CALM

This article first appeared on GuruFocus. - Net Sales: $539.6 million, down 41.5% year-over-year. - Gross Profit: $403,000, compared to $311.3 million in the prior year period. - Operating Loss: $82.2 million, compared to operating income of $249.2 million in the prior year period. - Operating Margin: Negative 15.2%. - Net Loss Attributable to Cal-Maine: $58.6 million, compared to net income of $199.3 million in the prior year period. - Diluted Loss Per Share: $1.26, compared to diluted earnings per share of $4.12 in the prior year period. - Conventional Shell Eggs Net Sales: $201.7 million, down 59.5% year-over-year. - Conventional Shell Eggs Operating Loss: $71 million, with an operating margin of negative 35.2%. - Specialty Shell Eggs Net Sales: $236.9 million, down 14% year-over-year. - Specialty Shell Eggs Operating Income: $14.9 million, with an operating margin of 6.3%. - Prepared Foods Net Sales: $63 million, down 13% year-over-year. - Prepared Foods Operating Income: $7.8 million, with an operating margin of 12.4%. - SG&A Expense: $81.7 million, compared to $69.5 million in the prior year period. - Interest Income Net of Expenses: $8 million, compared to $12.9 million in the prior year period. - Effective Tax Rate: 24.2%, compared to 24.4% in the prior year period. - Net Cash Used in Operating Activities: $101.4 million, compared to net cash provided by operating activities of $278.6 million in the prior year period. - Capital Expenditures: $26.6 million. - Cash and Temporary Cash Investments: $767.6 million, virtually debt-free. - Share Repurchases: 66,601 shares for approximately $5 million during the quarter; subsequent to quarter end, 204,888 shares for $14.9 million. - Sales Mix: Specialty shell eggs and prepared foods represented approximately 54% of net sales, including approximately 12% for prepared foods. - Price Realization: 99% of the daily average Urner Barry Southeast market price in Q1 FY27, compared to 101% in Q4 FY26. - Warning! GuruFocus has detected 7 Warning Signs with CALM. - Is CALM fairly valued? Test your thesis with our free DCF calculator. Release Date: September 30, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. - Cal-Maine Foods Inc (NASDAQ:CALM) maintains a strong balance sheet with $767.6 million in cash and temporary investments and remains virtually debt-free, providing financial flexibility to invest through the cycle. - The company is diversifying its revenue mix, with specialty shell eggs and prepared foods representing approximately 54% of net sales, reducing reliance on conventional shell eggs. - Prepared foods production capacity is expected to increase by more than 60% by the first half of fiscal 2028, with several expansion projects underway to drive future earnings growth. - Demand for eggs remains healthy, with retail egg volume up 4% year-to-date, specialty egg sales outpacing the overall category, and export volumes increasing significantly. - Cal-Maine Foods Inc (NASDAQ:CALM) continues to pursue strategic acquisitions and organic investments to expand its capabilities and product offerings, supported by its strong financial position. - Conventional shell egg market remains oversupplied, leading to low wholesale prices and significant financial losses, with net sales down 41.5% and an operating loss of $82.2 million in the first quarter. - The company's conventional shell egg segment reported an operating loss of $71 million, with a negative operating margin of 35.2%, reflecting challenging market conditions. - Specialty shell egg volumes declined during the quarter due to a tough year-over-year comparison, and profitability may continue to be pressured by conventional pricing dynamics. - Prepared foods segment is still in investment phase, with upfront costs expected to impact earnings in the near term before capacity is fully utilized and commercialized. - Feed costs have increased, and the company expects continued pressure from higher input costs, which could further impact margins if not offset by pricing adjustments. Q: Heather Jones of Heather Jones Research asked about the sharp increase in unallocated corporate G&A, which was up roughly $8.5 million year-over-year, and how to think about that line item for the rest of fiscal 2027.A: CFO Max Bowman explained the increase was driven by higher legal and professional fees and the absence of prior-year insurance credits, partly offset by a contingent consideration item from the Fassio acquisition that settles next quarter. He said the current level is roughly the expected run rate as the business grows and scales, noting the additions of Creighton and Clean Egg, and that delivery expense rose over 16% across segments despite lower volume. Q: Heather Jones followed up on conventional pricing, noting the market-based piece is trending near $0.90 quarter-to-date, and asked about the lag before higher feed costs flow into cost-plus pricing.A: CEO Sherman Miller said feed cost was up 4.3% versus Q1 of 2026, with the Egg Industry Center projecting up to 8%, and that Cal-Maine uses basis locks, farm storage, and hedging to manage it. On the pricing lag, he said some of the higher feed cost has already shown up and will continue to, with most cost-plus updates occurring within two weeks to a month, though a few stretch to a quarterly look-back. Q: Leah Jordan of Goldman Sachs asked why specialty shell egg volumes declined even as industry specialty volumes grew, and when Cal-Maine expects to return to volume growth in that segment.A: CEO Sherman Miller attributed the decline to a very tough prior-year comparison, when Cal-Maine outperformed the market by stepping in to supply