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Ontario Dairy Summary 2006

Author: John Molenhuis - Business Analysis and Cost of Production Program Lead/OMAFRA
Creation Date: 26 May 2008
Last Reviewed: 26 May 2008

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 75 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 Food and Rural Affairs 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 OMAFRA 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 2006

Crop

Beginning

Transfer
(*See Note Below)

Ending

$ per tonne

$ per bushel

$ per tonne

$ per bushel

$ per tonne $ per bushel

Oats

120
1.85
128
1.97
135
2.08

Barley

120
2.61
128
2.79
135
294

Soybeans

240
6.53
250
6.80
260
7.08

Shelled Corn

110
2.79
130
3.30
150
3.81

Mixed Grains

110
2.00
113
2.05
115
2.09

Feed Wheat

144
3.92
165
4.49
185
5.03

Hay

110

 
110

 

110

 

Straw

90
90
90

Corn Silage

30
33
35

Haylage

55
55
55

Grainlage

30
33
35
 

Pasture

 

 
60
 
 
 

Rough Pasture

 

 
25
 
 
 

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Summary of Ontario Dairy Farms - 5 Year Summary

Farm Income Statement
  2002 2003 2004 2005 2006
Total Cash Revenue $326,509 $367,149 $367,301 $431,713 $460,257
Total Farm Revenue 342,501 375,683 373,184 438,700 477,491
Total Cash Expenses $236,647 $262,655 $271,253 $283,938 $329,200
Change in Current Payables 1,704 -60 -7,546 1,461 2,349
Depreciation 35,449 38,634 38,804 45,897 45,471
Total Farm Expenses 273,423 300,212 302,781 331,367 377,171
Net Farm Income $69,078 $75,471 $70,403 $107,333 $100,320

Farm Balance Sheet (Year End)
  2002 2003 2004 2005 2006
Total Assets $2,178,378 $2,583,313 $2,659,794 $2,924,218 $3,099,087
Total Liabilities 380,165 522,722 437,419 589,349 706,648
Equity in Farm Business $1,798,213 $2,060,591 $2,222,375 $2,334,869 $2,392,439
Percent Equity 82.6% 79.8% 83.6% 79.9% 77.2%
Net Capital Purchases (-Sales) 80,426 104,704 93,177 103,973 99,781
Net Withdrawals (-Contributions) 43,179 38,529 41,566 42,381 43,116

Farm Business Analysis Section
  2002 2003 2004 2005 2006
Return on Investment 2.1% 2.2% 1.8% 3.2% 3.2%
Capital Turnover VFP (years) 7.5 8.1 8.3 7.7 7.4
Cost Control Index 20.2% 20.1% 18.9% 24.5% 21.0%
Current Ration :1 0.6 1.0 1.1 1.2 1.1
Working Capital -$63,588 -$1,801 $7,041 $14,618 $9,804
Debt Servicing Capacity $36,963 $58,887 $48,543 $76,496 $86,414
Term & Operating Interest Paid $25,687 $31,556 $28,798 $36,209 $43,944

Value of Farm Production Analysis
  2002 2003 2004 2005 2006
Cost per Dollar of VFP $0.64 $0.64 $0.66 $0.60 $0.65
Value of Farm Production $292,121 $319,284 $320,524 $380,360 $421,154
(Adj Op. Cost - Int.) / VFP 55.4% 54.4% 56.9% 50.2% 54.9%
Depreciation / VFP 12.1% 12.1% 12.1% 12.1% 10.8%
Interest / VFP 8.8% 9.9% 9.0% 9.5% 10.4%
Net Farm Income / VFP 23.6% 23.6% 22.0% 28.2% 23.8%

Crop Enterprise Report
  2002 2003 2004 2005 2006
Tillable Acres
316
341
 348 394 379
Debt per Tillable Acre
$1,199
$1,532
 $1,258 $1,497 $1,945
Machinery & Equip Repair / Acre
$34.02
$34.66
 $35.05 $33.92 $39.83
Val of Enterprise Production / Acre
$271.72
$269.48
 $253.65 $264.38 $361.69
Variable Expenses / Acre
190.31
200.82
 209.82 204.24 245.60
Depreciation / Acre
68.36
68.73
 68.57 71.92 78.61
Fixed Expenses / Acre
117.02
124.64
 119.51 128.53 152.76
Net Enterprise Income / Acre
-35.62
-55.97
 -74.94 -68.39 -36.67
Total Crop Enterprise Income
-$11,267
 -$19,114
-$26,064
 -$26,925 -$13,887

