Lifevantage Corporation · NASDAQ:LFVN
Lifevantage — Investor Presentation (November 2024)
48 slides from Lifevantage's investor presentation, November 2024
Slide 1: Investor Presentation
Investor Presentation MISSIO N: W E OF FER PEO PLE ARO UND TH E W OR LD A BETT ER PATH TO W ELLNESS AND A HEALT HY VIBRANT LIF E.
Slide 2: Forward Looking Statements
Forward Looking Statements S A F E H A RB OR S TA T E ME N T This presentation contains forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Words and expressions reflecting optimism, satisfaction or disappointment with curre
Slide 3: LifeVantage Fact Sheet
LifeVantage Fact Sheet NASDAQ Ticker LFVN Share price1 $14.44 Shares outstanding1 12.5 million Float1 9.9 million Market Capitalization1 $180.3 million Enterprise Value1 $165.7 million Average Daily Volume1 111,657 Fiscal 2024 Revenue $200.2 million Cash at Sept. 30, 2024 $14.6 million Fiscal 2024 A
Slide 4: LifeVantage At a Glance
LifeVantage At a Glance • Pioneer in Activation and nutrigenomics with patented, scientifically validated products that work with your unique biology and help your body make what it needs for health • Direct Sales industry-leader with sales force of over 47,000 active, independent Consultants • Over
Slide 5: The Activation Company
The Activation Company A C T I V A T I N G W E LL N E S S A RO U N D T HE W O RL D T H R O U GH DI R E C T S A LE S INVESTOR PRESENTATION 5
Slide 6: Optimal Position for Direct Sales Industry
Optimal Position for Direct Sales Industry A D D R E S S IN G T H E T WO L A R G E ST C AT E GO R IE S I N T H E L A R G E S T MA R K E T S INVESTOR PRESENTATION 6 See the Sales by Product Category Report here: https://heyzine.com/flip-book/WFDSASTATS2024#page/28
Slide 7: Activation Around the Globe
Activation Around the Globe L IF E V AN T AG E PE R C EN T A G E O F S A LE S B Y A R E A $167.7 Billion Industry* 2% Europe 78% USA, Canada, Puerto Rico, Mexico 20% Japan, Taiwan, Hong Kong, Singapore, Thailand, New Zealand, Australia, *Source: World Federation of Direct Philippines Selling Associa
Slide 8: The Activation Approach - Take It To Make It
Here’s a heading for this slide. This is the second line. THIS IS A SUB -HEADING The Activation Approach - Take It To Make It As the years go by, the toll of time, the environment, and daily choices add up. Most turn to supplements to fill the voids left by modern life. But the truth is, supplements
Slide 9: Protandim Nrf2 Antioxidants
TAKE IT Protandim Nrf2 ® MAKE IT Antioxidants Oxidative stress is a key contributor to the signs of aging, and Protandim Nrf2 Synergizer is the only supplement shown to reduce oxidative stress by 40% in just 30 days. Support your body’s own production of powerful antioxidants to fight the signs of a
Slide 10: Healthy Glow Essentials Antioxidants, Collagen
TAKE IT Healthy Glow Essentials MAKE IT Antioxidants, Collagen Life is hard on your body. You need antioxidants to fight stress, stay balanced and recover. You need collagen support because it's crucial and your body stops making enough in your early 20’s. Do nothing and let life and aging process t
Slide 11: MindBody GLP-1 System GLP-1
TAKE IT MindBody GLP-1 System MAKE IT GLP-1 This innovative, patent-pending System is clinically shown to naturally increase GLP-1 by an average of 140% as it balances hunger hormones—no injections or prescriptions required. Build better habits, achieve your ideal weight, and become a stronger, heal
Slide 12: Transformative, Patent-Pending Results
Transformative, Patent-Pending Results Participants in a 12-week human clinical study: • Increased GLP-1 by 140% on average Ω • Lost 9 lbs in 8 weeks on average and up to 25 lbs in 12 weeks‡ • 100% who lost weight did not lose muscle‡ • Lost up to 27% in visceral fat and 5% total body fat ‡ • 95% ha
Slide 13: A Natural Approach
A Natural Approach What is GLP-1? GLP-1 (Glucagon-like Peptide – 1) is a hormone produced naturally in the lower GI tract. It regulates appetite and blood sugar levels, while slowing down the rate at which food leaves the stomach. GLP-1 communicates with the brain along the brain-gut axis to promote
Slide 14: Understanding the Weight Loss Market
Understanding the Weight Loss Market G LP - 1 M AR KE T O VE R VI EW In recent years, drugs including those classified as semiglutides and tirzepatides, have not only changed the approach to diabetes treatments, but obesity and weight management as well. This broad class of drugs work by mimicking h
Slide 15: Stacks + Subscriptions for Health Synergies — Inside and Out
