Exhibit 99.1

 

 

FOR IMMEDIATE RELEASE

 

NATURE’S SUNSHINE PRODUCTS REPORTS THIRD QUARTER 2013 FINANCIAL RESULTS

 

·                  Third quarter net sales revenue growth of 1.3 percent (2.4 percent in local currency)

·                  Significant investment spending, resulting in lower operating income margin

·                  Board of Directors approved a $0.10 per share regular quarterly dividend

·                  Repurchased 107,722 shares of common stock

 

LEHI, Utah, November 6, 2013 — Nature’s Sunshine Products, Inc. (NASDAQ:NATR), a leading natural health and wellness company engaged in the manufacture and direct selling of nutritional and personal care products, today reported its consolidated financial results for the third quarter ended September 30, 2013 and declared a regular quarterly cash dividend of $0.10 per share.

 

“We’re pleased with our third quarter results which reflect continued progress across both our NSP and Synergy businesses,” commented Gregory L. Probert, Chairman and Chief Executive Officer.  “In addition to Synergy’s record sales quarter and NSP Russia, Central and Eastern Europe’s fourth consecutive quarter of year-over-year sales growth, we experienced double digit growth in Mexico.”

 

“These improvements are the early result of our incremental investments in sales and marketing personnel, R&D and new product development, distributor training, sales incentive programs and information technology. These investments amounted to $1.3 million of additional SG&A expense in the third quarter, the majority of which is recurring and will negatively impact our near-term operating income margin. However, these essential investments position us to drive sales growth in all of our markets and to restore our operating income margin to double digits in 2015.”

 

“In addition, we are in the early stages of a $40 million Oracle ERP implementation that will provide us with a single integrated software solution and greatly enhance our ability to better integrate our people, process and business systems in all of our markets around the world.  This investment will allow us to streamline many of our processes, provide better data and visibility into our business, facilitate delivering products to market faster and more efficiently, as well as to better serve our Managers, Distributors and customers. We anticipate completion of this project by mid-2016.

 

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Mr. Probert continued, “The $0.10 quarterly cash dividend and our ongoing share repurchase program demonstrate our confidence in the Company’s growth prospects and strong cash flow generation, and our commitment to return excess capital to shareholders.”

 

For the Third Quarter of 2013:

 

·                  Net sales revenue increased 1.3 percent to $92.5 million, compared to $91.2 million in the third quarter of 2012. In local currencies, net sales revenue increased by 2.4 percent.

 

·                  Selling, general and administrative expenses increased 7.4 percent to $28.2 million, compared with $26.2 million in the third quarter of 2012. The increase was primarily due to the Company’s incremental investment in sales, marketing, science and product development personnel and programs to stimulate sales growth and drive profitability.

 

·                  Operating income decreased 22.9 percent to $6.7 million, compared to $8.7 million in the third quarter of 2012. The decrease was primarily due to a $1.9 million increase in selling, general and administrative expenses attributable to investments in growth initiatives.

 

·                  Adjusted EBITDA, defined here as net income before taxes, depreciation, amortization and other income, adjusted to exclude share-based compensation expense, decreased 18.4 percent to $8.5 million, compared to $10.4 million in the third quarter of 2012.

 

·                  Net income was $4.9 million, or $0.29 per diluted common share, compared to $6.4 million, or $0.40 per diluted common share in the third quarter of 2012.

 

·                  Cash and cash equivalents as of September 30, 2013 were $76.6 million, compared to $79.2 million as of December 31, 2012, which reflects $24.0 million paid in a special one-time dividend, $4.8 million paid in regular quarterly dividends, and $1.9 million used to repurchase shares in the first nine months of the year.

 

·                  Shareholders’ equity as of September 30, 2013 was $104.8 million, compared to $115.6 million as of December 31, 2012.  Including dividends paid in the first nine months of the year, shareholders’ equity increased by 15.6 percent.

