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Ontario Dairy Summary 2003

Author: John Molenhuis - Business Analysis and Cost of Production Program Lead/OMAFRA
Creation Date: 26 October 2004
Last Reviewed: 26 October 2004

Table of Contents

  1. Introduction
  2. General Layout of the Dairy Report
  3. Formulas Used to Calculate Resource Performance
  4. Assumptions and Definitions
  5. Summary of Ontario Dairy Farms - 5 Year Summary
  6. Summary of Ontario Dairy Farms - Farm Income Statement
  7. Summary of Ontario Dairy Farms - Farm Balance Sheet
  8. Summary of Ontario Dairy Farms - Farm Business Analysis Section
  9. Summary of Ontario Dairy Farms - Dairy Enterprise Report (per cow basis)
  10. Summary of Ontario Dairy Farms - Dairy Enterprise Report (per hectolitre basis)
  11. Summary of Ontario Dairy Farms - Dairy Enterprise Report (per kilogram butterfat basis)
  12. Summary of Ontario Dairy Farms - Crop Enterprise Report (per tillage acre basis)

Introduction

Purpose of the Program

The Ontario Farm Management Analysis Program (OFMAP) is a co-operative effort of farmers and staff of the Ontario Ministry of Agriculture and Food. Also the Ontario Dairy Farm Accounting Project administered by Dairy Farmers of Ontario contributed 91 dairy farms to the Provincial Dairy average.

The primary purpose of the Project is to provide management information to farmers. With financial and production reports, the farmer is better able to:

  • identify profitability, strengths and weaknesses, and efficiency of the farm business.
  • compare with budgeted plans for this year and with previous years results.
  • analyze trends over a period of years.
  • compare the farm business to group averages of similar farms.

The secondary purpose of the Program is to obtain, store and utilize data for the preparation of group reports on a county, regional or provincial basis.

Purpose of this Report

The purpose of this report is to present financial and physical information for dairy farms in Ontario. Farmers can compare the results of their business records with group averages. It should be noted, however, that averages presented in this report do not necessarily represent ideal levels of performance. They should be used to provide an indication of the performance of similar business operations. This comparison by operators of individual farm performance to group performance may suggest ways of increasing the profitability of their farms. Farmers who have participated in OFMAP will most easily be able to compare their costs and returns on a unit basis eg. hectolitre of milk, per cow.

The information is also used by many to budget changes in size of an enterprise or to add a new enterprise. This will help with the preparation of a business plan and a credit application.

Anyone wishing to participate in OFMAP is encouraged to contact the Ontario Ministry of Agriculture and Food at 1-877-424-1300 or ag.info.omafra@ontario.ca

Basis of Clarification

Farms were selected based on the size of the enterprise and the detail of information recorded in their records. The minimum size to be included in this report for each enterprise is shown below:

Dairy - Farms with more than 25 cows

* Note Regarding the Summaries
Data from individual farms are checked for accuracy. Farms are included in the averages if they meet the selection criteria. Because the records are provided by interested producers, a random sampling procedure has not been used.

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General Layout of the Dairy Report

  1. The section cover with graphical highlights of the trend reports.
  2. The inside cover with the five-year trend report in a graphical and a tabular format.
  3. The Farm Income Statement.
  4. The Farm Balance Sheet and Measurements of Financial Strength.
  5. The Farm Business Analysis Section including measure of performance, efficiency, cost control, profitability, debt servicing capacity and the main enterprise summary.
  6. The Livestock Enterprise Reports with unit and general analysis.
  7. Crop Enterprise Reports.
  8. Crop Average and Yields, Feed Costs, Investment Summary.

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Formulas Used to Calculate Resource Performance

  1. Net Farm Income = Total Farm Revenue-Total Farm Expenses. It is the Return to Unpaid Family Labour, Operators Labour and Management, and Equity Capital Invested.

