Research from Water Tower Research, Water Tower Research

Water Tower Research

Water Tower Research is a leading equity research firm that provides research on micro, small and mid cap companies.

Water Tower Research was founded by Wall Street veterans after witnessing a fundamental shift in the investment research industry with the result being a declining knowledge base among investors, a lack of awareness and a shrinking pool of fundamental research being conducted on companies across the small-cap and micro-cap spectrum. The same issues are now increasingly occurring in the mid-cap space. This sea change within the investment community is impacting not only the companies themselves but also current shareholders and potential investors. With significantly less active sell-side sponsorship by Wall Street, a substantial information gap has developed between companies and various constituents in the financial community. The net result is fewer channels for insight and information to flow between companies and investors.

Research from Water Tower Research

Equity Research Firm

Equity Bottom-Up

<ul><li>Growth resumed for both sales and EPS in 4QFY23, the first time in 16 quarters that both grew simultaneously.</li><li>While sales growth flattened out a bit in the 1QFY24 (September), top-line momentum continued in the US, driven by the success of the LV360 initiatives, and company-wide EBITDA grew 41.1%, driven by a 230- basis-point improvement in margins.</li><li>The resumption of growth could be sustainable, driven by a wide range of company-specific initiatives, most importantly its LV360 initiatives, including a sweeping overhaul of its consultant compensation plan, and robust new product activity.</li></ul>

Growth resumed for both sales and EPS in 4QFY23, the first time in 16 quarters that both grew simultaneously.While sales growth flattened out a bit in the 1QFY24 (September), top-line momentum continued in the US, driven by the success of the LV360 initiatives, and company-wide EBITDA grew 41.1%, driven by a 230- basis-point improvement in margins.The resumption of growth could be sustainable, driven by a wide range of company-specific initiatives, most importantly its LV360 initiatives, including a sweeping overhaul of its consultant compensation plan, and robust new product activity.

LifeVantage Corporation - Believe Recent Return to Growth to Be Sustainable

Lifevantage

LifeVantage Corporation - Believe Recent Return to Growth to Be Sustainable