Nature's Sunshine Products Inc (NATR) 2025 Q2 法說會逐字稿

Good afternoon, everyone, and thank you for participating in today's conference call to discuss Nature's Sunshine's financial results for the second quarter ended June 30, 2025. Joining us today are Nature's Sunshine's CEO, Terrence Moorehead; CFO, Shane Jones; and General Counsel, Nate Brower. Following their remarks, we'll open the call for analyst questions.

大家下午好，感謝大家參加今天的電話會議，討論自然陽光截至 2025 年 6 月 30 日的第二季財務業績。今天與我們一起參加活動的有 Nature's Sunshine 的首席執行官 Terrence Moorehead、首席財務官 Shane Jones 和總法律顧問 Nate Brower。在他們發言之後，我們將開始回答分析師的問題。

Before we go further, I would like to turn the call over to Mr. Brower as he reads the company's Safe Harbor statement within the meaning of the Private Securities Litigation Reform Act of 1995 that provides important cautions regarding forward-looking statements.

在我們進一步討論之前，我想將電話轉給布勞爾先生，他將根據 1995 年《私人證券訴訟改革法案》的含義閱讀公司的安全港聲明，該聲明對前瞻性陳述提出了重要警告。

Nate, please go ahead.

內特，請繼續。

Thank you, and good afternoon. I'd like to remind everyone that this call is available for replay by telephonic dial-in through August 14 and via a live webcast that will be posted on the Investor Relations portion of our website at ir.naturessunshine.com. The information on this call contains forward-looking statements. These statements are often characterized by terminologies such as believe, hope, may, anticipate, expect, will and other similar expressions. Forward-looking statements are not guarantees of future performance, and the actual results may be materially different from the results implied by forward-looking statements.

謝謝，下午好。我想提醒大家，本次電話會議可透過電話重播，截止日期為8月14日，或透過網路直播重播，直播內容將發佈在我們網站ir.naturessunshine.com的投資者關係板塊。本次電話會議中的資訊包含前瞻性陳述。這些陳述通常以相信、希望、可能、預期、期望、將和其他類似的表達方式為特徵。前瞻性陳述並非對未來績效的保證，實際結果可能與前瞻性陳述所暗示的結果有重大差異。

Factors that could cause results to differ materially from those implied therein include, but are not limited to, those factors disclosed in the company's annual report on Form 10-K under the caption Risk Factors and other reports filed with the Securities and Exchange Commission. The information on this call speaks only as of today's date. And the company disclaims any duty to update the information provided herein.

可能導致結果與本文暗示的結果有重大差異的因素包括但不限於公司在 10-K 表格年度報告「風險因素」標題下披露的因素以及向美國證券交易委員會提交的其他報告中披露的因素。本次通話中的資訊僅代表截至今日的情況。並且該公司不承擔更新此處提供的資訊的任何義務。

Now I would like to turn the call over to the CEO of Nature's Sunshine, Terrence Moorehead. Terrence?

現在我想把電話轉給 Nature's Sunshine 的執行長 Terrence Moorehead。特倫斯？

Thank you, Nate, and good afternoon, everyone. I want to thank you for joining today's call to discuss our second quarter results. Today, I'll provide some context for our second quarter performance and offer some insights into how the business is building momentum. From there, Shane will take you through our financials in more detail.

謝謝你，內特，大家下午好。感謝您參加今天的電話會議討論我們的第二季業績。今天，我將介紹我們第二季度業績的一些背景信息，並對業務如何發展提供一些見解。接下來，Shane 將向您更詳細地了解我們的財務狀況。

In the second quarter, Nature's Sunshine continued to build on the momentum we saw in Q1 with another quarter of strong performance. Our team is focused. The strategies are holding steady, and we continue to position the company for long-term sustainable growth.

第二季度，自然陽光延續第一季的良好勢頭，再創佳績。我們的團隊非常專注。這些策略保持穩定，我們將繼續為公司的長期可持續成長做好準備。

For the quarter, revenue came in at $115 million, up 4% versus the prior year or 2% in constant currency. Q2 adjusted EBITDA was also strong, coming in at $11 million, an 8% increase versus the prior year's adjusted EBITDA of $10 million. These results reflect strong execution across the business with standout performance in Japan, continued strength in Central Europe and improved traction in North America, where we saw a notable acceleration in our digital business.

本季營收達 1.15 億美元，比上年成長 4%，以固定匯率計算成長 2%。第二季調整後的 EBITDA 也表現強勁，達到 1,100 萬美元，較上年同期的 1,000 萬美元調整後 EBITDA 成長 8%。這些結果反映了整個業務的強勁執行力，其中日本表現突出，中歐持續走強，北美發展勢頭增強，我們的數位業務顯著加速。

As we move into the back half of the year, we remain focused on unlocking long-term value through strong consumer engagement and continued execution of our sales and marketing strategies. We delivered these results despite ongoing uncertainty from the current macroeconomic environment and the evolving trade and tariff situation.

隨著我們進入下半年，我們將繼續致力於透過強大的消費者參與度和持續執行銷售和行銷策略來釋放長期價值。儘管當前宏觀經濟環境以及不斷變化的貿易和關稅情況仍然存在不確定性，我們仍然取得了這些成果。

Fortunately, we've taken strong proactive measures to minimize our exposure and safeguard our business. We're also closely monitoring consumer spending patterns and whether household budgets come under increased pressure.

幸運的是，我們已採取強有力的主動措施，盡量減少風險並保障我們的業務。我們也密切關註消費者的支出模式以及家庭預算是否面臨越來越大的壓力。

Having said that, our focus remains unchanged as we continue to implement strategies to drive customer growth and strengthen our value proposition with targeted investment, new innovation and more reliable service. As a result, we believe our growth strategy continues to demonstrate significant long-term potential.

