AXA group's net income fell by nearly a third in the first six months of 2002 compared to last year, the company estimated.
It expects group net income for the first half of the year to total Euros 840m, down from Euros 1.22bn in the same period of 2001.
The Paris-based group increased its provisions for 11 September losses by Euros 9m, net of tax and reinsurance.
The figures are revealed in its first half earnings results, released today.
The falls come despite booming business within property and casualty insurance.
AXA group's operating earnings from the sector doubled in the first half of 2002 compared to the same period last year to an estimated Euros 23m.
The group estimated its combined ratio within property and casualty to be running at 106% compared to 111% in the first half of 2001 and 112% for the full year.
The combined ratio measures claims and costs as a percentage of premiums.
The group's net asset value is expected to fall by about 13%, dragged down by lower unrealised capital gains and the falling share price of subsidiary Alliance Capital as well as exchange rate fluctuations.
Despite the fall in net income, overall operating earnings were up 17% on the first half of last year, it estimated.
AXA expects its operating earnings for the first six months of the year to hit Euros 1.2bn, compared to Euros 880m last time.
The group's operating earnings for the whole of 2001 totalled Euros 1.53bn.
