Inotiv ( NASDAQ: NOTV ) stock rose ~20% on Wednesday after the company's FQ4 fiscal 2022 revenue grew ~400% Y/Y.
GAAP EPS of -$9.54, compared to $0.06 in FQ4 ending Sept. 30, 2021.
The company said revenue grew to $150.47M, compared to $30.1M FQ4 2021, driven by a $14.1M rise in DSA revenue and $106.3M of incremental revenue from its RMS business.
Favorable pricing for both segments and increased customer demand in DSA produced revenue exceeding acquisition contributions, according to the company.
"While we have built the business through acquisitions, we have also seen significant organic growth which has been critical to our success. Organic revenue growth in 2022 was $141.0 million representing incremental revenue growth of approximately 31%," said President and CEO Robert Leasure Jr.
Adjusted EBITDA increased to $18.26M, compared to $4.34M in FQ4 2021.
Book-to-bill ratio was 1.03x for the DSA services business.
The company noted that DSA backlog was $147.2M at Sept. 30, 2022, up from $143.2M at June 30, 2022 and $81.4M at Sept. 30, 2021.
Outlook :
For Fiscal 2023, the company expects revenue of ateast $580M ( consensus $584.69M) and at least $75M of adjusted EBITDA.
Inotiv said the guidance estimates the impact of the non-human primate (NHP) supply disruption identified in Q1 fiscal 2023.
"Although we are facing headwinds related to NHP disruption, we have entered fiscal year 2023 with a much stronger organization, and a clear vision of what we need to focus on to improve earnings, cash flow and overall operations," added Leasure Jr.
Inotiv noted that due to the issues related to NHP matters, including its decision to not sell or deliver any of its Cambodian NHPs held in the U.S. until its staff and external experts can evaluate what more could be done to satisfy itself that the NHPs in inventory from Cambodia can be determined to be purpose-bred, the outlook of at least $580M of revenue in fiscal 2023 includes estimated Q1 fiscal 2023 revenue of $118M to $122M and estimated revenue during Q2-Q4 of ~$460M.
FQ1 consensus revenue estimate from 2 analysts is $117.74M.
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Inotiv stock soars ~20% as FQ4 revenue surges 400%; provides fiscal '23 outlook