Herbalife Shares Sink After Solid Q3

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Herbalife Ltd. has reported an 83 percent spike in third-quarter earnings, beating Wall Street forecasts.


Herbalife late Tuesday reported third-quarter net income of $48 million (67 cents per share), compared with $26 million (36 cents) from the same period a year earlier, beating analysts’ expectations of 64 cents per share, according to Thomson Financial.


Sales for the Los Angeles-based supplement and health food retailer grew 11 percent to $529 million, also beating Wall Street’s predictions of $521 million. The surge was thanks in large part to a 5 percent hike in sales in Europe, the Middle East and Africa.


Herbalife said double-digit sales growth in the U.S., Taiwan and China also offset declines in other regions. Revenue surged 20 percent in the U.S., 24 percent in Taiwan and 89 percent in China.


Shares in Herbalife fell 3.7 percent to $37.90 in afternoon trading Wednesday on the New York Stock Exchange.

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