Cal-maine Foods, Inc. · NASDAQ:CALM

Cal-maine Foods — Investor Presentation (November 2023)

38 slides from Cal-maine Foods's investor presentation, Nov 14, 2023

1. Slide 1: Cal-Maine Foods Investor Presentation November 2023

   Exhibit 99.1 CM Cal-Maine Foods Investor Presentation November 2023 © Cal-Maine Foods. All rights reserved.

2. Slide 2: Section 1: Company Overview

   Cal-Maine Foods SECTION 1 Company Overview CAL-MAINE FOODS | INVESTOR PRESENTATION | NOVEMBER 2023 2

3. Slide 3: Forward-looking statements and use of non-GAAP financial measures

   Cal-Maine Foods Forward-looking statements and use of non-GAAP financial measures Forward‐Looking and Cautionary Statements This report contains numerous forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 (the “Securities Act”) and Section 21E of the Securitie

4. Slide 4: We are the #1 U.S. producer and distributor of fresh eggs

   Cal-Maine Foods We are the #1 U.S. producer and distributor of fresh eggs, committed to offering our customers choice in a safe, cost-effective and sustainable manner Our Mission To be the most sustainable producer and reliable supplier of consistent, high-quality fresh eggs and egg products in the

5. Slide 5: Competitive advantages differentiate Cal-Maine

   Cal-Maine Foods Competitive advantages differentiate Cal-Maine Prove Operator Highly efficient operational expertise, CALM Management System is designed to achieve proactive cost control and ability to adapt to market pressures throughout business cycle. Vertically Integrated Largest U.S. producer &

6. Slide 6: Tenured management team with deep industry experience

   Cal-Maine Foods Tenured management team with deep industry experience Adolphus S. Baker Chairman of the Board of Directors 35+ years at CALM >35 years of industry experience. Served at Cal‐Maine Foods since 1986; member of the Board of Directors since 1991 Served as CEO from 2010 to 2022; elected Ch

7. Slide 7: Leading global egg producer and distributor

   Cal-Maine Foods Leading global egg producer and distributor World’s Top 10 Egg Producer s(1) (layer hens, mm) Cal-Maine Foods, 44.0 Proteina Animal, 36.0 Rose Acre Farms, 25.1 CP Group, 22.0 Beijing DAT Co., 20.6 B®* Ise Inc., 20.0 Hillandale Farms, 1 7.8 HBF Daybreak Foods, 1 7.0 HP' Vers ova Holdi

8. Slide 8: Fully integrated operations allow for scaled production and distribution capacity

   Cal-Maine Foods Fully integrated operations allow for scaled production and distribution capacity (1) 26 feed mills 3 breeding facilities 2 hatcheries 44 production facilities ~7.3 million eggs / hour capacity* 44 processing & packaging facilities. Scaled Production Meets Demand 75% More layer hens

9. Slide 9: Customer base and product choice reduce revenue concentration risk

   Cal-Maine Foods Customer base and product choice reduce revenue concentration risk Diversified relationships across blue-chip customers (1) Broad egg offering capabilities help us continue to serve a diverse, high-quality customer base and reduce revenue concentration risk As of FY 2023 34% of reven

10. Slide 10: Operational strategies further reduce customer concentration risk

    Cal-Maine Foods Operational strategies further reduce customer concentration risk Diversified Products Specialty product lines, such as cage-free, foster revenue growth across a broader customer base Flexible Capital Capital allocation strategy enables us to make strategic investments to optimize pr

11. Slide 11: Strong commitment to sustainability principles

    Cal-Maine Foods Strong commitment to sustainability principles We work hard every day to earn the trust of our valued customers, the consumers who purchase our eggs and the people who live and work in the communities where we operate.” Sherman Miller CEO Cal-Maine Foods FY2022 Sustainability Report

12. Slide 12: Long track record of delivering performance in a cyclical industry

    Cal-Maine Foods Long track record of delivering performance in a cyclical industry Industry Cyclicality • Cyclicality is an inherent aspect of our industry • Our team is well-equipped to navigate through the experienced fluctuations to achieve sustainable growth in the long run Strategy Designed Aro

13. Slide 13: Section: Long Term Drivers of our Business

    Cal-Maine Foods SECTION 2 Long Term Drivers of our Business CAL-MAINE FOODS | INVESTOR PRESENTATION | NOVEMBER 2023 13

