Cal-Maine Foods Inc (CALM)
Return on assets (ROA)
| May 31, 2025 | Feb 28, 2025 | Nov 30, 2024 | Aug 31, 2024 | Jun 1, 2024 | May 31, 2024 | Mar 2, 2024 | Feb 29, 2024 | Dec 2, 2023 | Nov 30, 2023 | Sep 2, 2023 | Aug 31, 2023 | Jun 3, 2023 | May 31, 2023 | Feb 28, 2023 | Feb 25, 2023 | Nov 30, 2022 | Nov 26, 2022 | Aug 31, 2022 | Aug 27, 2022 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 1,220,048 | 990,814 | 595,522 | 523,170 | 519,906 | 423,674 | 327,442 | 181,656 | 35,870 | 129,792 | 223,714 | 546,007 | 868,300 | 955,956 | 1,043,612 | 845,680 | 647,748 | 559,147 | 470,546 | 384,776 |
| Total assets | US$ in thousands | 3,102,490 | 3,081,570 | 2,490,100 | 2,390,010 | 2,184,760 | 2,198,940 | 2,133,530 | 2,133,530 | 1,966,800 | 1,966,800 | 1,900,370 | 1,900,370 | 1,954,520 | 1,954,520 | 1,992,480 | 1,992,480 | 1,763,440 | 1,763,440 | 1,554,730 | 1,554,730 |
| ROA | 39.32% | 32.15% | 23.92% | 21.89% | 23.80% | 19.27% | 15.35% | 8.51% | 1.82% | 6.60% | 11.77% | 28.73% | 44.43% | 48.91% | 52.38% | 42.44% | 36.73% | 31.71% | 30.27% | 24.75% |
May 31, 2025 calculation
ROA = Net income (ttm) ÷ Total assets
= $1,220,048K ÷ $3,102,490K
= 39.32%
The analysis of Cal-Maine Foods Inc.'s return on assets (ROA) over the specified period indicates notable fluctuations and trends. Starting from a ROA of 24.75% on August 27, 2022, the metric increased significantly, reaching a peak of approximately 52.38% on February 28, 2023. This upward trajectory suggests enhanced profitability relative to the company's total assets during this period, potentially driven by favorable market conditions, improved operational efficiency, or higher egg prices.
Following this peak, a notable decline commenced, with ROA decreasing to around 11.77% by September 2, 2023, and continuing downward to 1.82% by December 2, 2023. These declines indicate a reduction in profitability relative to assets, which may reflect market challenges, increased costs, or other operational pressures.
Subsequently, the ROA experienced a partial recovery, reaching 8.51% on February 29, 2024, and further climbing to 15.35% by March 2, 2024. The trend of improvement continued, with ROA rising to 19.27% on May 31, 2024, and further to 23.80% by June 1, 2024. This suggests an ongoing recovery phase, potentially due to price stabilization or operational adjustments.
In the most recent data points, the ROA stabilized around the mid-20% range, with values of 21.89% on August 31, 2024, and 23.92% on November 30, 2024. The forecasted figures project continued improvement, with the ROA reaching 32.15% on February 28, 2025, and further rising to 39.32% by May 31, 2025. These upward trends are indicative of ongoing operational effectiveness and favorable market conditions contributing to profitability relative to assets.
Overall, the ROA trend demonstrates periods of significant growth followed by declines, with recent signs of recovery and potential stabilization. These fluctuations highlight the sensitivity of Cal-Maine Foods Inc.’s profitability to market and operational factors, emphasizing the importance of continuous strategic management to sustain and enhance asset utilization efficiency.