Nu Skin sees soft second quarter as layoffs rumored within company
Kelcie Hartley, Daily Herald
According to early estimates released in July, and talk of layoffs Monday at the global, Provo-based beauty and wellness company, Nu Skin is bracing for reports of a soft financial second quarter.
Nu Skin released its financial projections for the second quarter of 2022. Like many other business in Utah County, Nu Skin has a large, global market that has been affected by the war in Ukraine and lower markets in China, one of Nu Skin’s strongholds.
“Our second quarter revenue was softer than expected due to extended COVID-related factors in Mainland China, distractions in (Europe, the Middle East and Africa) related to the ongoing conflict in Russia and Ukraine, and the general global economic downturn that is particularly challenging for developing regions like Latin America,” Ryan Napierski, Nu Skin president and CEO, said in a company statement.
“Although we are disappointed in our second quarter results, we are encouraged by growth in our Southeast Asia region and ongoing momentum in the U.S., particularly given the inflationary environment,” the statement continues. “We remain confident in the long-term potential of our Nu Vision 2025 strategy and the ongoing transformation of our business to becoming the world’s leading integrated beauty and wellness company.”
Nu Skin will release full second-quarter results and provide updated guidance after the market closes on Thursday and will host a conference webcast later that day at 5 p.m. Eastern at ir.nuskin.com. A replay of the webcast will be available at the same web address through Aug. 18.
Courtesy Nu Skin
Until then, local leadership say they are unable to talk about the effect of the news on the local economy and employees.
Nu Skin develops a range of products including Nu Skin personal care, Pharmanex nutrition and the ageLOC anti-aging brand, which includes a line of beauty device systems.
Nu Skin operates in approximately 50 markets worldwide in the Americas, Asia, Europe, Africa and the Pacific. Rhyz Inc. is the company’s strategic investment arm that includes a collection of technology and manufacturing companies to support growth in the core Nu Skin business.
According to the company’s website, Nu Skin is committed to sustainability, including global initiatives such as transitioning to reduced and sustainable packaging for all products by 2030. The Nu Skin Force for Good Foundation also strives to improve children’s health, education and economic circumstances throughout the world.