Primerica’s Strong Q4 2024: Revenue Soars, Sales Force Grows, and Dividends Rise
Primerica, Inc., a Duluth, Georgia-based financial services leader listed on the NYSE as PRI, reported robust fourth-quarter results for 2024, ending December 31, according to Business for Home on March 23, 2025. The company, which serves middle-income households across North America through independent licensed representatives, achieved significant financial milestones.
Financial Highlights
Primerica’s financial performance in Q4 2024 demonstrated strong growth:
- Total Revenues: $788.1 million, up 12% from Q4 2023.
- Net Income (Continuing Operations): $167.7 million, a 9% increase.
- Net Earnings per Diluted Share: $4.98, up 14%.
- Adjusted Operating Revenues: $790.1 million, a 12% rise.
- Adjusted Net Operating Income: $169.2 million, up 11%.
- Adjusted Operating Earnings per Share: $5.03, a 17% increase.
| Metric | Q4 2024 Amount | % Change from Q4 2023 |
|---|---|---|
| Total Revenues | $788.1M | +12% |
| Net Income (Cont. Operations) | $167.7M | +9% |
| Adjusted Operating Income | $169.2M | +11% |
| Earnings per Share (Adjusted) | $5.03 | +17% |
The company’s adjusted net operating income return on adjusted stockholders’ equity (ROAE) reached 31.3%, reflecting financial strength. Primerica’s board also approved a 16% dividend increase to $1.04 per share, payable on March 14, 2025, and authorized a $450 million stock repurchase program through December 31, 2025, following the completion of a $425 million buyback in 2024, with $44.4 million repurchased in Q4.
Sales Force Growth
Primerica’s life-licensed sales force expanded significantly:
- Total Representatives: 151,611, a 7% increase from 2023.
- New Recruits: 95,497 individuals joined in 2024.
- New Life Licenses: 14,620, up 12% from the prior year.
| Sales Force Metric | Q4 2024 Figure | % Change from 2023 |
|---|---|---|
| Total Representatives | 151,611 | +7% |
| New Life Licenses | 14,620 | +12% |
| New Life Policy Issuance | – | +1% |
This growth reflects the appeal of Primerica’s entrepreneurial model, though new life insurance policy issuance grew only 1%, with productivity steady at 0.20 policies per representative per month. Economic pressures, including rising costs of living, continued to challenge sales, a trend expected to persist into 2025.
Core Offerings and Operations
Primerica provides:
- Term Life Insurance: Underwritten by the company, insuring 5.7 million lives as of 2023.
- Investment Products: Mutual funds and annuities, managing 2.9 million client accounts.
- Distribution: Handled by independent representatives assessing client needs.
Premium revenue grew due to new sales and a large in-force policy block. Primerica Life Insurance Company maintained a statutory risk-based capital (RBC) ratio of approximately 430%, signaling robust stability.
Strategic Outlook
Primerica anticipates ongoing economic challenges but remains confident in its scalable distribution network and diverse offerings. The company’s focus on financial education for middle-income families, delivered through its representatives, supports its mission. The Business for Home article notes that while the data is indicative, its accuracy isn’t guaranteed, yet Primerica’s results highlight its resilience and commitment to growth.
Summary Table: Key Financial Moves
| Action | Details |
|---|---|
| Dividend Increase | $1.04 per share (+16%) |
| Stock Repurchase (2024) | $425M completed, $44.4M in Q4 |
| New Buyback Program | $450M through Dec 31, 2025 |
Primerica’s Q4 2024 performance underscores its ability to thrive in a competitive market, balancing client service with shareholder value through strategic financial management and workforce expansion.
Here are five questions and answers (Q&A) based on the article from Business for Home (https://www.businessforhome.org/2025/03/primerica-reports-strong-fourth-quarter-results/) and the summary provided:
Q1: What were Primerica’s total revenues in the fourth quarter of 2024, and how did they compare to the previous year?
A1: Primerica’s total revenues in Q4 2024 were $788.1 million, representing a 12% increase compared to Q4 2023.
Q2: How many life-licensed representatives did Primerica have by the end of 2024, and what was the growth rate from 2023?
A2: By the end of 2024, Primerica had 151,611 life-licensed representatives, a 7% increase from the end of 2023.
Q3: What was the percentage increase in Primerica’s adjusted operating earnings per diluted share in Q4 2024 compared to Q4 2023?
A3: The adjusted operating earnings per diluted share increased by 17% in Q4 2024, reaching $5.03, compared to Q4 2023.
Q4: What challenges did Primerica face in terms of life insurance policy sales, and what trend do they expect to continue into 2025?
A4: Primerica faced challenges due to cost-of-living pressures that dampened life insurance policy sales, with new policy issuance growing only 1% year-over-year. The company expects these economic pressures to persist into 2025, particularly affecting its middle-income clientele.
Q5: What financial actions did Primerica take to enhance shareholder value in 2024 and early 2025?
A5: In 2024, Primerica completed a $425 million stock repurchase program, with $44.4 million repurchased in Q4. The board also authorized a new $450 million buyback program through December 31, 2025, and increased the dividend by 16% to $1.04 per share, payable on March 14, 2025.
