HERBALIFE LTD.
herbalife.comHerbalife Ltd (NYSE: HLF) is a nutrition products company that sells weight management, targeted nutrition, energy, sports, and outer nutrition products through a global network of independent Members. Revenue is generated by selling products at wholesale prices to Members, who then resell to end consumers or consume the products themselves. As of December 31, 2025, Herbalife had approximately 6.4 million total Members across its markets, including 3.1 million preferred members and 2.3 million distributors in segmented markets, plus 0.2 million sales representatives and independent service providers in China. The company's three largest markets are the United States, India, and Mexico. Herbalife competes against nutrition brands sold through direct selling, online retail, specialty retail, and mass merchandise channels. The company is incorporated under the laws of the Cayman Islands and operates under a Consent Order with the Federal Trade Commission governing its network marketing practices.
Products & Services
As of December 31, 2025, Herbalife sold 144 product types across categories including weight management (Formula 1 Healthy Meal, Herbal Tea Concentrate, Protein Drink Mix, Personalized Protein Powder, Total Control, Formula 2 Multivitamin Complex, Prolessa Duo, Protein Bars), targeted nutrition (Herbal Aloe Concentrate, Active Fiber Complex, Niteworks), energy and sports nutrition, and outer nutrition (skin and hair care). Products are science-backed nutritional supplements, meal replacements, and functional beverages.
Revenue Model
Herbalife sells products to Members at wholesale prices discounted up to 50% off suggested retail price. Members resell products to end consumers at retail prices, capturing the margin. Members who build sales organizations also earn royalty overrides, production bonuses, and other bonuses funded by the company. For FY2025, the company calculated Marketing Plan payouts using approximately 90% of suggested retail price as the basis on a weighted-average basis.
Customers & Markets
Herbalife's direct customers are its Members, segmented into preferred members (purchasing for household use) and distributors (reselling or building sales organizations). End consumers are individuals seeking weight management, fitness, and general wellness products. Key end markets include the obesity management, dietary supplement, and health and wellness categories. In China, customers include preferred customers served through independent service providers, sales representatives, and company-operated retail platforms.
Geographic Exposure
Herbalife operates globally. Its three largest markets as of FY2025 are the United States, India, and Mexico. In China, the company operates under a distinct business model compliant with Chinese direct selling regulations, holding direct selling licenses in 28 provinces and operating a company-owned retail store in Xinjiang province where a direct selling license is not held.
Source: SEC 10-K, filed 2026-02-18
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