Herbalife Ltd. Files 10-Q for Period Ending March 31, 2024

TL;DR

<b>Herbalife Ltd. has submitted its Q1 2024 10-Q filing, detailing financial performance and corporate activities.</b>

AI Summary

HERBALIFE LTD. (HLF) filed a Quarterly Report (10-Q) with the SEC on May 1, 2024. Herbalife Ltd. filed its quarterly report (10-Q) for the period ending March 31, 2024. The filing includes financial data and business updates for the first quarter of 2024. Key financial instruments mentioned include various senior notes and credit facilities. The company's fiscal year ends on December 31st. The filing references specific accounting standards and financial reporting periods.

Why It Matters

For investors and stakeholders tracking HERBALIFE LTD., this filing contains several important signals. This 10-Q filing provides investors with the latest financial snapshot of Herbalife Ltd., crucial for understanding its current operational health and strategic direction. The detailed financial instruments and accounting standards referenced offer insights into the company's debt structure, risk management, and compliance with financial regulations.

Risk Assessment

Risk Level: medium — HERBALIFE LTD. shows moderate risk based on this filing. The filing contains numerous references to specific financial instruments, debt due dates, and credit facilities, indicating a complex financial structure that warrants careful review.

Analyst Insight

Review the detailed financial statements and debt obligations within the 10-Q to assess Herbalife's financial stability and future borrowing capacity.

Key Numbers

• 2024-03-31 — Period End Date (CONFORMED PERIOD OF REPORT)
• 2024-05-01 — Filing Date (FILED AS OF DATE)
• 2024-06-30 — Maturity Date (hlf:TwoThousandAndTwentyFourRevolvingCreditFacilityMember)
• 2025-03-03 — Maturity Date (hlf:SeniorNotesTwoThousandTwentyFiveMember)
• 2029-01-06 — Maturity Date (hlf:FourPointEightSevenFivePercentageSeniorNotesDueTwoThousandAndTwentyNineMember)
• 2028-06-15 — Maturity Date (hlf:FourPointTwoFiveZeroPercentageConvertibleSeniorNotesDueTwoThousandTwentyEightMember)
• 2024-03-31 — Reporting Date (us-gaap:PrepaidExpensesAndOtherCurrentAssetsMember)
• 2023-03-31 — Period (us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember)

Key Players & Entities

• HERBALIFE LTD. (company) — FILER
• 0000950170-24-051335 (other) — ACCESSION NUMBER
• 20240331 (date) — CONFORMED PERIOD OF REPORT
• 20240501 (date) — FILED AS OF DATE
• HLF (company) — ticker symbol
• 10-Q (other) — FORM TYPE
• 1934 Act (regulator) — SEC ACT
• George Town (location) — CITY

FAQ

Industry Context

Herbalife operates in the direct selling industry, focusing on nutrition, weight management, and personal care products.

Regulatory Implications

The company is subject to SEC regulations for public filings, including quarterly reports (10-Q) and annual reports (10-K).

What Investors Should Do

1. Analyze the company's revenue streams and cost of sales for the reported quarter.
2. Examine the details of outstanding debt and credit facilities, including maturity dates and interest rates.
3. Review any disclosed risk factors or legal proceedings that could impact the company's operations.

Year-Over-Year Comparison

This is the initial 10-Q filing for the fiscal year 2024, providing the first quarterly update of the year.

Key Financial Figures

• $0.0005 — registered: Common Shares, par value $0.0005 per share HLF New York Stock Exchan

Filing Documents

• hlf-20240331.htm (10-Q) — 2174KB
• hlf-ex10_48.htm (EX-10.48) — 67KB
• hlf-ex10_49.htm (EX-10.49) — 59KB
• hlf-ex10_50.htm (EX-10.50) — 65KB
• hlf-ex10_51.htm (EX-10.51) — 58KB
• hlf-ex10_53.htm (EX-10.53) — 131KB
• hlf-ex31_1.htm (EX-31.1) — 9KB
• hlf-ex31_2.htm (EX-31.2) — 9KB
• hlf-ex32_1.htm (EX-32.1) — 4KB
• hlf-ex32_2.htm (EX-32.2) — 4KB
• 0000950170-24-051335.txt (&nbsp;) — 12289KB
• hlf-20240331.xsd (EX-101.SCH) — 1756KB
• hlf-20240331_htm.xml (XML) — 2366KB

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION Item 1.

Financial Statements

Financial Statements 3 Unaudited Condensed Consolidated Balance Sheets 3 Unaudited Condensed Consolidated Statements of Income 4 Unaudited Condensed Consolidated Statements of Comprehensive Income 5 Unaudited Condensed Consolidated Statements of Cash Flows 6 Notes to Unaudited Condensed Consolidated Financial Statements 7 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 34 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 52 Item 4.

Controls and Procedures

Controls and Procedures 54

OTHER INFORMATION

PART II. OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 57 Item 1A.

Risk Factors

Risk Factors 57 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 57 Item 3. Defaults Upon Senior Securities 57 Item 4. Mine Safety Disclosures 57 Item 5. Other Information 57 Item 6. Exhibits 57 2

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements HERBALIFE LTD. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) March 31, 2024 December 31, 2023 (in millions, except share and par value amounts) ASSETS Current assets: Cash and cash equivalents $ 398.3 $ 575.2 Receivables, net of allowance for doubtful accounts 87.9 81.2 Inventories 501.9 505.2 Prepaid expenses and other current assets 238.1 237.7 Total current assets 1,226.2 1,399.3 Property, plant, and equipment, at cost, net of accumulated depreciation and amortization 510.9 506.5 Operating lease right-of-use assets 179.1 185.8 Marketing-related intangibles and other intangible assets, net 313.6 314.0 Goodwill 93.9 95.4 Other assets 323.3 308.4 Total assets $ 2,647.0 $ 2,809.4 LIABILITIES AND SHAREHOLDERS' DEFICIT Current liabilities: Accounts payable $ 89.9 $ 84.0 Royalty overrides 313.3 343.4 Current portion of long-term debt 2.9 309.5 Other current liabilities 538.6 540.7 Total current liabilities 944.7 1,277.6 Long-term debt, net of current portion 2,405.0 2,252.9 Non-current operating lease liabilities 163.9 167.6 Other non-current liabilities 170.0 171.6 Total liabilities 3,683.6 3,869.7 Commitments and contingencies Shareholders' deficit: Common shares, $ 0.0005 par value; 2.0 billion shares authorized; 99.8 million (2024) and 99.2 million (2023) shares outstanding 0.1 0.1 Paid-in capital in excess of par value 244.2 233.9 Accumulated other comprehensive loss ( 242.9 ) ( 232.0 ) Accumulated deficit ( 1,038.0 ) ( 1,062.3 ) Total shareholders' deficit ( 1,036.6 ) ( 1,060.3 ) Total liabilities and shareholders' deficit $ 2,647.0 $ 2,809.4 See the accompanying notes to unaudited condensed consolidated financial statements. 3 HERBALIFE LTD. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF INCOME

View Full Filing

View this 10-Q filing on SEC EDGAR