NASDAQ$NATR

Natures Sunshine Prods Inc · Q4 2019 earnings

Q4 2019 earnings · · Investor relations

Briefing

Net sales decreased, but GAAP net income and adjusted EBITDA increased.

Nature's Sunshine Products reported a decrease in net sales for Q4 2019, but experienced significant improvements in GAAP net income and adjusted EBITDA compared to the prior year. The company focused on its Global Growth Strategy and cost reduction measures, leading to improved profitability.

  • Net sales decreased by 5.8 percent to $91.7 million compared to $97.4 million in 2018.
  • GAAP net income was $1.2 million, a significant improvement from a net loss of $2.8 million in the prior year.
  • Adjusted EBITDA increased by 89.2 percent to $7.6 million from $4.0 million in the prior year.
  • Operating income improved to $3.9 million, compared to an operating loss of $1.2 million in the prior year.

Headline financials

Total Revenue

$91.7M

Previous: $97.4M-5.8%
EPS (adj)

$0.05

Previous: -$0.06+183.3%
Gross Profit Margin

74.0%

Previous: 73.8%+0.3%
SG&A Expenses Percentage

35.7%

Previous: 42.2%-15.4%
Adjusted EBITDA

$7.6M

Previous: $4M+90.0%
Capital Expenditures

$630K

Previous: $875K-28.0%
Free Cash Flow

$2.4M

Previous: $6.75M-64.4%
Net Income

$1.22M

Previous: -$2.92M+141.8%
Operating Income

$3.91M

Previous: -$1.23M+418.0%
Gross Profit

$67.8M

Previous: $71.8M-5.6%
Cash & Equivalents

$53.6M

Previous: $50.6M+5.9%
Total Assets

$213M

Previous: $193M+10.4%
Stock-Based Comp

$591K

Previous: $712K-17.0%

Revenue & EPS history

Nature's Sunshine · Revenue · Quarterly

$91.7M

Q4 2019-5.8%vs Q4 2018
Beat estimate in 1 of 1 quarters(100%)
ActualEstimate

Forward guidance

In 2020, Nature's Sunshine plans to accelerate its global strategies while focusing on cost reduction to further improve profits. The company anticipates launching new branding, a consumer-centric website and ecommerce platform, digital tools, and additional CBD products.

Tailwinds

  • Accelerating global strategies.
  • Focusing on cost reduction.
  • Launching new branding.
  • Introducing a new consumer-centric website and ecommerce platform.
  • Launching additional CBD products.

Headwinds

  • Navigating near-term challenges posed by the coronavirus.
  • Several of the company's largest markets have been negatively affected by the outbreak.
  • Anticipate Q1 revenue to be significantly down in Asia.
  • Taking all of the necessary precautions to ensure the health and safety of employees, distributors and customers.
  • Local management teams are adjusting workflows and processes in an effort to adapt to the situation on the ground.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2019

Historical avgQ4 2019

+0.4%

Avg return

Earnings day

+4.0%

Avg return

5 days after

+5.6%

Avg return

30 days after

54%

35 / 65 earnings

Positive

+32.0%

Q3 2017

Best reaction

-17.5%

Q1 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-6.9%-14.7%-24.5%
Q4 2026-1.3%-3.0%+7.4%
Q3 2025+30.9%+50.7%+59.4%
Q1 2025+6.5%+16.4%+16.9%
Q4 2024-6.8%-9.3%-16.9%
Q3 2024+4.8%+15.5%+12.7%
Q2 2024-14.5%-11.7%-11.6%
Q1 2024-17.5%-13.8%-19.6%
Q4 2023+15.4%+16.6%+12.2%
Q3 2023-2.0%-4.6%-5.1%
Q2 2023+6.2%+17.8%+15.6%
Q1 2023-0.8%-0.9%+12.4%
Q4 2022+2.9%+8.4%+3.9%
Q3 2022+1.3%+2.5%+3.3%
Q2 2022-4.5%-6.3%-14.1%
Q1 2022-16.6%-21.9%-25.9%
Q4 2021-1.6%+0.8%+2.7%
Q3 2021+8.6%+8.4%+8.7%
Q2 2021-0.3%-1.2%+2.0%
Q1 2021+1.3%-5.3%-0.0%
Q4 2020+10.4%+7.7%+11.0%
Q3 2020+10.5%+16.0%+31.8%
Q2 2020+9.0%+12.6%+12.0%
Q1 2020+1.6%+2.7%+7.8%
Q4 2019-11.4%-14.3%+0.1%
Q3 2019-6.0%-5.4%-1.4%
Q2 2019+0.9%+6.9%-0.1%
Q1 2019+1.7%+2.1%-4.7%
Q4 2018+13.5%+37.1%+30.0%
Q3 2018+2.8%-4.7%-3.9%
Q2 2018+11.0%+9.8%+7.3%
Q1 2018-7.6%-8.6%-10.7%
Q4 2017-0.9%-0.4%-10.1%
Q3 2017+32.0%+42.5%+34.3%
Q2 2017-15.3%-15.7%-19.0%
Q1 2017-0.6%+0.6%+58.5%
Q4 2016-14.2%-12.0%-11.6%
Q3 2016+16.5%+19.8%+27.4%
Q2 2016+3.2%+13.5%+18.6%
Q1 2016-5.8%
Q4 2015+4.5%
Q3 2015+1.4%
Q2 2015+0.2%
Q1 2015+0.1%
Q4 2014-7.8%
Q3 2014+1.8%
Q2 2014+1.6%
Q1 2014+3.6%
Q4 2013-10.8%
Q3 2013-4.0%
Q2 2013+1.7%
Q1 2013+5.9%
Q4 2009-3.5%
Q4 2012-7.3%
Q3 2012-12.7%
Q2 2012+1.5%
Q1 2011+4.1%
Q1 2012+0.6%
Q4 2011+10.9%
Q3 2011-6.4%
Q3 2010-6.4%
Q4 2010-6.4%
Q2 2011-6.4%
Q2 2010-6.4%
Q1 2010+10.0%

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