The invention relates to a soil improver and a preparation method thereof, belonging to the technical field of water and soil restoration. The preparation method comprises the following steps: carrying out filter-press and airing on dredged sludge, crushing, and sieving to obtain pretreated dredged sludge; airing animal dung, crushing, and sieving to obtain pretreated animal dung; carrying out ball milling on coal ash, vermiculite, diatomite and zeolite, and sieving, so as to obtain composite mountain flour; weighing the pretreated dredged sludge, the pretreated animal dung, furfural residue,the composite mountain flour, magnesium humate and calcium humate, uniformly mixing with a glucose solution, carrying out autoclaved sterilization, so as to obtain a cultured matrix; and uniformly spraying an EM fungicide to the surface of the cultured matrix, uniformly mixing, putting the mixture into a fermentation tank, covering with a layer of plastic film, stacking for fermentation, turning the stack once every 7 days, adding deionized water, controlling the water content, and after the fermentation is finished, putting the ferment into a drying tank, drying to constant weight, transferring the ferment into a crushing machine, crushing the ferment into particles, and packaging and bagging the particles, so as to obtain the soil improver.