Uniting statistics improves report
CooperAitken, a Morrinsville and Matamata based accountancy firm, has for some time been producing yearly dairy statistics for its clients.
This year the statistics are bigger and better.
‘‘We joined forces with DairyBase, which has the National Farm Business Database, so our combined statistics provide a much better understanding of our client’s dairy farming business,’’ Trevor Cooper said.
This year the reports are easier to understand and more visually appealing.
‘‘These reports will help farmers compare what is happening on their farm with the group’s averages. This will give our clients and farmers in the Waikato a really good indicator of where they could make changes to improve profitability,’’ Mr Cooper said.
There are three reports – Farm owners, Sharemilkers and Owners with Sharemilkers.
‘‘It’s amazing the differences that come up. For example, feed costs almost doubled for owners with sharemilkers and continued to increase for farm owners but reduced for sharemilkers, in fact all major expenses were down for Sharemilkers,’’ Mr Cooper said. ‘‘Overall the statistics are telling us that dairy farming is more profitable in 2010 compared to 2009 but we are not back to the 2008 profit levels. For sharemilkers operating profit almost doubled from 2009.’’
He said total operating expenses had been consistent over the last three years across the groups.
The report’s first section has a clear overview of the averages for the dairy area, number of cows, labour units and production.
Various ratios are calculated showing milk production per cow and per hectare.
‘‘ Milk production for farm owners has increased per hectare, production per cow has increased for farm owners with sharemilkers even though their stocking rates were maintained. And for sharemilkers production has remained steady from 2009,’’ Mr Cooper said.
Likewise operating expenses are shown per kilogram per milk solids and per hectare. Graphs illustrate the major expenses, with detailed financial breakdowns at the back.
Mr Cooper said he really liked the, What drives operating profit per hectare.
‘‘The illustration gives a very clear picture of where the revenue is coming from and how the operating expenses are made up, giving the operating profit. We have then shown the interest to give an average net profit,’’ he said.
CooperAitken is also offering its clients a personalised report. This would benchmark actual farm numbers against the group; powerful information showing where the farm is outperforming others and areas where improvements can be made to increase profitability.
To view the reports go to www.cooperaitken. co. nz/ Services/ Taxation/ DairyFarming-Group-Averages Or call perAitken on 07 889 7153