Livestock Enterprise Report
  2002 2003 2004 2005 2006
Value of Enterprise Prod'n / hL $66.02 $67.16 $66.74 $70.52 $73.06
Feed Cost / hL 23.69 23.35 23.22 23.46 22.92
Variable Expenses / hL 43.44 42.00 42.04 43.36 44.59
Depreciation / hL 3.06 3.02 2.94 3.13 3.03
Fixed Expenses 7.55 7.57 7.37 8.05 8.94
Net Enterprise Income / hL 15.03 17.58 17.33 19.10 19.53
Total Livestock Enterprise Income $67,734 $87,936 88,059 $107,260 $108,954
Average Number of Cows 59.7 65.3 66.1 72.0 70.0
Litres of Milk Sold 450,780 500,390 508,130 561,570 557,780
Milk Sold per Cow 7,551 7,663 7,687 7,800 7,968
Avg Cows per Person (Farm) 27.1 28.4 27.5 30.0 29.2
Value of Ent. Prod'n / Cow $4,985 $5,146 $5,130 $5,500 $5,822
Net Enterprise Income / Cow $1,135 $1,347 $1,332 $1,490 $1,556


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Summary of Ontario Dairy Farms - Farm Income Statement

 
 
Low 38 Farms Avg 115 Farms High 38 Farms
Revenue
Product sales-milk, subsidy
273,333
393,502
558,834
Market & Feeder Livestock
10,133
6,737
4,807
Breeding stock
3,763
4,956
5,774
Cull stock
6,071
8,031
11,485
Other livestock
90
4,297
12,828
Crop sales
26,725
32,952
38,081
Custom work
3,642
2,869
4,086
Other Farm Revenue
3,093
6,913
11,701
Total Cash Revenue
$326,850
$460,257
$647,596
Change in Accounts Receivable
-1,104
372
762
Changes in Inventory
14,390
16,862
27,088
Total Farm Revenue
$340,136
$477,491
$675,446
Expenses - Variable Expenses
Livestock - Purchased Livestock
12,449
8,868
10,927
Pur. Feed - Conc., Grain & Forage
38,580
47,469
63,157
Animal Health & Breeding
11,982
16,172
20,638
Other (lvsk Stabztn, Barn Sppls)
11,331
14,306
18,188
Crop Inputs - Seeds & Plants
7,009
8,605
9,607
Fertilizer & Lime
9,720
11,328
14,771
Pesticides & Other Chemicals
3,670
5,422
7,577
Containers and Twine
1,288
1,648
1,536
Other (Stabztn, Insurance Etc.)
1,234
1,275
1,503
Marketing & Tansportation Costs
18,486
26,183
37,737
Custom Work, Equipment Rent
9,822
13,314
17,033
Hired Labour
28,837
39,938
51,090
Machinery & Equipment - Fuel & Oil
11,791
15,435
19,842
Machinery & Equipment - Repairs
16,360
19,537
21,966
Motor Vehicle Expenses
2,262
3,072
3,399
Building, Fence Repairs
9,538
9,506
11,470
Heating Fuel
1,184
1,308
1,361
Electricity & Telephone
9,924
11,973
14,302
Accounting, Office Expenses
4,880
5,600
6,424
Interest (Operating)
2,074
2,653
3,459
Other Cash Operating Expenses
3,327
5,639
10,293
Change in Payables
15,815
2,349
-6,031
Total Variable Expenses
$231,563
$271,600
$340,249
Contribution Margin
$108,573
$205,891
$335,197
Expenses - Fixed Expenses
Property Taxes, Fire & Liab. Ins.
10,423
12,638
16,613
Lease & Rent Payments
5,115
6,020
7,557
Interest (Term)
31,347
41,291
59,132
Change in Interest Arrears
0
601
1,820
Depreciation
39,661
45,471
54,364
Total Fixed Expenses
86,546
106,021
139,486
Total Expenses
318,109
377,621
479,735
-Less Personal Share of Expenses
-753
-450
0
Total Farm Expenses
$317,356
$377,171
$479,735
Net Farm Income
$22,780
$100,320
$195,711

