Company: NOTV
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0001628280-25-023370
Chunk: 66

Company: Inotiv, Inc.
Filing Date: 2025-05-08
Form: 10-Q
Item: Part I, Item 1
Chunk 66
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 information related to the site optimizations.

Additionally, we remain attentive to external factors, including tariffs, client research and development funding levels, and the recently announced efforts to accelerate implementation of the FDA Modernization Act 2.0, passed in December 2022, any of which may increase our costs and could continue to drive uncertainty and instability in global markets. Any or all of these external factors could impact both of our segments during the remainder of fiscal 2025 and beyond. Based upon current status of tariffs, imported NHPs are subject to 10% tariffs and we will be working with suppliers and customers to mitigate the financial impact of these additional costs. If higher tariff rates come to pass, we also expect to work with suppliers and customers to mitigate these potential additional costs as the NHP’s are mission-critical to the safety testing of new medicines. In regards to the FDA Modernization Act 2.0, many of our acquisitions and investments have been implemented, at least in part, if not sometimes wholly, with the intent to help position us for the future. We believe our future objectives are in line with the goals outlined in the 2022, FDA Modernization Act 2.0. Examples of some of our current service offerings which we believe are in line with these goals include predictive computer software, computational toxicology, bioinformatics, proteomics, ex vivo and in vitro cell-based assays, and assays we run in human cells and tissues.

Financial Highlights During Three Months Ended March 31, 2025

•Revenue was $124,323 in the three months ended March 31, 2025, an increase of $5,288 or 4.4%, compared to $119,035 during the three months ended March 31, 2024, driven by an increase of $6,587, or 9.1%, in RMS revenue, partially offset by a $1,299, or 2.8%, decrease in DSA revenue.

•Consolidated net loss for the three months ended March 31, 2025 was $14,866, or 12.0% of total revenue, compared to consolidated net loss of $48,079, or 40.4% of total revenue, in three months ended March 31, 2024. 

•Book-to-bill ratio for the three months ended March 31, 2025 was 1.01x for the DSA services business.

•DSA backlog was $130,824 at March 31