Annual report pursuant to Section 13 and 15(d)

REVENUES

v3.20.4
REVENUES
12 Months Ended
Dec. 31, 2020
REVENUES  
REVENUES

2. REVENUES

Revenues disaggregated by category were as follows (in thousands):

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​

​

​

​

​

​

​

​

​

​

​

​

​

​

Year Ended December 31,

​

​

​

2020

    

2019

    

2018

Product sales:

​

​

​

​

​

​

​

​

​

​

Gross product sales

​

​

$

76,470

​

$

53,082

​

$

16,953

Discounts and allowances

​

​

​

(14,774)

 

​

(9,310)

 

​

(3,006)

Product sales, net

​

​

$

61,696

​

$

43,772

​

$

13,947

​

​

​

​

​

​

​

​

​

​

​

Revenues from collaborations:

​

​

​

​

​

​

​

​

​

​

License revenues

​

​

​

40,358

​

$

8,696

​

​

30,562

Development milestones

​

​

​

2,100

 

​

5,500

 

​

—

Research and development services and others

​

​

​

4,467

 

​

1,320

 

​

—

Total revenues from collaborations

​

​

​

46,925

​

​

15,516

​

​

30,562

Total revenues

​

​

$

108,621

​

$

59,288

​

$

44,509

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The following table summarizes revenues from each of our customers who individually accounted for 10% or more (wherein * denotes less than 10%) of our gross revenues (as a percentage of gross revenues):

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​

​

​

​

​

​

​

​

​

​

​

​

​

​

Year Ended December 31,

​

​

​

2020

    

2019

​

2018

Grifols

​

​

​

41%

​

​

*

​

​

—

ASD Healthcare and Oncology Supply

​

​

​

30%

​

​

37%

​

​

17%

McKesson Specialty Care Distribution Corporation

​

​

​

23%

​

​

30%

​

​

11%

Kissei

​

​

​

—

​

​

*

​

​

69%

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Our first and only FDA approved product, TAVALISSE®, was approved by the U.S. FDA in April 2018. We commenced commercial sale of TAVALISSE in the U.S. in May 2018. There were no product sales during the year ended December 31, 2017. Fostamatinib is marketed in Europe under the brand name TAVLESSE (fostamatinib). Grifols launched TAVLESSE in the UK and Germany in July, and thereafter, expects a phased roll-out over the next 18 months across Europe. In December 2020, the Scottish Medicines Consortium accepted TAVLESSE for use in NHS in Scotland.

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In addition to the distribution agreements with our customers, the SDs, we also enter into arrangements with specialty pharmacy providers, in-office dispensing providers, group purchasing organizations, and government entities that provide for government-mandated and/or privately-negotiated rebates, chargebacks and discounts with respect to the purchase of our products which reduced our gross product sales. Also refer to Revenue Recognition policy discussion in Note 1.

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The following tables summarize the activities in chargebacks, discounts and fees, government and other rebates and returns during the years ended December 31, 2020 and 2019 (in thousands):

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​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Chargebacks,

​

Government

​

​

​

​

​

​

Discounts and

​

and Other

​

​

​

​

​

​

Fees

​

Rebates

​

Returns

​

Total

Balance at January 1, 2020

    

$

1,293

 

$

1,801

​

$

238

​

$

3,332

Provision related to current period sales

​

​

8,149

​

​

4,231

​

​

950

​

​

13,330

Adjustment related to prior period sales

​

​

(75)

​

​

(490)

​

​

565

​

​

—

Credit or payments made during the period

​

​

(6,906)

​

​

(3,427)

​

​

(264)

​

​

(10,597)

Balance at December 31, 2020

 

$

2,461

​

$

2,115

​

$

1,489

​

$

6,065

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Chargebacks,

​

Government

​

​

​

​

​

​

​

​

Discounts and

​

and Other

​

​

​

​

​

​

​

​

Fees

​

Rebates

​

Returns

​

Total

Balance at January 1, 2019

    

$

623

 

$

843

​

$

170

​

$

1,636

Provision related to current period sales

​

​

5,170

​

​

2,864

​

​

99

​

​

8,133

Credit or payments made during the period

​

​

(4,500)

​

​

(1,906)

​

​

(31)

​

​

(6,437)

Balance at December 31, 2019

 

$

1,293

​

$

1,801

​

$

238

​

$

3,332

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Of the $14.8 million discounts and allowances from gross product sales for the year ended December 31, 2020, $13.3 million was accounted for as additions to other accrued liabilities and $1.5 million as reductions in accounts receivable (as it relates to allowance for prompt pay discount) and prepaid and other current assets (as it relates to co-pay) in the balance sheet. Other accrued liabilities related to the discounts and allowances had a remaining outstanding balance of $6.1 million as of December 31, 2020.

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Of the $9.3 million discounts and allowances from gross product sales for the year ended December 31, 2019, $8.1 million was accounted for as additions to other accrued liabilities and $1.2 million as reductions in accounts receivable (as it relates to allowance for prompt pay discount) and prepaid and other current assets (as it relates to co-pay) in the balance sheet. Other accrued liabilities related to the discounts and allowances had a remaining outstanding balance of $3.3 million as of December 31, 2019.