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EX-99.2 3 q32024financialsupplement.htm EX-99.2 Document

AXIS CAPITAL HOLDINGS LIMITED

INVESTOR FINANCIAL SUPPLEMENT

THIRD QUARTER 2024

AXIS Capital Holdings Limited

92 Pitts Bay Road

Pembroke HM 08 Bermuda

Contact Information:

Cliff Gallant

Investor Contact

(415) 262-6843

investorrelations@axiscapital.com

Website Information:

www.axiscapital.com

This report is for informational purposes only. It should be read in conjunction with the documents that the Company files with the Securities and Exchange Commission pursuant to the Securities Act of 1933 and the Securities Exchange Act of 1934.

AXIS CAPITAL HOLDINGS LIMITED

FINANCIAL SUPPLEMENT TABLE OF CONTENTS


						Page(s)
Basis of Presentation						i - iv
I. Financial Highlights						1
II. Income Statements
a. Consolidated Statement of Operations						2-6
b. Consolidated Segment Data						7
c. Gross Premiums Written by Segment by Line of Business						8
d. Consolidated Data						9
e. Segment Data						10-11
f. Net Investment Income						12
III. Balance Sheets
a. Consolidated Balance Sheets						13
b. Cash and Invested Assets:
• Cash and Invested Assets Portfolio						14
• Cash and Invested Assets Composition						15
• Mortgage-Backed and Asset-Backed Securities Composition						16
IV. Losses Reserve Analysis
a. Paid to Incurred Analysis						17
b. Paid to Incurred Analysis by Segment						18
V. Share Analysis
a. Earnings Per Common Share Information						19
b. Book Value Per Diluted Common Share and Tangible Book Value Per Diluted Common Share - Treasury Stock Method						20
VI. Non-GAAP Financial Measures
a. Operating Income and Operating Return on Average Common Equity						21
b. Rationale for the Use of Non-GAAP Financial Measures						22-25

AXIS CAPITAL HOLDINGS LIMITED

BASIS OF PRESENTATION

AXIS Capital Holdings Limited's ("AXIS Capital" or the "Company") underwriting operations are organized around its global underwriting platforms, AXIS Insurance and AXIS Re. The Company has determined that it has two reportable segments, insurance and reinsurance.

DEFINITIONS AND PRESENTATION

•All financial information contained herein is unaudited, except for the consolidated balance sheet at December 31, 2023 and consolidated statements of operations for the years ended December 31, 2023 and December 31, 2022.

•Amounts may not reconcile due to rounding differences.

•Unless otherwise noted, all data is in thousands, except for ratio information.

•NM - Not meaningful is defined as a variance greater than +/- 100%; NA - Not applicable

CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS

This document contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. All statements, other than statements of historical facts included in this document, including statements regarding our estimates, beliefs, expectations, intentions, strategies or projections are forward-looking statements. We intend these forward-looking statements to be covered by the safe harbor provisions for forward-looking statements in the United States ("U.S.") federal securities laws. In some cases, these statements can be identified by the use of forward-looking words such as "may", "should", "could", "anticipate", "estimate", "expect", "plan", "believe", "predict", "potential", "intend" or similar expressions. These forward-looking statements are not historical facts, and are based on current expectations, estimates and projections, and various assumptions, many of which, by their nature, are inherently uncertain and beyond management's control.

Forward-looking statements contained in this document may include, but are not limited to, information regarding our estimates for losses and loss expenses, measurements of potential losses in the fair value of our investment portfolio and derivative contracts, our expectations regarding the performance of our business, our financial results, our liquidity and capital resources, the outcome of our strategic initiatives, our expectations regarding pricing, and other market and economic conditions including the liquidity of financial markets, developments in the commercial real estate market, inflation, our growth prospects, and valuations of the potential impact of movements in interest rates, credit spreads, equity securities' prices, and foreign currency exchange rates.

Forward-looking statements only reflect our expectations and are not guarantees of performance. These statements involve risks, uncertainties and assumptions. Accordingly, there are or will be important factors that could cause actual events or results to differ materially from those indicated in such statements. We believe that these factors include, but are not limited to, the following:

Insurance Risk

•the cyclical nature of insurance and reinsurance business leading to periods with excess underwriting capacity and unfavorable premium rates;

•the occurrence and magnitude of natural and man-made disasters, including the potential increase of our exposure to natural catastrophe losses due to climate change and the potential for inherently unpredictable losses from man-made catastrophes, such as cyber-attacks;

•the effects of emerging claims, systemic risks, and coverage and regulatory issues, including increasing litigation and uncertainty related to coverage definitions, limits, terms and conditions;

•actual claims exceeding reserves for losses and loss expenses;

•losses related to the conflict in the Middle East, the Russian invasion of Ukraine, terrorism and political unrest, or other unanticipated losses;

•the adverse impact of social and economic inflation;

•the failure of any of the loss limitation methods we employ;

•the failure of our cedants to adequately evaluate risks;

Strategic Risk

•increased competition and consolidation in the insurance and reinsurance industry;

•changes in the political environment of certain countries in which we operate or underwrite business;

•the loss of business provided to us by major brokers;

•a decline in our ratings with rating agencies;

•the loss of one or more of our key executives;

•increasing scrutiny and evolving expectations from investors, customers, regulators, policymakers and other stakeholders regarding environmental, social and governance matters;

•the adverse impact of contagious diseases (including COVID-19) on our business, results of operations, financial condition, and liquidity;

AXIS CAPITAL HOLDINGS LIMITED

BASIS OF PRESENTATION

Credit and Market Risk

•the inability to purchase reinsurance or collect amounts due to us from reinsurance we have purchased;

•the failure of our policyholders or intermediaries to pay premiums;

•general economic, capital and credit market conditions, including banking and commercial real estate sector instability, financial market illiquidity and fluctuations in interest rates, credit spreads, equity securities' prices, and/or foreign currency exchange rates;

•breaches by third parties in our program business of their obligations to us;

Liquidity Risk

•the inability to access sufficient cash to meet our obligations when they are due;

Operational Risk

•changes in accounting policies or practices;

•the use of industry models and changes to these models;

•difficulties with technology and/or data security;

•the failure of the processes, people or systems that we rely on to maintain our operations and manage the operational risks inherent to our business, including those outsourced to third parties;

Regulatory Risk

•changes in governmental regulations and potential government intervention in our industry;

•inadvertent failure to comply with certain laws and regulations relating to sanctions, foreign corrupt practices, data protection and privacy; and

Risks Related to Taxation

•changes in tax laws.

Readers should carefully consider the risks noted above together with other factors including but not limited to those described under Item 1A, 'Risk Factors' in our most recent Annual Report on Form 10-K filed with the Securities and Exchange Commission ("SEC"), as those factors may be updated from time to time in our periodic and other filings with the SEC, which are accessible on the SEC's website at www.sec.gov.

We undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise.

AXIS CAPITAL HOLDINGS LIMITED

BASIS OF PRESENTATION

BUSINESS DESCRIPTIONS

INSURANCE SEGMENT

Our insurance segment offers specialty insurance products to a variety of niche markets on a worldwide basis. The following are the lines of business in our insurance segment:

Professional Lines: provides directors’ and officers’ liability, errors and omissions liability, employment practices liability, fiduciary liability, crime, professional indemnity, medical malpractice and other financial insurance related covers for public and private commercial enterprises, financial institutions, not-for-profit organizations and other professional service providers. This business is predominantly written on a claims-made basis.

Property: provides physical loss or damage, business interruption and machinery breakdown cover for virtually all types of property, including commercial buildings, residential premises, construction projects, property in transit, onshore renewable energy installations, and physical damage and business interruption following an act of terrorism. This line of business includes primary and excess risks, some of which are catastrophe-exposed.

Liability: provides cover for primary and low to mid-level excess and umbrella commercial liability, and environmental liability risks in the U.S. wholesale markets in addition to primary and excess of loss employers, public, and products liability business predominately in the U.K. Target industry sectors include construction, manufacturing, transportation and trucking, and other services.

Cyber: provides cover for cyber, technology errors and omissions, media and miscellaneous professional liability. Cover is provided for a range of risks including data recovery and bricking, cyber-crime, liability and regulatory actions, business interruption, extortion, reputational harm, Payment Card Industry Data Security Standard and media liability.

Marine and Aviation: Marine provides cover for a range of exposures including offshore energy, offshore renewable energy, cargo, liability including kidnap and ransom, fine art, specie, and hull war. Offshore energy coverages include physical damage, business interruption, operator's extra expense and liability coverage for all aspects of offshore upstream energy, from exploration and construction through the operation and distribution phases. Aviation provides hull and liability, and specific war cover primarily for passenger airlines but also for cargo operations, general aviation operations, airports, aviation authorities, security firms and product manufacturers.

Accident and Health: includes personal accident, travel insurance and specialty health products for employer and affinity groups, and pet insurance.

Credit and Political Risk: provides credit and political risk insurance products for banks, commodity traders, corporations and multilateral and export credit agencies. Cover is provided for a range of risks including sovereign and corporate credit default, political violence, currency inconvertibility and non-transfer, expropriation, aircraft non-repossession and contract frustration due to political events.

iii

AXIS CAPITAL HOLDINGS LIMITED

BASIS OF PRESENTATION

BUSINESS DESCRIPTIONS (CONTINUED)

REINSURANCE SEGMENT

Our reinsurance segment provides treaty reinsurance to insurance companies on a worldwide basis written on an excess of loss or a proportional basis. For excess of loss business, we typically indemnify the reinsured for a portion of losses, individually and in the aggregate, in excess of a specified individual or aggregate loss deductible. For proportional business, we assume an agreed percentage of the underlying premiums and accept liability for the same percentage of losses and loss expenses. Our business is primarily produced through reinsurance brokers worldwide. The following are the lines of business in our reinsurance segment:

Liability: provides protection to insurers of admitted casualty business, excess and surplus lines casualty business and specialty casualty programs. The primary focus of the underlying business is general liability, workers' compensation, auto liability and excess casualty.

Accident and Health: includes personal accident, specialty health, accidental death, travel, life and disability reinsurance products which are offered on a proportional and catastrophic or per life excess of loss basis.

Professional Lines: provides protection for directors’ and officers’ liability, employment practices liability, medical malpractice, professional indemnity, environmental liability, cyber, and miscellaneous errors and omissions insurance risks. The underlying business is predominantly written on a claims-made basis. This business is written on a proportional and excess of loss basis.

Credit and Surety: Credit reinsurance provides reinsurance of trade credit insurance products and includes proportional and excess of loss structures. The underlying insurance indemnifies sellers of goods and services in the event of a payment default by the buyer of those goods and services. Surety reinsurance provides protection for losses arising from a broad array of surety bonds issued by insurers to satisfy regulatory demands or contract obligations in a variety of jurisdictions around the world. Mortgage reinsurance is provided to mortgage guaranty insurers and U.S. government sponsored entities for losses related to credit risk transfer into the private sector.

