UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(D)
OF THE SECURITIES EXCHANGE ACT OF 1934
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Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.
| Item 2.02. | Results of Operations and Financial Condition. |
biote Corp. (the “Company”) is furnishing on Exhibit 99.1 attached hereto unaudited quarterly financial results for 2021 of BioTE Holdings, LLC, (“Biote”) for investors and analysts of the Company. The information furnished on Exhibit 99.1 represents a supplemental presentation of unaudited financial information and is not intended to replace the financial information presented in (i) the audited consolidated financial statements of Biote and its subsidiaries and the related notes thereto as of December 31, 2021 and 2020 and for the years ended December 31, 2021, 2020 and 2019 or (ii) the unaudited condensed consolidated financial statements of Biote and its subsidiaries for the three months ended March 31, 2021 and 2022, presented in the Company’s Current Report on Form 8-K filed with the SEC on June 2, 2022. The information in this Item 2.01 (including Exhibit 99.1) shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1993, as amended (the “Securities Act”) or the Exchange Act, except as expressly set forth by specific reference in such filing.
| Item 7.01. | Regulation FD Disclosure. |
On June 8, 2022, the Company posted an investor presentation to the Investor Relations section of its website www.biote.com, in connection with a presentation that its executives made at an investor conference and various investor meetings. A copy of the investor presentation is being furnished as Exhibit 99.2 to this Current Report on Form 8-K.
The information furnished in this Item 7.01 (including Exhibit 99.2) is not deemed to be “filed” for purposes of Section 18 of the Exchange Act, or otherwise subject to the liability of that section. This information will not be deemed to be incorporated by reference into any filing under the Securities Act or the Exchange Act, except to the extent that the Company specifically incorporates it by reference.
By furnishing the information contained herein, the Company makes no admission as to the materiality of any information in this report that is required to be disclosed solely by reason of Regulation FD. The information contained in the investor presentation furnished as Exhibit 99.2 is summary information that is intended to be considered in the context of the Company’s Securities and Exchange Commission (“SEC”) filings and other public announcements that the Company may make, by press release or otherwise, from time to time. The Company undertakes no duty or obligation to publicly update or revise the information contained in this presentation, although it may do so from time to time. Any such updating may be made through the filing of other reports or documents with the SEC, through press releases or through other public disclosure.
| Item 9.01. | Financial Statements and Exhibits. |
(d) Exhibits.
| Exhibit No. |
Description | |
| 99.1 | Biote Unaudited Quarterly Financial Results for 2021. | |
| 99.2 | Investor Presentation. | |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document). | |
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| biote Corp. | ||
| By: | /s/ Teresa S. Weber | |
| Name: | Teresa S. Weber | |
| Title: | Chief Executive Officer | |
Date: June 9, 2022
Exhibit 99.1
BioTE Holdings, LLC
Unaudited Quarterly Financial Results for 2021
biote Corp. (the “Company”) is furnishing the following tables which set forth supplemental unaudited financial information of BioTE Holdings, LLC and its subsidiaries (“Biote”) for the periods and as of the dates indicated. This supplemental presentation of unaudited financial information is not intended to replace the financial information presented in (i) the audited consolidated financial statements of Biote and its subsidiaries and the related notes thereto as of December 31, 2021 and 2020 and for the years ended December 31, 2021, 2020 and 2019 or (ii) the unaudited condensed consolidated financial statements of Biote and its subsidiaries for the three months ended March 31, 2021 and 2022, presented in the Company’s Current Report on Form 8-K filed with the SEC on June 2, 2022. Investors should refer to the notes to the financial statements included with such filings.
