NHTC · Natural Health Trends Corp.

Natural Health Trends Corp. reported first quarter 2026 results reflecting continued headwinds from trade tensions and weak consumer spending in China. Revenue of $9.2 million declined 14% year-over-year and 6% sequentially, as the company's active member base shrank to 26,400 from 30,180 a year ago. Gross profit margin remained relatively stable at 75% of sales, but operating expenses as a percentage of revenue increased, leading to an operating loss of $474,000. The company's restructuring program, implemented late last year, generated approximately $300,000 in cost savings during the quarter, partially offsetting the revenue decline. Net loss was $154,000, or $0.02 per diluted share, compared to net income of $122,000 in the prior year period. Management noted that the top line has stabilized after the initial impact of trade war rhetoric, but the operating environment remains challenging. The company declared a quarterly cash dividend of $0.10 per share, payable May 22, 2026. Cash and marketable securities totaled $21.2 million at quarter end, down from $28.9 million due to share repurchases and dividends. The company repurchased $5.9 million of common stock during the quarter. Looking ahead, management expressed optimism about the upcoming 25th anniversary celebration in Hong Kong and continued focus on new product launches and technology tools to support members and customers.