Inotiv, Inc. (NASDAQ: NOTV)

Inotiv, Inc. is a leading contract research organization dedicated to providing nonclinical and analytical drug discovery and development services primarily to the pharmaceutical and medical device industries and selling a range of research-quality animals and diets to the same industries as well as academia and government clients. The company's products and services focus on bringing new drugs and medical devices through the discovery and preclinical phases of development and, in certain cases, the clinical phases of development, all while focusing on increasing efficiency, improving data, and reducing the cost of discovering and taking new drugs and medical devices to market. Inotiv supports discovery and development objectives as well as helping researchers realize the full potential of their critical research and development projects, all while working together to build a healthier and safer world.

The company generates revenue through its two reportable segments: Discovery and Safety Assessment (DSA) and Research Models and Services (RMS). Through its DSA segment, Inotiv provides discovery and translational sciences and safety assessment services to support the needs of researchers and clinicians for primarily small molecule drug candidates, as well as biotherapeutics and biomedical devices utilizing both Good Laboratory Practice (GLP) and non-GLP. Through its RMS segment, Inotiv offers access to a wide range of purpose-bred animal research models for basic research and drug discovery and development, specialized models for specific diseases and therapeutic areas, and diet, bedding and enrichment products, all supported by its deep animal husbandry expertise. The company's principal clients range from small start-up biotechnology companies to some of the largest global pharmaceutical companies, whose scientists are engaged in analytical chemistry, drug safety evaluation, drug metabolism studies, pharmacokinetics, clinical trials, and basic research.

The company operates through the following segments:

• Discovery and Safety Assessment (DSA): This segment is comprised of two principal areas of services: Discovery and Translational Sciences and Safety Assessment. Discovery and Translational Sciences includes bioanalytical method development, in vivo pharmacology, and exploratory pharmacokinetics and toxicology. Safety Assessment includes non-clinical toxicology and pathology services, stability testing, bioanalytical method development and validation, drug metabolism, bioanalysis, and pharmacokinetics testing, and archiving services. The DSA segment also has new service offerings such as biotherapeutics and genetic toxicology.

• Research Models and Services (RMS): This segment is comprised of (1) Research Models, (2) Diet, Bedding and Enrichment, and (3) Research Model Services. Research Models includes the commercial production and sale of laboratory animals and research models for use by scientific researchers, principally purpose-bred small animal models (primarily mice and rats) and large animal models (NHPs and rabbits). Diet, Bedding and Enrichment is offered through the Teklad product line, which produces and sells laboratory animal diet, bedding, and enrichment products. Research Model Services includes specialized surgical modifications such as cannulation, implants, and the creation of surgically derived disease-state models, as well as contract breeding, contract colony management, health monitoring, the creation of new transgenic research models specific to individual clients’ needs, quarantine, cryopreservation, rederivation and revitalization services, and antibody development and production, as well as transportation services.

Inotiv is a leading contract research organization competing with other businesses in both its segments, ranging in size and capabilities, both financial and operational. For DSA, the company has many competitors, including two public companies in the U. S. and three public companies in China. For RMS, there are seven main competitors, including one public company in the U. S., four privately-held companies in the U. S., one government-funded, not-for-profit entity in the U. S., and one privately-held company in Europe. Inotiv believes there are significant barriers to becoming a global provider of research models, including the construction of bio-secure barrier production facilities, flexible-film isolator production facilities and the population of these facilities with approximately 250 species and strains of animal models (including over 80 genetically engineered rodent models), which requires years of investment and strict operating procedures. The company's competitive advantages include its scientific and technological expertise, quality, reputation, responsiveness, price, scope of product and related service offerings, and geographic presence.

Inotiv provides its services and products to organizations engaged in basic research, biomedical device and pharmaceutical research and development. During the twelve months ended September 30, 2025, the company made sales to over 2,200 companies, ranging from emerging biopharmaceutical companies up to some of the largest pharmaceutical companies in the world. The company's principal clients include biopharmaceutical companies, CROs, and academic and government organizations. Recurring business from existing clients is important to ongoing operations. The company's business development efforts focus on both expanding existing client relationships and acquiring new clients.