 

·                  Active Managers worldwide were 16,900 and active Distributors and customers worldwide were 324,900 as of September 30, 2013 compared to 16,900 and 325,900, respectively in the third quarter of 2012. New manager were flat with the prior year, as were new Distributor and customer recruiting.

 

NSP Americas, Asia Pacific and Europe Results for the Third Quarter of 2013:

 

·                  Net sales revenue decreased 2.4 percent to $50.6 million, compared to $51.8 million in the third quarter of 2012. In local currencies, net sales revenue decreased by 0.7 percent compared to the third quarter of 2012. Higher net sales in Mexico and South America were more than offset by lower net sales in the United States and Japan.  In Mexico, net sales increased year-over-year for the second consecutive quarter, up 11.1

 

2



 

percent from the third quarter of 2012.  In the United States, net sales declined 2.2 percent year-over-year.

 

·                  Contribution margin, defined as net sales revenue less cost of sales and volume incentive expense, was $20.0 million, compared to $20.5 million in the third quarter of 2012, primarily as a result of lower net sales revenue.

 

·                  Active Managers within the segment totaled approximately 8,500 and active Distributors and customers within the segment were approximately 153,200 as of September 30, 2013, and compared to 8,800 and 159,600, respectively, as of September 30, 2012. New Manager were down 10.0 percent as compared to the prior year and new Distributor and Customer recruits were down 8.3 percent.

 

NSP Russia, Central and Eastern Europe Results for the Third Quarter of 2013:

 

·                  Net sales revenue increased 10.5 percent to $14.6 million, compared to $13.2 million in the third quarter of 2012. Net sales revenue increased year-over-year for the fourth consecutive quarter as a result of improved recruiting, Distributor leadership engagement, Distributor recognition, promotion and training, and the enhanced focus afforded by the corporate organizational realignment during 2012. In addition, we launched a new weight management program at our annual regional convention in September.

 

·                  Contribution margin increased 7.3 percent to $5.4 million, compared to $5.0 million in the third quarter of 2012, primarily as a result of higher net sales revenue.

 

·                  Active Managers within the segment were approximately 5,200 and active Distributors and customers within the segment were approximately 119,400 as of September 30, 2013, and compared to 5,000 and 112,900, respectively as of September 30, 2012. New Managers were flat with prior year and new Distributor and Customer recruiting was up 22.2 percent.

 

Synergy WorldWide Results for the Third Quarter of 2013:

 

·                  Net sales revenue increased 4.0 percent to $27.3 million, compared to $26.3 million in the third quarter of 2012. This marks the highest quarterly sales in the segment’s history. In local currencies, net sales revenue increased by 4.6 percent compared to the third quarter of 2012 driven by increased sales in South Korea, Scandinavia and Central Europe, partially offset by declines in North America. The increase in net sales revenue is primarily a result of re-engaged leadership, strong execution, and momentum stemming from the Company’s global summit and pre-launch of the SLMsmart weight management line in South Korea. This program will be rolled out to other markets around the world throughout 2014.

 

·                  Contribution margin increased 1.3 percent to $9.5 million, compared to $9.4 million in the third quarter of 2012, primarily as a result of increased net sales revenue.

 

·                  Active Managers within the segment were approximately 3,200 and active Distributors and customers within the segment were approximately 52,300 as of September 30, 2013, and compared to 3,100 and 53,400, respectively as of September

 

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30, 2012.  New Managers increased 20.0 percent over prior year, while Distributor and customer recruiting decreased 5.6 percent over prior year.

 

Effective Income Tax Rate

 

The effective income tax rate for the third quarter of 2013 was 24.7 percent compared to 25.0 percent in the third quarter of 2012.  The current quarter’s effective tax rate was below the U.S. federal statutory tax rate of 35.0 percent which was primarily attributable to foreign tax credit benefits, net favorable foreign items related to foreign tax rate differences, the impact of unremitted earnings, and adjustments to foreign valuation allowances, offset by an increase in tax liabilities associated with uncertain tax positions.

