Americký Úřad pro kontrolu potravin a léčiv (FDA) spojil sterilní veterinární přípravek Neogen Vet HYCOAT se závažnými infekcemi a úhynem nejméně 20 koní; společnost Neogen jej stáhla z trhu v lednu 2026.
NEW YORK, Oct. 20, 2026 (GLOBE NEWSWIRE) -- Pomerantz LLP is investigating claims on behalf of investors of Neogen Corporation (“Neogen” or the “Company”) (NASDAQ: NEOG). Such investors are advised to contact Danielle Peyton at [email protected] or 646-581-9980, ext. 7980.
The investigation concerns whether Neogen and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.
[Click here for information about joining the class action]
On September 29, 2026, the U.S. Food and Drug Administration (“FDA”) announced that it had issued a warning letter to Neogen “following an investigation that linked a veterinary wound care product labeled as sterile, Neogen Vet HYCOAT (hyaluronate sodium sterile solution), to serious infections and deaths in horses.” The FDA said that “[t]his incident involved at least 20 horse deaths, making it the largest number of horse deaths ever associated with a quality defect in an FDA-regulated veterinary medical product and the most deaths of any animal species linked to microbiological contamination of an FDA-regulated product labeled as sterile” and further stated that “Neogen initiated a voluntary recall of HYCOAT in late January 2026.”
On this news, Neogen’s stock price fell $0.99 per share, or 7.22%, to close at $12.73 per share on September 29, 2026.
Pomerantz LLP, with offices in New York, Chicago, Los Angeles, London, Paris, and Tel Aviv, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, Pomerantz pioneered the field of securities class actions. Today, more than 85 years later, Pomerantz continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomlaw.com.
Attorney advertising. Prior results do not guarantee similar outcomes.
NEW YORK, Oct. 13, 2026 (GLOBE NEWSWIRE) -- Pomerantz LLP is investigating claims on behalf of investors of Neogen Corporation (“Neogen” or the “Company”) (NASDAQ: NEOG). Such investors are advised to contact Danielle Peyton at [email protected] or 646-581-9980, ext. 7980.
The investigation concerns whether Neogen and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.
[Click here for information about joining the class action]
On September 29, 2026, the U.S. Food and Drug Administration (“FDA”) announced that it had issued a warning letter to Neogen “following an investigation that linked a veterinary wound care product labeled as sterile, Neogen Vet HYCOAT (hyaluronate sodium sterile solution), to serious infections and deaths in horses.” The FDA said that “[t]his incident involved at least 20 horse deaths, making it the largest number of horse deaths ever associated with a quality defect in an FDA-regulated veterinary medical product and the most deaths of any animal species linked to microbiological contamination of an FDA-regulated product labeled as sterile” and further stated that “Neogen initiated a voluntary recall of HYCOAT in late January 2026.”
On this news, Neogen’s stock price fell $0.99 per share, or 7.22%, to close at $12.73 per share on September 29, 2026.
Pomerantz LLP, with offices in New York, Chicago, Los Angeles, London, Paris, and Tel Aviv, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, Pomerantz pioneered the field of securities class actions. Today, more than 85 years later, Pomerantz continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomlaw.com.
Attorney advertising. Prior results do not guarantee similar outcomes.
Společnost Neogen ve čtvrtletí překonala odhady: tržby meziročně vzrostly o 6,5 % na 222,8 milionu USD a zisk na akcii (EPS) dosáhl 0,08 USD oproti očekávaným 0,05 USD.
Neogen Corporation (NASDAQ:NEOG – Get Free Report) has been assigned a consensus recommendation of “Hold” from the five analysts that are covering the stock, Marketbeat reports. One research analyst has rated the stock with a sell recommendation, one has given a hold recommendation and three have issued a buy recommendation on the company. The average 1-year price objective among brokers that have updated their coverage on the stock in the last year is $12.67.
NEOG has been the subject of a number of research reports. Weiss Ratings raised shares of Neogen from a “sell (e+)” rating to a “sell (d-)” rating in a research note on Friday, August 7th. Wall Street Zen downgraded Neogen from a “strong-buy” rating to a “buy” rating in a research report on Sunday. Guggenheim reaffirmed a “buy” rating and issued a $14.00 target price (up from $12.00) on shares of Neogen in a research note on Wednesday, September 30th. Finally, Piper Sandler upgraded shares of Neogen from a “neutral” rating to an “overweight” rating and increased their price target for the company from $13.00 to $14.00 in a research report on Wednesday, August 26th.
Get Our Latest Analysis on NEOG
Institutional Investors Weigh In On Neogen A number of institutional investors have recently made changes to their positions in NEOG. Farther Finance Advisors LLC raised its position in Neogen by 76.1% in the 3rd quarter. Farther Finance Advisors LLC now owns 2,184 shares of the company’s stock worth $28,000 after purchasing an additional 944 shares during the period. Nykredit A S bought a new stake in Neogen in the second quarter worth $28,000. Public Employees Retirement System of Ohio bought a new stake in Neogen in the second quarter worth $34,000. Integrated Wealth Concepts LLC purchased a new stake in Neogen during the second quarter valued at about $73,000. Finally, Plan A Wealth LLC purchased a new stake in Neogen during the third quarter valued at about $133,000. Hedge funds and other institutional investors own 96.73% of the company’s stock. Neogen Stock Performance NASDAQ:NEOG opened at $11.85 on Friday. The stock has a market cap of $2.59 billion, a P/E ratio of -47.40, a PEG ratio of 4.44 and a beta of 1.79. The company has a quick ratio of 2.92, a current ratio of 3.90 and a debt-to-equity ratio of 0.37. The business’s 50-day moving average price is $12.12 and its two-hundred day moving average price is $10.31. Neogen has a twelve month low of $5.37 and a twelve month high of $14.26.
Neogen (NASDAQ:NEOG – Get Free Report) last issued its quarterly earnings data on Tuesday, October 6th. The company reported $0.08 EPS for the quarter, topping the consensus estimate of $0.05 by $0.03. The company had revenue of $222.80 million during the quarter, compared to analyst estimates of $208.18 million. Neogen had a positive return on equity of 3.29% and a negative net margin of 6.35%. Neogen’s revenue was up 6.5% on a year-over-year basis. During the same quarter in the previous year, the firm earned $0.04 earnings per share. As a group, equities analysts predict that Neogen will post 0.27 EPS for the current fiscal year.
Key Headlines Impacting Neogen Here are the key news stories impacting Neogen this week:
Positive Sentiment: Strong quarterly results and higher guidance: Neogen reported fiscal first-quarter revenue of $222.8 million, up 6.5% year over year and above the $208.2 million consensus estimate. Adjusted earnings of $0.08 per share exceeded expectations by $0.03. Management also raised its fiscal 2027 outlook, supporting the recent increase in the stock. Neogen Q1 Revenue Rises 6.5%; Raises FY27 Outlook Positive Sentiment: Encouraging long-term targets: At its 2026 Investor Day, Neogen outlined plans for sustained growth, greater research and development investment, and expansion toward a 30% EBITDA margin by fiscal 2031. The focus on recurring food-safety demand and innovation strengthens the long-term investment thesis, although execution will be important. Neogen Outlines Strategy for Growth, Innovation and Margin Expansion Positive Sentiment: Analyst and industry support: Coverage has highlighted Neogen as a medical-products company positioned to benefit from favorable industry trends, while commentary on the earnings call described management as confident about its growth path. Medical Product Stocks Positioned to Ride on Industry Tailwinds Neutral Sentiment: Short-interest data is inconsistent: A report described a significant increase in short interest but listed total short interest of zero shares and a 0.0-day short ratio. This suggests no meaningful short-selling pressure, though the data should be treated cautiously. Negative Sentiment: FDA and legal overhang: Reports of an FDA warning related to a contaminated veterinary product could create compliance, reputation, or remediation costs. Separately, Pomerantz LLP announced an investigation into potential investor claims, adding headline and litigation risk. Neogen Received an FDA Warning About Neogen (Get Free Report)
Neogen Corporation is a global provider of food safety and animal safety products and services. The company develops diagnostic tests, laboratory products, and related solutions that help customers detect foodborne pathogens, allergens, toxins, residues, and other contaminants throughout the food production process.
