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Sep 02, 2023
Cal-Maine Foods Q1 2024 Earnings Report
Cal-Maine Foods' first quarter of fiscal 2024 results reflected dynamic market conditions with decreased net sales and net income compared to the same period last year, driven by lower conventional egg prices, partially offset by higher specialty egg prices and lower feed costs.
Key Takeaways
Cal-Maine Foods reported a decrease in net sales to $459.3 million and a significant drop in net income to $0.926 million, or $0.02 per diluted share, compared to the prior-year quarter, primarily due to lower conventional egg prices, although specialty egg prices increased.
Net sales for the first quarter of fiscal 2024 were $459.3 million.
Net income for the quarter was $926,000, or $0.02 per diluted share.
The net average selling price for specialty eggs increased by 8.4 percent quarter-over-quarter.
The company is set to pay a cash dividend of $0.006 per share.
Cal-Maine Foods
Cal-Maine Foods
Forward Guidance
Cal-Maine Foods looks forward to opportunities in fiscal 2024, focusing on managing HPAI and inflationary challenges, supporting the food supply, and meeting growing demand with their operating model, dedicated workforce, and capital.
Positive Outlook
- Opportunity to expand market presence in Utah and the western United States.
- Company is uniquely positioned to support the nation’s food supply with nutritious and affordable protein.
- Demand for the company's products is expected to continue to grow.
- The company has a proven operating model that will drive long-term growth.
- Sufficient capital to fund internal expansion projects and consider additional potential acquisitions to support the company's strategy.
Challenges Ahead
- Ongoing challenges related to the threat of HPAI.
- Inflationary headwinds.
- Uncertainty related to weather patterns and the Russia-Ukraine war could lead to volatility in corn prices.
- Soybean meal supply has remained tight relative to demand.
- The extent of possible future outbreaks of HPAI, particularly during the upcoming fall migration season, cannot be predicted.