Natural Health Trends Reports Third Quarter 2026 Financial Results
- Company successfully held its 25th anniversary celebration in Hong Kong in August
- Active Member count up, revenue steady with prior quarter
- Operating loss narrowed 57% compared to prior quarter
- Board of Directors authorized additional stock repurchases, with $15.8 million available
LOS ANGELES, Oct. 28, 2026 (GLOBE NEWSWIRE) -- 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 quarter ended September 30, 2026.
Third Quarter 2026 Financial Results
- Revenue of $7.6 million was steady compared to the $7.6 million in the second quarter of 2026 and declined 20% compared to $9.5 million in the third quarter of 2025.
- Operating loss was $277,000 compared to $643,000 in the second quarter of 2026 and $495,000 in the third quarter of 2025.
- Net loss was $232,000, or $0.03 per diluted share, compared to $451,000, or $0.05 per diluted share, in the second quarter of 2026 and $431,000, or $0.04 per diluted share, in the third quarter of 2025.
- The number of Active Members1 was 27,040 at September 30, 2026 compared to 26,000 at June 30, 2026, 26,650 at December 31, 2025 and 28,030 at September 30, 2025.
| 1 | 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. |
Year-to-Date 2026 Financial Results
- Revenue of $24.4 million decreased 19% compared to $30.0 million in the first nine months of 2025.
- Operating loss was $1.4 million compared to $1.2 million in the first nine months of 2025.
- Net loss was $837,000, or $0.09 per diluted share, compared to $294,000, or $0.03 per diluted share, in the first nine months of 2025.
Management Commentary
“Consumer pessimism in our largest market, regulatory uncertainty and previously reported member code of conduct matters continued to weigh on purchasing and member activity. In response, we introduced additional incentives and lower-priced packages, which accounted for most of the year-on-year revenue decline but made our products more accessible and helped support a sequential increase in our Active Member count and steady the top line at the end of the third quarter,” commented Chris Sharng, President of Natural Health Trends Corp
Mr. Sharng continued, “Our 25th anniversary celebration brought together 1,000 attendees from around the world, sharing our vision for the future and building confidence in our business and products. We also launched a new AI-powered marketing and communication app and hosted follow-up appreciation events in three key markets. We continued our restructuring efforts to protect margins and reduce costs, contributing to a 57% reduction in operating loss compared with the preceding quarter. While conditions are still challenging, we remain focused on supporting our members.”
Balance Sheet and Cash Flow
- Net cash used in operating activities was $3.3 million in the first nine months of 2026 compared to $5.0 million in the first nine months of 2025.
- Total cash, cash equivalents and marketable securities were $17.6 million at September 30, 2026, down from $28.9 million at December 31, 2025 primarily due to the repurchase of shares of common stock and dividends paid during the first nine months of 2026, as well as cash used in operations.
- The Company repurchased 28,022 shares of its common stock on the open market for an aggregate purchase price of $27,000 during the third quarter of 2026 and an additional 57,269 shares for an aggregate purchase price of $56,000 in October 2026. The Company’s Board of Directors has since authorized additional share repurchases under its existing stock repurchase program, subject to market conditions and other relevant considerations.
Third Quarter 2026 Financial Results Conference Call
Management will host a conference call to discuss the third quarter 2026 financial results today, Wednesday, October 28, 2026 at 11:30 a.m. Eastern Time. The conference call details are as follows:
| Date: | Wednesday, October 28, 2026 |
| Time: | 11:30 a.m. Eastern Time / 8:30 a.m. Pacific Time |
| Dial-in: | 1-800-330-6730 |
| Participant ID: | 648560 |
For those unable to participate during the live broadcast, a replay of the call will be available on the Company's Investor Relations website at https://ir.naturalhealthtrendscorp.
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.
