Primerica reported second-quarter results that show a split story: net income rose 13% to $202 million and earnings per diluted share jumped 19% to $6.45, but the life insurance sales force is shrinking. Investment and savings product sales hit a record $4.4 billion, up 23%, while client assets reached an all-time high of $140 billion, up 16%, driving ISP segment revenue up 21% to $361 million and pretax income up 31% to $104 million. However, the life-licensed sales force fell 3% year over year to 148,612 representatives, new life-licensed representatives dropped 15% to 11,020, and life insurance policies issued fell 12% to 78,904, with total face amount down 8% to $27.7 billion. Term Life revenue was roughly flat at $444 million, but segment pretax income fell 4% to $148 million as the insurance expense ratio rose to 8.4% from 7.6%. Primerica returned $172 million to shareholders in the quarter, including $135 million in buybacks and about $37 million in dividends, and its effective tax rate improved to 21.7% from 23.9%.
Primerica IncNet income and EPS rose strongly, with record investment product sales and client assets, though sales force declined.
Bank of Chongqing Co Ltd