Herbalife Q3 tops views, company announces new CFO

/ / News

Shares of Herbalife Nutrition Ltd. rallied more than 6% in the extended session Thursday after the nutritional supplements company reported third-quarter profit and sales above Wall Street expectations. Herbalife said it earned $138.1 million, or $1.04 a share, in the quarter, compared with 58 cents a share in the year-ago quarter. Adjusted for one-time items, the company earned $1.15 a share, compared with 73 cents a share a year ago. Sales rose 22% to $1.52 billion, the company said, adding it was the largest quarterly sales result in its history. Analysts polled by FactSet had expected the company to report an adjusted profit of 88 cents a share on sales of $1.41 billion. Herbalife guided for fourth quarter and full-year 2020 sales growth between 10% and 20% and between 12.2% and 14.7%, respectively. An initial guidance for fiscal year 2021 sales growth put it in a range between 3% and 11%, the company said. Also for 2021, the company said it expects EPS between $3.50 and $4 and adjusted EPS between $3.65 and $4.15. In a separate press release, Herbalife said that its board of directors named Chief Financial Officer Bosco Chiu as the company’s first chief risk officer, effective Nov. 9. Alex Amezquita, senior VP of finance, has been named CFO. Both will report directly to the CEO and continue to serve on the Executive Committee.
Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.