Mannatech Reports Financial Results for Third Quarter 2026

Rhea-AI Summary

Mannatech (NASDAQ: MTEX) reported third-quarter 2026 net income of $8.9 million, driven primarily by a non-cash tax benefit rather than improved operations. Diluted earnings rose to $4.61 from $1.01 a year earlier. The $10.9 million tax benefit reflected remeasurement of deferred tax liabilities on unremitted foreign earnings and generated no cash.

Quarterly sales fell to $24.9 million from $29.2 million, operating income declined to $0.3 million from $2.0 million, and pre-tax results swung to an approximately $2.0 million loss from $2.5 million income. Gross margin fell to 74.7% from 76.4%. Cash declined to $5.4 million at September 30 from $6.2 million at year-end. Nine-month net income reached $10.9 million versus a $3.9 million loss. Following an October 14 internal restructuring, Nasdaq notified Mannatech on October 16 that it complies with the minimum stockholders’ equity requirement.

12 points · 1 major

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0 major · 19 points

Hollow bars mark forward-looking points. How the balance works

Positive

• Major pointThird-quarter net income rose to $8.905 million, or $4.61 diluted EPS, primarily reflecting a non-cash tax benefit.
• Moderate pointNine-month operating income improved to $1.091 million from a $269,000 loss a year earlier.
• Moderate pointNasdaq confirmed compliance with its minimum stockholders’ equity requirement on October 16, 2026.
• Moderate pointShareholders’ equity reached $5.203 million at September 30, versus a $5.223 million deficit at December 31, 2025.
• Minor pointNine-month net income reached $10.870 million, or $5.63 diluted EPS, versus a $3.918 million loss.

7 minor points

• Minor pointNine-month pre-tax income reached $323,000, versus a $3.099 million loss a year earlier.
• Minor pointThird-quarter selling and administrative expenses fell to $8.699 million from $9.072 million year over year.
• Minor pointNine-month selling and administrative expenses declined to $26.957 million from $29.865 million year over year.
• Minor pointThird-quarter commissions and incentives decreased to $9.609 million from $11.192 million year over year.
• Minor pointNine-month commissions and incentives decreased to $29.879 million from $31.312 million year over year.
• Minor pointThird-quarter cost of sales declined to $6.292 million from $6.890 million year over year.
• Minor pointNine-month cost of sales declined to $18.512 million from $20.495 million year over year.

Negative

• Moderate pointThird-quarter sales fell to $24.872 million from $29.161 million a year earlier.
• Moderate pointThird-quarter operating income declined to $272,000 from $2.007 million a year earlier.
• Moderate pointThird-quarter pre-tax results swung to a $1.954 million loss from $2.514 million income.
• Moderate pointThird-quarter currency results swung to a $2.1 million loss from $0.6 million gains year over year. 13% of market cap
• Moderate pointRecruiting of new associates and preferred customers declined 30.5% in the third quarter year over year.
• Moderate pointPurchasing associate and preferred-customer positions fell to approximately 111,000 from 119,000 a year earlier.
• Moderate pointThird-quarter selling and administrative expenses increased to 35.0% of sales from 31.1% year over year.

12 minor points

• Minor pointThird-quarter gross margin declined to 74.7% from 76.4% a year earlier.
• Minor pointThird-quarter gross profit fell to $18.580 million from $22.271 million year over year.
• Minor pointCash decreased to $5.419 million at September 30 from $6.185 million at December 31, 2025.
• Minor pointNine-month sales declined to $76.439 million from $81.403 million a year earlier.
• Minor pointNine-month gross profit fell to $57.927 million from $60.908 million a year earlier.
• Minor pointAmericas sales fell to $6.0 million quarterly and $21.1 million year-to-date, versus $7.9 million and $25.1 million.
• Minor pointAsia/Pacific sales fell to $16.6 million quarterly and $48.3 million year-to-date, versus $18.8 million and $49.5 million.
• Minor pointEMEA quarterly sales fell to $2.3 million from $2.5 million; nine-month sales rose to $7.0 million from $6.8 million.
• Minor pointThird-quarter net interest expense rose to $119,000 from $104,000 year over year.
• Minor pointNine-month net interest expense rose to $339,000 from $279,000 year over year.
• Minor pointCurrent notes payable reached $200,000 at September 30, versus none at December 31, 2025.
• Minor point. Forward-looking: it has not happened yet and may not happen.Tariff changes could affect profitability; Mannatech says operational and supply-chain constraints may limit mitigation.

