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Business Segments
 3 Months Ended
Mar. 31, 2020
Segment Reporting, Measurement Disclosures [Abstract]  
Business Segments BUSINESS SEGMENTS
Management’s determination of our reporting segments was made on the basis of our strategic priorities within each segment and the differences in the products and services we provide, which corresponds to the manner in which our Chairman and Chief Executive Officer, as our chief operating decision maker, reviews and evaluates operating performance to make decisions about resources to be allocated to the segment.
We report the results of operations in the following segments:
•
Subsea - designs and manufactures products and systems, performs engineering, procurement and project management, and provides services used by oil and gas companies involved in offshore exploration and production of crude oil and natural gas.
•
Technip Energies - offers extensive experience, knowledge and unique project management capabilities in Onshore and Offshore hydrocarbon infrastructure businesses; it also combines its leading engineering and construction capabilities with its technological know-how, products and services to develop new solutions that will support the world’s energy transition.
•
Surface Technologies - designs and manufactures products and systems and provides services used by oil and gas companies involved in land and shallow water exploration and production of crude oil and natural gas; designs, manufactures, and supplies technologically advanced high-pressure valves and fittings for oilfield service companies; and also provides flowback and well testing services.
Beginning in the first quarter of 2020, in anticipation of our separation transaction, we renamed our Onshore/Offshore segment to Technip Energies, which includes our Loading Systems business that was previously reported in the Surface Technologies segment and our process automation business, Cybernetix, that was previously reported in the Subsea segment. Prior year information has not been restated due to these businesses not being material.

Segment operating profit is defined as total segment revenue less segment operating expenses. Income (loss) from equity method investments is included in computing segment operating profit. The following items have been excluded in computing segment operating profit: corporate staff expense, net interest income (expense) associated with corporate debt facilities, income taxes, and other revenue and other expense, net.
Segment revenue and segment operating profit were as follows:
 
Three Months Ended
 
March 31,
(In millions)
2020
 
2019
Segment revenue
 
 
 
Subsea
$
1,253.1

 
$
1,185.3

Technip Energies
1,547.7

 
1,335.1

Surface Technologies
329.5

 
392.6

Total revenue
$
3,130.3

 
$
2,913.0

 
 
 
 
Segment operating profit (loss)
 
 
 
Subsea
$
(2,750.7
)
 
$
49.9

Technip Energies
151.2

 
155.7

Surface Technologies
(424.0
)
 
10.5

Total segment operating profit (loss)
$
(3,023.5
)
 
$
216.1

 
 
 
 
Corporate items
 
 
 
Corporate expense(a)
$
(112.2
)
 
$
(93.6
)
Net interest expense
(72.3
)
 
(88.2
)
Total corporate items
(184.5
)
 
(181.8
)
Income (loss) before income taxes(b)
$
(3,208.0
)
 
$
34.3


(a)
Corporate expense primarily includes corporate staff expenses, legal reserve, stock-based compensation expenses, other employee benefits, certain foreign exchange gains and losses, and merger transaction integration and separation expenses.
(b)
Includes amounts attributable to non-controlling interests.
Segment assets were as follows:
(In millions)
March 31,
2020
 
December 31, 2019
Segment assets
 
 
 
Subsea
$
7,510.5

 
$
10,824.2

Technip Energies
4,747.7

 
4,448.8

Surface Technologies
1,739.6

 
2,246.4

Intercompany eliminations
(26.4
)
 
(33.9
)
Total segment assets
13,971.4

 
17,485.5

Corporate (a)
5,956.2

 
6,033.3

Total assets
$
19,927.6

 
$
23,518.8

(a)
Corporate includes cash, LIFO adjustments, deferred income tax balances, property, plant and equipment not associated with a specific segment, pension assets and the fair value of derivative financial instruments.