USANA executives didn't mince words about the cause of its 15.1% slide in second-quarter net sales to $256m. “The continuing challenging market environment in China was the major factor that impacted our second quarter results,” said CEO Kevin Guest in the Salt Lake City-based firms 23 July earnings release.

USANA offered promotions and incentives in China during the April-June period that "historically generated meaningful sales and customer growth," but "significantly lower" results than expected "which we believe is due to the low consumer sentiment toward health products," Guest said.

The strengthening of the US dollar also slowed net sales, causing a $12.4m loss as net earnings slipped to $21.4m, 91 cents per diluted share, from $33.9m, $1.36 per share, in the prior-year period.

Net sales in the Asia-Pacific region decreased 14.9% 5m including currency exchange rates, or 10.1% at constant currency, to $205.5m. The region included a 23.2% (18.3%) dive in Greater China sales, a 1.5% dip (up 1.8%) Southeast Asia-Pacific and 18.9% growth (28%) in North Asia, USANA reported.

Net sales in the Americas and Europe region decreased 15.6% to $50.5m primarily due to an 11.6% decrease in active customers.

Still, USANA sustained its outlook for 2019: net sales between $1.02bn and $1.06bn, earnings per share between $3.70 and $4.10, and around $25m loss in net sales related to a stronger US dollar.

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