Here's What Key Metrics Tell Us About Neogen (NEOG) Q3 Earnings

For the quarter ended February 2024, Neogen NEOG reported revenue of $228.81 million, up 4.8% over the same period last year. EPS came in at $0.12, compared to $0.12 in the year-ago quarter.

The reported revenue compares to the Zacks Consensus Estimate of $229.94 million, representing a surprise of -0.49%. The company delivered an EPS surprise of -14.29%, with the consensus EPS estimate being $0.14.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Neogen performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

• Revenues- Food Safety: $157.75 million versus $163 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +4.1% change.
• Revenues- Animal Safety: $71.06 million versus the three-analyst average estimate of $66.92 million. The reported number represents a year-over-year change of +6.5%.
• Revenues- Food Safety- Culture Media & Other: $81.17 million versus $82.48 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +4.1% change.
• Revenues- Animal Safety- Life Sciences: $1.37 million versus the two-analyst average estimate of $1.55 million. The reported number represents a year-over-year change of -4.7%.
• Revenues- Animal Safety- Animal Care & Other: $10.07 million versus the two-analyst average estimate of $9.42 million.
• Revenues- Food Safety- Rodent Control, Insect Control & Disinfectants: $10.14 million versus $10.72 million estimated by two analysts on average.
• Revenues- Animal Safety- Rodent Control, Insect Control & Disinfectants: $23.06 million compared to the $22.07 million average estimate based on two analysts.
• Revenues- Food Safety- Bacterial & General Sanitation: $40.40 million compared to the $42.50 million average estimate based on two analysts. The reported number represents a change of +2.4% year over year.
• Revenues- Food Safety- Natural Toxins, Allergens & Drug Residues: $19.74 million versus $21.11 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +2.8% change.
• Revenues- Animal Safety- Veterinary Instruments & Disposables: $17.98 million compared to the $14.03 million average estimate based on two analysts. The reported number represents a change of +16.5% year over year.

Shares of Neogen have returned -11.2% over the past month versus the Zacks S&P 500 composite's +1.7% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.

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