Neogen Corporation (NASDAQ:NEOG) Q3 2023 Earnings Conference Call March 30, 2023 8:00 AM ET
Company Participants
Bill Waelke - Head, IR
John Adent - President and CEO
Dave Naemura - CFO
Conference Call Participants
Brandon Vazquez - William Blair
David Westenberg - Piper Sandler
Operator
Operator
Welcome to the Neogen Third Quarter Fiscal Year 2023 Earnings Conference Call. All participants will be in a listen-only mode. [Operator Instructions] Please note today's event is being recorded.
I'd now like to turn the conference over to Bill Waelke, Head of Investor Relations. Please go ahead.
Bill Waelke
Thank you for joining us this morning for the discussion of the results of the third quarter of our 2023 fiscal year.
I'll briefly cover the non-GAAP and forward-looking language before passing the call over to our CEO, John Adent, who will be followed by our CFO, Dave Naemura.
Before the market open today, we published our third quarter results as well as the presentation with both documents available in the Investor Relations section of our website.
On our call this morning, we will refer to certain non-GAAP financial measures that we believe are useful in evaluating our performance. Reconciliations of historical non-GAAP financial measures are included in our earnings release and the presentation, Slide 2 of which provides a reminder that our remarks will include forward-looking statements within the meaning of the Private Securities Litigation Reform Act.
These forward-looking statements are subject to risks that could cause actual results to be materially different from those expressed in or implied by such forward-looking statements. These risks include, among others, matters that we have described in our most recent annual report on Form 10-K and in other filings we make with the SEC. We disclaim any obligation to update these forward-looking statements.
With that, I'll turn things over to John.
John Adent
Good morning, everyone, and welcome to our earnings call covering the third quarter of our fiscal 2023 year. We're pleased to be with you today to provide an update on our performance and the ongoing integration of the Food Safety business we acquired from 3M last year. On our last earnings call I mentioned the trend we're seeing in some of our macro-related softenings in our end markets. This continued in the third quarter with many feed producers seeing lower unit volumes, with inflationary pressure on consumers being a key driver.
On the Animal Safety side of our business the macro weakening was driven primarily by a difficult comparison against extremely strong market growth in Q3 of the last fiscal year, and some destocking by our channel partners. Despite the macro headwinds, we delivered core growth in both legacy segments, aided by diversification across product categories. In the recently added Food Safety business key product lines continue to be negatively impacted by the backlog situation at our transition manufacturing partner.