AXIS Capital Q3 profit falls 32% as underwriting income drops

AXIS Capital Holdings Limited (NYSE: AXS) said on Oct. 28 that its third-quarter net income available to common shareholders was $202 million, or $2.75 per diluted common share, a decrease of 32% from the third quarter of 2025.

Operating income for the quarter was $229 million, or $3.12 per diluted common share, down 10% from a year earlier. Underwriting income fell 29% to $134 million.

Here's how the company did:

• Net income available to common shareholders: $202 million, or $2.75 per diluted common share, vs. $294 million a year earlier
• Operating income: $229 million, or $3.12 per diluted common share, vs. $255 million a year earlier
• Revenue: $1.79 billion, vs. $1.67 billion a year earlier

The company said its combined ratio was 94.0%, compared with 89.4% in the third quarter of 2025. The current accident year loss ratio rose to 61.6% from 59.3%, and the acquisition cost ratio increased 2.8 points.

Gross premiums written increased 11% to $2.4 billion. The insurance segment grew 13%, and the reinsurance segment rose 4%.

Pre-tax catastrophe and weather-related losses, net of reinsurance, were $75 million. That includes $44 million attributable to the Middle East conflict and the Russia-Ukraine war.

Net investment income rose 14% to $211 million. Net investment losses were $47 million, and the company recorded a $361 million pre-tax decline in net unrealized gains on fixed maturities.

Book value per diluted common share excluding accumulated other comprehensive income was $84.33 at Sept. 30, up 14.4% from a year earlier.

Capital returns

The company returned $141 million to common shareholders in the quarter, including $109 million of share repurchases under its Board-authorized program and $32 million of common share dividends.

Nine-month results

For the nine months ended Sept. 30, net income available to common shareholders was $699 million, or $9.42 per diluted common share, up 0.4% from a year earlier. Operating income was $697 million, down 10%.

Reorganization expenses for the nine months were $29 million, related to initiatives to streamline operations and costs tied to transitions in executive leadership.

CEO Vince Tizzio said: "This was a strong quarter for AXIS, as our team leaned into attractive underwriting opportunities while practicing disciplined cycle management in a transitioning market."

The company said in a filing that it will hold an earnings conference call on Oct. 29 at 8:30 a.m. ET.

AXIS Capital has been a global specialty underwriter and provider of insurance and reinsurance solutions. Its operating subsidiaries carry an "A+" rating from Standard & Poor's and an "A" rating from A.M. Best.