Herbalife Ltd. on Tuesday reported a 10 percent rise in fourth quarter profit and raised its guidance based on strong sales of its weight loss products.
After the markets closed, the downtown Los Angeles nutritional supplement company reported net income of more than $123 million ($1.15 a share), compared with $112`million ($1) in the same period a year earlier. Revenue rose 20 percent to $1.3 billion.
Excluding expenses related to a re-audit of financial statements and other items, adjusted net income was $1.28 a share. Analysts surveyed by Thomson Reuters on average were expecting adjusted net income of $1.25 a share on revenue of $1.25 billion.
Herbalife, which sells products through a network of independent distributors, raised its outlook for the current quarter and year. The company said it expects to earn between $5.85 and $6.05 a share this year, moving the range within the Wall Street consensus forecast $5.87 a share.
Shares had closed up $2.54, or 4 percent, to $68.93 on the New York Stock Exchange, then fell 1.5 percent in after-hours trading.