Inotiv, Inc. Files 10-Q for Period Ending December 31, 2023

TL;DR

<b>Inotiv, Inc. filed its quarterly report (10-Q) for the period ending December 31, 2023, detailing its financial performance and business operations.</b>

AI Summary

Inotiv, Inc. (NOTV) filed a Quarterly Report (10-Q) with the SEC on February 7, 2024. Inotiv, Inc. reported financial results for the quarter ended December 31, 2023. The filing covers the period from October 1, 2023, to December 31, 2023. The company's fiscal year ends on September 30. Inotiv, Inc. was formerly known as BIOANALYTICAL SYSTEMS INC. The company is incorporated in Indiana.

Why It Matters

For investors and stakeholders tracking Inotiv, Inc., this filing contains several important signals. This 10-Q filing provides investors with an updated view of Inotiv's financial health and operational performance during the first quarter of its fiscal year. Understanding the details within this report is crucial for assessing the company's current standing and future prospects in the commercial physical and biological research sector.

Risk Assessment

Risk Level: medium — Inotiv, Inc. shows moderate risk based on this filing. The company's business involves significant regulatory oversight and potential customer concentration risks, which could impact financial stability.

Analyst Insight

Monitor Inotiv's revenue streams and customer relationships closely in upcoming filings to assess the impact of customer concentration and regulatory compliance.

Key Numbers

• 2023-12-31 — Period of Report (Quarterly filing)
• 2024-02-07 — Filing Date (10-Q submission)
• 0930 — Fiscal Year End (Annual reporting cycle)

Key Players & Entities

• Inotiv, Inc. (company) — Filer
• BIOANALYTICAL SYSTEMS INC (company) — Former company name
• 2023-12-31 (date) — Period of report
• 2024-02-07 (date) — Filing date
• West Lafayette, IN (location) — Business address

FAQ

Risk Factors

• Regulatory Compliance [medium — regulatory]: The company operates in a highly regulated industry, requiring adherence to various government standards and guidelines.
• Customer Concentration [medium — market]: A significant portion of revenue may be derived from a limited number of customers, posing a risk if these relationships are disrupted.

Industry Context

Inotiv operates within the commercial physical and biological research sector, which is characterized by scientific innovation and stringent regulatory requirements.

Regulatory Implications

The company's operations are subject to oversight from various regulatory bodies, necessitating strict adherence to industry standards and compliance protocols.

What Investors Should Do

1. Analyze revenue trends by segment (Service and Product) in future filings to identify growth drivers and potential weaknesses.
2. Review management's discussion and analysis (MD&A) for insights into operational challenges and strategic initiatives.
3. Track any changes in regulatory compliance or customer relationships mentioned in subsequent SEC filings.

Key Dates

• 2023-12-31: Quarter End — End of the reporting period for the 10-Q filing.
• 2024-02-07: Filing Date — Date the 10-Q was officially submitted to the SEC.

Glossary

10-Q

A quarterly report required by the U.S. Securities and Exchange Commission (SEC). (Provides an update on the company's financial performance and operations between annual reports.)

Year-Over-Year Comparison

This filing represents the first quarterly report for the fiscal year ending September 30, 2024, providing an initial look at the company's performance compared to the previous fiscal year's comparable period.

Filing Documents

• notv-20231231.htm (10-Q) — 983KB
• notv-20231231xexx311.htm (EX-31.1) — 10KB
• notv-20231231xexx312.htm (EX-31.2) — 10KB
• notv-20231231xexx321.htm (EX-32.1) — 4KB
• notv-20231231xexx322.htm (EX-32.2) — 5KB
• 0001628280-24-003732.txt (&nbsp;) — 6493KB
• notv-20231231.xsd (EX-101.SCH) — 59KB
• notv-20231231_cal.xml (EX-101.CAL) — 91KB
• notv-20231231_def.xml (EX-101.DEF) — 178KB
• notv-20231231_lab.xml (EX-101.LAB) — 697KB
• notv-20231231_pre.xml (EX-101.PRE) — 421KB
• notv-20231231_htm.xml (XML) — 789KB

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 32 Item 3

Quantitative and Qualitative Disclosures about Market Risk

Quantitative and Qualitative Disclosures about Market Risk 43 Item 4

Controls and Procedures

Controls and Procedures 43 PART II OTHER INFORMATION Item 1

Legal Proceedings

Legal Proceedings 45 Item 1A

Risk Factors

Risk Factors 45 Item 2 Unregistered Sales of Equity Securities and Use of Proceeds 45 Item 3 Defaults Upon Senior Securities 45 Item 4 Mine Safety Disclosures 45 Item 5 Other Information 45 Item 6 Exhibits 46

Signatures

Signatures 47 3 Table of Contents Index to Consolidated Financial Statements Page NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS 10 1. DESCRIPTION OF THE BUSINESS AND BASIS OF PRESENTATION 10 2. REVENUE FROM CONTRACTS WITH CLIENTS 12 3. SEGMENT AND GEOGRAPHIC INFORMATION 13 4. BUSINESS COMBINATIONS 14 5. INTANGIBLE ASSETS 16 6. DEBT 16 7. SUPPLEMENTAL BALANCE SHEET INFORMATION 22 8. DEFINED BENEFIT PLAN 24 9. OTHER OPERATING EXPENSE 24 10. RESTRUCTURING AND ASSETS HELD FOR SALE 24 11. LEASES 25 12. EQUITY, STOCK-BASED COMPENSATION AND LOSS PER SHARE 27 13. INCOME TAXES 28 14. CONTINGENCIES 29 15. SUBSEQUENT EVENTS 31 4 Table of Contents INOTIV, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (In thousands, except share amounts) December 31, September 30, 2023 2023 (Unaudited) Assets Current assets: Cash and cash equivalents $ 22,001 $ 35,492 Trade receivables and contract assets, net of allowances for credit losses of $ 6,313 and $ 7,446 , respectively 89,849 87,383 Inventories, net 50,640 56,102 Prepaid expenses and other current assets 26,264 33,408 Assets held for sale 1,934 1,418 Total current assets 190,688 213,803 Property and equipment, net 191,536 191,068 Operating lease right-of-use assets, net 48,012 38,866 Goodwill 94,286 94,286 Other intangible assets, net 300,350 308,428 Other assets 10,638 10,079 Total assets $ 835,510 $ 856,530 Liabilities, shareholders' equity and noncontrolling interest Current liabilities: Accounts payable $ 30,716 $ 32,564 Accrued expenses and other liabilities 23,436 25,776 Fees invoiced in advance 35,821 55,622 Current portion of long-term operating lease 11,105 10,282 Current portion of long-term debt 8,411 7,950 Total current liabilities 109,489 132,194 Long-term operating leases, net 38,074 29,614 Long-term debt, less current portion, net of debt issuance costs 370,931 369,795 Other long-term liabilities 17,967 6,373 Deferred tax

View Full Filing

View this 10-Q filing on SEC EDGAR