Exhibit 99.1
FOR IMMEDIATE RELEASE
NATURES SUNSHINE PRODUCTS REPORTS THIRD QUARTER 2015 FINANCIAL RESULTS
· Net sales revenue of $79.6 million was down 14.8% year-over-year; down 8.8% year-over-year on a local currency basis
· Earnings from continuing operations of $0.08 per diluted share
· Repurchased $6.1 million of common stock during first nine months of fiscal 2015
· Board of Directors approved a $0.10 per share quarterly cash dividend
LEHI, Utah, November 3, 2015 Natures 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 financial results for the third quarter ended September 30, 2015.
Third Quarter 2015 Financial Highlights
· Net sales revenue of $79.6 million, decreased 14.8% compared to $93.4 million in the third quarter of 2014. On a local currency basis, net sales revenue decreased 8.8% compared to the third quarter of 2014. Net sales revenue was negatively impacted by a $5.4 million decline in net sales in the NSP Russia, Central and Eastern Europe segment as well as a $5.6 million unfavorable impact in foreign currency exchange rate fluctuations.
· Net income from continuing operations was $1.6 million, or $0.08 per diluted common share, compared to $5.1 million, or $0.29 per diluted common share, in the third quarter of 2014. Earnings per diluted common share for the third quarter of 2015 were impacted by several factors including: the Companys investment in China of approximately $0.10 per share, which excludes tax benefits expected to be realized in future quarters, resulting in the higher-than-normal tax rate; foreign currency translation expenses of approximately $0.04 per share; and the net sales decline in the Russia, Central and Eastern Europe segment of approximately $0.03 per share.
· Adjusted EBITDA was $5.5 million compared to $7.7 million in the third quarter of 2014. Adjusted EBITDA, which is a non-GAAP financial measure, is defined here as net income from continuing operations before taxes, depreciation, amortization and other income adjusted to exclude share-based compensation expense.
Management Commentary
While our third quarter results were softer on the whole, we were very encouraged with NSP United States and NSP Canada both posting their fifth consecutive quarters of year-over-year local currency sales growth, commented Gregory L. Probert, Chairman and Chief Executive Officer. This growth was primarily fueled by continued progress with our IN.FORM business model, key retail account management along with the successful adoption of new products launched at the Leaders Conference and Convention in April. As a result, we recognized a key milestone during the quarter with existing members and new member sign-ups in NSP U.S. both posting year-over-year growth for the first time in over two years.
Mr. Probert continued, Our top-line, both as reported and in local currency, declined during the quarter primarily as a result of the ongoing challenges in NSP Russia, Central and Eastern Europe associated with political unrest in Ukraine and Russia and unfavorable currency headwinds. In an effort to strengthen our Distributor base in the region, we have launched various new product kits that have been very well received and are priced in a manner to support Distributor advancement as sales are made. Despite the uncertainty, we feel well-positioned to stimulate growth in the region with the support of our local partner once the situation steadies.
Further suppressing growth during the quarter was performance at Synergy driven by continued softness in North America and Korea, and to a lesser extent in Europe, which was partially offset by improvements in Japan and Indonesia. To reignite growth in Synergy, we are intently focused on unifying our multiple product strategies across all regions with the goal of achieving a more cohesive sales method focused detox, weight management and a daily habit of health, added Mr. Probert.
Mr. Probert concluded, Our entry into China is progressing on track and we remain hopeful we can secure our direct selling license in 2016. We made significant traction towards this goal with the grand opening of our new Shanghai office, which will serve as the Natures Sunshine Products headquarters in China, in addition to several key new hires to help support our successful launch in the region. On the product side, we designed new product packaging to achieve a premium look and feel as well as continued the process for general food importation and blue cap registration for select direct selling products. We are very excited to enter China and will update our progress on this front in the coming quarters.
