The following is a summary of the Primerica, Inc. (PRI) Q1 2024 Earnings Call Transcript:
Financial Performance:
Primerica reported an adjusted net operating income of $137 million in Q1 2024, a 4% increase from the previous year, with adjusted operating income per share at $3.91, up by 10%.
The underperformance of the Senior Health business led to a $14 million loss during the quarter.
Primerica declared a common stock repurchase of $109 million and a dividend of $0.75 per share.
A projected loss of approximately $25 million to $30 million in the Senior Health business segment for 2024 is anticipated.
Business Progress:
Primerica experienced growth in their Term Life and Investment and Savings product lines, recruiting over 110,000 individuals in the first quarter which is an 18% increase year over year.
Sales force growth of 5%, issuance of 86,587 new term life policies, and Total investment product sales were at $2.8 billion, a 20% increase.
For the first time in its history, the company's client assets surpassed $100 billion.
After revamping the Senior Health sales process, agent attrition decreased by 40%.
Expected annual growth in the size of the sales force in 2024 is over 3% and around 3% to 5% in policies issued.
Despite facing challenges, the company is committed to making the Senior Health business profitable and has paused capital investments in it for better understanding of its dynamics.
Primerica intends to continue to serve middle-income families across North America through a comprehensive strategy and is expecting strong activity after the upcoming July convention.
More details: Primerica IR
Tips: For more comprehensive details, please refer to the IR website. The article is only for investors' reference without any guidance or recommendation suggestions.