Revenues

3 Months Ended

Mar. 31, 2023

Revenue from Contract with Customer [Abstract]

Revenues

(3) Revenues

Revenues are recognized when control of the promised goods is transferred to customers, in an amount that reflects the consideration we expect to receive in exchange for those goods. When our ingredients and finished products are shipped, with control being transferred at the shipping point almost universally, is the point in time at which we recognize the related revenue.

We generally expense sales commissions when incurred because the amortization period would have been one year or less. These costs are recorded within selling, general and administrative expenses. Customers’ deposits, deferred revenue and other receipts are deferred and recognized when the revenue is realized and earned. Cash payments to customers are classified as reductions of revenue in our statements of operations.

Contract balances at March 31, 2023, December 31, 2022, and December 31, 2021 are as follows:

	Accounts Receivable, net of Unbilled		Contract Assets		Contract Liabilities
Balance, December 31, 2021	$	3,937	$	179	$	1,444
Balance, December 31, 2022		4,734		—		2,188
Balance, March 31, 2023		4,380		—		1,842

Revenue recognized in the reporting period that was included in the contract liability balance at the beginning of the period was $1,297 and $123 for the three months ended March 31, 2023 and 2022, respectively.

Other revenue may include revenue from technology license fees and paid development projects. Technology license fees and paid development projects are recognized over time when the obligations under the agreed upon contractual arrangements are performed on our part.  Other revenue recognized over time was $121 and $110 for the three months ended March 31, 2023 and 2022, respectively.