Lifevantage Corp Q4 FY2025 earnings call

• Fourth quarter results were strong with revenues up 13% YOY to $55.1M, gross margin expanded 40 basis points, and adjusted EBITDA flat. • International business saw Asia Pacific and Europe revenues up 8%, returning to growth for the first time in 12 quarters due to MindBody rollout. • Announced acquisition of LoveBiome, a pioneer in microbiome health; transaction expected to close mid-October and integrate by end of fiscal Q2 2026. • Entered partnership with Shopify to modernize technology and marketing stack. • Upcoming events include U.S. Momentum Academy in Dallas and evolution of Summer in the Fast Lane campaign.

Fourth quarter revenue was $55.1 million, up 12.6% year-over-year. Foreign currency impacted revenue by $0.5 million. Excluding foreign currency, revenue was up ~11.6%. Americas region revenue increased 14.1% to $43.5 million, driven by MindBody GLP-1 system; active accounts up 6.4%, average revenue per consultant up 4%. Asia Pacific and Europe region revenue increased 7.6% to $11.6 million, reflecting international MindBody rollout; average revenue per consultant up 13.9%. Gross margin was 79.9% in Q4, up from 79.5% prior year. Adjusted EBITDA was $4.8 million, flat year-over-year.

• Fiscal 2026 full year revenue expected in the range of $225 million to $240 million. • Adjusted non-GAAP EBITDA expected in the range of $23 million to $26 million. • Adjusted non-GAAP earnings per share expected in the range of $1 to $1.15 per share. • Second half of fiscal 2026 anticipated to have higher revenue due to MindBody seasonality and LoveBiome acquisition.

• Forward-looking statements involve inherent risks and uncertainties, including those in LifeVantage's Forms 10-K and 10-Q. • Integration risks related to the LoveBiome acquisition, such as uncertainties in closing and integrating the two entities. • Impact of foreign currency fluctuations on revenue.

Q: There was a disconnect between Q4 revenue of $55 million and the midpoint of the range. What was the cause?

A: Carl Aure responded that it was primarily softness in the U.S. side, with seasonality impact of MindBody in the fourth quarter, while international was strong.

Q: How much of fiscal 2026 guidance comes from LoveBiome versus organic growth?

A: Carl Aure stated it's a combination of some organic growth from the current baseline and a moderate amount of anticipated LoveBiome revenue.

Q: Can you disclose details about LoveBiome's sales, consultants, etc.?

A: Steven Fife mentioned LoveBiome started in 2022, U.S. is its biggest market, followed by Taiwan, etc., but specific revenue and consultant details were not disclosed.

Q: How does P84 market versus MindBody and prebiotic/probiotics?

A: Steven Fife explained P84 is a comprehensive product focused on microbiome, regulates/repairs/restores gut microbiome, and synergizes with MindBody without cannibalization.