Its food safety portfolio includes test kits, culture media, molecular testing systems, sanitation monitoring products, and laboratory supplies used by food manufacturers, processors, retailers, and regulatory organizations.
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, /PRNewswire/ -- Pomerantz LLP is investigating claims on behalf of investors of Neogen Corporation ("Neogen" or the "Company") (NASDAQ: NEOG). Such investors are advised to contact Danielle Peyton at [email protected] or 646-581-9980, ext. 7980.
The investigation concerns whether Neogen and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.
[Click here for information about joining the class action]
On September 29, 2026, the U.S. Food and Drug Administration ("FDA") announced that it had issued a warning letter to Neogen "following an investigation that linked a veterinary wound care product labeled as sterile, Neogen Vet HYCOAT (hyaluronate sodium sterile solution), to serious infections and deaths in horses." The FDA said that "[t]his incident involved at least 20 horse deaths, making it the largest number of horse deaths ever associated with a quality defect in an FDA-regulated veterinary medical product and the most deaths of any animal species linked to microbiological contamination of an FDA-regulated product labeled as sterile" and further stated that "Neogen initiated a voluntary recall of HYCOAT in late January 2026."
On this news, Neogen's stock price fell $0.99 per share, or 7.22%, to close at $12.73 per share on September 29, 2026.
Pomerantz LLP, with offices in New York, Chicago, Los Angeles, London, Paris, and Tel Aviv, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, Pomerantz pioneered the field of securities class actions. Today, more than 85 years later, Pomerantz continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomlaw.com.
Attorney advertising. Prior results do not guarantee similar outcomes.
Neogen (NEOG) spoléhá na opakující se poptávku po produktech pro bezpečnost potravin; úspěšný přechod na systém Petrifilm by mohl dlouhodobě zlepšit peněžní toky.
SummaryI believe Neogen’s recurring food safety products provide a foundation for its operating recovery.However, management has to execute carefully and proceed with the Petrifilm transition, which, if successful, should improve its cash flows long-term.Also, NEOG’s recent genomics sale should give it extra flexibility, but we have to wait and see until we know how much its earnings may decrease as a result.Still, on balance, I think that NEOG’s ongoing recovery remains a viable “Buy” at these levels for investors seeking exposure to food safety. AleksandarGeorgiev/E+ via Getty Images
Neogen Corporation (NEOG) offers testing technologies and consumable products to assist food producers, laboratories, and animal-health professionals. Their products are used for detecting contamination, checking quality, and protecting livestock, generally speaking. NEOG is also currently experiencing
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Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.
Neogen do fiskálního roku 2031 cílí na růst tržeb ve vysokých jednotkách až nízkých desítkách procent, marži EBITDA kolem 30 % a 80% konverzi volného peněžního toku.
Neogen NASDAQ: NEOG outlined a multi-year strategy at its first Investor Day, emphasizing a shift from business stabilization toward accelerated growth, higher margins and stronger cash generation. Management said the company has delivered positive core growth for four consecutive quarters and is targeting high-single-digit to low-double-digit long-term revenue growth, adjusted gross margins in the high-50% range, adjusted EBITDA margins of approximately 30% and free-cash-flow conversion of about 80% by fiscal 2031.
President and CEO Mike Nassif said the company’s fiscal 2026 focus was stabilizing the business and rebuilding credibility following challenges integrating a large carve-out, as well as supply and service issues. He said Neogen’s transformation has improved supply reliability, customer service and coordination among commercial and cross-functional teams, while cautioning that more work remains.
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Neogen operates in food safety and animal safety. Food safety generated nearly $650 million in fiscal 2026 revenue, while animal safety represented roughly 25% of total revenue. The company said it serves more than 70,000 customers in 135 countries, has over 50,000 instruments installed and generates more than 90% of its revenue from consumables.
Food safety strategy centers on point-of-processing testing Tammi Ranalli, general manager of Food Safety, said customer demand is shifting away from centralized laboratory testing and toward faster testing at the point of processing. She said food producers increasingly want integrated, on-site and data-connected systems that can support quick product-release decisions and audit readiness.
Ranalli said the point-of-processing testing market is already a $5 billion market and is expanding by roughly $140 million annually. She cited customer frustration with fragmented vendor systems and delayed laboratory results as a key opportunity for Neogen.
The company is seeking to combine its Petrifilm products, rapid diagnostics and Neogen Analytics data platform into more comprehensive customer solutions. Ranalli said customers using Neogen Analytics have increased consumable usage by more than 1.5 times, as greater visibility into testing results can lead customers to test more frequently and at additional sample points.
Neogen said its food safety portfolio includes more than 10,000 SKUs and 10 platforms, six of which management said hold market-leading positions. Nassif said foodborne illness outbreaks have increased 50% over the past decade and food recalls cost more than $75 billion annually, creating durable demand for food safety testing.
Commercial transformation targets strategic accounts and international growth Chief Commercial Officer Joe Freels said Neogen is restructuring its go-to-market approach around strategic accounts, solutions-based selling, digital commerce and tighter sales accountability. Under the new strategic-account model, a single Neogen representative will be responsible for enterprise-wide relationships with large global customers, replacing a more fragmented regional coverage model.
Freels said strategic accounts were growing 6.2% year to date, with the company targeting growth of more than 8% by year-end. He also cited a 32% increase in new opportunities, a qualified sales pipeline of $142 million and first-quarter wins of $13 million. On-time fulfillment improved 5%, while back orders declined 27%, according to Freels.
In animal safety, Neogen sees an opportunity to expand internationally. Freels said only about 15% of animal safety revenue currently comes from outside the U.S. and that the company intends to use its existing global infrastructure and distribution capabilities to extend its brands in Europe, Latin America and Asia-Pacific.
Innovation plans include Petrifilm, analytics and imaging Chief Scientific Officer Jeremy Yarwood said Neogen has identified 18 development projects across multiple product categories after implementing a more structured product-development process. The company aims to increase its new product vitality index, or the percentage of revenue from new products, more than tenfold over the next five years.
Yarwood said Neogen expects investments made in fiscal 2027 new product introductions to contribute meaningfully to incremental growth beginning in fiscal 2028. He also said the company is developing technologies designed to improve test speed, workflow integration and the use of food-safety data.
Neogen announced an investment in and collaboration with Hinalea Imaging, which will give Neogen exclusive rights for hyperspectral imaging applications in food safety testing. The company said the technology could support applications including product quality testing, food grading, automated inspection and potentially faster results for Petrifilm products.
Management said Petrifilm remains a major focus. Neogen has built a new manufacturing facility with more than three times its current Petrifilm capacity and plans to transition 17 SKUs from 3M supply over multiple quarters. The company said it has an agreement with 3M through August 2027 but expects Neogen-made products to begin reaching customers in the early part of the next calendar year.
