CALM posts $2.41 EPS for Q3 on $278 million in revenues

Fred Adams, chairman and chief executive officer of Cal-Maine Foods, Inc., stated, “We are very pleased with the strong results for the third quarter of fiscal 2008, reflecting record high egg prices. All of our operations ran smoothly, and we were able to take full advantage of the favorable economics in our industry. Demand was strong for eggs in both the retail and food service segments and demand was also good for shell eggs used to produce liquid, frozen, and dried egg products. Even with the higher prices, eggs still represent a good value to the consumer compared with other foods. Egg demand for the Easter holiday was also strong. The egg industry had a good inventory clean-up, and we are off to a solid start for our final quarter of the year.

“Feed costs continue to be very high and volatile with no relief in sight. U.S.D.A. statistics and egg industry projections are for egg production to be similar to 2007 levels in the year ahead.”

Adams added, “The quarter ended March 1, 2008, will be the first quarter that the Company’s new dividend policy will be in effect. The record date will be sixty days following the end of the third quarter. The response to our new dividend policy has been positive.”

CALM's dividend policy mandates a 33% payout of quarterly earnings per share.