Revenue Recognition and Collaborative Arrangements

6 Months Ended

Jun. 30, 2021

Revenue Recognition and Collaborative Arrangements

Revenue Recognition and Collaborative Arrangements

3. Revenue Recognition and Collaborative Arrangements

We recognize royalty revenue on net sales of products with respect to which we have contractual royalty rights in the period in which the royalties are earned and reported to us. Royalties, which may include adjustments of estimates of net sales in prior periods, are recognized net of amortization of capitalized fees associated with any approval and launch milestone payments made to GSK.

Net Revenue from Collaborative Arrangements

Net revenue recognized under our GSK Agreements was as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
(In thousands)	2021		2020		2021		2020
Royalties from a related party - RELVAR/BREO	$	65,916	$	45,570	$	122,306	$	101,719
Royalties from a related party - ANORO		11,960		11,199		22,460		21,049
Royalties from a related party - TRELEGY		26,386		15,633		48,470		31,768
Total royalties from a related party		104,262		72,402		193,236		154,536
Less: amortization of capitalized fees paid to a related party		(3,456)		(3,456)		(6,912)		(6,912)
Royalty revenue		100,806		68,946		186,324		147,624
Strategic alliance  - MABA program		—		10,000		—		10,000
Total net revenue from GSK	$	100,806	$	78,946	$	186,324	$	157,624