REVENUE, CREDIT CONCENTRATIONS AND GEOGRAPHIC INFORMATION

6 Months Ended

Jun. 30, 2023

Concentration Risk And Geographic Information [Abstract]

REVENUE, CREDIT CONCENTRATIONS AND GEOGRAPHIC INFORMATION

The Company operates in one business segment, which primarily focuses on the development and commercialization of innovative therapies for people with serious and life-threatening rare diseases and medical conditions.

The following table disaggregates total Net Product Revenues by product.


	Three Months Ended June 30,				Six Months Ended June 30,
	2023		2022		2023		2022
Enzyme product revenues:
VIMIZIM	$	177,392	$	173,206	$	366,584	$	356,265
NAGLAZYME	90,103		115,783		213,124		243,814
PALYNZIQ	74,868		61,643		137,220		116,528
ALDURAZYME	40,318		37,327		74,721		61,709

BRINEURA	38,058		37,725		77,202		73,898
Total enzyme product revenues	420,739		425,684		868,851		852,214

VOXZOGO	113,337		34,374		201,173		54,032
KUVAN	50,622		57,602		101,100		116,939
Total net product revenues	584,698		517,660		1,171,124		1,023,185
Royalty and other revenues	10,577		16,138		20,566		29,972
Total revenues	$	595,275	$	533,798	$	1,191,690	$	1,053,157

The Company considers there to be revenue concentration risks for regions where Net Product Revenues exceed 10% of consolidated Net Product Revenues. The concentration of the Company’s Net Product Revenues within the regions below may have a material adverse effect on the Company’s revenues and results of operations if sales in the respective regions experience difficulties. The table below disaggregates total Net Product Revenues by geographic region, which is based on patient location for Company's commercial products sold directly by the Company, except for ALDURAZYME, which is marketed and sold exclusively by Sanofi worldwide.


	Three Months Ended June 30,				Six Months Ended June 30,
	2023		2022		2023		2022
United States	$	191,655	$	169,838	$	358,439	$	320,653
Europe	183,434		161,231		344,126		318,062
Latin America	75,444		89,911		143,192		152,455
Middle East	25,630		21,414		117,272		87,021
Rest of world	68,217		37,939		133,374		83,285
Total net product revenues marketed by the Company	$	544,380	$	480,333	$	1,096,403	$	961,476
ALDURAZYME net product revenues marketed by Sanofi	40,318		37,327		74,721		61,709
Total net product revenues	$	584,698	$	517,660	$	1,171,124	$	1,023,185

The following table illustrates the percentage of the Company’s total Net Product Revenues attributed to the Company’s largest customers for the periods presented.


	Three Months Ended June 30,				Six Months Ended June 30,
	2023		2022		2023		2022
Customer A	15	%	16	%	15	%	16	%
Customer B	12	%	12	%	11	%	12	%
Customer C	10	%	9	%	9	%	8	%

Total	37	%	37	%	35	%	36	%

On a consolidated basis, two customers accounted for 18% and 13% of the Company’s June 30, 2023 accounts receivable balance, respectively, compared to December 31, 2022, when two customers accounted for 22% and 15% of the accounts receivable balance, respectively. As of June 30, 2023, and December 31, 2022, the accounts receivable balance for Sanofi included $77.2 million and $68.8 million, respectively, of unbilled accounts receivable, which becomes payable to the Company when the product is sold through by Sanofi. The Company does not require collateral from its customers, but does perform periodic credit evaluations of its customers’ financial condition and requires prepayments in certain circumstances.

The Company is mindful that conditions in the current macroeconomic environment, such as inflation, changes in interest and foreign currency exchange rates, banking crises, natural disasters, the continuing effects of the COVID-19 pandemic, and supply chain disruptions, could affect the Company’s ability to achieve its goals. In addition, the Company sells its products in countries that face economic volatility and weakness. Although the Company has historically collected receivables from customers in certain countries, sustained weakness or further deterioration of the local economies and currencies may cause customers in those countries to delay payment or be unable to pay for the Company’s products. The Company believes that the allowances for doubtful accounts related to these countries, if any, are adequate based on its analysis of the specific business circumstances and expectations of collection for each of the underlying accounts in these countries. The Company will continue to monitor these conditions and will attempt to adjust its business processes, as appropriate, to mitigate macroeconomic risks to its business.