SeaChange International (SEAC) 10-Q 9 Jun 16 2017 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Apr. 30, 2016	Jun. 03, 2016
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Apr. 30, 2016
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q1
Trading Symbol	SEAC
Entity Registrant Name	SEACHANGE INTERNATIONAL INC
Entity Central Index Key	1,019,671
Current Fiscal Year End Date	--01-31
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		35,156,227

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Apr. 30, 2016	Jan. 31, 2016
Current assets:
Cash and cash equivalents	$ 51,512	$ 58,733
Restricted cash	187	82
Marketable securities	4,759	1,504
Accounts and other receivables, net of allowance for doubtful accounts of $415 at April 30, 2016 and January 31, 2016, respectively	21,470	26,331
Unbilled receivables	11,847	10,680
Inventories, net	1,748	1,682
Prepaid expenses and other current assets	3,346	3,827
Total current assets	94,869	102,839
Property and equipment, net	13,537	14,129
Marketable securities, long-term	8,018	10,764
Investments in affiliates	2,500	2,500
Intangible assets, net	3,747	4,126
Goodwill	41,304	40,175
Other assets	2,909	3,136
Total assets	166,884	177,669
Current liabilities:
Accounts payable	4,678	6,132
Deferred stock consideration		3,205
Deferred revenues	16,888	16,201
Other accrued expenses	15,964	17,414
Total current liabilities	37,530	42,952
Deferred revenues, long-term	886	1,209
Taxes payable, long-term	1,462	1,389
Other liabilities, long-term	1,170	1,101
Total liabilities	$ 41,048	$ 46,651
Commitments and contingencies (Note 7)
Stockholders' equity:
Common stock, $0.01 par value; 100,000,000 shares authorized; 34,426,497 shares issued and 34,386,007 outstanding at April 30, 2016, and 33,818,777 shares issued and 33,778,871 outstanding at January 31, 2016	$ 344	$ 338
Additional paid-in capital	231,270	228,164
Treasury stock, at cost; 40,490 and 39,906 common shares at April 30, 2016 and January 31, 2016, respectively	(5)	(2)
Accumulated loss	(99,776)	(90,869)
Accumulated other comprehensive loss	(5,997)	(6,613)
Total stockholders' equity	125,836	131,018
Total liabilities and stockholders' equity	$ 166,884	$ 177,669

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Apr. 30, 2016	Jan. 31, 2016
Statement of Financial Position [Abstract]
Allowance for doubtful accounts receivable	$ 415	$ 415
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	100,000,000	100,000,000
Common stock, shares issued	34,426,497	33,818,777
Common stock, shares outstanding	34,386,007	33,778,871
Treasury stock, common shares	40,490	39,906

Consolidated Statements of Oper

Consolidated Statements of Operations and Comprehensive Loss - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Apr. 30, 2016	Apr. 30, 2015
Revenues:
Products	$ 4,200	$ 3,164
Services	17,370	20,013
Total revenues	21,570	23,177
Cost of revenues:
Products	1,574	1,677
Services	10,459	11,203
Amortization of intangible assets	316	181
Stock-based compensation expense	72
Total cost of revenues	12,421	13,061
Gross profit	9,149	10,116
Operating expenses:
Research and development	8,699	9,533
Selling and marketing	3,557	3,668
General and administrative	4,071	3,887
Amortization of intangible assets	450	941
Stock-based compensation expense	40	711
Earn-outs and change in fair value of earn-outs		502
Professional fees - other	132	128
Severance and other restructuring costs	1,775	212
Total operating expenses	18,724	19,582
Loss from operations	(9,575)	(9,466)
Other income (expenses), net	922	(229)
Loss before income taxes and equity income in earnings of affiliates	(8,653)	(9,695)
Income tax provision	254	147
Equity income in earnings of affiliates, net of tax		17
Net loss	(8,907)	(9,825)
Net loss	(8,907)	(9,825)
Other comprehensive loss, net of tax:
Foreign currency translation adjustment	607	(277)
Unrealized gain (loss) on marketable securities	9	(12)
Comprehensive loss	$ (8,291)	$ (10,114)
Net loss per share:
Basic	$ (0.26)	$ (0.29)
Diluted	$ (0.26)	$ (0.29)
Weighted average common shares outstanding:
Basic	34,354	33,328
Diluted	34,354	33,328

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2016	Apr. 30, 2015
Cash flows from operating activities:
Net loss	$ (8,907)	$ (9,825)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization of property and equipment	794	870
Amortization of intangible assets	766	1,122
Fair value of acquisition-related contingent consideration		502
Stock-based compensation expense	112	711
Other	40	89
Changes in operating assets and liabilities, excluding impact of acquisition:
Accounts receivable	5,363	7,822
Unbilled receivables	(664)	(2,864)
Inventories	(91)	(148)
Prepaid expenses and other assets	853	(1,091)
Accounts payable	(1,736)	119
Accrued expenses	(2,201)	(2,118)
Deferred revenues	80	(1,467)
Other	29	(465)
Total cash used in operating activities	(5,562)	(6,743)
Cash flows from investing activities:
Purchases of property and equipment	(159)	(282)
Investment in capitalized software		(749)
Purchases of marketable securities	(502)	(2,033)
Proceeds from sale and maturity of marketable securities		4,034
Cash paid for acquisition of business, net of cash acquired		(11,686)
Other investing activities	(106)
Total cash used in investing activities	(767)	(10,716)
Cash flows from financing activities:
Proceeds from issuance of common stock	33
Other financing activities	(3)
Total cash provided by financing activities	30
Effect of exchange rate changes on cash	(922)	411
Net decrease in cash and cash equivalents	(7,221)	(17,048)
Cash and cash equivalents, beginning of period	58,733	90,019
Cash and cash equivalents, end of period	51,512	72,971
Supplemental disclosure of cash flow information:
Income taxes paid	43	183
Supplemental disclosure of non-cash investing and financing activities:
Transfer of items originally classified as inventories to equipment		$ 80
Common Stock [Member]
Supplemental disclosure of non-cash investing and financing activities:
Fair value of common stock issued for deferred stock consideration obligation	$ 3,205

Nature of Business and Basis of

Nature of Business and Basis of Presentation	3 Months Ended
	Apr. 30, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Nature of Business and Basis of Presentation	1. Nature of Business and Basis of Presentation The Company SeaChange International, Inc. and its consolidated subsidiaries (collectively “SeaChange”, “we”, or the “Company”) is an industry leader in the delivery of multiscreen video. Our products and services facilitate the aggregation, licensing, management and distribution of video and advertising content to cable television system operators, telecommunications companies, satellite operators and media companies. Basis of Presentation The accompanying unaudited consolidated financial statements include the accounts of SeaChange International, Inc. and its subsidiaries (“SeaChange” or the “Company”) and are prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) for interim financial reports as well as rules and regulations of the Securities and Exchange Commission (“SEC”). All intercompany transactions and balances have been eliminated. Certain information and footnote disclosures normally included in financial statements prepared under U.S. GAAP have been condensed or omitted pursuant to such regulations. However, we believe that the disclosures are adequate to make the information presented not misleading. In the opinion of management, the accompanying financial statements include all adjustments necessary to present a fair presentation of the consolidated financial statements for the periods shown. These consolidated financial statements should be read in conjunction with our most recently audited financial statements and related footnotes included in our Annual Report on Form 10-K (“Form 10-K”) as filed with the SEC. The balance sheet data as of January 31, 2016 that is included in this Quarterly Report on Form 10-Q (“Form 10-Q”) was derived from our audited financial statements. The preparation of these financial statements in conformity with U.S. GAAP, requires us to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues and expenses, and disclosure of contingent assets and liabilities. Interim results are not necessarily indicative of the operating results for the full fiscal year or any future periods and actual results may differ from our estimates. During the three months ended April 30, 2016, there have been no material changes to our significant accounting policies that were described in our fiscal 2016 Form 10-K, as filed with the SEC.

