|
Company Contact
Scott Davidson
Chief Financial Officer
Natural Health Trends Corp.
Tel: 972-241-4080
[email protected] |
|
Investor Contact
Brett Maas
Managing Partner
Hayden IR
Tel: 646-536-7331
[email protected] |
FOR IMMEDIATE RELEASE
Natural Health Trends Reports First Quarter 2013 Financial Results
Eighth Consecutive Quarter of Profitability
DALLAS, TX, May 8, 2013 -- -- Natural Health Trends Corp. (OTCQB: NHTC), a leading direct selling company that markets premium quality personal care, wellness and “quality of life” products under the NHT Global brand, today announced financial results for the quarter ended March 31, 2013.
First Quarter Financial Highlights
- Total revenues were $8.7 million compared to $9.1 million in the first quarter last year and $8.1 million in the fourth quarter of 2012. The year-over-year decrease in revenues for the first quarter reflects a change in the Company's promotional plans. In 2013, a cash promotion in Greater China runs through the entire year. In 2012, the comparable cash promotion ended at June 30th.
- Net income available to common stockholders of Natural Health Trends was $283,000, or $0.03 per diluted share, compared to net income of $503,000, or $0.04 per diluted share last year.
- Cash and cash equivalents increased to $5.2 million as of March 31, 2013 from $4.2 million at December 31, 2012. Cash flow from operations increased 18% year on year.
“We are pleased with our members’ enthusiastic response to our marketing plans in this new year," commented Chris Sharng, President of Natural Health Trends Corp. "The events in Macau and St. Petersburg respectively staged for our Greater China and Commonwealth of Independent States markets were both very successful. Our sales are keeping pace with a very strong first half a year ago. Thus far, 2013 has been a year of exceptional activity, as we focus on leveraging our established leaders with new promotions, robust training, and additional products to drive growth."
Operational Highlights
- Natural Health Trends continued to execute promotional and incentive activities around the world, including:
- Held Macau event at the Banyan Tree Hotel, with more than 1,000 members in attendance.
- Launched a new program, called "Supreme Bonus," in Hong Kong and Taiwan. This is a year-long program designed around the Company's International Recognition Program offering cash and prize incentives throughout the year.
- Embarked on Singapore incentive trip with qualifiers from Hong Kong.
- Launched a new product line in Hong Kong, and introduced two new products to the Russian market:
- The NHT Global Herbal product line, which is the best of Eastern traditional Chinese herbal ingredients and western technology. The first product in this line is Natural Health Trends' Cordyceps CS-4 and Agaricus blazei Extract blend.
- Triotien™ and HerBalance™ launched in Russia in April.
- Expanded training programs, designed to increase product awareness, market new products, and grow sales. Activities included:
- A multi-city training roadshow in Russia, Kazakhstan and Ukraine in February 2013.
- A training event in St. Petersburg, Russia in April 2013 to introduce Triotien™ and HerBalance™ to the market.
- Identified a new Korean office in the premier Gangnam district with the expectation of a grand opening in June 2013.
"The changes in timing of our 2013 marketing programs, many of which culminated after the quarter ended, caused a slight year-over-year decrease in revenue for the first quarter. To keep the promotions running through the beginning of the Tomb Sweeping Festival in early April serves our Greater Chinese markets better, but resulted in some orders coming in after the end of the first quarter," Mr. Sharng continued. "We’re currently wrapping up a Fly High training and team building event for the Hong Kong and China markets in Yunnan, China. We will also have a two-week product road show for ReStor throughout nine cities in Russia, Kazakhstan and Ukraine. We expect to open our Kazakhstan marketing office and distribution center in early June. Finally, in Hong Kong we will conduct a four-city incentive trip to London, Paris, Brussels and Amsterdam, as well as a Hong Kong Success Forum event in July to introduce a new NHT Global Herbal product promoting liver health."
Shareholder Conference Call
Management will conduct a conference call to discuss its quarterly financial results for the period ended March 31, 2013.
Details of the call are as follows:
A replay will be available from 7:30 p.m. ET on May 8 through 11:59 p.m. ET on May 15, by dialing 1-877-870-5176 (domestic) and 1-858-384-5517 (international) and referencing replay pin number 4617581.
About Natural Health Trends Corp.
Natural Health Trends Corp. is an international direct-selling and e-commerce company operating through its subsidiaries throughout Asia, North America, and Europe. The company markets premium quality personal care, wellness and “quality of life” products under the NHT Global brand. Additional information can be found on the company's website, www.naturalhealthtrendscorp.com.
Forward Looking Statement
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995 -- Forward-looking statements in this release do not constitute guarantees of future performance. Such forward-looking statements are subject to risks and uncertainties that could cause our actual results to differ materially from those anticipated. Such risks and uncertainties include the risks and uncertainties detailed under the caption "Risk Factors" in our Annual Report on Form 10-K filed on March 12, 2013, with the Securities and Exchange Commission. We assume no obligation to update any forward-looking information contained in this press release or with respect to the announcements described herein.
-- Tables follow --



|