Professional employer organization Insperity Inc. (NYSE: NSP) reported revenue rose 12.7% in the second quarter amid a 14% increase in the average number of worksite employees paid per month. The growth in worksite employees was driven by new client sales driven by a 15% increase in the number of business performance advisors as well as retention rates of existing customers, according to the Houston-based firm.

The company estimated adjusted earnings per share of 72 cents to 78 cents. Analysts estimated earnings per share of between 58 cents and 81 cents, according to Yahoo!

Quote

“Our second-quarter highlights were led by 14.2% increase in average paid worksite employees to 163,521, which is at the midpoint of our Q2 forecasted range of 163,000 to 164,000,” CFO Douglas Sharp said in a conference call with analysts. “This growth continues to be driven by a high level of client retention, which averaged over 99% for the quarter, and an increase in sales driven by a 15% year-over-year increase in the average number of trained business performance advisors. Net hiring in our client base was positive for the full quarter; however, included a dip in May, consistent with the weakness reported in the broader labor market.”

Share price and market cap

Shares in Insperity fell 13.41% to $67.96 in early afternoon trade. The company had a market cap of $1.45 billion, according to Yahoo!