Segment Information

12 Months Ended

May 31, 2024

Segment Information

12. Segment Information

The Company has two reportable segments: Food Safety and Animal Safety. The Food Safety segment is primarily engaged in the development, production and marketing of diagnostic test kits and related products used by food producers and processors to detect harmful natural toxins, foodborne bacteria, allergens and levels of general sanitation. The Animal Safety segment is primarily engaged in the development, production and marketing of products dedicated to animal safety, including a complete line of consumable products marketed to veterinarians and animal health product distributors. This segment also provides genomic identification and related interpretive bioinformatic services. Additionally, the Animal Safety segment produces and markets rodent control products, disinfectants and insect control products to assist in the control of rodents, insects and disease in and around agricultural, food production and other facilities.

Many of our international operations originally focused on the Company’s food safety products, and each of these units reports through the Food Safety segment. In recent years, these operations have expanded to offer the Company’s complete line of products and services, including those usually associated with the Animal Safety segment such as cleaners, disinfectants, rodent control products, insect control products, veterinary instruments and genomics services. These additional products and services are managed and directed by existing management and are reported through the Food Safety segment.

Neogen’s operation in Australia originally focused on providing genomics services and sales of animal safety products and reports through the Animal Safety segment. With the acquisition of Cell BioSciences in February 2020, this operation expanded to offer our complete line of products and services, including those usually associated with the Food Safety segment. These additional products are managed and directed by existing management at Neogen Australasia and reports through the Animal Safety segment. While Neogen was operating under a distribution services agreement with 3M, all revenue of 3M FSD products were reported through the Food Safety segment. Since the review of 3M FSD revenue occurs on a global scale, revenue of these products occurring in Australia and New Zealand will continue to report through the Food Safety segment, despite now occurring at Neogen Australasia.

The accounting policies of each of the segments are the same as those described in Note 1. "Summary of Significant Accounting Policies".

Segment information is as follows:

	Food Safety		Animal Safety		Corporate and Eliminations (1)			Total
Fiscal 2024
Total revenues to external customers	$	655,341	$	268,881		—		$	924,222
Operating income (loss)		82,446		39,320		(63,103	)		58,663
Depreciation and amortization		102,328		14,389		—			116,717
Interest expense		—		—		73,394			73,394
Total assets		4,035,257		342,640		170,936			4,548,833
Expenditures for long-lived assets		93,036		18,385		—			111,421
Fiscal 2023
Total revenues to external customers	$	546,797	$	275,650		—		$	822,447
Operating income (loss)		60,414		43,332		(66,231	)		37,515
Depreciation and amortization		76,841		11,536		—			88,377
Interest expense		—		—		55,961			55,961
Total assets		3,970,356		338,507		245,569			4,554,432
Expenditures for long-lived assets		52,169		13,588		—			65,757
Fiscal 2022
Total revenues to external customers	$	259,979	$	267,180		—		$	527,159
Operating income (loss)		38,581		52,546		(32,509	)		58,618
Depreciation and amortization		13,386		10,308		—			23,694
Interest expense		—		—		72			72
Total assets		304,461		307,417		381,051			992,929
Expenditures for long-lived assets		7,842		16,939		—			24,781

(1)Includes corporate assets, including cash and cash equivalents, marketable securities, current and deferred tax accounts, and overhead expenses not allocated to specific business segments. Also includes the elimination of intersegment transactions.

The following table presents the Company’s revenue disaggregated by geographical location.

	Year Ended May 31,
	2024		2023		2022
Domestic	$	465,242	$	424,005	$	317,820
International		458,980		398,442		209,339
Total Revenue	$	924,222	$	822,447	$	527,159

The following table presents the Company's net property and equipment amounts disaggregated by country.

	Year Ended May 31,
	2024		2023
United States	$	209,778	$	130,967
United Kingdom		19,231		20,123
Other		48,095		47,659
Total Property, Plant, and Equipment	$	277,104	$	198,749