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DATE

Wednesday, Aug. 5, 2026 at 11:00 a.m. ET

CALL PARTICIPANTS

• Director of Investor Relations - Andrew Masuda
• Chairman and Chief Executive Officer - Kevin G. Guest
• Chief Financial Officer - G. Douglas Hekking
• Chief Commercial Officer - Brent L. Neidig
• Chief Operating Officer - Walter Noot
• Chief Scientific Officer - Dr. Kathryn Armstrong

TAKEAWAYS

• Net Sales -- $223 million, representing a 5.3% decline year over year driven by performance challenges in venture brands Hiya and Rise Wellness.
• Net Loss -- $(21.4) million, primarily reflecting a $29.1 million noncash goodwill impairment charge related to the Hiya reporting unit.
• Adjusted Diluted EPS -- $(0.07), a decline from $0.74 in the second quarter of 2025 due to lower commercial performance and an elevated tax rate.
• Adjusted EBITDA -- $27.8 million, falling 8.7% year over year from $30.5 million in the prior year period.
• Core Nutritional Net Sales -- $192 million, a 4% decrease year over year reflecting general segment stability amidst broader market challenges.
• Hiya Net Sales -- $28 million, a 16.7% decline year over year due to a difficult digital marketing environment and Meta algorithm shifts affecting subscriber acquisition.
• Rise Wellness Net Sales -- $3 million, a 40.3% increase year over year despite a cosmetic packaging issue that disrupted commercial execution during the quarter.
• Greater China Net Sales -- $114 million, a 1.3% increase supported by momentum from first quarter incentive programs and product launches.
• North Asia Net Sales -- $14 million, falling 19.5% year over year following leadership transitions and market slowing in Korea.
• Core Nutritional Active Customers -- 384,000, representing an 8.1% decrease from 418,000 in the prior year period.
• Hiya Active Monthly Subscribers -- 166,000, a 17.2% decline from 200,400 active monthly subscribers last year.
• Goodwill Impairment Charge -- $29.1 million, a noncash charge reflecting current lower than expected performance and updated valuation assumptions for the Hiya brand.
• Income Tax Expense -- $9 million, recorded on a pretax loss of $19 million due to misalignment between revenue generation and cost allocation geographies.
• Cash and Debt -- $169 million in cash and cash equivalents with zero debt as of July 4, 2026.
• Free Cash Flow -- $20 million, generated primarily through improved working capital management during the quarter.
• Inventory -- $95 million, representing a 12% reduction from $107 million at the end of fiscal 2025.
• Fiscal 2026 Consolidated Sales Guidance -- $910 million, revised downward from the previous range of $925 million to $1 billion.
• Fiscal 2026 Adjusted Diluted EPS Guidance -- $0.76, updated from the previous range of $1.95 to $2.29.
• Fiscal 2026 Adjusted EBITDA Guidance -- $87 million, lowered from the prior expectation of $101 million to $109 million.
• Hiya Full-Year Sales Guidance -- $125 million, lowered from the previous estimate of $140 million to $155 million.
• Rise Wellness Full-Year Sales Guidance -- $35 million, revised down from $65 million to $80 million following the second quarter commercial disruption.

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RISKS

• Guest stated, "Hiya's direct to consumer business has experienced a tougher and more expensive digital marketing environment and that is had a clear impact on subscriber growth this year. I do not want to gloss over that. it is a real challenge the business is confronting right now," noting digital marketing headwinds.
• Hekking stated, "we recorded $9 million in income tax expense on a pretax loss of $19 million during the quarter, which contributed to the loss," attributing the expense to geographic misalignment of revenue and costs.
• Noot stated, "with Meta, that is been the CAC's been going up. We have had issues with Meta's algorithm. And it is created-- it is created issues for us as far as customer acquisition," highlighting platform-specific risks to the direct to consumer business.

SUMMARY

Management for USANA Health Sciences, Inc. (USNA -4.04%) detailed the company's ongoing transition toward an omnichannel business model, balancing relative stability in its core nutritional segment against operational and marketing headwinds in its venture brands. While Greater China reported modest net sales growth, consolidated performance was pressured by a significant noncash goodwill impairment charge and rising customer acquisition costs in digital channels. The company revised its full-year guidance downward across all key financial metrics but continues to operate with a debt-free balance sheet and positive free cash flow, supported by tightened working capital management and inventory reductions.