Significant Accounting Policies

Significant Accounting Policies	3 Months Ended
	Apr. 30, 2016
Accounting Policies [Abstract]
Significant Accounting Policies	2. Significant Accounting Policies Revenue Recognition Our transactions frequently involve the sales of hardware, software, systems and services in multiple-element arrangements. Revenues from sales of hardware, software and systems that do not require significant modification or customization of the underlying software are recognized when: • persuasive evidence of an arrangement exists; • delivery has occurred, and title and risk of loss have passed to the customer; • fees are fixed or determinable; and • collection of the related receivable is considered probable. Customers are billed for installation, training, project management and at least one year of product maintenance and technical support at the time of the product sale. Revenue from these activities is deferred at the time of the product sale and recognized ratably over the period these services are performed. Revenue from ongoing product maintenance and technical support agreements is recognized ratably over the period of the related agreements. Revenue from software development contracts that include significant modification or customization, including software product enhancements, is recognized based on the percentage of completion contract accounting method using labor efforts expended in relation to estimates of total labor efforts to complete the contract. The percentage of completion method requires that adjustments or re-evaluations to estimated project revenues and costs be recognized on a project-to-date cumulative basis, as changes to the estimates are identified. Revisions to project estimates are made as additional information becomes known, including information that becomes available subsequent to the date of the consolidated financial statements up through the date such consolidated financial statements are filed with the SEC. If the final estimated profit to complete a long-term contract indicates a loss, a provision is recorded immediately for the total loss anticipated. Accounting for contract amendments and customer change orders are included in contract accounting when executed. Revenue from shipping and handling costs and other out-of-pocket expenses reimbursed by customers are included in revenues and cost of revenues. Our share of intercompany profits associated with sales and services provided to affiliated companies are eliminated in consolidation in proportion to our equity ownership. Contract accounting requires judgment relative to assessing risks, estimating revenues and costs and making assumptions including, in the case of our professional services contracts, the total amount of labor required to complete a project and the complexity of the development and other technical work to be completed. Due to the size and nature of many of our contracts, the estimation of total revenues and cost at completion is complicated and subject to many variables. Assumptions have to be made regarding the length of time to complete the contract because costs also include estimated third-party vendor and contract labor costs. Penalties related to performance on contracts are considered in estimating sales and profit, and are recorded when there is sufficient information for us to assess anticipated performance. Third-party vendors’ assertions are also assessed and considered in estimating costs and margin. During fiscal 2016, we recorded a $9.2 million provision for loss contract as a result of costs associated with delays of customer acceptance relating to a fixed-price customer contract on a multi-year arrangement which included multiple vendors. We have agreed with the customer on the replacement of certain third-party vendors and a change in the timeline for the completion of the project. As the system integrator on the project, we are subject to any costs overruns or increases with these vendors resulting in delays or acceptance by our customer. Any further delays of acceptance by the customer will result in incremental expenditures and increase the loss. Revenue from the sale of software-only products remains within the scope of the software revenue recognition rules. Maintenance and support, training, consulting, and installation services no longer fall within the scope of the software revenue recognition rules, except when they are sold with and relate to a software-only product. Revenue recognition for products that no longer fall under the scope of the software revenue recognition rules is similar to that for other tangible products and Accounting Standard Update No. (“ASU”) 2009-13, “Revenue Recognition (Topic 605): Multiple-Deliverable Revenue Arrangements,” Under the software revenue recognition rules, the fee is allocated to the various elements based on vendor-specific objective evidence (“VSOE”) of fair value. Under this method, the total arrangement value is allocated first to undelivered elements based on their fair values, with the remainder being allocated to the delivered elements. Where fair value of undelivered service elements has not been established, the total arrangement value is recognized over the period during which the services are performed. The amounts allocated to undelivered elements, which may include project management, training, installation, maintenance and technical support and certain hardware and software components, are based upon the price charged when these elements are sold separately and unaccompanied by the other elements. The amount allocated to installation, training and project management revenue is based upon standard hourly billing rates and the estimated time necessary to complete the service. These services are not essential to the functionality of systems as these services do not alter the equipment’s capabilities, are available from other vendors and the systems are standard products. For multiple-element arrangements that include software development with significant modification or customization and systems sales where VSOE of the fair value does not exist for the undelivered elements of the arrangement (other than maintenance and technical support), percentage of completion accounting is applied for revenue recognition purposes to the entire arrangement with the exception of maintenance and technical support. Under the revenue recognition rules for tangible products as amended by ASU 2009-13, the fee from a multiple-deliverable arrangement is allocated to each of the deliverables based upon their relative selling prices as determined by a selling-price hierarchy. A deliverable in an arrangement qualifies as a separate unit of accounting if the delivered item has value to the customer on a stand-alone basis. A delivered item that does not qualify as a separate unit of accounting is combined with the other undelivered items in the arrangement and revenue is recognized for those combined deliverables as a single unit of accounting. The selling price used for each deliverable is based upon VSOE if available, third-party evidence (“TPE”) if VSOE is not available, and best estimate of selling price (“BESP”) if neither VSOE nor TPE are available. TPE is the price of the Company’s, or any competitor’s, largely interchangeable products or services in stand-alone sales to similarly situated customers. BESP is the price at which we would sell the deliverable if it were sold regularly on a stand-alone basis, considering market conditions and entity-specific factors. The selling prices used in the relative selling price allocation method for certain of our services are based upon VSOE. The selling prices used in the relative selling price allocation method for third-party products from other vendors are based upon TPE. The selling prices used in the relative selling price allocation method for our hardware products, software, subscriptions, and customized services for which VSOE does not exist are based upon BESP. We do not believe TPE exists for these products and services because they are differentiated from competing products and services in terms of functionality and performance and there are no competing products or services that are largely interchangeable. Management establishes BESP with consideration for market conditions, such as the impact of competition and geographic considerations, and entity-specific factors, such as the cost of the product, discounts provided and profit objectives. Management believes that BESP is reflective of reasonable pricing of that deliverable as if priced on a stand-alone basis. For our cloud and managed service revenues, we generate revenue from two sources: (1) subscription and support services; and (2) professional services and other. Subscription and support revenue includes subscription fees from customers accessing our cloud-based software platform and support fees. Our arrangements with customers do not provide the customer with the right to take possession of the software supporting the cloud-based software platform at any time. Professional services and other revenue include fees from implementation and customization to support customer requirements. Amounts that have been invoiced are recorded in accounts receivable and in deferred revenue or revenue, depending on whether the revenue recognition criteria have been met. For the most part, subscription and support agreements are entered into for 12 to 36 months. Generally, a majority of the professional services component of the arrangements with customers is performed within a year of entering into a contract with the customer. In most instances, revenue from a new customer acquisition is generated under sales agreements with multiple elements, comprised of subscription and support and other professional services. We evaluate each element in a multiple-element arrangement to determine whether it represents a separate unit of accounting. An element constitutes a separate unit of accounting when the delivered item has standalone value and delivery of the undelivered element is probable and within our control. In determining when to recognize revenue from a customer arrangement, we are often required to exercise judgment regarding the application of our accounting policies to a particular arrangement. The primary judgments used in evaluating revenue recognized in each period involve: determining whether collection is probable, assessing whether the fee is fixed or determinable, and determining the fair value of the maintenance and service elements included in multiple-element software arrangements. Such judgments can materially impact the amount of revenue that we record in a given period. While we follow specific and detailed rules and guidelines related to revenue recognition, we make and use significant management judgments and estimates in connection with the revenue recognized in any reporting period, particularly in the areas described above. If management made different estimates or judgments, material differences in the timing of the recognition of revenue could occur.

