Exhibit 99.1
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Contacts:
Dolph Baker, Chairman and CEO
Max P. Bowman, Vice President and CFO
(601) 948-6813
CAL-MAINE FOODS REPORTS FOURTH QUARTER FISCAL 2021 RESULTS
RIDGELAND, Miss. (July 19, 2021) - Cal-Maine Foods, Inc. (NASDAQ: CALM) today reported results for the
fourth quarter (thirteen weeks) and fiscal year ended May 29, 2021.
Net sales for the fourth quarter of fiscal 2021 were $349.8 million, compared to $453.3 million for the
fourth quarter of fiscal 2020. The Company reported a net loss of $4.2 million, or $0.09 per basic and diluted
share, for the fourth quarter of fiscal 2021, compared to net income of $60.5 million, or $1.25 per basic and
$1.24 per diluted share, for the fourth quarter of fiscal 2020.
For fiscal 2021, net sales were $1,349.0 million, compared with $1,351.6 million for the prior year. The
Company reported net income of $2.1 million, or $0.04 per basic and diluted share, for fiscal 2021, compared
to $18.4 million, or $0.38 per basic and diluted share, for the prior-year period.
Dolph Baker, chairman and chief executive officer of Cal-Maine Foods, Inc., stated, “Our results for
the fourth quarter of fiscal 2021 reflect a significant drop in average selling prices and lower volumes for
conventional eggs compared with the same period last year. The fourth quarter of 2020 was a period of very
high consumer demand, with market prices reaching record levels as more meals were being prepared at
home during the early restrictive phase of the COVID-19 pandemic. Our average sales price for shell eggs
was $1.32 per dozen for the fourth quarter this fiscal year compared with $1.58 per dozen for the same period
last year. For fiscal 2021, our average sales price for shell eggs was $1.22 per dozen, down slightly from
$1.23 per dozen for fiscal 2020.
“While retail demand has been strong for most of this fiscal year, that trend began to change in the
fourth quarter as consumers started dining out again and preparing fewer meals at home. As a result, food
service demand has improved as retail demand has slowed down, with overall demand for shell eggs
approaching a more normalized balance that is closer to pre-pandemic levels. Total dozens sold for the fourth
quarter of fiscal 2021 were down 9.4 percent over the same period last year, with 255.9 million dozens sold.
For fiscal 2021, we sold 1,073.2 million dozens of shell eggs, up slightly compared with 1,069.2 million dozens
sold in fiscal 2020.
“Hen numbers reported by the USDA as of June 1, 2021, were 315.7 million, which represents 5.3
million fewer hens than the adjusted number a year ago. The egg industry has experienced several years of
unfavorable economics, resulting in the lowest national supply of laying hens since October 2016. The USDA
also reported that the hatch from January 2021 through May 2021 increased 4.4 percent as compared to the
prior-year period, and as of June 1, 2021, eggs in incubators were up 2.5 percent over the same period last
year.
"We continue to see favorable trends for our specialty egg business, and we remain focused on
offering the right product mix of both conventional and specialty eggs to meet customer demand. For the fourth
quarter of fiscal 2021, sales of specialty eggs totaled $131.2 million, accounting for 38.7 percent of our egg
sales revenue, compared with $133.3 million, or 29.9 percent of egg sales revenue, in the fourth quarter of
fiscal 2020. The higher specialty egg revenue reflects a 1.6 percent increase in specialty dozens sold in the
fourth quarter of fiscal 2021 compared to the same period last year.
"An important growth initiative for fiscal 2021 has been the continued expansion of our production
capacity in line with the growing customer demand for cage-free and specialty eggs. We are focused on
adjusting our production capacity to balance the changing state requirements with future customer
commitments. As always, we strive to offer a product mix that aligns with current and anticipated customer
purchase decisions.
