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Segment, Geographical and Other Revenue Information
 3 Months Ended
Mar. 31, 2023
Segment Reporting [Abstract]  
Segment, Geographical and Other Revenue Information Segment, Geographical and Other Revenue Information
Segment Information
We manage our business as two business segments: Performance Enzymes and Novel Biotherapeutics. Our business segments are primarily based on our organizational structure and our operating results as used by our CODM in assessing performance and allocating resources for the Company.
We report corporate-related expenses such as legal, accounting, information technology, and other costs that are not otherwise included in our reportable business segments as "corporate costs." All items not included in income (loss) from operations are excluded from the business segments.
We manage our assets on a total company basis, not by business segment, as the majority of our operating assets are shared or commingled. Our CODM does not review asset information by business segment in assessing performance or allocating resources, and accordingly, we do not report asset information by business segment. All of our long-lived assets are located in the United States.
Factors considered in determining the two reportable segments of the Company include the nature of business activities, the management structure directly accountable to our CODM for operating and administrative activities, availability of discrete financial information and information presented to the Board of Directors. Our CODM regularly reviews our segments and the approach provided by management for performance evaluation and resource allocation.
Operating expenses that directly support the segment activity are allocated based on segment headcount, revenue contribution or activity of the business units within the segments, based on the corporate activity type provided to the segment. The expense allocation excludes certain corporate costs that are separately managed from the segments. This provides the CODM with more meaningful segment profitability reporting to support operating decisions and allocate resources.
The following table provides financial information by our reportable business segments along with a reconciliation to consolidated loss before income taxes (in thousands):
Three Months Ended March 31, 2023Three Months Ended March 31, 2022
Performance EnzymesNovel BiotherapeuticsTotalPerformance EnzymesNovel BiotherapeuticsTotal
Revenues:
Product revenue$8,364 $— $8,364 $30,690 $— $30,690 
Research and development revenue1,122 3,496 4,618 2,409 2,241 4,650 
Total revenues9,486 3,496 12,982 33,099 2,241 35,340 
Costs and operating expenses:
Cost of product revenue4,521 — 4,521 8,521 — 8,521 
Research and development (1)
8,099 7,312 15,411 6,122 12,346 18,468 
Selling, general and administrative (1)
2,798 951 3,749 3,541 720 4,261 
Restructuring charges— 72 72 — — — 
Total segment costs and operating expenses15,418 8,335 23,753 18,184 13,066 31,250 
Income (loss) from operations$(5,932)$(4,839)(10,771)$14,915 $(10,825)4,090 
Corporate costs (2)
(10,364)(11,205)
Unallocated depreciation and amortization(1,466)(1,232)
Loss before income taxes$(22,601)$(8,347)
(1) Research and development expenses and selling, general and administrative expenses exclude depreciation and amortization of finance leases.
(2) Corporate costs include unallocated selling, general and administrative expenses, interest income, and other expense, net.
The following table provides stock-based compensation expense included in income (loss) from operations (in thousands):
Three Months Ended March 31,
20232022
Performance EnzymesNovel BiotherapeuticsCorporate costTotalPerformance EnzymesNovel BiotherapeuticsCorporate costTotal
Stock-based compensation$1,035 $413 $1,361 $2,809 $1,690 $410 $1,738 $3,838 
Significant Customers
Customers that each accounted for 10% or more of our total revenues were as follows:
Percentage of Total Revenues for the
Three Months Ended March 31,
20232022
Customer A*61 %
Customer B23 %*
Customer C14 %*
Customer D13 %*
Customer E10 %*
* Percentage was less than 10%
Customers that each accounted for 10% or more of accounts receivable balances as of the periods presented as follows:
Percentage of Accounts Receivables as of
March 31, 2023December 31, 2022
Customer A*53 %
Customer B21 %*
Customer C11 %10 %
Customer F14 %*
Customer G12 %*
* Percentage was less than 10%
Geographical Information
Geographic revenues are identified by the location of the customer and consist of the following (in thousands):
 Three Months Ended March 31,
20232022
Revenues:
Americas$2,584 $3,732 
EMEA3,089 4,127 
APAC7,309 27,481 
Total revenues$12,982 $35,340 
Identifiable long-lived assets by location was as follows (in thousands):
March 31, 2023December 31, 2022
United States$61,622 $61,877 
Identifiable goodwill by reporting unit was as follows (in thousands):
As of March 31, 2023 and December 31, 2022
Performance EnzymesNovel BiotherapeuticsTotal
Goodwill$2,463 $778 $3,241