So to be consistent, since this statement is as much an unequivocal absolute as other "verily verily" statements, then you must hold that all Prots who reject Transubstantiation have no spiritual life in them. Yes or no, and then tell me what sect of Catholicism you belong to.
Only God knows why people reject Transubstantiation. There are nominal Catholics who do so. If arrogance or pride or ignorance or inability to grasp or pure evil, whatever, God will judge.