BTMD — biote Corp.

BTMD Q4 2025 Earnings Call Summary

1. Key Financial Results and Metrics

• Q4 Revenue: $46.4 million, a decrease of 6.9% year-over-year.
• Procedure Revenue: $31.8 million, down 13%.
• Dietary Supplement Revenue: Grew 16% to $11.7 million, driven by e-commerce growth.
• Gross Profit Margin: 68%, down from 71.8%, impacted by a $1.3 million charge related to a voluntary recall.
• Net Income: $2.6 million, diluted EPS of $0.06, compared to $3.5 million and $0.10 in Q4 2024.
• Adjusted EBITDA: Decreased to $11.7 million with a margin of 25.2%, down from $15.1 million and 30.3%.
• Cash Flow from Operations: $35.2 million; cash and cash equivalents at year-end were $24.1 million.

2. Strategic Updates and Business Highlights

• New Clinic Growth: Focused on expanding clinic numbers and stabilizing attrition through a revamped commercial team, increasing sales personnel from 60 to over 90.
• Maximizing Existing Clinics: Strengthened relationships with practitioners and introduced innovative solutions to enhance patient care.
• Operational Excellence: Improved internal processes and data analytics to boost productivity and execution consistency.
• Investment Plans for 2026: Aiming to increase sales personnel to approximately 120 and enhance technology capabilities to improve practitioner engagement and retention.

3. Forward Guidance and Outlook

• 2026 Revenue Forecast: Anticipating overall revenues above $190 million, with procedure revenue expected to decline mid to high single digits initially but forecasted to return to growth in the second half of the year.
• Dietary Supplement Revenue Growth: Expected to grow at a mid to high single-digit rate.
• Adjusted EBITDA: Projected to exceed $38 million, with anticipated near-term impacts from increased operating expenses due to planned investments.

4. Bad News, Challenges, or Points of Concern

• Declining Procedure Revenue: The decrease in procedure revenue is attributed to higher clinic attrition rates and lower procedure volumes.
• Recall Impact: The voluntary recall of hormone pellets may affect gross margins and operational performance in the near term.
• Competitive Pressures: The company faces challenges from increased competition and changing regulatory dynamics, particularly following the FDA's removal of black box warnings for certain hormone replacement therapies.

5. Notable Q&A Insights

• FDA Regulatory Changes: Management views the removal of black box warnings as a positive development that could enhance demand for hormone replacement therapies.
• Impact of Recall: The company is actively managing the recall and maintaining communication with the FDA, which has received positive feedback from customers.
• Future Procedure Revenue: The anticipated decline in procedure revenue is primarily due to higher attrition rates, but management expects a return to growth in the latter half of 2026 as new practitioners become productive.

This summary encapsulates the key financial metrics, strategic initiatives, future outlook, and challenges faced by biote Corp. in Q4 2025, along with insights from the Q&A session.