Revenue growth has stalled with a 5.4% year-over-year contraction in 2026Q2, while gross margins have deteriorated significantly to 9.0% from 23.0% in late 2024.
| Metric | TTM | Sep'25 | Sep'24 | Sep'23 | Sep'22 | Sep'21 | Sep'20 | Sep'19 | Sep'18 | Sep'17 | Sep'16 | Sep'15 | Sep'14 | Sep'13 | Sep'12 | Sep'11 | Sep'10 | Sep'09 | Sep'08 | Sep'07 | Sep'06 | Sep'05 | Sep'04 | Sep'03 | Sep'02 | Sep'01 | Sep'00 | Sep'99 | Sep'98 | Sep'97 |
|---|
| Sales/Revenue | 507.36M | 513.02M | 490.74M | 572.42M | 547.66M | 89.61M | 60.47M | 43.62M | 26.35M | 24.24M | 20.44M | 22.7M | 24.58M | 22.07M | 28.21M | 33.14M | 28.78M | 31.78M | 41.7M | 45.24M | 43.05M | 42.4M | 37.15M | 29.84M | 26.51M | 25.27M | 19.22M | 19.9M | 18.2M | 14.9M |
| Revenue Growth % | 5.61% | 4.54% | -14.27% | 4.52% | 511.19% | 48.18% | 38.64% | 65.55% | 8.68% | 18.59% | -9.94% | -7.67% | 11.4% | -21.77% | -14.89% | 15.16% | -9.45% | -23.77% | -7.84% | 5.1% | 1.54% | 14.11% | 24.51% | 12.54% | 4.9% | 31.48% | -3.4% | 9.34% | 22.15% | - |
| Cost of Goods Sold | 432.76M | 447.97M | 379.57M | 406.98M | 390.44M | 59.45M | 42.23M | 30.7M | 18.23M | 16.55M | 16.02M | 15.21M | 16.62M | 15.01M | 21.37M | 22.64M | 21.45M | 24.18M | 26.36M | 31.45M | 29.24M | 27.05M | 25.62M | 19.43M | 15.95M | 13.15M | 10.58M | 9.2M | 7.6M | 5.8M |
| COGS % of Revenue | - | 87.32% | 77.35% | 71.1% | 71.29% | 66.35% | 69.84% | 70.38% | 69.19% | 68.25% | 78.35% | 67.01% | 67.61% | 68.03% | 75.76% | 68.3% | 74.52% | 76.08% | 63.23% | 69.52% | 67.92% | 63.81% | 68.95% | 65.11% | 60.16% | 52.05% | 55.05% | 46.23% | 41.76% | 38.93% |
| Gross Profit | 74.6M | 65.05M | 111.17M | 165.44M | 157.21M | 30.16M | 18.24M | 12.92M | 8.12M | 7.7M | 4.42M | 7.49M | 7.96M | 7.05M | 6.84M | 10.51M | 7.33M | 7.6M | 15.33M | 13.79M | 13.81M | 15.34M | 11.53M | 10.41M | 10.56M | 12.12M | 8.64M | 10.7M | 10.6M | 9.1M |
| Gross Margin % | 14.7% | 12.68% | 22.65% | 28.9% | 28.71% | 33.65% | 30.16% | 29.62% | 30.81% | 31.75% | 21.65% | 32.99% | 32.39% | 31.97% | 24.24% | 31.7% | 25.48% | 23.92% | 36.77% | 30.48% | 32.08% | 36.19% | 31.05% | 34.89% | 39.84% | 47.95% | 44.95% | 53.77% | 58.24% | 61.07% |
| Gross Profit Growth % | - | -41.48% | -32.8% | 5.24% | 421.33% | 65.36% | 41.14% | 59.2% | 5.44% | 73.94% | -40.91% | -5.94% | 12.86% | 3.17% | -34.91% | 43.27% | -3.56% | -50.41% | 11.17% | -0.13% | -10% | 33.03% | 10.79% | -1.45% | -12.84% | 40.27% | -19.25% | 0.94% | 16.48% | - |
| Operating Expenses | 119.61M | 95.95M | 197.58M | 246.9M | 184.66M | 35.77M | 21.3M | 13.07M | 8.1M | 6.42M | 6.49M | 7.18M | 7.25M | 6.22M | 9.33M | 9.22M | 9.33M | 11.73M | 12.54M | 11.4M | 17.23M | 14.08M | 11.28M | 9.61M | 8.94M | 8.63M | 9.83M | 9.8M | 9.9M | 8M |
| OpEx % of Revenue | - | 18.7% | 40.26% | 43.13% | 33.72% | 39.92% | 35.22% | 29.98% | 30.75% | 26.48% | 31.77% | 31.65% | 29.51% | 28.21% | 33.07% | 27.82% | 32.42% | 36.91% | 30.07% | 25.2% | 40.03% | 33.22% | 30.36% | 32.21% | 33.71% | 34.14% | 51.15% | 49.25% | 54.4% | 53.69% |
