Natural Health Trends Reports Fourth Quarter and Full Year 2025 Financial Results

Rhea-AI Summary

Natural Health Trends (NASDAQ: NHTC) reported preliminary fourth-quarter and full-year 2025 results. Q4 revenue was $9.7 million, down 10% year-over-year but up 3% sequentially. The company recorded a Q4 net loss of $588,000 ($0.05/share) and full-year net loss of $882,000 ($0.08/share).

Management said restructuring initiatives to realize $1.5 million annualized savings are substantially complete. Cash, equivalents and marketable securities were $28.9 million at year-end. The board declared a $0.10 quarterly cash dividend payable Feb 27, 2026.

Positive

• Restructuring to realize $1.5 million annualized savings substantially complete
• Declared $0.10 quarterly cash dividend payable Feb 27, 2026
• Year-end cash and equivalents of $28.9 million

Negative

• Q4 revenue declined 10% YoY
• Active members fell 13.8% year-over-year to 26,650
• Full-year net loss of $882,000 versus 2024 net income
• Operating loss widened to $1.8M for 2025
• Net cash used in operations $6.0M in 2025

Key Figures

Q4 2025 Revenue: $9.7 million FY 2025 Revenue: $39.8 million Q4 2025 Operating Loss: $635,000 +5 more

8 metrics

Q4 2025 Revenue $9.7 million Up 3% sequentially, down 10% vs Q4 2024

FY 2025 Revenue $39.8 million Decreased 7% vs $43.0 million in 2024

Q4 2025 Operating Loss $635,000 Higher than $495,000 in Q3 2025 and $421,000 in Q4 2024

Q4 2025 Net Loss per Share $0.05 per diluted share Net loss of $588,000 vs income of $0.02 per share in Q4 2024

Active Members 26,650 members Down from 28,030 in Q3 2025 and 30,870 in Q4 2024

Cash & Securities $28.9 million As of December 31, 2025, down from $32.0 million on September 30, 2025

Quarterly Dividend $0.10 per share Declared February 2, 2026, payable February 27, 2026

FY 2025 Operating Cash Flow $6.0 million used Net cash used in operating activities in 2025

Market Reality Check

Price: $3.75 Vol: Volume 36,637 is 1.03x th...

normal vol

$3.75 Last Close

Volume Volume 36,637 is 1.03x the 20-day average of 35,467. normal

Technical Trading below 200-day MA, with price $3.75 vs 200-day MA $4.20 and 37.5% below the 52-week high.

Peers on Argus

Several e-commerce/online retail peers show mixed moves, but a separate momentum...

3 Down

Several e-commerce/online retail peers show mixed moves, but a separate momentum scan flags 3 sector names down around -6.3%, while NHTC is down 1.06% over 24 hours. No same-day peer news headlines are recorded.

Previous Earnings Reports

5 past events · Latest: Nov 05 (Negative)

Same Type Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Nov 05	Q3 2025 earnings	Negative	-23.3%	Revenue decline, operating loss, restructuring plan and signaled dividend reduction.
Jul 30	Q2 2025 earnings	Negative	-0.3%	6% revenue drop, operating loss, cash burn despite maintained $0.20 dividend.
Apr 30	Q1 2025 earnings	Neutral	+0.6%	Small revenue decline with modest net income and stable dividend, mixed signals.
Feb 05	Q4/FY 2024 earnings	Positive	+3.2%	Stable Q4 revenue, full-year profit, strong cash and maintained $0.20 dividend.
Oct 30	Q3 2024 earnings	Positive	+0.3%	Slight revenue growth, positive net income and solid cash with ongoing dividend.

Pattern Detected

Earnings releases have typically produced modest single-digit moves, with a notably sharp selloff on the Q3 2025 report. Price reactions generally tracked the underlying tone: weaker revenue and rising losses tended to see negative moves.

Recent Company History

Over the past year, NHTC’s earnings reports show a gradual erosion in revenue and profitability. Q3 2025 results on Nov 05 triggered a -23.29% move after highlighting an operating loss and restructuring. Earlier 2025 quarters (Q1–Q2) reported mild revenue declines, shrinking cash and falling Active Members, offset by dividends. The Q4 and full-year 2024 release on Feb 05 showed modest profitability and stronger cash. Today’s Q4 2025 results extend the trend of lower sales, operating losses and reduced cash balances.

Historical Comparison

earnings

-3.9 %

Average Historical Move

Historical Analysis

Past earnings headlines led to average moves of -3.89%, usually reflecting modest revenue erosion, margin pressure, and changing dividend policy similar to this update.

