In Hong Kong, we prelaunched a new Korean formulated moisturizing skin care series called Soo:vea in September. The 4-step line features a cleanser, toner, probiotic-infused booster serum and cream design to support skin barrier repair and deliver lasting hydration. Our markets and product team are working to roll out these new products to the global markets in the near future. To honor 10 successful years in Sweden, we also hosted a celebratory in-person event in September, unveiling [indiscernible], a lim ...

PresentationAt this time, I would like to turn the conference over to Michelle Glidewell with Natural Health Trends Corp.Michelle GlidewellSenior Manager of NHT Global Corp Thank you, and welcome to Natural Health Trends Fourth Quarter and Full Year 2025 Earnings Conference Call. During today's call, there may be statements made relating to the future results of the company that are forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Actual results, performance or ...

Financial Data and Key Metrics Changes - In the 4th Quarter, revenue was $9.7 million, a 3% increase from $9.5 million in the 3rd Quarter, but a 10% decline from $10.8 million in the 4th Quarter of the previous year [6] - Gross profit margin was 72.9% in the 4th Quarter, down from 74.2% in the same quarter last year, primarily due to inventory write-offs [7] - Net loss for the 4th Quarter was $588,000, or $0.05 per diluted share, compared to net income of $176,000, or $0.02 per diluted share in the 4th Quarter of 2024 [8] Business Line Data and Key Metrics Changes - Reorders as a percentage of total orders increased in the largest market compared to 2024, and sales of Q-rated product bundles rose 10% for the Full Year [3] - The company saw growth in Taiwan and Peru during the 4th Quarter, with Japan and Colombia achieving strong increases throughout the year [3] Market Data and Key Metrics Changes - Revenue in the primary market of Greater China increased by 2% compared to the 3rd Quarter [6] Company Strategy and Development Direction - The company is focusing on improving operational efficiency through restructuring initiatives, including relocating 40% of product sourcing from America to East Asia to reduce tariff uncertainty [4] - The company plans to celebrate its 25th anniversary in 2026 with special programs and events, aiming to leverage this milestone for renewed momentum [4] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to support goals in an evolving global environment, emphasizing a strong product portfolio and renewed focus on execution [5] - The company expects to realize significant cost savings of approximately $1.5 million during 2026, positioning itself towards profitability and improved performance [10] Other Important Information - Total cash, cash equivalents, and marketable securities were $28.9 million at December 31, down from $32 million at September 30, primarily due to dividend payments and cash used in operations [9] - The board of directors declared a quarterly cash dividend of $0.10 per share, payable on February 27 to stockholders of record as of February 17 [10] Summary of Q&A Session - The call concluded without a Q&A session, as indicated by the operator's closing remarks [12]

Financial Data and Key Metrics Changes - In the 4th Quarter, revenue was $9.7 million, a 3% increase from $9.5 million in the 3rd Quarter, but a 10% decline from $10.8 million in the 4th Quarter of the previous year [6] - Gross profit margin was 72.9% in the 4th Quarter, down from 74.2% in the same quarter last year, primarily due to inventory write-offs [7] - Net loss for the 4th Quarter was $588,000, or $0.05 per diluted share, compared to net income of $176,000, or $0.02 per diluted share in the 4th Quarter of 2024 [8] Business Line Data and Key Metrics Changes - Reorders as a percentage of total orders increased in the largest market compared to 2024, and sales of curated product bundles rose 10% for the Full Year [3] - Commissions expenses as a percentage of net sales for the 4th Quarter were 40.3%, down from 41.9% a year ago [7] - Selling general and administrative expenses were $3.8 million for the 4th Quarter, a slight decrease from $3.9 million a year ago [8] Market Data and Key Metrics Changes - Revenue in the primary market of Greater China increased by 2% compared to the 3rd Quarter, with notable growth in Taiwan and Peru during the 4th Quarter [6][3] - Japan and Colombia achieved strong increases throughout the year, contributing positively to overall performance [3] Company Strategy and Development Direction - The company is focusing on improving operational efficiency through restructuring initiatives, including relocating 40% of product sourcing to East Asia to reduce tariff uncertainty [4] - The company anticipates realizing approximately $1.5 million in annualized cost savings during 2026, which is expected to enhance profitability and performance [10] - Celebrating its 25th anniversary in 2026, the company plans special programs and events to leverage this milestone for renewed momentum [4] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to support goals in an evolving global environment, emphasizing a strong product portfolio and renewed focus on execution [5] - The management highlighted the importance of member engagement and ongoing demand for core products as key drivers for future growth [3] Other Important Information - Total cash, cash equivalents, and marketable securities were $28.9 million at the end of the year, down from $32 million at the end of the previous quarter [9] - The company paid out $9.2 million in dividends for the full year of 2025, reaffirming its commitment to returning capital to stockholders [9][10] Q&A Session Summary - No specific questions or answers were provided in the content, thus this section is not applicable.

