NU Skin Enterprises Reports Q3 2025 Results with Strong EPS Performance Despite Revenue Challenges

NU Skin Enterprises Inc. reported third quarter 2025 revenue of $364.2 million, adjusted net income of $17.1 million, and adjusted earnings per share of $0.34, according to coverage updates from Stonegate Capital Partners. These results fell at the low end of revenue guidance but exceeded earnings expectations, with actual EPS outperforming the $0.30 estimate. The company demonstrated disciplined financial management as selling expenses declined to 35.8% company-wide and 41.7% within the core business, while the Nu Skin business maintained a strong 70.5% gross margin.

The Rhyz segment contributed $51.6 million in revenue, comprising $47.6 million from manufacturing and $4.0 million from other Rhyz operations. Management highlighted double-digit growth in Latin America and sequential improvement across several reporting segments, noting that execution efficiency drove EPS to the high end of guidance despite challenging macroeconomic conditions. The company ended the quarter with 31,150 sales leaders, 130,096 paid affiliates, and 746,256 customers, representing year-over-year declines of 19%, 13%, and 10% respectively, though management cited positive sequential trends in multiple regions.

Strategic initiatives position NU Skin for future growth, including the upcoming limited preview of the Prysm iO intelligent wellness platform for qualified leaders in late fourth quarter 2025. The 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. Broader leader availability is scheduled for the first half of 2026, with full consumer launch planned for the second half of 2026. The company expects strong reception for this innovative product as consumers increasingly prioritize intelligent and personalized wellness solutions.

Concurrently, NU Skin begins pre-market opening activities in India during fourth quarter 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. This strategic expansion into one of the world's largest consumer markets represents a significant growth opportunity for the company and its product portfolio.

The company maintains a strong financial position with $251.7 million in cash on hand and a net cash level of $22.7 million. Management reiterated focus on further net-cash expansion to support the Prysm iO preview, India pre-opening activities, and ongoing product and digital investments. For fourth quarter 2025, NU Skin guides revenue of $365 million to $400 million and EPS of $0.25 to $0.35. Full-year 2025 revenue is projected at $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, excluding the Mavely gain and other charges.

Stonegate Capital Partners' valuation analysis indicates NU Skin currently trades at a forward price to adjusted EPS of 7.8x compared to comparable companies averaging 17.0x. Using fiscal year 2026 adjusted EPS and a P/E range of 8.0x to 12.0x with a midpoint of 10.0x, the analysis arrives at a valuation range of $11.37 to $17.05 with a midpoint of $14.21. This positioning suggests potential for valuation expansion as the company executes its strategic initiatives and market expansion plans. The combination of operational efficiency, new product innovation, and geographic expansion provides multiple pathways for NU Skin to drive shareholder value in coming quarters.