• CEO Guest highlighted the company's evolution into a "diversified omnichannel health and wellness company anchored by science and built on deep lasting consumer loyalty."
• Management addressed a packaging disruption at Rise Wellness, noting that while the cosmetic issue was resolved by the end of the quarter, it negatively impacted the commercial rollout of the Protein Pop brand.
• The company is scheduled to host its 2026 America's Convention in San Diego from August 12 to August 15, focusing on new product education and brand partner training.
• CCO Neidig addressed the weakness in North Asia, stating that while Korea faced a leadership transition beginning this year, "we are starting to see a lot of momentum beginning to build."
• CSO Armstrong detailed the launch of Glow, a skin health supplement, noting that it "extends our science leadership beyond topical skincare into cellular level formulations."
• Noot indicated a shift in marketing strategy for Hiya to combat rising costs on Meta, stating that "TikTok's going to be a big mechanism" for customer acquisition moving forward.
• Management confirmed that the core nutritional business remains on track with expectations, focusing on modernizing technology and updating brand partner compensation structures.

INDUSTRY GLOSSARY

• Active Customer: A brand partner or preferred customer who has purchased a product from the company within the most recent three-month period.
• Adjusted Diluted EPS: A non-GAAP financial measure that excludes certain items such as impairment charges and acquisition-related costs to reflect underlying operational performance.
• Brand Partner: Independent distributors who purchase products for personal use or resale to customers.
• CAC: Customer Acquisition Cost, specifically the marketing and advertising spend required to acquire a new customer.
• Core Nutritional: USANA's primary segment focused on science-based supplements and nutritional products.
• Hiya: A venture brand owned by USANA specializing in clean-label children's health and wellness products.
• Omnichannel: A retail strategy that provides customers with a seamless shopping experience across various channels, including direct sales, e-commerce, and brick-and-mortar retail.
• Preferred Customer: A customer who purchases products for personal use and is not permitted to resell or distribute them.
• Rise Wellness: A USANA venture brand that develops and sells protein snacks and functional food products.

Full Conference Call Transcript

Operator: And welcome to the USANA Health Sciences Second Quarter 26 Earnings. At this time, all participants are in a listen only mode. A question and answer session will follow the formal presentation. A reminder, this conference is being recorded. I would now like to turn the conference over to your host, Andrew Masuda, Director of Investor Relations. Please go ahead.

Andrew Masuda: Thank you, and good morning, everyone. Appreciate you joining us to review our second quarter results. Today's conference call is being broadcast live via webcast and can be accessed directly from our website at ir.usana.com. Shortly following the call, a replay will be available on our website. As a reminder, during the course of this conference call, management will make forward-looking statements regarding future events or the future financial performance of our company. Those statements involve risks and uncertainties that could cause actual results to differ materially from the results projected in such forward-looking statements.

Examples of these statements include those regarding our strategies, and outlook for fiscal year 26, the uncertainty related to the economic and operating environment around the world and our operations and financial results. We caution you that these statements should be considered in conjunction with disclosures, including specific risk factors and financial data contained in our most recent filings with the SEC. I am joined by our Chairman and Chief Executive Officer, Kevin G. Guest, our Chief Financial Officer, G. Douglas Hekking, our Chief Commercial Officer, Brent L. Neidig, our Chief Operating Officer, Walter Noot, our Chief Scientific Officer, Dr. Kathryn Armstrong as well as other executives.

Yesterday, after the market closed, we announced our second quarter results posted our management commentary document on the company's website. We will now hear brief remarks from Kevin and Doug before opening the call for questions.

Kevin G. Guest: Thank you, Andrew, and good morning, everyone. I want to use my time this morning to step back from the quarter and talk about where USANA is headed. Because I remain more convinced than ever that the path we are on is the right 1. We are building something different, evolving the company. We are building a diversified omnichannel health and wellness company anchored by science and built on deep lasting consumer loyalty.

Video: With our products, reaching consumers wherever they choose to shop.

Kevin G. Guest: This transformation is well underway and the progress we are seeing across our portfolio this year reinforces my confidence in our strategic direction. Our Core Nutritional business continues to demonstrate stability and momentum. Mainland China, our largest and most established market is showing signs of renewed strength and that matters because it reflects the deep trust our brand partners and customers place on this brand. We are backing that trust with continued innovation including the recent launch of Glow, our first skin health supplement which extends our science leadership beyond topical skincare into cellular level formulations.

