Financial Data and Key Metrics Changes - For 2025, the company reported adjusted earnings per share of $1.27, up from $0.84 in the previous year, representing a 51% growth [17] - Revenue for the full year was $1.49 billion, within the original guidance, with a foreign currency headwind of approximately $13.4 million [20] - The fourth quarter revenue was $370 million, with earnings per share of $0.29, aligning with expectations [18] Business Line Data and Key Metrics Changes - The gross margin for the core Nu Skin business finished at 77.4%, an 80 basis point improvement over the prior year [20] - Selling expense for the core Nu Skin business was 40.3% for the year, with expectations to remain around 40% moving forward [21] - The operating margin for the full year improved to 6.7%, up 140 basis points from the previous year [22] Market Data and Key Metrics Changes - The company initiated pre-market operations in India in November 2025, with a formal market opening anticipated in late 2026 [5] - Latin America continues to show strong performance, contributing positively to the company's growth [24] - The company is focusing on establishing operational infrastructure in India, including local manufacturing and logistics partnerships [14] Company Strategy and Development Direction - The company aims to become the world's leading intelligent beauty, wellness, and lifestyle leadership opportunity platform, focusing on three strategic priorities: launching the Prysm iO platform, expanding into emerging markets like India, and improving operational performance [6][12] - Prysm iO is positioned as a customer acquisition tool with subscription-based revenue, expected to enhance customer lifetime value significantly [11] - The company is targeting to place over 100,000 Prysm iO devices by the end of 2026, with aspirations to reach 10 million households by 2030 [11] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about returning to growth by the end of 2026, despite inherent switching costs associated with transitioning the business [5] - The company is cautious about revenue projections for India, emphasizing the importance of establishing local infrastructure before the formal launch [36] - Management highlighted the importance of maintaining disciplined execution and financial performance while pursuing growth opportunities [26] Other Important Information - The company ended the quarter with approximately $240 million in cash and reduced outstanding debt to $224 million, resulting in an expanded net cash position [23] - The company returned approximately $11.8 million in dividends and $20 million in share repurchases during the year [23] Q&A Session Summary Question: Insights on Prysm's revenue contribution - Management indicated that the placement of Prysm devices will lead to subscriptions, with an estimated market value of around $300 per device, potentially generating $30 million from device sales alone [33] Question: Thoughts on India market potential - Management sees long-term potential in India but is cautious about immediate revenue forecasts, focusing on establishing local manufacturing and logistics [36][37] Question: Guidance and key leverage points - Management discussed the importance of gross margin expansion and maintaining selling expenses around 40% while managing G&A costs in line with revenue [39][41] Question: Other portfolio performance insights - Management highlighted the successful rollout of the Tru Face skincare line and ongoing improvements in various markets, including China and Latin America [43][45]

Nu Skin Enterprises (NYSE:NUS) Q4 2025 Earnings call February 12, 2026 05:00 PM ET Company ParticipantsB.G. Hunt - VP of Treasurer and Investor RelationsDave Storms - Director of Equity ResearchJames Thomas - CFORyan Napierski - President and CEOOperatorGood day, and thank you for standing by. Welcome to the Q4 2025 conference call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question-and-answer session. To ask a question, please press star one ...

Financial Data and Key Metrics Changes - For Q4 2025, the company reported revenue of $370 million, with an earnings per share (EPS) of $0.29, aligning with expectations [17][24] - For the full year 2025, adjusted EPS was $1.27, up from $0.84 in the previous year, representing a 51% growth [16][20] - Gross margin for Q4 was 70.7%, down from 71.4% in the prior year, while the core Nu Skin business gross margin improved to 77.6% [17][19] - The company generated $1.49 billion in revenue for the full year, with a foreign currency headwind of approximately $13.4 million [18][21] Business Line Data and Key Metrics Changes - The core Nu Skin business saw a gross margin of 77.4% for the full year, an 80 basis point improvement over the prior year [19] - Selling expenses for the core business were 40.3% for the year, with expectations to maintain around 40% moving forward [20] Market Data and Key Metrics Changes - The company initiated pre-market operations in India in November 2025, with a formal market opening anticipated in late 2026 [5][12] - Latin America continues to show strong performance, providing insights for expansion into new emerging markets [13][44] Company Strategy and Development Direction - The company aims to focus on the $6.8 trillion wellness market with the launch of the Prysm iO Intelligent Wellness Platform [6][15] - Strategic priorities include expanding into India and improving operational performance and efficiencies [12][15] - The company plans to place over 100,000 Prysm iO devices by the end of 2026, targeting 10 million healthy households by 2030 [11][12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in returning to growth by the end of 2026, despite inherent switching costs during the transition [5][15] - The company is cautious about revenue projections for India, focusing on establishing local infrastructure and logistics [35][36] - Management highlighted the importance of the Prysm iO launch in enhancing customer engagement and lifetime value [10][24] Other Important Information - The company ended the quarter with approximately $240 million in cash and reduced outstanding debt to $224 million, resulting in an expanded net cash position [21] - The company returned approximately $11.8 million in dividends and $20 million in share repurchases during the year [21] Q&A Session Summary Question: Insights on Prysm's revenue contribution - Management indicated that the placement of Prysm devices will lead to subscriptions, with an estimated market value of around $300 per device, potentially generating $30 million from device sales alone [32] Question: Thoughts on India market potential - Management sees long-term potential in India but is cautious about immediate revenue forecasts, focusing on local infrastructure and logistics [36][37] Question: Guidance considerations and leverage points - Management discussed modeling for 2026, emphasizing gross margin expansion and maintaining selling expenses around 40% [40][41] Question: Other portfolio performance insights - Management highlighted the restaging of the Tru Face skincare line and improvements in various markets, including China and Latin America [43][44]