Nutrisystem Inc (NASDAQ:NTRI)

Q4 2016 Earnings Conference Call

February 27, 2017 05:00 PM ET

Executives

John Mills - Managing Partner at ICR

Dawn Zier - President and CEO

Mike Monahan - CFO

Keira Krausz - Chief Marketing Officer

Analysts

Frank Camma - Sidoti & Company

Mitch Pinheiro - Wunderlich Securities

Linda Bolton-Weiser - B. Riley

Alex Fuhrman - Craig-Hallum Capital Group

Matthew Gall - Barrington

Chris Krueger - Lake Street Capital Markets

Mitch Pinheiro - Wunderlich Securities

Operator

Greetings, and welcome to the Nutrisystem Fourth Quarter and Full-Year 2016 Earnings Conference Call. At this time, all participants are in a listen-only mode. An interactive question-and-answer session will follow the formal presentation. [Operator Instructions] As a reminder, this conference is being recorded.

I would now like to turn the conference over to your host, Mr. John Mills of ICR. Thank you. You may begin.

John Mills

Thanks, Matt. Good afternoon everyone, and thank you for joining us to discuss Nutrisystems fourth quarter and full-year 2016 financial results. Today Dawn Zier, President and Chief Executive Officer, will provide an overview of the business and insight into the 2017 diet season. Mike Monahan, Chief Financial Officer, will review the fourth quarter results and provide first quarter and full-year 2017 financial guidance. And Keira Krausz, Chief Marketing Officer, will review and provide insight into the companys marketing initiatives. We will then open up the lines to take your questions. Please note, on todays call we would appreciate participants to limit themselves to two questions and rejoin the queue for any follow-up questions.

Before we begin, I would like to remind everyone that during this conference call, Nutrisystem management will make certain forward-looking statements about its outlook for 2017 and beyond that involve risk and uncertainties. Forward-looking statements are generally preceded by words such as believe, plan, intend, expect, anticipate, or similar expressions. Forward-looking statements are protected by the Safe Harbor contained in the Private Securities Litigation Reform Act of 1995. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risk, and changes in circumstance that are difficult to predict, and many of which are outside of the companys control.

Factors that could cause actual results to differ from expectations include, but are not limited to, those factors set forth in Nutrisystems filings with the SEC. Nutrisystem is making these statements as of February 27, 2017, and assumes no obligation to publicly update or revise any of the forward-looking statements made during this call. In addition to the GAAP results, Nutrisystem will provide certain non-GAAP financial measures on this conference call. Nutrisystems earnings press release for the fourth quarter and full-year 2016 can be found under the News Release link on the Investor Relations page of the companys website at nutrisystem.com. The tables attached to the earnings release include reconciliations of the non-GAAP financial measures to the most direct comparable GAAP financial measures.

And with that, I will turn the call over to Dawn Zier.

Dawn Zier

Thank you, John, and thanks everyone who has joined. Today I'm pleased to report our third consecutive year of double digit revenue growth at 18%. We were also able to grow our earnings per share by 34% as our business continued to scale and we maintained a disciplined approach to cost management. These result exceeded our full-year revenue and earnings per share expectations. Based on our performance of the first two months of the diet season, Im pleased to share that we are on trajectory to deliver our fourth consecutive year of double digit revenue growth in 2017 led by the continuing strength of our core brand NutriSystem. We focus on several strategic areas in 2016 that just set up for success in 2017 and beyond. Let's start with product innovation. Turbo 10 resonated well with consumers in 2016 as did Uniquely Yours and our other flexible meal option. Our science based clinically supportive programs appeal to a broad set of consumers looking to safely and effectively lose weight. Lean 13 which we launched for diet season 2017 appears to be another home run resonating with new and existing customers.

Next, we had tremendous success this past year growing our shakes and a-la-carte sale. Our shakes are an important component of our program and are also available as an ala carte option. With now many customers adding ala carte products to their program and migrating to more flexible options as they continue on their weight loss journey. We expect continued growth of these products offerings throughout 2017. Third, NutriSystem continues to attract new customers and win back former ones. Our advertising messages resonate and we set a high bar for efficient and successful marketing campaigns in 2016 as our media team creatively capitalized on TV viewership space, while simultaneously testing across many new digital channels. Were seeing continued breakthroughs in 2017. Keira will go into greater details in her remark. Fourth, new customer growth achieved over the past three years feeds 2017 reactivation pool. Our pools continued to grow; we are offering more options and as a result have seen revenues increase due to both volume and rate. Reacs, as we refer to them, are very profitable since the majority of marketing costs are assigned to new customers.

Turning to retail. We remain stable at Wal-Mart and made continued progress in expanding into the grocery channel. We anticipate modest growth for retail in 2017 and although retail remain a small part of our total business, we believe it provides a halo effect to our direct business and it's an attractive opportunity for us as an alternative sales channel to some products. And last but certainly not least the South Beach Diet. It's hard to believe that we just acquired the brand a little over a year ago, just the brand, and have taken it from concept development to product actualization. I'm happy to report that in January we showed strong consumer interest in the South Beach Diet. We plan to build and capitalize on this brand equity as we fine tune key levers that drive length of stay such as pricing and product configuration. As with any new product launch, optimization continued iteration is expected and we're deploying that same disciplined and methodical approach that we use our NutriSystem to South Beach. Our early read is that we expect the South Beach Diet to drive 20 to 25 million in revenue for 2017 positioning the brand for meaningful growth in 2018 and beyond as we build out customer pools and increased marketing spend.

In short, heading into 2017, we believe our core NutriSystem brand is stronger than ever and its not one thing that is working right, its many things. We expect our direct to consumer business to continue to be the major driver of growth in 2017. Furthermore as I just mentioned, the steps we took to build on our multi-brand strategy have us well positioned for addictive growth through the South Beach Diet brand and more flexible options including ala carte coupled with state of the art marketing engagement tool will continue to extend our relationship with the customer and deliver additional lifetime value.