Biote Holdings, LLC
CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
(in thousands, except share and per share amounts) (Unaudited)
| Three Months Ended, | ||||||||||||||||||||
| March 31, | June 30, | September 30, | December 31, | 2021 | ||||||||||||||||
| Revenue |
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| Product revenue |
$ | 31,193 | $ | 34,307 | $ | 35,119 | $ | 36,979 | $ | 137,598 | ||||||||||
| Service revenue |
350 | 443 | 448 | 557 | 1,798 | |||||||||||||||
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| Total Revenue |
31,543 | 34,750 | 35,567 | 37,536 | 139,396 | |||||||||||||||
| Cost of revenue |
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| Cost of products |
10,877 | 11,019 | 11,600 | 12,802 | 46,298 | |||||||||||||||
| Cost of services |
484 | 621 | 690 | 724 | 2,519 | |||||||||||||||
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| Total cost of revenue |
11,361 | 11,640 | 12,290 | 13,526 | 48,817 | |||||||||||||||
| Commissions |
577 | 464 | 566 | 449 | 2,056 | |||||||||||||||
| Marketing |
749 | 1,059 | 1,417 | 1,683 | 4,908 | |||||||||||||||
| Selling, general & administrative |
9,463 | 11,327 | 12,311 | 15,953 | 49,054 | |||||||||||||||
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| Income from operations |
9,393 | 10,260 | 8,983 | 5,925 | 34,561 | |||||||||||||||
| Other income (expense) |
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| Interest expense |
(492 | ) | (425 | ) | (384 | ) | (372 | ) | (1,673 | ) | ||||||||||
| Other income |
4 | 4 | 5 | 4 | 17 | |||||||||||||||
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| Total other expense |
(488 | ) | (421 | ) | (379 | ) | (368 | ) | (1,656 | ) | ||||||||||
| Income before provision for income taxes |
8,905 | 9,839 | 8,604 | 5,557 | 32,905 | |||||||||||||||
| Income tax expense |
64 | 78 | 67 | 77 | 286 | |||||||||||||||
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| Net income |
$ | 8,841 | $ | 9,761 | $ | 8,537 | $ | 5,480 | $ | 32,619 | ||||||||||
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| Other comprehensive income: |
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| Foreign currency translation adjustments |
(9 | ) | 10 | (15 | ) | (3 | ) | (17 | ) | |||||||||||
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| Other comprehensive income (loss) |
(9 | ) | 10 | (15 | ) | (3 | ) | (17 | ) | |||||||||||
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| Comprehensive income |
$ | 8,832 | $ | 9,771 | $ | 8,522 | $ | 5,477 | $ | 32,602 | ||||||||||
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| Earnings per common unit Class A, AA, and AAA basic and diluted |
$ | 9.02 | $ | 9.96 | $ | 8.71 | $ | 5.59 | $ | 33.29 | ||||||||||
| Weighted average common units outstanding Class A, AA, and AAA basic and diluted |
979,800 | 979,800 | 979,800 | 979,800 | 979,800 | |||||||||||||||
Non-GAAP Financial Measures
The supplemental financial information includes financial data not prepared in accordance with generally accepted accounting principals (“non-GAAP financial measures”). A reconciliation of the non-GAAP financial measures to financial information prepared in accordance with generally accepted accounting principals (“GAAP”), as required by Regulation G, is included. Biote is providing disclosure of the reconciliation of reported non-GAAP financial measures used in the supplemental information to its comparable financial measures on a GAAP basis. Biote uses adjusted EBITDA as an alternative measure to evaluate its operational performance. We calculate adjusted EBITDA by excluding from Net Income: Interest expense; depreciation and amortization expenses; and income taxes. Additionally, we exclude certain expenses we believe are not indicative of our ongoing operations or operational performance. For the periods presented these include: costs incurred in pursuing the business combination agreement with Haymaker; litigation costs incurred not within the normal course of business; cost associated with the company’s founder; and severance related costs. Biote believes that non-GAAP financial information, when taken collectively, may be helpful to analysts and investors because it provides consistency and comparability with past financial performance. However, non-GAAP financial information is presented for supplemental informational purposes only, has limitations as an analytical tool and should not be considered in isolation or as a substitute for financial information presented in accordance with GAAP. In addition, other companies, including companies in Biote’s industry, may calculate similarly titled non-GAAP measures differently or may use other measures to evaluate their performance, all of which could reduce the usefulness of Biote’s non-GAAP financial measures as tools for comparison. Investors are encouraged to review the reconciliation, and not to rely on any single financial measure to evaluate Biote’s business.