Key Figures

Net sales: $24.9 million; decreased $4.3 million Gross profit as a percentage of net sales: 74.7% vs. 76.4% Income from operations: $0.3 million vs. $2.0 million +5 more

Net sales

$24.9 million; decreased $4.3 million

Q3 2026 compared with Q3 2025

Gross profit as a percentage of net sales

74.7% vs. 76.4%

Q3 2026 vs. Q3 2025

Income from operations

$0.3 million vs. $2.0 million

Q3 2026 vs. Q3 2025

Non-cash income tax benefit

$10.9 million

Q3 2026; primarily from remeasurement of deferred tax liabilities

Net income and diluted EPS

$8.9 million; $4.61 per diluted share

Q3 2026; net income was primarily driven by a non-cash tax benefit

Pre-tax loss

Approximately $2.0 million

Q3 2026, compared with pre-tax income of $2.5 million in Q3 2025

Foreign currency loss

$2.1 million loss vs. $0.6 million gain

Net realized and unrealized; Q3 2026 vs. Q3 2025

Cash and cash equivalents

$5.4 million, down $0.8 million

As of September 30, 2026, compared with December 31, 2025

Previous Earnings Reports

2 past events · Latest: Aug 12

Same Type 2 events

1. Aug 12

   Q2 2026 earnings

   24h Move

   +21.3%

   Net sales grew year over year and operating income returned to profit after a prior-year loss.

2. Nov 12

   Q3 2025 earnings

   24h Move

   +0.1%

   Operating income and net income improved year over year despite declining net sales.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

gaap, non-gaap financial measures, deferred tax liabilities, diluted share

4 terms

gaap financial

"foreign exchange had no effect on GAAP net sales"

GAAP, or Generally Accepted Accounting Principles, are a set of standardized rules and guidelines that companies follow when preparing their financial statements. They ensure consistency, transparency, and comparability across different companies, making it easier for investors to understand and compare financial information accurately. This helps investors make informed decisions based on trustworthy and uniform financial reports.

View in glossary

non-gaap financial measures financial

"include certain non-GAAP financial measures"

Non-GAAP financial measures are numbers companies use to show their financial performance that exclude certain expenses or income. They help investors see how the company might perform without one-time costs or other unusual items, giving a different perspective from official reports. However, since they can be adjusted, they don’t always tell the full story and should be looked at alongside standard financial figures.

deferred tax liabilities financial

"remeasurement of deferred tax liabilities on unremitted foreign earnings"

An accounting entry that records taxes a company will likely have to pay in the future because the way profit is reported for investors (financial accounts) differs from how taxable income is calculated today. It matters to investors because it signals real future cash outflows that will reduce funds available for dividends, debt repayment or investment—think of it as a bill put on layaway that the company still must settle later, affecting valuation and financial strength.

diluted share financial

"$4.61 per diluted share"

Diluted share count is the total number of company shares that would exist if all potential claims that can become stock—such as employee stock options, warrants and convertible bonds—were exercised or converted. Investors use diluted shares to see a more conservative view of ownership and per-share metrics (like earnings per share), because it’s like slicing a cake into more pieces: the same profit spread over more slices makes each slice smaller.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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FLOWER MOUND, Texas, Nov. 12, 2026 (GLOBE NEWSWIRE) -- Mannatech, Incorporated (NASDAQ: MTEX), ("Mannatech" or "Company"), global health and wellness company committed to transforming lives to make a better world, today announced financial results for its third quarter of 2026.

Third Quarter Results

• Net sales for the three months ended September 30, 2026 were $24.9 million, a decrease of $4.3 million, as compared to the same period in 2025. On a Constant dollar basis (see Non-GAAP Measures, below) our net sales decreased $4.3 million, or 14.6%, and foreign exchange had no effect on GAAP net sales as compared to the same period in 2025.

• Gross profit as a percentage of net sales decreased to 74.7% for the three months ended September 30, 2026, as compared to 76.4% for the same period in 2025.

• For the three months ended September 30, 2026, selling and administrative expenses decreased by $0.4 million, or 4.1%, to $8.7 million, as compared to the same period in 2025. Selling and administrative expenses, as a percentage of net sales, for the three months ended September 30, 2026 increased to 35.0% from 31.1% for the same period in 2025.

• Income from operations was $0.3 million for the three months ended September 30, 2026, as compared to income from operations of $2.0 million in the same period in 2025.