I will now turn the call over to Mike who will walk through our 2016 financial results and discuss our first quarter and full-year 2017 guidance. After that Keira will add more color to the success were seeing this diet season and at South Beach.

Mike Monahan

Thanks Dawn, and good afternoon everyone. 2016 finished strong, revenue for the full-year 2016 increased nearly 18% to 545.5 million compared to 462.6 million last year driven by new customer growth, improved reactivation and continued improvements of the customer experience in our economic. Adjusted EBITDA and earnings per share increased 31% and 34% year over year for the full year respectively. Gross margin for the year increased 140 basis points to 52.9%. Marketing spend increased 23% further expanding our customer reach profitably. And marketing as a percentage of revenue was 27.9%. Revenue in the fourth quarter was especially strong and came in at 108.9 million, up nearly 21% year over year. We continued to benefit from increased viewership surrounding the presidential election. Adjusted EBITDA in the fourth quarter was 18.7 million with earnings per share of $0.29 representing year-over-year increases of 54% and 123% respectively. We invested 14.8 million of capital expenditures into the business during 2016 and finished the year with 33 million of cash, cash equivalents and short-term investments on hand.

During 2016, we returned 21 million of cash to shareholders through our dividend. Driven by the continued success of NutriSystem brand, we are projecting 2017 to deliver our fourth year of double-digit revenue growth. For the full-year of 2017 we are projecting revenue to be in the range of 630 to 650 million, adjusted EBITDA of 95.8 to 100.3 million and consolidated earnings per share of $1.55 to $1.65. Capital expenditures are projected to be 12 to 14 million for the full year. For the first quarter of 2017 we're projecting revenue to be in the range of 202 to 207 million, adjusted EBITDA in the range of 11.6 to 13.6 million and earnings per share of $0.14 to $0.19. We expect of course the first quarter of 2017 to be particularly strong due to favorable television viewership and timing of retail shipments. The revenue contribution for quarter as a percentage of the full year consolidated revenue should follow a similar cadence to 2016. Due to the success of Lean 13, our model assumes incremental marketing spend in the second quarter of 2017 year over year. This spent helps to drive full year profit but impacts the cadence of EPS contribution in the year pushing some of the Q2 EPS contribution into the second half of the year.

As Dawn mentioned were pleased with the launch of the South Beach Diet. For 2017, we expect the brand to drive roughly 20 to 25 million. Were excited that the customer response to our advertisements has been favorable demonstrating that demand for the brand and product is there. Through customer feedback weve recently learned that customers are experiencing some storage issues due to the freezer space constraints which is leading to delays in second shipments and some early cancellation. Unlike NutriSystem, our South Beach Diet currently has very few grab and go or non-frozen items available. To resolve this, the product development team is focused on introducing more grab and go offerings in the upcoming month. As a result, 2017 guidance factors in modest solution for the brand primarily in the first half of the year. We believe the South Beach Diet is resonating with customers and we are confident in its future growth. We are continuing to deploy marketing dollars to build brand awareness and the customer database, this will position the brand for growth and profitability in 2018. With each of our brands we are focused on and investing behind four core principals to support long-term growth. One, attract more customers, revenue from customers in their initial diet cycle were up over 18% year-over-year in 2016 primarily driven by increased customer starts, improved pricing and increases in upsell and ala carte sales. Our marketing campaigns and product improvements have been effective.

For the full-year 2017 we are projecting continued increases in new customer revenues due to increased product demand and our ability to profitability deploy marketing dollars to reach new consumers. Reactivation revenue continues to strengthen as a result of increased customer count and improved reactivation yield. We delivered nearly 33 million and 142 million of reactivation revenue in the fourth quarter and full-year 2016 respectively. For the full year this represents approximately 26% of consolidated revenue and 20% growth year-over-year. We expect reactivation revenue to continue to be doubled to be double digit growth driver in 2017. Two, improve the overall satisfaction and economic contribution of each customer. The average customer profit contribution continues to expand as we introduce new product offerings and manage our cost of goods. Revenue per customer has improved due to pricing and product enhancement. This increase was also complemented by meaningful increases in upsell rates. Gross margins on an annual basis are improving due to increases in average selling price and effective management of food and distribution costs. For the full-year 2016 gross margins increased year-over-year by 140 basis points to 52.9%. 2017 guidance assumes additional improvement in gross margins as we continue to grow revenue per customer and manage cost of goods.

Three, extend our marketing reach. Marketing expense for the fourth quarter of 2016 was 23.9 million or 22% of revenue compared to 20.3 million for the fourth quarter of 2015. Our improved customer economics continue to enable us to deploy additional marketing dollars to attract more consumers. For fiscal year 2017, our Lean 3 campaign is strong. We are projecting increased media spend in both online and offline channels as we continue to profitably expand our customer reach. In 2017, year-over-year revenue growth is projected to be largest in the first quarter as we continue to see increased viewership as a result of the presidential inauguration. We are expecting viewership to return to more normal levels for the remainder of the year. Marketing as a percentage of revenue is expected to increase year-over-year due to two drivers. One media investments to support the South Beach Diet and two, improve lifetime value of NutriSystem customers enabling us to reinvest dollars to expand our media reach while still improving our operating margins. Retail continues to be an important channel for us. In addition to product sales, we believe having a presence in both direct to consumer and retail provides improved brand awareness. The retail channel is expected to grow in 2017 and reach approximately 35 million in revenue for the full year.

