Transaction Price Related to Consideration Received and Accounts Receivable Allocated to Performance Obligations and Product Revenue Net

Product revenue, net from the sales of roxadustat commercial product in China was as follows for the three and six months ended June 30, 2024 and 2023 (in thousands):


	Three Months Ended June 30,						Six Months Ended June 30,
	2024			2023			2024			2023
Direct Sales:
Gross revenue	$	4,046		$	3,607		$	7,831		$	6,667
Discounts and rebates		(408	)		(229	)		(767	)		(503	)
Sales returns		—			(1	)		(1	)		1
Direct sales revenue, net		3,638			3,377			7,063			6,165

Sales to Falikang:
Gross transaction price		49,352			42,153			92,912			76,402
Profit share		(21,397	)		(18,312	)		(40,420	)		(33,300	)
Net transaction price		27,955			23,841			52,492			43,102
Decrease (increase) in deferred revenue		18,050			(3,329	)		20,626			(1,218	)
Sales to Falikang revenue, net		46,005			20,512			73,118			41,884
Total product revenue, net	$	49,643		$	23,889		$	80,181		$	48,049

Summary of Amounts Recognized as Revenue

Amounts recognized as revenue under the agreements with Eluminex were as follows for the three and six months ended June 30, 2024 and 2023 (in thousands):


		Three Months Ended June 30,				Six Months Ended June 30,
Agreement	Performance Obligation	2024		2023		2024		2023
Eluminex	License revenue	$	—	$	1,000	$	—	$	7,000
	Other revenue - contract manufacturing	$	—	$	246	$	116	$	482

Roll-forward of Related Contract Liabilities

The following table includes a roll-forward of the above-mentioned deferred revenues that are considered as contract liabilities related to drug product (in thousands):


	Balance at December 31, 2023			Recognized as Revenue		Reclassified to Accrued Liability / Accounts Payable		Balance at June 30, 2024
Drug product revenue - deferred revenue:
Astellas Europe Agreement	$	(16,925	)	$	2,116	$	5,406	$	(9,403	)

Roll-forward of Related Contract Liabilities

The following table includes a roll-forward of the related deferred revenue that is considered as a contract liability (in thousands):


	Balance at December 31, 2023			Additions			Recognized as Revenue		Currency Translation and Other		Balance at June 30, 2024
Product revenue - AstraZeneca China performance obligation - deferred revenue	$	(179,851	)	$	(53,269	)	$	73,118	$	1,409	$	(158,593	)

Transaction Price Related to Consideration Received and Accounts Receivable Allocated to Performance Obligations and Product Revenue Net

The transaction price related to consideration received through June 30, 2024 and accounts receivable has been allocated to each of the following performance obligations under the Astellas Japan Agreement (in thousands):


Astellas Japan Agreement	Total Consideration Through June 30, 2024
License	$	100,347
Development revenue		17,100
Total license and development revenue	$	117,447

Summary of License Revenue and Development Revenue Recognized under Agreement

Amounts recognized as license revenue and development revenue under the Astellas Europe Agreement were as follows for the three and six months ended June 30, 2024 and 2023 (in thousands):


		Three Months Ended June 30,				Six Months Ended June 30,
Agreement	Performance Obligation	2024		2023		2024		2023
Astellas Europe Agreement	Development revenue	$	318	$	1,806	$	606	$	3,335

Transaction Price Related to Consideration Received and Accounts Receivable Allocated to Performance Obligations and Product Revenue Net

The transaction price related to consideration received and accounts receivable through the termination of the AstraZeneca U.S./RoW Agreement has been allocated to each of the performance obligations under the AstraZeneca U.S./RoW Agreement and AstraZeneca China Agreement, including $344.5 million for license, $625.5 million for co-development, information sharing and committee services, and $427.5 million for China performance obligation (with cumulative revenue of $268.9 million through June 30, 2024) that is recognized as product revenue, as described under Product Revenue, Net section below.