Delivered Strong Core Growth in Q4 FY26 with Food Safety Core Growth Highest Since FY23
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Fiscal fourth quarter 2026 revenue of $225.3 million representing growth of (0.1%) and Core Growth1 of 4.3%; Full fiscal year 2026 revenue of $870.4 million with growth of (2.7%) and Core Growth1 of 1.9%
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Food Safety fourth quarter revenue growth of 3.1% and Core Growth1 of 5.8%; highest quarterly core growth rate since FY 2023
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Animal Safety fourth quarter revenue growth of (8.2%), Core Growth1 of 0.5%; revenue grew 7% sequentially due to resolution of the majority of supply challenges
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Net loss of $11.3 million in the fourth quarter 2026 with EPS of $(0.05); Adjusted Net Income1 of $18.7 million and Adjusted EPS1 of $0.09
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Fourth quarter 2026 cash flow from operations of $30.2 million and free cash flow of $26.2 million
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Fourth quarter 2026 Adjusted EBITDA1 of $45.4 million; with Adjusted EBITDA1 margin of 20.2%
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Company on track to manufacture sellable Petrifilm® product and begin planned multi-quarter manufacturing transition in November 2026; first completed fully validated single kit unit (SKU) expected by the end of August 2026
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Company provides FY 2027 financial guidance for revenue and Adjusted EBITDA1
1 Non-GAAP financial measures; see explanations and reconciliations that follow
LANSING, Mich., July 30, 2026--( BUSINESS WIRE )--Neogen® Corporation (NASDAQ: NEOG), an innovative leader in food safety solutions, announced its financial results for the fiscal fourth quarter and full fiscal year 2026 and provided financial guidance for its fiscal year first quarter and full fiscal year 2027.
"We ended fiscal year 2026 with significant momentum and have a number of initiatives underway to further enhance our commercial efforts and the way we approach customers and our core markets. Fiscal year 2027 will be a year of disciplined execution and investment in core areas as we look to drive high-impact innovation and operational efficiency through additive technology and improved process. Ultimately, our goal is to exit FY27 positioned for enhanced future growth and profitability," said Mike Nassif, Neogen's President and Chief Executive Officer.
He continued, "We are providing our fiscal guidance for 2027, and we have stayed true to our principles of delivering on our commitments. Our entire organization is focused on disciplined execution and sustaining the operational momentum that we have seen in the business throughout fiscal year 2026. I'm extremely proud of our team and want to thank our employees for their significant contributions to the success of our company."
Financial Highlights
Revenue by Products and Geography
Three months ended May 31,
Twelve months ended May 31,
(in millions)
2026
2025
% Change
2026
2025
% Change
Food Safety:
Natural Toxins & Allergens
$
19.2
$
18.5
3.8
%
$
77.5
$
77.0
0.6
%
Bacterial & General Sanitation
46.7
42.5
9.9
%
175.4
164.8
6.4
%
Indicator Testing, Culture Media
86.8
79.3
9.5
%
332.7
312.2
6.6
%
Rodent Control, Insect Control & Disinfectants
3.9
11.3
(65.5
)%
18.2
47.0
(61.3
)%
Genomics Services
6.6
6.3
4.8
%
24.6
23.4
5.1
%
Other
3.6
3.9
(7.7
)%
12.7
13.7
(7.3
)%
$
166.8
$
161.8
3.1
%
$
641.1
$
638.1
0.5
%
Animal Safety:
Life Sciences
1.8
1.6
12.5
%
6.6
6.5
1.5
%
Veterinary Instruments & Disposables
15.8
16.1
(1.9
)%
56.9
61.5
(7.5
)%
Animal Care & Other
7.0
8.0
(12.5
)%
29.3
34.7
(15.6
)%
Rodent Control, Insect Control & Disinfectants
16.7
21.5
(22.3
)%
68.9
88.1
(21.8
)%
Genomics Services
17.2
16.5
4.2
%
67.6
65.8
2.7
%
$
58.5
$
63.7
(8.2
)%
$
229.3
$
256.6
(10.6
)%
Total Revenue, net
$
225.3
$
225.5
(0.1
)%
$
870.4
$
894.7
(2.7
)%
Three months ended May 31,
Twelve months ended May 31,
2026
2025
Change %
2026
2025
Change %
Domestic
110.3
$
112.5
(2.0
)%
$
425.1
$
446.0
(4.7
)%
International
115.0
113.0
1.8
%
$
445.3
448.7
(0.8
)%
Total revenue
$
225.3
$
225.5
(0.1
)%
$
870.4
$
894.7
(2.7
)%
-
Revenues for the fourth quarter were $225.3 million, growth of (0.1%) when compared to $225.5 million in the prior year. Core revenue, which excludes the impacts of foreign currency translation, as well as divestitures completed and product lines discontinued in the last 12 months, increased by 4.3%, the highest rate in fiscal year 2026.
