The 5-Area Negotiated Choice Steer price averaged a record high of $217.05/cwt last week, supporting average estimated feedlot margins of $548 per head. The breakeven price for those cattle was $177/cwt with total cost from placement to marketing at $2,624. Packer margins against the prior week’s purchase cost of $212.17/cwt and a Comprehensive Cutout Value of $332.92/cwt were in the red $190 per head.
Utilization of plant slaughter capacity increased last week with fed cattle plants averaging an estimated 85.1% utilization with 496,260 fed cattle slaughtered while cow plants slaughtered 109,325 cows and utilized 75% of plant capacity.
View the full Sterling Beef Profit Tracker for the week ending April 26.
The Beef and Pork Profit Trackers are calculated by Sterling Marketing, Vale, Ore.
(Note: The Sterling Beef Profit Tracker calculates an average beef cutout value for the week in its estimates for feedyard and packer margins. Other prices in the weekly Profit Tracker also are calculated weekly averages. Feedyard margins are calculated on a cash basis only with no adjustment for risk management practices. The Beef and Pork Profit Trackers are intended only as a benchmark for the average cash costs of feeding cattle and hogs. Sterling Marketing is a private, independent beef and pork consulting firm not associated with any packing company or livestock feeding enterprise.)
