This two-page spreadsheet provides a quick analysis of 2024 grain farm data for 17 Ohio Valley area grain farms participating in the Kentucky Farm Business Management program. 

Crop Yields and Performance

Participating farms in the Ohio Valley region experienced higher yields than the average Kentucky KFBM grain farm for corn and soybeans.

• Corn: One-third of farms produced above 200 bushels/acre for an average yield of 207 bushels/acre compared to the KFBM average 194. This is up from 2023 (196 bu/acre) and is close to the 5-year average of 205 bu/acre.
• Full Season Soybeans: Average yield declined to 60 bushels/acre, with only 30% of farms exceeding 65 bushels/acre. This is down from 2023 (66 bu/acre) and below the 5-year average of 64 bu/acre. But it is significantly higher than KFBM’s 51 bushels/acre.
• Double Crop Soybeans: More than half of farms (53.8%) produced 55 bushels/acre, an improvement over recent years and above the 45 bu/acre 5-year average. The KFBM average was 43 bushels/acre.

Financial Performance

The most striking factor is the dramatic decline in net farm income, which plummeted from $110,421 in 2023 to just $21,177 in 2024 - a concerning shift that resulted in a negative net farm income ratio of -0.7%. This represents a massive drop from the exceptional $518,603 average in 2022. While the Ohio Valley region faced challenges these farms showed more resilience than the average KFBM grain farm:

• 2024 net farm income: $21,177 (compared to KFBM's -$20,522 loss).
• Operating expense ratio: 80.5% (better than KFBM's 86%)
• Net Farm Income Ratio: -0.7% (negative)
• Return on farm assets: 1.3% (positive, unlike KFBM's -0.5%)
• Income distribution showed 50% of farms with positive income above breakeven, compared to about 25% for KFBM.
• Returns per Acre averaged $783 in 2024, down from $790 in 2023 and significantly below 2022's $1,097.

Farm Structure and Costs

Ohio Valley crop farm average 2,936 tillable acres per farm is greater than recent years, and larger than KFBM’s average 2,557.

Capital purchases averaged $342,272 per farm, indicating continued investment despite challenging profitability.

Land tenure is very diversified: 

• Crop share: ~1,060 acres per farm
• Cash rent: ~835 acres per farm
• Owned: ~675 acres per farm

Despite lower commodity prices, input costs remained substantial at $298.30 per acre for seed, chemical, and fertilizer, though this was down from nearly $400 per acre in recent years. Cost structure per acre is lower than KFBM:

• Seed, chemicals, fertilizer was down from nearly $400 in previous years to $298 (vs. KFBM 's $355)
• Machinery and equipment: $216 (vs. KFBM's $236)
• Cash rent: $199 (same as KFBM)

Market Conditions

The data shows 2024 was a challenging year financially for grain farms, with lower commodity prices significantly impacting profitability despite reasonable yields.

Family Living Expenses

The 2024 Kentucky family living data shows significant variation in financial circumstances among farm families.

Average net farm income for these farms was $23,088.  Net non-farm income was $53,094, more than twice farm income.  Total annual family living expense was $100,358, 32% more than farm and non-farm income combined.

Income disparity between High- and Low-performing farms is substantial:

•           High-performing third of farms: $9,783 net farm income, $166,885 total living expenses.

•           Low-performing third of farms: -$34,866 net farm loss, $38,984 total living expenses.

Major expense categories for average families:

•           Expendables (food, clothing, utilities, etc.): $66,755 (67% of total expenses)

•           Income and Social Security taxes: $35,519

•           Capital expenses: $10,971

•           Medical expenses: $9,809

•           Contributions: $7,710

•           Life insurance: $5,114