition,
• The implementation is expected to result in limited reporting changes, reflecting the Group’s focus on technical lines,
• The new standards will have no impact on the Group’s cash and capital management, its Solvency II ratio, orits strategy, and
• The Group’s ‘Driving Progress 2023’ key financial targets**** are re-affirmed.

Alban de Mailly Nesle, AXA’s Chief Financial Officer, and Grégoire de Montchalin, AXA’s Chief Accounting & Reporting Officer, will be hosting an investor presentation on Thursday November 3, 2022 in AXA XL’s London offices. The presentation will start at 3:15pm GMT. Live webcast link and supporting documents will be available from 5:45pm GMT onwards on Wednesday November 2, 2022, on AXA’s website.

*These key highlights and all information in this press release and the related presentation are expressly qualified by the cautionary statements included below

**Shareholders Equity excluding Other Comprehensive Income

***Contractual Service Margin refers to a component of the carrying amount of the asset or liability for a group of insurance contracts representing the unearned profit the entity will recognize as it provides insurance contract services under the insurance contracts in the Group , the quantum of which is pre-tax in this press release

****(i) Underlying earnings per share growth at the high end of the 3-7% CAGR target range between 2020E (rebased for COVID-19 and excess Natural Catastrophe losses) and 2023E, (ii) Underlying return on equity between 13% and 15% between 2021E and 2023E, (iii) Solvency II ratio at approximately 190%, (iv) cumulative cash upstream in excess of Euro 14 billion for 2021E-2023E.