Motor: provides protection to insurers for motor liability and motor property damage losses arising out of any one occurrence. A loss occurrence can involve one or many claimants where the ceding insurer aggregates the claims from the occurrence. Traditional proportional and non-proportional reinsurance as well as structured solutions are offered predominantly relating to European exposures.

Agriculture: provides protection for risks associated with the production of food and fiber on a global basis for primary insurance companies writing multi-peril crop insurance, crop hail, and named peril covers, as well as custom risk transfer mechanisms for agricultural dependent industries with exposures to crop yield and/or price deviations. This business is written on a proportional and aggregate stop loss reinsurance basis.

Marine and Aviation: Marine includes specialty marine exposures such as cargo, hull, pleasure craft, marine liability, inland marine and offshore energy. The principal perils covered by policies in this portfolio include physical loss, damage and/or liability arising from natural perils of the seas or land, man-made events including fire and explosion, stranding/sinking/salvage, pollution, shipowners and maritime employers liability. This business is written on a non-proportional and proportional basis. Aviation provides cover for airline, aerospace and general aviation exposures. This business is written on a proportional and non-proportional basis. The Company exited Aviation business effective January 1, 2023.

Run-off lines

Catastrophe: provides protection for most catastrophic losses that are covered in the underlying insurance policies written by our cedants. The underlying policies principally cover property-related exposures but other exposures including personal accident are also covered. The principal perils covered by policies in this portfolio include hurricane and windstorm, earthquake, flood, tornado, hail and fire. In some instances, terrorism may be a covered peril or the only peril. This business is written on a proportional and an excess of loss basis. The Company exited this line of business in June 2022.

Property: provides protection for property damage and related losses resulting from natural and man-made perils that are covered in underlying personal and commercial lines insurance policies written by our cedants. The predominant exposure is to property damage, but other risks, including business interruption and other non-property losses, may also be covered when arising from a covered peril. The most significant perils covered by policies in this portfolio include windstorm, tornado and earthquake, but other perils such as freezes, riots, floods, industrial explosions, fires, hail and a number of other loss events are also included. This business is written on a proportional and excess of loss basis. The Company exited this line of business in June 2022.

Engineering: provides protection for all types of construction risks and risks associated with erection, testing and commissioning of machinery and plants during the construction stage. This line of business also includes cover for losses arising from operational failures of machinery, plant and equipment, and electronic equipment as well as business interruption. The Company exited this line of business in 2020.

AXIS CAPITAL HOLDINGS LIMITED

FINANCIAL HIGHLIGHTS


		Three months ended September 30,									Nine months ended September 30,
		2024			2023			Change			2024			2023			Change

HIGHLIGHTS	Gross premiums written	$	1,935,902		$	1,905,878		1.6	%		$	7,030,564		$	6,572,232		7.0	%
	Gross premiums written - Insurance	78.9		%	76.5		%	2.4		pts	69.9		%	69.3		%	0.6		pts
	Gross premiums written - Reinsurance	21.1		%	23.5		%	(2.4)		pts	30.1		%	30.7		%	(0.6)		pts
	Net premiums written	$	1,235,985		$	975,357		26.7	%		$	4,531,802		$	4,030,070		12.4	%
	Net premiums earned	$	1,366,701		$	1,322,564		3.3	%		$	3,929,221		$	3,818,508		2.9	%
	Net premiums earned - Insurance	74.9		%	67.0		%	7.9		pts	73.8		%	66.6		%	7.2		pts
	Net premiums earned - Reinsurance	25.1		%	33.0		%	(7.9)		pts	26.2		%	33.4		%	(7.2)		pts
	Net income available to common shareholders	$	173,165		$	180,535		(4.1%)			$	765,465		$	496,182		54.3%
	Operating income [a]	$	230,063		$	201,891		14.0%			$	700,216		$	593,122		18.1	%
	Annualized return on average common equity [b]	13.0		%	16.1		%	(3.1)		pts	19.9		%	15.4		%	4.5		pts
	Annualized operating return on average common equity [c]	17.3		%	18.0		%	(0.7)		pts	18.2		%	18.4		%	(0.2)		pts
	Total shareholders’ equity	$	6,083,227		$	5,033,208		20.9	%		$	6,083,227		$	5,033,208		20.9	%


PER COMMON SHARE AND COMMON SHARE DATA	Earnings per diluted common share	$2.04			$2.10			(2.9%)			$8.97			$5.77			55.5%
	Operating income per diluted common share [d]	$2.71			$2.34			15.8%			$8.21			$6.90			19.0	%
	Weighted average diluted common shares outstanding	85,000			86,108			(1.3	%)		85,338			85,927			(0.7	%)
	Book value per common share	$66.15			$52.60			25.8	%		$66.15			$52.60			25.8	%
	Book value per diluted common share (treasury stock method)	$64.65			$51.17			26.3	%		$64.65			$51.17			26.3	%
	Tangible book value per diluted common share (treasury stock method) [a]	$61.95			$48.44			27.9	%		$61.95			$48.44			27.9	%

FINANCIAL RATIOS	Current accident year loss ratio, excluding catastrophe and weather-related losses [a]	55.7		%	56.3		%	(0.6)		pts	55.7		%	56.1		%	(0.4)		pts
	Catastrophe and weather-related losses ratio [a]	5.8		%	3.2		%	2.6		pts	3.7		%	2.9		%	0.8		pts
	Current accident year loss ratio [a]	61.5		%	59.5		%	2.0		pts	59.4		%	59.0		%	0.4		pts
	Prior year reserve development ratio	(0.6		%)	(0.2		%)	(0.4)		pts	(0.2		%)	(0.3		%)	0.1		pts
	Net losses and loss expenses ratio	60.9		%	59.3		%	1.6		pts	59.2		%	58.7		%	0.5		pts
	Acquisition cost ratio	20.1		%	19.9		%	0.2		pts	20.2		%	19.6		%	0.6		pts
	General and administrative expense ratio [e]	12.1		%	13.5		%	(1.4)		pts	12.2		%	13.4		%	(1.2)		pts
	Combined ratio	93.1		%	92.7		%	0.4		pts	91.6		%	91.7		%	(0.1)		pts

INVESTMENT DATA	Total assets	$	32,722,648		$	29,543,101		10.8	%		$	32,722,648		$	29,543,101		10.8	%
	Total cash and invested assets [f]	$	18,137,403		$	16,132,296		12.4	%		$	18,137,403		$	16,132,296		12.4	%
	Net investment income	$	205,100		$	154,201		33.0	%		$	563,458		$	424,802		32.6	%
	Net investment gains (losses)	$	32,182		$	(53,114)		nm			$	(30,503)		$	(97,671)		(68.8	%)
	Book yield of fixed maturities	4.4		%	4.1		%	0.3		pts	4.4		%	4.1		%	0.3		pts

[a] Operating income (loss), operating income (loss) per diluted common share, annualized operating return on average common equity ("operating ROACE"), current accident year loss ratio, catastrophe and weather-related losses ratio, current accident year loss ratio, excluding catastrophe and weather-related losses and tangible book value per diluted common share are non-GAAP financial measures as defined by Regulation G. The reconciliations to the most comparable GAAP financial measures, net income (loss) available (attributable) to common shareholders, earnings (loss) per diluted common share, annualized return on average common equity ("ROACE"), net losses and loss expenses ratio and book value per diluted common share, respectively, and a discussion of the rationale for the presentation of these items are provided above/later in this document.

[b] Annualized ROACE is calculated by dividing annualized net income (loss) available (attributable) to common shareholders for the period by the average common shareholders’ equity determined using the

common shareholders’ equity balances at the beginning and end of the period.

[c] Annualized operating ROACE is calculated by dividing annualized operating income (loss) for the period by the average common shareholders’ equity determined using the common shareholders’ equity balances at the beginning and end of the period.

[d] Operating income (loss) per diluted common share is calculated by dividing operating income (loss) for the period by weighted average diluted common shares outstanding.

[e] Underwriting-related general and administrative expenses and corporate expenses are included in the general and administrative expense ratio.

[f] Total cash and invested assets represents the total cash and cash equivalents, fixed maturities, equity securities, mortgage loans, other investments, equity method investments, short-term investments, accrued interest receivable and net receivable (payable) for investments sold (purchased).

AXIS CAPITAL HOLDINGS LIMITED

CONSOLIDATED STATEMENTS OF OPERATIONS

FOR THE THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2024 AND 2023


				Three months ended September 30,						Nine months ended September 30,
				2024			2023			2024			2023

Revenues
	Net premiums earned	$	1,366,701		$	1,322,564		$	3,929,221		$	3,818,508
	Net investment income	205,100			154,201			563,458			424,802
	Net investment gains (losses)	32,182			(53,114)			(30,503)			(97,671)
	Other insurance related income	6,838			10,344			23,704			16,444
	Total revenues			1,610,821			1,433,995			4,485,880			4,162,083

Expenses
	Net losses and loss expenses	831,872			783,940			2,326,532			2,240,840
	Acquisition costs	274,935			263,389			794,280			747,027
	General and administrative expenses	165,203			179,283			477,016			514,596
	Foreign exchange losses (gains)	92,204			(50,570)			61,268			(11,755)
	Interest expense and financing costs	16,849			16,445			51,005			50,077
	Reorganization expenses	—			28,997			26,312			28,997
	Amortization of intangible assets	2,729			2,729			8,188			8,188
	Total expenses			1,383,792			1,224,213			3,744,601			3,577,970

Income before income taxes and interest in income of equity method investments		227,029			209,782			741,279			584,113
	Income tax (expense) benefit	(47,922)			(24,624)			36,185			(68,078)
	Interest in income of equity method investments	1,621			2,940			10,689			2,835
Net income		180,728			188,098			788,153			518,870
	Preferred share dividends	7,563			7,563			22,688			22,688
Net income available to common shareholders		$	173,165		$	180,535		$	765,465		$	496,182

AXIS CAPITAL HOLDINGS LIMITED

CONSOLIDATED STATEMENTS OF OPERATIONS


													Year ended December 31,
	Q3 2024		Q2 2024		Q1 2024		Q4 2023		Q3 2023		Q3 2022		2023
UNDERWRITING REVENUES
Gross premiums written	$	1,935,902	$	2,440,236	$	2,654,427	$	1,784,293	$	1,905,878	$	1,707,808	$	8,356,525
Ceded premiums written	(699,917)		(866,492)		(932,354)		(712,038)		(930,521)		(671,024)		(3,254,200)
Net premiums written	1,235,985		1,573,744		1,722,073		1,072,255		975,357		1,036,784		5,102,325

