Los Angeles-based Herbalife Ltd. announced its financial results for the second quarter ended September 30, 2017. The wellness company reported net sales of $1.1 billion, which represents a decline of 3.3 percent and 4.0 percent on an as-reported and constant currency basis, respectively, compared to the third quarter 2016.
“During this year of transition, we believe our performance has now stabilized and we are seeing improvements in trends,” said Rich Goudis, CEO of Herbalife. “By continuing to implement our strategic plan, we expect to build on the improving trends and return to growth in 2018.”
Net sales declined in four of the six regions: In North America, sales of $199.8 million were down 17.2 percent from Q3 2016, excluding foreign exchange impact. Sales were also down in Asia Pacific (0.5 percent), Mexico (3.8 percent) and China (2.0 percent). Sales were up in EMEA (2.0% percent) and South & Central America (1.5 percent).
Third quarter 2017 volume points of 1.3 billion declined 5.6 percent compared to the prior year period. On a reported basis, third quarter 2017 net income was $54.5 million, or 66 cents per diluted share, compared to third quarter 2016 net income of $87.7 million, or $1.01per diluted share.
For the full year 2017, the company is narrowing its 2017 reported and adjusted diluted EPS guidance to ranges of $3.90 to $4.10 and $4.42 to $4.62, respectively, from the previous ranges of $3.80 to $4.20 and $4.30 to $4.70, respectively.
For the full year 2018, the company is providing initial volume guidance in the range of 2 percent to 6 percent growth and initial full year 2018 GAAP diluted and adjusted diluted EPS guidance in the range of $3.82 to $4.22 and $4.60 to $5.00, respectively.
To read the full Herbalife Q3 2017 report, click here.