13. Segment Reporting The Company offers lifestyle-oriented general merchandise and consumer products and services through a portfolio of global consumer brands. The Company has three reportable segments  Retail, Wholesale and Subscription. The Companys Retail segment consists of the Anthropologie, Bhldn, Free People, Terrain and Urban Outfitters brands and the Food and Beverage division. The Anthropologie, Bhldn and Terrain brands make up the Anthropologie Group. As of April 30, 2019, there were 245 Urban Outfitters stores, 228 Anthropologie Group stores, 136 Free People stores, 12 restaurants under the Food and Beverage division, four Urban Outfitters franchisee-owned stores, one Anthropologie Group franchisee-owned store and one Free People franchisee-owned store. Each of Urban Outfitters, the Anthropologie Group and Free People, including their Company-owned and franchisee-owned stores and digital channels, and the restaurants operated under the Companys Food and Beverage division, are considered an operating segment. Net sales from the Retail segment accounted for approximately 90.5% and 90.6% of total consolidated net sales for the three months ended April 30, 2019 and 2018, respectively. The remaining net sales are derived from the Companys Wholesale segment which consists of the Free People, Anthropologie and Urban Outfitters brands that sell through approximately 2,200 department and specialty stores worldwide, digital businesses and the Companys Retail segment. The Wholesale segment primarily designs, develops and markets young womens contemporary casual apparel, intimates, FP Movement activewear and shoes under the Free People brand, home goods including gifts, tabletop and textiles under the Anthropologie brand and the BDG apparel collection under the Urban Outfitters brand. The Urban Outfitters wholesale division was established in the third quarter of fiscal 2019. The Subscription segment consists of the Nuuly brand and is a monthly womens apparel subscription rental service that is planned to launch in the summer of 2019. The Company has aggregated its brands into the Retail segment based upon their shared management, customer base and economic characteristics. Reporting in this format provides management with the financial information necessary to evaluate the success of the segments and the overall business. The Company evaluates the performance of the segments based on the net sales and pre-tax income from operations (excluding intercompany charges) of the segment. Corporate expenses include expenses incurred and directed by the corporate office that are not allocated to segments. The principal identifiable assets for each reporting segment are inventory and property and equipment. Other assets are comprised primarily of general corporate assets, which principally consist of cash and cash equivalents, marketable securities, deferred taxes and prepaid expenses, and are typically not allocated to the Companys segments. The Company accounts for intersegment sales and transfers as if the sales and transfers were made to third parties making similar volume purchases. The Companys omni-channel strategy enhances its customers brand experience by providing a seamless approach to the customer shopping experience. All available Company-owned shopping channels are fully integrated, including stores, websites, mobile applications, catalogs and customer contact centers. The Companys investments in areas such as marketing campaigns and technology advancements are designed to generate demand for the omni-channel and not the separate store or digital channels. Store sales are primarily fulfilled from that stores inventory but may also be shipped from any of the Companys fulfillment centers or from a different store location if an item is not available at the original store. Digital orders are primarily shipped to the Companys customers through its fulfillment centers but may also be shipped from any store or a combination of fulfillment centers and stores depending on the availability of particular items. Digital orders may also be picked up at a store location, and customers may also return certain merchandise purchased through digital channels at store locations. As the Companys customers continue to shop across multiple channels, the Company has adapted its approach towards meeting this demand. Due to the availability of like product in a variety of shopping channels, the Company sources these products utilizing single stock keeping units based on the omni-channel demand rather than the demand of the separate channels. These and other technological capabilities allow the Company to better serve its customers and help it to complete a sale that otherwise may not have occurred due to out-of-stock positions. The Company manages and analyzes its performance based on a single omni-channel rather than separate channels and believe that the omni-channel results present the most meaningful and appropriate measure of its performance. The accounting policies of the reportable segments are the same as the policies described in Note 2, Summary of Significant Accounting Policies, in the Notes to Consolidated Financial Statements included in the Companys Annual Report on Form 10-K for the fiscal year ended January 31, 2019. Both the Retail and Wholesale segments are highly diversified. No one customer constitutes more than 10% of the Companys total consolidated net sales. A summary of the information about the Companys operations by segment is as follows: Three Months Ended April 30, 2019 2018 Net sales Retail operations $ 782,563 $ 775,564 Wholesale operations 84,365 82,941 Intersegment elimination (2,515 ) (2,817 ) Total net sales $ 864,413 $ 855,688 Income from operations Retail operations $ 34,694 $ 51,872 Wholesale operations 16,761 14,805 Subscription operations (2,101 )  Intersegment elimination (63 ) 34 Total segment operating income 49,291 66,711 General corporate expenses (9,271 ) (12,815 ) Total income from operations $ 40,020 $ 53,896 April 30, January 31, April 30, 2019 2019 2018 Inventory Retail operations $ 365,554 $ 328,783 $ 353,423 Wholesale operations 42,808 41,724 51,194 Total inventory $ 408,362 $ 370,507 $ 404,617 Property and equipment, net Retail operations $ 819,062 $ 793,640 $ 817,277 Wholesale operations 2,312 2,389 2,448 Subscription operations 7,698   Total property and equipment, net $ 829,072 $ 796,029 $ 819,725 The following tables summarize net sales and percentage of net sales from contracts with customers by merchandise category: Three Months Ended April 30, 2019 2018 Net sales Apparel (1) $ 588,726 $ 599,688 Home (2) 124,548 114,348 Accessories (3) 100,268 98,775 Other (4) 50,871 42,877 Total net sales $ 864,413 $ 855,688 As a percentage of net sales Apparel (1) 68 % 70 % Home (2) 14 % 13 % Accessories (3) 12 % 12 % Other (4) 6 % 5 % Total net sales 100 % 100 % (1) Apparel includes intimates and activewear (2) Home includes home furnishings, electronics, gifts and decorative items (3) Accessories includes footwear, jewelry and handbags (4) Other includes beauty, shipping and handling revenues and the Food and Beverage division Apparel, Home, and Accessories are sold through both the Retail and Wholesale segments. Revenue recognized from the Other category is primarily attributable to the Retail segment. The Company has foreign operations primarily in Europe and Canada. Revenues and long-lived assets, based upon the Companys domestic and foreign operations, are as follows: April 30, January 31, April 30, 2019 2019 2018 Property and equipment, net Domestic operations $ 758,794 $ 723,400 $ 735,473 Foreign operations 70,278 72,629 84,252 Total property and equipment, net $ 829,072 $ 796,029 $ 819,725 Three Months Ended April 30, 2019 2018 Net Sales Domestic operations $ 763,089 $ 747,151 Foreign operations 101,324 108,537 Total net sales $ 864,413 $ 855,688