Neogen Q1 2025 – Revenue Down 5.3%, Net Loss of $12.6M

By Bobby Samwell • Thursday, October 10 10:20 • Permanent Link

Neogen Corporation (NASDAQ: NEOG) has reported its first-quarter results for 2025, with a revenue of $217.0 million. This represents a decrease of 5.3% compared to the prior year. The company reported a net loss of $12.6 million, or $(0.06) per diluted share, compared to a net income of $1.5 million, or $0.01 per diluted share, in the previous year. Adjusted net income was $14.4 million, or $0.07 per diluted share, down from $23.7 million, or $0.11 per diluted share, in the prior-year period.

The gross margin for the first quarter of fiscal 2025 was 48.4%, compared to 51.0% in the same quarter a year ago. Adjusting for certain costs, the gross margin was 50.7% compared to 51.6% in the prior-year quarter.

First-quarter adjusted EBITDA was $43.7 million, representing an adjusted EBITDA margin of 20.1%, down from $52.4 million and a margin of 22.9% in the prior-year period.

In the food safety segment, revenues were $159.3 million, a decrease of 4.2% compared to the prior year, with core growth at 1.1%. The animal safety segment reported revenues of $57.6 million, down 8.1% from the prior year.

Neogen Corporation is maintaining its full-year outlook, with revenue expected to be in the range of $925 million to $955 million, and adjusted EBITDA in the range of $215 million to $235 million.

As of August 31, 2024, the company had total cash of $120.5 million and total outstanding non-current debt of $900.0 million, as well as committed borrowing headroom of $150.0 million.

The company will host a conference call to discuss these financial results. The market has reacted to these announcements by moving the company's shares -5.7% to a price of $14.01. Check out the company's full 8-K submission here.

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