Herbalife Ltd. late Monday reported adjusted first quarter earnings significantly better than Wall Street expected, raising its full-year profit forecast.
After the markets closed, the downtown Los Angeles nutritional products company reported net income of $118.9 million ($1.10 a share), 25 percent ( 22 cents) higher than in the same period a year earlier. Net sales rose 17 percent to $1.1 billion, with its fastest growth in the Asia Pacific and South/Central American regions
Excluding the impact of legal expenses and overseas currency fluctuations, Herbalife earned $1.27 a share. Analysts surveyed by FactSet on average expected adjusted net income of $1.07 a share on revenue of $1.11 billion.
Herbalife, which has been the target of battle between hedge-fund managers Bill Ackman and Carl Icahn over its multi-level marketing business model, said it expected to report full-year profit of $4.60 to $4.80 a share, compared with guidance of $4.45 to $4.65
Shares, which earlier closed up 48 cents, or 1 percent, to $38.75 on the New York Stock Exchange, fell 1 percent in after-hours trading.