Q3 FY2026
Filed Nov 5, 2026Nu Skin Enterprises Reports Third Quarter Earnings
Third-quarter revenue declined (14.6 )%, all core Nu Skin geographic markets declined, customers fell (18 )%, and GAAP diluted EPS was $(0.02 ). Rhyz Manufacturing grew 19.3 %, but consolidated gross margin and operating margin declined.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Revenue, three months ended September 30, 2026GAAP | $311.0M | – | (14.6 )% |
| Revenue, nine months ended September 30, 2026GAAP | $951.7M | – | (14.6 )% |
| Revenue change at constant currency, three months ended September 30, 2026non-GAAP | (13.5 )% | – | (13.5 )% |
| Revenue change at constant currency, nine months ended September 30, 2026non-GAAP | (14.3 )% | – | (14.3 )% |
| Cost of sales, three months ended September 30, 2026GAAP | 108,842 | – | – |
| Gross profit, three months ended September 30, 2026GAAP | 202,167 | – | – |
| Gross margin, three months ended September 30, 2026GAAP | 65.0% | – | – |
| Gross margin, Nu Skin business, three months ended September 30, 2026GAAP | 76.6% | – | – |
| Selling expenses, three months ended September 30, 2026GAAP | 103,207 | – | – |
| Selling expenses as a percentage of revenue, three months ended September 30, 2026GAAP | 33.2% | – | – |
| Selling expenses, Nu Skin business, three months ended September 30, 2026GAAP | 40.9% | – | – |
| General and administrative expenses, three months ended September 30, 2026GAAP | 93,873 | – | – |
| General and administrative expenses as a percentage of revenue, three months ended September 30, 2026GAAP | 30.2% | – | – |
| Operating income, three months ended September 30, 2026GAAP | $5.09M | – | – |
| Adjusted operating income, three months ended September 30, 2026non-GAAP | $11.40M | – | – |
| Operating margin, three months ended September 30, 2026GAAP | 1.6 % | – | – |
| Operating margin excluding certain charges, three months ended September 30, 2026non-GAAP | 3.7 % | – | – |
| Interest expense, three months ended September 30, 2026GAAP | $3.50M | – | – |
| Other income (expense), net, three months ended September 30, 2026GAAP | $299K | – | – |
| Income (loss) before provision for income taxes, three months ended September 30, 2026GAAP | $1.89M | – | – |
| Provision (benefit) for income taxes, three months ended September 30, 2026GAAP | $2.63M | – | – |
| Effective tax rate, three months ended September 30, 2026GAAP | 139.3 % | – | – |
| Effective tax rate excluding impact of certain charges, three months ended September 30, 2026non-GAAP | 42.7 % | – | – |
| Net income (loss), three months ended September 30, 2026GAAP | −$742K | – | – |
| Adjusted net income, three months ended September 30, 2026non-GAAP | $4.70M | – | – |
| Diluted earnings per share, three months ended September 30, 2026GAAP | $ (0.02 ) | – | – |
| Diluted earnings per share excluding impact of certain charges, three months ended September 30, 2026non-GAAP | $ 0.10 | – | – |
| Operating income (loss), nine months ended September 30, 2026GAAP | −$50.21M | – | – |
| Impairment expenses, nine months ended September 30, 2026GAAP | 80,714 | – | – |
| Net income (loss), nine months ended September 30, 2026GAAP | −$248.7M | – | – |
| Diluted earnings per share, nine months ended September 30, 2026GAAP | $ (5.13 ) | – | – |
| Diluted earnings per share excluding impact of certain charges, nine months ended September 30, 2026non-GAAP | $ 0.44 | – | – |
| Total Customers, three months ended September 30, 2026other | 609,469 | – | (18 )% |
| Total Paid Affiliates, three months ended September 30, 2026other | 116,449 | – | (10 )% |
| Total Sales Leaders, three months ended September 30, 2026other | 26,995 | – | (13 )% |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Nu Skin Americas, three months ended September 30, 2026Constant-currency change was (15.9 )%. | $53.09M | – | (17.0 )% |
| Southeast Asia/Pacific, three months ended September 30, 2026Constant-currency change was (23.2 )%. | $43.03M | – | (23.5 )% |
| Mainland China, three months ended September 30, 2026Constant-currency change was (16.1 )%. | $37.89M | – | (10.9 )% |
| Japan, three months ended September 30, 2026Constant-currency change was (6.5 )%. | $38.63M | – | (13.3 )% |
