Nature’s Sunshine cuts 2026 sales outlook to $460M–$470M
Management now expects full-year 2026 net sales of $460 million to $470 million and adjusted EBITDA of $44 million to $48 million.
Sentiment and the balance of points
Rhea-AI Sentiment reads the wording of the document, how positive or negative its language is on a 1 to 5 scale. The balance of points shown with the takes weighs what the document actually discloses, so the two can disagree, for example when a trial that missed its main goal is described in upbeat language.
Form Type
8-K
Rhea-AI Filing Summary
Nature’s Sunshine Products, Inc. reported third-quarter 2026 net sales of $116.6 million, down 9% from $128.3 million a year earlier (down 7% excluding currency effects). Gross margin was 72.9%, versus 73.3%. GAAP net income attributable to common shareholders was $1.9 million, or $0.11 per diluted share, compared with $5.3 million, or $0.30. Adjusted EBITDA was $11.1 million, versus $15.2 million. CEO Ken Romanzi cited challenges in China and the Digital business; he said the company had begun rebuilding its China consultant leadership base and continued investing in Digital.
For full-year 2026, the company now expects net sales of $460 million to $470 million, compared with prior outlook of $490 million to $500 million; adjusted EBITDA is expected at $44 million to $48 million, versus $48 million to $52 million previously. Operating cash flow for the nine months ended September 30, 2026 was $9.7 million, versus $25.4 million. As of September 30, 2026, cash and cash equivalents were $89.4 million and debt was zero. During the nine-month period, it repurchased 345,000 shares for $6.1 million, or $17.66 per share.
0 points · 0 major1 major · 5 points
How this balance works
Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.
It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.
Rhea-AI Sentiment measures something else, the tone of the wording.
Hollow bars mark forward-looking points. How the balance works
Positive
- None.
Negative
- Major point. Forward-looking: it has not happened yet and may not happen.2026 net sales outlook lowered to $460 million–$470 million.
- Moderate pointThird-quarter sales fell 9% to $116.6 million.
- Moderate pointThird-quarter GAAP net income declined to $1.9 million.
- Moderate pointThird-quarter adjusted EBITDA fell to $11.1 million.
- Moderate pointNine-month operating cash flow was $9.7 million, versus $25.4 million.
8-K Event Classification
2 items: 2.02, 9.01
2 items
Item 2.02
Results of Operations and Financial Condition
Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, or exhibit attachments filed with this report.
Key Figures
Net sales: $116.6 million
Gross profit margin: 72.9%
GAAP net income attributable to common shareholders: $1.9 million
+5 more
8 metrics
Net sales
$116.6 million
Third quarter 2026; down 9% from $128.3 million in the year-ago quarter
Gross profit margin
72.9%
Third quarter 2026; down 42 basis points from 73.3%
GAAP net income attributable to common shareholders
$1.9 million
Third quarter 2026; compared with $5.3 million in Q3 2025
Adjusted EBITDA
$11.1 million
Third quarter 2026; compared with $15.2 million in Q3 2025
Net cash provided by operating activities
$9.7 million
Nine months ended September 30, 2026; compared with $25.4 million in the prior-year period
Full-year net sales outlook
$460 million to $470 million
2026 outlook; prior range was $490 million to $500 million
Full-year adjusted EBITDA outlook
$44 million to $48 million
2026 outlook; prior range was $48 million to $52 million
Common shares repurchased
345,000 shares
Nine months ended September 30, 2026; total cost $6.1 million, or $17.66 per share
Key Terms
constant currency, Volume incentives, Adjusted EBITDA, noncontrolling interests, +1 more
5 terms
constant currency financial
"down 7% in constant currency"
Constant currency is a way of measuring financial results that removes the effects of changes in currency exchange rates. It allows for a clearer comparison of a company's performance over time by showing what the numbers would look like if exchange rates had stayed the same. This helps investors understand whether growth comes from actual business improvements or just currency fluctuations.
