On this page of StockholderLetter.com we present the latest annual shareholder letter from HERBALIFE LTD. — ticker symbol HLF. Reading current and past HLF letters to shareholders can bring important insights into the investment thesis.

To Our Shareholders, This year marks Herbalife s 45th anniversary. As we continue our journey to becoming the world s premier health and wellness company, community and platform, our impact on people s lives has been truly incredible. Herbalife operates in 95 markets worldwide. We offer science-backed, high-quality nutrition and skin care products, and a business opportunity through Herbalife Independent Distributors that generated $5.0 billion in net sales and $634.8 million in adjusted EBITDA in 2024. Our scale and reach globally puts us in a unique position for the future. That future is to become one of the world s most important health and wellness platforms, and I m honored to say that effort will be led by Stephan Gratziani, who will become the new CEO of Herbalife effective May 1, 2025. Since joining the company, Stephan has worked alongside our amazing team of distributor leaders and employees to implement innovative initiatives designed to support distributors and drive sales. In this year of transformation, we began by focusing on rebuilding and strengthening our distributor base. We re seeing early signs of success and believe the growth trajectory will continue. These successes are primarily driven by the multiple initiatives we ve put into place since the beginning of 2024 under Stephan s leadership, including expanding and elevating our distributor training and support through programs like the Herbalife Premier League, Diamond Development Mastermind, DMO masterclasses, and leadership training sessions with Eric Worre. Our 2024 Extravaganza training events continued to attract distributors from around the world. Overall event attendance across the globe was greater in 2024 than in 2023, further reflecting the demand and value these in-person events provide for development and networking. In 2025, we plan to host multi-city and multi-day events in select regions to accommodate the increased demand. This is why we continue to double-down on our people and our business model while other companies move away from multi-level marketing. We believe in our Herbalife global community, which is our strength and our differentiator. Product is another of our strengths and will continue to support the foundation of our business. In 2024, we launched innovative products around the world we believe resonate with local markets and reflect consumer trends and preferences. We will also continue to develop more sustainable packaging through initiatives that focus on the health of our planet, including the transition of Herbalife24 Rebuild Strength packaging from a plastic canister to a pouch format for the EMEA Region. This change reduced the amount of plastic we use, increased efficiency due to lighter shipping weight, and reduced our overall carbon footprint. This is part of our broader repackaging effort, which we will discuss more in 2025. Our products are what fuel our sponsored athletes, who continue to compete at the highest levels like the Summer Olympic and Paralympic Games, where we fueled 33 athletes and 7 teams this past summer. And, as the official jersey sponsor and nutrition partner of the Los Angeles Galaxy soccer team, we were proud to celebrate alongside them as they earned their 6th MLS Cup Title. We re also proud of our long-time commitment to female athletes and launched our Women In Sports campaign globally in conjunction with International Women s Day. The campaign is focused on inspiring and empowering the next generation of female athletes and health enthusiasts, celebrating and raising awareness of women in sports and their need for custom nutrition. These athletes are important brand ambassadors and a testament to the advanced nutrition delivered by our science-backed products. 1
From our global distributor community to our approximately 8,600 employees around the world, we all proudly represent Herbalife. Our strong leadership team includes the appointment of Rob Levy to President, Worldwide Markets. Throughout his 30-year Herbalife career, Rob has led each of our regions. He s also played a key role in the opening of more than 35 markets around the world and has been responsible for numerous corporate functions including our distributor-facing businesses, sales and marketing, and distributor operations. He s the right leader at the right time for our markets around the world. 2024 was a transformative year. Our net sales have stabilized, margins have significantly improved, and we are reducing debt quarter by quarter which has positioned us to deliver long-term shareholder value. It s a new chapter for Herbalife. Our incoming CEO, Stephan Gratziani has an exciting and unique vision for our future. A vision that merges our strong distributor network with cutting-edge health and wellness technology that will modernize our business and redefine direct selling. The opportunity it will provide for our distributors and customers is simply unprecedented. It s a vision I believe in and am excited to be part of as Executive Chairman, continuing my role on the board of directors, supporting our executive team, and focusing on shareholder value. Our future is truly bright, and we appreciate your continued support. Michael Johnson Chairman and Chief Executive Officer This letter includes forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are qualified in their entirety by cautionary statements and risk factor disclosures contained in the Company s Securities and Exchange Commission ( SEC ) filings, including the Company s Annual Report on Form 10-K filed with the SEC on February 19, 2025 and subsequent filings with the SEC. The Company wishes to caution readers that certain important factors may have affected and could in the future affect the Company s actual results and could cause the Company s actual results for subsequent periods to differ materially from those expressed in any forward-looking statements made by or on behalf of the Company. New risks emerge from time to time and it is not possible for management to predict all such risk factors or to assess the impact of such risks on the Company s business. Forward-looking statements in this letter speak only as of March 11, 2025. We do not undertake any obligation to update or release any revisions to any forward-looking statement or to report any events or circumstances after such date or to reflect the occurrence of unanticipated events, except as required by law. 2
 • shareholder letter icon 3/11/2025 Letter Continued (Full PDF)
 • stockholder letter icon 3/14/2023 HLF Stockholder Letter
 • stockholder letter icon 3/12/2024 HLF Stockholder Letter
 • stockholder letter icon More "Consumer Goods" Category Stockholder Letters
 • Benford's Law Stocks icon HLF Benford's Law Stock Score = 83


HLF Shareholder/Stockholder Letter Transcript:



