Cow-herd standardized performance analysis (SPA) data for Texas, Oklahoma,and New Mexico were used to determine economic factors affecting cow-herdcosts, production, and profitability. Total cost was defined as thefinancial cost associated with raising a calf through the weaning stage;production, as pounds weaned per exposed female; and profits, as rate ofreturn on assets. Variables affecting one or more performance measuresincluded herd size; pounds of feed fed; real estate, machinery, andbreeding-stock investments; calving percentage; death loss; andbreeding-season length. Management variables were especially important forfinancial costs and profitability of the cow-herd operation.