A previous version of this report misstated the FactSet consensus estimate for Herbalife’s second-quarter adjusted earnings per share.
Shares of Herbalife Nutrition Ltd. HLF,
were up 11% in after-hours trading Tuesday after the company easily topped expectations with its latest results. The company logged second-quarter net income of $86.5 million, or 88 cents a share, down from $144 million, or $1.31 a share, in the year-earlier quarter. On an adjusted basis, Herbalife earned 96 cents a share, down from $1.55 a share a year before, whereas analysts tracked by FactSet were modeling 61 a share. Net sales fell to $1.39 billion from $1.55 billion but ahead of the FactSet consensus, which was for $1.28 billion. Herbalife disclosed in a release that its “underlying business trends stabilized during the remainder of the 2nd quarter compared to April levels.” The company is maintaining its full-year net-sales forecast, which called for a 4% to 10% decline, but trimming its forecast for adjusted earnings per share “primarily due to unfavorable currency movement.” The new outlook calls for $3.25 to $3.75 in adjusted EPS, whereas the prior guidance called for $3.50 to $4.00. Chief Executive John Agwunobi continues to expect that the company will return to posting net-sales growth in the fourth quarter.
Credit: www.marketwatch.com /