Collaboration, Licensing and Other Arrangements (Tables)

6 Months Ended

Jun. 30, 2024

Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]

Schedule of Revenue from Collaboration and Services

Revenue from collaborations and services were as follows (in thousands):

	Three Months Ended June 30,				Six Months Ended June 30,
	2024		2023		2024		2023
UT CSA(1)	$	25,978	$	10,933	$	50,442	$	22,097
UT License Agreement (2)		—		242		347		427
Cipla License and Distribution Agreement		36		36		73		73
Total revenue from collaborations and services	$	26,014	$	11,211	$	50,862	$	22,597

_________________________

(1)Amounts consist of revenue recognized for Manufacturing Services and Product Sales to UT for the periods presented.

(2)Amounts consist of revenue recognized for Next-Gen R&D Services and R&D Services and License for the periods presented.

Schedule of Effect of Modification on Transaction Price

The Company determined that the capital and continuous improvements should be combined with the manufacturing services performance obligation and the alternative

manufacturing processes should be combined with the Next-Gen R&D Services. The total revised anticipated cash flows of $722.3 million from the transaction was allocated to the three distinct performance obligations as follows (dollars in millions):

	Anticipated
	Cash Flow		Revenue Allocation		Recognition Method	Progress Measure	Revenue Recognition
Total anticipated cash flow(1)	$	722.3
Distinct Performance Obligation
R&D Services and License			$	—	Over time	Ratably	Aug 2021 - Oct 2021
Next-Gen R&D Services			$	10.0	Over time	Input	% of completion of costs
Manufacturing Services and    Product Sales(2)			$	712.3	Point in time		Transfer of control

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(1)The total anticipated cash flow includes a transaction price of $120.0 million for the contractual obligations under the CSA for the Manufacturing Services and Product Sales and the Next-Gen R&D Services performance obligations and $602.3 million for future supply of Tyvaso DPI over the remaining term of the CSA.

(2)The Manufacturing Services and Product Sales performance obligation will be recognized as control of manufactured products is transferred to UT. The modification did not result in a cumulative catch-up adjustment as a result of the revenue being deferred for the performance obligations that were affected by the modification. The allocation of the transaction price for the Manufacturing Services and Product Sales includes a material right related to the Company’s estimated production of product in the amount of $220.8 million. The Company will sell product to UT under individual purchase orders, which represent distinct performance obligations. The ultimate cash flows may vary as manufacturing purchase orders are received.

United Therapeutics Corporation

Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]

Schedule of Revenue from Collaboration and Services

Total revenue from UT was as follows (in thousands):

	Three Months Ended June 30,				Six Months Ended June 30,
	2024		2023		2024		2023
UT Revenue
UT CSA	$	25,978	$	10,933	$	50,442	$	22,097
UT License Agreement		—		242		347		427
Royalties – Collaboration (1)		25,592		19,055		48,243		30,733
Total revenue from UT	$	51,570	$	30,230	$	99,032	$	53,257

_________________________

(1)Amounts consist of royalties associated with the UT License Agreement. The contract assets related to the royalties is included in prepaid expense and other current assets in the condensed consolidated balance sheets.