Natural Health Trends Reports Third Quarter 2024 Financial Results

In This Article:

Natural Health Trends Corp.
Natural Health Trends Corp.
  • Total net sales increased sequentially and year-over-year during the third quarter of 2024

  • Improved operating bottom line for three consecutive quarters

  • Generated cash flows from operations before 2017 Tax Act installment of $514,000 during the first nine months of 2024

  • Declared a quarterly cash dividend of $0.20 per share

HONG KONG, Oct. 30, 2024 (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 the quarter ended September 30, 2024.

Third Quarter 2024 Financial Highlights

  • Revenue of $10.7 million increased 1% compared to $10.6 million in the third quarter of 2023.

  • Operating loss was $275,000 compared to $292,000 in the third quarter of 2023.

  • Net income was $35,000, or breakeven per diluted share, compared to $172,000, or $0.02 per diluted share, in the third quarter of 2023. The decrease was attributable to lower interest income and higher effective tax rate as compared to the third quarter of 2023.

  • The number of Active Members1 was down 1% to 30,880 at September 30, 2024 compared to 31,110 at June 30, 2024, and decreased 11% compared to 34,660 at September 30, 2023.

1 Natural Health Trends defines Active Members as those that have placed at least one product order with the Company during the preceding twelve-month period.

Year-to-Date 2024 Financial Highlights

  • Revenue of $32.1 million decreased 3% compared to $33.0 million in the first nine months of 2023.

  • Operating loss improved to $878,000 compared to $1.4 million in the first nine months of 2023.

  • Net income was $396,000, or $0.03 per diluted share, compared to $210,000, or $0.02 per diluted share, in the first nine months of 2023.

Management Commentary

"Consumer spending in our main market continues to be weak. However, we still managed to achieve sequential growth in net sales, as well as a year-over-year improvement in the third quarter. While the pace of growth is not where we’d like it to be, our customers and leaders continue to demonstrate strong engagement, and we are working closely with them to navigate these changing times with trainings, product roadshows and new products to help drive growth and expand their customer base," commented Chris Sharng, President of Natural Health Trends Corp.

Mr. Sharng continued, “Our ability to adapt, adjust programs, and fine-tune our plans has been instrumental in supporting our customer base while also acting in the best interests of our shareholders. We are maintaining attentive focus on cost control, including expense management, inventory, and product optimization, to ensure the company remains positioned for future success.”

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