Gross premiums earned	2,159,646		2,117,937		2,044,647		2,035,926		2,046,222		2,012,426		7,973,577
Ceded premiums earned	(792,945)		(813,459)		(786,606)		(770,653)		(723,658)		(727,560)		(2,889,796)
Net premiums earned	1,366,701		1,304,478		1,258,041		1,265,273		1,322,564		1,284,866		5,083,781
Other insurance related income	6,838		8,526		8,340		6,050		10,344		1,092		22,495
Total underwriting revenues	1,373,539		1,313,004		1,266,381		1,271,323		1,332,908		1,285,958		5,106,276

UNDERWRITING EXPENSES
Net losses and loss expenses	831,872		765,988		728,671		1,152,262		783,940		941,911		3,393,102
Acquisition costs	274,935		265,091		254,254		253,918		263,389		240,511		1,000,945
Underwriting-related general and administrative expenses [a]	131,582		120,768		137,793		139,216		138,601		132,570		551,467
Total underwriting expenses	1,238,389		1,151,847		1,120,718		1,545,396		1,185,930		1,314,992		4,945,514

UNDERWRITING INCOME (LOSS) [b]	135,150		161,157		145,663		(274,073)		146,978		(29,034)		160,762

OTHER (EXPENSES) REVENUES
Net investment income	205,100		190,975		167,383		186,937		154,201		88,177		611,742
Net investment gains (losses)	32,182		(53,479)		(9,207)		23,041		(53,114)		(146,458)		(74,630)
Corporate expenses [a]	(33,621)		(27,673)		(25,580)		(30,633)		(40,682)		(25,675)		(132,979)
Foreign exchange (losses) gains	(92,204)		7,384		23,552		(69,871)		50,570		135,660		(58,115)
Interest expense and financing costs	(16,849)		(17,010)		(17,147)		(18,344)		(16,445)		(15,915)		(68,421)
Reorganization expenses	—		(14,014)		(12,299)		—		(28,997)		(6,213)		(28,997)

Amortization of intangible assets	(2,729)		(2,729)		(2,729)		(2,729)		(2,729)		(2,729)		(10,917)
Total other (expenses) revenues	91,879		83,454		123,973		88,401		62,804		26,847		237,683

INCOME (LOSS) BEFORE INCOME TAXES AND INTEREST IN INCOME (LOSS) OF EQUITY METHOD INVESTMENTS	227,029		244,611		269,636		(185,672)		209,782		(2,187)		398,445
Income tax (expense) benefit	(47,922)		(40,547)		124,654		41,762		(24,624)		363		(26,316)
Interest in income (loss) of equity method investments	1,621		7,900		1,169		1,328		2,940		(7,560)		4,163

NET INCOME (LOSS)	180,728		211,964		395,459		(142,582)		188,098		(9,384)		376,292
Preferred share dividends	(7,563)		(7,563)		(7,563)		(7,563)		(7,563)		(7,563)		(30,250)
NET INCOME (LOSS) AVAILABLE (ATTRIBUTABLE) TO COMMON SHAREHOLDERS	$	173,165	$	204,401	$	387,896	$	(150,145)	$	180,535	$	(16,947)	$	346,042

[a] Underwriting-related general and administrative expenses is a non-GAAP financial measure as defined in SEC Regulation G. The reconciliation to general and administrative expenses, the most comparable GAAP financial measure, also includes corporate expenses.

[b] Consolidated underwriting income (loss) is a non-GAAP financial measure as defined in SEC Regulation G. The reconciliation to net income (loss), the most comparable GAAP financial measure, is presented above.

AXIS CAPITAL HOLDINGS LIMITED

CONSOLIDATED KEY RATIOS


													Year ended December 31,
	Q3 2024		Q2 2024		Q1 2024		Q4 2023		Q3 2023		Q3 2022		2023
KEY RATIOS/PER SHARE DATA
Current accident year loss ratio, excluding catastrophe and weather-related losses	55.7	%	55.1	%	56.4	%	55.4	%	56.3	%	57.1	%	55.9	%
Catastrophe and weather-related losses ratio	5.8	%	3.6	%	1.5	%	2.1	%	3.2	%	16.6	%	2.7	%
Current accident year loss ratio	61.5	%	58.7	%	57.9	%	57.5	%	59.5	%	73.7	%	58.6	%
Prior year reserve development ratio	(0.6	%)	—	%	—	%	33.6	%	(0.2	%)	(0.4	%)	8.1	%
Net losses and loss expenses ratio	60.9	%	58.7	%	57.9	%	91.1	%	59.3	%	73.3	%	66.7	%
Acquisition cost ratio	20.1	%	20.3	%	20.2	%	20.1	%	19.9	%	18.7	%	19.7	%
General and administrative expense ratio [a]	12.1	%	11.4	%	13.0	%	13.4	%	13.5	%	12.3	%	13.5	%
Combined ratio	93.1	%	90.4	%	91.1	%	124.6	%	92.7	%	104.3	%	99.9	%

Weighted average common shares outstanding	83,936		84,475		84,879		85,268		85,223		84,660		85,142
Weighted average diluted common shares outstanding [b]	85,000		85,326		85,693		85,268		86,108		84,660		86,012
Earnings (loss) per common share	$2.06		$2.42		$4.57		($1.76)		$2.12		($0.20)		$4.06
Earnings (loss) per diluted common share	$2.04		$2.40		$4.53		($1.76)		$2.10		($0.20)		$4.02
Annualized ROACE	13.0	%	16.2	%	32.1	%	(13.1	%)	16.1	%	(1.7	%)	7.9	%
Annualized operating ROACE	17.3	%	19.9	%	18.2	%	(9.3	%)	18.0	%	0.3	%	11.0	%

[a] Underwriting-related general and administrative expenses and corporate expenses are included in the general and administrative expense ratio.

[b] Due to the net loss attributable to common shareholders recognized for the three months ended December 31, 2023 and September 30, 2022, the share equivalents were anti-dilutive.

AXIS CAPITAL HOLDINGS LIMITED

CONSOLIDATED STATEMENTS OF OPERATIONS


	Nine months ended September 30,						Year ended December 31,
	2024		2023		2022		2023		2022
UNDERWRITING REVENUES
Gross premiums written	$	7,030,564	$	6,572,232	$	6,455,899	$	8,356,525	$	8,214,595
Ceded premiums written	(2,498,762)		(2,542,162)		(2,289,397)		(3,254,200)		(2,951,539)
Net premiums written	4,531,802		4,030,070		4,166,502		5,102,325		5,263,056

Gross premiums earned	6,322,229		5,937,651		5,886,143		7,973,577		7,936,382
Ceded premiums earned	(2,393,008)		(2,119,143)		(2,065,980)		(2,889,796)		(2,776,056)
Net premiums earned	3,929,221		3,818,508		3,820,163		5,083,781		5,160,326
Other insurance related income	23,704		16,444		9,998		22,495		13,073
Total underwriting revenues	3,952,925		3,834,952		3,830,161		5,106,276		5,173,399

UNDERWRITING EXPENSES
Net losses and loss expenses	2,326,532		2,240,840		2,444,196		3,393,102		3,242,410
Acquisition costs	794,280		747,027		746,443		1,000,945		1,022,017
Underwriting-related general and administrative expenses [a]	390,143		412,251		413,069		551,467		550,289
Total underwriting expenses	3,510,955		3,400,118		3,603,708		4,945,514		4,814,716

UNDERWRITING INCOME [b]	441,970		434,834		226,453		160,762		358,683

OTHER (EXPENSES) REVENUES
Net investment income	563,458		424,802		271,744		611,742		418,829
Net investment gains (losses)	(30,503)		(97,671)		(414,231)		(74,630)		(456,789)
Corporate expenses [a]	(86,873)		(102,345)		(79,803)		(132,979)		(130,054)
Foreign exchange (losses) gains	(61,268)		11,755		236,934		(58,115)		157,945
Interest expense and financing costs	(51,005)		(50,077)		(46,720)		(68,421)		(63,146)
Reorganization expenses	(26,312)		(28,997)		(21,941)		(28,997)		(31,426)

Amortization of intangible assets	(8,188)		(8,188)		(8,188)		(10,917)		(10,917)
Total other (expenses) revenues	299,309		149,279		(62,205)		237,683		(115,558)

INCOME BEFORE INCOME TAXES AND INTEREST IN INCOME OF EQUITY METHOD INVESTMENTS	741,279		584,113		164,248		398,445		243,125
Income tax (expense) benefit	36,185		(68,078)		5,304		(26,316)		(22,037)
Interest in income of equity method investments	10,689		2,835		5,040		4,163		1,995

NET INCOME	788,153		518,870		174,592		376,292		223,083
Preferred share dividends	(22,688)		(22,688)		(22,688)		(30,250)		(30,250)
NET INCOME AVAILABLE TO COMMON SHAREHOLDERS	$	765,465	$	496,182	$	151,904	$	346,042	$	192,833

[a] Underwriting-related general and administrative expenses is a non-GAAP financial measure as defined in SEC Regulation G. The reconciliation to total general and administrative expenses, the most comparable GAAP financial measure, also includes corporate expenses.

AXIS CAPITAL HOLDINGS LIMITED

CONSOLIDATED KEY RATIOS


	Nine months ended September 30,						Year ended December 31,
	2024		2023		2022		2023		2022
KEY RATIOS/PER SHARE DATA
Current accident year loss ratio, excluding catastrophe and weather-related losses	55.7	%	56.1	%	55.5	%	55.9	%	55.5	%
Catastrophe and weather-related losses ratio	3.7	%	2.9	%	8.9	%	2.7	%	7.8	%
Current accident year loss ratio	59.4	%	59.0	%	64.4	%	58.6	%	63.3	%
Prior year reserve development ratio	(0.2	%)	(0.3	%)	(0.4	%)	8.1	%	(0.5	%)
Net losses and loss expenses ratio	59.2	%	58.7	%	64.0	%	66.7	%	62.8	%
Acquisition cost ratio	20.2	%	19.6	%	19.5	%	19.7	%	19.8	%
General and administrative expense ratio [a]	12.2	%	13.4	%	12.9	%	13.5	%	13.2	%
Combined ratio	91.6	%	91.7	%	96.4	%	99.9	%	95.8	%

Weighted average common shares outstanding	84,428		85,099		84,930		85,142		84,864
Weighted average diluted common shares outstanding	85,338		85,927		85,674		86,012		85,669
Earnings per common share	$9.07		$5.83		$1.79		$4.06		$2.27
Earnings per diluted common share	$8.97		$5.77		$1.77		$4.02		$2.25
Annualized ROACE	19.9	%	15.4	%	4.7	%	7.9	%	4.3	%
Annualized operating ROACE	18.2	%	18.4	%	10.2	%	11.0	%	11.1	%

[a] Underwriting-related general and administrative expenses and corporate expenses are included in the general and administrative expense ratio.

