SANDERSON FARMS INC

CIK:0000812128|SEC Filings

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Apr. 30, 2022	Apr. 30, 2021	Apr. 30, 2022	Apr. 30, 2021
Income Statement [Abstract]
Net sales	$ 1,539,714	$ 1,133,880	$ 2,867,142	$ 2,043,186
Cost and expenses:
Cost of sales	1,051,845	941,936	2,059,899	1,781,258
Selling, general and administrative	66,382	64,245	132,120	120,844
Cost and expenses	1,118,227	1,006,181	2,192,019	1,902,102
Operating income	421,487	127,699	675,123	141,084
Other income (expense):
Interest income	67	0	164	0
Interest expense	(567)	(697)	(1,144)	(1,335)
Other	3	13	6	16
Other income (expense)	(497)	(684)	(974)	(1,319)
Income before income taxes	420,990	127,015	674,149	139,765
Income tax expense	99,800	30,104	160,152	33,376
Net income	$ 321,190	$ 96,911	$ 513,997	$ 106,389
Earnings per share:
Basic (in usd per share)	$ 14.39	$ 4.34	$ 23.03	$ 4.76
Diluted (in usd per share)	14.39	4.34	23.03	4.76
Dividends per share (in usd per share)	$ 0.44	$ 0.44	$ 0.88	$ 0.88

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Apr. 30, 2022	Apr. 30, 2021
Operating activities
Net income	$ 513,997	$ 106,389
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	86,523	81,618
Amortization of share-based compensation	16,702	5,751
Deferred income taxes	(779)	3,681
Loss on asset disposals	58	46
Change in assets and liabilities:
Accounts receivable - trade	(36,573)	(41,324)
Accounts receivable - insurance	2,057	(3,951)
Income taxes	20,576	21,458
Inventories	(83,499)	(57,435)
Prepaid expenses and other assets	(4,732)	41
Right of use assets	7,621	8,587
Lease liabilities	(7,621)	(8,587)
Accounts payable	19,560	23,209
Accrued expenses and other liabilities	(59,011)	4,092
Total adjustments	(39,118)	37,186
Net cash provided by operating activities	474,879	143,575
Investing activities
Capital expenditures	(73,134)	(86,345)
Net proceeds from sale of property and equipment	206	452
Net cash used in investing activities	(72,928)	(85,893)
Financing activities
Payment of debt issuance costs	0	(1,877)
Borrowings from revolving line of credit	0	30,000
Proceeds from issuance of restricted stock under stock compensation plans	656	523
Payments from issuance of common stock under stock compensation plans	(2,999)	(2,655)
Dividends paid	(9,823)	(9,823)
Net cash provided by (used in) financing activities	(12,166)	16,168
Net change in cash and cash equivalents	389,785	73,850
Cash and cash equivalents at beginning of period	439,339	49,061
Cash and cash equivalents at end of period	829,124	122,911
Supplemental disclosure of non-cash investing and financing activities:
Capital expenditures included in accounts payable	2,770	5,117
Dividends payable	$ 9,821	$ 9,826

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Apr. 30, 2022	Oct. 31, 2021
Current assets:
Cash and cash equivalents	$ 829,124	$ 439,339
Accounts receivable, net	260,438	223,865
Receivable from insurance companies	0	2,057
Inventories	434,458	350,959
Refundable income taxes	0	7,418
Prepaid expenses and other current assets	67,375	62,632
Total current assets	1,591,395	1,086,270
Property, plant and equipment, net	1,208,826	1,224,334
Right of use assets	20,618	28,238
Other assets	5,675	6,191
Total assets	2,826,514	2,345,033
Current liabilities:
Accounts payable	169,621	152,421
Dividends payable	9,821	0
Accrued expenses	86,126	144,453
Lease liabilities	9,120	12,189
Accrued income taxes	13,159	0
Total current liabilities	287,847	309,063
Claims payable and other liabilities	13,203	13,078
Deferred income taxes	155,752	156,531
Long-term lease liabilities	11,570	16,122
Commitments and contingencies
Preferred Stock:
Common Stock, $1 par value: authorized 100,000,000 shares; issued and outstanding shares—22,320,192 and 22,329,731 at April 30, 2022 and October 31, 2021, respectively	22,320	22,330
Paid-in capital	119,077	105,517
Retained earnings	2,216,745	1,722,392
Total stockholders’ equity	2,358,142	1,850,239
Total liabilities and stockholders’ equity	2,826,514	2,345,033
Series A Junior Participating Preferred Stock, $100 par value: authorized 500,000 shares, none issued
Preferred Stock:
Preferred Stock:
Par value to be determined by the Board of Directors: authorized 4,500,000 shares; none issued
Preferred Stock:
Preferred Stock: