Company: NOTV
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001628280-25-039017
Chunk: 154

Company: Inotiv, Inc.
Filing Date: 2025-08-07
Form: 10-Q
Item: Part II, Item 8
Chunk 154
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 or less are not recorded on the condensed consolidated balance sheets. The Company recognizes lease expense for the leases on a straight-line basis over the lease term. At inception of a contract, the Company considers all relevant facts and circumstances to assess whether or not the contract represents a lease by determining whether or not the contract conveys the right to control the use of an identified asset, either explicit or implicit, for a period of time in exchange for consideration.The Company has various operating and finance leases for facilities, vehicles and equipment. Facilities leases provide office, laboratory, warehouse, or land that the Company uses to conduct its operations. Vehicle leases primarily provide  trucks, vans and trailers utilized in the transportation of diet, bedding and enrichment products and animal research models. Equipment leases provide office equipment, laboratory equipment or services the Company uses to conduct its operations. ROU lease assets and lease liabilities that are reported in the Company’s condensed consolidated balance sheets are as follows:June 30, 2025September 30, 2024Operating ROU assets, net$44,930 $49,165 Current portion of operating lease liabilities8,845 11,774 Long-term operating lease liabilities40,085 40,010 Total operating lease liabilities$48,930 $51,784 Finance ROU assets, net$2,734 $652 Current portion of finance lease liabilities$426 211 Long-term finance lease liabilities2,316 433 Total finance lease liabilities$2,742 $644 Lease expense for lease payments is recognized on a straight-line basis over the lease term. The components of lease expense related to the Company’s leases for the three and nine months ended June 30, 2025 and 2024 were:Three Months EndedJune 30,Nine Months EndedJune 30,2025202420252024Operating lease costs: Fixed operating lease costs$3,355 $3,448 $10,197 $10,042 Lease (income)(656)(753)(1,888)(2,311)Financing lease costs:Amortization of ROU asset expense$113 $22 $262 $58 Interest on finance lease liability87 6 219 15 Total operating lease cost$2,899 $2,723 $8,790 $7,804 

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The Company serves as lessor to a lessee in nine facilities. The gross rental income and underlying lease expense are presented