AXIS CAPITAL HOLDINGS LIMITED

CONSOLIDATED SEGMENT DATA


	Three months ended September 30, 2024									Nine months ended September 30, 2024
	Insurance			Reinsurance			Total			Insurance			Reinsurance			Total
UNDERWRITING REVENUES
Gross premiums written	$	1,526,676		$	409,226		$	1,935,902		$	4,915,247		$	2,115,317		$	7,030,564
Ceded premiums written	(550,765)			(149,152)			(699,917)			(1,722,785)			(775,977)			(2,498,762)
Net premiums written	975,911			260,074			1,235,985			3,192,462			1,339,340			4,531,802

Gross premiums earned	1,592,802			566,844			2,159,646			4,633,608			1,688,621			6,322,229
Ceded premiums earned	(568,951)			(223,994)			(792,945)			(1,733,597)			(659,411)			(2,393,008)
Net premiums earned	1,023,851			342,850			1,366,701			2,900,011			1,029,210			3,929,221
Other insurance related income	93			6,745			6,838			53			23,651			23,704
Total underwriting revenues	1,023,944			349,595			1,373,539			2,900,064			1,052,861			3,952,925

UNDERWRITING EXPENSES
Net losses and loss expenses	602,654			229,218			831,872			1,642,110			684,422			2,326,532
Acquisition costs	203,255			71,680			274,935			567,310			226,970			794,280
Underwriting-related general and administrative expenses	119,249			12,333			131,582			353,230			36,913			390,143
Total underwriting expenses	925,158			313,231			1,238,389			2,562,650			948,305			3,510,955

UNDERWRITING INCOME	$	98,786		$	36,364		$	135,150		$	337,414		$	104,556		$	441,970

Catastrophe and weather-related losses, net of reinstatement premiums	$	71,038		$	7,082		$	78,120		$	135,984		$	8,951		$	144,935
Net favorable prior year reserve development	$	4,009		$	4,003		$	8,012		$	4,008		$	4,003		$	8,011

KEY RATIOS
Current accident year loss ratio, excluding catastrophe and weather-related losses	52.3		%	66.0		%	55.7		%	52.1		%	66.0		%	55.7		%
Catastrophe and weather-related losses ratio	7.0		%	2.0		%	5.8		%	4.7		%	0.9		%	3.7		%
Current accident year loss ratio	59.3		%	68.0		%	61.5		%	56.8		%	66.9		%	59.4		%
Prior year reserve development ratio	(0.4		%)	(1.1		%)	(0.6		%)	(0.2		%)	(0.4		%)	(0.2		%)
Net losses and loss expenses ratio	58.9		%	66.9		%	60.9		%	56.6		%	66.5		%	59.2		%
Acquisition cost ratio	19.9		%	20.9		%	20.1		%	19.6		%	22.1		%	20.2		%
Underwriting-related general and administrative expense ratio	11.6		%	3.6		%	9.6		%	12.2		%	3.5		%	10.0		%
Corporate expense ratio							2.5		%							2.2		%
Combined ratio	90.4		%	91.4		%	93.1		%	88.4		%	92.1		%	91.6		%

AXIS CAPITAL HOLDINGS LIMITED

GROSS PREMIUMS WRITTEN BY SEGMENT BY LINE OF BUSINESS


													Nine months ended September 30,				Year ended December 31,
	Q3 2024		Q2 2024		Q1 2024		Q4 2023		Q3 2023		Q3 2022		2024		2023		2023

INSURANCE SEGMENT
Professional Lines	$	286,108	$	299,087	$	236,665	$	338,938	$	285,739	$	317,074	$	821,859	$	801,757	$	1,140,695
Property	433,843		641,147		478,835		426,500		395,269		297,537		1,553,825		1,310,086		1,736,586
Liability	321,205		311,563		287,705		327,723		316,433		266,615		920,473		929,228		1,256,951
Cyber	129,543		164,518		132,936		166,312		148,011		182,367		426,998		482,847		649,160
Marine and Aviation	163,838		219,850		262,010		162,766		169,819		140,661		645,698		608,396		771,162
Accident and Health	119,686		101,243		104,606		79,597		88,742		66,153		325,534		253,963		333,559
Credit and Political Risk	72,453		76,658		71,748		81,542		53,611		47,483		220,860		171,109		252,651
TOTAL INSURANCE SEGMENT	$	1,526,676	$	1,814,066	$	1,574,505	$	1,583,378	$	1,457,624	$	1,317,890	$	4,915,247	$	4,557,386	$	6,140,764

REINSURANCE SEGMENT
Liability	$	132,245	$	169,933	$	218,175	$	100,041	$	184,665	$	156,500	$	520,353	$	542,760	$	642,801
Accident and Health	47,452		32,376		310,792		15,524		64,463		59,313		390,621		381,144		396,668
Professional Lines	44,013		203,001		146,832		13,838		42,950		27,575		393,846		365,384		379,222
Credit and Surety	100,352		88,281		164,043		61,930		70,486		53,944		352,676		289,153		351,083
Motor	35,295		26,039		152,145		7,273		27,113		22,035		213,479		194,194		201,466
Agriculture	33,265		74,290		39,501		(931)		37,846		39,312		147,056		127,231		126,300
Marine and Aviation	11,059		22,881		46,134		2,740		6,954		8,823		80,073		59,518		62,260
Total	403,681		616,801		1,077,622		200,415		434,477		367,502		2,098,104		1,959,384		2,159,800

Run-off lines
Catastrophe	1,564		4,491		1,423		(3,414)		6,415		21,227		7,477		33,590		30,175
Property	1,800		2,013		(156)		2,795		5,271		2,173		3,657		18,718		21,513
Engineering	2,181		2,865		1,033		1,119		2,091		(984)		6,079		3,154		4,273
Total run-off lines	5,545		9,369		2,300		500		13,777		22,416		17,213		55,462		55,961
TOTAL REINSURANCE SEGMENT	$	409,226	$	626,170	$	1,079,922	$	200,915	$	448,254	$	389,918	$	2,115,317	$	2,014,846	$	2,215,761

CONSOLIDATED TOTAL	$	1,935,902	$	2,440,236	$	2,654,427	$	1,784,293	$	1,905,878	$	1,707,808	$	7,030,564	$	6,572,232	$	8,356,525

AXIS CAPITAL HOLDINGS LIMITED

CONSOLIDATED DATA


																			Year ended December 31,
	Q3 2024			Q2 2024			Q1 2024			Q4 2023			Q3 2023			Q3 2022			2023
UNDERWRITING REVENUES
Gross premiums written	$	1,935,902		$	2,440,236		$	2,654,427		$	1,784,293		$	1,905,878		$	1,707,808		$	8,356,525
Ceded premiums written	(699,917)			(866,492)			(932,354)			(712,038)			(930,521)			(671,024)			(3,254,200)
Net premiums written	1,235,985			1,573,744			1,722,073			1,072,255			975,357			1,036,784			5,102,325

Gross premiums earned	2,159,646			2,117,937			2,044,647			2,035,926			2,046,222			2,012,426			7,973,577
Ceded premiums earned	(792,945)			(813,459)			(786,606)			(770,653)			(723,658)			(727,560)			(2,889,796)
Net premiums earned	1,366,701			1,304,478			1,258,041			1,265,273			1,322,564			1,284,866			5,083,781
Other insurance related income	6,838			8,526			8,340			6,050			10,344			1,092			22,495
Total underwriting revenues	1,373,539			1,313,004			1,266,381			1,271,323			1,332,908			1,285,958			5,106,276

UNDERWRITING EXPENSES
Net losses and loss expenses	831,872			765,988			728,671			1,152,262			783,940			941,911			3,393,102
Acquisition costs	274,935			265,091			254,254			253,918			263,389			240,511			1,000,945
Underwriting-related general and administrative expenses	131,582			120,768			137,793			139,216			138,601			132,570			551,467
Total underwriting expenses	1,238,389			1,151,847			1,120,718			1,545,396			1,185,930			1,314,992			4,945,514

UNDERWRITING INCOME (LOSS)	$	135,150		$	161,157		$	145,663		$	(274,073)		$	146,978		$	(29,034)		$	160,762

Catastrophe and weather-related losses, net of reinstatement premiums	$	78,120		$	47,060		$	19,755		$	25,866		$	41,663		$	211,969		$	137,702
Net favorable (adverse) prior year reserve development	$	8,012		$	—		$	—		$	(425,001)		$	2,762		$	4,735		$	(411,882)

KEY RATIOS
Current accident year loss ratio, excluding catastrophe and weather-related losses	55.7		%	55.1		%	56.4		%	55.4		%	56.3		%	57.1		%	55.9		%
Catastrophe and weather-related losses ratio	5.8		%	3.6		%	1.5		%	2.1		%	3.2		%	16.6		%	2.7		%
Current accident year loss ratio	61.5		%	58.7		%	57.9		%	57.5		%	59.5		%	73.7		%	58.6		%
Prior year reserve development ratio	(0.6		%)	—		%	—		%	33.6		%	(0.2		%)	(0.4		%)	8.1		%
Net losses and loss expenses ratio	60.9		%	58.7		%	57.9		%	91.1		%	59.3		%	73.3		%	66.7		%
Acquisition cost ratio	20.1		%	20.3		%	20.2		%	20.1		%	19.9		%	18.7		%	19.7		%
General and administrative expenses ratio [a]	12.1		%	11.4		%	13.0		%	13.4		%	13.5		%	12.3		%	13.5		%
Combined ratio	93.1		%	90.4		%	91.1		%	124.6		%	92.7		%	104.3		%	99.9		%

[a] Underwriting-related general and administrative expenses and corporate expenses are included in the general and administrative expense ratio.