Looking ahead, I am pleased to note that USANA will host our live 2026 America's Convention on August 12 through the 15th in San Diego, California This event brings together our brand partners from across The United States, Canada and Mexico for business training, new product launches, product education and recognition of our top performers. Reinforcing the engagement and momentum that we continue to drive from our core nutritional business. That same momentum is what we are working to build across the business. Evolving our brand partner compensation plan accelerating our product innovation and modernizing technology that underpins how our brand partners and our customers experience and interact with our brand.

I am genuinely excited about the compounding effect these initiatives will have as they mature. HYA continues to open doors for us in ways that would have been hard to imagine a few years ago, The brand's presence at Target remains strong Our early footprint in Canada and The UK is trending in the right direction, and the HYA team is leaning into the traction we are seeing on Amazon as well. At the same time, HYA's direct to consumer business has experienced a tougher and more expensive digital marketing environment and that is had a clear impact on subscriber growth this year.

I do not want to gloss over that. it is a real challenge the business is confronting right now. But in the long run, I assure you that the brand equity HYA has built as the category leader in children's health and wellness is a durable asset that gives us multiple paths for growth. We see a very encouraging future as HYA expands into new retail channels new geographies new product categories and new customer demographics. Rise Wellness experienced a packaging issue that affected execution of the commercial plan during the quarter. Although that issue is resolved, we now expect that HYA's net sales for the full year to be lower than we previously anticipated.

Again, when I look beyond this short term disruption, and focus on Rise's long term potential, I am very confident. Protein POP is barely a year into its life as a national brand and it is already built real distribution and shelf presence across major retail channels. The team is launching an additional protein pop product in the third quarter that demonstrates its commitment to speed and innovation. So yes, the current outlook has been disrupted but our conviction in where the brand is headed long term remains firmly intact.

I see the potential synergy and growth opportunity in our company that through executing a clear strategy with discipline and stabilizing and strengthening our core nutritional business, while scaling our high potential ventures brand and investing in the technology and innovation that will define our next decade. We anticipate these efforts will stimulate growth and I am encouraged by the caliber and engagement of the teams driving this forward. Our balance sheet remains a real source of strength and opportunity for us. We ended the quarter with $169 million in cash, zero debt and generated $20 million of free cash flow driven in large part by efforts to improve our working capital management.

Our financial flexibility allows us to keep investing in USANA's evolution into a diversified omnichannel health and wellness company even as we navigate near-term puts and takes across the portfolio. With that, let me hand it over to Doug to provide additional color on our second quarter financial results and our updated outlook as things come to fruition.

G. Douglas Hekking: Thanks, Kevin, and good morning, everyone. There are 2 primary drivers that impacted this quarter's results that I want to briefly discuss. First, the company recorded an estimated preliminary noncash goodwill impairment charge of $29 million related to the higher reporting unit. This non cash charge primarily reflects the current lower-than-expected performance and changes in near term forecast. As well as updated valuation assumptions under applicable accounting standards including adjustments to market multiples, and discount rates. The impairment does not reflect a change in management's commitment to the business.

We are confident in the future of HYA and its management team while recognizing their strategic importance as part of our long term growth strategy as they leverage the brand across additional channels in international markets. Second, we recorded $9 million in income tax expense on a pretax loss of $19 million during the quarter, which contributed to the loss. The aforementioned items created misalignment between where we generate revenue and where we incur costs and have the effect of disproportionately impacting income taxes. Now let me turn to our updated outlook for fiscal 26.

We are lowering our full-year outlook that reflects the more difficult and expensive direct to consumer digital marketing environment affecting HYA's second half net sales and lower near-term net sales from Rise Wellness. Our core nutritional outlook is largely in line with expectations and is performance this quarter reinforces our confidence that the initiatives underway are the right foundation for long term sustainable growth. To be clear, this update is about near-term timing, not our long term conviction in either venture company. HYA and Rise Wellness are both continuing to build solid foundations with retail relationships product pipelines and market footholds that we believe will drive meaningful future growth.

I will now hand the call back to Kevin before we open the line for questions.

Kevin G. Guest: Thanks, Doug. Let me close with this. Our core nutritional business is performing in line with our expectations and gaining traction from the actions we have taken to stabilize it. And our balance sheet remains strong debt free and cash generative. HYA and Rise Wellness has encountered near-term challenges this quarter but both brands continue to build real momentum in retail e commerce and international expansion and we remain confident in their long term potential. We recognize that the path to building a diversified omnichannel health and wellness company will not always be linear. And we are managing the business accordingly with discipline and clear focus on long term value creation for our stakeholders.

With that, I will now turn the call back to the operator for Q&A.