話雖如此，我們的重點保持不變，我們將繼續實施策略，透過有針對性的投資、新的創新和更可靠的服務來推動客戶成長並加強我們的價值主張。因此，我們相信我們的成長策略將繼續展現出巨大的長期潛力。

Looking at our business by geography. Asia Pacific saw sales in the second quarter increase 5% or 2% on a local currency basis. Growth in the region was driven by another exceptional quarter in Japan, where sales increased 27%. Our focus on attracting younger consumers while leveraging our Subscribe & Thrive Autoship program continues to pay dividends as we saw a strong growth in both customers and orders in the second quarter.

從地理位置來看我們的業務。亞太地區第二季銷售額成長 5%，以當地貨幣計算成長 2%。該地區的成長主要得益於日本市場的另一個出色季度表現，銷售額成長了 27%。我們專注於吸引年輕消費者，同時利用我們的「訂閱與繁榮自動發貨」計劃，這繼續帶來回報，因為我們在第二季度看到客戶和訂單都強勁增長。

Taiwan and South Korea experienced strong growth for the past three quarters, but we saw softer results this quarter as consumer spending slowed. In the second quarter, both Taiwan and South Korea faced a more challenging macroeconomic environment, driven by slowing exports, fragile domestic demand and increased uncertainty surrounding trade policy.

台灣和韓國在過去三個季度經歷了強勁增長，但由於消費者支出放緩，本季的業績有所疲軟。第二季度，台灣和韓國都面臨更具挑戰性的宏觀經濟環境，受到出口放緩、國內需求脆弱、貿易政策不確定性增加的影響。

Taiwan slashed its GDP forecast as tariff fears escalated, while South Korea narrowly avoided recession and grappled with weak consumption and the threat of new import duties. In both markets, inflationary pressure, political instability and a shift in global trade environment have raised new challenges.

由於關稅擔憂加劇，台灣大幅下調了國內生產毛額 (GDP) 預測，而韓國勉強避免了經濟衰退，並面臨消費疲軟和新進口關稅威脅的困擾。在這兩個市場中，通膨壓力、政治不穩定和全球貿易環境的變化都帶來了新的挑戰。

As we move into the back half of the year, we expect tough comparisons to pressure our year-over-year growth trends in these markets, but we're confident in the strength of our underlying fundamentals and expect to see improved performance as the macroeconomic environment stabilizes. Asia Pacific will continue to be a key growth driver of our business. In North America, we continued to make significant progress as sales increased 4% versus prior year, driven by strong performance in our digital business, which grew 34% and continued to build momentum.

隨著我們進入下半年，我們預計艱難的比較將對我們在這些市場的同比增長趨勢造成壓力，但我們對基本面的實力充滿信心，並預計隨著宏觀經濟環境的穩定，業績將會改善。亞太地區將繼續成為我們業務的主要成長動力。在北美，我們繼續取得重大進展，銷售額較上年增長 4%，這得益於我們數位業務的強勁表現，數位業務成長了 34%，並且繼續保持成長勢頭。

This further validates the strength and potential of our digital strategy and puts us on track to deliver our long-term objectives. We also continued to build momentum in our Subscribe & Thrive Autoship program, which remains the most attractive way for consumers to buy our products. The program continued to expand in the second quarter and now represents over 50% of DTC sales, and we expect this to help drive further sales growth as we optimize and improve the experience.

這進一步驗證了我們數位策略的實力和潛力，並使我們走上了實現長期目標的軌道。我們也繼續大力推動「訂閱與繁榮自動出貨」計劃，這仍然是消費者購買我們產品最具吸引力的方式。該計劃在第二季度繼續擴大，目前佔 DTC 銷售額的 50% 以上，我們預計，隨著我們優化和改善體驗，這將有助於進一步推動銷售成長。

As we continue to strengthen our digital capabilities, we believe our digital footprint will continue to expand and grow. Another important factor driving North America's second quarter performance was the significant improvement in field fundamentals, discipline and sales support. Our specialty retailers, nutritional health practitioners and affiliates responded well to increased touch management and targeted field activation as sales with this very important group improved in the quarter.

隨著我們不斷加強數位化能力，我們相信我們的數位化足跡將不斷擴大和成長。推動北美第二季業績表現的另一個重要因素是現場基本面、紀律和銷售支援的顯著改善。我們的專業零售商、營養保健從業人員和附屬機構對加強接觸管理和有針對性的現場活化反應良好，因為這個非常重要的群體的銷售額在本季度有所提高。

Moving to Europe. Sales were up 1%, but down 2% in constant currency, reflecting the timing of price changes between Q1 and Q2. Notably, we experienced robust growth in Central Europe, which was supported by strong management and disciplined execution across the region. The success of our Power Line products continued to drive customer growth and help expand customer activation, including expansion in the Baltic states.

移居歐洲。銷售額成長了 1%，但以固定匯率計算則下降了 2%，這反映了第一季和第二季之間價格變化的時間。值得注意的是，我們在中歐地區經歷了強勁的成長，這得益於該地區強有力的管理和嚴格的執行。我們的電力線產品的成功繼續推動客戶成長並幫助擴大客戶活躍度，包括在波羅的海國家的擴張。

We also saw average order increase, which, in this case, is a strong sign of consumer loyalty and engagement as our positive sales trends continued. Overall, we remain confident in the underlying direction of the business. In summary, the strategy we've outlined sharpening digital execution, stabilizing the core business in North America and driving focused growth in key international markets is working.

我們也看到平均訂單量增加，在這種情況下，這是消費者忠誠度和參與度的強烈訊號，因為我們的正向銷售趨勢仍在持續。總體而言，我們對業務的基本方向仍然充滿信心。總而言之，我們制定的加強數位化執行、穩定北美核心業務和推動主要國際市場重點成長的策略正在發揮作用。

Importantly, we're seeing progress on these fronts at an accelerated pace, and we believe the momentum is sustainable. Shane is going to talk about this in a -- a little bit later.