customers during industry-wide shortages. He said the company expects to trend more in line with the overall market going forward, citing eggs' strong value proposition, 97% household penetration, and cost-per-serving advantage. Q: Leah Jordan also asked about specialty segment profitability, which saw a sequential decline, and what range and variability investors should expect around mid-cycle earnings given higher feed costs.A: CEO Sherman Miller noted the low-double-digit percentage of specialty tied to the market is under pressure, though pricing was stable sequentially and the California market remains at $0.97 a dozen, a level he called unsustainable longer term. CFO Max Bowman added that specialty pricing is always influenced by conventional pricing, and that last year's specialty volumes benefited from a narrow price gap to conventional, so some pressure is industry-wide as that gap recovers. Q: Pooran Sharma of Stephens asked what data would give management more confidence that supply rationalization is underway, and whether higher feed costs accelerate that dynamic.A: CEO Sherman Miller pointed to the American Egg Board's June flock estimate of 336 million to 343 million birds, down 4 million from May, August hatch numbers down 12%, and weekly inventory down 128,000 cases or about 7% year-over-year. He also noted the export-driven price spike within the quarter suggested more tightness than the Urner Barry market reflects. CFO Max Bowman said historically, margin compression from both lower sale prices and higher input costs leads to adjustment, though timing is difficult to predict. Q: Benjamin Mayhew of BMO Capital Markets noted Cal-Maine's breeder and layer flock grew low single digits from May to August while the industry cut back, and asked whether the company is comfortable with its current in-house supply given mounting industry losses.A: CEO Sherman Miller said flock planning happens two years out and the goal is to supply 100% of customer needs, and that the company has used recent years to catch up on normal flock rotations. He declined to speak for the industry. Q: Benjamin Mayhew asked whether prepared foods profits could grow year-over-year this fiscal year, whether the second half should see strong acceleration, and whether operating margins could quickly approach the mid-teens.A: John Zoeller, CFO of Prepared Foods, said the first wave of capital expansion the pancake line and scrambled egg line is being installed now, with Crepini capacity coming gradually through this year and next. Top-line benefit starts in the second half as capacity is commercialized, but commissioning and startup costs precede that, and he declined to give margin guidance, saying full utilization and fixed-cost absorption will lift the margin profile over time. Q: Ben Klieve of StoneX asked whether the current environment of supply pressure and rising input costs changes Cal-Maine's M&A strategy, given financially stressed operators and potentially attractive valuations.A: CEO Sherman Miller said the company remains egg-centric and looks for bolt-on, tuck-in acquisitions, but now has more growth avenues than ever across conventional, specialty, prepared foods, ingredients, and brands. Chief Strategy Officer Keira Lombardo added that the priority is integrating Echo Lake, Crepini, Creighton, and Van's, commercializing new capacity, and building the customer pipeline, and that M&A is evaluated against what the organization can absorb and execute well rather than maximizing deal count or speed. Q: Heather Jones asked whether prepared foods EBIT should be expected to decline sequentially as upfront expenses for new capacity increase.A: John Zoeller, CFO of Prepared Foods, confirmed Q2 will carry upfront costs for capacity coming online this quarter, similar to what was seen in Q1 from initial capacity brought online late in the quarter. He said those costs should moderate somewhat in the back half of the year as top-line growth comes from commercializing the new pounds. Q: Heather Jones noted Cal-Maine's stock is setting new multi-decade lows on a price-to-book and price-per-hen basis, and asked whether the company would get more aggressive with share repurchases given its cash position.A: CEO Sherman Miller said buybacks have been a valuable addition to capital allocation since being introduced a little over a year ago, and that the roughly 205,000 shares repurchased post-quarter-end show management sees significant value at these levels. He said the current situation is not mid-cycle normal or sustainable, and reiterated that the company has been here before and manages from its balance sheet forward. Q: Heather Jones asked about the timing of the conventional shell egg market rebalancing and what early supply indicators management is watching.A: CEO Sherman Miller cited American Egg Board data showing the US layer flock at roughly 336 million to 343 million birds, about 4 million below the prior estimate, August hatch numbers down approximately 12% year-over-year, rising cancellations, and average production of about 19.9 For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. - Management attributes current operating losses to a significant supply-demand imbalance in the conventional shell egg market, which has driven wholesale prices to unsustainable levels. - The company is intentionally investing ahead of growth in its Prepared Foods segment, where commissioning and start-up costs are currently preceding full utilization and earnings contribution. - Specialty Shell Eggs and Prepared Foods now represent 54% of net sales, reflecting a strategic shift toward a more diversified, less