Operator: Thank you. Before pressing the star key. Our first question comes from the line of Anthony Chester Lebiedzinski Sidoti and Company. Please proceed with your question.

Anthony Lebiedzinski: Thank you. Morning, everyone. Thanks for taking the question. So the core nutritional segment, our expectations and certainly it was nice to see the sales growth in Greater China. So as it relates China, what do you think are the main factors driving the slight uptick in sales? And do you think the sales gains are sustainable going forward?

Kevin G. Guest: that is an excellent question. I am going to ask Brent L. Neidig, our Chief Commercial Officer to respond to that.

Brent L. Neidig: Hey, Anthony. Good morning. We were pleased we are pleased with the performance of China in the second quarter. As you recall from the last quarter, we did have a very robust incentive and new product launch offering in the first quarter. And anytime we do something like that, there always is a tail associated with it, and we saw that tail continue in the second quarter. We are pleased with the resiliency of our brand partners and our customers in the Chinese market. That economy is soft just like many economies around the world.

But they have shown resiliency, and there is a tremendous amount of momentum that is been built up over the last several quarters with the initiatives that we have rolled out. So I expect to see that continue. So we are pleased. We have several things that are scheduled for the back half of the year, just like we do in many of our other markets in terms of product rollouts, incentive offerings, and other events. Pleased to see with the progress that we have made so far, we expect to continue.

Kevin G. Guest: Hey, this is Kevin. I just wanted to add on to Brent's comments From my perspective, we have stronger leadership overall in China now than we have ever had And that leadership is really executing well on their strategy for the market. And our overall strategy for the company and we are seeing that in results Our President there, Peter, is doing a fantastic job and my confidence has never been higher in our Chinese leadership, which is a really bright spot for us.

Brent L. Neidig: Thank you.

Anthony Lebiedzinski: Then switching gears to North Asia, was a laggard for you guys in the direct business. So it was down 20% in revenue. Maybe if you could just take a stab at explaining what is going on there. I know it is a far smaller market in China, but nevertheless, it is important market. And what are your taking as far as steps to improve that trend?

Brent L. Neidig: Yeah. So when we look at North Asia, Korea is our largest presence there. Korea has been a very big market for us in the past. We have seen a lot of slowing in that market over the last couple of years. I think I talked about this last quarter, but we went through a leadership transition. Beginning of the year in Korea. That always causes a little bit of disruption, but we are very pleased in our new general manager. For that market, and we are starting to see a lot of momentum beginning to build. there is unification taking place amongst the leadership team within the market. Including our brand partner leadership as well.

So just the most recent reports and the things that we are seeing come out of that market, I have reason for optimism to see what is coming out of Korea. We also have a couple of-- new products that are going to be launched in that market, personalized packs that are gonna be unique to that market as well that is going to be launching here in this third quarter. So we are very optimistic to see where that takes us and I expect to see Korea rebound.

Anthony Lebiedzinski: that is good to hear, certainly. And then switching gears to HYA. So, Certainly, I know you have Expanded Into Brick And Mortar And Doing Some International There As Well. But Just want to get A Better Sense As To How Is The Core Direct US subscription business doing. I do not know if you are prepared to give us exact number, but just wondering how it is doing on an organic basis, excluding some of the growth initiatives. that is an excellent question.

Kevin G. Guest: And I am going to ask Walter Noot our Chief Operating Officer, who also from a home office perspective is managing that business the management team. Walter, will you give some color to that? Yes.

Walter Noot: Thanks. So HYA as we talked about this, several quarters in a row, that with Meta, that is been the CAC's been going up. We have had issues with Meta's algorithm. And it is created-- it is created issues for us as far as customer acquisition. And we have seen improvement in that over the last let's say, last few months last month, let's say, we have seen improvement in those numbers, and that is been encouraging. The other thing is that it is back to school time. So that is a great time of the year for HYA. So we believe, you know, when you look forward, we think that is going to help us for this year.

I mean, that is obviously a great thing. When we acquire customers, first order with HYA is half price, which is different than a lot of other subscription businesses. So you will see you know, as you look at our outlook, you can see that it looks let's say, somewhat flat but that is also assumed that we are going to be adding more customers with our subscription business on top of the retail that we are doing right now with Target.

Anthony Lebiedzinski: Mhmm. Gotcha. So as you alluded to, you know, HYA has had some issues with Meta changing their algorithms and so on. So just wondering, what are your thoughts on shifting some of the advertising more towards, let's say, TikTok, for example, maybe using some influencers on there. You know, just wondering if you if there are ways that you can just try to diversify your efforts beyond Meta, which, as you have alluded to, you have had issues with. Yeah.

