Segment Reporting

9 Months Ended

Sep. 30, 2020

Segment Reporting [Abstract]

Segment Reporting

12.  Segment Reporting

We report segment information based on the various industries in which our businesses operate and how we manage those businesses in accordance with our investment strategies, which may include: identifying and acquiring undervalued assets and businesses, often through the purchase of distressed securities; increasing value through management, financial or other operational changes; and managing complex legal, regulatory or financial issues, which may include bankruptcy or insolvency, environmental, zoning, permitting and licensing issues. Therefore, although many of our businesses are operated under separate local management, certain of our businesses are grouped together when they operate within a similar industry, comprising similarities in products, customers, production processes and regulatory environments, and when such businesses, when considered together, may be managed in accordance with one or more investment strategies specific to those businesses. Among other measures, we assess and measure segment operating results based on net income from continuing operations attributable to Icahn Enterprises and Icahn Enterprises Holdings. Certain terms of financings for certain of our businesses impose restrictions on the business’ ability to transfer funds to us, including restrictions on dividends, distributions, loans and other transactions.

Condensed Statements of Operations

Icahn Enterprises’ condensed statements of operations by reporting segment are presented below. Icahn Enterprises Holdings’ condensed statements of operations are substantially the same, with immaterial differences relating to our Holding Company’s interest expense.

	Three Months Ended September 30, 2020
	Investment		Energy		Automotive		Food Packaging		Metals		Real Estate		Home Fashion		Mining		Holding Company		Consolidated
	(in millions)
Revenues:
Net sales	$	—	$	1,005	$	513	$	105	$	83	$	5	$	53	$	—	$	—	$	1,764
Other revenues from operations		—		—		147		—		—		16		—		—		—		163
Net loss from investment activities		(1,166)		(68)		—		—		—		—		—		—		(25)		(1,259)
Interest and dividend income		38		3		—		—		—		1		—		—		4		46
(Loss) gain on disposition of assets, net		—		—		(1)		—		1		7		—		—		—		7
Other (loss) income, net		(2)		3		(1)		—		1		—		—		—		—		1
		(1,130)		943		658		105		85		29		53		—		(21)		722
Expenses:
Cost of goods sold		—		1,040		351		84		78		4		42		—		—		1,599
Other expenses from operations		—		—		115		—		—		12		—		—		—		127
Selling, general and administrative		2		27		223		13		3		5		10		—		6		289
Restructuring, net		—		—		1		—		—		—		—		—		—		1
Impairment		—		—		—		—		1		—		—		—		—		1
Interest expense		51		31		2		3		—		—		—		—		84		171
		53		1,098		692		100		82		21		52		—		90		2,188
(Loss) income from continuing operations before income tax benefit (expense)		(1,183)		(155)		(34)		5		3		8		1		—		(111)		(1,466)
Income tax benefit (expense)		—		35		8		(1)		—		—		—		—		24		66
Net (loss) income from continuing operations		(1,183)		(120)		(26)		4		3		8		1		—		(87)		(1,400)
Less: net (loss) income from continuing operations attributable to non-controlling interests		(640)		(47)		—		1		—		—		—		—		—		(686)
Net (loss) income from continuing operations attributable to Icahn Enterprises	$	(543)	$	(73)	$	(26)	$	3	$	3	$	8	$	1	$	—	$	(87)	$	(714)
Supplemental information:
Capital expenditures	$	—	$	24	$	9	$	4	$	1	$	1	$	1	$	—	$	—	$	40
Depreciation and amortization	$	—	$	86	$	24	$	6	$	4	$	4	$	2	$	—	$	—	$	126

