Primerica reports drop in 2Q net income

Primerica's second-quarter net income falls on relocation expenses, legal fees

Associated Press

DULUTH, Ga. (AP) -- Primerica Inc. said Tuesday that its second-quarter net income fell due to expenses tied to the relocation of its headquarters, as well as legal fees and other costs.

Shares in the life insurance and financial products company dropped nearly 13 percent in after-hours trading Tuesday following the announcement.

Primerica reported net income of $43.5 million, or 74 cents per share, for the quarter that ended June 30. That is compared with net income of $46.2 million, or 72 cents per share, in the same quarter last year.

Its total revenue increased to $312.3 million from $300.5 million, helped by increased revenue from its term life insurance and investment and savings products segments.

Analysts polled by FactSet were anticipating earns of 72 cents per share on total revenue of $317.7 million, according to a poll by FactSet.

Primerica said that enhancements to its investment and savings products business were gaining traction and it got a boost from its $155 million retirement of common shares and warrants in June.

The Duluth, Ga., company's shares shed $5.23 to $5.78 in aftermarket trading. They ended the regular trading session down 20 cents to close at $41.01 Tuesday

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