Shares of Herbalife (NYSE: HLF) plummeted 31.7% on Thursday after the dietary supplement specialist badly missed earnings expectations with its latest quarter.

Herbalife's fourth-quarter 2023 net sales grew 2.5% year over year (2.9% at constant currency) to $1.215 billion, while its adjusted (non-GAAP) earnings declined 47.2% over the same period to $0.28 per share. Analysts, on average, were expecting significantly higher earnings of $0.39 per share on revenue of $1.19 billion.

Herbalife is in the middle of a "transformation program" aimed at optimizing the company's cost structure and business processes while bolstering revenue growth. Management indicated it delivered roughly $70 million of cost savings through the program in 2023, and now expects to deliver total program run-rate savings of at least $115 million in 2024.

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Source Fool.com