Third Quarter 2015 Regional Sales by Operating Segment
|
|
Net Sales Revenue by Operating Segment |
| |||||||||||
|
|
Three Months |
|
Three Months |
|
Percent |
|
Impact of |
|
Percent |
| |||
NSP Americas: |
|
|
|
|
|
|
|
|
|
|
| |||
NSP North America |
|
$ |
36,371 |
|
$ |
36,228 |
|
0.4 |
% |
$ |
(526 |
) |
1.8 |
% |
NSP Latin America |
|
8,111 |
|
9,546 |
|
(15.0 |
) |
(1,092 |
) |
(3.6 |
) | |||
|
|
44,483 |
|
45,774 |
|
(2.8 |
) |
(1,618 |
) |
0.7 |
| |||
|
|
|
|
|
|
|
|
|
|
|
| |||
NSP Russia, Central and Eastern Europe |
|
6,321 |
|
11,753 |
|
(46.2 |
) |
(124 |
) |
(45.2 |
) | |||
|
|
|
|
|
|
|
|
|
|
|
| |||
Synergy WorldWide: |
|
|
|
|
|
|
|
|
|
|
| |||
Synergy Asia Pacific |
|
18,915 |
|
23,426 |
|
(19.3 |
) |
(2,658 |
) |
(7.9 |
) | |||
Synergy Europe |
|
6,071 |
|
7,538 |
|
(19.5 |
) |
(1,173 |
) |
(2.9 |
) | |||
Synergy North America |
|
2,810 |
|
3,768 |
|
(25.4 |
) |
|
|
(25.4 |
) | |||
|
|
27,797 |
|
34,732 |
|
(20.0 |
) |
(3,831 |
) |
(8.9 |
) | |||
|
|
|
|
|
|
|
|
|
|
|
| |||
China and New Markets |
|
985 |
|
1,147 |
|
(14.1 |
) |
|
|
(14.1 |
) | |||
|
|
|
|
|
|
|
|
|
|
|
| |||
|
|
$ |
79,586 |
|
$ |
93,406 |
|
(14.8 |
)% |
$ |
(5,573 |
) |
(8.8 |
)% |
Active Distributors and Customers by Segment (1)
|
|
As of September 30, 2015 |
|
As of June 30, 2015 |
| ||||
|
|
Distributors |
|
Managers |
|
Distributors |
|
Managers |
|
|
|
|
|
|
|
|
|
|
|
NSP Americas |
|
136,900 |
|
6,800 |
|
135,600 |
|
7,200 |
|
NSP Russia, Central and Eastern Europe |
|
66,500 |
|
2,700 |
|
72,000 |
|
2,900 |
|
Synergy WorldWide |
|
53,400 |
|
3,500 |
|
54,700 |
|
3,300 |
|
China and New Markets |
|
|
|
|
|
|
|
|
|
|
|
256,800 |
|
13,000 |
|
262,300 |
|
13,400 |
|
(1) 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.
Cash Flow and Balance Sheet Highlights
· Net cash provided by operating activities was $8.2 million for the nine months ended September 30, 2015 as compared to $13.5 million in the nine months ended September 30, 2014.
· Cash and cash equivalents as of September 30, 2015 were $43.9 million, compared to $58.7 million as of December 31, 2014.
· During the three months ended September 30, 2015, the Company repurchased $2.0 million of its common stock under its existing share repurchase plan. The Companys
total repurchases in the first nine months of 2015 were 458,000 shares for a total of $6.1 million.
· The Companys Board of Directors approved a quarterly cash dividend of $0.10 per share, payable on November 30, 2015, to shareholders of record as of the close of business on November 18, 2015. Dividend payments during the quarter were $1.9 million.
Conference Call
Natures Sunshine Products will host a conference call to discuss its third quarter 2015 results on November 3, 2015 at 5:30 PM Eastern Time. The toll-free dial-in number for callers in the U.S. and Canada is 1-877-407-0789, conference ID: 13621697. International callers can dial 1-201-689-8562, conference ID: 13621697. A replay will be available from November 3, 2015 at 8:30 PM Eastern Time through November 17, 2015 at 11:59 PM Eastern Time by dialing 1-877-870-5176 (U.S. and Canada) or 1-858-384-5517 (International), replay PIN: 13621697. The call will also be webcast live and will be available on the Investors section of Natures Sunshine Products website at www.naturessunshine.com for 90 days.
About Natures Sunshine Products
Natures 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 600,000 independent Managers, Distributors and customers in more than 40 countries. Natures 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 four 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 NSPs officers and their responsibilities (NSP Americas; NSP Russia, Central and Eastern Europe; Synergy WorldWide; and China and New Markets). The Company also supports health and wellness for children around the world through its partnership with the Sunshine Heroes Foundation. Additional information about the Company can be obtained at its website, www.naturessunshine.com.