	Three Months Ended September 30, 2019
	Investment		Energy		Automotive		Food Packaging		Metals		Real Estate		Home Fashion		Mining		Holding Company		Consolidated
	(in millions)
Revenues:
Net sales	$	—	$	1,622	$	596	$	98	$	82	$	6	$	51	$	29	$	—	$	2,484
Other revenues from operations		—		—		148		—		—		22		—		—		—		170
Net (loss) gain from investment activities		(699)		—		—		—		—		—		—		—		42		(657)
Interest and dividend income		50		1		—		—		—		1		—		—		17		69
(Loss) gain on disposition of assets, net		—		(3)		—		—		—		—		—		252		—		249
Other income, net		—		5		5		(6)		—		—		—		(1)		2		5
		(649)		1,625		749		92		82		29		51		280		61		2,320
Expenses:
Cost of goods sold		—		1,440		409		80		84		5		43		8		—		2,069
Other expenses from operations		—		—		125		—		—		16		—		—		—		141
Selling, general and administrative		5		36		271		15		3		4		12		2		4		352
Restructuring, net		—		—		1		2		1		—		—		—		—		4
Impairment		—		—		—		—		—		—		—		—		—		—
Interest expense		27		27		5		3		1		—		1		1		88		153
		32		1,503		811		100		89		25		56		11		92		2,719
(Loss) income from continuing operations before income tax (expense) benefit		(681)		122		(62)		(8)		(7)		4		(5)		269		(31)		(399)
Income tax (expense) benefit		—		(30)		14		(4)		—		—		—		1		45		26
Net (loss) income from continuing operations		(681)		92		(48)		(12)		(7)		4		(5)		270		14		(373)
Less: net (loss) income from continuing operations attributable to non-controlling interests		(339)		13		—		(2)		—		—		—		4		—		(324)
Net (loss) income from continuing operations attributable to Icahn Enterprises	$	(342)	$	79	$	(48)	$	(10)	$	(7)	$	4	$	(5)	$	266	$	14	$	(49)
Supplemental information:
Capital expenditures	$	—	$	30	$	20	$	2	$	3	$	2	$	2	$	4	$	—	$	63
Depreciation and amortization	$	—	$	88	$	25	$	5	$	5	$	4	$	2	$	—	$	—	$	129

	Nine Months Ended September 30, 2020
	Investment		Energy		Automotive		Food Packaging		Metals		Real Estate		Home Fashion		Mining		Holding Company		Consolidated
	(in millions)
Revenues:
Net sales	$	—	$	2,811	$	1,468	$	306	$	203	$	22	$	140	$	—	$	—	$	4,950
Other revenues from operations		—		—		414		—		—		46		—		—		—		460
Net loss from investment activities		(1,893)		(20)		—		—		—		—		—		—		(239)		(2,152)
Interest and dividend income		107		10		—		—		—		1		—		—		17		135
(Loss) gain on disposition of assets, net		—		(2)		(1)		—		1		7		—		—		—		5
Other (loss) income, net		(7)		(5)		(6)		(9)		1		—		3		—		(4)		(27)
		(1,793)		2,794		1,875		297		205		76		143		—		(226)		3,371
Expenses:
Cost of goods sold		—		2,934		1,036		243		202		17		111		—		—		4,543
Other expenses from operations		—		—		339		—		—		30		—		—		—		369
Selling, general and administrative		(1)		88		671		38		11		31		30		—		20		888
Restructuring, net		—		—		8		—		—		—		—		—		—		8
Impairment		—		—		—		—		1		2		3		—		—		6
Interest expense		145		93		9		10		1		—		1		—		258		517
		144		3,115		2,063		291		215		80		145		—		278		6,331
(Loss) income from continuing operations before income tax benefit (expense)		(1,937)		(321)		(188)		6		(10)		(4)		(2)		—		(504)		(2,960)
Income tax benefit (expense)		—		85		39		(3)		—		—		—		—		(3)		118
Net (loss) income from continuing operations		(1,937)		(236)		(149)		3		(10)		(4)		(2)		—		(507)		(2,842)
Less: net loss from continuing operations attributable to non-controlling interests		(947)		(96)		—		—		—		—		—		—		—		(1,043)
Net (loss) income from continuing operations attributable to Icahn Enterprises	$	(990)	$	(140)	$	(149)	$	3	$	(10)	$	(4)	$	(2)	$	—	$	(507)	$	(1,799)
Supplemental information:
Capital expenditures	$	—	$	101	$	25	$	10	$	3	$	10	$	4	$	—	$	2	$	155
Depreciation and amortization	$	—	$	256	$	72	$	19	$	13	$	13	$	6	$	—	$	—	$	379