  2. Owner's Equity = Total Farm Assets - Total Liabilities

  3. % equity = (Equity ÷ Total Farm Assets) x 100

  4. Return on Owner's Equity and Unpaid Labour = (Net Farm Income ÷ Owner's Equity) x 100

  5. Return on Owner's Assets and Unpaid Labour = ((Net Farm Income + Interest Paid) ÷ Total Farm Assets) x 100

  6. Return on Investment ($36,000/Person) = ((Net Farm Income + Int Pd + Wages & Salaries - ($36,000 x Person Equiv)) ÷ Total Farm Assets) x 100

  7. Return to Owner's Labour (5% Investment Rate) = Net Farm Income + Interest Paid - (.05 x Total Farm Assets)

  8. Value of Farm Production = Total Farm Revenue - (Lvstk + Feed Purchased)

  9. Cost/$1.00 (VFP) = (Total Expenses - Depreciation - Feed Purchased - Livestock Purchased) ÷ Value of Farm Production

  10. Capital Turnover (VFP) = (Total Farm Assets ÷ Value of Farm Production) = Years

  11. Cost Control = (Net Farm Income ÷ Total Farm Revenue) x 100

  12. Working Capital = Current Assets - Current Liabilities

  13. Current Ratio = (Current Assets ÷ Currernt Liabilities) : 1

  14. Debt Structure = (Current Liabilities ÷ Total Liabilities) x 100

  15. Debt to Asset Ratio = (Total Liabilities ÷ Total Farm Assets) : 1

  16. Debt to Equity Ration = (Total Liabilities ÷ Owners Equity) : 1

Notes:

  1. Additional information on the various performance criteria present may be found in the OMAF publication #379 - "Money Matters".

  2. Re Formula 4 and 5:
    Imputed value for operator person equivalents was not deducted. Hence, these formulas reflect a return to labour and/or investment, whereas in formula 6 an allowance for labour was made.

  3. Re Formula 6: Return on Investment
    The portion of this formula that reads "Wages and Salaries minus ($36,000 x Person Equivalents)" is used to allow both sole proprietorships (where usually no operator wages are paid) and corporations (where operator labour may be included as wages paid) to be included. The $36,000 is simply a standard figure. Other amounts could be substituted by the reader as desired.

  4. Re Formula 7: Labour Income
    In calculating labour income, a figure of 5% return on total assets was used which permits year-to-year comparisons of management information.

  5. Debt Servicing Capacity
    The calculation of the average amount available for debt servicing is provided for each commodity group. (Debt Servicing Capacity is more fully explained in "Money Matters".) In this calculation depreciation was used as a proxy for "Reserve for Asset Acquisition".

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Assumptions and Definitions

Farm Selection

The low one third and the average and the high one-third of farms were selected on the basis of net farm income.

Calculation of Management Factors

Person Equivalents = an approximation of the number of full-time people actively participating in the operation of the farm.

Inventory Valuation and Transfer Value of Home-Grown Feed

The unit values shown below are suggested values for calculating beginning and ending inventories. Transfer values were used for estimating costs for home-grown feed.

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Suggested Feed Inventory and Transfer Values 2003

Crop Beginning $ per tonne $ per bushel Transfer $ per tonne $ per bushel Ending $ per tonne $ per bushel
Oats
160
2.47
150
2.31
140
216
Barley
140
3.05
140
3.05
140
3.05
Soybeans
320
8.71
345
9.39
365
9.94
Shelled Corn
150
3.81
140
3.56
130
3.30
Mixed Grains
125
2.27
120
2.18
115
2.09
Feed Wheat
175
4.76
165
4.49
155
3.13
Hay
90
 
93
 
95
 
Straw
70
  
70
  
70
 
Corn Silage
35
  
33
  
30
 
Haylage
45
 
45
 
45
 
Grainlage
35
 
33
 
30
 
Pasture
 
  
60
 
 
 
Rough Pasture
 
 

25
 
 
 

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Summary of Ontario Dairy Farms - 5 Year Summary

Farm Income Statement
  1999 2000 2001 2002 2003
Total Cash Revenue $303,827 $312,653 $324,366 $326,509 $367,149
Total Farm Revenue 316,346 324,346 334,669 342,501 375,683
Total Cash Expenses $209,787 $214,879 $224,495 $236,647 $262,655
Change in Current Payables -1,019 513 -382 1,704 -60
Depreciation 32,208 30,969 34,325 35,449 38,634
Total Farm Expenses 240,962 246,354 258,013 273,423 300,212
Net Farm Income $75,384 $77,992 $76,656 $69,078 $75,471