commodity-dependent economic profile. - Management notes that while the conventional market is oversupplied, retail demand remains constructive with measured retail egg volume increasing approximately 4% year-to-date. - The company maintains a virtually debt-free balance sheet with $767.6 million in cash, which management views as a critical competitive advantage for investing through the commodity trough. - Price realization was impacted by market timing, as selling prices lagged a rapid market rise in late August, though pricing structures remain historically strong. - Prepared Foods production capacity is projected to increase by more than 60% by the first half of fiscal 2028 compared to the end of fiscal 2026. - Management expects the high-speed pancake line to add 12 million pounds of annual capacity by early fiscal 2027, followed by 17 million pounds of scrambled egg capacity through fiscal 2027. - The company anticipates that Prepared Foods earnings contribution will build sequentially as volume scales and fixed cost absorption improves, particularly in the second half of fiscal 2027. - Management is monitoring early supply indicators, including a 12% year-over-year decline in August hatch numbers, as potential signals for a future rebalancing of the shell egg market. - Biosecurity remains a top priority as the company enters the fall wild bird migration period, which historically correlates with increased Highly Pathogenic Avian Influenza (HPAI) activity. - The company reported a cumulative loss to be recovered of $94.5 million before cash dividends can resume under its variable dividend policy. - Feed costs increased 4.3% year-over-year, with management warning of potential continued pressure due to tight soybean stocks and global geopolitical disruptions. - A $25 million acquisition of Eggland's Best franchise territory in the Northeast U.S. was completed during the quarter to strengthen regional distribution. - Unallocated corporate G&A expenses rose by $8.5 million, driven by higher legal and professional fees and the normalization of insurance credits from the prior year. - Management clarified that most cost-plus pricing updates occur within two weeks to a month, though some contracts utilize a quarterly look-back period. - The company strategically fills storage bins during harvest to capture new crop pricing, which can impact results for one to six months depending on the facility. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. - The volume decline was attributed to a difficult year-over-year comparison where Cal-Maine over-indexed on supply during industry-wide shortages. - Management expects specialty volumes to eventually normalize and trend in line with broader market growth as pricing spreads stabilize. - Upfront commissioning and installation costs for new lines will continue to impact margins in the second quarter of fiscal 2027. - Profitability is expected to improve in the back half of the year as commercialization of new capacity drives top-line growth and better fixed-cost absorption. - The company remains 'egg-centric' in its M&A approach but is currently prioritizing the integration of recent acquisitions like Echo Lake and Crepini. - Management emphasized that they will not maximize the speed of expansion at the expense of operational execution or the ability to digest recent growth. - Management acknowledged that the stock is trading at historically low price-to-book levels and indicated they see significant value at current prices. - The company repurchased approximately 204,888 shares for $14.9 million subsequent to the quarter end, signaling confidence in the long-term through-cycle earnings power.

Investing.com -- On Thursday, Cal-Maine Foods Inc. (NASDAQ:CALM) reported a first quarter loss that exceeded analyst expectations as the egg producer grappled with oversupply in the conventional shell egg market. Shares of the company edged down 1.54% in pre-market trading following the results. Before you buy NVIDIA: our AI model's stock picks are beating the market by 120%+. See the list now » The company posted an adjusted loss of $1.26 per share for the first quarter ended August 29, 2026, compared to the analyst consensus estimate of a loss of $0.47 per share. Revenue totaled $539.61 million, missing the $587.8 million analyst estimate and declining 41.5% from $922.60 million in the prior-year period. The company swung to a net loss of $58.62 million from net income of $199.34 million a year earlier. The revenue decline reflected an industry supply imbalance following layer flock repopulation during fiscal 2026. Conventional Shell Eggs sales plunged 59.5%, driven by a 59.3% decrease in average selling price per dozen, while volume remained relatively flat. Specialty Shell Eggs sales decreased 14.0%, and Prepared Foods sales fell 13.0%. Not finding the right stocks? Our AI's list of investor-grade stock picks for October just dropped » "Our first-quarter results reflect both the current point in the conventional shell egg cycle and the continued evolution of Cal-Maine Foods' earnings model," said Sherman Miller, president and chief executive officer. "Conventional Shell Egg pricing remains under pressure from an industry supply imbalance, while underlying demand remains healthy." The company highlighted its strategic shift toward higher-margin products, with Specialty Shell Eggs and Prepared Foods now representing 54.1% of net sales compared to 37.1% in the prior-year period. Prepared Foods accounted for 11.7% of net sales versus 7.8% a year earlier. Cal-Maine Foods repurchased 66,601 shares for $5.0 million during the quarter. The company will not pay a dividend for the first quarter, consistent with its variable dividend policy. As of August 29, 2026, the cumulative loss to be recovered before payment of any future dividend was $94.5 million. The company is advancing production capacity expansion projects expected to increase Prepared Foods production capacity more than 60% by the first half of fiscal 2028 compared to fiscal 2026 year-end. Original Article Cal-Maine Foods stock edges down on first quarter loss and revenue miss Acuity stock rises 2% on fourth-quarter earnings beat Accenture shares jump on earnings beat and upbeat guidance

