Customer concentration
Largest private-label customer represented 31% of total net sales in the six months ended Dec. 31, 2025.
- Scope
- A small number of customers drive a large share of revenue and order timing.
- Materiality
- high
Natural Alternatives International, Inc
Natural Alternatives International, Inc. manufactures private-label nutritional supplements for brands that sell vitamins, minerals, herbs, and other health products to consumers in the U.S. and abroad. It also monetizes its beta-alanine intellectual property through CarnoSyn®, SR CarnoSyn®, and TriBsyn™ raw material sales, licensing, and royalty arrangements.
−3,2 %
7,2 %
−10,5 %
+14,1 %
2.06
1.19
| % | |
|---|---|
| Private-label contract manufacturing | 88% Manufacturing of finished nutritional supplement products for third-party brands under customer specifications. |
| Patent and trademark licensing | 12% Licensing and royalty income tied to the company's beta-alanine intellectual property and trademarks. |
The company sells primarily to private-label brands and distributors that market supplements and health products to end...
- Private-label supplement brandsprimary
Buy contract manufacturing for vitamins, minerals, herbs, and other nutritional supplements to sell under their own labels.
- Health care product marketersprimary
Outsource production and packaging of consumer health products where formulation quality and supply reliability matter.
- Beta-alanine ingredient buyerssecondary
Purchase CarnoSyn® or TriBsyn™ raw material for sports nutrition, wellness, healthy aging, and medical foods.
- Licensees and royalty partnerssecondary
Use the company's patents, trademarks, and trade names in exchange for licensing and royalty payments.
The company serves consumers both within and outside the U.S., but the filings provided do not disclose a country...
- •U.S. is the core market for contract manufacturing and ingredient sales
- •International sales are part of the customer base, but not separately disclosed
- •Swiss subsidiary in Manno supports manufacturing, warehousing, and distribution
- •Cross-border sourcing and shipping create tariff and supply chain exposure
- •Foreign exchange can affect reported results through the Swiss operation
Management is focused on diversifying away from a small customer base while improving utilization of its certified...
01
Customer diversificationshort-term
Reduces dependence on two or three large buyers and lowers order-timing volatility.
02
Beta-alanine commercializationmedium-term
Creates higher-margin IP-linked revenue streams beyond contract manufacturing.
03
Operational efficiencyshort-term
Better utilization and cost control can improve profitability in a low-margin manufacturing model.
The biggest company-specific risk is customer concentration, since a few private-label accounts can materially affect...
Tariffs and trade duties
The company says tariffs can affect its ability to adjust prices and forecast costs on time.
- Scope
- Imported ingredients and cross-border supply chains.
- Materiality
- medium
Geopolitical instability
Conflict in Ukraine and the Middle East may disrupt supply chains and energy prices.
- Scope
- Global sourcing, logistics, and market volatility.
- Materiality
- medium
Foreign exchange volatility
The Swiss subsidiary creates translation and transaction exposure.
- Scope
- Cross-border operations and non-U.S. activity.
- Materiality
- medium
Revenue recognition and volume rebates
Net revenue and gross margin
Quarterly seasonality and order timing
Comparability of quarterly results
Foreign currency translation
Reported earnings and equity
: 28.4.2026