14. Slide 14: Eggs have enjoyed secular tailwinds in the U.S.

    Cal-Maine Foods Eggs have enjoyed secular tailwinds in the U.S. A Universal Protein • 96% of U.S. households purchase eggs (1) •Designated as 'healthy food' under new proposed FDA definition (2) •Ranked as one of the most economical high-quality proteins Market Dynamics Both layer count and consumpt

15. Slide 15: Customer preferences are changing, and state mandates accelerate the shift

    Cal-Maine Foods Customer preferences are changing, and state mandates accelerate the shift State mandates and commitments accelerate shift to cage-free eggs (1,2) 10 U.S. states have passed cage-free legislation or regulation for implementation by 2026 ~27% households expected to be in cage-free sta

16. Slide 16: Meeting evolving retail market needs by driving favorable product choices

    Cal-Maine Foods Meeting evolving retail market needs by driving favorable product choices Market and consumer demand is changing 77% 68% 61% 62% 8% 8% 8% 7% 4% 7% 7% 7% 11% 17% 24% 24% FY 19 FY 22 FY 23 Q1 24 Commodity white and caged brown Nutritionally enhanced Free-range and pasture-raised Cage-f

17. Slide 17: Shell egg industry is fragmented providing consolidation opportunities

    Cal-Maine Foods Shell egg industry is fragmented providing consolidation opportunities (1) Top-five producers: layer hen rankings Cal-Maine Foods15% Rose Acre Farms9% Hillandale Farms6% Daybreak Foods6% Versova Holdings6% Other 58% Top-five producers own ~42% of U.S. layer hen flock 60+ companies ho

18. Slide 18: Section: Executing Consistent Long-Term Strategy

    Cal-Maine Foods SECTION 3 Executing Consistent Long-Term Strategy CAL-MAINE FOODS | INVESTOR PRESENTATION | NOVEMBER 2023 18

19. Slide 19: Our strategy has remained consistent for over years

    Cal-Maine Foods Our strategy has remained consistent for over 60 years Focus on operational excellence Lever Cal-Maine Management Process to optimize everything within our control Adapt to changing consumer demand Expand and adjust product choice to meet needs of customers and consumers Allocate cap

20. Slide 20: Operational excellence underpins the Cal-Maine Management System

    Cal-Maine Foods Operational excellence underpins the Cal-Maine Management System People-first, strategy-focused and datadriven roadmap to success Information Sharing ■ Continuous Improvement Results-Based Accountability 1. People First 2. Strategy Focus 3- Metric-Driven ÏKPIÜ System of integrated be

21. Slide 21: Seasoned biosecurity team effectively managing through U.S. HPAI outbreaks

    Cal-Maine Foods Seasoned biosecurity team effectively managing though U.S. HPAI outbreaks Highly pathogenic Avian Influenza (1) Caused by an “influenza type A virus”, impacts chickens, turkeys, and other domesticated and wild birds HPAI has impacted commercial poultry and egg production in Europe, A

22. Slide 22: Scaling production to manage costs and reduce purchase dependency

    Cal-Maine Foods Scaling production to manage costs and reduce purchase dependency Embedded input cost & supply chain resilience CALM Management System provides constant evaluation of costs & performance to best manage volatility Feedstock •Farm production costs, largely feed ingredients, facility an

23. Slide 23: Conservative approach to capital allocation, executing on strategic priorities

    Cal-Maine Foods Conservative approach to capital allocation, executing on strategic priorities Dividend Payments Overarching goal to maximize returns and value through prioritized dividends Maintenance Capex Reinvestment to achieve continuity of efficient operations across facilities Growth Strategy

24. Slide 24: Committed to sustainable returns through cycles

    Cal-Maine Foods Committed to sustainable returns through cycles Dividend Payments Shareholder returns Committed to allocation of capital to our shareholders through a variable quarterly dividend plan Managing industry cyclicality Variable dividend policy optimizes returns to shareholders through cyc

25. Slide 25: Robust balance sheet supports growth opportunities and shareholder returns

    Cal-Maine Foods Robust balance sheet supports growth opportunities and shareholder returns Maintenance Capex Prioritize liquidity •Maintain current assets, including cash and securities’ balances, to support operating needs •Continued focus on funding investments for longer-term growth, primarily or

