LFVN - Earnings call transcript Q1 2025

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Good day, ladies and gentlemen. Thank you for standing by. Welcome to today's conference call to discuss LifeVantage's first quarter of fiscal 2025 results. [Operator Instructions] Hosting today's conference will be Reed Anderson with ICR.

As a reminder, today's conference is being recorded.

turn over to Mr. like I'd the to call Now Anderson. Please sir. go ahead,

Reed Anderson

XXXX. to afternoon, the conference fiscal Good you. LifeVantage first and of for Thank results welcome Corporation's discuss call quarter to

prepared approximately On release, out remarks Chief the which Officer; Aure, everyone went By Carl X:XX this Time. Financial and from to should call LifeVantage have Executive are Fife, access p.m. President today Eastern Steven and Officer. now, at Chief afternoon with the earnings

is have available as www.lifevantage.com. available the call a not portion received LifeVantage's you is company's and well. it of release, If Relations on the webcast, website on the be Investor website This replay at will being

based make questions. and therefore, Before not remind we statements, that company's performance, to additional begin, These and and guarantee in not future should those of our reliance statements may everyone These expectations Risk forward-looking to Factors response statements would XX-K recently contain are statements prepared do be your LifeVantage's risks inherent current we involve section like most remarks the upon undue management filed placed uncertainties, forward-looking in and and the Forms on of XX-Q. identified them. including management

update release XX, be this forward-looking with operating only October on discussing financial ongoing Please may results XXXX. made non-GAAP Management basis. of contains information greater today's accurate from time-sensitive LifeVantage's non-GAAP broadcast, into a call. a operations, to as and obligation assumes will that results in transparency can included no call, period including projections more results also reconciliation of note when facilitate that these we of an measures date financial that during these period. today's today's be underlying to LifeVantage comparing release. adjusted call measures, or believes measures We've any This of complete the is particularly live analysis

the and of President turn Chief to Steven call LifeVantage. will I Officer Executive Now over Fife, the

Steven Fife

joining us today. Thank you and afternoon, good for Reed, Thanks, everyone.

It's MindBody for as amazing we just addressable expands solution. LifeVantage the been consumers and an searching effective, total incredible our an weight significantly launched the from an management System, our has targeting overwhelming. customers and product market, GLP-X sustainable time initial response at consultants evasion This

go quick deeper give to first delivered quarter, of results, let which our But MindBody, the generally again by me despite macro with markets. In which international before headwinds, first talking continued profitability you into our particularly about solid impacted lower revenues, in recap I are metrics in line a expectations. we be latest our

versus point EBITDA XX% a and margin to XXX adjusted first last quarter. X.X%, increased year, EBITDA last our adjusted was basis Our improvement compared year's

numbers Total as lower partially down customer and revenue an X%, consultant. revenue increase were by consultant in was offset per

overall consultants to consumer the new remains customers environment are encouraged product. While and response highly by challenging, the from strong we our

to build month very averages. overall product monthly Xx and a as bookings will us will be as And built in October approximately advance history. this for month was continue excitement launch, momentum XXXX our highest believe the September company's consultants in in are We recent strong of October unfolds. enrollments fiscal the the

including MindBody due axis gut-brain other excited body, GLP-X along gain, works balance concerns. supports blood our to that control can organs, is There's and GLP-X peptide liver to sugar. hunger cause among short health poor a many hormone This glucagon-like hormone the the about be the the good for age, lifestyle factors. and diet, weight stress heart, production the Like cravings, to several reason of System. and digestion health and declines of kidneys. GLP-X decline X, faults GLP-X other things in also

ingredients. activates NrfX, the using MindBody the production of our System activates GLP-X flagship product, production sourced GLP-X body, our in Protandim as naturally Just antioxidant new

essential this MindBody the feel. cellular this hormone. the we are innovative body at to the take activation With you make see helps production, truly are, health once restore level. your product impactful your something body this ability demonstrating addition results to own again, You and GLP-X can our our When System portfolio, GLP-X to dual help solution

also We to completed to X XXX% in included of well. Results XX-week up total weight XX% efficacy a but loss to did average decreased chose in trial participants X% in outstanding weeks. trial successful average evaluate human cravings in exciting now pounds up had relationship an the muscle, Participants had lose portions, this instead more as GLP-X fat. smaller qualitative an XX agreed their their levels and food. sugar felt visceral weeks Participants X reported data health and emotion, XX% and who the XX% from weight XX% decreased clinical results, pounds XX in MindBody. of Adding fat XXX% lost body. increase eat body XX% of control not the did of food with lose in for to of XX% cravings,

