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Jun 01, 2024
Cal-Maine Foods Q4 2024 Earnings Report
Cal-Maine Foods reported a solid performance for the fourth quarter amidst a challenging period, with increased net income attributable to Cal-Maine Foods compared to the same period last year.
Key Takeaways
Cal-Maine Foods reported Q4 net sales of $640.8 million and net income of $113.2 million, or $2.32 per diluted share. The company experienced a decrease in sales revenue primarily due to lower sales volumes, but net income increased slightly compared to the same quarter last year. They are expanding production capacity for specialty and cage-free eggs.
Net sales for the fourth quarter were $640.8 million.
Net income attributable to Cal-Maine Foods for the fourth quarter was $113.2 million, or $2.32 per diluted share.
Specialty egg volumes were 2.5% higher compared to the prior-year period.
The company experienced HPAI outbreaks within facilities in Kansas and Texas, resulting in the depopulation of approximately 3.1 million laying hens and 577,000 pullets.
Cal-Maine Foods
Cal-Maine Foods
Cal-Maine Foods Revenue by Geographic Location
Revenue by Geographic Location
United States Revenue
CapyFin.com Forward Guidance
Cal-Maine Foods believes demand for shell eggs will remain strong in fiscal 2025 and will focus on expanding production capacity for specialty and cage-free eggs. They have the financial strength to fund internal expansion projects and consider acquisitions.
Positive Outlook
- Demand for shell eggs is expected to remain strong as consumers look for more affordable protein options.
- Cal-Maine Foods plays an important role in meeting demand and supporting the nation’s food supply with a differentiated product mix.
- The company will continue to focus on expanding production capacity for additional specialty and cage-free eggs that meet current consumer demand trends.
- Cal-Maine Foods has the financial strength to fund internal expansion projects.
- The company is open to considering acquisitions that complement operations and support growth initiatives.
Challenges Ahead
- Outbreaks of HPAI have continued to occur in U.S. poultry flocks.
- Approximately 32.8 million commercial laying hens and pullets have been depopulated since November 2023.
- Cal-Maine Foods experienced HPAI outbreaks in Kansas and Texas, resulting in the depopulation of approximately 3.1 million laying hens and 577,000 pullets.
- The extent of possible future outbreaks, with heightened risk during the migration seasons, and more recent HPAI events, which have been directly linked to dairy cattle operations, cannot be predicted.
- External forces including weather patterns and global supply chain disruptions could cause price volatility.