Neogen Corporation (NEOG)
Solvency ratios
| 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.19 | 0.19 | 0.19 | 0.19 | 0.20 | 0.20 | 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 | 0.00 |
| Debt-to-capital ratio | 0.22 | 0.22 | 0.22 | 0.22 | 0.22 | 0.23 | 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 | 0.00 |
| Debt-to-equity ratio | 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 | 0.00 |
| Financial leverage ratio | 1.46 | 1.46 | 1.45 | 1.45 | 1.44 | 1.47 | 1.11 | 1.12 | 1.12 | 1.12 | 1.09 | 1.09 | 1.09 | 1.09 | 1.09 | 1.10 | 1.09 | 1.09 | 1.09 | 1.09 |
Neogen Corporation has maintained relatively stable solvency ratios over the time period observed. The debt-to-assets, debt-to-capital, and debt-to-equity ratios have consistently been low, indicating that the company has a conservative level of debt in relation to its assets, capital, and equity. This suggests that Neogen Corporation relies more on equity financing than debt, which may indicate lower financial risk.
The financial leverage ratio, which measures the company's total assets relative to its equity, has also been relatively stable with slight fluctuations. A higher financial leverage ratio indicates higher financial risk, but Neogen Corporation has kept this ratio at moderate levels throughout the period, suggesting a balanced capital structure.
Overall, Neogen Corporation's solvency ratios show a prudent approach to managing its debt levels and financial risk, which may contribute to its overall financial stability and sustainability.
Coverage ratios
| 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Interest coverage | 0.99 | 1.08 | 0.77 | 0.84 | 1.34 | 2.72 | 650.53 | 814.14 | 574.02 | 192.45 | 85.77 | 45.95 | 23.21 | 15.85 | 13.48 | 11.27 | 11.48 | 12.33 | 12.89 | 14.54 |
The interest coverage ratio measures a company's ability to meet its interest obligations with its operating income. A higher interest coverage ratio indicates a company is more capable of servicing its debt.
In the case of Neogen Corporation:
- The interest coverage ratio fluctuated significantly over time, ranging from as low as 0.77 to as high as 814.14.
- In the recent period, the interest coverage ratio has been relatively stable, hovering around 1.0, indicating a marginal ability to cover interest expenses with operating income.
- The sharp spikes in interest coverage ratios in the past suggest significant improvements in the company's ability to service its debt, possibly due to increased operating income or reduced interest expenses.
- However, the extremely high interest coverage ratios in some periods, such as 650.53 or 814.14, may indicate anomalous data points or irregularities in the financial statements rather than sustainable financial performance.
Overall, Neogen Corporation's interest coverage ratios exhibit variability, and further analysis is needed to understand the underlying factors contributing to the fluctuations observed.