Herbalife Reports Q1 2025 Financial Results with $1.22B in Net Sales and 107.4% Increase in Net Income

Herbalife Ltd. reported its financial results for the first quarter of 2025, revealing a net sales figure of $1,221.7 million, a decrease of 3.4% compared to $1,264.3 million in the same period of 2024. The decline was attributed to a 4.8% unfavorable impact from foreign currency fluctuations and a 2.3% decrease in sales volume, although this was partially offset by a 3.7% increase in prices. The company's net income for the quarter was $50.4 million, or $0.49 per diluted share, marking a significant increase of 107.4% from $24.3 million, or $0.24 per diluted share, in the prior year.

In terms of operational metrics, Herbalife's total current assets decreased to $1,094.0 million as of March 31, 2025, down from $1,143.7 million at the end of 2024. The company reported a total shareholders' deficit of $736.0 million, an improvement from $801.1 million at the end of the previous fiscal year. The number of common shares outstanding as of April 23, 2025, was 101,846,731. The company also noted a reduction in selling, general, and administrative expenses, which fell to $431.9 million from $492.2 million year-over-year, contributing to the increase in net income.

Strategically, Herbalife made significant moves during the quarter, including the acquisition of assets from Pruvit Ventures, Inc. for approximately $19 million, which will allow the company to distribute ketone supplements. Additionally, Herbalife acquired assets from Pro2col Health LLC, enhancing its digital health offerings. The company also formed a new subsidiary, HBL Link Bioscience LLC, acquiring assets from Link BioSciences for $6.5 million, further expanding its capabilities in personalized nutrition.

Geographically, the company reported varied performance across its regions. North America saw a 4.3% decline in net sales, while Latin America experienced a decrease of 3.5%. The EMEA region's sales fell by 1.7%, and the Asia Pacific region, excluding China, reported a 2.0% decline. In contrast, sales in China dropped significantly by 13.8%, reflecting ongoing challenges in that market. Looking ahead, Herbalife remains focused on enhancing its product offerings and Member engagement strategies, while navigating the impacts of global economic conditions, including inflation and foreign exchange fluctuations.