PROVO, Utah, Nov. 2, 2022 /PRNewswire/ -- Nu Skin Enterprises, Inc. (NYSE: NUS) today announced third quarter 2022 results.
Executive Summary
Q3 2022 vs. Prior-year Quarter
Revenue: |
$537.8 million; (16)% • (7)% FX impact or $(47) million |
Earnings Per Share (EPS): |
$(0.51) or $0.47 excluding restructuring and impairment charges |
Customers: |
1,239,384; (11)% |
Paid Affiliates: |
243,276; (11)% |
Sales Leaders: |
49,824; (22)% |
"Our third quarter results were impacted more than anticipated by worsening macro headwinds, including prolonged COVID-related disruptions in Mainland China, slowdown in South Korea, persistent global inflation and excessive foreign currency pressure," said Ryan Napierski, Nu Skin president and CEO. "Despite the challenging macro environment, we further strengthened our position as the world's leading beauty device system company by introducing our connected ageLOC® LumiSpa® iO. This introduction, which continues in the fourth quarter, along with the expansion of ageLOC® Meta and Beauty Focus Collagen+ products and further advancement of our social commerce initiatives, helped us deliver constant-currency growth in four of our reporting segments. The growth was led by Southeast Asia/Pacific and our tenth consecutive quarter of growth in our U.S. market. Japan and our Taiwan/Hong Kong segments grew in constant currency, with reported currency declines due to unfavorable foreign currency.
"We remain focused on Nu Vision 2025 for driving long-term growth and shareholder value as we continue executing against the core elements including the introduction of EmpowerMe, our personalized beauty and wellness strategy, expansion of our affiliate-powered social commerce business model, and the enhancement of our digital platform. With more challenging macro conditions expected over the near to mid-term, we are pursuing a more aggressive tactical approach to our previously indicated restructuring to better align capabilities, resources and operational efficiencies. While these decisions are never easy, the moves we are making will place us in a stronger financial position going forward."
Q3 2022 Year-over-year Operating Results
Revenue: |
$537.8 million compared to $641.2 million • (7)% FX impact or $(47) million |
Gross Margin: |
67.7% or 72.7% excluding restructuring and impairment charges, compared to 75.2% • Impacted by geographic footprint, foreign currency and global inflationary pressures • Nu Skin business was 73.0% or 76.7% excluding restructuring and impairment charges, compared to 78.6% |
Selling Expenses: |
40.3%, compared to 40.6% • Nu Skin business was 43.5%, compared to 43.5% |
G&A Expenses: |
25.7%, compared to 24.4% |
Operating Margin: |
(3.8)% or 6.8% excluding restructuring and impairment charges, compared to 10.2% |
Other Income / (Expense): |
$(8.7) million or $(5.4) million excluding charges associated with our Q4 2021 exit from Grow Tech, compared to $2.8 million |
Income Tax Rate: |
12.3% or 24.0% excluding restructuring and impairment charges, compared to 27.0% |
EPS: |
$(0.51) or $0.47 excluding restructuring and impairment charges, compared to $0.97 |
Stockholder Value
Dividend Payments: |
$19.3 million |
Stock Repurchases: |
$40.0 million • $185.4 million remaining in authorization |
Q4 and Full-year 2022 Outlook
Q4 2022 Revenue: |
$500 to $550 million; (26) to (18)% • Approximately (8) to (10)% FX impact |
Q4 2022 EPS: |
$0.30 to $0.50 or $0.40 to $0.60 non-GAAP |
2022 Revenue: |
$2.20 to $2.25 billion; (18) to (16)% • Approximately (5) to (7)% FX impact |
2022 EPS: |
$1.25 to $1.45 or $2.40 to $2.60 non-GAAP |
"Anticipating that the challenging global macro pressures persist, our 2022 revenue guidance is expected to be $2.20 to $2.25 billion, with an approximate 5 to 7 percent foreign currency headwind," said Mark Lawrence, chief financial officer. "We anticipate reported EPS of $1.25 to $1.45 or $2.40 to $2.60 excluding charges associated with the second-half restructuring and impairment charges and our Q4 2021 exit from Grow Tech. For the fourth quarter, we project revenue of $500 to $550 million, assuming a negative foreign currency impact of approximately 8 to 10 percent, with reported earnings per share of $0.30 to $0.50 or $0.40 to $0.60 when excluding an anticipated fourth-quarter restructuring and impairment charge of approximately $7 to $10 million."