Forward-Looking Statements
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. Forward-looking statements in this press release include statements relating to the anticipated effect of restructuring activities, including expected operational efficiencies and cost savings resulting therefrom, statements regarding technology investments, future growth and profitability, and statements relating to future dividends, the declaration and payment of which will be at the sole discretion of the Company's Board of Directors. 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 “Risk Factors” in Natural Health Trends Corp.’s Annual Report on Form 10-K filed on February 20, 2026 with the Securities and Exchange Commission (SEC), as well as in subsequent reports filed this year with the SEC. The Company assumes no obligation to update any forward-looking information contained in this press release or with respect to the announcements described herein.
| NATURAL HEALTH TRENDS CORP. |
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| CONSOLIDATED BALANCE SHEETS |
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| (In thousands, except share data) | ||||||||
| September 30, 2026 | December 31, 2025 | |||||||
| (Unaudited) | ||||||||
| ASSETS | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 5,818 | $ | 6,813 | ||||
| Marketable securities | 11,767 | 22,060 | ||||||
| Inventories | 2,051 | 2,047 | ||||||
| Other current assets | 2,326 | 3,274 | ||||||
| Total current assets | 21,962 | 34,194 | ||||||
| Property and equipment, net | 542 | 153 | ||||||
| Operating lease right-of-use assets | 2,423 | 1,869 | ||||||
| Deferred tax asset | 289 | 289 | ||||||
| Other assets | 2,045 | 1,923 | ||||||
| Total assets | $ | 27,261 | $ | 38,428 | ||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | $ | 1,206 | $ | 555 | ||||
| Accrued commissions | 1,400 | 1,958 | ||||||
| Other accrued expenses | 1,188 | 1,438 | ||||||
| Deferred revenue | 2,995 | 5,574 | ||||||
| Amounts held in eWallets | 2,364 | 2,838 | ||||||
| Operating lease liabilities | 833 | 869 | ||||||
| Other current liabilities | 343 | 456 | ||||||
| Total current liabilities | 10,329 | 13,688 | ||||||
| Deferred tax liability | 178 | 180 | ||||||
| Operating lease liabilities | 1,751 | 1,131 | ||||||
| Total liabilities | 12,258 | 14,999 | ||||||
| Stockholders’ equity: | ||||||||
| Preferred stock | — | — | ||||||
| Common stock | 13 | 13 | ||||||
| Additional paid-in capital | 85,033 | 85,033 | ||||||
| Accumulated deficit | (38,989 | ) | (36,436 | ) | ||||
| Accumulated other comprehensive loss | (667 | ) | (784 | ) | ||||
| Treasury stock, at cost | (30,387 | ) | (24,397 | ) | ||||
| Total stockholders’ equity | 15,003 | 23,429 | ||||||
| Total liabilities and stockholders’ equity | $ | 27,261 | $ | 38,428 | ||||
4
| NATURAL HEALTH TRENDS CORP. |
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| CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) |
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| (In thousands, except per share data) | ||||||||||||||||
| Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||||||
| Net sales | $ | 7,560 | $ | 9,477 | $ | 24,369 | $ | 30,027 | ||||||||
| Cost of sales | 1,954 | 2,490 | 6,139 | 7,880 | ||||||||||||
| Gross profit | 5,606 | 6,987 | 18,230 | 22,147 | ||||||||||||
| Operating expenses: | ||||||||||||||||
| Commissions expense | 2,710 | 3,876 | 9,674 | 12,376 | ||||||||||||
| Selling, general and administrative expenses | 3,173 | 3,606 | 9,950 | 10,944 | ||||||||||||