| Selling, General & Admin | 92.94M | 92.24M | 97.92M | 127.32M | 99.09M | 33.89M | 20.35M | 12.45M | 7.51M | 5.95M | 6M | 6.47M | 6.6M | 5.77M | 8.79M | 8.69M | 8.78M | 10.97M | 11.73M | 10.43M | 14.73M | 12.78M | 10.18M | 8.28M | 7.42M | 7.02M | 6.39M | 6.5M | 6.8M | 5.9M |
| SG&A % of Revenue | - | 17.98% | 19.95% | 22.24% | 18.09% | 37.82% | 33.65% | 28.54% | 28.49% | 24.56% | 29.34% | 28.5% | 26.83% | 26.15% | 31.15% | 26.2% | 30.52% | 34.51% | 28.14% | 23.05% | 34.21% | 30.14% | 27.4% | 27.76% | 27.97% | 27.77% | 33.24% | 32.66% | 37.36% | 39.6% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 405K | 950K | 627K | 596K | 465K | 496K | 715K | 658K | 454K | 542K | 534K | 546K | 762K | 781K | 881K | 1.44M | 1.33M | 1.1M | 1.33M | 1.52M | 1.61M | 1.81M | 2M | 2.2M | 1.6M |
| R&D % of Revenue | - | - | - | - | - | 0.45% | 1.57% | 1.44% | 2.26% | 1.92% | 2.43% | 3.15% | 2.68% | 2.06% | 1.92% | 1.61% | 1.9% | 2.4% | 1.87% | 1.95% | 3.36% | 3.13% | 2.96% | 4.45% | 5.74% | 6.37% | 9.39% | 10.05% | 12.09% | 10.74% |
| Other Operating Expenses | 4M | 3.71M | 99.66M | 119.58M | 85.57M | 1.48M | 15K | 9K | 6K | 5K | 6K | 5K | 9K | 7K | 12K | 0 | 0 | 0 | 24K | 92K | 1.06M | -21.43K | 0 | 0 | 0 | 0 | 1.64M | 1.3M | 900K | 500K |
| Operating Income | -45.01M | -30.9M | -86.41M | -81.46M | -27.45M | 1.53M | -3.06M | -153K | 14K | 1.28M | -3.04M | 909K | 334K | 830K | -5.69M | 1.29M | -2M | -4.6M | 2.79M | 2.39M | -3.42M | 1.26M | 254K | 800K | 1.63M | 3.49M | -1.19M | 900K | 700K | 1.1M |
| Operating Margin % | -8.87% | -6.02% | -17.61% | -14.23% | -5.01% | 1.71% | -5.07% | -0.35% | 0.05% | 5.27% | -14.87% | 4% | 1.36% | 3.76% | -20.16% | 3.88% | -6.94% | -14.47% | 6.7% | 5.28% | -7.95% | 2.97% | 0.68% | 2.68% | 6.14% | 13.81% | -6.2% | 4.52% | 3.85% | 7.38% |
| Operating Income Growth % | - | 64.24% | -6.07% | -196.79% | -1889.24% | 150.08% | -1901.96% | -1192.86% | -98.9% | 142.04% | -434.43% | 172.16% | -59.76% | 114.6% | -541.8% | 164.45% | 56.59% | -264.64% | 16.9% | 169.83% | -371.63% | 396.06% | -68.25% | -50.82% | -53.39% | 392.74% | -232.48% | 28.57% | -36.36% | - |
| EBITDA | 10.78M | 25.03M | -29.29M | -26.74M | 21.88M | 9.1M | 1.92M | 2.56M | 1.87M | 2.96M | -1.48M | 2.32M | 1.93M | 2.55M | -3.41M | 3.42M | 326K | -1.96M | 5.81M | 5.85M | 466.3K | 4.7M | 3.69M | 3.48M | 3.67M | 5.25M | 444.11K | 2.2M | 1.6M | 1.6M |
| EBITDA Margin % | 2.13% | 4.88% | -5.97% | -4.67% | 3.99% | 10.15% | 3.17% | 5.88% | 7.1% | 12.2% | -7.26% | 10.21% | 7.85% | 11.57% | -12.08% | 10.32% | 1.13% | -6.15% | 13.93% | 12.93% | 1.08% | 11.09% | 9.95% | 11.67% | 13.84% | 20.78% | 2.31% | 11.06% | 8.79% | 10.74% |
| EBITDA Growth % | 147.79% | 185.45% | -9.52% | -222.24% | 140.49% | 374.54% | -25.23% | 37.11% | -36.78% | 299.33% | -164.02% | 20.04% | -24.36% | 174.91% | -199.62% | 949.39% | 116.68% | -133.67% | -0.7% | 1154.14% | -90.08% | 27.24% | 6.13% | -5.1% | -30.15% | 1082.62% | -79.81% | 37.5% | 0% | - |
