This is among my favorite Lovecraft mythos movies, and I'd even say it often ranks at the top of them. There is a bit of dark humor in the film, like the conversation between John and Joseph. I also really enjoyed the ghastly sights that were used to convey the horror of things best left alone.
It is also a plausible course of events for a Lovecraft story set in the modern day.
I've seen it several times on the MGM channel that we get locally and every time there is something new that I either didn't quite see or grasp the previous time: some of those creatures were really quite un-nervingly almost human but not quite.
I also liked the conversation between John and Joseph in the asylum ("And as for thee, I should strip thy flesh from thy bones like a suckling pig"
) and the general impression was that Lovecraft was served well as you said in the modern age.