Margin and cash-flow targets rely on multiple initiatives Senior Vice President of Manufacturing and Operations Jim Walter said the company has reduced complaints by 65%, inventory by 23% and improved service levels by 45% over the past year. He said operations will support margin expansion through automation, improved planning, logistics efficiency, manufacturing control and capacity utilization.
Chief Financial Officer Bryan Riggsbee said the company sees five principal contributors to gross-margin expansion: Petrifilm manufacturing improvements, supplier-management savings, manufacturing and logistics consolidation, higher-margin innovation and greater operating leverage. Neogen expects Petrifilm margins to improve by 200 to 300 basis points over time following the manufacturing transition.
Riggsbee said Neogen is increasing research-and-development investment and expects R&D to approach 5% of revenue by fiscal 2031. The company also plans to use proceeds from its genomics transaction to reduce debt, targets net leverage below 2.5 times, and said it expects fiscal 2027 capital expenditures to decline from fiscal 2026 levels as major Petrifilm investments wind down.
Nassif said management’s focus is to execute consistently, improve profitability across the business and use innovation to address customer needs. “The business has stabilized, and we’re gaining momentum,” he said in closing remarks.
About Neogen (NASDAQ:NEOG)Neogen Corporation is a global provider of food safety and animal safety products and services. The company develops diagnostic tests, laboratory products, and related solutions that help customers detect foodborne pathogens, allergens, toxins, residues, and other contaminants throughout the food production process.
Its food safety portfolio includes test kits, culture media, molecular testing systems, sanitation monitoring products, and laboratory supplies used by food manufacturers, processors, retailers, and regulatory organizations.
This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].
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Společnost Neogen zvýšila výhled tržeb pro fiskální rok 2027 na 885–890 milionů USD a výhled upravené EBITDA na 181–183 milionů USD poté, co v prvním čtvrtletí vykázala tržby ve výši 222,8 milionu USD.
Neogen (NASDAQ:NEOG) reported fiscal 2027 first-quarter revenue of $222.8 million, with core growth of 8.1%, as the company cited improved commercial execution, product-line strength in food safety and animal safety, and progress on its Petrifilm manufacturing transition.
Chief Executive Officer Mike Nassif said the quarter marked an acceleration from the prior quarter, though he noted that the timing of certain customer orders contributed to growth. The company is focusing its fiscal 2027 strategy on commercial execution, innovation and operational efficiency while continuing investments intended to support long-term growth and profitability.
Revenue Growth Across Both Segments Food Safety revenue totaled $163.2 million, representing 8.1% core growth. Chief Financial Officer Bryan Riggsbee said first-quarter Food Safety growth received an approximately 400-basis-point benefit from order timing and a comparison to the prior-year period, when two large distributors made inventory adjustments. Within Food Safety, indicator testing and culture media products, including Petrifilm, increased 11%. Bacterial and general sanitation products grew 7%, including double-digit growth in pathogen detection, Riggsbee said.
Animal Safety revenue was $59.6 million and rose 8% on a core basis, including roughly a 100-basis-point benefit from the timing of customer orders. The segment’s growth was driven by veterinary instruments, including needles and syringes supported by improved supply, as well as biosecurity products, particularly insect-control offerings.
Neogen generated growth in each geographic region, led by double-digit growth in Asia-Pacific. U.S. sales represented 49% of quarterly revenue, while international markets accounted for 51%.
During the question-and-answer session, Chief Commercial Officer Joe Freels said the company is working to increase its share of wallet with existing customers rather than relying primarily on new markets. He highlighted a new approach for global strategic accounts, under which a dedicated accountable leader is assigned to individual customers operating across multiple regions. Freels said those accounts grew 6.2% in the first quarter.
Margins, Cash Flow and Debt Neogen reported gross margin of 47.4% and adjusted gross margin of 49.8%, up 30 basis points from a year earlier on an adjusted basis. The adjusted margin improvement reflected higher revenue, partially offset by deliberate investments in operational excellence and inventory optimization.
Adjusted operating expenses were approximately flat year over year. Increased investment in research and development and general and administrative functions was offset by lower sales and marketing costs, including lower logistics and distribution expenses, centralized regional marketing resources and the divestiture of the cleaners and disinfectants business.
Adjusted EBITDA was $41.6 million, or 18.7% of revenue, representing 170 basis points of margin expansion. Adjusted net income was $17.5 million, and adjusted earnings per share were $0.08.
Free cash flow was $4.7 million, improving approximately $18 million from the prior-year quarter. Riggsbee attributed the improvement to higher operating cash flow and reduced capital expenditures as the company approaches completion of the Petrifilm manufacturing transition.
Neogen ended the quarter with about $774 million in debt and $172 million in cash. The company repaid $20 million of its term loan in June and another $10 million at the end of September. It remains compliant with its debt covenants, Riggsbee said.
Petrifilm Transfer and Innovation Initiatives The company said its planned multi-quarter transfer of Petrifilm manufacturing is expected to begin next month. Neogen has completed full validation of its first Petrifilm stock-keeping unit, confirming that the product met production, quality and stability requirements and performed equivalently to product made by its transition partner.
Nassif called the validation a “major de-risking milestone” for the program. He said Neogen is managing the transition around four priorities: customer continuity, safety-stock management, supplier management and disciplined sequencing across 17 SKUs.
Riggsbee said duplicative costs related to the transition are expected to peak and then decline as the transfer is completed. He said the company expects to begin implementing identified operational improvements during fiscal 2028 and anticipates 200 to 300 basis points of margin improvement in fiscal 2029.
Neogen also announced a strategic collaboration with Hinalea, a hyperspectral imaging company. Nassif said the technology could have applications across Food Safety and may help simplify customer workflows through faster detection and decision-making at processing sites.
Guidance Raised; Genomics Sale Still Under Review Neogen raised its fiscal 2027 revenue outlook to $885 million to $890 million and increased adjusted EBITDA guidance to $181 million to $183 million. The guidance continues to include the genomics business, which Neogen has agreed to divest.
The genomics transaction remains under review by regulatory authorities in Australia and New Zealand, with a final decision expected by the end of December. Neogen expects approximately $140 million in net proceeds, primarily for debt reduction. Riggsbee said the sale could reduce net leverage to below three times at closing and closer to 2.5 times by the end of the fiscal year.
The company expects first-half core growth of approximately 3.5%, noting that first-quarter results benefited from timing items and that the second quarter is expected to have the lowest core growth rate of the year. Neogen expects first-half adjusted EBITDA margin to be in line with the first quarter while it continues to invest in R&D, commercial infrastructure, technology and automation.
About Neogen (NASDAQ:NEOG) Neogen Corporation is a global provider of food safety and animal safety products and services. The company develops diagnostic tests, laboratory products, and related solutions that help customers detect foodborne pathogens, allergens, toxins, residues, and other contaminants throughout the food production process.
Its food safety portfolio includes test kits, culture media, molecular testing systems, sanitation monitoring products, and laboratory supplies used by food manufacturers, processors, retailers, and regulatory organizations.
Společnost Neogen navázala strategickou spolupráci s Hinalea Imaging a uskutečnila do ní kapitálovou investici s cílem vyvíjet digitální řešení pro kontrolu bezpečnosti a kvality potravin.
Neogen Announces Strategic Collaboration with Hinalea Imaging to Advance Digital Food Safety Solutions Neogen® Corporation (NASDAQ: NEOG), a global leader in food safety solutions, is advancing its innovation strategy by combining deep food safety expertise with emerging technologies to introduce novel solutions to the Food Safety industry that address evolving customer challenges. As part of that strategy, Neogen today announced a strategic collaboration with and an equity investment in Hinalea Imaging Corp. to develop digital imaging solutions for food safety and quality inspection.
