Cal-Maine Foods, Inc. (NASDAQ: CALM), the largest producer and distributor of fresh shell eggs in the United States, announced its financial and operational results for the fourth quarter and fiscal year ended May 31, 2025. The Company reported robust revenue and income growth, driven by increased egg prices, strong consumer demand, and the expansion of its production capabilities through both organic growth and strategic acquisitions.
Financial Highlights for Q4 and Fiscal 2025
For the fourth quarter, Cal-Maine Foods posted net sales of $1.1 billion, a significant increase from $640.8 million in the same quarter last year. Net income attributable to the company reached $342.5 million, or $7.04 per diluted share, compared to $113.2 million, or $2.32 per diluted share, in the prior-year quarter. The remarkable year-over-year increase was fueled by higher average selling prices for shell eggs and volume growth, especially in the specialty egg category.
For the full fiscal year 2025, the Company recorded net sales of $4.3 billion, nearly doubling the $2.3 billion reported in fiscal 2024. Annual net income soared to $1.2 billion, or $24.95 per diluted share, a more than fourfold increase over the previous year’s earnings of $277.9 million, or $5.69 per diluted share.
The revenue growth was attributed to elevated egg prices during periods of constrained supply caused by the nationwide impact of highly pathogenic avian influenza (HPAI), coupled with strong consumer demand—particularly around the Easter holiday.
Operational Growth and Strategic Expansion
Cal-Maine Foods saw record levels in specialty egg sales, a key area of focus as the company responds to evolving consumer preferences for cage-free, organic, and nutritionally enhanced eggs. The company sold 311.4 million dozen shell eggs in the fourth quarter, up 9.0% from 285.6 million dozens in the year-ago period. Conventional egg sales rose 5.0% to 189.6 million dozens, while specialty eggs experienced a significant 16.0% increase, totaling 121.8 million dozens, a new quarterly record.
The fourth quarter’s net average selling price per dozen was $3.305, up from $2.133 in Q4 of fiscal 2024, reflecting a sharp increase in egg prices due to tight industry supply. The company maintained its pricing integrity with customers by honoring longstanding contracts that balance market-based pricing for conventional eggs and negotiated terms for specialty offerings.
From a production standpoint, the company made substantial progress in expanding its flock and production capabilities:
- Layer hen population grew by 18% in Q4 compared to the same period in the previous year, reflecting both the restart of previously idled facilities and new capacity added through acquisitions and organic investments.
- Breeder flocks rose by 48% year-over-year by the end of Q4.
- Chick hatch volumes increased by 56%, supporting the future expansion of egg-laying capacity.
Cal-Maine continued to execute on several organic growth projects, including new facilities that will accommodate approximately 1.1 million cage-free layer hens, 250,000 pullets, and an additional 1.2 million free-range hens through contract farming arrangements.
Acquisitions Drive Long-Term Growth Strategy
Throughout fiscal 2025, the company took decisive steps to diversify its portfolio and reinforce its supply chain. During Q1, Cal-Maine acquired ISE America, Inc., a fully integrated egg producer, bringing additional production and processing capacity into the fold. Later in the fiscal year, it completed the acquisition of processing facilities from Deal-Rite Feeds, Inc., strengthening its feed supply operations.
Most notably, on June 2, 2025, just after the end of the fiscal year, Cal-Maine closed the acquisition of Echo Lake Foods, a producer of premium frozen and prepared foods. This acquisition marks a strategic move into value-added products and opens new market segments for the company.
“This acquisition aligns perfectly with our strategy to diversify our product portfolio and expand our presence in the prepared foods category,” said Sherman Miller, president and CEO of Cal-Maine Foods. “Echo Lake Foods brings an exciting opportunity for growth and value creation for our customers and shareholders alike. We look forward to working together to integrate operations and unlock synergies.”
Capital Allocation and Shareholder Returns
During the fourth quarter, Cal-Maine declared a cash dividend of $114.2 million, or approximately $2.35 per share, in accordance with its established dividend policy. Additionally, the company repurchased $50 million worth of Common Stock, totaling 551,876 shares, as part of its $500 million share repurchase program. As of the end of the fiscal year, approximately $450 million remains available under the program.
Cal-Maine also completed a public offering of Common Stock by the company’s founding family and officially ceased to be a “controlled company”, a milestone that may broaden the appeal of its shares to institutional investors.
Operational Efficiencies and Cost Management
Despite inflationary pressures and increased demand, farm production costs per dozen remained relatively stable year-over-year. Feed costs, which represent a significant portion of total production expenses, declined 2.2% in Q4 due to more favorable commodity prices. However, increased facility costs and higher prices for externally purchased eggs partially offset those gains.
“We’ve managed our cost structure effectively through a combination of internal efficiencies and strategic planning,” said Max Bowman, vice president and CFO. “Even with higher facility costs and market volatility, we remained focused on delivering value and optimizing every aspect of our business operations.”