	Nine Months Ended September 30, 2019
	Investment		Energy		Automotive		Food Packaging		Metals		Real Estate		Home Fashion		Mining		Holding Company		Consolidated
	(in millions)
Revenues:
Net sales	$	—	$	4,794	$	1,736	$	290	$	270	$	17	$	134	$	130	$	—	$	7,371
Other revenues from operations		—		—		445		—		—		59		—		—		—		504
Net loss from investment activities		(1,619)		—		—		—		—		—		—		—		(349)		(1,968)
Interest and dividend income		132		3		—		—		—		1		—		1		55		192
(Loss) gain on disposition of assets, net		—		5		(2)		—		1		—		—		252		—		256
Other (loss) income, net		(1)		10		12		(8)		—		2		—		(1)		2		16
		(1,488)		4,812		2,191		282		271		79		134		382		(292)		6,371
Expenses:
Cost of goods sold		—		4,229		1,190		230		269		14		115		51		—		6,098
Other expenses from operations		—		—		368		—		—		41		—		—		—		409
Selling, general and administrative		10		107		779		44		11		16		31		15		14		1,027
Restructuring, net		—		—		3		9		3		—		—		—		—		15
Impairment		—		—		—		1		—		—		—		—		—		1
Interest expense		66		80		15		12		1		—		1		4		264		443
		76		4,416		2,355		296		284		71		147		70		278		7,993
(Loss) income from continuing operations before income tax (expense) benefit		(1,564)		396		(164)		(14)		(13)		8		(13)		312		(570)		(1,622)
Income tax (expense) benefit		—		(98)		36		(2)		—		1		—		(1)		76		12
Net (loss) income from continuing operations		(1,564)		298		(128)		(16)		(13)		9		(13)		311		(494)		(1,610)
Less: net (loss) income from continuing operations attributable to non-controlling interests		(779)		77		—		(3)		—		—		—		12		—		(693)
Net (loss) income from continuing operations attributable to Icahn Enterprises	$	(785)	$	221	$	(128)	$	(13)	$	(13)	$	9	$	(13)	$	299	$	(494)	$	(917)
Supplemental information:
Capital expenditures	$	—	$	85	$	42	$	12	$	20	$	18	$	4	$	14	$	—	$	195
Depreciation and amortization	$	—	$	265	$	73	$	19	$	14	$	13	$	5	$	—	$	—	$	389

Disaggregation of Revenue

In addition to the condensed statements of operations by reporting segment above, we provide additional disaggregated revenue information for our Energy and Automotive segments below.

Energy

Disaggregated revenue for our Energy segment net sales is presented below:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2020		2019		2020		2019
	(in millions)
Petroleum products	$	926	$	1,533	$	2,551	$	4,476
Nitrogen fertilizer products		79		89		260		318
	$	1,005	$	1,622	$	2,811	$	4,794

Automotive

Disaggregated revenue for our Automotive segment net sales and other revenues from operations is presented below:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2020		2019		2020		2019
	(in millions)
Automotive services	$	327	$	356	$	913	$	1,028
Aftermarket parts sales		333		388		969		1,153
	$	660	$	744	$	1,882	$	2,181

Condensed Balance Sheets

Icahn Enterprises’ condensed balance sheets by reporting segment are presented below. Icahn Enterprises Holdings’ condensed balance sheets are substantially the same, with immaterial differences relating to our Holding Company’s debt and equity attributable to Icahn Enterprises Holdings.

