Neogen Corporation (NEOG)

Gross profit margin

		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	May 31, 2020	Feb 29, 2020	Nov 30, 2019	Aug 31, 2019	May 31, 2019
Gross profit (ttm)	US$ in thousands	473,600	464,681	460,446	405,955	347,772	297,220	245,275	243,013	235,705	232,142	224,762	215,056	209,094	200,575	198,387	196,279	195,080	194,378	193,385	191,920
Revenue (ttm)	US$ in thousands	1,817,638	1,800,899	1,778,001	1,592,370	1,401,365	1,227,465	1,062,406	1,054,318	901,557	761,778	730,744	692,784	674,433	757,462	743,068	727,266	727,954	723,616	722,206	718,610
Gross profit margin		26.06%	25.80%	25.90%	25.49%	24.82%	24.21%	23.09%	23.05%	26.14%	30.47%	30.76%	31.04%	31.00%	26.48%	26.70%	26.99%	26.80%	26.86%	26.78%	26.71%

February 29, 2024 calculation

Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $473,600K ÷ $1,817,638K
= 26.06%

Neogen Corporation's gross profit margin has shown some fluctuations over the past several quarters. The trend indicates that the gross profit margin has been relatively stable within the range of 23% to 31%.

In recent quarters, there was a slight increase in the gross profit margin from 24.21% in August 2022 to 26.06% in February 2024. This improvement suggests that the company may have effectively managed its cost of goods sold or increased the selling price of its products.

It is important to note that a higher gross profit margin indicates that the company is generating more revenue from its core business activities after accounting for the cost of goods sold. On the other hand, a lower gross profit margin may indicate higher costs or pricing pressures in the industry.

Overall, Neogen Corporation's gross profit margin performance should be further analyzed in conjunction with other financial metrics to get a comprehensive understanding of its operational efficiency and profitability.