C

Nu Skin Enterprises, Inc. — Earnings Quality Grade C

NUS · Consumer Defensive

Some red flags

Revenue
$1.5B
2025
Net Income
$160M
2025
Gross Margin
69.4%
Free Cash Flow
$46M
01

Screening Summary

13
Passed
4
Watch
0
Failed
-2.36
M-Score

Management Signals

No recent CEO, CFO, board, or accounting leadership signals found in SEC 8-K filings.
02

Financial Trends

Revenue & Net Income ($B)

Margins (%)

03

18-Point Screening

01

Revenue Quality

A1DSO Change

DSO 10 days, change -1 days YoY

A2AR vs Revenue Growth

AR growth -22.1% vs revenue growth -14.3%

A3Revenue vs CFFO

Revenue -14.3%, CFFO -28.2%. Cash follows revenue

02

Expense Quality

B1Inventory vs COGS

Inventory -6.1% vs COGS -17.5%. Normal

B2CapEx vs Revenue

CapEx growth -17.6% vs revenue -14.3%. Normal

!
B3SG&A Ratio

SG&A/Gross Profit = 91.2%, exceeds 70%

B4Gross Margin

Gross margin 69.4%, change +1.2pp. Stable

03

Cash Flow Quality

!
C1CFFO vs Net Income

CFFO/NI = 0.50. Below 1.0

C2Free Cash Flow

FCF $0.0B, FCF/NI = 0.29

!
C3Accruals Ratio

Accruals ratio = 5.7%. Elevated

!
C4Cash vs Debt

Cash $0.2B covers 78% of debt $0.3B

04

Balance Sheet Health

D1Goodwill + Intangibles

Goodwill+Intangibles $0.1B = 16% of equity. Manageable

D2Leverage

Debt/EBITDA = 1.2x. Healthy

D3Soft Asset Growth

Other assets -23.6% vs revenue -14.3%. Normal

D4Asset Impairment

No write-off data

05

Acquisition Risk

E1Serial Acquirer FCF

FCF after acquisitions positive

E2Goodwill Surge

Goodwill+Intangibles change -20% YoY. Normal

06

Manipulation Score

F1Beneish M-Score

M-Score = -2.36 (< -2.22). Unlikely manipulator

Portfolio monitoring

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04

Beneish M-Score

Manipulation Probability-2.36
-4.0 Clean-2.22 Grey-1.78 Danger0
0.908
DSRI
AR growing faster than revenue?
0.983
GMI
Gross margin declining?
0.872
AQI
Asset quality deteriorating?
0.857
SGI
Revenue growth rate
1.302
DEPI
Depreciation slowing?
0.97
SGAI
SG&A ratio changing?
0.0569
TATA
Accruals level
0.741
LVGI
Leverage increasing?
05

Altman Z-Score

8.05
Safe Zone
0 Distress1.102.605.0+ Safe
0.2021
Liquidity
1.3238
Cumulative profit
0.1495
Operating efficiency
1.3419
Leverage

Generated from public financial data using forensic accounting frameworks. Not investment advice. Data: Yahoo Finance · 2026-04-25