Mannatech, Inc. (MTEX)
Q1 2012 Earnings Call
May 10, 2012 10:00 am ET
S. Mark Nicholls – Chief Financial Officer
Robert A. Sinnott, MNS, PhD – Co-Chief Executive Officer and Chief Science Officer
Greetings and welcome to the Mannatech Incorporated First Quarter 2012 Earnings Conference Call. (Operator instructions) As a reminder, this conference is being recorded.
Now I’d like to introduce our moderator for the call today, Mr. Mark Nicholls, Chief Financial Officer. Thank you, Mr. Nicholls. You may begin.
Thank you. Good morning, everyone. This is Mark Nicholls and welcome to Mannatech’s First Quarter 2012 Earnings Call. Today you will hear from both me and Mannatech’s CEO and Chief Science Officer, Dr. Rob Sinnott. Before we begin the call, I will first read the Safe Harbor Statement.
During this conference call, we may make forward-looking statements, which can involve future events or future financial performance. Forward-looking statements generally can be identified by the use of phrases or terminologies such as will, continue, may, believe, intend, expects, potential, should, and plan, or other similar words or the negative of such terminology.
We caution listeners that such forward-looking statements are subject to certain risks, events, uncertainties, and other factors and speak only as of today. We also refer our listeners to review our SEC submissions.
At this time, I’d like to make a few comments concerning the first quarter. The first quarter 2012 net sales were $44.5 million, a 12.6% decrease from the first quarter 2011 net sales of $50.9 million. The total independent associates and members based on a twelve month trailing period are approximately 372,000 as of March 31
, 2012, compared to approximately 392,000 as of March 31
During the first quarter of 2012, new independent associates and members increased by 11.4%, or by 21,659, compared to 19,435 in the first quarter of 2011. We view this as a positive development given new recruits are a leading indicator of our business. Although a positive, this is the first leading indicator and does not indicate a change in trend at this time.