Nu Skin Q4 Earnings Beat Estimates, Rhyz Revenues Increase Y/Y

Core Insights - Nu Skin Enterprises, Inc. (NUS) reported fourth-quarter 2024 results with earnings surpassing estimates, while net sales declined year over year [1][2] - The company anticipates improving trends in several markets for 2025 but expects economic challenges in Greater China and South Korea [1] Financial Performance - Adjusted earnings for Q4 were 38 cents per share, up from 37 cents in the previous year, beating the Zacks Consensus Estimate of 22 cents [2] - Quarterly revenues were $445.6 million, down 8.8% year over year, with a negative impact of 4.1% from foreign currency fluctuations; on a constant-currency basis, revenues fell 4.7% [3] - Adjusted gross profit decreased 9.8% to $317.9 million, with an adjusted gross margin of 71.4%, down 70 basis points from the prior year [5] - Selling expenses declined 8.8% to $165.4 million, remaining flat as a percentage of revenues at 37.1% [6] - General and administrative expenses fell 16.6% to $120.9 million, with a percentage of revenues at 27.1%, down 260 basis points [7] - Adjusted operating income increased 10.1% year over year to $34.5 million, with an adjusted operating margin of 7.7%, up 130 basis points [7] Regional Performance - Revenue declines were noted across various regions: Americas (-12.7%), Southeast Asia/Pacific (-2.9%), Mainland China (-21.1%), Japan (-6.8%), South Korea (-30.9%), Europe and Africa (-11%), and Hong Kong/Taiwan (-21%); however, other revenues surged 66.8% year over year [8] Financial Health - At the end of the quarter, the company had cash and cash equivalents of $186.9 million, long-term debt of $363.6 million, and total stockholders' equity of $651.5 million [9] - The company declared a cash dividend of 6 cents per share, payable on March 5, 2025 [10] Future Outlook - For 2025, Nu Skin anticipates revenues between $1.48 billion and $1.62 billion, indicating a decline of 15-6% from the previous year [12] - EPS for 2025 is projected to be between $3.45 and $3.85, or 90 cents to $1.30 when excluding gains from the Mavely transaction [13] - For Q1 2025, revenues are expected to be between $345 million and $365 million, representing a decline of 17% to 13% [13]