Nature's Sunshine(NATR) - 2024 Q3 - Quarterly Results

Financial Performance - Net sales for Q3 2024 increased by 3% to $114.6 million compared to $111.2 million in Q3 2023, with a 4% increase in constant currency[1][3] - GAAP net income attributable to common shareholders rose to $4.3 million, or $0.23 per diluted share, up from $2.8 million, or $0.15 per diluted share in the prior year[1][8] - Adjusted EBITDA increased by 5% to $10.7 million compared to $10.3 million in the same quarter last year[1][9] - Operating income decreased to $5.3 million, or 4.6% of net sales, compared to $5.8 million, or 5.2% of net sales in Q3 2023[1][6] - Other income for Q3 2024 was $2.6 million, compared to a loss of $0.9 million in Q3 2023, primarily due to foreign exchange gains in Asia[1][7] - Net income for the three months ended September 2024 was $4,646 million, up from $3,142 million in the same period last year, representing a 48% increase[32] - Reported income attributable to common shareholders for the three months ended September 2024 was $4,347 million, compared to $2,832 million in the prior year, a 53% increase[32] Sales and Revenue - The Asia segment reported net sales of $55.3 million, a 5.9% increase year-over-year, with an 8.6% increase excluding currency impact[3][3] - Full year 2024 net sales are now expected to range between $443 million and $448 million, adjusted EBITDA is projected to be between $40 million and $42 million[1][11] - Net sales for Q3 2024 were $114,615, an increase of 3.7% compared to $111,202 in Q3 2023[26] Profitability Metrics - Gross profit margin decreased to 71.3% from 73.1% year-over-year, impacted by higher inflation and unfavorable foreign exchange[1][4] - Basic earnings per share attributable to common shareholders increased to $0.23 in Q3 2024 from $0.15 in Q3 2023, representing a 53.3% increase[26] - Basic income per share, as reported, increased to $0.23 for the three months ended September 2024, compared to $0.15 in the prior year, marking a 53% rise[32] - Diluted income per share, as adjusted, was $0.27 for the three months ended September 2024, up from $0.15 in the same period last year, indicating an 80% increase[32] Cash and Assets - Cash and cash equivalents as of September 30, 2024, were $78.7 million with zero debt[1][10] - Cash and cash equivalents at the end of Q3 2024 were $78,704, down from $82,373 at the beginning of the period[29] - Total current assets decreased to $163,529 as of September 30, 2024, from $165,817 at the end of 2023, a decline of 1.4%[28] Liabilities and Equity - Total liabilities decreased to $82,716 as of September 30, 2024, from $90,233 at the end of 2023, a reduction of 8.2%[28] - Shareholders' equity increased to $162,617 as of September 30, 2024, compared to $159,540 at the end of 2023, an increase of 1.3%[28] Year-to-Date Performance - The company reported a net income of $8,624 for the nine months ended September 30, 2024, compared to $7,072 for the same period in 2023, reflecting a growth of 21.9%[30] - Adjusted EBITDA for the nine months ended September 30, 2024, was $30,277, slightly down from $30,692 in the same period of 2023[30] - Non-GAAP net income attributable to common shareholders for the nine months ended September 2024 was $8,819 million, compared to $9,750 million for the same period in 2023, reflecting a decrease of 9%[32] - The company reported a total net income of $8,624 million for the nine months ended September 2024, compared to $7,072 million for the same period in 2023, an increase of 22%[32] - Basic income per share, as adjusted, for the nine months ended September 2024 was $0.47, down from $0.51 in the same period last year, a decrease of 8%[32] Adjustments and Other Factors - Total adjustments for the three months ended September 2024 amounted to $802 million, with significant contributions from loss on sale of property and equipment and restructuring expenses[32] - Total adjustments for the nine months ended September 2024 were $802 million, with a significant prior year adjustment of $3,636 million impacting comparability[32] - The company experienced a VAT refund adjustment of $(992) million for the three months ended September 2024, impacting overall net income[32]