• Income tax benefit was $10.9 million for the three months ended September 30, 2026, as compared to income tax expense of $0.6 million for the same period in 2025, resulting from a non-cash remeasurement of deferred tax liabilities on unremitted foreign earnings. This benefit did not generate cash. See Recent Developments below.

• Net income was $8.9 million for the three months ended September 30, 2026, or $4.61 per diluted share, as compared to net income of $1.9 million, or $1.01 per diluted share for the three months ended September 30, 2025. The Company reported a pre-tax loss of approximately $2.0 million for the three months ended September 30, 2026, as compared to pre-tax income of $2.5 million for the same period in 2025. Third quarter net income was driven primarily by a $10.9 million non-cash income tax benefit and does not reflect an improvement in operating performance.

• Net realized and unrealized foreign currency loss for the three months ended September 30, 2026 was $2.1 million, as compared to net realized and unrealized foreign currency gains of $0.6 million for the three months ended September 30, 2025.

• As of September 30, 2026, the Company's cash and cash equivalents decreased 12.4%, or $0.8 million, to $5.4 million from $6.2 million as of December 31, 2025.

• The approximate number of new and continuing independent associate and preferred customer positions held by individuals in Mannatech’s network and associated with purchases of its products as of September 30, 2026 was approximately 111,000, as compared to 119,000 in the same period in 2025. Recruiting new associates and preferred customers decreased 30.5% in the third quarter of 2026 as compared to the third quarter of 2025.
  
  

Management's Statement

Changes in current trade policies, including with respect to tariffs, could affect our cost structure and profitability. While we take steps to mitigate or avoid these increased costs and disruptions, our ability to do so may be limited by operational and supply chain constraints and uncertainties, especially in the short term.

Recent Developments

The income tax benefit recognized for the three and nine months ended September 30, 2026, includes a non-cash benefit of $10.9 million and $10.5 million, respectively, from the remeasurement of deferred tax liabilities related to unremitted earnings of certain foreign subsidiaries. The benefit primarily reflects the remeasurement of deferred tax liabilities associated with withholding taxes on unremitted earnings of the Company's Korean subsidiary, together with the remeasurement of similar withholding-tax liabilities in other foreign jurisdictions. 

On October 14, 2026, the Company completed an internal restructuring of certain foreign subsidiaries that resulted in a non-cash remeasurement of deferred tax liabilities and a corresponding increase in consolidated stockholder's equity, which the Company reported in a Current Report on Form 8-K filed the same day. On October 16, 2026, the Listing Qualifications staff of The Nasdaq Stock Market LLC notified the Company, in writing, that based on that filing the Company complies with the minimum stockholders' equity requirement of Nasdaq Listing Rule 5550(b)(1). This development did not generate cash and did not affect the Company's net sales, cash flows, or results of operations.

Non-GAAP Financial Measures

In addition to results presented in accordance with GAAP, this press release and related tables include certain non-GAAP financial measures, including a presentation of Constant dollar measures. The company discloses operating results that have been adjusted to exclude the impact of changes due to the translation of foreign currencies into U.S. dollars, including changes in: Net Sales, Gross Profit, and Loss from Operations.

The Company believes that these non-GAAP financial measures provide useful information to investors because they are an indicator of the strength and performance of ongoing business operations. The constant currency figures are financial measures used by management to provide investors with an additional perspective on trends. Although management believes the non-GAAP financial measures enhance investors’ understanding of their business and performance, these non-GAAP financial measures should not be considered an exclusive alternative to accompanying GAAP financial measures. Please see the accompanying table entitled "Non-GAAP Financial Measures" for a reconciliation of these non-GAAP financial measures.

Safe Harbor statement

This release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. These forward-looking statements generally can be identified by use of phrases or terminology such as “may,” “will,” “should,” "hope," “could,” “would,” “expects,” “plans,” “intends,” “anticipates,” “believes,” “estimates,” “approximates,” “predicts,” “projects,” “potential,” and “continues” or other similar words or the negative of such terminology. Similarly, descriptions of Mannatech’s objectives, strategies, plans, goals or targets contained herein are also considered forward-looking statements. Mannatech believes this release should be read in conjunction with all of its filings with the United States Securities and Exchange Commission and cautions its readers that these forward-looking statements are subject to certain events, risks, uncertainties, and other factors. Some of these factors include, among others, Mannatech’s inability to attract and retain associates and members, increases in competition, litigation, regulatory changes, and its planned growth into new international markets. Although Mannatech believes that the expectations, statements, and assumptions reflected in these forward-looking statements are reasonable, it cautions readers to always consider all of the risk factors and any other cautionary statements carefully in evaluating each forward-looking statement in this release, as well as those set forth in its latest Annual Report on Form 10-K, and other filings filed with the United States Securities and Exchange Commission, including its current reports on Form 8-K. All of the forward-looking statements contained herein speak only as of the date of this release.