Walter Noot: that is exactly right. that is exactly what the team's doing right now. We are with the HYA team. They have got plans in place. Throughout the rest of this year and beginning of next year. TikTok's going to be a big mechanism for them to be able to build growth and, of course, retail adding more retailers, and that is why we are we are very excited about the future of HYA where it is going. it is it is a transition time, I think, just, you know, we have been a subscription only business for what, 4 or 5 years, and it is been great. It has been awesome at that.

Think that business is somewhat flattened out as you have seen. And HYA spent $150 million on advertising over the last x amount of years that is built a really, really good brand. it is got a great brand presence and really good awareness with parents and their kids And so we just see these opportunities in TikTok, retail, international business, we think the business is gonna do well in the future.

Anthony Lebiedzinski: Okay. Sounds good. And then just shifting gears also to Rise Wellness. So is it possible for you guys to quantify the impact of the packaging issue in the second quarter? And the related costs associated with that?

G. Douglas Hekking: Yes. Anthony, this is Doug. And Walter can kind of provide some clarity. he is he is been in the middle of it. But essentially, as we have identified the issue, and took proactive steps, it essentially stopped the sales from pushing through the channel. And I think, you know, I think doing the right thing, I think, represented us well with that customer and gives us future opportunity. But without a doubt, it was disruptive. We did take a charge for some inventory, and there is other inventory that we think we can go back and find a way to get out there where we feel good about standing behind the product. So that is big picture.

But we had a much higher guidance range than what we provided. And that delta is really kind of the slowdown and kind of the ramp back up. But as Walter indicated, there is a lot of real positive momentum at RISE, some new product innovation that we see on the horizon. So we are quite excited about it. But, yeah, it is definitely been a short term disruption. Walter, anything else?

Walter Noot: Mhmm. Yeah. It was a cosmetic issue with some packaging. We voluntarily pulled the packaging back the unsold product. It was not a safety issue or anything like that. We are gonna continue to be able to resell through that channel and through that those resellers through those retail outlets. Have good relationships with them. So, again, this is a short term thing, and it affects our quarter because we have negative impact on revenue. But we are we are very positive about where-- where Rise is going. it is a great brand. And if you look at the year, we have already exceeded what we did last year. To date. with Rise.

So it is and there is a lot more coming. We have-- by year-end, we will have over 4 thousand retailers we are selling in. 4 thousand doors, and that is, you know, of a brand that is less than a year old. that is pretty good.

G. Douglas Hekking: Yeah. And more specifically, Andy, the range relative to kind of the change from our original guidance in that $30 million to $40 million top line and probably about $4 million to $5 million pressure on margin just from having a little bit lower top line of some of that operational infrastructure.

Anthony Lebiedzinski: that is very helpful color. And then, you know, last question for me, is just how do we think about the tax rate for the back half of the year?

G. Douglas Hekking: Yeah. I think just because of the near term pressures we see in these venture companies, we are going to see an elevated tax rate. It just those things really contributed to structurally something where we have had a little misalignment with revenue, revenues are generated, costs are incurred and this amplified it. And so it is definitely going to be an elevated, tax rate through the year. Obviously, not what you saw in the second quarter on the catch up, but I think it will definitely be you know, much higher than what we would like to see it.

And so we are definitely working on things and I think as we execute in these venture brands and work on some other things, you will see that come down prospectively, which we are confident we can do.

Anthony Lebiedzinski: Sounds good. Well, best of luck.

Brent L. Neidig: Thank you.

Kevin G. Guest: Thanks, Anthony.

Operator: Thank you. Our next question comes from the line of Ivan Feinseth with Tigress Financial. Please proceed with your question.

Ivan Feinseth: Hi, good morning. Thank you for taking my question. So, some of the near term operational and goodwill issues, could you talk bigger picture? You know, you are evolving. It looks like you are evolving to me from a, you know, direct seller to an omnichannel distributor because now you have subscription, direct sellers, direct to consumer, now in store, availability? Can you give some of your thoughts on how you are growing that?

And second, you have this tremendous vertically integrated product development manufacturing platform and how you could when you make acquisitions, bring more brands onto your platform, develop new products to increase to address what is an increasing interest on the consumer side on nutrition, preventative health, sports nutrition. So it looks like, you know, if you have a huge and growing market, and an infrastructure that you are building to address a market on multiple levels and multi different kinds of products, including the new 1 you said you just introduced the skincare supplement.

