SEGMENT INFORMATION
We have four operating segments: Aerospace, Marine Systems, Combat Systems and Technologies. We organize our segments in accordance with the nature of products and services offered. Our chief operating decision maker is our Chairman and Chief Executive Officer (CEO).
We measure each segment’s profitability based on operating earnings. Segment operating earnings exclude net interest and other income and expense items. The Chairman and CEO uses segment operating earnings as an input when assessing segment performance and when making decisions to allocate financial resources between segments. The Chairman and CEO uses operating earnings in assessing segment performance by comparing operating earnings to prior period results and plan-to-actual variances. The Chairman and CEO also uses forecasted expense information for each segment to manage operations.
Summary financial information for each of our segments follows:
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| Revenue (a) | | Other Segment Items (b) | | Operating Earnings |
| Year Ended December 31 | 2025 | 2024 | 2023 | | 2025 | 2024 | 2023 | | 2025 | 2024 | 2023 |
| Aerospace | $ | 13,110 | | $ | 11,249 | | $ | 8,621 | | | $ | (11,364) | | $ | (9,785) | | $ | (7,439) | | | $ | 1,746 | | $ | 1,464 | | $ | 1,182 | |
| Marine Systems | 16,723 | | 14,343 | | 12,461 | | | (15,546) | | (13,408) | | (11,587) | | | 1,177 | | 935 | | 874 | |
| Combat Systems | 9,246 | | 8,997 | | 8,268 | | | (7,915) | | (7,721) | | (7,121) | | | 1,331 | | 1,276 | | 1,147 | |
| Technologies | 13,471 | | 13,127 | | 12,922 | | | (12,194) | | (11,867) | | (11,720) | | | 1,277 | | 1,260 | | 1,202 | |
| Corporate (c) | — | | — | | — | | | — | | — | | — | | | (175) | | (139) | | (160) | |
| Total | $ | 52,550 | | $ | 47,716 | | $ | 42,272 | | | $ | (47,019) | | $ | (42,781) | | $ | (37,867) | | | $ | 5,356 | | $ | 4,796 | | $ | 4,245 | |
(a)See Note B for additional revenue information by segment.
(b)Other segment items consist of material and labor costs, depreciation and amortization, and other overhead and general and administrative expenses.
(c)Corporate operating costs consisted of equity-based compensation expense and other miscellaneous expenses.
The following is additional summary financial information for each of our segments:
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| Capital Expenditures | | Depreciation and Amortization* | | Identifiable Assets |
| Year Ended December 31 | 2025 | 2024 | 2023 | | 2025 | 2024 | 2023 | | 2025 | 2024 | 2023 |
| Aerospace | $ | 336 | | $ | 235 | | $ | 200 | | | $ | 254 | | $ | 220 | | $ | 200 | | | $ | 16,815 | | $ | 16,192 | | $ | 15,099 | |
| Marine Systems | 517 | | 424 | | 511 | | | 270 | | 243 | | 217 | | | 7,313 | | 7,019 | | 6,209 | |
| Combat Systems | 144 | | 135 | | 107 | | | 112 | | 117 | | 108 | | | 10,111 | | 10,275 | | 10,479 | |
| Technologies | 160 | | 119 | | 85 | | | 276 | | 294 | | 327 | | | 19,252 | | 19,286 | | 19,534 | |
| Corporate | 4 | | 3 | | 1 | | | 12 | | 12 | | 11 | | | 3,758 | | 3,108 | | 3,489 | |
| Total | $ | 1,161 | | $ | 916 | | $ | 904 | | | $ | 924 | | $ | 886 | | $ | 863 | | | $ | 57,249 | | $ | 55,880 | | $ | 54,810 | |
* Depreciation and amortization by reportable segment is included within the other segment items expense caption.
Our revenue from our operations located outside the U.S. was $5.4 billion in 2025, $5 billion in 2024 and $4.3 billion in 2023, and associated earnings from continuing operations before income taxes were $904 in 2025, $732 in 2024 and $631 in 2023. The long-lived assets associated with these operations were less than 5% of our total long-lived assets for the past three years.
The following table presents our revenue by geographic area based on the location of our customers:
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| Year Ended December 31 | 2025 | | 2024 | | 2023 |
| North America: | | | | | |
| United States | $ | 43,314 | | | $ | 39,759 | | | $ | 36,160 | |
| Other | 1,248 | | | 1,278 | | | 961 | |
| Total North America | 44,562 | | | 41,037 | | | 37,121 | |
| Europe | 3,540 | | | 3,161 | | | 2,765 | |
| Asia/Pacific | 2,001 | | | 1,546 | | | 1,086 | |
| Africa/Middle East | 2,015 | | | 1,680 | | | 1,147 | |
| South America | 432 | | | 292 | | | 153 | |
| Total revenue | $ | 52,550 | | | $ | 47,716 | | | $ | 42,272 | |
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.