REVENUE

3 Months Ended

Mar. 31, 2022

Revenue from Contract with Customer [Abstract]

REVENUE

REVENUE

Disaggregated Revenue

The following table reflects summary revenue, net for the three months ended March 31, 2022 and 2021 (in thousands): 

	Three Months Ended March 31,
	2022		2021
Product sales, net:
INDOCIN products	$	21,357	$	14,597
CAMBIA	5,473		6,462
Otrexup	3,078		—
Zipsor	2,228		2,222
SPRIX	1,766		1,697
Other products	1,644		1,049
Total product sales, net	35,546		26,027
Royalties and milestone revenue	992		434
Other revenue	—		378
Total revenues	$	36,538	$	26,839

Product Sales, net:

For the three months ended March 31, 2022 and 2021, product sales primarily consisted of sales from INDOCIN Products, CAMBIA, Zipsor and SPRIX. The Company acquired Otrexup in December 2021 and began shipping and recognizing product sales for Otrexup in January 2022.

Other product net sales include product sales for non-promoted products (OXAYDO and SOLUMATRIX).

Royalties and Milestone Revenue

In November 2010, the Company entered into a license agreement with Tribute Pharmaceuticals Canada Ltd. (now known as Miravo Pharmaceuticals) granting them the rights to commercially market CAMBIA in Canada. Miravo independently contracts with manufacturers to produce a specific CAMBIA formulation in Canada. The Company receives royalties on net sales on a quarterly basis as well as certain one-time contingent milestone payments upon the occurrence of certain events. The Company recognized revenue related to CAMBIA in Canada of $0.5 million and $0.4 million for the three months ended March 31, 2022 and 2021, respectively.

The Company records contract liabilities in the form of deferred revenue resulting from prepayments from customers in Other current liabilities on the Condensed Consolidated Balance Sheets. As of December 31, 2021, contract liabilities were $0.3 million. For the three months ended March 31, 2022, the Company recorded an additional $0.3 million in contract liabilities and recognized $0.5 million as Milestone revenue associated with completion of service milestones. As of March 31, 2022, contract liabilities were $0.1 million.

Other Revenue

Other revenue consists of sales adjustments for previously divested products, which includes adjustments to reserves for product sales allowances (gross-to-net sales allowances) and can result in reductions to total revenue during the period. Sales adjustments for previously divested products primarily include Gralise, Nucynta and Lazanda