To Our Shareholders,
This year marks Herbalife   s 45th anniversary. As we continue our journey to becoming the world   s premier
health and wellness company, community and platform, our impact on people   s lives has been truly incredible.
Herbalife operates in 95 markets worldwide. We offer science-backed, high-quality nutrition and skin care
products, and a business opportunity through Herbalife Independent Distributors that generated $5.0 billion
in net sales and $634.8 million in adjusted EBITDA in 2024.
Our scale and reach globally puts us in a unique position for the future. That future is to become one of
the world   s most important health and wellness platforms, and I   m honored to say that effort will be led by
Stephan Gratziani, who will become the new CEO of Herbalife effective May 1, 2025.
Since joining the company, Stephan has worked alongside our amazing team of distributor leaders and
employees to implement innovative initiatives designed to support distributors and drive sales. In this year of
transformation, we began by focusing on rebuilding and strengthening our distributor base. We   re seeing early
signs of success and believe the growth trajectory will continue.
These successes are primarily driven by the multiple initiatives we   ve put into place since the beginning of 2024
under Stephan   s leadership, including expanding and elevating our distributor training and support through
programs like the Herbalife Premier League, Diamond Development Mastermind, DMO masterclasses, and
leadership training sessions with Eric Worre.
Our 2024 Extravaganza training events continued to attract distributors from around the world. Overall event
attendance across the globe was greater in 2024 than in 2023, further reflecting the demand and value these
in-person events provide for development and networking. In 2025, we plan to host multi-city and multi-day
events in select regions to accommodate the increased demand.
This is why we continue to double-down on our people and our business model while other companies move
away from multi-level marketing. We believe in our Herbalife global community, which is our strength and
our differentiator.
Product is another of our strengths and will continue to support the foundation of our business. In 2024, we
launched innovative products around the world we believe resonate with local markets and reflect consumer
trends and preferences. We will also continue to develop more sustainable packaging through initiatives that
focus on the health of our planet, including the transition of Herbalife24 Rebuild Strength packaging from a
plastic canister to a pouch format for the EMEA Region. This change reduced the amount of plastic we use,
increased efficiency due to lighter shipping weight, and reduced our overall carbon footprint. This is part of
our broader repackaging effort, which we will discuss more in 2025.
Our products are what fuel our sponsored athletes, who continue to compete at the highest levels like the
Summer Olympic and Paralympic Games, where we fueled 33 athletes and 7 teams this past summer. And,
as the official jersey sponsor and nutrition partner of the Los Angeles Galaxy soccer team, we were proud to
celebrate alongside them as they earned their 6th MLS Cup Title.
We   re also proud of our long-time commitment to female athletes and launched our Women In Sports
campaign globally in conjunction with International Women   s Day. The campaign is focused on inspiring and
empowering the next generation of female athletes and health enthusiasts, celebrating and raising awareness
of women in sports and their need for custom nutrition.
These athletes are important brand ambassadors and a testament to the advanced nutrition delivered by our
science-backed products.
1

From our global distributor community to our approximately 8,600 employees around the world, we all proudly
represent Herbalife. Our strong leadership team includes the appointment of Rob Levy to President, Worldwide
Markets. Throughout his 30-year Herbalife career, Rob has led each of our regions. He   s also played a key role
in the opening of more than 35 markets around the world and has been responsible for numerous corporate
functions including our distributor-facing businesses, sales and marketing, and distributor operations. He   s the
right leader at the right time for our markets around the world.
2024 was a transformative year. Our net sales have stabilized, margins have significantly improved, and we are
reducing debt quarter by quarter which has positioned us to deliver long-term shareholder value.
It   s a new chapter for Herbalife. Our incoming CEO, Stephan Gratziani has an exciting and unique vision
for our future. A vision that merges our strong distributor network with cutting-edge health and wellness
technology that will modernize our business and redefine direct selling. The opportunity it will provide for
our distributors and customers is simply unprecedented.
It   s a vision I believe in and am excited to be part of as Executive Chairman, continuing my role on the board
of directors, supporting our executive team, and focusing on shareholder value.
Our future is truly bright, and we appreciate your continued support.
Michael Johnson
Chairman and Chief Executive Officer
This letter includes    forward-looking statements    within the meaning of the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995. These forward-looking statements are qualified in their entirety by
cautionary statements and risk factor disclosures contained in the Company   s Securities and Exchange Commission
(   SEC   ) filings, including the Company   s Annual Report on Form 10-K filed with the SEC on February 19, 2025
and subsequent filings with the SEC. The Company wishes to caution readers that certain important factors may
have affected and could in the future affect the Company   s actual results and could cause the Company   s actual
results for subsequent periods to differ materially from those expressed in any forward-looking statements made by
or on behalf of the Company. New risks emerge from time to time and it is not possible for management to predict
all such risk factors or to assess the impact of such risks on the Company   s business. Forward-looking statements in
this letter speak only as of March 11, 2025. We do not undertake any obligation to update or release any revisions to
any forward-looking statement or to report any events or circumstances after such date or to reflect the occurrence
of unanticipated events, except as required by law.
2



shareholder letter icon 3/11/2025 Letter Continued (Full PDF)
 

HLF Stockholder/Shareholder Letter (HERBALIFE LTD.) | www.StockholderLetter.com
Copyright © 2023 - 2025, All Rights Reserved

Nothing in StockholderLetter.com is intended to be investment advice, nor does it represent the opinion of, counsel from, or recommendations by BNK Invest Inc. or any of its affiliates, subsidiaries or partners. None of the information contained herein constitutes a recommendation that any particular security, portfolio, transaction, or investment strategy is suitable for any specific person. All viewers agree that under no circumstances will BNK Invest, Inc,. its subsidiaries, partners, officers, employees, affiliates, or agents be held liable for any loss or damage caused by your reliance on information obtained. By visiting, using or viewing this site, you agree to the following Full Disclaimer & Terms of Use and Privacy Policy.