Four, invest in the business to support future growth. In early Q2 2017 we will be opening our fourth frozen warehouse to support increased volumes and reduce shipping time to the end consumer. We also continue to invest in our digital platform making improvements to our websites and enhancements to our tracking tools and content site. Finally, we are focused on the South Beach Diet brand and positioning it for top and bottom line growth into 2018 and beyond. During 2016, we returned 21 million of cash to shareholders through our dividend which has been consistently in place since mid-2008. Our business model remains capital efficient enabling us to both return capital to the shareholders and invest in strategic growth initiatives to drive shareholder value. The board of directors has declared a dividend of $0.175 per share payable March 20, 2017 to stockholders of record as of March 9, 2017.

I'll now turn the call over to Keira.

Keira Krausz

Thanks Mike, 2017 if off and running. We had an exciting January with the healthy rise in customer starts, continued growth in the popularity of our Uniquely Yours program and an increase in customer engagement via our digitally delivered content and apps which in turn enabled increases in incremental sales to existing customers. We expect to grow revenues from new customers by double digits in the first quarter. In addition, our ramp up of the South Beach Diet is going well and we are pleased to have two well known differentiated brands in the weight loss space. The keys to our continued success are many, but can be grouped into two main themes. First, we embrace trends in the larger consumer environment and adjust our offerings accordingly to serve consumers better in order to help more of them lose weight and improve their health in ways that are simple, effective and easy to follow. Let me share some observations about our world and then mention quickly how we seek to meet consumer needs.

The world is increasingly complex. We keep things simple to make it easier for people to take control. People want healthier food options at an affordable price, NutriSystem and South Beach food has no artificial colors, sweeteners or flavors; most of our South Beach food is gluten and our frozen food is as fresh as home delivery gets at a price accessible for millions. There is no such thing as a one size fits all loss approach. We now have two distinct approaches NutriSystem which allows people to eat favorite foods made healthy and the South Beach Diet which makes following to low sugar, low carb, high protein light snack. Everyone uses their mobile devices 24/7, we've invested to make our sites responsive, are optimizing for every device and have apps that support our customers and keep them connective, expect everything on demand, our counseling group is the most accessible in the industry, customers can email, chat online or call us seven days a week, 17 hours per day. Buying online and home delivery are now the norm. So we have a simple shopping experience and a supply chain ready to pick and pack each customized order of hundreds of items and deliver quickly. A second theme being that underlies our success in our team. We fight hard for every next inch of progress, employ rigorous analytics on our never ending quest to uncover problem, bring forward solutions, identify the next big opportunity and better serve our customers.

With those overarching themes in mind, we've had some specific breakthroughs that are making this diet season a success. Our Lean 13 program with clinically support results is quite strong and is attracting more new customers and reactivations alike. We've been able to expand our television reach. Were on more stations, more network, more shows in more dayparts. We've expanded our digital reach. We're able to use digital channels like display, social media, email and content marketing to introduce ourselves to new consumers. Our television channel is healthy and we're growing our digital channels so that we meet consumers wherever they are. Our Uniquely Yours program which allows customers to select from over 150 frozen grab and go items continues to grow. Last January, we shared that just over 50% of our customers choose Uniquely Yours. Now that percentage has jumped to 60% and we expect that it will continue to climb. We're happy that our freshest nutritious great tasting frozen food has become such a customer favorite. Our add-ons like ala carte items and shakes which we sell primarily to existing customers also continue to expand. More people are adding them to their orders and average spend per annum order is increasing.

Engagement with our digitally delivered content and apps is way up this year. NuMi users are up to 50% in January and we had over 26 million page views in one month. We had over a 1.5 page views on the [indiscernible] content site. This level of engagement demonstrates how much are customers look to us for simple credible advice. We are building what we hope are strong and lasting relationships. These high used platforms are also on their way to generating significant revenue as we have more ways of communicating with our customers throughout their weight loss journeys which means more opportunities to offer appropriate products. In addition to having a great start to 2017 for NutriSystems Lean 13 campaigns, we are equally excited to have launched the South Beach Diet. The programs nutritional approach with the focus on lean protein, healthy flats and low sugar with groundbreaking when Dr. Agatston first introduced it and we believe it is even more relevant and on trend today. We had a solid start to acquisition in January and spend in order to build brand awareness and start testing expansion opportunities. Going forward well be disciplined and methodical about balancing our desire to grow reach with a need to achieve a profitable acquisition costs for customers.

Now that we have the basic South Beach Diet customer acquisition engine up and running, we will employ the same quick and highly iterated approach to maximizing revenue per customer as we have used with NutriSystem. As a reminder its this approach that allowed us to grow the percentage of customers taking NutriSystems highest price program option from about 30% to over 60% over the past few years. It also led to success of price increases on our basic, core and Uniquely Yours program without lowering demand and motivated NutriSystem customers to add ala carte and shakes to their program. Frankly, maximizing our RPC and customer lifetime value is where our team excels. We hypothesize that having two strong brands in the market will allow us to expand more quickly and so far we are encouraged by our ability to attract new non-NutriSystem customers with South Beach. Perhaps because of the differentiation in die tapproaches, food portfolios and branding the vast majority of South Beach customers are not on the NutriSystem database and the overlap in new leads is low. This is a good sign that our multimedia strategy should generate long-term incremental revenue and EBITDA.

The addressable market segment is large and growing and the South Beach Diet should allow us to get a larger portion of the $10 billion to $15 billion opportunity. We believe every woman and every man has the power. The power to dream of improving one's body and health, the power to take control. Our job is to help by developing simple easy to follow effective programs and to communicate with customers anywhere they are anytime they need us. We look forward to the rest of 2017 in which NutriSystem and the South Beach Diet, two great weight loss brands expand side by side.

Now Ill turn the call back over to Dawn for some closing remarks.