Volume incentives financial
"Volume incentives as a percentage of net sales were 32.0%"
Volume incentives are discounts, rebates or extra payments a seller or buyer offers that depend on how much product is bought or sold: the more units moved, the bigger the reward. For investors, these arrangements matter because they can boost reported sales or win larger customers while also cutting per-unit profit margins, creating trade-offs in growth, cash flow and the predictability of future earnings — like a ‘buy more, save more’ deal that changes both revenue and margins.
Adjusted EBITDA financial
"Adjusted EBITDA in the third quarter of 2026 decreased"
Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.
noncontrolling interests financial
"Net income attributable to noncontrolling interests"
The portion of a subsidiary’s equity and profits that belongs to outside owners rather than the parent company; when a parent reports consolidated results it includes the whole subsidiary but shows the noncontrolling slice separately. Think of a company’s subsidiary as a pie where the parent owns most slices but some are held by other investors — noncontrolling interests tell you how much of the pie and its future earnings don’t belong to the parent, which affects how much profit and net assets are truly attributable to the parent’s shareholders.
non-GAAP financial measure financial
"Adjusted EBITDA, which is a non-GAAP financial measure"
A non-GAAP financial measure is a way companies present their financial results that excludes certain expenses or income to show how they believe their core business is performing. It matters because it can give a clearer picture of how the company is really doing, but it can also be used to make results look better than they actually are.
Earnings Snapshot
Net sales: $116.6 million · Guidance included
Third quarter ended September 30, 2026
Net sales
$116.6 million
Down 9% from $128.3 million in the year-ago quarter
Gross profit margin
72.9%
Down 42 basis points from 73.3%
GAAP net income attributable to common shareholders
$1.9 million
Compared with $5.3 million in Q3 2025
Adjusted EBITDA
$11.1 million
Compared with $15.2 million in Q3 2025
Guidance
Full-year 2026 net sales of $460 million to $470 million, compared with prior outlook of $490 million to $500 million; adjusted EBITDA of $44 million to $48 million, compared with prior outlook of $48 million to $52 million.
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What were NATR’s Q3 2026 sales?
Net sales were $116.6 million, down 9% from $128.3 million in the year-ago quarter; excluding foreign-exchange effects, sales decreased 7%.
How much did NATR earn in Q3 2026?
GAAP net income attributable to common shareholders was $1.9 million, or $0.11 per diluted share, versus $5.3 million, or $0.30 per diluted share, in Q3 2025.
What is NATR’s 2026 financial outlook?
Nature’s Sunshine now expects full-year 2026 net sales of $460 million to $470 million and adjusted EBITDA of $44 million to $48 million. The prior ranges were $490 million to $500 million for net sales and $48 million to $52 million for adjusted EBITDA.
AI-generated analysis. How Rhea-AI works. Not financial advice.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): November 4, 2026
(Exact name of registrant specified in its charter)
| (State or other jurisdiction of incorporation) | (Commission File Number) | (I.R.S. Employer Identification No.) | ||||||||||||
(Address of principal executive offices and zip code)
Registrant’s telephone, including area code: (801 ) 341-7900
N/A
(Former name and former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
| Title of each Class | Trading Symbol | Name of each exchange on which registered | ||||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§203.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.
☐
Item 2.02 Results of Operations and Financial Condition.
On November 4, 2026, Nature’s Sunshine Products, Inc. (the “Company”) issued a press release announcing financial results for the third quarter ended September 30, 2026. A copy of the Company’s press release is attached hereto as Exhibit 99.1 and is incorporated herein by reference.
The information furnished pursuant to this Item 2.02 and the exhibit hereto shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), and shall not be deemed to be incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act except as shall be expressly set forth by specific reference in such filing.
The press release furnished herewith makes reference to non-GAAP financial information, which the Company's management believes assists management and investors in evaluating and comparing period-to-period results in a more meaningful and consistent manner. A reconciliation of GAAP to non-GAAP results is provided in the press release.
