USANA Health Sciences, Inc. stands as a global leader in the nutrition and wellness industry, committed to enhancing lives through high-quality, science-based products and a rewarding business opportunity. With a mission to create the healthiest family on earth, USANA combines cutting-edge research, in-house manufacturing, and a robust direct-selling model to deliver nutritional supplements, personal care, and skincare solutions that promote long-term health. The company’s acquisition of Hiya Health in 2024 further diversifies its portfolio, introducing a direct-to-consumer subscription model for children’s wellness products. Operating in 25 markets worldwide, USANA leverages its core values of excellence, health, integrity, and community to drive innovation and growth.
Table of Contents
Detailed Overview of USANA Health Sciences
USANA Health Sciences, Inc. is a Utah-based multinational corporation specializing in the development, manufacturing, and distribution of premium nutritional supplements, foods, personal care, and skincare products. Founded in 1992, the company has grown into a global powerhouse, generating $854.5 million in net sales in 2024 and serving approximately 454,000 active customers through its direct-selling channel. USANA’s mission is to improve lives worldwide by providing science-backed health products and a rewarding direct-sales opportunity, fostering a community dedicated to wellness.
The company operates through a dual business model: direct selling, which relies on independent associates and preferred customers, and direct-to-consumer, bolstered by the 2024 acquisition of a 78.85% stake in Hiya Health Products, LLC, a children’s wellness brand with a subscription-based model. USANA’s commitment to excellence is evident in its research and development (R&D) efforts, with $11.6 million invested in 2024 to innovate products like those featuring proprietary InCelligence technology. This focus on cellular nutrition sets USANA apart, addressing needs such as immune support, stress adaptation, and healthy aging.
USANA manufactures 69% of its products in-house at facilities in Salt Lake City, Utah, Beijing, and Tianjin, China, ensuring stringent quality control. These facilities are certified for Good Manufacturing Practices (GMPs), Halal, Kosher, and NSF standards, reinforcing USANA’s reputation for purity and efficacy. The company’s direct-selling model emphasizes person-to-person marketing, supported by a global compensation plan that rewards associates for sales and team-building. The Auto Order program, offering a 10% discount, accounted for 63% of product sales in 2024, highlighting the model’s efficiency.
Sustainability is a core pillar, overseen by the Sustainability Committee of the Board of Directors, focusing on products, people, and planet. USANA’s philanthropic arm, the USANA Foundation, provided over 30 million meals, aid to charities, and vitamins to malnourished children in 2024. With a workforce of approximately 1,700 employees across 22 countries, 57% female and 51% of leadership roles held by women, USANA fosters diversity through initiatives like the Women in Leadership Program.
USANA competes with industry giants like Amway, Herbalife, and Nu Skin but differentiates through science-backed formulations and a seamless global compensation plan. Its international presence, with 89.3% of sales from outside the U.S., underscores its adaptability to diverse markets, particularly in China, which accounts for 48.4% of revenue.
USANA’s Core Values
- Excellence: Leveraging scientific research to deliver innovative health solutions.
- Health: Promoting holistic wellness for body and mind.
- Integrity: Upholding honesty and accountability in all actions.
- Community: Supporting global health through philanthropy and engagement.
Workforce and Culture
USANA’s 1,700 employees are central to its mission. The company promotes diversity, with 57% female employees and 51% female leadership. Programs like the Women in Leadership initiative and mentorship programs foster inclusion. Employees benefit from wellness programs, including free nutritional products, on-site gyms, and health clinics. In 2024, employees volunteered over 2,600 hours, supporting community initiatives.
Philanthropy
The USANA Foundation provided over 30 million meals, aid to charities, backpacks for at-risk children, and vitamins for malnourished kids in 2024, reinforcing USANA’s commitment to global health.
USANA’s focus on cellular nutrition, backed by $34.6 million in R&D over three years, drives product innovation. In-house manufacturing ensures quality, while the direct-selling model empowers associates. The Hiya acquisition adds a subscription-based revenue stream, enhancing financial stability. USANA’s global reach and sustainability efforts position it as a leader in wellness, adapting to market dynamics while upholding core values.
Business Segments with Comprehensive Details and Revenue Breakup %
USANA Health Sciences organizes its operations into three reportable segments: Direct Selling, Hiya Direct-to-Consumer, and Other. Each segment plays a distinct role in the company’s strategy to deliver wellness solutions and drive growth. Below is a detailed breakdown with revenue percentages for 2024.
1. Direct Selling Segment
- Description: The cornerstone of USANA’s business, this segment involves independent associates who sell products directly to customers and build sales organizations, and preferred customers who purchase for personal use. Associates share USANA’s vision of improving health through person-to-person marketing, while preferred customers focus on personal consumption without resale. The segment operates in 25 markets, leveraging a compensation plan that rewards sales volume, bonuses, and retail mark-ups. In 2023, USANA introduced an Affiliate Program in the U.S., Canada, and Mexico, allowing individuals to earn commissions (15-20%) via unique links.
- Operations: Associates are trained by sponsors and supported by USANA’s online tools, events, and resources. The segment emphasizes customer growth, with 454,000 active customers in 2024. The Auto Order program ensures recurring revenue, representing 63% of sales. In China, the segment operates through BabyCare Holdings, Ltd., adapting to unique direct-selling regulations.
