Insperity (NSP) Tops Q4 EPS by 4c, Revenues Beat; Offers Q1 & FY19 EPS Guidance Above Consensus

Insperity (NYSE: NSP) reported Q4 EPS of $0.69, $0.04 better than the analyst estimate of $0.65. Revenue for the quarter came in at $966.8 million versus the consensus estimate of $959.22 million.

• 2018 WSEE growth accelerates to 14%
• 2018 net income and EPS each up 60%
• 2018 adjusted EPS and adjusted EBITDA up 53% and 35%, respectively
• Q4 net income and EPS up 59% and 64%, to $25 million and $0.59, respectively
• Q4 adjusted EPS up 25% to $0.69
• Q4 repurchase of 986,000 shares

“These results reflect our fourth year in a row with growth in adjusted EBITDA above 25%, increasing from $84 million to $240 million demonstrating effective execution of our strategic plan,” said Paul J. Sarvadi, Insperity chairman and chief executive officer. “As a result of our successful fall selling and retention campaign, we are starting 2019 with 15% worksite employee growth and are well positioned to continue our strong financial performance.”

“Acceleration of worksite employee growth into the mid-teens, improved pricing and effective management of our direct costs and operating expenses has resulted in significant improvement in our profitability over the past four years,” said Douglas S. Sharp, senior vice president of finance, chief financial officer and treasurer. “This is demonstrated by an increase in adjusted EBITDA per worksite employee per month in each of the past four years, from $54 in 2014 to $95 in 2018.”

GUIDANCE:

Insperity sees Q1 2019 EPS of $1.86-$1.91, versus the consensus of $1.58.

Insperity sees FY2019 EPS of $4.37-$4.69, versus the consensus of $4.31.

For earnings history and earnings-related data on Insperity (NSP) click here.

You May Also Be Interested In

• Korn Ferry (KFY) Tops Q4 EPS by 2c, Beats on Revenue; Offers Q1 Guidance
• Prosperity Bancshares (PB) Reiterated at Overweight by Cantor Fitzgerald as Estimates Revised
• Morgan Stanley Starts Adani Enterprises Ltd. (ADE:IN) at Overweight