* 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 38 Farms Avg 115 Farms High 38 Farms
Current Assets
Cash (On hand and in bank)
13,710
-933
-3,132
Accounts Receivable
20,683
30,629
44,789
Market & Feeder Livestock
10,067
5,875
4,441
Home-Grown Crops
62,635
76,931
103,012
Purchased Feed & Supplies
2,602
3,480
5,772
Other Current Assets
0
0
0
Total Current Assets
$109,697
$115,982
$154,882
Long Term Assets
Breeding Livestock
77,856
103,701
142,388
Market Quota
1,145,006
1,626,286
2,308,187
Field Machinery
219,011
262,951
309,565
Barn Equipment
78,783
79,730
92,752
Farm Buildings
197,712
222,146
282,653
Land
491,861
669,877
898,071
Other Long Term Assets
18,648
18,414
19,218
Total Long Term Assets
$2,228,877
$2,983,105
$4,052,834
Total Farm Assets
$2,338,574
$3,099,087
$4,207,716
Liabilities
Accounts Payable
27,798
25,013
30,148
Interest Arrears
0
663
2,006
Operating Credit
12,787
14,722
17,510
Current Portion of Term Debt
47,640
65,780
91,610
Total Current Liabilities
$88,225
$106,178
$141,274
Term Debt
447,363
600,470
834,675
Total Farm Liablilities
$535,588
$706,648
$975,949
Equity in Farm Business
$1,802,986
$2,392,439
$3,231,767
Measures of Financial Strength
(from the balance sheet at year end)
Percent equity
77.10%
77.20%
76.81%
Working Capital
$21,472
$9,804
$13,608
Current Ratio xx:1
1.24
1.09
1.10
Debt Structure
16.47%
15.03%
14.48%
Debt to Asset Ratio xx:1
0.23
0.23
0.23
Debt to Equity Ratio xx:1
0.30
0.30
0.30

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Summary of Ontario Dairy Farms - Farm Business Analysis Section

 
  Low 38 Farms Avg 115 Farms High 38 Farms
Measures of Performance Efficiency
Capital Turnover (years)
8.09
7.36
7.00
Value of Farm Production
$289,107
$421,154
$601,362
Cost per dollar of VFP
$0.78
$0.65
$0.58
Cost Control Index
6.7%
21.0%
29.0%
Expenses & NFI Relative to VFP
(Adj. Prod. Cst. - Int) / VFP
66.8%
54.9%
48.0%
Depreciation / VFP
13.7%
10.8%
9.0%
Interest / VFP
11.6%
10.4%
10.4%
Net Income / VFP
7.9%
23.8%
32.5%
Interest & Principal / VFP
46.8%
44.1%
43.5%
Measures of Profitability
Net Farm Income
$22,780
$100,320
$195,711
Return on Total Assets
2.40%
4.66%
6.14%
Return to Equity
1.26%
4.19%
6.06%
Return on Investment (at $36,000 per person)
0.40%
3.16%
4.96%
Return to Owners Labour
(at 5.0% investment rate)
-$60,728
-$10,690
$47,916
Person Equivalents for the Farm
2.1
2.4
2.8
Debt Servicing Capacity Analysis
Cash Revenue minus Cash Expenses
$64,217
$131,057
$218,014
plus Interest Payment
33,421
43,944
62,591
plus Non-Farm Revenue
8,217
19,146
37,477
minus Owners Withdrawals & Income Tax
-27,857
-62,262
-107,997
Cash Avail. for Debt. Serv. and Cap. Purch.
$77,998
$131,885
$210,085
minus committed Interest & Principal *
-81,977
-113,058
-158,734
minus Reserve for Capital Purchases (Depreciation)
-39,661
-45,471
-54,364
Available After Reserve to Service Additional Debt
-$43,640
-$26,644
-$3,013

 

Physical Summary for the Dairy Enterprise
  Low 38 Farms Avg 115 Farms High 38 Farms
Average Number of Cows
52.4
70.0
95.9
Total hectolitre Milk Sold
3,881
5,578
7,944
Milk Sold Per Cow (litres)
7,406
7,968
8,284
Milk Sold Per Person (Enterprise)
258,720
309,878
397,210
Milk Sold Per Person (Whole Farm)
184,800
232,408
283,721
Avg Cows/Person (Dairy Enterprise)
34.9
38.9
48.0
Average Somatic Cell Count
229,351
222,146
219,636
Calving Interval
13.81
13.69
13.41
Herd Turnover
32.9
34.2
31.4
Heifer Age at First Calving (Months)
26.69
26.51
26.15
Total Butterfat Sold (Kg)
15,230
22,016
31,377
Butterfat Sold per Cow (Kg)
291.0
311.7
328.4
Total Protein Sold (Kg)
12,878
18,442
26,127
Protein Sold per Cow (Kg)
245.4
261.7
273.6

