Herbalife Q2 Earnings Call Highlights

Herbalife NYSE: HLF reported second-quarter net sales of $1.3 billion, up 5.4% from a year earlier and at the high end of its guidance range, as the nutrition company recorded its fourth consecutive quarter of year-over-year sales growth.

On a constant-currency basis, net sales rose 5.8%, exceeding the company’s outlook. Adjusted EBITDA was $167 million, also near the top of Herbalife’s guided range of $150 million to $170 million.

Chief Executive Officer Stephan Gratziani said the quarter reflected progress in turning the company’s investments in technology, product development and distributor capabilities into execution. He emphasized Herbalife’s strategy to expand its presence in personalized nutrition, combining digital tools, biomarker data, individualized products and distributor-led customer support.

Three of Herbalife’s five regions posted year-over-year net sales growth on both a reported and constant-currency basis. Asia Pacific was a major contributor, with reported sales increasing 15% and constant-currency sales rising 23%. India posted reported sales growth of 33% and constant-currency growth of 47%, driven by a 45% increase in volume and favorable sales mix. Latin America recorded its fourth consecutive quarter of double-digit reported growth, with sales up 17%. Constant-currency sales in the region rose 8%, supported by pricing, sales mix and approximately 2% volume growth. Mexico’s reported sales rose 17%, while local-currency sales increased 5%. North America returned to growth, with sales increasing 20% year over year, though management described the increase as nominal. The result reflected higher pricing, partly offset by a 2% volume decline. Chief Financial Officer John DeSimone said distributor productivity has increased in North America, including at nutrition clubs.

Meanwhile, Europe, Middle East and Africa sales declined 3.5% on a reported basis and 5.6% in constant currency, reflecting a 12% volume decline. China, which Herbalife said represented less than 5% of worldwide sales, posted a 25% reported decline and a 29% constant-currency decline, primarily due to lower volume.

Gratziani highlighted the June European launch and July U.S. launch of Bioniq GO, a personalized daily supplement introduced following Herbalife’s April acquisition of Bioniq. Customers complete a digital wellness assessment and are matched with one of 40 supplement formulas based on their wellness profile and goals. The product debuted across 11 markets in Europe and Africa, with further market launches planned in the second half of 2026. Herbalife also continues to expand beta testing of Pro2col, its personalized hea...