Jul 23, 2014
Home| Tools| Events| Blogs| Discussions| Sign UpLogin

Profit Tracker: Beef Margins Near $200 Per Head

May 6, 2014
By: Greg Henderson, Beef Today Editorial Director
BT Rotator Feedlot 7
Cattle feeding margins jumped nearly $17 per head higher last week to average $196.50.  

Cattle feeding margins jumped nearly $17 per head higher last week to average $196.50. The increase in profitability was due to an average $1.63 per cwt. increase in cash cattle prices and a decline in total feed costs for the calculated feeding period, according to the Sterling Beef Profit Tracker.

Profit margins for pork producers fell $11.46 per head last week to $75.63 per head. The decline was tied to a $3.15 per cwt. decline in negotiated cash prices. Both beef and pork margins are calculated by John Nalivka, president, Sterling Marketing, Vale, Ore.

Cattle feeders’ profits last week were $287 per head more than at the same time last year when $91 per head losses were recorded. Beef cutout values were nearly steady with the previous week, but packer margins declined $6.42 per head, leaving packers with per head profits at $16.67. A month ago packers recorded losses of $36 on every animal processed, and losses totaled $21 per head at the same time last year.

Farrow-to-finish hog margins have experienced decline for several weeks and are now $36 per head lower than the $111 per head profits recorded a month ago. Pork packers saw their margins improve last week, but the average was still $2.73 in the loss column for every animal processed.

The spike in both cattle feeding and farrow-to-finish profits this spring is due to significantly higher cash prices and lower overall feed prices. Cash prices for fed cattle are more than $20 per cwt. higher than last year, and negotiated hog prices are more than $25 per cwt. higher than last year.

See Comments


 
Log In or Sign Up to comment

COMMENTS

No comments have been posted



Name:

Comments:

Receive the latest news, information and commentary customized for you. Sign up to receive Beef Today's Cattle Drive today!. Interested in the latest prices for cattle in your area? See highlights of the latest for-sale cattle in the Cattle-Exchange eNewsletter.

 
 
The Home Page of Agriculture
© 2014 Farm Journal, Inc. All Rights Reserved|Web site design and development by AmericanEagle.com|Site Map|Privacy Policy|Terms & Conditions