Neogen Corporation (NEOG)
Fixed asset turnover
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 894,661 | 905,996 | 913,828 | 912,199 | 924,222 | 929,238 | 918,681 | 919,085 | 822,447 | 720,730 | 630,719 | 531,203 | 527,159 | 514,491 | 502,956 | 487,439 | 468,459 | 450,108 | 433,268 | 426,071 |
| Property, plant and equipment | US$ in thousands | — | — | — | — | — | — | — | 235,595 | 198,749 | 164,888 | 148,170 | 121,021 | 110,584 | 104,699 | 100,863 | 99,515 | 100,453 | 97,981 | 83,774 | 82,349 |
| Fixed asset turnover | — | — | — | — | — | — | — | 3.90 | 4.14 | 4.37 | 4.26 | 4.39 | 4.77 | 4.91 | 4.99 | 4.90 | 4.66 | 4.59 | 5.17 | 5.17 |
May 31, 2025 calculation
Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $894,661K ÷ $—K
= —
The fixed asset turnover ratio for Neogen Corporation experienced notable fluctuations over the period from August 31, 2020, through August 31, 2023. Initially, the ratio remained constant at 5.17 from August 31, 2020, through November 30, 2020, indicating stable efficiency in utilizing fixed assets to generate net sales. Subsequently, a decline was observed, dipping to 4.59 as of February 28, 2021, and hovering around similar levels through May 31, 2021 (4.66) and August 31, 2021 (4.90). The ratio increased slightly to 4.99 at the end of 2021, suggesting marginally improved asset utilization, and remained relatively steady at 4.91 as of February 28, 2022.
However, starting in mid-2022, a downward trend becomes apparent, with the ratio decreasing to 4.77 on May 31, 2022, and continuing to decline to 4.39 by August 31, 2022. The decline persisted into late 2022 and early 2023, with ratios of 4.26 (November 30, 2022), 4.37 (February 28, 2023), and further down to 4.14 as of May 31, 2023. By August 31, 2023, the ratio further declined to 3.90.
This overall pattern suggests a gradual reduction in operational efficiency in utilizing fixed assets to generate sales over the three-year span, with the ratio decreasing approximately by 1.27 points from its initial high of 5.17 to 3.90. The continued downward trend indicates that either the company has increased its fixed assets faster than sales growth, or that efficiency in asset utilization has declined during this period. The ratio data for subsequent periods (November 30, 2023, through beyond 2024) are unavailable, so the trend beyond August 2023 cannot be assessed within this dataset.
Peer comparison
May 31, 2025