HERBALIFE LTD. (HLF) FY2025 10-K Annual Report
HERBALIFE LTD. (HLF) 10-K annual report for fiscal year 2025, filed with SEC EDGAR on Feb 18, 2026. This page provides AI-powered analysis including business overview, management discussion & analysis (MD&A), risk factors, and key financial data such as revenue, net income, gross margin, operating margin, and return on equity (ROE) extracted from XBRL.
HERBALIFE LTD. FY2025 10-K Analysis
Business Overview
- • Core business: Global health and wellness company using direct-selling model with independent Members distributing nutrition and lifestyle products in 95 markets
- • New products: Launched HL/Skin skincare line in Europe/Africa, Protein Gelato in Brazil, MultiBurn metabolic supplement and Life I/O™ healthy lifespan brand in North America
- • Strategic shift: Expanded targeted "daily consumption" models like Nutrition Clubs and Member-led wellness programs to increase customer engagement and loyalty
- • Quantitative metric: 6.4 million total Members worldwide with approx. 750,000 sales leaders as of Dec 31, 2025; 70.3% sales leader retention rate for 2026 re-qualification
- • Noteworthy fact: Unique China business model employing independent service providers due to regulatory restrictions on multi-level marketing, with tailored compensation system
Management Discussion & Analysis
- • Revenue $5,037.5M, up 0.9% YoY (+$44.4M); local currency sales up 2.5%
- • Operating margin 9.6% in 2025 vs 7.7% in 2024; net income $228.3M, down 10.2% YoY due to $132.2M higher income taxes
- • Best segment: Primary Reporting Segment net sales $4,758.4M (+1.3%), contribution margin 42.8%; worst: China net sales down 6.2% to $279.1M, contribution margin +1.6%
- • No explicit cash flow or capital allocation $ disclosed in excerpt; prior year included $10.5M loss on debt extinguishment
- • Management outlook highlights ongoing inflation, FX risk, geopolitical conflicts impacting costs/pricing; focus on Member tools, new product launches, and digital platform rollout (Pro2col) in 2026
Risk Factors
- • Regulatory risk: Compliance with FTC Consent Order, failure could materially harm business and financial results
- • Geopolitical risk: China market requires modified business model amid political and legal uncertainties
- • Supply chain risk: Dependence on manufacturing facilities and third-party suppliers for quality and timely product supply
- • Competitive risk: Competition from more resourceful direct-selling organizations and emerging weight management drug technologies
- • Financial risk: Obligations under convertible notes could dilute shares and depress share price upon conversion
HERBALIFE LTD. FY2025 Key Financial MetricsXBRL
Revenue
$5.0B
▲ +0.9% YoY
Net Income
$228M
▼ -10.2% YoY
Gross Margin
77.9%
▼ -1bp YoY
Operating Margin
9.5%
▲ +182bp YoY
Net Margin
4.5%
▼ -56bp YoY
ROE
-44.3%
▼ -1258bp YoY
Total Assets
$2.8B
▲ +2.1% YoY
EPS (Diluted)
$2.20
▼ -12.0% YoY
Operating Cash Flow
$333M
▲ +16.8% YoY
Source: XBRL data from HERBALIFE LTD. FY2025 10-K filing on SEC EDGAR. All figures in USD.
Get deeper insights on HERBALIFE LTD.
Access full AI analysis, insider trading data, fund holdings, and cross-signal detection on SignalX.