$NHTC

NATURAL HEALTH TRENDS CORP

CIK:0000912061|SEC Filings

Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
Net sales	$ 7,603	$ 9,813	$ 16,809	$ 20,550
Cost of sales	1,882	2,558	4,185	5,390
Gross profit	5,721	7,255	12,624	15,160
Operating expenses:
Commissions expense	3,111	4,012	6,964	8,500
Selling, general and administrative expenses	3,253	3,576	6,777	7,338
Total operating expenses	6,364	7,588	13,741	15,838
Loss from operations	(643)	(333)	(1,117)	(678)
Other income, net	190	348	485	813
Income (loss) before income taxes	(453)	15	(632)	135
Income tax benefit	(2)	0	(27)	(2)
Net income (loss)	$ (451)	$ 15	$ (605)	$ 137
Net income (loss) per common share:
Basic (in dollars per share)	$ (0.05)	$ 0	$ (0.06)	$ 0.01
Diluted (in dollars per share)	$ (0.05)	$ 0	$ (0.06)	$ 0.01
Weighted average common shares outstanding:
Basic (in shares)	8,578	11,493	9,356	11,489
Diluted (in shares)	8,578	11,497	9,356	11,496

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$ (605)	$ 137
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Depreciation and amortization	34	59
Net accretion of marketable securities	(36)	(214)
Share-based compensation	0	68
Noncash lease expense	599	573
Deferred income taxes	0	(3)
Changes in assets and liabilities:
Inventories	(27)	525
Other current assets	358	402
Other assets	(144)	(334)
Accounts payable	376	65
Accrued commissions	(202)	(194)
Other accrued expenses	(276)	(110)
Deferred revenue	(1,330)	(311)
Amounts held in eWallets	(210)	(170)
Operating lease liabilities	(585)	(561)
Other current liabilities	(113)	(5,083)
Net cash used in operating activities	(2,161)	(5,151)
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property and equipment	(440)	(20)
Purchases of marketable securities	(8,709)	(27,552)
Proceeds from maturities of marketable securities	21,566	34,215
Net cash provided by investing activities	12,417	6,643
CASH FLOWS FROM FINANCING ACTIVITIES:
Repurchase of common stock	(5,870)	0
Dividends paid	(1,716)	(4,606)
Net cash used in financing activities	(7,586)	(4,606)
Effect of exchange rates on cash, cash equivalents and restricted cash	17	118
Net increase (decrease) in cash, cash equivalents and restricted cash	2,687	(2,996)
CASH, CASH EQUIVALENTS AND RESTRICTED CASH, beginning of period	6,820	13,567
CASH, CASH EQUIVALENTS AND RESTRICTED CASH, end of period	9,507	10,571
SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING AND FINANCING ACTIVITIES:
Right-of-use assets obtained in exchange for operating lease liabilities	1,356	112
Direct costs incurred to repurchase common stock	$ 92	$ 0

Consolidated Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands	Jun. 30, 2026	Dec. 31, 2025
Current assets:
Cash and cash equivalents	$ 9,501	$ 6,813
Marketable securities	9,121	22,060
Inventories, net	2,049	2,047
Other current assets	3,033	3,274
Total current assets	23,704	34,194
Property and equipment, net	570	153
Operating lease right-of-use assets	2,589	1,869
Deferred tax asset	288	289
Other assets	2,059	1,923
Total assets	29,210	38,428
Current liabilities:
Accounts payable	964	555
Accrued commissions	1,741	1,958
Other accrued expenses	1,222	1,438
Deferred revenue	4,205	5,574
Amounts held in eWallets	2,606	2,838
Operating lease liabilities	860	869
Other current liabilities	341	456
Total current liabilities	11,939	13,688
Deferred tax liability	179	180
Operating lease liabilities	1,890	1,131
Total liabilities	14,008	14,999
Commitments and contingencies (Note 7)
Preferred stock, $0.001 par value; 5,000,000 shares authorized; no shares issued and outstanding	0	0
Common stock, $0.001 par value; 50,000,000 shares authorized; 12,979,414 shares issued at June 30, 2026 and December 31, 2025	13	13
Additional paid-in capital	85,033	85,033
Accumulated deficit	(38,757)	(36,436)
Accumulated other comprehensive loss	(728)	(784)
Treasury stock, at cost; 4,401,566 and 1,466,339 shares at June 30, 2026 and December 31, 2025, respectively	(30,359)	(24,397)
Total stockholders’ equity	15,202	23,429
Total liabilities and stockholders’ equity	$ 29,210	$ 38,428