 

Quarterly Cash Dividend and Ongoing Share Repurchase Program

 

The Company’s Board of Directors approved its regular quarterly cash dividend of $0.10 per share payable on November 29, 2013 to shareholders of record as of the close of business on November 18, 2013.

 

On August 8, 2013, the Board of Directors authorized a $10 million share repurchase program to be implemented over two years.  Such purchases may be made in the open market, through block trades, in privately negotiated transactions or otherwise.  The timing and amount of any shares repurchased will be determined based on the Company’s evaluation of market conditions and other factors and the program may be discontinued or suspended at any time.

 

During the three months ended September 30, 2013, the Company repurchased 107,722 shares of its common stock under the share repurchase program for $1.9 million.  At September 30, 2013, the remaining balance available for repurchases under the program was $8.1 million.

 

The regular quarterly dividend, in addition to the special one-time dividend that was announced and paid in August 2013, and the on-going share repurchase program are due to the Company’s strong cash flow, healthy cash balance of $76.6 million, the Board’s commitment to return capital to shareholders and its confidence in the Company’s long-term growth prospects.

 

Non-GAAP Financial Measures

 

The Company has included information which has not been prepared in accordance with generally accepted accounting principles (GAAP), such as information concerning adjusted EBITDA, non-GAAP operating income and non-GAAP net income because management utilizes this information in the evaluation of its operations and believes that these measures are a useful indicator of the Company’s ability to fund its business. These non-GAAP financial measures should not be considered as an alternative to, or more meaningful than, U.S. GAAP net income as an indicator of the Company’s operating performance.  Moreover, these non-GAAP financial measures, as presented by the Company, may not be comparable to similarly titled measures reported by other companies. Other companies may use the same or similarly named measures, but exclude different items, which may not provide investors with a comparable view of our performance in relation to other companies. The Company has

 

4



 

included a reconciliation of these non-GAAP measures to reported earnings under GAAP in the attached financial tables.

 

Conference Call

 

Nature’s Sunshine Products will host a conference call to discuss its third quarter 2013 results on Thursday, November 7, 2013 at 11:00 AM Eastern Time.  The toll-free dial-in number for callers in the U.S. and Canada is 1-877-407-0789, conference ID: 10000592.  International callers can dial 1-201-689-8562, conference ID: 10000592.  A replay will be available from November 7, 2013 at 2:00 PM Eastern Time through November 21, 2013 at 11:59 PM Eastern Time at 1-877-870-5176 (U.S. and Canada) or 1-858-384-5517 (International), replay PIN: 10000592.  The call will also be webcast live and will be available on the Investing section of Nature’s Sunshine Products’ website at www.naturessunshine.com for 90 days.

 

About Nature’s Sunshine Products

 

Nature’s Sunshine Products (NASDAQ:NATR), a leading natural health and wellness company, markets and distributes nutritional and personal care products through a global direct sales force of over 340,000 active independent Managers, Distributors and customers in more than 40 countries.  Nature’s Sunshine manufactures most of its products through its own state-of-the-art facilities to ensure its products continue to set the standard for the highest quality, safety and efficacy on the market today. The Company has three reportable business segments that are divided based on the characteristics of their Distributor base, similarities in compensation plans, as well as the internal organization of NSP’s officers and their responsibilities (NSP Americas, Asia Pacific and Europe; NSP Russia, Central and Eastern Europe; and Synergy WorldWide). The Company also supports health and wellness for children around the world through its partnership with the Little Heroes Foundation.  Additional information about the Company can be obtained at its website, www.naturessunshine.com.

