AXIS Capital has reported net income available to common shareholders of $925.8m, or $5.63 per diluted common share for the year ended 31 December 2006, compared with net income of $90.1m, or $0.57 per diluted common share, for the year ended 31 December 2005.
Net income available to common shareholders for the fourth quarter of 2006 was $281.0m, or $1.69 per diluted share, compared with net income of $233.5m, or $1.47 per diluted share, for the corresponding period in 2005. Prior year results were significantly impacted by losses incurred from Hurricanes Katrina, Rita and Wilma (“KRW”).
Operating income for 2006 was $949.8m, or $5.78 per diluted share, compared with $105.2m, or $0.67 per diluted common share for 2005.
For the year ended 31 December 2006, gross premiums written increased by 6.3% to $3,609.0m; net premiums written increased by 12.4% to $2,989.2m; and the company reported a combined ratio of 77.3% included strong accident year results and net favourable prior period reserve development of 8.0 percentage points.
Commenting on the 2006 financial results, John Charman, chief executive and president of AXIS Capital, stated: “I am pleased to announce record earnings for AXIS Capital for 2006 resulting in an increase in diluted book value per common share of 25%. All of us at AXIS are committed to producing market-leading profitability and we will continue to develop our high-quality diverse global underwriting portfolio through 2007.
“Absent major catastrophic events, we expect 2007 results to be very positive and to continue to produce meaningful book value growth in line with our overall performance since inception.”
