Cagle's, Inc. Announces Results for the Fiscal Year Ended April 3, 2010

Jun 11, 2010, 17:10 ET from Cagle's, Inc.

ATLANTA, June 11 /PRNewswire-FirstCall/ -- Cagle's, Inc. (Amex: CGL.A) reported net income of $2.5 million or $0.55 per share for fiscal year 2010 compared to a net (loss) of ($11.5) million or ($2.48) per share for fiscal year 2009.

Revenue increased to $307.1 million or 5.0% from fiscal 2009. Quoted markets were variable with breast, wings and tenders up while all dark meat items were down. Cost of sales decreased $7.3 million or 2.5% from last year reflecting lower feed cost of $32 per ton or 11.2%.

Cagle's saw improvements in key financial ratios for fiscal 2010 as we reduced debt and vendor obligations by $7.7 million or 14.9% and stockholders' equity increased by 10.5% or $3.4 million.

The poultry industry continues to practice restraint with egg sets and chick placements continuing below 2007 and 2008 levels and only moderately above 2009 levels. Pork and beef herds and frozen stocks are at relatively low levels and it appears it will be difficult for either industry to expand in 2010. Cagle's celebrated its 65th birthday in March with an optimistic view of our future as we anticipate that economic conditions will continue to improve and the value and demand for poultry will increase providing positive margins for the remainder of this fiscal year.  

Cagle's, Inc.

/s/ J. Douglas Cagle

J. Douglas Cagle

Chairman, Chief Executive Officer

 and President

This press release contains forward-looking statements based on management's current views and assumptions. Actual results and events may differ. For a discussion of these matters, please refer to the "Forward-Looking Statements" in Item 7A of the Company's 2009 Annual Report on Form 10-K and please refer to the cautionary statement found in Management's Discussion and Analysis of Financial Condition and Results of Operations in Part I, Item 2 of the Quarterly Report on Form 10-Q for the Company's third quarter ended January 2, 2010.

Cagle's, Inc.

Condensed Consolidated Statements of Operations

(In Thousands, except net income per share)

53 Weeks Ended

52 Weeks Ended

April 3, 2010

March 28, 2009

Net Sales

$       307,091

$       292,585

Costs and Expenses:

 Cost of Sales

285,895

293,216

 Selling and Delivery

8,535

8,753

 General and Administrative

7,352

6,293

Total Costs and Expenses

301,782

308,262

Operating Income (Loss)

5,309

(15,677)

Other Income (Expense):

 Interest Expense

(1,605)

(2,163)

 Other Income (Expense), Net

71

(40)

Total Other Income (Expense), Net

(1,534)

(2,203)

Income (Loss) Before Income Taxes

3,775

(17,880)

Income Tax Expense (Benefit)

1,238

(6,386)

Net Income (Loss)

$           2,537

$       (11,494)

Weighted-Average Common Shares Outstanding

4,617

4,638

Net Income (Loss) Per Common Share

$             0.55

$           (2.48)

Cagle's, Inc.

Condensed Consolidated Balance Sheets

(In Thousands)

ASSETS

April 3, 2010

March 28, 2009

Current Assets

$

44,011

$

42,798

Property, Plant, and Equipment (net)

34,869

36,783

Other Assets

8,739

11,571

TOTAL ASSETS

$

87,619

$

91,152

LIABILITIES & STOCKHOLDERS' EQUITY

Current Maturities of Long-term Debt

$

2,685

$

2,488

Accounts Payable

16,142

19,989

Other Current Liabilities

8,424

7,642

Total Current Liabilities

27,251

30,119

Long-Term Debt

25,033

29,049

Total Stockholders' Equity

35,335

31,984

TOTAL LIABILITIES & STOCKHOLDERS' EQUITY

$

87,619

$

91,152

SOURCE Cagle's, Inc.



RELATED LINKS

http://www.cagles.net