Cal-Maine Foods Inc.

CALM, + 3.44%

The group announced a second-quarter tax profit higher than expected, but missed sales, the "less favorable market conditions" having resulted in a decline in the number of eggs sold and lower prices. The stock was still inactive in the pre-commercial trade. The egg producer posted net income of $ 21.8 million, or 45 cents per share, for the quarter ended December 1, compared with a loss of $ 26.1 million, or 54 cents per share, during the same period of the previous year. Excluding non-recurring items, such as litigation expenses, adjusted earnings per share was 49 cents, higher than the FactSet consensus of 48 cents. Sales increased from $ 361.2 million to $ 356.0 million, while the FactSet consensus was $ 362.9 million. Twelve eggs sold increased from 263.1 million to 262.3 million, the average net selling price per dozen went from $ 1.321 to $ 1.311 and the cost of food per dozen went from 38.8 to 41.5 cents . "Egg consumption per capita has risen near historic levels, but concerns about supply seem to affect market prices," said General Manager Dolph Baker. "The number of chickens is expected to continue to increase over the next few months, which could continue to affect market prices until 2019." The stock has fallen 4.8% in the last three months, while the S & P 500

SPX, + 3.43%

dropped 16%.

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