Fair Value Measurements

Fair Value Measurements	3 Months Ended
	Apr. 30, 2016
Fair Value Disclosures [Abstract]
Fair Value Measurements	3. Fair Value Measurements Definition and Hierarchy The applicable accounting guidance defines fair value as the exchange price that would be received for an asset or paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The guidance establishes a framework for measuring fair value and expands required disclosure about the fair value measurements of assets and liabilities. This guidance requires us to classify and disclose assets and liabilities measured at fair value on a recurring basis, as well as fair value measurements of assets and liabilities measured on a non-recurring basis in periods subsequent to initial measurement, in a fair value hierarchy. The fair value hierarchy is broken down into three levels based on the reliability of inputs and requires an entity to maximize the use of observable inputs, where available. The following summarizes the three levels of inputs required, as well as the assets and liabilities that we value using those levels of inputs: • Level 1 – Observable inputs that reflect quoted prices for identical assets or liabilities in active markets. • Level 2 – Observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not very active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. • Level 3 – Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. The fair value of the contingent consideration obligations related to our business acquisitions are valued using Level 3 inputs. Valuation Techniques Inputs to valuation techniques are observable and unobservable. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect our market assumptions. When developing fair value estimates for certain financial assets and liabilities, we maximize the use of observable inputs and minimize the use of unobservable inputs. When available, we use quoted market prices, market comparables and discounted cash flow projections. Financial assets include money market funds, U.S. treasury notes or bonds and U.S. government agency bonds. In general, and where applicable, we use quoted prices in active markets for identical assets or liabilities to determine fair value. If quoted prices in active markets for identical assets or liabilities are not available to determine fair value, then we use quoted prices for similar assets and liabilities or inputs that are observable either directly or indirectly. In periods of market inactivity, the observability of prices and inputs may be reduced for certain instruments. This condition could cause an instrument to be reclassified from Level 1 to Level 2 or from Level 2 to Level 3. Assets and Liabilities that are Measured at Fair Value on a Recurring Basis The following tables set forth our financial assets and liabilities that were accounted for at fair value on a recurring basis as of April 30, 2016 and January 31, 2016. There were no fair value measurements of our financial assets and liabilities using significant level 3 inputs for the periods presented: Fair Value at April 30, 2016 Using April 30, 2016 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) (Amounts in thousands) Financial assets: Money market accounts (a) $ 3,169 $ 3,169 $ — Available for sale marketable securities: Current marketable securities: U.S. treasury notes and bonds - conventional 3,757 3,757 — U.S. government agency issues 1,002 — 1,002 Non-current marketable securities: U.S. treasury notes and bonds - conventional 4,513 4,513 — U.S. government agency issues 3,505 — 3,505 Total $ 15,946 $ 11,439 $ 4,507 Fair Value at January 31, 2016 Using January 31, 2016 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) (Amounts in thousands) Financial assets: Money market accounts (a) $ 3,654 $ 3,654 $ — Available for sale marketable securities: Current marketable securities: U.S. treasury notes and bonds - conventional 502 502 — U.S. government agency issues 1,002 — 1,002 Non-current marketable securities: U.S. treasury notes and bonds - conventional 7,762 7,762 — U.S. government agency issues 3,002 — 3,002 Total $ 15,922 $ 11,918 $ 4,004 (a) Money market funds and U.S. treasury bills are included in cash and cash equivalents on the accompanying consolidated balance sheets and are valued at quoted market prices for identical instruments in active markets. Assets and Liabilities that are Measured at Fair Value on a Nonrecurring Basis Assets and liabilities that are measured at fair value on a nonrecurring basis relate primarily to our tangible property and equipment, goodwill, and other intangible assets, which are re-measured when the derived fair value is below carrying value on our consolidated balance sheets. For these assets and liabilities, we do not periodically adjust carrying value to fair value except in the event of impairment. When we determine that impairment has occurred, the carrying value of the asset is reduced to fair value and the difference is recorded to loss from impairment in our consolidated statements of operations and comprehensive loss. We did not record any significant charges to assets measured at fair value on a nonrecurring basis during the three months ended April 30, 2016 and 2015. Available-For-Sale Securities We determine the appropriate classification of debt investment securities at the time of purchase and reevaluate such designation as of each balance sheet date. Our investment portfolio consists of money market funds, U.S. treasury notes and bonds, and U.S. government agency notes and bonds as of April 30, 2016 and January 31, 2016. All highly liquid investments with an original maturity of three months or less when purchased are considered to be cash equivalents. All cash equivalents are carried at cost, which approximates fair value. Our marketable securities are classified as available-for-sale and are reported at fair value with unrealized gains and losses, net of tax, reported in stockholders’ equity as a component of accumulated other comprehensive loss. The amortization of premiums and accretion of discounts to maturity are computed under the effective interest method and are included in other income (expenses), net, in our consolidated statements of operations and comprehensive loss. Interest on securities is recorded as earned and is also included in other income (expenses), net. Any realized gains or losses would be shown in the accompanying consolidated statements of operations and comprehensive loss in other income (expenses), net. We provide fair value measurement disclosures of available-for-sale securities in accordance with one of three levels of fair value measurement mentioned above. The following is a summary of cash, cash equivalents and available-for-sale securities, including the cost basis, aggregate fair value and gross unrealized gains and losses, for short- and long-term marketable securities portfolio as of April 30, 2016 and January 31, 2016: Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value (Amounts in thousands) April 30, 2016: Cash $ 48,343 $ — $ — $ 48,343 Cash equivalents 3,169 — — 3,169 Cash and cash equivalents 51,512 — — 51,512 U.S. treasury notes and bonds - short-term 3,754 3 — 3,757 U.S. treasury notes and bonds - long-term 4,502 11 — 4,513 U.S, government agency issues - short-term 1,001 1 — 1,002 U.S, government agency issues - long-term 3,480 25 — 3,505 Total cash, cash equivalents and marketable securities $ 64,249 $ 40 $ — $ 64,289 January 31, 2016: Cash $ 55,079 $ — $ — $ 55,079 Cash equivalents 3,654 — — 3,654 Cash and cash equivalents 58,733 — — 58,733 U.S. treasury notes and bonds - short-term 503 — (1 ) 502 U.S. treasury notes and bonds - long-term 7,756 6 — 7,762 U.S, government agency issues - short-term 1,001 1 — 1,002 U.S, government agency issues - long-term 2,977 25 — 3,002 Total cash, cash equivalents and marketable securities $ 70,970 $ 32 $ (1 ) $ 71,001 The gross realized gains and losses on sale of available-for-sale securities as of April 30, 2016 and January 31, 2016 were immaterial. For purposes of determining gross realized gains and losses, the cost of securities is based on specific identification. Contractual maturities of available-for-sale investments as of April 30, 2016 are as follows (amounts in thousands): Estimated Maturity of one year or less $ 4,759 Maturity between one and five years 8,018 Total $ 12,777 Cash, Cash Equivalents and Marketable Securities Cash and cash equivalents consist primarily of highly liquid investments in money market mutual funds, government sponsored enterprise obligations, treasury bills, commercial paper and other money market securities with remaining maturities at date of purchase of 90 days or less. The fair value of cash, cash equivalents, restricted cash and marketable securities at April 30, 2016 and January 31, 2016 was $64.5 million and $71.1 million, respectively. Restricted Cash At times, we may be required to maintain cash held as collateral for performance obligations with our customers which we classify as restricted cash on our consolidated balance sheets. As of April 30, 2016 and January 31, 2016 we had $0.2 million and $0.1 million, respectively, in restricted cash related to performance obligations.

TLL, LLC Acquisition and Loss o

TLL, LLC Acquisition and Loss on Impairment	3 Months Ended
	Apr. 30, 2016
Business Combinations [Abstract]
TLL, LLC Acquisition and Loss on Impairment	4. TLL, LLC Acquisition and Loss on Impairment On February 2, 2015, pursuant to an Agreement and Plan of Merger (the “Merger Agreement”), dated as of December 22, 2014, we acquired 100% of the member interests in TLL, LLC (“Timeline Labs”), a privately-owned California-based software-as-a-service (“SaaS”) company. We accounted for the acquisition of Timeline Labs as a business combination and the financial results of Timeline Labs have been included in our consolidated financial statements as of the date of acquisition. Under the acquisition method of accounting, the purchase price was allocated to SeaChange’s net tangible and intangible assets based upon their fair values as of February 2, 2015. The allocation of the purchase price was as follows (amounts in thousands): Fair value of consideration: Cash, net of cash acquired $ 14,186 Closing stock consideration 3,019 Deferred stock consideration 4,959 Contingent consideration 475 Total purchase price $ 22,639 Fair value of assets acquired and liabilities assumed: Current assets 95 Other long-term assets 108 Finite-life intangible assets 6,720 Goodwill 15,787 Current liabilities (71 ) Allocated purchase price $ 22,639 Fair Value of Consideration Transferred Upon completion of the acquisition, the Company made cash consideration payments to the former members of Timeline Labs in the amount of $14.2 million (“Closing Cash Consideration”). The Closing Cash Consideration included $1.4 million deposited in escrow to secure certain indemnification obligations of the former members of Timeline Labs under the Merger Agreement. Also upon completion of the acquisition, the Company issued 344,055 shares of common stock to the former members of Timeline Labs and deposited 173,265 shares of common stock into escrow. On August 3, 2015, we issued 260,537 shares of our common stock with a value of $1.8 million to the former members of Timeline Labs, in satisfaction of the six-month deferred stock consideration obligation pursuant to the Merger Agreement. In satisfaction of the twelve-month deferred stock consideration obligation pursuant to the Merger Agreement, on February 2, 2016 we issued 542,274 shares of our common stock with a value of $3.2 million and in May 2016, pursuant to an adjustment mechanism based on stock price provided for in the Merger Agreement with respect to deferred stock consideration issuances, we issued an additional 70,473 shares of our common stock with a value of $0.2 million. Contingent Consideration The former interest holders of Timeline Labs were eligible to receive earn-out compensation, consisting of shares of our common stock, if defined performance criteria were achieved for fiscal 2016 and 2017. We recorded a liability of $3.2 million in February 2015 in our consolidated balance sheets that represented the fair value of the estimated shares at full achievement of the defined performance criteria on the date of acquisition. As of January 31, 2016, the Company determined that the defined performance criteria would not be achieved and the liability was reduced to zero with a $0.4 million reversal of liability credited to loss on impairment of TLL, LLC net assets in our consolidated statements of operations and comprehensive loss for the fiscal year ended January 31, 2016. Intangible Assets In determining the fair value of the intangible assets, the Company considered, among other factors, the intended use of the assets, the estimates of future performance of Timeline Lab’s products and analyses of historical financial performance. The fair values of identified intangible assets were calculated using an income-based approach based on estimates and assumptions provided by Timeline Labs’ and the Company’s management. The following table sets forth the components of the identified intangible assets associated with the Timeline Labs acquisition and their estimated useful lives: Useful life Fair Value (Amounts in thousands) Tradename 7 years $ 620 Customer contracts 7 years 4,760 Non-compete agreements 2 years 170 Existing technology 5 years 1,170 $ 6,720 Acquired Goodwill We finalized the purchase price allocation in January 2016. We recorded the $15.8 million excess of the purchase price over the fair value of the identified tangible and intangible assets as goodwill, primarily due to expected synergies between the combined companies and expanded market opportunities. The goodwill was deductible for tax purposes. Acquisition-related Costs In connection with the acquisition, we incurred approximately $0.1 million in acquisition-related costs, including legal, accounting and other professional services for fiscal 2016. The acquisition costs were expensed as incurred and included in professional fees – other, in our consolidated statements of operations and comprehensive loss for the fiscal year ended January 31, 2016. Loss on Impairment of Assets In January 2016, our Board of Directors authorized a restructuring plan (including a possible winding down of the Timeline Labs operations), as previously reported in a Current Report on Form 8-K filed with the SEC on February 17, 2016. Based on the decision to enter into the restructuring plan and the plan’s impact on the projected future cash flows of the Timeline Labs operations, we determined that the carrying amount of all long-term assets that resulted from the February 2015 acquisition had exceeded their fair value as of January 31, 2016. As a result, these long-term assets were deemed fully impaired and we recorded the $21.9 million net book value of these long-term assets as a component of loss on impairment of TLL, LLC net assets in our consolidated statements of operations and comprehensive loss for the fiscal year ended January 31, 2016. Additionally, we reduced the contingent consideration liability associated with the Timeline Labs acquisition to zero, as we determined that the defined performance criteria would not be achieved, and credited the reversal of the liability of $0.4 million to loss on impairment of TLL, LLC net assets in our consolidated statements of operations and comprehensive loss for the fiscal year ended January 31, 2016. In addition, we incurred $0.6 million in severance and restructuring charges during the first quarter of fiscal 2017 related to cost-saving actions taken with respect to the Timeline Labs business.

