NU Skin Enterprises Reports Mixed Q3 Results While Advancing Strategic Wellness Platform and India Market Entry
NU Skin Enterprises delivered earnings at the high end of guidance despite revenue challenges, while advancing its AI-powered wellness platform and strategic entry into the Indian market.
NU Skin Enterprises Inc. reported third-quarter revenue of $364.2 million, falling at the low end of expectations but delivering adjusted earnings per share of $0.34 at the high end of guidance. The company's performance demonstrates resilience in a challenging macroeconomic environment, with disciplined spending contributing to improved profitability despite softer top-line results.
The company's Rhyz segment generated $51.6 million in revenue, comprising $47.6 million from manufacturing and $4.0 million from other Rhyz activities. Meanwhile, the core Nu Skin business maintained strong operational efficiency with a 70.5% gross margin and reduced selling expenses to 35.8% company-wide. Management highlighted double-digit growth in Latin America and sequential improvement across several reporting segments as key drivers of the earnings performance.
Strategic initiatives are taking center stage as Nu Skin prepares for significant product and market expansions. The company is gearing up for a limited fourth-quarter preview of its Prysm iO intelligent wellness platform for qualified leaders, with broader leader availability planned for the first half of 2026 and full consumer launch in the second half of 2026. This AI-enabled device leverages a database of approximately 20 million scans to deliver personalized insights and subscription recommendations designed to enhance lifetime value in the nutrition portfolio.
Concurrently, Nu Skin is initiating pre-market opening activities in India during the fourth quarter of 2025 ahead of a formal market launch in the second half of 2026. The company plans to apply its digital-first playbook that has proven successful in faster-growing regions, representing a strategic expansion into one of the world's largest consumer markets.
Key performance indicators showed declines year-over-year, with the company ending the quarter with 31,150 sales leaders, 130,096 paid affiliates, and 746,256 customers, representing decreases of 19%, 13%, and 10% respectively. However, management noted positive sequential trends in several regions, including continued double-digit growth in Latin America and sequential growth in Southeast Asia/Pacific.
Financial stability remains a strength for Nu Skin, with the company ending the quarter with $251.7 million in cash on hand and a net cash position of $22.7 million. This financial foundation supports the Prysm iO preview, India pre-opening activities, and ongoing product and digital investments.
Looking ahead, Nu Skin provided fourth-quarter 2025 guidance projecting revenue between $365 million and $400 million with EPS ranging from $0.25 to $0.35. Full-year 2025 revenue is expected to reach $1.48 billion to $1.51 billion, with GAAP EPS of $3.15 to $3.25 and adjusted EPS of $1.25 to $1.35. The company's current valuation metrics show it trading at a forward price to adjusted EPS of 7.8x compared to comparable companies averaging 17.0x, suggesting potential for multiple expansion as strategic initiatives progress.