^ Mannatech operates in China under a cross-border e-commerce platform that is separate from its network marketing model.

Individuals interested in Mannatech's products or in exploring its business opportunity can learn more at Mannatech.com.

Contact Information:
Erin K. Barta
General Counsel and Corporate Secretary
214-724-3378
ir@mannatech.com
www.mannatech.com

MANNATECH, INCORPORATED AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS – (UNAUDITED) (in thousands, except share and per share information)
		September 30, 2026				December 31, 2025
ASSETS
Cash and cash equivalents		$	5,419			$	6,185
Restricted cash			218				550
Accounts receivable, net of allowance of $45 and $756			1				1
Income tax receivable			1,600				736
Inventories, net			9,566				10,123
Prepaid expenses and other current assets			1,978				1,701
Deferred commissions			1,012				1,280
Total current assets			19,794				20,576
Property and equipment, net			2,639				3,140
Operating lease right-of-use assets			2,386				3,292
Other assets			2,831				2,751
Long-term restricted cash			248				234
Total assets		$	27,898			$	29,993
LIABILITIES AND SHAREHOLDERS’ EQUITY (DEFICIT)
Commissions and incentives payable		$	6,325			$	7,118
Accrued expenses			2,878				3,128
Deferred revenue			1,601				3,086
Accounts payable			3,576				2,410
Current portion of operating lease liabilities			1,672				1,671
Taxes payable			246				1,029
Current notes payable			200				—
Current portion of finance lease liabilities			300				293
Total current liabilities			16,798				18,735
Long-term notes payable			2,750				2,750
Operating lease liabilities, excluding current portion			1,204				2,253
Other long-term liabilities			1,566				1,340
Finance lease liabilities, excluding current portion			163				388
Deferred tax liabilities, net			214				9,750
Total liabilities			22,695				35,216
Commitments and contingencies (Note 8)
Shareholders’ equity (deficit):
Preferred stock, $0.01 par value, 1,000,000 shares authorized, no shares issued or outstanding			—				—
Common stock, $0.0001 par value, 99,000,000 shares authorized, 2,742,857 shares issued and 1,930,391 shares outstanding as of September 30, 2026 and 2,742,857 shares issued and 1,900,930 shares outstanding as of December 31, 2025			—				—
Additional paid-in capital			32,669				33,032
Accumulated deficit			(3,154	)			(14,024	)
Accumulated other comprehensive loss			(5,467	)			(4,669	)
Treasury stock, at average cost, 812,466 shares as of September 30, 2026 and 841,927 shares as of December 31, 2025			(18,845	)			(19,562	)
Total shareholders’ equity (deficit)			5,203				(5,223	)
Total liabilities and shareholders’ equity (deficit)		$	27,898			$	29,993

MANNATECH, INCORPORATED AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS – (UNAUDITED) (in thousands, except per share information)
		Three Months Ended								Nine Months Ended
		September 30,								September 30,
		2026				2025				2026				2025
Net sales		$	24,872			$	29,161			$	76,439			$	81,403
Cost of sales			6,292				6,890				18,512				20,495
Gross profit			18,580				22,271				57,927				60,908
Operating expenses:
Commissions and incentives			9,609				11,192				29,879				31,312
Selling and administrative expenses			8,699				9,072				26,957				29,865
Total operating expenses			18,308				20,264				56,836				61,177
Income (loss) from operations			272				2,007				1,091				(269	)
Interest expense, net			(119	)			(104	)			(339	)			(279	)
Other (expense) income, net			(2,107	)			611				(429	)			(2,551	)
(Loss) income before income taxes			(1,954	)			2,514				323				(3,099	)
Income tax benefit (expense)			10,859				(590	)			10,547				(819	)
Net income (loss)		$	8,905			$	1,924			$	10,870			$	(3,918	)
Income (loss) per common share:
Basic		$	4.61			$	1.01			$	5.63			$	(2.06	)
Diluted		$	4.61			$	1.01			$	5.63			$	(2.06	)
Weighted-average common shares outstanding:
Basic			1,930				1,901				1,930				1,901
Diluted			1,930				1,901				1,930				1,901