Item 9.01 Financial Statements and Exhibits
| Item No. | Exhibit | |||||||
| 99.1 | Press release issued by the Company, dated November 4, 2026: Earnings Release. | |||||||
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) | |||||||
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| NATURE’S SUNSHINE PRODUCTS, INC. | ||||||||
| Dated: November 4, 2026 | By: | /s/ Nathan G. Brower | ||||||
| Nathan G. Brower, Executive Vice President, General Counsel and Corporate Secretary | ||||||||
Nature's Sunshine Reports Third Quarter 2026 Results
LEHI, Utah – November 4, 2026 – Nature’s Sunshine Products, Inc. (Nasdaq: NATR) ("Nature’s Sunshine"), a global leader in manufacturing and marketing high-quality herbal and nutritional supplements, reported financial results for the third quarter ended September 30, 2026.
Third Quarter 2026 Financial Summary vs. Same Year-Ago Quarter
•Net sales were down 9% to $116.6 million compared to $128.3 million (down 7% in constant currency).
•Gross profit margin decreased 42 basis points to 72.9% compared to 73.3%.
•GAAP net income attributable to common shareholders was $1.9 million, or $0.11 per diluted common share, compared to $5.3 million, or $0.30 per diluted common share.
•Adjusted EBITDA was $11.1 million compared to $15.2 million.
Management Commentary
"Our third-quarter results were disappointing and fell short of our expectations,” said Ken Romanzi, CEO of Nature’s Sunshine. “We faced several challenges in our business, particularly in China and in our Digital business. In China, operational disruptions have had a more significant impact on our consultant leadership base than we initially anticipated which we have already begun rebuilding. Further, following several quarters of exceptional growth in our Digital business, we are continuing to invest in this critical part of our portfolio to position it for the next phase of growth.
"While our third quarter performance was far from our expectations, our confidence in the long-term potential of Nature's Sunshine remains strong."
Third Quarter 2026 Financial Results
Net Sales by Operating Segment (Amounts in Thousands) | ||||||||||||||||||||||||||||||||
| Three Months Ended September 30, | 2026 | 2025 | Percent Change | Impact of Currency Exchange | Percent Change Excluding Impact of Currency | |||||||||||||||||||||||||||
| Asia | $ | 55,056 | $ | 64,725 | (14.9) | % | $ | (2,437) | (11.2) | % | ||||||||||||||||||||||
| Europe | 22,076 | 22,107 | (0.1) | (227) | 0.9 | |||||||||||||||||||||||||||
| North America | 34,009 | 36,224 | (6.1) | (42) | (6.0) | |||||||||||||||||||||||||||
| Latin America and Other | 5,462 | 5,283 | 3.4 | 182 | (0.1) | |||||||||||||||||||||||||||
| $ | 116,603 | $ | 128,339 | (9.1) | % | $ | (2,524) | (7.2) | % | |||||||||||||||||||||||
Net sales in the third quarter of 2026 decreased 9% to $116.6 million compared to $128.3 million in the same year-ago quarter. Excluding the impact from foreign exchange rates, net sales in the third quarter of 2026 decreased 7% compared to the year-ago quarter.
Gross profit margin in the third quarter of 2026 decreased to 72.9% compared to 73.3% in the year-ago quarter. The decrease is primarily due to unfavorable foreign exchange.
Volume incentives as a percentage of net sales were 32.0% compared to 30.7% in the year-ago quarter. The increase was primarily due to timing of promotional incentives and market mix.
Selling, general and administrative expenses ("SG&A") in the third quarter of 2026 were $42.3 million compared to $45.7 million in the year‐ago quarter. The decrease was primarily related to a reduction in variable selling
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expenses and cost management. As a percentage of net sales, SG&A expenses were 36.3% for the third quarter of 2026 compared to 35.6% in the year-ago quarter.
Operating income in the third quarter of 2026 decreased to $5.3 million, or 4.5% of net sales, compared to $9.0 million, or 7.0% of net sales, in the year-ago quarter.
Other income (expense), net, in the third quarter of 2026 was $0.1 million compared to $0.7 million in the year-ago quarter. The provision for income taxes was $3.5 million in the third quarter of 2026 compared to $4.1 million for the year-ago quarter.
GAAP net income attributable to common shareholders decreased to $1.9 million, or $0.11 per diluted common share, compared to $5.3 million, or $0.30 per diluted common share, in the year-ago quarter. As a result of the December 2025 purchase of noncontrolling interests, there was no net income attributable to NSP China for the third quarter of 2026, compared to $1.0 million, or $0.06 per diluted common share, in the year-ago quarter.
