Cal-Maine Foods, Inc. (NASDAQ: CALM) today announced results for its first quarter of fiscal 2010 ended August 28, 2009.
For the first quarter of fiscal 2010, net sales were $187.7 million, compared with net sales of $206.9 million for the first quarter of fiscal 2009. The Company reported net loss of $3.8 million, or $0.16 per basic and diluted share, for the first quarter of fiscal 2010 compared with net income of $11.1 million, or $0.47 per basic and diluted share, for the year-earlier period.
Fred Adams, Jr., chairman and chief executive officer of Cal-Maine Foods, Inc., stated, “All factors considered, our results for the first quarter of fiscal 2010 were satisfactory. Both the number of eggs sold and eggs produced by Cal-Maine were up over the prior year, however, selling prices were lower. Our feed costs were down considerably from the same period last year, but not enough to offset the price decline. Demand for eggs at the retail level remained strong; however, institutional sales to restaurants and food service customers have been weaker, reflecting the current economy.
“USDA reports indicate that the egg supply for the year ahead should be balanced with demand. Corn and soybean production are also projected to be adequate for usage. We are projecting lower feed costs for the year ahead. All of our operations are running smoothly and efficiently,” added Adams.
Under Cal-Maine’s dividend policy, no dividends are paid if there is a loss for the quarter.
Selected operating statistics for the first quarter of fiscal 2010 compared with the prior year period are shown below:
13 Weeks Ended | ||||||||
August 28, | August 30, | |||||||
2009 | 2008 | |||||||
| Dozen Eggs Sold (000) | 193,047 | 170,651 | ||||||
| Dozen Eggs Produced (000) | 156,143 | 133,642 | ||||||
| % Specialty Sales (dozen) | 13.2 | % | 12.7 | % | ||||
| Net Average Selling Price (dozen) | $ | 0.922 | $ | 1.135 | ||||
| Feed Cost (dozen) | $ | 0.357 | $ | 0.458 | ||||
| % Specialty Sales ($) | 22.5 | % | 17.2 | % | ||||
Cal-Maine Foods, Inc. is primarily engaged in the production, grading, packing and sale of fresh shell eggs. The Company, which is headquartered in Jackson, Mississippi, currently is the largest producer and distributor of fresh shell eggs in the United States and sells the majority of its shell eggs in approximately 29 states across the southwestern, southeastern, mid-western and mid-Atlantic regions of the United States.
Statements contained in this press release that are not historical facts are forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are subject to risks and uncertainties (contained in the Company’s SEC filings) that could cause actual results to differ materially from those projected. SEC filings may be obtained from the SEC or by contacting the Company.
CAL-MAINE FOODS, INC. AND SUBSIDIARIES | |||||||
13 Weeks Ended | |||||||
August 28, | August 30, | ||||||
2009 | 2008 | ||||||
| Net sales | $ | 187,666 | $ | 206,888 | |||
| Gross profit | 18,217 | 40,647 | |||||
| Operating income (loss) | (5,301 | ) | 17,981 | ||||
| Income (loss) before income taxes | (5,858 | ) | 17,389 | ||||
| Net income (loss) | $ | (3,832 | ) | $ | 11,147 | ||
| Net income (loss) per common share: | |||||||
| Basic | $ | (0.16 | ) | $ | 0.47 | ||
| Diluted | $ | (0.16 | ) | $ | 0.47 | ||
| Weighted average shares outstanding: | |||||||
| Basic | 23,791 | 23,730 | |||||
| Diluted | 23,791 | 23,769 | |||||
SUMMARY BALANCE SHEET | ||||||
| August 28, 2009 | May 30, 2009 | |||||
| ASSETS | ||||||
| Cash and short-term investments | $ | 90,739 | $ | 82,048 | ||
| Receivables | 61,979 | 44,628 | ||||
| Inventories | 96,291 | 97,535 | ||||
| Other | 23,340 | 17,474 | ||||
| Current assets | 272,349 | 241,685 | ||||
| Property, plant and equipment (net) | 240,426 | 249,958 | ||||
| Other assets | 56,411 | 91,202 | ||||
| Total assets | $ | 569,186 | $ | 582,845 | ||
| LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||
| Accounts payable and accrued expenses | $ | 63,082 | $ | 61,845 | ||
| Other current liabilities | -- | 8,400 | ||||
| Current maturities of long-term debt | 38,952 | 13,806 | ||||
| Deferred income taxes | 20,835 | 19,635 | ||||
| Current liabilities | 122,869 | 103,686 | ||||
| Deferred income taxes and other liabilities | 31,080 | 30,167 | ||||
| Long-term debt, less current maturities | 87,930 | 115,983 | ||||
| Shareholders' equity | 327,307 | 333,009 | ||||
| Total liabilities and shareholders' equity | $ | 569,186 | $ | 582,845 | ||
Contacts:
Fred Adams, Jr., Chairman and CEO
or
Timothy
A. Dawson, Vice President and CFO
601-948-6813