The True Cost of Crushing Equipment: Why Uptime and Productivity Matter More than Purchase Price

The purchase price of crushing equipment, from cone plants to consumables like screen media, can vary widely—sometimes by 50% or more. A 300-horsepower cone plant might range from $300,000 to $600,000, while screen cloth for a carry deck could cost anywhere from $1,000 to $7,000. With price differences for every nut, bolt, roller, and component, it’s clear that the lowest price doesn’t guarantee the highest profitability.

If the purchase price were the only factor in profitability, the operators who spend the least would dominate the market. But one look around tells a different story. Successful operators understand that profitability is driven by two key factors: uptime and productivity.

The Two Drivers of Crushing Profitability

Uptime – The percentage of time your crusher is working versus down for maintenance or repair.
Productivity – The amount of in-spec material produced per hour, day, or week.

Calculating the Cost of Downtime

For a mid-sized crushing operation, let’s assume the following parameters:

Production Rate: 250 tons per hour
Crushing Price: $2.50 per ton
Crew: 3 members at $20 per hour
Operation Hours: 60 hours per week, over a 26-week crushing season
Annual Production: 390,000 tons

Even when equipment isn’t crushing, you’re still paying your crew, who are likely fixing equipment instead of managing production. If they’re waiting on repairs or working on a broken machine, their wages continue to accrue, and you’re losing revenue at the same time. On top of that, you may incur overtime costs to catch up, and potentially face penalties if projects are delayed.

Cost of Downtime Calculation:

Labor Cost: 3 crew members x $20 per hour = $60 per hour
Lost Revenue: 250 TPH x $2.50 per ton = $625 per hour
Total Cost of Downtime: $685 per hour

For a 12-hour production day, downtime costs add up to $8,220 per day. This is a significant loss for any operation. Imagine the impact if you experience downtime regularly or have a breakdown that takes days to fix. Plug in your own numbers to see the cost of downtime for your operation.

Productivity: The Power of Incremental Gains

Just as downtime is costly, productivity improvements offer significant returns. Let’s say you’re losing 10% of production potential due to issues like blinding screens or worn-out manganese liners. Here’s how that loss adds up:

Lost Production: 25 tons per hour (10% of 250 TPH)
Revenue Loss: 25 TPH x $2.50 per ton = $62.50 per hour
Daily Loss: $750 per day

If your operation runs at 10% below peak production for just one week, that’s $3,750 in lost revenue. Investing in maintenance or an upgrade to prevent these losses becomes a no-brainer.

The Value of Higher-Priced Equipment

Consider a scenario where you invest an extra $300,000 in a more productive cone plant. With a five-year loan at a 6% interest rate, the additional monthly payment would be about $5,800. At $2.50 per ton, that means you need to produce 2,320 extra tons per month (or 9.7 tons per hour) to break even on this investment.

In our example, a production boost of 9.7 tons per hour is easily achievable through improved liner performance and automation. Over 15 years, this additional capacity could generate an extra 209,520 tons, translating to $523,800 in revenue at $2.50 per ton. That’s an incremental profit of $223,800. Investing in a more productive piece of equipment can yield substantial returns, not only in revenue but also in trade-in or resale value.

Advanced Screen Media: A Worthwhile Investment

Let’s look at spending on advanced screen media versus traditional woven wire cloth. Although advanced screen media may cost four times as much, it can last twice as long and improve production by at least 10%.

Comparison of Screen Media:

Woven Screen Cloth:

390,000 tons annual production
40,000 tons per screen change
$3,000 per change
6 hours downtime per change
Annual Downtime: 60 hours (10 changes)
Annual Cost: $30,000

Advanced Screen Media:

390,000 tons annual production
80,000 tons per screen change
$13,000 per change
6 hours downtime per change
Annual Downtime: 30 hours (5 changes)
Annual Cost: $63,375

While the cost of advanced screen media is higher, it results in 30 fewer hours of downtime and 16 extra days of production. Selling those 16 days adds $99,000 in revenue with only $33,375 in incremental costs. This results in an annual gain of $65,625. Additionally, the reduced downtime adds another $20,650 in revenue for a total annual benefit of $86,275.

Changing the Mindset: Price vs. True Cost

It’s time to shift the focus from purchase price to total cost when evaluating equipment and consumables for your crushing operation. When you factor in uptime and productivity, the upfront price becomes far less significant. Focusing on these two drivers can dramatically increase your profitability and keep your operation running smoothly.

What Can You Do? Share this mindset with your team. Educate employees and co-workers on the importance of uptime and productivity. By considering these factors in every decision related to your crushing operation, you’ll be setting yourself up for success.