PROVO, Utah -- Nu Skin Enterprises, Inc. (NYSE: NUS) today announced third-quarter results of 19 percent revenue growth and 37 percent earnings per share growth and raised its guidance for 2020.

Executive Summary
Q3 2020 vs. Prior-Year Quarter

Revenue:

$703.3 million; +19%

    •    Less than (1%) fx impact

Earnings Per Share (EPS):

$1.08; +37%

Sales Leaders:

68,516; +12%

Customers:

1,539,511; +28%

"We continued to build momentum with accelerated results in the third quarter, as we generated revenue and earnings per share well above expectations," said Ritch Wood, chief executive officer. "As we executed on our long-term strategy, we drove double-digit growth in both customers and sales leaders with revenue improvements in all but one reporting segment. We delivered strong double-digit growth in the Americas, Pacific and EMEA regions, with modest growth throughout most of Asia. Mainland China continues to stabilize with sequentially improving revenue, customers and sales leaders, and we remain on track for a return to year-over-year growth in China in the fourth quarter. Our manufacturing division contributed to our results with impressive 34 percent growth.

"We are outpacing our 2020 growth projections due to strong product demand and ongoing digital investments that empower our sales leaders and affiliates to build a socially enabled business. We are also benefitting from the current environment where more individuals are working from home and shopping online. Currently, approximately 90 percent of Nu Skin revenue is coming from digital transactions."

Q3 2020 Year-Over-Year Operating Results                                                                                

Revenue:

$703.3 million compared to $589.9 million

    •    Less than (1%) fx impact

Gross Margin:

73.9% compared to 76.2%

    •    Nu Skin business was 76.3% compared to 78.6%

    •    Impacted by increased freight charges and geographic mix

Selling Expenses:

39.9% compared to 39.3%

    •    Nu Skin business was 42.4% compared to 41.5%

G&A Expenses:

23.5% compared to 25.1%

Operating Margin:

10.6% compared to 11.8%

    •    Impacted by lower gross margin

Other Income / (Expense):

$0.5 million compared to ($5.0) million

Income Tax Rate:

24.7% compared to 32.1%

    •    Benefited by geographic mix

EPS:

$1.08 compared to $0.79

Stockholder Value

Dividend Payments:

$19.2 million

Stock Repurchases:

$20.0 million

    •    $342.8 million remaining in authorization

Q4 and Full-Year 2020 Outlook

Q4 2020 Revenue:

$720 to $750 million; +23 to 29%

    •    Approximately +1% fx impact

Q4 2020 EPS:

$1.10 to $1.20; +53 to 67%

2020 Revenue:

$2.55 to $2.58 billion; +6 to 7%

    •    Approximately (1%) fx impact

2020 EPS:

$3.35 to $3.45; +8 to 11%

"The growth in our core Nu Skin business is generating a great deal of energy ahead of our fourth-quarter ageLOC Boost and Nutricentials product introductions, and we continue to see increasing demand in our manufacturing segment. This gives us confidence that we will have a strong fourth quarter with momentum heading into 2021 when we fully launch these products and continue to extend our socially enabled business throughout our markets," Wood concluded.

Mark Lawrence, chief financial officer, added, "Given our third-quarter results above previous guidance and momentum in the business, we are raising our guidance for the remainder of the year. As we look ahead to the fourth quarter, we anticipate revenue of $720 to $750 million, which includes an approximate 1 percent favorable foreign currency impact, and earnings per share of $1.10 to $1.20. We are raising our 2020 revenue guidance to $2.55 to $2.58 billion, which reflects a negative foreign currency impact of approximately 1 percent, and we anticipate annual earnings per share of $3.35 to $3.45."

Conference Call
The Nu Skin Enterprises management team will host a conference call with the investment community today at 5 p.m. (ET). Those wishing to access the webcast, as well as the financial information presented during the call, can visit the Investor Relations page on the company's website at ir.nuskin.com. A replay of the webcast will be available at the same URL through Nov. 18, 2020.

About Nu Skin Enterprises, Inc.
Founded more than 35 years ago, Nu Skin Enterprises, Inc. (NSE) empowers innovative companies to change the world with sustainable solutions, opportunities, technologies and life-improving values. The company currently focuses its efforts around innovative consumer products, product manufacturing and controlled environment agriculture technology. The NSE family of companies includes Nu Skin, which develops and distributes a comprehensive line of premium-quality beauty and wellness solutions through a global network of sales leaders in Asia, the Americas, Europe, Africa and the Pacific; and Rhyz, our strategic investment arm that includes a collection of sustainable manufacturing and technology innovation companies. Nu Skin Enterprises is traded on the New York Stock Exchange under the symbol "NUS." More information is available at nuskinenterprises.com.