-
Food Safety segment revenue was $166.8 million in the fourth quarter, increasing 3.1% relative to the fourth quarter of fiscal year 2025. Core Food Safety revenue growth increased 5.8% on a year-over-year basis, the highest rate since the period immediately following the acquisition of the 3M® Food Safety business in FY23. The Company saw continued strong growth in Indicator Testing and Culture Media which was up 9.5% in the fourth quarter and Bacterial and General Sanitation which grew 9.9% over the prior year quarter.
-
Animal Safety segment revenue was $58.5 million in the fourth quarter, representing growth of (8.2%) relative to the fourth quarter of fiscal year 2025. Core Animal Safety revenue increased 0.5% on a year-over-year basis. On a sequential basis, Animal Safety revenue increased by over 7% as the Company resolved the majority of the supply related challenges, which had resulted in product shortages.
-
Domestic revenue in the quarter was $110.3 million and international revenue was $115.0 million. Compared to the fourth quarter of fiscal year 2025, the Company saw double digit growth in Latin America in the quarter and Food Safety growth across all global geographies.
Summary of Income Statement
Three months ended May 31,
Twelve months ended May 31,
2026
2025
2026
2025
Revenue
$
225.3
$
225.5
$
870.4
$
894.7
Cost of Revenues
117.5
$
132.6
461.9
473.3
Gross Profit
107.8
92.9
408.5
421.4
Gross Margin
47.8
%
41.2
%
46.9
%
47.1
%
Operating Expenses
104.7
704.1
430.1
1,482.4
Operating Income (Loss)
$
3.1
$
(611.2
)
$
(21.6
)
$
(1,061.0
)
Operating Margin
1.4
%
(271.0
)%
(2.5
)%
(118.6
)%
Net Loss
$
(11.3
)
$
(612.2
)
$
(7.9
)
$
(1,092.0
)
Net Loss Per Diluted Share
$
(0.05
)
$
(2.82
)
$
(0.04
)
$
(5.03
)
Non-GAAP Financial Measures
EBITDA
$
31.2
$
(584.4
)
$
164.9
$
(945.1
)
EBITDA Margin
13.8
%
(259.2
)%
18.9
%
(105.6
)%
Adjusted Gross Profit
$
111.9
$
104.7
$
437.8
$
449.4
Adjusted Gross Margin
49.7
%
46.4
%
50.3
%
50.2
%
Adjusted Operating Income
$
39.1
$
35.0
$
153.9
$
161.1
Adjusted Operating Margin
17.4
%
15.5
%
17.7
%
18.0
%
Adjusted EBITDA
$
45.4
$
40.6
$
177.8
$
184.2
Adjusted EBITDA Margin
20.2
%
18.0
%
20.4
%
20.6
%
Adjusted Net Income
$
18.7
$
11.3
$
70.2
$
70.9
Adjusted Earnings Per Share
$
0.09
$
0.05
$
0.32
$
0.33
-
Gross margin was 47.8% in the fourth quarter of fiscal 2026. This compares to a gross margin of 41.2% in the same quarter a year ago. Adjusted gross margin was 49.7% compared to 46.4% in the previous year. The improvements to gross margin and adjusted gross margin were driven by favorable mix benefits and benefits from pricing changes.
-
Net loss for the fourth quarter was $11.3 million, or $(0.05) per diluted share, compared to a net loss of $612.2 million, or $(2.82) per diluted share, in the prior year period. Adjusted Net Income for the fourth quarter was $18.7 million, or $0.09 per diluted share, compared to $11.3 million, or $0.05 per diluted share, in the prior year period.
-
Fourth quarter Adjusted EBITDA was $45.4 million, representing an Adjusted EBITDA Margin of 20.2%, compared to $40.6 million and an Adjusted EBITDA margin of 18.0% in the prior year period. Adjusted EBITDA margins benefited from the impact of the Company's first quarter cost saving initiatives and improvements in gross margins.
Business and Operational Highlights
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The Company is on track to manufacture sellable Petrifilm product and begin its planned multi-quarter manufacturing transition of Petrifilm to its Lansing manufacturing site beginning in November 2026. The Company anticipates having its first fully validated SKU completed by the end of August 2026.
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Neogen is supporting efforts to counter the New World Screwworm (NWS) expansion in the United States. The Company received expanded availability of Federal Rodenticide, Fungicide, and Rodenticide Act (FIFRA) Section 2(ee) recommendations for the use of Prozap® Insectrin X Concentrate and Prozap® Screw Worm and Ear Tick Aerosol as part of NWS response efforts. These recommendations provide ranchers, livestock producers, and horse owners with an additional option to support fly management efforts.
