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• Adjusted Net Operating Income (Q4): Increased 11% year-over-year.

• Diluted Adjusted Operating Income Per Share (Q4): Increased 17% year-over-year.

• Adjusted Net Operating Income (Full Year): Increased 14% year-over-year.

• Adjusted Operating Income Per Share (Full Year): Increased 20% year-over-year.

• Common Stock Repurchase: $425 million repurchased in 2024.

• Dividends Paid: $113 million in regular dividends in 2024.

• Revenue (Full Year): Reached $3 billion for the first time.

• Term Life Revenue (Q4): $451 million, up 4% year-over-year.

• Investment and Savings Product Sales (Q4): $3.3 billion, up 41% year-over-year.

• Client Asset Values (Year-End): $112 billion, up 16% year-over-year.

• Net Client Inflows (Q4): $731 million, up from $172 million in Q4 2023.

• US Mortgage Volume (2024): Nearly $400 million, up 35% year-over-year.

• Term Life Operating Margin (Q4): 21.3%, compared to 22.6% in the prior year period.

• Investment and Savings Products Revenue (Q4): $286 million, up 29% year-over-year.

• Investment and Savings Products Pretax Income (Q4): $82 million, up 31% year-over-year.

• Consolidated Insurance and Other Operating Expenses (Q4): $152 million, up 13% year-over-year.

• Cash and Invested Assets (Year-End): $497 million at the holding company.

• RBC Ratio (Year-End): Primerica Life's estimated RBC ratio was 430%.

• Warning! GuruFocus has detected 6 Warning Sign with PRI.

Release Date: February 12, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• Primerica Inc (NYSE:PRI) achieved record-breaking financial results in 2024, with a 14% increase in adjusted net operating income and a 20% increase in adjusted operating income per share.

• The company repurchased $425 million of its common stock and paid $113 million in dividends, returning 79% of adjusted net operating income to stockholders.

• Primerica Inc (NYSE:PRI) experienced a 41% year-over-year increase in sales for its Investment and Savings Products segment, driven by strong demand across all major product lines.

• The company closed nearly $400 million in US mortgage volume, a 35% increase compared to the prior year, indicating strong performance in the mortgage lending market.

• Primerica Inc (NYSE:PRI) ended 2024 with a record high of 151,611 life license representatives, reflecting a 7% increase compared to the previous year.

Negative Points

• The benefits and claims ratio increased to 58.6% in the fourth quarter of 2024, partly due to a $4.2 million remeasurement loss from a refinement in the actuarial model.

• The Term Life operating margin decreased to 21.3% from 22.6% in the prior year period, despite unchanged pretax income year-over-year.

• Higher lapses in insurance policies were observed, particularly in earlier durations, due to cost of living pressures on middle-income families.

• The fourth quarter insurance expense ratio increased to 8% from 7.1% in the prior year, driven by increased variable expenses and higher technology investments.

• Primerica Inc (NYSE:PRI) anticipates a conservative outlook for 2025, with expected growth in issued life policies around only 2%, due to ongoing cost of living challenges.