Segment Information

3 Months Ended

Mar. 31, 2020

Segment Information

Segment Information

11.   Segment Information

We currently operate as one operating segment with a focus on the development and commercialization of products to address the unmet needs of patients with chronic and life-threatening conditions. Our Chief Executive Officer, as our chief operating decision maker, manages and allocates resources to the operations of our company on a consolidated basis. This enables our Chief Executive Officer to assess our overall level of available resources and determine how best to deploy these resources across functions, therapeutic areas, and research and development projects in line with our long-term company-wide strategic goals.

Net product sales, cost of product sales and gross profit for each of our commercial products were as follows (in millions):

	Three Months Ended March 31,
2020	Remodulin		Tyvaso		Orenitram		Unituxin		Adcirca		Total
Net product sales	$	145.3	$	102.9	$	69.0	$	26.6	$	12.5	$	356.3
Cost of product sales		6.0		5.1		4.7		2.3		5.3		23.4
Gross profit	$	139.3	$	97.8	$	64.3	$	24.3	$	7.2	$	332.9
2019
Net product sales	$	155.5	$	103.8	$	58.4	$	24.9	$	20.0	$	362.6
Cost of product sales		6.1		4.4		4.8		5.1		8.7		29.1
Gross profit	$	149.4	$	99.4	$	53.6	$	19.8	$	11.3	$	333.5

Geographic revenues are determined based on the country in which our customers (distributors) are located. Total revenues from external customers by geographic area are as follows (in millions):

	Three Months Ended March 31,
	2020		2019
United States	$	326.7	$	329.5
Rest-of-World(1)		29.6		33.1
Total	$	356.3	$	362.6

(1) Primarily Europe.

We recorded revenue from two distributors in the United States that exceeded 10 percent of total revenues. Revenue from these two distributors as a percentage of total revenues is as follows:

	Three Months Ended March 31,
	2020		2019
Distributor 1	55	%	58	%
Distributor 2	25	%	20	%