Farm Balance Sheet (Year End)
  1999 2000 2001 2002 2003
Total Assets $1,897,103 $2,031,925 $1,933,641 $2,178,378 $2,583,313
Total Liabilities 383,975 389,181 371,366 380,165 522,722
Equity in Farm Business $1,513,128 $1,642,744 $1,562,275 $1,798,213 $2,060,591
Percent Equity 79.8% 80.8% 80.8% 82.6% 79.8%
Net Capital Purchases (-Sales) 74,487 88,710 90,362 80,426 104,704
Net Withdrawals (-Contributions) 36,441 38,329 42,130 43,179 38,529

Farm Business Analysis Section
  1999 2000 2001 2002 2003
Return on Investment 2.1% 2.4% 2.7% 2.1% 2.2%
Capital Turnover VFP (years) 7.0 7.3 6.8 7.5 8.1
Cost Control Index 23.8% 24.0% 22.9% 20.2% 20.1%
Current Ration :1 0.8 0.7 0.7 0.6 1.0
Working Capital $-17,680 -$34,645 -$27,720 -$63,588 -$1,801
Debt Servicing Capacity $49,666 $53,491 $50,016 $36,963 $58,887
Term & Operating Interest Paid $24,734 $25,804 $26,673 $25,687 $31,556

Value of Farm Production Analysis
  1999 2000 2001 2002 2003
Cost per Dollar of VFP $0.60 $0.61 $0.61 $0.64 $0.64
Value of Farm Production $271,122 $278,690 $285,608 $292,121 $319,284
(Adj Op. Cost - Int.) / VFP 51.2% 51.6% 51.8% 55.4% 54.4%
Depreciation / VFP 11.9% 11.1% 12.0% 12.1% 12.1%
Interest / VFP 9.1% 9.3% 9.3% 8.8% 9.9%
Net Farm Income / VFP 27.8% 28.0% 26.8% 23.6% 23.6%

Crop Enterprise Report
  1999 2000 2001 2002 2003
Tillable Acres
298
280
316
316
341
Debt per Tillable Acre
$1,289
$1,390
$1,176
$1,199
$1,532
Machinery & Equip Repair / Acre
$36.49
$38.53
$33.93
$34.02
$34.66
Val of Enterprise Production / Acre
$249.50
$265.60
$240.66
$271.72
$269.48
Variable Expenses / Acre
167.10
174.50
178.10
190.31
200.82
Depreciation / Acre
58.60
65.70
66.87
68.36
68.73
Fixed Expenses / Acre
90.00
100.00
113.63
117.02
124.64
Net Enterprise Income / Acre
-7.60
-8.90
-51.07
-35.62
-55.97
Total Crop Enterprise Income
-$2,263
-$2,491
-$16,138
-$11,267
-$19,114

Livestock Enterprise Report
  1999 2000 2001 2002 2003
Value of Enterprise Prod'n / hL $62.77 $65.04 $68.21 $66.02 $67.16
Feed Cost / hL 20.70 20.94 22.10 23.69 23.35
Variable Expenses / hL 36.91 38.96 40.83 43.44 42.00
Depreciation / hL 2.90 2.76 2.99 3.06 3.02
Fixed Expenses 8.05 8.05 7.55 7.55 7.57
Net Enterprise Income / hL 17.81 18.03 19.84 15.03 17.58
Total Livestock Enterprise Income $81,667 $82,211 $87,108 $67,734 $87,936
Average Number of Cows 59.5 59.4 58.5 59.7 65.3
Litres of Milk Sold 458,590 456,050 439,050 450,780 500,390
Milk Sold per Cow 7,707 7,678 7,505 7,551 7,663
Avg Cows per Person (Farm) 25.9 25.8 26.6 27.1 28.4
Value of Ent. Prod'n / Cow $4,838 $4,993 $5,120 $4,985 $5,146
Net Enterprise Income / Cow $1,373 $1,384 $1,489 $1,135 $1,347

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Summary of Ontario Dairy Farms - Farm Income Statement

 
 