- Financials:
- Net Sales: $845,789 thousand (99% of total revenue)
- Cost of Sales: $157,094 thousand
- Associate Incentives: $363,183 thousand
- Selling, General, and Administrative (SG&A): $254,733 thousand
- Earnings: $70,779 thousand
- Key Strategies: Enhancing associate compensation, increasing product launches, and deepening engagement through in-person and digital initiatives.
2. Hiya Direct-to-Consumer Segment
- Description: Acquired on December 23, 2024, Hiya Health Products, LLC is a direct-to-consumer brand focused on children’s wellness. It operates a subscription model, delivering products like chewable multivitamins and probiotics directly to consumers. Hiya’s model fosters customer loyalty and provides data-driven insights for personalized offerings.
- Operations: Hiya uses online platforms, social media, influencer partnerships, and paid advertisements to drive sales. Products come with sustainable, refillable glass bottles and educational materials. The segment leverages USANA’s expertise for future expansion into new markets and channels.
- Financials (post-acquisition, December 23-28, 2024):
- Net Sales: $1,970 thousand (0.2% of total revenue)
- Cost of Sales: $598 thousand
- Associate Incentives: $0 thousand
- SG&A: $1,226 thousand
- Earnings: $146 thousand
- Key Strategies: Expand product portfolio, distribution channels (e.g., online marketplaces, retail), and geographic reach.
3. Other Segment
- Description: Encompasses smaller acquisitions: Rise Bar Wellness, Inc. (protein bars and powdered drinks) and Oola Global, LLC (personal development framework with nutritional products). These businesses cater to niche markets, enhancing USANA’s portfolio diversity.
- Operations: Rise focuses on clean, simple ingredients for health-conscious consumers, while Oola offers a holistic approach to balance and growth. Both operate under USANA’s umbrella, leveraging its resources for growth.
- Financials:
- Net Sales: $6,744 thousand (0.8% of total revenue)
- Cost of Sales: $3,520 thousand
- Associate Incentives: $516 thousand
- SG&A: $7,309 thousand
- Loss: ($4,601) thousand
- Key Strategies: Utilize USANA’s assets to grow Rise and Oola, integrate their expertise into core operations.
Total Revenue (2024): $854,503 thousand
- Direct Selling: 99%
- Hiya Direct-to-Consumer: 0.2%
- Other: 0.8%
The direct selling segment dominates due to its global reach and established associate network. Hiya’s subscription model introduces predictable revenue, while Rise and Oola add niche growth opportunities. USANA’s segment strategy ensures flexibility, allowing adaptation to market trends and regulatory changes.
The direct selling segment’s success stems from its ability to empower associates with tools like online portals, training events, and a global compensation plan that integrates markets where permissible. Hiya’s subscription model reduces customer acquisition costs, while its sustainable packaging aligns with USANA’s environmental goals. Rise and Oola, though currently unprofitable, offer long-term potential by appealing to health-conscious and lifestyle-focused consumers. USANA’s segment strategy ensures flexibility, allowing adaptation to market trends and regulatory changes.
Products and Services Offered by USANA (Revenue Breakup %)
USANA Health Sciences offers a diverse portfolio of nutritional supplements, foods, personal care, and skincare products, alongside services like direct-selling opportunities and subscription models. Below is a detailed list with revenue percentages for the direct-selling segment in 2024, followed by Hiya’s product contributions.
Direct Selling Segment Products
- USANA Nutritionals Optimizers
- Description: Targeted supplements addressing specific health needs like cardiovascular, skeletal, and digestive health. Designed to complement Essentials/CellSentials for personalized nutrition.
- Examples: Proflavanol, CoQuinone 30, BiOmega-3
- Revenue Share: 71% of direct-selling product sales
- Details: Includes products like Proflavanol for antioxidant support and BiOmega-3 for omega-3 fatty acids, formulated with proprietary InCelligence technology.
- Essentials/CellSentials
- Description: Core vitamin and mineral supplements providing foundational nutrition for all age groups (13 months and up).
- Examples: USANA CellSentials, Essentials, HealthPak 100
- Revenue Share: 16%
- Details: CellSentials are flagship products, offering comprehensive cellular nutrition. HealthPak 100 combines multiple supplements for convenience.
- Foods (Active Nutrition)
- Description: Meal replacement shakes, snack bars, and related products for weight management, digestive health, energy, and hydration.
- Examples: Nutrimeal, Fibergy, RESET weight-management program
- Revenue Share: 6%
- Details: The RESET program supports healthy weight loss, while Nutrimeal and Fibergy offer convenient nutrition options. The 2024 launch of Whey Protein Isolate expanded this category.
- Personal Care and Skincare
- Description: Premium science-based products, including the Celavive skincare system with InCelligence technology, suitable for multiple skin types and ethnicities.
- Examples: Vitalizing Serum, Protective Day Cream, Replenishing Night Cream, Perfecting Toner
- Revenue Share: 6%
- Details: Celavive’s 2024 launch of Resurfacing Serum reflects USANA’s commitment to skincare innovation, addressing diverse consumer needs.
- All Other
- Description: Materials and online tools to assist associates in building businesses and marketing products.
- Examples: Associate Starter Kit, Product Brochures, Logo Merchandise
- Revenue Share: 1%
- Details: Supports associate success through training and promotional resources.
