XML 25 R13.htm IDEA: XBRL DOCUMENT v3.25.1
Concentration of Credit Risk and Current Expected Credit Losses
 3 Months Ended
Mar. 31, 2025
Risks and Uncertainties [Abstract]  
Concentration of Credit Risk and Current Expected Credit Losses
Note 5. Concentration of Credit Risk and Current Expected Credit Losses
In November 2009, we entered into a collaboration and license agreement with Novartis Pharmaceutical International Ltd. ("Novartis"). In December 2009, we entered into a license, development and commercialization agreement with Eli Lilly and Company ("Lilly"). The above collaboration partners comprised, in aggregate, 16% and 19% of the accounts receivable balance as of March 31, 2025 and December 31, 2024, respectively. For further information relating to these collaboration and license agreements, refer to Note 8.
In November 2011, we began commercialization and distribution of JAKAFI and in October 2021, we began commercialization and distribution of OPZELURA. Our product revenues are concentrated in a number of customers for these products. The concentration of credit risk related to our JAKAFI and OPZELURA product revenues is as follows:
Percentage of Total Net
Product Revenues for the
Three Months Ended
March 31,
20252024
Customer A14 %17 %
Customer B10 %11 %
Customer C20 %18 %
Customer D14 %12 %
Customer E9 %10 %
We are exposed to risks associated with extending credit to customers related to the sale of products. Customers A, B, C, D and E comprised, in the aggregate, 51% and 52% of the accounts receivable balance as of March 31, 2025 and December 31, 2024, respectively. The concentration of credit risk relating to our other product revenues or accounts receivable is not significant.
We assessed our collaborative and customer receivable assets as of March 31, 2025 according to our accounting policy for applying reserves for expected credit losses, noting minimal history of uncollectible receivables and the continued perceived creditworthiness of our third party sales relationships, upon which the expected credit losses were considered de minimis. As of March 31, 2025 and December 31, 2024, we had no allowance for doubtful accounts.