Adjusted EBITDA in the third quarter of 2026 decreased to $11.1 million compared to $15.2 million in the year-ago quarter. Adjusted EBITDA, which is a non-GAAP financial measure, is defined here as net income from continuing operations before taxes, depreciation, amortization, and other income (expense) adjusted to exclude share-based compensation expense and certain noted adjustments. A reconciliation of net income to adjusted EBITDA is provided in the attached financial tables.
Balance Sheet and Cash Flow
Net cash provided by operating activities was $9.7 million for the nine months ended September 30, 2026, compared to $25.4 million in the prior year period. Capital expenditures during the nine months ended September 30, 2026, totaled $6.8 million compared to $4.1 million in the comparable period of 2025. During the nine months ended September 30, 2026, the Company repurchased 345,000 shares at a total cost of $6.1 million or $17.66 per share. As of September 30, 2026, the Company had cash and cash equivalents of $89.4 million and zero debt.
Outlook
Reflecting the impact of a stronger U.S. dollar and recent challenges in the China market, Nature's Sunshine now expects full year 2026 net sales to range between $460 and $470 million ($490 and $500 million prior). Adjusted EBITDA is now expected to range between $44 and $48 million ($48 and $52 million prior).
Conference Call
The Company will hold a conference call today at 5:00 p.m. Eastern time to discuss its third quarter of 2026 results.
Date: Wednesday, November 4, 2026
Time: 5:00 p.m. Eastern time (3:00 p.m. Mountain time)
Toll-free dial-in number: 1-800-717-1738
International dial-in number: 1-646-307-1865
Conference ID: 30563
Please call the conference telephone number 5-10 minutes prior to the start time. An operator will register your name and organization. If you have any difficulty connecting with the conference call, please contact Gateway Group at 1-949-574-3860.
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The conference call will be broadcast live and available for replay here and via the Events section of the Nature’s Sunshine website here.
A replay of the conference call will be available after 8:00 p.m. Eastern time on the same day through Wednesday, November 18, 2026.
Toll-free replay number: 1-844-512-2921
International replay number: 1-412-317-6671
Replay ID: 1130563
About Nature’s Sunshine Products
Nature’s Sunshine Products (Nasdaq: NATR), a leading natural health and wellness company, markets and distributes nutritional and personal care products in more than 40 countries. Nature’s Sunshine manufactures most of its products through its own state-of-the-art facilities to ensure its products continue to set the standard for the highest quality, safety, and efficacy on the market today. Additional information about the company can be obtained at its website, www.naturessunshine.com.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
This press release contains forward-looking statements regarding the Company’s future business expectations, which are subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may include, but are not limited to, statements relating to our objectives, plans, strategies and financial results, including expected improvements in gross profit and gross margin. All statements (other than statements of historical fact) that address activities, events or developments that we intend, expect, project, believe or anticipate will or may occur in the future are forward-looking statements. These statements are often characterized by terminology such as “believe,” “hope,” “may,” “anticipate,” “should,” “intend,” “plan,” “will,” “expect,” “estimate,” “project,” “positioned,” “strategy” and similar expressions, and are based on assumptions and assessments made in light of our experience and perception of historical trends, current conditions, expected future developments and other factors we believe to be appropriate. Forward-looking statements are not guarantees of future performance and are subject to risks and uncertainties, including the following:
•failure to comply with laws and regulations relating to trade restrictions and export controls;
•laws and regulations regarding direct selling that may prohibit or restrict our ability to sell our products in some markets or require us to make changes to our business model in some markets;
•corrective or remedial actions involving independent sales representatives that may disrupt their sales organizations or adversely affect our sales and results of operations;
•current and potential future extensive government regulations to which the Company’s products, business practices and manufacturing activities are subject;
•registration of products for sale in foreign markets, or difficulty or increased cost of importing products into foreign markets;
•legal challenges to the Company’s direct selling program or to the classification of its independent consultants;
•failure of the Company’s independent consultants to comply with advertising laws;
•product liability claims;
•impact of anti-bribery laws, including the U.S. Foreign Corrupt Practices Act;
•the Company’s ability to attract and retain independent consultants;
•the loss of one or more key independent consultants who have a significant sales network;