| Europe & Africa, three months ended September 30, 2026Constant-currency change was (25.4 )%. | $27.90M | – | (26.6 )% |
| Hong Kong/Taiwan, three months ended September 30, 2026Constant-currency change was (15.2 )%. | $25.74M | – | (19.1 )% |
| South Korea, three months ended September 30, 2026Constant-currency change was (29.3 )%. | $24.41M | – | (30.7 )% |
| Nu Skin Other, three months ended September 30, 2026Constant-currency change was 673.8 %. | $1.89M | – | 673.8 % |
| Total Nu Skin, three months ended September 30, 2026Constant-currency change was (18.0 )%. | $252.6M | – | (19.2 )% |
| Rhyz Manufacturing, three months ended September 30, 2026Constant-currency change was 19.3 %. | $56.83M | – | 19.3 % |
| Rhyz Other, three months ended September 30, 2026Constant-currency change was (59.6 )%. | $1.60M | – | (59.6 )% |
| Total Rhyz, three months ended September 30, 2026Constant-currency change was 13.2 %. | $58.44M | – | 13.2 % |
| Nu Skin Americas, nine months ended September 30, 2026Constant-currency change was (14.8 )%. | $170.7M | – | (17.1 )% |
| Southeast Asia/Pacific, nine months ended September 30, 2026Constant-currency change was (18.8 )%. | $131.8M | – | (17.3 )% |
| Mainland China, nine months ended September 30, 2026Constant-currency change was (15.0 )%. | $129.0M | – | (10.1 )% |
| Japan, nine months ended September 30, 2026Constant-currency change was (5.5 )%. | $116.5M | – | (11.6 )% |
| Europe & Africa, nine months ended September 30, 2026Constant-currency change was (18.7 )%. | $91.43M | – | (15.6 )% |
| Hong Kong/Taiwan, nine months ended September 30, 2026Constant-currency change was (8.5 )%. | $79.27M | – | (9.7 )% |
| South Korea, nine months ended September 30, 2026Constant-currency change was (23.3 )%. | $75.36M | – | (26.0 )% |
| Nu Skin Other, nine months ended September 30, 2026Constant-currency change was 44.3 %. | $1.73M | – | 44.4 % |
| Total Nu Skin, nine months ended September 30, 2026Constant-currency change was (14.9 )%. | $795.7M | – | (15.3 )% |
| Rhyz Manufacturing, nine months ended September 30, 2026Constant-currency change was (9.3 )%. | $148.1M | – | (9.3 )% |
| Rhyz Other, nine months ended September 30, 2026Constant-currency change was (32.9 )%. | $7.87M | – | (32.9 )% |
| Total Rhyz, nine months ended September 30, 2026Constant-currency change was (10.9 )%. | $156.0M | – | (10.9 )% |
Amounts quoted below without a unit are in thousands, as in the filing’s tables. Per-share figures are as printed.
Q4 2026 and year ended December 31, 2026 outlook
- RevenueQ4 2026 Revenue $310 to $340 million; (16)% to (8)%
- NoteQ4 2026: Approximately 1% FX impact
- NoteQ4 2026 EPS $0.05 to $0.15 or $0.11 to $0.21 on an adjusted basis
- Note2026 Revenue $1.26 to $1.29 billion; (15)% to (13)%
- Note2026: Approximately (1)% FX impact
- Note2026 EPS $(5.08) to $(4.98) or $0.55 to $0.65 on an adjusted basis
- NoteWe are currently anticipating other charges for the fourth quarter of 2026 of approximately $5.0 million in cash-based transition cost.
Capital returns
- Dividend Payments $2.9 million
- Stock Repurchases $0.0 million
- $137.3 million remaining in authorization
What drove it
- Rhyz Manufacturing revenue was $ 56,831, up 19.3 % year over year in the third quarter.
- The company held its Nu Skin LIVE global convention in Japan and gathered with 12,000 of its sales leaders.
- Management cited adoption of the Prysm iO platform and year-to-date growth in revenue from flagship LifePak nutritional supplements.
- Third-quarter other charges consisted of $5.1 million related to employee severance charges and $1.2 million of professional fees.
Concerns
- Total Nu Skin revenue was $ 252,574, down (19.2 )% year over year, and all seven listed core Nu Skin geographic markets reported lower revenue.
- Total Customers were 609,469, down (18 )%; Total Paid Affiliates were 116,449, down (10 )%; and Total Sales Leaders were 26,995, down (13 )%.
- Gross margin was 65.0%, compared to 70.5%, while operating margin was 1.6 %, compared to 5.9 %.
- The effective tax rate was 139.3 %, compared to (6.8 )%.
- Nine-month impairment expenses were 80,714, and nine-month net income (loss) was $ (248,704 ).
