Natural Health Trends Corp
October 28, 2026
LOS ANGELES, California - October 28, 2026
Natural Health Trends Corp., the publicly traded direct-selling company behind the NHT Global brand, reported third-quarter revenue of $7.6 million on Wednesday, a 20 percent drop from the same quarter a year ago, as it leaned on discounts and cheaper product packages to hold on to members in a difficult main market.
For the three months ended September 30, 2026, net sales came to $7.56 million, compared with $9.48 million in the third quarter of 2025 and essentially flat with the $7.6 million it booked in the second quarter of this year. The company posted an operating loss of $277,000, narrower than the $643,000 loss in the second quarter and the $495,000 loss a year earlier. Net loss was $232,000, or 3 cents per diluted share, compared with a loss of $431,000, or 4 cents per share, in the year-ago quarter.
Commissions paid to members fell to $2.71 million from $3.88 million a year earlier, and selling, general and administrative expenses dropped to $3.17 million from $3.61 million. Gross profit was $5.61 million, down from $6.99 million.
The company counted 27,040 Active Members at the end of September, which it defines as people who placed at least one product order in the previous 12 months. That was up from 26,000 at the end of June and 26,650 at the end of 2025, but still below the 28,030 it reported a year earlier.
For the first nine months of 2026, revenue was $24.4 million, down 19 percent from $30.0 million in the same period of 2025. The year-to-date operating loss widened to $1.4 million from $1.2 million, and the net loss grew to $837,000 from $294,000.
President Chris Sharng blamed the decline on consumer pessimism in the company's largest market, regulatory uncertainty, and what he called previously reported member code of conduct matters, all of which he said continued to weigh on purchasing and member activity. In response, the company introduced additional incentives and lower-priced packages. Sharng said those moves accounted for most of the year-over-year revenue decline, but argued they made products more accessible and helped lift the Active Member count and steady sales late in the quarter.
Sharng also pointed to the company's 25th anniversary celebration in Hong Kong in August, which he said drew 1,000 attendees, the launch of a new AI-powered marketing and communication app, and appreciation events in three key markets. He said ongoing restructuring to protect margins and cut costs drove the 57 percent reduction in operating loss from the prior quarter, while acknowledging that conditions remain challenging.
The balance sheet continued to shrink. Cash, cash equivalents and marketable securities totaled $17.6 million at September 30, down from $28.9 million at the end of 2025. The company attributed the drop mainly to stock buybacks and dividends, along with cash used in operations. Net cash used in operating activities was $3.3 million for the first nine months, compared with $5.0 million a year earlier. Deferred revenue fell to about $3.0 million from $5.6 million at year-end, and amounts held in member eWallets declined to $2.4 million from $2.8 million.
Natural Health Trends spent $5.9 million repurchasing stock during the first nine months of the year, and its weighted average share count for the quarter fell to about 8.6 million from 11.5 million a year earlier. It bought back 28,022 shares on the open market for $27,000 during the third quarter and another 57,269 shares for $56,000 in October. The board has since authorized additional repurchases under its existing program, and the company said $15.8 million is available. Dividends paid in the first nine months totaled $1.7 million, compared with $6.9 million in the same period last year.
Natural Health Trends, based in Los Angeles and listed on the Nasdaq under the ticker NHTC, sells personal care, wellness and "quality of life" products through independent members in Asia, the Americas and Europe. Management scheduled a conference call for October 28 at 11:30 a.m. Eastern Time to discuss the results.