French insurance giant AXA SA (AXA) Thursday said net profit almost quadrupled in 2009 as it shook off the worst effects of the financial crisis and cleaned up its U.S. activities that hurt it at the end of last year.

Net profit for 2009 increased to EUR3.61 billion from EUR923 million a year earlier, above an average EUR2.97 billion forecast from eight analysts polled by Dow Jones Newswires.

Revenue slid 1.2% to EUR90.12 billion from EUR91.22 billion a year ago.

"AXA should benefit from favorable trends in the insurance and asset management markets, its leading brand, innovative products and improving quality of service," AXA's Chief Executive Officer Henri de Castries said in a statement.

"Our 2010 priorities will focus on optimizing margins in all business lines, through improvement of business mix in life, combined ratio in property & casualty, and net inflows in asset management," he said.

In a separate statement, AXA said that uncertainty in financial markets "remains too great today" to adjust financial targets as laid out in its Ambition 2012 plan, and said that management will do so "when it has better visibility."

The insurer said it doesn't plan a global cost reduction program for 2010 but that it remains committed to improving productivity.

It said it will "continue to examine attractive acquisition opportunities as they arise from time to time. In addition, the current environment offers many opportunities for acquiring new clients and talent," it said.

AXA said that its exclusive talks with AMP Ltd. (AMP.AU) over the company's offer for its AXA Pacific Holdings Ltd (AXA.AU) unit lapsed on Feb.6. It has since launched talks with the National Australia Bank Ltd. (NAB.AU) which made a rival offer. AXA said "the completion of this transaction is uncertain, but the rationale for AXA is clear and compelling."

Earlier Thursday, AMP said it remained interested in AXA APH, fueling speculation it could make a higher offer for the wealth management group.

AMP said it is mulling its options after National Australia Bank trumped its offer. AMP's initial bid was dismissed by the target's independent directors. NAB has offered A$6.43 cash a share--which values AXA Asia Pacific at A$13.2 billion--or a combination of cash and shares.

The French insurer also said that its net exposure to Greece's sovereign debt is EUR600 million and is "not a major worry."

AXA said it will pay a dividend of EUR0.55 a share, up 38% from EUR0.40 a year ago.

The group's solvency ratio stood at 171% at the end of December, AXA said, up from 138% at the end of June.

Shares closed Wednesday at EUR15.56.

-By Geraldine Amiel and Jethro Mullen, Dow Jones Newswires; +331 40171740; geraldine.amiel@dowjones.com;
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