Bermuda-based AXIS Capital yesterday reported its net income in the third quarter had shot up to $147 million.

The company?s healthy level of earnings, which broke down to 90 cents per share, was quite a jump on the $92.1 million in earnings, or 68 cents per share, recorded during the same period of 2003.

Yesterday, AXIS CFO Andrew Cook told that the $54.9 million increase in net income from the third quarter of last year was a significant gain.

But he said that the company?s expansion should also be taken into consideration when looking at the growth in earnings.

AXIS was the first of a wave of companies to set up on the Island after a void in capacity following the September 11 terrorist attacks.

It opened its doors nearly two years ago ? on 20 November, 2001 and in the interim has established a strong Bermuda presence as well as operations on both sides of the Atlantic.

Earlier this year it also went public, with its July initial public offering (IPO) on the New York Stock Exchange.

Mr. Cook said that AXIS? US insurance and reinsurance operations ? with offices now established in New York, Connecticut, Atlanta, Chicago and Los Angeles ? had come online in the last year and the company?s results now reflected the earnings of those units.

That would not have been the case last year, as the premium written last year would not have been earned until this year.

AXIS president and CEO John Charman said the company?s four business segments ? Global Insurance, Global Reinsurance (with offices in Bermuda, Dublin and Zurich) and US Insurance and US Reinsurance ? had jointly posted a ?very positive? combined ratio of 69. 2 percent (or earnings of 30.8 cents on each dollar underwritten). He added that along with strong investment returns ($19.3 million in net investment income was posted during the quarter), the company had been able to achieve its stellar earnings.

Mr. Charman told that the company?s global insurance and reinsurance segments had respectively seen 39 percent and 56 percent growth.

?We are delighted to show continuing significant high quality premium growth in all four of our underwriting segments despite the third quarter being a traditionally slow production period for many of our business lines. As the irreversible flight of quality to quality continues unabated, AXIS is appropriately recognised across all our business lines as security that is safe, capable, consistent and highly service-oriented. Hence, our global AXIS Capital franchise has been able to produce for our shareholders strong, real net income for the quarter.?

The company?s level of net income, at 90 cents per share, significantly beat out the expectations of the analysts that follow the stock with an average earnings estimate for the third quarter of 56 cents per share.

Net income for the nine months ended September 30, 2003 rose 142 percent to $371.9 million, or $2.46 per share, from $153.8 million, or $1.13 per share, during the same period last year.

Shareholders also have something to smile about with the value of shareholders? equity standing at about $2.7 billion, as of September 30, 2003. Diluted book value per share was $16.72, an increase of $2.76, or 20 percent, from December 31, 2002. Shareholders? equity includes the net proceeds of $316 million received from the company?s NYSE listing in the summer.

Gross premiums written for the third quarter of 2003 were $633.9 million compared to $252.3 million for the third quarter 2002.

AXIS reported that of the premiums written, $249.3 million were derived from global insurance compared to $179.1 million in the corresponding quarter of 2002; $114.6 million from global reinsurance compared to $73.2 million in the corresponding quarter of 2002; $188.0 million from US insurance; and $82.0 million from US reinsurance. The latter two segments began underwriting at the start of 2003; therefore, there are no comparatives for the periods in 2002.

For the quarter ended September 30, 2003 compared to the quarter ended September 30, 2002, net premiums written rose to $534.4 million from $200.0 million and net premiums earned increased to $397.5 million from $167.7 million.

AXIS Capital will host a conference call this morning at 9:30 a.m. Bermuda time. The presentation will be available through an audio webcast accessible at http://www.axiscapital.com.

In addition, a financial supplement relating to the Company?s financial results for the third quarter is available in the Investor Information section of the same website.

AXIS Capital is a Bermuda-based global provider of specialty lines insurance and treaty reinsurance with shareholders? equity of approximately $2.7 billion and locations in Bermuda, the United States and Europe. Its operating subsidiaries have been assigned a rating of ?A? (?Excellent?) by A.M. Best and a rating of ?A? (?Strong?) by Standard & Poor?s.