Executive Summary
CalMaine Foods delivered a solid start to QQ1 2026 with a revenue of $922.6 million and a robust gross margin of 33.74%, supporting an operating income of $249.18 million and net income of $199.34 million. Earnings per share stood at $4.13 (diluted $4.12), reflecting a strong YoY uplift in profitability. Key drivers included favorable product mix and pricing within the shell egg portfolio, complemented by disciplined cost management. On a QoQ basis, topline and margins pulled back meaningfully, consistent with seasonality and volume fluctuations typical of the sector in the early fiscal year, resulting in a QoQ revenue decline of 34.92% and a net income drop of 60.80% despite healthy annual growth metrics.
From a balance sheet and cash flow perspective, CalMaine maintains a substantial liquidity cushion. Total assets stand at $3.20 billion with cash and cash equivalents of approximately $1.25 billion and no long-term debt recorded in the period. The company’s net cash position is reported as negative debt of about $1.25 billion, underscoring a strong cash balance that provides resilience to navigate input-cost volatility and seasonality while potentially supporting strategic investments or optionality in capacity expansion or share repurchases in the future. The period also shows a favorable current ratio (approx. 6.8x) given the substantial liquidity headroom, signaling solid short-term financial health.
Overall, CalMaine’s QQ1 2026 results underscore a defensible earnings profile in a cyclical commodity category, with a prudent balance sheet and a cash-generative core that positions the company to respond to market dynamics and invest in growth opportunities in specialty eggs and private-label opportunities as conditions normalize across the egg complex.
Key Performance Indicators
QoQ: -34.92% | YoY:43.98%
QoQ: -56.53% | YoY:66.98%
QoQ: -60.80% | YoY:75.25%
QoQ: -60.80% | YoY:76.03%
QoQ: -60.36% | YoY:78.02%
Key Insights
Revenue: $922,602,000; YoY +43.98%, QoQ -34.92%
Gross Profit: $311,314,000; YoY +66.98%, QoQ -56.53%
Operating Income: $249,184,000; YoY +75.25%, QoQ -60.80%
Net Income: $199,340,000; YoY +76.03%, QoQ -60.80%
EPS: $4.13 (diluted $4.12); YoY +78.02%, QoQ -60.36%
Gross Margin: 33.74%; Operating Margin: 27.01%; Net Margin: 21.60%
EBITDA: $265,305,250; EBITDARatio: 28.76%
Income Before Tax: $263,265,000; Tax Expense: $64,158,000; Effective Tax Rate implied ~24.3%
Balance Sheet (selected): Total Asse...
Financial Highlights
Revenue: $922,602,000; YoY +43.98%, QoQ -34.92%
Gross Profit: $311,314,000; YoY +66.98%, QoQ -56.53%
Operating Income: $249,184,000; YoY +75.25%, QoQ -60.80%
Net Income: $199,340,000; YoY +76.03%, QoQ -60.80%
EPS: $4.13 (diluted $4.12); YoY +78.02%, QoQ -60.36%
Gross Margin: 33.74%; Operating Margin: 27.01%; Net Margin: 21.60%
EBITDA: $265,305,250; EBITDARatio: 28.76%
Income Before Tax: $263,265,000; Tax Expense: $64,158,000; Effective Tax Rate implied ~24.3%
Balance Sheet (selected): Total Assets $3.20B; Total Liabilities $494.48M; Total Stockholders’ Equity $2.7019B; Cash & Equivalents $1.253B; Net Debt (Cash Netting) = -$1.253B; Current Assets $1.8469B; Current Liabilities $269.951M; Current Ratio ~6.8x
Cash Flow (selected): Net Income $199.34M; Net Change in Cash -$500.419M; Beginning Cash $500.419M; Cash at End (not disclosed); Other Non-Cash Item: -$199.34M; Free Cash Flow not disclosed; Operating Cash Flow not disclosed.
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
922.60M |
43.98% |
-34.92% |
| Gross Profit |
311.31M |
66.98% |
-56.53% |
| Operating Income |
249.18M |
75.25% |
-60.80% |
| Net Income |
199.34M |
76.03% |
-60.80% |
| EPS |
4.13 |
78.02% |
-60.36% |
Management Commentary
No QQ1 2026 earnings call transcript content was provided in the prompt. As a result, transcript highlights and verbatim management quotes are not available for inclusion. If you supply the transcript text, I will extract theme-based highlights and quotes with attribution.
Forward Guidance
No explicit forward guidance was provided in the supplied data. Based on the QQ1 2026 results and the egg-market backdrop, the following framework can be considered:
- If egg demand remains steady and supply remains disciplined, CalMaine could sustain or modestly grow revenue with solid margin retention, supported by specialty egg mix (cage-free, organic) and private-label opportunities.
- Key risk factors include feed-cost volatility, disease events (e.g., avian influenza), regulatory changes impacting producer costs, and ongoing commodity price cycles that can compress margins in weaker quarters.
- The balance sheet provides substantial liquidity with no long-term debt, enabling opportunistic investments in capacity, efficiency, or strategic partnerships while weathering near-term volatility.
- Key factors to monitor: input cost trajectories (feed ingredients), egg price environment, production volumes by region, disease risk, and any shifts in consumer demand for premium egg categories.