Alan Blackburn and Associates Consulting


Farm Managment and Agribusiness Consultants

Enterprise Gross Margins

Farm profitability is greatly affected by:

  • Enterprise choice

  • Efficiency with which an enterprise is run. 

Gross margins are a key tool used when deciding which enterprise to run and to evaluate the efficiency of an enterprise.

Gross margins provide information for comparing the relative profitability of alternative farm enterprises and for comparing one farm against district and 10% averages. 

Alan Blackburn and Associates Consulting has prepared a very useful software package which enables us to calculate enterprise gross margins tailored to individual client production levels and price and cost estimates.

We can quickly look at alternatives and calculate the impact changes in production levels and prices will have on gross margins and projected profitability.
 


We have prepared gross margin models which enable us to quickly evaluate projected gross margins for clients.


Gross margins include:

CATTLE

Breeding Cows Hsd:    Self Replacing
 

Breeding Cows Hsd:    Bought in Replacement
 

Steer Trading, 1 to 2 yo
 

Steer Trading, 2 to 3 yo
 

Stud Cattle
   

SHEEP

Merino Ewes: Self replacing
 

Merino Ewes: Percentage joined to BL Rams
 

Merino Ewes: Percentage joined to Dorset Rams
 

Prime Lambs from 1st x Ewes
 

Wether flock
   

CROPS

Wheat

Sunflower
 

Barley

Lucerne hay
 

Malting Barley

Lupins
 

Triticale

Chick Peas
 

Linseed

Peas
 

Canola