Company: AGIO
Filing Date: 2025-02-13
Form Type: 10-K
Source: 0001439222-25-000009
Chunk: 895

Company: AGIOS PHARMACEUTICALS, INC.
Filing Date: 2025-02-13
Form: 10-K
Item: Item 12
Chunk 895
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 Accrued Expenses

Accrued expenses consisted of the following at December 31:(In thousands)20242023Accrued compensation$29,935 $23,232 Accrued research and development costs10,548 15,463 Accrued professional fees4,316 3,115 Accrued other2,062 1,357 Total accrued expenses$46,861 $43,167 

F-18

Note 8. Product Revenue

We generate product revenue from sales of PYRUKYND® to a limited number of specialty distributors and specialty pharmacy providers, or collectively, the Customers. These Customers subsequently resell PYRUKYND® to pharmacies or dispense PYRUKYND® directly to patients. In addition to distribution agreements with Customers, we enter into arrangements with healthcare providers and payors that provide for government-mandated and/or privately-negotiated rebates, chargebacks and discounts with respect to the purchase of PYRUKYND®.The performance obligation related to the sale of PYRUKYND® is satisfied and revenue is recognized when the Customer obtains control of the product, which occurs at a point in time, typically upon delivery to the Customer.Product revenue, net, was as follows for the years ended December 31: (In thousands)202420232022Product revenue, net$36,498 $26,823 $11,740 One Customer accounted for 95%, 96% and 97% of our consolidated revenues for the years ended December 31, 2024, 2023 and 2022, respectively, and 92% and 97% of accounts receivable from product sales for the years ended December 31, 2024 and 2023, respectively.Reserves for Variable ConsiderationRevenues from product sales are recorded at the net sales price, or transaction price, which includes estimates of variable consideration for which reserves are established and result from contractual adjustments, government rebates, returns and other allowances that are offered within the contracts with our Customers, healthcare providers, payors and other indirect customers relating to the sale of our products.The following tables summarize balances and activity in each of the product revenue allowance and reserve categories for the years ended December 31, 2024 and December 31, 2023:(In thousands)Contractual AdjustmentsGovernment RebatesReturnsTotalBalance at December 31, 2023$156 $1,084 $232