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Inotiv Inc. (NOTV-5.18%) has submitted its 10-Q filing for the quarterly period ended December 31, 2024.
The filing includes financial statements for the quarter, showing a decrease in total revenue to $119,876,000 from $135,501,000 in the same quarter the previous year. This decrease is attributed to a reduction in revenue from the Research Models and Services (RMS) segment, particularly due to lower non-human primate (NHP) product and service revenue.
The Discovery and Safety Assessment (DSA) segment also experienced a revenue decline, primarily driven by a decrease in discovery service revenue.
Inotiv reported a consolidated net loss of $27,630,000 for the quarter, compared to a net loss of $15,828,000 in the previous year. The increase in net loss is primarily due to decreased revenue and increased interest expense.
Operating loss for the quarter was $15,507,000, compared to $9,371,000 in the previous year. Interest expense increased to $13,838,000 from $11,364,000, driven by higher interest rates and additional debt obligations.
The company reported cash and cash equivalents of $38,043,000 as of December 31, 2024, compared to $21,432,000 as of September 30, 2024. Net cash used in operating activities was $4,497,000 for the quarter.
Inotiv completed a public offering of 6,900,000 common shares, resulting in net proceeds of $27,524,000. The proceeds are intended for working capital, capital expenditures, and general corporate purposes.
The filing also discusses the company's ongoing efforts to optimize its capital allocation and expense base, as well as plans to improve operating results through increased NHP-related revenue and contract awards.
Inotiv is subject to certain legal proceedings and government investigations, including a securities class action lawsuit and an SEC investigation related to its importation practices of non-human primates.
The company acknowledges substantial doubt about its ability to continue as a going concern, citing potential non-compliance with financial covenants under its Credit Agreement if operating results do not improve.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Inotiv Inc. quarterly 10-Q report dated February 6, 2025. To report an error, please email earnings@qz.com.