Cal-Maine Foods 2025 Q4 Earnings Record Net Income Soars 203%

Cal-Maine Foods (CALM) reported its fiscal 2025 Q4 earnings on July 22nd, 2025. The company exceeded expectations with a record net income of $342.13 million, marking a significant 203% increase from the prior year. This remarkable performance was complemented by a robust revenue growth of 72.2%, reaching $1.10 billion. Cal-Maine Foods remains optimistic about future growth, supported by strategic acquisitions and increased production capacity, while maintaining a focus on operational efficiency and sustainability.

Revenue

The total revenue of Cal-Maine Foods increased by 72.2% to $1.10 billion in 2025 Q4, up from $640.79 million in 2024 Q4.

Earnings/Net Income

Cal-Maine Foods's EPS rose 205.8% to $7.06 in 2025 Q4 from $2.31 in 2024 Q4, marking continued earnings growth. Meanwhile, the company's profitability strengthened with net income of $342.13 million in 2025 Q4, marking 203.0% growth from $112.93 million in 2024 Q4. Remarkably, in 2025 Q4, the company set a new record high for fiscal Q4 net income, the highest in over 20 years. The EPS performance indicates strong growth for the period.

Price Action

The stock price of Cal-Maine Foods has edged down 1.21% during the latest trading day, has edged up 1.88% during the most recent full trading week, and has edged up 1.59% month-to-date.

Post-Earnings Price Action Review

The strategy of purchasing Cal-Maine Foods (CALM) stock following earnings that surpass expectations and selling after 30 days has yielded moderate results, yet it significantly underperformed the benchmark. The strategy achieved a 5.98% return, which lagged the benchmark by 75.99%. While the Sharpe ratio was positive at 0.08, indicating some level of risk-adjusted return, the strategy faced a maximum drawdown of 0%, suggesting it avoided losses but did not capitalize on broader market gains. This highlights a cautious approach that, while risk-averse, missed greater market opportunities.

CEO Commentary

Sherman Miller, President and Chief Executive Officer of Cal-Maine Foods, emphasized that the fourth quarter of fiscal 2025 marked a strong conclusion to a transformative year for the company. He highlighted the advancement of their growth strategy amidst a dynamic market, maintaining a focus on operational safety and efficiency while expanding production capacity to meet customer demand. Miller noted the successful acquisition of Echo Lake Foods, which aligns with their strategy to diversify and expand their prepared foods portfolio, creating new market opportunities for the company and its stakeholders.

Guidance

Cal-Maine Foods indicates an optimistic outlook following the recent acquisition of Echo Lake Foods, which is expected to strengthen the company’s product offerings and market presence. The company anticipates continued growth driven by increased capacity and consumer demand for its products. Miller expressed confidence in ongoing integration efforts and disciplined investments, suggesting a favorable trajectory for future operational performance and market positioning.

Additional News

In recent developments, Cal-Maine Foods has completed its acquisition of Echo Lake Foods for approximately $258 million in an all-cash transaction. The acquisition, finalized on June 2, 2025, allows Cal-Maine to enter the ready-to-eat egg product market, diversifying its portfolio and enhancing customer relationships. This strategic move is expected to generate $15 million in annual synergies and contribute to earnings per share growth in fiscal year 2026. Furthermore, Cal-Maine announced a significant share repurchase program, authorizing up to $500 million in stock buybacks, with $450 million remaining under the program. These efforts reflect the company's commitment to expanding its market presence and delivering shareholder value.