The API sales on the other hand I can understand why an accountant would want them to recognise it even though it is zero gross margin.
That said I think the correct way to analyse the company revenue from an investors perspective is to remove the R&D refund (because not revenue) and the API sales (because zero margin).
In doing so we are left with just $0.5m of licencing revenue which is my view of the "true revenue" generated by the company.
Ann: Appendix 4D and Half Year Accounts, page-3
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