3. Product Revenue

To date, our only source of product revenue has been from the U.S. sales of XPOVIO. The following table summarizes activity in each of the product revenue allowance and reserve categories (in thousands):

 

 

Discounts and
Chargebacks

 

 

Fees, Rebates,
and Other
Incentives

 

 

Returns

 

 

Total

 

Beginning balance as of January 1, 2023

 

$

2,865

 

 

$

3,734

 

 

$

542

 

 

$

7,141

 

Provision related to sales in the current year

 

 

21,106

 

 

 

11,025

 

 

 

 

 

 

32,131

 

Credits or payments made

 

 

(21,455

)

 

 

(10,089

)

 

 

(224

)

 

 

(31,768

)

Ending balance as of December 31, 2023

 

 

2,516

 

 

 

4,670

 

 

 

318

 

 

 

7,504

 

Provision related to sales in the current year

 

 

29,346

 

 

 

18,021

 

 

 

3,172

 

 

 

50,539

 

Credits or payments made

 

 

(27,632

)

 

 

(8,848

)

 

 

(1,635

)

 

 

(38,115

)

Ending balance as of December 31, 2024

 

 

4,230

 

 

 

13,843

 

 

 

1,855

 

 

 

19,928

 

Provision related to sales in the current year

 

 

25,843

 

 

 

19,003

 

 

 

1,335

 

 

 

46,181

 

Provision related to sales in the prior year

 

 

 

 

 

1,305

 

 

 

4,519

 

 

 

5,824

 

Credits or payments made

 

 

(26,799

)

 

 

(10,603

)

 

 

(3,537

)

 

 

(40,939

)

Ending balance as of December 31, 2025

 

$

3,274

 

 

$

23,548

 

 

$

4,172

 

 

$

30,994

 

Discounts and chargebacks are recorded as reductions of accounts receivable, and returns, fees, rebates, and other incentives are recorded as a component of accrued expenses and other liabilities.

As of December 31, 2025 and 2024, net product revenue of $22.7 million and $27.8 million, respectively, was included in accounts receivable, net.

Historical Timeline

Fiscal YearFiled
2025Feb 13, 2026Showing above
2024Feb 19, 2025
2023Feb 29, 2024
2022Feb 17, 2023
2021Mar 1, 2022
2020Feb 24, 2021
2019Feb 26, 2020

About Revenue Disclosures

Revenue disclosures under ASC 606 explain how a company identifies performance obligations, allocates transaction prices, and determines when revenue is recognized. This section is essential for understanding whether reported revenue reflects genuine economic activity or aggressive accounting choices. Analysts examine the mix of point-in-time versus over-time recognition, which directly affects revenue timing and comparability.

Key signals: rising contract liabilities (deferred revenue) suggest strong future revenue visibility, while declining contract assets may indicate slowing project milestones. Watch for variable consideration estimates — rebates, returns, and performance bonuses that require management judgment. Significant changes in disaggregated revenue by geography or product line can reveal shifting business mix before it appears in headline numbers. Compare revenue growth against contract liability growth to assess sustainability, and scrutinize any changes in the timing of recognition that coincide with earnings pressure.