Segment Information (Tables)

9 Months Ended

Sep. 30, 2020

Reconciliation of Sales and revenues

For the three and nine months ended September 30, 2020 and 2019, sales and revenues by geographic region reconciled to consolidated sales and revenues were as follows:


Sales and Revenues by Geographic Region
(Millions of dollars)	North America		Latin America		EAME		Asia/ Pacific		External Sales and Revenues			Intersegment Sales and Revenues		Total Sales and Revenues
Three Months Ended September 30, 2020
Construction Industries	$	1,781	$	230	$	796	$	1,241	$	4,048		$	8	$	4,056
Resource Industries	487		269		384		564		1,704			112		1,816
Energy & Transportation	1,584		221		1,113		557		3,475			686		4,161
Financial Products Segment	448		63		100		113		724		1	—		724
Total sales and revenues from reportable segments	4,300		783		2,393		2,475		9,951			806		10,757
All Other operating segment	10		1		1		13		25			81		106
Corporate Items and Eliminations	(59)		(12)		(10)		(14)		(95)			(887)		(982)
Total Sales and Revenues	$	4,251	$	772	$	2,384	$	2,474	$	9,881		$	—	$	9,881

Three Months Ended September 30, 2019
Construction Industries	$	2,728	$	413	$	1,048	$	1,086	$	5,275		$	14	$	5,289
Resource Industries	789		349		396		645		2,179			131		2,310
Energy & Transportation	2,129		378		1,224		831		4,562			890		5,452
Financial Products Segment	560		79		102		124		865		1	—		865
Total sales and revenues from reportable segments	6,206		1,219		2,770		2,686		12,881			1,035		13,916
All Other operating segment	1		6		8		12		27			84		111
Corporate Items and Eliminations	(105)		(14)		(15)		(16)		(150)			(1,119)		(1,269)
Total Sales and Revenues	$	6,102	$	1,211	$	2,763	$	2,682	$	12,758		$	—	$	12,758

1 Includes revenues from Construction Industries, Resource Industries, Energy & Transportation and All Other operating segment of $81 million and $131 million in the three months ended September 30, 2020 and 2019, respectively.


Sales and Revenues by Geographic Region
(Millions of dollars)	North America		Latin America		EAME		Asia/ Pacific		External Sales and Revenues			Intersegment Sales and Revenues		Total Sales and Revenues
Nine Months Ended September 30, 2020
Construction Industries	$	5,470	$	707	$	2,618	$	3,597	$	12,392		$	18	$	12,410
Resource Industries	1,690		859		1,158		1,686		5,393			333		5,726
Energy & Transportation	5,138		667		3,095		1,734		10,634			2,025		12,659
Financial Products Segment	1,466		193		298		344		2,301		1	—		2,301
Total sales and revenues from reportable segments	13,764		2,426		7,169		7,361		30,720			2,376		33,096
All Other operating segment	22		4		17		38		81			249		330
Corporate Items and Eliminations	(169)		(36)		(32)		(51)		(288)			(2,625)		(2,913)
Total Sales and Revenues	$	13,617	$	2,394	$	7,154	$	7,348	$	30,513		$	—	$	30,513

Nine Months Ended September 30, 2019
Construction Industries	$	9,206	$	1,124	$	3,162	$	4,081	$	17,573		$	56	$	17,629
Resource Industries	2,798		1,220		1,310		2,209		7,537			344		7,881
Energy & Transportation	6,577		1,035		3,416		2,291		13,319			2,829		16,148
Financial Products Segment	1,681		225		306		376		2,588		1	—		2,588
Total sales and revenues from reportable segments	20,262		3,604		8,194		8,957		41,017			3,229		44,246
All Other operating segment	23		7		23		45		98			259		357
Corporate Items and Eliminations	(326)		(37)		(41)		(55)		(459)			(3,488)		(3,947)
Total Sales and Revenues	$	19,959	$	3,574	$	8,176	$	8,947	$	40,656		$	—	$	40,656

1 Includes revenues from Construction Industries, Resource Industries, Energy & Transportation and All Other operating segment of $274 million and $398 million in the nine months ended September 30, 2020 and 2019, respectively.