AXIS CAPITAL HOLDINGS LIMITED

INSURANCE SEGMENT DATA


																			Year ended December 31,
	Q3 2024			Q2 2024			Q1 2024			Q4 2023			Q3 2023			Q3 2022			2023
UNDERWRITING REVENUES
Gross premiums written	$	1,526,676		$	1,814,066		$	1,574,505		$	1,583,378		$	1,457,624		$	1,317,890		$	6,140,764
Ceded premiums written	(550,765)			(619,869)			(552,151)			(613,507)			(572,372)			(540,101)			(2,382,044)
Net premiums written	975,911			1,194,197			1,022,354			969,871			885,252			777,789			3,758,720

Gross premiums earned	1,592,802			1,541,766			1,499,039			1,485,956			1,463,578			1,331,887			5,713,667
Ceded premiums earned	(568,951)			(583,554)			(581,093)			(569,177)			(577,864)			(549,786)			(2,251,967)
Net premiums earned	1,023,851			958,212			917,946			916,779			885,714			782,101			3,461,700
Other insurance related income (loss)	93			(61)			21			(289)			(22)			151			(198)
Total underwriting revenues	1,023,944			958,151			917,967			916,490			885,692			782,252			3,461,502

UNDERWRITING EXPENSES
Net losses and loss expenses	602,654			542,591			496,864			681,515			491,368			519,006			2,080,001
Acquisition costs	203,255			188,026			176,029			175,050			169,384			139,436			648,463
Underwriting-related general and administrative expenses	119,249			111,894			122,087			121,600			120,330			108,072			472,094
Total underwriting expenses	925,158			842,511			794,980			978,165			781,082			766,514			3,200,558

UNDERWRITING INCOME (LOSS)	$	98,786		$	115,640		$	122,987		$	(61,675)		$	104,610		$	15,738		$	260,944

Catastrophe and weather-related losses, net of reinstatement premiums	$	71,038		$	45,793		$	19,153		$	23,074		$	37,145		$	112,799		$	111,040
Net favorable (adverse) prior year reserve development	$	4,009		$	—		$	—		$	(181,787)		$	1,609		$	2,558		$	(176,353)

KEY RATIOS
Current accident year loss ratio, excluding catastrophe and weather-related losses	52.3		%	51.8		%	52.0		%	52.0		%	51.5		%	52.6		%	51.8		%
Catastrophe and weather-related losses ratio	7.0		%	4.8		%	2.1		%	2.5		%	4.2		%	14.1		%	3.2		%
Current accident year loss ratio	59.3		%	56.6		%	54.1		%	54.5		%	55.7		%	66.7		%	55.0		%
Prior year reserve development ratio	(0.4		%)	—		%	—		%	19.8		%	(0.2		%)	(0.3		%)	5.1		%
Net losses and loss expenses ratio	58.9		%	56.6		%	54.1		%	74.3		%	55.5		%	66.4		%	60.1		%
Acquisition cost ratio	19.9		%	19.6		%	19.2		%	19.1		%	19.1		%	17.8		%	18.7		%
Underwriting-related general and administrative expenses ratio	11.6		%	11.7		%	13.3		%	13.3		%	13.6		%	13.8		%	13.7		%
Combined ratio	90.4		%	87.9		%	86.6		%	106.7		%	88.2		%	98.0		%	92.5		%

AXIS CAPITAL HOLDINGS LIMITED

REINSURANCE SEGMENT DATA


																			Year ended December 31,
	Q3 2024			Q2 2024			Q1 2024			Q4 2023			Q3 2023			Q3 2022			2023
UNDERWRITING REVENUES
Gross premiums written	$	409,226		$	626,170		$	1,079,922		$	200,915		$	448,254		$	389,918		$	2,215,761
Ceded premiums written	(149,152)			(246,623)			(380,203)			(98,531)			(358,149)			(130,923)			(872,156)
Net premiums written	260,074			379,547			699,719			102,384			90,105			258,995			1,343,605

Gross premiums earned	566,844			576,171			545,608			549,970			582,644			680,539			2,259,910
Ceded premiums earned	(223,994)			(229,905)			(205,513)			(201,476)			(145,794)			(177,774)			(637,829)
Net premiums earned	342,850			346,266			340,095			348,494			436,850			502,765			1,622,081
Other insurance related income	6,745			8,587			8,319			6,339			10,366			941			22,693
Total underwriting revenues	349,595			354,853			348,414			354,833			447,216			503,706			1,644,774

UNDERWRITING EXPENSES
Net losses and loss expenses	229,218			223,397			231,807			470,747			292,572			422,905			1,313,101
Acquisition costs	71,680			77,065			78,225			78,868			94,005			101,075			352,482
Underwriting-related general and administrative expenses	12,333			8,874			15,706			17,616			18,271			24,498			79,373
Total underwriting expenses	313,231			309,336			325,738			567,231			404,848			548,478			1,744,956

UNDERWRITING INCOME (LOSS)	$	36,364		$	45,517		$	22,676		$	(212,398)		$	42,368		$	(44,772)		$	(100,182)

Catastrophe and weather-related losses, net of reinstatement premiums	$	7,082		$	1,267		$	602		$	2,792		$	4,518		$	99,170		$	26,662
Net favorable (adverse) prior year reserve development	$	4,003		$	—		$	—		$	(243,214)		$	1,153		$	2,177		$	(235,529)

KEY RATIOS
Current accident year loss ratio, excluding catastrophe and weather-related losses	66.0		%	64.2		%	68.0		%	64.5		%	66.2		%	64.2		%	64.8		%
Catastrophe and weather-related losses ratio	2.0		%	0.3		%	0.2		%	0.8		%	1.0		%	20.3		%	1.6		%
Current accident year loss ratio	68.0		%	64.5		%	68.2		%	65.3		%	67.2		%	84.5		%	66.4		%
Prior year reserve development ratio	(1.1		%)	—		%	—		%	69.8		%	(0.2		%)	(0.4		%)	14.6		%
Net losses and loss expenses ratio	66.9		%	64.5		%	68.2		%	135.1		%	67.0		%	84.1		%	81.0		%
Acquisition cost ratio	20.9		%	22.3		%	23.0		%	22.6		%	21.5		%	20.1		%	21.7		%
Underwriting-related general and administrative expense ratio	3.6		%	2.5		%	4.6		%	5.1		%	4.2		%	4.9		%	4.9		%
Combined ratio	91.4		%	89.3		%	95.8		%	162.8		%	92.7		%	109.1		%	107.6		%

AXIS CAPITAL HOLDINGS LIMITED

NET INVESTMENT INCOME


													Nine months ended September 30,				Year ended December 31,
	Q3 2024		Q2 2024		Q1 2024		Q4 2023		Q3 2023		Q3 2022		2024		2023		2023

Fixed maturities	$	163,002	$	154,023	$	139,396	$	139,183	$	133,006	$	87,364	$	456,421	$	375,659	$	514,842
Other investments	19,594		14,301		5,673		24,954		312		(7,576)		39,569		(4,543)		20,411
Equity securities	3,529		3,057		2,762		3,592		3,050		2,490		9,348		8,495		12,088
Mortgage loans	8,175		9,108		9,130		9,154		8,892		6,256		26,412		26,158		35,312
Cash and cash equivalents	14,402		13,733		13,661		14,622		14,465		5,350		41,796		35,638		50,261
Short-term investments	3,919		3,766		3,463		2,939		2,195		1,004		11,148		5,984		8,924

Gross investment income	212,621		197,988		174,085		194,444		161,920		94,888		584,694		447,391		641,838
Investment expenses	(7,521)		(7,013)		(6,702)		(7,507)		(7,719)		(6,711)		(21,236)		(22,589)		(30,096)

Net investment income	$	205,100	$	190,975	$	167,383	$	186,937	$	154,201	$	88,177	$	563,458	$	424,802	$	611,742

AXIS CAPITAL HOLDINGS LIMITED

CONSOLIDATED BALANCE SHEETS


	September 30,			June 30,			March 31,			December 31,			September 30,			September 30,
	2024			2024			2024			2023			2023			2022
ASSETS
Investments:
Fixed maturities, available for sale, at fair value	$	13,768,193		$	12,585,137		$	12,269,310		$	12,234,742		$	11,723,368		$	10,784,353
Fixed maturities, held to maturity, at amortized cost	503,776			637,792			693,042			686,296			712,840			690,380
Equity securities, at fair value	604,834			589,899			582,178			588,511			556,262			469,839
Mortgage loans, held for investment, at fair value	524,929			544,859			609,704			610,148			610,277			653,700
Other investments, at fair value	939,734			936,680			934,724			949,413			954,571			970,310
Equity method investments	197,712			193,705			182,594			174,634			162,412			151,333
Short-term investments, at fair value	127,867			57,436			75,879			17,216			115,959			80,260
Total investments	16,667,045			15,545,508			15,347,431			15,260,960			14,835,689			13,800,175
Cash and cash equivalents	1,471,326			1,655,063			1,841,574			1,383,985			1,267,315			1,835,262
Accrued interest receivable	125,770			118,147			107,131			106,055			99,978			77,771
Insurance and reinsurance premium balances receivable	3,408,271			3,686,819			3,517,242			3,067,554			3,207,444			2,788,484
Reinsurance recoverable on unpaid losses and loss expenses	6,810,929			6,591,821			6,503,188			6,323,083			6,031,527			5,244,263
Reinsurance recoverable on paid losses and loss expenses	476,045			483,447			472,660			575,847			594,375			438,497
Deferred acquisition costs	574,012			592,067			543,343			450,950			503,617			541,544
Prepaid reinsurance premiums	2,020,952			2,113,364			2,060,717			1,916,087			1,973,378			1,597,586
Receivable for investments sold	871			11,899			5,686			8,767			17,306			6,452
Goodwill	100,801			100,801			100,801			100,801			100,801			100,801
Intangible assets	178,696			181,426			184,155			186,883			189,612			200,529

Operating lease right-of-use assets	97,912			101,101			104,162			108,093			104,240			96,631
Loan advances made	283,624			328,921			345,065			305,222			208,589			76,257
Other assets	506,394			568,498			625,535			456,385			409,230			391,758
TOTAL ASSETS	$	32,722,648		$	32,078,882		$	31,758,690		$	30,250,672		$	29,543,101		$	27,196,010

LIABILITIES
Reserve for losses and loss expenses	$	17,295,329		$	16,738,871		$	16,630,897		$	16,434,018		$	15,555,256		$	14,652,196
Unearned premiums	5,452,873			5,674,787			5,353,827			4,747,602			4,995,785			4,650,934
Insurance and reinsurance balances payable	1,828,297			2,005,126			1,909,309			1,792,719			1,970,765			1,646,203
Debt	1,314,806			1,314,438			1,314,074			1,313,714			1,313,358			1,312,633
Federal Home Loan Bank advances	75,580			85,790			85,790			85,790			85,790			80,540
Payable for investments purchased	127,609			118,706			493,582			26,093			87,992			78,956
Operating lease liabilities	115,176			116,264			119,124			123,101			116,547			103,345
Other liabilities	429,751			365,429			346,932			464,439			384,400			327,780
TOTAL LIABILITIES	26,639,421			26,419,411			26,253,535			24,987,476			24,509,893			22,852,587

SHAREHOLDERS’ EQUITY
Preferred shares	550,000			550,000			550,000			550,000			550,000			550,000
Common shares	2,206			2,206			2,206			2,206			2,206			2,206
Additional paid-in capital	2,385,905			2,376,244			2,368,144			2,383,030			2,375,678			2,354,895
Accumulated other comprehensive income (loss)	(76,738)			(394,968)			(411,849)			(365,836)			(775,439)			(1,042,650)
Retained earnings	7,092,817			6,957,185			6,790,558			6,440,528			6,628,179			6,244,268
Treasury shares, at cost	(3,870,963)			(3,831,196)			(3,793,904)			(3,746,732)			(3,747,416)			(3,765,296)


TOTAL SHAREHOLDERS' EQUITY	6,083,227			5,659,471			5,505,155			5,263,196			5,033,208			4,343,423

TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	$	32,722,648		$	32,078,882		$	31,758,690		$	30,250,672		$	29,543,101		$	27,196,010



Book value per common share	$66.15			$60.70			$58.51			$55.26			$52.60			$44.80
Book value per diluted common share	$64.65			$59.29			$57.13			$54.06			$51.17			$43.50
Tangible book value per diluted common share	$61.95			$56.59			$54.42			$51.34			$48.44			$40.64
Debt to total capital [a]	17.8		%	18.8		%	19.3		%	20.0		%	20.7		%	23.2		%

[a] The debt to total capital ratio is calculated by dividing debt by total capital. Total capital represents the sum of total shareholders’ equity and debt.