Biote Holdings, LLC
RECONCILIATION OF NON-GAAP AND GAAP FINANCIAL MEASURES
(in thousands, except share and per share amounts) (Unaudited)
| Three Months Ended, | ||||||||||||||||||||
| March 31, | June 30, | September 30, | December 31, | 2021 | ||||||||||||||||
| Net income |
$ | 8,841 | $ | 9,761 | $ | 8,537 | $ | 5,480 | $ | 32,619 | ||||||||||
| Interest expense |
492 | 425 | 384 | 372 | 1,673 | |||||||||||||||
| Income tax expense |
64 | 78 | 67 | 77 | 286 | |||||||||||||||
| Depreciation and amortization |
322 | 333 | 332 | 413 | 1,400 | |||||||||||||||
| Transaction costs |
135 | 679 | 1,243 | 2,057 | ||||||||||||||||
| Other expenses |
115 | 222 | 1,532 | 1,869 | ||||||||||||||||
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| Adjusted EBITDA (Non-GAAP) |
$ | 9,719 | $ | 10,847 | $ | 10,221 | $ | 9,117 | $ | 39,904 | ||||||||||
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Exhibit 99.2 June 8, 2022 Corporate NASDAQ: BTMD Presentation Confidential Material – Do Not Distribute
Disclaimer Forward-Looking Statements Certain statements in this Presentation may be considered “forward-looking statements” within the meaning of the provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements generally relate to future events of BioTE Holdings, LLC’s (“BioTE” or the “Company”) future financial or operating performance. For example, projections of future revenue and other metrics are forward-looking statements. In some cases, you can identify forward-looking statements by terminology such as “may”, “should”, “expect”, “intend”, “will”, “estimate”, “anticipate”, “believe”, “predict”, “project”, “target”, “plan”, “potential” or “continue”, or the negatives of these terms or variations of them or similar terminology. Such forward-looking statements are based on current expectations, assumptions, estimates and projections about our business and our industry, and are not guarantees of our future performance. These statements are subject to a number of known and unknown risks, uncertainties, and other factors, many of which are beyond ability to control or predict, which may cause actual results to differ materially from those expressed or implied herein, including, but not limited to: the ability of the Biote Method and our Biote-branded dietary supplements to attain significant market acceptance among clinics, practitioners and their patients; failure by our outsourcing facilities to adequately perform their obligations; our reliance on third parties to support the manufacturing of bio-identical hormones for prescribers; our Biote-certified practitioners and Biote partnered clinics being concentrated in certain geographic regions, making us sensitive to regulatory, economic, environmental and competitive conditions in those regions; the frequency of use by practitioners and clinics of the Biote Method may not increase at the rate that we anticipate or at all; dependency on appropriate practitioner training, and inadequate training leading to negative patient outcomes; continuing development of our training, which depends upon maintaining strong working relationships with Biote-certified practitioners and other medical personnel; our ability to compete effectively; our limited history operating a practice-building business for practitioners in the hormone optimization space, which may make it difficult for an investor to evaluate the success of our business to date and to assess our future viability; our quarterly results may fluctuate significantly and may not fully reflect the underlying performance of our business; our ability to attract and retain key employees and qualified personnel; compliance with applicable laws, rules or regulations in a highly regulated industry; unforeseen and unpredictable factors affecting the operations of the FDA, U.S. Drug Enforcement Administration (the “DEA”) and other government agencies, such as the COVID-19 pandemic and changes in funding for the FDA, DEA and other government agencies; disruptions in our information technology systems (including our ability to protect confidential and proprietary information); the impact of the COVID-19 pandemic (including: the duration and scope of the pandemic; governmental, business and individuals’ actions taken in response to the pandemic); extreme weather conditions, natural disasters, and other catastrophic events; ability to protect our intellectual property and maintain patent protection for any products or methods we develop; the outcome of pending or future litigation (including with respect to claims challenging our intellectual property); the costs of complying with public company reporting obligations; the accuracy of our accounting estimates and assumptions; and other risks and uncertainties contained in the section captioned “Risk Factors” in our Proxy Statement filed with the United States Securities Exchange Commission (“SEC”) on May 5, 2022 and any other materials subsequently filed or furnished with the SEC. These forward-looking statements are based upon estimates and assumptions that are inherently uncertain. Nothing in this Presentation should be regarded as a representation by any person that the forward-looking statements set forth herein will be achieved or that any of the contemplated results of such forward-looking statements will be achieved. You are cautioned not to place undue reliance on forward-looking statements. The Company undertakes no obligation to update or revise any forward-looking statements contained in this release, whether as a result of new information, future events or otherwise, except as required by applicable law. Financial Information; Non-GAAP Financial Measures This Presentation includes certain financial measures