# Cow-calf profit per head in Arkansas

> Arkansas cow-calf operators are projected to earn roughly $165 in net cash income per cow in 2026, but after depreciation and unpaid labor, total economic profit runs around negative $95 per cow despite strong calf prices.

**Headline:** $165 net cash income per cow, negative $95 total economic profit per cow

## Key Figures

| Metric | Value |
| --- | --- |
| Gross revenue per cow | $1,050 |
| Cash costs per cow | $885 |
| Non-cash costs (depreciation, unpaid labor, land charge) | $260 |
| Net cash income per cow | $165 |
| Total economic profit per cow | -$95 |

## Detail

Arkansas ranks among the top 15 cow-calf states with roughly 900,000 beef cows, concentrated on fescue and bermudagrass pastures across the Ozarks, Ouachitas, and Delta. University of Arkansas Extension's 2025 cow-calf budget projects gross revenue near $1,050 per cow at an 85% weaning rate and 525 lb average weaning weight, with cash costs of about $885 leaving roughly $165 in net cash income per cow. Once depreciation on the cow herd, unpaid operator labor, and a land charge are layered in, total economic profit lands near negative $95 per cow, consistent with USDA ERS Southern Seaboard regional averages.

Calf prices in 2025-2026 are the strongest in a decade, with 500-600 lb steer calves bringing $280-310/cwt at Arkansas auction barns as the national beef cow herd sits at a multi-decade low. That revenue tailwind is partly offset by fescue toxicosis, which University of Arkansas Extension research ties to 30-50 lb lower weaning weights and reduced conception rates versus cleaner forage bases, meaning Arkansas herds wean fewer pounds per cow exposed than Plains counterparts even in a strong price year.

The state's cost structure is the decisive factor. USDA ERS Commodity Costs and Returns data for the Southern Seaboard region show feed (hay and supplement) running near $400 per cow, pasture and forage costs near $150, and cash overhead including veterinary, fuel, repairs, and interest adding another $335. Non-cash charges for herd depreciation and unpaid family labor routinely exceed $250 per cow. The result, documented across Arkansas Cattlemen's Association outlook reports, is an industry where cash flow is healthy in 2026 but full economic profit remains thin, rewarding low-input graziers who minimize hay feeding days and cull open cows aggressively.

## Frequently Asked Questions

### Why is Arkansas cow-calf profitability lower than Plains states despite cheaper land?

Arkansas operations rely on fescue-based pastures with endophyte toxicity issues that depress weaning weights by 30-50 lbs compared to Flint Hills or Nebraska Sandhills herds, and summer heat stress lowers conception rates, trimming pounds weaned per cow exposed.

### What weaning percentage should Arkansas producers budget?

University of Arkansas Extension cow-calf budgets assume an 85% weaning rate and 525 lb average weaning weight, below the 88-90% national benchmark, reflecting fescue toxicosis and heat-related breed-back challenges in the Ozarks and Delta.

### How do 2026 feeder calf prices affect Arkansas margins?

With CME feeder cattle futures averaging near $260/cwt for 2026 and 500-600 lb steer calves bringing $280-310/cwt at Arkansas auctions, gross revenue per cow exposed is at record highs, but input inflation in hay, fuel, and interest keeps economic profit near breakeven.

## Sources

1. USDA ERS Commodity Costs and Returns, Cow-Calf Production, Southern Seaboard region (2025) — https://www.ers.usda.gov/data-products/commodity-costs-and-returns/
2. University of Arkansas Cooperative Extension Service, Beef Cow-Calf Enterprise Budget (2025) — https://www.uaex.uada.edu/farm-ranch/economics-marketing/farm-planning/budgets/livestock.aspx
3. Arkansas Cattlemen's Association, Industry Economic Outlook (2025) — https://www.arkansascattlemen.org/

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Source: Vellum — https://vellum.app/cow-calf-profit-per-head/arkansas