enhancing expression, to use a the body body's within allowing active GLP-X XX% vitro vitro revealed successful built the also more GLP-X reduction increase system L The the production ability which XX% increased of in to cell key receptors, activating clinical expression, in and The which upon a genes. results, GLP-X DPPX trial remain creation the in promotes study GLP-X. significantly by further GLP-XR found in GLP-X MindBody cells gene in

leading System Thanks deliver patent a The the is MindBody of made transformation. deliver. MindBody and GLP-X ensuring can MB only up our to is this and remains to consultants GLP-X X-part system, is total paired Core the that research, System that MB something Enhance, results of to LifeVantage results pending, innovation uniquely

MB cells. eggplant hunger reduces GLP-X once fullness bioflabinoids, gut-brain the as throughout Enhance consuming the specialized prebiotics, any minutes These XX% daily, provides Enhance L smoothies gut activate of supporting before through providing and beverages berberine, in lemon priming through combines resistant dietary daily flavor a creams, act consumed of axis. X fibers, Core and vanilla cells, light indirect directly calories. MB XX the capsules fibers fiber, blend of esperiden, day. emptying starches including large gastric potato and is that It that complements promoting hormones. and which activation in acacia, and ferment It tapioca, taken health, with MB L chromium other slows is a key intestine. the

work trendy of comprehensive wellness. management recap results. and Unlike weight provides traditional approach loss press cycle long-term earlier body the Our effective, yo-yo MindBody overall relationship changes of The designed. food. coming results weight provides healthier with emphasizes a methods, The all helped issued from sustainable these your a toxic today fads stop dieting, with and helping release lifestyle is and system exciting

event XX to in Kansas XX recent fell inventory inventory initial The and new City. shipped held October MindBody GLP-X overwhelming The within System hours, a our the Connect demand. to of was unveiled meet event additional at was the so Market on-site couple

System of Order now sold MindBody out. is

was about what our degree ago, of us We with and The product are collagen we on a many X future product product when saw stock introduced in continue be officially meaning first is level years couple when growth of demand weeks. backorder, customers we this of back are high liquid optimism in by both of orders potential. to multiples shipping consultants placed giving approximately a for

to the emphasizing latest to which take addition plan. for on enhancements the will November MindBody, offered commission EVOLVE consultants, market In and effect bonuses compensation new training business exclusive the X.

of LifeVantage. new consultant our allows outstanding the event the several including We and energizing excitement suggested also was feature further an generated joining a consultants a that experience, success, community. new creation card announced to shopping for significant The consultant improvements

increased new on simplicity out go Regarding and XXXX, to are sharing a simple live we purchase across to of Canada, earning bonus At consultant Australia, their potential other XX% Mexico consultants. the and heart Zealand, compensation of LifeVantage X, new earned will of sharing independent This bonus. commission, November when rolling EVOLVE the on is the European products. offer and the enhancements optimization These customers latest Japan, updates elements New is the markets. greater compensation U.S., for our your plan plan, enhancements this the top

new reimagined income early have consultants success. We to also help achieve accelerators

to of the standard are X bonus, instead first business, XX%. up the XX%, of During double consultants the their sharing to months eligible receive

bonus earn rank the Senior X. consultants key of reaching new Additionally, upon a milestone Consultant

a and them easier continue we the model focus entrepreneurs, enhancing making Finally, grow businesses. appeal for of their it for to operate to on including

wellness a response removes has partnered with to tremendous, holistic options. and including large recently barrier insurance The offer business. of to go partnership offer option looking to consultants. many health variety LifeVantage supplemental this a been offers on and Clearwater consultants health Clearwater LifeVantage this care, their that have plans, those all a share in for with major for expressing We medical, health

the into excited significantly loss. growing their for are launch we incredibly GLP-X will expands our be summary, MindBody and it and In new System, of It our of category businesses. the activation a LifeVantage's game story changer believe consultants weight about rapidly

financial continuing value our performance remain and significant strong also to We on focused long-term for drive shareholders.

over Officer, our to Aure, Now Chief first our let me Carl the turn Financial to financial quarter results. review call