重要的是，我們看到這些方面的進展正在加快，我們相信這種勢頭是可持續的。肖恩稍後會談論這個問題。

But as a result of our strong first half performance and increased visibility into the back half of the year, we're increasing our full year guidance to remove some of the risks associated with market uncertainty and to reflect the positive direction of the business. Based on the momentum we're seeing, we have a more positive outlook for our full year sales and adjusted EBITDA. Shane will provide more details and insights in a moment.

但由於我們上半年業績表現強勁，且下半年前景可預見性增強，我們提高了全年業績預期，以消除與市場不確定性相關的一些風險，並反映業務的積極方向。根據我們看到的勢頭，我們對全年銷售額和調整後的 EBITDA 抱持著更樂觀的展望。Shane 稍後將提供更多細節和見解。

But with that, I want to turn the call over to our Chief Financial Officer, Shane Jones. Shane?

但說到這裡，我想把電話轉給我們的財務長 Shane Jones。肖恩？

Thank you, Terrence. Let's dive into our results. Net sales in the second quarter were $114.8 million, compared to $110.6 million in the year ago quarter, a 4% increase versus the prior year or a 2% increase excluding the impact of foreign exchange rates. As Terrence discussed, this was driven by a resurgence of growth in North America as we saw acceleration in both digital and the core. Looking at sales by market in Q2, I'll start with North America.

謝謝你，特倫斯。讓我們深入了解一下結果。第二季淨銷售額為 1.148 億美元，而去年同期為 1.106 億美元，比上年增長 4%，若不計外匯匯率的影響則增長 2%。正如特倫斯所討論的，這是由北美成長復甦所推動的，因為我們看到數位和核心業務都在加速發展。從第二季各市場銷售額來看，我將從北美開始。

North America sales grew 4% on both a reported and local currency basis. This represents the best quarter for North America in over a year and reflects an acceleration in both the digital and the core businesses. Digital grew 34% in the quarter, driven by increases in the number of ordering accounts, a 180 basis points improvement in retention and a step-up in conversion. We also saw a meaningful increase in our Subscribe & Thrive Autoship program that now constitutes 53% of DTC revenue.

北美銷售額按報告貨幣和當地貨幣計算均增長了 4%。這是北美一年多來表現最好的季度，反映了數位業務和核心業務的加速發展。本季數位業務成長了 34%，這得益於訂購帳戶數量的增加、保留率提高了 180 個基點以及轉換率的提升。我們的「訂閱與繁榮自動出貨」計畫也取得了顯著成長，目前佔 DTC 收入的 53%。

Likewise, the core business continues to show steady sequential improvement driven by strong distributor engagement and better field activation. We're excited about the momentum that we see in both parts of the North America business and expect continued growth in the quarters ahead.

同樣，在強大的分銷商參與度和更好的現場激活的推動下，核心業務繼續呈現穩定的連續改善。我們對北美業務兩個部分的發展勢頭感到興奮，並預計未來幾季將繼續成長。

In Asia Pacific, we reported growth of 5% to $52.7 million or up 2% when excluding the impact of foreign exchange. This was driven by very strong growth in Japan where sales on a local currency basis grew 27%, fueled by continued growth in customers and orders as well as strong participation in our Autoship program that makes up nearly 50% of sales in Japan.

在亞太地區，我們的營收成長了 5%，達到 5,270 萬美元，若排除外匯影響則成長了 2%。這是由日本強勁的成長所推動的，日本的銷售額按當地貨幣計算增長了 27%，這得益於客戶和訂單的持續增長，以及我們自動發貨計劃的積極參與，該計劃佔日本銷售額的近 50%。

Japan has now seen 20% plus growth for four consecutive quarters, validating the strategic adjustments made last year. In addition, we have seen some sequential improvement in China sales trends, where Q2 sales were essentially flat, reversing the decline seen for over a year now.

日本目前已連續四個季度實現20%以上的成長，驗證了去年所做的策略調整。此外，我們看到中國銷售趨勢有所改善，第二季銷售額基本上持平，扭轉了一年多來的下滑趨勢。

While we are certainly seeing some stabilization and expect that to continue, China continues to be impacted by a difficult macroeconomic environment. Results in Taiwan were challenged this quarter with reported sales up only 3% after exceptional growth over the past three quarters. While some of this is driven by timing, we do expect tough comparisons in Q3 and Q4 to impact year-over-year growth trends this year. Therefore, we expect low to mid-single-digit growth from Asia Pacific for the balance of this year.

儘管我們確實看到了一些穩定跡象，並預計這種趨勢將持續下去，但中國仍然受到艱難的宏觀經濟環境的影響。台灣地區的業績本季面臨挑戰，儘管過去三個季度實現了顯著增長，但銷售額僅增長 3%。雖然這在一定程度上是由時間因素驅動的，但我們確實預計第三季和第四季的艱難比較將影響今年的年成長趨勢。因此，我們預計今年亞太地區的經濟成長將維持在低至中等個位數之間。

Sales in Europe during Q2 increased 1% on a reported basis, but were down 2% on a local currency basis. Central Europe continued to perform well, with reported sales up 15%, driven by strong execution and disciplined cost management across the region. Our Power Line product focus and growing customer engagement across the Baltics region continued to drive robust growth in both customers and orders. The strength in Central Europe was offset by a 5% decline in Eastern Europe, driven by the year-over-year timing of price increases between Q1 and Q2.

