Cal-Maine Foods, Inc. (NASDAQ: CALM) today reported results for
the third quarter and nine months ended February 25, 2012.
Net sales for the third quarter of fiscal 2012 were $303.7
million compared with net sales of $274.7 million for the same
quarter of fiscal 2011. The Company reported net income of
$26.1 million, or $1.09 per basic share, for the third quarter
of fiscal 2012 compared with net income of $33.6 million,
or $1.41 per basic share, for the third quarter of fiscal
2011. The results for the third quarter of fiscal 2011 include
in other income a one-time cash distribution of approximately $4.8
million pre-tax ($3.2 million after tax) or $0.13 per basic share,
received in exchange for the Company’s non-voting stock ownership
in the Eggland’s Best, Inc. cooperative.
For the first nine months of fiscal 2012, net sales were $837.9
million compared with net sales of $699.6 million for the
prior-year period. The Company reported net income of
$52.5 million, or $2.20 per basic share, for the
first nine months of fiscal 2012 compared with net income of
$53.6 million, or $2.25 per basic share, for the
prior-year period.
“We are pleased with Cal-Maine’s financial and operating
performance for the third quarter of fiscal 2012,” said Dolph
Baker, president and chief executive officer of Cal-Maine Foods,
Inc. “Total sales for the quarter were up 10.6 percent
compared with the same period a year ago, reflecting higher average
selling prices and good retail demand for shell eggs. We
benefited from record high market prices for shell eggs during the
strong holiday selling season. However, prices adjusted down
approximately 35 percent in the ten market days after their
December peak level due to typically slower post-holiday demand
trends and warmer weather across the country. Overall, average
selling prices for shell eggs were up 3.3 percent over the third
quarter of fiscal 2011, and specialty egg prices were up 9.0
percent compared with the same period last year.
“Our volumes also improved as dozen eggs produced by Cal-Maine
Foods increased 3.0 percent and dozen eggs sold were up 6.5
percent. Sales of specialty eggs represented 23.8 percent of shell
egg revenue for the third quarter and accounted for 16.8
percent of total dozen eggs sold. Specialty eggs, which
include nutritionally enhanced, cage-free and organic eggs,
have become an important focus of our growth strategy as we
have been at the forefront of meeting the growing consumer demand
for these products. Additionally, specialty eggs have higher and
less cyclical retail selling prices.
“Our feed costs have continued to affect our production costs in
fiscal 2012,” added Baker. “For the third quarter, feed costs were
up 4.5 cents per dozen, or 11.1 percent, compared with
the third quarter of fiscal 2011. We expect feed costs
will remain very high and volatile throughout the summer of
calendar 2012 due to tight supplies of corn and soybeans, our
primary feed ingredients. However, all of Cal-Maine Foods’
operations have continued to run well and our management team is
focused on managing the aspects of our business we can control
and improving efficiencies where possible.
“We believe we are well positioned for another successful year
for Cal-Maine Foods with a proven management team, efficient
operations and a strong balance sheet to support our growth
strategy,” Baker concluded.
For the third quarter of fiscal 2012, Cal-Maine will pay a cash
dividend of approximately $0.364 per share to holders of its
common and Class A common stock. The amount paid could
vary slightly based on the amount of outstanding
shares on the record date. The dividend is payable
May 10, 2012, to shareholders of record on April 25,
2012.
Selected operating statistics for the third quarter and first
nine months of fiscal 2012 compared with the prior-year periods are
shown below:
13 Weeks Ended 39 Weeks Ended
February 25,
2012
February 26,
2011
February 25,
2012
February 26,
2011
Dozen Eggs Sold (000) 229,235 215,233 655,463 615,257 Dozen Eggs
Produced (000) 166,109 161,295 491,785 476,388 % Specialty
Sales (dozen) 16.8 % 17.5 % 16.3 % 16.0 % Net Average
Selling Price (dozen) $ 1.275 $ 1.234 $ 1.224 $ 1.090 Feed Cost
(dozen) $ 0.449 $ 0.404 $ 0.466 $ 0.376 % Specialty Sales
(dollars) 23.8 % 23.5 % 23.4 % 23.9 %
Cal-Maine Foods, Inc. is primarily engaged in the production,
grading, packing and sale of fresh shell eggs, including
conventional, cage-free, organic and nutritionally-enhanced eggs.
