Revenue from Contracts with Customers

6 Months Ended

Jun. 30, 2022

Revenue from Contract with Customer [Abstract]

Revenue from Contracts with Customers

Revenue from Contracts with Customers

The Company operates as a single reportable segment. The Company has one sales force that sells the Company’s nCounter Analysis systems, its GeoMx DSP system, its CosMx SMI system, and the consumables and services related to these platforms.

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 customer. 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 June 30, 2022								Six Months Ended June 30, 2022
	Americas		Europe and Middle East		Asia Pacific		Total		Americas		Europe and Middle East		Asia Pacific		Total
Product revenue:
Instruments	$	5,810	$	2,214	$	1,514	$	9,538	$	11,509	$	3,960	$	3,172	$	18,641
Consumables	12,699		4,085		1,063		17,847		24,974		8,090		2,251		35,315
Total product revenue	18,509		6,299		2,577		27,385		36,483		12,050		5,423		53,956
Service revenue	3,179		1,229		205		4,613		6,227		2,227		429		8,883
Total product and service revenue	21,688		7,528		2,782		31,998		42,710		14,277		5,852		62,839
Collaboration revenue	221		—		—		221		460		—		—		460
Total revenues	$	21,909	$	7,528	$	2,782	$	32,219	$	43,170	$	14,277	$	5,852	$	63,299

	Three Months Ended June 30, 2021								Six Months Ended June 30, 2021
	Americas		Europe and Middle East		Asia Pacific		Total		Americas		Europe and Middle East		Asia Pacific		Total
Product revenue:
Instruments	$	7,662	$	2,769	$	1,385	$	11,816	$	13,136	$	6,402	$	4,023	$	23,561
Consumables	12,467		4,512		1,002		17,981		23,807		7,856		2,281		33,944
Total product revenue	20,129		7,281		2,387		29,797		36,943		14,258		6,304		57,505
Service revenue	2,497		1,090		248		3,835		5,182		1,861		478		7,521
Total product and service revenue	22,626		8,371		2,635		33,632		42,125		16,119		6,782		65,026
Collaboration revenue	231		—		—		231		454		—		—		454
Total revenues	$	22,857	$	8,371	$	2,635	$	33,863	$	42,579	$	16,119	$	6,782	$	65,480

Total revenue in the United States was $21.5 million, $22.2 million, $41.9 million and $41.1 million for the three and six month periods ended June 30, 2022 and 2021, respectively. The Company’s assets are primarily located in the United States and therefore are not allocated to any specific geographic region.

Contract balances and remaining performance obligations

Contract liabilities are comprised of the current and long-term portions of deferred revenue of $11.4 million and $10.3 million as of June 30, 2022 and December 31, 2021, respectively, and customer deposits of $1.6 million and $1.3 million as of June 30, 2022 and December 31, 2021, respectively, included within the condensed consolidated balance sheets. Total contract liabilities increased by $1.3 million as of June 30, 2022 as a result of additional deferred revenue of $7.1 million associated primarily with new or extended service contracts partially offset by the recognition of previously deferred revenue and customer deposits of $5.8 million for the completion of certain performance obligations during the period. The Company recorded contract assets of $0.8 million and $0.7 million as of June 30, 2022 and December 31, 2021, related to revenues recognized, but not yet invoiced to customers. The Company’s contractual payment terms for its contracts with customers approximates 45 days on average.

As of June 30, 2022, unsatisfied or partially unsatisfied performance obligations related to undelivered products and service contracts were $12.9 million and are expected to be completed over the term of the related contract or as products are delivered.