Egg producer Cal-Maine cracks as second-quarter sales slump

Cal-Maine Foods

03/01/2024 21:41

** Shares of Cal-Maine Foods  CALM.O  down nearly 8% at
$50.60 in extended trading
    ** Egg producer reports a 34.7% decline in Q2 net sales,
primarily due to falling average selling prices of conventional
eggs 
    ** Posts net sales of $523.2 mln vs $801.7 mln a year
earlier
    ** "Our sales reflect a different market environment from a
year ago, with significantly lower average selling prices," CEO
Sherman Miller
    ** Net average selling price per dozen for conventional eggs
nearly halves to $1.458 
    ** Net income attributable to CALM comes in at $17 mln, or
35 cents/shr, down from $198.6 mln, or $4.07/shr a year earlier
    ** However, total volumes rise as demand for shell eggs
remained robust, especially leading up to the Thanksgiving
holiday
    ** Last week, CALM agreed to acquire a recently shut chicken
broiler processing plant, hatchery and feed mill in Dexter,
Missouri from Tyson Foods  TSN.N 
    ** CALM stock rose 5.4% in 2023

 (Reporting by Granth Vanaik in Bengaluru)
 ((Granth.Vanaik@thomsonreuters.com; Twitter: https://twitter.com/Vanaik_Granth;))