What is driving Primerica, Inc. (NYSE: PRI) stock

Free $100 Forex No-Deposit Bonus

Primerica, Inc. (NYSE: PRI) stock rose over 1.2% in the pre-market session of Feb 12th, 2020 (Source: Google finance) after the company posted better than expected results for the fourth quarter of FY 19. During the fourth quarter of 2019, the Company has reported an adjusted operating loss before taxes of $13.9 million compared to an adjusted operating loss before taxes of $8.5 million during the fourth quarter of 2018. The year-over-year rise in pre-tax loss reflects growth of $2 million in insurance and other operating expenses, including higher technology costs, and a $1.7 million charge to benefits and claims to write-off amounts ceded on a closed block of business to a reinsurance counterparty ordered into receivership

PRI in the fourth quarter of FY 19 has reported the adjusted earnings per share of $2.22, beating the analysts’ estimates for the adjusted earnings per share of $2.12, according to the Zacks Consensus Estimate. The company had reported the adjusted revenue growth of 9 percent to $530.94 million in the fourth quarter of FY 19, beating the analysts’ estimates for revenue by 0.90%. Term Life Insurance revenues of $319 million during the fourth quarter have grown 9% compared to the fourth quarter of 2018, due to 10% growth in adjusted direct premiums. New life insurance policies issued during the fourth quarter was down 1% to 71,469 compared to the same quarter in 2018. Productivity for the quarter was 0.18 policies per life insurance licensed representative per month, which is consistent with the fourth quarter of 2018.

Investment and Savings Products Revenues of $182.7 million during the fourth quarter grew 11% compared to the same quarter in 2018 on the back of an increase in sales and higher average client asset values

Additionally, the company has authorized to repurchase of up to $300 million of its common stock through June 30, 2021 and approved an 18% increase in stockholder dividends to $0.40 per share, which will be payable on March 16, 2020, to stockholders of record on February 24, 2020. The Company expects to repurchase $250 million of its common stock during 2020. During the fourth quarter of 2019, the Company had repurchased 347,832 shares of common stock for $44 million, bringing the year-to-date total to $225 million. Primerica has a strong balance sheet and continues to be well-capitalized to meet future needs. Primerica Life Insurance Company’s statutory risk-based capital (RBC) ratio was projected to be about 440% as of December 31, 2019.

Copyright © 2020. All Rights Reserved. FXDailyReport.Com
Risk Warning: Trading CFDs is a high risk activity and you may lose more than your initial deposit. You should never invest money that you cannot afford to lose. FXDailyReport.com will not accept any liability for loss or damage as a result of reliance on the information contained within this website including data, quotes, charts and buy/sell signals. Please be fully informed regarding the risks and costs associated with trading the financial markets.