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Segment Information
 6 Months Ended
Mar. 31, 2022
Segment Reporting [Abstract]  
SEGMENT INFORMATION SEGMENT INFORMATION
We have two reportable segments: IoT Products & Services and IoT Solutions. Effective with the reorganization announcement on October 7, 2020, our IoT Products & Services business is now structured to include four operating segments, each with a segment manager. These four operating segments include:
•Cellular Routers - box devices (fully enclosed) that provide connectivity typically in a place where the device can be plugged in exclusively using cellular communications.
•Console Servers - similar to cellular routers except they are exclusively for edge computing installations and data center applications exclusively using cellular communications.
•OEM Solutions - Original Equipment Manufacturers ("OEM") will be a chip, rather than a boxed device. This can come in the form of a stand-alone chip, or from a systems-on-module ("SOMs"). While cellular connectivity is used, other communication protocols can be used such as Zigbee, Bluetooth or Radio-Frequency ("RF") based on application.
•Infrastructure Management - includes battery operated, cellular enabled connect sensors as well as other types of console server applications that are more Digi Accelerated Linux ("DAL") based than Console Servers. This operating segment has some products that do not use cellular communications, but a large part of this segment does use cellular communications.
8. SEGMENT INFORMATION (CONTINUED)
Following the acquisition of Ventus on November 1, 2021, IoT Solutions is now comprised of two operating segments:
•SmartSense - offers wireless temperature and other condition-based monitoring services as well as employee task management services.
•Ventus - provides MNaaS solutions that simplify the complexity of enterprise wide area network ("WAN") connectivity via wireless and fixed line solutions.
The operating segments included in each reportable segment have similar qualitative and quantitative factors which allow us to aggregate them under each reportable segment. The qualitative factors include similar nature of products and services, production process, type or class of customers and methods used to distribute the products. The quantitative factors include similar operating margins. Our CODM reviews and makes business decisions which includes a primary review of operating income but also includes gross profit. Following the October 2020 reorganization, the shared general and administrative costs began being allocated to each operating segment. As a result, our disclosed measure of segment operating income has been updated for all periods presented to conform with this change.
Summary operating results for each of our segments were (in thousands):
Three months ended March 31,Six months ended March 31,
2022202120222021
Revenue
IoT Products & Services$71,370 $65,632 $137,114 $127,412 
IoT Solutions23,343 11,669 41,856 23,035 
Total revenue$94,713 $77,301 $178,970 $150,447 
Gross Profit
IoT Products & Services$38,461 $34,457 $74,136 $70,136 
IoT Solutions13,523 6,000 25,729 11,340 
Total gross profit$51,984 $40,457 $99,865 $81,476 
Operating Income (Loss)
IoT Products & Services$9,049 $4,583 $13,165 $5,852 
IoT Solutions(1,485)(1,213)(1,802)(2,628)
Total operating income (loss)$7,564 $3,370 $11,363 $3,224 
Depreciation and Amortization
IoT Products & Services$3,533 $3,072 $7,162 $6,206 
IoT Solutions5,251 1,930 9,484 3,846 
Total depreciation and amortization$8,784 $5,002 $16,646 $10,052 
Total expended for property, plant and equipment was (in thousands):
Six months ended March 31,
20222021
IoT Products & Services$1,664 $1,287 
IoT Solutions*— — 
Total expended for property, plant and equipment$1,664 $1,287 
* Excluded from this amount is $1,215 and $1,399 of transfers of inventory to property plant and equipment for subscriber assets for the six months ended March 31, 2022 and 2021, respectively.
8. SEGMENT INFORMATION (CONTINUED)
Total assets for each of our segments were (in thousands):
March 31,
2022		September 30,
2021
IoT Products & Services$401,786 $386,934 
IoT Solutions426,358 80,165 
Unallocated*41,386 152,432 
Total assets$869,530 $619,531 
*Unallocated consists of cash and cash equivalents.