Revenue from Contracts with Customers

3 Months Ended

Mar. 31, 2020

Revenue from Contract with Customer [Abstract]

The Company operates as a single reportable segment. The Company has one sales force that sells the Company’s nCounter and GeoMx DSP instruments, consumables and related services.

Disaggregated Revenues

The following table of total revenue is based on the geographic location of end users or distributors who purchase products and services, and of our collaborators. For sales to distributors, their geographic location may be different from the geographic location of the ultimate end user. For collaboration agreements, revenues are derived from partners located primarily in the United States. Americas consists of the United States, Canada, Mexico and South America; and Asia Pacific includes Japan, China, South Korea, Singapore, Malaysia, India and Australia.

The following table provides information about disaggregated revenue by major product line and primary geographic market (in thousands):



	Three Months Ended March 31, 2020
	Americas		Europe and Middle East		Asia Pacific		Total
Product revenue:
Instruments	$	7,081	$	1,788	$	965	$	9,834
Consumables	8,372		2,535		593		11,500
Total product revenue	15,453		4,323		1,558		21,334
Service revenue	2,038		874		250		3,162
Total product and service revenue	17,491		5,197		1,808		24,496
Collaboration revenue	2,109		—		—		2,109
Total revenues	$	19,600	$	5,197	$	1,808	$	26,605



	Three Months Ended March 31, 2019
	Americas		Europe and Middle East		Asia Pacific		Total
Product revenue:
Instruments	$	2,189	$	1,530	$	599	$	4,318
Consumables	8,606		5,056		798		14,460
Total product revenue	10,795		6,586		1,397		18,778
Service revenue	1,794		614		164		2,572
Total product and service revenue	12,589		7,200		1,561		21,350
Collaboration revenue	6,338		—		—		6,338
Total revenues	$	18,927	$	7,200	$	1,561	$	27,688

Total revenue in the United States was $18.9 million and $18.2 million for the three months ended March 31, 2020 and 2019, respectively. The Company’s assets are primarily located in the United States and not allocated to any specific geographic region. Substantially all of the Company’s long-lived assets are located in the United States.

Contract balances and remaining performance obligations

Contract liabilities are comprised of the current and long-term portions of deferred revenue of $6.1 million and $5.0 million as of March 31, 2020 and December 31, 2019, respectively, and customer deposits of $4.1 million and $6.4 million as of March 31, 2020 and December 31, 2019, respectively, included within the condensed consolidated balance sheets. Total contract liabilities decreased by $1.2 million for the three months ended March 31, 2020 as a result of the recognition of previously deferred revenue and customer deposits of $3.8 million for the completion of certain performance obligations during the period, partially offset by an increase of $2.7 million related to additional deferred revenue associated primarily with new or extended service contracts. The Company did not record any contract assets as of March 31, 2020.

As of March 31, 2020, unsatisfied or partially unsatisfied performance obligations related to the collaboration agreement with Lam Research Corporation (“Lam”) were $3.0 million and are expected to be substantially completed during the first half of 2020. Performance obligations related to undelivered products and service contracts as of March 31, 2020 were $7.1 million and are expected to be completed over the term of the related contract or as products are delivered.