Information on Business Segments (Tables)

12 Months Ended

Dec. 31, 2023

Schedule Of Financial Information For Each Business Segment

Sales and operating profit for each of our business segments were as follows (in millions):


	2023		2022		2021
Net sales
Aeronautics	$	27,474	$	26,987	$	26,748
Missiles and Fire Control	11,253		11,317		11,693
Rotary and Mission Systems	16,239		16,148		16,789
Space	12,605		11,532		11,814
Total net sales	$	67,571	$	65,984	$	67,044
Operating profit
Aeronautics	$	2,825	$	2,867	$	2,800
Missiles and Fire Control	1,541		1,637		1,650
Rotary and Mission Systems	1,865		1,906		2,030
Space	1,158		1,057		1,184
Total business segment operating profit	7,389		7,467		7,664
Unallocated items
FAS/CAS pension operating adjustment	1,660		1,709		1,960
Intangible asset amortization expense	(247)		(248)		(285)
Severance and other charges (a)	(92)		(100)		(36)
Other, net	(203)		(480)		(180)
Total unallocated, net	1,118		881		1,459
Total consolidated operating profit	$	8,507	$	8,348	$	9,123

(a)Severance and other charges include severance and other charges totaling $92 million ($73 million, or $0.30 per share, after-tax) associated with severance costs for the planned reduction of certain positions across the corporation and asset impairment charges in 2023; $100 million ($79 million, or $0.31 per share, after-tax) charge related to actions at our RMS business segment, which include severance costs for reduction of positions and asset impairment charges in 2022; and $36 million ($28 million, or $0.10 per share, after-tax) charge associated with plans to close and consolidate certain facilities and reduce total workforce within our RMS business segment in 2021.

Sales between our business segments are excluded from our consolidated and segment operating results as these activities are eliminated in consolidation. Intersegment sales for each of our business segments were as follows (in millions):


	2023		2022		2021
Intersegment sales
Aeronautics	$	303	$	249	$	219
Missiles and Fire Control	688		627		618
Rotary and Mission Systems	2,125		1,930		1,895
Space	358		381		360
Total intersegment sales	$	3,474	$	3,187	$	3,092

Net sales by products and services, contract type, customer category and geographic region for each of our business segments were as follows (in millions):


	2023
	Aeronautics		MFC		RMS		Space		Total
Net sales
Products	$	22,758	$	9,919	$	12,913	$	10,675	$	56,265
Services	4,716		1,334		3,326		1,930		11,306
Total net sales	$	27,474	$	11,253	$	16,239	$	12,605	$	67,571
Net sales by contract type
Fixed-price	$	18,664	$	7,661	$	10,403	$	3,276	$	40,004
Cost-reimbursable	8,810		3,592		5,836		9,329		27,567
Total net sales	$	27,474	$	11,253	$	16,239	$	12,605	$	67,571
Net sales by customer
U.S. Government	$	18,311	$	7,769	$	10,961	$	12,382	$	49,423
International (a)	9,034		3,473		4,983		154		17,644
U.S. commercial and other	129		11		295		69		504
Total net sales	$	27,474	$	11,253	$	16,239	$	12,605	$	67,571
Net sales by geographic region
United States	$	18,440	$	7,780	$	11,256	$	12,451	$	49,927
Europe	4,898		786		1,265		62		7,011
Asia Pacific	2,800		687		2,275		89		5,851
Middle East	987		1,844		721		2		3,554
Other	349		156		722		1		1,228
Total net sales	$	27,474	$	11,253	$	16,239	$	12,605	$	67,571


	2022
	Aeronautics		MFC		RMS		Space		Total
Net sales
Products	$	22,870	$	10,048	$	12,811	$	9,737	$	55,466
Services	4,117		1,269		3,337		1,795		10,518
Total net sales	$	26,987	$	11,317	$	16,148	$	11,532	$	65,984
Net sales by contract type
Fixed-price	$	19,431	$	8,014	$	10,460	$	3,064	$	40,969
Cost-reimbursable	7,556		3,303		5,688		8,468		25,015
Total net sales	$	26,987	$	11,317	$	16,148	$	11,532	$	65,984
Net sales by customer
U.S. Government	$	18,026	$	7,814	$	11,331	$	11,344	$	48,515
International (a)	8,811		3,496		4,470		154		16,931
U.S. commercial and other	150		7		347		34		538
Total net sales	$	26,987	$	11,317	$	16,148	$	11,532	$	65,984
Net sales by geographic region
United States	$	18,176	$	7,821	$	11,678	$	11,378	$	49,053
Europe	4,303		1,020		857		87		6,267
Asia Pacific	2,970		461		1,994		54		5,479
Middle East	1,103		1,858		823		12		3,796
Other	435		157		796		1		1,389
Total net sales	$	26,987	$	11,317	$	16,148	$	11,532	$	65,984


	2021
	Aeronautics		MFC		RMS		Space		Total
Net sales
Products	$	22,631	$	10,269	$	13,483	$	10,052	$	56,435
Services	4,117		1,424		3,306		1,762		10,609
Total net sales	$	26,748	$	11,693	$	16,789	$	11,814	$	67,044
Net sales by contract type
Fixed-price	$	19,734	$	8,079	$	11,125	$	2,671	$	41,609
Cost-reimbursable	7,014		3,614		5,664		9,143		25,435
Total net sales	$	26,748	$	11,693	$	16,789	$	11,814	$	67,044
Net sales by customer
U.S. Government	$	17,262	$	8,341	$	11,736	$	10,811	$	48,150
International (a)	9,403		3,346		4,719		971		18,439
U.S. commercial and other	83		6		334		32		455
Total net sales	$	26,748	$	11,693	$	16,789	$	11,814	$	67,044
Net sales by geographic region
United States	$	17,345	$	8,347	$	12,070	$	10,843	$	48,605
Europe	3,973		910		909		968		6,760
Asia Pacific	3,644		292		2,178		(6)		6,108
Middle East	1,351		2,066		827		9		4,253
Other	435		78		805		—		1,318
Total net sales	$	26,748	$	11,693	$	16,789	$	11,814	$	67,044

(a)International sales include FMS contracted through the U.S. Government, direct commercial sales with international governments and commercial and other sales to international customers.


	2023		2022		2021
Capital expenditures
Aeronautics	$	535	$	461	$	477
Missiles and Fire Control	252		253		304
Rotary and Mission Systems	220		266		279
Space	455		391		305
Total business segment capital expenditures	1,462		1,371		1,365
Corporate activities	229		299		157
Total capital expenditures	$	1,691	$	1,670	$	1,522
PP&E depreciation and software amortization
Aeronautics	$	416	$	383	$	348
Missiles and Fire Control	175		160		153
Rotary and Mission Systems	220		245		250
Space	221		201		205
Total business segment depreciation and amortization	1,032		989		956
Corporate activities (a)	398		415		408
Total depreciation and amortization	$	1,430	$	1,404	$	1,364

(a)Includes amortization of purchased intangibles.

Total assets for each of our business segments were as follows (in millions):


	2023		2022
Assets
Aeronautics	$	13,167	$	12,055
Missiles and Fire Control	5,703		5,788
Rotary and Mission Systems	17,521		17,988
Space	6,560		6,351
Total business segment assets	42,951		42,182
Corporate assets (a)	9,505		10,698
Total assets	$	52,456	$	52,880

(a)Corporate assets primarily include cash and cash equivalents, deferred income taxes, assets for the portion of environmental costs that are probable of future recovery, property, plant and equipment used in our corporate operations, assets held in a trust for deferred compensation plans, and other marketable investments.