26. Slide 26: Increasing cage-free capacity through organic and inorganic investments

    Cal-Maine Foods Increasing cage-free capacity through organic and inorganic investments Organic Growth Inorganic Growth Committed cage-free capex allocation as of end First Fiscal Quarter 2024 ($ mm)* $90 $609 $699 mm Spent to date Allocated costs to be spent Ongoing investment in cage-free growth L

27. Slide 27: Strategic approach to M&A

    Cal-Maine Foods Strategic approach to M&A Inorganic Growth Incoming Prospects Steady flow of M&A opportunities due to generational turnover and required investment for cage-free egg production Thorough Time-tested framework scrutinizes many factors including market demands, synergies, operational co

28. Slide 28: A history of growth through adaptation and successful integration of acquisitions

    Cal-Maine Foods A history of growth through adaptation and successful integration of acquisitions Inorganic Growth Built world’s largest egg farm in Edwards, MS 1963 Acquired egg operations Of Ralston‐Purina 1972 Pilgrim’s Pride and Maxim Production Co., added ~5.0mm layer hens 2012 Red River Valley

29. Slide 29: M&A case study - Mahard Egg Farm in 2019

    Cal-Maine Foods M&A case study - Mahard Egg Farm in 2019 Inorganic Growth Acquisition of Mahard Egg Farm assets in 2019 expanded CALM customer base in Texas and Oklahoma, enhanced by minor investment in existing facilities 3.9mm layer hen capacity 8.0mm layer hens permitted Due diligence process rev

30. Slide 30: Scaling hard-cooked egg offerings, optimizing throughput and category reach

    Cal-Maine Foods Scaling hard-cooked egg offerings, optimizing throughput and category reach Value-Added Products Innovative category captures value Egg size increases to consumer-preferred large+ only after ~15 weeks of medium egg laying (16% of laying life) •Integrated production and processing cap

31. Slide 31: Key Takeaways

    Cal-Maine Foods Key Takeaways 273mm dozens sold Q1’24 Largest producer and distributor of fresh shell eggs and egg products in the U.S. 60+ years operating Proven, highly efficient operators with deep talent bench and industry expertise Quality food choices Nimble and poised to meet evolving consume

32. Slide 32: Appendix

    Cal-Maine Foods SECTION 4 Appendix CAL-MAINE FOODS | INVESTOR PRESENTATION | NOVEMBER 2023 32

33. Slide 33: Select income statement highlights

    Cal-Maine Foods Select income statement highlights Fiscal Year Ended Q Ended $s, except sales volume and percentage data 2018 2019 2020 2021 2022 2023 9/2/23 Net sales 1,502,932 1,361,188 1,351,609 1,348,987 1,777,159 3,146,217 459,344 Gross profit 361,046 222,859 179,588 160,661 337,059 1,196,457 4

34. Slide 34: Select operating results

    Cal-Maine Foods Select operating results Fiscal Year Ended Q Ended $s, except sales volume and percentage data 2018 2019 2020 2021 2022 2023 9/2/23 Dozen eggs sold (000) Conventional 780,362 778,051 813,255 785,446 747,914 749,076 181,530 Specialty 257,352 260,848 255,895 287,765 335,875 398,297 91,

35. Slide 35: EBITDA reconciliation

    Cal-Maine Foods EBITDA reconciliation 35 Non-GAAP Measure – EBITDA EBITDA is a non-GAAP measure and defined as net income attributable to Cal-Maine Foods, Inc. plus interest, taxes, depreciation and amortization. The following table sets forth a reconciliation of EBITDA to net income attributable to

36. Slide 36: Citations (1/2)

    Cal-Maine Foods Citations (1/2) Slide 7 – Leading global egg producer and distributor 1) Data from WATT Poultry. US company data from “The US egg producer’s ranking for 2023”. International company data from “The world’s top 10 egg producers.” 2) Eggland’s Best franchise territory includes Land O’La

37. Slide 37: Citations (2/2)

    Cal-Maine Foods Citations (2/2) Slide 22 – Scaling production to manage costs and reduce purchase dependency 1) Company data for fiscal year 2023 2) Company filings Slide 24 – Committed to sustainable returns through cycle 1) Company filings 2) Dividends Payable: We accrue dividends at the end of ea

38. Slide 38: November 2023 © Cal-Maine Foods. All rights reserved.

    Cal-Maine Foods November 2023 © Cal-Maine Foods. All rights reserved.

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