| Revenue Recognition |
Revenue Recognition Disaggregation of Revenue
The following table provides information about disaggregated revenue from contracts with customers into the nature of the products and services, and geographic regions, and includes a reconciliation of the disaggregated revenue with reportable segments. The geographic regions that are tracked are the Americas (United States, Canada, and Latin America), EMEA (Europe, Middle East, and Africa), and APAC (Australia, New Zealand, Southeast Asia, and China).
Segment information is as follows (in thousands):
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Three Months Ended June 30, 2022 |
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Three Months Ended June 30, 2021 |
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Performance Enzymes |
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Novel Biotherapeutics |
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Total |
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Performance Enzymes |
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Novel Biotherapeutics |
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Total |
| Major products and service: |
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| Product revenue |
$ |
34,645 |
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$ |
— |
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$ |
34,645 |
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$ |
14,717 |
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$ |
— |
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$ |
14,717 |
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| Research and development revenue |
1,885 |
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1,876 |
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3,761 |
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6,868 |
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3,868 |
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10,736 |
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| Total revenues |
$ |
36,530 |
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$ |
1,876 |
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$ |
38,406 |
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$ |
21,585 |
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$ |
3,868 |
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$ |
25,453 |
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| Primary geographical markets: |
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| Americas |
$ |
2,307 |
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$ |
1,307 |
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$ |
3,614 |
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$ |
3,703 |
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$ |
2,141 |
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$ |
5,844 |
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| EMEA |
4,121 |
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569 |
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4,690 |
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4,442 |
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1,727 |
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6,169 |
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| APAC |
30,102 |
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— |
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30,102 |
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13,440 |
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— |
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13,440 |
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| Total revenues |
$ |
36,530 |
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$ |
1,876 |
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$ |
38,406 |
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$ |
21,585 |
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$ |
3,868 |
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$ |
25,453 |
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Six Months Ended June 30, 2022 |
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Six Months Ended June 30, 2021 |
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Performance Enzymes |
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Novel Biotherapeutics |
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Total |
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Performance Enzymes |
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Novel Biotherapeutics |
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Total |
| Major products and service: |
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| Product revenue |
$ |
65,335 |
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$ |
— |
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$ |
65,335 |
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$ |
24,943 |
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$ |
— |
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$ |
24,943 |
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| Research and development revenue |
4,294 |
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4,117 |
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8,411 |
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10,872 |
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7,670 |
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18,542 |
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| Total revenues |
$ |
69,629 |
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$ |
4,117 |
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$ |
73,746 |
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$ |
35,815 |
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$ |
7,670 |
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$ |
43,485 |
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| Primary geographical markets: |
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| Americas |
$ |
4,861 |
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$ |
2,486 |
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$ |
7,347 |
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$ |
6,574 |
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$ |
4,199 |
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$ |
10,773 |
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| EMEA |
7,186 |
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1,631 |
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8,817 |
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8,979 |
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3,471 |
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12,450 |
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| APAC |
57,582 |
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— |
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57,582 |
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20,262 |
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— |
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20,262 |
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| Total revenues |
$ |
69,629 |
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$ |
4,117 |
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$ |
73,746 |
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$ |
35,815 |
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$ |
7,670 |
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$ |
43,485 |
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Contract Balances
The following table presents balances of contract assets, unbilled receivables, contract costs, and contract liabilities (in thousands):
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June 30, 2022 |
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December 31, 2021 |
| Contract assets |
$ |
11,287 |
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$ |
4,557 |
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| Unbilled receivables |
$ |
8,543 |
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$ |
8,558 |
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| Contract costs |
$ |
36 |
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$ |
56 |
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| Contract liabilities: deferred revenue |
$ |
5,381 |
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$ |
6,335 |
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We had no asset impairment charges related to financial assets in the three and six months ended June 30, 2022 and 2021.
The increase in contract assets was primarily due to increases in product revenue from contracts subject to over time revenue recognition. The nominal decrease in unbilled receivables was primarily due to the timing of billings. The decrease in deferred revenue was primarily due to timing of recognition of revenue.
We recognized the following revenues (in thousands):
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Three Months Ended June 30, |
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Six Months Ended June 30, |
| Revenue recognized in the period for: |
2022 |
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2021 |
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2022 |
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2021 |
| Amounts included in contract liabilities at the beginning of the period: |
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| Performance obligations satisfied |
$ |
441 |
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$ |
1,239 |
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$ |
1,413 |
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$ |
1,391 |
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| Changes in the period: |
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| Changes in the estimated transaction price allocated to performance obligations satisfied in prior periods |
(298) |
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4,306 |
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(29) |
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4,336 |
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| Performance obligations satisfied from new activities in the period - contract revenue |
38,263 |
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19,908 |
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72,362 |
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37,758 |
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| Total revenues |
$ |
38,406 |
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$ |
25,453 |
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$ |
73,746 |
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$ |
43,485 |
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Performance Obligations
The following table includes estimated revenue expected to be recognized in the future related to performance obligations that are unsatisfied or partially unsatisfied at the end of the reporting periods. The estimated revenue does not include contracts with original durations of one year or less, amounts of variable consideration attributable to royalties, or contract renewals that are unexercised as of June 30, 2022.
The balances in the table below are partially based on judgments involved in estimating future orders from customers subject to the exercise of material rights pursuant to respective contracts as of June 30, 2022 (in thousands):
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Remainder of 2022 |
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2023 |
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2024 |
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2025 and Thereafter |
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Total |
| Product revenue |
$ |
5 |
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$ |
67 |
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$ |
100 |
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$ |
2,876 |
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$ |
3,048 |
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| Research and development revenue |
1,019 |
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1,292 |
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15 |
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7 |
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2,333 |
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| Total revenues |
$ |
1,024 |
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$ |
1,359 |
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$ |
115 |
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$ |
2,883 |
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$ |
5,381 |
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