Top-Selling Products (Direct Selling):
- USANA Essentials/CellSentials: 10% of total product sales
- Proflavanol: 10%
- Probiotic: 8%
- Other Notable Products: Hepasil, Soy Lecithin, HealthPak
Hiya Direct-to-Consumer Segment Products
- Kids Daily Multivitamin
- Description: Chewable multivitamin with 15 essential vitamins and minerals for immunity, growth, and development.
- Revenue Share: 55% of Hiya sales
- Details: Delivered in sustainable glass bottles.
- Kids Daily Probiotic
- Description: Chewable probiotic with 10 billion live cultures for gut health and nutrient absorption.
- Revenue Share: 15%
- Details: Supports childhood immunity.
- Kids Bedtime Essentials
- Description: Non-habit-forming nightly chewable to promote relaxation and restful sleep.
- Revenue Share: 11%
- Details: Helps kids wake up refreshed.
- Kids Daily Greens & Superfoods
- Description: Green’s powder with 55 whole-food ingredients for growth, digestion, and brain health.
- Revenue Share: 11%
- Details: Offers comprehensive nutrition for picky eaters.
- Kids Daily Iron+
- Description: Gentle, absorbable iron chewable for children’s stomachs.
- Revenue Share: 4%
- Details: Supports healthy development.
- Kids Daily Immune+
- Description: Chewable to support children’s growing immune systems.
- Revenue Share: 4%
- Details: Enhances natural defenses.
Services
- Direct Selling Opportunity
- Description: Associates earn commissions, bonuses (leadership, elite, lifetime matching), and retail mark-ups by selling products and building sales organizations. The compensation plan rewards sales volume and team growth, with weekly payouts in most markets.
- Details: Includes training, events, and online tools like web-based applications for order entry, customer management, and reporting.
- Subscription Model (Hiya)
- Description: Recurring deliveries of Hiya products ensure customer convenience and loyalty, with sustainable packaging and educational content.
- Details: Leverages data for personalized offerings, reducing acquisition costs.
- Associate Support
- Description: Comprehensive support through virtual and in-person events, mentorship programs, and digital platforms (e.g., associate websites, e-cards).
- Details: Enhances associate success and customer engagement, critical for direct-selling growth.
Revenue Breakup (Direct Selling Product Sales, 2024):
- Nutritionals (Optimizers + Essentials): 87%
- Foods: 6%
- Personal Care/Skincare: 6%
- All Other: 1%
Hiya Revenue Breakup (Post-Acquisition):
- Kids Daily Multivitamin: 55%
- Kids Daily Probiotic: 15%
- Kids Bedtime Essentials: 11%
- Kids Daily Greens & Superfoods: 11%
- Kids Daily Iron+: 4%
- Kids Daily Immune+: 4%
USANA’s product portfolio is rooted in science, with nutritionals driving revenue due to demand for cellular health solutions. Products like CellSentials and Proflavanol leverage InCelligence technology to support long-term wellness. The Celavive skincare line addresses diverse skin needs, while Foods like Nutrimeal cater to weight-conscious consumers. Hiya’s subscription-based products target families, offering kid-friendly solutions with sustainable packaging. Services like associate training and digital tools enhance customer engagement.
The Nutritionals category, particularly Optimizers, dominates due to its broad appeal and scientific backing. Proflavanol’s antioxidant properties and BiOmega-3’s omega-3 benefits resonate with health-conscious consumers. CellSentials provide a foundation for daily nutrition, while HealthPak 100 simplifies supplementation. The RESET program supports lifestyle goals, with RESET offering a structured weight-loss program. Celavive’s skincare innovations, like the Resurfacing Serum, reflect USANA’s commitment to quality. Hiya’s sustainable packaging and educational materials resonate with parents, while Rise’s sustainable ingredients and Oola’s holistic approach diversify USANA’s offerings.
Company History
USANA Health Sciences was founded in 1992 by Myron W. Wentz, Ph.D., with a vision to advance cellular nutrition through science-based products. Headquartered in Salt Lake City, Utah, USANA began as a niche manufacturer of nutritional supplements, focusing on high-quality, bioavailable formulations to promote long-term health. Dr. Wentz’s background in microbiology and immunology shaped the company’s emphasis on cellular health, setting it apart in the wellness industry.
In the late 1990s, USANA adopted a direct-selling model, leveraging person-to-person marketing to distribute products. This approach enabled rapid growth, with the company entering international markets like Australia, New Zealand, and Hong Kong by the early 2000s. The 2010 acquisition of BabyCare Holdings, Ltd. marked a pivotal expansion into China, which became USANA’s largest market, contributing 48.4% of 2024 revenue.
USANA listed on the New York Stock Exchange (NYSE: USNA) in 2011, solidifying its position as a publicly traded company. Key product launches, such as USANA CellSentials and the InCelligence technology platform, reinforced its reputation for innovation. The company expanded its portfolio through acquisitions: Rise Bar Wellness, Inc. and Oola Global, LLC in 2022, adding protein bars and personal development frameworks, and Hiya Health Products, LLC (78.85% stake) in 2024, introducing a direct-to-consumer children’s wellness brand.
Over three decades, USANA has grown from a small supplement manufacturer to a global wellness leader, generating $854.5 million in net sales in 2024 across 25 markets. Its history reflects a commitment to scientific excellence, strategic expansion, and community impact through initiatives like the USANA Foundation, which provided over 30 million meals in 2024.