 

Cautionary Statement Regarding Forward-Looking Statements

 

In addition to historical information, this release contains certain forward-looking statements, including statements regarding Distributors and Managers and payment of dividends. Nature’s Sunshine Products may, from time to time, make written or oral forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include, but are not limited to, Nature’s Sunshine Products’ beliefs, expectations, hopes, or intentions regarding future events.  Words such as “expects,” “intends,” “believes,” “anticipates,” “should,” “likely,” and similar expressions identify forward-looking statements.  All forward-looking statements included in this release are made as of the date hereof and are based on information available to the Company as of such date. Nature’s Sunshine Products assumes no obligation to update any forward-looking statement.  Actual results will vary, and may vary materially, from those anticipated, estimated, projected or expected for a number of reasons, including, among others: further reviews of the Company’s financial statements by the Company and its Audit Committee; modification of the Company’s accounting practices; foreign business risks; industry cyclicality; fluctuations in customer demand and order pattern; changes in pricing and general economic conditions; as well as other risks detailed in the Company’s previous filings with the SEC.

 

Contact:

 

Steve Bunker

Chief Financial Officer

Nature’s Sunshine Products, Inc.

Lehi, Utah 84043

(801) 341-7303

 

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NATURE’S SUNSHINE PRODUCTS, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(Amounts in thousands)

(Unaudited)

 

 

 

September 30,
2013

 

December 31,
2012

 

Assets

 

 

 

 

 

Current assets:

 

 

 

 

 

Cash and cash equivalents

 

$

76,623

 

$

79,241

 

Accounts receivable, net of allowance for doubtful accounts of $1,008 and $631, respectively

 

10,908

 

9,614

 

Investments available for sale

 

2,080

 

2,071

 

Inventories

 

43,643

 

43,280

 

Deferred income tax assets

 

5,284

 

5,307

 

Prepaid expenses and other

 

6,864

 

5,820

 

Total current assets

 

145,402

 

145,333

 

 

 

 

 

 

 

Property, plant and equipment, net

 

29,347

 

27,950

 

Investment securities

 

1,109

 

1,276

 

Intangible assets, net

 

891

 

1,002

 

Deferred income tax assets

 

11,487

 

11,516

 

Other assets

 

6,851

 

6,842

 

 

 

$

195,087

 

$

193,919

 

 

 

 

 

 

 

Liabilities and Shareholders’ Equity

 

 

 

 

 

Current liabilities:

 

 

 

 

 

Accounts payable

 

$

7,209

 

$

6,226

 

Accrued volume incentives

 

20,014

 

18,130

 

Accrued liabilities

 

28,803

 

27,302

 

Deferred revenue

 

3,820

 

4,311

 

Current installments of long-term debt

 

3,110

 

3,350

 

Income taxes payable

 

2,174

 

2,071

 

Total current liabilities

 

65,130

 

61,390

 

 

 

 

 

 

 

Liability related to unrecognized tax benefits

 

11,486

 

10,571

 

Long-term debt

 

10,000

 

2,270

 

Deferred compensation payable

 

1,109

 

1,276

 

Other liabilities

 

2,535

 

2,776

 

Total long-term liabilities

 

25,130

 

16,893

 

 

 

 

 

 

 

Commitments and Contingencies

 

 

 

 

 

 

 

 

 

 

 

Shareholders’ equity:

 

 

 

 

 

Common stock, no par value, 50,000 shares authorized, 16,208 and 15,810 shares issued and outstanding as of September 30, 2013 and December 31, 2012, respectively

 

82,246

 

77,292

 

Retained earnings

 

35,879

 

48,910

 

Accumulated other comprehensive loss

 

(13,298

)

(10,566

)

Total shareholders’ equity

 

104,827

 

115,636

 

 

 

$

195,087

 

$

193,919

 

 

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NATURE’S SUNSHINE PRODUCTS, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Amounts in thousands, except per share information)

(Unaudited)

 

 

 

Three Months Ended
September 30,

 

 

 

2013

 

2012

 

 

 

 

 

 

 

Net sales revenue

 

$

92,458

 

$

91,232

 

Cost of sales

 

(23,655

)

(23,144

)

Gross profit

 

68,803

 

68,088

 

 

 

 

 

 

 

Operating expenses:

 

 

 

 

 

Volume incentives

 

33,920

 

33,155

 

Selling, general and administrative

 

28,170

 

