how to read sic codes
each digit within a sic code has a meaning to read a sic code each set of digits should be independently evaluated to determine the overall meaning of the code the first two numbers of a sic code identifies the business s major sector group though the number of major groups fluctuates there are typically less than 100 major groups these major groups all fit into one of the 11 major divisions and these first two digits define what industry the company is in the third digit is the second independent feature that describes a company this third digit further refines the business classification and is often referred to as the business industry group for example if code 23xx refers to apparel companies the last digit of a sic code is the most specific identifier of a company factoring in this last digit there are now over 1 000 combinations for example sic code 2050 emphasis on the final digit represents bakery products while sic code 2052 represents cookie cracker manufacturers this fourth digit further refines the business classification into a very specific business category real world examples of sic codesapple inc s sec filings show its sic code as 3571 electronic computers the first two digits 35 identify its major industry group as industrial and commercial machinery and computer equipment while the third digit 7 narrows its industry group down to computer and office equipment and the final digit 1 classifies it as electronic computers note that if the first two digits are between 20 and 39 these companies are classified in the manufacturing division or segment of the economy despite the sic codes having been replaced by naics you can still search for them below is an image of the standard industrial codes along with their meaning for the banking industry taken from the sec s website 4