Company: NEOG
Filing Date: 2025-01-15
Form Type: 10-Q
Source: 0000950170-25-005818
Chunk: 57

Company: NEOGEN CORP
Filing Date: 2025-01-15
Form: 10-Q
Item: Item 8
Chunk 57
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 operations of the Company's global genomics business. The Company’s restructuring charges consist of severance payments, costs for outplacement services, and post-employment benefits (collectively, “employee separation costs”), other related exit costs and asset impairment charges related to restructuring activities. These amounts are partially recorded within cost of service revenues and partially recorded within general and administrative expense on the condensed consolidated statements of operations.Restructuring charges by segment were as follows:

        Three months ended November 30,

        Six months ended November 30,

        2024

        2023

        2024

        2023

        Food Safety
         
        $
        1,504

        $
        49

        $
        1,636

        $
        216

        Animal Safety

        7,077

        1,330

        7,077

        1,330

        Corporate

        987

        477

        1,225

        869

        Total
         
        $
        9,568

        $
        1,856

        $
        9,938

        $
        2,415

      Restructuring activity for the six months ended November 30, 2024 was as follows:

        Employee Separation Costs

        Other Exit Costs

        Total

        Balance as of May 31, 2024

        -

        -

        -

        Expense

        1,983

        7,955

        9,938

        Cash Payments

        (516
        )

        (627
        )

        (1,143
        )

        Asset impairments and other

        -

        (7,328
        )

        (7,328
        )

        Balance as of November 30, 2024

        1,467

        -

        1,467

7. INCOME TAXES Income tax benefit was $20,290 and $23,290 during the three and six months ended November 30, 2024, respectively. Income tax benefit was $260 and $100 during the three and six months ended November 30, 2023. The net tax benefit for the quarter is primarily related to pre-tax losses due to amortization expense and interest expense from the 3M FSD acquisition. Additionally, the Company recognized an income tax benefit of $9,225 during the quarter as a result of a goodwill impairment charge. The