not presented in accordance with generally accepted accounting principles (“GAAP”) including, but not limited to, EBITDA and EBITDA Margin. These non-GAAP financial measures are not measures of financial performance in accordance with GAAP and may exclude items that are significant in understanding and assessing the Company’s financial results. Therefore, these measures should not be considered in isolation or as an alternative to net income, cash flows from operations or other measures of profitability, liquidity or performance under GAAP. You should be aware that the presentation of these measures may not be comparable to similarly-titled measures used by other companies. The Company believes these non-GAAP measures provide useful information to management and investors regarding certain financial and business trends relating to the Company’s financial condition and results of operations. The Company believes that the use of these non-GAAP financial measures provides an additional tool for investors to use in evaluating ongoing operating results and trends in and in comparing its financial results with other similar companies, many of which present similar non-GAAP financial measures to investors. These non-GAAP financial measures are subject to inherent limitations as they reflect the exercise of judgments by management about which expense and income are excluded or included in determining these non-GAAP financial measures. This Presentation also includes certain projections of non-GAAP financial measures. Due to the high variability and difficulty in making accurate forecasts and projections of some of the information excluded from these projected measures, together with some of the excluded information not being ascertainable or accessible, the Company is unable to quantify certain amounts that would be required to be included in the most directly comparable GAAP financial measures without unreasonable effort. Consequently, no disclosure of estimated comparable GAAP measures is included and no reconciliation of the forward- looking non-GAAP financial measures is included. Certain monetary amounts, percentages and other figures included in this Presentation have been subject to rounding adjustments. Certain other amounts that appear in this Presentation may not sum due to rounding. Use of Projections This Presentation contains financial forecasts with respect to the Company’s projected financial results, including Revenue, EBITDA and EBITDA Margin. The Company’s independent auditor has not audited, reviewed, compiled or performed any procedures with respect to the projections for the purpose of their inclusion in this Presentation, and accordingly, it did not express an opinion or provide any other form of assurance with respect thereto for the purpose of this Presentation. These projections should not be relied upon as being necessarily indicative of future results. The assumptions and estimates underlying the prospective financial information are inherently uncertain and are subject to a wide variety of significant business, economic and competitive risks and uncertainties that could cause actual results to differ materially from those contained in the prospective financial information. Accordingly, there can be no assurance that the prospective results are indicative of the future performance of the Company or that actual results will not differ materially from those presented in the prospective financial information. Inclusion of the prospective financial information in this Presentation should not be regarded as a representation by any person that the results contained in the prospective financial information will be achieved. Industry and Market Data This Presentation includes certain information and statistics obtained from third-party sources. The Company has not independently verified the accuracy or completeness of any such third-party information. No Offer This Presentation shall not constitute an offer to sell or a solicitation of an offer to buy the securities of Biote, nor shall there be any sale of any such securities in any state or jurisdiction in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of such state or jurisdiction. 2 Confidential Material – Do Not Distribute
Transforming Healthy Aging • Innovative, personalized hormone therapy delivered by Biote- certified providers with 10-year track record of patient satisfaction • High-growth, profitable, health & wellness company with continued growth potential in the US and globally • Commercial expertise with 5,300+ Biote-certified providers (~2% of addressable market) treating 300,000+ active patients • Proprietary treatment program and protocols with high barriers to entry • 90% clinic retention rate with annuity-like, cash-pay business model 3 Confidential Material – Do Not Distribute
Biote’s Numbers Speak for Themselves $46M—$50M $160M—$166M 2022E 2022E EBITDA Revenue • >11x Next-Largest (1) Competitor • $7bn+ Hormone ~20% ~20% ~29% Replacement 2020A – 2022E 2020A – 2022E 2022E (2) Therapy Market Net Revenue CAGR EBITDA CAGR EBITDA Margin • Accelerated Growth • Exceptional Margins 300k+ 90% 5,300+ • Asset-Light Active Patients Clinic Providers Treating of Providers Retention Rate Patients in 2,800+ Clinics • Loyal Customer Base (1) Published publicly available data on providers. (2) Market Data Forecast, North America HRT Market Size 4 Reflects preliminary estimates from Company Management. Actual results may differ materially from these estimates. Estimates should not be viewed as a substitute for Confidential Material – Do Not Distribute our full annual financial statements, and are not necessarily indicative of the results to be expected for any future period.
