Australia Yearbook - 2001

622 Year Book Australia 2001
Financial statistics of farm
businesses
Estimates of selected financial aggregates of farm
businesses are shown in tables and graphs 15.7 to
15.13. The estimates have been derived from the
Agricultural Finance Survey, conducted annually
since 1986–87.
Turnover
Turnover (all gross proceeds received by the
business during the year from the sale of crops,
livestock, livestock products and other
miscellaneous revenue) is a good guide to the
level of farm business activity. The average
turnover per farm business increased by 3% to
$269,000 during 1998–99 as a result of a slight
increase in total turnover and a fall in the
estimated number of farm businesses (table 15.9).
In 1998–99, 24,000 or 24% of Australian farm
businesses had a turnover of $300,000 or more,
and contributed 67% of the total turnover of all
Australian farms. Their average turnover was
$759,000 and the average cash operating surplus
(a measure of profitability) was $160,000.
At the other end of the scale, 20,000 farms (19%)
had a turnover of less than $50,000. These farm
businesses contributed only 2% of the total
turnover, at an average of $30,000. These farms had
an average cash operating loss of $1,000 per farm.
In 1998–99, the farm business profit margin (the
ratio of cash operating surplus to turnover) was
20%, down from 22% in 1997–98 (graph 15.10).
15.7 FARM BUSINESSES, Selected Financial Aggregates
1993–94 1994–95 1995–96 1996–97
1997–98
1998–99
$m $m $m $m $m $m
Sales from crops 9 369.5 9 804.2 13 159.6 13 581.2 13 493.1 13 564.3
Sales from livestock 6 232.5 6 279.1 6 339.7 5 964.7 5 922.0 6 373.4
Sales from livestock products 4 637.3 5 596.3 4 975.1 5 403.3 5 556.5 4 986.5
Turnover 21 694.3 23 516.3 26 724.9 27 122.3 27 300.1 27 606.6
Purchases and selected expenses 12 541.1 13 517.0 14 948.6 15 692.3 15 472.4 15 908.7
Value added(a) 10 598.4 9 768.1 11 185.3 10 797.4 12 034.4 12 181.4
Adjusted value added(b) 9 178.5 8 234.3 9 552.5 9 103.2 10 145.0 10 191.0
Gross operating surplus(a) 7 081.2 6 006.0 7 176.6 6 588.3 7 608.1 7 359.1
Interest paid 1 302.0 1 508.9 1 666.7 1 719.9 1 595.1 1 645.3
Cash operating surplus(c) 4 433.3 4 835.7 6 429.3 5 906.3 6 091.7 5 529.1
Net capital expenditure 1 945.0 2 090.8 2 307.9 2 480.7 2 624.7 2 573.1
Gross indebtedness 15 921.7 18 267.7 19 592.7 20 464.2 21 630.8 24 295.4
(a) Includes an estimate for the increase (or decrease) in the value of livestock. (b) The estimate of value added less the estimates
of rates and taxes, insurance payments and other expenses. (c) Excludes an estimate for the increase (or decrease) in the value of
livestock.
Source: Agricultural Industries, Financial Statistics, Australia (7507.0); Agriculture, Australia (7113.0).
15.8 FARM BUSINESSES, Selected Financial Aggregates by State—1998–99
NSW
Vic.
$m $m $m $m $m $m $m
Sales from crops 3 819.1 1 978.5 3 190.8 1 840.2 2 471.2 236.1 13 564.3
Sales from livestock 1 869.2 962.8 2 144.9 482.8 659.8 154.8 6 373.4
Sales from livestock products 1 208.8 2 006.8 577.2 385.7 616.9 189.6 4 986.5
Turnover 7 538.8 5 463.2 6 634.7 2 938.9 4 182.7 676.4 27 606.6
Purchases and selected expenses 4 477.9 3 099.8 3 723.8 1 531.3 2 603.5 378.2 15 908.7
Value added(b) 3 342.8 2 492.5 2 898.4 1 488.4 1 557.9 321.6 12 181.4
Adjusted value added(c) 2 714.5 2 114.8 2 492.2 1 278.2 1 251.1 276.9 10 191.0
Gross operating surplus(b) 1 949.6 1 455.0 1 773.2 996.7 955.7 192.4 7 359.1
Interest paid 463.9 297.5 403.5 173.9 256.5 41.9 1 645.3
Cash operating surplus(d) 1 276.9 1 088.4 1 453.0 779.3 769.2 135.1 5 529.1
Net capital expenditure 700.0 481.9 610.8 324.1 425.1 38.9 2 573.1
Gross indebtedness 6 758.3 3 966.2 6 658.7 2 332.1 3 870.0 569.0 24 295.4
Qld
SA
WA
Tas.
Aust.(a)
(a) Includes the Northern Territory and the Australian Capital Territory. (b) Includes an estimate for the increase (or decrease) in the
value of livestock. (c) The estimate of value added less the estimates of rates and taxes, insurance payments and other expenses.
(d) Excludes an estimate for the increase (or decrease) in the value of livestock.
Source: Agriculture, Australia, 1998–99 (7113.0).