CALM Reports Fourth Quarter Fiscal 2021 Results
Page 2
July 19, 2021
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“Following the end of fiscal 2021, Cal-Maine Foods completed the purchase of the remaining 50
percent membership interest in Red River Valley Egg Farm, LLC. With approximately 1.7 million cage-free
laying hens and cage-free pullet capacity, Red River Valley Egg Farm offers us additional opportunities to
expand our cage-free production capacity and further enhance our ability to provide exceptional service and
distribution capabilities to our customers. Including this purchase, we have invested over $476 million in
facilities, equipment, and related operations to expand our cage-free production since 2008. Importantly, we
have a strong balance sheet with ample liquidity and access to capital to continue to make the necessary
investments in our operations.
“For the fourth quarter, operating loss was $13.0 million compared with operating income of $76.1
million for the same period a year ago. Farm production costs per dozen produced for the fourth quarter of
fiscal 2021 were up 15.3 percent, or $0.112 per dozen, compared to the fourth quarter of fiscal 2020. This
increase was primarily due to higher feed costs, which were up 27.7 percent compared with the prior-year
period. For the fourth quarter, the average Chicago Board of Trade (“CBOT”) daily market price was $6.10
per bushel for corn and $411.37 per ton for soybean meal, representing an increase of 82.7 percent and 37.6
percent, respectively, compared to the daily average CBOT prices for the fourth quarter of fiscal 2020.
Increased export demand for both soybeans and corn, as well as weather-related shortfalls in production and
yields, have placed additional pressure on domestic supplies, resulting in higher and more volatile prices. For
the full year, our feed costs were up 9.0 percent over fiscal 2020. With the ongoing uncertainties and continued
supply chain disruptions related to the COVID-19 outbreak, weather fluctuations and geopolitical issues, we
expect to see further volatility in market prices for our primary feed ingredients.
“Fiscal 2021 has been a challenging year for Cal-Maine Foods, but we are proud of our ability to
navigate an uncertain environment as well as respond to new market opportunities. Our operations ran well,
and we demonstrated improvement in most of our key production metrics despite the more difficult
environment. We commend our dedicated employees who have continued to work under the extraordinary
conditions created by the COVID-19 pandemic. Due to their efforts, we were able to meet our primary
objective to support the nation’s food supply at a critical time. Across our operations, our managers came
together to service our customers, while remaining diligent in their efforts to provide a safe environment for
our employees, business partners, and the communities we serve.
“Looking ahead, we will continue to execute our growth strategy in fiscal 2022 and focus on managing
the aspects of our operations under our control, regardless of market conditions. We believe retail consumer
demand for eggs will be more consistent with typical seasonal trends, and we are optimistic that more
restaurants and food service operators are getting back to pre-pandemic business schedules. Our specialty
egg business is a key driver of our growth, and we will continue to make the strategic investments to expand
our capacity, especially for cage-free egg production. We are well positioned with sufficient capital to fund
internal expansion projects or consider potential acquisitions. Across our operations, we are focused on
efficient and sustainable management. Above all, we will strive to meet the demands of our valued customers
and deliver greater value to our shareholders,” added Baker.
Pursuant to Cal-Maine Foods’ variable dividend policy, for each quarter for which the Company
reports net income, the Company pays a cash dividend to shareholders in an amount equal to one-third of
such quarterly income. Following a quarter for which the Company does not report net income, the
Company will not pay a dividend with respect to that quarter or for a subsequent profitable quarter until the
Company is profitable on a cumulative basis computed from the date of the last quarter for which a dividend
was paid. Therefore, the Company will not pay a dividend with respect to the fourth quarter of f
iscal 2021.
CALM Reports Fourth Quarter Fiscal 2021 Results
Page 3
July 19, 2021
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Selected operating statistics for the fourth quarter and fiscal 2021 compared with the prior-year period
are shown below:
13 Weeks Ended
52 Weeks Ended
May 29, 2021
May 30, 2020
May 29, 2021
May 30, 2020
Dozen Eggs Sold (000)
255,851
282,422
1,073,211
1,069,150
Dozen Eggs Produced (000)
239,632
242,962
970,837
927,799
% Specialty Sales (dozen)
27.4
%
24.4
%
26.8
%
23.9
%
% Specialty Sales (dollars)
38.7
%
29.9
%
41.1
%
36.8
%
Net Average Selling Price (per
dozen)
$
1.324
$
1.575
$
1.217
$
1.231
Net Average Selling Price Specialty
Eggs (per dozen)
$
1.885
$
1.934
$
1.876
$
1.897
Feed Cost (per dozen)
$
0.517
$
0.405
$
0.446
$
0.409
Cal-Maine Foods, Inc. is primarily engaged in the production, grading, packing, marketing and
distribution of fresh shell eggs, including conventional, cage-free, organic and nutritionally enhanced eggs.
