Segment Information (Unaudited) (Tables)

3 Months Ended

Mar. 31, 2024

The following table presents sales and operating income by segment:


	Three Months Ended March 31
$ in millions		2024		2023
Sales
Aeronautics Systems		$	2,969	$	2,515
Defense Systems		1,412		1,376
Mission Systems		2,659		2,563
Space Systems		3,655		3,350
Intersegment eliminations		(562)		(503)
Total sales		10,133		9,301
Operating income
Aeronautics Systems		297		237
Defense Systems		177		160
Mission Systems		378		360
Space Systems		332		313
Intersegment eliminations		(80)		(68)
Total segment operating income		1,104		1,002
FAS/CAS operating adjustment		6		(21)
Unallocated corporate expense		(39)		(34)
Total operating income		$	1,071	$	947
Other (expense) income
Interest expense		(146)		(129)
Non-operating FAS pension benefit		168		132
Other, net		38		48
Earnings before income taxes		$	1,131	$	998

Revenue by Major Customers by Reporting Segments


Sales by Customer Type	Three Months Ended March 31
		2024			2023
$ in millions			$		%(3)		$		%(3)
Aeronautics Systems
U.S. government(1)			$	2,525	85	%	$	2,108	84	%
International(2)			381		13	%	331		13	%
Other customers			4		—	%	11		—	%
Intersegment sales			59		2	%	65		3	%
Aeronautics Systems sales			2,969		100	%	2,515		100	%
Defense Systems
U.S. government(1)			930		66	%	803		59	%
International(2)			262		19	%	388		28	%
Other customers			21		1	%	16		1	%
Intersegment sales			199		14	%	169		12	%
Defense Systems sales			1,412		100	%	1,376		100	%
Mission Systems
U.S. government(1)			1,912		72	%	1,935		75	%
International(2)			454		17	%	376		15	%
Other customers			16		1	%	15		1	%
Intersegment sales			277		10	%	237		9	%
Mission Systems sales			2,659		100	%	2,563		100	%
Space Systems
U.S. government(1)			3,477		95	%	3,166		95	%
International(2)			65		2	%	71		2	%
Other customers			86		2	%	81		2	%
Intersegment sales			27		1	%	32		1	%
Space Systems sales			3,655		100	%	3,350		100	%
Total
U.S. government(1)			8,844		87	%	8,012		86	%
International(2)			1,162		12	%	1,166		13	%
Other customers			127		1	%	123		1	%
Total Sales			$	10,133	100	%	$	9,301	100	%

(1) Sales to the U.S. government include sales from contracts for which we are the prime contractor, as well as those for which we are a subcontractor and the ultimate customer is the U.S. government. Each of the company’s segments derives substantial revenue from the U.S. government.

(2) International sales include sales from contracts for which we are the prime contractor, as well as those for which we are a subcontractor and the ultimate customer is an international customer. These sales include foreign military sales contracted through the U.S. government.

(3) Percentages calculated based on total segment sales.

Revenue from External Customers by Contract Type


Sales by Contract Type	Three Months Ended March 31
		2024			2023
$ in millions			$		%(1)		$		%(1)
Aeronautics Systems
Cost-type			$	1,313	45	%	$	1,231	50	%
Fixed-price			1,597		55	%	1,219		50	%
Intersegment sales			59				65
Aeronautics Systems sales			2,969				2,515
Defense Systems
Cost-type			360		30	%	423		35	%
Fixed-price			853		70	%	784		65	%
Intersegment sales			199				169
Defense Systems sales			1,412				1,376
Mission Systems
Cost-type			1,067		45	%	961		41	%
Fixed-price			1,315		55	%	1,365		59	%
Intersegment sales			277				237
Mission Systems sales			2,659				2,563
Space Systems
Cost-type			2,457		68	%	2,446		74	%
Fixed-price			1,171		32	%	872		26	%
Intersegment sales			27				32
Space Systems sales			3,655				3,350
Total
Cost-type			5,197		51	%	5,061		54	%
Fixed-price			4,936		49	%	4,240		46	%
Total Sales			$	10,133			$	9,301

(1)Percentages calculated based on external customer sales.

Revenue from External Customers by Geographic Areas


Sales by Geographic Region	Three Months Ended March 31
		2024	2023
$ in millions			$		%(2)		$		%(2)
Aeronautics Systems
United States			$	2,529	87	%	$	2,119	87	%
Asia/Pacific			149		5	%	147		6	%
Europe			225		8	%	174		7	%
All other(1)			7		—	%	10		—	%
Intersegment sales			59				65
Aeronautics Systems sales			2,969				2,515
Defense Systems
United States			951		78	%	819		67	%
Asia/Pacific			71		6	%	117		10	%
Europe			154		13	%	128		11	%
All other(1)			37		3	%	143		12	%
Intersegment sales			199				169
Defense Systems sales			1,412				1,376
Mission Systems
United States			1,928		81	%	1,950		83	%
Asia/Pacific			126		5	%	92		4	%
Europe			255		11	%	200		9	%
All other(1)			73		3	%	84		4	%
Intersegment sales			277				237
Mission Systems sales			2,659				2,563
Space Systems
United States			3,563		98	%	3,247		98	%
Asia/Pacific			13		1	%	20		1	%
Europe			42		1	%	45		1	%
All other(1)			10		—	%	6		—	%
Intersegment sales			27				32
Space Systems sales			3,655				3,350
Total
United States			8,971		88	%	8,135		87	%
Asia/Pacific			359		4	%	376		4	%
Europe			676		7	%	547		6	%
All other(1)			127		1	%	243		3	%
Total Sales			$	10,133			$	9,301

(1)All other is principally comprised of the Middle East.

(2)Percentages calculated based on external customer sales.