| Contact: | Fred Adams, Jr. Chairman and CEO (601) 948-6813 |
CAL-MAINE FOODS REPORTS THIRD QUARTER 2007 RESULTS
JACKSON, Miss. (April 2, 2007) -- Cal-Maine Foods, Inc. (NASDAQ: CALM) today reported results for the third quarter and nine months ended March 3, 2007.
Net sales for the third quarter of fiscal 2007 were $175.2 million compared with net sales of $130.1 million for the same quarter of fiscal 2006. The Company reported net income of $17.4 million, or $0.74 per basic share, for the third quarter of fiscal 2007 compared with net income of $8.0 million, or $0.34 per basic share, for the third quarter of fiscal 2006.
For the first nine months of fiscal 2007, net sales were $428.3 million compared with net sales of $348.2 million for the prior-year period. The Company reported net income of $18.4 million, or $0.78 per basic share, for the first nine months of fiscal 2007 compared with a net loss of $803,000, 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, “During the third quarter of fiscal 2007, our egg supply was well balanced with good demand from our retail and food service customers. In addition, the egg industry, through a marketing cooperative that included Cal-Maine, put together an export sale to Europe, the United Kingdom and Japan that required approximately 16 million dozen eggs. This significant drawdown of inventory put upward pressure on egg prices and resulted in more favorable market conditions for the quarter. Costs for corn and soybean meal, our primary feed ingredients, were higher for the quarter as a result of strong demand from ethanol plants. Based on current forecasts, we believe these higher feed costs will continue for the foreseeable future. However, we are off to a strong start for the fourth fiscal quarter with seasonally higher egg demand leading up to Easter.”
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 30 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.
-MORE-
| CAL-MAINE FOODS, INC. | POST OFFICE BOX 2960 ▪ PHONE 601-948-6813 | JACKSON, MISSISSIPPI 39207 FAX 601-969-0905 |
CALM Reports Third Quarter 2007 Results
Page 2
April 2, 2007
CAL-MAINE FOODS, INC. AND SUBSIDIARIES
FINANCIAL HIGHLIGHTS
(Unaudited)
(In thousands, except per share amounts)
| | | 13 Weeks Ended | | 39 Weeks Ended | |
| | | March 3, | | Feb. 25, | | March 3, | | Feb. 25, | |
| | | 2007 | | 2006 | | 2007 | | 2006 | |
| Net sales | | $ | 175,211 | | $ | 130,107 | | $ | 428,256 | | $ | 348,150 | |
| Gross profit | | | 44,182 | | | 25,973 | | | 77,544 | | | 44,742 | |
| Operating income | | | 27,280 | | | 10,480 | | | 31,714 | | | 1,602 | |
| Other income (expense) | | | 317 | | | (560 | ) | | (2,561 | ) | | (4,805 | ) |
| Income (loss) before income taxes | | | 27,597 | | | 9,920 | | | 29,153 | | | (3,203 | ) |
| | | | | | | | | | | | | | |
| Net income (loss) | | $ | 17,403 | | $ | 7,990 | | $ | 18,373 | | $ | (803 | ) |
| | | | | | | | | | | | | | |
| Net income (loss) per common share: | | | | | | | | | | | | | |
| Basic | | $ | 0.74 | | $ | 0.34 | | $ | 0.78 | | $ | (0.03 | ) |
| Diluted | | $ | 0.74 | | $ | 0.34 | | $ | 0.78 | | $ | (0.03 | ) |
| | | | | | | | | | | | | | |
| Weighted average shares outstanding: | | | | | | | | | | | | | |
| Basic | | | 23,519 | | | 23,497 | | | 23,508 | | | 23,494 | |
| Diluted | | | 23,578 | | | 23,680 | | | 23,583 | | | 23,494 | |
SUMMARY BALANCE SHEET
(Unaudited)
(In thousands)
| | | March 3, | | June 3, | |
| ASSETS | | 2007 | | 2006 | |
| Cash and short-term investments | | $ | 43,734 | | $ | 38,295 | |
| Receivables | | | 41,361 | | | 24,955 | |
| Inventories | | | 62,855 | | | 57,843 | |
| Other | | | 1,266 | | | 4,585 | |
| Current assets | | | 149,216 | | | 125,678 | |
| | | | | | | | |
| Property, plant and equipment, net | | | 184,931 | | | 176,275 | |
| Other assets | | | 14,986 | | | 15,165 | |
| Total assets | | $ | 349,133 | | $ | 317,118 | |
| | | | | | | | |
| LIABILITIES AND SHAREHOLDERS' EQUITY | | | | | | | |
| Current maturities of long-term debt | | $ | 13,610 | | $ | 11,902 | |
| Accounts payable and accrued expenses | | | 53,482 | | | 34,642 | |
| Other current liabilities | | | 5,435 | | | 6,884 | |
| Current deferred income taxes | | | 11,610 | | | 11,450 | |
| Current liabilities | | | 84,137 | | | 64,878 | |
| | | | | | | | |
| Deferred income taxes and other liabilities | | | 33,002 | | | 40,455 | |
| Long-term debt, less current maturities | | | 94,383 | | | 92,010 | |
| Shareholders' equity | | | 137,611 | | | 119,775 | |
| Total liabilities and shareholders' equity | | $ | 349,133 | | $ | 317,118 | |
-END-
