LifeVantage Corporation (NASDAQ:LFVN) Q2 2024 Earnings Call Transcript

Page 2 of 2

Steve Fife: And just to add, the non-commissionable revenue, that’s primarily coming in from convention-related revenue and shipping-related revenue, those types of revenue items that as they grow or become a greater percentage of our overall revenue, from a percentage standpoint, it makes it look like the commission payout is a little bit lower, but it’s really just comparing — when you compare it to total revenue. There is included in that, some non-commissionable revenue.

Doug Lane : But that non-commissionable revenue is unusually high these days and should normalize going forward?

Steve Fife: Yes. In the quarter, we had a higher percentage than in previous quarters. But I don’t know that there’s enough to say that there’s a trend or anything going on with that just in the quarter.

Doug Lane : Okay. Okay. Fair enough. And then on the outlook, I get the sales change and the EBITDA is the same and then you moved EPS up. So I assume that’s mostly the tax rate there.

Carl Aure: Yes. That’s mostly — there’s probably 2 things in the EPS component. Stock-based comp is down slightly in our forecast for the rest of the year, and then it’s primarily tax and then just the impact of interest income, in the other income section. So those 3 items are really what’s driving the change in EPS.

Doug Lane : Okay. That’s helpful. And then just looking out the next several quarters, what are the key new product drivers that you guys are working on that — just try to get a feel for timing of product launches. Obviously, if they haven’t announced them, you’re not going to announce them now. But just to get a feel for timing of new product launches over the next 3 or 4 quarters.

Steve Fife: Yes. We have a, I’d say, a very robust pipeline. And I mentioned in March, we will be having in-person momentum academies. And those are country events. So every 1 of our countries will be holding in events. And we will be announcing a new product in those momentum academies. So next product will be coming in March.

Doug Lane : That’s soon. Okay. All right. That’s very helpful.

Operator: There are no further questions. I’d like to hand it back to Mr. Fife for closing remarks.

Steve Fife : Thank you for joining us. As we conclude, I want to express my appreciation to our committed employees, outstanding independent consultants, shareholders and faithful customer base. The strength of our distinctive platform, coupled with the competitive edge of our business model that empowers individuals to establish businesses on their own terms is complemented by a steadfast leadership team, a diverse range of unique products and engage consultant community and a robust financial position. This collectively emphasizes our strategic positioning for the future, enabling us to pursue long-term goals while we consistently build substantial value for our shareholders. Thanks for participating today.

Operator: Ladies and gentlemen, this does conclude today’s teleconference. Thank you for your participation. You may disconnect your lines at this time, and have a wonderful day.

Follow Lifevantage Corp (NASDAQ:LFVN)

Page 2 of 2