Key Milestones:
- 1992: Founded by Dr. Myron Wentz, focusing on cellular nutrition.
- Early 2000s: Expanded to Australia, New Zealand, Hong Kong.
- 2010: Acquired BabyCare for China operations.
- 2011: Listed on NYSE (USNA).
- 2016: Launched InCelligence technology.
- 2022: Acquired Rise Bar and Oola.
- 2023: Entered India market.
- 2024: Acquired Hiya Health, launched Celavive Resurfacing Serum and Whey Protein Isolate.
USANA’s history is a testament to its adaptability and innovation. Dr. Wentz’s vision laid the foundation for science-driven products, with early successes like Essentials establishing brand credibility. International expansion required navigating complex regulations, particularly in China, where BabyCare adapted to direct-selling laws. The NYSE listing enhanced financial stability, enabling investments in R&D and acquisitions. Recent moves, like Hiya’s acquisition, reflect USANA’s strategy to diversify into direct-to-consumer channels while maintaining its direct-selling core. The company’s focus on philanthropy, through the USANA Foundation, underscores its community commitment, aligning with its mission to create the healthiest family on earth.
USANA’s growth trajectory includes overcoming challenges like regulatory scrutiny in China and currency fluctuations (89.3% of sales from international markets). The company’s ability to innovate, such as with InCelligence technology, has kept it competitive. Acquisitions like Rise and Oola expanded product categories, while Hiya’s sustainable model targets a new demographic.
Brands Details and List (Revenue Breakup %)
USANA Health Sciences operates multiple brands, each targeting specific wellness needs. Revenue breakup aligns with product categories, as brands are not separately reported.
- USANA
- Description: The core brand encompassing nutritional supplements, including Optimizers and Essentials/CellSentials, designed to support cellular health and overall wellness.
- Products: Proflavanol, CoQuinone 30, BiOmega-3, USANA CellSentials, Essentials, HealthPak, Probiotic, Hepasil, Soy Lecithin
- Revenue Share: ~87% (Nutritionals: 71% Optimizers + 16% Essentials)
- Details: Known for science-backed formulations, USANA products leverage InCelligence technology to enhance cellular function. Top sellers like Proflavanol (10%) and CellSentials (10%) drive significant revenue.
- Celavive
- Description: Premium skincare line featuring InCelligence technology, designed for multiple skin types and ethnicities, offering comprehensive regimens for visible results.
- Products: Vitalizing Serum, Protective Day Cream, Replenishing Night Cream, Perfecting Toner, Resurfacing Serum (launched 2024)
- Revenue Share: ~6% (Personal Care/Skincare)
- Details: Celavive combines advanced science with user-friendly products, addressing hydration, radiance, and anti-aging needs. The 2024 Resurfacing Serum launch reflects ongoing innovation.
- Active Nutrition
- Description: Foods line focused on healthy weight management, digestive health, energy, and hydration, offering meal replacements and supplements.
- Products: Nutrimeal, Fibergy, RESET weight-management program, Whey Protein Isolate (launched 2024)
- Revenue Share: ~6% (Foods)
- Details: Supports lifestyle goals with convenient, science-based nutrition. RESET aids sustainable weight loss, while Nutrimeal provides balanced meal replacements.
- Hiya
- Description: Children’s wellness brand acquired in 2024, offering subscription-based chewable supplements for kids, delivered in sustainable packaging.
- Products: Kids Daily Multivitamin (55%), Kids Daily Probiotic (15%), Kids Bedtime Essentials (11%), Kids Daily Greens & Superfoods (11%), Kids Daily Iron+ (4%), Kids Daily Immune+ (4%)
- Revenue Share: 0.2% (Hiya segment)
- Details: Targets families with clean, kid-friendly formulations, leveraging USANA’s expertise for future growth.
- Rise Bar
- Description: Clean-ingredient protein bars and powdered drinks, acquired in 2022, designed for health-conscious consumers.
- Products: Protein bars, powdered drinks
- Revenue Share: Part of Other segment (0.8%)
- Details: Focuses on simple, high-quality ingredients, complementing USANA’s nutrition portfolio.
- Oola
- Description: Personal development framework with nutritional products, acquired in 2022, promoting balance, growth, and purpose.
- Products: Nutritional supplements, lifestyle programs
- Revenue Share: Part of Other segment (0.8%)
- Details: Combines wellness with personal development, appealing to consumers seeking holistic solutions.
Revenue Breakup (Estimated by Product Category):
- USANA (Nutritionals): 87%
- Celavive (Skincare): 6%
- Active Nutrition (Foods): 6%
- Hiya: 0.2%
- Rise Bar, Oola (Other): 0.8%
USANA’s brands cater to diverse consumer needs, from cellular nutrition to advanced skincare and children’s wellness. The USANA brand dominates with its science-driven supplements, leveraging InCelligence for efficacy. Celavive’s skincare innovations appeal to beauty-conscious consumers, while Active Nutrition supports lifestyle goals. Hiya’s subscription model targets families, offering sustainable, kid-friendly products. Rise and Oola, though smaller, add niche appeal, with potential for growth through USANA’s resources. In 2025, USANA aims to enhance brand messaging and accelerate product launches to strengthen market presence.
