Financial Data and Key Metrics Changes - The company achieved $1.21 in adjusted EPS and $79 million of adjusted EBITDA in Q4 2022, significantly above expectations and prior year results [7][10] - Full year 2022 adjusted EBITDA increased by 38% to $352 million, and adjusted EPS rose by 42% to $5.59, driven by growth in paid worksite employees and effective cost management [10][11] - Paid worksite employee growth was 14.3% in Q4, slightly below forecasts due to a slowdown in client hiring [7][11] - Gross profit per worksite employee improved from $273 in 2021 to $286 in 2022, reflecting effective pricing and lower benefit costs [12][10] Business Line Data and Key Metrics Changes - The company reported a 41% increase in gross profit in Q4, driven by a 14% growth in paid worksite employees and a 24% improvement in gross profit per worksite employee [8] - Operating expenses increased by 22% in Q4 compared to the prior year, reflecting investments in service personnel and sales commissions [9][13] - Client retention improved from 82% in 2021 to 85% in 2022, contributing to overall growth [11] Market Data and Key Metrics Changes - The company experienced a slowdown in net hiring among clients in Q4, with only a slight increase compared to the previous quarter [24][25] - Client sentiment improved, with over 70% expecting 2023 to be better than 2022, indicating potential for future growth [26][84] Company Strategy and Development Direction - The company is focused on a five-year plan with ten key success factors aimed at improving sales efficiency and client retention [28][40] - Continued investment in technology and marketing is planned to support growth objectives and enhance service offerings [48][94] - The company aims to achieve a compound annual growth rate in paid worksite employees of 12.5% and adjusted EBITDA growth of over 24% during the five-year plan [37][39] Management's Comments on Operating Environment and Future Outlook - Management acknowledged economic uncertainty and a recent slowdown in client hiring, leading to a wider range for worksite employee growth projections for 2023 [42][36] - Despite challenges, management remains optimistic about client retention and sales efficiency improvements, projecting adjusted EBITDA growth for 2023 [50][44] - The company expects to maintain strong pricing performance and manage direct costs effectively in the current economic environment [46][34] Other Important Information - The company returned $150 million to shareholders through dividends and share repurchase programs in 2022 [15][16] - The company ended 2022 with $224 million in adjusted cash, up from $163 million at the end of 2021 [16] Q&A Session Summary Question: What is assumed in guidance regarding gross profit per worksite employee per month? - The company does not provide specific guidance on this metric but expects to realize administrative cost savings in their UnitedHealthcare plan [55][56] Question: Are there any unique trends in healthcare activity or claims for 2023? - The company anticipates a more normalized year for benefit utilization, with no significant pent-up demand expected [58][60] Question: Is there any noticeable change in competitor pricing aggressiveness? - Management has not observed significant changes in competitor pricing strategies, maintaining a strong pricing approach [61][62] Question: Can you provide insights on Workforce Acceleration growth trends? - The company reported a 40% increase in Workforce Acceleration sales in 2022 and plans to enhance customer awareness of service options [65][66] Question: What is the expected benefit cost increase for this year? - The company expects benefit cost growth of around 4% to 5% for the year, influenced by demographic changes [80][81] Question: What was the client retention rate for the full year? - Client retention improved to 85% in 2022, benefiting from a strong year-end transition [82][83]

Appendix – Non-GAAP Financial Measures | --- | --- | --- | |-----------------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------- ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the quarterly period ended September 30, 2022 or ☐ Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from _______________ to _______________ Commission File No. 1-13998 Insperity, Inc. (Exact name of registrant as specified in its charter) Delaware 76-0479645 ...

Insperity, Inc. (NYSE:NSP) Q3 2022 Results Earnings Conference Call October 31, 2022 10:00 AM ET Company Participants Douglas Sharp - Executive Vice President, Finance, Chief Financial Officer and Treasurer Paul Sarvadi - Management Director, Chairman and Chief Executive Officer Conference Call Participants Andrew Nicholas - William Blair Mark Marcon - Robert W. Baird & Co., Inc. Tobey Sommer - Truist Securities Jeff Martin - ROTH Capital Partners, LLC Operator Good morning. My name is Jenny and I will be y ...

| --- | --- | |---------------------------|-------| | | | | | | | | | | | | | Earnings Call and Webcast | | | Q3 2022 October 31, 2022 | | Safe Harbor Statement The statements contained herein that are not historical facts are forward-looking statements within the meaning of the Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. You can identify such forward-looking statements by the words "anticipates," "expects," "intends," "plans," "projects," "believes," "e ...

Insperity, Inc. (NYSE:NSP) Q2 2022 Earnings Conference Call August 1, 2022 5:00 PM ET Company Participants Paul Sarvadi - Chairman and CEO Douglas Sharp - SVP, Finance and CFO Conference Call Participants Andrew Nicholas - William Blair Tobey Sommer - Truist Securities Jeff Martin - Roth Capital Andre Childress - Baird Operator Good afternoon. My name is Matthew and I will be your conference operator today. I would like to welcome everyone to the Insperity Second Quarter 2022 Earnings Conference Call. [Oper ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the quarterly period ended June 30, 2022 or Insperity, Inc. (Exact name of registrant as specified in its charter) | Delaware 76-0479645 | | --- | | (State or other jurisdiction of incorporation or (I.R.S. Employer Identification No.) | | organization) | 19001 Crescent Springs Drive Kingwood, Texas 77339 (Address of princip ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 | Delaware | 76-0479645 | | --- | --- | | (State or other jurisdiction of incorporation or | (I.R.S. Employer Identification No.) | | organization) | | | 19001 Crescent Springs Drive | | | Kingwood, Texas 77339 | | | (Address of principal executive offices) | | | (Registrant's Telephone Number, Including Area Code): (281) 358-8 ...

Insperity, Inc. (NYSE:NSP) Q1 2022 Earnings Conference Call April 26, 2022 8:30 AM ET Company Participants Paul Sarvadi - Management Director, Chairman and Chief Executive Officer Douglas Sharp - Senior Vice President, Finance, Chief Financial Officer and Treasurer Conference Call Participants Andrew Nicholas - William Blair Tobey Sommer - Truist Jeff Martin - ROTH Capital Partners Mark Marcon - Baird Operator Good morning. My name is Jane and I will be your conference operator today. I would like to welco ...

| --- | --- | |---------------------------|-------| | | | | | | | | | | | | | Earnings Call and Webcast | | | Q1 2022 April 26, 2022 | | Safe Harbor Statement The statements contained herein that are not historical facts are forward-looking statements within the meaning of the Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. You can identify such forward-looking statements by the words "anticipates," "expects," "intends," "plans," "projects," "believes," "est ...