26,228

 

Operating income

 

6,713

 

8,705

 

Other income (expense), net

 

(269

)

(214

)

Income before provision for income taxes

 

6,444

 

8,491

 

Provision for income taxes

 

1,594

 

2,121

 

Net income

 

$

4,850

 

$

6,370

 

 

 

 

 

 

 

Basic and diluted net income per common share

 

 

 

 

 

 

 

 

 

 

 

Basic:

 

 

 

 

 

Net income

 

$

0.30

 

$

0.41

 

 

 

 

 

 

 

Diluted:

 

 

 

 

 

Net income

 

$

0.29

 

$

0.40

 

 

 

 

 

 

 

Weighted average basic common shares outstanding

 

16,068

 

15,628

 

Weighted average diluted common shares outstanding

 

16,490

 

15,971

 

 

 

 

 

 

 

Dividends declared per common share

 

$

1.60

 

$

0.05

 

 

7



 

NATURE’S SUNSHINE PRODUCTS, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Amounts in thousands, except per share information)

(Unaudited)

 

 

 

Nine Months Ended
September 30,

 

 

 

2013

 

2012

 

 

 

 

 

 

 

Net sales revenue

 

$

282,612

 

$

277,091

 

Cost of sales

 

(70,730

)

(69,483

)

Gross profit

 

211,882

 

207,608

 

 

 

 

 

 

 

Operating expenses:

 

 

 

 

 

Volume incentives

 

103,420

 

100,276

 

Selling, general and administrative

 

86,996

 

79,142

 

Operating income

 

21,466

 

28,190

 

Other income (expense), net

 

1,543

 

(159

)

Income before provision for income taxes

 

23,009

 

28,031

 

Provision for income taxes

 

7,243

 

7,147

 

Net income

 

15,766

 

20,884

 

 

 

 

 

 

 

Basic and diluted net income per common share

 

 

 

 

 

 

 

 

 

 

 

Basic:

 

 

 

 

 

Net income

 

$

0.99

 

$

1.34

 

 

 

 

 

 

 

Diluted:

 

 

 

 

 

Net income

 

$

0.97

 

$

1.31

 

 

 

 

 

 

 

Weighted average basic common shares outstanding

 

15,930

 

15,603

 

Weighted average diluted common shares outstanding

 

16,327

 

15,917

 

 

 

 

 

 

 

Dividends declared per common share

 

$

1.80

 

$

0.10

 

 

8



 

NATURE’S SUNSHINE PRODUCTS, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Amounts in thousands)

(Unaudited)

 

 

 

Nine Months Ended
September 30,

 

 

 

2013

 

2012

 

CASH FLOWS FROM OPERATING ACTIVITIES:

 

 

 

 

 

Net income

 

$

15,766

 

$

20,884

 

Adjustments to reconcile net income to net cash provided by operating activities:

 

 

 

 

 

Provision for doubtful accounts

 

322

 

39

 

Depreciation and amortization

 

3,279

 

3,028

 

Share-based compensation expense

 

2,599

 

2,001

 

(Gain) loss on sale of property and equipment

 

(127

)

23

 

Deferred income taxes

 

52

 

(307

)

Amortization of bond discount

 

1

 

3

 

Purchase of trading investment securities

 

(62

)

(60

)

Proceeds from sale of trading investment securities

 

308

 

268

 

Realized and unrealized gains on investments

 

(78

)

(63

)

Foreign exchange (gains) losses

 

(1,057

)

856

 

Changes in assets and liabilities:

 

 

 

 

 

Accounts receivable

 

(1,781

)

(429

)

Inventories

 

(678

)

(1,926

)

Prepaid expenses and other current assets

 

(1,083

)

(1,021

)

Other assets

 

(97

)

(148

)

Accounts payable

 

878

 

(361

)

Accrued volume incentives

 

2,047

 

386

 

Accrued liabilities

 

1,284

 

(1,264

)

Deferred revenue

 

(491

)

403

 