The USANA brand’s strength lies in its scientific foundation, with products like Proflavanol and CellSentials backed by clinical studies. Celavive’s use of InCelligence ensures cutting-edge skincare solutions. Active Nutrition’s RESET program addresses global demand for weight management. Hiya’s sustainable packaging and educational materials resonate with parents, while Rise’s sustainable ingredients and Oola’s holistic approach diversify USANA’s offerings. Brand synergy ensures a cohesive wellness portfolio, driving revenue through targeted marketing and associate support.
Geographical Presence and List and Revenue Breakup %
USANA Health Sciences operates in 25 markets worldwide, organized into two primary regions: Asia Pacific and Americas and Europe. The company’s international focus, with 89.3% of 2024 sales from outside the U.S., underscores its global reach. Below is a detailed breakdown of geographical presence and revenue contributions for 2024.
- Asia Pacific
- Sub-regions and Countries:
- Greater China: Hong Kong, Taiwan, China (operated through BabyCare Holdings, Ltd.)
- Southeast Asia Pacific: Australia, New Zealand, Singapore, Malaysia, Philippines, Thailand, Indonesia, India (operations began Q4 2023)
- North Asia: Japan, South Korea
- Revenue Share: ~80%
- Greater China: 53.6%
- Southeast Asia Pacific: 17.2%
- North Asia: 9.1%
- Details: China is USANA’s largest market, contributing 48.4% of total revenue and 50.2% of active customers. BabyCare adapts to China’s direct-selling regulations, using online sales, retail locations, and licensed direct sellers. Southeast Asia Pacific benefits from emerging markets like India, while North Asia provides stable revenue from Japan and South Korea.
- Sub-regions and Countries:
- Americas and Europe
- Countries: United States, Canada, Mexico, Colombia, United Kingdom, France, Germany, Spain, Italy, Romania, Belgium, Netherlands
- Revenue Share: ~20%
- Details: Includes Hiya’s direct-to-consumer operations in the U.S. These markets offer established infrastructure and consistent demand, supporting USANA’s global strategy.
Total Revenue (2024): $854,503 thousand
- Asia Pacific: 80%
- Greater China: 53.6%
- Southeast Asia Pacific: 17.2%
- North Asia: 9.1%
- Americas and Europe: 20%
Asia Pacific dominates USANA’s revenue due to high demand in China, where BabyCare navigates complex regulations. The seamless global compensation plan integrates markets, allowing associates to earn commissions globally (except China). Southeast Asia Pacific’s growth, particularly in India, signals future potential. Americas and Europe provide stability, with Hiya’s U.S. operations adding diversification. Currency fluctuations impact results, as 89.3% of sales are international, but USANA’s regional strategies mitigate risks. In 2025, USANA plans to deepen engagement in China and expand in new markets, leveraging local leadership for tailored solutions.
Greater China’s dominance reflects strong consumer demand for health products, with BabyCare’s licensed operations in Beijing, Jiangsu, Shaanxi, and Tianjin ensuring compliance. Southeast Asia Pacific’s diverse markets, from established Australia to emerging India, offer growth opportunities. North Asia’s stable markets like Japan balance volatility in other regions. Americas and Europe benefit from mature direct-selling networks, with the U.S. hosting USANA’s headquarters and Hiya’s operations. USANA’s global strategy includes enhancing digital capabilities and associate training to drive customer growth across regions.
Financials
Below are the consolidated financial statements for 2024, 2023, and 2022, presented in tables (in thousands). These reflect the company’s performance amid market challenges and strategic investments.
Consolidated Profit & Loss Statement
| Item | 2024 | 2023 | 2022 |
|---|---|---|---|
| Net Sales | 854,503 | 921,010 | 998,601 |
| Cost of Sales | 161,212 | 176,693 | 193,890 |
| Gross Profit | 693,291 | 744,317 | 804,711 |
| Associate Incentives | 363,699 | 394,257 | 434,793 |
| SG&A | 263,268 | 256,989 | 262,304 |
| Earnings from Operations | 66,324 | 93,071 | 107,614 |
| Interest Income | 11,319 | 9,637 | 3,789 |
| Interest Expense | (281) | (262) | (192) |
| Other, net | (1,011) | 7 | (2,590) |
| Earnings before Income Taxes | 76,351 | 102,453 | 108,621 |
| Income Taxes | (34,321) | (38,665) | (39,271) |
| Net Earnings | 42,030 | 63,788 | 69,350 |
| EPS (Basic) | 2.20 | 3.31 | 3.60 |
| EPS (Diluted) | 2.19 | 3.30 | 3.59 |
Consolidated Balance Sheet (Partial, based on available data)
| Item | 2024 | 2023 |
|---|---|---|
| Assets | ||
| Cash and Cash Equivalents | 181,768 | – |
| Inventories | 58,763 | – |
| Property and Equipment, net | 98,987 | – |
| Total Assets | 748,193 | 632,757 |
| Liabilities | ||
| Total Liabilities | 148,678 | – |
| Equity | ||
| Total Equity | 599,515 | – |
Consolidated Cash Flow Statement (Partial)
| Item | 2024 |
|---|---|
| Operating Activities | 60,992 |
| Investing Activities | (213,090) |
| Financing Activities | 9,553 |
Financial Analysis:
- 2024 Performance: Net sales declined to $854.5 million from $921.0 million in 2023, reflecting cautious consumer sentiment in Asia Pacific markets. Gross profit margins remained strong at 81.1%, but higher SG&A and associate incentives compressed operating earnings to $66.3 million. Net earnings fell to $42.0 million, driven by market challenges and acquisition costs.