Stacks + Subscriptions for Health Synergies — Inside and Out We offer several product stacks designed for Subscription. Each provides a unique health solution by delivering activation synergies when the products are used together. Consumers save on products and see and feel even more benefits while
Slide 16: Modernized Compensation Plan Attracts Independent Business Owners
Modernized Compensation Plan Attracts Independent Business Owners Our new Evolve Compensation Plan helps Consultants activate financial wellness and evolve possibilities in their lives. They can choose to earn supplemental income solely through Customer sales or also by building a team of Consultant
Slide 17: Accelerating Growth
Accelerating Growth HISTORY & F OCU S FOR T HE FUT URE 17
Slide 18: Significant Progress with Key Strategic Initiatives
Significant Progress with Key Strategic Initiatives L E ADE RS HIP / P RODU CT / P LAT F ORM DE VE LOPM E NT / CA PIT A L ALLOC AT ION INVESTOR PRESENTATION 18
Slide 19: LV360 Growth Strategy
LV360 Growth Strategy DR IVIN G FU T URE M OM EN TU M W IT H E NHA NC EM EN T S T O EV ER Y A SP EC T OF OU R B US INES S We are laser-focused on increasing active monthly purchasers, enrolling new business builders and Customers, and retaining them longer. The key is ensuring every piece of our bus
Slide 20: #1 Product
#1 Product Attract and retain new consumers with exciting products that fit current industry trends, meet a true health need, and are socially shareable. Our activators are scientifically shown to be nutrigenomically active, and every product is designed with high- quality ingredients proven to prov
Slide 21: #2 Social
#2 Social Inspire a growing, engaged social community that encourages wellness enthusiasts to feel better, fuel their purpose, and celebrate what it means to live activated. LifeVantage shares performance- driven digital content that creates conversations and attracts and delights consumers with the
Slide 22: #3 Compensation
#3 Compensation Modernized Evolve Compensation Plan helps new Consultants earn faster, rewards them for any way they want to work, and gives them the flexibility to earn only on sales to Customers or also through building a team of Consultants. HIGH L IGHT S Fully redesigned Evolve Compensation Plan
Slide 23: #4 Consumer Experience
#4 Consumer Experience Build trust, create positive experiences, and provide compelling motivators for placing repeat orders. HIGH LIGHT S Created LifeVantage® Rewards Circle loyalty program in which Customers can earn credits to use for future orders when they order products on Subscription. Consul
Slide 24: #5 Digital
#5 Digital Create a connected, digital-first culture to enhance customer relationships and support the Consultant experience. HIGH LIGHT S Improved website experience and Shop by Solution functionality. Streamlined subscription and order management. Enhanced global LifeVantage App to help Consultant
Slide 25: #6 Activation Nation Community
#6 Activation Nation Community Grow the community of those positively impacted by LifeVantage through building our Activation Nation and by leaving a legacy of a better world for all. HIGH LIGHT S Increased number of events to 4 times per year – 2 virtual and 2 in-person—to help keep Consultants act
Slide 26: Financial Overview
Financial Overview INVESTOR PRESENTATION 26
Slide 27: Business Model
Business Model L I F EV AN T A GE (as % of revenue) FY 2021 FY 2022 FY 2023 FY 2024 Long-term Target Gross Margin 82.7% 81.5% 79.7% 79.3% 80.0% Commissions and Incentives 47.0% 47.1% 44.4% 42.9% 43.0% SG&A* 26.9% 30.7% 32.9% 31.3% 28.0% Operating Margin* 8.7% 3.7% 2.4% 5.0% 9.0% Adjusted EBITDA Marg
Slide 28: Revenues
Revenues Revenue (USD in thousands) $250,000 $200,000 • FY25 estimated revenue of $205 million is the $150,000 midpoint of $200–$210 million guidance range, an increase of 2.4% vs. FY24 $100,000 $50,000 $- 2022 2023 2024 2025E INVESTOR PRESENTATION 28
Slide 29: Revenues by Geography
Revenues by Geography Revenue (USD in thousands) $250,000 $200,000 $32,793 $38,618 $27,496 $32,083 $26,989 • Currently selling products in 20 countries $150,000 $36,810 • USA largest market at 73% in FY24 $100,000 • Japan next largest at 13% in FY24 $148,522 $145,679 $50,000 $130,932 • Approximately
Slide 30: Strong Balance Sheet
Strong Balance Sheet (USD in thousands) June 30, 2024 June 30, 2023 Cash and Cash Equivalents $ 16,886 $ 21,605 Inventory 15,055 16,073 • Debt Free Total Current Assets 37,646 44,284 Total Assets $ 60,299 $ 66,123 • $15.3MM in working capital at 6/30/24 • Clean Equity – one class of common shares ou
