AXA Group full year 2025 earnings press release/Ratings and glossary
Section 1: Credit ratings
AXA maintains up-to-date ratings information on its website at: https://www.axa.com/en/investor/financial-strength-ratings.
| Agency | Last review | Insurance subsidiaries | Outlook | AXA SA Senior debt | AXA SA Short-term debt |
|---|---|---|---|---|---|
| S&P Global Ratings | October 3, 2025 | AA- | Positive | A+ | A-1+ |
| Moody's Investor Service | October 8, 2025 | Aa2 | Stable | Aa3 | P-1 |
| AM Best | October 9, 2025 | A+ Superior | Stable | aa Superior | — |
Subordinated debt ratings: Restricted Tier 1 rated "BBB+" by Standard & Poor's and "Baa1(hyb)" by Moody's. Tier 2 rated "A-/Stable" by Standard & Poor's and "A2(hyb)/Stable" by Moody's.
Section 2: Glossary
Capital-light G/A products: Encompass all products with no guarantees, with guarantees at maturity only or with guarantees equal to or lower than 0%.
Contractual service margin (CSM): A component of the carrying amount of the asset or liability for a group of insurance contracts representing the unearned profit to be recognized as services are provided to policyholders.
CSM release: The portion of CSM stock net of reinsurance at the end of the defined period flowing through profit and loss representing the estimated profit earned by the insurer for providing insurance services during the reporting period.
Economic variance: The variance of the year-end CSM arising from changes in market conditions, net of the underlying return on in-force.
Financial result: Investment income on assets backing Building Block Approach (BBA) and Premium Allocation Approach (PAA) contracts as well as assets backing shareholder's equity, net of the insurance finance expenses (IFE) defined as the unwind of the present value of future cash flow.
Gross written premiums and other revenues: Insurance premiums collected during the period (including risk premiums, premiums from pure investment contracts with no discretionary participating features, fees and revenues, net of commissions paid on assumed reinsurance business). Other Revenues represent premiums and fees collected on activities other than insurance (i.e. banking, services, and asset management activities).
New business contractual service margin (NB CSM): A component of the carrying amount of the asset or liability for newly issued insurance contracts during the period, representing the unearned profit to be recognized as insurance contract services are provided.
New business value (NBV): The value of newly issued contracts during the current year. It consists of the sum of (i) the NB CSM, (ii) the present value of the future profits of Short-Term Business newly issued contracts during the period, carried by Life entities, considering expected renewals, and (iii) the present value of the future profits of pure investment contracts accounted for under IFRS 9, net of (iv) the cost of reinsurance, (v) taxes and (vi) minority interests.
New business value margin (NBV Margin): The ratio of (i) NBV representing the value of newly issued contracts during the current year to (ii) PVEP.
Operating variance: The variation of the year-end CSM vs the expected at opening due to (i) the differences between realized and expected operational assumptions, (ii) changes in assumptions such as mortality, longevity, lapses and expenses, and (iii) impact of model changes. Operating variance is net of reinsurance.
Present value of expected premiums (PVEP): The new business volume, equal to the present value at the time of issue of the total premiums expected to be received over the policy term. PVEP is discounted at the reference interest rate and PVEP is Group share.
Technical experience: Consists of the impacts on the underlying earnings of (i) the difference between the expected and incurred cash-flows incurred in the defined period, (ii) the risk adjustment release, (iii) the changes in onerous contracts and (iv) the other long-term elements which are mainly composed of non-attributable expenses.
Underlying return on in-force: The release of the time value of options & guarantees plus the unwind of CSM at the reference rate plus the underlying financial over-performance.