NEW YORK ( TheStreet) -- Shares of Herbalife (HLF - Get Report) surged in late trades on Monday after the Los Angeles marketer of weight management and nutrition products posted above-consensus quarterly profit and boosted its outlook for the rest of the year.
The company reported earnings of $111.2 million, or 88 cents a share, for the second quarter ended June 30 on revenue of $879.7 million, besting the average estimate of analysts polled by Thomson Reuters for a profit of 75 cents a share in the period on revenue of $829.4 million.
The stock was last quoted at $60.99, up 10%, on volume of nearly 150,000, according to Nasdaq.com. Based on a regular session close at $55.54, the shares were up more than 60% so far in 2011.
"We believe that we are just getting started," said Michael Johnson, the company's chairman and CEO, in a statement. "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 third quarter ending in September, Herbalife sees earnings of 71 to 76 cents a share with net sales growth ranging from 21-to-23% vs. Wall Street's current consensus estimate for a profit of 69 cents a share. It expects earnings of $2.97 to $3.07 a share with net sales growth of 22-to-24% for the full year vs. the average analysts' view for earnings of $2.91 a share. Wall Street was overwhelmingly positive on Herbalife ahead of the report with all nine analysts covering the stock rating it a strong buy, and the median 12-month price target at $65.50.