Mannatech 2025 Q2 Earnings Sharp Earnings Decline Amid Revenue Drop

Mannatech reported its fiscal 2025 Q2 earnings on August 12, 2025. The results fell well below expectations, with a significant net loss widening year-over-year and declining revenue. The company provided no forward guidance, citing operational and policy-related headwinds.

Revenue
Mannatech’s total revenue declined by 7.4% year-over-year to $25.68 million in Q2 2025, compared to $27.74 million in Q2 2024. The drop was primarily driven by weaker demand in key markets. Product sales accounted for the bulk of revenue at $24.70 million, while pack sales and associate fees totaled $600,000. Additional income from other sources amounted to $400,000, bringing total sales to $25.70 million.

Earnings/Net Income
The company’s losses expanded significantly, with a per-share loss of $2.27 in Q2 2025, a 587.9% increase from $0.33 in the prior year. On a net income basis, the loss widened to $4.31 million, up 591.0% from $624,000 in Q2 2024. This represents a substantial deterioration in profitability. The performance indicates a challenging operating environment, with the earnings outlook clearly negative.

Price Action
Mannatech’s stock saw modest gains in the near term, rising 5.70% on the most recent trading day, 9.01% over the past week, and 2.47% month-to-date. However, these gains contrasted sharply with poor post-earnings performance.

Post-Earnings Price Action Review
A strategy of purchasing Mannatech shares following a revenue increase quarter-over-quarter and holding for 30 days yielded poor results. The approach returned a CAGR of -22.94%, an excess return of -99.31%, and a Sharpe ratio of -0.32, highlighting the high risk and substantial loss associated with the trade. The maximum drawdown was 0.00%, underscoring the strategy’s limited upside and severe downside risk.

CEO Commentary
The CEO attributed the revenue decline to weakening economic conditions in key regions, which led to reduced demand. Gross profit margin fell to 73.6% due to higher freight costs and promotional activities. While commission expenses dropped by 14.4%, the CEO expressed concern over maintaining profitability amid ongoing operational constraints and trade policy uncertainties.

Guidance
The company provided no specific financial guidance or quantitative targets in its report. Forward-looking statements were limited to general risk factors without concrete expectations for future performance.

Additional News
In the three weeks following the earnings report, Mannatech remained focused on navigating evolving trade policies. No major M&A activity, executive changes, or shareholder return initiatives were announced. The company emphasized the importance of non-GAAP metrics, particularly constant currency figures, to better reflect core business performance. It also highlighted the potential impact of tariffs on cost structures and profitability, noting that short-term flexibility may be constrained.