Dawn Zier

Thanks Keira and to everyone on the call today for your interest in NutriSystem. As we head into 2017 we believe the NutriSystem brand is as strong as ever and our multi-brand strategy is taking hold. Based on our diet season performance during the past two months, we're well on our way to achieving our fourth consecutive year of double-digit revenue growth fueled by our continued focus on our key initiatives, proven business model and analytical rigor that drives continuous improvement. As we look to the future we are operating from a position of strength having not one but two powerhouse brands to help us extend our reach to new customers and capture more of the large addressable weight loss market. Our priorities are to, one, continue to grow the NutriSystem brand in a financial meaningful way. Two, continue to build our multiband strategy making us well positioned to achieve 20 to 25 million on revenues from the South Beach Diet in 2017 positioning the brand for meaningful growth in 2018 and beyond; and three, run a very disciplined business that is focused on topline growth through price and marketing innovation while not taking our eyes off cost. Im really proud of all that the NutriSystem team has been able to accomplish. The engagement across every level of the organization and the private eye employees take in helping people become healthier versions as themselves are extraordinary. The strategy and vision that the leadership team has said, outlines the path forward but it's the exceptional companywide execution that runs gold into results. So big thank you to the entire NutriSystem team for 2016 that delivered results beyond our expectations and for a great start to 2017.

With that Id like to open up the lines for questions. Operator?

Question-and-Answer Session

Operator

[Operator Instructions] Our first question comes from Frank Camma from Sidoti & Company. Please go ahead.

Frank Camma

Just with respect to Mikes comments on the cadence of the guidance, because obviously that kind of sticks out, I mean so it's a nice jump in Q1 and granted I mean I understand you don't want to be too aggressive here and also you did get obviously the bump from the inauguration. But is there any reason to believe that the average customer for example wouldnt be as sticky later in the year. I mean I know you get a lot of visibility in Q1 but I wonder if you can just talk about that a little bit.

Mike Monahan

Frank, its Mike. As I mentioned on the call we expect the quarterly revenue as a percent of annual revenue to be reasonably similar to last year. On a year over year basis there's two reasons why the growth is a bit heavier in the front half of the year. First is timing of retailing QVC revenues, in 2017 the revenues from retail and QVC are a little bit more front loaded due to timing and shipments in the shows. And the second really has to do with the fourth quarter of 2016 similar to new customer acquisitions and reactivation revenue we're able to deploy a higher percentage of media dollars to attract customers in that quarter due to increased viewership as a result of the presidential election. So for this year in 2017 we modeled in more seasonal growth.

Frank Camma

Ill go back to my model. I was just looking as you're coming up against pretty difficult comp in Q1 and obviously youre going up against that even higher, so that was unusual. My other question was related to the gross margins since you talked about the expansion. Is there any reason to believe that the South Beach Diet, do you get a similar margin profile on that product or is it lower in the beginning since your scaling up? And thats all I have.

Mike Monahan

So we're still early on with the South Beach Diet, but we've modeled gross margins to be a little bit less than NutriSystem for the year but we continue to adjust the program and expect them to rise over the long term. But for 2017 the South Beach Diet isn't having a material impact on our consolidated gross margin.

Operator

Our next question comes from Mitch Pinheiro of Wunderlich Securities. Please go ahead.

Mitch Pinheiro

Yeah. Hey, good afternoon. That was a heck of a quarter and even probably better guidance, which I want to ask about. So when I try to sort of back in to new customer revenue growth for 2017. And if I take the bottom end of your guidance range and subtract the 35 million of reactivation revenue and call it, 25 five million of South Beach, I get to a number that somewhere, it looks like new customer revenue growth -- somewhere in the mid -- maybe mid to high teens. Is that about right?

Mike Monahan

Yes. And new customer revenue and reactivation revenue are kind of within the guidance ranges that we gave. So you're not far off. That's in the general direction of where it should be.

Mitch Pinheiro

And that feels like -- I mean so that's a continuation against, I think Mike you said 18% new customer revenue growth for 2016.

Mike Monahan

A little more than 18%. Correct.

Mitch Pinheiro

A little more than 18%. So that's also strong growth. I mean how do you see the components. Is it like an equal parts new customers, average pricing like the mix and want to stay, I mean how do we look at the components of that generally?

Mike Monahan

Yeah. So -- I'm sorry, go ahead.

Mitch Pinheiro

Well, generally speaking. I mean I know you don't get out exact, but just need to understand if it's weighed to more average pricing or mix or how do you look at it?

Mike Monahan

And so a large portion of our growth factored into the guidance comes from overall customers, the combination of new customers and reactivated customers that are driving it. Were also getting a good percentage from an increase in upsell rates. So these are things like our shakes and a-la-carte items that have been improving. And the next piece of it is the revenues were collecting from the South Beach Diet. So those three things are modeled into 2017 growth. We are getting a small benefit from pricing and length of stay, but those are a little bit less of the drivers we've factored into the guidance for 2017.

Mitch Pinheiro

And just follow-up on that, on like -- you talk about upsell, I mean how significant is the upsell component of the new customer revenue growth?

Mike Monahan

So we don't get the exact dollars for it, but where we're seeing an upsell is were able -- for new customers coming in, were able to sell about a third of those new customers, some sort of an upsell on their initial order and then we're also able to keep them a little bit more sticky after they're done with the program by selling them a-la-carte items in more of a transition sense.

Mitch Pinheiro

Okay. And then just so second question just around South Beach is when you look at just your initial feedback, the initial economics that you're getting, is there any material difference in the way South Beach is behaving on those metrics compared to Nutrisystem, core Nutrisystem. Is there anything fundamentally different that you've learned that is, that changes the way your longer term look at South Beach?