Financial Data and Key Metrics Changes - In Q4 2025, revenue was $9.7 million, a 3% increase from $9.5 million in Q3 2025, but a 10% decline from $10.8 million in Q4 2024 [6] - Gross profit margin was 72.9% in Q4 2025, down from 74.2% in Q4 2024, primarily due to inventory write-offs [6] - Net loss for Q4 2025 was $588,000, or $0.05 per diluted share, compared to net income of $176,000, or $0.02 per diluted share in Q4 2024 [7] Business Line Data and Key Metrics Changes - Sales of Q-rated product bundles increased by 10% for the full year 2025, indicating strong member engagement and demand for core products [3] - Commissions expenses as a percentage of net sales for Q4 2025 were 40.3%, down from 41.9% a year ago [6] Market Data and Key Metrics Changes - Revenue in the primary market of Greater China increased by 2% compared to Q3 2025, with notable growth in Taiwan and Peru during Q4 2025 [6] - Japan and Colombia also achieved strong increases throughout the year [3] Company Strategy and Development Direction - The company is focusing on improving operational efficiency through restructuring initiatives, including relocating 40% of product sourcing from America to East Asia [4] - The company anticipates realizing approximately $1.5 million in annualized cost savings during 2026, which is expected to enhance profitability and performance [9] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to support long-term goals in an evolving global environment, emphasizing a strong product portfolio and renewed focus on execution [5] - The upcoming 25th anniversary is viewed as a catalyst for renewed momentum across products and business [4] Other Important Information - Total cash, cash equivalents, and marketable securities were $28.9 million at December 31, 2025, down from $32 million at September 30, 2025 [8] - The board of directors declared a quarterly cash dividend of $0.10 per share, payable on February 27, 2026 [9] Q&A Session Summary - No specific questions or answers were provided in the content regarding the Q&A session. The call concluded without further inquiries [11]

Revenue and Sales Performance - Revenue for Q4 2025 was $9.7 million, a 3% increase sequentially from $9.5 million in Q3 2025, but a 10% decrease year-over-year from $10.8 million in Q4 2024[5] - Full year 2025 net sales were $39.8 million, a 7% decrease compared to $43.0 million in 2024[5] Membership and Active Users - Active Members decreased to 26,650 as of December 31, 2025, down from 28,030 at September 30, 2025, and 30,870 at December 31, 2024[5] Profitability and Loss - Operating loss for Q4 2025 was $635,000, compared to $495,000 in Q3 2025 and $421,000 in Q4 2024; excluding restructuring charges, the loss would have been $352,000[5] - Net loss for Q4 2025 was $588,000, or $0.05 per diluted share, compared to a net loss of $431,000, or $0.04 per diluted share, in Q3 2025, and net income of $176,000, or $0.02 per diluted share, in Q4 2024[5] - Net income for 2025 was $(882) million, a decrease from $572 million in 2024[18] Cash Flow and Liquidity - Total cash, cash equivalents, and marketable securities were $28.9 million as of December 31, 2025, down from $32.0 million as of September 30, 2025[11] - Operating cash flow for Q4 2025 was a net outflow of $959,000, compared to a net inflow of $88,000 in Q4 2024[11] - Net cash used in operating activities increased to $(5,997) million in 2025 from $(3,367) million in 2024[18] - Total cash, cash equivalents, and restricted cash decreased to $6,820 million at the end of 2025 from $13,567 million at the end of 2024[18] Dividends and Shareholder Returns - The company declared a quarterly cash dividend of $0.10 per share, payable on February 27, 2026[11] - Dividends paid remained consistent at approximately $(9,210) million for both 2025 and 2024[18] Inventory and Assets - Inventories increased to $1,274 million in 2025 from $1,000 million in 2024[18] - Other current assets showed a significant change, increasing to $1,224 million in 2025 from $(113) million in 2024[18] - Right-of-use assets obtained in exchange for operating lease liabilities rose to $487 million in 2025 from $124 million in 2024[18] Cost Management and Restructuring - The company expects to realize $1.5 million in annualized cost savings from restructuring initiatives that are substantially complete[4] - The company relocated about 40% of its product sourcing base from America to East Asia to reduce tariff uncertainty and streamline logistics[4] Cash Flow from Investments - Cash flows from investing activities provided $8,148 million in 2025, contrasting with $(30,075) million used in 2024[18] - Purchases of marketable securities decreased to $(50,742) million in 2025 from $(70,431) million in 2024[18] Foreign Exchange Impact - The effect of exchange rates on cash resulted in a gain of $312 million in 2025 compared to $5 million in 2024[18]

– Net sales decreased 10% year over year, but increased 3% sequentially– Restructuring initiatives to achieve $1.5 million annualized savings substantially complete– Declared a quarterly cash dividend of $0.10 per share LOS ANGELES, Feb. 04, 2026 (GLOBE NEWSWIRE) -- Natural Health Trends Corp. (NASDAQ: NHTC), a leading direct-selling and e-commerce company that markets premium quality personal care, wellness and “quality of life” products under the NHT Global brand, today announced its financial results for ...

