Neogen Corporation (NEOG)

Debt-to-equity ratio

		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	Aug 31, 2019
Long-term debt	US$ in thousands	889,129	887,653	886,915	886,177	885,439	884,701	923,962	—	0	—	—	—	—	—	—	—	—	—	—	—
Total stockholders’ equity	US$ in thousands	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	660,306
Debt-to-equity ratio		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	0.00

August 31, 2024 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $889,129K ÷ $3,135,190K
= 0.28

The debt-to-equity ratio of Neogen Corporation has been consistently at 0.28 for the most recent seven quarters, indicating a stable capital structure with a moderate reliance on debt. However, in the quarter ending November 30, 2022, there was a slight increase to 0.30, which suggests a slightly higher proportion of debt relative to equity. Notably, in the preceding quarters dating back to November 30, 2021, the company had a debt-to-equity ratio of 0.00, reflecting a period of no debt or a minimal amount in comparison to equity.

Overall, the historical trend implies that Neogen Corporation has maintained a conservative approach to debt financing, maintaining a healthy balance between debt and equity in its capital structure. This stability in the debt-to-equity ratio could be interpreted as a positive sign of financial prudence and effective management of capital resources by the company.