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Nu Skin Delivers Healthy Skin

You’re getting up there.

Wow, you need to take better care of your skin.

You have some some wrinkles.

Of course our friends don’t really tell us this stuff. But you see it. In the mirror. Maybe its time to take better care of your skin.

Nu Skin (NUS) has a solution. The company puts out anti-aging skincare called ageLoc. You can check out the products here.

Nu Skin knows skincare. The company has more than 75 scientists on staff studying anti-aging, genetics, skin care and nutrition. Nu Skin states 100% of clinical subjects recieved improved skin after 12 weeks (2x a day). Wow, 100%? That’s impressive.

The Financials

Nu Skin just ended its 2011 fiscal year. Profits rose a healthy 27%. Revenue grew 13%. Profit margins on agoLOC are over 80% so it takes a little extra revenue to equate to a lot of profit.

The company did $1.7 billion in sales last year and $750 million — around 44% — went towards selling expenses. The company has more than 850,000 independent distributors across the world. The distributors use direct sales and own their own businesses.

Surprisingly, Nu Skin isn’t big in the US. Here’s the sales breakdown by region (on 2011 numbers):

Americas 14%
Europe 9%
North Asia 43%
South Asia/Pacific 14%
Greater China 20%

Greater China is where the growth opportunity is. Revenue there rose 66% last quarter. In the other regions South Asia grew 27%, Americas 25%, North Asia 13% and Europe 8%.

The stock also pays a dividend. The company just raised the payout 25% to 20 cents a share per quarter. That’s a yield of 1.4%.

Nu Skin stock is on my radar.

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