Low 63 Farms Avg 188 Farms High 63 Farms
Revenue
Product sales-milk, subsidy
224,807
317,383
449,461
Market & Feeder Livestock
3,017
4,936
3,856
Breeding stock
5,952
7,618
10,935
Cull stock
4,543
6,586
9,371
Other livestock
528
2,441
6,192
Crop sales
18,836
21,144
30,442
Custom work
1,579
2,410
3,729
Other Farm Revenue
3,993
4,631
5,015
Total Cash Revenue
$263,311
$367,149
$519,001
Change in Accounts Receivable
-1,041
377
1,285
Changes in Inventory
315
8,157
16,814
Total Farm Revenue
$262,585
$375,683
$537,100
Expenses - Variable Expenses
Livestock - Purchased Livestock
3,980
5,263
7,468
Pur. Feed - Conc., Grain & Forage
37,001
51,136
68,873
Animal Health & Breeding
10,924
13,332
17,274
Other (lvsk Stabztn, Barn Sppls)
8,221
10,517
13,557
Crop Inputs - Seeds & Plants
5,291
6,389
9,148
Fertilizer & Lime
6,911
8,132
10,084
Pesticides & Other Chemicals
3,223
3,626
4,877
Containers and Twine
1,135
1,308
1,728
Other (Stabztn, Insurance Etc.)
665
1,085
1,753
Marketing & Tansportation Costs
14,776
20,672
29,149
Custom Work, Equipment Rent
9,185
10,090
11,092
Hired Labour
30,812
31,428
40,938
Machinery & Equipment - Fuel & Oil
7,716
8,871
10,314
Machinery & Equipment - Repairs
15,538
15,845
17,763
Motor Vehicle Expenses
3,271
3,332
3,077
Building, Fence Repairs
7,169
7,850
10,734
Heating Fuel
788
1,114
1,440
Electricity & Telephone
7,899
9,468
11,811
Accounting, Office Expenses
4,273
4,284
4,964
Interest (Operating)
5,208
4,029
3,087
Other Cash Operating Expenses
1,892
2,992
4,373
Change in Payables
4,561
-60
-1,139
Total Variable Expenses
$190,439
$220,703
$282,365
Contribution Margin
$72,146
$154,980
$254,735
Expenses - Fixed Expenses
Property Taxes, Fire & Liab. Ins.
8,674
10,290
12,251
Lease & Rent Payments

4,700
4,075
4,710
Interest (Term)
19,440
27,527
32,545
Change in Interest Arrears
0
54
161
Depreciation
33,777
38,634
48,480
Total Fixed Expenses
66,591
80,580
98,147
Total Expenses
257,030
301,283
380,512
-Less Personal Share of Expenses
-1,539
-1,071
-928
Total Farm Expenses
$255,491
$300,212
$379,584
Net Farm Income
$7,094
$75,471
$157,516

* See "Notes Regarding the Summaries" in the Introduction of this summary report.

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Summary of Ontario Dairy Farms - Farm Balance Sheet (assets at Estimated Value)

 
Farm Assets Low 63 Farms Avg 188 Farms High 63 Farms
Current Assets
Cash (On hand and in bank)
-1,577
1,083
4,506
Accounts Receivable
16,124
22,293
31,139
Market & Feeder Livestock
2,017
2,467
2,325
Home-Grown Crops
39,644
51,952
69,407
Purchased Feed & Supplies
1,475
3,026
4,443
Other Current Assets
0
0
0
Total Current Assets
$57,683
$80,821
$111,820
Long Term Assets
Breeding Livestock
117,699
156,786
221,104
Market Quota
886,289
1,278,526
1,826,820
Field Machinery
201,920
216,307
271,492
Barn Equipment
64,113
74,613
91,730
Farm Buildings
139,592
189,444
243,148
Land
405,643
559,148
820,266
Other Long Term Assets
7,306
27,668
26,420
Total Long Term Assets
$1,822,562
$2,502,492
$3,500,980
Total Farm Assets
$1,880,245
$2,583,313
$3,612,800
Liabilities
Accounts Payable
15,931
15,733
12,252
Interest Arrears
0
58
173
Operating Credit
9,672
17,219
25,509
Current Portion of Term Debt
35,250
49,612
61,901
Total Current Liabilities
$60,853
$82,622
$99,835
Term Debt
352,119
440,100
510,064
Total Farm Liablilities
$412,972
$522,722
$609,899
Equity in Farm Business
$1,467,273
$2,060,591
$3,002,901
Measures of Financial Strength
(from the balance sheet at year end)
Percent equity
78.04%
79.77%
83.12%
Working Capital
-$3,170
-$1,801
$11,985
Current Ratio xx:1
0.95
0.98
1.12
Debt Structure
14.74%
15.81%
16.37%
Debt to Asset Ratio xx:1
0.22
0.20
0.17
Debt to Equity Ratio xx:1
0.28
0.25
0.20