Conference Call
The Nu Skin Enterprises management team will host a conference call with the investment community today at 5 p.m. (ET). Those wishing to access the webcast, as well as the financial information presented during the call, can visit the Investor Relations page on the company's website at ir.nuskin.com. A replay of the webcast will be available on the same page through Nov. 16, 2022.
About Nu Skin Enterprises, Inc.
Nu Skin Enterprises, Inc. (NYSE: NUS) is a global integrated beauty and wellness company, powered by a dynamic affiliate opportunity platform. The company helps people look, feel and live their best with products that combine the best of science, technology and nature. Backed by more than 35 years of scientific research, Nu Skin develops innovative products including Nu Skin® personal care, Pharmanex® nutrition and the ageLOC® anti-aging brand which includes an award-winning line of beauty device systems. Nu Skin operates in approximately 50 markets worldwide in the Americas, Asia, Europe, Africa and the Pacific. Rhyz Inc. is the company's strategic investment arm that includes a collection of technology and manufacturing companies to support growth in the core Nu Skin business. Nu Skin is committed to sustainability, including global initiatives such as transitioning to reduced and sustainable packaging for all products by 2030. The Nu Skin Force for Good Foundation also strives to improve children's health, education and economic circumstances throughout the world. For more information, visit nuskin.com.
Important Information Regarding Forward-Looking Statements: This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, that represent the company's current expectations and beliefs. All statements other than statements of historical fact are "forward-looking statements" for purposes of federal and state securities laws and include, but are not limited to, statements of management's expectations regarding the company's performance, growth, shareholder value, financial position, strategies, vision, transformation, initiatives, product pipeline and product introductions, digital and social-commerce tools and initiatives, customers, sales leaders, affiliates, and operational improvements; projections regarding revenue, expenses, operating income, earnings per share, foreign currency fluctuations, uses of cash and other financial items; statements of belief; and statements of assumptions underlying any of the foregoing. In some cases, you can identify these statements by forward-looking words such as "believe," "expect," "anticipate," "project," "continue," "outlook," "guidance," "remain," "become," "plan," "potential," "expand," "will," "would," "could," "may," "might," the negative of these words and other similar words.
The forward-looking statements and related assumptions involve risks and uncertainties that could cause actual results and outcomes to differ materially from any forward-looking statements or views expressed herein. These risks and uncertainties include, but are not limited to, the following:
- risk that epidemics, including the ongoing COVID-19 pandemic, and other crises could negatively impact our business;
- adverse publicity related to the company's business, products, industry or any legal actions or complaints by the company's sales force or others;
- risk that direct selling laws and regulations in any of the company's markets, including the United States and Mainland China, may be modified, interpreted or enforced in a manner that results in negative changes to the company's business model or negatively impacts its revenue, sales force or business, including through the interruption of sales activities, loss of licenses, increased scrutiny of sales force actions, imposition of fines, or any other adverse actions or events;
- any failure of current or planned initiatives or products to generate interest among the company's sales force and customers and generate sponsoring and selling activities on a sustained basis;
- political, legal, tax and regulatory uncertainties, including trade policies, associated with operating in Mainland China and other international markets;
- uncertainty regarding meeting restrictions and other government scrutiny in Mainland China, as well as negative media and consumer sentiment in Mainland China on our business operations and results;
- risk of foreign-currency fluctuations and the currency translation impact on the company's business associated with these fluctuations;
- uncertainties regarding the future financial performance of the businesses the company has acquired;
- risks related to accurately predicting, delivering or maintaining sufficient quantities of products to support planned initiatives or launch strategies, and increased risk of inventory write-offs if the company over-forecasts demand for a product or changes its planned initiatives or launch strategies;
- regulatory risks associated with the company's products, which could require the company to modify its claims or inhibit its ability to import or continue selling a product in a market if the product is determined to be a medical device or if the company is unable to register the product in a timely manner under applicable regulatory requirements;
- unpredictable economic conditions and events globally;
- the company's future tax-planning initiatives; any prospective or retrospective increases in duties or tariffs on the company's products imported into the company's markets outside of the United States; and any adverse results of tax audits or unfavorable changes to tax laws in the company's various markets; and
- continued competitive pressures in the company's markets.
