Nu Skin Enterprises Inc. announced its financial results for the fourth quarter and full-year 2024. Revenue for 2024 reached $1.73 billion, a 12% decline from 2023. This decrease was offset by Rhyz revenue in 2024, which increased by 32.3% to $286.6 million.
Fourth quarter revenue was $445.6 million, down 8.8% from the fourth quarter of 2023. Customers during the quarter totaled 831,972, which represented a 15% decrease year-over-year. Paid Affiliates also declined (13%) year-over-year to 144,874, as did Sales Leaders (16%) to 36,912.
“We were pleased to beat our fourth quarter revenue guidance, generate sequential revenue growth and exceed our adjusted earnings as we materially completed our restructuring plan,” said Ryan Napierski, Nu Skin President and CEO. “As we look ahead to 2025, we anticipate improving business trends and a return to year-over-year growth in several of our markets but also anticipate continued economic challenges and poor consumer sentiment, particularly in Greater China and South Korea.”
The company stated that its 2025 focus would be on strengthening its core Nu Skin business with a continued rollout of its enhanced sales performance compensation plan in a number of markets, particularly in developing markets like Latin America. The company’s strategic transaction of Mavely for $250 million strengthened the company’s balance sheet and “underscored the value of Rhyz to incubate and scale meaningful business.”
Gross margin for Nu Skin business in 2024 was 67.5% (76.6% excluding inventory write-off) compared to 77.4% in 2023. Selling expenses remained stable at 37.1%, while “other income” increased to $1.1 million, compared to $0.6 million in 2023.
The company now forecasts Q1 2025 revenue between $345 million to $365 million with full-year 2025 revenue expected between $1.48 billion to $1.62 billion.
“We are encouraged by our recent progress in strengthening our business by driving sequential growth in our core Nu Skin business, improving operational efficiencies and delivering strong cash flow,” said James D. Thomas, Nu Skin Chief Financial Officer. “As we look ahead to 2025, our annual revenue guidance is $1.48 to $1.62 billion, with an approximate 3% foreign currency headwind. We anticipate reported EPS of $3.45 to $3.85 and growth in our adjusted EPS, which we estimate to be $0.90 to $1.30, excluding the gain from the sale of Mavely. For the first quarter, which is typically our lowest quarter due to seasonality of our business, we project revenue of $345 to $365 million. This assumes a negative foreign currency impact of approximately 3%, with reported earnings per share of $2.65 to $2.75 or $0.10 to $0.20, excluding the gain from the sale of Mavely. As we’ve executed on our restructuring plan and improved our cost structure, we are better positioned to execute our strategy and drive earnings growth in 2025.”
