Mannatech Q3 net sales fall 14.6%, operating income declines

By Reuters News


Overview

  • US health and wellness firm's Q3 net sales fell 14.6% yr/yr

  • Q3 net income rose, driven by non-cash tax benefit, not operating improvement

  • Q3 income from operations declined sharply from prior year


Outlook

  • Company says changes in trade policies, including tariffs, could affect future cost structure and profitability


Result Drivers

  • SALES DECLINE - Co said Q3 net sales fell 14.6% yr/yr, with decreases across all regions and a 30.5% drop in new associate and customer recruiting

  • GROSS MARGIN PRESSURE - Gross profit margin declined to 74.7% from 76.4% yr/yr, reflecting lower sales leverage

  • NON-CASH TAX BENEFIT - Q3 net income was driven by a $10.9 mln non-cash income tax benefit from remeasurement of deferred tax liabilities, not improved operations


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Sales

$24.87 mln

Q3 Net Income

$8.91 mln

Q3 Gross Profit

$18.58 mln

Q3 Income from Operations

$272,000

Q3 Operating Expenses

$18.31 mln

Q3 Pretax Loss

$1.95 mln


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  • Nov 10 - Armanino Foods Q3 net sales rise 10% on food-service, international growth


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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