歐洲第二季的銷售額按報告計算增加了 1%，但以當地貨幣計算下降了 2%。中歐地區持續表現良好，銷售額成長 15%，這得益於該地區強有力的執行力和嚴格的成本管理。我們對電力線產品的關注以及波羅的海地區日益增長的客戶參與度繼續推動客戶和訂單的強勁增長。中歐的強勁表現被東歐 5% 的下滑所抵消，這是由於第一季和第二季之間的價格同比上漲所致。

Looking at Q1 and Q2 combined, provides a more accurate depiction of the Eastern European business where sales increased 2% over that period. The strength in Central Europe, combined with continued low single-digit growth in Eastern Europe gives us confidence in our strategy as well as in our ability to continue to deliver mid-single-digit growth in that region.

綜合考慮第一季和第二季度，可以更準確地描述東歐業務，該時期的銷售額增長了 2%。中歐的強勁表現，加上東歐持續的低個位數成長，讓我們對我們的策略以及我們在該地區繼續實現中等個位數成長的能力充滿信心。

Gross margin in the second quarter increased 36 basis points to 71.7% compared to a year ago, driven by our gross margin savings initiatives. Despite the year-over-year expansion, Q2 gross margin results were muted by headwinds from market mix and foreign exchange.

受我們毛利率節約舉措的推動，第二季毛利率較去年同期增加 36 個基點，達到 71.7%。儘管第二季的毛利率年增，但受到市場結構和外匯不利因素的影響，毛利率有所下降。

Looking forward, as we continue to execute against our pricing and sourcing initiatives and as the impact of foreign exchange rates diminishes, we expect continued modest improvement in gross margin. This improvement will be despite the impact from tariffs and continued trade volatility. We have a diverse supply chain and have already taken measures to prepare for and mitigate changes in trade policy.

展望未來，隨著我們繼續執行定價和採購計劃，並且外匯匯率的影響逐漸減弱，我們預計毛利率將繼續小幅改善。儘管受到關稅和持續貿易波動的影響，但仍將實現這一改善。我們擁有多樣化的供應鏈，並已採取措施為貿易政策的變化做好準備並減輕其影響。

Therefore, we believe we are well positioned to be able to adapt and adjust as necessary and expect no impact to gross margin in 2025. Volume incentives as a percentage of net sales were 29.9% compared to 31.4% in the year ago quarter. The decrease was primarily due to the strong growth in our digital business, along with changes in market mix. Selling, general and administrative expenses during the second quarter were $43.7 million compared to $38.6 million in the year ago quarter. The increase was primarily related to timing of compensation, digital ad spend and nonrecurring expenses.

因此，我們相信我們有能力根據需要進行調整，並且預計 2025 年的毛利率不會受到影響。銷售獎勵佔淨銷售額的百分比為 29.9%，去年同期為 31.4%。下降主要是由於我們的數位業務的強勁成長以及市場結構的變化。第二季的銷售、一般及行政費用為 4,370 萬美元，而去年同期為 3,860 萬美元。成長主要與補償時間、數位廣告支出和非經常性支出有關。

As a percentage of net sales, SG&A expenses increased to 38.1% in the second quarter compared to 34.9% a year ago. Operating income decreased to [$40.3] million or 3.7% of net sales compared to $5.6 million or 5.1% of net sales in the year ago quarter.

淨銷售額的百分比，銷售、一般及行政費用在第二季上升至 38.1%，而去年同期為 34.9%。營業收入下降至 [4,030 萬美元] 或淨銷售額的 3.7%，而去年同期為 560 萬美元或淨銷售額的 5.1%。

GAAP net income attributable to common shareholders for the second quarter was $5.3 million or $0.28 per diluted common share compared to net income of $1.3 million or $0.07 per diluted share in the year ago quarter. Adjusted EBITDA, as defined in our earnings release, increased 8% to $11.3 million compared to $10.4 million in the year ago quarter. Our balance sheet remains clean with cash and cash equivalents of $81.3 million and zero debt.

第二季歸屬於普通股股東的 GAAP 淨利為 530 萬美元，即每股攤薄收益 0.28 美元，而去年同期的淨利為 130 萬美元，即每股攤薄收益 0.07 美元。調整後的 EBITDA（如我們的收益報告中所定義）較去年同期的 1,040 萬美元成長 8%，達到 1,130 萬美元。我們的資產負債表保持清潔，現金和現金等價物為 8,130 萬美元，且零債務。

Inventory increased to $69.3 million at the end of the second quarter, a $4.4 million increase versus Q1 as we purchase additional raw materials to prepare for and mitigate the impact of tariffs or potential supply chain disruptions.

由於我們購買了額外的原材料以應對和減輕關稅或潛在供應鏈中斷的影響，庫存在第二季末增加至 6,930 萬美元，比第一季增加了 440 萬美元。

Net cash provided by operating activities was $7 million compared to $3.5 million in the prior year period. We repurchased 1.1 million shares for approximately $12.3 million during the six months ended June 30, 2025, with $21.4 million remaining on our share repurchase program. This repurchase activity includes our participation in the secondary offering and demonstrates our confidence in the business and commitment to driving long-term shareholder value.

經營活動提供的淨現金為 700 萬美元，去年同期為 350 萬美元。在截至 2025 年 6 月 30 日的六個月內，我們以約 1,230 萬美元的價格回購了 110 萬股股票，我們的股票回購計畫還剩餘 2,140 萬美元。此次回購活動包括我們參與二次發行，顯示了我們對業務的信心以及致力於推動長期股東價值的承諾。

Looking beyond share repurchases, our healthy capital allocation structure positions us well to continue our digital transformation and other strategic initiatives.

除了股票回購之外，我們健康的資本配置結構使我們能夠繼續進行數位轉型和其他策略性舉措。

Now turning to our 2025 outlook. Based on the improved momentum in the business, especially in North America, we are raising our guidance for 2025. We now expect full year revenue of $460 million to $475 million compared to previous guidance of $445 million to $470 million. This new range equates to year-over-year growth of 1% to 5%.

