Nu Skin Announces 2011 Guidance

PROVO, Utah, Nov. 18, 2010 /PRNewswire-FirstCall/ -- In advance of its annual investor day to be held today, Nu Skin Enterprises, Inc. (NYSE: NUS) announces 2011 financial guidance, anticipating another record year with revenue increasing 5 to 7 percent to $1.60 to $1.63 billion. Earnings are expected to rise 10 to 15 percent to $2.25 to $2.35, while operating margin is projected to increase approximately 30 to 50 basis points. The company expects currency will positively impact revenue 1 percent.  

"We are anticipating another strong year due to our ability to innovate across product platforms, business methods and distributor compensation programs," said Truman Hunt, Nu Skin president and chief executive officer. "The exclusive ageLOC product portfolio is generating healthy consumer demand and attracting more people to our distributor force. In 2011 we will continue to fuel the ageLOC momentum by introducing our scientifically advanced nutritional products to our already successful skin care line up. The Nu Skin ageLOC anti-aging platform represents a clear competitive advantage and provides plenty of room for sustainable growth in both the mid-to long-term."

Adding to the company's focus on generating value and long-term growth, Nu Skin's board of directors also approved a special performance-based option incentive for key members of management to achieve $4.00 per share by 2015.

The annual investor day presentation will be held today at 9 a.m. at the Waldorf Astoria hotel in New York City. A webcast of the event, including the financial information to be presented, will be available at http://ir.nuskin.com. A replay of the webcast, along with accompanying slides, will be made available from the same location through Dec. 31.

About Nu Skin Enterprises

Nu Skin Enterprises, Inc. demonstrates its tradition of innovation through its comprehensive anti-aging product portfolio, independent business opportunity and corporate social responsibility initiatives. Nu Skin's scientific leadership in both skin care and nutrition has established Nu Skin as a premier anti-aging company, evidenced in its unique ageLOC™ science that addresses the sources of aging. The company's anti-aging products feature the new ageLOC portfolio of skin care products including ageLOC Future Serum and the ageLOC Edition Galvanic Spa® System II, as well as Tru Face® Essence Ultra and LifePak® Nano. A global direct selling company, Nu Skin operates in 50 markets worldwide and has more than 785,000 independent distributors. Nu Skin is traded on the New York Stock Exchange under the symbol "NUS." More information is available at http://www.nuskin.com.

Please note: This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 that represent the company's current expectations and beliefs. The forward-looking statements and related assumptions involve risks and uncertainties that could cause actual results and outcomes to differ materially from any forward-looking statements or views expressed herein. These risks and uncertainties include, but are not limited to: (a) challenging economic conditions globally; (b) the risks of foreign currency fluctuations and the currency translation impact on our business associated with these fluctuations; (c) uncertainty regarding the impact on our business of increased regulatory scrutiny of the direct selling industry in Japan and our efforts to increase distributor compliance efforts in this market; (d) an increase in complaints and general inquiries to consumer protection agencies in Japan regarding the activities of some distributors and the associated risks to the company's business if such increase results in further regulatory scrutiny; (e) regulatory risks associated with the company's tools and products, which could inhibit the company's ability to market a tool or product in a market if it is determined to be a medical device in any market, if distributors make unauthorized claims that would cause such products to be classified as drugs, or if the company is unable to obtain necessary product registrations in a timely manner; (f) continued regulatory scrutiny and investigations in Mainland China, which have from time to time in the past, and could in the future, negatively impact the company's business, including the interruption of sales activities in stores, loss of licenses, and the imposition of fines; (g) any failure of current or planned initiatives or products to generate interest among distributors and customers and generate sponsoring and selling activities on a sustained basis; (h) any failure of the implementation of business transformation initiatives to reduce overhead and drive growth, and any negative impact of such initiatives on the company's ability to effectively manage its operations; (i) adverse publicity related to the company's business, products, industry or any legal actions or complaints by distributors or others; (j) any prospective or retrospective increases in duties on our products imported into our markets outside of the United States and any adverse results of tax audits or unfavorable changes to tax laws in our various markets; and (k) continued competitive pressures in the company's markets. The company's financial performance and the forward-looking statements contained herein are further qualified by a detailed discussion of associated risks set forth in the documents filed by the company with the Securities and Exchange Commission. The forward-looking statements set forth the company's beliefs as of the date of this release, and the company assumes no duty to update the forward-looking statements contained in this release to reflect any change except as required by law.

SOURCE Nu Skin Enterprises, Inc.