Bermudian-based Axis Capital Holdings has reported profits of $85 million for the second quarter, down $34 million on the same period last year.

The figure is equal to $1.01 per common share, compared to the $1.29 per common share on the second quarter 2016 profit of $119 million.

Albert Benchimol, president of the insurer and reinsurer, said: “This quarter we continued to take tangible actions and make strong progress in advancing our strategy to build long-term profitable growth for Axis.”

He added that Axis had seen operating return on equity of 8.6 per cent and an increase in book value per share, adjusted for dividends, of three per cent for the second quarter.

He said: “Our underwriting results absorbed the impact of a higher frequency of property losses and the continuing effect of the Ogden Rate change, which reflects the benefits associated with our portfolio construction activities.”

Gross premiums written in the second quarter rose by $42 million, up 3 per cent, to $1.4 billion compared to the same time last year.

The reinsurance arm of the business increased by $30 million, or 6 per cent, over the same period last year, while the insurance segment went up $12 million, or 2 per cent.

Mr Benchimol said: “We continue to enhance the Axis franchise, dedicating more resources to data and analytics, recruiting top talent and expanding our activities with strategic capital partners to do more for our clients and brokers and earn attractive fee income and furthering our strategy of growing scale and relevance in attractive markets.”

He added: “In addition to organic growth in targeted lines of business during the quarter, we closed on the acquisition of Aviabel, a European specialty aviation insurer and reinsurer and earlier this month we announced our offer to acquire Novae Group plc, a diversified specialty insurer and reinsurer operating through Lloyd’s of London.

“Our proposed acquisition of Novae would accelerate strategic initiatives and strengthen our positioning in the important London market for international specialty risks.”