Kevin G. Guest: Ivan, thank you. that is a great question. Strategically, if you look at the world overall, the wellness platform as you stated is a growth market and we are involved in a growth marketplace and we believe we are the best in the world at what we do And as we explore and find new ways to service consumers and grow consumers, our overall strategy statement is to grow consumers of our brands. We need more people every day putting what we make in their mouths. To put it simply. And that is what we are focused on. We have got it on signs hanging around the building.

And that does lead us into the multi or the omnichannel approach and being better at what we do And just if you look at our core nutritional business, we have a massive opportunity just by upgrading our technology and making our products more accessible to the consumer and making the interaction be more relevant.

I truly believe that the frequency of relevant communication equals brand loyalty And so as we focus on relevant communications leveraging technology, which is 1 of our major spends here as we invest in the change and evolution of the company it is more about interaction and experience and 1 thing you mentioned was our Glow product and it was really for me a test to really see the relevancy on some of our initiatives as much as it was a very, very good product launch, And we were very pleased with the amount of incremental business we were able to generate and new consumers who had not experienced our brand through a new approach and a new avenue.

I am gonna ask Catherine Armstrong, our chief science officer, if you would, add some color to Ivan and the notion of product extension and how it could fit into an omnichannel marketplace. Also leveraging across the different categories, the opportunity we have there.

Kathryn Armstrong: Hi, Ivan. it is good to talk with you again. So, I mean, exactly what you said. Right? We have a very strongly integrated R&D team, operations execution, and that is the strength we have that can be leveraged not just through what has been traditionally our core business, but through the acquisitions of the brands that we have acquired and through many other, you know, means. And so we are looking at how do we grow that, how do we make sure we are leveraging all of the talent we have at USANA in a way that best, drives return?

For us, it is been a lot of fun as you and I have discussed as we look at these different formats and these different opportunities, things that we are learning in the core business globally has helped us as we look at, you know, for example, Haya's expansion and how we understand kids through the HYA market clearly can feed back into how we understand kids within our USANA core. So all of those are, you know, accurate reflections. insightful on your part and aligns with what we are thinking.

Kevin G. Guest: When it comes to Glow, you know, I think that is really representative of who USANA is.

Kathryn Armstrong: We started with ingredients that have strong clinical data. And we did not stop there. You know, we wanted to really think about how do you address skin from the inside and not just through a topical solution. So we took those, you know, clinically tested and relevant ingredients and then put them into a consumer challenge test to really understand if our consumers could see and feel the difference. it is important to us, as Kevin said, you know, we believe we are and will continue to be the best in this space.

So for us, making sure we have that clinical data, those ingredients that are at the right doses in the right forms, and then ensuring that those deliver all the way through to the customer experience. Is important to all of our all of our businesses and all of our brands.

Kevin G. Guest: And Ivan, I also have Dave Bagley here, who is our Executive Vice President over Product Marketing. And he works hand in glove with Catherine strategically on your question and I am-- would you add some color also to Ivan's question? Yeah. Thanks, Kevin.

John Cuomo: Ivan, it is been a bit but it is good to chat with you again. Thanks for being on the call. I think at the root of it, it is not the activities we are doing. it is really, to Kevin's point, it is the strategy. And at the root of that is what are we doing to not just sell products, but really identify what the ideal customer looks like. And how do we offer something better to them than what the other people are offering. And Glow is definitely representative of that. We have a very strong audience in the women category.

And they are looking to us as a trusted brand to bring unique and innovative solutions to them So I applaud Kevin's leadership in wanting to be able to look at some ways that are uncommon but yet very founded in science to deliver something meaningful that is more rooted in I would say, less marketing and more consumer experience. That elevates the USANA brand. So going to continue to lean into that and in partnership with Dr. Armstrong and her team, we are very confident where this is going. So we are excited about it.

Ivan Feinseth: it is an interesting new product, a new category. it is good to see because everything is going back to gut health, including collagen synthesis and everything is in your gut, skin, digestion, health, So, it is a huge area. Even, let's say, teeth care is more even being focused on the gut than just toothpaste. So congratulations on the new product. Thanks, Ivan.

Operator: Thank you. That concludes our question and answer session. I will turn the floor back Mr. Masuda for any comments.

Andrew Masuda: Thanks Melissa and thank you all for your questions and participation on today's conference call. If you have any remaining questions, please feel free to reach out to Investor Relations at 801-954-7.21 thousand.

Operator: Thank you. This concludes today's conference call. You may disconnect your lines at this time. Thank you for your participation.