AXIS CAPITAL HOLDINGS LIMITED

CASH AND INVESTED ASSETS PORTFOLIO


	At September 30, 2024												At December 31, 2023
	Cost or Amortized Cost		Allowance for Expected Credit Losses		Unrealized Gains		Unrealized Losses		Fair Value or Net Carrying Value		Percentage			Fair Value or Net Carrying Value		Percentage
Fixed Maturities, available for sale, at fair value
U.S. government and agency	$	2,793,879	$	—	$	37,888	$	(20,967)	$	2,810,800	15.5	%		$	3,007,528	18.1	%
Non-U.S. government	798,756		(17)		25,806		(7,914)		816,631		4.5	%		723,959		4.3	%
Corporate debt	5,740,096		(4,164)		111,523		(124,069)		5,723,386		31.6	%		4,474,172		26.7	%
Agency RMBS	1,764,991		—		29,026		(46,954)		1,747,063		9.6	%		1,634,661		9.8	%
CMBS	839,795		—		3,553		(32,591)		810,757		4.5	%		839,696		5.0	%
Non-Agency RMBS	132,009		(190)		1,128		(8,502)		124,445		0.7	%		153,396		0.9	%
ABS	1,582,069		(51)		11,689		(8,605)		1,585,102		8.7	%		1,242,971		7.4	%
Municipals	155,197		—		1,138		(6,326)		150,009		0.8	%		158,359		0.9	%
Total fixed maturities, available for sale, at fair value	13,806,792		(4,422)		221,751		(255,928)		13,768,193		75.9	%		12,234,742		73.1	%

Fixed maturities, held to maturity, at amortized cost
Corporate debt	123,992		—		—		—		123,992		0.7	%		95,200		0.6	%
ABS	379,784		—		—		—		379,784		2.1	%		591,096		3.5	%
Total fixed maturities, held to maturity, at amortized cost	503,776		—		—		—		503,776		2.8	%		686,296		4.1	%

Equity securities, at fair value
Common stocks	2,843		—		76		(418)		2,501		—	%		2,546		—	%
Preferred Stocks	5,843		—		341		(100)		6,084		—	%		5,601		—	%
Exchange-traded funds	188,625		—		125,072		(473)		313,224		1.7	%		287,275		1.7	%
Bond mutual funds	320,779		—		4,896		(42,650)		283,025		1.6	%		293,089		1.8	%
Total equity securities, at fair value	518,090		—		130,385		(43,641)		604,834		3.3	%		588,511		3.5	%

Total fixed maturities and equity securities	$	14,828,658	$	(4,422)	$	352,136	$	(299,569)	14,876,803		82.0	%		13,509,549		80.7	%
Mortgage loans, held for investment									524,929		2.9	%		610,148		3.6	%
Other investments									939,734		5.2	%		949,413		5.7	%
Equity method investments									197,712		1.1	%		174,634		1.0	%
Short-term investments									127,867		0.7	%		17,216		0.2	%
Total investments									16,667,045		91.9	%		15,260,960		91.2	%
Cash and cash equivalents [a]									1,471,326		8.1	%		1,383,985		8.3	%
Accrued interest receivable									125,770		0.7	%		106,055		0.6	%
Net receivable/(payable) for investments sold (purchased)									(126,738)		(0.7	%)		(17,326)		(0.1	%)
Total cash and invested assets									$	18,137,403	100.0	%		$	16,733,674	100.0	%

[a] Includes $490 million and $431 million of restricted cash and cash equivalents at September 30, 2024 and December 31, 2023, respectively.


	At September 30, 2024				At December 31, 2023
	Fair Value		Percentage		Fair Value		Percentage
Other Investments:

Multi-strategy funds	$	24,302	2.6	%	$	24,619	2.6	%

Direct lending funds	174,441		18.6	%	192,270		20.3	%
Real estate funds	310,130		33.0	%	317,325		33.4	%
Private equity funds	314,444		33.5	%	301,712		31.8	%
Other privately held investments	112,284		11.9	%	108,187		11.4	%
Collateralized loan obligations - equity tranches	4,133		0.4	%	5,300		0.5	%
Total	$	939,734	100.0	%	$	949,413	100.0	%

AXIS CAPITAL HOLDINGS LIMITED

CASH AND INVESTED ASSETS COMPOSITION


	Q3 2024		Q2 2024		Q1 2024		Q4 2023		Q3 2023		Q3 2022
	Fair Value %
CASH AND INVESTED ASSETS PORTFOLIO
Fixed Maturities, available for sale:
U.S. government and agency	15.5	%	15.4	%	15.6	%	18.1	%	17.6	%	15.3	%
Non-U.S. government	4.5	%	4.4	%	4.4	%	4.3	%	4.2	%	3.3	%
Corporate debt	31.6	%	29.6	%	29.2	%	26.7	%	26.2	%	26.5	%
MBS:
Agency RMBS	9.6	%	9.3	%	9.4	%	9.8	%	9.6	%	6.5	%
CMBS	4.5	%	4.8	%	4.9	%	5.0	%	5.4	%	6.4	%
Non-agency RMBS	0.7	%	0.7	%	0.8	%	0.9	%	0.9	%	0.9	%
ABS	8.7	%	8.0	%	7.8	%	7.4	%	7.9	%	9.2	%
Municipals	0.8	%	0.9	%	0.9	%	0.9	%	0.9	%	0.9	%

Total Fixed Maturities, available for sale	75.9	%	73.1	%	73.0	%	73.1	%	72.7	%	69.0	%
Fixed Maturities, held to maturity:
Corporate debt	0.7	%	0.6	%	0.6	%	0.6	%	0.6	%	0.5	%
ABS	2.1	%	3.1	%	3.5	%	3.5	%	3.8	%	3.9	%

Total Fixed Maturities, held to maturity	2.8	%	3.7	%	4.1	%	4.1	%	4.4	%	4.4	%
Equity securities	3.3	%	3.4	%	3.5	%	3.5	%	3.4	%	3.0	%
Mortgage loans	2.9	%	3.2	%	3.6	%	3.6	%	3.8	%	4.2	%
Other investments	5.2	%	5.4	%	5.6	%	5.7	%	5.9	%	6.2	%
Equity method investments	1.1	%	1.1	%	1.1	%	1.0	%	1.0	%	1.0	%
Short-term investments	0.7	%	0.4	%	0.4	%	0.2	%	0.8	%	0.4	%

Total Investments	91.9	%	90.3	%	91.3	%	91.2	%	92.0	%	88.2	%
Cash and cash equivalents	8.1	%	9.6	%	11.0	%	8.3	%	7.9	%	11.7	%
Accrued interest receivable	0.7	%	0.7	%	0.6	%	0.6	%	0.6	%	0.5	%
Net receivable/(payable) for investments sold (purchased)	(0.7	%)	(0.6	%)	(2.9	%)	(0.1	%)	(0.5	%)	(0.4	%)
Total Cash and Invested Assets	100.0	%	100.0	%	100.0	%	100.0	%	100.0	%	100.0	%

CREDIT QUALITY OF FIXED MATURITIES
U.S. government and agency	19.7	%	20.2	%	20.0	%	23.3	%	23.0	%	20.8	%
AAA [a]	20.1	%	21.0	%	21.7	%	21.3	%	22.4	%	35.2	%
AA [a]	20.5	%	20.4	%	20.4	%	20.5	%	20.4	%	7.5	%
A	17.8	%	16.8	%	16.1	%	15.9	%	15.1	%	15.7	%
BBB	11.9	%	11.4	%	11.6	%	11.0	%	10.7	%	11.6	%
Below BBB	10.0	%	10.2	%	10.2	%	8.0	%	8.4	%	9.2	%
Total	100.0	%	100.0	%	100.0	%	100.0	%	100.0	%	100.0	%

MATURITY PROFILE OF FIXED MATURITIES
Within one year	5.2	%	4.3	%	3.3	%	3.6	%	4.4	%	5.4	%
From one to five years	43.4	%	42.7	%	44.7	%	45.1	%	43.1	%	39.0	%
From five to ten years	17.1	%	18.0	%	16.3	%	15.6	%	15.7	%	17.1	%
Above ten years	1.7	%	1.3	%	1.3	%	1.2	%	1.1	%	1.8	%
Asset-backed and mortgage-backed securities	32.6	%	33.7	%	34.4	%	34.5	%	35.7	%	36.7	%
Total	100.0	%	100.0	%	100.0	%	100.0	%	100.0	%	100.0	%

CASH AND INVESTED ASSETS PORTFOLIO CHARACTERISTICS
Book yield of fixed maturities	4.4	%	4.4	%	4.3	%	4.2	%	4.1	%	2.9	%
Yield to maturity of fixed maturities	4.9	%	5.7	%	5.6	%	5.4	%	6.2	%	5.5	%
Average duration of fixed maturities (inclusive of duration hedges)	3.0 yrs		3.1 yrs		3.0 yrs		3.0 yrs		3.0 yrs		2.9 yrs
Average credit quality of fixed maturities	A+		A+		A+		AA-		AA-		AA-

[a] Includes U.S. government-sponsored agencies, residential mortgage-backed securities ("RMBS") and commercial mortgage-backed securities ("CMBS") and reflect the downgrade of the U.S. government on August 1, 2023.

