| Patriot81 - 3/11/2019 20:57
Even with calves at these prices and corn just north of $3.50, margins are looking a little thin.
600 lb steer@$1.50/lb $900
Feed/mineral $300-350
Vet/misc. $10-15
Death loss. $25
Labor. $20
Equipment/facility $45
Bedding. $25
Total. $1325-$1390
1200lb steer@$1.16/lb $1392
Profit. $2-$67/head
If your doing the work yourself, obviously you have that to keep but if you have to hire any help or your death loss is higher than 2-3%, it’s looking like a break even venture at best.
Tell me where I’m wrong?
as was said below, feed your steers to 1400 lbs, using the upper end of your range you wrote down and projecting the same COG to 1400, you will show somewhere around 114 profit/hd.
i think if you have an aggressive implant program, you will have 15 bucks a head there alone. also you are missing interest cost, unless you have the cash on hand. thats a half a benjamin/hd that you dont want to forget about.
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