Abstract
Herbalife will report second-quarter 2026 results on August 05, 2026 Post Market, with investors watching revenue resilience, margin trends, and earnings per share momentum against the company’s internal forecasts and recent execution.
Market Forecast
Consensus for the current quarter points to revenue of 1.31 billion US dollars, adjusted EPS of 0.54, and EBIT of 127.88 million US dollars; the year-over-year changes implied by these forecasts are revenue up 2.87%, EPS up 40.13%, and EBIT down 1.85%. The company’s last report also implies attention on maintaining a gross profit margin near the high-70% range and a net profit margin in the mid-single digits; if achieved, this would support year-over-year earnings growth this quarter. Product mix remains centered on Weight Management, Targeted Nutrition, and Energy, Sports and Fitness, with the largest growth opportunity focused on higher-engagement wellness and fitness offerings that can lift average order values and retention metrics.
The most promising segment is Energy, Sports and Fitness, which generated 165.20 million US dollars last quarter and benefits from sustained demand for performance nutrition and active-lifestyle products; the business is positioned to outgrow the consolidated average if demand and distributor productivity hold.
Last Quarter Review
In the previous quarter, Herbalife delivered revenue of 1.32 billion US dollars, a gross profit margin of 77.90%, GAAP net profit attributable to shareholders of 61.90 million US dollars, a net profit margin of 4.70%, and adjusted EPS of 0.64, with year-over-year growth in revenue of 7.82% and adjusted EPS of 8.48%. Distributor engagement and pricing discipline helped the company surpass top-line expectations and produce double-digit EBIT growth, while maintaining a robust gross margin profile.
Weight Management led core sales at 700.90 million US dollars, Targeted Nutrition contributed 406.90 million US dollars, and Energy, Sports and Fitness reached 165.20 million US dollars, highlighting a balanced revenue base skewed toward customer programs designed for weight goals and daily wellness.
Current Quarter Outlook
Main business trajectory
Management’s forecast for the current quarter calls for revenue of 1.31 billion US dollars and adjusted EPS of 0.54, indicating a modest top-line expansion of 2.87% year over year and an acceleration in per-share earnings driven by cost structure improvements and mix. Gross margin performance near the high-70% level is pivotal, as price and mix must offset inflationary headwinds in logistics and packaging to support EBIT stability. Given last quarter’s net profit margin of 4.70%, modest operating leverage could sustain or slightly expand margin if volume growth in core programs and continued pricing carry through the period.
Most promising business catalyst
Energy, Sports and Fitness remains well positioned to contribute incremental growth on the back of broader consumer adoption of performance supplements and convenience formats tied to active routines. The 165.20 million US dollars revenue base last quarter offers room for expansion if product innovation cycles and digital engagement improve order frequency per active customer. Cross-selling from Weight Management funnels, bundles that include hydration or recovery products, and targeted promotions could widen baskets, offering a route to outpacing consolidated growth.
Key stock price drivers this quarter
Investors are most sensitive to the durability of revenue growth and the translation into EPS, where the forecast implies strong year-over-year expansion despite a slight decline in EBIT. Execution on distributor productivity and customer acquisition costs will determine whether the EPS uplift comes from sustainable operating leverage or temporary expense timing. Margin commentary will be closely parsed for signs that gross margin can remain around the high-70% level while marketing and technology investments support demand without compressing operating margins.
Analyst Opinions
Analyst commentary collected in recent months tilts cautiously positive, with a majority looking for modest revenue growth and EPS improvement as Herbalife focuses on disciplined pricing, product mix, and operating cost controls. Positive views highlight stable distributor trends and the potential for Energy, Sports and Fitness to benefit from ongoing wellness adoption, while acknowledging that EBIT could be pressured if investment levels step up; the prevailing thesis is that EPS growth can outpace revenue on efficiency gains. The constructive camp expects management to reiterate the path toward incremental margin improvement and to emphasize balanced growth across Weight Management and Targeted Nutrition, with Energy, Sports and Fitness positioned as an incremental tailwind if execution stays consistent.Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
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