NHTC News & Events

Natural Health announced that it has entered into an agreement to repurchase all of the shares of the company's common stock beneficially owned by the George K. Broady family in a negotiated transaction. The transaction was reviewed and approved by a special committee of the company's board of directors. Prior to the transaction, the George K. Broady 2012 Irrevocable Trust and the Eleanor Jane Broady 2012 Irrevocable Trust collectively held 2,935,227 shares of the company's stock, representing approximately 25.5% of the company's outstanding shares. The company has repurchased these shares for an aggregate purchase price of approximately $5.9M, or $2.00 per share, funded from existing cash on hand. Following completion of the transaction, the Company will have 8,577,848 shares of common stock outstanding. The repurchase was effected pursuant to the company's previously announced $70M share repurchase program. After giving effect to this transaction, the company expects to have approximately $16M remaining available for future repurchases under the program, inclusive of related estimated income tax. As a result of the reduced share count, the company expects annual dividend requirements will decline by approximately $1.2M, based on the current dividend rate.

Reports Q4 revenue $9.7M vs $10.8M last year. "In the fourth quarter we managed to achieve a 3% sequential increase in revenue despite the difficult macroeconomic environment and continued pressure on consumer sentiment. We have substantially completed the major restructuring initiatives announced last quarter and expect to realize most of the associated $1.5 million annualized cost savings in the coming year. We also relocated about 40% of our total product sourcing base from America to East Asia, much closer to our main markets, to reduce tariff uncertainty and streamline logistics," said Chris Sharng, President of Natural Health Trends Corp.

Reports Q3 revenue $9.477M vs $10.691M last year. "The economic outlook in our largest market remains challenging in the near term. We are undertaking a major restructuring, which we expect will result in $1.5 million annualized savings. Our ongoing measures include optimizing our workforce and relocating product manufacturing to Asia. As part of these restructuring initiatives, we expect to incur a one-time charge of approximately $250,000 in the fourth quarter and anticipate a reduction in our quarterly cash dividend to $0.10 per share beginning in the first quarter next year," commented Chris Sharng, President of Natural Health Trends Corp.

Reports Q2 revenue $9.8M vs $10.475M last year. "Our second quarter sales reflected the heightened economic uncertainty caused by evolving trade tensions, which we expect will continue to heavily weigh on consumer sentiment in our biggest market," commented Chris Sharng, President of Natural Health Trends Corp. Sharng continued, "To mitigate tariff-related risks, we are realigning our supply chain by transitioning production to trusted manufacturing partners in Asia, bringing operations closer to our core markets and enhancing long-term resilience."