•potential for liability relating to the Company’s full ownership of its China business;
•the effect of fluctuating foreign exchange rates;
•liabilities and obligations arising from improper activity by the Company’s independent consultants;
3
•changes to the Company’s independent consultant compensation plans;
•geopolitical issues, conflicts or other global events;
•negative consequences resulting from difficult economic conditions, including the availability of liquidity or the willingness of the Company’s consumers to purchase products;
•risks associated with the manufacturing of the Company’s products;
•supply chain disruptions, manufacturing interruptions or delays or the failure to accurately forecast consumer demand;
•failure to timely and effectively obtain shipments of products from our suppliers and deliver products to our independent consultants and consumers;
•uncertainties relating to the application of transfer pricing, duties, value-added taxes and other tax regulations, and changes thereto;
•failure to maintain an effective system of internal controls over financial reporting;
•cybersecurity threats and exposure to data loss;
•the storage, processing and use of data, some of which contain personal information, are subject to complex and evolving privacy and data protection laws and regulations;
•reliance on information technology infrastructure; and
•the sufficiency of trademarks and other intellectual property rights.
These and other risks and uncertainties that could cause actual results to differ from predicted results are more fully detailed under the caption “Risk Factors” in our reports filed with the Securities and Exchange Commission, including our Annual Report on Form 10-K and Quarterly Reports filed on Form 10-Q.
All forward-looking statements speak only as of the date of this press release and are expressly qualified in their entirety by the cautionary statements included in or incorporated by reference into this press release. Except as is required by law, the Company expressly disclaims any obligation to publicly release any revisions to forward-looking statements to reflect events after the date of this press release.
Non-GAAP Financial Measures
We have included information which has not been prepared in accordance with generally accepted accounting principles (GAAP), such as information concerning non-GAAP net income, adjusted EBITDA and net sales excluding the impact of foreign currency exchange fluctuations.
We believe that these non-GAAP measures provide investors with greater transparency to evaluate operational activities and financial results and facilitate consistent comparisons to the historical operating performance of prior periods. We utilize these non-GAAP measures of non-GAAP net income and adjusted EBITDA in the evaluation of our operations and believe that these measures are useful indicators of our operating performance and ability to fund our business. These non-GAAP financial measures should not be considered as an alternative to, or more meaningful than, U.S. GAAP net income (loss) as an indicator of our operating performance.
Other companies may use the same or similarly named measures, but exclude different items, which may not provide investors with a comparable view of Nature’s Sunshine Products’ performance in relation to other companies. We have included a reconciliation of net income, the most comparable GAAP measure, to adjusted EBITDA. We have also included a reconciliation of GAAP net income to non-GAAP net income and non-GAAP adjusted EPS, in the attached financial tables.
Net sales in local currency removes, from net sales in U.S. dollars, the impact of changes in exchange rates between the U.S. dollar and the functional currencies of our foreign subsidiaries. This is accomplished by translating the current period's net sales into U.S. dollars using the same foreign currency exchange rates that were used to translate the net sales for the previous comparable period.
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We believe presenting the impact of foreign currency fluctuations is useful to investors because it allows a more meaningful comparison of net sales of our foreign operations from period to period. Net sales excluding the impact of foreign currency fluctuations should not be considered in isolation or as an alternative to net sales in U.S. dollar measures that reflect current period exchange rates, or to other financial measures calculated and presented in accordance with U.S. GAAP.
With respect to our adjusted EBITDA outlook for the full year 2026, a quantitative reconciliation to the corresponding GAAP information cannot be provided without unreasonable effort because of the inherent difficulty of accurately forecasting the occurrence and financial impact of the various adjusting items necessary for such reconciliation that have not yet occurred, are out of our control, or cannot be reasonably predicted, including stock based compensation and other potential adjustments. For the same reasons, we are unable to assess the probable significance of the unavailable information, which could have a material impact on our future GAAP financial results.
Investor Relations:
Gateway Group, Inc.