Mike Monahan

Initially, I can speak to initially what were seeing. So we launched South Beach as we said in the script, we launched the South Beach Diet with primarily frozen offerings. So after watching customer behavior, we're seeing slightly higher delay rates and second order cancellation due to storage. So people receive the product and they -- it's a little bit more difficult to Nutrisystem to set it in your freezer space. So this is the one issue that is impacting length of stay in the near term for South Beach that makes it different than Nutrisystem. But what we're working on right now and the product development team is going to be launching in the upcoming months are more Grab `n Go items. So these are things that you can put in your pantry that don't take up freezer space where it would look a little bit more like the product configuration Nutrisystem and we expect that to address the length of stay and have it come up closer to where Nutrisystem is.

Operator

Our next question comes from Linda Bolton-Weiser from B. Riley. Please go ahead.

Linda Bolton-Weiser

Hi. Congratulations on the strong growth. So when you look at the sales growth projections for 2017, it looks like it's about 16% to 19% sales growth, but then if you add back the $0.14 of investment in 2016 and the $0.03 from the [indiscernible], I mean really the EPS growth is like 14% to 21% is what I calculated. So it's kind of in line-ish with the top line growth. So am I thinking of that the right way? So I mean on a base level business, you're not really getting really a lot of margin expansion or am I thinking of that the right way for 2017?

Mike Monahan

Well if you're looking on an adjusted basis, I would say just looking at the revenue and taking out the South Beach revenue component that we've talked about because thats not really contributing in year one to the bottom line. That's going to be more of a long term into 2018 contributor. So if you look at the growth there, you're going to notice you should see that there is scale in the business where on an adjusted basis, the EPS is growing at a faster pace than the top line revenue.

Linda Bolton-Weiser

Right. I got you. So is South Beach like around break even in 2017 or is it actually a little bit loss making on the operating profit?

Mike Monahan

So we mentioned that there would be some dilution this year, primarily in the first half of the year for South Beach as we build the database.

Linda Bolton-Weiser

Okay. And then so I know you're probably still testing and whatnot, but I guess one of the things I always understood was the frozen food leads to higher customer satisfaction and longer lengths of stay. So I'm wondering if you [indiscernible] into the South Beach, do you think theyre going to have a compromise on the satisfaction or length of stay that you might otherwise achieve?

Dawn Zier

No. This is Dawn. No, we don't actually -- as Mike had said, the issue that were having right now is the freezer space issue where they cant fit all the frozen into the freezer and what we know from feedback from the customer is that it depends on what meal occasion you're talking about. So for breakfast and lunch, people do like to have some ready to go actions and for dinner, it's more the frozen. So we're looking for -- we're going to get some more of a mix where people can do Grab `n Go. We think it will be -- and even as we about Uniquely Yours, which is our premium option, remember that's not all frozen, it does have a longer length of stay, but that is a mix of frozen and ready to go item.

Read more from the original source:
Nutrisystem's (NTRI) CEO Dawn Zier on Q4 2016 Results - Earnings Call Transcript - Seeking Alpha

OWINGS MILLS, Md. - Feb. 23, 2017 // PRNewswire // - Medifast, Inc. (NYSE: MED), a leading United States manufacturer and provider of clinically proven weight-loss and healthy living products and programs, will announce financial results for the fourth quarter and fiscal year ended December 31, 2016 on Thursday, March 9, 2017, after market close. The Company will host a conference call to discuss these results with additional comments and details. Participants from the Company will be Daniel R. Chard, Chief Executive Officer, and Timothy Robinson, Chief Financial Officer.

The conference call is scheduled to begin at 4:30 p.m. ET on March 9, 2017. The call will be broadcast live over the Internet hosted at the Investor Relations section of Medifast's website at http://www.MedifastNow.com, and will be archived online through March 23, 2017. In addition, listeners may dial (855) 560-2579.

A telephonic playback will be available from 6:30 p.m. ET, March 9, 2017, through March 16, 2017. Participants can dial (877) 344-7529 to hear the playback and enter passcode 10102163.

Medifast (NYSE: MED) is the leading easy-to-use provider of clinically proven weight-loss and healthy living products and programs. Medifast aims to help customers lead a healthier lifestyle through a holistic approach to weight-loss and weight management. Medifast's proven results are based on the use of structured meal plans featuring Medifast Meals, which are nutritionally designed to assist customers with successful weight-loss and weight management. Medifast was founded in 1980 and is located in Owings Mills, Maryland. For more information, log onto http://www.MedifastNow.com.

Take Shape For Life is a thriving, vibrant community that is redefining the path to wellbeing and Optimal Health. It achieves this through a network of Independent Health Coaches, who provide support and personal encouragement to help Clients safely and effectively reach and sustain a healthy weight, and adopt habits for a lifetime of health. Within the Trilogy of Optimal Health, Take Shape For Life offers individuals an opportunity to create sustainable health in all areas of their lives building a healthy body, developing a healthy mind, and generating healthy finances. Take Shape For Life provides Health Coaches with tools and support; an innovative, leading-edge lifestyle program; training and knowledge; and best of all, a community of like-minded individuals working toward the common goal of getting America healthy. In 2016, Take Shape For Life was ranked in the top 20 of the Direct Selling Association's largest companies, and is a Code of Ethics member of the same organization.

MED-F

SOURCE Medifast, Inc.

Katie Turner ICR, Inc. (646) 277-1228

###

Read the original post:
Medifast, Inc. to Announce Financial Results for the Fourth Quarter and Fiscal Year Ended December 31, 2016 - Franchising.com (press release)

Youre trying to shed excess pounds and have not faltered on your New Years resolution to get to the gym. So why isnt the weight dropping off?

You can work out all you want but unless you cut back on calorie consumption, youll continue to struggle with the scale. You cannot outrun a bad diet, say the authors of a new editorial in the BMJ.

"U.K.'s Academy of Medical Royal Colleges described 'the miracle cure' of performing 30minutes of moderate exercise, five times a week, as more powerful than many drugs administered for chronic disease prevention and management," the authors wrote. "Regular physical activity reduces the risk of developing cardiovascular disease, type 2 diabetes, dementia and some cancers by at least 30 percent. However, physical activity does not promote weight loss."