Neogen and Hinalea have worked together since 2025 to evaluate applications for hyperspectral imaging in food safety. Building on that work, the companies plan to jointly develop solutions that could improve inspection and testing workflows and help customers interpret results faster and more consistently. Neogen’s equity investment and shared development costs are intended to accelerate the development of Hinalea’s technology for food safety applications.
“Food producers need solutions that deliver reliable information sooner and reduce the manual work involved in testing and inspection,” said Jeremy Yarwood, Chief Scientific Officer of Neogen. “We believe Hinalea’s imaging technology offers a promising way to address those needs practically and economically. This investment provides an opportunity to deepen our collaboration and develop digital capabilities that bring Neogen’s food safety expertise into new inspection workflows.”
Hyperspectral imaging captures information across a range of wavelengths to help assess product characteristics that conventional images may not reveal. Combined with analytical tools and machine learning, hyperspectral imaging has the potential to support more automated measurement, counting and classification in food safety and quality applications. The two companies will continue to evaluate where the technology can deliver meaningful benefits within customer workflows.
“Food safety and quality inspection are shifting toward digital, connected and increasingly automated workflows,” said Barry McDonogh, CEO of Hinalea Imaging. “Neogen’s investment validates both our technology and our shared vision for the future of food inspection. Together, we believe intelligent imaging can transform how food companies measure and control food quality and safety.”
About Neogen
Neogen Corporation is committed to fueling a brighter future for global food security through the advancement of human and animal well-being. Harnessing the power of science and technology, Neogen has developed comprehensive solutions spanning the Food Safety, Livestock, and Pet Health & Wellness markets. A world leader in these fields, Neogen has a presence in over 140 countries with a dedicated network of scientists and technical experts focused on delivering optimized products and technology for its customers.
About Hinalea Imaging
Hinalea Imaging develops intelligent hyperspectral imaging solutions combining advanced spectral imaging, analytics and machine learning to enable enhanced and automated inspection. Its technology converts spectral information into actionable intelligence across food safety and quality, industrial inspection, healthcare and advanced manufacturing. For more information, visit www.hinalea.ai.
This press release contains forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995 (the “PSLRA”). Neogen intends that such forward-looking statements be covered by the safe harbor provisions for forward-looking statements contained in the PSLRA. Forward-looking statements include, but are not limited to, all statements that are not historical facts, including, without limitation, statements containing a projection of revenues, operating expenses, planned capital expenditures, or other financial items; any statement of the plans and objectives of management for future operations; the ability of Neogen and Hinalea to jointly develop solutions that could automate parts of inspection and testing and help customers interpret results faster and more consistently; the potential benefits of the collaboration with and investment in Hinalea; the ability of Hinalea’s hyperspectral imaging technology to address the needs of food producers and to transform how food companies measure and control food quality and safety; and any statement of the assumptions underlying or relating to any such statement. Words such as “anticipate,” “believe,” “can,” “continue,” “estimate,” “expect,” “may,” “on track,” “plan,” “potential,” “will,” or other words that convey uncertainty of future events or outcomes are used to identify these forward-looking statements.
These forward-looking statements are subject to a number of risks, uncertainties, and assumptions, including, but not limited to: the continued integration of the 3M food safety business and the realization of the expected benefits from that acquisition; the relationship with and performance of our transition manufacturing partner; competition; recruitment and retention of key employees; impact of weather on agriculture and food production; global business disruption caused by geopolitical conflicts and related sanctions, such as the Russia-Ukraine war and the conflict in the Middle East; identification and integration of acquisitions; research and development risks; intellectual property protection; increasing and developing government regulation; and company litigation. These and other important risk factors are described more fully in the Risk Factors sections and other sections of Neogen’s Annual Report on Form 10-K for the year ended May 31, 2026; Neogen’s Quarterly Reports on Form 10-Q, and Neogen’s other filings with the SEC, including any Current Reports on Form 8-K. In light of these risks and uncertainties, the events and circumstances discussed in such forward-looking statements may not occur, and Neogen’s actual results could differ materially and adversely from those anticipated or implied thereby. There can be no assurance that the forward-looking statements contained in this press release will prove to be accurate.
You are cautioned not to place undue reliance on forward-looking statements. Any forward-looking statements speak only as of the date of this press release and are based on information available to Neogen as of the date of this press release. Except as required by applicable law, Neogen does not undertake, and expressly disclaims, any obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. If Neogen does update one or more forward-looking statements, no inference should be drawn that Neogen will make additional updates with respect to those or other forward-looking statements. This cautionary statement is applicable to all forward-looking statements contained in this press release and in any oral statements made by or on behalf of Neogen.
View source version on businesswire.com: https://www.businesswire.com/news/home/20261006691235/en/
Disclosures I/we have no positions in any stocks mentioned, and have no plans to buy any new positions in the stocks mentioned within the next 72 hours.
Key Takeaways Neogen's Food Safety revenues rose 3.1%, with core growth reaching 5.8% in fiscal 2026's fourth quarter.Petrifilm remains a key asset as Neogen brings manufacturing in-house and expands its product platform.Neogen plans to boost fiscal 2027 R&D spending 50%, targeting pathogen detection and sanitation platforms. Neogen (NEOG - Free Report) shares have shown impressive momentum so far this year, surging 83%. The stock has outpaced the industry’s 21.6% fall and the S&P 500 composite’s 11.7% rise.
Carrying a Zacks Rank #2 (Buy) at present, the company’s Food Safety strength and solutions-based selling strategy are supporting growth momentum and portfolio expansion. Neogen is expanding its product and manufacturing capabilities following the 3M Food Safety combination, with Petrifilm playing a key role. It also continues to expand its product pipeline with new launches and differentiated technologies.
Neogen develops, manufactures and markets a diverse line of products and services dedicated to food and animal safety. The company’s Food Safety segment markets diagnostic solutions, test kits, culture media and complementary products used to detect foodborne pathogens, natural toxins, allergens and sanitation concerns. Its Animal Safety portfolio includes life sciences products, veterinary instruments and disposables, animal care products, pest control solutions and genomics services. In March 2026, Neogen agreed to sell its Genomics business to Zoetis for $160 million, subject to regulatory approvals and customary closing conditions.
Factors Supporting NEOG’s Price RallyThe rally in the company’s share price can be linked to the continued momentum in Neogen’s Food Safety segment, its central growth engine, which is supported by a broad portfolio spanning indicator testing, culture media, pathogen detection and sanitation. In the fourth quarter of fiscal 2026, segment revenues jumped 3.1% year over year, while core growth reached 5.8%, the highest quarterly rate since fiscal 2023. Indicator Testing and Culture Media revenues rose 9.5%, while Bacterial and General Sanitation increased 9.9%.
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The company is also shifting toward global solutions-based selling, with resources focused on strategic accounts, disciplined segmentation and higher-return geographies. Management expects this model to deepen portfolio penetration and improve customer engagement.
Neogen’s 2022 combination with 3M’s Food Safety business continues to expand its product breadth and manufacturing capabilities, with Petrifilm remaining a key strategic asset. The company is bringing Petrifilm manufacturing in-house at its Lansing facility. The new manufacturing platform is also designed to support broader innovation, including additional Petrifilm SKUs and expansion into pharmaceuticals, nutraceuticals and consumer products.