The Company, which is headquartered in Jackson,
Mississippi, 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.
The forward-looking statements are based on management’s current
intent, belief, expectations, estimates and projections regarding
our company and our industry. These statements are not guarantees
of future performance and involve risks, uncertainties, assumptions
and other factors that are difficult to predict and may be beyond
our control. The factors that could cause actual results to differ
materially from those projected in the forward-looking statements
include, among others, (i) the risk factors set forth in the
Company’s SEC filings (including its Annual Reports on Form
10-K, Quarterly Reports on Form 10-Q and Current Reports on Form
8-K), (ii) the risks and hazards inherent in the shell
egg business (including disease, pests, weather conditions and
potential for recall), (iii) changes in the market prices of
shell eggs and feed costs, (iv) changes or obligations that could
result from our future acquisition of new flocks or businesses, and
(v) adverse results in pending litigation matters. SEC filings
may be obtained from the SEC or the Company’s website,
www.calmainefoods.com. Readers are cautioned not to place undue
reliance on forward-looking statements because, while we
believe the assumptions on which the forward-looking statements are
based are reasonable, there can be no assurance that these
forward-looking statements will prove to be accurate. Further, the
forward-looking statements included herein are only made as of
the respective dates thereof, or if no date is stated, as of
the date hereof. Except as otherwise required by law, we
disclaim any intent or obligation to update publicly these
forward-looking statements, whether as a result of new information,
future events or otherwise.
CAL-MAINE FOODS, INC. AND
SUBSIDIARIES
FINANCIAL HIGHLIGHTS
SUMMARY STATEMENTS OF INCOME
(Unaudited) (In thousands, except per share amounts)
13 Weeks Ended
39 Weeks Ended
February 25,
February 26,
February 25,
February 26,
2012
2011
2012
2011
Net sales $ 303,660 $ 274,674 $ 837,871 $ 699,600 Gross profit
65,149 65,580 160,427 143,531 Operating income 34,939 38,961 76,569
69,785 Other income 5,636 11,573 4,747 10,232 Income before income
taxes 40,575 50,534 81,316 80,017 Net income $ 26,102 $
33,619 $ 52,479 $ 53,568 Net income per common share: Basic
$ 1.09 $ 1.41 $ 2.20 $ 2.25 Diluted $ 1.09 $ 1.40 $ 2.19 $ 2.24
Weighted average shares outstanding: Basic 23,874 23,861
23,871 23,852 Diluted 23,949 23,943 23,948 23,941
SUMMARY BALANCE SHEETS
February 25,
2012
May 28,
2011
ASSETS Cash and short-term investments $ 225,701 $ 176,429
Receivables 66,339 62,790 Inventories 118,925 110,021 Prepaid
expenses and other current assets 6,094 5,801 Current
assets 417,059 355,041 Property, plant and equipment (net)
222,176 224,887 Other noncurrent assets 56,162 60,915
Total assets $ 695,397 $ 640,843 LIABILITIES AND
STOCKHOLDERS' EQUITY Accounts payable and accrued expenses $ 98,516
$ 71,969 Current maturities of long-term debt 11,458 11,743
Deferred income taxes 24,093 23,770 Current
liabilities 134,067 107,482 Long-term debt, less current
maturities 67,488 76,418 Deferred income taxes and other
liabilities 40,209 38,066 Stockholders' equity 453,633
418,877 Total liabilities and stockholders' equity $ 695,397
$ 640,843
Cal Maine Foods (NASDAQ:CALM)
Historical Stock Chart
From Mar 2024 to Apr 2024
Cal Maine Foods (NASDAQ:CALM)
Historical Stock Chart
From Apr 2023 to Apr 2024