USANA Health Sciences (USNA) Q1 2026 earnings summary

Executive summary

• Q1 2026 net sales were $250.2 million, flat year-over-year but up 11% sequentially, driven by strong Rise Wellness growth and sequential improvement in Core Nutritional, especially in China.

• Net earnings declined 20% year-over-year to $7.5 million, mainly due to lower operating margin and higher effective tax rate.

• Transformation to an omnichannel health and wellness platform is progressing, with Hiya and Rise Wellness expanding into new markets and retail channels.

• Core Nutritional remains the primary business, accounting for 82% of consolidated net sales, with 404,000 active customers as of April 4, 2026.

• Strategic priorities include enhancing Brand Partner compensation, accelerating product launches, and modernizing technology infrastructure.

Financial highlights

• Gross profit margin declined to 76.2% from 79.0% year-over-year, impacted by lower-margin Rise sales and higher material costs.

• Hiya net sales were $32 million in Q1, down 13% year-over-year, with 186,000 active monthly subscribers.

• Rise Wellness net sales surged 741% year-over-year to $14 million, driven by Protein Pop Plus launch at Costco.

• Cash and cash equivalents stood at $163 million at quarter-end, with $14 million in debt.

• Adjusted EBITDA was $28.4 million, down 5% year-over-year but up 4% sequentially.

Outlook and guidance

• Fiscal 2026 consolidated net sales expected between $925 million and $1.0 billion.

• Hiya full-year 2026 net sales projected at $140 million–$155 million.

• Omnichannel net sales expected to exceed 20% of total net sales in 2026, up from 16% in 2025.

• Guidance reflects a favorable FX impact of $19 million and one less week of operations versus 2025.

• Guidance includes incremental investment in technology modernization, funded by operational efficiencies.