Cautionary Statement Regarding Forward-Looking Statements
Certain information included or incorporated herein by reference in this report may be deemed to be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may include, but are not limited to, statements relating to our objectives, plans and strategies. All statements (other than statements of historical fact) that address activities, events or developments that we intend, expect, project, believe or anticipate will or may occur in the future are forward-looking statements. These statements are often characterized by terminology such as believe, hope, may, anticipate, should, intend, plan, will, expect, estimate, project, positioned, strategy and similar expressions, and are based on assumptions and assessments made by management in light of their experience and their perception of historical trends, current conditions, expected future developments and other factors they believe to be appropriate. For example, information appearing under Managements Discussion and Analysis of Financial Condition and Results of Operations includes forward-looking statements. Forward-looking statements are not guarantees of future performance and are subject to risks and uncertainties.
· any negative consequences resulting from the economy, including the availability of liquidity to us, our independent Distributors and our suppliers or the willingness of our customers to purchase products;
· our relationship with, and our inability to influence the actions of, our independent Distributors, and other third parties with whom we do business;
· improper activity by our employees or independent Distributors;
· negative publicity related to our products, ingredients, or direct selling organization or the nutritional supplement industry;
· changing consumer preferences and demands;
· our reliance upon, or the loss or departure of any member of, our senior management team which could negatively impact our Distributor relations and operating results;
· increased state and federal regulatory scrutiny of the nutritional supplement industry, including, but not limited to targeting of ingredients , testing methodology and product claims;
· the competitive nature of our business and the nutritional supplement industry;
· regulatory matters governing our products, ingredients, the nutritional supplement industry, our direct selling program, or the direct selling market in which we operate;
· legal challenges to our direct selling program or to the classification of our independent Distributors;
· risks associated with operating internationally and the effect of economic factors, including foreign exchange, inflation, disruptions or conflicts with our third party importers, governmental sanctions, ongoing Ukraine and Russia political conflict, pricing and currency devaluation risks, especially in countries such as Ukraine, Russia and Belarus;
· uncertainties relating to the application of transfer pricing, duties, value-added taxes, and other tax regulations, and changes thereto;
· our dependence on increased penetration of existing markets;
· our reliance on our information technology infrastructure;
· the sufficiency of trademarks and other intellectual property rights;
· changes in tax laws, treaties or regulations, or their interpretation;
· taxation relating to our independent Distributors;
· product liability claims;
· share price volatility related to, among other things, speculative trading; and
· the full implementation of our joint venture for operations in China with Fosun Industrial Co., Ltd., as well as the legal complexities, unique regulatory environment and challenges of doing business in China generally.
All forward-looking statements speak only as of the date of this press release and are expressly qualified in their entirety by the cautionary statements included in or incorporated by reference into this press release. Except as is required by law, we expressly disclaim any obligation to publicly release any revisions to forward-looking statements to reflect events after the date of this press release. Throughout this press release, we refer to Natures Sunshine Products, Inc., together with its subsidiaries, as we, us, our Company or the Company.
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 because management utilizes this information in the evaluation of its operations and believes that these measures are a useful indicator of the Companys 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 Companys 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 Natures Sunshine Products performance in relation to other companies. The Company has included a reconciliation of these non-GAAP measures to reported earnings under GAAP in the attached financial tables.
Contact:
Stephen M. Bunker
Chief Financial Officer
Natures Sunshine Products, Inc.
