Natural Health Trends 2018 Q3 Revenue Up 17% To $47 Million

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, recently announced its financial results for the third quarter ended September 30, 2018.

Third Quarter2018 Financial Highlights:

• Total revenue of $47.0 million increased 17% compared to $40.1 million in the third quarter of 2017, and decreased 8% compared to $50.9 million in the second quarter of 2018.
• Revenue from the Company’s Hong Kong operations, which represented 88% of total revenue, was $41.4 million, an increase of 18% compared to $35.0 million in the third quarter of 2017.
• Revenue outside of Hong Kong of $5.6 million increased 10% compared to $5.1 million in the third quarter of 2017.
• Gross profit was $37.1 million compared to $31.9 million in the third quarter of 2017, and $40.5 million in the second quarter of 2018. As a percent of total revenue, gross profit was 79% compared to 80% in the third quarter of 2017 and 80% in the second quarter of 2018.
• Operating income was $7.8 million compared to $8.5 million in the third quarter of 2017, and $10.1 million in the second quarter of 2018. As a percent of total revenue, operating income was 17% compared to 21% in the third quarter of 2017 and 20% in the second quarter of 2018.
• Net income was $7.6 million, or $0.67 per diluted share, compared to net income of $7.3 million, or $0.65 per diluted share, in the third quarter of 2017, and $9.0 million, or $0.80 per diluted share, in the second quarter of 2018.
• The number of Active Members¹ increased 4% to 97,160 at September 30, 2018, compared to 93,000 at June 30, 2018, and decreased 3% compared to 99,690 at September 30, 2017.

Year-to-Date 2018 Financial Highlights

• Total revenue of $150.3 million decreased 1% compared to $151.5 million in the first nine months of 2017.
• Gross profit was $119.8 million compared to $122.3 million in the first nine months of 2017. As a percent of total revenue, gross profit was 80% compared to 81% in the first nine months of 2018.
• Operating income was $28.0 million compared to $34.4 million in the first nine months of 2017.  As a percent of total revenue, operating income was 19% compared to 23% in the first nine months of 2017.
• Net income was $25.5 million, or $2.25 per diluted share, compared to net income of $28.1 million, or $2.49 per diluted share, in the first nine months of 2017.

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.