- Cash Position: USANA’s cash reserves of $181.8 million supported the Hiya acquisition ($213.1 million in investing activities) and ongoing R&D ($11.6 million). No dividends were declared, with capital allocated to share repurchases ($150 million authorized remaining).
- Historical Trends: Sales peaked at $998.6 million in 2022, with net earnings of $69.4 million. The 2024 decline reflects external pressures, but USANA’s debt-free status and liquidity provide flexibility for future investments.
USANA’s financials demonstrate resilience despite market challenges. The sales decline reflects cautious spending in Asia Pacific, particularly China, but strong gross margins and cash flow support strategic initiatives like Hiya’s acquisition and R&D investments. The company’s focus on share repurchases over dividends reflects a commitment to long-term value creation. In 2025, USANA aims to improve margins through cost efficiencies and new product launches.
The P&L shows a consistent gross profit margin above 80%, reflecting USANA’s ability to manage costs despite sales declines. Associate incentives, a significant expense, align with the direct-selling model’s reliance on commissions. The balance sheet’s growth in assets reflects strategic investments, while the cash flow statement highlights significant outflows for acquisitions. USANA’s financial strategy prioritizes innovation, expansion, and shareholder value, positioning it for recovery in 2025.
Subsidiary, Wholly-Owned Subsidiary, and Associate Details (Revenue Breakup %)
USANA Health Sciences operates through several subsidiaries, with no associates (joint ventures) mentioned. Below is a comprehensive list of subsidiaries, their ownership status, and revenue contributions for 2024.
- BabyCare Holdings, Ltd.
- Ownership: Wholly-owned
- Details: Operates USANA’s direct-selling business in China, adapting to unique regulations prohibiting multi-level compensation. BabyCare sells products online, at retail locations, and through licensed direct sellers in provinces like Beijing, Jiangsu, Shaanxi, and Tianjin. It manufactures most China-specific products in-house.
- Revenue Contribution: ~48.4% (part of Direct Selling segment, 99%)
- Operations: Serves 50.2% of USANA’s active customers, with manufacturing facilities in Beijing and Tianjin. BabyCare’s model includes China Preferred Customers (CPCs) who earn product vouchers for referrals.
- Hiya Health Products, LLC
- Ownership: 78.85%
- Details: Acquired on December 23, 2024, Hiya is a direct-to-consumer children’s wellness brand offering subscription-based chewable supplements. It targets families with products like Kids Daily Multivitamin, delivered in sustainable packaging.
- Revenue Contribution: 0.2%
- Operations: Operates primarily in the U.S., with plans for global expansion leveraging USANA’s network. Uses social media, influencers, and paid ads for marketing.
- Rise Bar Wellness, Inc.
- Ownership: Wholly-owned
- Details: Acquired in 2022, Rise manufactures clean-ingredient protein bars and powdered drinks for health-conscious consumers.
- Revenue Contribution: Part of Other segment (0.8%)
- Operations: Integrates with USANA’s manufacturing and distribution to scale production and reach.
- Oola Global, LLC
- Ownership: Wholly-owned
- Details: Acquired in 2022, Oola offers a personal development framework alongside nutritional products, promoting balance, growth, and purpose.
- Revenue Contribution: Part of Other segment (0.8%)
- Operations: Leverages USANA’s direct-selling network to distribute products and programs.
Other Wholly-Owned Subsidiaries (inferred from global operations):
- USANA Canada Company: Operates direct selling in Canada.
- USANA Australia Pty Ltd: Manages Australia operations.
- USANA New Zealand Ltd: Supports New Zealand market.
- USANA Hong Kong Ltd: Handles Hong Kong sales.
- USANA Taiwan: Operates in Taiwan.
- USANA Singapore Pte Ltd: Manages Singapore market.
- USANA Malaysia Sdn Bhd: Supports Malaysia operations.
- USANA Philippines, Inc.: Operates in the Philippines.
- USANA Thailand Co., Ltd.: Manages Thailand market.
- USANA Indonesia: Supports Indonesia operations.
- USANA Japan KK: Operates in Japan.
- USANA Korea, Ltd.: Manages South Korea market.
- USANA Mexico S.A. de C.V.: Supports Mexico operations.
- USANA Colombia S.A.S.: Operates in Colombia.
- USANA Europe (various entities for UK, France, Germany, Spain, Italy, Romania, Belgium, Netherlands).
Revenue Breakup (2024):
- Direct Selling (includes BabyCare): 99%
- Hiya Direct-to-Consumer: 0.2%
- Other (Rise, Oola): 0.8%
BabyCare is USANA’s most significant subsidiary, driving nearly half of total revenue through China’s massive market. Hiya’s acquisition adds a high-growth direct-to-consumer channel, with potential to scale globally. Rise and Oola, while smaller, diversify USANA’s portfolio, targeting niche markets. Other subsidiaries ensure operational efficiency across 25 markets, supporting USANA’s global compensation plan. In 2025, USANA plans to leverage these subsidiaries for market expansion and product integration, particularly for Hiya’s growth.
BabyCare’s unique model in China navigates anti-pyramiding laws, using direct sellers and independent distributors to comply with regulations. Hiya’s subscription model reduces customer acquisition costs, while Rise and Oola benefit from USANA’s manufacturing expertise. Each subsidiary aligns with USANA’s mission, enhancing its ability to deliver wellness solutions globally. The absence of joint ventures or associates simplifies USANA’s structure, focusing on wholly-owned or majority-owned entities for control and synergy.
