Torchmark Earns $1.56 per Share

This afternoon, Torchmark (TMK) reported Q4 earnings of $1.56 per share. That met expectations. For the year, Torchmark made $6.13 per share. That’s up from $4.82 per share for 2017.

Here are some highlights:

Net income as an ROE was 12.3%. Net operating income as an ROE excluding net unrealized gains on fixed maturities was 14.6%.

Life underwriting margin at Globe Life Direct Response increased over the year-ago quarter by 6% and health underwriting margin at Family Heritage Agency increased over the year-ago quarter by 15%.

Life premiums increased over the year-ago quarter by 7% at American Income Agency and health premiums increased over the year-ago quarter by 8% at Family Heritage Agency.

Net life sales and net health sales at Liberty National Agency increased over the year-ago quarter by 6% and 9%, respectively.

Average producing agent count increased over the year-ago quarter by 10% at Family Heritage Agency.

1.5 million shares of common stock were repurchased during the quarter and 4.4 million shares were repurchased during the year.

For this year, Torchmark sees earnings of $6.50 to $6.70 per share. Wall Street had been expecting $6.61 per share. That means the stock is going for about 12.5 times this year’s earnings.

Posted by on February 5th, 2019 at 4:15 pm


The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.