Cal-Maine Foods, the largest egg producer in the United States, has achieved an impressive feat by doubling its revenue and increasing profits over sevenfold in the last quarter, despite a meager 1% rise in egg sales.
Controlling almost one-fifth of the egg market, the company saw a surge in revenue to $997.5 million, while profits skyrocketed from $39.5 million to a staggering $323.2 million compared to the previous year.”
Cal-Maine Foods has stunned investors with even greater profits than projected, surpassing expectations by a whopping 717% in Q3, up from a projected increase of 575%.
As explained by Investors.com, the surge in profits boosted stock prices by a remarkable $6.62 per share. The egg producer raised conventional egg prices by 152% to $3.68 per dozen, while specialty eggs’ average selling price increased by 70 cents per dozen since Q3 2022 to $2.62 per dozen, a significant increase from the previously recorded price of $1.92
Despite increased costs and supply chain problems due to the avian flu, Cal-Maine Foods CEO Sherman Miller assured investors that none of the production facilities owned or contracted by the company have had any bird flu outbreaks.
Since then, share prices have slightly stabilized, but as reported, the average price per share has surged by at least $20 over the last two years. For instance, the shares that were priced at $34.91 in May 2021 surged to $57.96 in March 2023.