Cody Slach
1-949-574-3860
NATR@gateway-grp.com
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NATURE’S SUNSHINE PRODUCTS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(Amounts in thousands, except per share information)
(Unaudited)
| Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| Net sales | $ | 116,603 | $ | 128,339 | $ | 356,480 | $ | 356,337 | |||||||||||||||
| Cost of sales | 31,641 | 34,290 | 95,367 | 98,392 | |||||||||||||||||||
| Gross profit | 84,962 | 94,049 | 261,113 | 257,945 | |||||||||||||||||||
| Operating expenses: | |||||||||||||||||||||||
| Volume incentives | 37,365 | 39,348 | 110,075 | 108,552 | |||||||||||||||||||
| Selling, general and administrative | 42,315 | 45,726 | 130,730 | 129,972 | |||||||||||||||||||
| Operating income | 5,282 | 8,975 | 20,308 | 19,421 | |||||||||||||||||||
| Other income (expense): | |||||||||||||||||||||||
| Interest and other income, net | 101 | 51 | 336 | 524 | |||||||||||||||||||
| Interest expense | (30) | (26) | (118) | (71) | |||||||||||||||||||
| Foreign exchange gains (losses), net | 15 | 672 | (1,637) | 4,451 | |||||||||||||||||||
| 86 | 697 | (1,419) | 4,904 | ||||||||||||||||||||
| Income before provision for income taxes | 5,368 | 9,672 | 18,889 | 24,325 | |||||||||||||||||||
| Provision for income taxes | 3,478 | 4,137 | 8,343 | 8,387 | |||||||||||||||||||
| Net income | 1,890 | 5,535 | 10,546 | 15,938 | |||||||||||||||||||
| Net income attributable to noncontrolling interests | — | 201 | — | 524 | |||||||||||||||||||
| Net income attributable to common shareholders | $ | 1,890 | $ | 5,334 | $ | 10,546 | $ | 15,414 | |||||||||||||||
| Basic and diluted net income per common share: | |||||||||||||||||||||||
| Basic earnings per share attributable to common shareholders | $ | 0.11 | $ | 0.30 | $ | 0.60 | $ | 0.85 | |||||||||||||||
| Diluted earnings per share attributable to common shareholders | $ | 0.11 | $ | 0.30 | $ | 0.59 | $ | 0.83 | |||||||||||||||
| Weighted average basic common shares outstanding | 17,519 | 17,638 | 17,553 | 18,174 | |||||||||||||||||||
| Weighted average diluted common shares outstanding | 17,870 | 18,034 | 17,906 | 18,563 | |||||||||||||||||||
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NATURE’S SUNSHINE PRODUCTS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(Amounts in thousands)
(Unaudited)
| September 30, 2026 | December 31, 2025 | ||||||||||
| Assets | |||||||||||
| Current assets: | |||||||||||
| Cash and cash equivalents | $ | 89,377 | $ | 93,891 | |||||||
Accounts receivable, net of allowance for doubtful accounts of $60 and $69, respectively | 18,325 | 8,602 | |||||||||
| Inventories | 71,289 | 68,312 | |||||||||
| Prepaid expenses and other | 9,394 | 8,040 | |||||||||
| Total current assets | 188,385 | 178,845 | |||||||||
| Property, plant and equipment, net | 29,701 | 32,915 | |||||||||
| Operating lease right-of-use assets | 19,023 | 17,600 | |||||||||
| Restricted investment securities - trading | 1,225 | 1,132 | |||||||||
| Deferred income tax assets | 19,328 | 20,068 | |||||||||
| Other assets | 10,570 | 10,586 | |||||||||
| Total assets | $ | 268,232 | $ | 261,146 | |||||||
| Liabilities and Shareholders’ Equity | |||||||||||
| Current liabilities: | |||||||||||
| Accounts payable | $ | 8,151 | $ | 8,021 | |||||||
| Accrued volume incentives and service fees | 25,758 | 22,624 | |||||||||