Lehi, Utah 84043
(801) 341-7303
investorrelations@natr.com
NATURES SUNSHINE PRODUCTS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Amounts in thousands, except per share information)
(Unaudited)
|
|
Three Months Ended |
| ||||
|
|
2015 |
|
2014 |
| ||
|
|
|
|
|
| ||
Net sales revenue |
|
$ |
79,586 |
|
$ |
93,406 |
|
Cost of sales |
|
(20,643 |
) |
(22,742 |
) | ||
Gross profit |
|
58,943 |
|
70,664 |
| ||
|
|
|
|
|
| ||
Operating expenses: |
|
|
|
|
| ||
Volume incentives |
|
28,690 |
|
34,918 |
| ||
Selling, general and administrative |
|
27,115 |
|
30,200 |
| ||
Operating income |
|
3,138 |
|
5,546 |
| ||
Other income (loss), net |
|
(247 |
) |
(42 |
) | ||
Income from continuing operations before provision for income taxes |
|
2,891 |
|
5,504 |
| ||
Provision for income taxes |
|
1,284 |
|
407 |
| ||
Net income from continuing operations |
|
1,607 |
|
5,097 |
| ||
Income (loss) from discontinued operations |
|
804 |
|
(4,106 |
) | ||
Net income |
|
2,411 |
|
991 |
| ||
Net loss attributable to non-controlling interests |
|
(355 |
) |
(26 |
) | ||
Net income attributable to common shareholders |
|
$ |
2,766 |
|
$ |
1,017 |
|
|
|
|
|
|
| ||
Basic and diluted net income per common share |
|
|
|
|
| ||
Basic: |
|
|
|
|
| ||
Net income from continuing operations |
|
$ |
0.09 |
|
$ |
0.29 |
|
Income (loss) from discontinued operations |
|
$ |
0.04 |
|
$ |
(0.24 |
) |
Net income attributable to common shareholders |
|
$ |
0.15 |
|
$ |
0.06 |
|
|
|
|
|
|
| ||
Diluted: |
|
|
|
|
| ||
Net income from continuing operations |
|
$ |
0.08 |
|
$ |
0.29 |
|
Income (loss) from discontinued operations |
|
$ |
0.04 |
|
$ |
(0.23 |
) |
Net income attributable to common shareholders |
|
$ |
0.15 |
|
$ |
0.06 |
|
|
|
|
|
|
| ||
Weighted average basic common shares outstanding |
|
18,688 |
|
17,310 |
| ||
Weighted average diluted common shares outstanding |
|
19,117 |
|
17,812 |
| ||
|
|
|
|
|
| ||
Dividends declared per common share |
|
$ |
0.10 |
|
$ |
1.60 |
|
NATURES SUNSHINE PRODUCTS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Amounts in thousands, except per share information)
(Unaudited)
|
|
Nine Months Ended |
| ||||
|
|
2015 |
|
2014 |
| ||
|
|
|
|
|
| ||
Net sales revenue |
|
$ |
244,711 |
|
$ |
279,704 |
|
Cost of sales |
|
(63,592 |
) |
(68,116 |
) | ||
Gross profit |
|
181,119 |
|
211,588 |
| ||
|
|
|
|
|
| ||
Operating expenses: |
|
|
|
|
| ||
Volume incentives |
|
88,630 |
|
104,081 |
| ||
Selling, general and administrative |
|
80,837 |
|
89,293 |
| ||
Operating income |
|
11,652 |
|
18,214 |
| ||
Other income (loss), net |
|
(567 |
) |
(383 |
) | ||
Income from continuing operations before provision for income taxes |
|
11,085 |
|
17,831 |
| ||
Provision (benefit) for income taxes |
|
2,880 |
|
(1,052 |
) | ||
Net income from continuing operations |
|
8,205 |
|
18,883 |
| ||
Income (loss) from discontinued operations |
|
2,116 |
|
(4,993 |
) | ||
Net income |
|
10,321 |
|
13,890 |
| ||
Net loss attributable to non-controlling interests |
|
(673 |
) |
(26 |
) | ||
Net income attributable to common shareholders |
|
$ |
10,994 |
|
$ |
13,916 |
|
|
|
|
|
|
| ||
Basic and diluted net income per common share |
|
|
|
|
| ||
Basic: |
|
|
|
|
| ||
Net income from continuing operations |
|
$ |
0.44 |
|
$ |
1.14 |
|
Income (loss) from discontinued operations |
|
$ |
0.11 |
|
$ |
(0.30 |
) |
Net income attributable to common shareholders |
|
$ |
0.59 |
|
$ |
0.84 |
|
|
|
|
|
|
| ||
Diluted: |
|
|
|
|
| ||
Net income from continuing operations |
|
$ |
0.43 |