How Hormone Deficiency is Related to Risky and Debilitating Diseases (1) Hormone Deficiency Symptoms Related Diseases After the age of 40, many of us begin to face these… People with hormone deficiency are at increased risk of… (2)(3) • Low energy• Irritability • Heart disease (4)(5) • Insomnia• Depression • Breast cancer (6) • Decreased • Hot flashes / • Osteoporosis libido sweats • Neurodegenerative disease • Brain fog• Bladder (Alzheimer’s, Parkinson’s, (7) problems Huntington’s) (1) Cardozo et al, Am J OB/GYN, 1984. (2) Mechanisms of testosterone deficiency-related endothelial dysfuntion. Antonopoulous AS and Antoniades C. Hellenic J Cardiol. 2018 Jun 8. pii:@1109-9666(18)30168-4. (3) Abraham Morgantaler et al., Testosterone therapy and cardiovascular Risk: Advances and Controversies, Mayo Clinic Proceedings 2015;90:224-51. (4) Donovitz et al. European Journal Breast Health 2021. (5) Glaser RL, York AE, Dimitrakakis C, Incidence of invasive breast cancer in women treated with testosterone implants: a prospective 10-year cohort study, BMC Cancer (2019) 19:1271. (6) STUDD, J WW, ET AL (1990) AM JOURNAL/GYN 163, 1474-1479. (7) Friedman E. 2013. How you and Your doctor can fight Breast cancer, Prostate cancer, and Alzheimer’s. Prometheus New York. 5 Confidential Material – Do Not Distribute
Hormone Therapy is Proven to Provide Symptom Relief (1) (1) (2) Symptom Prevalence Complete Relief Change in Symptom Severity (%) (%) (%) 81.7 Hot flashes / sweats 90.8 ↓ 69 73.5 Insomnia 61.4 ↓ 62 50.0 Dyspareunia 71.6 ↓ 76 83.3 Loss of libido 67.0 ↓ 73 84.2 Irritability 73.3 ↓ 66 79.2 Depression 75.8 ↓ 68 75.0 Lethargy 65.9 ↓ 66 (1) Cardozo et al, Am J OB/GYN, 1984. (2) Glaser et al, Maturitas 2011. 6 Confidential Material – Do Not Distribute
Hormone Deficiency Affects 200M Americans (1) (2) with ~80% Untreated Addressable Patient Population Female Male Hormone Replacement •Women's estradiol •Men experience a 44% Therapy levels decline 67% from reduction of $7bn+ the mid 40s to the mid testosterone between (8) +7% CAGR (3) (6) 50s ages 30 and 74 Bioidentical pellet therapy, integrated nutraceuticals •~47M women affected •20M men over age 45 with menopausal are affected by symptoms (75% of hypogonadism and 10- (4) women over age 50) 12% of those affected undergo testosterone •28% undergo HRT (7) treatment (13M), 31% of those (5) undergo bHRT (4M) (1) Assumes 50:50 ratio of men:women. (5) NAMS Survey, 2015 (2) Untreated hormone deficiency. NAMS Survey, 2015 & HINDAWI Journal of Hormones. (6) Cleveland Clinic, 2018 7 (3) J Clin Endocrinol Metab, March 2011. (7) International Journal of Clinical Practice, 2006 & HINDAWI Journal of Hormones. Confidential Material – Do Not Distribute (4) 2019 Census Data Estimate & Health Qual Life Outcomes, 2005 (8) Market Data Forecast, North America HRT Market Size
Biote Offers Providers a Convenient Hormone Therapy Solution in a Clinical Setting Medically prescribed by Over-the-Counter Pills providers × Not medically prescribed Personalized dosage with × One-size-fits all approach sustained release × Self-administered × Risk of inconsistent compliance Convenient treatment by providers Prescription Creams, Patches, Enhanced compliance Pills, Injectables × Over-the-counter or medically prescribed High retention × Dosages vary by application × Self-administered × Risk of inconsistent compliance 8 Confidential Material – Do Not Distribute