The Company, which is headquartered in Ridgeland, Mississippi, is the largest producer and distributor of
fresh shell eggs in the United States and sells the majority of its shell eggs in 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 demand for
and market prices of shell eggs and feed costs, (iv) our ability to predict and meet demand for cage-free and other
specialty eggs, (v) risks, changes or obligations that could result from our future acquisition of new flocks or
businesses and risks or changes that may cause conditions to completing a pending acquisition not to be met,(vi)
risks relating to the evolving COVID-19 pandemic, and (vii) 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 publicly update these forward-looking statements, whether as a result of new
information, future events or otherwise.
CALM Reports Fourth Quarter Fiscal 2021 Results
Page 4
July 19, 2021
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CAL-MAINE FOODS, INC. AND SUBSIDIARIES
FINANCIAL HIGHLIGHTS
(Unaudited)
(In thousands, except per share amounts)
SUMMARY STATEMENTS OF OPERATIONS
13 Weeks Ended
52 Weeks Ended
May 29, 2021
May 30, 2020
May 29, 2021
May 30, 2020
Net sales
$
349,798
$
453,333
$
1,348,987
$
1,351,609
Cost of sales
311,869
331,823
1,188,326
1,172,021
Gross profit
37,929
121,510
160,661
179,588
Selling, general and administrative
48,449
45,803
183,943
178,237
(Gain) Loss on disposal of fixed assets
2,506
(385)
2,982
82
Operating income (loss)
(13,026)
76,092
(26,264)
1,269
Other income, net
853
1,459
16,315
18,790
Income (loss) before income taxes
(12,173)
77,551
(9,949)
20,059
Income tax (benefit) expense
(7,929)
17,087
(12,009)
1,731
Net income (loss)
(4,244)
60,464
2,060
18,328
Less: Loss attributable to noncontrolling interest
-
1
—
(63)
Net income (loss) attributable to Cal-Maine Foods,
Inc.
$
(4,244)
$
60,463
$
2,060
$
18,391
Net income (loss) per common share attributable to
Cal-Maine Foods, Inc.:
Basic
$
(0.09)
$
1.25
$
0.04
$
0.38
Diluted
$
(0.09)
$
1.24
$
0.04
$
0.38
Weighted average shares outstanding:
Basic
48,636
48,501
48,522
48,467
Diluted
48,636
48,608
48,656
48,544
CALM Reports Fourth Quarter Fiscal 2021 Results
Page 5
July 19, 2021
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CAL-MAINE FOODS, INC. AND SUBSIDIARIES
FINANCIAL HIGHLIGHTS
(Unaudited)
(In thousands)
SUMMARY BALANCE SHEETS
May 29, 2021
May 30, 2020
ASSETS
Cash and short-term investments
$
169,510
$
232,293
Receivables, net
126,639
98,375
Inventories
218,375
187,216
Prepaid expenses and other current assets
5,407
4,367
Current assets
519,931
522,251
Property, plant and equipment (net)
589,417
557,375
Other noncurrent assets
119,826
127,068
Total assets
$
1,229,174
$
1,206,694
LIABILITIES AND STOCKHOLDERS' EQUITY
Accounts payable and accrued expenses
$
89,191
$
92,182
Current portion of lease obligations
906
1,001
Current liabilities
90,097
93,183
Lease obligations, less current maturities
1,472
2,387
Deferred income taxes and other liabilities
124,824
101,449
Stockholders' equity
1,012,781
1,009,675
Total liabilities and stockholders' equity
$
1,229,174
$
1,206,694