Information about Physical Properties (Offices, Plants, Factories, etc.)
USANA Health Sciences maintains key physical properties for its operations, manufacturing, and distribution, ensuring high-quality production and efficient delivery. Below is a detailed list of properties.
- Corporate Headquarters and Manufacturing Facility
- Location: 3838 West Parkway Blvd, Salt Lake City, Utah 84120
- Details: Serves as USANA’s global headquarters, housing executive offices, tablet manufacturing, R&D laboratories, microbiology and analytical chemistry labs, and quality control operations. The facility produces 69% of USANA’s products and is certified for GMPs, Halal, Kosher, and NSF standards. It supports administrative functions and associate training.
- Adjacent Manufacturing Facility
- Location: Salt Lake City, Utah (adjacent to headquarters, 54,000 square feet)
- Details: Dedicated to food production, including products like Nutrimeal and Whey Protein Isolate. Operational since Q4 2020, this facility expanded USANA’s in-house manufacturing capabilities, reducing reliance on third-party suppliers.
- Beijing Manufacturing Facility
- Location: Beijing, China
- Details: Operated by BabyCare Holdings, Ltd., this facility manufactures and conducts quality control for most China-specific products. It is registered with the State Administration of Market Regulation (SAMR) and complies with China’s GMPs and labeling regulations.
- Tianjin Manufacturing Facility
- Location: Tianjin, China
- Details: Additional manufacturing facility for BabyCare, supporting production of nutritional and personal care products for the Chinese market. Enhances USANA’s capacity to meet demand in Greater China.
- International Warehouses
- Locations: Across 25 markets, including Australia, New Zealand, Hong Kong, Taiwan, Singapore, Malaysia, Philippines, Thailand, Indonesia, India, Japan, South Korea, Canada, Mexico, Colombia, United Kingdom, France, Germany, Spain, Italy, Romania, Belgium, Netherlands.
- Details: Serve as distribution centers to ensure timely product delivery. These facilities are minimal, focusing on warehousing and customer support, with larger infrastructure in key markets like China.
USANA’s in-house manufacturing facilities in Salt Lake City, Beijing, and Tianjin produce 69% of products, ensuring quality control and supply chain reliability. The Utah facilities are central to USANA’s global operations, while China’s facilities cater to the largest market. International warehouses support the direct-selling model’s efficiency, with products typically shipped within 72 hours of orders. In 2025, USANA plans to increase in-house production of personal care products, further reducing reliance on third-party manufacturers.
The Salt Lake City headquarters is a hub for innovation, with R&D labs driving product development. The adjacent food facility enhances USANA’s ability to produce Active Nutrition products, aligning with consumer demand for meal replacements. China’s facilities are critical for compliance with local regulations, ensuring BabyCare’s products meet SAMR standards. Warehouses in each market minimize logistics costs, supporting USANA’s global scalability. These properties reflect USANA’s commitment to operational excellence and customer satisfaction.
Founders Details
Dr. Myron W. Wentz, Ph.D.
- Role: Founder, Emeritus Board Member
- Details: Founded USANA Health Sciences in 1992 with a vision to advance cellular nutrition through science-based products. Dr. Wentz holds a Ph.D. in microbiology and immunology, which shaped USANA’s focus on high-quality, bioavailable supplements. He owns 41.9% of USANA’s shares through Gull Global Ltd., maintaining significant influence over the company’s direction.
Dr. Wentz’s expertise in microbiology drove USANA’s development of products like CellSentials, which target cellular health. His vision for a global wellness community led to the direct-selling model and international expansion. As an emeritus board member, Dr. Wentz’s legacy continues to guide USANA’s scientific and ethical standards, ensuring alignment with its mission to create the healthiest family on earth.
Dr. Wentz’s pioneering work in cellular nutrition established USANA as a leader in the industry. His commitment to quality led to investments in in-house manufacturing and R&D, setting USANA apart from competitors. His significant influence ensures strategic continuity, supporting USANA’s long-term growth in wellness.
Board of Directors Details and List
USANA’s Board of Directors oversees strategic direction, governance, and sustainability, with committees for audit, compensation, governance, and sustainability. Below is a detailed list of directors as of 2024.
- Kevin G. Guest (Age 62)
- Position: Executive Chairman of the Board
- Details: Former CEO, transitioned to chairman to lead strategic oversight. Brings extensive experience in direct selling and corporate leadership, guiding USANA’s global expansion.
- Xia Ding (Age 54)
- Position: Independent Director
- Details: Offers expertise in international business, particularly in Asia Pacific, supporting USANA’s largest market.
- John T. Fleming (Age 81)
- Position: Independent Director
- Details: Experienced in direct selling, contributing to sales strategies and associate engagement.
- Gilbert A. Fuller (Age 84)
- Position: Independent Director
- Details: Brings decades of financial and operational experience to the board, contributing to audit and governance committees. His background in accounting and corporate finance helps oversee USANA’s financial reporting and risk management, ensuring compliance with SEC regulations and NYSE standards.
- J. Scott Nixon, CPA (Age 65)
- Position: Independent Director
- Details: A certified public accountant, Nixon provides expertise in financial auditing and tax strategies. He serves on the Audit Committee, focusing on internal controls and financial disclosures. His role is crucial for maintaining USANA’s transparency and adherence to Sarbanes-Oxley Act requirements.
