Herbalife Q2 adjusted EPS misses estimates on FX headwinds

Herbalife

05/08/2026 21:20

Overview
Nutrition products seller's Q2 net sales rose 5.4% yr/yr, beating analyst expectations
Adjusted EBITDA for Q2 beat analyst expectations
Company to transition CFO at year-end, with Scott Schaefer named successor

Outlook
Herbalife sees Q3 net sales up 0.5% to 4.5% YoY, adjusted EBITDA of $160 mln to $180 mln
Company narrows 2026 adjusted EBITDA guidance to $670 mln to $690 mln, citing FX headwinds
Herbalife expects 2026 capital expenditures of $50 mln to $70 mln and SaaS costs of $35 mln to $55 mln

Result Drivers
NEW PRODUCT LAUNCHES - Co said the launch of Bioniq GO and other new products in Europe and the U.S. contributed to topline growth
REGIONAL PERFORMANCE - Strong sales growth in Asia Pacific and Latin America offset declines in EMEA and China
FX HEADWINDS - Co said foreign exchange negatively impacted reported net sales and adjusted EBITDA
GROSS MARGIN PRESSURE - Gross profit margin declined due to sales mix, higher costs, and inventory write-downs, partly offset by pricing benefits

Company press release: ID:nBwb3G53ta

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Sales
Beat
$1.33 bln
$1.31 bln (3 Analysts)
Q2 Adjusted EPS
Miss
$0.51
$0.54 (2 Analysts)
Q2 Loss Per Share
 
$0.25
 
Q2 Net Loss
 
$26.30 mln
 
Q2 Adjusted EBITDA
Beat
$166.60 mln
$158.98 mln (3 Analysts)
*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", no "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the food processing peer group is "buy"
Wall Street's median 12-month price target for Herbalife Ltd is $21.00, about 64.1% above its August 4 closing price of $12.80
The stock recently traded at 5 times the next 12-month earnings vs. a P/E of 6 three months ago

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For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)