Neogen Corporation (NEOG)

Days of inventory on hand (DOH)

May 31, 2025 Feb 28, 2025 Nov 30, 2024 Aug 31, 2024 May 31, 2024 Feb 29, 2024 Nov 30, 2023 Aug 31, 2023 May 31, 2023 Feb 28, 2023 Nov 30, 2022 Aug 31, 2022 May 31, 2022 Feb 28, 2022 Nov 30, 2021 Aug 31, 2021 May 31, 2021 Feb 28, 2021 Nov 30, 2020 Aug 31, 2020
Inventory turnover 2.48 2.26 2.35 2.32 2.43 2.50 2.83 3.26 3.11 2.59 2.45 2.22 2.32 2.46 2.53 2.57 2.52 2.43 2.51 2.33
DOH days 147.19 161.61 155.56 157.54 150.07 146.11 129.06 111.97 117.27 140.79 148.92 164.72 157.12 148.46 144.33 141.88 145.05 150.33 145.14 156.42

May 31, 2025 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 2.48
= 147.19

The days of inventory on hand (DOH) for Neogen Corporation have exhibited notable fluctuations over the analyzed period from August 31, 2020, through May 31, 2025. Initially, the DOH was approximately 156.42 days at the end of August 2020, indicating a relatively high level of inventory relative to sales activities. Over the subsequent months, a declining trend is observed, with a consistent decrease culminating in a low of approximately 111.97 days as of August 31, 2023. This reduction suggests improved inventory management efficiency or a faster turnover rate during that interval.

Following this low point, the DOH increased again, reaching approximately 129.06 days by November 30, 2023. The trend then continued upward, with the figure rising to around 146.11 days at the end of February 2024 and further increasing to approximately 150.07 days by May 2024. The continued upward movement persists into the subsequent measurement period, with the DOH recorded at 157.54 days on August 31, 2024. Despite this rise, a slight decrease is observed by November 30, 2024, at approximately 155.56 days.

Looking further ahead, projections for the period ending May 31, 2025, indicate a DOH of approximately 147.19 days, suggesting a partial stabilization or modest reduction in inventory levels relative to sales. Overall, the company's inventory management has experienced periods of both efficiency improvements—reflected in declining DOH figures—and inventory accumulation, as indicated by upward shifts in the ratio over certain intervals.