5. Total revenues and other income

Revenues

The following table summarizes the revenues for the years ended 31 December 2015 and 2014.

Total revenues decreased by €29.8 million, or 43%, to €39.6 million for the year ended 31 December 2015, from €69.4 million for the year ended 31 December 2014. This decrease was mainly driven by lower recognition of non-refundable upfront payments and reduced milestone payments, as explained below.

Revenue from non-refundable upfront payments related to the deferred recognition of upfront payments received under the agreements with AbbVie, amounting to €111.6 million in 2012 and €49.6 million in 2013, which were amortized over a period ranging from 21 to 42 months, based on the estimated period of our involvement.

Milestone revenues and costs reimbursements decreased by €12.1 million, or 61%, to €7.6 million for the year ended 31 December 2015 compared to €19.8 million for the year ended 31 December 2014. This decrease was primarily related to fewer milestones achieved in 2015 compared to 2014 as a result of the increasing proprietary nature of our pipeline programs. For the year ended 31 December 2015 €2.2 million and €1.2 million of costs were reimbursed in relation with respectively the CF and Filgotinib Collaboration Agreement with AbbVie, and €3.8 million of milestones related to partnered programs with Servier were recognized. For the year ended 31 December 2014 €8.3 million of milestones were recognized in relation with the CF Collaboration Agreement with AbbVie and €11.5 million of milestones primarily related to partnered programs with Janssen Pharmaceutica, Servier and GSK.

Other revenues increased by €1.7 million, or 46%, to €5.5 million for the year ended 31 December 2015 compared to €3.8 million for the year ended 31 December 2014, principally due to higher revenues from fee-for-service activities.

Other income

The following table summarizes other income for the years ended 31 December 2015 and 2014.

Total other income was composed of grant income and other income and increased by €0.4 million, or 2%, from €20.7 million for the year ended 31 December 2014 to €21.0 million for the year ended 31 December 2015.

Grant income decreased by €2.6 million, or 45%, from €5.6 million for the year ended 31 December 2014 to €3.1 million for the year ended 31 December 2015. The majority of this grant income was related to grants from a Flemish agency, representing approximately 94% of all reported grant income in both years. In many cases these carry clauses which require us to maintain a presence in the same region for a number of years and invest according to pre-agreed budgets.

The decrease in grant income was compensated by an increase in other income of €2.9 million, or 19%, from €15.0 million for the year ended 31 December 2014 to €17.9 million for the year ended 31 December 2015. Other income was primarily composed of:

• Income from an innovation incentive system of the French government, which represented €8.7 million of other income for the year ended 31 December 2015 compared to €7.8 million for the year ended 31 December 2014
• Income from Belgian R&D incentives with regard to incurred R&D expenses, which represented €5.3 million of other income for the year ended 31 December 2015 compared to €4.3 million for the year ended 31 December 2014
• Tax rebates on payroll withholding taxes of R&D personnel in Belgium and The Netherlands, representing €3.0 million of other income for the year ended 31 December 2015 compared to €2.4 million for the year ended 31 December 2014