Carl Aure

you, good everyone. Steve, Thank afternoon, and

our results. me you will Let results. non-GAAP adjusted note that Please discussing quarter financial be walk first I our through

the additional reconciliations non-GAAP press GAAP to refer details. can to today's You for in release

X.X% year-over-year approximately negatively was $XXX,XXX. by impacted First revenue quarter revenue and on $XX.X million, a down basis, currency foreign

revenue impact million was partially period. decrease due year Americas a of region accounts total in X.X% per in resulting in foreign negative changes charges. X.X% X.X% quarter, active Revenue to down shipping compared fluctuations, by the first revenue account, and quarter average product $XX.X higher currency prior to Excluding increased decreased the the offset the to approximately from mix in

in decreased impact Asia/Pacific fluctuations. primarily negative & XX.X% decrease driven XX.X% and to the total by foreign currency Revenue in million region active accounts exchange a in rate quarter, the Europe from our $XX.X

Excluding from to to in first Pacific as was are revenue and prior XX.X% Japan, period. Asia year foreign compared down primarily region which Europe the currency attributable negative the quarter our impact fluctuations,

XX.X% was margin in period. year first just quarter, the below XX.X% the slightly reported we the for prior Gross

able to percentages that margin gross were the maintain We are revenue. encouraged in we decrease despite

the savings our to to above back and opportunities continue incentive decreased million chain $X.X supply XX% focus margins year-over-year. quarter improve Commissions in cost gross our target. on across expense our We first identifying

and expense ago levels. in XX of programs. and to The versus percentage magnitude due changes various revenue, promotional decrease of a commission points the As mix, XX%, timing down incentive along sales was year was and with basis incentive our

XX.X%. as the $X.X Adjusted was to prior was year non-GAAP operating the million prior period in $XX.X $X.X adjusted XXX percentage income million adjusted in of with $XX.X expense income with Non-GAAP compared of lower million year non-GAAP SG&A was period. basis operating compared million revenue points a and

million rate income fully in effective We to which effective an income translates tax quarter prior $X.XX rate Adjusted in expense million in rate of $X.X period. tax prior year per approximately The $X.X impact share $X.XX current share $X.X non-GAAP million due first the was of quarter, increase to XX%. adjusted of effective the non-GAAP period in the per first or million in recorded the discrete $X.X net to year or income net diluted in diluted compared quarter of fully of the an our was XX% to the items. at compared

was the in our same revenues $X EBITDA quarter non-GAAP the press earnings the or release I Adjusted issued $X.X of period a this that from Please for X.X% that in discuss afternoon. million note compared today GAAP all first to X.X% adjustments ago. to reconciled of and million year are

totaled Our ago. $XX.X a the remains cash period Capital compared the quarter at expenditures year end and million no same strong, $X.X first in $X.X million the in position the to first financial debt of million with quarter. of

value drive We capital to to priorities on continue for stockholders. focus our allocation

approximately used to During repurchase approximately of million under shares the XXX,XXX the we stock quarter, stock in authorization. first $X common repurchase cash

As still million $XX.X September remaining authorization. the there is XX, of XXXX, under

have $XX aggregate. paid common be dividend or of of a share announced to The December value per million total $XXX,XXX quarterly stockholders in cash repurchases on record also Since the approximately approximately in the XXXX, as of stock stockholders we fiscal share December of X, and XXXX, XXXX. XX, our will through beginning dividends. We to dividend $X.XX of returned

our to outlook XXXX. for Turning fiscal

the early $XXX range We associated to and continue to $XXX to launch. anticipate of based closer range end be million success of product the GLP-X upper and the in the demand revenue million the MindBody on with our will full year

$X.XX non-GAAP adjusted expect per also of the range million $XX $X.XX range per million, to in with adjusted We non-GAAP to EBITDA in of share. earnings $XX share the

the are improve We to long-term reach continuing remain track low we margins of adjusted to digitsin on committed double; our believe and to EBITDA future. target well near our

Operator? that, with over turn let me questions. the call back the to And for operator

Operator

question Research. first Lane of Our Instructions] Tower Doug [Operator the line comes Water from with

Douglas Lane

inventory with already. from very MindBody afternoon, went sold of quarter. having obviously, remains guidance, here Carl, Good you everybody. out over just your which you the unchanged launch last successful had And a

So the process your very was what strong thought to in despite guidance the reception adjusting not MindBody?