Neogen continues to expand its product pipeline across Food and Animal Safety while directing more resources toward differentiated technologies. Recent launches include Neogen MPNTray, the Listeria Right Now molecular detection assay, Igenity BCHF and MDA2 Quantitative Salmonella. Listeria Right Now received AOAC Performance Tested Methods certification in fiscal 2026, supporting broader commercial use of the enrichment-free environmental monitoring test.
Strategically, the company is advancing a three-part transformation centered on commercial execution, innovation and operational efficiency. The commercial program is moving from local product-led selling toward a global solutions-based model, with sales resources being realigned around priority countries, customer segments and strategic accounts. Neogen expects fiscal 2027 research and development (R&D) spending to rise about 50% from fiscal 2026, focused on Petrifilm, informatics, technology licensing and next-generation platforms in pathogen detection and general sanitation.
What Ails NEOG?Historically, Neogen has faced intense competition resulting from the development of new technologies by the company’s competitors, which could affect the marketability and profitability of its products. It also remains materially exposed to foreign currency fluctuations, with international sales accounting for 51.2% of fiscal 2026 revenues.
A Glance at NEOG’s EstimatesThe Zacks Consensus Estimate for NEOG’s fiscal 2027 earnings per share (EPS) is expected to drop 3.1% from 2026 to 31 cents. In the past 60 days, the estimate has risen 1 cent. Meanwhile, fiscal 2028 EPS is projected to grow 17.2% to 36 cents.
The company’s fiscal 2027 revenues are projected to rise 1.5% to $883.2 million, while fiscal 2028 revenues are expected to fall 4.2% to $846.5 million.
Other Key PicksSome other top-ranked stocks in the broader medical space are Veracyte (VCYT - Free Report) , Phibro Animal Health (PAHC - Free Report) and Globus Medical (GMED - Free Report) .
Veracyte has an earnings yield of 4.7% against the industry’s negative 1.4% yield. Shares of the company have risen 29.1% compared with the industry’s 8.2% growth. VCYT’s earnings outpaced estimates in each of the trailing four quarters, the average surprise being 41.8%.
VCYT sports a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Phibro Animal Health, sporting a Zacks Rank #1, has an earnings yield of 10.2% compared with the industry’s 2.5% yield. Its earnings beat estimates in each of the trailing four quarters, the average surprise being 18.4%. PAHC shares have fallen 8.2% against the industry’s 27.7% decline over the past year.
Globus Medical, sporting a Zacks Rank #1, has an earnings yield of 6.8% against the industry’s negative 1.7% yield. Its earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 27.9%. GMED shares have rallied 29% compared with the industry’s 8.3% growth over the past year.
FDA poslala společnosti Neogen formální varovný dopis kvůli kontaminovanému HYCOAT, který byl spojen s úhyny koní. Akcie NEOG v úterý klesly o 4,85 % na 13,06 USD.
The U.S. Food and Drug Administration (FDA) issued a formal warning letter to Mike Nassif, president and CEO of Neogen Corp (NASDAQ:NEOG), related to Neogen Vet’s HYCOAT (Hyaluronate Sodium Sterile Solution).
The letter linked severe microbiological contamination in its HYCOAT hyaluronate sodium sterile solution to widespread horse deaths.
According to official regulatory findings, the incident represents the largest number of equine fatalities ever associated with a product quality defect in any sterile FDA-regulated veterinary medical product.
• Neogen stock is taking a hit today. What’s weighing on NEOG shares?
Fungal Contamination Linked to Animal FatalitiesFederal investigators evaluated more than 95 individual clinical cases following severe adverse events reported in horses across multiple states.
FDA laboratory testing of HYCOAT lot 5A001 confirmed the presence of viable fungal species.
Although marketed as a sterile solution, the contaminated product caused severe health issues, including tissue necrosis, surgical wound dehiscence, systemic sepsis and painful joint infections resulting in euthanasia.
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Unsanitary Contract Manufacturing ConditionsA federal inspection of the contract manufacturing facility revealed widespread insanitary production conditions.
Regulators documented inadequate environmental cleaning lacking sporicidal agents, unmonitored cleanroom air quality, absent environmental and personnel sampling and unsterile employee gowning.
The cleanroom, constructed inside a warehouse facility, suffered from structural disrepair and lacked differential pressure monitoring as well as essential airflow smoke studies demonstrating proper air movement.
Critical Misbranding and Labeling ViolationsRegulators officially classified HYCOAT as both adulterated and misbranded under the Federal Food, Drug and Cosmetic Act.
The product labeling failed to include necessary warnings regarding frequent off-label joint injections and lacked adequate directions for laypersons managing complex medical conditions like surgical wounds or autograft procedures.
Furthermore, packaging omitted required statement language restricting product administration strictly to licensed veterinarians.
Regulatory Response and Compliance TimelineFollowing a voluntary recall of HYCOAT lots 4L001, 4L002, and 5A001 on Jan. 28, federal officials emphasized that product distributors retain ultimate legal responsibility for quality oversight.
Neogen Vet must submit a comprehensive written response outlining corrective actions within 15 working days to avoid potential legal action or further regulatory enforcement measures.
NEOG Price Action: Neogen shares were down 4.85% to $13.06 at the time of publication on Tuesday, according to Benzinga Pro data.
Image by MacroEcon via Shutterstock
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This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Neogen plánuje ve fiskálním roce 2027 zvýšit výdaje na výzkum a vývoj asi o 50 % a v listopadu 2026 spustit vlastní výrobu Petrifilm. Firma zároveň očekává použití zhruba 140 milionů USD z očekávaných čistých výnosů z Genomics na snížení dluhu.
Key Takeaways Neogen is expanding its pipeline with new products and plans to raise fiscal 2027 R&D spending by 50%.NEOG expects in-house Petrifilm production to begin in November 2026, supporting more product innovation.NEOG's Animal Safety supply issues eased, while $140 million of Genomics proceeds may reduce debt. Neogen Corporation (NEOG - Free Report) is advancing its product development efforts across food and animal safety, supported by increased investment in innovation. The company is building on its 3M Food Safety combination to expand manufacturing capacity and pursue new product opportunities. Animal Safety showed a sharper recovery in the fourth quarter of fiscal 2026 as supplier issues eased and product availability improved. Meanwhile, Neogen’s financial position remains pressured by high debt, while intense competition is also a risk.
Over the past year, this Zacks Rank #2 (Buy) stock has surged 107.7% against the 29.3% fall of the industry and the S&P 500’s 17.5% rise.
The renowned food and animal safety product provider has a market capitalization of $2.59 billion. Neogen surpassed earnings estimates in three of the trailing four quarters and missed on one occasion, the average surprise being 57%.
Let’s delve deeper.
NEOG: Factors at PlayProduct Launches: Neogen is expanding its food and animal safety pipeline with new products while shifting more resources toward differentiated technologies. Recent additions include Neogen MPNTray, the Listeria Right Now molecular detection assay, Igenity BCHF and MDA2 Quantitative Salmonella. Listeria Right Now earned AOAC Performance Tested Methods certification in fiscal 2026, supporting broader commercial use of the enrichment-free environmental monitoring test.
Management expects to raise fiscal 2027 R&D spending by about 50%, with investments spanning Petrifilm innovation, digital connectivity, licensed technologies and next-generation pathogen detection and sanitation platforms. Neogen expects the organic development cycle to take 18 to 24 months and plans multiple Petrifilm SKU launches as its in-house manufacturing capabilities expand.
Image Source: Zacks Investment Research
3M Integration Expands Opportunity: The 2022 combination with 3M’s Food Safety business continues to strengthen Neogen’s product breadth and manufacturing capabilities, with Petrifilm playing a key role. Neogen is bringing Petrifilm manufacturing in-house at its Lansing facility and expects to complete validation of the first SKU by the end of August 2026.