Egg company Cal-Maine Foods (NASDAQ:CALM) missed Wall Street's revenue expectations in calendar Q3 2026 (fiscal Q1 2027), with sales falling 41.5% year on year to $539.6 million. Its GAAP loss of $1.26 per share was 63.1% below analysts' consensus estimates. Is now the time to buy Cal-Maine? Find out in our full research report. - Revenue: $539.6 million vs analyst estimates of $561.7 million (41.5% year-on-year decline, 3.9% miss) - EPS (GAAP): -$1.26 vs analyst expectations of -$0.77 (63.1% miss) - Operating Margin: -15.2%, down from 26.2% in the same quarter last year - Market Capitalization: $3.22 billion Mr. Miller commented, "Looking ahead, there are two important timing dynamics: when the conventional shell egg market begins to rebalance and when our investments in Prepared Foods translate into greater earnings contribution. We cannot precisely predict the first, but we have considerably greater visibility into the second. Current earnings reflect a difficult point in the commodity cycle while we are simultaneously investing ahead of growth, and we do not believe that fully reflects the through-cycle earnings power we are building. With a strong balance sheet, more than 60% planned growth in Prepared Foods capacity through the first half of fiscal 2028, and continued opportunities across Specialty Shell Eggs, we are well positioned to invest through the cycle and build a more diversified and durable earnings profile." Known for brands such as Egg-Land's Best and Land O' Lakes, Cal-Maine (NASDAQ:CALM) produces, packages, and distributes eggs. A company's long-term sales performance is one signal of its overall quality. Any business can put up a good quarter or two, but the best consistently grow over the long haul. With $2.53 billion in revenue over the past 12 months, Cal-Maine carries some recognizable products but is a mid-sized consumer staples company. Its size could bring disadvantages compared to larger competitors benefiting from better brand awareness and economies of scale. As you can see below, Cal-Maine struggled to generate demand over the last three years. Its sales dropped by 5% annually, a poor baseline for our analysis. This quarter, Cal-Maine missed Wall Street's estimates and reported a rather uninspiring 41.5% year-on-year revenue decline, generating $539.6 million of revenue. Looking ahead, sell-side analysts expect revenue to remain flat over the next 12 months. While this projection implies its newer products will catalyze better top-line performance, it is still below the sector average. ALSO WORTH WATCHING: Nvidia's Quiet Partner. Nvidia's chips cost a hundred grand. The connectors that make them work cost even more. One company makes them all. Every AI server needs specialized infrastructure the chip companies don't make. High-speed cables. Power connectors. Thermal sensors. This 90-year-old company built a monopoly on it. The AI boom just started. This stock is still flying under the radar. Claim The Stock Ticker Here for FREE. Although earnings are undoubtedly valuable for assessing company performance, we believe cash is king because you can't use accounting profits to pay the bills. Cal-Maine has shown terrific cash profitability, enabling it to reinvest, return capital to investors, and stay ahead of the competition while maintaining an ample cushion. The company's free cash flow margin was among the best in the consumer staples sector, averaging 20.5% over the last two years. We struggled to find many positives in these results. Its gross margin missed and its EPS fell short of Wall Street's estimates. Overall, this quarter could have been better. The stock traded down 6% to $64.41 immediately following the results. Cal-Maine didn't show its best hand this quarter, but does that create an opportunity to buy the stock right now? What happened in the latest quarter matters, but not as much as longer-term business quality and valuation, when deciding whether to invest in this stock. We cover that in our actionable full research report which you can read here, it's free.

RIDGELAND, Miss., Sept. 30, 2026 (GLOBE NEWSWIRE) -- Cal-Maine Foods, Inc. (Nasdaq: CALM) ("Cal-Maine Foods," "we," "us," "our" or the "company"), the largest egg company in the United States and a leading player in the egg-based food industry, today reported results for its first quarter ended August 29, 2026. Unless otherwise indicated, all comparisons are to the comparable period of fiscal 2026. Financial Highlights | (in thousands except per share amounts and percentages) | First Quarter | 2027 | | | 2026 | | $ Change | | % Change Net sales | $ | 539,607 | | | $ | 922,602 | | $ | (382,995 | ) | | (41.5 | ) | % Gross profit | $ | 403 | | | $ | 311,314 | | $ | (310,911 | ) | | (99.9 | ) | % Operating income (loss) | $ | (82,165 | ) | | $ | 249,184 | | $ | (331,349 | ) | | (133.0 | ) | % Net income (loss) attributable to Cal-Maine Foods, Inc. | $ | (58,615 | ) | | $ | 199,340 | | $ | (257,955 | ) | | (129.4 | ) | % Income (loss) per share - diluted | $ | (1.26 | ) | | $ | 4.12 | | $ | (5.38 | ) | | (130.6 | ) | % Strategic Execution Highlights - Continued focus on sales diversification and mix shift, expected to strengthen earnings durability and predictability over time - In the first quarter of fiscal 2027: - Prepared Foods accounted for 11.7% of net sales compared to 7.8% - Combined, Specialty Shell Eggs and Prepared Foods increased to 54.1% of net sales compared to 37.1% - Acquired additional Eggland's Best® franchise territory in Northeast, expanding the company's distribution footprint and increasing its Specialty Shell Eggs category penetration across one of the nation's largest, highest-income consumer markets - Continued progress on previously announced projects to increase efficiency and production capacity, which are expected to increase Prepared Foods production capacity more than 60% by the first half of fiscal 2028, compared to fiscal 2026 year-end Commentary Sherman Miller, president and chief executive officer of Cal-Maine Foods, said, "Our first-quarter results reflect both the current point in the conventional shell egg cycle and the continued evolution of Cal-Maine Foods' earnings model. Conventional Shell Egg pricing remains under pressure from an industry supply imbalance, while underlying demand remains healthy. At the same time, Specialty Shell Eggs and Prepared Foods now represent approximately 54% of our net sales, demonstrating the progress we have made in broadening our business. We remain focused on our foundational Conventional Shell Egg business while scaling Specialty and Prepared Foods and converting the investments we have made into profitable growth." Segment Results Summary | Segment Net Sales | (in thousands except percentages) | First Quarter | 2027 | | | 2026 | | | Volume Change | | Avg. Price Change Conventional Shell Eggs | $ | 201,683 | | | $ | 498,433 | | | (0.7 | ) | % | | (59.3 | ) | % Specialty Shell Eggs | | 236,932 | | | | 275,590 | | | (3.8 | ) | % | | (10.7 | ) | % Prepared Foods | | 62,995 | | | | 72,368 | | | (19.3 | ) | % | | 7.9 | | % Total Reportable Segments | $ | 501,610 | | | $ | 846,391 | | | | | | | | Operating Income (Loss) | (in thousands except percentages) | First Quarter | | | | | | | Operating Margin | 2027 | | | 2026 | | | 2027 | | 2026 Conventional Shell Eggs | $ | (71,045 | ) | | $ | 168,236 | | | (35.2 | ) | % | | 33.8 | | % Specialty Shell Eggs | | 14,937 | | | | 64,196 | | | 6.3 | | % | | 23.3 | | % Prepared Foods | | 7,842 | | | | 13,221 | | | 12.4 | | % | | 18.3 | | % Total Reportable Segments | $ | (48,266 | ) | | $ | 245,653 | | | (9.6 | ) | % | | 29.0 | | % Other - Segment Income (Loss) | | (8,374 | ) | | | 12,219 | | | N/A | | | N/A | | Unallocated Corporate SG&A | | (24,609 | ) | | | (16,072 | ) | | N/A | | | N/A | | Gain on Involuntary Conversion | | — | | | | 7,488 | | | N/A | | | N/A | | Loss on Disposal of Fixed Assets | | (916 | ) | | | (104 | ) | | N/A | | | N/A | | Operating Income (Loss) | $ | (82,165 | ) | | $ | 249,184 | | | (15.2 | ) | % | | 27.0 | | % N/A – Not Applicable Conventional Shell Eggs First-quarter performance reflected an abundantly supplied egg market following industry layer flock repopulation during fiscal 2026. The increase in egg supply, together with the first quarter's historically softer seasonal pricing, resulted in substantially lower conventional shell egg prices compared with the prior-year period. Conventional Shell Eggs sales decreased 59.5%, primarily reflecting a 59.3% decrease in average selling price per dozen, while volume remained relatively flat. The effect of lower market prices was partially mitigated by hybrid and cost-plus pricing arrangements with certain customers. Segment loss was $71.0 million, compared with segment income of $168.2 million in the prior-year period, as lower pricing more than offset lower outside egg purchase costs. Specialty Shell Eggs Specialty Shell Eggs sales decreased 14.0%, reflecting a 10.7% decrease in average selling price per dozen and a 3.8% decrease in volume. The prior-year period benefited from atypical pricing relationships between conventional and specialty shell eggs that temporarily accelerated demand for certain specialty shell egg categories. During the current quarter, lower volumes reflected a more typical demand relationship across the conventional and specialty shell egg categories. Segment income was $14.9 million, compared with $64.2 million in the prior-year period, primarily due to lower selling prices and higher cost per dozen resulting from increased feed and production costs, partially offset by lower selling, general and administrative expense. Prepared Foods Prepared Foods sales decreased 13.0% reflecting a 19.3% decrease in pounds sold, primarily related to temporary production reductions during capacity expansion and network optimization activities, which was partially offset by a 7.9% increase in average selling price per pound. Segment income was $7.8 million, compared with $13.2 million in the prior-year period. We continue to advance our previously announced production capacity and optimization projects to support future growth and improved operating efficiency. Outlook Mr. Miller commented, "Looking ahead, there are two important timing dynamics: when the conventional shell egg market begins to rebalance and when our investments in Prepared Foods translate into greater earnings contribution. We cannot precisely predict the first, but we have considerably greater visibility into the second. Current earnings reflect a difficult point in the commodity cycle while we are simultaneously investing ahead of growth, and we do not believe that fully reflects the through-cycle earnings power we are