Income taxes payable

 

199

 

(4,222

)

Liability related to unrecognized tax benefits

 

915

 

(654

)

Deferred compensation payable

 

(167

)

(112

)

Net cash provided by operating activities

 

22,029

 

17,324

 

CASH FLOWS FROM INVESTING ACTIVITIES:

 

 

 

 

 

Purchases of property, plant and equipment

 

(4,590

)

(5,617

)

Proceeds from sale of property, plant and equipment

 

233

 

25

 

Proceeds from maturity and sale of investments available for sale

 

100

 

3,689

 

Purchase of investments available for sale

 

(278

)

(197

)

Net cash used in investing activities

 

(4,535

)

(2,100

)

CASH FLOWS FROM FINANCING ACTIVITIES:

 

 

 

 

 

Net borrowings on line of credit

 

10,000

 

 

Principal payments of long-term debt

 

(2,509

)

(2,465

)

Dividends paid

 

(28,797

)

(1,560

)

Proceeds from the exercise of stock options

 

4,300

 

1,982

 

Repurchase of common stock

 

(1,945

)

 

Net cash used in financing activities

 

(18,951

)

(2,043

)

Effect of exchange rates on cash and cash equivalents

 

(1,161

)

393

 

Net increase (decrease) in cash and cash equivalents

 

(2,618

)

13,574

 

Cash and cash equivalents at the beginning of the period

 

79,241

 

58,969

 

Cash and cash equivalents at the end of the period

 

$

76,623

 

$

72,543

 

SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:

 

 

 

 

 

Cash paid for income taxes

 

$

7,068

 

$

12,694

 

Cash paid for interest

 

95

 

97

 

 

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NATURE’S SUNSHINE PRODUCTS, INC. AND SUBSIDIARIES

RECONCILIATION OF NET INCOME TO ADJUSTED EBITDA

(Amounts in thousands)

(Unaudited)

 

 

 

Three Months Ended
September 30,

 

 

 

2013

 

2012

 

 

 

 

 

 

 

Net income

 

$

4,850

 

$

6,370

 

Adjustments:

 

 

 

 

 

Depreciation and amortization

 

1,098

 

1,013

 

Share-based compensation expense

 

669

 

680

 

Other (income) expense, net*

 

269

 

214

 

Taxes

 

1,594

 

2,121

 

Adjusted EBITDA

 

$

8,480

 

$

10,398

 

 

 

 

Nine Months Ended
September 30,

 

 

 

2013

 

2012

 

 

 

 

 

 

 

Net income

 

$

15,766

 

$

20,884

 

Adjustments:

 

 

 

 

 

Depreciation and amortization

 

3,279

 

3,028

 

Share-based compensation expense

 

2,599

 

2,001

 

Other (income) expense, net*

 

(1,543

)

159

 

Taxes

 

7,243

 

7,147

 

Adjusted EBITDA

 

$

27,344

 

$

33,219

 

 


* Other income (expense), net is primarily comprised of foreign exchange gains (losses), interest income, and interest expense.

 

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Distributor Information

 

Our revenue is highly dependent upon the number and productivity of our Managers, Distributors and customers.  Growth in sales volume requires an increase in the productivity and/or growth in the total number of Managers, Distributors and customers.

 

The following table provides information concerning the number of total Managers, Distributors and customers by segment, as of the dates indicated.

 

Total Managers, Distributors and Customers by Segment

 

 

 

September 30, 2013

 

June 30, 2013

 

September 30, 2012

 

 

 

Distributors
& Customers

 

Managers

 

Distributors
& Customers

 

Managers

 

Distributors
& Customers

 

Managers

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

NSP Americas, Asia Pacific and Europe

 

329,300

 

8,500

 

331,500

 

9,100

 

362,200

 

8,800

 

NSP Russia, Central and Eastern Europe

 

257,800

 

5,200

 

254,700

 

5,000

 

252,900

 

5,000

 

Synergy WorldWide

 

118,500

 

3,200

 

119,900

 

3,100

 

115,900

 

3,100

 

 

 

705,600

 

16,900

 

706,100

 

17,100

 

731,000

 

16,900

 

 

“Total Managers” includes independent Managers under our various compensation plans that have achieved and maintained specified and personal groups sale volumes as of the date indicated. To maintain Manager status, an individual must continue to meet certain product sales volume levels. As such, all Managers are considered to be active Managers.

