XML 33 R20.htm IDEA: XBRL DOCUMENT v3.21.1
Segment Reporting
 6 Months Ended
Apr. 30, 2021
Segment Reporting [Abstract]  
Segment Reporting Segment Reporting
The following is a description of our four reporting segments:
•Our Truck segment manufactures and distributes Class 4 through 8 trucks and buses under the International and IC Bus ("IC") brands, and produces engines under our proprietary brand name. This segment sells its products in the U.S., Canada, and Mexico markets, as well as through our export truck business.
•Our Parts segment provides customers with proprietary products needed to support the International commercial truck, IC Bus, proprietary engine lines, and export parts business, as well as our other product lines. Our Parts segment also provides a wide selection of other standard truck, trailer, and engine aftermarket parts. Also included in the Parts segment are the operating results of BDP, which manages the sourcing, merchandising, and distribution of certain service parts we sell to Ford in North America.
•Our Global Operations segment primarily consists of Brazil engine operations which produce diesel engines under contract manufacturing arrangements, as well as under the MWM brand, for sale to original equipment manufacturers (OEMs) in South America.
•Our Financial Services segment provides retail, wholesale, and lease financing of products sold by the Truck and Parts segments and their dealers within the U.S. and Mexico, as well as financing for wholesale accounts and selected retail accounts receivable. This segment also facilitates financing relationships in the U.S. and other countries to support our Manufacturing Operations.
Corporate contains those items that are not included in our four segments.
Segment Profit (Loss)
We define segment profit (loss) as net income (loss) from continuing operations attributable to NIC, excluding income tax benefit (expense). Selected financial information from our Consolidated Statements of Operations and our Consolidated Balance Sheets is as follows:
(in millions)TruckPartsGlobal Operations
Financial
Services(A)
Corporate
and
Eliminations		Total
Three Months Ended April 30, 2021
External sales and revenues, net$1,466 $523 $129 $43 $1 $2,162 
Intersegment sales and revenues19 1 9 7 (36)— 
Total sales and revenues, net$1,485 $524 $138 $50 $(35)$2,162 
Income (loss) from continuing operations attributable to NIC, net of tax$189 $135 $36 $15 $(212)$163 
Income tax expense— — — — (51)(51)
Segment profit (loss)
$189 $135 $36 $15 $(161)$214 
Depreciation and amortization$30 $1 $1 $20 $— $52 
Interest expense— — — 11 51 62 
Equity in loss of non-consolidated affiliates(3)— — — — (3)
Capital expenditures(B)
60 1 1 — 2 64 
(in millions)TruckPartsGlobal Operations
Financial
Services(A)
Corporate
and
Eliminations		Total
Three Months Ended April 30, 2020
External sales and revenues, net$1,385 $442 $47 $50 $1 $1,925 
Intersegment sales and revenues4 1 4 14 (23)— 
Total sales and revenues, net$1,389 $443 $51 $64 $(22)$1,925 
Income (loss) from continuing operations attributable to NIC, net of tax$(51)$103 $(13)$24 $(101)$(38)
Income tax expense— — — — (7)(7)
Segment profit (loss)
$(51)$103 $(13)$24 $(94)$(31)
Depreciation and amortization$29 $2 $2 $15 $1 $49 
Interest expense— — — 20 43 63 
Equity in income (loss) of non-consolidated affiliates(2)1 — — — (1)
       Capital expenditures(B)
28 — 1 — 2 31 


(in millions)TruckPartsGlobal Operations
Financial
Services(A)
Corporate
and
Eliminations		Total
Six Months Ended April 30, 2021
External sales and revenues, net$2,679 $988 $218 $88 $1 $3,974 
Intersegment sales and revenues43 3 15 13 (74)— 
Total sales and revenues, net$2,722 $991 $233 $101 $(73)$3,974 
Income (loss) from continuing operations attributable to NIC, net of tax$108 $246 $42 $27 $(342)$81 
Income tax expense— — — — (33)(33)
Segment profit (loss)
$108 $246 $42 $27 $(309)$114 
Depreciation and amortization$59 $3 $2 $38 $1 $103 
Interest expense— — — 24 102 126 
Equity in loss of non-consolidated affiliates(4)— — — — (4)
Capital expenditures(B)
129 1 1 2 4 137 
(in millions)TruckPartsGlobal Operations
Financial
Services(A)
Corporate
and
Eliminations		Total
Six Months Ended April 30, 2020
External sales and revenues, net$2,623 $934 $108 $96 $2 $3,763 
Intersegment sales and revenues8 2 11 25 (46)— 
Total sales and revenues, net$2,631 $936 $119 $121 $(44)$3,763 
Income (loss) from continuing operations attributable to NIC, net of tax$(109)$222 $(13)$41 $(215)$(74)
Income tax expense— — — — (2)(2)
Segment profit (loss)
$(109)$222 $(13)$41 $(213)$(72)
Depreciation and amortization$56 $4 $4 $32 $3 $99 
Interest expense— — — 39 89 128 
Equity in income (loss) of non-consolidated affiliates(3)1 — — — (2)
       Capital expenditures(B)
75 5 2 — 8 90 
_______________________
(A)    Total sales and revenues in the Financial Services segment include interest revenues of $26 million and $53 million for the three and six months ended April 30, 2021, respectively, and $40 million and $75 million for the three and six months ended April 30, 2020, respectively.
(B)    Exclusive of purchases of equipment leased to others.
(in millions)TruckPartsGlobal OperationsFinancial
Services		Corporate
and
Eliminations		Total
Segment assets, as of:
April 30, 2021$2,332 $629 $282 $2,493 $1,348 $7,084 
October 31, 20201,619 663 216 2,191 1,948 6,637