Private label drives NAI’s record quarter

Natural Alternatives International, a formulator and manufacturer of nutritional supplements reported strong growth in its private label business, as part of its second-quarter financial results.

The Carlsbad, Calif.-based company reported that for the three months that ended Dec. 31, 2020, private label and contract manufacturing sales increased $20.5 million, up 82.5% over the comparable quarter the year prior. During that same time, net sales increased by more than 65% to reach $48.1 million.

The company said its private label business increased across distribution channels; the only area that saw a dip was in the sports nutrition industry where there’s been pandemic-limited activity around athletics and gyms.

Over a six month period, ended Dec. 31, private label sales increased $31.5 million compared with the same period a year earlier, up 62%.

"The continued strength of our sales and order pipeline are consistent with trends we are seeing in the dietary supplement market and point towards the fact consumers are more aware than ever they need to take an active role in their health and wellness and they recognize dietary supplements are an important component of their daily regimen," said Mark A. LeDoux, chairman and CEO of Natural Alternatives International.

LeDoux said the quarter results broke a record for sales and profitability for the company.

"We continue to seek additional growth opportunities both organic and strategic and we believe we are well positioned to take advantage of such opportunities based on our strong working capital position, available capacity, and stellar reputation for excellence within our industry."