Revenue from Contracts with Customers

3 Months Ended

Mar. 31, 2024

Revenue from Contract with Customer [Abstract]

Revenue from Contracts with Customers

13.REVENUE FROM CONTRACTS WITH CUSTOMERS

As of March 31, 2024, the Company had $931,000 of contract liabilities and no contract assets. A contract liability would typically arise when an advance or deposit is received from a customer before the Company recognizes revenue. In practice, this is rare as it would require a customer to make a payment prior to a performance obligation being satisfied. When such situations do arise, the Company maintains a deferred revenue liability until the time a performance obligation has been satisfied. The Company recognized $688,000 of revenue in the first three months of 2024 from pre-existing contract liabilities at December 31, 2023.

In addition, during 2020, the Company recorded $10,709,000 of long-term deferred revenue associated with a payment received to defray the cost of capital expenditures necessary to service a customer’s future product needs. At March 31, 2024, $6,093,000 was classified as long-term and $2,216,000 was classified as short-term. This deferred revenue is being recognized over the period of the contract and $2,400,000 of revenue has been recognized from the beginning of the contract term through March 31, 2024.

The tables below provide a geographic disaggregation of net sales for the three months ended March 31, 2024 and 2023. The Company’s business disaggregation by geographic region most effectively captures the nature and economic characteristics of the Company’s revenue streams impacted by economic factors.

(In thousands)	For the Three Months Ended March 31, 2024
Geographic Market	Surfactants		Polymers		Specialty		Total
North America	$	229,590	$	69,809	$	13,246	$	312,645
Europe		70,778		63,877		1,835		136,490
Latin America		77,868		417		9		78,294
Asia		12,584		11,405		—		23,989
Total	$	390,820	$	145,508	$	15,090	$	551,418

(In thousands)	For the Three Months Ended March 31, 2023
Geographic Market	Surfactants		Polymers		Specialty		Total
North America	$	277,140	$	81,169	$	17,599	$	375,908
Europe		91,120		69,057		4,872		165,048
Latin America		81,099		785		10		81,894
Asia		18,470		10,116		—		28,586
Total	$	467,828	$	161,127	$	22,481	$	651,436