Sellable production and a multi-quarter manufacturing transition are expected to begin in November 2026. As the transfer moves forward, management expects duplicate manufacturing costs to decline, with benefits from the transition starting in the following fiscal year. The new platform is designed to accommodate further Petrifilm innovation, along with expansion into pharmaceuticals, nutraceuticals and consumer products. Neogen expects to launch at least two Petrifilm SKUs annually through the new process and has identified at least five candidates. These capabilities could extend the acquired platform beyond its original food and beverage testing base.
Animal Safety Supply Recovery: Neogen’s Animal Safety business entered fiscal 2027 with most of the third-party supplier issues that disrupted fiscal 2026 resolved. Fourth-quarter fiscal 2026 revenues fell 8.2% year over year, while core revenues rose 0.5% and sales increased more than 7% sequentially. The improvement followed an 8.7% core decline in the third quarter as product availability began to normalize.
Management also cited improving production animal markets, with higher meat prices supporting producer profitability and U.S. herd sizes showing signs of stabilization. Commercial resources are focused on priority products and accounts, while supplier qualification and quality processes are being tightened. Animal Safety is expected to grow more slowly than Food Safety in fiscal 2027, but the restored supply base and favorable end-market backdrop should support a more stable medium-term trajectory.
What Ails Neogen?Weak Solvency: Neogen ended fiscal 2026 with $185.5 million in cash against about $800 million in debt. It repaid $20 million after year-end and plans to use roughly $140 million of expected net Genomics proceeds primarily for debt reduction, leaving deleveraging dependent on closing.
Tough Competitive Landscape: Neogen faces intense competition from companies ranging from small businesses to divisions of large multinational companies. Some of these organizations have substantially greater financial resources than the company. Historically, Neogen has faced intense competition resulting from the development of new technologies by competitors, which could affect the marketability and profitability of its products.
NEOG Stock’s Estimate TrendIn the past 30 days, the Zacks Consensus Estimate for Neogen’s earnings for fiscal 2027 has risen 3.3% to 31 cents.
The consensus mark for fiscal 2027 revenues is pegged at $883.2 million, which suggests a 1.5% rise from the prior year.
Other Key PicksSome other top-ranked stocks in the broader medical space are Veracyte (VCYT - Free Report) , Globus Medical (GMED - Free Report) and Teleflex (TFX - Free Report) .
Veracyte has an earnings yield of 4.5% against the industry’s negative 1.3% yield. Shares of the company have risen 42.3% against the industry’s 5% decline. VCYT’s earnings outpaced estimates in each of the trailing four quarters, the average surprise being 41.8%.
VCYT sports a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Globus Medical, carrying a Zacks Rank #2, has an earnings yield of 6% against the industry’s negative 1.3% yield. Its earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 27.9%. GMED shares have rallied 27.5% against the industry’s 5% drop over the past year.
Teleflex, carrying a Zacks Rank #2, has an estimated long-term earnings growth rate of 20.7% compared with the industry’s 12.9% growth. Its earnings beat estimates in three of the trailing four quarters and missed on one occasion, the average surprise being 3.2%. TFX shares have gained 4.2% against the industry’s 5% decline over the past year.
LANSING, Mich.--(BUSINESS WIRE)--Neogen® Corporation (NASDAQ: NEOG) announced today that it will host an Investor Day on Wednesday, October 7, 2026, at 9 a.m. ET in New York City. The focus of the event will be on Neogen’s strategic transformation as the Company provides additional details on its commercial prowess, high-impact innovation, and operational excellence to drive sustainable improvement in financial performance.
Mike Nassif, President and Chief Executive Officer; Bryan Riggsbee, Chief Financial Officer; Dr. Tammi Ranalli, Senior Vice President and General Manager, Global Food Safety; Joe Freels, Chief Commercial Officer; Jeremy Yarwood, Chief Scientific Officer; and Jim Walter, Senior Vice President, Manufacturing and Operations will discuss the company’s plans to deliver long-term profitable growth with the goal of creating value for shareholders. The presentations will be followed by a Q&A session.
A live webcast of the event and presentation materials will be available through the Neogen Investor Relations website, and a replay of the webcast will be available following the event. In-person attendance is by invitation only, and advanced registration is required. Institutional investors and analysts interested in attending should contact Neogen’s Investor Relations team at [email protected].
About Neogen
Neogen Corporation is committed to fueling a brighter future for global food security through the advancement of human and animal well-being. Harnessing the power of science and technology, Neogen has developed comprehensive solutions spanning the Food Safety, Livestock, and Pet Health & Wellness markets. A world leader in these fields, Neogen has a presence in over 140 countries with a dedicated network of scientists and technical experts focused on delivering optimized products and technology for its customers.
Neogen za rok vzrostl o 102,8 % a firma plánuje ve fiskálním roce 2027 zvýšit výdaje na výzkum a vývoj zhruba o 50 %. V divizi Food Safety core růst ve 4. čtvrtletí fiskálního roku 2026 dosáhl 5,8 %, což je nejvíce od fiskálního roku 2023.
Key Takeaways Neogen shares climbed 102.8% in a year, far outpacing the industry's 24.7% decline. Food Safety core growth reached 5.8% in fiscal Q4 2026, its highest quarterly rate since fiscal 2023. NEOG plans to raise fiscal 2027 R&D spending about 50%, targeting innovation and pathogen detection. Neogen Corporation (NEOG - Free Report) has witnessed strong momentum over the past year. Shares of the company have risen 102.8%, outperforming the industry’s 24.7% decline. The S&P 500 composite has increased 21.4% during the same time frame.
With healthy fundamentals and strong growth opportunities, this Zacks Rank #2 (Buy) company appears to be a solid wealth creator for its investors at the moment.
Neogen develops and markets food and animal safety products. The company’s Food Safety Division markets culture media and diagnostic test kits to detect foodborne bacteria, natural toxins, food allergens, drug residues, plant diseases and sanitation concerns.
The Animal Safety division provides veterinary instruments, pharmaceuticals, vaccines, topicals, diagnostic products, rodenticides, cleaners, disinfectants, insecticides and genomics testing services for the global animal safety market.
Factors Favoring NEOG’s Share Price GrowthNeogen’s share price is trending upward, prompted by its research and development efforts, which include new launches like Neogen MPNTray, the Listeria Right Now molecular detection assay, Igenity BCHF and MDA2 Quantitative Salmonella. The company plans to increase fiscal 2027 R&D spending by about 50%, with investment focused on Petrifilm innovation, digital connectivity, licensed technologies and next-generation pathogen detection and sanitation platforms.
Investors are also focused on the company’s Food Safety segment’s quarterly performance. In the fourth quarter of fiscal 2026, segment revenues increased 3.1% year over year, while core growth reached 5.8%, the highest quarterly rate since fiscal 2023. Indicator Testing and Culture Media revenues rose 9.5%, while Bacterial and General Sanitation increased 9.9%. The company is also shifting toward global solutions-based selling, with resources focused on strategic accounts, disciplined segmentation and higher-return geographies. It expects this model to deepen portfolio penetration and improve customer engagement.
Another growth prospective for Neogen is the Animal Safety business, which entered fiscal 2027 with a cleaner supply position after resolving the majority of third-party supplier issues. The company also cited better conditions in production animal markets, with higher meat prices supporting producer profitability and U.S. herd sizes showing signs of stabilization.
