Lifevantage Corporation · NASDAQ:LFVN
Lifevantage — Accredited Members Summer 2011 Investment Research Conference
23 slides from Lifevantage's conference presentation, Jun 13, 2011
Slide 1: LifeVantage Corporation Investor Presentation
Life Vantage Corporation investor Presentation Accredited Members Summer 2011 Investment Research Conference June 13, 2011
Slide 2: Forward Looking Statements
Forward Looking Statements 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 current prospects, as well as words suc
Slide 3: Management Presenters
Management Presenters Douglas C. Robinson President & Chief Executive Officer Carrie McQueen Chief Financial Officer Brooks Hybertson Scientific Advisory Board
Slide 4: Company Snapshot
Company Snapshot Ticker (OTCBB) LFVN Stock Price (as of 6/10/11) $1.52 Shares Outstanding (as of 6/8/11) 85 Million Equity Market Cap (as of 6/10/11) $120 Million FY11 9 Mo. Revenue $23.9 Million (241% y/y increase) FY11 9 Mo. Operating Income $1.7 Million FY11 9 Mo. Cash Flow $2.4 Million Fiscal Ye
Slide 5: Who We Are
Who We Are LifeVantage is a nutraceutical production and distribution company that offers unique, science-based products in the rapidly growing sales channel for dietary supplements Flagship product, Protandim ® , backed by patents, considerable research, and peer-reviewed studies LifeVantage TrueSc
Slide 6: Investment Highlights
Investment Highlights > Products Backed by Science • Supported by multiple independent studies conducted by universities > Significant Market Opportunity Increased consumer awareness about diet and health Large and expanding nutraceutical market > International Presence Products sold in the U.S., Ja
Slide 7: Strong Management
Strong Management Douglas C. Robinson President & CEO WorkWell Systems; UnitedHealth Group; Deloitte Consulting; PricewaterhouseCoopers Carrie E. McQueen CFO Qthink, Inc.; Genelux Corporation; ADVENTRX Pharmaceuticals, Inc.; Singlefin, Inc.; V-Enable, Inc., Websense, Inc. Joe M. McCord, Ph.D. Chief
Slide 8: Large, Growing Market
Large, Growing Market • Supplement Market In the US, supplement industry generated $26.9 billion in sales in 2009 and an estimated $ • 28.7 billion in 2010( 1 ) Projected to grow at an average annual rate of approximately 5.3% through 2015( 1 ) The Anti-Aging Market > Over $100 billion per year is s
Slide 9: Our Challenge
Our Challenge... “... Aging is really not about preventing disease; getting rid of heart disease and cancer gains us less than a decade of life. Rather we need to slow the rate of aging to avoid the frailty that would make longevity less desirable.” Dr. Mehmet Oz Vice-Chair and Professor of Surgery,
Slide 10: Oxidative Stress
Oxidative Stress Cellular & tissue damage caused by chemically reactive oxygen radicals (ROS) formed as a natural consequence of cellular metabolism Widely believed to be a key factor in aging process by triggering premature cell death As body ages, the body’s defenses against oxidative stress and f
Slide 11: Our Scientific Breakthrough
Our Scientific Breakthrough LifeVantage has a scientifically demonstrated breakthrough to help combat oxidative stress
Slide 12: Protandim, the Nrf2 Synergizer Dietary Supplement
Protandim ® , the Nfr2 Synergizer™ Dietary Supplement > What is Protandim ® ? Unique, patented blend of phytonutrients Protandim ® activates a signaling molecule called Nrf2, which upregulates genes encoding antioxidant enzymes, anti-inflammatory genes, and antifibrosis genes (the “survival genes”)
Slide 13: Protandim — Academic Confirmation
• Protandim ® — Academic Confirmation >The Protandim ® breakthrough study has spawned many additional independent studies using Protandim ® • Universities and institutions conducting research include: University of Colorado Harvard University Children’s Hospital, Denver VU University, Amsterdam, the
Slide 14: Protandim — Academic Confirmation: Topics Under Investigation
Protandim ® — Academic Confirmation ¦ >Topics under investigation or in planning stages deal with the alleviation of oxidative stress under the following conditions: • Altitude sickness ‘ Heart disease v Skin cancer ^ Coronary artery bypass graft failure S Asthma v Smoking cessation , v Duchenne mus
Slide 15: TrueScience Anti-Aging Skin Cream
TrueScience ® Anti-Aging Skin Cream Scientifically-based, unique skin care line launched in June 2009 Formulated to protect the skin from a variety of factors that contribute to aging and the symptoms of unhealthy skin Robust market potential for anti-aging skincare products Contains the ingredients
Slide 16: Distribution Strategy - Network Marketing
Distribution Strategy- Network Marketing > Sales of nutritional and personal care products have historically done very well in this channel • Examples: Amway, Avon, and Herbalife > Model allows for a comprehensive and individualized approach to the introduction to products and associated benefits •
Slide 17: Distributor Growth
• Distributor Growth Distributor growth a key driver of expanding product awareness and future revenue growth Distributors attracted to our effective, scientifically demonstrated products Held inaugural Global Network Marketing Convention in April Over 2,000 distributors and guests in attendance Rec
Slide 18: Recent Financial Highlights
Recent Financial Highlights Q3 FY11 net revenue increased 270% on a year-over-year basis and 35% on a sequential basis Selling & Marketing and R & D costs increased, reflecting strategic investments to grow our business Generated operating income of $792,000 • Third consecutive quarter of positive o
Slide 19: Strong Revenue Growth
Strong Revenue Growth $16,000,000 $14,000,000 $12,000,000 $10,000,000 $8,000,000 $6,000,000 $4,000,000 $2,000,000 ¦ * Forecasted revenue for Q4 assumes midpoint of annual FY11 revenue guidance
Slide 20: Improving Balance Sheet
Improving Balance Sheet Committed to improving balance sheet and overall financial health of LifeVantage Management elected to redeem $3 million of remaining outstanding convertible debt Redemption notices delivered May 18 th All holders have elected to convert debt into common stock All conversions
Slide 21: FY11 Outlook
FY11 Outlook Raised annual revenue and operating income guidance in May Expect FY11 revenue in range of $37 million — $39 million Expect FY11 operating income in range of $2.5 million — $3.0 million (operating profit margin of ~ 8%) >Improved balance sheet • Strong cash & no debt at year-end FY11 FY
Slide 22: Long-Term Growth Potential
Long-Term Growth Potential + + Improved financial health + Robust long-term growth opportunities for LifeVantage 22
Slide 23: LifeVantage Corporation
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