Herbalife Ltd. Earnings Cheat Sheet: Double-Digit Growth Again

Herbalife Ltd. (NYSE:HLF) reported net income above Wall Street’s expectations for the third quarter. Herbalife is a marketing company that sells weight management, nutritional supplement, energy, sports and fitness products and personal care products.

Investing Insights: Here’s Why Chipotle’s Stock Keeps Winning.

Herbalife Earnings Cheat Sheet for the Third Quarter

Results: Net income for the drug company rose to $108 million (87 cents per share) vs. $75.7 million (64 cents per share) in the same quarter a year earlier. This marks a rise of 42.6% from the year earlier quarter.

Revenue: Rose 30% to $895.2 million from the year earlier quarter.

Actual vs. Wall St. Expectations: HLF beat the mean analyst estimate of 76 cents per share. It beat the average revenue estimate of $845.2 million.

Quoting Management: “Our business has never been stronger,” said Michael O. Johnson, the company’s chairman and CEO. “In the third quarter Herbalife saw the highest volume point growth rate of the past five years as we eclipsed the one-billion volume point mark for the first time in the company’s history.”

Key Stats:

The company has enjoyed double-digit year-over-year percentage revenue growth for the past five quarters. Over that span, the company has averaged growth of 23.6%, with the biggest boost coming in the most recent quarter when revenue rose 30% from the year earlier quarter.

The company has now seen net income rise in three straight quarters. In the second quarter, net income rose 35.7% and in the first quarter, the figure rose 68.8%.

The company has now topped analyst estimates for the last four quarters. It beat the mark by 13 cents in the second quarter, by 10 cents in the first quarter, and by 9 cents in the fourth quarter of the last fiscal year.

Looking Forward: The average estimate for the fourth quarter is steady at 74 cents a share. For the fiscal year, the average estimate has moved up from $2.91 a share to $3.08 over the last ninety days.

Competitors to Watch: Nu Skin Enterprises, Inc. (NYSE:NUS), USANA Health Sciences, Inc. (NASDAQ:USNA), Avon Products, Inc. (NYSE:AVP), Nature’s Sunshine Prod. (NASDAQ:NATR), The Estee Lauder Companies Inc. (NYSE:EL), Natural Health Trends Corp. (NHTC), Alberto-Culver Company (NYSE:ACV), Mannatech, Inc. (NASDAQ:MTEX), and Reliv International, Inc (NASDAQ:RELV).

Investing Insights: Here’s Why Chipotle’s Stock Keeps Winning.

(Source: Xignite Financials)