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Cagle's FY10 Revenue Increases

FBR Staff Writer Published 10 June 2010

Cagle's, a Georgia based producer of poultry products, has reported a revenue of $307.1m for the fiscal year 2010, an increase of 5% compared to the previous year.

Operating Income for the fiscal year was $5.3m, compared to operating loss of $15.67m in the last year fiscal. Net income for the fiscal year was $2.5m or $0.55 per share, compared to a net loss of $11.5m or $2.48 per share for fiscal year 2009.

Cost of sales decreased $7.3m or 2.5% from last year, reflecting lower feed cost of $32 per ton or 11.2%.

The company said that it has seen improvements in key financial ratios for fiscal 2010 as it reduced debt and vendor obligations by $7.7m or 14.9% and stockholders' equity increased by 10.5% or $3.4m.

According to the company, 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.

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