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Summary of Ontario Dairy Farms - Farm Business Analysis Section

 
  Low 63 Farms Avg 188 Farms High 63 Farms
Measures of Performance Efficiency
Capital Turnover (years)
8.48
8.09
7.84
Value of Farm Production
$221,604
$319,284
$460,759
Cost per dollar of VFP
$0.82
$0.64
$0.55
Cost Control Index
2.7%
20.1%
29.3%
Expenses & NFI Relative to VFP
(Adj. Prod. Cst. - Int) / VFP
70.4%
54.4%
47.6%
Depreciation / VFP
15.2%
12.1%
10.5%
Interest / VFP
11.1%
9.9%
7.7%
Net Income / VFP
3.2%
23.6%
34.2%
Interest & Principal / VFP
51.9%
79.4%
101.0%
Measures of Profitability
Net Farm Income
$7,094
$75,471
$157,516
Return on Total Assets
1.69%
4.14%
5.35%
Return to Equity
0.48%
3.66%
5.25%
Return on Investment (at $36,000 per person)
-0.50%
2.15%
3.69%
Return to Owners Labour
(at 5.0% investment rate)
-$62,270
-$22,139
$12,508
Person Equivalents for the Farm
2.0
2.3
2.8
Debt Servicing Capacity Analysis
Cash Revenue minus Cash Expenses
$44,619
$104,494
$185,991
plus Interest Payment
24,648
31,556
35,632
plus Non-Farm Revenue
18,172
39,540
88,447
minus Owners Withdrawals & Income Tax
-32,530
-78,069
-150,214
Cash Avail. for Debt. Serv. and Cap. Purch.
$54,909
$97,521
$159,856
minus committed Interest & Principal *
-58,198
-78,164
-94,386
minus Reserve for Capital Purchases (Depreciation)
-33,777
-38,634
-48,480
Available After Reserve to Service Additional Debt
-$37,066
-$19,277
$16,990

 

Physical Summary for the Dairy Enterprise
  Low 63 Farms Avg 188 Farms High 63 Farms
Average Number of Cows
50.0
65.3
86.8
Total hectolitre Milk Sold
3,553
5,004
7,018
Milk Sold Per Cow (litres)
7,105
7,663
8,085
Milk Sold Per Person (Enterprise)
444,075
500,390
584,825
Milk Sold Per Person (Whole Farm)
177,630
217,561
250,639
Avg Cows/Person (Dairy Enterprise)
63.5
65.3
72.3
Average Somatic Cell Count
238,639
220,208
198,233
Calving Interval
13.66
13.59
13.46
Herd Turnover
25.3
27.2
29.4
Heifer Age at First Calving (Months)
25.38
25.65
26.13
Total Butterfat Sold (Kg)
14,211
19,825
27,777
Butterfat Sold per Cow (Kg)
279.8
297.6
317.0
Total Protein Sold (Kg)
11,862
16,555
23,015
Protein Sold per Cow (Kg)
232.6
248.2
263.3

 

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Summary of Ontario Dairy Farms - Dairy Enterprise Report (per cow basis)

 
  Low 63 Farms Avg 188 Farms High 63 Farms
Revenue
Product sales
$4,496.34
$4,860.43
$5,178.12
Market Livestock
12.36
17.41
12.27
Feeder Livestock
28.10
20.05
16.04
Breeding Livestock
111.40
112.76
124.59
Cull Stock
90.86
100.55
107.28
Other Livestock Enterprise Sales
5.84
6.80
5.62
- Livestock Purchased
-73.94
-76.83
-85.58
+ Inventory Change
29.36
99.22
164.24
+ Change in Receivables
-20.82
5.77
14.80
Value of Enterprise Production
$4,679.50
$5,146.16
$5,537.38
Variable Expenses - Livestock Expenses
Purchased feed & grain
677.46
716.72
751.03
Purchased forages
4.22
11.90
14.45
Home-grown grains transferred
331.83
295.30
285.94
Home-grown forages transferred
800.47
765.14
770.64
Total Feed Cost
$1,813.98
$1,789.06
$1,822.06
Animal Health & Breeding
218.48
204.00
198.71
Other (Stabilization, Supplies)
156.16
151.79
152.81
Marketing, Transportation
288.50
309.23
327.37
Custom Work, Equipment Rent
51.74
43.29
37.86
Hired Labour
390.12
304.82
303.62
Machinery & Equip - Fuel & Oil
16.04
27.52
32.67
Machinery & Equipment - Repair
75.28
61.18
51.71
Motor Vehicle Expenses
26.86
20.31
12.48
Building, Fence Repairs
121.20
101.32
102.72
Heating Fuel
3.38
4.70
5.33
Electricity & Telephone
120.82
112.54
106.95
Accounting, Office Expenses
53.26
42.33
37.10
Interest - Operating
33.78
22.30
15.21
Other Cash Variable Expenses
24.64
22.60
17.09
Change in Payables
100.74
1.53
-13.12
Total Variable Expenses
$3,494.98
$3,218.52
$3,210.55
Contribution Margin
$1,184.52
$1,927.64
$2,326.84
Fixed Expenses