building. With a strong balance sheet, more than 60% planned growth in Prepared Foods capacity through the first half of fiscal 2028, and continued opportunities across Specialty Shell Eggs, we are well positioned to invest through the cycle and build a more diversified and durable earnings profile." Share Repurchase Update Cal-Maine Foods repurchased 66,601 shares of its common stock under the company's current share repurchase authorization during the first quarter of fiscal 2027 for a total of $5.0 million. The repurchase program permits the company to repurchase up to $500 million, of which $315.7 million remained available as of the end of the first quarter of fiscal 2027. Subsequent to the end of the first quarter, Cal-Maine Foods repurchased 204,888 shares under the repurchase program for $14.9 million. Dividend Payment Pursuant to the company's variable dividend policy, Cal-Maine Foods will not pay a cash dividend with respect to the first quarter of fiscal 2027. The company will not pay a dividend for a subsequent profitable quarter until it is profitable on a cumulative basis computed from the date of the last quarter in which a dividend was paid. As of August 29, 2026, the cumulative loss to be recovered before payment of any future dividend under the variable dividend policy was $94.5 million. Conference Call and Webcast Management will host a conference call and webcast at 9:00 a.m. ET on September 30, 2026. Participants can access the live webcast on the Investor Relations page of the Cal-Maine Foods website at https://www.calmainefoods.com/events-presentations. To join by telephone, participants can register here. Upon registration, participants will receive a confirmation email with detailed instructions, including a dial-in number, unique passcode, and registrant ID. A replay of the webcast will be available for 30 days following the call on the Investor Relations page of the Cal-Maine Foods website at https://www.calmainefoods.com/events-presentations. About Cal-Maine Foods Cal-Maine Foods, Inc. (Nasdaq: CALM) is the largest egg company in the United States and a leading player in the egg-based food industry. With a strong national footprint, Cal-Maine Foods provides nutritious, affordable, and sustainable protein to millions of households every day. The company's portfolio spans the full egg value ladder—from conventional to specialty, including cage-free, nutritionally enhanced, organic, brown, pasture-raised, and free-range eggs—serving retail, foodservice and industrial customers nationwide. Cal-Maine Foods also participates in the growing prepared foods sector, with offerings such as pre-cooked egg patties, omelets, folded and scrambled egg formats, hard-cooked eggs, pancakes, waffles, and specialty wraps. Its branded portfolio includes Eggland's Best®, Land O'Lakes®, Farmhouse Eggs®, 4Grain®, Sunups®, Sunny Meadow®, MeadowCreek Foods®, Van's®, and Crepini®. Headquartered in Ridgeland, Mississippi, Cal-Maine's strategy combines scale, operational excellence, and financial discipline with a commitment to innovation and sustainability, to enable the company to deliver trusted nutrition, enduring partnerships, and long-term value for its stakeholders. Forward Looking Statements 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) changes in wholesale shell egg market prices, (ii) changes in the demand for shell eggs and our prepared foods offerings, (iii) increases in feed costs for our shell egg operations as well as increases in input costs for prepared foods, (iv) our ability to predict and meet demand for cage-free and other specialty shell eggs, (v) the risks and hazards inherent in shell egg, egg products and prepared foods operations (including, as applicable, disease, pests, weather conditions, and potential for product recall), including but not limited to the current outbreak of HPAI affecting poultry in the U.S., Canada and other countries that was first detected in commercial flocks in the U.S. in February 2022 and that impacted our flocks in the third and fourth quarters of fiscal 2024 and again in March 2026, (vi) risks, changes, or obligations that could result from our recent or future acquisition of new flocks or businesses, such as our acquisition of Echo Lake Foods completed June 2, 2025, and risks or changes that may cause conditions to completing a pending acquisition not to be met, (vii) our ability to successfully integrate and manage recently acquired businesses, like Echo Lake Foods, and realize the expected benefits of such acquisitions, including synergies, cost savings, reduction in earnings volatility, margin expansion, financial returns, expanded customer relationships, or sales or growth opportunities, (viii) our ability to produce, supply and distribute shell eggs and prepared foods efficiently and reliably, (ix) our ability to compete effectively with existing competitors and new market entrants, retain existing customers, acquire new customers and grow our product mix including our prepared foods product offerings, (x) the impacts of government, customer and consumer reactions to high market prices for eggs, including, without limitation, potential new or expanded government regulations, (xi) risks relating to potential changes in inflation, interest rates and trade and tariff policies, (xii) the loss or expiration of any registered trademarks or other intellectual property that we use in our business, (xiii) adverse results in pending litigation and other legal matters, (xiv) global instability, including as a result of geopolitical conflicts and other uncertainties and (xv) the risk factors set forth the company's SEC Filings (including its Annual Report on Form 10-K, as may be updated by the company's Quarterly Reports on Form 10-Q and Current Reports on Form 8-K). The Company's 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, forward-looking statements included herein are made only 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 update publicly these forward-looking statements, whether because of new information, future events, or otherwise. CAL-MAINE FOODS, INC. AND SUBSIDIARIES FINANCIAL HIGHLIGHTS (Unaudited) (In thousands, except per share amounts) SUMMARY STATEMENTS OF OPERATIONS | | 13 Weeks Ended | | August 29, 2026 | | August 30, 2025 Net sales | | $ | 539,607 | | | $ | 922,602 | Cost of sales | | | 539,204 | | | | 611,288 | Gross profit | | | 403 | | | | 311,314 | Selling, general and administrative | | | 81,652 | | | | 69,514 | Gain on involuntary conversions | | | — | | | | (7,488 | ) Loss on disposal of fixed assets | | | 916 | | | | 104 | Operating income (loss) | | | (82,165 | ) | | | 249,184 | Other income, net | | | 7,969 | | | | 14,081 | Income (loss) before income taxes | | | (74,196 | ) | | | 263,265 | Income tax expense (benefit) | | | (17,992 | ) | | | 64,158 | Net income (loss) | | | (56,204 | ) | | | 199,107 | Less: Income (loss) attributable to noncontrolling interest | | | 2,411 | | | | (233 | ) Net income (loss) attributable to Cal-Maine Foods, Inc. | | $ | (58,615 | ) | | $ | 199,340 | | | | | | | Net income (loss) per common share: | | | | | | Basic | | $ | (1.26 | ) | | $ | 4.13 | Diluted | | $ | (1.26 | ) | | $ | 4.12 | Weighted average shares outstanding: | | | | | | Basic | | | 46,703 | | | | 48,281 | Diluted | | | 46,703 | | | | 48,424 | CAL-MAINE FOODS, INC. AND SUBSIDIARIES FINANCIAL HIGHLIGHTS (Unaudited) (In thousands) SUMMARY BALANCE SHEETS | | | | | | August 29, 2026 | | May 30, 2026 Assets | | | | | | Cash and short-term investments | | $ | 767,592 | | $ | 924,057 Receivables, net | | | 285,232 | | | 264,431 Inventories, net | | | 394,690 | | | 375,265 Prepaid expenses and other current assets | | | 24,379 | | | 17,789 Current assets | | | 1,471,893 | | | 1,581,542 | | | | | | Property, plant and equipment, net | | | 1,312,285 | | | 1,318,335 Other noncurrent assets | | | 229,201 | | | 207,693 Total assets | | $ | 3,013,379 | | $ | 3,107,570 | | | | | | Liabilities and stockholders' equity | | | | | | Accounts payable and accrued expenses | | $ | 191,127 | | $ | 205,516 Current liabilities | | | 191,127 | | | 205,516 | | | | | | Deferred income taxes and other liabilities | | | 242,305 | | | 261,522 Stockholders' equity | | | 2,579,947 | | | 2,640,532 Total liabilities and stockholders' equity | | $ | 3,013,379 | | $ | 3,107,570 | | | | | | Contacts Investors: [email protected] Media: [email protected] Telephone: (601) 948-6813

- Interested in Cal-Maine Foods, Inc.? Here are five stocks we like better. - Cal-Maine reported a sharp year-over-year deterioration in fiscal Q1 results, including a $58.6 million net loss and 41.5% lower sales, as oversupply drove down conventional egg prices and higher feed costs pressured margins. - Management sees constructive demand across retail, food service and exports, while early indicators suggest the egg supply may be tightening; however, executives cautioned that a market rebalancing is not yet confirmed. - The company is investing to diversify beyond conventional eggs, with prepared-foods capacity expected to rise more than 60% by the first half of fiscal 2028. Cal-Maine ended the quarter with $767.6 million in cash, but suspended its dividend until cumulative profitability is restored. - 3 Dividend Stocks With Growth Potential You Can't Miss Cal-Maine Foods (NASDAQ:CALM) reported a first-quarter fiscal 2027 net loss as an oversupplied conventional egg market pressured wholesale prices, while the company continued investing in specialty eggs and prepared foods to build a more diversified earnings base. For the quarter, Cal-Maine posted net sales of $539.6 million, down 41.5% from the prior-year period. The company reported a gross profit of $403,000, compared with $311.3 million a year earlier, and an operating loss of $82.2 million, versus operating income of $249.2 million in the prior-year quarter. Net loss attributable to Cal-Maine was $58.6 million, or $1.26 per diluted share, compared with net income of $199.3 million, or $4.12 per diluted share, a year earlier. → Akamai's Anthropic Deal Puts $5.5 Billion Behind Its Edge AI Pivot - Cal-Maine Foods: A Defensive Play With a Cage-Free Future President and CEO Sherman Miller said the central near-term issue remains the timing of a rebalancing in the conventional shell egg market. Supply continues to exceed demand, putting pressure on wholesale pricing, though Miller pointed to early indications that supply could be tightening. According to data cited by the company from the American Egg Board, the U.S. layer flock was estimated at roughly 336 million to 343 million birds, about 4 million below the prior estimate. August hatch numbers were down about 12% year over year, while cancellations had become more frequent. Average production over the past three months was estimated at about 19.9 million cases per month, a modest decline from the prior report. → AST SpaceMobile's New Securities Lawsuit Adds Fuel to an Already Volatile Stock - Egg Prices Surge: 3 Stocks Set to Benefit from Rising PPI Trends Miller said those indicators do not confirm a market turn. He also noted that highly pathogenic avian influenza could affect the timing of a supply adjustment, as virus activity has historically risen during the fall wild-bird migration period. "The issue today is that supply