NorthWest Biotherapeutics Inc (NWBO)

[notbrad]

Hi Lunatick, sorry I did not see your earlier question. Please see my post 41791, which I think may answer it. I'm copy and pasting here:

From 10-K as of Dec 31, 2014, financial statement footnotes, section on "Revenue Recognition"

Quote:
The Company recognizes revenue in accordance with the terms stipulated under the patient service contract. In various situations, the Company receives certain payments for DCVax®-L for patient treatment. These payments are non-refundable, and are not dependent on the Company’s ongoing future performance. The Company has adopted a policy of recognizing these payments as revenue when received.


From 10-Q as of June 30, 2015, section on "Operating costs":

Quote:
Our operating costs also include the costs of preparations for the expansion of our clinical trial programs including the Phase III trial in the US, UK, Germany and Canada (with DCVax-L for brain cancer), early access programs in Europe,


The fact that revenue from HE has not showed up in their income statement bothered me a bit. But a little research on the above confirms the following: costs related to HE have already been recognized in the income statement every quarter. However, since revenue recognition policy states that revenues will be recognized in the income statement only when received (as opposed to accrued), these revenues will show up in the income statement once reimbursement (assuming price of treatment is the unknown variable) is finalized - supporting your view.

Moreover, the above confirms for me that HE costs ARE being incurred (meaning there are patients being treated), and these revenues will be recognized when payment is received.