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SANDERSON FARMS INC

No Longer Reporting

The company has not filed an annual or quarterly report since its Q2 FY2022 10-Q, filed May 27, 2022. Its latest SEC filing is a SC 13G/A from Feb 8, 2023.

The sections below describe the company as of the FY2021 annual report.

What Did They Do?

Processes and sells fresh and frozen chicken products, along with prepared chicken items, to retailers, distributors, food-service operators and export-market resellers.

How Did They Make Money?

The company earns money by selling specified quantities of chicken to retailers, distributors and casual dining operators at agreed prices, generally when delivery occurs; a few sales are completed during transit.

FY2021 revenue

Who Were Their Customers?

Retailers, distributors and casual dining operators, along with foreign customers and U.S. resellers of exports, buy chicken. Company sales staff, plant representatives and independent food brokers handle sales, generally on an as-ordered basis.

Customers above 10% of revenue, FY2021
of revenue from two customers (16%, 13%)
FY2019: 28% from two customers

Did Revenues Turn Into Profits?

Yes. It kept 9 cents of every revenue dollar as net income in FY2021 and turned 10 cents into free cash flow.

Operating income, FY2021
12% of revenue
▲ Now profitable vs FY2020 (−$11.6M, 0%)
Net income, FY2021
9% of revenue
▲ +1510% vs FY2020 ($28.3M, 1%)
Free cash flow, FY2021
10% of revenue
▲ +2236% vs FY2020 ($19.6M, 1%)

How Were They Changing?

Since the FY2021 annual report
Latest quarter: Q2 FY2022, the three months to Apr 30, 2022
Revenue
▲ +36%
vs $1.1B in Q2 FY2021
Net income
▲ +231%
vs $96.9M in Q2 FY2021
  • Jul 22, 2022 Cargill and Continental Grain completed the acquisition of Sanderson Farms Sanderson Farms was combined with Wayne Farms to form a privately held poultry business.

Grew. Revenue grew 40% in 4 years, from $3.4B in FY2017 to $4.8B in FY2021, about 9% a year.

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