The following excerpt is from the company's SEC filing.
Second sequential quarterly increase in net sales
Declared special dividend of $20.0 million, or $1.76 per share
Increased quarterly dividend 8% to $0.14 per share
LOS ANGELES – May 2, 2018 – Natural Health Trends Corp. (NASDAQ: NHTC), a leading direct-selling and e-commerce company that markets premium quality personal care, wellness and
quality of life
products under the NHT Global brand, today announced its financial results for the first quarter ended
March 31, 2018
Total revenue of
and increased 14% compared to $46.1 million in the fourth quarter of 2017.
Revenue from the Company’s Hong Kong operations, which represented
of total revenue, was
, a decrease of
, and an increase of 20% compared to $39.6 million in the fourth quarter of 2017.
Revenue outside of Hong Kong of
and decreased 28% compared to $6.5 million in the fourth quarter of 2017.
Operating income was
and $8.7 million in the fourth quarter of 2017.
Net income was
per diluted share, compared to net income of
per diluted share, in the
The number of Active Members
December 31, 2017
, and decreased
March 31, 2017
Natural Health Trends defines Active Members as those that have placed at least one product order with the Company during the preceding twelve month period.
“Our momentum in the back half of 2017 carried into 2018 with our total revenue increasing 14% over the prior quarter, marking our second consecutive quarter of sales growth,” commented Chris Sharng, President of Natural Health Trends Corp. “Our improved top-line performance is a direct result of the enhancements made to our commission plan to better incentivize up-and-coming members and ease rank advancement, along with our effective marketing programs. We also held our international Ambassador Academy in Hong Kong, which attracted over 5,500 people. The orders generated by promotions directly related to the event exceeded those of the last three years.”
Mr. Sharng further commented, “With our revenue for the quarter improved, 2018 is off to a good start. Our leaders remain energized and enthusiastic and we look forward to more productive incentive trips and targeted training programs this year to drive further progress and growth.”
Balance Sheet and Cash Flow
Net cash provided by operating activities was $11.1 million, compared to $13.8 million in the
April 17, 2018
, the Company’s Board of Directors declared a quarterly cash dividend of $0.14, which represents an 8% increase over the prior quarter dividend, as well as a special cash dividend of $1.76 per share on outstanding common stock. The dividends will be payable on
May 25, 2018
to stockholders of record as of
May 15, 2018
Quarter 2018 Financial Results Conference Call
Management will host a conference call to discuss the
quarter 2018 financial results today, Wednesday, May 2, 2018 at 11:30 a.m. Eastern Time. The conference call details are as follows:
11:30 a.m. Eastern Time / 8:30 a.m. Pacific Time
For those unable to participate during the live broadcast, a replay of the call will also be available from 2:30 p.m. Eastern Time on May 2, 2018 through 11:59 p.m. Eastern Time on May 16, 2018 by dialing 1-844-512-2921 (domestic) and 1-412-317-6671 (international) and referencing the replay pin number: 13678508.
About Natural Health Trends Corp.
Natural Health Trends Corp. (NASDAQ: NHTC) is an international direct-selling and e-commerce company operating through its subsidiaries throughout Asia, the Americas, and Europe. The Company markets premium quality personal care products under the NHT Global brand. Additional information can be found on the Company’s website at www.naturalhealthtrendscorp.com.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995 -- Forward-looking statements in this press release do not constitute guarantees of future performance. Such forward-looking statements are subject to risks and uncertainties that could cause the Company’s actual results to differ materially from those anticipated. Such risks and uncertainties include the risks and uncertainties detailed under the caption
in Natural Health Trends Corp.’s Annual Report on Form 10-K filed on March 27, 2018 with the Securities and Exchange Commission. The Company assumes no obligation to update any forward-looking information contained in this press release or with respect to the announcements described herein.
Senior Vice President and Chief Financial Officer
ADDO Investor Relations
NATURAL HEALTH TRENDS CORP.
CONSOLIDATED BALANCE SHEETS
Cash and cash equivalents
Other current assets
Total current assets
Property and equipment, net
Deferred tax asset
LIABILITIES AND STOCKHOLDERS’ EQUITY
Income taxes payable
Other accrued expenses
Amounts held in eWallets
Other current liabilities
Total current liabilities
Deferred tax liability
Commitments and contingencies
Additional paid-in capital
Accumulated other comprehensive loss
Treasury stock, at cost
Total stockholders’ equity
Total liabilities and stockholders’ equity
CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share data)
Three Months Ended March 31,
Cost of sales
Selling, general and administrative expenses
Total operating expenses
Income from operations
Other income, net
Income before income taxes
Income tax provision
Net income per common share:
Weighted-average number of common shares outstanding:
Cash dividends declared per common share
CONSOLIDATED STATEMENTS OF CASH FLOWS
CASH FLOWS FROM OPERATING ACTIVITIES:
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization
Cumulative translation adjustment realized in net income
Changes in assets and liabilities:
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property and equipment
Net cash used in investing activities
CASH FLOWS FROM FINANCING ACTIVITIES:
Net cash used in financing activities
Effect of exchange rates on cash, cash equivalents and restricted cash
Net increase in cash, cash equivalents and restricted cash
CASH, CASH EQUIVALENTS AND RESTRICTED CASH, beginning of period
CASH, CASH EQUIVALENTS AND RESTRICTED CASH, end of period
SUPPLEMENTAL DISCLOSURES OF OTHER CASH FLOW INFORMATION:
Issuance of treasury stock for employee awards, net
The above information was disclosed in a filing to the SEC. To see the filing, click here.
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