Herbalife International
May 2, 2023
LOS ANGELES, May 2, 2023 --
Herbalife Ltd. reported first-quarter 2023 net sales of 1.252 billion dollars, down 6.3 percent from a year earlier, or 2.6 percent in constant currency. Reported net income was 29.3 million dollars and adjusted EBITDA was 128.9 million dollars. Diluted EPS was 0.29 dollars, or 0.54 dollars on an adjusted basis, including an estimated 0.32 dollar currency headwind.
Transformation Program actions were expected to deliver about 35 million dollars of savings in 2023, with the company on track to exceed 70 million dollars of run-rate savings in 2024 and beyond. One-time pre-tax Transformation expenses of about 27 million dollars weighed on reported results. In April the company amended its Senior Secured Credit Facility to raise the gross leverage covenant to 4.50 through year-end 2023.
Chairman and chief executive Michael Johnson said the company was on a trajectory to see growth by year-end and was not providing guidance given macroeconomic uncertainty. Asia Pacific net sales rose 1.4 percent to 413.6 million dollars while China fell 35.9 percent to 67.7 million dollars.