USANA Swings to Q2 Loss on $29M Hiya Impairment, Slashes 2026 Guidance
USNA is trading near its 52-week low of $16.6 (9.9% above the low).
Summary
USANA posted a Q2 GAAP loss of $(21.4) million after a $29.1 million Hiya goodwill impairment and slashed full-year adjusted EPS guidance to $0.76 from $1.95–$2.29, as both Hiya and Rise Wellness underperformed.
Key Events · Earnings and Guidance · USNA
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Q2 GAAP Loss on Hiya Impairment
Driven by a $29.1 million non-cash goodwill impairment charge for the Hiya reporting unit, the company recorded a net loss of $(21.4) million, or $(1.16) per share. Adjusted diluted EPS came in at $(0.07), compared with $0.74 a year ago.
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Sharp Full-Year Guidance Cut
The 2026 adjusted diluted EPS outlook was slashed to $0.76 from $1.95–$2.29, and adjusted EBITDA is now expected at $87 million versus $101–$109 million previously. Consolidated net sales were cut to $910 million from a prior range of $925M–$1.0B.
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Ventures Businesses Underperform
Hiya net sales fell 17% year-over-year to $28 million, with active subscribers down 17%. Meanwhile, Rise Wellness net sales collapsed 75% sequentially to $3 million, hurt by a packaging disruption and softer retail orders.
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Core Nutritional Stable but Shrinking
Core Nutritional net sales of $192 million were down 4% year-over-year, as active customers declined 8% to 384,000. Greater China net sales grew 1%, but other regions posted declines.
Analysis · USNA · Life Sciences
A $29.1 million non-cash goodwill impairment at the Hiya children's health unit pushed USANA to a GAAP net loss of $(21.4) million. Adjusted EBITDA fell 9% to $27.8 million, and the company sharply cut its full-year 2026 outlook: consolidated net sales are now expected at $910 million, down from a prior range of $925 million to $1.0 billion, while adjusted diluted EPS was slashed to $0.76 from $1.95–$2.29. The impairment and guidance reduction reflect worsening performance at Hiya and Rise Wellness, with Hiya subscribers down 17% and Rise sales collapsing 75% sequentially. Although the impairment is non-cash, the guidance cut signals deeper operational challenges and a slower path to profitability for the ventures businesses. The balance sheet remains debt-free with $169 million in cash, but the earnings trajectory has deteriorated significantly.
At the time of this filing, USNA was trading at $18.25 on NYSE in the Life Sciences sector, with a market capitalization of approximately $420.6M. The 52-week trading range was $16.60 to $32.32. This filing was assessed with negative market sentiment and an importance score of 8 out of 10.