Natural Health Trends Announces Financial Results

DALLAS, May 10, 2012 (GLOBE NEWSWIRE) -- Natural Health Trends Corp. (OTCQB:NHTC) today announced its financial results for the quarter ended March 31, 2012. The Company reported sales of $9.1 million, up 75% over a year ago, and earnings per share of $0.04 for the quarter, compared to losses per share of $0.04 during the comparable period in 2011.

"We are pleased with the quarterly results and the growth that our business is experiencing," said Chris Sharng, President of Natural Health Trends. "This success can be attributed to the hard work and dedication of our field leaders and the fact that they are embracing the promotions, incentives and programs that we've put in place. We will build on our momentum with a robust calendar of exciting promotions and incentives geared toward attracting new members and rewarding those existing members for their hard work."

About Natural Health Trends Corp.

Natural Health Trends Corp. is an international direct-selling and e-commerce company operating through its subsidiaries throughout Asia, North America, and Europe. The company markets premium quality personal care products under the NHT Global brand.  Additional information can be found on the company's website,

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995 -- Forward-looking statements in this release do not constitute guarantees of future performance.  Such forward-looking statements are subject to risks and uncertainties that could cause our actual results to differ materially from those anticipated.  Such risks and uncertainties include the risks and uncertainties detailed under the caption "Risk Factors" in our Annual Report on Form 10-K filed on March 27, 2012, with the Securities and Exchange Commission.  We assume no obligation to update any forward-looking information contained in this press release or with respect to the announcements described herein.

(In Thousands, Except Share Data)
31, 2011
31, 2012
Current assets:    
Cash and cash equivalents $1,617 $2,758
Restricted cash 494 248
Accounts receivable 93 338
Inventories, net 1,089 1,008
Other current assets 537 646
Total current assets 3,830 4,998
Property and equipment, net 68 76
Goodwill 1,764 1,764
Restricted cash 220 225
Other assets 241 241
Total assets $6,123 $7,304
Current liabilities:    
Accounts payable $2,208 $1,997
Income taxes payable 11 22
Accrued distributor commissions 1,177 1,271
Other accrued expenses 1,471 1,788
Deferred revenue 967 1,335
Deferred tax liability 148 148
Other current liabilities 950 974
Total liabilities 6,932 7,535
Commitments and contingencies    
Stockholders' deficit:    
Preferred stock 124 124
Common stock 11 11
Additional paid-in capital 80,493 80,513
Accumulated deficit (81,338) (80,831)
Accumulated other comprehensive loss:    
Foreign currency translation adjustments (99) (48)
Total stockholders' deficit (809) (231)
Total liabilities and stockholders' deficit $6,123 $7,304
(In Thousands, Except Per Share Data)
  Three Months Ended March 31,
  2011 2012
Net sales $5,175 $9,090
Cost of sales 1,529 2,399
Gross profit 3,646 6,691
Operating expenses:    
Distributor commissions 1,762 3,691
Selling, general and administrative expenses 2,030 2,437
Depreciation and amortization 232 12
Total operating expenses 4,024 6,140
Income (loss) from operations (378) 551
Other expense, net (95) (63)
Income (loss) before income taxes (473) 488
Income tax provision (benefit) 7 (19)
Net income (loss) (480) 507
Less: Net income attributable to the noncontrolling interest 8
Net income (loss) attributable to Natural Health Trends (472) 507
Preferred stock dividends (4) (4)
Net income (loss) attributable to common stockholders of Natural Health Trends $(476) $503
Income (loss) per share of Natural Health Trends:    
Basic $(0.04) $0.05
Diluted $(0.04) $0.04
Weighted-average number of shares outstanding:    
Basic 10,635 10,863
Diluted 10,635 11,181
CONTACT: Natural Health Trends Corp.
Source: Natural Health Trends Corp.