The company's financial performance and the forward-looking statements contained herein are further qualified by a detailed discussion of associated risks set forth in the documents filed by the company with the Securities and Exchange Commission. The forward-looking statements set forth the company's beliefs as of the date that such information was first provided, and the company assumes no duty to update the forward-looking statements contained in this release to reflect any change except as required by law.
Non-GAAP Financial Measures: Constant-currency revenue change is a non-GAAP financial measure that removes the impact of fluctuations in foreign-currency exchange rates, thereby facilitating period-to-period comparisons of the company's performance. It is calculated by translating the current period's revenue at the same average exchange rates in effect during the applicable prior-year period and then comparing that amount to the prior-year period's revenue. The company believes that constant-currency revenue change is useful to investors, lenders and analysts because such information enables them to gauge the impact of foreign-currency fluctuations on the company's revenue from period to period.
Earnings per share, gross margin, operating margin, other income (expense), and income tax rate, each excluding restructuring and impairment charges and/or charges associated with our Grow Tech exit, also are non-GAAP financial measures. Restructuring and impairment charges and charges associated with our Grow Tech exit are not part of the ongoing operations of our underlying business. The company believes that these non-GAAP financial measures are useful to investors, lenders and analysts because removing the impact of restructuring and impairment charges and charges associated with our Grow Tech exit facilitates period-to-period comparisons of the company's performance. Please see the reconciliations of these items to our earnings per share and other income (expense) calculated under GAAP, below.
The following table sets forth revenue for the three-month periods ended September 30, 2022 and 2021 for each of our reportable segments (U.S. dollars in thousands):
Three Months Ended September 30, |
Constant-Currency |
||||||||||
2022 |
2021 |
Change |
Change |
||||||||
Nu Skin |
|||||||||||
Americas |
$ |
131,591 |
$ |
131,482 |
— |
3 % |
|||||
Mainland China |
75,151 |
134,291 |
(44) % |
(41) % |
|||||||
Southeast Asia/Pacific |
83,502 |
79,081 |
6 % |
12 % |
|||||||
South Korea |
67,237 |
91,989 |
(27) % |
(15) % |
|||||||
Japan |
53,276 |
65,117 |
(18) % |
3 % |
|||||||
EMEA |
45,099 |
55,839 |
(19) % |
(6) % |
|||||||
Hong Kong/Taiwan |
39,587 |
39,921 |
(1) % |
6 % |
|||||||
Nu Skin other |
496 |
1,672 |
(70) % |
(70) % |
|||||||
Total Nu Skin |
495,939 |
599,392 |
(17) % |
(9) % |
|||||||
Rhyz Investments |
|||||||||||
Manufacturing |
41,328 |
41,635 |
(1) % |
(1) % |
|||||||
Rhyz other |
538 |
125 |
330 % |
330 % |
|||||||
Total Rhyz Investments |
41,866 |
41,760 |
— |
— |
|||||||
Total |
$ |
537,805 |
$ |
641,152 |
(16) % |
(9) % |
The following table sets forth revenue for the nine-month periods ended September 30, 2022 and 2021 for each of our reportable segments (U.S. dollars in thousands):
Nine Months Ended September 30, |
Constant-Currency |
||||||||||
2022 |
2021 |
Change |
Change |
||||||||
Nu Skin |
|||||||||||
Americas |
$ |
379,616 |
$ |
403,755 |
(6) % |
(4) % |