| D&A (Non-Cash Add-back) | 55.8M | 55.93M | 57.12M | 54.72M | 49.32M | 7.56M | 4.98M | 2.72M | 1.86M | 1.68M | 1.56M | 1.41M | 1.6M | 1.72M | 2.28M | 2.13M | 2.32M | 2.65M | 3.01M | 3.46M | 3.89M | 3.44M | 3.44M | 2.68M | 2.04M | 1.76M | 1.64M | 1.3M | 900K | 500K |
| EBIT | -45.6M | -31.18M | -83.88M | -81.22M | -322.75M | 7.8M | -3.05M | -144K | 20K | 1.28M | -2.85M | 1.4M | 708K | 830K | -5.6M | 3.06M | -2M | -4.6M | 2.79M | 2.39M | -3.52M | 1.28M | 225.62K | 800K | 1.63M | 3.49M | -1.19M | 900K | 700K | 1.1M |
| Net Interest Income | -56.84M | -56.59M | -46.88M | -43.02M | -29.7M | -1.68M | -1.49M | -642K | -274K | -375K | -399K | -287K | -488K | -649K | -714K | -706K | -1.03M | -1.06M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 2K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 56.84M | 56.59M | 46.88M | 43.02M | 29.7M | 1.68M | 1.49M | 642K | 274K | 375K | 399K | 287K | 488K | 649K | 714K | 706K | 1.03M | 1.06M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | -60.73M | -56.87M | -44.35M | -42.78M | -89M | 501K | -1.48M | -633K | -268K | -370K | -204K | 205K | -1.4M | -41K | -702K | -694K | -1.03M | -1.06M | -971K | -891K | -2.67M | -933K | -832.28K | -229K | -79.29K | -383.49K | -621.01K | 0 | 0 | 0 |
| Pretax Income | -105.74M | -87.77M | -130.76M | -124.24M | -352.45M | 6.12M | -4.54M | -786K | -254K | 908K | -3.24M | 1.11M | -1.06M | 789K | -6.39M | 593K | -3.02M | -5.66M | 1.82M | 1.5M | -4.44M | 291.39K | -607K | 570.58K | 1.55M | 3.11M | -1.81M | 900K | 700K | 1.1M |
| Pretax Margin % | -20.84% | -17.11% | -26.65% | -21.7% | -64.36% | 6.83% | -7.5% | -1.8% | -0.96% | 3.75% | -15.87% | 4.91% | -4.32% | 3.58% | -22.65% | 1.79% | -10.51% | -17.81% | 4.37% | 3.31% | -10.3% | 0.69% | -1.63% | 1.91% | 5.84% | 12.29% | -9.43% | 4.52% | 3.85% | 7.38% |
| Income Tax | -18.77M | -19.14M | -21.88M | -19.34M | -15.19M | -4.78M | 147K | 4K | -60K | 24K | -14K | 25K | 7K | 16K | 2K | 50K | -333K | -197K | 1.33M | 573K | -1.83M | 392.39K | -403K | 483.27K | 480.99K | 1.34M | -431.3K | 300K | 300K | 400K |
| Effective Tax Rate % | 17.75% | 21.81% | 16.73% | 15.57% | 4.31% | -78.05% | -3.24% | -0.51% | 23.62% | 2.64% | 0.43% | 2.24% | -0.66% | 2.03% | -0.03% | 8.43% | 11.01% | 3.48% | 72.85% | 38.23% | 41.16% | 134.66% | 66.39% | 84.7% | 31.08% | 43.13% | 23.79% | 33.33% | 42.86% | 36.36% |
| Net Income | -86.97M | -68.63M | -108.44M | -105.14M | -337.26M | 10.89M | -4.68M | -790K | -194K | 884K | -3.23M | 1.09M | -1.07M | 773K | -6.39M | 543K | -2.69M | -5.46M | -1.49M | 926K | -2.61M | -101K | -203K | 87.31K | 1.07M | 1.77M | -1.38M | 600K | 400K | 700K |
| Net Margin % | -17.14% | -13.38% | -22.1% | -18.37% | -61.58% | 12.16% | -7.75% | -1.81% | -0.74% | 3.65% | -15.8% | 4.8% | -4.35% | 3.5% | -22.65% | 1.64% | -9.35% | -17.19% | -3.57% | 2.05% | -6.06% | -0.24% | -0.55% | 0.29% | 4.02% | 6.99% | -7.19% | 3.02% | 2.2% | 4.7% |
