biote (US:BTMD)2024-11-12 22:16Revenue and Income - Total revenue for the three months ended September 30, 2024, was $51,384,000, an increase of 12.0% compared to $45,557,000 for the same period in 2023[8] - Product revenue reached $49,806,000 for the three months ended September 30, 2024, up from $44,831,000 in the prior year, reflecting a growth of 11.0%[8] - Net income attributable to biote Corp. stockholders for the three months ended September 30, 2024, was $10,702,000, compared to $7,530,000 for the same period in 2023, representing a 42.9% increase[8] - The company reported a net loss of $3,437,000 for the nine months ended September 30, 2024, compared to a net loss of $14,883,000 for the same period in 2023[8] - The company reported a net income of $10,702,000 for the quarter ended June 30, 2024, a significant improvement compared to the net loss reported in previous quarters[9] - Net income attributable to Biote stockholders for the three months ended September 30, 2024, was $10.7 million, compared to $7.5 million for the same period in 2023, representing an increase of 42.9%[63] Expenses and Liabilities - Selling, general and administrative expenses for the three months ended September 30, 2024, were $24,028,000, slightly higher than $23,791,000 in the same period last year[8] - Total liabilities increased to $228,076,000 as of September 30, 2024, compared to $191,841,000 as of December 31, 2023[5] - The net loss for the quarter ended September 30, 2024, was $10,368,000, compared to a net loss of $7,087,000 for the previous quarter[9] - Share-based compensation expenses for the quarter totaled $2,245,000, indicating an increase from $2,841,000 in the prior quarter[9] - The accumulated deficit increased to $124,717,000 as of September 30, 2024, compared to $31,931,000 at March 31, 2024[9] - The company incurred $66,149 million in net cash used in financing activities, compared to $11,855 million in the previous year[12] Stock and Shareholder Information - The company had 38,819,066 shares issued as of September 30, 2024, with a stockholders' deficit of $126,824,000[6] - The balance of Class A common shares decreased to 31,112,663 shares as of September 30, 2024, down from 34,064,232 shares at March 31, 2024[9] - The total stockholders' deficit attributable to biote Corp. was $40,522,000 as of September 30, 2023[10] - The total number of stock options outstanding increased from 3,686,536 in September 2023 to 6,298,547 in September 2024 for the three-month period[64] - The Company approved a share repurchase program authorizing the repurchase of up to $20.0 million of its outstanding Class A common stock, with a remaining balance of $14.4 million as of September 30, 2024[60] Acquisitions and Strategic Initiatives - Future strategies include potential market expansion and the development of new products to enhance revenue streams[4] - The Company acquired F.H. Investments Inc. for a total consideration of $8.9 million, including $8.4 million in cash and a $0.5 million earnout contingent on operating metrics[21] - The Company executed an asset purchase agreement with Simpatra for $1.5 million in cash and 389,105 shares of common stock, with a future earnout of 194,553 shares based on financial targets[25] - The acquisition of BioSana ID LLC was completed for cash consideration of $0.7 million, with a potential earnout of up to $0.1 million based on operating metrics[27] Cash Flow and Investments - Net cash provided by operating activities increased to $32,875 million, compared to $19,927 million in the prior year[12] - Cash and cash equivalents at the end of the period were $38,225 million, down from $65,575 million at the end of the previous year[12] - Net cash used in investing activities was $17,487 million, an improvement from $21,709 million in the prior year[12] - The company incurred $0.4 million in acquisition-related costs during the nine months ended September 30, 2024, primarily for legal and consulting services[24] Litigation and Settlements - The company is currently involved in litigation with Right Value Drug Stores, which seeks $1.2 million per month until trial, with the trial scheduled for June 24, 2025[66] - A settlement agreement with Dr. Gary S. Donovitz was executed on April 23, 2024, involving a repurchase of shares for approximately $76.9 million over three years[68] - The company recorded a jury verdict awarding $4.7 million in attorneys' fees against Donovitz, with potential additional fees of $0.2 million[68] Inventory and Assets - Total inventory, net as of September 30, 2024, was $16,200,000, a decrease from $17,307,000 as of December 31, 2023[32] - The company reported a net product inventory of $6,906,000 for pellets as of September 30, 2024, up from $5,928,000 as of December 31, 2023[32] - The identifiable intangible assets from the acquisition of Asteria Health included customer relationships valued at $1.3 million and a non-compete agreement valued at $0.2 million[22] Tax and Compliance - The Company recorded income tax expense of $3.2 million and $3.9 million for the three months ended September 30, 2024 and 2023, respectively, and $5.7 million and $5.4 million for the nine months ended September 30, 2024 and 2023, respectively[59] - The company is classified as a smaller reporting company and is not required to provide certain market risk disclosures[115]