Slide 31: Robust Capital Allocation Priorities
Robust Capital Allocation Priorities One-Year Total Shareholder Return LifeVantage 96% C A S H F R OM O PERA TIO N S Peer Group Median Invest in Growth Return Value to Stockholders Russell 2000 • Dividends -60% -40% -20% 0% 20% 40% 60% 80% 100% 120% • Quarterly dividend of $0.04/share • Special divi
Slide 32: Fiscal 2024 Capital Allocation Summary
Fiscal 2o24 Capital Allocation Summary • Cash Flow From Operations: $12.2MM • Capital Expenditures: $2.2M • Free Cash Flow: $10.0MM • 339% of Net Income Converted to Free Cash Flow in Fiscal 2024 • 235% of Net Income Converted to Free Cash Flow over prior 3 Fiscal Years • Cash Returned to Shareholde
Slide 33: Summary
Summary LIF EVA NTAGE Well-positioned with on-trend, scientific products in a growing, global sales channel Continuous focus on product innovation, international market expansion, and positive experiences Subscription-based business model with strong cash flow and high incremental margins Modern bus
Slide 34: Management Team
Management Team INVESTOR PRESENTATION
Slide 35: Management Team
Carl Michelle Alissa Aure Oborn Neufeld CHIEF FINANCIAL OFFICER | 10 .26 .202 1 CHIEF PEOPLE OFFICER | 02 .20 .200 9 GENERAL COUNSEL | 03 .31 .202 1 Certified Public Accountant with more than 24 years of Has led Human Resources team through growth from a small Has served as legal counsel in roles at
Slide 36: Board of Directors
Board of Directors INVESTOR PRESENTATION
Slide 37: Board of Directors
Raymond Michael Gary Dayton Greer Beindorff Mauro Judd CHAIRMAN OF THE BOARD | S INC E 2 017 BOARD MEMBER | SINCE 2012 BOARD MEMBER | SINCE 2008 BOARD MEMBER | S INC E 2 024 Expert in international logistics, supply chain, and technology Experienced board advisor with wide-ranging experience across
Slide 38: LifeVantage Board of Directors
LifeVantage Board of Directors B O A RD O V E R V IE W Our Board is currently comprised of 8 individuals selected based on numerous criteria, including experience, education, achievements, knowledge, professionalism, integrity, and sound judgment. INVESTOR PRESENTATION
Slide 39: LifeVantage Board of Directors
LifeVantage Board of Directors B O A RD O V E R V IE W INVESTOR PRESENTATION
Slide 40: Scientific Advisory Board
Scientific Advisory Board INVESTOR PRESENTATION
Slide 41: Scientific Advisory Board
Dr. Brett Brimhall, DC D R. N EI L G OO DM A N, M D, D R. B RE TT B RI M HA LL, D C D R. N AN CY B RY AN , PH AR MD D R. M ELO DY R OD AR TE, DO FA AP , FAC PE D R. JE SSI CA B U HLE R, D C D R. SH A UN M CK EE , MD D R. SV ETA S IL VER MA N , MD SH ER EE G ILLA SP IE , NTP , MS Scientific Advisory
Slide 42: Appendix
Appendix INVESTOR PRESENTATION 42
Slide 43: Recent Operating Results Comparison
Recent Operating Results Comparison LIF EV AN TA GE CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) Year over Previous Sequential Sequential Most Recent Quarter Prior Year Period Year Quarter Change Change (In thousands, except per share data) Q1 of Fiscal 2025 Q1 of Fiscal 2024 % Q4 of
Slide 44: Historical Income Statements
Historical Income Statements LIF EV AN TA GE CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) Three Months ended Fiscal Year ended June 30, September, (In thousands, except per share data) 2022 2023 2024 2023 2024 Revenue, net $ 206,360 $ 213,398 $ 200,164 $ 51,364 $ 47,214 Cost of sales
Slide 45: Historical Balance Sheet and Cash Flows
Historical Balance Sheet and Cash Flows LIF EV AN TA GE SUMMARIZED BALANCE SHEET AND CASH FLOW METRICS As of June 30, As of September 30, (Unaudited, in thousands, except per share data) 2022 2023 2024 2023 2024 Cash and Cash Equivalents $ 20,190 $ 21,605 $ 16,886 $ 18,405 $ 14,596 Current Portion o
Slide 46: Non-GAAP Reconciliations
Non-GAAP Reconciliations LIF EV AN TA GE Adjusted Net Income Three Months ended (Unaudited, in thousands, except per share data) Fiscal Year ended June 30, September 30, 2022 2023 2024 2023 2024 GAAP net income $3,120 $2,540 $2,937 $629 $1,826 Adjustments: Executive team recruiting and transition ex
Slide 47: Non-GAAP Reconciliations
Non-GAAP Reconciliations LIF EV AN TA GE EBITDA and Adjusted EBITDA Three Months ended (Unaudited, in thousands) Fiscal Year ended June 30, September 30, 2022 2023 2024 2023 2024 GAAP net income $3,120 $2,540 $2,937 $629 $1,826 Interest (income) expense 10 (198) (430) (168) (59) Provision for income
Slide 48: Investor Presentation
Park gou INVESTOR PRESENTATION 48