| Accrued liabilities | 27,523 | 34,080 | |||||||||
| Deferred revenue | 5,910 | 5,840 | |||||||||
| Income taxes payable | 1,577 | 4,703 | |||||||||
| Current portion of operating lease liabilities | 4,569 | 3,270 | |||||||||
| Total current liabilities | 73,488 | 78,538 | |||||||||
| Liability related to unrecognized tax benefits | 1,748 | 428 | |||||||||
| Long-term portion of operating lease liabilities | 16,459 | 15,630 | |||||||||
| Deferred compensation payable | 1,225 | 1,132 | |||||||||
| Deferred income tax liabilities | 1,069 | 954 | |||||||||
| Other liabilities | 2,561 | 2,911 | |||||||||
| Total liabilities | 96,550 | 99,593 | |||||||||
| Shareholders’ equity: | |||||||||||
Common stock, no par value, 50,000 shares authorized, 17,386 and 17,508 shares issued and outstanding, respectively | 99,179 | 102,192 | |||||||||
| Retained earnings | 87,474 | 76,928 | |||||||||
| Accumulated other comprehensive loss | (14,971) | (17,567) | |||||||||
| Total shareholders’ equity | 171,682 | 161,553 | |||||||||
| Total liabilities and shareholders’ equity | $ | 268,232 | $ | 261,146 | |||||||
7
NATURE’S SUNSHINE PRODUCTS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Amounts in thousands)
(Unaudited)
| Nine Months Ended September 30, | 2026 | 2025 | ||||||||||||
| CASH FLOWS FROM OPERATING ACTIVITIES: | ||||||||||||||
| Net income | $ | 10,546 | $ | 15,938 | ||||||||||
| Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||||||||
| Depreciation and amortization | 9,735 | 10,538 | ||||||||||||
| Non-cash lease expense | 3,123 | 3,792 | ||||||||||||
| Share-based compensation expense | 5,585 | 4,223 | ||||||||||||
| Deferred income taxes | 1,012 | (2,104) | ||||||||||||
| Purchase of trading investment securities | (220) | (94) | ||||||||||||
| Proceeds from sale of trading investment securities | 287 | 14 | ||||||||||||
| Realized and unrealized gains on investments | (161) | (112) | ||||||||||||
| Foreign exchange (gains) losses | 1,637 | (4,451) | ||||||||||||
| Changes in assets and liabilities: | ||||||||||||||
| Accounts receivable | (9,507) | (5,254) | ||||||||||||
| Inventories | (2,900) | (6,428) | ||||||||||||
| Prepaid expenses and other current assets | (1,334) | (1,323) | ||||||||||||
| Other assets | 398 | (465) | ||||||||||||
| Accounts payable | 525 | (2,401) | ||||||||||||
| Accrued volume incentives and service fees | 2,751 | 4,165 | ||||||||||||
| Accrued liabilities | (7,219) | 5,412 | ||||||||||||
| Deferred revenue | (226) | 4,615 | ||||||||||||
| Lease liabilities | (2,421) | (3,883) | ||||||||||||
| Income taxes payable | (3,286) | 2,814 | ||||||||||||
| Liability related to unrecognized tax benefits | 1,320 | 235 | ||||||||||||
| Deferred compensation payable | 94 | 192 | ||||||||||||
| Net cash provided by operating activities | 9,739 | 25,423 | ||||||||||||
| CASH FLOWS FROM INVESTING ACTIVITIES: | ||||||||||||||
| Purchases of property, plant and equipment | (6,793) | (4,143) | ||||||||||||
| Net cash used in investing activities | (6,793) | (4,143) | ||||||||||||
| CASH FLOWS FROM FINANCING ACTIVITIES: | ||||||||||||||
| Proceeds from revolving credit facility | 30,935 | 1,823 | ||||||||||||
| Principal payments of revolving credit facility | (30,935) | (1,823) | ||||||||||||
| Payments related to tax withholding for net-share settled equity awards | (2,502) | (872) | ||||||||||||