|||||
Mainland China |
286,454 |
438,066 |
(35) % |
(34) % |
|||||||
Southeast Asia/Pacific |
267,805 |
246,338 |
9 % |
13 % |
|||||||
South Korea |
208,678 |
261,724 |
(20) % |
(11) % |
|||||||
Japan |
171,019 |
203,001 |
(16) % |
(1) % |
|||||||
EMEA |
148,938 |
215,134 |
(31) % |
(22) % |
|||||||
Hong Kong/Taiwan |
117,408 |
114,795 |
2 % |
6 % |
|||||||
Nu Skin other |
2,434 |
3,497 |
(30) % |
(30) % |
|||||||
Total Nu Skin |
1,582,352 |
1,886,310 |
(16) % |
(11) % |
|||||||
Rhyz Investments |
|||||||||||
Manufacturing |
119,898 |
135,760 |
(12) % |
(12) % |
|||||||
Rhyz other |
1,069 |
163 |
556 % |
556 % |
|||||||
Total Rhyz Investments |
120,967 |
135,923 |
(11) % |
(11) % |
|||||||
Total |
$ |
1,703,319 |
$ |
2,022,233 |
(16) % |
(11) % |
The following table provides information concerning the number of Customers, Paid Affiliates and Sales Leaders in our core Nu Skin business for the three-month periods ended September 30, 2022 and 2021:
Three Months Ended September 30, |
|||||||
Customers |
2022 |
2021 |
Change |
||||
Americas |
316,123 |
324,884 |
(3) % |
||||
Mainland China |
256,183 |
355,256 |
(28) % |
||||
Southeast Asia/Pacific |
153,432 |
162,047 |
(5) % |
||||
South Korea |
134,549 |
156,431 |
(14) % |
||||
Japan |
121,202 |
123,453 |
(2) % |
||||
EMEA |
187,906 |
210,705 |
(11) % |
||||
Hong Kong/Taiwan |
69,989 |
62,491 |
12 % |
||||
Total |
1,239,384 |
1,395,267 |
(11) % |
Three Months Ended September 30, |
|||||||
Paid Affiliates |
2022 |
2021 |
Change |
||||
Americas |
44,745 |
50,619 |
(12) % |
||||
Mainland China |
23,088 |
32,167 |
(28) % |
||||
Southeast Asia/Pacific |
40,624 |
43,298 |
(6) % |
||||
South Korea |
47,852 |
54,119 |
(12) % |
||||
Japan |
38,119 |
38,315 |
(1) % |
||||
EMEA |
31,409 |
36,245 |
(13) % |
||||
Hong Kong/Taiwan |
17,439 |
18,872 |
(8) % |
||||
Total |
243,276 |
273,635 |
(11) % |
Three Months Ended September 30, |
|||||||
Sales Leaders |
2022 |
2021 |
Change |
||||
Americas |
9,545 |
11,889 |
(20) % |
||||
Mainland China (1) |
11,897 |
19,392 |
(39) % |
||||
Southeast Asia/Pacific |
7,618 |
7,623 |
— |
||||
South Korea |
6,992 |
8,929 |
(22) % |
||||
Japan |
6,063 |
6,007 |
1 % |
||||
EMEA |
4,777 |
6,417 |
(26) % |
||||
Hong Kong/Taiwan |
2,932 |
3,629 |
(19) % |
||||
Total |
49,824 |
63,886 |
(22) % |
(1) The September 30, 2022 number reflects a modified Sales Leader definition, as described in our third quarter Form 10-Q.
"Customers" are persons who have purchased directly from the Company during the three months ended as of the date indicated. Our Customer numbers include members of our sales force who made such a purchase, including Paid Affiliates and those who qualify as Sales Leaders, but they do not include consumers who purchase products directly from members of our sales force.
"Paid Affiliates" are any Brand Affiliates, as well as sales employees and independent marketers in Mainland China, who earned sales compensation during the three-month period. In all of our markets besides Mainland China, we refer to members of our independent sales force as "Brand Affiliates" because their primary role is to promote our brand and products through their personal social networks.
"Sales Leaders" are the three-month average of our monthly Brand Affiliates, as well as sales employees and independent marketers in Mainland China, who had achieved certain qualification requirements as of the end of each month of the quarter.
