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Nature's Sunshine(NATR) - 2025 Q2 - Earnings Call Presentation

Financial Performance - Q2 2025 - Net sales increased by 3.8% to $114.8 million compared to $110.6 million in Q2 2024, driven by strong performance in Japan and North America, but partially offset by weakness in China[6] - Gross margin improved by 30 bps to 71.7% due to cost-saving initiatives, despite unfavorable foreign exchange and market mix[6] - SG&A expenses increased by 13.2% to $43.7 million, primarily due to the timing of compensation costs, incremental investment in digital marketing, and other non-recurring expenses[6] - Operating income decreased by 24.2% to $4.3 million, reflecting the factors impacting net sales, gross margin and SG&A[6] - Net income attributable to common shareholders increased by 295.3% to $5.3 million[6] - Adjusted EBITDA increased by 8.3% to $11.3 million[6] - Diluted EPS increased by 300% to $0.28[6] Balance Sheet & Cash Flow - Cash and cash equivalents totaled $81.3 million as of June 30, 2025[9, 10] - The company has zero debt as of June 30, 2025[9, 10] - Cash from operations totaled $6.9 million[9, 10] - Capital expenditures totaled $2.5 million[9, 10] - Free cash flow totaled $4.4 million[9, 10] Segment Performance - Q2 2025 - Asia net sales increased by 5.4% to $52.664 million, or 2.3% excluding currency impact[11] - Europe net sales increased by 0.6% to $21.741 million, or decreased by 1.6% excluding currency impact[11] - North America net sales increased by 4.2% to $34.977 million, or 4.3% excluding currency impact[11] - Latin America and Other net sales decreased by 0.6% to $5.368 million, or increased by 2.8% excluding currency impact[11] Capital Allocation - $12.4 million in shares were repurchased at an average cost of $12.22 per share in the first six months of 2025[22] - $21.4 million remains in the share repurchase program as of June 30, 2025[22]