Nebraska Pork Model Finisher Financial Analysis Worksheet

Introduction

This worksheet projects the difference between your input costs and projected gross income for four swine finishing scenarios. As a contract grower, you own the facility and provide the labor; another party owns the pigs, provides feed and other pig-related inputs.

Scenario 1: You own and operate a grow-finish facility
Scenario 2: You own and operate a wean-to-finish facility
Scenario 3: You are a contract grower with a grow-finish facility (you own the facility and provide labor)
Scenario 4: You are a contract grower with a wean-to-finish facility (you own the facility and provide labor)

The worksheet performs a cash flow analysis, not an economic analysis. Therefore, depreciation and tax consequences are not considered. No manure credits are provided. Loans are calculated for an even payment (amortized) over the life of the loan.

Normal ranges for some input items are provided to serve as a guide in completing the worksheet. If values outside the normal ranges are used, it is suggested that an explanation be provided.

This worksheet was adapted by Duane Reese, Extension Swine Specialist, from an original version made by Al Prosch, Pork Central Educator and Michael Brumm, Extension Swine Specialist, University of Nebraska. Financial support was provided by the Nebraska Pork Producers Association.

Instructions

Each scenario runs independently. Values must appear in all the boxes within each scenario for the program to run. Click "Submit" after you have completed data entry. Data may be temporarily saved and retrieved at a later time by using the [Save Data] or [Retrieve Data] buttons, respectively.

Input values are included in the worksheet to represent examples. Replace those that do not apply to your situation.

April, 2008