NU SKIN ENTERPRISES, INC. Consolidated Statements of Income (Unaudited) (U.S. dollars in thousands, except per share amounts) |
|||||||||||
Three Months Ended September 30, |
Nine Months Ended September 30, |
||||||||||
2022 |
2021 |
2022 |
2021 |
||||||||
Revenue |
$ |
537,805 |
$ |
641,152 |
$ |
1,703,319 |
$ |
2,022,233 |
|||
Cost of sales |
173,500 |
158,907 |
483,099 |
501,448 |
|||||||
Gross profit |
364,305 |
482,245 |
1,220,220 |
1,520,785 |
|||||||
Operating expenses: |
|||||||||||
Selling expenses |
216,478 |
260,333 |
678,603 |
816,887 |
|||||||
General and administrative expenses |
137,987 |
156,528 |
428,105 |
490,225 |
|||||||
Restructuring and impairment expenses |
30,124 |
— |
30,124 |
— |
|||||||
Total operating expenses |
384,589 |
416,861 |
1,136,832 |
1,307,112 |
|||||||
Operating income (loss) |
(20,284) |
65,384 |
83,388 |
213,673 |
|||||||
Other income (expense), net |
(8,680) |
2,781 |
(18,773) |
351 |
|||||||
Income before provision for income taxes |
(28,964) |
68,165 |
64,615 |
214,024 |
|||||||
Provision (benefit) for income taxes |
(3,574) |
18,436 |
17,052 |
57,527 |
|||||||
Net income (loss) |
$ |
(25,390) |
$ |
49,729 |
$ |
47,563 |
$ |
156,497 |
|||
Net income (loss) per share: |
|||||||||||
Basic |
$ |
(0.51) |
$ |
0.99 |
$ |
0.95 |
$ |
3.11 |
|||
Diluted |
$ |
(0.51) |
$ |
0.97 |
$ |
0.94 |
$ |
3.03 |
|||
Weighted-average common shares outstanding (000s): |
|||||||||||
Basic |
50,199 |
50,098 |
50,187 |
50,304 |
|||||||
Diluted |
50,199 |
51,260 |
50,822 |
51,629 |
NU SKIN ENTERPRISES, INC. Consolidated Balance Sheets (Unaudited) (U.S. dollars in thousands) |
|||||
September 30, 2022 |
December 31, 2021 |
||||
ASSETS |
|||||
Current assets: |
|||||
Cash and cash equivalents |
$ |
294,136 |
$ |
339,593 |
|
Current investments |
13,868 |
15,221 |
|||
Accounts receivable, net |
47,991 |
41,299 |
|||
Inventories, net |
327,481 |
399,931 |
|||
Prepaid expenses and other |
94,366 |
76,906 |
|||
Total current assets |
777,842 |
872,950 |
|||
Property and equipment, net |
433,367 |
453,674 |
|||
Operating lease right-of-use assets |
105,103 |
120,973 |
|||
Goodwill |
206,432 |
206,432 |
|||
Other intangible assets, net |
68,743 |
76,991 |
|||
Other assets |
171,685 |
175,460 |
|||
Total assets |
$ |
1,763,172 |
$ |
1,906,480 |
|
LIABILITIES AND STOCKHOLDERS' EQUITY |
|||||
Current liabilities: |
|||||
Accounts payable |
$ |
41,620 |
$ |
49,993 |
|
Accrued expenses |
281,418 |
372,201 |
|||
Current portion of long-term debt |
42,500 |
107,500 |
|||
Total current liabilities |
365,538 |
529,694 |
|||
Operating lease liabilities |
78,053 |
88,759 |
|||
Long-term debt |
382,323 |
268,781 |
|||
Other liabilities |
95,324 |
106,474 |
|||
Total liabilities |
921,238 |
993,708 |
|||
Commitments and contingencies |
|||||
Stockholders' equity: |
|||||
Class A common stock – 500 million shares authorized, $0.001 par value, 90.6 million shares issued |
91 |
91 |
|||
Additional paid-in capital |
609,886 |
601,703 |
|||
Treasury stock, at cost – 40.9 million and 40.7 million shares |
(1,559,967) |
