The couple run the stud and commercial farm in partnership with Mr Paterson's parents Allan and Eris Paterson.
The results were released ahead of the 2017 National Golden Fleece and Wool Expo, being held in Wanaka from June 19 to June 24.
In addition to the Royal Agricultural Society (RAS) Supreme Champion Fine Wool title, they won the Champion Merino Ram, Champion Merino Ewe, Champion Merino Hogget and Champion Halfbred titles.
Callum Paterson, of Ida Valley Station, Oturehua, won the Champion Quarterbred/Polwarth title, while Allan Small, of Goulburn, Oturehua, won the strong wool Champion Crossbred title.
The Paterson family has also had considerable success in previous Golden Fleece events, A & P shows, Central Otago Merino Breeders Clip of the Year competitions and, earlier this year, in the 2017 Otago Ballance Farm Environment Awards, winning the Massey University Innovation Award and the Waterforce Integrated Management awards.
The family was pleased with the Golden Fleece success, after entering competitions and shows to benchmark themselves against other producers in the industry.
''There are some of the really excellent operators out there,'' Mr Paterson said.
In addition to the accolades within New Zealand, the Norwegian company Devold, which manufactures outdoor and activity garments, is buying their 18.5 to 19 micron wool this year.
The predominately flat to rolling 2000ha Armidale property has been in the Paterson family for five generations.
Mr and Mrs Paterson work alongside Simon's parents in the property's management. The couple have two sons, Hugo (5) and Bede (3).
The Patersons winter about 7500 stock units (three-quarter merinos and a quarter half breeds), including more than 1000 stud animals, and they have two summer run blocks and about 160ha of irrigated area to better manage their feed requirements during the driest part of the year.
They receive about 350mm of rain annually on average.
''We are on the Maniototo irrigation scheme, which is an extremely reliable system and is fantastic,'' Mr Paterson said.
''The hardest part of our environment is managing the feed supply curve.''
In addition to buying in supplements, they have also sent sheep away three times in the past 10 years to specialist grazing company Greenfields New Zealand Pastures Ltd during particularly dry seasons.
The dry conditions mean animal health tends to be good, with few parasite problems with parasites and no foot rot issues.
Their lambing percentage last year was 127%.
Simon attributes the family's success to the solid foundation of quality genetics, making the right genetic choices - which suit their often harsh and dry environment - good management decisions and his father's expertise.
''Stock health is one of our main strengths, and the feed curve is one of our main weaknesses,'' he said.
''That is one of the toughest things we can face, as our feed supply can change so rapidly.''
They run their stud sheep under the same tough conditions as the commercial flock.
''We make sure our sheep are put under commercial pressure.
''They don't get pampered.''
Management decisions mad eon the farm meant they have doubled the number of rams sold in the past 15 years.
''We are fine tuning all the time,'' Mrs Paterson said.
-By Yvonne O'Hara