Typical Pattern

Across 2024–2025 earnings, NHTC shifted from modest profitability with strong cash and a $0.20 dividend toward declining revenue, operating losses, cash drawdown and a lower dividend, alongside restructuring to reduce costs.

Market Pulse Summary

This announcement details Q4 2025 and full-year 2025 results showing lower year-over-year revenue, o...

Analysis

This announcement details Q4 2025 and full-year 2025 results showing lower year-over-year revenue, operating losses and reduced cash balances, partly offset by restructuring aimed at $1.5 million in annualized savings and a continued $0.10 dividend. Compared with prior earnings, it extends trends of declining Active Members and cash usage. Investors may watch future quarters for evidence that cost actions stabilize revenue, restore profitability and improve operating cash flow.

Key Terms

marketable securities, Tax Cuts and Jobs Act, Form 10-K

3 terms

marketable securities financial

"Total cash, cash equivalents and marketable securities were $28.9 million"

Marketable securities are financial assets — such as publicly traded stocks, bonds, and short-term government bills — that a company can quickly sell for cash at a known price. Investors watch them because they show how much ready cash a company can access without selling core operations, like keeping money in a highly liquid savings account versus being tied up in a house, and they affect short-term risk, financial flexibility, and balance-sheet strength.

Tax Cuts and Jobs Act regulatory

"liability of which arises from the 2017 U.S. Tax Cuts and Jobs Act"

A major federal tax law that changed corporate and individual tax rules, lowering some tax rates, altering deductions, and changing how businesses and people report income. For investors it matters because the law can increase after‑tax profits, change a company’s cash flow and spending decisions, and shift which industries or business structures are more attractive — think of it as a change in the rules that can make some players keep more of their earnings while others face new limits.

Form 10-K regulatory

"with its Annual Report on Form 10-K to be filed with the"

A Form 10-K is a comprehensive report that publicly traded companies are required to file annually with regulators. It provides a detailed overview of a company's financial health, operations, and risks, similar to a detailed health report. Investors use this information to assess the company's performance and make informed decisions about buying or selling its stock.

AI-generated analysis. Not financial advice.

– Net sales decreased 10% year over year, but increased 3% sequentially
– Restructuring initiatives to achieve $1.5 million annualized savings substantially complete
– Declared a quarterly cash dividend of $0.10 per share

LOS ANGELES, Feb. 04, 2026 (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 fourth quarter and full year ended December 31, 2025.

Fourth Quarter 2025 Financial Highlights

	•	Revenue of $9.7 million increased 3% compared to $9.5 million in the third quarter of 2025 and declined 10% compared to $10.8 million in the fourth quarter of 2024.
	•	Operating loss was $635,000 compared to $495,000 and $421,000 in the third quarter of 2025 and fourth quarter of 2024, respectively. Excluding restructuring-related charges of $283,000 recognized during the fourth quarter, operating loss would have been $352,000 during the quarter.
	•	Net loss was $588,000, or $0.05 per diluted share, compared to net loss of $431,000, or $0.04 per diluted share, and net income of $176,000, or $0.02 per diluted share, in the third quarter of 2025 and fourth quarter of 2024, respectively. Despite the loss before income taxes, tax expense of $175,000 was recognized in the fourth quarter due to an increase in foreign tax expense.
	•	The number of Active Members1 were 26,650 at December 31, 2025 compared to 28,030 at September 30, 2025 and 30,870 at December 31, 2024.
	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.

Full Year 2025 Financial Highlights

	•	Revenue of $39.8 million decreased 7% compared to $43.0 million in 2024.
	•	Operating loss was $1.8 million, compared to $1.3 million in 2024.
	•	Net loss was $882,000, or $0.08 per diluted share, compared to net income of $572,000, or $0.05 per diluted share, in 2024.

Management Commentary

“In the fourth quarter we managed to achieve a 3% sequential increase in revenue despite the difficult macroeconomic environment and continued pressure on consumer sentiment. We have substantially completed the major restructuring initiatives announced last quarter and expect to realize most of the associated $1.5 million annualized cost savings in the coming year. We also relocated about 40% of our total product sourcing base from America to East Asia, much closer to our main markets, to reduce tariff uncertainty and streamline logistics,” said Chris Sharng, President of Natural Health Trends Corp.

Mr. Sharng continued, “Looking ahead, 2026 marks our 25th Anniversary, a significant milestone for the Company. We have prepared an exciting program, including a big celebration in Hong Kong where we anticipate 1,500 attendees from around the world, signature products and incentives to leverage these moments effectively, and we are focused on making this anniversary a catalyst for renewed momentum.”

