Note 4 - Segment Reporting

6 Months Ended

Jun. 30, 2024

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,
	2024		2023
Identifiable Assets, net of accumulated depreciation
Timber	$	2,250,596	$	2,250,616
General corporate assets		16,699,854		16,562,790
Total		18,950,450		18,813,406
Capital expenditures:
Timber	$	-	$	20,737
Surface		-		-
General corporate assets		-		-
Total segment costs and expenses	$	-	$	20,737
Depreciation and depletion
Oil and gas	$	-	$	-
Timber		21		685
General corporate assets		2,130		4,261
Total	$	2,151	$	4,946

	Three Months Ended June 30,						Six Months Ended June 30,
	2024			2023			2024			2023
Revenues:
Oil and gas	$	161,148		$	101,361		$	243,648		$	150,556
Timber sales		-			10,782			2,275			12,683
Surface revenue		866,286			258,237			923,360			372,903
Total segment revenues		1,027,434			370,380			1,169,283			536,142
Cost and expenses:
Oil and gas costs		12,867			10,291		$	23,233		$	19,229
Timber costs		4,838			2,706			8,821			3,963
Surface costs		-			225			-			225
Total segment costs and expenses		17,705			13,222			32,054			23,417
Net income (loss) from operations:
Oil and gas		148,281			91,070		$	220,415		$	131,327
Timber		(4,838	)		8,076			(6,546	)		8,720
Surface		866,286			258,012			923,360			372,678
Total segment net income from operations		1,009,729			357,158			1,137,229			512,725
Unallocated other expense before income taxes		(298,973	)		(219,521	)		(812,861	)		(691,938	)
Income (loss) before income taxes	$	710,756		$	137,637		$	324,368		$	(179,213	)

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, 2023. 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.