Cal-Maine Foods, Jackson, Miss., had strong earnings in both the third quarter and nine months ending March 1, 2008. For the third fiscal quarter of 2008, Cal-Maine reports net income of $57.2 million on sales of $278 million, compared to net income of $17.4 million on sales of $175.2 million for the same quarter in 2007.
For the first nine months of fiscal 2008, net income was $115.3 million on sales of $680.3 million, compared to net income for same period in fiscal 2007 of $18.4 million on sales of $428.3 million.
“All of our operations ran smoothly, and we were able to take full advantage of the favorable economics in our industry,” says Cal-Maine chairman and CEO Fred Adams.
Demand was strong for eggs in both retail and food service segments and demand was good for shell eggs used to produce liquid, frozen, and dried egg products. Egg demand for the Easter holiday was also strong, Adams says. The egg industry had a good inventory cleanup “and we are off to a solid start to our final quarter of the year,” he says.“Feed costs will continue to be very high and volatile with no relief in sight,” he continues. “USDA statistics and egg industry projections are for egg production to be similar to 2007 levels in the year ahead.”