Balance Sheet and Cash Flow

	•	Net cash used in operating activities was $959,000 in the fourth quarter of 2025, compared net cash provided by operating activities of $88,000 in the fourth quarter of 2024. Net cash used in operating activities was $6.0 million in 2025, compared to $3.4 million in 2024. Before tax installment payments, the liability of which arises from the 2017 U.S. Tax Cuts and Jobs Act (the “Act Act”), cash used in operating activities was $943,000 in 2025, versus cash provided by operations of $602,000 a year ago. The Tax Act liability is now fully paid.
	•	Total cash, cash equivalents and marketable securities were $28.9 million as of December 31, 2025, down from $32.0 million as of September 30, 2025.
	•	On February 2, 2026, the Company’s Board of Directors declared a quarterly cash dividend of $0.10 on each share of common stock outstanding. The dividend will be payable on February 27, 2026 to stockholders of record as of February 17, 2026.

The Company expects to issue its 2025 audited financial results in late February with its Annual Report on Form 10-K to be filed with the United States Securities and Exchange Commission. These financial results are preliminary and the accompanying financial statements have not been audited or have not yet been reviewed by the Company’s independent accountants. Significant updates and revisions may be required before the release of the Company’s 2025 audited financial results.

Fourth Quarter and Full Year 2025 Financial Results Conference Call

Management will host a conference call to discuss the fourth quarter and full year 2025 financial results today, Wednesday, February 4, 2026 at 11:30 a.m. Eastern Time. The conference call details are as follows:

Date:	Wednesday, February 4, 2026
Time:	11:30 a.m. Eastern Time / 8:30 a.m. Pacific Time
Dial-in:	1-800-330-6730
Participant ID:	992974

For those unable to participate during the live broadcast, a replay of the call will be available on the Company's Investor Relations website at https://ir.naturalhealthtrendscorp.com.

About Natural Health Trends Corp.

Natural Health Trends Corp. (NASDAQ: NHTC) is an international direct-selling and e-commerce company operating through its subsidiaries throughout Asia, the Americas, and Europe. The Company markets premium quality personal care products under the NHT Global brand. Additional information can be found on the Company’s website at www.naturalhealthtrendscorp.com.

Forward-Looking Statements

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995 -- Forward-looking statements in this press release do not constitute guarantees of future performance. Forward-looking statements in this press release include statements relating to the anticipated effect of restructuring activities, including expected operational efficiencies and cost savings resulting therefrom, statements regarding technology investments, future growth and profitability, and statements relating to future dividends, the declaration and payment of which will be at the sole discretion of the Company’s board of directors. Such forward-looking statements are subject to risks and uncertainties that could cause the Company’s actual results to differ materially from those anticipated. Such risks and uncertainties include the risks and uncertainties detailed under the caption “Risk Factors” in Natural Health Trends Corp.’s Annual Report on Form 10-K filed on February 21, 2025 with the Securities and Exchange Commission (SEC), as well as in subsequent reports filed this year with the SEC. The Company assumes no obligation to update any forward-looking information contained in this press release or with respect to the announcements described herein.

NATURAL HEALTH TRENDS CORP. CONSOLIDATED BALANCE SHEETS (In thousands, except share data)
		December 31,
		2025				2024
		(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents		$	6,813			$	13,533
Marketable securities			22,060				30,407
Inventories			2,047				3,272
Other current assets			3,274				3,771
Total current assets			34,194				50,983
Property and equipment, net			153				190
Operating lease right-of-use assets			1,869				2,498
Restricted cash			7				34
Deferred tax asset			289				382
Other assets			1,916				1,272
Total assets		$	38,428			$	55,359
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable		$	555			$	895
Income taxes payable			5				4,908
Accrued commissions			1,958				2,021
Other accrued expenses			1,438				1,425
Deferred revenue			5,574				6,428
Amounts held in eWallets			2,838				3,286
Operating lease liabilities			869				1,127
Other current liabilities			451				709
Total current liabilities			13,688				20,799
Deferred tax liability			180				174
Operating lease liabilities			1,131				1,514
Total liabilities			14,999				22,487
Stockholders’ equity:
Preferred stock			—				—
Common stock			13				13
Additional paid-in capital			85,033				84,901
Accumulated deficit			(36,436	)			(26,344	)
Accumulated other comprehensive loss			(784	)			(1,301	)
Treasury stock, at cost			(24,397	)			(24,397	)
Total stockholders’ equity			23,429				32,872
Total liabilities and stockholders’ equity		$	38,428			$	55,359

