Cal-Maine swings to profit after insurance gain
LONDON (MarketWatch) — Egg producer Cal-Maine Foods Inc. said Monday that it swung to a fiscal first-quarter profit of $4.8 million, or 20 cents a share, from a loss of $3.8 million, or 16 cents a share, a year earlier. Revenue for the quarter ended Aug. 28 rose 1.5% to $190.4 million. The group said the improved performance was driven by stronger demand for its specialty eggs and lower feed costs. It also benefited from a $2.6 million insurance gain related to a 2009 fire at one of its facilities in Texas. “The recent nationwide egg recall had minimal effect on Cal-Maine’s results this quarter. While egg prices initially moved higher in late August, prices have since dropped back below levels prior to the recall. Consumer demand for eggs has also dropped off since the recall,” the company said.
Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.
View full post on All Stories
