Sales in Mainland China, by far the company’s biggest single market, increased by 3.9% year-over-year for a total of $136 million. As a result of the regulatory review and COVID-19 restrictions, in person meetings have been severely curtailed in the country. This is particularly troublesome for multi level marketing firms like Usana that rely on in person events to energize its sales force.
Sales elsewhere in Asia more than made up for the underperforming China market. Sales in North Asia (South Korea and Japan) increased by 24.3% and in the Southeast Asia Pacific region sales were up by more than 40%. More than 80% of the company’s overall sales now come from Asia.
Usana brought in $298.5 million in revenue in the quarter, and also posted $1.44 in earnings per diluted share. Both figures were records. (Source: NutraIngredients)