Herbalife Nutrition Ltd. released its financial results for the second quarter of 2022, including net sales of $1.4 billion, a 10.3% decrease from the previous year’s quarter. Diluted EPS for the quarter of $0.88 and adjusted diluted EPS of $0.96 were down to $1.31 and $1.55 respectively from the same quarter in 2021. Net income during the quarter reached $86.5 million with an adjusted EBITDA of $195.4 million, a total that exceeded the company’s guidance range of $135-$155 million.
“We are pleased to announce our Q2 performance exceeded our guidance on both top and bottom lines, and we continue to project a return to net sales growth in the fourth quarter,” said John Agwunobi, Chairman and CEO of Herbalife Nutrition.
The company is now reaffirming its full year 2022 guidance for net sales and adjusted EBITDA and is lowering its adjusted diluted full year 2022 EPS guidance, which the company attributes to an unfavorable currency movement.
“Net sales growth remains our top priority, so we are encouraged to see that compared to April, our key performance indicators have stabilized,” Agwunobi said. “We are pleased to see our cost control measures are beginning to generate sequential margin improvement. With significant pricing actions implemented in June, the company will closely monitor any demand elasticity impact as well as the effect of the broader macroeconomic conditions on the performance of the business. Additionally, I am inspired by the leadership and enthusiasm I have witnessed from our distributors at the in-person events I attended.”