Herbalife (HLF) shares jumped 7.04% in after-hours trading on Wednesday following the release of its third-quarter earnings report for 2025. The nutritional supplement company's financial results exceeded expectations, driving investor optimism.
According to the report, Herbalife achieved net sales of $1.3 billion in Q3, representing a 2.7% increase year-over-year. When adjusted for currency fluctuations, the growth was even more impressive at 3.2%. The company's net income for the quarter reached $43.2 million, with adjusted earnings per share (EPS) of $0.50. Notably, North America saw a 1.0% year-over-year growth in net sales, marking its first quarterly gain since Q2 2021.
Herbalife also reported strong cash flow, with net cash provided by operating activities at $138.8 million. The company's financial position improved as it repaid $147.3 million of the remaining principal on its 2025 Notes, reducing its total leverage ratio to 2.8 times as of September 30, 2025. These positive financial indicators, coupled with a gross profit margin of 77.7%, likely contributed to the significant after-hours stock price increase as investors reacted favorably to the company's performance.