Note 4 - Segment Reporting

3 Months Ended

Mar. 31, 2023

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:

	Three Months Ended March 31,		Year Ended December 31,
	2023		2022
Identifiable Assets, net of accumulated depreciation
Timber	$	2,247,922	$	2,230,564
General corporate assets		15,640,960		15,457,026
Total		17,888,882		17,687,590
Capital expenditures:
Timber	$	17,358	$	16,461
Surface		-		564
General corporate assets		-		12,271
Total segment costs and expenses	$	17,358	$	29,296
Depreciation and depletion
Oil and gas	$	-	$	-
Timber		-		883
General corporate assets		1,065		5,039
Total	$	1,065	$	5,922

	Three Months Ended March 31,
	2023			2022
Revenues:
Oil and gas	$	49,195		$	82,429
Timber sales		1,901			21,743
Surface revenue		114,666			77,746
Total segment revenues		165,762			181,918
Cost and expenses:
Oil and gas costs	$	8,938		$	5,736
Timber costs		1,257			234
Surface costs		-			5,129
Total segment costs and expenses		10,195			11,099
Net income (loss) from operations:
Oil and gas	$	40,257		$	76,693
Timber		644			21,509
Surface		114,666			72,617
Total segment net income from operations		155,567			170,819
Unallocated other expense before income taxes		(472,418	)		(167,226	)
Income (loss) before income taxes	$	(316,851	)	$	3,593

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, 2022. 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.