AXIS CAPITAL HOLDINGS LIMITED

MORTGAGE-BACKED AND ASSET-BACKED SECURITIES COMPOSITION

At September 30, 2024


Available for sale, at fair value	Agencies			AAA			AA			A			BBB			Non-Investment Grade			Total

Residential MBS	$	1,747,063		$	116,435		$	4,791		$	1,178		$	84		$	1,957		$	1,871,508
Commercial MBS	86,977			663,534			49,974			5,720			2,739			1,813			810,757
ABS	—			1,356,283			137,444			74,194			15,535			1,646			1,585,102

Total mortgage-backed and asset-backed securities, available for sale, at fair value	$	1,834,040		$	2,136,252		$	192,209		$	81,092		$	18,358		$	5,416		$	4,267,367

Percentage of total	43.0		%	50.1		%	4.5		%	1.9		%	0.4		%	0.1		%	100.0		%


Held to maturity, at amortized cost	Agencies			AAA			AA			A			BBB			Non-Investment Grade			Total

ABS	$	—		$	152,473		$	227,311		$	—		$	—		$	—		$	379,784

Total mortgage-backed and asset-backed securities, held to maturity, at amortized cost	$	—		$	152,473		$	227,311		$	—		$	—		$	—		$	379,784

Percentage of total	—		%	40.1		%	59.9		%	—		%	—		%	—		%	100.0		%

AXIS CAPITAL HOLDINGS LIMITED

RESERVE FOR LOSSES AND LOSS EXPENSES



	Three months ended September 30, 2024						Nine months ended September 30, 2024
	Reserve for losses and loss expenses		Reinsurance recoverable on unpaid losses and loss expenses		Net reserve for losses and loss expenses		Reserve for losses and loss expenses		Reinsurance recoverable on unpaid losses and loss expenses		Net reserve for losses and loss expenses
Reserve for losses and loss expenses

Beginning of period	$	16,738,871	$	(6,591,821)	$	10,147,050	$	16,434,018	$	(6,323,083)	$	10,110,935
Incurred losses and loss expenses	1,331,512		(499,640)		831,872		3,810,402		(1,483,870)		2,326,532
Paid losses and loss expenses	(976,538)		309,770		(666,768)		(3,076,294)		998,435		(2,077,859)
Foreign exchange and other	201,484		(29,238)		172,246		127,203		(2,411)		124,792

End of period [a]	$	17,295,329	$	(6,810,929)	$	10,484,400	$	17,295,329	$	(6,810,929)	$	10,484,400

[a] At September 30, 2024, reserve for losses and loss expenses included IBNR of $11.8 billion, or 68% (December 31, 2023: $10.9 billion, or 66%).

AXIS CAPITAL HOLDINGS LIMITED

RESERVE FOR LOSSES AND LOSS EXPENSES: PAID TO INCURRED ANALYSIS BY SEGMENT


	Three months ended September 30, 2024									Nine months ended September 30, 2024
	Insurance			Reinsurance			Total			Insurance			Reinsurance			Total

Gross paid losses and loss expenses	$	602,312		$	374,226		$	976,538		$	1,827,443		$	1,248,851		$	3,076,294
Reinsurance recoverable on paid losses and loss expenses	(227,820)			(81,950)			(309,770)			(718,683)			(279,752)			(998,435)
Net paid losses and loss expenses	374,492			292,276			666,768			1,108,760			969,099			2,077,859

Change in gross case reserves	123,756			(104,162)			19,594			162,088			(264,278)			(102,190)
Change in gross IBNR	223,057			112,323			335,380			702,149			134,149			836,298
Change in reinsurance recoverable on unpaid losses and loss expenses	(118,651)			(71,219)			(189,870)			(330,887)			(154,548)			(485,435)
Change in net unpaid losses and loss expenses	228,162			(63,058)			165,104			533,350			(284,677)			248,673

Total net incurred losses and loss expenses	$	602,654		$	229,218		$	831,872		$	1,642,110		$	684,422		$	2,326,532

Gross reserve for losses and loss expenses	$	10,427,063		$	6,868,266		$	17,295,329		$	10,427,063		$	6,868,266		$	17,295,329

Net favorable prior year reserve development	$	4,009		$	4,003		$	8,012		$	4,008		$	4,003		$	8,011

Key Ratios

Net paid losses and loss expenses / Net incurred losses and loss expenses	62.1		%	127.5		%	80.2		%	67.5		%	141.6		%	89.3		%

Net paid losses and loss expenses / Net premiums earned	36.6		%	85.2		%	48.8		%	38.2		%	94.2		%	52.9		%
Net unpaid losses and loss expenses / Net premiums earned	22.3		%	(18.3		%)	12.1		%	18.4		%	(27.7		%)	6.3		%
Net losses and loss expenses ratio	58.9		%	66.9		%	60.9		%	56.6		%	66.5		%	59.2		%

AXIS CAPITAL HOLDINGS LIMITED

EARNINGS PER COMMON SHARE INFORMATION - AS REPORTED, U.S. GAAP


	Three months ended September 30,				Nine months ended September 30,
	2024		2023		2024		2023

Net income available to common shareholders	$	173,165	$	180,535	$	765,465	$	496,182

WEIGHTED AVERAGE COMMON SHARES OUTSTANDING:
Weighted average common shares outstanding	83,936		85,223		84,428		85,099
Dilutive share equivalents:
Share-based compensation plans	1,064		885		910		828
Weighted average diluted common shares outstanding	85,000		86,108		85,338		85,927

EARNINGS PER COMMON SHARE
Earnings per common share	$2.06		$2.12		$9.07		$5.83
Earnings per diluted common share	$2.04		$2.10		$8.97		$5.77

EARNINGS PER COMMON SHARE INFORMATION AND COMMON SHARES ROLL FORWARD


	Q3 2024		Q2 2024		Q1 2024		Q4 2023		Q3 2023		Q3 2022

Net income (loss) available (attributable) to common shareholders	$	173,165	$	204,401	$	387,896	$	(150,145)	$	180,535	$	(16,947)

COMMON SHARES OUTSTANDING
Common shares - at beginning of period	84,179		84,687		85,286		85,228		85,216		84,655
Shares issued and treasury shares reissued	12		37		682		167		19		17
Shares repurchased for treasury	(542)		(545)		(1,281)		(109)		(7)		(6)
Common shares - at end of period	83,649		84,179		84,687		85,286		85,228		84,666

WEIGHTED AVERAGE COMMON SHARES OUTSTANDING
Weighted average common shares outstanding	83,936		84,475		84,879		85,268		85,223		84,660
Dilutive share equivalents:

Share-based compensation plans [a]	1,064		851		814		—		885		—
Weighted average diluted common shares outstanding	85,000		85,326		85,693		85,268		86,108		84,660

EARNINGS (LOSS) PER COMMON SHARE
Earnings (loss) per common share	$2.06		$2.42		$4.57		($1.76)		$2.12		($0.20)
Earnings (loss) per diluted common share	$2.04		$2.40		$4.53		($1.76)		$2.10		($0.20)

[a] Due to the net loss attributable to common shareholders recognized for the three months ended December 31, 2023 and September 30, 2022, the share equivalents were anti-dilutive.

AXIS CAPITAL HOLDINGS LIMITED

BOOK VALUE PER DILUTED COMMON SHARE ANALYSIS - TREASURY STOCK METHOD [a]


	At September 30, 2024

		Common Shareholders’ Equity		Common Shares Outstanding, net of Treasury Shares	Per share

Closing stock price					$79.61

Book value per common share		$	5,533,227	83,649	$66.15

Dilutive securities:

Restricted stock units				1,934	(1.50)
Book value per diluted common share		$	5,533,227	85,583	$64.65

	At December 31, 2023

		Common Shareholders’ Equity		Common Shares Outstanding, net of Treasury Shares	Per share

Closing stock price					$55.37

Book value per common share		$	4,713,196	85,286	$55.26



Dilutive securities:


Restricted stock units				1,903	(1.20)
Book value per diluted common share		$	4,713,196	87,189	$54.06

[a] Under this method, unvested restricted stock units are included in determining the diluted common shares outstanding.

TANGIBLE BOOK VALUE PER DILUTED COMMON SHARE



	Q3 2024		Q2 2024		Q1 2024		Q4 2023		Q3 2023		Q3 2022

Common shareholders' equity	$	5,533,227	$	5,109,471	$	4,955,155	$	4,713,196	$	4,483,208	$	3,793,423
Less: goodwill	(100,801)		(100,801)		(100,801)		(100,801)		(100,801)		(100,801)
Less: intangible assets	(178,696)		(181,426)		(184,155)		(186,883)		(189,612)		(200,529)
Associated tax impact	48,507		49,128		49,749		50,371		50,992		52,086
Tangible common shareholders' equity	$	5,302,237	$	4,876,372	$	4,719,948	$	4,475,883	$	4,243,787	$	3,544,179

Diluted common shares outstanding, net of treasury shares [a]	85,583		86,172		86,738		87,189		87,617		87,205

Book value per diluted common share	$	64.65	$	59.29	$	57.13	$	54.06	$	51.17	$	43.50

Tangible book value per diluted common share	$	61.95	$	56.59	$	54.42	$	51.34	$	48.44	$	40.64

[a] Diluted common shares outstanding, net of treasury shares is calculated in the table above.

AXIS CAPITAL HOLDINGS LIMITED

NON-GAAP FINANCIAL MEASURES RECONCILIATION (UNAUDITED)

OPERATING INCOME AND OPERATING RETURN ON AVERAGE COMMON EQUITY



	Three months ended September 30,						Nine months ended September 30,
	2024			2023			2024			2023
Net income available to common shareholders	$	173,165		$	180,535		$	765,465		$	496,182
Net investment (gains) losses	(32,182)			53,114			30,503			97,671
Foreign exchange losses (gains)	92,204			(50,570)			61,268			(11,755)
Reorganization expenses	—			28,997			26,312			28,997
Interest in income of equity method investments	(1,621)			(2,940)			(10,689)			(2,835)
Bermuda net deferred tax asset [a]	—			—			(162,705)			—
Income tax benefit [b]	(1,503)			(7,245)			(9,938)			(15,138)
Operating income	$	230,063		$	201,891		$	700,216		$	593,122

Earnings per diluted common share	$	2.04		$	2.10		$	8.97		$	5.77
Net investment (gains) losses	(0.38)			0.62			0.36			1.14
Foreign exchange losses (gains)	1.08			(0.59)			0.72			(0.14)
Reorganization expenses	—			0.34			0.31			0.34
Interest in income of equity method investments	(0.02)			(0.03)			(0.13)			(0.03)
Bermuda net deferred tax asset	—			—			(1.91)			—
Income tax benefit	(0.01)			(0.10)			(0.11)			(0.18)
Operating income per diluted common share	$	2.71		$	2.34		$	8.21		$	6.90

Weighted average diluted common shares outstanding	85,000			86,108			85,338			85,927

Average common shareholders' equity	$	5,321,349		$	4,477,086		$	5,123,212		$	4,286,559

Annualized return on average common equity	13.0		%	16.1		%	19.9		%	15.4		%

Annualized operating return on average common equity	17.3		%	18.0		%	18.2		%	18.4		%

[a] Net deferred tax benefit due to the recognition of deferred tax assets net of deferred tax liabilities related to a future Bermuda corporate income tax rate of 15%, pursuant to the Corporate Income Tax Act 2023.