現在轉向我們的 2025 年展望。基於業務（尤其是北美）的成長勢頭，我們提高了 2025 年的預期。我們現在預計全年營收為 4.6 億美元至 4.75 億美元，而先前的預期為 4.45 億美元至 4.7 億美元。這一新範圍相當於年增 1% 至 5%。

For adjusted EBITDA, we are now guiding to $41 million to $45 million versus the prior range of $38 million to $44 million. This new range equates to year-over-year growth between 1% and 11%. This assumes that gross margin will be modestly higher in Q3 and Q4 and that quarterly SG&A will be $41 million to $42 million.

對於調整後的 EBITDA，我們現在預計為 4,100 萬美元至 4,500 萬美元，而之前的範圍為 3,800 萬美元至 4,400 萬美元。這一新範圍相當於年增 1% 至 11%。這假設第三季和第四季的毛利率將略有上升，且季度銷售、一般及行政費用將達到 4,100 萬美元至 4,200 萬美元。

Overall, we continue to believe the business is well positioned to capitalize on current market opportunities and remain very optimistic regarding future growth prospects. The strategic initiatives we've been implementing are working, and we are confident in our ability to accelerate growth in sales, profitability and cash flow.

總體而言，我們仍然相信該企業已做好準備，充分利用當前的市場機遇，並對未來的成長前景保持樂觀。我們實施的策略性舉措正在發揮作用，我們有信心加速銷售額、獲利能力和現金流的成長。

Now I will turn the time back to the operator.

現在我將把時間交還給接線員。

(Operator instructions) Brian Holland, DA Davidson.

（操作員指示）Brian Holland，DA Davidson。

Congratulations on the strong results this quarter. Just picking up where Shane left off on the guidance. Plus 1% to plus 11% on year-over-year EBITDA still seems to imply like a pretty wide range. So just curious what you're thinking about on both ends of that range? What's being contemplated that you would end up at plus 1%? And what would have to happen for you to get to plus 11%?

恭喜本季取得的強勁業績。剛從 Shane 停止指導的地方繼續進行。與去年同期相比，EBITDA 成長 1% 至 11% 似乎仍意味著一個相當大的範圍。所以我只是好奇您對這個範圍的兩端有什麼看法？您認為什麼因素最終會使獲利增加 1%？那麼，要達到 +11% 的目標，需要做些什麼呢？

Shane, do you want to grab that?

肖恩，你想抓住它嗎？

Sure. Happy to do that. So we're seeing good momentum in the business, as we've talked about, especially in North America and have a lot of confidence in that. We've got several initiatives that we're beginning or continue to accelerate into the latter half of this year and expecting very good results from that.

當然。很高興這樣做。正如我們談到的，我們看到業務發展勢頭良好，特別是在北美，我們對此充滿信心。我們已啟動或將在今年下半年繼續加速實施多項舉措，並期待取得良好成果。

I think the big thing that will be -- the difference there will be really on our digital business. We've seen an acceleration. If that acceleration continues, we'll be near the top end of that. If we don't, that's where we'll likely be a little bit lower, not lower than the guidance range, but lower in the range.

我認為最大的變化是——我們的數位業務將會發生真正的變化。我們已經看到了加速的跡象。如果這種加速持續下去，我們將接近這一水平的最高點。如果我們不這樣做，我們的預期可能會稍微低一點，不是低於指導範圍，而是低於指導範圍。

Understood.

明白了。

We're running on the top end of that range.

我們正處於該範圍的頂端。

And then the other thing is Asia -- sorry, the other one would be Asia. Just Taiwan, we've seen a little bit of a deceleration in the growth rate there. We expect that to be very strong in Q3 and in Q4, but we are having very tough comps, and so depending on how that ends out, that could be slightly different as well.

另一個是亞洲——抱歉，另一個是亞洲。就台灣而言，我們看到那裡的成長率略有放緩。我們預計第三季和第四季的表現會非常強勁，但我們的競爭對手非常強大，因此，根據結果如何，情況也可能會略有不同。

Okay. And then I appreciate the color on the SG&A line for the second half of the year. But if I just kind of wind this back, again, this is just my number, so it may be apples and oranges to some extent. But I think you beat EBITDA in my model in the first half by about $3.5 million. You took the guide up $2 million.

好的。然後我欣賞下半年銷售、一般及行政費用 (SG&A) 線上的顏色。但如果我將其回顧一下，這只是我的數字，因此在某種程度上它可能是蘋果和橘子。但我認為，根據我的模型，你們上半年的 EBITDA 比現在高出約 350 萬美元。您已將指導價提高至 200 萬美元。

I'm just curious if there's anything changing in the second half versus original expectations? And maybe the thing that I wanted to double-click on was, obviously, the SG&A number in Q2 included some digital investment. I'm just wondering if that's something that you're doubling down on given the momentum that you talked about specifically in this quarter and the inflection in the North America business in particular.

我只是好奇下半年與最初的預期相比是否有任何變化？也許我想強調的是，顯然，第二季的銷售、一般及行政費用數字包括一些數位投資。我只是想知道，考慮到您在本季度談到的發展勢頭以及北美業務的變化，您是否會加倍努力。

Good insight, Shane?

很有見地，肖恩？

Yes, that's a good catch there. We did have -- we saw some great results in our digital, and we did apply some additional funding there to our digital media about $1 million extra, which paid out in additional sales as well. As we go through the rest of the year, we'll be very thoughtful about how we do that. And if we continue to see the strong returns that we're seeing, we'll spend a little bit more, but that will be -- have a very strong return on that investment.

