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Sep 30, 2022

Primerica Q3 2022 Earnings Report

Primerica's financial performance was impacted by market volatility, leading to a decline in investment and savings product sales, while term life earnings partly offset the negative impact. The life-licensed sales force grew, and the company continued to address challenges in the senior health distribution marketplace.

Key Takeaways

Primerica reported a decrease in total revenues by 3% to $673.3 million and a net income decrease of 54% to $51.8 million compared to Q3 2021. Adjusted operating EPS increased by 1% to $3.02. The results reflect a non-cash goodwill impairment charge of $60.0 million. Despite market volatility, the company saw growth in its life-licensed sales force and continued progress in the term life insurance segment.

Life-licensed sales force grew 3% driven by strong new life licenses.

Term Life net premiums increased 6%; adjusted direct premiums increased 7%.

Investment and Savings Products sales declined 23% due to market conditions, but net client inflows remained positive at $0.7 billion.

Net earnings per diluted share decreased 51%; return on stockholders’ equity was 12.2%.

Total Revenue
$673M
Previous year: $693M
-2.9%
EPS
$3.02
Previous year: $2.98
+1.3%
Client Asset Values
$83.3B
Previous year: $91.8B
-9.2%
Life-Licensed Sales Force
134.31K
Previous year: 130.02K
+3.3%
ISP Product Sales
$2.16B
Previous year: $2.79B
-22.6%
Gross Profit
$599M
Previous year: $613M
-2.3%
Cash and Equivalents
$438M
Previous year: $326M
+34.5%
Total Assets
$15B
Previous year: $15.8B
-4.9%

Primerica

Primerica

Primerica Revenue by Segment

Forward Guidance

The Company expects to complete an additional $32 million in share repurchases by the end of 2022.

Revenue & Expenses

Visualization of income flow from segment revenue to net income