LifeVantage's Q2 2025: Unpacking Contradictions in MindBody Launch, Subscription Revenue, and Global Performance

These are the key contradictions discussed in LifeVantage Corporation's latest 2025 Q2 earnings call, specifically including: MindBody product launch and inventory, MindBody subscription revenue performance, Compensation Plan Flexibility, GLP-1 product launch timing, International Market Performance, and Subscription Sales Growth:



Revenue Growth and MindBody GLP-1 System Launch:
- LifeVantage Corporation reported record revenue of $67.8 million for Q2 2025, up nearly 44% sequentially from the first quarter and 31% year-over-year.
- The growth was primarily driven by the successful launch and strong demand for the new MindBody GLP-1 System, which sold out its initial inventory in just 13 days.

Active Accounts Increase and Consultant Growth:
- Total active accounts increased by 23,000 or 25% in the Americas region compared to Q1, including a 13% increase in the number of independent consultants and a 31% increase in the number of customers.
- This positive trend was facilitated by the high enrollment numbers attributed to the new MindBody GLP-1 System's potential and the modernized compensation plan that supports both traditional business builders and product-focused sellers.

Profitability and Gross Margin Improvement:
- LifeVantage achieved a gross margin of 80.5% in Q2, a 190 basis point improvement compared to the prior year, with adjusted EBITDA more than doubling to $6.5 million.
- This improvement in profitability metrics was due to favorable product mix, lower inventory obsolescence, and strategic investments in growth initiatives while maintaining disciplined approaches to costs.

Subscription and Product Stacking Trends:
- Subscription metrics were above 70%, with approximately 80% of MindBody sales being subscription-based, indicating a trend towards long-term commitments.
- The recent in vitro cell study findings showcased the synergistic benefits of combining products like MindBody and Protandim Nrf2 Synergizer, leading to increased cross-selling opportunities and a growing trend in product stacking.