Inventories

Inventories	3 Months Ended
	Apr. 30, 2016
Inventory Disclosure [Abstract]
Inventories	5. Inventories Inventories consist primarily of hardware and related component parts and are stated at the lower of cost (on a first-in, first-out basis) or market. Inventories consist of the following: April 30, January 31, 2016 2016 (Amounts in thousands) Components and assemblies $ 1,197 $ 1,223 Finished products 551 459 Total inventory $ 1,748 $ 1,682

Goodwill and Intangible Assets

Goodwill and Intangible Assets	3 Months Ended
	Apr. 30, 2016
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and Intangible Assets	6. Goodwill and Intangible Assets Goodwill Changes in the carrying amount of goodwill for the three months ended April 30, 2016 were as follows (amounts in thousands): Balance as of February 1, 2016 Goodwill $ 55,962 Accumulated impairment losses (15,787 ) $ 40,175 Cumulative translation adjustment 1,129 Balance as of April 30, 2016 Goodwill 57,091 Accumulated impairment losses (15,787 ) $ 41,304 We are required to perform impairment tests related to our goodwill annually, which we perform during the third quarter of each fiscal year, or when an indicator of impairment occurs. During the first quarter of fiscal 2017, as a result of the decline in our stock price since January 31, 2016, which we considered to be a triggering event, we performed an analysis of our goodwill and determined that there was no impairment to goodwill during the first quarter of fiscal 2017. Intangible Assets Intangible assets, net, consisted of the following at April 30, 2016 and January 31, 2016: As of April 30, 2016 As of January 31, 2016 Weighted average Gross Accumulated Net Gross Accumulated Net (Amounts in thousands) Finite-life intangible assets: Customer contracts 6.0 $ 30,555 $ (27,192 ) $ 3,363 $ 29,956 $ (26,284 ) $ 3,672 Non-compete agreements — 2,457 (2,457 ) — 2,365 (2,365 ) — Completed technology 5.5 10,389 (10,005 ) 384 10,075 (9,621 ) 454 Trademarks, patents and other — 7,087 (7,087 ) — 7,068 (7,068 ) — Total finite-life intangible assets $ 50,488 $ (46,741 ) $ 3,747 $ 49,464 $ (45,338 ) $ 4,126 As of April 30, 2016, the estimated future amortization expense for our finite-life intangible assets for the remainder of fiscal 2017, the four succeeding fiscal years is as follows (amounts in thousands): Estimated Amortization Fiscal Year Ended January 31, Expense 2017 (for the remaining nine months) $ 1,573 2018 1,301 2019 630 2020 243 2021 — 2022 and thereafter — Total $ 3,747

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Apr. 30, 2016
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	7. Commitments and Contingencies Indemnification and Warranties We provide indemnification, to the extent permitted by law, to our officers, directors, employees and agents for liabilities arising from certain events or occurrences while the officer, director, employee or agent is, or was, serving at our request in such capacity. With respect to acquisitions, we provide indemnification to, or assume indemnification obligations for, the current and former directors, officers and employees of the acquired companies in accordance with the acquired companies’ governing documents. As a matter of practice, we have maintained directors’ and officers’ liability insurance including coverage for directors and officers of acquired companies. We enter into agreements in the ordinary course of business with customers, resellers, distributors, integrators and suppliers. Most of these agreements require us to defend and/or indemnify the other party against intellectual property infringement claims brought by a third party with respect to our products. From time to time, we also indemnify customers and business partners for damages, losses and liabilities they may suffer or incur relating to personal injury, personal property damage, product liability, and environmental claims relating to the use of our products and services or resulting from the acts or omissions of us, our employees, authorized agents or subcontractors. From time to time we have received requests from customers for indemnification of patent litigation claims. Management cannot reasonably estimate any potential losses, but these claims could result in material liability for us. There are no current pending legal proceedings, in the opinion of management that would have a material adverse effect on our financial position, results from operations and cash flows. There is no assurance that future legal proceedings arising from ordinary course of business or otherwise, will not have a material adverse effect on our financial position, results from operations or cash flows. We warrant that our products, including software products, will substantially perform in accordance with our standard published specifications in effect at the time of delivery. In addition, we provide maintenance support to our customers and therefore allocate a portion of the product purchase price to the initial warranty period and recognize revenue on a straight line basis over that warranty period related to both the warranty obligation and the maintenance support agreement. When we enter into arrangements that include revenue for extended warranties beyond the standard duration, the revenue is deferred and recognized on a straight line basis over the contract period. Related costs are expensed as incurred. Revolving Line of Credit/Demand Note Payable We have a letter agreement with JP Morgan Chase Bank, N.A. (“JP Morgan”) for a demand discretionary line of credit and a Demand Promissory Note in the aggregate amount of $20.0 million, which expires on August 31, 2016. Borrowings under the line of credit will be used to finance working capital needs and for general corporate purposes. We currently do not have any borrowings and as a result, are not subject to any financial covenants under this line.

Severance and Other Restructuri

Severance and Other Restructuring Costs	3 Months Ended
	Apr. 30, 2016
Restructuring and Related Activities [Abstract]
Severance and Other Restructuring Costs	8. Severance and Other Restructuring Costs During the three months ended April 30, 2016, we incurred restructuring charges of $1.8 million primarily from severance costs for terminated employees. The following table shows the change in balances of our accrued severance reported as a component of other accrued expenses on the consolidated balance sheet as of April 30, 2016 (amounts in thousands): Accrual balance as of January 31, 2016 $ 47 Severance and other restructuring charges incurred 1,775 Severance costs paid (766 ) Other adjustments (325 ) Accrual balance as of April 30, 2016 $ 731 As a result of restructuring activities relating to our Timeline Labs operations in fiscal 2017, we incurred $0.6 million of charges, which include $0.4 million in severance to former Timeline Labs employees and $0.2 million in other restructuring charges relating to our remaining lease obligation of our Timeline Labs facility in San Francisco, California. In addition, effective April 6, 2016, we terminated the employment of Jay Samit, our former Chief Executive Officer (“CEO”). In connection with his termination, Mr. Samit and SeaChange entered into a Separation Agreement and Release of Claims (“Separation Agreement”). Under the terms of the Separation Agreement and consistent with our pre-existing obligations to Mr. Samit in connection with a termination without cause, we incurred a charge of $1.0 million in the first quarter of fiscal 2017, which included $0.2 million for satisfaction of his remaining fiscal 2016 and 2017 annual bonuses and $0.8 million in severance payable in twelve equal monthly installments which will be completed in the first quarter of fiscal 2018.

