Revenue during the quarter grew 8.73 percent to $252.90 million from $232.58 million in the previous year period. Gross margin for the quarter contracted 104 basis points over the previous year period to 81.68 percent. Total expenses were 87.41 percent of quarterly revenues, up from 84.89 percent for the same period last year. That has resulted in a contraction of 252 basis points in operating margin to 12.59 percent.

Operating income for the quarter was $31.84 million, compared with $35.14 million in the previous year period.

"While USANA finished the year with another quarter of solid top line and Associate growth, several initiatives we implemented during the fourth quarter resulted in net earnings at the lower end of our guidance," said Kevin Guest, chief executive officer. "The first of these initiatives was the successful transition of our China manufacturing operations to our new production facility, which is now fully operational. With this facility in place, we now have the production capacity that we need in China. A second initiative entailed us offering a growth incentive to our Associates around the world that positively contributed to our performance during the quarter. These initiatives are important to our business and have also helped us get off to a good start in 2017."

For fiscal year 2017, USANA Health Sciences, Inc forecasts revenue to be in the range of $1,040 million to $1,070 million. The company expects diluted earnings per share to be in the range of $3.80 to $4.10.