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Yields & Profitability:
Poultry


Cindy and Jeff sold 608 dozen eggs at $3.00 per dozen in 2010, for gross egg sales of $1,824.00. Because they process retired laying hens and males for meat, they calculate profitability of their laying enterprise based on both egg sales and meat sales. The calculations are complicated by the fact that hens live more than one year, so costs and sales are carried across years. Cindy and Jeff are still working out their methods for breeding and raising their own chicks and their approach to flock rotations so that they’ll have more consistent laying and egg sales throughout the year. Table 9 shows that they experienced a net income of $660.11 from their laying enterprise in 2010. This was the first year they showed a profit, though importantly, they have not yet started accounting for labor costs in their profit calculations.



Table 9. Laying hen processing income, egg sales, and costs in 2010

 

Breed and Sex

 

 

Ameracauna Hens

 

Buff Orpington

Barred
Plymouth
Rock

 

Old

New

Hens

Males

Hens

Cost
per bird1

n/a2

n/a2

n/a2

$1.53

$2.17

Chick ration cost3

$0.00

$7.38

$0.00

$1.47

$14.75

Layer ration cost3

$233.64

$212.40

$371.70

$35.40

$531.00

# Birds sold

15

0

25

4

0

Sale price
per lb.

$2.50

n/a

$2.50

$2.50

n/a

Avg. processed
weight (lbs.)

3.0

n/a

3.4

3.5

n/a

Meat sales
income

$112.50

$0.00

$212.50

$35.00

$0.00

Total costs4

$233.64

$219.78

$371.70

$44.52

$654.25

 

 

 

 

 

 

 

 

 

Egg sales:

$1,824.00

 

 

 

Meat sales:

$360.00

 

 

 

Total income:

$2,184.00

 

 

 

Total costs:

$1,523.89

 

 

 

Net income:

$660.11

1Number of birds raised is shown in Table 2. Number of birds sold is generally lower than the number raised because of some mortality, because some stewing hens and males are kept for their own use, and because some males are kept as roosters for breeding.
2No cost for chick purchase because these chicks were hatched on the farm.
3Average cost of both rations was $14.75 per 50 lbs. in 2010. Ration quantities are given in Table 4. See "Customer Communications" Lessons Learned box about feed costs under Management & Marketing > Marketing Models.
4Total costs include chick purchases and feed but not labor.



As discussed under Assessing & Planning > Business Planning, 2010 was Jeff and Cindy’s fourth year selling broilers, their second year selling ducks, and their first year selling turkeys. Table 10 shows that they experienced a net income of $1,433.67 from their meat poultry enterprise in 2010. They expect profitability to continue, though again, it is important to note they have not started accounting for labor costs.



Table 10. Meat poultry income and costs in 2010

 

Species or Breed

 

Cornish Broilers

Red Broilers

Ducks

Turkeys

Cost per bird1

$1.13

$1.65

$3.94

$6.71

Chick starter ration cost2

$29.50

$29.50

$17.70

$14.75

Chick grower ration cost2

$619.50

$1,371.75

$309.75

$206.50

# birds processed

150

163

46

17

Sale price ($/lb.)

$3.00

$3.00

$4.25

$2.503

Avg. processed weight (lbs.)

4.2

4.1

3.5

4.6

Gross income

$1,890.00

$2,004.90

$684.25

$195.50

Total costs4

$824.15

$1,648.755

$512.63

$355.45

 

 

 

 

 

 

 

Total Gross Income:

$4,774.65

 

 

Total Costs:

$3,340.98

 

 

Net Income:

$1,433.67

1Number of birds raised shown in Table 3. Number of birds processed is slightly lower than the number raised due to pre-processing mortality. Two Red Broilers and one duck died on pasture in 2010, while three turkey poults and five Cornish broilers were lost in the brooder. With changes in brooder and pasture management, they have reduced their mortality rate well below 10% (often considered an expected level of mortality for broilers).
2Average cost of both rations was $14.75 per 50 lbs in 2010. Ration sizes given in Table 4. See "Customer Communications" Lessons Learned box about feed costs under Management & Marketing > Marketing Models.
3 Charged low sale price because unhappy with size of birds, though customers reported very good flavor; planned to try Broad-breasted Whites in 2011 (see Table 3). See also Production > Poultry > Feed for notes about species-specific rations.
4Total costs include chick/poult/duckling purchases and feed but not labor.
5Received 165 Red Broiler chicks but only ordered (and paid) for 150.



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