 

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

 
  Low 38 Farms Avg 115 Farms High 38 Farms
Revenue
Product sales
$5,217.84
$5,622.54
$5,827.26
Market Livestock
15.86
15.69
12.75
Feeder Livestock
10.10
8.93
5.87
Breeding Livestock
71.81
70.71
60.21
Cull Stock
115.86
114.01
119.76
Other Livestock Enterprise Sales
0.38
0.10
0.00
- Livestock Purchased
-93.15
-67.89
-74.22
+ Inventory Change
97.16
51.84
67.02
+ Change in Receivables
-21.07
5.57
8.49
Value of Enterprise Production
$5,414.79
$5,821.51
$6,027.13
Variable Expenses - Livestock Expenses
Purchased feed & grain
652.50
626.96
631.03
Purchased forages
5.99
3.77
1.53
Home-grown grains transferred
256.93
278.01
254.44
Home-grown forages transferred
922.73
917.61
941.19
Total Feed Cost
$1,838.15
$1,826.35
$1,828.19
Animal Health & Breeding
227.02
230.47
215.20
Other (Stabilization, Supplies)
203.80
193.14
181.22
Marketing, Transportation
347.46
368.70
375.78
Custom Work, Equipment Rent
47.94
53.29
45.55
Hired Labour
353.36
364.27
328.77
Machinery & Equip - Fuel & Oil
21.18
52.21
61.05
Machinery & Equipment - Repair
85.21
70.71
57.39
Motor Vehicle Expenses
16.41
15.79
13.31
Building, Fence Repairs
155.86
114.77
100.15
Heating Fuel
3.63
3.73
3.16
Electricity & Telephone
148.84
132.30
114.01
Accounting, Office Expenses
60.84
52.21
42.67
Interest - Operating
15.00
15.77
15.61
Other Cash Variable Expenses
44.41
31.31
20.99
Change in Payables
301.81
33.56
-62.89
Total Variable Expenses
$3,870.91
$3,552.89
$3,340.17
Contribution Margin
$1,543.88
$2,268.62
$2,686.97
Fixed Expenses

Property Taxes, Fire & Liab. Ins.
137.60
123.14
117.18
Lease & Rent Payments
26.15
14.83
10.86
Interest - Term
359.16
332.93
335.83
Depreciation
303.09
241.59
213.98
Total Fixed Expenses
825.99
712.49
677.85
Total Enterprise Expenses
$4,696.91
$4,265.38
$4,018.02
Net Enterprise Income
$717.88
$1,556.14
$2,009.11

 

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

 
  Low 38 Farms Avg 115 Farms High 38 Farms
Revenue
Product sales
$70.45
$70.56
$70.34
Market Livestock
0.21
0.20
0.15
Feeder Livestock
0.14
0.11
0.07
Breeding Livestock
0.97
0.89
0.73
Cull Stock
1.56
1.43
1.45
Other Livestock Enterprise Sales
0.01
0.00
0.00
- Livestock Purchased
-1.26
-0.85
-0.90
+ Inventory Change
1.31
0.65
0.81
+ Change in Receivables
-0.28
0.07
0.10
Value of Enterprise Production
$73.11
$73.06
$72.26
Variable Expenses - Livestock Expenses:
Purchased feed & grain
8.81
7.87
7.62
Purchased forages
0.08
0.05
0.02
Home-grown grains transferred
3.47
3.49
3.07
Home-grown forages transferred
12.46
11.52
11.36
Total Feed Cost
$24.82
$22.92
$22.07
Animal Health & Breeding
3.07
2.89
2.60
Other (Stabilization, Supplies)
2.75
2.42
2.19
Marketing, Transportation
4.69
4.55
4.54
Custom Work, Equipment Rent
0.65
0.67
0.55
Hired Labour
4.77
4.57
3.97
Machinery & Equip - Fuel & Oil
0.29
0.66
0.74
Machinery & Equipment - Repair
1.15
0.89
0.69
Motor Vehicle Expenses
0.22
0.20
0.16
Building, Fence Repairs
2.10
1.44
1.21
Heating Fuel
0.05
0.05
0.04
Electricity & Telephone
2.01
1.66
1.38
Accounting, Office Expenses
0.82
0.66
0.52
Interest - Operating
0.20
0.20
0.19
Other Cash Variable Expenses
0.60
0.39
0.25
Change in Payables
4.08
0.42
-0.76
Total Variable Expenses
$52.27
$44.59
$40.32
Contribution Margin
$20.85
$28.47
$32.44
Fixed Expenses