NATURAL HEALTH TRENDS CORP. CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands, except per share data)
		Three Months Ended December 31,								Year Ended December 31,
		2025				2024				2025				2024
		(Unaudited)								(Unaudited)
Net sales		$	9,749			$	10,846			$	39,776			$	42,963
Cost of sales			2,643				2,802				10,523				11,178
Gross profit			7,106				8,044				29,253				31,785
Operating expenses:
Commissions expense			3,926				4,549				16,302				17,571
Selling, general and administrative expenses			3,815				3,916				14,759				15,513
Total operating expenses			7,741				8,465				31,061				33,084
Loss from operations			(635	)			(421	)			(1,808	)			(1,299	)
Other income, net			222				396				1,241				1,919
Income (loss) before income taxes			(413	)			(25	)			(567	)			620
Income tax provision (benefit)			175				(201	)			315				48
Net income (loss)		$	(588	)		$	176			$	(882	)		$	572
Net income (loss) per common share:
Basic		$	(0.05	)		$	0.02			$	(0.08	)		$	0.05
Diluted		$	(0.05	)		$	0.02			$	(0.08	)		$	0.05
Weighted-average number of common shares outstanding:
Basic			11,507				11,478				11,496				11,467
Diluted			11,507				11,486				11,496				11,490

NATURAL HEALTH TRENDS CORP. CONSOLIDATED STATEMENTS OF CASH FLOWS (In thousands)
		Year Ended December 31,
		2025				2024
CASH FLOWS FROM OPERATING ACTIVITIES:			(Unaudited)
Net income (loss)		$	(882	)		$	572
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Depreciation and amortization			109				131
Net accretion of marketable securities			(375	)			(441	)
Share-based compensation			132				145
Noncash lease expense			1,140				1,087
Deferred income taxes			102				17
Changes in assets and liabilities:
Inventories			1,274				1,000
Other current assets			1,224				(113	)
Other assets			(640	)			(421	)
Accounts payable			(341	)			(94	)
Income taxes payable			(4,902	)			(3,862	)
Accrued commissions			(111	)			(19	)
Other accrued expenses			(7	)			271
Deferred revenue			(854	)			245
Amounts held in eWallets			(445	)			(672	)
Operating lease liabilities			(1,142	)			(1,151	)
Other current liabilities			(279	)			(62	)
Net cash used in operating activities			(5,997	)			(3,367	)
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property and equipment			(68	)			(57	)
Purchases of marketable securities			(50,742	)			(70,431	)
Proceeds from maturities of marketable securities			58,958				40,413
Net cash provided by (used in) investing activities			8,148				(30,075	)
CASH FLOWS FROM FINANCING ACTIVITIES:
Dividends paid			(9,210	)			(9,213	)
Net cash used in financing activities			(9,210	)			(9,213	)
Effect of exchange rates on cash, cash equivalents and restricted cash			312				5
Net decrease in cash, cash equivalents and restricted cash			(6,747	)			(42,650	)
CASH, CASH EQUIVALENTS AND RESTRICTED CASH, beginning of period			13,567				56,217
CASH, CASH EQUIVALENTS AND RESTRICTED CASH, end of period		$	6,820			$	13,567
SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING AND FINANCING ACTIVITIES:
Right-of-use assets obtained in exchange for operating lease liabilities		$	487			$	124

CONTACT:

Scott Davidson
Senior Vice President and Chief Financial Officer
Natural Health Trends Corp.
Tel (U.S.): 310-541-0888
investor.relations@nhtglobal.com

FAQ

What were Natural Health Trends (NHTC) Q4 2025 revenue and earnings results?

Q4 2025 revenue was $9.7 million, down 10% year-over-year and up 3% sequentially. According to the company, Q4 net loss was $588,000 or $0.05 per diluted share, impacted by restructuring and foreign tax expense.

How did Natural Health Trends (NHTC) perform for the full year 2025?

Full-year 2025 revenue totaled $39.8 million, a 7% decline from 2024. According to the company, full-year net loss was $882,000 or $0.08 per diluted share, and operating loss increased to $1.8 million.

What cost savings and restructuring did Natural Health Trends (NHTC) announce for 2025?

The company said restructuring initiatives are substantially complete to achieve $1.5 million in annualized savings. According to the company, most savings are expected to be realized during the coming year following those actions.

What is Natural Health Trends' (NHTC) cash position and dividend for early 2026?

As of Dec 31, 2025, cash, cash equivalents and marketable securities were $28.9 million. According to the company, the board declared a $0.10 quarterly cash dividend payable Feb 27, 2026 to holders of record on Feb 17, 2026.

How did Natural Health Trends' (NHTC) member base change in Q4 2025?

Active members declined to 26,650 at Dec 31, 2025, down from 30,870 a year earlier. According to the company, Active Members are defined as those placing at least one product order in the prior twelve months.