Segment Information

3 Months Ended

Dec. 31, 2018

Note 22. Segment information

Woodward serves the aerospace and industrial markets through its two reportable segments - Aerospace and Industrial. When appropriate, Woodward’s reportable segments are aggregations of Woodward’s operating segments. Woodward uses operating segment information internally to manage its business, including the assessment of operating segment performance and decisions for the allocation of resources between operating segments. Woodward L’Orange has been included in Woodward’s Industrial segment results since the Closing.

The accounting policies of the reportable segments are the same as those of the Company. Woodward evaluates segment profit or loss based on internal performance measures for each segment in a given period. In connection with that assessment, Woodward generally excludes matters such as certain charges for restructuring, interest income and expense, certain gains and losses from asset dispositions, or other non-recurring and/or non-operationally related expenses.

A summary of consolidated net sales and earnings by segment follows:



	Three-Months Ended
	December 31,
	2018		2017
Segment external net sales:
Aerospace	$	392,887	$	305,905
Industrial		259,924		164,243
Total consolidated net sales	$	652,811	$	470,148
Segment earnings:
Aerospace	$	72,854	$	45,241
Industrial		29,169		19,781
Nonsegment expenses		(29,001)		(19,026)
Interest expense, net		(11,507)		(8,509)
Consolidated earnings before income taxes	$	61,515	$	37,487

Segment assets consist of accounts receivable, inventories, property, plant, and equipment, net, goodwill, and other intangibles, net. A summary of consolidated total assets, consolidated depreciation and amortization and consolidated capital expenditures follows:



	December 31, 2018		September 30, 2018
Segment assets:
Aerospace	$	1,810,447	$	1,805,892
Industrial		1,645,415		1,642,462
Unallocated corporate property, plant and equipment, net		101,419		102,083
Other unallocated assets		303,255		240,212
Consolidated total assets	$	3,860,536	$	3,790,649