AXA Asia-Pacific returns to profit; mum on takeover

SYDNEY: Australian listed AXA Asia-Pacific which is being circled by National Australia Bank and AMP, posted its biggest annual profit since 2003, but made no immediate comment on the takeover tussle, says Reuters.

The unit of France's AXA SA holds separate analysts and media briefings later on Wednesday and investors would be watching for comments on the high stakes US$12 billion takeover saga.

AMP reports earnings on Thursday and NAB announces its quarterly update on Friday, and both could then reveal their next steps.

But gaining regulatory clearance is pivotal. Earlier this month Australian Competition and Consumer Commission said it hoped to announce its decision on the two bids by March 17.

The ACCC said it was more concerned about NAB's bid, which is higher than AMP's and has AXA Asia Pacific independent directors’ endorsement.

AXA Asia Pacific reported a net profit of A$679 million (US$612.3 million) as expected, helped by a revival in business in the second half. It had posted a loss of A$279 million a year ago.

In January, AXA Asia Pacific said it expected 2009 profit after tax and non-recurring items would be A$675 million.

The Australian business reported a 25 percent fall in operating earnings hurt by lower funds under management, but said the fall was more than offset by gains in its other Asian operations.

AXA Asia Pacific shares have risen 44 percent since end September, boosted largely by the takeover tussle, compared to a 3.7 percent fall for the benchmark. - Reuters