| Repurchase of common stock | (6,096) | (14,376) | ||||||||||||
| Net cash used in financing activities | (8,598) | (15,248) | ||||||||||||
| Effect of exchange rates on cash and cash equivalents | 1,138 | 4,822 | ||||||||||||
| Net increase (decrease) in cash and cash equivalents | (4,514) | 10,854 | ||||||||||||
| Cash and cash equivalents at the beginning of the period | 93,891 | 84,700 | ||||||||||||
| Cash and cash equivalents at the end of the period | $ | 89,377 | $ | 95,554 | ||||||||||
| SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: | ||||||||||||||
| Cash paid for income taxes, net of refunds | $ | 9,457 | $ | 7,699 | ||||||||||
| Cash paid for interest | 118 | 71 | ||||||||||||
8
NATURE’S SUNSHINE PRODUCTS, INC. AND SUBSIDIARIES
RECONCILIATION OF NET INCOME TO ADJUSTED EBITDA
(Amounts in thousands)
(Unaudited)
| Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
Net income | $ | 1,890 | $ | 5,535 | $ | 10,546 | $ | 15,938 | |||||||||||||||
Adjustments: | |||||||||||||||||||||||
Depreciation and amortization | 3,211 | 3,539 | 9,735 | 10,538 | |||||||||||||||||||
Share-based compensation expense | 1,955 | 1,285 | 5,585 | 4,223 | |||||||||||||||||||
Other (income) expense, net* | (86) | (697) | 1,419 | (4,904) | |||||||||||||||||||
Provision for income taxes | 3,478 | 4,137 | 8,343 | 8,387 | |||||||||||||||||||
Other adjustments (1) | 689 | 1,386 | 1,419 | 3,239 | |||||||||||||||||||
Adjusted EBITDA | $ | 11,137 | $ | 15,185 | $ | 37,047 | $ | 37,421 | |||||||||||||||
(1) Other adjustments | |||||||||||||||||||||||
Other non-recurring expenses | $ | 689 | $ | 1,386 | $ | 1,419 | $ | 3,239 | |||||||||||||||
Total adjustments | $ | 689 | $ | 1,386 | $ | 1,419 | $ | 3,239 | |||||||||||||||
* Other (income) expense, net is primarily comprised of foreign exchange (gains) losses, interest income, and interest expense.
NATURE’S SUNSHINE PRODUCTS, INC. AND SUBSIDIARIES
RECONCILIATION OF GAAP NET INCOME TO
NON-GAAP NET INCOME and NON-GAAP ADJUSTED EPS
(Amounts in thousands)
(Unaudited)
| Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
Net income | $ | 1,890 | $ | 5,535 | $ | 10,546 | $ | 15,938 | |||||||||||||||
Adjustments: | |||||||||||||||||||||||
Other non-recurring expenses | 689 | 1,386 | 1,419 | 3,239 | |||||||||||||||||||
| Tax impact of adjustments | (172) | (347) | (355) | (810) | |||||||||||||||||||
| Total adjustments | 517 | 1,039 | 1,064 | 2,429 | |||||||||||||||||||
| Non-GAAP net income | $ | 2,407 | $ | 6,574 | $ | 11,610 | $ | 18,367 | |||||||||||||||
Reported income attributable to common shareholders | $ | 1,890 | $ | 5,334 | $ | 10,546 | $ | 15,414 | |||||||||||||||
Total adjustments | 517 | 1,039 | 1,064 | 2,429 | |||||||||||||||||||
Non-GAAP net income attributable to common shareholders | $ | 2,407 | $ | 6,373 | $ | 11,610 | $ | 17,843 | |||||||||||||||
| Basic income per share, as reported | $ | 0.11 | $ | 0.30 | $ | 0.60 | $ | 0.85 | |||||||||||||||
Total adjustments, net of tax | 0.03 | 0.06 | 0.06 | 0.13 | |||||||||||||||||||
Basic income per share, as adjusted | $ | 0.14 | $ | 0.36 | $ | 0.66 | $ | 0.98 | |||||||||||||||
Diluted income per share, as reported | $ | 0.11 | $ | 0.30 | $ | 0.59 | $ | 0.83 | |||||||||||||||
Total adjustments, net of tax | 0.03 | 0.06 | 0.06 | 0.13 | |||||||||||||||||||
Diluted income per share, as adjusted | $ | 0.14 | $ | 0.36 | $ | 0.65 | $ | 0.96 | |||||||||||||||
9