Herbalife 34% in Brazil grows in 2013

Sales of American food products, Herbalife for weight loss, grew 34 percent in Brazil in 2013 compared to the previous year. The revenue was around $ 820 million last year, according to calculations made by the value based on balance sheet data presented by array in United States this week.
The strong growth, representing an acceleration compared to high of 20% in sales in reais recorded in 2012, was reached on account of external and internal factors, according to Jerry Okuhara, Chairman of Herbalife in Brazil. "With the increased income, people go out to eat, eat and gain weight," he says.
According to the Executive, the company's strategies have worked, with the expansion of the logistics fabric, investments in brand and the launch of Brazilian products. For 2014, Okuhara projects a growth not "as good as last year 's", but if shows optimistic.
The company started this year with a production capacity 50% higher than last year in Brazil, with outsourced manufacturers. The expectation is to have half the production made in the country this year. Four years ago, this percentage was 20%. The remainder is imported from the United States and Europe.
In 2013, the Herbalife has doubled the number of regional distribution centers, with new venues in Cajamar, Rio de Janeiro, Florianópolis and Recife. The direct selling company has also opened eight branches-places where resellers can choose to get the products-and now are 3:0 pm 14 States from all regions of the country. "We intend to continue the expansion in 2014 and be present in the vast majority of the States of Brazil. We have 10 more [branches] this year, "said Okuhara.
The strategy of expansion last year also included the entry into new categories, such as sports nutrition and drinks high in fiber, a new cosmetic line and local flavors of shake (powder drink that promises to control weight). Second Okuhara, this year's focus is to strengthen the categories where the company already operates. "We see great potential to develop in several regions of Brazil current products".
The shake is the flagship of Herbalife and accounts for 40% of sales. According to Euromonitor consulting, the company has 66% of the market of products for weight control that replace the meal in the country.
The Brazilian operation is one of the five largest in the group. In dollars, the subsidiary's revenue climbed 21% in 2013, impacted by currency fluctuations. Overall net revenue was $ 4.8 billion, up from 18 percent, and earnings grew 14 percent, to $ 527 million.