PPD folks, file this away.. I'm probably holding this one as close to earnings as possible but not through earnings. PPD changed their earnings date to February 11, but this is NOT because of weakness anticipated:
Pre-Paid Announces Record 1998 Production
ADA, Okla.--(BUSINESS WIRE)--Jan. 25, 1999--Pre-Paid Legal Services, Inc. (ASE:PPD - news), today reported record production and recruiting results for the fourth quarter and for the year ended December 31, 1998. During the last quarter of 1998 new memberships written increased 57% from 75,636 during the 1997 period to 118,779 in 1998. New sales associates recruited during the last quarter of 1998 increased 105% from 14,260 during the 1997 quarter to 29,207 in the 1998 period. For the year, new membership production rose 38% from 283,723 during 1997 to 391,827 for 1998 while new sales associates recruited increased 30% from 58,121 during 1997 to 75,737 in 1998.
Three Months Ended For the Year Ended
12/31/98 12/31/97 12/31/98 12/31/97
New membership sales 118,779 75,636 391,827 283,723
New sales associates
recruited 29,207 14,260 75,737 58,121
Active memberships at
end of period 603,017 425,381
Annual membership
persistency rate 73.8% 73.6%
''The fourth quarter of 1998 production and recruiting results are very encouraging and I believe are an indication of what we can expect as a trend in 1999. These results give us some indication of the future value of assets gained from the TPN acquisition,'' said Pre-Paid Chairman Harland Stonecipher. ''During the first and second quarters and throughout 1999, we will begin to see results of our ability to communicate with our national and international sales force through the Success Channel. The years of experience and abilities of Jeff Olson and Eric Worre, founders of TPN, will become particularly evident during the first two quarters of 1999 as a valuable addition to the Pre-Paid marketing effort.''
The Company completed its acquisition of Universal Fidelity Life Insurance Company [OTC BB:UNFF - news] on December 30, 1998 pursuant to previously announced terms. Due to the timing of this acquisition and the fourth quarter acquisition of TPN, the Company's earnings announcement will be delayed until approximately February 10, 1999. The Company expects its fourth quarter earnings will be in line with consensus estimates. |