Stockholders' Equity

Stockholders' Equity	3 Months Ended
	Apr. 30, 2016
Equity [Abstract]
Stockholders' Equity	9. Stockholders’ Equity 2011 Compensation and Incentive Plan In July 2011, our stockholders approved the adoption of our 2011 Compensation and Incentive Plan (the “2011 Plan”). Under the 2011 Plan, as amended in July 2013, the number of shares of common stock authorized for grant is equal to 5,300,000 shares plus the number of shares that expired, terminated, surrendered or forfeited awards subsequent to July 20, 2011 under the Amended and Restated 2005 Equity Compensation and Incentive Plan (the “2005 Plan”). Following approval of the 2011 Plan, we terminated the 2005 Plan. The 2011 Plan provides for the grant of incentive stock options, nonqualified stock options, restricted stock, restricted stock units (“RSUs”), deferred stock units (“DSUs”) and other equity based non-stock option awards as determined by the plan administrator to officers, employees, consultants, and directors of the Company. Effective February 1, 2014, SeaChange gave its non-employee members of the Board of Directors the option to receive DSUs in lieu of RSUs, beginning with the annual grant for fiscal 2015. The number of units subject to the DSUs is determined as of the grant date and shall fully vest one year from the grant date. The shares underlying the DSUs are not vested and issued until the earlier of the director ceasing to be a member of the Board of Directors (provided such time is subsequent to the first day of the succeeding fiscal year) or immediately prior to a change in control. Commencing with fiscal 2016, we changed the policy regarding the timing of the equity grant from the first day of the applicable fiscal year to the date of our annual meeting of stockholders. To facilitate the transition, a partial year grant was made to our non-employee directors, effective February 1, 2015, and a full year grant was made to our non-employee directors, effective July 15, 2015. We may satisfy awards upon the exercise of stock options or the vesting of stock units with newly issued shares or treasury shares. The Board of Directors is responsible for the administration of the 2011 Plan and determining the terms of each award, award exercise price, the number of shares for which each award is granted and the rate at which each award vests. In certain instances the Board of Directors may elect to modify the terms of an award. As of April 30, 2016, there were 1,629,384 shares available for future grant under the 2011 Plan. Option awards may be granted to employees at an exercise price per share of not less than 100% of the fair market value per common share on the date of the grant. Stock units may be granted to any officer, employee, director, or consultant at a purchase price per share as determined by the Board of Directors. Option awards granted under the 2011 Plan generally vest over a period of one to four years and expire ten years from the date of the grant. In fiscal 2016, the Board of Directors developed a new Long-Term Incentive (“LTI”) Program under which the named executive officers of the Company will receive long-term equity-based incentive awards, which are intended to align the interests of our named executive officers with the long-term interests of our stockholders and to emphasize and reinforce our focus on team success. Long-term equity-based incentive compensation awards are made in the form of stock options, RSUs and performance stock units (“PSUs”) subject to vesting based in part on the extent to which employment continues for three years. We have granted market-based options to newly appointed officers. These stock options have an exercise price equal to our closing stock price on the date of grant and will vest in approximately equal increments based upon the closing price of SeaChange’s common stock. We record the fair value of these stock options using the Monte Carlo simulation model, since the stock option vesting is variable depending on the closing price of our traded common stock. The model simulated the daily trading price of the market-based stock options’ expected terms to determine if the vesting conditions would be triggered during the term. Effective April 6, 2016, Ed Terino, who previously served as our Chief Operating Officer (“COO”), was appointed Chief Executive Officer (“CEO”) of SeaChange. Mr. Terino was granted 600,000 market-based options, bringing the total of his market-based options, when added to the 200,000 market-based options he received upon hire as COO in June 2015, to 800,000 market-based options. The fair value of these stock options was estimated to be $2.2 million. As of April 30, 2016, $1.8 million remained unamortized on these market-based stock options, which will be expensed over the next 1.9 years, the remaining weighted average amortization period. 2015 Employee Stock Purchase Plan In July 2015 we adopted the 2015 Employee Stock Purchase Plan (the “ESPP”). The purpose of the ESPP is to provide eligible employees, including executive officers of SeaChange, with the opportunity to purchase shares of our common stock at a discount through accumulated payroll deductions of up to 15%, but not less than one percent of their eligible compensation, subject to any plan limitations. Offering periods typically commence on October 1 st st st th

Accumulated Other Comprehensive

Accumulated Other Comprehensive Loss	3 Months Ended
	Apr. 30, 2016
Equity [Abstract]
Accumulated Other Comprehensive Loss	10. Accumulated Other Comprehensive Loss The following shows the changes in the components of accumulated other comprehensive loss for the three months ended April 30, 2016: Foreign Changes in Total (Amounts in thousands) Balance at January 31, 2016 $ (6,644 ) $ 31 $ (6,613 ) Other comprehensive income 607 9 616 Balance at April 30, 2016 $ (6,037 ) $ 40 $ (5,997 ) Unrealized holding gains (losses) on securities available for sale are not material for the periods presented. Comprehensive loss consists of our net loss and other comprehensive income (loss), which includes foreign currency translation adjustments and changes in unrealized gains and losses on marketable securities available for sale. For purposes of comprehensive loss disclosures, we do not record tax expense or benefits for the net changes in the foreign currency translation adjustments, as we intend to permanently reinvest all undistributed earnings of our foreign subsidiaries.

Segment Information, Significan

Segment Information, Significant Customers and Geographic Information	3 Months Ended
	Apr. 30, 2016
Segment Reporting [Abstract]
Segment Information, Significant Customers and Geographic Information	11. Segment Information, Significant Customers and Geographic Information Segment Information Our operations are organized into one reportable segment. Operating segments are defined as components of an enterprise evaluated regularly by the Company’s chief operating decision maker in deciding how to allocate resources and assess performance. Our reportable segment was determined based upon the nature of the products offered to customers, the market characteristics of each operating segment and the Company’s management structure. Significant Customers The following summarizes revenues by significant customer where such revenue exceeded 10% of total revenues for the indicated period: Three Months Ended 2016 2015 Customer A 32 % 20 % Customer B N/A 17 % Geographic Information The following table summarizes revenues by customers’ geographic locations for the periods presented: Three Months Ended April 30, 2016 2015 Amount % Amount % (Amounts in thousands, except percentages) Revenues by customers’ geographic locations: North America(1) $ 10,671 50 % $ 13,779 59 % Europe and Middle East 9,141 42 % 7,566 33 % Latin America 1,185 5 % 1,098 5 % Asia Pacific 573 3 % 734 3 % Total $ 21,570 $ 23,177 (1) Includes total revenues for the United States for the periods shown as follows (amounts in thousands, except percentage data): Three Months Ended 2016 2015 U.S. Revenue $ 8,446 $ 11,935 % of total revenues 39.2 % 51.5 %

Income Taxes

Income Taxes	3 Months Ended
	Apr. 30, 2016
Income Tax Disclosure [Abstract]
Income Taxes	12. Income Taxes We recorded an income tax provision from continuing operations of $0.3 million for the three months ended April 30, 2016 primarily relating to income tax expense at our foreign jurisdictions. Our effective tax rate in fiscal 2017 and in future periods may fluctuate on a quarterly basis as a result of changes in our jurisdictional forecasts where losses cannot be benefitted due to the existence of valuation allowances on our deferred tax assets, changes in actual results versus our estimates, or changes in tax laws, regulations, accounting principles, or interpretations thereof. The Company reviews all available evidence to evaluate the recovery of deferred tax assets, including the recent history of losses in all tax jurisdictions, as well as its ability to generate income in future periods. As of April 30, 2016, due to the uncertainty related to the ultimate use of certain deferred income tax assets, the Company has recorded a valuation allowance on certain of its deferred assets. We file income tax returns in the U.S. federal jurisdiction, various state jurisdictions, and various foreign jurisdictions. We have closed out an audit with the Internal Revenue Service (“IRS”) through fiscal 2013, however, the taxing authorities will still have the ability to review the propriety of certain tax attributes created in closed years if such tax attributes are utilized in an open tax year, such as our federal research and development credit carryovers.

Net Loss Per Share

Net Loss Per Share	3 Months Ended
	Apr. 30, 2016
Earnings Per Share [Abstract]
Net Loss Per Share	13. Net Loss Per Share Net loss per share is presented in accordance with authoritative guidance which requires the presentation of “basic” and “diluted” earnings per share. Basic earnings (loss) per share is computed by dividing earnings (loss) available to common shareholders by the weighted-average shares of common stock outstanding during the period. For the purposes of calculating diluted earnings per share, the denominator includes both the weighted average number of shares of common stock outstanding during the period and the weighted average number of shares of potential dilutive shares of common stock, such as stock awards, calculated using the treasury stock method. Basic and diluted net loss per share was the same for all the periods presented as the impact of potential dilutive shares outstanding was anti-dilutive. The following table sets forth our computation of basic and diluted net loss per common share (amounts in thousands, except per share amounts): Three Months Ended 2016 2015 Net loss $ (8,907 ) $ (9,825 ) Weighted average shares used in computing net loss per share - basic and diluted 34,354 33,328 Net loss per share: Basic $ (0.26 ) $ (0.29 ) Diluted $ (0.26 ) $ (0.29 ) The number of common shares used in the computation of diluted net loss per share for the three months ended April 30, 2016 and 2015 does not include the effect of the following potentially outstanding common shares because the effect would have been anti-dilutive (amounts in thousands): Three Months Ended 2016 2015 Stock options 927 1,408 Restricted stock units 896 155 Deferred stock units 74 6 Total 1,897 1,569

Recent Accounting Standard Upda

Recent Accounting Standard Updates	3 Months Ended
	Apr. 30, 2016
Accounting Changes and Error Corrections [Abstract]
Recent Accounting Standard Updates	14. Recent Accounting Standard Updates We consider the applicability and impact of all ASUs. Updates not listed below were assessed and determined to be either not applicable or are expected to have minimal impact on our consolidated financial position or results of operations. Recently Issued Accounting Standard Updates – Not Yet Adopted Revenue from Contracts with Customers (Topic 606) In May 2014, the Financial Accounting Standards Board (“FASB”) issued ASU 2014-09, “Revenue from Contracts with Customers (Topic 606),” In March 2016, the FASB issued ASU 2016-08, “Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net).” In April 2016, the FASB issued ASU 2016-10, “Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing.” In May 2016, the FASB issued ASU 2016-12, “Revenue from Contracts with Customers (Topic 600): Narrow-Scope Improvements and Practical Expedients.” Leases In February 2016, the FASB issued ASU 2016-02, “Leases (Topic 842).” Stock Compensation In March 2016, the FASB issued ASU 2016-09, “Compensation – Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting.” Recently Issued Accounting Standard Updates – Adopted During the Period Accounting For Share-Based Payments - Performance Target Could Be Achieved after the Requisite Service Period In June 2014, the FASB issued ASU 2014-12, “Compensation - Stock Compensation (Topic 718) – Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period.” Intangibles-Goodwill and Other-Internal-Use Software In April 2015, the FASB issued ASU 2015-05, “Intangibles-Goodwill and Other-Internal-Use Software – Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement.” Simplifying the Accounting for Measurement-Period Adjustments In September 2015, the FASB issued ASU 2015-16, “Business Combinations (Topic 805): Simplifying the Accounting for Measurement-Period Adjustments.”

