Biote Corp.'s Q2 2025 Earnings Call: Navigating Contradictions in Verticalization, Volume Declines, and Revenue Growth Expectations

Verticalization process and penetration, procedure volume decline cause and impact, CDSS and sales force focus, and procedure revenue growth expectations are the key contradictions discussed in Biote Corp.'s latest 2025Q2 earnings call.



Procedure Revenue Decline:
- Biote's procedure revenue was softer than anticipated in Q2 2025, with an 8.4% decrease, partially offset by a 30.4% increase in dietary supplement sales.
- The decline was attributed to a slower growth rate of new clinic additions, higher-than-normal attrition of established clinics, lower procedure volume, and lingering effects of a clinical decision support software disruption.

Organizational Restructuring and Sales Force Changes:
- Biote implemented a strategic organizational restructuring and sales force changes in May, which included new leadership additions and a refocus on growth.
- These initiatives were aimed at improving commercial productivity, accountability, and consistency, but were disruptive to procedure-related sales in the short term.

Dietary Supplement Revenue Growth:
- Biote's dietary supplement revenue increased by 30.4% to $10.7 million, primarily driven by growth in the e-commerce channel.
- This growth was due to increased demand and adoption of the company's dietary supplement products.

Financial Outlook and Guidance Adjustments:
- Biote adjusted its fiscal 2025 revenue guidance to be above $190 million and adjusted EBITDA guidance to be above $50 million.
- This adjustment reflects continued stronger-than-expected dietary supplement revenue growth, partially offsetting procedure revenue shortfalls due to ongoing reorganization efforts.