USANA Health Sciences, Inc.

Good day and welcome to the USANA Health Sciences Third Quarter Conference Call. Today's conference is being recorded. At this time, I would like to turn the conference over to Mr. Patrick Richards, Executive Director of Investor Relations and Business Development. Please go ahead, sir.

Thank you and good morning. We appreciate you joining us to review our third quarter results. Today's conference call is being broadcast live via webcast. and can be accessed directly from our website at ir.usana.com. Shortly following the call, a replay will be available on our website. As a reminder, during the course of this conference call, management will make forward-looking statements regarding future events or the future financial performance of our company. Those statements involve risks and uncertainties that could cause actual results to differ, perhaps materially, from the results projected in such forward-looking statements. Examples of these statements include those regarding our strategies and outlook for fiscal year 2021, as well as uncertainty related to the magnitude, scope, and duration of the impact of the COVID-19 pandemic on our business, operations, and financial results. We caution you that these statements should be considered in conjunction with disclosures, including specific risk factors and financial data contained in our most recent filings with the SEC. I'm joined this morning with our by our CEO and Chairman of the Board, Kevin Guest, our President, Jim Brown, our Chief Financial Officer, Doug Hecking, as well as other executives. Yesterday, after the market closed, we announced our third quarter results and posted our management commentary document on the company's website. We'll now hear brief remarks from Kevin before opening the call for questions.

Kevin Guest Thank you, Pat, and good morning, everyone. We appreciate you joining us to review our third quarter results. As we reported in our mid-September press release, disruptions and lockdowns due to the ongoing COVID-19 pandemic affected our performance in several of our key markets during the quarter. Yesterday, we reported that our final third quarter results were modestly better than our preliminary projections, and we reiterated our fiscal 2021 net sales and earnings per share outlook. So the takeaway is, is that although the back half of the year has presented unanticipated challenges, we expect 2021 to be a record revenue year for USANA. As we enter the fourth quarter, the operating environment in many of our markets around the world remains unpredictable, so it's difficult to project when sales activity and momentum in our business will completely rebound. Notwithstanding the current environment, we continue to execute our growth strategy and are optimistic about our prospects for continued growth in 2022, and more importantly, in the long run. We will also continue to place a high priority on strategically investing in the business today in order to drive growth tomorrow. Our overall growth strategy continues to be centered on generating sustainable customer growth and engagement, curating micro entrepreneurs, and enhancing the overall experience our customers have when doing business with USANA. In this regard, we continue to be focused on one, improving our technology and providing our associates and customers with a seamless shopping experience. Two, launching new products and product lines. Three, identifying and executing growth opportunities in existing markets. Four, pursuing international expansion opportunities. And five, capitalizing on business development opportunities, including strategic investments and acquisitions. I'll close by saying that we remain confident in the strategies we are pursuing for the long-term health of our business and in our overall long-term growth potential in our markets globally. With that, I'll now ask the operator to please open the lines for questions.