Segment Information

9 Months Ended

Sep. 30, 2023

Segment Information

Segment Information

Note 7 – Segment Information

Seaboard has six reportable segments: Pork, CT&M, Marine, Sugar and Alcohol, Power, and Turkey, each offering a specific product or service. For details on the respective products or services of each segment, see Note 13 to the consolidated financial statements included in Seaboard’s annual report for the year ended December 31, 2022. There were no significant segment updates during the first nine months of 2023.

The following tables present Seaboard’s sales disaggregated by revenue source and segment:

Net Sales:		Three Months Ended September 30, 2023
								Sugar
								and				All		Consolidated
(Millions of dollars)		Pork		CT&M		Marine		Alcohol		Power		Other		Totals
Major Products/Services Lines:
Products	$	467	$	1,249	$	—	$	35	$	—	$	3	$	1,754
Transportation		3		—		333		—		—		—		336
Energy		212		—		—		2		71		—		285
Other		9		4		—		—		—		—		13
Segment/Consolidated Totals	$	691	$	1,253	$	333	$	37	$	71	$	3	$	2,388

Net Sales:		Three Months Ended October 1, 2022
								Sugar
								and				All		Consolidated
(Millions of dollars)		Pork		CT&M		Marine		Alcohol		Power		Other		Totals
Major Products/Services Lines:
Products	$	500	$	1,598	$	—	$	30	$	—	$	4	$	2,132
Transportation		3		—		525		—		—		—		528
Energy		167		—		—		3		52		—		222
Other		8		5		—		—		—		—		13
Segment/Consolidated Totals	$	678	$	1,603	$	525	$	33	$	52	$	4	$	2,895

Net Sales:		Nine Months Ended September 30, 2023
								Sugar
								and				All		Consolidated
(Millions of dollars)		Pork		CT&M		Marine		Alcohol		Power		Other		Totals
Major Products/Services Lines:
Products	$	1,329	$	3,922	$	—	$	113	$	—	$	8	$	5,372
Transportation		9		—		1,137		—		—		2		1,148
Energy		535		—		—		2		186		—		723
Other		27		10		—		—		—		—		37
Segment/Consolidated Totals	$	1,900	$	3,932	$	1,137	$	115	$	186	$	10	$	7,280

Net Sales:		Nine Months Ended October 1, 2022
								Sugar
								and				All		Consolidated
(Millions of dollars)		Pork		CT&M		Marine		Alcohol		Power		Other		Totals
Major Products/Services Lines:
Products	$	1,504	$	4,872	$	—	$	85	$	—	$	12	$	6,473
Transportation		8		—		1,514		—		—		1		1,523
Energy		428		—		—		3		117		—		548
Other		21		12		—		—		—		—		33
Segment/Consolidated Totals	$	1,961	$	4,884	$	1,514	$	88	$	117	$	13	$	8,577

The following tables present Seaboard’s operating income (loss) and income (loss) from affiliates by segment. Operating income (loss) for segment reporting is prepared on the same basis as that used for consolidated operating income. Operating income (loss), along with income or loss from affiliates for the Pork, CT&M and Turkey segments, is used as the measure of evaluating segment performance because management does not consider interest, other investment income (loss) and income tax benefit (expense) on a segment basis. Administrative services provided by the corporate office are allocated to the individual segments and represent corporate services rendered to and costs incurred for each specific segment, with no allocation to individual segments of general corporate management oversight costs.

Operating Income (Loss):	Three Months Ended				Nine Months Ended
	September 30,		October 1,		September 30,		October 1,
(Millions of dollars)	2023		2022		2023		2022
Pork	$	(34)	$	(51)	$	(350)	$	(23)
CT&M		33		49		93		91
Marine		40		155		196		423
Sugar and Alcohol		7		1		16		3
Power		27		7		59		8
All Other		—		—		1		1
Segment Totals		73		161		15		503
Corporate		(6)		(6)		(15)		(10)
Consolidated Totals	$	67	$	155	$	—	$	493

Income (Loss) from Affiliates:	Three Months Ended				Nine Months Ended
	September 30,		October 1,		September 30,		October 1,
(Millions of dollars)	2023		2022		2023		2022
Pork	$	8	$	5	$	27		$	12
CT&M		(6)		10		(16)			19
Marine		1		—		2			3
Sugar and Alcohol		—		—		—			—
Power		—		—		—			—
Turkey		20		33		61			60
Segment/Consolidated Totals	$	23	$	48	$	74		$	94

The following tables present total assets by segment and the investments in and advances to affiliates by segment. Corporate assets primarily include cash and short-term investments, other current assets related to deferred compensation plans, long-term investments and other miscellaneous items. Corporate operating results represent certain operating costs not specifically allocated to individual segments and include costs related to Seaboard’s deferred compensation plans, which are offset by the effect of the mark-to-market adjustments on these investments recorded in other investment income (loss), net.

Total Assets:	September 30,		December 31,
(Millions of dollars)	2023		2022
Pork	$	2,745	$	2,698
CT&M		1,600		1,915
Marine		778		882
Sugar and Alcohol		170		165
Power		358		342
Turkey		358		350
All Other		4		6
Segment Totals		6,013		6,358
Corporate		1,583		1,544
Consolidated Totals	$	7,596	$	7,902

Investments in and Advances to Affiliates:	September 30,		December 31,
(Millions of dollars)	2023		2022
Pork	$	161	$	152
CT&M		181		210
Marine		37		36
Sugar and Alcohol		2		2
Power		3		3
Turkey		358		350
Segment/Consolidated Totals	$	742	$	753

The Turkey segment, accounted for using the equity method, represents Seaboard’s investment in Butterball, LLC (“Butterball”). As of September 30, 2023 and December 31, 2022, Butterball had total assets of $1.3 billion and $1.1 billion, respectively. Butterball’s summarized income statement information was as follows:

	Three Months Ended				Nine Months Ended
	September 30,		October 1,		September 30,		October 1,
(Millions of dollars)	2023		2022		2023		2022
Net sales	$	534	$	552	$	1,400	$	1,368
Operating income	$	43	$	65	$	129	$	105
Net earnings	$	38	$	63	$	117	$	114