Natural Alternatives International, Inc. Announces a $3 Million Increase in its Stock Repurchase Plan

Rhea-AI Summary

Natural Alternatives International, Inc. (NAII) announced a $3.0 million increase in its stock repurchase plan, raising the total authorized amount to $18.0 million. The company has already repurchased 1.9 million shares at an average price of less than $8 per share since the plan's inception. NAII's CEO believes the stock is undervalued and expresses confidence in the company's growth potential, particularly with a new manufacturing facility expected to be operational by Fall 2022.

Positive

• Increased stock repurchase plan by $3.0 million to total $18.0 million.
• Repurchased 1.9 million shares at an average cost of less than $8 per share.
• Management expresses confidence in long-term success and growth potential.

Negative

• None.

CARLSBAD, Calif., Jan. 18, 2022 /PRNewswire/ -- Natural Alternatives International, Inc. ("NAI") (Nasdaq: NAII), a leading formulator, manufacturer and marketer of customized nutritional supplements, today announced its Board of Directors authorized a $3.0 million increase to its stock repurchase plan bringing the total plan authorized repurchase amount to $18.0 million. Under the repurchase plan, NAI may, from time to time, purchase shares of its common stock, depending upon market conditions, in open market or privately negotiated transactions. To date, we have purchased 1.9 million shares under this repurchase plan, including the purchase of 237,000 shares since September 30, 2021, and after this increase we will have $3.0 million available for stock repurchases under the plan.

Mark A. Le Doux, Chairman and Chief Executive Officer of NAI stated, "Since the inception of our stock repurchase plan, we have purchased our shares at an average cost of less than $8 per share.  We believe our stock continues to trade at levels significantly below the fair value of our company and we have increased our buyback authority to allow us to continue to purchase our shares. Our management team remains confident in our long-term success and the growth potential of our business. We have expanded our customer base over the last year, and work continues on our new manufacturing and warehouse facility in Carlsbad, CA that we anticipate will be fully operational in the Fall of 2022."

NAI, headquartered in Carlsbad, California, is a leading formulator, manufacturer and marketer of nutritional supplements and provides strategic partnering services to its customers. Our comprehensive partnership approach offers a wide range of innovative nutritional products and services to our clients including scientific research, clinical studies, proprietary ingredients, customer-specific nutritional product formulation, product testing and evaluation, marketing management and support, packaging and delivery system design, regulatory review and international product registration assistance. For more information about NAI, please see our website at http://www.nai-online.com.

This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 that are not historical facts and information. These statements represent our intentions, expectations and beliefs concerning future events, including, among other things, the fair value of our company, the growth potential of our business, our ability to acquire our shares on a reasonable basis, development of our new manufacturing and warehouse facility, as well as future economic conditions and the impact of such conditions on our business. We wish to caution readers these statements involve risks and uncertainties that could cause actual results and outcomes for future periods to differ materially from any forward-looking statement or views expressed herein. NAI's financial performance and the forward-looking statements contained herein are further qualified by other risks including those set forth from time to time in the documents filed by us with the Securities and Exchange Commission, including our most recent Annual Report on Form 10-K.

CONTACT – Michael Fortin, Chief Financial Officer, Natural Alternatives International, Inc., at 760-736-7700 or investor@nai-online.com.

Web site: http://www.nai-online.com/

View original content:https://www.prnewswire.com/news-releases/natural-alternatives-international-inc-announces-a-3-million-increase-in-its-stock-repurchase-plan-301462451.html

SOURCE Natural Alternatives International, Inc.

FAQ

What is the total amount of Natural Alternatives International's stock repurchase plan after the recent increase?

The total amount of the stock repurchase plan is now $18.0 million.

How many shares has Natural Alternatives International purchased under its repurchase plan?

Natural Alternatives International has purchased 1.9 million shares to date under the repurchase plan.

What is the average price per share for the stock repurchased by Natural Alternatives International?

The average price per share for the repurchased stock is less than $8.

What does Natural Alternatives International expect regarding its new manufacturing facility?

The new manufacturing facility is anticipated to be fully operational by Fall 2022.

Why has Natural Alternatives International increased its stock repurchase plan?

The increase is based on management's belief that the stock is trading significantly below its fair value.