Photo: The Nu Skin Innovation Center at the company’s Provo, Utah, headquarters.
Annual sales slipped 2 percent at Nu Skin Enterprises Inc. (NUS—NYSE), the beauty and wellness company said Thursday.
Revenue totaled $2.21 billion in 2016, compared to the prior year’s $2.25 billion. Factoring out the impact of currency exchange, overall revenue was flat. Earnings increased from $2.25 to $2.55 per share.
“We made significant progress executing our 2016 priorities, including growing in China, successfully launching our ageLOC Me and ageLOC Youth products, and finalizing development of our upcoming LumiSpa product,” said Truman Hunt, President and CEO. “We believe these steps have positioned us for growth in 2017 and beyond.”
In the fourth quarter, revenue was $531.3 million, down from $572.2 million a year earlier. The comparison reflects about $50 million in revenue from a large-scale product launch in the fourth quarter of 2015. Additionally, in the most recent quarter, the company deferred $7 million in revenue from higher-than-expected sales of ageLOC Me in China.
Quarterly sales fell 7 percent in Greater China, Nu Skin’s largest segment. The company also reported declines of 25 percent in the Americas, 6 percent in South Asia and 4 percent in North Asia, while EMEA (Europe, Middle East and Africa) revenue rose 21 percent.
The Provo, Utah-based company posted a profit of 69 cents per share, versus 62 cents a year ago. On an adjusted basis, earnings came to 79 cents per share, narrowly missing the 80 cents predicted by analysts in a survey by Zacks Investment Research.
In 2017, management expects full-year earnings to be $3.10 to $3.25 per share, with revenue in the range of $2.26 billion to $2.3 billion.