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Revenue
 6 Months Ended
Jun. 30, 2024
Revenue from Contract with Customer [Abstract]  
Revenue
(3) Revenue

Revenue is recognized when control of the promised products or services is transferred to customers. A majority of our revenue is recognized at the point in time when products are shipped or delivered and the point in time when services are delivered to customers. However, when we have entered into collaboration agreements with customers, we have typically been required to recognize revenue over time.

Performance Obligations

At June 30, 2024, we had $122,853 of unrecognized revenue comprised of deferred revenue, cancellable and non-cancellable customer order backlog, and customer deposits. This $122,853 excludes variable consideration totaling $46,000, which will not be included in contract transaction price for purposes of revenue recognition until management is able to conclude that it is probable that the inclusion of such amounts will not result in a subsequent significant reversal of the cumulative amount of revenue recognized. We expect to recognize approximately 94.9% of the $43,236 of the deferred revenue and customer deposits as revenue within the next twelve months, and the remaining balance thereafter.

Collaboration and Licensing Agreements

We enter into collaboration and licensing agreements with third parties. The nature of the activities to be performed and the consideration exchanged under these agreements varies on a contract-by-contract basis. We evaluate these agreements to determine whether they meet the definition of a customer relationship for which revenue should be recorded. These contracts may contain multiple performance obligations and may contain fees for licensing, research and development services, contingent milestone payments upon the achievement of contractual developmental criteria and/or royalty fees based on the licensees’ product revenue. We determine the revenue to be recognized for these agreements based on an evaluation of the distinct performance obligations; the identification and evaluation of material rights; the estimation of the amount of variable consideration to be included in transaction price, as well as the timing for inclusion of such variable consideration; and the amount of transaction price assigned to and the pattern of transfer of control for each distinct performance obligation. This typically results in the recognition of revenue over time using a cost-to-cost percentage of completion model to measure the progress of the transfer of control. During the three and six months ended June 30, 2024, the Company recognized $1,825 and $3,846, respectively, of revenue related to collaboration arrangements with customers. During the three and six months ended June 30, 2023, the Company recognized $3,463 and $8,203, respectively, of revenue related to collaboration arrangements with customers.

Contract Balances

Accounts receivable, contract asset and contract liability balances as of June 30, 2024 and December 31, 2023, were as follows:
(in thousands)June 30, 2024December 31, 2023
Accounts receivable, net of reserves
$97,447 $101,497 
Contract assets(1)
14,837 12,147 
Contract liabilities(2)
43,236 40,075 
(1) Includes amounts reported in Prepaid expenses and other current assets and Other assets on the balance sheet, inclusive of $6,587 and $5,422 as of June 30, 2024 and December 31, 2023, respectively, that is related to a long-term contract and is billable upon attainment of milestones.

(2) Includes both current and long-term portions of deferred revenue. The long-term portion of deferred revenue is reported in other liabilities on our condensed consolidated balance sheets.

During the six months ended June 30, 2024, we recognized revenue of $22,451 related to our contract liabilities at December 31, 2023. During the three months ended June 30, 2024, we recognized revenue of $6,637 related to our contract liabilities at December 31, 2023.

Revenue Concentrations

For the three and six months ended June 30, 2024, one customer accounted for approximately 16.0% and 16.1% of our consolidated revenue, respectively. For the three and six months ended June 30, 2023, one customer accounted for approximately 18.9% and 16.3% of our consolidated revenue, respectively. We expect to maintain our relationship with this customer.
Revenue by geographic region for the three and six months ended June 30, 2024 and June 30, 2023, which is determined based upon the geographic region in which a sale originates, was as follows:
Three Months Ended
(in thousands)June 30, 2024June 30, 2023
Americas$66,179 $76,594 
EMEA37,537 41,199 
APAC9,536 10,401 
Total$113,252 $128,194 
United States (included in Americas above)$65,432 $75,093 
Germany (included in EMEA above)
$17,303 $19,484 

Six Months Ended
(in thousands)June 30, 2024June 30, 2023
Americas$126,784 $145,243 
EMEA71,437 84,009 
APAC17,936 20,178 
Total$216,157 $249,430 
United States (included in Americas above)$125,324 $142,878 
Germany (included in EMEA above)
$31,545 $42,946