Complementary Portfolio of Treatments for Providers to Address Clear Consumer Health Needs Biote Method Nutraceuticals Revenue % of ‘22 • Dietary supplements that are Revenue ($ in millions) $160-$166 • Proprietary BioTracker Practice supportive to patients undergoing 1% Management Software pellet therapy performed by $139 20% providers • Unparalled medical training and $116 • High-tech cosmeceuticals and practice certification peptide cosmeceuticals • Best-in-Class digital and point-of-care • Key supplements that focus on marketing support foundational health for all 79% • Robust database of 2.5 million • Nutras accounted for ~20% of provider patient insertions revenue in 2021 2020A 2021A 2022E A = Actual E = Estimated (1) Procedure Fees Nutraceutical Other (1) Other revenue includes revenues from Trocar, Training and Shipping. 9 Reflects preliminary estimates from Company Management. Actual results may differ materially from these estimates. Estimates should not be viewed as a substitute for our full annual financial Confidential Material – Do Not Distribute statements, and are not necessarily indicative of the results to be expected for any future period.
Scaled Market Leader with Differentiated Provider Business Model and Unparalleled Operating Experience Customer Support Staff Sales Marketing Training • 80+ national field sales team• In-house full-service marketing and • 1 national training center• 10+ in-house customer support analytics capabilities professionals • 9 regional teams• 5 regional training centers • Omnichannel expertise• 6 physicians on therapy hot-line • 5 corporate sales operations• 7 medical advisors • All tactical execution handled • Ongoing professional training• 10 clinical faculty internally • 69 experienced mentors • Media buying capabilities across all digital channels Research Commitment with the Support of Biote-Certified Providers (1) (2) Breast Cancer Study Safety Study • Published 9-year retrospective review• Review of 7 years of data from 2012-2019 • Demonstrated testosterone is breast protective, particularly when • Identified adverse events for males and females who underwent delivered by subcutaneous pellet therapy subcutaneous pellet therapy • Testosterone and/or Testosterone/Estradiol delivered subcutaneously • Overall complication rate was <1% significantly reduced the incidence of breast cancer 10 (1) Based on Biote-certified clinician data. Published in European Journal of Breast Health. Confidential Material – Do Not Distribute (2) Based on Biote-certified clinician data. Published in Therapeutic Advances in Endocrinology and Metabolism, 2021.
Biote Has An Exceptional Financial Profile Financial Summary Key Stats Revenue ($ in millions) 20% 300k+ ’20-’22 Revenue $160-166 Active Patients of $139 $116 CAGR Providers on Therapy $110 2019A 2020A 2021A 2022E ~29% EBITDA 90% 2022E Margin Clinic Retention Rate EBITDA ($ in millions) $46-50 $36 $33 $24 $160M—166M 5,300+ $46M—50M Providers in 2,800+ 2022E 2019A 2020A 2021A 2022E % Margin Clinics Treating Patients Revenue / EBITDA 22% 28% 26% ~29% 11 Reflects preliminary estimates from Company Management. Actual results may differ materially from these estimates. Estimates should not be viewed Confidential Material – Do Not Distribute as a substitute for our full annual financial statements, and are not necessarily indicative of the results to be expected for any future period.
Q1-2022 Performance on Track Key Highlights: ✓ Net sales of $37 million in the quarter, an 18% increase YoY ✓ First quarter procedural revenue grew at 21.2% YoY ✓ Adjusted EBITDA of $12 million, a 20% increase YoY ✓ Management reiterates its 2022 guidance: − $160-166 million in revenue and $46-50 million in adjusted EBITDA. 12 Confidential Material – Do Not Distribute
Underserved TAM and Affordable Treatment Option (1) (2) 200M Americans with ~80% Untreated 18-34 18-34 3% 65-74 4% 75+ 35-44 10% 2% 17% 35-44 65+ 45-64 45-64 15% 17% 70% 62% Hormone Replacement Therapy Female Age Male Age $7bn ~80% of Patient Base ~20% of Patient Base (3) +7% CAGR Bioidentical pellet therapy, integrated nutraceuticals $180k+ 18% $140-$179k <$100k 16% 50% $100-$139k 17% (4) Annual HHI 13 (1) Assumes 50:50 ratio of men:women. (2) NAMS Survey, 2015 & HINDAWI Journal of Hormones. Confidential Material – Do Not Distribute (3) Market Data Forecast, North America HRT Market Size. (4) Sample size of ~10,000 current patients. Does not sum to 100 due to rounding.