是的，這是一個好收穫。我們確實在數位媒體領域取得了一些不錯的成績，並且我們確實在數位媒體上投入了大約 100 萬美元的額外資金，這也帶來了額外的銷售額。在今年剩下的時間裡，我們會認真思考如何做到這一點。如果我們繼續看到強勁的回報，我們就會多花一點錢，但這將會帶來非常豐厚的投資回報。

But we do want to keep that digital growth moving going forward. So we like to see it in that plus or minus 30% range, and we're investing to make that happen.

但我們確實希望繼續保持數位成長。因此，我們希望看到它在正負 30% 的範圍內，並且我們正在投資以實現這一目標。

And Terrence, I think you mentioned in your prepared remarks you talked about innovation. I'm just curious, certainly, in my sort of core consumer packaged goods space, we're really seeing the impact of kind of this Make America Healthy Again movement. And we see it in a number of forms. Just curious to what extent you're seeing that focus hit your business and the extent to which you are or can be nimble from an innovation standpoint to sort of meet the moment.

特倫斯，我想您在準備好的發言中提到創新。我只是很好奇，當然，在我所從事的核心消費包裝商品領域，我們確實看到了「讓美國再次健康」運動的影響。我們以多種形式看到它。我只是好奇您認為這種關注在多大程度上影響了您的業務，以及從創新的角度來看您在多大程度上能夠靈活地應對當下的情況。

Yes, I definitely think there's momentum behind that, especially with the consumers that we would want to talk to. They're already in that space. They're very motivated by that. The innovation that we're putting out in the market is -- it's new, it's fresh. We've got some first-mover opportunities for us that are doing quite well.

是的，我確實認為這背後有動力，特別是對於我們想要交談的消費者而言。他們已經在那個空間了。他們對此非常有動力。我們向市場推出的創新產品是全新的、新鮮的。我們擁有一些先發機會，而且進展相當順利。

New products like our Marine Glo, marine-based collagen is kind of very exciting. So again, there's freshness there that comes from new products, but also having that first-mover position in the right areas is critical for us, and we're going to keep pushing that lever.

我們的新產品，例如 Marine Glo，基於海洋的膠原蛋白，非常令人興奮。所以，新產品為我們帶來了新鮮感，但在正確的領域佔據先發優勢對我們來說也至關重要，我們將繼續推動這一進程。

And last one for me, and I'll get out of the way. You've talked previously about the CapEx investments and the cost savings coming from increased automation, et cetera. Obviously, this opens up a fair amount of incremental capacity within your manufacturing network, your advantage within the industry, to the extent that you do self-manufacture.

這是我最後一次了，然後我就離開了。您之前談到資本支出投資以及自動化程度提高帶來的成本節約等等。顯然，這會在您的製造網路中釋放出相當數量的增量產能，在您進行自主製造的範圍內，在行業內佔據優勢。

Just curious if you could kind of talk about the pipeline, either from an M&A or co-manufacturing standpoint, whereby you would be able to leverage that capacity with either another brand or brands or some other partnerships. It seems to me to be a huge leverage opportunity, but just kind of curious if that pipeline exists as we look out over the next 6 to 18 months through the end of '26?

我只是好奇您是否可以從併購或聯合製造的角度談論管道，即您是否能夠利用該產能與其他品牌或其他合作夥伴合作。在我看來，這是一個巨大的槓桿機會，但我只是有點好奇，從未來 6 到 18 個月到 26 年底，這種管道是否存在？

Yes. Brian, you're exactly right. We have done a lot of work to improve our throughput and efficiency in the plant, which has freed up capacity, and we're actively looking at ways to fill that capacity, both by driving growth of -- organic growth within the business, but also through kind of possible third-party opportunities.

是的。布萊恩，你說得完全正確。我們做了很多工作來提高工廠的產量和效率，從而釋放了產能，我們正在積極尋找填補產能的方法，既透過推動業務內部的有機成長，也透過可能的第三方機會。

Shane, I don't know if you want to add any color to that or not.

肖恩，我不知道你是否想為此添加一些色彩。

Yes. We have a couple of opportunities that we're working through right now. We are in very early stages though, probably not a lot that we can talk publicly about this.

是的。我們現在有幾個機會正在努力把握。但我們仍處於非常早期的階段，可能還不能公開談論太多這方面的事情。

Yes. But the opportunity is there, and we're actively pursuing kind of those opportunities, which, as you mentioned, that just helps the economics of our business and the efficiency of our operations.

是的。但機會就在那裡，我們正在積極尋求這些機會，正如您所說，這有助於我們業務的經濟效益和營運效率。

(Operator instructions) Susan Anderson, Canaccord Genuity.

（操作員指示）Susan Anderson，Canaccord Genuity。

Nice job on the quarter, you guys. I guess maybe just going back to North America, obviously, great result in the digital business. It sounded like the core business with the practitioners and the retail partners also improved. I guess I'm curious, did you see a return to growth there?

各位，本季你們表現不錯。我想也許只是回到北美，顯然，數位業務取得了巨大的成果。聽起來與從業者和零售合作夥伴的核心業務也有所改善。我想我很好奇，你看到那裡恢復成長了嗎？

And then I think you mentioned just kind of some better engagement, better field activation. Maybe if you could expand a little bit on kind of what's driving that improvement and then your expectation there for the rest of the year?

然後我認為您提到的只是某種更好的參與度，更好的現場激活。也許您可以稍微詳細說明一下推動這種改善的因素以及您對今年剩餘時間的預期？

Yes. On the core, we didn't quite see kind of growth across all those segments combined, but we did see a vast improvement in activation and sales overall. So I think we're really pleased with what's going on there. In terms of kind of the things that we're doing to drive that activation, I spoke a little bit about just improved touch management in the field.

