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Nov 30, 2022

Neogen Q2 2023 Earnings Report

Neogen's Q2 2023 performance was marked by a 76.2% increase in revenue, driven by the integration of the 3M Food Safety Division, although net income was negatively impacted by transaction costs and related expenses.

Key Takeaways

Neogen reported a 76.2% increase in revenue to $230.0 million for Q2 2023, driven by the acquisition of the 3M Food Safety Division. However, the company experienced a net loss of $(41.8) million, or $(0.19) per share, due to transaction and integration costs. Adjusted Net Income was $31.4 million, or $0.15 per share.

Revenue increased by 76.2% to $230.0 million compared to the prior-year quarter.

Net loss was $(41.8) million, or $(0.19) per share, due to merger-related costs.

Adjusted Net Income reached $31.4 million, or $0.15 per share.

Adjusted EBITDA was $64.1 million, with a margin of 27.8%.

Total Revenue
$230M
Previous year: $131M
+76.2%
EPS
$0.15
Previous year: $0.1
+50.0%
Adjusted EBITDA Margin
27.8%
Gross Profit
$113M
Previous year: $60.6M
+85.7%
Cash and Equivalents
$276M
Previous year: $389M
-29.0%
Total Assets
$4.56B
Previous year: $967M
+372.1%

Neogen

Neogen

Neogen Revenue by Segment

Forward Guidance

Certain portions of this news release that do not relate to historical financial information constitute forward-looking statements. These forward-looking statements are subject to certain risks and uncertainties. Actual future results and trends may differ materially from historical results or those expected depending on a variety of factors listed in Management’s Discussion and Analysis of Financial Condition and Results of Operations in the company’s most recently filed Form 10-K.

Revenue & Expenses

Visualization of income flow from segment revenue to net income