LOS ANGELES, Jan. 28, 2026 (GLOBE NEWSWIRE) -- Natural Health Trends Corp. (NASDAQ: NHTC), a leading direct-selling and e-commerce company that markets premium quality personal care, wellness, and “quality of life” products under the NHT Global brand, today announced the Company will report its financial results for the fourth quarter and full year ended December 31, 2025 on Wednesday, February 4, 2026 at 9:00 a.m. Eastern Time. Chris Sharng, Natural Health Trends’ President, and Scott Davidson, Senior Vice ...

Core Viewpoint - Natural Health Trends Corp. (NHTC) has experienced a significant decline in stock price following disappointing earnings results for the year ended September 30, 2025, with a 25.1% drop compared to a 0.6% decline in the S&P 500 Index during the same period [1] Financial Performance - NHTC's third-quarter 2025 revenue decreased by 11.4% to $9.5 million from $10.7 million, with a net loss of $0.4 million, or a loss of $0.04 per diluted share, compared to a net income of $35,000 in the same quarter of 2024 [2] - For the first nine months of 2025, revenue fell by 6.5% to $30 million from $32.1 million, resulting in a net loss of $0.3 million, or a loss of $0.03 per share, compared to a net income of $0.4 million in the prior-year period [3] Key Business Metrics - Orders decreased by 5% year over year in Q3 2025, although they improved by 5% sequentially, indicating some stabilization [4] - Active Members declined to 28,030 as of September 30, 2025, from 30,880 a year earlier, representing a 9.2% decrease [4] - Gross profit for the quarter was $6.9 million, down 11.8% from $7.9 million a year ago, with a gross margin of 73.7% compared to 74.1% in Q3 2024 [5] Expense Management - Commissions expense decreased by 10.5% year over year but rose slightly as a percentage of sales to 40.9% from 40.5% [6] - Selling, general, and administrative expenses decreased by 6.8% to $3.6 million from $3.9 million, indicating early cost control measures [6] Management Commentary and Strategic Initiatives - Management noted a challenging economic outlook in Hong Kong, which accounted for 81.4% of Q3 2025 sales, with an 8% year-over-year revenue decline [7] - A major restructuring is underway, expected to deliver $1.5 million in annualized savings by mid-2026, including a 10% workforce reduction and cost-cutting measures [7] - The company is transitioning U.S.-based product manufacturing closer to Asia to mitigate tariff risks and streamline logistics [7] Future Investments - Planned investments include an AI-enabled marketing app and new marketing initiatives aimed at expanding the member base [8] - The company is organizing recognition and training events to strengthen relationships and leadership development across markets [8] Performance Influencers - Weaker results are attributed to macroeconomic factors in Greater China and company-specific issues such as the timing of promotions and inventory write-offs [9][10] Cash Flow and Liquidity - Net cash used in operating activities was $5 million for the first nine months of 2025, compared to $3.5 million in the prior-year period [11] - Total cash and equivalents declined to $32 million as of September 30, 2025, from $43.9 million at year-end 2024, though liquidity remains adequate [11] Guidance and Capital Allocation - Management expects a one-time restructuring charge of approximately $250,000 in Q4 2025 and aims to realize $1.5 million in annualized cost savings by mid-2026 [12] - The company plans to reduce its quarterly cash dividend to $0.10 per share starting in Q1 of the next year [13] Product Innovation and Milestones - NHTC is energizing its network through product innovation, including the pre-launch of the Soo:vea skincare series in Hong Kong and a limited-edition anti-aging cream in Sweden [14] - The company is planning a year-long program of events and marketing campaigns for its 25th anniversary in 2026 to strengthen the brand [15]

Core Viewpoint - Natural Health Trends Corp. reported a decrease in net sales and orders for the third quarter of 2025 compared to the previous year, attributed to product promotion timing and the presale of a new skin care line [4]. Financial Performance - Net sales for the third quarter of 2025 decreased by 11% to $9.5 million compared to the third quarter of 2024 [4]. - Orders declined by 5% year-over-year, indicating a downward trend in demand [4].