Mannatech Reports Second Quarter 2012 Financial Results

COPPELL, Texas, Aug 08, 2012 -- Mannatech, Incorporated, a leading developer and provider of nutritional supplements and skin care products based on Real Food Technology(R) solutions, today reported a net loss of $2.4 million, or $0.93 per diluted share, for the second quarter ending June 30, 2012, compared to a net loss of $5.2 million, or $1.98 per diluted share, for the second quarter of 2011.

Net sales for the second quarter of 2012 were $43.6 million, a decrease of 15.1%, compared to $51.3 million in the second quarter of 2011. Net sales for the United States and Canada declined 11.7% to $22.6 million, compared to $25.6 million in the second quarter of 2011. International net sales of $21.0 million decreased 18.6%, compared to $25.8 million in the second quarter of 2011.

Recruiting increased 37.5% as compared to the second quarter of 2011. New independent associates and members for the second quarter of 2012 were 27,570 compared to 20,048 in 2011. Total active independent associates and members eligible to purchase our products based on a 12-month trailing period were approximately 378,000 as of June 30, 2012, compared to 385,000 as of June 30, 2011.

Dr. Robert Sinnott, CEO and Chief Science Officer, commented, "The acceptance in the field of our newest product, NutriVerus(TM), and our 4Free Discount Program initiative in North America has resulted in a strong increase in recruiting during the second quarter. We believe the energy of our field in other markets is similarly positioned as NutriVerus(TM) is expected to launch in those markets over the next few months."