[b] Tax expense (benefit) associated with the adjustments to net income (loss) available (attributable) to common shareholders. Tax impact is estimated by applying the statutory rates of applicable jurisdictions.

AXIS CAPITAL HOLDINGS LIMITED

RATIONALE FOR THE USE OF NON-GAAP FINANCIAL MEASURES

We present our results of operations in a way we believe will be meaningful and useful to investors, analysts, rating agencies and others who use our financial information to evaluate our performance. Some of the measurements we use are considered non-GAAP financial measures under SEC rules and regulations. In this document, we present underwriting-related general and administrative expenses, consolidated underwriting income (loss), current accident year loss ratio, catastrophe and weather-related losses ratio, current accident year loss ratio, excluding catastrophe and weather-related losses, operating income (loss) (in total and on a per share basis), annualized operating return on average common equity ("operating ROACE"), tangible book value per diluted common share which are non-GAAP financial measures as defined in SEC Regulation G. We believe that these non-GAAP financial measures, which may be defined and calculated differently by other companies, help explain and enhance the understanding of our results of operations. However, these measures should not be viewed as a substitute for those determined in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP").

Underwriting-Related General and Administrative Expenses

Underwriting-related general and administrative expenses include those general and administrative expenses that are incremental and/or directly attributable to our underwriting operations. While this measure is presented in the 'Segment Information' note to our Consolidated Financial Statements, it is considered a non-GAAP financial measure when presented elsewhere on a consolidated basis.

Corporate expenses include holding company costs necessary to support our worldwide insurance and reinsurance operations and costs associated with operating as a publicly-traded company. As these costs are not incremental and/or directly attributable to our underwriting operations, these costs are excluded from underwriting-related general and administrative expenses, and therefore, consolidated underwriting income (loss). General and administrative expenses, the most comparable GAAP financial measure to underwriting-related general and administrative expenses, also includes corporate expenses.

The reconciliation of underwriting-related general and administrative expenses to general and administrative expenses, the most comparable GAAP financial measure, is presented in the 'Consolidated Statements of Operations' section of this document.

Consolidated Underwriting Income (Loss)

Consolidated underwriting income (loss) is a pre-tax measure of underwriting profitability that takes into account net premiums earned and other insurance related income (loss) as revenues and net losses and loss expenses, acquisition costs and underwriting-related general and administrative expenses as expenses. While this measure is presented in the 'Segment Information' note to our Consolidated Financial Statements, it is considered a non-GAAP financial measure when presented elsewhere on a consolidated basis.

We evaluate our underwriting results separately from the performance of our investment portfolio. As a result, we believe it is appropriate to exclude net investment income and net investment gains (losses) from our underwriting profitability measure.

Foreign exchange losses (gains) in our consolidated statements of operations primarily relate to the impact of foreign exchange rate movements on our net insurance-related liabilities. However, we manage our investment portfolio in such a way that unrealized and realized foreign exchange losses (gains) on our investment portfolio, including unrealized foreign exchange losses (gains) on our equity securities, and foreign exchange losses (gains) realized on the sale of our available for sale investments and equity securities recognized in net investment gains (losses), and unrealized foreign exchange losses (gains) on our available for sale investments in other comprehensive income (loss), generally offset a large portion of the foreign exchange losses (gains) arising from our underwriting portfolio, thereby minimizing the impact of foreign exchange rate movements on total shareholders’ equity. As a result, we believe that foreign exchange losses (gains) in our consolidated statements of operations in isolation are not a meaningful contributor to our underwriting performance. Therefore, foreign exchange losses (gains) are excluded from consolidated underwriting income (loss).

Interest expense and financing costs primarily relate to interest payable on our debt and Federal Home Loan Bank advances. As these expenses are not incremental and/or directly attributable to our underwriting operations, these expenses are excluded from underwriting-related general and administrative expenses and, therefore, consolidated underwriting income (loss).

Reorganization expenses in 2024 primarily relate to severance costs attributable to our "How We Work" program which is focused on simplifying our operating structure. Reorganization expenses in 2023 primarily relate to impairments of computer software assets and severance costs mainly attributable to our "How We Work" program. Reorganization expenses in 2022 primarily relate to severance costs and impairments of computer software assets mainly attributable to our exit from catastrophe and property reinsurance lines of business which was part of an overall approach to reduce our exposure to volatile catastrophe risk. Reorganization expenses are primarily driven by business decisions, the nature and timing of which are not related to the underwriting process. Therefore, these expenses are excluded from consolidated underwriting income (loss).

Amortization of intangible assets arose from business decisions, the nature and timing of which are not related to the underwriting process. Therefore, these expenses are excluded from consolidated underwriting income (loss).

We believe that the presentation of underwriting-related general and administrative expenses and consolidated underwriting income (loss) provides investors with an enhanced understanding of our results of operations, by highlighting the underlying pre-tax profitability of our underwriting activities. The reconciliation of consolidated underwriting income (loss) to net income (loss), the most comparable GAAP financial measure, is presented in the 'Consolidated Statements of Operations' section of this document.

Current Accident Year Loss Ratio

Current accident year loss ratio represents net losses and loss expenses ratio exclusive of net favorable (adverse) prior year reserve development. We believe that the presentation of current accident year loss ratio provides investors with an enhanced understanding of our results of operations by highlighting net losses and loss expenses associated with our underwriting activities excluding the impact of volatile prior year reserve development. The reconciliation of current accident year loss ratio to net losses and loss expenses ratio, the most comparable GAAP financial measure, is presented in the 'Financial Highlights' section of this document.

Catastrophe and Weather-Related Losses Ratio and Current Accident Year Loss Ratio, excluding Catastrophe and Weather-Related Losses

Catastrophe and weather-related losses ratio represents net losses and loss expenses ratio associated with natural disasters, man-made catastrophes, other catastrophe events and other weather-related events exclusive of net favorable (adverse) prior year reserve development.

Current accident year loss ratio, excluding catastrophe and weather-related losses represents net losses and loss expenses ratio exclusive of net favorable (adverse) prior year reserve development and net losses and loss expenses associated with natural disasters, man-made catastrophes, other catastrophe events and other weather-related events.

We believe that the presentation of these ratios that separately identify net losses and loss expenses associated with catastrophe and weather-related events provide investors with an enhanced understanding of our results of operations due to the inherently unpredictable nature of the occurrence of these events, the potential magnitude of these losses and the complexity that affects our ability to accurately estimate ultimate losses associated with these events.

The reconciliation of catastrophe and weather-related losses ratio and current accident year loss ratio, excluding catastrophe and weather-related losses to net losses and loss expenses ratio, the most comparable GAAP financial measure, is presented in the 'Financial Highlights' section of this document.

Operating Income (Loss)

Operating income (loss) represents after-tax operational results exclusive of net investment gains (losses), foreign exchange losses (gains), reorganization expenses, interest in income (loss) of equity method investments and Bermuda net deferred tax asset.

Although the investment of premiums to generate income and investment gains (losses) is an integral part of our operations, the determination to realize investment gains (losses) is independent of the underwriting process and is heavily influenced by the availability of market opportunities. Furthermore, many users believe that the timing of the realization of investment gains (losses) is somewhat opportunistic for many companies.

Foreign exchange losses (gains) in our consolidated statements of operations primarily relate to the impact of foreign exchange rate movements on net insurance-related liabilities. However, we manage our investment portfolio in such a way that unrealized and realized foreign exchange losses (gains) on our investment portfolio, including unrealized foreign exchange losses (gains) on our equity securities, and foreign exchange losses (gains) realized on the sale of our available for sale investments and equity securities recognized in net investment gains (losses), and unrealized foreign exchange losses (gains) on our available for sale investments in other comprehensive income (loss), generally offset a large portion of the foreign exchange losses (gains) arising from our underwriting portfolio, thereby minimizing the impact of foreign exchange rate movements on total shareholders’ equity. As a result, we believe that foreign exchange losses (gains) in our consolidated statements of operations in isolation are not a meaningful contributor to the performance of our business. Therefore, foreign exchange losses (gains) are excluded from operating income (loss).

Interest in income (loss) of equity method investments is primarily driven by business decisions, the nature and timing of which are not related to the underwriting process. Therefore, this income (loss) is excluded from operating income (loss).

Bermuda net deferred tax asset is due to the recognition of deferred tax assets net of deferred tax liabilities related to a future Bermuda corporate income tax rate of 15%, pursuant to the Corporate Income Tax Act 2023 effective for fiscal years beginning on or after January 1, 2025. The Bermuda net deferred tax asset is not related to the underwriting process. Therefore, this income is excluded from operating income (loss).

Certain users of our financial statements evaluate performance exclusive of after-tax net investment gains (losses), foreign exchange losses (gains), reorganization expenses, interest in income (loss) of equity method investments and Bermuda net deferred tax asset to understand the profitability of recurring sources of income.

We believe that showing net income (loss) available (attributable) to common shareholders exclusive of after-tax net investment gains (losses), foreign exchange losses (gains), reorganization expenses, interest in income (loss) of equity method investments and Bermuda net deferred tax asset reflects the underlying fundamentals of our business. In addition, we believe that this presentation enables investors and other users of our financial information to analyze performance in a manner similar to how our management analyzes the underlying business performance. We also believe this measure follows industry practice and, therefore, facilitates comparison of our performance with our peer group. We believe that equity analysts and certain rating agencies that follow us, and the insurance industry as a whole, generally exclude these items from their analyses for the same reasons. The reconciliation of operating income (loss) to net income (loss) available (attributable) to common shareholders, the most comparable GAAP financial measure, is presented in the 'Non-GAAP Financial Measures Reconciliation' section of this document.

We also present operating income (loss) per diluted common share and annualized operating ROACE, which are derived from the operating income (loss) measure and are reconciled to the most comparable GAAP financial measures, earnings (loss) per diluted common share and annualized return on average common equity ("ROACE"), respectively, in the 'Non-GAAP Financial Measures Reconciliation' section of this document.

Tangible Book Value per Diluted Common Share

Tangible book value represents common shareholders' equity exclusive of after-tax goodwill and intangible assets. We present tangible book value per diluted common share calculated under the treasury stock method. We believe that this measure, in combination with book value per diluted common share, is useful in assessing value generated for our common shareholders. A reconciliation of tangible book value per diluted common share to book value per diluted common share, the most comparable GAAP financial measure, is presented in the 'Tangible Book Value per Diluted Common Share' section of this document.