remains greater than even that healthy demand can absorb," Miller said during the call. → Why 3 Struggling Stocks Are Suddenly Spending Big on Buybacks Conventional shell egg sales totaled $201.7 million, down 59.5% from the prior-year period. The segment posted an operating loss of $71 million and a negative 35.2% operating margin. Cal-Maine's percent produced to sold for conventional and specialty shell eggs combined was 98.2%. Chief Financial Officer Max Bowman said conventional price realization for external customers was 99% of the daily average Urner Barry Southeast market price, compared with 101% in the preceding quarter. He attributed the sequential change to timing, as much of the company's conventional egg business is priced with a lag to market movements. Higher feed costs also added pressure. Miller said feed cost was up 4.3% from the first quarter of fiscal 2026. In response to an analyst question, management said changes in feed costs generally begin flowing through cost-plus pricing arrangements within two weeks to a month, although some agreements can involve a quarterly look-back period. Despite excess supply, Cal-Maine said demand data across retail, food service and exports remained favorable. NielsenIQ data cited by the company showed retail egg volume rose about 4% year to date through August. In the four weeks ended Aug. 29, national retail egg dozens remained slightly higher year over year even as average price per dozen declined about 27%. Specialty egg demand outpaced the overall category. Combined retail sales volumes for cage-free, organic, free-range and pasture-raised eggs increased about 6% year to date, according to NielsenIQ. The company also cited American Egg Board data showing quick-service restaurant egg servings increased 2.4% through July and U.S. egg export volume rose 29% year to date. Specialty shell egg sales were $236.9 million, down 14% from a particularly strong prior-year period, when Cal-Maine supplied customers during industry shortages. The segment generated operating income of $14.9 million and a 6.3% operating margin. Miller said the decline reflected difficult comparisons and noted that a low-double-digit percentage of the specialty business remains tied to conventional market pricing. Management expects specialty volumes to trend more closely with broader market growth over time. Prepared foods generated $63 million in sales, down 13% year over year, while operating income was $7.8 million and operating margin was 12.4%. Prepared foods accounted for about 12% of total net sales during the quarter, while specialty shell eggs and prepared foods together represented approximately 54% of revenue. Cal-Maine expects prepared-foods production capacity to increase more than 60% by the first half of fiscal 2028 compared with the end of fiscal 2026. The planned expansion includes approximately 12 million pounds of annual pancake capacity through early fiscal 2027, 17 million pounds of scrambled egg capacity through fiscal 2027, and 18 million pounds of additional production capacity at Egg Corp through fiscal 2028. John Zoeller, CFO of Prepared Foods, said upfront commissioning and startup costs will continue in the second quarter as new capacity comes online. He said those costs should moderate in the second half of the fiscal year, while the company begins to benefit from commercializing the additional volume. Chief Strategy Officer Keira Lombardo said Cal-Maine continues to evaluate acquisition opportunities but is focused on integrating acquired businesses, commercializing new capacity and building customer demand at a pace that supports long-term execution. The company has previously expanded its prepared-foods platform through the Echo Lake, Crepini, Creighton Brothers and Van's acquisitions. Cal-Maine ended the quarter with $767.6 million in cash and temporary cash investments and said it remained virtually debt-free. Cash used in operating activities totaled $101.4 million, compared with cash provided by operating activities of $278.6 million a year earlier. Capital expenditures were $26.6 million, and the company spent $25 million to acquire additional EB franchise territory in the Northeast. The company repurchased 66,601 shares for about $5 million during the quarter. About $315.7 million remained available under its $500 million share repurchase authorization at quarter-end. After the quarter closed, Cal-Maine repurchased an additional 204,888 shares for $14.9 million. Under its variable dividend policy, Cal-Maine said it will not pay a cash dividend until it returns to cumulative profitability. The cumulative loss to be recovered stood at $94.5 million at the end of the first quarter. Miller said the company's objective is not to eliminate exposure to the egg cycle, but to increase the contribution from specialty eggs and prepared foods over time. "Current results therefore reflect both commodity pressure and investment ahead of growth," he said. Cal-Maine Foods, Inc is a leading producer and distributor of shell eggs in the United States. The company manages a vertically integrated business that includes egg production, processing, packaging, marketing and distribution. Its products are sold to retail grocery chains, foodservice customers, food processors and institutional buyers. Cal-Maine offers conventional shell eggs as well as specialty products, including cage-free, organic, brown, free-range and nutritionally enhanced eggs. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "What Cal-Maine Foods (CALM) Said on Its Q1 Earnings Call" was originally published by MarketBeat. View MarketBeat's top stocks for September 2026.