Net sales by region for the three and nine months ended September 30, 2026 and 2025 were as follows (in millions, except percentages):

		Three Months Ended														Nine Months Ended
		September 30,														September 30,
Region		2026							2025							2026							2025
Americas		$	6.0			24.1	%		$	7.9			27.1	%		$	21.1			27.6	%		$	25.1			30.8	%
Asia/Pacific			16.6			66.7	%			18.8			64.4	%			48.3			63.2	%			49.5			60.8	%
EMEA			2.3			9.2	%			2.5			8.5	%			7.0			9.2	%			6.8			8.4	%
Total net sales		$	24.9			100.0	%		$	29.2			100.0	%		$	76.4			100.0	%		$	81.4			100.0	%

Non-GAAP Financial Measures (Sales, Gross Profit and Loss from Operations in Constant Dollars)

To supplement its financial results presented in accordance with generally accepted accounting principles in the United States (“GAAP”), Mannatech discloses operating results that have been adjusted to exclude the impact of changes due to the translation of foreign currencies into U.S. dollars, including changes in: Net Sales, Gross Profit, and Income (Loss) from Operations. It refers to these adjusted financial measures as Constant dollar items, which are non-GAAP financial measures. The company believes these measures provide investors with an additional perspective on trends. To exclude the impact of changes due to the translation of foreign currencies into U.S. dollars, it calculates current year results and prior year results at a constant exchange rate, which is the prior year’s rate. Currency impact is determined as the difference between the actual GAAP results and the recalculated results for the current year at the Constant dollar rates.

The tables below reconcile third quarter and year-to-date 2026 Constant dollar net sales, gross profit and income from operations to GAAP net sales, gross profit and income (loss) from operations. (in millions, except percentages):

Three-month period ended		September 30, 2026												September 30, 2025				Constant $ Change
		GAAP								Non-GAAP				GAAP
		Measure:				Translation				Measure:				Measure:
		Total $				Adjustment				Constant $				Total $				Dollar				Percent
Net sales		$	24.9			$	0.0			$	24.9			$	29.2			$	(4.3	)			(14.6	)%
Gross profit		$	18.6			$	0.0			$	18.6			$	22.3			$	(3.7	)			(16.6	)%
Income from operations		$	0.3			$	(0.1	)		$	0.2			$	2.0			$	(1.8	)			(90.0	)%

Nine-month period ended		September 30, 2026												September 30, 2025				Constant $ Change
		GAAP								Non-GAAP				GAAP
		Measure:				Translation				Measure:				Measure:
		Total $				Adjustment				Constant $				Total $				Dollar				Percent
Net sales		$	76.4			$	(0.1	)		$	76.3			$	81.4			$	(5.1	)			(6.3	)%
Gross profit		$	57.9			$	(0.0	)		$	57.9			$	60.9			$	(3.0	)			(4.9	)%
Income (loss) from operations		$	1.1			$	(0.1	)		$	1.0			$	(0.3	)		$	1.3				(433.3	)%

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What were Mannatech’s third-quarter 2026 earnings and sales?

Mannatech reported net income of $8.905 million, diluted earnings of $4.61 per share and sales of $24.872 million. A year earlier, net income was $1.924 million, diluted earnings were $1.01 per share and sales were $29.161 million. The quarter’s net income was driven primarily by a non-cash tax benefit.

Why did Mannatech record a non-cash tax benefit in third-quarter 2026?

The $10.9 million non-cash benefit reflected remeasurement of deferred tax liabilities on unremitted foreign earnings. It primarily involved withholding-tax liabilities associated with the Korean subsidiary, alongside similar liabilities in other foreign jurisdictions. The benefit generated no cash and did not reflect improved operating performance.

How did Mannatech’s October 2026 restructuring affect its financial position?

The internal restructuring completed on October 14, 2026 produced a non-cash remeasurement of deferred tax liabilities and a corresponding increase in consolidated shareholders’ equity. It generated no cash and did not affect net sales, cash flows or operating results. Nasdaq subsequently confirmed compliance with its minimum stockholders’ equity requirement.

How did currency translation affect Mannatech’s third-quarter 2026 sales?

Currency translation had no effect on third-quarter GAAP net sales compared with the same period in 2025. On a constant-dollar basis, which uses the prior year’s exchange rates, sales decreased $4.3 million, or 14.6%. These translation effects are distinct from the reported realized and unrealized foreign-currency losses.