Nu Skin Up 7%, USANA Down 6.5% in Q1
Nu Skin Enterprises, Inc. (NYSE: NUS) and USANA Health Sciences, Inc. (NYSE: USNA) announced first quarter 2019 results.
Nu Skin reported first quarter 2019 net sales of $623.6 million, a 7 percent increase over to $616.2 million for the prior-year period.
Regionally, net sales in Mainland China were up 12 percent, helped in part by the successful launch of LumiSpa in December saw momentum continue through Q1. Net sales were up 5 percent in Southeast Asia; 2 percent in Americas/Pacific; and 1 percent in EMEA.
“We are encouraged by the positive start to the year, which began with a strong first quarter highlighted by 7 percent local-currency growth,” said Ritch Wood, chief executive officer. “We were particularly pleased with local-currency revenue growth in nearly all our reporting segments, highlighted by 12 percent growth in Mainland China and 5 percent growth in Southeast Asia, or 6 percent and 2 percent on a reported basis, respectively. We continue to focus our global efforts on expanding our customer base through our Nu Skin growth strategy, which helped to drive a 10 percent increase in customers during the quarter.”
To read the full Nu Skin Q1 2019 report, click here.
USANA
USANA Health Sciences reported first quarter 2019 net sales of $273.0 million, compared with $292.0 million in the prior-year period, or a 6.5 percent decrease year-over-year.
Within Asia Pacific, net sales decreased 8.7 percent in Greater China; decreased 3.0 percent in Southeast Asia Pacific; and increased 22.9 percent in North Asia. Net sales in the Americas and Europe region decreased by 13.0 percent to $52.1 million for the first quarter of 2019, primarily due to an 8.6 percent decrease in active customers.
“As we reported in early April, three factors unfavorably affected our sales results for the first quarter of 2019,” said Kevin Guest, chief executive officer. “First, our 2019 operating plan contained very little promotional activity during the first quarter but calls for increasing promotional activity as the year progresses. This had a more significant impact on our global momentum than we anticipated, particularly during the seasonal slow-down that we experience each year in many of our markets during Chinese New Year. Second, the Chinese government’s 100-day review of the health product and direct selling industries that occurred during the quarter was accompanied by unexpected, persistent, negative media coverage about these industries in China. This media coverage affected our sales in China for the quarter. Finally, the unfavorable impact of a stronger U.S. dollar on net sales was also significant.”
To read the full USANA Q1 2019 report, click here.