Property Taxes, Fire & Liab. Ins.
117.38
105.76
93.82
Lease & Rent Payments
14.80
10.21
8.00
Interest - Term
213.46
232.68
211.14
Depreciation
247.72
231.68
216.38
Total Fixed Expenses
593.36
580.34
529.34
Total Enterprise Expenses
$4,088.37
$3,798.86
$3,739.89
Net Enterprise Income
$591.16
$1,347.30
$1,797.50

 

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Summary of Ontario Dairy Farms - Dairy Enterprise Report (per hectolitre basis)

 
  Low 63 Farms Avg 188 Farms High 63 Farms
Revenue
Product sales
$63.28
$63.43
$64.04
Market Livestock
0.17
0.23
0.15
Feeder Livestock
0.40
0.26
0.20
Breeding Livestock
1.57
1.47
1.54
Cull Stock
1.28
1.31
1.33
Other Livestock Enterprise Sales
0.08
0.09
0.07
- Livestock Purchased
-1.04
-1.00
-1.06
+ Inventory Change
0.41
1.29
2.03
+ Change in Receivables
-0.29
0.08
0.18
Value of Enterprise Production
$65.86
$67.16
$68.49
Variable Expenses - Livestock Expenses:
Purchased feed & grain
9.53
9.35
9.29
Purchased forages
0.06
0.16
0.18
Home-grown grains transferred
4.67
3.85
3.54
Home-grown forages transferred
11.27
9.98
9.53
Total Feed Cost
$25.53
$23.35
$22.54
Animal Health & Breeding
3.07
2.66
2.46
Other (Stabilization, Supplies)
2.20
1.98
1.89
Marketing, Transportation
4.06
4.04
4.05
Custom Work, Equipment Rent
0.73
0.56
0.47
Hired Labour
5.49
3.98
3.76
Machinery & Equip - Fuel & Oil
0.23
0.36
0.40
Machinery & Equipment - Repair
1.06
0.80
0.64
Motor Vehicle Expenses
0.38
0.26
0.15
Building, Fence Repairs
1.71
1.32
1.27
Heating Fuel
0.05
0.06
0.07
Electricity & Telephone
1.70
1.47
1.32
Accounting, Office Expenses
0.75
0.55
0.46
Interest - Operating
0.48
0.29
0.19
Other Cash Variable Expenses
0.35
0.29
0.21
Change in Payables
1.42
0.02
-0.16
Total Variable Expenses
$49.19
$42.00
$39.71
Contribution Margin
$16.67
$25.16
$28.78
Fixed Expenses

Property Taxes, Fire & Liab. Ins.
1.65
1.38
1.16
Lease & Rent Payments
0.21
0.13
0.10
Interest - Term
3.00
3.04
2.61
Depreciation
3.49
3.02
2.68
Total Fixed Expenses
8.35
7.57
6.55
total Enterprise Expenses
$57.54
$49.57
$46.26
Net Enterprise Income
$8.32
$17.58
$22.23

 

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Summary of Ontario Dairy Farms - Dairy Enterprise Report (per kilogram butterfat basis)