Carl Aure

We that range script, mean, launch of to And made that the be we we're some we Doug, on the to I And believe at think thing did the that the -- Thanks, thought. really that we're definitely guidance. top weeks X for end allude the only in to comment of the in going we gave Yes. other question. I that is I the the had. in product MB do that

it And due still we But weeks. think but I where we we're we were a I that, we from point. XX, was -- we about think where talked range long-term the things that in at looked preliminary of product X And just and the out and at, uncertainty are some was a felt October MB. inventory getting on I about thought. still this with through highly situation, stock that and we've launched optimistic that appropriate back just just of are stock-out think and as to there's the success within

Douglas Lane

enough. early fair still That's is days. It

mean I teasing but is obviously done So job and a -- good out promoting situation that and have, now problem launching. this you are product you've a with a is good for stock dealing a to

what stock you into the think of will a do impact consultants? so your be among quickly So moving situation

Steven Fife

excitement months. In available, have of just September in Yes. was virtually because that product, even the around so back our the We product that of it before of proof not enrollments the of we kind here I several of doubled think if terms look out -- -- I previous activity. over a our September quickly selling this

product. kind pictures the about people August, after of and of And and XXth XX again, to They had of stories. the they since trial then was we their had group that product really our advance that and taking drove -- that was were in access And and group. of building what were the a before

in there, product you drove weeks X excitement able And out. the XX, and those were And around fast later, And an out see the it. launch September, there October to stories the amazing we've forward launch. started the around have getting we you were excitement sold and to

comes next there's able consultants And slowing And the talking our now just consultant build are weeks the And I my not our stories group they and will no thousands now to is think looking people several that that there's the mind, there's way in indication anyone XX, product of people personal their have really about now it, but people. product. enrolling over at leadership to from down be the product to right until the in. of is in and terms access

going going it way product it, to the access subscription that communicated to get people are we've first be signed the we be the on are into up now when inventory. And to it's to do once product a those get ones comes

product. the still excitement around there's So

in have, We said, than I about people like did more we it thousands September. talking

excitement. going to that really remain optimistic continue it's to So I still build the

with they in them -- I I our embraced had But this, product, demand that the inventory? terms this see has well be. the we really pleased field Now as I'm can and Absolutely. really and how of it's think do encouraged wish what for

Douglas Lane

monthly I geared subscription. there No, what event is? the excitement And was a price Yes. be product in going the for of lot it's of to did that mention you assume for the sure.

Steven Fife

we've in customer patent is. our It because X-part our And really are efficacy it's the our We -- filed for critical the that of them sell all products system. based human studies, tandem. sell a only We price the at clinical and of X a that's is X customer for XX, that's retail And our combination X for a and XX. supply. the X XX. it's consultants, it's price, the on X products. of subscription, the And a XX-day At for products, those

Douglas Lane

you the Got in the And for Right, month this yet? clarify Kansas can this in it. then are And supply. markets City U.S.? at the in was plans outside is event. the launch What U.S. product launching the Canada the

Steven Fife

on they can basis, it in not in are is for Canada Canada. for -- resale personal Nfr so It consumption purchase

And throughout the consumption, purchase Zealand throughout and do Not seeing to large quantities, on again, world personal right trying where actually also get some people they're -- start jump Australia a and just product. we person can world, the the of for product buying it, especially New program We have but any in we're now. see a that.

XXXX April but our couple but longer of regulatory And most it's to to have time international March, launch know next markets kind be the year on going of most will be launch, that most than dependent of in the of of in where March, really -- approval, in targeting launching frame. of we're the our countries countries April of regulatory that, time countries. there's a our will time We our frame

Operator

are I'd call further time. this pass to There to closing at over questions back remarks. the like no for Steve

Steven Fife

Thank you, today. joining us operator, and thank you for

our I conclude, appreciation to we and As my want committed extend outstanding stockholders customer. independent faithful consultants, employees, to

about system This for for innovation their incredibly expands drive solution. effect GLP-X potential of searching that market. sustainable excited an to in we significant are empowers as our management creation MindBody edge the total future response significantly a and overall of strength growth individuals our addressable weight and along the new We distinctive business that amazing has leverage model own it with believe targeting the customers, competitive We to terms. our establish value the businesses platform, on is the

January. results look you at forward QX to Thanks end again with the updating for of Thanks, we joining us, our and everyone.

Operator

This teleconference. concludes today's

Thank this your for participation. lines your time. disconnect you may You at

LifeVantage (LFVN) 29 Oct 242025 Q1 Earnings call transcript