Herbalife Ltd. Announces Record Second Quarter 2011 Results and Raises FY'11 Guidance

Second quarter net sales growth of 27.7 percent on volume growth of 17.1 percent.

LOS ANGELES, Aug 01, 2011 (BUSINESS WIRE) --

--Second quarter diluted EPS(1) of $0.88 increased 35.4 percent compared to the $0.65 diluted EPS from prior year period.

--Raises FY'11 EPS guidance to a range of $2.97 to $3.07.

--Board of directors approved a quarterly dividend of $0.20 per share.

Herbalife Ltd. (NYSE: HLF) today reported that second quarter net sales increased 27.7 percent and local currency net sales increased 19.9 percent compared to the same time period in 2010. Net income for the quarter of $111.2 million, or $0.88 per diluted share compares to 2010 second quarter net income and EPS of $82.2 million and $0.65, respectively.

"We believe that we are just getting started," said Michael O. Johnson, the company's chairman and CEO. "Eight consecutive quarters of growth in the average number of sales leaders ordering illustrates the engagement of the distributors and the strong foundation being built as Herbalife helps consumers tackle the global issues of obesity."

For the quarter ended June 30, 2011, the company generated cash flow from operations of $142.7 million, an increase of 71.5 percent compared to the second quarter 2010, paid dividends of $23.9 million, invested $16.1 million in capital expenditures and repurchased $98.8 million in common shares related to our share repurchase program.