|
$ |
1.11 |
|
Income (loss) from discontinued operations |
|
$ |
0.11 |
|
$ |
(0.29 |
) |
Net income attributable to common shareholders |
|
$ |
0.57 |
|
$ |
0.82 |
|
|
|
|
|
|
| ||
Weighted average basic common shares outstanding |
|
18,678 |
|
16,563 |
| ||
Weighted average diluted common shares outstanding |
|
19,193 |
|
17,068 |
| ||
|
|
|
|
|
| ||
Dividends declared per common share |
|
$ |
0.30 |
|
$ |
1.80 |
|
NATURES SUNSHINE PRODUCTS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(Amounts in thousands)
(Unaudited)
|
|
September 30, |
|
December 31, |
| ||
Assets |
|
|
|
|
| ||
Current assets: |
|
|
|
|
| ||
Cash and cash equivalents |
|
$ |
43,882 |
|
$ |
58,699 |
|
Accounts receivable, net of allowance for doubtful accounts of $776 and $849, respectively |
|
7,319 |
|
6,732 |
| ||
Investments available for sale |
|
1,786 |
|
2,546 |
| ||
Inventories |
|
39,380 |
|
40,438 |
| ||
Deferred income tax assets |
|
5,068 |
|
4,950 |
| ||
Prepaid expenses and other |
|
7,324 |
|
7,884 |
| ||
Total current assets |
|
104,759 |
|
121,249 |
| ||
|
|
|
|
|
| ||
Property, plant and equipment, net |
|
65,083 |
|
51,343 |
| ||
Investment securities - trading |
|
992 |
|
1,038 |
| ||
Intangible assets, net |
|
581 |
|
704 |
| ||
Deferred income tax assets |
|
14,807 |
|
14,495 |
| ||
Other assets |
|
10,461 |
|
7,970 |
| ||
|
|
$ |
196,683 |
|
$ |
196,799 |
|
|
|
|
|
|
| ||
Liabilities and Shareholders Equity |
|
|
|
|
| ||
Current liabilities: |
|
|
|
|
| ||
Accounts payable |
|
$ |
5,673 |
|
$ |
5,237 |
|
Accrued volume incentives |
|
16,126 |
|
16,867 |
| ||
Accrued liabilities |
|
24,306 |
|
28,957 |
| ||
Deferred revenue |
|
3,632 |
|
4,717 |
| ||
Income taxes payable |
|
791 |
|
2,131 |
| ||
Revolving credit facility payable |
|
1,199 |
|
|
| ||
Total current liabilities |
|
51,727 |
|
57,909 |
| ||
|
|
|
|
|
| ||
Liability related to unrecognized tax benefits |
|
6,978 |
|
6,598 |
| ||
Deferred compensation payable |
|
992 |
|
1,038 |
| ||
Other liabilities |
|
2,439 |
|
2,297 |
| ||
Total liabilities |
|
62,136 |
|
67,842 |
| ||
|
|
|
|
|
| ||
Shareholders equity: |
|
|
|
|
| ||
Common stock, no par value, 50,000 shares authorized, 18,625 and 18,662 shares issued and outstanding as of September 30, 2015, and December 31, 2014, respectively |
|
126,155 |
|
125,489 |
| ||
Retained earnings |
|
16,265 |
|
10,891 |
| ||
Noncontrolling interests |
|
3,108 |
|
3,781 |
| ||
Accumulated other comprehensive loss |
|
(10,981 |
) |
(11,204 |
) | ||
Total shareholders equity |
|
134,547 |
|
128,957 |
| ||
|
|
$ |
196,683 |
|
$ |
196,799 |
|
NATURES SUNSHINE PRODUCTS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Amounts in thousands)
(Unaudited)
|
|
Nine Months Ended |
| ||||
|
|
2015 |
|
2014 |
| ||
CASH FLOWS FROM OPERATING ACTIVITIES: |
|
|
|
|
| ||
Net income |
|
$ |
10,321 |
|
$ |
13,890 |
|
Adjustments to reconcile net income to net cash provided by operating activities: |
|
|
|
|
| ||
Provision for doubtful accounts |
|
21 |
|
130 |
| ||
Impairment of Venezuela property, plant and equipment, net |
|
|
|
2,947 |
| ||
Depreciation and amortization |
|
3,325 |
|
3,510 |
| ||
Share-based compensation expense |
|
3,276 |
|
3,034 |
| ||
(Gain) loss on sale of property and equipment |
|
(982 |
) |
36 |
| ||
Deferred income taxes |
|
(137 |
) |
(3,961 |
) | ||
Amortization of bond discount |
|
|
|
3 |
| ||
Purchase of trading investment securities |
|
(205 |
) |
(133 |
) | ||
Proceeds from sale of trading investment securities |
|
212 |
|
125 |
| ||
