XML 26 R15.htm IDEA: XBRL DOCUMENT v3.22.1
Segment Information
 3 Months Ended
Mar. 31, 2022
Segment Reporting [Abstract]  
Segment Information Segment Information
 
We have four business segments (Asia, Europe, North America, and Latin America and Other) based primarily upon the geographic region where each segment operates, as well as the internal organization of our officers and their responsibilities. Each of the geographic segments operate under the Nature’s Sunshine Products and Synergy® WorldWide brands. The Latin America and Other segment includes our wholesale business in which we sell products to various locally-managed entities independent of the Company that we have granted distribution rights for the relevant market.

Net sales for each segment have been reduced by intercompany sales as they are not included in the measure of segment profit or loss reviewed by the chief executive officer. We evaluate performance based on contribution margin by segment before consideration of certain inter-segment transfers and expenses.

Reportable business segment information is as follows (dollar amounts in thousands):

 Three Months Ended
March 31,
 20222021
Net sales:  
Asia$46,110 $35,755 
Europe21,777 22,200 
North America35,981 37,762 
Latin America and Other6,626 6,704 
Total net sales110,494 102,421 
Contribution margin (1):  
Asia21,939 15,319 
Europe4,373 6,796 
North America12,719 15,440 
Latin America and Other2,901 3,632 
Total contribution margin41,932 41,187 
Selling, general and administrative expenses (2)40,623 33,552 
Operating income1,309 7,635 
Other loss, net(314)(1,933)
Income before provision for income taxes$995 $5,702 
_________________________________________

(1)    Contribution margin consists of net sales less cost of sales and volume incentives expense.

(2)    Service fees in China totaled $4.9 million and $2.8 million for the three months ended March 31, 2022, and March 31, 2021, respectively. These service fees are included in selling, general and administrative expenses.
From an individual country perspective, the United States and South Korea comprise 10 percent or more of consolidated net sales for the three months ended March 31, 2022 and 2021, as follows (dollar amounts in thousands):
 
 Three Months Ended
March 31,
 20222021
Net sales:  
United States$33,229 $34,920 
South Korea13,653 14,809 
Other63,612 52,692 
 $110,494 $102,421 

Net sales generated by each of our product lines is set forth below (dollar amounts in thousands):
 
 Three Months Ended
March 31,
 20222021
Asia  
General health$12,986 $11,292 
Immune1,344 203 
Cardiovascular13,630 9,903 
Digestive9,036 6,871 
Personal care2,543 2,524 
Weight management6,571 4,962 
 46,110 35,755 
Europe  
General health$9,196 $9,472 
Immune2,631 2,016 
Cardiovascular2,633 2,992 
Digestive5,591 5,540 
Personal care1,233 1,426 
Weight management493 754 
 21,777 22,200 
North America  
General health$15,314 $16,270 
Immune4,872 4,874 
Cardiovascular3,842 4,225 
Digestive8,594 9,463 
Personal care2,175 1,819 
Weight management1,184 1,111 
 35,981 37,762 
Latin America and Other  
General health$1,818 $1,976 
Immune761 811 
Cardiovascular357 478 
Digestive2,841 2,870 
Personal care641 345 
Weight management208 224 
 6,626 6,704 
 $110,494 $102,421 
From an individual country perspective, only the United States comprised 10 percent or more of consolidated property, plant and equipment as follows (dollar amounts in thousands):
 March 31,
2022		December 31,
2021
Property, plant and equipment:  
United States$45,769 $46,595 
Other3,818 4,262 
Total property, plant and equipment, net$49,587 $50,857 

Total assets per segment is set forth below (dollar amounts in thousands):
March 31,
2022		December 31,
2021
Assets:  
Asia$93,957 $104,659 
Europe14,233 15,486 
North America122,779 131,207 
Latin America and Other7,693 7,522 
Total assets$238,662 $258,874