Despite loss, Inotiv reports improved financial performance
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West Lafayette-based Inotiv Inc. is reporting a fiscal first quarter net loss of $15.3 million, compared to a loss of $87.3 million during the same period last year.
CEO Robert Leasure said the improvement was bolstered by a more than 10% increase in revenue for the quarter.
The pharmaceutical testing company is continuing its site optimization plan, which includes the consolidation of several facilities in the U.S. and United Kingdom and the expansion of others.
“Our transformation over the past 18 months has been significant, culminating in the optimization of our operational footprint from 35 to 24 locations, simultaneously expanding three existing facilities and then recently completing the transition of our transportation operations in-house,” Leasure said in a news release. “This will allow us to better service customer demand, add new complementary services and create a platform which will support growth.”
During the quarter, Inotiv closed on the sale of its facilities in Spain and France. Additionally, the company’s locations in Cumberland and Dublin, Virginia; Haslett, Michigan; and Blackthorn, U.K. are all under contract to be sold.
Inotiv is relocating its operations at the Blackthorn site to its facility in Hillcrest, U.K., which is expected to be completed last month.
“As a result of all of these initiatives, once they are completed, Inotiv will have eliminated $20 million of annual operating expenses from the business,” Leasure said in a conference call with investors. “Approximately $5 million of these reductions were realized in Fiscal 2023, and the remainder should be completed in the fourth quarter this year.”
As the site optimization plan nears completion, Leasure said the company has shifted to a renewed focus toward sales and marketing.
You can connect to the full earnings report by clicking here.