Subsequent Events

Subsequent Events	3 Months Ended
	Apr. 30, 2016
Subsequent Events [Abstract]
Subsequent Events	15. Subsequent Events Acquisition of DCC Labs On May 6, 2016 we acquired a 100% share of DCC Labs, a privately-held Warsaw, Poland-based set-top and multiscreen device software developer and integrator for approximately $8 million. The purchase price consisted of $5.4 million paid in cash and $2.6 million paid in shares of our common stock, with $0.5 million in cash and all of the stock consideration initially held in escrow as security for the indemnification obligations of the former DCC Labs owners to SeaChange under the purchase agreement. We expect DCC Labs will contribute several million dollars of revenue annually to SeaChange. The acquisition of DCC Labs enables us to optimize the operations of our In Home business, which is our developer of deployed software solutions including the SeaChange Nucleus home video gateway. In addition, the acquisition brings market-ready products, including an optimized television software stack for Europe’s Digital Video Broadcasting community and an HTML5 framework for building future-proof user interfaces for CPE devices. Reduction in Workforce for our In Home Business In conjunction with the DCC Labs acquisition, SeaChange commenced a workforce reduction within its In Home engineering and services organization, which will result in a charge of $1.0 million in severance and other restructuring costs during the second quarter of fiscal 2017. Once we complete our integration plan, any further reduction in workforce may result in additional restructuring charges.

Nature of Business and Basis 21

Nature of Business and Basis of Presentation (Policies)	3 Months Ended
	Apr. 30, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Basis of Presentation The accompanying unaudited consolidated financial statements include the accounts of SeaChange International, Inc. and its subsidiaries (“SeaChange” or the “Company”) and are prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) for interim financial reports as well as rules and regulations of the Securities and Exchange Commission (“SEC”). All intercompany transactions and balances have been eliminated. Certain information and footnote disclosures normally included in financial statements prepared under U.S. GAAP have been condensed or omitted pursuant to such regulations. However, we believe that the disclosures are adequate to make the information presented not misleading. In the opinion of management, the accompanying financial statements include all adjustments necessary to present a fair presentation of the consolidated financial statements for the periods shown. These consolidated financial statements should be read in conjunction with our most recently audited financial statements and related footnotes included in our Annual Report on Form 10-K (“Form 10-K”) as filed with the SEC. The balance sheet data as of January 31, 2016 that is included in this Quarterly Report on Form 10-Q (“Form 10-Q”) was derived from our audited financial statements. The preparation of these financial statements in conformity with U.S. GAAP, requires us to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues and expenses, and disclosure of contingent assets and liabilities. Interim results are not necessarily indicative of the operating results for the full fiscal year or any future periods and actual results may differ from our estimates. During the three months ended April 30, 2016, there have been no material changes to our significant accounting policies that were described in our fiscal 2016 Form 10-K, as filed with the SEC.
Revenue Recognition	Revenue Recognition Our transactions frequently involve the sales of hardware, software, systems and services in multiple-element arrangements. Revenues from sales of hardware, software and systems that do not require significant modification or customization of the underlying software are recognized when: • persuasive evidence of an arrangement exists; • delivery has occurred, and title and risk of loss have passed to the customer; • fees are fixed or determinable; and • collection of the related receivable is considered probable. Customers are billed for installation, training, project management and at least one year of product maintenance and technical support at the time of the product sale. Revenue from these activities is deferred at the time of the product sale and recognized ratably over the period these services are performed. Revenue from ongoing product maintenance and technical support agreements is recognized ratably over the period of the related agreements. Revenue from software development contracts that include significant modification or customization, including software product enhancements, is recognized based on the percentage of completion contract accounting method using labor efforts expended in relation to estimates of total labor efforts to complete the contract. The percentage of completion method requires that adjustments or re-evaluations to estimated project revenues and costs be recognized on a project-to-date cumulative basis, as changes to the estimates are identified. Revisions to project estimates are made as additional information becomes known, including information that becomes available subsequent to the date of the consolidated financial statements up through the date such consolidated financial statements are filed with the SEC. If the final estimated profit to complete a long-term contract indicates a loss, a provision is recorded immediately for the total loss anticipated. Accounting for contract amendments and customer change orders are included in contract accounting when executed. Revenue from shipping and handling costs and other out-of-pocket expenses reimbursed by customers are included in revenues and cost of revenues. Our share of intercompany profits associated with sales and services provided to affiliated companies are eliminated in consolidation in proportion to our equity ownership. Contract accounting requires judgment relative to assessing risks, estimating revenues and costs and making assumptions including, in the case of our professional services contracts, the total amount of labor required to complete a project and the complexity of the development and other technical work to be completed. Due to the size and nature of many of our contracts, the estimation of total revenues and cost at completion is complicated and subject to many variables. Assumptions have to be made regarding the length of time to complete the contract because costs also include estimated third-party vendor and contract labor costs. Penalties related to performance on contracts are considered in estimating sales and profit, and are recorded when there is sufficient information for us to assess anticipated performance. Third-party vendors’ assertions are also assessed and considered in estimating costs and margin. During fiscal 2016, we recorded a $9.2 million provision for loss contract as a result of costs associated with delays of customer acceptance relating to a fixed-price customer contract on a multi-year arrangement which included multiple vendors. We have agreed with the customer on the replacement of certain third-party vendors and a change in the timeline for the completion of the project. As the system integrator on the project, we are subject to any costs overruns or increases with these vendors resulting in delays or acceptance by our customer. Any further delays of acceptance by the customer will result in incremental expenditures and increase the loss. Revenue from the sale of software-only products remains within the scope of the software revenue recognition rules. Maintenance and support, training, consulting, and installation services no longer fall within the scope of the software revenue recognition rules, except when they are sold with and relate to a software-only product. Revenue recognition for products that no longer fall under the scope of the software revenue recognition rules is similar to that for other tangible products and Accounting Standard Update No. (“ASU”) 2009-13, “Revenue Recognition (Topic 605): Multiple-Deliverable Revenue Arrangements,” Under the software revenue recognition rules, the fee is allocated to the various elements based on vendor-specific objective evidence (“VSOE”) of fair value. Under this method, the total arrangement value is allocated first to undelivered elements based on their fair values, with the remainder being allocated to the delivered elements. Where fair value of undelivered service elements has not been established, the total arrangement value is recognized over the period during which the services are performed. The amounts allocated to undelivered elements, which may include project management, training, installation, maintenance and technical support and certain hardware and software components, are based upon the price charged when these elements are sold separately and unaccompanied by the other elements. The amount allocated to installation, training and project management revenue is based upon standard hourly billing rates and the estimated time necessary to complete the service. These services are not essential to the functionality of systems as these services do not alter the equipment’s capabilities, are available from other vendors and the systems are standard products. For multiple-element arrangements that include software development with significant modification or customization and systems sales where VSOE of the fair value does not exist for the undelivered elements of the arrangement (other than maintenance and technical support), percentage of completion accounting is applied for revenue recognition purposes to the entire arrangement with the exception of maintenance and technical support. Under the revenue recognition rules for tangible products as amended by ASU 2009-13, the fee from a multiple-deliverable arrangement is allocated to each of the deliverables based upon their relative selling prices as determined by a selling-price hierarchy. A deliverable in an arrangement qualifies as a separate unit of accounting if the delivered item has value to the customer on a stand-alone basis. A delivered item that does not qualify as a separate unit of accounting is combined with the other undelivered items in the arrangement and revenue is recognized for those combined deliverables as a single unit of accounting. The selling price used for each deliverable is based upon VSOE if available, third-party evidence (“TPE”) if VSOE is not available, and best estimate of selling price (“BESP”) if neither VSOE nor TPE are available. TPE is the price of the Company’s, or any competitor’s, largely interchangeable products or services in stand-alone sales to similarly situated customers. BESP is the price at which we would sell the deliverable if it were sold regularly on a stand-alone basis, considering market conditions and entity-specific factors. The selling prices used in the relative selling price allocation method for certain of our services are based upon VSOE. The selling prices used in the relative selling price allocation method for third-party products from other vendors are based upon TPE. The selling prices used in the relative selling price allocation method for our hardware products, software, subscriptions, and customized services for which VSOE does not exist are based upon BESP. We do not believe TPE exists for these products and services because they are differentiated from competing products and services in terms of functionality and performance and there are no competing products or services that are largely interchangeable. Management establishes BESP with consideration for market conditions, such as the impact of competition and geographic considerations, and entity-specific factors, such as the cost of the product, discounts provided and profit objectives. Management believes that BESP is reflective of reasonable pricing of that deliverable as if priced on a stand-alone basis. For our cloud and managed service revenues, we generate revenue from two sources: (1) subscription and support services; and (2) professional services and other. Subscription and support revenue includes subscription fees from customers accessing our cloud-based software platform and support fees. Our arrangements with customers do not provide the customer with the right to take possession of the software supporting the cloud-based software platform at any time. Professional services and other revenue include fees from implementation and customization to support customer requirements. Amounts that have been invoiced are recorded in accounts receivable and in deferred revenue or revenue, depending on whether the revenue recognition criteria have been met. For the most part, subscription and support agreements are entered into for 12 to 36 months. Generally, a majority of the professional services component of the arrangements with customers is performed within a year of entering into a contract with the customer. In most instances, revenue from a new customer acquisition is generated under sales agreements with multiple elements, comprised of subscription and support and other professional services. We evaluate each element in a multiple-element arrangement to determine whether it represents a separate unit of accounting. An element constitutes a separate unit of accounting when the delivered item has standalone value and delivery of the undelivered element is probable and within our control. In determining when to recognize revenue from a customer arrangement, we are often required to exercise judgment regarding the application of our accounting policies to a particular arrangement. The primary judgments used in evaluating revenue recognized in each period involve: determining whether collection is probable, assessing whether the fee is fixed or determinable, and determining the fair value of the maintenance and service elements included in multiple-element software arrangements. Such judgments can materially impact the amount of revenue that we record in a given period. While we follow specific and detailed rules and guidelines related to revenue recognition, we make and use significant management judgments and estimates in connection with the revenue recognized in any reporting period, particularly in the areas described above. If management made different estimates or judgments, material differences in the timing of the recognition of revenue could occur.
Fair Value Measurements	Fair Value Measurements Definition and Hierarchy The applicable accounting guidance defines fair value as the exchange price that would be received for an asset or paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The guidance establishes a framework for measuring fair value and expands required disclosure about the fair value measurements of assets and liabilities. This guidance requires us to classify and disclose assets and liabilities measured at fair value on a recurring basis, as well as fair value measurements of assets and liabilities measured on a non-recurring basis in periods subsequent to initial measurement, in a fair value hierarchy. The fair value hierarchy is broken down into three levels based on the reliability of inputs and requires an entity to maximize the use of observable inputs, where available. The following summarizes the three levels of inputs required, as well as the assets and liabilities that we value using those levels of inputs: • Level 1 – Observable inputs that reflect quoted prices for identical assets or liabilities in active markets. • Level 2 – Observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not very active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. • Level 3 – Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. The fair value of the contingent consideration obligations related to our business acquisitions are valued using Level 3 inputs. Valuation Techniques Inputs to valuation techniques are observable and unobservable. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect our market assumptions. When developing fair value estimates for certain financial assets and liabilities, we maximize the use of observable inputs and minimize the use of unobservable inputs. When available, we use quoted market prices, market comparables and discounted cash flow projections. Financial assets include money market funds, U.S. treasury notes or bonds and U.S. government agency bonds. In general, and where applicable, we use quoted prices in active markets for identical assets or liabilities to determine fair value. If quoted prices in active markets for identical assets or liabilities are not available to determine fair value, then we use quoted prices for similar assets and liabilities or inputs that are observable either directly or indirectly. In periods of market inactivity, the observability of prices and inputs may be reduced for certain instruments. This condition could cause an instrument to be reclassified from Level 1 to Level 2 or from Level 2 to Level 3.
Recent Accounting Standard Updates	Recent Accounting Standard Updates We consider the applicability and impact of all ASUs. Updates not listed below were assessed and determined to be either not applicable or are expected to have minimal impact on our consolidated financial position or results of operations. Recently Issued Accounting Standard Updates – Not Yet Adopted Revenue from Contracts with Customers (Topic 606) In May 2014, the Financial Accounting Standards Board (“FASB”) issued ASU 2014-09, “Revenue from Contracts with Customers (Topic 606),” In March 2016, the FASB issued ASU 2016-08, “Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net).” In April 2016, the FASB issued ASU 2016-10, “Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing.” In May 2016, the FASB issued ASU 2016-12, “Revenue from Contracts with Customers (Topic 600): Narrow-Scope Improvements and Practical Expedients.” Leases In February 2016, the FASB issued ASU 2016-02, “Leases (Topic 842).” Stock Compensation In March 2016, the FASB issued ASU 2016-09, “Compensation – Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting.” Recently Issued Accounting Standard Updates – Adopted During the Period Accounting For Share-Based Payments - Performance Target Could Be Achieved after the Requisite Service Period In June 2014, the FASB issued ASU 2014-12, “Compensation - Stock Compensation (Topic 718) – Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period.” Intangibles-Goodwill and Other-Internal-Use Software In April 2015, the FASB issued ASU 2015-05, “Intangibles-Goodwill and Other-Internal-Use Software – Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement.” Simplifying the Accounting for Measurement-Period Adjustments In September 2015, the FASB issued ASU 2015-16, “Business Combinations (Topic 805): Simplifying the Accounting for Measurement-Period Adjustments.”

