Note 10 – Deferred Revenues

Arrangements with customers include multiple deliverables, consisting of an initial delivery of seeds and a contingent portion of the purchase price that is payable on the customer’s future harvest of the plants grown from such seeds. Deferred revenues associated with these multiple-element arrangements were $10,114 and $11,808 at March 31, 2023 and December 31, 2022, respectively. Related deferred cost of goods sold were $5,923 and $6,655 at March 31, 2023 and December 31, 2022, respectively, resulting in deferred gross margins of $4,191 and $5,153 at March 31, 2023 and December 31, 2022, respectively, that is expected to be recognized upon the customers’ completion of their harvests in future periods.