What to watch
- Q4 2026 revenue guidance of $310 to $340 million and EPS guidance of $0.05 to $0.15, or $0.11 to $0.21 on an adjusted basis.
- Management's stated expectation for sequential growth in the fourth quarter.
- Affiliate and customer engagement through the holiday season.
- The anticipated approximately $5.0 million in fourth-quarter cash-based transition cost.
- The pace of recovery in Nu Skin geographic markets and the durability of Rhyz Manufacturing revenue.
Balance sheet and cash flow
- Cash and cash equivalents $ 164,903 as of September 30, 2026, compared to $ 238,630 as of December 31, 2025
- Current investments 1,736 as of September 30, 2026, compared to 1,211 as of December 31, 2025
- Inventories, net 191,656 as of September 30, 2026, compared to 178,643 as of December 31, 2025
- Current portion of long-term debt 20,000 as of September 30, 2026, compared to 20,000 as of December 31, 2025
- Long-term debt 183,734 as of September 30, 2026, compared to 204,187 as of December 31, 2025
- Total assets 1,088,078 as of September 30, 2026, compared to 1,405,313 as of December 31, 2025
- Total liabilities 540,596 as of September 30, 2026, compared to 600,073 as of December 31, 2025
- Total stockholders' equity 547,482 as of September 30, 2026, compared to 805,240 as of December 31, 2025
Analysis
Nu Skin reported third-quarter revenue of $ 311,009, down (14.6 )% from $ 364,211, with a constant-currency change of (13.5 )%. The core Nu Skin business recorded revenue of $ 252,574, down (19.2 )%, while Total Rhyz increased 13.2 % to $ 58,435 because Rhyz Manufacturing grew 19.3 % to $ 56,831. Each listed core Nu Skin geographic market declined year over year, led by South Korea at (30.7 )%, Europe & Africa at (26.6 )%, and Southeast Asia/Pacific at (23.5 )%.
Sales-force and customer measures also contracted. Total Customers were 609,469, down (18 )%, Total Paid Affiliates were 116,449, down (10 )%, and Total Sales Leaders were 26,995, down (13 )%. Management cited continued Prysm iO platform adoption and year-to-date growth in LifePak nutritional supplements revenue, while pointing to its Japan convention and holiday-season engagement efforts as operating priorities.
Profitability declined materially. Gross margin was 65.0%, compared with 70.5%, and GAAP operating margin was 1.6 %, compared with 5.9 %. GAAP operating income was $ 5,087, versus $ 21,642, while adjusted operating income was $ 11,401. Third-quarter GAAP net income (loss) was $ (742 ), producing diluted EPS of $ (0.02 ); diluted EPS excluding certain charges was $ 0.10. The reported effective tax rate was 139.3 %, and the adjusted effective tax rate was 42.7 %.
The nine-month results include sizable non-operating pressure. Operating income (loss) was $ (50,206 ), impairment expenses were 80,714, and net income (loss) was $ (248,704 ). The company ended September 30 with cash and cash equivalents of $ 164,903 and long-term debt of 183,734, alongside a current portion of long-term debt of 20,000. It paid $2.9 million of dividends and made $0.0 million of stock repurchases, with $137.3 million remaining in the authorization.
For the fourth quarter, Nu Skin guided revenue to $310 to $340 million, a change of (16)% to (8)%, with approximately 1% FX impact. It guided GAAP EPS to $0.05 to $0.15 and adjusted EPS to $0.11 to $0.21, while anticipating approximately $5.0 million in cash-based transition cost. Full-year guidance calls for revenue of $1.26 to $1.29 billion, GAAP EPS of $(5.08) to $(4.98), and adjusted EPS of $0.55 to $0.65.
Management, verbatim
Third quarter revenue came in within our guidance range as we continued executing on our strategic priorities amid a challenging operating environment.
Ryan Napierski, Nu Skin president and CEO
Looking ahead, we are focused on driving affiliate and customer engagement through the holiday season and anticipate sequential growth in the fourth quarter.
Ryan Napierski, Nu Skin president and CEO
For the fourth quarter, we project revenue between $310 million and $340 million, with earnings per share in the range of $0.05 to $0.15 or $0.11 to $0.21 on an adjusted basis.
Chelsea Lantz, interim chief financial officer
Not in the filing
stated, not guessed- Previous-release outlook was not provided, so comparison with prior guidance is unavailable.
- Cash flow from operations was not reported.
- Free cash flow was not reported.
- Prior-quarter comparatives were not reported for the presented operating metrics.
- Q4 2026 gross margin, operating expenses, and tax-rate guidance were not reported.
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was checked against the filing text, and a metric whose value, prior period and change do not add up is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.