Reportable Operating Segments

The Company has five reportable operating segments consisting of the strategic business units for the worldwide wholesale operations for each of the UGG brand, Teva brand, Sanuk brand and other brands, as well as DTC. The Company's other brands currently consist of the Hoka and Koolaburra brands.

The wholesale operations of each brand are managed separately because each requires different marketing, research and development, design, sourcing, and sales strategies. The income (loss) from operations for each of the reportable operating segments includes only those costs which are specifically related to each reportable operating segment, which consist primarily of cost of sales, costs for research and development, design, sales and marketing, depreciation, amortization, and the costs of employees and their respective expenses that are directly related to each reportable operating segment. The unallocated corporate overhead costs include unallocable costs associated with distribution centers, certain executive and stock-based compensation expenses, accounting, finance and legal costs, information technology costs, human resources costs, and facilities costs, among others.

During calendar year 2017, the Company began to leverage elements, including particular styles, of the Ahnu® (Ahnu) brand under the Teva brand. Effective April 1, 2017, operations for the Ahnu brand were discontinued and all styles are sold under the Teva brand and are now reported in the Teva brand wholesale reportable operating segment instead of the other brands wholesale reportable operating segment, as presented in the comparative prior period.

Reportable operating segment information with reconciliation to the condensed consolidated statements of comprehensive income is summarized as follows:



	Three Months Ended December 31,						Nine Months Ended December 31,
	2017			2016			2017			2016
Net sales to external customers:
UGG brand wholesale	$	365,734		$	342,019		$	751,057		$	725,772
Teva brand wholesale	16,389			12,653			65,006			54,424
Sanuk brand wholesale	10,366			10,264			44,673			47,596
Other brands wholesale	36,266			23,658			103,752			76,899
Direct-to-Consumer	381,723			371,751			538,167			515,991
	$	810,478		$	760,345		$	1,502,655		$	1,420,682
Income (loss) from operations:
UGG brand wholesale	$	125,381		$	107,335		$	241,578		$	209,633
Teva brand wholesale	762			(560		)	7,621			(819		)
Sanuk brand wholesale	(350		)	(119,968		)	5,295			(115,998		)
Other brands wholesale	1,848			(958		)	10,917			(226		)
Direct-to-Consumer	136,034			122,158			120,529			96,647
Unallocated overhead costs	(70,484		)	(54,757		)	(181,650		)	(160,283		)
	$	193,191		$	53,250		$	204,290		$	28,954

Inter-segment sales from the Company’s wholesale reportable operating segments to the DTC reportable operating segment are at the Company’s cost, and there is no inter-segment profit on these inter-segment sales, nor are they reflected in income (loss) from operations of the wholesale reportable operating segments.

Assets allocable to each reportable operating segment are as follows:



	December 31, 2017		March 31, 2017
Total assets from reportable operating segments:
UGG brand wholesale	$	433,588	$	259,444
Teva brand wholesale	61,605		82,505
Sanuk brand wholesale	68,996		80,102
Other brands wholesale	77,783		70,607
Direct-to-Consumer	148,259		113,400
	$	790,231	$	606,058

The assets allocable to each reportable operating segment include accounts receivable, inventory, fixed assets, goodwill, other intangible assets, and certain other assets that are specifically identifiable with one of the Company's reportable operating segments. Unallocated assets are the assets not directly related to a specific reportable operating segment and generally include cash and cash equivalents, deferred tax assets, and various other corporate assets shared by the Company's reportable operating segments.

Total assets allocable to each reportable operating segment reconciled to the condensed consolidated balance sheets are as follows:



	December 31, 2017		March 31, 2017
Total assets from reportable operating segments	$	790,231	$	606,058
Unallocated cash and cash equivalents	493,002		291,764
Unallocated deferred tax assets	33,612		44,708
Other unallocated corporate assets	214,118		249,250
Total assets	$	1,530,963	$	1,191,780