Primerica, Inc. · NYSE:PRI
Primerica — Q3 2014 Earnings Presentation
10 slides from Primerica's earnings presentation, Nov 5, 2014
Slide 1: 3rd Quarter 2014 Earnings Financial Results
3rd Quarter 2014 Earnings Financial Results
Slide 2: Forward-Looking Statements and Non-GAAP Financial Measures
Forward‐Looking Statements and Non‐GAAP Financial Measures This presentation may contain forward‐looking statements and information. Additional information on factors that could cause results to differ materially from those projected in this presentation is available in our Form 10‐K for the year en
Slide 3: GAAP and Operating Results
GAAP and Operating Results GAAP Financials Reconciliation to Net Operating Income and Diluted Operating Earnings per Share ($in millions, except per‐share Q3 2014 Q2 2014 Q3 2013 (numbers in millions, except per‐share amounts) Q3 2014 amounts) Financial Highlights Net Operating Income $41.8 Realized
Slide 4: Third Quarter Financial and Business Highlights
Third Quarter Financial and Business Highlights Third Quarter 2014 versus Q3 2013 Summary Financials • 9% growth in operating revenues ($ in millions, except per‐share amounts or as noted otherwise) Q3 2014 Q2 2014 Q3 2013 • Solid Investment & Savings Products Financial Highlights performance Operat
Slide 5: Sales Force and Distribution Highlights
Sales Force and Distribution Highlights Third Quarter 2014 Historical Sales Force Recruiting (in thousands) • Q3 2014 versus Q3 2013 • 4% growth in size of the life insurance 191.8 186.3 Q4 36.6 147.4 licensed sales force to 97,966 47.6 38.0 Q3 51.5 49.1 • Recruitment of new representatives and Q2 4
Slide 6: Term Life Operating Results
Term Life Operating Results Third Quarter 2014 ($ in millions) Q3 Q2 Q3 2014 2014 2013 • 9% increase in operating revenues compared with Primary Direct Premium (1) $145.6 $140.0 $119.9 Q3 2013 Legacy Direct Premiums (2) $423.0 $427.9 $437.6 • 11% growth in adjusted direct premiums Total Direct Premi
Slide 7: Investment and Savings Products
Investment and Savings Products Third Quarter 2014 Summary ISP Operating Results • 13% increase in operating revenues and ($ in millions) Q3 2014 Q2 2014 Q3 2013 17% growth in operating income before Sales‐Based Revenues $58.4 $60.3 $51.9 income taxes compared with Q3 2013 Asset‐Based Revenues $58.7
Slide 8: Corporate & Other Distributed Products Operating Results
Corporate & Other Distributed Products Operating Results Third Quarter 2014 Summary Corporate & Other Operating Results • Operating revenues declined 9% and ($ in millions) Q3 Q2 Q3 2014 2014 2013 operating losses remained consistent Net Premium (NBLIC non‐term) $6.3 $5.9 $6.5 with Q3 2013 Allocated
Slide 9: Insurance and Operating Expense Highlights
Insurance and Operating Expense Highlights Third Quarter 2014 Insurance and Operating Expenses • Operating expenses of $76.7 million were (in millions) Cons Life ISP Corp $8.9 million higher than Q3 2013 Q3 2013 Expenses * 67.8 25.1 23.4 19.4 Accelerated employee equity 5.1 2.5 0.8 1.8 • Accelerated
Slide 10: Investment Portfolio and Capital
Investment Portfolio and Capital Third Quarter 2014 Q3 2014 Invested Asset Portfolio Key Attributes (1) • Increase in investments and cash to $2.23 billion at Q3 2014 September 30, 2014 Fixed Income / Other Mix 97% / 3% • $189.8 million asset received as part of financing transaction Fixed Income Av