It's true, said Maryland-based fitness trainer Alex Haschen.

"If you trying to lose weight, relying 100 percent on exercise will not help you reach your goal," said one fitness trainer.

"There are two main pieces to the weight-loss puzzle exercise and nutrition. If you're trying to lose weight, relying 100 percent on exercise will not help you reach your goal," he told LifeZette.

He added, "You can reduce your caloric intake and still eat a terrible diet. A diet lower in calories but consisting of low-quality foods will not make you healthy, nor will it help you lose weight as quickly either."

Here are the two most important things people need to keep in mind as they attempt to lose weight, according to Haschen:

Exercise It helps improve the health of your heart, lungs, and muscles. It leads to an improvement of every process in the body. You burn calories and if you burn calories, you can lose weight; however, the main function of exercise is to tune up your body.

Nutrition If you fuel any machine with low-grade fuel, it will perform less than optimally. If you over-fuel by overeating, you will also operate poorly.

"In order for our bodies to 'let go' of stored fat, we need to provide high-quality foods in appropriate amounts. There's no need to starve yourself, no need to count calories just listen to your body," said Haschen. "Hunger is and always will be the best indication of how much you should eat, but oftentimes we mistake hunger for other emotions."

If you think you're hungry, go for a walk or eat a few raw veggies. Then wait 20 minutes and see if you are still truly hungry, advised Haschen.

Related: The Number One Rule of Weight Loss

Portion control is also directly related to this sensation of hunger. "Put less than you normally would on your plate, eat it slowly, wait 10 minutes, and evaluate your hunger. A portion that is 'too small' at first will soon become your new normal once your mind stops intervening with your hunger," he said. "Eat less, eat slowly, wait and evaluate."

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Why You're Not Losing Weight - LifeZette

PHOENIX, AZ--(Marketwired - February 27, 2017) - Even after following a consistent weight loss process and achieving positive results, many obese and overweight individuals experience weight regain. Weight maintenance depends on a variety of factors, including genetics, personal behavior, and the environment. Following a regular diet and reducing daily caloric intake also has a significant effect. Behavioral therapy may be provided to those continuously struggling with weight regain. The stability of body weight can also be increased by avoiding harmful behaviors like emotional eating, late-night snacking, consuming excessive amounts of sugar, binge eating, and relapsing into an inactive lifestyle.

Generally speaking, reducing the number of calories consumed contributes to weight loss. As a general rule, one pound of weight is equivalent to 3,500 calories and in order to lose 1-2 pounds each week, one needs to reduce caloric intake by 500-1000 calories per day. Following this general rule without nutritional counseling or doctor-supervision is dangerous, however. Many individuals lack weight loss education and blindly follow a starvation diet that limits daily caloric intake to extremely low levels that have harmful effects on health. For instance, the original hCG diet, also known as the Simeons Diet, limits daily consumption to a mere 500 calories. This is not only considered an unsafe diet by the Obesity Medicine Association but also discouraged by weight loss experts like Dr. Nishant Rao at Diet Doc, a nationally recognized weight loss center.

At Diet Doc, patients are encouraging to follow healthier alternatives to dieting and regularly consult an in-house doctor throughout the weight loss process. With various prescription medications available, it is possible to adopt a more flexible diet program that involves consuming 800-1250 calories daily without impairing weight loss. The Simeons method for hCG dieting is not only outdated but also unnecessary and unrecommended. High-calorie programs offering safe weight loss are the ideal option for patients considering the hCG diet treatment. Doctor-supervision and diet customization based on nutritional needs is highly recommended.

At Diet Doc, patients can get a thorough understanding of the weight loss needs and develop an individualized diet based on their nutritional needs or even their genetics. All Diet Doc programs, provide a doctor-supervised, customized diet plan. Instead of encouraging patients to adopt harmful dietary practices with no prior medical knowledge, Diet Doc consults with patients to provide a detailed weight loss plan based on their nutritional needs and medical history. Losing weight with Diet Doc is safe, simple and affordable. Nutrition plans, exercise guidance, motivational support, and dietary supplements are all part of the package. More than 90% of Diet Doc patients report an average weight loss of 15-20 or more pounds every month and long-term weight loss maintenance is made possible through continuous counseling.

Patients can get started immediately, with materials shipped directly to their home or office. They can also maintain weight loss in the long-term through weekly consultations, customized diet plans, motivational coaches and a powerful prescription program. With Diet Doc, the doctor is only a short phone call away and a fully dedicated team of qualified professionals is available 6 days per week to answer questions, address concerns and support patients.

Getting started with Diet Doc is very simple and affordable. New patients can easily visit https://www.dietdoc.com to quickly complete a health questionnaire and schedule an immediate, free online consultation.

About the Company:

Diet Doc Weight Loss is the nation's leader in medical, weight loss offering a full line of prescription medication, doctor, nurse and nutritional coaching support. For over a decade, Diet Doc has produced a sophisticated, doctor designed weight loss program that addresses each individual specific health need to promote fast, safe and long term weight loss.

Twitter: https://twitter.com/DietDocMedical

Facebook: https://www.facebook.com/DietDocMedicalWeightLoss/

LinkedIn: https://www.LinkedIn.com/company/diet-doc-weight-loss?trk=biz-brand-tree-co-logo

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Diet Doc Offers Weight Loss And Weight Maintenance Alternatives To The Dangerous Original hCG Diet - Marketwired (press release)

Forbes

Yes, There Is A Type Of Pot That Helps You Lose Weight Forbes But what if there was a marijuana that could help you lose weight? The increased appetite symptom of cannabis ... With that said, the THC effects also die off a bit more quickly with the presence of THCV." The problem is that it is only produced in ...