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Neogen will continue to work toward completing the previously announced sale of its global Genomics business to Zoetis Inc. by the end of the first half of fiscal year 2027 with anticipated total proceeds of $160 million and net proceeds following taxes and closing costs of approximately $140 million. The Company plans to use the proceeds from the transaction primarily for debt reduction. In July, the Australian Competition and Consumer Commission (ACCC) and the New Zealand Commerce Commission (NZCC) announced that they are moving their respective reviews of Neogen's proposed genomics divestiture into the second phase of review. Neogen will continue to cooperate with the ACCC and the NZCC as they complete their respective review processes.
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The Company's Molecular Detection Assay - Listeria Right Now™ rapid environmental monitoring test has received AOAC® Performance Tested Method s℠ (PTM) certification (No. 042604), validating the test's performance for the enrichment-free detection of viable and non-viable Listeria species on stainless steel surfaces.
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The Company is in the process of launching its new global go-to-market strategy and enterprise-wide solutions-based selling model. As part of this launch, the Company is realigning sales resources to focus on its most important markets, products, and customers to drive overall growth. Additionally, the Company has launched unified solutions‑based selling standards across all global markets designed to enhance portfolio selling and deepen customer engagement by leveraging its broad portfolio of product solutions, data analytics capabilities, and training and technical support offerings.
Financial Guidance
(in millions)
FY27 Financial Guidance
FY27Q1 Financial Guidance
Revenue
$880 - $885 million
$207-209 million
Adjusted EBITDA1
$180 - $182 million
Approximately $37 million
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The Company is providing FY 2027 financial guidance calling for total revenue in the range of $880 to $885 million and adjusted EBITDA of approximately $180 to $182 million. This guidance includes an estimate of $92 million of revenue and $13 million in adjusted EBITDA associated with the Company's Genomics division. Management intends to update its guidance in the future to reflect the sale of the Genomics business. The Company continues to work toward closing this transaction by the end of the first half of fiscal year 2027. The guidance implies core growth of approximately 3% which excludes approximately $6 million in Cleaners & Disinfectants revenue from fiscal year 2026 and assumes a 1% negative impact from currency based upon current exchange rates.
-
For the first quarter of fiscal year 2027, the Company is guiding toward total revenue in the range of $207 to $209 million and Adjusted EBITDA of approximately $37 million. Revenue and Adjusted EBITDA are typically negatively impacted in the first fiscal quarter due to seasonality and mix changes. Additionally, management anticipates improvements in overall revenue and profitability throughout fiscal year 2027 as it leverages key investments and has time to execute on its sales and operational initiatives.
Adjusted EBITDA is a non-GAAP financial measure. The Company is not able to reconcile the Adjusted EBITDA outlook to the most directly comparable GAAP measure, forecasted net income, on a forward-looking basis without unreasonable efforts. This is due to the inherent difficulty in forecasting certain items that are necessary for such reconciliation, including (without limitation) non-cash stock-based compensation expense, integration-related expenses, restructuring and transformation-related costs, impairment charges, and the related tax effects of these items. These items are uncertain, depend on various factors outside of the Company's control, and could be material to the Company's results calculated in accordance with GAAP. Accordingly, the Company is unable to provide a probable significance of the unavailable information, but such unavailable information could have a potentially significant impact on the Company's actual net income for fiscal year 2027.
Conference Call and Webcast
Neogen Corporation will host a conference call today at 8:00 a.m. Eastern Time to discuss the Company's financial results. The live webcast of the conference call and accompanying presentation materials can be accessed through Neogen's website at neogen.com/investor-relations. For those unable to access the webcast, the conference call can be accessed by dialing 1-833-461-5787 (North America) or (+1) 626-884-3620 (International) and requesting the Neogen Corporation Fourth Quarter 2026 Earnings Call (conference ID 741 914 740). A replay of the conference call and webcast will be available on Neogen's Investor Relations website at neogen.com/investor-relations and through the following link: https://events.q4inc.com/attendee/741914740 .
About Neogen
Neogen Corporation is committed to fueling a brighter future for global food security through the advancement of human and animal well-being. Harnessing the power of science and technology, Neogen has developed comprehensive solutions spanning the Food Safety, Livestock, and Pet Health & Wellness markets. A world leader in these fields, Neogen has a presence in over 140 countries with a dedicated network of scientists and technical experts focused on delivering optimized products and technology for its customers.
Safe Harbor Statement
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, among others, statements regarding our outlook, guidance and objectives; plans and expectations and timing relating to our manufacturing transitions (including Petrifilm), supply chain remediation, commercial initiatives and cost-efficiency programs; expected timing and effects of portfolio actions (including the announced divestiture of the genomics business); capital allocation and deleveraging goals; market conditions and demand trends; and any other statements that are not historical facts. In some cases, you can id...
