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Revenue Recognition
 3 Months Ended
Mar. 31, 2021
Revenue From Contract With Customer [Abstract]  
Revenue Recognition

3. Revenue Recognition —The Company recognizes revenue from the sale of its products, which include crop and non-crop products. The Company sells its products to customers, which include distributors, retailers, and growers. In addition, the Company recognizes royalty income from licensing agreements. Based on similar economic and operational characteristics, the Company’s business is aggregated into one reportable segment. Selective enterprise information of sales disaggregated by category and geographic region is as follows:

 

 

 

Three Months Ended

March 31,

 

 

 

2021

 

 

2020

 

Net sales:

 

 

 

 

 

 

 

 

US crop

 

$

54,755

 

 

$

50,362

 

US non-crop

 

 

17,453

 

 

 

10,993

 

Total US

 

 

72,208

 

 

 

61,355

 

International

 

 

43,947

 

 

 

34,607

 

Total net sales:

 

$

116,155

 

 

$

95,962

 

Timing of revenue recognition:

 

 

 

 

 

 

 

 

Goods and services transferred at a point in time

 

$

115,971

 

 

$

95,776

 

Goods and services transferred over time

 

 

184

 

 

 

186

 

Total net sales:

 

$

116,155

 

 

$

95,962

 

 

Performance Obligations — A performance obligation is a promise in a contract or sales order to transfer a distinct good or service to the customer. A transaction price is allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied. Certain of the Company’s sales orders have multiple performance obligations, as the promise to transfer individual goods or services is separately identifiable from other promises in the sales orders. For sales orders with multiple performance obligations, the Company allocates the sales order’s transaction price to each performance obligation based on its relative stand-alone selling price. The stand-alone selling prices are determined based on the prices at which the Company separately sells these products. The Company’s performance obligations are satisfied either at a point in time or over time as work progresses.

Contract Assets and Deferred Revenue —The contract assets are included in other receivables on the condensed consolidated balance sheets and relate to royalties earned on certain functional licenses granted for the use of the Company’s intellectual property. The timing of revenue recognition, billings and cash collections may result in deferred revenue. The Company sometimes receives payments from its customers in advance of goods and services being provided in return for early cash incentive programs, resulting in deferred revenues.  

 

 

 

March 31,

2021

 

 

December 31,

2020

 

Contract assets

 

$

4,600

 

 

$

3,200

 

Deferred revenue

 

$

32,316

 

 

$

43,611

 

 

 

Revenue recognized for the three months ended March 31, 2021, that was included in the deferred revenue balance at the beginning of 2021 was $11,295. The Company expects to recognize all its remaining deferred revenue in fiscal 2021.