 

“Total Distributors and customers” includes our independent Distributors and customers who have purchased products directly from the Company for resale and/or personal consumption during the previous twelve months ended as of the date indicated. This includes Manager, Distributor and customer accounts that may have become inactive since such respective dates.

 

The following table provides information concerning the number of active Distributors and customers by segment, as of the dates indicated.

 

Active Distributors and Customers by Segment

 

 

 

September 30, 2013

 

June 30, 2013

 

September 30, 2012

 

 

 

Distributors
& Customers

 

Distributors
& Customers

 

Distributors
& Customers

 

 

 

 

 

 

 

 

 

NSP Americas, Asia Pacific and Europe

 

153,200

 

155,400

 

159,600

 

NSP Russia, Central and Eastern Europe

 

119,400

 

102,900

 

112,900

 

Synergy WorldWide

 

52,300

 

54,700

 

53,400

 

 

 

324,900

 

331,000

 

325,900

 

 

“Active Distributors and customers” includes our independent Distributors and customers who have purchased products directly from the Company for resale and/or personal consumption during the previous three months ended as of the date indicated. All of our Managers are active.

 

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The following tables provide information concerning the number of new Managers, Distributors and customers by segment, as of the dates indicated.

 

New Managers, Distributors and Customers by Segment for the Quarter

 

 

 

September 30, 2013

 

June 30, 2013

 

September 30, 2012

 

 

 

Distributors
& Customers

 

Managers

 

Distributors
& Customers

 

Managers

 

Distributors
& Customers

 

Managers

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

NSP Americas, Asia Pacific and Europe

 

37,600

 

900

 

38,300

 

1,100

 

41,000

 

1,000

 

NSP Russia, Central and Eastern Europe

 

21,500

 

300

 

20,500

 

400

 

17,600

 

300

 

Synergy WorldWide

 

16,900

 

600

 

19,400

 

500

 

17,900

 

500

 

 

 

76,000

 

1,800

 

78,200

 

2,000

 

76,500

 

1,800

 

 

“New Managers” includes independent Managers under our various compensation plans that first achieved the rank of Manager during the previous three months ended as of the date indicated.

 

“New Distributors and Customers” include our independent Distributors and customers who have made their initial product purchase directly from us for resale and/or personal consumption during the previous three months ended as of the date indicated.

 

The following tables provide information concerning the number of new Managers, Distributors and customers by segment, as of the dates indicated.

 

New Managers, Distributors and Customers by Segment for the Twelve Months

 

 

 

September 30, 2013

 

June 30, 2013

 

September 30, 2012

 

 

 

Distributors
& Customers

 

Managers

 

Distributors
& Customers

 

Managers

 

Distributors
& Customers

 

Managers

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

NSP Americas, Asia Pacific and Europe

 

148,900

 

3,900

 

152,300

 

4,000

 

173,000

 

4,400

 

NSP Russia, Central and Eastern Europe

 

86,300

 

1,600

 

82,400

 

1,600

 

77,000

 

1,500

 

Synergy WorldWide

 

73,400

 

1,800

 

74,300

 

1,700

 

73,600

 

1,900

 

 

 

308,600

 

7,300

 

309,000

 

7,300

 

323,600

 

7,800

 

 

“New Managers” includes independent Managers under our various compensation plans that first achieved the rank of Manager during the previous twelve months ended as of the date indicated.

 

“New Distributors and customers” include our independent Distributors and customers who have made their initial product purchase directly from us for resale and/or personal consumption during the previous twelve months ended as of the date indicated.

 

12