- Peggie J. Pelosi (Age 69)
- Position: Independent Director
- Details: Chairs the Sustainability Committee, overseeing corporate sustainability efforts related to products, people, and planet. Pelosi’s experience in corporate responsibility and governance supports USANA’s commitment to environmental conservation, employee well-being, and community engagement.
- Frederic J. Winssinger (Age 56)
- Position: Independent Director
- Details: Offers strategic insights into international business and operations, aiding USANA’s global expansion. He contributes to the Governance, Risk, and Nominating Committee, helping identify risks and opportunities in markets like Asia Pacific.
- Timothy E. Wood, Ph.D. (Age 76)
- Position: Independent Director
- Details: Holds a Ph.D. and provides scientific expertise to the board, aligning with USANA’s focus on R&D. Wood supports product innovation strategies and ensures scientific integrity in USANA’s offerings.
USANA’s board comprises experienced leaders who balance strategic oversight with expertise in direct selling, finance, sustainability, and science. The Sustainability Committee, chaired by Pelosi, focuses on enterprise risk, customer retention, and environmental impact. Independent directors like Ding and Fleming bring global perspectives, essential for navigating markets like China. The board’s structure ensures robust governance, with annual meetings and proxy statements detailing decisions. In 2025, the board will continue prioritizing growth strategies, including Hiya integration and product innovation.
Each director’s tenure and expertise contribute to USANA’s resilience. For instance, Fuller’s financial acumen supports compliance with transfer pricing regulations, while Winssinger’s international focus aids in managing geo-political risks. The board’s independence (majority independent) promotes objective decision-making, aligning with NYSE requirements.
The board’s role in acquisitions, like Hiya, involves due diligence and integration oversight. Directors like Nixon ensure financial health, reviewing quarterly results and tax implications. Wood’s scientific input validates R&D investments, such as the $11.6 million in 2024. Overall, the board’s composition reflects USANA’s commitment to excellence, with each member contributing unique skills to drive innovation and growth.
The board’s dynamics include regular meetings to review financials, risks, and strategies, with the Compensation Committee overseeing executive pay. The Governance Committee handles director nominations, emphasizing diversity. Sustainability efforts, led by Pelosi, include responsible sourcing and waste management, integrating with USANA’s core values.
Investment Details and List Every Passive Investment Details %
USANA Health Sciences maintains a conservative investment approach, focusing on liquidity and strategic assets. Below is a detailed list of passive investments based on 2024 data.
- Investment in Held Company
- Details: USANA holds a $20,000 thousand investment in a company accounted for under the measurement alternative (no quoted market prices, fair value not readily determinable).
- Percentage: Represents ~2.7% of total assets ($748,193 thousand).
- Details: No impairment was recognized in 2024, 2023, or 2022. This investment is recorded in other assets, supporting USANA’s financial flexibility without active management involvement.
Other Passive Investments:
- Cash and Equivalents: $181,768 thousand, invested in short-term, liquid instruments for operational needs (no specific % breakdown, but forms a significant passive holding).
- No Other Passive Investments Listed: USANA does not detail additional passive equity or debt investments beyond the held company and cash reserves.
The $20,000 thousand held company investment reflects USANA’s prudent approach, using the measurement alternative to avoid volatility. Cash investments prioritize safety, supporting acquisitions like Hiya ($213.1 million outflow). No impairments indicate stable value, aligning with USANA’s risk-averse strategy.
Passive investments are minimal, with focus on operational cash. The held company’s value is reviewed annually, ensuring no adverse impacts on financials. USANA’s debt-free status enhances investment flexibility.
Future Investment Plan
USANA Health Sciences‘ future investment plan emphasizes growth, innovation, and diversification. In 2025 and beyond, the company plans to:
- Increase R&D Investments: Continue funding early-stage research and scientific innovation, building on $11.6 million in 2024. Focus on cellular nutrition, new formulations, and increasing product launch cadence to set industry standards.
- Support Hiya Growth: Invest in product portfolio expansion, distribution channels (online marketplaces, retail partners), and geographic expansion, leveraging USANA’s global network for sustainable growth.
- Pursue Acquisitions: Target opportunities in overall nutrition, vertical integration, product/category expansion, distribution channel expansion, and geographic expansion to strengthen and diversify the business.
- Enhance Manufacturing: Increase in-house production of personal care and skincare products, reducing reliance on third-party suppliers and improving efficiency.
- Market Expansion: Evaluate new international markets, building on India’s 2023 entry, with investments in local marketing, tools, and training.
- Sustainability and Digital Initiatives: Invest in sustainable packaging, waste management, and digital capabilities to improve customer experience and associate engagement.
These investments aim to drive long-term growth, with R&D focusing on potent formulations and Hiya’s subscription model targeting children’s health. Acquisitions will prioritize synergies, while manufacturing enhancements ensure supply chain resilience. USANA’s debt-free position and cash reserves ($181.8 million) support these plans without external financing.
R&D will prioritize women’s health, immune support, and microbiome research. Hiya investments include new products and markets, capitalizing on USANA’s expertise. Acquisition criteria focus on nutrition and channel expansion, ensuring alignment with core values. Digital investments will enhance associate tools and customer acquisition in China.
