In the economically challenging year of 2022, costs in the dairy sector increased significantly, but the increase was also evident in farm gate milk prices. Increases in feed and energy prices, but also in other items, were the reason for the year-on-year increase in costs after deductions of CZK 9,948 per cow per year (12%) and CZK 0.87 per litre of milk sold (9%) for the group of analysed farms. Data from 126 dairy cow farms for 2022 show that the total costs after deductions were CZK 93,727 per cow per year and CZK 10.29 per litre of milk sold. However, due to the significant increase in the milk price, the farms assessed made an average profit on milk production of CZK 1.30 per litre in 2022, excluding subsidies. In the first months of 2023, farmers have to cope with a continuing trend of increasing costs, but at the same time also a gradual reduction in the milk price. This trend is expected to continue throughout the year, which may have a negative impact on the profitability of milk production in 2023.