Property Taxes, Fire & Liab. Ins.
1.86
1.55
1.41
Lease & Rent Payments
0.35
0.19
0.13
Interest - Term
4.85
4.18
4.05
Depreciation
4.09
3.03
2.58
Total Fixed Expenses
11.15
8.94
8.18
Total Enterprise Expenses
$63.42
$53.53
$48.50
Net Enterprise Income
$9.69
$19.53
$24.25

 

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

  Low 38 Farms Avg 115 Farms High 38 Farms
Revenue
Product sales
$17.95
$17.88
$17.81
Market Livestock
0.05
0.05
0.04
Feeder Livestock
0.03
0.03
0.02
Breeding Livestock
0.25
0.22
0.18
Cull Stock
0.40
0.36
0.37
Other Livestock Enterprise Sales
0.00
0.00
0.00
- Livestock Purchased
-0.32
-0.22
-0.23
+ Inventory Change
0.33
0.16
0.20
+ Change in Receivables
-0.07
0.02
0.03
Value of Enterprise Production
$18.63
$18.51
$18.42
Variable Expenses
Livestock Expenses:
Purchased feed & grain
2.24
1.99
1.93
Purchased forages
0.02
0.01
0.00
Home-grown grains transferred
0.88
0.88
0.78
Home-grown forages transferred
3.17
2.92
2.88
Total Feed Cost
$6.32
$5.81
$5.59
Animal Health & Breeding
0.78
0.73
0.66
Other (Stabilization, Supplies)
0.70
0.61
0.55
Marketing, Transportation
1.20
1.15
1.15
Custom Work, Equipment Rent
0.16
0.17
0.14
Hired Labour
1.22
1.16
1.00
Machinery & Equip - Fuel & Oil
0.07
0.17
0.19
Machinery & Equipment - Repair
0.29
0.22
0.18
Motor Vehicle Expenses
0.06
0.05
0.04
Building, Fence Repairs
0.54
0.36
0.31
Heating Fuel
0.01
0.01
0.01
Electricity & Telephone
0.51
0.42
0.35
Accounting, Office Expenses
0.21
0.17
0.13
Interest - Operating
0.05
0.05
0.05
Other Cash Variable Expenses
0.15
0.10
0.06
Change in Payables
1.04
0.11
-0.19
Total Variable Expenses
$13.32
$11.30
$10.21
Contribution Margin
$5.31
$7.21
$8.21
Fixed Expenses

Property Taxes, Fire & Liab. Ins.
0.47
0.39
0.36
Lease & Rent Payments
0.09
0.05
0.03
Interest - Term
1.24
1.06
1.03
Depreciation
1.04
0.77
0.65
Total Fixed Expenses
2.84
2.27
2.07
Total Enterprise Expenses
$16.16
$13.56
$12.28
Net Enterprise Income
$2.47
$4.95
$6.14

 

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

  Low 38 Farms Avg 115 Farms High 38 Farms
Revenue
Wheat
$7.77
$13.78
$18.24
Spring Grains
5.74
7.33
11.34
Grain Corn
38.30
27.92
19.31
Soybeans
20.17
18.03
10.10
Forage
5.24
7.99
9.17
Fruits
0.00
0.00
0.00
Vegetables
0.00
1.40
2.46
Homegrown Seed
0.00
1.17
0.00
Other Crop Sales & Custom Work
1.95
1.90
2.01
Crop Insurance
0.29
4.95
7.91
Crop Stabilization
5.86
6.39
7.16
Value grains fed to livestock
43.06
53.88
56.20
Value forages fed to livestock
154.38
179.57
207.88
+ Inventory change
38.41
37.43
45.06
+ Change in receivables
0.00
-0.05
-0.12
Value of Enterprise Production
$321.17
$361.69
$396.72
Expenses
Variable Expenses
Seed & Plants
22.38
23.69
22.13
Fertilizer & Lime
31.03
31.18
34.02
Pesticides & Other Chemicals
11.72
14.92
17.45
Containers and Twine
4.11
4.54
3.54
Other (Stabztn, Insurance, Etc.)
3.94
3.51
3.46
Marketing & Transportation
0.89
2.19
3.92
Custom Work, Equipment Rent
23.24
26.35
29.17
Hired Labour
32.95
37.20
38.62
Machinery & Equip - Fuel & Oil
33.87
32.06
31.60
Machinery & Equip - Repair
37.53
39.83
37.43
Motor Vehicle Expenses
3.88
4.52
3.83
Building, Fence Repairs
4.38
4.05
4.30
Heating Fuel
1.90
2.02
1.89
Electricity & Telephone
6.70
7.19
7.11
Accounting, Office Expenses
5.40
5.21
5.01
Interest (Operating)
4.11
4.16
4.26
Other Variable Cash Expenses
3.19
2.99
2.61
Change in Payables
0.00
0.00
0.00
Total Variable Expenses
$231.23
$245.60
$250.34
Contribution Margin
$89.94
$116.09
$146.38
Fixed Expenses
Property Taxes, Fire & Liab. Ins
10.19
10.95
12.14
Lease & Rent Payments
11.87
13.69
15.01
Interest (Term)
40.00
49.51
62.01
Depreciation
75.93
78.61
77.95
Total Fixed Expenses
$137.99
$152.76
$167.10
Total Expenses
$369.22
$398.36
$417.44
Net Enterprise Income
-$48.05
-$36.67
-$20.72