(1,526,860) |
|||
Accumulated other comprehensive loss |
(109,385) |
(73,896) |
|||
Retained earnings |
1,901,309 |
1,911,734 |
|||
Total stockholders' equity |
841,934 |
912,772 |
|||
Total liabilities and stockholders' equity |
$ |
1,763,172 |
$ |
1,906,480 |
NU SKIN ENTERPRISES, INC. Reconciliation of Gross Margin Excluding Impact of Restructuring and Impairment to (in thousands, except per share amounts) |
|||||||||
Three Months Ended |
Nine Months Ended |
||||||||
September 30, |
September 30, |
||||||||
2022 |
2021 |
2022 |
2021 |
||||||
Gross Profit |
$ 364,305 |
$ 482,245 |
$ 1,220,220 |
$ 1,520,785 |
|||||
Impact of restructuring and impairment: |
|||||||||
Inventory write-off |
26,905 |
— |
26,905 |
— |
|||||
Adjusted Gross Profit |
$ 391,210 |
$ 482,245 |
$ 1,247,125 |
$ 1,520,785 |
|||||
Gross margin |
67.7 % |
75.2 % |
71.6 % |
75.2 % |
|||||
Gross margin, excluding restructuring and impairment impact |
72.7 % |
75.2 % |
73.2 % |
75.2 % |
|||||
Revenue |
$ 537,805 |
$ 641,152 |
$ 1,703,319 |
$ 2,022,233 |
|||||
Reconciliation of Core Nu Skin Business Gross Margin Excluding Impact of Restructuring and (in thousands, except per share amounts) |
||
Three Months Ended |
||
2022 |
||
Gross Profit |
$ 361,895 |
|
Impact of restructuring and impairment: |
||
Inventory write-off |
18,549 |
|
Adjusted Gross Profit |
$ 380,444 |
|
Gross margin |
73.0 % |
|
Gross margin, excluding restructuring and impairment impact |
76.7 % |
|
Revenue |
$ 495,939 |
NU SKIN ENTERPRISES, INC. Reconciliation of Operating Margin Excluding Impact of Restructuring to GAAP (in thousands, except per share amounts)
|
|||||||||
Three Months Ended |
Nine Months Ended |
||||||||
September 30, |
September 30, |
||||||||
2022 |
2021 |
2022 |
2021 |
||||||
Operating income (loss) |
$ (20,284) |
$ 65,384 |
$ 83,388 |
$ 213,673 |
|||||
Impact of restructuring and impairment: |
|||||||||
Restructuring and impairment |
30,124 |
— |
30,124 |
— |
|||||
Inventory write-off |
26,905 |
— |
26,905 |
— |
|||||
Adjusted operating income |
$ 36,745 |
$ 65,384 |
$ 140,417 |
$ 213,673 |
|||||
Operating margin |
(3.8) % |
10.2 % |
4.9 % |
10.6 % |
|||||
Operating margin, excluding restructuring and impairment impact |
6.8 % |
10.2 % |
8.2 % |
10.6 % |
|||||
Revenue |
$ 537,805 |
$ 641,152 |
$ 1,703,319 |
$ 2,022,233 |
|||||
NU SKIN ENTERPRISES, INC. Reconciliation of Other Income (Expense), Net Excluding Charges Associated with our (in thousands, except per share amounts) |
|||||||||
Three Months Ended |
Nine Months Ended |
||||||||
September 30, |
September 30, |
||||||||
2022 |
2021 |
2022 |
2021 |
||||||
Other income (expense), net |
$ (8,680) |
$ 2,781 |
$ (18,773) |
$ 351 |
|||||
Impact of charges associated with our Q4 2021 exit from Grow Tech: |
|||||||||
Unrealized investment loss |
3,298 |
— |
9,009 |
— |
|||||
Adjusted Other income (expense), net |
$ (5,382) |
$ 2,781 |
$ (9,764) |
$ 351 |
|||||
NU SKIN ENTERPRISES, INC. Reconciliation of Effective Tax Rate Excluding Impact of Restructuring to GAAP (in thousands, except per share amounts) |
|||||||