是的。從核心層面來看，我們並沒有看到所有這些細分市場的整體成長，但我們確實看到整體活化和銷售額有了巨大的改善。所以我認為我們對那裡發生的事情感到非常滿意。關於我們為推動這種激活所做的事情，我稍微談了一下現場改進的觸摸管理。

Making sure that we're spending time with those folks providing appropriate -- just putting discipline, it's basic field fundamentals, blocking and tackling. I can't tell you how, and I think you and I have spoken about the importance of this in the past of just getting that blocking and tackling kind of right which is important in any sales organization, no matter where you are, making sure that we're giving people the right sales tools.

確保我們花時間為這些人提供適當的——只是紀律，這是基本的領域基礎，阻擋和鏟球。我無法告訴你如何做，我想你和我過去已經談論過這一點的重要性，即正確地阻止和解決問題，這對任何銷售組織都很重要，無論你在哪裡，都要確保我們為人們提供正確的銷售工具。

We've changed some staffing so -- in the field organization. So we've got some new people out there, some new talent that is really driving change, driving results, built out our sales support team as well just to make sure that we're giving people the right level of support across the business. So those are just a series of things that we're doing, and I think we're seeing some momentum as a result of that.

我們已經改變了一些人員配置——在現場組織方面。因此，我們招募了一些新人，一些真正推動變革、推動成果的新人才，同時也建立了我們的銷售支援團隊，以確保我們為整個業務範圍內的人們提供適當的支援。所以這些只是我們正在做的一系列事情，我認為我們因此看到了一些動力。

Okay. Great. That sounds good. And then I guess, just looking out to the back half by region, you mentioned some tough compares in Asia coming. I guess how should we think about the puts and takes in terms of growth and the drivers there as we look out in the back half? Should we expect maybe North America to kind of start to be more of the driver of growth there versus the international markets we've seen over the last few quarters?

好的。偉大的。聽起來很好。然後我想，僅從地區來看後半部分，您提到了亞洲即將面臨的一些艱難的比較。我想，當我們展望後半段時，我們應該如何看待成長方面的投入和產出以及驅動因素？與過去幾季我們看到的國際市場相比，我們是否應該預期北美將開始成為該地區成長的更多推動力？

Yes, I think we would expect to see continued acceleration in North America. That's going to -- again, with the momentum that we've got on the core side of the business is going to continue, but digital as well. So we've got a really solid, I think, proposition building in North America, and we'll get that to where we want to by the end of the year. As we mentioned, we've got some very tough comps in Asia Pacific, but it's a strong business. And Shane, do you want to provide some additional commentary on APAC?

是的，我認為我們預計北美市場將繼續加速發展。再次強調，我們在核心業務方面所取得的勢頭將會持續下去，數位化業務也是如此。所以我認為，我們在北美已經建立了非常穩固的主張，我們將在今年年底前將其實現到我們想要的目標。正如我們所提到的，我們在亞太地區面臨著一些非常艱難的競爭，但這是一個強勁的業務。Shane，您想對 APAC 提供一些額外的評論嗎？

Yes. So we're looking for the back half of the year to be low single digit to mid-single digit, low to mid-single digit for APAC. And if you look at what we'll likely see in there, we'll see some growth in Taiwan, but it will be more muted than what we've seen in the past. We're likely to see stabilization in China and some growth there.

是的。因此，我們預計今年下半年亞太地區的銷售額將處於低個位數至中個位數之間，低個位數至中個位數之間。如果你看看我們可能看到的情況，我們會看到台灣出現一些增長，但比過去看到的要溫和得多。我們可能會看到中國經濟趨於穩定並出現一定成長。

Korea continues to struggle. So it may be flattish there. But then Japan will continue to do very well, and that will be what really drives that region. So we do expect continued growth, it will just not be at the double-digit levels that we've seen over the last few quarters.

韓國仍在苦苦掙扎。所以那裡可能比較平坦。但日本仍將繼續表現良好，這將成為推動該地區發展的真正動力。因此，我們確實預期成長將持續，只是不會達到過去幾季所見的兩位數水準。

And remember, Susan, last year, Q3 and Q4 were largest quarters in the history of the region. So to Shane's point, you're talking about huge numbers that they're going up against. So still very strong performance in Asia Pacific going forward, just kind of not at the growth multiple that we've seen in the past.

蘇珊，請記住，去年第三季和第四季是該地區歷史上最大的季度。所以對於 Shane 的觀點，您說的是他們要面對的巨大數字。因此，亞太地區未來表現仍非常強勁，只是成長倍數不如過去。

Right. And then as we move to Europe, we do expect growth in Europe as well. Most of that will be coming from Central Europe as we expect double-digit growth to continue in Central Europe and then likely low single-digit growth in Eastern Europe. So -- but good results in Europe as well.

正確的。當我們轉向歐洲時，我們確實預期歐洲也會成長。其中大部分將來自中歐，因為我們預計中歐將繼續保持兩位數成長，而東歐則可能保持低個位數成長。所以——但在歐洲也取得了良好的成績。

And then as Terrence talked about, North America, that's where we see the most acceleration, we're most excited about that largely because digital will continue to grow at that 25% plus level. And as that happens and then the base business also is close to flat. That's going to result in better numbers from North America, likely in the mid-single-digit range.

然後，正如特倫斯所說的，北美是我們看到成長最快的地區，我們對此最為興奮，主要是因為數位業務將繼續以 25% 以上的水平增長。當這種情況發生時，基礎業務也接近持平。這將導致北美的業績表現更好，可能達到中等個位數的水平。

Okay. Great. That was really helpful. And then I guess maybe just touching on the gross margin really quick as well. I think you -- well, to get to your annual, I guess, the back half has to be a little bit higher. Maybe just talk about kind of the drivers there versus the first half?

好的。偉大的。這真的很有幫助。然後我想也許我們也會很快談到毛利率。我認為你——嗯，為了達到你的年度目標，我想，後半部分必須稍微高一點。也許只是談論一下與上半場相比那裡的驅動因素？

It's really -- we've been working on our gross margin initiatives for some time, and those gross margin initiatives have been muted by headwinds from -- a, from FX and those FX headwinds are going to abate or at least they appear to be going to abate here as rates come down in those regions, especially in the APAC regions.

