Natural Health Trends released its first quarter financial report for 2024, reporting revenue of $11 million, a decrease of 8% from the previous year’s quarter. Net income was $188,000 with an operating loss of $365,000. Active Members declined 2% sequentially and 18% year over year.
The company did experience an 11% increase in customer orders during the quarter, the first time in six years that first quarter orders exceeded the preceding fourth quarter’s orders.
“Our financial results reflect a $1.0 million increase in deferred revenue which resulted in a revenue decrease when compared to the same period last year,” said Chris Sharng, Natural Health Trends Corp. President. “We anticipate the gradual recognition of this deferred revenue in the coming months as we fulfill orders to our customers. Worth highlighting is that this period marks the first time in six years we accomplished a sequential increase in orders taken during the first quarter. Additionally, we achieved positive cash flows from operations, underscoring the underlying strength of our business model and strong balance sheet. While guardedly optimistic about the start to the Year of the Dragon, we think these results are indicative of the effectiveness of our current programs. We continue to focus on innovation, customer satisfaction, supporting our leaders and their development and improving operational efficiency as we navigate our forward progress.”
The company ended the quarter with total cash, cash equivalents and marketable securities of $54.4 million, down from $56.2 million in Q4 2023.