 

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Summary of Ontario Dairy Farms - Crops Grown and Fed Report

Crop Acres and Yields

Crop Low 38 Farms Avg 115 Farms High 38 Farms
Acres Grown Total Yield Yield per Acre Acres Grown Total Yield Yield per Acre Acres Grown Total Yield Yield per Acre
Wheat
12.9
22.8
1.8
20.2
35.4
1.8
30.1
53.0
1.8
Spring Grains
53.9
72.6
1.3
62.6
90.2
1.4
78.6
102.7
1.3
Grain Corn
29.4
113.8
3.9
40.0
148.1
3.7
47.0
170.6
3.6
Soybeans
20.3
27.3
1.3
25.0
32.1
1.3
24.4
27.9
1.1
Straw
xxx.x
29.1
xxx.x
40.1
  
xxx.x
55.5
Other Crop
3.8
3.4
0.9
2.5
1.7
0.7
3.3
1.5
0.5
Other Crop
3.4
8.6
2.5
2.7
7.6
2.8
4.5
13.3
3.0
Corn Silage
16.0
268.7
16.8
26.4
435.2
16.5
40.1
679.7
17.0
Hay
153.9
146.2
2.8
184.5
200.5
3.1
221.3
249.3
3.4
Haylage
xxx.x
462.9
xxx.x
614.4
xxx.x
875.6
Tillable pasture
19.6
14.9
10.5
Rough pasture
12.7
13.3
8.5
Non Crop Land
95.1
66.1
57.2
Total Acres
421.0
458.1
525.6
Tillable Acres reported
313.2
378.7
459.8


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
4
594
11
1
198
3
0
0
0
Spring grains
48
5,458
104
69
7,774
111
83
9,413
98
Grain corn
41
5,343
102
74
9,594
137
103
13,338
139
Soybeans
8
1,925
37
7
1,850
26
7
1,650
17
Straw
26
2,304
44
38
3,447
49
49
4,446
46
Other Crop
1
143
3
0
44
1
0
0
0
Other Crop
12
714
14
9
528
8
11
642
7
Corn silage
216
7,128
136
382
12,606
180
602
19,866
207
Hay
122
13,431
256
138
15,191
217
166
18,249
190
Haylage
431
23,722
453
574
31,581
451
843
46,376
484
Tillable pasture
13
780
15
11
660
9
9
516
5
Rough pasture
11
273
5
9
220
3
7
165
2
Total
61,814
1,180
83,693
1,196
114,661
1,196


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
200
3
212
5
237
6
Feeder & Market Livestock
192
84
46
Breeding Stock
1,486
1,481
1,485
Market Quota
0
21,851
0
23,233
0
24,069
Machinery & Equipment
699
1,503
724
1,139
713
967
Land & Farm Buildings
1,697
3,019
1,967
2,533
2,201
2,345
Enterprise Assets/Unit
2,596
28,449
2,904
28,911
3,152
29,383
Total Enterprise Assets/Unit
813,049
1,490,733
1,054,863
2,023,784
1,368,652
2,817,814
Debt per Acre & per Cow
1,710
10,221
1,945
10,095
2,248
10,177


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E-mail: ag.info.omafra@ontario.ca