USANA Health Sciences, Inc. (NYSE:USNA) Q4 2022 Earnings Call Transcript

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Kevin Guest: Yes. Ivan, this is Kevin. I couldn’t agree with you more on the epidemic from a diabetes perspective and other health challenges, which underscores the relevance of our company and what we are talking about and offering. We have spoken for many years about the glycemic index and about how maintaining a more consistent glycemic score, meaning not spiking or allowing large dips to happen in your blood sugar levels, will help in many ways with symptoms and/or onset diabetes and other things related to that. And so as you look at many of our products and our foods-related products, we do take into account and look at the glycemic index and try and maintain through our nutritional drinks as well as our foods a healthy glucose level throughout the day.

And we €“ our Nutrimeal Drink is especially good for that. On top of all the nutrients that it’s supplying, very, very consistent in helping us maintain a low index on the glycemic index. We do have some other foods type products that were €“ that are in development that I think will further help in that category. Again, holistic health is really a focus of ours, and diabetes is one of those that is at the top of the list. And then I can’t emphasize €“ and you are aware of this as well, but a couple of things that are most important as it relates to diabetes are exercise outside of what we are putting in our mouth, exercise. And then you bring up sleep. Sleep is so critical to the health of our bodies. And we have a great sleep product that we actually, just a couple of days ago, talked about how we can enhance and reformulate and be involved in sleep.

We also have a calming product to help people calm down in the evening so that they are in a state of rest and sleep. And then again, we are encouraging the mental side of things for people to do those things which will help. One of the things I encourage every time I speak is the notion of meditation and the notion of mentally being calm so that our bodies will be willing to accept the rest of the sleep we have at night. And so that’s a fairly long answer to your question, but I think your question is so critical to the health of our country and the world that it can’t be understated.

Doug Hekking: And I would make a little bit more color. We have seen this in the Healthy China 2030 initiative, and the government is really thinking companies should be far more proactive here. And what Jim has really pushed us towards this, we have made some pretty meaningful investments in our foods facility, and we will really have a good base that we can go back and build off as we introduce some of these new products and really build out that line.

Ivan Feinseth: I appreciate the time for my questions and wishing you and your associates a big 2023.

Kevin Guest: Thanks Ivan. Take care.

Operator: As there are no further questions in the phone queue, that concludes today’s Q&A session. And now I would like to hand the call back over to Andrew Masuda for any additional or closing remarks. Over to you, sir.

Andrew Masuda: Thank you everyone for your questions and for your participation on today’s conference call. If you have any remaining questions, please feel free to contact Investor Relations at 801-954-7210.

Operator: Thank you. This concludes today’s conference call. Thank you for your participation. You may now disconnect.

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