Net income - for the quarter ended 31 March 2004 - rose by 13.3 per cent to $14.5 million, up from $12.8 million the previous year. Net revenues for the same period increased 20 per cent to $264 million, compared to $219.6 million in 2003, impacted 6 per cent by favorable foreign currency fluctuations.
"We are encouraged with our record first quarter revenue. Sales in the US alone were up by 16 per cent, benefiting from our global distributor convention and the growth in our nutrition business," said Nu Skin's CEO Truman Hunt.
Nu Skin - the company's personal care division - launched several new skincare products at its convention in February, for example Polishing Peel - a skin refinisher claimed to deliver the same results as a professional microdermabrasion - and its Galvanic Spa System II, a multi-purpose treatment system that uses specially-designed formulations for the face, body and scalp.
The company achieved $5.8 million in sales from international distributors attending its convention - making US revenue climb to $35.1 million in the first quarter.
Revenue in Greater China increased 78 percent to $47.6 million during the first quarter compared to prior year results. Mainland China continued to post strong results with revenue of $22.8 million, following the opening of the company's retail business there in 2003.
"Japan, the United States and Mainland China remain our key geographic priorities. Our immediate objective in Mainland China is to train our growing sales force, enabling us to build a strong foundation for what has become an important market for us. In the US we project a 20 per cent growth in combined supplement and personal care revenue for the full year," said Hunt.
Nu Skin Enterprises expects second quarter net revenues of $270 to $275 million, a 12 to 14 percent increase over the second quarter of 2003.