Biote’s End-to-End Practice-Building Platform Drives Clinic Success and Differentiates the Brand Biote Proprietary Business Model + + + + = Didactic and Proprietary Practice Clinical Access to High Practice Training Practice Retention Clinical Certification Management Decision Support Quality Dietary and Support Supplements Training Software System Biote’s Competitive Moat (1) ✓ Biote-trained clinic network is ~11x larger than that of the closest competitor in a highly fragmented market ✓ 2.5M+ procedures performed by Biote-certified providers help us continue to refine our platform ✓ Digital transformation enables business innovation and best-in-class marketing tech 14 (1) Data on file. Confidential Material – Do Not Distribute
Compelling Value Proposition for Providers Number of Clinics ~2,800 2,606 2,166 1,616 1,112 2017A 2018A 2019A 2021A 2020A Annual Certified Clinic Financials Revenue per Average Procedure Ancillary Clinic Procedure Procedures Revenue Revenue Revenue + = Average Clinic $240 310 $74,400 $25,215 $99,615 x = Achieving average clinic performance requires ~25 procedures a month or 6 – 7 procedures per week 15 Confidential Material – Do Not Distribute
Proven Model Poised for Significant Growth Opportunity to expand our universe of targeted providers Total providers in U.S. Including Physicians and NPs involved in Patient Care 1,200,000 Providers with relevant specialties Including IM, GP, FP, OB-GYN, Urology 260,000 Currently targeted specialty group Top three deciles from relevant specialties 78,000 Providers in 2,800+ clinics currently contracted with Biote 5,300+ 16 Confidential Material – Do Not Distribute
Geographic Scalability Geographic scalability of the business is both predictable and capital efficient with a solid base of certified providers and their patients in current core states Today Future Near-Term Expansion Markets • Mid West (10 States) • Current core states include TX, OK, NM, CO, AR, LA, MS, AL, GA, FL• Sales Force Optimization Profile • West Coast (6 States) ‒ Targeted provider lead gen • By 2022, Biote grew to 5,300+ certified providers in 2,800+ clinics • Mid Atlantic (11 States) • Core states generate 67% of Biote’s revenue• Northeast (7 States) Planned International Expansion 2023 Brazil Mexico Colombia Argentina Canada 17 Confidential Material – Do Not Distribute
Impressive Financial Performance with Strong Growth, Profitability and Cash Flow Revenue EBITDA ($ in millions) ($ in millions) $160-166 $46-50 $139 $36 $116 $110 $33 $24 2019A 2020A 2021A 2022E 2019A 2020A 2021A 2022E % Gross Margin % Margin 60% 62% 65% 67% 22% 28% 26% ~29% ~20% ~20% ~29% 67% 2020A – 2022E 2020A – 2022E 2022E 2022E Net Revenue CAGR EBITDA CAGR EBITDA Margin Gross Profit Margin 18 Reflects preliminary estimates from Company Management. Actual results may differ materially from these estimates. Estimates should not be viewed Confidential Material – Do Not Distribute as a substitute for our full annual financial statements, and are not necessarily indicative of the results to be expected for any future period.
Exceptional Leadership Team with a Proven Track Record in Managing High Growth Businesses Terry Weber Marc Beer Robb Gibbins Chief Executive Officer Chairman Chief Financial Officer Joe Butler Cary Paulette Marybeth Conlon Kevin Key Jennifer Schimmel Chief Information Officer Vice President of Sales General Counsel Chief Digital Officer Head of Human Resources 19 Confidential Material – Do Not Distribute
Thank You 20 Confidential Material – Do Not Distribute