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Yes, There Is A Type Of Pot That Helps You Lose Weight - Forbes

I used to believe that some event would magically change my life, such as winning the lottery or finding a job that pays more. I was not sure what the event was, but I was hoping that it would happen soon. I wanted to have a better life, but I left it to destiny.

I wanted a quick fix for my mediocre life. I did not realize that my life was mediocre because I was mediocre. I thought that my destiny was already set and that I had no control over it.

Many of us have this mentality, and we want life to be better even though we don't better ourselves. Losing weight, for example, has become a million-dollar industry. There are lotions, belts, easy exercise programs, diets, supplements, surgeries, hormones, therapy, pills, earrings and many other things. A famous publicity slogan is "Give the customers what they're looking for." Therefore, we find that the customer is looking for "fast and easy" even though it neither works nor is sustainable.

Many people want to win the lottery thinking it will get them out of their misery, and others want a fast and easy way to lose weight. Yes, a few do win the lottery and some do lose weight fast, but soon we find these people poor again or regaining the weight or even putting on more weight.

The lesson I learned is very simple: If I want a better life, body, family, business, career, financial status or mind I need to become better than who I am right now.

After 28 years of mediocre life, finally the event that needed to happen happened, but it was not what I had planned. However, what I learned was more important than winning the lottery. I learned that if I wanted an above-average life I needed to become an above-average person. Before this realization, if I would have won the lottery, I would have ended up just like Mike Tyson.

Mike Tyson made more than one quarter of a billion dollars, yet he ended up poor. How could he have spent so much money? It's simple: Just like the person who loses weight by surgery or some promising therapy and regains it in months or a couple of years, Mike Tyson did not become above average in his life. He did not develop the habits to maintain what he made.

The lesson I learned is very simple: If I want a better life, body, family, business, career, financial status or mind I need to become better than who I am right now. Hence, if you are looking to lose weight or be financially free or have a better job, you must work on yourself. One of the things that does not seem to work is looking for an extraordinary body, job or life without becoming extraordinary. I was frustrated for many years doing that until I decided to work on myself.

The best investment you can make in life is in yourself. This is so powerful that it's worth repeating: The best investment you can make in life is in yourself. So if you are ready to have a better body, career or life, start working on yourself step by step. Find out what you need to work on to get what you need or want and determine the habits you need to sustain such body, career and overall life.

There is no better life-changing event than the one you are willing to make.

Sandro Torres is owner of Custom Body Fitness in Carbondale, author of the book "Lose Weight Permanently" and a Watch Fit columnist. His column appears on the second and fourth Tuesdays of the month in Body & More.

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Torres column: To have an above-average life become an above-average person - Glenwood Springs Post Independent

Weight-Loss Win is an original Yahoo series that shares the inspiring stories of people who have shed pounds healthfully.

Michael Ferrara is 46 and weighs 230 pounds. In 2014, after gradually gaining for many years, he was able to take control of his weight using a low-carb diet. This is the story of his weight-loss journey.

The Turning Point

My weight became an issue a few years after my family bought a pizzeria in 1983. Over the next few years, my weight started to balloon. After the store closed, I had a few low-activity jobs which compounded the problem. After being married in 1999, I continued to gain weight as fun times with my new wife led to fun fat!

There were a couple of different turning points that started my journey. The first was in 2014: I saw a picture of myself and was completely horrified about how I looked. I always took pride in my appearance and never noticed how terrible I looked because the weight gain was so gradual.

In addition, my brother lost around 75 pounds at the time that I was at my heaviest and he gave me a huge bag of his old clothes. I was always lighter than my brother all throughout our lives but I couldnt even button those jeans he gave me! They were a size 40 and I was snug in a 48. The next day, I started my diet.

The Changes

I tackled losing weight by being practical. I knew it wasnt going to come off in fiveminutes, so I basically took it day by day. I decided to follow the Atkins diet, which is a low-carbohydrate, high-fat, and moderate-protein diet. One amazing thing about the Atkins diet is that you really dont have to exercise, which was good because, at 300 pounds, there wasnt much I could do. I chose Atkins in the first placebecause being a chauffeur, my schedule is pretty much all over the place. I do not have set hours, which makes it hard to plan meals ahead of time. Atkins afforded me the luxury of being able to eat on the road as long as I avoidcarbs or sugars. In a pinch, I could still go to a fast food restaurant for burgers and eat them without the buns, or go to a pizzeria for a sausage and peppers platterwithmozzarella but no sauce. It really opened me up to many different opportunities so I wouldnt get bored eating the same things over and over.

After the first month, I started to feel energized! I had never had so much energy before. I dropped around 12 pounds that first month. That made me feel incredible because I now wanted to go out for walks something I had no interest in before. As the months progressed and people started to notice I was losing weight, it was another incredible motivator.

Plus, Im a clothes horse and love to dress nicely. My fat clothes were literally hanging off my body and when I went to the bag with my brothers smaller jeans, they fit! I dont know if I can put into words how that felt. Seven months after starting Atkins, I went from a size 48 to a 40! At this point, giving up wasnt an option.

The After

After hitting 70 pounds lost, I felt unstoppable. Physically, I was walking more and doing more activities with my kids. Even on days where I am very active, nothing hurts anymore. When I was at my heaviest, if I went for a short walk, my knees and back would kill me. In April of 2015, I did a Color Run with my family at Citi Field and without realizing it, did a 5k! Never in my life would I have thought I could do that. Now we are planning more 5ks to do as a family.

Before starting my journey, there were days where I was unhappy because of my weight. In fact, I was giving more work to my drivers because I was embarrassed about how I looked. No one knew that except me. Today, I look forward to going to work because I dont feel like I look terrible; my confidence is sky high.

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I think the only surprise is how quickly the weight came off. My ritual would be to weigh myself once a week to track my progress. The first few weeks felt like hitting the lotto. Three pounds one week, five pounds the next it was all happening so quickly. Once it stabilized, the weight came off slower, but I was still losing consistently.

