Preliminary Report #3 – Dairy Farm Business Summary and Analysis Program

Jason Karszes, Ashley Howlett and Anna Richards, Cornell CALS PRO-DAIRY

As dairy businesses across New York analyze their financial performance using the Dairy Farm Business Summary and Analysis Program, supported by Cornell University, Cornell Cooperative Extension and PRO-DAIRY, the changes that occurred on farms from 2016 to 2017 can be reviewed. An important function of management is to compare how your farm changed from one year to the next, how this compares to goals, how this compares to the industry, and to ask the question why.

The third preliminary progress report for the same farms for both 2016 and 2017 has been released. Along with providing information about all farms, the report also included information for farms in three different herd size groups.

Highlights from the DFBS Preliminary Progress Report #3:

  • Milk shipped per farm increased by 5%.  This was a combination of an increase of 6% in average herd size and a decrease of 1% in milk sold per cow.
  • Labor efficiency increased 3%.
  • Average cost per hired worker equivalent increased 6%.
  • Total cost of producing cwt of milk increased $0.43.
  • Total cost of producing cwt of milk in 2017 ranged from $17.31 to $23.33.
  • Net milk price increased $1.30 per cwt to $17.42.
  • Net farm income per cow without appreciation increased from $242 to $480 per cow.
  • Labor and management income per operator returned to positive levels, averaging $33,920 per owner operator.
  • Debt per cow was relatively unchanged, increasing from $4,093 to $4,102.

If you are interested in analyzing the performance of your business, please contact your local Cornell Cooperative Extension office to inquire about what resources are available to assist in this effort.