Herbalife Ltd. (HLF) stock surged 26.16% in the pre-market session on Thursday, driven by the company's impressive fourth-quarter 2024 financial performance and upbeat outlook for 2025, coupled with a leadership transition.

The nutritional products firm reported better-than-expected Q4 results, with net sales of $1.21 billion exceeding analysts' estimates. Adjusted profit of $0.36 per share also surpassed expectations, fueled by pricing benefits, manufacturing efficiencies, and cost-saving initiatives. For the full year, Herbalife delivered net sales growth of 1.2% on a constant currency basis and a 140-basis-point improvement in adjusted EBITDA margin.

Additionally, Herbalife announced a leadership transition, with Stephan Gratziani, a former distributor and the company's current President, being appointed as the new Chief Executive Officer (CEO) effective May 1, 2025. Michael Johnson, the outgoing CEO, will transition to the role of Executive Chairman.

Looking ahead, the company provided an optimistic outlook for 2025, projecting net sales growth of 1% to 7% on a constant currency basis and adjusted EBITDA in the range of $670 million to $710 million. Herbalife's transformative digital strategy and robust initiatives to support distributors are expected to drive growth and enhance the company's position as a premier health and wellness platform.