I try to go for walks 3to 4times a week. I never would have done that before. I also park my car the farthest I can from a store or mall just so I can get in more walking. I take the stairs instead of the elevator. Ive also become more cognizant of what Im eating and listen to my body. There are plenty of times Ill just have a salad or an Atkins meal bar for dinner because Im not that hungry. Ialsodrink at least 2 liters of water a day.

The Maintenance

Today, I make sure to think about what Im going to eat ahead of time.If Im going to be in the car for 10-11 hours, I make sure to take a couple of meal bars in case there isnt a healthy choice for meals where Im going.

My progress really motivates me. Now when I step on the scale, it doesnt shoot upto 300 pounds. To further motivate myself, Ill go out and purposely buy a shirt that I like which is a size smaller, to give me a goal to aim for. I love when people compliment me on how much weight Ive lost. It makes me extremely proud.

The Struggles

Even after two years, there are still days when I emotionally feel fat and want to eat. Being Italian, I really miss eating pizza, pasta, cannoli, and New York bagels. What motivates me not to eat an entire pizza is when I see pictures of myself from two plus years ago. I vow that I will never look like that again.

Advice

Ive done numerous diets before, but since I wasnt mentally ready, I always failed. Keep in mind that Babe Ruth struck out more than1,300 times on the way to hitting 714 home runs. Never believe that youre too old to lose weight or change your lifestyle. I was one of those people who always saw other people losing weight and never thought I could do it. But I found a diet that works for me and so can you!

Need more inspiration? Read about our other weight-loss winners!

Weight-Loss Win is authored by Andie Mitchell, who underwent a transformative, 135-pound weight loss of her own.

Have a weight-loss win or beauty story to share? We want to hear it! Tell us at YStyleBeauty@yahoo.com.

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Michael Ferrara Lost 70 Pounds: 'Never Believe That You're Too Old to Lose Weight' - Yahoo Health

BOISE, ID--(Marketwired - February 28, 2017) - Obesity rates have been consistently rising for decades and numerous health issues like diabetes and heart disease are linked to the condition. Although a lot remains unknown about the short- and long-term ramifications of obesity, it is also linked to chronic pain. Recent research indicates that eating a Mediterranean diet could decrease the likelihood of an overweight individual experiencing chronic pain. The study discusses the connection between obesity and chronic pain and suggests inflammation as a possible pain-enhancing factor. Therefore, "anti-inflammatory foods including fish, nuts and beans" are recommended "as a key to preventing or reducing that pain. The quality of food we consume, as it turns out, is as crucial as the quantity of it.

Based on a model that accounted for age, depression, medication usage, and joint pain, the study determined a clear pattern between decreased pain and eating more fish and plant-based proteins like nuts and beans. The Mediterranean Diet, as the research suggested, is one of the ideal diets for obese individuals experiencing pain and anyone searching for a balanced eating regimen. The Mediterranean Diet involves high amounts of olive oil, legumes, unprocessed cereals, fruits and vegetables; moderate amounts of fish, dairy, and wine; and little to no non-fish meat or meat products.

The Mediterranean Diet promotes healthy weight loss based on balancing protein, carbohydrate and fat consumption. One of the best things about this diet is its flexibility as it can be easily customized to an individual's health and nutritional needs. Nevertheless, it can be confusing to maintain a diet in the long-term, no matter how effective it may be in the short-term. It is, therefore, important to set habits that set dieters up for weight loss success in the long run.

At Diet Doc, a nationally recognized weight loss center, the Mediterranean Diet is customized to a patient's needs based on individual health and nutritional needs. By balancing protein, fat, and carbohydrate consumption and offering antioxidants like L-Carnitine for patients struggling with a low metabolism and excess stored body fat, Diet Doc helps patients increase fat metabolism by transferring it to the mitochondria and enhancing the body's ability to release stored body fat. As a result, patients often experience stabilized energy levels, improved recovery after workouts, and enhanced cardiovascular health.

Of course, simply pursuing a well-known diet like the Mediterranean Diet does not guarantee weight loss success. Long-term diet planning is based on nutritional needs and changing lifestyle choices is crucial. At Diet Doc, a nationally recognized weight loss center, dieters are advised to pursue doctor supervision and nutritional customization instead of pursuing fad diets to "lose weight fast." Ideally, a diet should add currently lacking nutrients and eliminate foods that enhance weight gain. At Diet Doc, patients receive custom-designed weight loss programs and diet consulting. With a safe, doctor-supervised diet plan and guidance for life, Diet Doc patients gain the following benefits within the very first month:

Patients can get started immediately, with materials shipped directly to their home or office. They can also maintain weight loss in the long-term through weekly consultations, customized diet plans, motivational coaches and a powerful prescription program. With Diet Doc, the doctor is only a short phone call away and a fully dedicated team of qualified professionals is available 6 days per week to answer questions, address concerns and support patients.

Getting started with Diet Doc is very simple and affordable. New patients can easily visit https://www.dietdoc.com to quickly complete a health questionnaire and schedule an immediate, free online consultation.

About the Company:

Diet Doc Weight Loss is the nation's leader in medical, weight loss offering a full line of prescription medication, doctor, nurse and nutritional coaching support. For over a decade, Diet Doc has produced a sophisticated, doctor designed weight loss program that addresses each individual specific health need to promote fast, safe and long term weight loss.

Twitter: https://twitter.com/DietDocMedicalFacebook: https://www.facebook.com/DietDocMedicalWeightLoss/LinkedIn: https://www.LinkedIn.com/company/diet-doc-weight-loss?trk=biz-brand-tree-co-logo

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Diet Doc Offers Customized Mediterranean Diet, Recently Linked To Pain Reduction For Obese Individuals - Marketwired (press release)