	September 30, 2020
	Investment		Energy		Automotive		Food Packaging		Metals		Real Estate		Home Fashion		Holding Company		Consolidated
	(in millions)
ASSETS
Cash and cash equivalents	$	13	$	672	$	55	$	12	$	2	$	18	$	3	$	1,087	$	1,862
Cash held at consolidated affiliated partnerships and restricted cash		2,650		7		—		1		2		9		5		13		2,687
Investments		6,177		199		60		—		—		15		—		459		6,910
Accounts receivable, net		—		133		108		95		54		13		40		—		443
Inventories, net		—		266		1,068		92		28		—		82		—		1,536
Property, plant and equipment, net		—		2,785		873		155		111		300		66		7		4,297
Goodwill and intangible assets, net		—		243		379		30		10		2		20		—		684
Other assets		3,127		332		617		121		34		133		19		22		4,405
Total assets	$	11,967	$	4,637	$	3,160	$	506	$	241	$	490	$	235	$	1,588	$	22,824
LIABILITIES AND EQUITY
Accounts payable, accrued expenses and other liabilities	$	2,158	$	1,009	$	1,173	$	190	$	74	$	54	$	62	$	115	$	4,835
Securities sold, not yet purchased, at fair value		970		—		—		—		—		—		—		—		970
Debt		—		1,690		333		258		23		2		28		5,812		8,146
Total liabilities		3,128		2,699		1,506		448		97		56		90		5,927		13,951
Equity attributable to Icahn Enterprises		4,058		1,091		1,654		44		144		433		145		(4,339)		3,230
Equity attributable to non-controlling interests		4,781		847		—		14		—		1		—		—		5,643
Total equity		8,839		1,938		1,654		58		144		434		145		(4,339)		8,873
Total liabilities and equity	$	11,967	$	4,637	$	3,160	$	506	$	241	$	490	$	235	$	1,588	$	22,824

	December 31, 2019
	Investment		Energy		Automotive		Food Packaging		Metals		Real Estate		Home Fashion		Holding Company		Consolidated
	(in millions)
ASSETS
Cash and cash equivalents	$	11	$	652	$	46	$	22	$	3	$	53	$	1	$	3,006	$	3,794
Cash held at consolidated affiliated partnerships and restricted cash		989		—		—		1		6		2		7		146		1,151
Investments		9,207		81		120		—		—		15		—		522		9,945
Accounts receivable, net		—		182		143		78		32		12		36		—		483
Inventories, net		—		373		1,215		100		32		—		75		—		1,795
Property, plant and equipment, net		—		2,888		916		161		122		299		68		—		4,454
Goodwill and intangible assets, net		—		258		382		30		11		8		24		—		713
Other assets		1,076		239		673		125		27		125		20		19		2,304
Total assets	$	11,283	$	4,673	$	3,495	$	517	$	233	$	514	$	231	$	3,693	$	24,639
LIABILITIES AND EQUITY
Accounts payable, accrued expenses and other liabilities	$	1,310	$	1,180	$	1,340	$	196	$	70	$	38	$	66	$	115	$	4,315
Securities sold, not yet purchased, at fair value		1,190		—		—		—		—		—		—		—		1,190
Debt		—		1,195		405		268		7		2		18		6,297		8,192
Total liabilities		2,500		2,375		1,745		464		77		40		84		6,412		13,697
Equity attributable to Icahn Enterprises		4,296		1,312		1,750		40		156		474		147		(2,719)		5,456
Equity attributable to non-controlling interests		4,487		986		—		13		—		—		—		—		5,486
Total equity		8,783		2,298		1,750		53		156		474		147		(2,719)		10,942
Total liabilities and equity	$	11,283	$	4,673	$	3,495	$	517	$	233	$	514	$	231	$	3,693	$	24,639