biote (US:BTMD)2025-11-07 21:05Financial Performance - Total revenue for Q3 2025 was $47.956 million, a decrease of 8.3% compared to $51.384 million in Q3 2024[17] - Product revenue decreased to $46.953 million in Q3 2025 from $49.806 million in Q3 2024, reflecting a decline of 5.7%[17] - Net income attributable to biote Corp. stockholders for Q3 2025 was $8.188 million, down from $10.702 million in Q3 2024, a decrease of 23.5%[17] - The company reported a comprehensive income of $9.216 million for Q3 2025, down from $12.649 million in Q3 2024[17] - For the nine months ended September 30, 2025, net income was $28.98 million compared to a net loss of $3.44 million in the same period of 2024, representing a significant turnaround[25] - Net income for the three months ended September 30, 2025, was $9.216 million, down from $12.657 million in the prior year, representing a decline of 27.4%[128] - Adjusted EBITDA for the three months ended September 30, 2025, was $12.881 million, compared to $16.202 million in 2024, reflecting a decrease of 20.5%[141] - Net income for the nine months ended September 30, 2025 was $28.98 million, compared to a net loss of $3.44 million in the same period of 2024[169] Assets and Liabilities - Total assets decreased to $111.324 million as of September 30, 2025, from $122.370 million as of December 31, 2024, a decline of 9.0%[14] - Current liabilities increased to $56.308 million as of September 30, 2025, compared to $51.514 million as of December 31, 2024, an increase of 9.0%[14] - The accumulated deficit improved to $(63.760) million as of September 30, 2025, from $(100.297) million as of December 31, 2024[14] - Long-term debt, net of current portion, decreased to $97,130,000 as of September 30, 2025, from $101,199,000 as of December 31, 2024, a decline of approximately 4.0%[74] - The earnout liability was recorded at $5,359,000 as of September 30, 2025, down from $17,235,000 as of December 31, 2024, reflecting a significant decrease of approximately 68.9%[80] Cash Flow and Investments - Net cash provided by operating activities for the nine months ended September 30, 2025, was $27.63 million, a decrease of 16.8% from $32.88 million in 2024[25] - The company reported a net cash used in investing activities of $4.50 million for the nine months ended September 30, 2025, compared to $17.49 million in 2024, indicating a reduction in investment outflows[25] - Net cash used in financing activities was $34.42 million for the nine months ended September 30, 2025, down from $66.15 million in 2024, reflecting improved cash management[25] - Cash payments required under repurchase liabilities decreased by $37.1 million to $25.1 million in 2025 compared to $62.2 million in 2024, with approximately 67.4% of the liabilities repaid as of September 30, 2025[192] Expenses - Selling, general and administrative expenses rose to $26.151 million in Q3 2025, compared to $23.922 million in Q3 2024, an increase of 9.6%[17] - Interest expense, net decreased by $0.8 million to $2.733 million, primarily due to a lower principal balance on the Term Loan[165] - Selling, general and administrative expenses increased by $2.6 million, or 3.6%, to $77.1 million, primarily due to a $2.0 million increase in marketing expenses[173] Competition and Market Conditions - The company faces significant competition and regulatory challenges that may impact future growth and market expansion[12] - Inflationary factors and supply chain constraints may lead to increased operating costs in the near future[143] - The company continues to monitor global economic conditions and their potential impact on liquidity and capital access[142] Shareholder Activities - The total number of Class A common shares repurchased was 1,011,760, resulting in a reduction of $3,365,000 in stockholders' equity[20] - The Company approved a share repurchase program for up to $20.0 million of its Class A common stock as of January 24, 2024[101] - As of September 30, 2025, the remaining balance of the repurchase program was $11.0 million, with 1,011,767 shares repurchased for a total of $3.4 million at an average price of $3.28 per share[102] Acquisitions - The company acquired F.H. Investments Inc. (Asteria Health) for a total consideration of $9.0 million, which included $8.5 million in cash payments[49] - The total cash consideration for the acquisition of Asteria Health was $8.476 million, with goodwill amounting to $5.833 million[51] - The identifiable intangible assets from the acquisition of Simpatra included developed technology and customer relationships, valued using the multi-period excess earnings method (MPEEM)[57] Taxation - The Company recorded an income tax benefit of $0.8 million for the three months ended September 30, 2025, compared to an income tax expense of $3.2 million for the same period in 2024[98] - Income tax expense decreased by $2.7 million for the nine months ended September 30, 2025, driven by lower forecasted profit before tax[177]