French insurer AXA announced on Tuesday that it intends to accelerate profit growth in coming years, raising its mid-term targets and signalling that dividends and share buybacks will take precedence over potential acquisitions.
CEO Thomas Buberl said the company will also deploy artificial intelligence across its operations as part of the strategy, the insurer told investors ahead of a presentation in Paris.
AXA's revised plan calls for adjusted earnings per share to grow by 7% to 9% annually from 2026 to 2029, one percentage point above the previous mid-term forecast. Return on equity is targeted at 15% to 17% on average for 2027 to 2029, also one percentage point higher at both ends compared with earlier guidance.
Under the updated plan, AXA will continue to allocate roughly 75% of profits to dividends and share repurchases. The company indicated that returning capital to shareholders is a higher priority than pursuing acquisitions of other businesses.
