Quarterly report pursuant to Section 13 or 15(d)

Revenue Recognition

v3.20.1
Revenue Recognition
 3 Months Ended
Mar. 31, 2020
Revenue from Contract with Customer [Abstract]  
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):
Three months ended March 31, 2020 Three months ended March 31, 2019
Performance Enzymes Novel Biotherapeutics Total Performance Enzymes Novel Biotherapeutics Total
Major products and service:
       Product Revenue $ 5,100    $ —    $ 5,100    $ 7,988    $ —    $ 7,988   
Research and development revenue 5,774    3,796    9,570    2,099    5,496    7,595   
Total revenues $ 10,874    $ 3,796    $ 14,670    $ 10,087    $ 5,496    $ 15,583   
Primary geographical markets:
Americas
 $ 2,999    $ 2,226    $ 5,225    $ 2,838    $ —    $ 2,838   
EMEA
 4,401    1,570    5,971    2,230    5,496    7,726   
APAC
 3,474    —    3,474    5,019    —    5,019   
Total revenues $ 10,874    $ 3,796    $ 14,670    $ 10,087    $ 5,496    $ 15,583   

Contract Balances
The following table presents balances of contract assets, unbilled receivables, contract costs, and contract liabilities (in thousands):
March 31, 2020 December 31, 2019
Contract Assets $ 619    $ 1,027   
Unbilled receivables $ 13,949    $ 10,099   
Contract Costs $ 300    $ —   
Contract Liabilities: Deferred Revenue $ 8,536    $ 2,044   


We had no asset impairment charges related to contract assets in the three months ended March 31, 2020 and 2019.
During the three months ended March 31, 2020, decreases in contract assets were primarily due to contract assets that were subsequently invoiced as our right to consideration for goods and services became unconditional. Increases in unbilled receivables were primarily due to the timing of billings. The increase in deferred revenue were primarily due to cash advances received in excess of revenue recognized.
During the three months ended March 31, 2020 and 2019, we recognized the following revenues (in thousands):
Three months ended March 31,
2020 2019
Amounts included in contract liabilities at the beginning of the period:
     Performance obligations satisfied $ 57    $ 2,385   
Changes in the period:
Changes in the estimated transaction price allocated to performance obligations satisfied in prior periods (643)   136   
Performance obligations satisfied from new activities in the period - contract revenue 15,256    13,062   
Total revenues $ 14,670    $ 15,583   

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 March 31, 2020.

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 (in thousands):
Remainder of 2020 2021 2022 and Thereafter Total
Product Revenue $ 66    $ 364    $ 1,623    $ 2,053   
Research and development revenue 5,776    707    —    6,483   
Total revenues $ 5,842    $ 1,071    $ 1,623    $ 8,536