Natural Health Trends (NHTC) Q4 2025 earnings summary

Executive summary

• Q4 2025 revenue rose 3% sequentially to $9.7 million but declined 10% year-over-year; full-year 2025 revenue was $39.8 million, down 7% from 2024.

• Full year showed signs of stabilization, with increased reorder rates and 10% growth in curated product bundle sales.

• Growth in Taiwan and Peru in Q4, with strong annual increases in Japan and Colombia.

• Restructuring initiatives aimed at $1.5 million annualized savings are nearly complete, with a significant shift in product sourcing to East Asia.

• A quarterly cash dividend of $0.10 per share was declared, payable in February 2026.

Financial highlights

• Gross profit margin was 72.9% in Q4, down from 74.2% last year due to inventory write-offs from discontinued and relocated products.

• Commissions expenses were 40.3% of net sales, down from 41.9% a year ago.

• SG&A expenses were $3.8 million, with $208,000 in restructuring charges.

• Operating loss was $635,000 in Q4; excluding restructuring, operating loss would have been $352,000.

• Net loss for Q4 was $588,000 ($0.05 per diluted share), compared to net income of $176,000 ($0.02 per share) last year.

• Full-year net loss was $882,000 ($0.08 per diluted share) versus net income of $572,000 in 2024.

• Net cash used in operations was $959,000 in Q4 and $6 million for the year; cash, equivalents, and marketable securities totaled $28.9 million at year-end.

• $9.2 million in dividends paid during 2025.

Outlook and guidance

• Restructuring initiatives are nearly complete, with $1.5 million in annualized cost savings expected in 2026.

• 25th anniversary year in 2026 expected to drive renewed momentum through special events and product launches.

• Business positioned for improved profitability and performance in 2026.