Egg distributor Cal-Maine Food’s shares rolled 5% higher this morning following an after-hours third-quarter earnings release.
Lower egg prices caused quarterly net revenues to fall to $703 million from $997 million in the prior year’s third quarter, while net income for the quarter came to $146.4 million, or $3.01 per basic common share, down from $323.2 million/$6.62 per share.
Putting lower egg prices aside, Cal-Maine posted record sales volumes, with total egg volumes increasing by 3.2% year-over-year.
Conventional eggs sold were up 2.6% and specialty eggs sold increased by 4.4% in the quarter.
Lower egg prices in the period reflected tough comparatives compared to record high market prices in fiscal 2023, due primarily to the impact of highly pathogenic avian influenza.
President and chief executive Sherman Miller said: "We are very pleased with Cal-Maine Foods (NASDAQ:CALM)’ strong financial and operating performance for the third quarter of fiscal 2024… Despite the distractions, we have continued to meet the needs of our valued customers."
Cal-Maine shares were swapping for $61.8 in pre-market trades.