For the three and nine months ended September 30, 2020 and 2019, Energy & Transportation segment sales by end user application were as follows:


Energy & Transportation External Sales
	Three Months Ended September 30
(Millions of dollars)	2020		2019
Oil and gas	$	734	$	1,246
Power generation	1,034		1,123
Industrial	730		980
Transportation	977		1,213
Energy & Transportation External Sales	$	3,475	$	4,562


	Nine Months Ended September 30
	2020		2019
Oil and gas	$	2,622	$	3,682
Power generation	2,783		3,180
Industrial	2,209		2,841
Transportation	3,020		3,616
Energy & Transportation External Sales	$	10,634	$	13,319

Reconciliation of Consolidated profit before taxes:


Reconciliation of Consolidated profit before taxes:

(Millions of dollars)	Three Months Ended September 30				Nine Months Ended September 30
	2020		2019		2020		2019
Profit from reportable segments:
Construction Industries	$	585	$	940	$	1,743	$	3,272
Resource Industries	167		311		623		1,368
Energy & Transportation	492		1,021		1,718		2,745
Financial Products Segment	142		218		395		622
Total profit from reportable segments	1,386		2,490		4,479		8,007
Profit from All Other operating segment	27		(21)		31		15
Cost centers	9		(9)		18		32
Corporate costs	(122)		(167)		(409)		(492)
Timing	(39)		6		(90)		(118)
Restructuring costs	(87)		(20)		(211)		(162)
Methodology differences:
Inventory/cost of sales	(7)		25		(25)		24
Postretirement benefit expense	(32)		19		253		4
Stock-based compensation expense	(55)		(57)		(169)		(170)
Financing costs	(125)		(58)		(324)		(173)
Currency	(22)		(62)		(230)		(110)
Other income/expense methodology differences	(72)		(124)		(244)		(374)
Other methodology differences	2		(17)		(25)		(36)
Total consolidated profit before taxes	$	863	$	2,005	$	3,054	$	6,447

Reconciliation of Assets:


Reconciliation of Assets:

(Millions of dollars)	September 30, 2020		December 31, 2019
Assets from reportable segments:
Construction Industries	$	4,507	$	4,601
Resource Industries	6,188		6,505
Energy & Transportation	8,752		8,548
Financial Products Segment	34,014		35,813
Total assets from reportable segments	53,461		55,467
Assets from All Other operating segment	1,610		1,728
Items not included in segment assets:
Cash and short-term investments	8,512		7,299


Deferred income taxes	1,339		1,294
Goodwill and intangible assets	4,737		4,435
Property, plant and equipment – net and other assets	2,608		2,529
Inventory methodology differences	(2,560)		(2,426)
Liabilities included in segment assets	7,720		8,541
Other	(686)		(414)
Total assets	$	76,741	$	78,453

Reconciliation of Depreciation and amortization:


Reconciliation of Depreciation and amortization:
(Millions of dollars)
	Three Months Ended September 30				Nine Months Ended September 30
	2020		2019		2020		2019
Depreciation and amortization from reportable segments:
Construction Industries	$	61	$	73	$	183	$	220
Resource Industries	105		113		312		337
Energy & Transportation	147		157		442		464
Financial Products Segment	174		209		577		622
Total depreciation and amortization from reportable segments	487		552		1,514		1,643
Items not included in segment depreciation and amortization:
All Other operating segment	71		53		196		158
Cost centers	31		35		96		100
Other	4		5		9		32
Total depreciation and amortization	$	593	$	645	$	1,815	$	1,933

Reconciliation of Capital expenditures:


Reconciliation of Capital expenditures:
(Millions of dollars)
	Three Months Ended September 30				Nine Months Ended September 30
	2020		2019		2020		2019
Capital expenditures from reportable segments:
Construction Industries	$	37	$	48	$	85	$	117
Resource Industries	10		31		63		91
Energy & Transportation	100		150		331		366
Financial Products Segment	280		388		783		1,093
Total capital expenditures from reportable segments	427		617		1,262		1,667
Items not included in segment capital expenditures:
All Other operating segment	46		34		84		69
Cost centers	8		22		23		71
Timing	1		(21)		147		108
Other	11		(21)		(25)		(59)
Total capital expenditures	$	493	$	631	$	1,491	$	1,856