  Low 63 Farms Avg 188 Farms High 63 Farms
Revenue
Product sales
$15.82
$16.01
$16.18
Market Livestock
0.04
0.06
0.04
Feeder Livestock
0.10
0.07
0.05
Breeding Livestock
0.39
0.37
0.39
Cull Stock
0.32
0.33
0.34
Other Livestock Enterprise Sales
0.02
0.02
0.02
- Livestock Purchased
-0.26
-0.25
-0.27
+ Inventory Change
0.10
0.33
0.51
+ Change in Receivables
-0.07
0.02
0.05
Value of Enterprise Production
$16.46
$16.95
$17.30
Variable Expenses
Livestock Expenses:
Purchased feed & grain
2.38
2.36
2.35
Purchased forages
0.01
0.04
0.05
Home-grown grains transferred
1.17
0.97
0.89
Home-grown forages transferred
2.82
2.52
2.41
Total Feed Cost
$6.38
$5.89
$5.69
Animal Health & Breeding
0.77
0.67
0.62
Other (Stabilization, Supplies)
0.55
0.50
0.48
Marketing, Transportation
1.02
1.02
1.02
Custom Work, Equipment Rent
0.18
0.14
0.12
Hired Labour
1.37
1.00
0.95
Machinery & Equip - Fuel & Oil
0.06
0.09
0.10
Machinery & Equipment - Repair
0.26
0.20
0.16
Motor Vehicle Expenses
0.09
0.07
0.04
Building, Fence Repairs
0.43
0.33
0.32
Heating Fuel
0.01
0.02
0.02
Electricity & Telephone
0.43
0.37
0.33
Accounting, Office Expenses
0.19
0.14
0.12
Interest - Operating
0.12
0.07
0.05
Other Cash Variable Expenses
0.09
0.07
005
Change in Payables
0.35
0.01
-0.04
Total Variable Expenses
$12.30
$10.60
$10.03
Contribution Margin
$4.17
$6.35
$7.27
Fixed Expenses

Property Taxes, Fire & Liab. Ins.
0.41
0.35
0.29
Lease & Rent Payments
0.05
0.03
0.02
Interest - Term
0.75
0.77
0.66
Depreciation
0.87
0.76
0.68
Total Fixed Expenses
2.09
1.91
1.65
Total Enterprise Expenses
$14.38
$12.51
$11.69
Net Enterprise Income
$2.08
$4.44
$5.62

 

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Summary of Ontario Dairy Farms - Crop Enterprise Report (per tillage acre basis)

  Low 63 Farms Avg 188 Farms High 63 Farms
Revenue
Wheat
$9.17
$9.45
$11.71
Spring Grains
3.98
7.10
8.39
Grain Corn
26.80
11.21
5.16
Soybeans
15.59
11.26
11.54
Forage
4.98
6.81
6.76
Fruits
0.00
0.00
0.00
Vegetables
0.00
0.00
0.00
Homegrown Seed
0.00
0.00
0.00
Other Crop Sales & Custom Work
2.71
8.85
16.12
Crop Insurance
2.61
7.01
12.45
Crop Stabilization
0.28
0.95
0.38
Value grains fed to livestock
57.90
56.84
58.92
Value forages fed to livestock
140.95
148.53
159.87
+ Inventory change
-11.30
1.48
4.94
+ Change in receivables
0.00
0.00
0.00
Value of Enterprise Production
$253.68
$269.48
$296.24
Expenses
Variable Expenses
Seed & Plants
18.56
18.72
21.41
Fertilizer & Lime
24.24
23.83
23.60
Pesticides & Other Chemicals
11.30
10.62
11.41
Containers and Twine
3.98
3.83
4.04
Other (Stabztn, Insurance, Etc.)
2.33
3.18
4.10
Marketing & Transportation
1.11
1.18
1.37
Custom Work, Equipment Rent
23.08
21.23
18.27
Hired Labour
36.11
31.52
31.32
Machinery & Equip - Fuel & Oil
24.25
20.62
17.30
Machinery & Equip - Repair
41.30
34.66
30.99
Motor Vehicle Expenses
6.63
5.57
4.04
Building, Fence Repairs
3.89
3.51
4.01
Heating Fuel
1.77
2.01
2.09
Electricity & Telephone
6.35
5.98
5.60
Accounting, Office Expenses
5.65
4.43
4.02
Interest (Operating)
12.34
7.47
3.98
Other Variable Cash Expenses
2.31
2.46
2.07
Change in Payables
0.00
0.00
0.00
Total Variable Expenses
$225.22
$200.82
$189.63
Contribution Margin
$28.46
$68.67
$106.60
Fixed Expenses
Property Taxes, Fire & Liab. Ins
9.84
9.86
9.49
Lease & Rent Payments
13.89
9.99
9.40
Interest (Term)
30.75
36.06
33.12
Depreciation
75.03
68.73
69.23
Total Fixed Expenses
$129.51
$124.64
$121.24
Total Expenses
$354.73
$325.46
$310.87
Net Enterprise Income
-$101.05
-$55.97
-$14.64