Neogen’s 2022 merger with 3M’s Food Safety business is expected to generate significant long-term value for shareholders of the combined company. The merger continues to strengthen Neogen’s portfolio, with Petrifilm remaining a key asset. The company is shifting Petrifilm production to its Lansing facility, with sellable production expected to begin in November 2026.
Image Source: Zacks Investment Research
Factors That May Offset NEOG’s GainsNeogen remains materially exposed to foreign currency movements because international sales accounted for 51.2% of fiscal 2026 revenues. The company does not hedge foreign currency translation risk, and its primary exposures include the euro, British pound and Mexican peso. Foreign currency losses increased to $5.8 million in fiscal 2026 from $3.7 million in fiscal 2025. The company’s fiscal 2027 guidance assumes a 1% negative currency impact on reported growth based on prevailing exchange rates. This exposure can create volatility in reported revenues and earnings even when underlying demand is stable.
Additionally, the company faces intense competition from businesses ranging from small firms to divisions of large multinational corporations. Some of these organizations have substantially greater financial resources than the company. These could affect the marketability and profitability of Neogen’s products.
As of the end of fiscal 2026, the company held $185.5 million in cash versus approximately $800 million in debt.
A Look at NEOG’s EstimatesThe Zacks Consensus Estimate for fiscal 2027 EPS has moved north 10.7% to 31 cents in the past 30 days.
The company has an estimated long-term EPS growth rate of 10% compared with the industry’s 10.8%.
Other Key PicksSome other top-ranked stocks in the broader medical space are Globus Medical (GMED - Free Report) , Veracyte (VCYT - Free Report) and Illumina (ILMN - Free Report) .
Globus Medical has an earnings yield of 5.8% against the industry’s negative 1.7% yield. Its earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 27.9%. GMED’s shares have rallied 42.3% against the industry’s 6.3% decline over the past year.
GMED sports a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Veracyte, sporting a Zacks Rank #1 at present, has an earnings yield of 4.6% against the industry’s negative 1.7% yield. Shares of the company have risen 38% against the industry’s 6.3% decline. VCYT’s earnings outpaced estimates in each of the trailing four quarters, the average surprise being 41.8%.
Illumina, presently carrying a Zacks Rank #2, has an estimated long-term earnings growth rate of 13% compared with the industry’s 23% growth. Its earnings beat estimates in each of the trailing four quarters, the average surprise being 9.7%. ILMN’s shares have rallied 194.6% compared with the industry’s 24.6% growth over the past year.
Neogen Corporation (NEOG) Q4 2026 Earnings Call July 30, 2026 8:00 AM EDT
Company Participants
Scott Gleason
Mikhael Nassif - CEO, President & Director
Joe Freels
R. Riggsbee - CFO & Senior Vice President
Conference Call Participants
Subhalaxmi Nambi - Guggenheim Securities, LLC, Research Division
David Westenberg - Piper Sandler & Co., Research Division
Bob Labick - CJS Securities, Inc.
Presentation
Operator
Hello, everyone. Thank you for joining us, and welcome to the Neogen 4Q '26 Earnings Call. [Operator Instructions] I will now hand the conference over to Scott Gleason. Scott, please go ahead.
Scott Gleason
Thank you for joining us this morning to discuss our fiscal fourth quarter and full year 2026 results. I will briefly cover our non-GAAP and forward-looking disclosures before turning the call over to our CEO, Mike Nassif; our CFO, Bryan Riggsbee; and our CCO, Joe Freels.
Earlier this morning, we issued our fourth quarter and full year results and accompanying presentation, both of which are available on the Investor Relations section of our website. During today's call, we will reference certain non-GAAP financial measures that we believe provide useful insight into our performance. Reconciliations of historical non-GAAP measures are included in our earnings release and presentation. Please also refer to Slide 2 of the presentation, which contains reminders regarding forward-looking statements under the Private Securities Litigation Reform Act. These statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied. These risks are described in our most recent annual report on Form 10-K and in other filings with the SEC. We undertake no obligation to update these forward-looking statements.
With that, I'm pleased to turn the call over to Mike.
Mikhael Nassif
CEO, President & Director
Thank you, Scott. Good morning, and thank you for joining us. We operate in a
Neogen ve 4. čtvrtletí zvýšil tržby na 225,3 milionu USD a core tržby vzrostly o 4,3 %, nejrychleji ve fiskálním roce 2026. Firma zároveň překonala cíl upravené EBITDA a pro fiskální rok 2027 čeká další růst investic do výzkumu a vývoje.
Neogen NASDAQ: NEOG reported fiscal fourth-quarter revenue of $225.3 million, with core revenue growth of 4.3%, its highest growth rate of fiscal 2026. The company said momentum improved across both its food safety and animal safety businesses as it entered fiscal 2027, while management outlined increased spending on research and development, commercial capabilities and technology.
Chief Executive Officer Mike Nassif said the company exceeded its adjusted EBITDA guidance for fiscal 2026 and ended the year with improved growth trends. “Fiscal year 2026 was all about stabilization and foundation building,” Nassif said. “In fiscal year 2027, the focus will be on accelerating profitable growth.”
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Food Safety Growth Accelerates Food safety revenue totaled $166.8 million in the fourth quarter and grew 5.8% on a core basis, which Nassif said was the segment’s highest growth rate since 2023, shortly after Neogen’s acquisition of 3M’s food safety business.
Indicator Testing and Culture Media products grew 9%, while bacteria and general sanitation products grew 10%, according to Chief Financial Officer Bryan Riggsbee. Food safety grew in every global division during the quarter, and the company’s Latin America business posted double-digit growth.
Riggsbee said the company has seen signs of improving food-production volumes, citing public comments from food producers indicating volume growth turned positive in the first calendar quarter of 2026 after a largely weak 2025. However, he said food producers still face inflationary pressures linked to the Ukraine war, leading Neogen to retain a measured view of near-term demand.
The company also cited broader food safety trends, including an eight-year peak in food safety recalls and recalled food volume during calendar 2025, food safety regulatory reforms in China, and a 50% increase in food safety litigation and class-action lawsuits over the past five years.
Commercial Overhaul and Product Portfolio Recovery Chief Commercial Officer Joe Freels said Neogen is restructuring its commercial organization around a new go-to-market strategy, including resource allocation across priority countries, customer segments and product lines. The company has identified 14 priority countries where it believes it can generate the greatest returns.
Freels said the company plans to focus direct sales efforts on higher-value accounts while expanding service to smaller customers through e-commerce and customer-service automation. About 40% of food safety revenue currently flows through e-commerce, though that activity is concentrated among larger accounts because of platform limitations.
The company is also creating a strategic-account function to engage senior decision-makers rather than selling primarily at individual plant locations. Management said it is moving from a product-centric sales approach toward selling integrated solutions, services and technology, including the Neogen Analytics platform.
Freels said Neogen entered fiscal 2027 with a restored product portfolio after resolving prior supply and quality problems and improving full and on-time delivery performance. In animal safety, core revenue grew 0.5% year over year and total revenue increased 7% sequentially as the company resolved the majority of supply-related headwinds.
Neogen has also received authorization to sell two topical aerosol products in Texas and Florida to help address the New World screwworm outbreak. Riggsbee said the company expects a modest contribution from those products in the first quarter, while noting that the path and scale of the outbreak remain uncertain.
Margins, Cash Flow and Debt Reduction Fourth-quarter gross margin was 47.8%, while adjusted gross margin was 49.7%, improving 330 basis points from a year earlier. Management said freight and material costs remained elevated, although losses in the sample collection business narrowed to their lowest level of the year.
Adjusted EBITDA was $45.4 million, up 12% year over year, representing a 20.2% margin. Adjusted net income was $18.7 million, or $0.09 per share. Cash flow from operations exceeded $30 million in the quarter and free cash flow exceeded $26 million.
Neogen ended the quarter with about $794 million in gross debt and $185.5 million in cash. The company repaid $20 million of its term loan in late June and said it remained compliant with all debt covenants.
Management said inventory declined by more than $36 million year over year following implementation of a sales and operations planning process. Meanwhile, its on-time and full delivery rate improved 40% since that process began, according to Nassif.
Fiscal 2027 Outlook Includes Higher Investment For fiscal 2027, Neogen guided for revenue of $880 million to $885 million and adjusted EBITDA of $180 million to $182 million. The outlook assumes approximately 3% core growth, including about $92 million of revenue and $13 million of adjusted EBITDA from the Genomics business.
The company expects to update its outlook once the planned sale of the Genomics business to Zoetis closes. The transaction remains subject to regulatory approvals in Australia and New Zealand, which have moved into second-phase reviews. Neogen continues to target closing by the end of the first half of fiscal 2027 and expects to use the estimated $140 million in net proceeds for debt repayment and investment.
First-quarter fiscal 2027 revenue guidance: $207 million to $209 million. First-quarter adjusted EBITDA guidance: approximately $37 million. Fiscal 2027 R&D spending: expected to rise about 50%. Transformation investments: expected to total $25 million, compared with about $22 million in fiscal 2026. Management said the planned investment increase will limit the pace of margin expansion in fiscal 2027, even as operational efficiency initiatives are expected to offset part of the spending. The company is targeting inventory write-downs, purchase price variance, pricing execution, supplier management and sample collection margins as areas for savings.
Neogen also said its Petrifilm manufacturing transition remains on schedule. It expects to fully validate its first SKU in August and begin a multi-quarter transition to manufacture sellable product in November 2026. Management expects the transition to ultimately contribute 200 to 300 basis points of gross-margin expansion as production ramps and is optimized in fiscal 2028.
Looking longer term, Nassif said Neogen aims to lift adjusted EBITDA margins to about 30%. The company plans to expand R&D toward a long-term target approaching 5% of revenue, with investments spanning Petrifilm, pathogens, sanitation, digital connectivity and potential technology licensing opportunities. Management said these initiatives are expected to begin making a more meaningful contribution to revenue growth starting in fiscal 2029 and beyond.
About Neogen (NASDAQ:NEOG)Neogen Corporation is a global provider of food and animal safety products, offering a broad portfolio of diagnostic and testing solutions. Headquartered in Lansing, Michigan, the company develops and manufactures tests designed to detect foodborne pathogens, allergens and toxins in food, beverage and environmental samples. Since its founding in 1982, Neogen has focused on delivering rapid, accurate and user‐friendly assays to food processors, grain handlers and quality laboratories around the world.
In the food safety arena, Neogen's product lineup includes immunoassay kits, molecular diagnostics and enrichment media for pathogens such as Salmonella, Listeria and E.
This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].
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Neogen zvýšil výhled tržeb pro fiskální rok 2026 na 857–860 milionů USD díky silnému výkonu divize Food Safety. Firma zároveň pokračuje v integraci byznysu Food Safety od 3M.
Key Takeaways Neogen climbed on strong Food Safety performance and raised fiscal 2026 revenue guidance.NEOG expanded its portfolio with new testing products and advanced integration of 3M's Food Safety business. Neogen faces inflation, higher freight costs and ended Q3 fiscal 2026 with $793 million in debt. Neogen Corporation (NEOG - Free Report) has witnessed strong momentum over the past year. Shares of the company have risen 101.1%, outperforming the industry’s 30.4% decline. The S&P 500 composite has increased 22.5% during the same time frame.
With healthy fundamentals and strong growth opportunities, this Zacks Rank #3 (Hold) company appears to be a solid wealth creator for its investors at the moment.
Neogen develops and markets food and animal safety products. The company’s Food Safety Division markets culture media and diagnostic test kits to detect foodborne bacteria, natural toxins, food allergens, drug residues, plant diseases and sanitation concerns.
The Animal Safety division provides veterinary instruments, pharmaceuticals, vaccines, topicals, diagnostic products, rodenticides, cleaners, disinfectants, insecticides and genomics testing services for the worldwide animal safety market.
Factors Favoring NEOG’s Share Price GrowthNeogen’s share price is trending upward, prompted by its strong Food Safety segment’s quarterly performance. In the third quarter of fiscal 2026, revenues totaled $157.6 million, with core revenue growth of 4% being relatively in line with existing market growth rates. Performance was driven by continued strength in indicator testing and culture media products, along with solid growth in pathogen test kits within the bacteria and general sanitation category.
Investors are also focused on the company’s research and development efforts. In late 2025, the company introduced Neogen MPNTray, a new extension of its Colitag Water Testing System, designed for water testing laboratories and municipalities. Other key launches include the Listeria Right Now molecular detection assay, Igenity BCHF and MDA2 Quantitative Salmonella (MDA2QSAL96).
Additionally, Neogen’s 2022 merger with 3M’s Food Safety business is expected to generate significant long-term value for shareholders of the combined company. Neogen has made significant progress in integrating the former 3M Food Safety business, navigating through a complex process amid execution and macroeconomic challenges. The transaction also added 3M’s flagship indicator testing brand, Petrifilm, which is now part of Neogen Culture Media.
Given these positive developments, the company raised its fiscal 2026 revenue guidance to $857-$860 million from $845-$855 million.
Factors That May Offset NEOG’s GainsNeogen’s operating results have been pressured by input cost inflation, including higher raw material expenses. These are further compounded by supplier shifts linked to global tariff changes.
Amid geopolitical tensions involving Iran, Neogen is seeing more tangible pressure in global logistics and freight, with disruptions around key global transit routes, such as the Suez Canal, and the impact of higher energy prices on transportation rates. It is experiencing freight and transportation cost increases in the high single-digit to low double-digit range, equating to approximately $1.5 million per quarter in incremental costs at current rates.
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From a solvency standpoint, Neogen exited the third quarter of fiscal 2026 with cash and cash equivalents of $159.9 million and a relatively high total outstanding debt of $793 million.
A Look at NEOG’s EstimatesThe Zacks Consensus Estimate for fiscal 2026 EPS has remained unchanged at 29 cents in the past 30 days.
The company has an estimated long-term EPS growth rate of 10% compared with the industry’s 12.5%.
Stocks to ConsiderSome better-ranked stocks in the broader medical space are Globus Medical (GMED - Free Report) , Integra LifeSciences (IART - Free Report) and Phibro Animal Health (PAHC - Free Report) .
Globus Medical has an earnings yield of 5.5%, well ahead of the industry’s negative 3% yield. Its earnings surpassed estimates in each of the trailing four quarters, the average surprise being 26.3%. The company’s shares have rallied 43.8% against the industry’s 4.8% decline over the past year.
GMED carries a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Integra LifeSciences, carrying a Zacks Rank #2 at present, has an earnings yield of 16% against the industry’s negative 3% yield. Shares of the company have gained 22.8% compared with the industry’s 4.8% growth. IART’s earnings topped estimates in each of the trailing four quarters, the average surprise being 16.8%.
Phibro Animal Health, carrying a Zacks Rank #2 at present, has an earnings yield of 9.2% compared with the industry’s 2.8% yield. Shares of the company have climbed 43.1% against the industry’s 27.9% decline. PAHC’s earnings beat estimates in each of the trailing four quarters, the average surprise being 16.3%.