確實，我們一直在致力於提高毛利率的舉措，但這些毛利率舉措一直受到外匯不利因素的影響，而隨著這些地區（尤其是亞太地區）利率的下降，外匯不利因素將會減弱，或者至少看起來會減弱。

And addition to that, we've had a headwind from mix. That headwind from mix, just because North America tends to have a little bit lower gross margin than APAC and as more -- as North America does better and APAC does not quite as well as it has in the past, there's a little bit of a headwind there. Some of that will continue. But really, as our gross margin initiatives take hold, we would expect, as we've said, modest improvement in the back half of the year.

除此之外，我們還面臨混合方面的阻力。這種來自混合因素的阻力，只是因為北美的毛利率往往比亞太地區略低，而且由於北美表現更好，而亞太地區的表現不如過去，所以那裡存在一點阻力。其中一些情況將會持續下去。但實際上，隨著我們的毛利率計劃落地生根，正如我們所說的，我們預計下半年會出現適度改善。

Okay. Great. And then one last one, maybe just looking out at the new product pipeline for -- I guess, for the rest of the year, we've noticed some new stuff on the website like you mentioned, the Marine Glo collagen. I guess how should we think about these new products? Do they kind of make an immediate impact or does it take time to build them to really kind of help to drive that growth?

好的。偉大的。然後最後一個問題，也許只是看看新的產品線——我想，在今年剩下的時間裡，我們注意到網站上有一些新產品，就像您提到的那樣，Marine Glo 膠原蛋白。我想我們該如何看待這些新產品呢？它們是否能立即產生影響，還是需要花費一些時間來真正推動這種成長？

I know the Power Line was obviously a really huge success. So I guess just in context, how should we think about these other new products? And then do you have anything else coming out the rest of the year?

我知道 Power Line 顯然取得了巨大的成功。所以我想，從具體情況來看，我們該如何看待這些其他新產品？那麼今年剩餘時間您還有其他作品嗎？

I think that -- obviously, it depends on the new product. But certainly, they do provide consumer energy. They provide consumer acquisition -- activation, excuse me, as well as new customer acquisition. So I think they're important. We have such a large portfolio and a large business.

我認為——顯然，這取決於新產品。但可以肯定的是，它們確實為消費者提供了能源。他們提供消費者獲取——激活，對不起，以及新客戶獲取。所以我認為它們很重要。我們擁有如此龐大的投資組合和業務。

I don't know if a single product is necessarily going to move the year, but they certainly will build momentum over time. And our goal with products like -- with things like the Power Line is to move the business over time. The goal with something like Marine Glo and getting into collagen, which is such an important area, vibrant growing area. Collagen is growing 15% to 20%. It's going to continue to grow at that pace over the next several years.

我不知道單一產品是否一定會在全年產生影響，但它們肯定會隨著時間的推移而積聚勢頭。我們開發諸如 Power Line 之類的產品的目標是隨著時間的推移推動業務發展。我們的目標是開發像 Marine Glo 這樣的產品並進入膠原蛋白領域，這是一個非常重要且充滿活力的成長領域。膠原蛋白成長了15%至20%。未來幾年它將繼續以這種速度成長。

So kind of being in that space and having a relevant position in a high-intensity growth segment like that is very important. And so again, we're going to continue to make sure that we're placing products in the right areas to help us get momentum over time, to help us attract new customers, to help us reactivate consumers, and so I think that's kind of how we think about it, Susan. It really all is about customer acquisition and then getting repeat purchase.

因此，進入該領域並在高強度成長領域佔據相關地位非常重要。因此，我們將繼續確保將產品放置在正確的區域，以幫助我們隨著時間的推移獲得發展勢頭，幫助我們吸引新客戶，幫助我們重新激活消費者，所以我認為這就是我們的想法，蘇珊。這一切實際上都是為了獲取客戶，然後獲得重複購買。

And these are the types of products that are very well suited to do that because people want to use them and they do use them every single day so -- on an ongoing basis. So I think we should expect to see the cumulative effect of our innovation and new product development to really make a difference to the business going forward.

這些類型的產品非常適合實現這一目標，因為人們想要使用它們，而且他們確實每天都在使用它們——持續不斷地使用它們。因此我認為我們應該看到我們的創新和新產品開發的累積效應真正對未來的業務產生影響。

And on that, Marine Glo, we actually launched just over a month ago. So it's a fairly new product, doing really well, beating our expectations at this point in time. So excited about the potential that it has. But as Terrence noted, it's not going to drive a huge increase in our numbers right off the -- .

事實上，我們一個多月前就推出了 Marine Glo。所以這是一款相當新的產品，表現非常好，超出了我們目前的預期。我對它的潛力感到非常興奮。但正如特倫斯指出的那樣，它不會立即帶來我們數量的大幅增長-- 。

There are no further questions at this time. I would hand over the call to Mr. Moorehead for closing remarks. Please go ahead.

目前沒有其他問題。我將把發言權交給摩爾黑德先生，請他作最後發言。請繼續。

Okay. Thank you, Alan. I'd like to thank everybody for listening to today's call, and we look forward to speaking with you when we report our third quarter 2025 results in November. So thanks again for joining us, and have a great day. Take care, everybody.

好的。謝謝你，艾倫。我要感謝大家聆聽今天的電話會議，我們期待在 11 月報告 2025 年第三季業績時與您交談。再次感謝您的加入，祝您有個愉快的一天。大家保重。

Ladies and gentlemen, this concludes today's teleconference. You may now disconnect, and thank you for your participation.

女士們、先生們，今天的電話會議到此結束。現在您可以斷開連接了，感謝您的參與。