| Net Income Growth % | 0.57% | 36.72% | -3.14% | 68.83% | -3195.57% | 332.55% | -493.04% | -307.22% | -121.95% | 127.37% | -396.6% | 201.78% | -238.42% | 112.1% | -1276.8% | 120.18% | 50.74% | -266.89% | -260.8% | 135.48% | -2484.15% | 50.25% | -332.52% | -91.81% | -39.64% | 227.84% | -330.33% | 50% | -42.86% | - |
| Net Income (Continuing) | -86.97M | -68.63M | -108.89M | -104.9M | -337.26M | 10.89M | -4.68M | -790K | -194K | 884K | -3.23M | 1.1M | -1.07M | 773K | -6.39M | 2.3M | -2.69M | -5.46M | 495K | 1.57M | -2.61M | -101K | -203.35K | 87K | 1.07M | 1.77M | -1.38M | 600K | 400K | 700K |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | -664K | -606K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -2.51 | -2.11 | -4.19 | -4.10 | -13.85 | 0.79 | -0.43 | -0.08 | -0.02 | 0.10 | -0.40 | 0.07 | -0.13 | 0.09 | -0.89 | -0.74 | -0.55 | -1.11 | -0.30 | 0.19 | -0.53 | -0.02 | -0.04 | 0.01 | 0.23 | 0.38 | -0.30 | 0.12 | 0.09 | 0.21 |
| EPS Growth % | 20.69% | 49.64% | -2.2% | 70.4% | -1853.16% | 283.72% | -465.05% | -244.34% | -122.1% | 125% | -671.43% | 153.85% | -244.44% | 110.11% | -20.27% | -34.55% | 50.45% | -270% | -257.89% | 135.85% | -2460.39% | 50.48% | -518% | -95.65% | -39.47% | 226.67% | -350% | 33.33% | -57.14% | - |
| EPS (Basic) | - | -2.11 | -4.19 | -4.10 | -13.85 | 0.83 | -0.43 | -0.08 | -0.02 | 0.11 | -0.40 | 0.14 | -0.13 | 0.10 | -0.89 | -0.74 | -0.55 | -1.11 | -0.30 | 0.19 | -0.53 | -0.02 | -0.04 | 0.01 | 0.23 | 0.39 | -0.30 | 0.13 | 0.10 | 0.30 |
| Diluted Shares Outstanding | 34.65M | 32.45M | 25.9M | 25.64M | 24.35M | 13.87M | 10.85M | 10.38M | 8.77M | 8.73M | 8.11M | 8.79M | 7.96M | 8.37M | 7.16M | 5.67M | 4.92M | 4.92M | 4.97M | 4.96M | 4.88M | 4.87M | 4.86M | 4.67M | 4.63M | 4.6M | 4.55M | 4.68M | 4.4M | 4.39M |
| Basic Shares Outstanding | 34.65M | 32.45M | 25.9M | 25.64M | 24.35M | 13.19M | 10.85M | 10.38M | 8.77M | 8.18M | 8.11M | 8.08M | 7.96M | 7.66M | 7.16M | 5.67M | 4.92M | 4.92M | 4.91M | 4.91M | 4.88M | 4.87M | 4.86M | 4.66M | 4.58M | 4.56M | 4.55M | 4.51M | 4.12M | 4.39M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - | - | - | 10.48% | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
Regulatory and liquidity constraints
According to the most recent quarterly data, Inotiv's revenue has declined to $117.7 million, representing a 5.4% year-over-year contraction, which highlights the ongoing difficulty in sustaining top-line growth within a challenging biotech funding environment that limits demand for the company's core research services and products.
The persistent revenue volatility suggests that the company's reliance on early-stage biotech spending leaves it highly exposed to cyclical downturns. Investors should monitor whether the recent decline reflects a structural loss of market share or merely a temporary pause in client project initiation.
As reported in financial statements, the company's gross margin has compressed to 9.0% in 2026Q2, a significant deterioration from the 23.0% levels observed in late 2024, indicating that rising input costs and operational inefficiencies are severely eroding the profitability of its research products and services.