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	3 Months Ended
	Apr. 30, 2016
Fair Value Disclosures [Abstract]
Fair Value of Financial Assets and Liabilities Measured on Recurring Basis	The following tables set forth our financial assets and liabilities that were accounted for at fair value on a recurring basis as of April 30, 2016 and January 31, 2016. There were no fair value measurements of our financial assets and liabilities using significant level 3 inputs for the periods presented: Fair Value at April 30, 2016 Using April 30, 2016 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) (Amounts in thousands) Financial assets: Money market accounts (a) $ 3,169 $ 3,169 $ — Available for sale marketable securities: Current marketable securities: U.S. treasury notes and bonds - conventional 3,757 3,757 — U.S. government agency issues 1,002 — 1,002 Non-current marketable securities: U.S. treasury notes and bonds - conventional 4,513 4,513 — U.S. government agency issues 3,505 — 3,505 Total $ 15,946 $ 11,439 $ 4,507 Fair Value at January 31, 2016 Using January 31, 2016 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) (Amounts in thousands) Financial assets: Money market accounts (a) $ 3,654 $ 3,654 $ — Available for sale marketable securities: Current marketable securities: U.S. treasury notes and bonds - conventional 502 502 — U.S. government agency issues 1,002 — 1,002 Non-current marketable securities: U.S. treasury notes and bonds - conventional 7,762 7,762 — U.S. government agency issues 3,002 — 3,002 Total $ 15,922 $ 11,918 $ 4,004 (a) Money market funds and U.S. treasury bills are included in cash and cash equivalents on the accompanying consolidated balance sheets and are valued at quoted market prices for identical instruments in active markets.
Summary of Available-for-Sale Securities	The following is a summary of cash, cash equivalents and available-for-sale securities, including the cost basis, aggregate fair value and gross unrealized gains and losses, for short- and long-term marketable securities portfolio as of April 30, 2016 and January 31, 2016: Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value (Amounts in thousands) April 30, 2016: Cash $ 48,343 $ — $ — $ 48,343 Cash equivalents 3,169 — — 3,169 Cash and cash equivalents 51,512 — — 51,512 U.S. treasury notes and bonds - short-term 3,754 3 — 3,757 U.S. treasury notes and bonds - long-term 4,502 11 — 4,513 U.S, government agency issues - short-term 1,001 1 — 1,002 U.S, government agency issues - long-term 3,480 25 — 3,505 Total cash, cash equivalents and marketable securities $ 64,249 $ 40 $ — $ 64,289 January 31, 2016: Cash $ 55,079 $ — $ — $ 55,079 Cash equivalents 3,654 — — 3,654 Cash and cash equivalents 58,733 — — 58,733 U.S. treasury notes and bonds - short-term 503 — (1 ) 502 U.S. treasury notes and bonds - long-term 7,756 6 — 7,762 U.S, government agency issues - short-term 1,001 1 — 1,002 U.S, government agency issues - long-term 2,977 25 — 3,002 Total cash, cash equivalents and marketable securities $ 70,970 $ 32 $ (1 ) $ 71,001
Schedule of Contractual Maturities Available-for-Sale Investments	Contractual maturities of available-for-sale investments as of April 30, 2016 are as follows (amounts in thousands): Estimated Maturity of one year or less $ 4,759 Maturity between one and five years 8,018 Total $ 12,777

