Partners Networking to Advance South Island Dairying

Financials

Many of the LUDF costs are fixed for the current season based on the farm system we are running:

Click here for the - LUDF Variance Report - to the end of season 2015/16
Click here for the - LUDF Variance Report - to the end of season 2014/15

Year ending May 31

2015/16 Budget

Actual to end Mar

Budget to End Mar

Variance

Forecast Year End

 

Notes

(Act—budg)

Milk production (kgMS)

280,147

250,437

252,506

-2,069

288,682

1.

 

160ha

1751 /ha

 

 

 

1804 /ha

 

Peak Cow Nos and Prod.

560

 

 

 

 

 

Staff

 

3.7

 

 

 

 

 

Income

 

 

 

 

 

 

 

Milksolid Payout $/kgMS

$3.90

 

 

 

 

 

Dividend /share

$0.40/share

 

 

 

 

 

Milksolid Revenue

$1,092,573

$976,704

$984,773

-8,069

1,125,860

 

 

Dividend

$112,059

$100,175

$101,002

-828

115,473

 

Surplus dairy stock

$138,510

$55,505

$138,509

-83,004

114,470

2

DairyNZ Levy 

-$10,085

-$9,016

-$9,090

74

-10,011

 

Stock Purchases

-23,200

-26,960

-26,960

0

-84,960

3

Gross Farm Revenue

$1,309,857

$1,096,408

$1,188,235

-$91,826

$1,260,832

 

Expenses

 

 

 

 

$0

0

 

Cow Costs

Animal Health    

$54,200

$48,364

$38,958

$9,406

63,606

4

 Breeding Expenses

$39,215

$39,380

$43,921

-$4,541

34,674

5

Replacement grazing & meal

$139,766

$102,828

$111,491

-$8,663

131,103

6

Winter grazing - Herd incl. freight

$200,772

$186,521

$187,022

-$501

200,271

 

Feed

Grass silage purch.

$70,502

$58,425

$70,502

-$12,077

24,539

7

 Silage making & delivery

$9,728

$20,088

$9,728

$10,360

20,088

8

 Giberillin

$13,120

$234

$9,120

-$8,886

234

9

 Nitrogen

$32,754

$45,093

$43,237

$1,856

45,093

10

 Fertiliser & Lime

$33,317

$14,853

$33,317

-$18,464

14,853

11

 Irrigation - All Costs

$70,600

$65,767

$63,200

$2,567

73,167

 

 Re-grassing

$25,535

$8,654

$25,535

-$16,881

8,654

12

Staff

Employment

$260,400

$187,554

$216,595

-$29,041

231,359

13

Land

Electricity-farm

$37,200

$21,243

$30,200

-$8,957

28,243

14

 

Administration

$24,700

$21,093

$20,842

$251

24,951

 

Rates & Insurance

$21,020

$21,020

$21,020

$0

21,020

 

Repairs & Maintenance

$54,500

$30,066

$43,690

-$13,624

40,876

15

Shed Expenses excl. power

$9,850

$8,449

$9,850

-$1,401

8,449

 

Vehicle Expenses

$31,336

$20,885

$31,336

-$10,451

20,885

16

Weed & Pest

$500

$1,174

$500

$674

1,174

 

Cash Farm Working Expenses

$1,129,015

$901,691

$1,010,064

-$108,373

$993,238

17

FWE/kgMS

 

$4.03

 

 

 

$3.44

18

Depreciation est.

$116,000

 

 

 

116,000

Total Operating Expenses

$1,245,015

$901,691

$1,010,064

-$108,373

1,109,238

Dairy Operating Profit

$64,842

 

 

 

$151,594

DOP/ha

 

$405

 

 

 

$947

Cash Operating Surplus

$180,842

 

 

 

$267,594

 Cash Operating Surplus per ha 

$1,130

 

 

 

$1,672

                 

 
Notes to Forecast Year End result:

  1. Milk production forecast as above, 288,652kgMS = 520kgMS/cow
  2. Reduction in total income earned from livestock sales with sale of higher number of empty stock (heifers and MA cows) and sale of a further 18 cows culled for Johnes.
  3. Purchase of 40 replacement heifers was not budgeted, in part the result of attempting to manage with carrying 126 rather than 150 R2yr’s to reduce the grazing costs incurred.
  4. Animal health costs are higher overall with increased expenditure (compared to budget) on Mastitus, teat spray, and small increases across a range of items.
  5. Breeding expenses are lower, largely the result of using bulls rather than AI for the heifers ($2500), and savings in replacement tags and protrack maintenance.
  6. LUDF has not achieved savings in replacement grazing costs (against budget) but was able to reduce expenditure on calf meal and milk powder by $10,000.
  7. High quality grass silage was purchased early in the season at a lower price than budgeted. Due to the reduced forecast milk price purchased silage has not been fed since a little was required in early December. Previously purchased silage not used has been removed from the LUDF expenses and will be purchased again into next seasons accounts.
  8. Additional silage made on the platform has increased silage making costs above budget.
  9. As detailed in the October focus day and October focus day notes, very little GA was applied this season
  10. Effect of application cost of nitrogen not flowing through to initial budget, plus an increase from 150 to 179 kgN applied per hectare.
  11. (Short term) savings from not applying maintenance Phosphate fertiliser (see October Focus day notes).
  12. Minimal regrassing required to patch damaged pastures from early spring grazing, coupled with earlier decision to only regrass 1 paddock rather than 2 has created significant savings in this financial year.
  13. Delayed start to the employment of a new farm assistant reduced staff expenses in June, coupled with a gap between the resignation of our other farm assistant in November and a short term replacement in February has delivered savings in employment expenses, but inhibited some staff leave – thereby contributing to a future cost for the farm.
  14. Silowraps and more efficient refrigeration (investments in 2014-15) are resulting in less electricity usage at the shed compared to past years.
  15. Overall effect of limiting all spending – with small savings across most areas of R&M, except for some repairs associated with the cowshed. R&M has not been deferred if this is likely to result in higher costs in the future. 
  16. Price reductions in petrol and diesel contributed nearly $4000 in savings, however the delayed replacement of the 4-wheeler has incurred higher than anticipated maintenance costs for this vehicle. Ute and tractor R&M to date is below budget.
  17. Overall, significant saving to date against budget. The overall expenses however be considered in light of the required level of fertiliser, regrassing, R&M etc to maintain the ongoing productivity of the farm.
  18. Dairy Operating Profit and Cash Surplus are significantly higher than budgeted as the combined result of a ‘survival focus’ (point 16) and 3% higher production. As shown above, the farms performance is sensitive to production with every additional 5000kgMS diluting farm working expenses by approximately 6 cents/kgMS. 
Season and Actuals 2015/2016


Variance-Report-May-May-16.pdf
Variance-Report-Budget-April-16.pdf
Variance-Report-Mar-Mar-16.pdf
Variance-Report-Feb-Feb-16.pdf
Variance-Report-Jan-Jan-16.pdf
Variance-Report-Dec-Dec-15.pdf
Variance-Report-Nov-Nov-15.pdf
Variance-Report-Oct-Oct-15.pdf
Variance-Report-Sep-Sep-15.pdf

Variance-Report-Jun-Jan-16.pdf
Variance-Report-Jun-May-16.pdf

Season and Actuals 2012/2013

LUDF Variance Report - Jun-Jan 2014 [pdf]
LUDF Variance Report - Jun - Apr 2013 [40KB]
LUDF Variance Report - Jun - Feb 2013 [39KB]
LUDF Variance Report - Jun - Jan 2013 [38KB]
LUDF Variance Report - June - Dec 2012 [38KB]
LUDF Variance Report - June - Oct 2012 [36KB]
LUDF Variance Report - June - Sep 2012 [40KB]
LUDF Budget 2012/13

Season and Actuals 2011/12

LUDF Variance Report - June - Jan 2012 [35KB]
LUDF Variance Report - June - Dec 2011 [33KB]
LUDF Variance Report - June - Oct 2011 [PDF 33KB]
LUDF Budget 2011 / 2012 Season [PDF 36KB]

Season and Actuals 2010/2011

LUDF Variance Report - June 10 - Season End [PDF 37KB]
LUDF Variance Report - June - March 2011 [PDF 1.15MB]
LUDF Variance Report - June - January 2011 [PDF 1.08MB]
LUDF Variance Report - June - December 2010 [PDF 958KB]
LUDF Variance Report - June - November 2010 [PDF 947KB]
LUDF Variance Report - June - October 2010 [PDF 923KB]
LUDF Variance Report - June - September 2010 [PDF 866KB]
LUDF Variance Report - June - August 2010 [PDF 82KB]
LUDF Variance Report - June - July 2010 [PDF 373KB]
LUDF Budget for 2010/2011 Season [PDF 39KB]

Season and Actuals 2009/2010

LUDF Budget vs Actual estimated May 2010 [PDF 17KB]
LUDF Variance Report - June 09 to March 2010 [PDF 262KB]
LUDF Variance Report - June 09 to February 2010 [PDF. 262KB]
LUDF Variance Report - June 09 to January 2010 [PDF, 259KB]
LUDF Variance Report - June to December 2009 [PDF, 255KB]
LUDF Variance Report - June to November 2009 [PDF, 247KB]
LUDF Variance Report - June to October 2009 [PDF, 254KB]
LUDF Variance Report - June to August 2009 [PDF, 228KB]
2009 - 2010 budget [PDF 101KB]

Older

2008 / 2009 budget - update October 2008 [PDF, 107KB]
2008 - 2009 budget [PDF 127KB]
2007 - 2008 budget [PDF 744KB]
2006 - 2007 season result [PDF 147KB]
2006 - 2007 budget [PDF 42KB]
2005 - 2006 season result [PDF 39KB]
Variance report 2007 - 2008 [PDF 249KB]