Realized and unrealized gains on investments |
|
(435 |
) |
(33 |
) | ||
Foreign exchange losses |
|
2,021 |
|
2,724 |
| ||
Changes in assets and liabilities: |
|
|
|
|
| ||
Accounts receivable |
|
(708 |
) |
827 |
| ||
Inventories |
|
56 |
|
181 |
| ||
Prepaid expenses and other current assets |
|
373 |
|
455 |
| ||
Other assets |
|
(3,184 |
) |
(1,478 |
) | ||
Accounts payable |
|
1,051 |
|
(598 |
) | ||
Accrued volume incentives |
|
(228 |
) |
235 |
| ||
Accrued liabilities |
|
(3,975 |
) |
(3,989 |
) | ||
Deferred revenue |
|
(1,085 |
) |
(52 |
) | ||
Income taxes payable |
|
(1,718 |
) |
(803 |
) | ||
Liability related to unrecognized tax benefits |
|
225 |
|
(3,550 |
) | ||
Deferred compensation payable |
|
(46 |
) |
41 |
| ||
Net cash provided by operating activities |
|
8,178 |
|
13,541 |
| ||
CASH FLOWS FROM INVESTING ACTIVITIES: |
|
|
|
|
| ||
Purchases of property, plant and equipment |
|
(17,532 |
) |
(19,973 |
) | ||
Proceeds from sale of property, plant and equipment |
|
1,374 |
|
7 |
| ||
Purchase of investments available for sale |
|
|
|
(18 |
) | ||
Proceeds from the sale of investments available for sale |
|
810 |
|
247 |
| ||
Net cash used in investing activities |
|
(15,348 |
) |
(19,737 |
) | ||
CASH FLOWS FROM FINANCING ACTIVITIES: |
|
|
|
|
| ||
Payments of cash dividends |
|
(5,620 |
) |
(33,357 |
) | ||
Principal payments of long-term debt and revolving credit facility |
|
|
|
(12,267 |
) | ||
Borrowings of long-term debt and revolving credit facility |
|
1,199 |
|
|
| ||
Repurchase of common stock |
|
(6,126 |
) |
(2,731 |
) | ||
Net proceeds from the issuance of shares to noncontrolling interest |
|
|
|
46,216 |
| ||
Investment by noncontrolling interest |
|
|
|
4,000 |
| ||
Proceeds from the exercise of stock options |
|
3,804 |
|
437 |
| ||
Net cash (used in) provided by financing activities |
|
(6,743 |
) |
2,298 |
| ||
Effect of exchange rates on cash and cash equivalents |
|
(904 |
) |
(2,893 |
) | ||
Net decrease in cash and cash equivalents |
|
(14,817 |
) |
(6,791 |
) | ||
Cash and cash equivalents at the beginning of the period |
|
58,699 |
|
77,247 |
| ||
Cash and cash equivalents at the end of the period |
|
$ |
43,882 |
|
$ |
70,456 |
|
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: |
|
|
|
|
| ||
Cash paid for income taxes |
|
$ |
8,669 |
|
$ |
5,996 |
|
Cash paid for interest |
|
98 |
|
155 |
|
NATURES SUNSHINE PRODUCTS, INC. AND SUBSIDIARIES
RECONCILIATION OF NET INCOME TO ADJUSTED EBITDA
(Amounts in thousands)
(Unaudited)
|
|
Three Months Ended |
| ||||
|
|
2015 |
|
2014 |
| ||
|
|
|
|
|
| ||
Net income from continuing operations |
|
$ |
1,607 |
|
$ |
5,097 |
|
Adjustments: |
|
|
|
|
| ||
Depreciation and amortization |
|
1,173 |
|
1,135 |
| ||
Share-based compensation expense |
|
1,191 |
|
952 |
| ||
Other (income) loss, net* |
|
247 |
|
42 |
| ||
Provision for income taxes |
|
1,284 |
|
407 |
| ||
Adjusted EBITDA |
|
$ |
5,502 |
|
$ |
7,663 |
|
|
|
Nine Months Ended |
| ||||
|
|
2015 |
|
2014 |
| ||
|
|
|
|
|
| ||
Net income from continuing operations |
|
$ |
8,205 |
|
$ |
18,883 |
|
Adjustments: |
|
|
|
|
| ||
Depreciation and amortization |
|
3,325 |
|
3,510 |
| ||
Share-based compensation expense |
|
3,276 |
|
3,034 |
| ||
Other (income) loss, net* |
|
567 |
|
383 |
| ||
Provision (benefit) for income taxes |
|
2,880 |
|
(1,052 |
) | ||
Adjusted EBITDA |
|
$ |
18,253 |
|
$ |
24,758 |
|
* Other income (loss), net is primarily comprised of foreign exchange gains (losses), interest income, and interest expense.