Cal-Maine Foods Reports Second Quarter 2004 Results

Date : 12/19/2003 @ 7:30AM
Source : PR Newswire
Stock : Cal-Maine Foods (MM) (CALM)
Quote : 40.4  0.12 (0.30%) @ 8:00PM
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Cal-Maine Foods Reports Second Quarter 2004 Results

Cal-Maine Foods Reports Second Quarter 2004 Results

JACKSON, Miss., Dec. 19 /PRNewswire-FirstCall/ -- Cal-Maine Foods, Inc. today reported results for the second quarter and six months ended November 29, 2003.

Net sales for the second quarter of fiscal 2004 were $149.9 million compared with net sales of $95.0 million for the same quarter of fiscal 2003. The Company reported net income of $17.6 million, or $1.49 per basic share, for the second quarter of fiscal 2004 compared with net income of $2.0 million, or $0.17 per basic share, for the same quarter a year ago. During the second quarter, the Company recorded a charge of $0.57 per share against second quarter earnings for stock compensation. This charge was in connection with the Company's outstanding stock options and the related tandem stock appreciation rights. The portion of the charge related to the stock options, $5.3 million, is non-cash and the corresponding liability will be converted to equity at the time of exercise.

For the first six months of fiscal 2004, net sales were $264.3 million compared with $177.2 million for the prior-year period. The Company reported net income of $25.4 million, or $2.15 per basic share, for the first six months of fiscal 2004 compared with net income of $300,000, or $0.03 per basic share, for the year-earlier period.

Fred Adams, Jr., chairman and chief executive officer of Cal-Maine Foods, Inc., stated, "The Company's much improved financial performance is a reflection of very strong demand for eggs during the past six months. The higher demand resulted from favorable publicity about eggs from the medical community and increased usage of eggs in the high-protein diets that are currently popular.

All of our facilities and all of our employees are running efficiently and at maximum capacity. The near term outlook is favorable with continued strong demand for eggs."

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 26 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 FINANCIAL HIGHLIGHTS (Unaudited) (In thousands, except per share amounts)

13 Weeks Ended 26 Weeks Ended --------------------- --------------------- Nov. 29, Nov. 30, Nov. 29, Nov. 30, 2003 2002 2003 2002 -------- -------- -------- -------- Net sales $149,948 $ 94,984 $264,324 $177,202 Gross profit 50,778 15,355 77,453 25,426 Operating income 27,602 5,079 41,022 4,594 Income before income taxes 27,508 3,116 39,707 464

Net income $ 17,605 $ 2,009 $ 25,376 $ 297

Net income per common share: Basic $ 1.49 $ 0.17 $ 2.15 $ 0.03 Diluted $ 1.45 $ 0.17 $ 2.10 $ 0.03

Weighted average shares outstanding: Basic 11,816 11,764 11,797 11,764 Diluted 12,178 11,813 12,106 11,836

Book value per share outstanding $ 7.82 $ 4.63 $ 7.82 $ 4.63

DATASOURCE: Cal-Maine Foods, Inc.

CONTACT: Fred Adams, Jr., Chairman and CEO of Cal-Maine Foods, Inc.,

+1-601-948-6813

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