Company: NEOG
Filing Date: 2025-07-30
Form Type: 10-K
Source: 0000950170-25-100064
Chunk: 4

Company: NEOGEN CORP
Filing Date: 2025-07-30
Form: 10-K
Item: Item 6
Chunk 4
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 our business, financial condition or results of operations throughout fiscal year 2026.  Within the Food Safety industry, the end market generally continues to experience a lower level of food production, largely due to the cumulative effect of the significant recent inflation, particularly in food prices.  Within Animal Safety, the end market is at or near cyclical lows. As a result, we are optimistic about potential future revenue growth in the segment, particularly if the distribution channel begins to meaningfully restock inventory. The restructuring actions undertaken in our genomics business have resulted in the voluntary attrition of revenue, following the shift in focus already made away from smaller production animals. A portion of our genomics business also serves the companion animal market, which has been experiencing weakness recently, primarily due to the impact of continued inflation, a lower number of pet adoptions, and a higher level of customer in-sourcing.          We continue to evaluate the nature and extent to which these issues impact our business, including consolidated results of operations, financial condition and liquidity. We expect these issues to continue to impact us in fiscal year 2026. 

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RESULTS OF OPERATIONS Historical PeriodsRefer to Part II - Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations in our Form 10-K for the fiscal year ended May 31, 2024 for discussion of the Results of Operations, Segment Results of Operations, and Financial Condition and Liquidity for the year ended May 31, 2024 compared to the year ended May 31, 2023, which is incorporated by reference herein. Executive Overview  

     Year Ended May 31,

     (in thousands)
      
     2025

     2024

     Increase / (Decrease)

     Total Revenues
      
     $
     894,661

     $
     924,222

     $
     (29,561
     )

     Cost of Revenues

     473,285

     460,322

     12,963

     Gross Profit

     421,376

     463,900

     (42,524
     )

     Operating Expenses

     Sales and marketing

     183,798

     182,872

     926

     General and administrative

     218,167

     199,889

     18,278

     Goodwill impairment

     1,059,321

     —

     1,059,321