 

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Summary of Ontario Dairy Farms - Crops Grown and Fed Report

Crop Acres and Yields
Crop Low 56 Farms Avg 169 Farms High 56 Farms
Acres Grown Total Yield Yield per Acre Acres Grown Total Yield Yield per Acre Acres Grown Total Yield Yield per Acre
Wheat 13.1 18.8 1.4 15.3 23.2 1.5 21.8 33.6 1.5
Spring Grains 43.4 53.9 1.2 65.8 94.9 1.4 89.2 138.5 1.6
Grain Corn 33.5 109.6 3.3 27.5 85.9 3.1 28.7 92.2 3.2
Soybeans 13.0 15.1 1.2 12.2 12.4 1.0 16.0 15.1 0.9
Straw xxx.x 20.1   xxx.x 36.9   xxx.x 64.0  
Other Crop 2.6 3.5 1.3 6.3 6.8 1.1 6.5 7.8 1.2
Other Crop 2.9 12.2 4.2 5.8 21.2 3.7 7.9 36.0 4.6
Corn Silage 14.4 198.9 13.8 20.3 275.2 13.6 27.0 396.0 14.7
Hay 140.0 160.5 2.4 171.4 175.9 2.6 217.5 200.7 2.8
Haylage xxx.x 362.7   xxx.x 535.6   xxx.x 805.0  
Tillable pasture 22.2     16.7     12.7    
Rough pasture 35.5     26.8     26.7    
Non Crop Land 77.5     79.0     84.3    
Total Acres 398.1     447.1     538.3    
Tillable Acres reported 285.1     341.3     427.3          
Calculated Tillable Acres 285.1     341.3     427.3          
Total Feed Fed and Feed Allocated to the Livestock Enterprise
 
Total Fed
Feed Cost
Feed Cost Per Cow
Total Fed
Feed Cost
Feed Cost Per Cow
Total Fed
Feed Cost
Feed Cost Per Cow
Wheat 1 116 2 1 132 2 1 198 2
Spring grains 47 5,652 113 69 8,316 127 92 11,040 127
Grain corn 70 9,744 195 70 9,842 151 90 12,656 146
Soybeans 2 828 17 2 794 12 3 863 10
Straw 28 1,967 39 34 2,401 37 46 3,192 37
Other Crop 2 252 5 2 200 3 1 63 1
Other Crop 4 240 5 10 588 9 13 804 9
Corn silage 192 6,336 127 251 8,283 127 356 11,748 135
Hay 151 14,034 281 151 14,071 215 171 15,931 184
Haylage 353 15,872 317 518 23,297 357 756 34,038 392
Tillable pasture 18 1,098 22 14 864 13 11 684 8
Rough pasture 19 478 10 18 460 7 20 495 6
Total   56,615 1,132   69,246 1,060   91,711 1,057
Crop and Livestock Enterprise Investment
Allocated Investment From the Balance Sheet (Year End Values) Crops per Acre Lvsk per Cow Crops per Acre Lvsk per Cow Crops per Acre Lvsk per Cow
Home Grown Crops & Supplies 139 2 152 4 162 6
Feeder & Market Livestock   40   38   27
Breeding Stock   2,327   2,392   2,547
Market Quota 0 17,726 0 19,579 0 21,046
Machinery & Equipment 708 1,282 634 1,143 635 1,057
Land & Farm Buildings 1,521 2,233 1,749 2,321 2,033 2,241
Enterprise Assets/Unit 2,373 23,935 2,537 25,818 2,831 27,283
Total Enterprise Assets/Unit 676,451 1,196,747 865,740 1,685,931 1,209,795 2,368,132
Debt per Acre & per Cow 1,449 8,259 1,532 8,005 1,427 7,026

 

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For more information:
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Local: (519) 826-4047
E-mail: ag.info.omafra@ontario.ca