Nature’s Sunshine Products, Inc. (NASDAQ: NATR) is a leading manufacturer of herbal and nutritional supplements. The company recently reported its earnings for the first quarter of 2025, showcasing a solid performance. NATR achieved an earnings per share (EPS) of $0.25, surpassing the estimated EPS of $0.20. However, its actual revenue of $113.25 million slightly missed the estimated $114.41 million.
During the Q1 2025 earnings conference call, led by CEO Terrence Moorehead and CFO Shane Jones, the company highlighted a 2% increase in net sales, reaching $113.25 million compared to $111 million in the same quarter the previous year. This growth was further emphasized by a 5% increase in constant currency. The GAAP net income attributable to common shareholders surged by 104% to $4.7 million, or $0.25 per diluted common share, up from $2.3 million, or $0.12 per diluted common share.
NATR’s financial health is underscored by its strategic capital allocation. The board of directors has authorized the repurchase of up to $25 million of the company’s common shares, with $8.3 million remaining from the previous authorization as of March 31, 2025. These repurchases will be conducted based on market conditions, reflecting the company’s confidence in its financial position.
The company’s financial metrics indicate a strong market position. NATR has a price-to-earnings (P/E) ratio of approximately 29.80, showing the price investors are willing to pay per dollar of earnings. Its price-to-sales ratio stands at about 0.50, suggesting the market values the company’s sales at half its current market price. With an enterprise value to sales ratio of 0.35, NATR’s enterprise value is less than its total sales, indicating a potentially undervalued position.
NATR maintains a low debt-to-equity ratio of 0.09, reflecting a conservative approach to leveraging. The company also boasts a strong current ratio of 2.44, suggesting good short-term financial health and the ability to cover its current liabilities with its current assets. These metrics, combined with an earnings yield of 3.36%, provide insight into the earnings generated from each dollar invested, highlighting NATR’s robust financial standing.
