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Cal-Maine Foods, Inc. Reports Second Quarter Fiscal 2009 Results

^{Published on 2008-12-29 06:13:29, Last Modified on 2008-12-29 06:14:47 - Market Wire}
 

JACKSON, Miss.--([ BUSINESS WIRE ])--Cal-Maine Foods, Inc. (NASDAQ: CALM) today announced results for the second quarter and six months ended November 29, 2008.

Net sales for the second quarter of fiscal 2009 were $238.3 million compared with net sales of $223.7 million for the same quarter of fiscal 2008. The Company reported net income of $27.2 million, or $1.15 per basic share, for the second quarter of fiscal 2009 compared with net income of $40.2 million, or $1.70 per basic share, for the second quarter of fiscal 2008.

For the first six months of fiscal 2009, net sales were $445.2 million compared with net sales of $402.3 million for the prior-year period. The Company reported net income of $38.4 million, or $1.62 per basic share, for the first half of fiscal 2009 compared with net income of $58.1 million, or $2.46 per basic share, for the year-earlier period.

Fred Adams, Jr., chairman and chief executive officer of Cal-Maine Foods, Inc., stated, "We were generally pleased with our performance for the second quarter of fiscal 2009. Our financial results reflect good demand for eggs at the retail level, but a declining demand for eggs from the institutional and food service sector. Sales to the egg products industry were weaker, reflecting the slowing economy and credit challenges for the importers of dried and frozen eggs around the world. However, our feed costs were lower than the previous quarter with both corn and soybean meal prices moving sharply lower through the second quarter. All of our operations ran smoothly during the quarter.

"Looking ahead, we see continued strong egg demand at retail, with slower demand from the food service and the egg products industries as participants work through current credit issues. We expect total egg supply to be in balance with demand. Feed costs, while much improved, will likely remain relatively high and could be volatile in the year ahead," added Adams.

For the second quarter of fiscal 2009, Cal-Maine will pay a cash dividend of approximately $0.382 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 February 12, 2009, to shareholders of record on January 28, 2009.

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.