Note 4 - Segment Reporting

6 Months Ended

Jun. 30, 2022

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

Note 4:      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:

	Six Months Ended June 30,		Year Ended December 31,
	2022		2021
Identifiable Assets, net of accumulated depreciation
Timber	$	2,231,273	$	2,214,985
General corporate assets		14,755,470		14,840,102
Total		16,986,743		17,055,087
Capital expenditures:
Timber	$	16,462	$	18,606
Surface		565		4,063
General corporate assets		12,270		-
Total segment costs and expenses	$	29,297	$	22,669
Depreciation and depletion
Oil and gas	$	-	$	-
Timber		174		563
General corporate assets		1,190		2,027
Total	$	1,364	$	2,590

	Three Months Ended June 30,					Six Months Ended June 30,
	2022			2021		2022			2021
Revenues:
Oil and gas	$	141,714		$	99,202	$	224,142		$	149,347
Timber sales		88,637			49,414		110,379			102,941
Surface revenue		79,863			62,690		157,609			113,894
Total segment revenues		310,214			211,306		492,130			366,182
Cost and expenses:
Oil and gas costs		14,615			9,445	$	20,350		$	17,666
Timber costs		2,950			4,255		3,185			5,213
Surface costs		-					5,129			-
Total segment costs and expenses		17,565			13,700		28,664			22,879
Net income from operations:
Oil and gas		127,099			89,757	$	203,792		$	131,681
Timber		85,687			45,159		107,194			97,728
Surface		79,863			62,690		152,480			113,894
Total segment net income from operations		292,649			197,606		463,466			343,303
Unallocated other income (expense) before income taxes		(593,870	)		40,013		(761,096	)		347,309
Income (loss) before income taxes	$	(301,221	)	$	237,619	$	(297,630	)	$	690,612

There are no intersegment sales reported in the accompanying statements of operations. 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, 2021. The Company evaluates performance based on income or loss from operations before income taxes excluding any nonrecurring gains and losses. 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.