Three Months Ended |
Nine Months Ended |
||||||
September 30, |
September 30, |
||||||
2022 |
2021 |
2022 |
2021 |
||||
Provision (benefit) for income taxes |
$ (3,574) |
$ 18,436 |
$ 17,052 |
$ 57,527 |
|||
Impact of restructuring on tax provision |
11,095 |
— |
11,554 |
— |
|||
Provision for income taxes, excluding impact of restructuring |
$ 7,521 |
$ 18,436 |
$ 28,606 |
$ 57,527 |
|||
Income (loss) before provision for income taxes |
$ (28,964) |
$ 68,165 |
$ 64,615 |
$ 214,024 |
|||
Impact of restructuring and impairment: |
|||||||
Restructuring and impairment |
30,124 |
— |
30,124 |
— |
|||
Inventory write-off |
26,905 |
— |
26,905 |
— |
|||
Impact of charges associated with our Q4 2021 exit from Grow Tech: |
|||||||
Unrealized investment loss |
3,298 |
— |
9,009 |
— |
|||
Income before provision for income taxes, excluding restructuring and impairment impact |
$ 31,363 |
$ 68,165 |
$ 130,653 |
$ 214,024 |
|||
Effective tax rate |
12.3 % |
27.0 % |
26.4 % |
26.9 % |
|||
Effective tax rate, excluding restructuring and impairment impact |
24.0 % |
27.0 % |
21.9 % |
26.9 % |
NU SKIN ENTERPRISES, INC.
|
|||||||||
Three Months Ended |
Nine Months Ended |
||||||||
September 30, |
September 30, |
||||||||
2022 |
2021 |
2022 |
2021 |
||||||
Net income (loss) |
$ (25,390) |
$ 49,729 |
$ 47,563 |
$ 156,497 |
|||||
Impact of restructuring and impairment: |
|||||||||
Restructuring and impairment |
30,124 |
— |
30,124 |
— |
|||||
Inventory write-off |
26,905 |
— |
26,905 |
— |
|||||
Income tax impact |
(10,469) |
— |
(10,469) |
— |
|||||
Impact of charges associated with our Q4 2021 exit from Grow Tech: |
|||||||||
Unrealized investment loss |
3,298 |
— |
9,009 |
— |
|||||
Income tax impact |
(626) |
— |
(1,085) |
— |
|||||
Adjusted net income |
$ 23,842 |
$ 49,729 |
$ 102,047 |
$ 156,497 |
|||||
Diluted earnings per share |
$ (0.51) |
$ 0.97 |
$ 0.94 |
$ 3.03 |
|||||
Diluted earnings per share, excluding restructuring and impairment impact |
$ 0.47 |
$ 0.97 |
$ 2.01 |
$ 3.03 |
|||||
Weighted-average common shares outstanding (000s):
|
50,199 |
51,260 |
50,822
|
51,629
|
|||||
NU SKIN ENTERPRISES, INC. |
|||||||||
Reconciliation of Earnings Per Share Excluding Certain Charges to GAAP Earnings Per Share
|
|||||||||
Three Months Ended |
Year Ended |
||||||||
December 31, 2022 |
December 31, 2022 |
||||||||
Low End |
High End |
Low End |
High End |
||||||
Earnings per share |
$ 0.30 |
$ 0.50 |
$ 1.25 |
$ 1.45 |
|||||
Impact of charges associated with our second half restructuring and impairment charges: |
|||||||||
Restructuring and Impairment |
0.18 |
0.18 |
0.77 |
0.77 |
|||||
Inventory write-off |
— |
— |
0.53 |
0.53 |
|||||
Income tax impact |
(0.07) |
(0.07) |
(0.29) |
(0.29) |
|||||
Impact of charges associated with our Q4 2021 exit from Grow Tech: |
|||||||||
Unrealized investment loss |
— |
— |
0.18 |
0.18 |
|||||
Income tax impact |
(0.01) |
(0.01) |
(0.04) |
(0.04) |
|||||
Adjusted Earnings per share |
$ 0.40 |
$ 0.60 |
$ 2.40 |
$ 2.60 |
|||||
SOURCE Nu Skin Enterprises
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