Note 6 - Segment Reporting

3 Months Ended

Mar. 31, 2019

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

Note

6

:      Segment Reporting

The Company’s operations are classified into

three

principal operating segments that are all located in the United States: oil and gas, timber and surface. The Company’s reportable business segments are strategic business units that offer income from different products. They are managed separately due to the unique aspects of each area.

The tables below present financial information for the Company’s

three

operating business segments:

	Three Months Ended
	March 31,
	2019			2018
Revenues:
Oil and gas	$	94,228		$	124,577
Timber sales		14,481			178,449
Surface revenue		44,766			43,669
Total segment revenues		153,475			346,695
Cost and expenses:
Oil and gas costs		14,524			16,656
Timber costs		4,397			20,594
Surface costs		578			6,990
Total segment costs and expenses		19,499			44,240
Income from operations:
Oil and gas		79,704			107,921
Timber		10,084			157,855
Surface		44,188			36,679
Total segment income from operations		133,976			302,455
Other income (expense) before income taxes		(18,092	)		758,448
Income before income taxes	$	115,884		$	1,060,903

	Three Months Ended		Year Ended
	March 31,		December 31,
	2019		2018
Identifiable Assets, net of accumulated depreciation
Timber	$	2,180,251	$	2,162,390
General corporate assets		13,504,904		13,439,611
Total		15,685,155		15,602,001
Capital expenditures:
Timber		17,970		45,067
Surface		-		4,900
General corporate assets		-		5,471
Total segment costs and expenses		17,970		55,438
Depreciation and depletion
Oil and gas		-		1,858
Timber		109		-
General corporate assets		507		2,027
Total	$	616	$	3,885

There are

no

intersegment sales reported in the accompanying income statements. The accounting policies of the segments are the same as those described in the summary of significant accounting policies in the Company’s Form

10

-K for the year ended

December 31, 2018.

The Company evaluates performance based on income or loss from operations before income taxes excluding any nonrecurring gains and losses on securities held available-for-sale. Income before income tax represents net revenues less costs and expenses less other income and expenses of a general corporate nature. Identifiable assets by segment are those assets used solely in the Company's operations within that segment.