Fourth-quarter revenue rose 11% at professional employer organization TriNet Group Inc. (NYSE: TNET). The Dublin, California-based company noted the average number of worksite employees increased 5% compared to the same period last year to a total of approximately 337,000.
|(US$ millions)||Q4 2019||Q4 2018||% change|
|Professional service revenue||$137||$124||10%|
|Insurance service revenue||$881||$793||11%|
“Our business momentum continued to improve as we benefited from new sales, improved customer retention, and strong growth from our installed base,” President and CEO Burton Goldfield said. “We took quick action to mitigate the elevated insurance costs which we experienced in 2019.”
TriNet also announced that CFO Richard Beckert is leaving the company effective May 15 to pursue other professional and personal interests. Beckert, who assumed the role in 2017, will remain with TriNet through the filing of its report for its first quarter ending March 31. The company has engaged a global executive search firm and a commenced a formal process to recruit a replacement. The process will include internal and external candidates.
TriNet’s board this month approved a $300 million increase to its ongoing stock repurchase program. As of Dec. 31, 2019, approximately $236 million remained available for repurchases of TriNet stock under this program.
|(US$ millions)||2019||2018||% growth|
|Professional service revenue||$530||$487||8.8%|
|Insurance service revenue||$3,326||$3,016||10.3%|
Share price and market cap
Shares in TriNet were up 14.79% to $58.36 as of 11:34 a.m. Eastern time; the company had a market cap of $3.55 billion, according to FT.com.