This margin profile appears unsustainable for a business with such a high fixed-cost base, suggesting that the company lacks the pricing power necessary to pass on inflationary pressures to its clients. The inability to maintain double-digit gross margins warrants further investigation into the underlying cost of animal husbandry and facility maintenance.
Based on Inotiv's reported figures, operating income remains deeply negative at -$16.4 million, demonstrating that the company has failed to achieve the necessary scale to cover its administrative and operational overhead, which continues to outpace the gross profit generated by its core business segments.
The lack of positive operating leverage implies that the company's current cost structure is misaligned with its revenue generation capacity. Without a meaningful reduction in SG&A or a substantial increase in throughput, the company may continue to struggle with persistent operating losses.
As indicated by the latest income statement, Inotiv reported a net loss of $32.5 million for 2026Q2, reflecting a net margin of -27.6%, which underscores the significant challenges the firm faces in achieving profitability following its aggressive acquisition-led expansion strategy in recent years.
The consistent net losses suggest that the company's earnings quality is currently poor, as it relies on external financing rather than internal cash generation to fund operations. Investors should be wary of the potential for further dilution if the company is forced to raise capital to bridge these recurring deficits.
While some market participants may view the current valuation as a deep-value opportunity, the company's negative net margins and high debt-to-equity ratio suggest that the risk of further financial distress remains elevated, potentially outweighing the theoretical benefits of its integrated research products and services model.
The short-seller narrative likely focuses on the company's inability to deleverage and the ongoing regulatory scrutiny surrounding its NHP supply chain. Any further disruption in these critical biological inputs could lead to a rapid deterioration of the company's remaining revenue base.
Quick answers to the most common questions about buying NOTV stock.
For fiscal year 2025, Inotiv, Inc. (NOTV) reported total revenue of $513.0M. This represents a 3343.1% increase compared to $14.9M in 1997.
Inotiv, Inc. (NOTV) reported a net loss of $68.6M for the fiscal year ending 2025.
Inotiv, Inc. (NOTV) reported an operating income of $-30.9M, resulting in an operating profit margin of -6.0%. This margin reflects the operational efficiency of the business before interest and taxes.
Inotiv, Inc. (NOTV) generated $65.1M in gross profit for the year, representing a gross profit margin of 12.7%. This demonstrates the company's core pricing power and production efficiency.