Nov. 6, 2025
Weight loss products are a major part of Herbalife’s business, accounting for 55% of total sales for the first nine months of 2025.
According to Stephan Gratziani, CEO,… “Herbalife’s third-quarter performance reflects continued progress in our transformation strategy, as well as disciplined financial and operational execution. With North America returning to growth and adjusted EBITDA exceeding guidance, we are delivering on our commitments and building forward momentum.”
North America net sales increased by 1.0% year-over-year, marking the region’s first quarterly gain since Q2 ‘21
For the third quarter, three of the company’s five regions reported year-over-year growth in the number of new distributors joining Herbalife, led by North America, with a 17% increase. While the number of new distributors joining worldwide in the third quarter declined 2% year-over-year, they increased 11% on a two-year stack basis.
Herbalife’s North American sales were $263 million in Q3 2025, up by 1.0% from Q3 2024. North American sales accounted for 20.6% of total worldwide sales.
Year to date 9 month sales of weight management products for all regions were $2,061 million (down by 2.1% vs. 2024). If No. America represents 20.6% of sales, then estimated North American sales of weight management products was $424.6 million. At this rate, the full-year 2025 estimated sales are $566 million. This is virtually identical to the estimated 2024 sales of $567 million.
At this level of sales, Herbalife is now ranked as the second largest U.S. weight loss company, outpacing Medifast, and with Weight Watchers ranked #1 with projected sales of $700 million in 2025 (excluding the pharmaceutical firms Novo Nordisk and Eli Lilly, that sell GLP-1 drugs).
Conference Call Information
John DeSimone mentioned a shift towards healthy, active lifestyle products and targeted nutrition, with less focus on weight loss. However, the launch of Multiburn in the U.S. has brought some focus back to weight loss. Stephan Gratziani highlighted that subscription revenue is a significant part of Herbalife’s future strategy. Products like Multiburn and personalized formulations within the protocol app will be available for subscription, aligning with industry trends.
Management stated that: “If people want, they don’t want to go down the GLP-1 route, we want to give them a natural alternative, right? Thus, MultiBurn, as an example. If people want to go down the GLP-1 route, we want to be able to help them and make sure they’re getting the protein, they’re supporting their muscle mass, their bone density.”
…”We want to be there to accompany them down that road. If they’ve been on GLP-1s and now they want to transition off, and they do not want to just fall back into the same situation and gain the weight back, we want to be there on the off-ramp, supporting them to get on better nutrition, better lifestyle so they can have a sustainable result. That remains the way that we are approaching the GLP-1 in the marketplace.”
Commentary
Herbalife’s weight loss business has held up well so far in 2025. Sales in No. America were essentially flat at $566 million (Marketdata estimate for the year). However, this is very good when compared with the big declines for competitors such as Medifast and Weight Watchers, in view of strong GLP-1 drugs competition. The company is well diversified geographically and a program using Herbalife meal replacements and fat burners is less costly than competitors. The firm also has many established nutrition clubs and coaches (distributors) that don’t have to deal with medical weight loss drugs.
LEARN MORE: About The Commercial Weight Loss Market – Report by Marketdata LLC
Marketdata LLC has just published a new report: “The U.S. Weight Loss Market: Commercial (non-medical) Programs & Products”, March 2025. This is a 220-page analysis of commercial weight loss programs/companies and how they have been affected by and respond to the onslaught of the GLP-1 drugs competition.
The $38 billion U.S. commercial weight loss market is 15% larger than in 2020, but has had to pivot to adjust to huge competition from the popular GLP-1 drugs. The large commercial chains have been hurt the most since 2022. The business has gone virtual, and some competitors have added the GLP-1 drugs to their programs to position themselves for a new future.
However, some commercial markets have held up well. Diet soft drinks have shown surprising strength, and high protein meal replacements have been positioned as an adjunct to the weight loss drugs. The weight loss apps market is growing strongly. The ranks of commercial weight loss centers have been thinned, and franchising is all but dead as a growth model.
Some Report Findings::
- Marketdata estimates that the U.S. commercial (non-medical) weight loss market, for programs, products and services, was worth $38.4 billion in 2024, down slightly from $38.8 billion in 2022. Commercial services represent 53% of the $72.2 billion total market now, down from 82% in 2020, prior to the GLP-1 boom.
- The commercial weight loss programs market segment contracted by 29.2% in 2023, to $3.24 billion, and another 23.7% to $2.47 billion in 2024, due to competition from GLP-1s drugs. This amounts to a 56% decline in just two years.
- Commercial weight loss companies have lost $2 billion in revenues since 2022 due to the competition from GLP-1 drugs. Jeny Craig went bankrupt, Profile Plan closed, and NutriSystem’s private equity parent Wellful is having debt issues.
- The “average” weight loss center had annual receipts of $646,250 in 2022. But, sales have fallen since then, to $484,000 per center in 2024.
- There may be an opportunity for commercial weight loss firms to post some growth in the second half of 2025. The GLP-1s shortage is over, and the compounding pharmacies have to stop making these meds as of May 22. Consumers will then have to pay full price for the brand name meds. Many will opt for less costly (non-medical) diet programs.
- The business has gone virtual. Operating a retail, brick & mortar weight loss center or franchise has become too difficult in this era, with rising real estate and staff costs. Many businesses have pivoted to a virtual delivery model, which can be scaled larger and quicker, and is more profitable.
Purchase The Report:
The report’s description and Table of Contents are found at this website, see home page, Off The Shelf Market Reports, red link for Diet Market – Our Specialty, or contact us at 813-971-8080 and we’ll email them to you. The report contains 62 tables and charts. Price: $995. A 25-page, $99 Overview Summary report is also available.
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Included… dollar value & growth rates of all major commercial weight loss market segments (early 1980s to 2024 and 2025 & 2028 forecasts), latest market trends and company developments, status reports for: diet soft drinks, artificial sweeteners, commercial weight loss centers, multi-level marketing diet plans, retail and MLM meal replacements and weight loss supplements, and low-cal frozen entrees. Analysis of the medical weight loss programs market and competition from MDs, hospitals, medical clinic chains, and telehealth.
The report includes a 35-year revenue analysis of the market through past recessions and fad diet cycles, plus weight loss center franchising, and extensive national/state commercial centers’ operating ratios. Rankings & revenues of top commercial chains, brand sales, and a Reference Directory. Competitor profiles for: Weight Watchers, Jenny Craig, NutriSystem, Medifast, Herbalife, Noom, MyFitness Pal, Slim-Fast (Glanbia), Simply Good Foods (Atkins Nutritionals), Slimgenics, Profile by Sanford, BeachBody, Metabolic Research, Visalis Life Sciences, Isagenix, Shaklee, AMWAY (Quixtar), and Nu-Skin.