( 13 ) Segment Information Our operating segments are aligned with how the Company, including its chief operating decision maker, manages the business. As such, our reportable operating segments are the Wholesale segment and the Retail segment. Our wholesale and retail operating segments represent strategic business areas of our vertically integrated enterprise that operate separately and provide their own distinctive services. This vertical structure enables us to offer our complete line of home furnishings and accents more effectively while controlling quality and cost. We evaluate performance of the respective segments based upon revenues and operating income. Inter-segment transactions result, primarily, from the wholesale sale of inventory to the retail segment, including the related profit margin. As of December 31, 2019, the Company operated 144 design centers (our retail segment) and our independent retailers operated 158 design centers. Our wholesale segment net sales include sales to our retail segment, which are eliminated in consolidation, and sales to our independent retailers. Our retail segment net sales accounted for 79% of our consolidated net sales in the six months ended December 31, 2019. Our wholesale segment net sales accounted for the remaining 21%. Segment information for the three and six months ended December 31, 2019 and 2018 is provided below (in thousands): Three months ended Six months ended December 31, December 31, 2019 2018 2019 2018 Net sales Wholesale segment $ 91,889 $ 107,658 $ 193,218 $ 225,730 Retail segment 139,101 158,508 276,367 303,722 Elimination of intercompany sales (56,416 ) (69,014 ) (121,090 ) (144,515 ) Consolidated Total $ 174,574 $ 197,152 $ 348,495 $ 384,937 Income (loss) before income taxes Wholesale segment $ 5,730 $ 8,821 $ 22,658 $ 23,136 Retail segment (135 ) 3,311 1,429 1,752 Elimination of intercompany profit (a) 3,609 3,996 3,758 3,039 Operating income 9,204 16,128 27,845 27,927 Interest income, net of interest (expense) 63 152 82 125 Consolidated Total $ 9,267 $ 16,280 $ 27,927 $ 28,052 Depreciation and amortization Wholesale segment $ 1,750 $ 1,896 $ 3,640 $ 3,857 Retail segment 2,704 3,029 4,790 6,068 Consolidated Total $ 4,454 $ 4,925 $ 8,430 $ 9,925 Capital expenditures Wholesale segment $ 1,148 $ 831 $ 2,311 $ 1,681 Retail segment 3,425 1,346 5,676 3,273 Consolidated Total $ 4,573 $ 2,177 $ 7,987 $ 4,954 (a) Represents the change in wholesale profit contained in the retail segment inventory at the end of the period. December 31, June 30, 2019 2019 Total Assets: Wholesale segment $ 233,374 $ 237,354 Retail segment 411,359 299,125 Inventory profit elimination (b) (22,806 ) (26,128 ) Consolidated Total $ 621,927 $ 510,351 (b) Represents the wholesale profit contained in the retail segment inventory that has not yet been realized. These profits are realized when the related inventory is sold.