Neogen Corporation (NEOG)

Debt-to-equity ratio

		Nov 30, 2024	Aug 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	May 31, 2020	Feb 29, 2020	Nov 30, 2019
Long-term debt	US$ in thousands	889,867	889,129	887,653	886,915	886,177	885,439	884,701	923,962	—	0	—	—	—	—	—	—	—	—	—	—
Total stockholders’ equity	US$ in thousands	2,669,070	3,135,190	3,146,170	3,147,570	3,146,180	3,134,220	3,125,560	3,106,260	883,798	887,374	875,544	865,476	855,363	840,377	807,683	777,395	751,546	725,177	711,871	690,917
Debt-to-equity ratio		0.33	0.28	0.28	0.28	0.28	0.28	0.28	0.30	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00

November 30, 2024 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $889,867K ÷ $2,669,070K
= 0.33

The debt-to-equity ratio of Neogen Corporation has remained consistently at 0.00 from November 30, 2019, to May 31, 2022. This indicates that the company had no debt during this period relative to its equity. However, there was an increase in the ratio starting from November 30, 2022, where it stood at 0.30 and gradually increased to 0.33 by November 30, 2024. This rise suggests that Neogen Corporation has started utilizing debt as a part of its capital structure, with a higher proportion of debt relative to equity in its funding mix. This could be a strategic decision to leverage debt for growth opportunities or investment activities. It will be important for stakeholders to monitor this trend to ensure that the company is effectively managing its debt levels and maintaining a healthy balance between debt and equity financing.