If you would like to predict your finishing operation’s annual income, the University of Nebraska has a financial analysis worksheet that can help.
The Nebraska Pork Model offers worksheets to project the difference between input costs and projected gross income. The worksheets are individualized for four production categories, including owning and operating a grow/finish facility, owning and operating a wean-to-finish facility, contracting a wean-to-finish facility and contracting a grow/finish facility.
You enter data on buildings, equipment, feed and veterinary costs as well as market price. Loans are calculated for an even payment (amortized) over its lifespan; however, depreciation and tax consequences are not considered.
Normal ranges for some input items are provided to serve as a guide in completing the worksheet. Values must be entered in all of the boxes provided in order for the program to run. Once the data entry is complete, you click “Submit.” Data may be temporarily saved and retrieved at a later time. Input values are included in the worksheet to represent examples; you will replace those that do not apply to your situation.
The worksheets were developed by Al Prosch, University of Nebraska Pork Central educator, and Michael Brumm, consultant and former University of Nebraska swine specialist, and were adapted by Duane Reese, Extension swine specialist, University of Nebraska.
The worksheets can assist with such decisions as determining whether adding or expanding a swine finishing enterprise within an existing operation is economically feasible. Results can be provided to a lending agency as part of a construction proposal.
To view the worksheets, click here.