| Total operating expenses | 5,883 | 7,482 | 19,624 | 23,320 | ||||||||||||
| Loss from operations | (277 | ) | (495 | ) | (1,394 | ) | (1,173 | ) | ||||||||
| Other income, net | 112 | 206 | 597 | 1,019 | ||||||||||||
| Loss before income taxes | (165 | ) | (289 | ) | (797 | ) | (154 | ) | ||||||||
| Income tax expense | 67 | 142 | 40 | 140 | ||||||||||||
| Net loss | $ | (232 | ) | $ | (431 | ) | $ | (837 | ) | $ | (294 | ) | ||||
| Net loss per common share: | ||||||||||||||||
| Basic | $ | (0.03 | ) | $ | (0.04 | ) | $ | (0.09 | ) | $ | (0.03 | ) | ||||
| Diluted | $ | (0.03 | ) | $ | (0.04 | ) | $ | (0.09 | ) | $ | (0.03 | ) | ||||
| Weighted average common shares outstanding: | ||||||||||||||||
| Basic | 8,577 | 11,500 | 9,094 | 11,493 | ||||||||||||
| Diluted | 8,577 | 11,500 | 9,094 | 11,493 | ||||||||||||
5
| NATURAL HEALTH TRENDS CORP. |
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| CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) |
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| (In thousands) | ||||||||
| Nine Months Ended September 30, | ||||||||
| 2026 | 2025 | |||||||
| CASH FLOWS FROM OPERATING ACTIVITIES: | ||||||||
| Net loss | $ | (837 | ) | $ | (294 | ) | ||
| Adjustments to reconcile net loss to net cash used in operating activities: | ||||||||
| Depreciation and amortization | 68 | 87 | ||||||
| Net accretion of marketable securities | (46 | ) | (317 | ) | ||||
| Share-based compensation | — | 103 | ||||||
| Noncash lease expense | 799 | 852 | ||||||
| Deferred income taxes | — | 139 | ||||||
| Changes in assets and liabilities: | ||||||||
| Inventories | (25 | ) | 1,161 | |||||
| Other current assets | 1,037 | 682 | ||||||
| Other assets | (119 | ) | (601 | ) | ||||
| Accounts payable | 619 | 114 | ||||||
| Accrued commissions | (540 | ) | (314 | ) | ||||
| Other accrued expenses | (318 | ) | 44 | |||||
| Deferred revenue | (2,540 | ) | (422 | ) | ||||
| Amounts held in eWallets | (452 | ) | (307 | ) | ||||
| Operating lease liabilities | (787 | ) | (858 | ) | ||||
| Other current liabilities | (112 | ) | (5,107 | ) | ||||
| Net cash used in operating activities | (3,253 | ) | (5,038 | ) | ||||
| CASH FLOWS FROM INVESTING ACTIVITIES: | ||||||||
| Purchases of property and equipment | (447 | ) | (63 | ) | ||||
| Purchases of marketable securities | (14,549 | ) | (39,011 | ) | ||||
| Proceeds from maturities of marketable securities | 24,800 | 51,619 | ||||||
| Net cash provided by investing activities | 9,804 | 12,545 | ||||||
| CASH FLOWS FROM FINANCING ACTIVITIES: | ||||||||
| Repurchase of common stock | (5,898 | ) | — | |||||
| Dividends paid | (1,716 | ) | (6,909 | ) | ||||
| Net cash used in financing activities | (7,614 | ) | (6,909 | ) | ||||
| Effect of exchange rates on cash, cash equivalents and restricted cash | 68 | 206 | ||||||
| Net increase (decrease) in cash, cash equivalents and restricted cash | (995 | ) | 804 | |||||
| CASH, CASH EQUIVALENTS AND RESTRICTED CASH, beginning of period | 6,820 | 13,567 | ||||||
| CASH, CASH EQUIVALENTS AND RESTRICTED CASH, end of period | $ | 5,825 | $ | 14,371 | ||||
| SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING AND FINANCING ACTIVITIES: | ||||||||
| Right-of-use assets obtained in exchange for operating lease liabilities | $ | 1,391 | $ | 137 | ||||
| Direct costs incurred to repurchase common stock | $ | 92 | $ | — | ||||
CONTACT:
Scott Davidson
Senior Vice President and Chief Financial Officer
Natural Health Trends Corp.
Tel (U.S.): 310-541-0888
investor.relations@nhtglobal.com
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