TLL, LLC Acquisition and Loss23

TLL, LLC Acquisition and Loss on Impairment (Tables)	3 Months Ended
	Apr. 30, 2016
Summary of Allocation of Purchase Price	The allocation of the purchase price was as follows (amounts in thousands): Fair value of consideration: Cash, net of cash acquired $ 14,186 Closing stock consideration 3,019 Deferred stock consideration 4,959 Contingent consideration 475 Total purchase price $ 22,639 Fair value of assets acquired and liabilities assumed: Current assets 95 Other long-term assets 108 Finite-life intangible assets 6,720 Goodwill 15,787 Current liabilities (71 ) Allocated purchase price $ 22,639
Timeline Labs [Member]
Components of Identified Intangible Assets Associated with Timeline Labs Acquisition and their Estimated Useful Lives	The following table sets forth the components of the identified intangible assets associated with the Timeline Labs acquisition and their estimated useful lives: Useful life Fair Value (Amounts in thousands) Tradename 7 years $ 620 Customer contracts 7 years 4,760 Non-compete agreements 2 years 170 Existing technology 5 years 1,170 $ 6,720

Inventories (Tables)

Inventories (Tables)	3 Months Ended
	Apr. 30, 2016
Inventory Disclosure [Abstract]
Schedule of Inventories	Inventories consist primarily of hardware and related component parts and are stated at the lower of cost (on a first-in, first-out basis) or market. Inventories consist of the following: April 30, January 31, 2016 2016 (Amounts in thousands) Components and assemblies $ 1,197 $ 1,223 Finished products 551 459 Total inventory $ 1,748 $ 1,682

Goodwill and Intangible Assets

Goodwill and Intangible Assets (Tables)	3 Months Ended
	Apr. 30, 2016
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Change in Carrying Amount of Goodwill	Changes in the carrying amount of goodwill for the three months ended April 30, 2016 were as follows (amounts in thousands): Balance as of February 1, 2016 Goodwill $ 55,962 Accumulated impairment losses (15,787 ) $ 40,175 Cumulative translation adjustment 1,129 Balance as of April 30, 2016 Goodwill 57,091 Accumulated impairment losses (15,787 ) $ 41,304
Schedule of Intangible Assets	Intangible assets, net, consisted of the following at April 30, 2016 and January 31, 2016: As of April 30, 2016 As of January 31, 2016 Weighted average Gross Accumulated Net Gross Accumulated Net (Amounts in thousands) Finite-life intangible assets: Customer contracts 6.0 $ 30,555 $ (27,192 ) $ 3,363 $ 29,956 $ (26,284 ) $ 3,672 Non-compete agreements — 2,457 (2,457 ) — 2,365 (2,365 ) — Completed technology 5.5 10,389 (10,005 ) 384 10,075 (9,621 ) 454 Trademarks, patents and other — 7,087 (7,087 ) — 7,068 (7,068 ) — Total finite-life intangible assets $ 50,488 $ (46,741 ) $ 3,747 $ 49,464 $ (45,338 ) $ 4,126
Schedule of Finite-Life Intangible Assets, Future Amortization Expense	As of April 30, 2016, the estimated future amortization expense for our finite-life intangible assets for the remainder of fiscal 2017, the four succeeding fiscal years is as follows (amounts in thousands): Estimated Amortization Fiscal Year Ended January 31, Expense 2017 (for the remaining nine months) $ 1,573 2018 1,301 2019 630 2020 243 2021 — 2022 and thereafter — Total $ 3,747

Severance and Other Restructu26

Severance and Other Restructuring Costs (Tables)	3 Months Ended
	Apr. 30, 2016
Restructuring and Related Activities [Abstract]
Change in Severance Liability	The following table shows the change in balances of our accrued severance reported as a component of other accrued expenses on the consolidated balance sheet as of April 30, 2016 (amounts in thousands): Accrual balance as of January 31, 2016 $ 47 Severance and other restructuring charges incurred 1,775 Severance costs paid (766 ) Other adjustments (325 ) Accrual balance as of April 30, 2016 $ 731

Accumulated Other Comprehensi27

Accumulated Other Comprehensive Loss (Tables)	3 Months Ended
	Apr. 30, 2016
Equity [Abstract]
Schedule of Changes in Components of Accumulated Other Comprehensive Loss	The following shows the changes in the components of accumulated other comprehensive loss for the three months ended April 30, 2016: Foreign Changes in Total (Amounts in thousands) Balance at January 31, 2016 $ (6,644 ) $ 31 $ (6,613 ) Other comprehensive income 607 9 616 Balance at April 30, 2016 $ (6,037 ) $ 40 $ (5,997 )

Segment Information, Signific28

Segment Information, Significant Customers and Geographic Information (Tables)	3 Months Ended
	Apr. 30, 2016
Segment Reporting [Abstract]
Schedule of Revenue by Major Customers by Reporting Segments	The following summarizes revenues by significant customer where such revenue exceeded 10% of total revenues for the indicated period: Three Months Ended 2016 2015 Customer A 32 % 20 % Customer B N/A 17 %
Schedule of Revenue from External Customers Attributed to Foreign Countries by Geographic Area	The following table summarizes revenues by customers’ geographic locations for the periods presented: Three Months Ended April 30, 2016 2015 Amount % Amount % (Amounts in thousands, except percentages) Revenues by customers’ geographic locations: North America(1) $ 10,671 50 % $ 13,779 59 % Europe and Middle East 9,141 42 % 7,566 33 % Latin America 1,185 5 % 1,098 5 % Asia Pacific 573 3 % 734 3 % Total $ 21,570 $ 23,177 (1) Includes total revenues for the United States for the periods shown as follows (amounts in thousands, except percentage data): Three Months Ended 2016 2015 U.S. Revenue $ 8,446 $ 11,935 % of total revenues 39.2 % 51.5 %

Net Loss Per Share (Tables)

Net Loss Per Share (Tables)	3 Months Ended
	Apr. 30, 2016
Earnings Per Share [Abstract]
Schedule of Earnings Per Share, Basic and Diluted	The following table sets forth our computation of basic and diluted net loss per common share (amounts in thousands, except per share amounts): Three Months Ended 2016 2015 Net loss $ (8,907 ) $ (9,825 ) Weighted average shares used in computing net loss per share - basic and diluted 34,354 33,328 Net loss per share: Basic $ (0.26 ) $ (0.29 ) Diluted $ (0.26 ) $ (0.29 )
Schedule of Anti-dilutive Securities Excluded from Computation of Earnings Per Share	The number of common shares used in the computation of diluted net loss per share for the three months ended April 30, 2016 and 2015 does not include the effect of the following potentially outstanding common shares because the effect would have been anti-dilutive (amounts in thousands): Three Months Ended 2016 2015 Stock options 927 1,408 Restricted stock units 896 155 Deferred stock units 74 6 Total 1,897 1,569

Significant Accounting Polici30

Significant Accounting Policies - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended	12 Months Ended
	Apr. 30, 2016	Jan. 31, 2016
Significant Accounting Policies [Line Items]
Minimum period warranty of product	1 year
Provision for loss contract		$ 9.2
Minimum [Member]
Significant Accounting Policies [Line Items]
Support agreements	12 months
Maximum [Member]
Significant Accounting Policies [Line Items]
Support agreements	36 months

Fair Value Measurements - Addit

Fair Value Measurements - Additional Information (Detail) - USD ($)	3 Months Ended
	Apr. 30, 2016	Jan. 31, 2016	Apr. 30, 2015
Fair Value Measurements Disclosure [Line Items]
Fair value measurements of our financial assets and liabilities	$ 15,946,000	$ 15,922,000
Assets measured at fair value on nonrecurring basis	$ 0		$ 0
Maximum maturity of marketable securities	Three months or less
Cash equivalents and marketable securities	$ 64,500,000	71,100,000
Restricted cash related to performance obligations	187,000	82,000
Fair Value, Inputs, Level 3 [Member]
Fair Value Measurements Disclosure [Line Items]
Fair value measurements of our financial assets and liabilities	0	0
Cash Related to Performance Obligations [Member]
Fair Value Measurements Disclosure [Line Items]
Restricted cash related to performance obligations	$ 200,000	$ 100,000

Fair Value Measurements - Fair

Fair Value Measurements - Fair Value of Financial Assets and Liabilities Measured on Recurring Basis (Detail) - USD ($) $ in Thousands	Apr. 30, 2016	Jan. 31, 2016
Available for sale marketable securities:
Marketable securities, short-term	$ 4,759	$ 1,504
Non-current marketable securities:
Marketable securities, long-term	8,018	10,764
Total	15,946	15,922
U.S. Treasury Notes and Bonds Conventional [Member]
Available for sale marketable securities:
Marketable securities, short-term	3,757	502
Non-current marketable securities:
Marketable securities, long-term	4,513	7,762
U.S. Government Agency Issues Short Term [Member]
Available for sale marketable securities:
Marketable securities, short-term	1,002	1,002
U.S. Government Agency Issues Long Term [Member]
Non-current marketable securities:
Marketable securities, long-term	3,505	3,002
Money Market Accounts [Member]
Financial assets:
Cash and cash equivalents	3,169	3,654
Fair Value, Inputs, Level 1 [Member]
Non-current marketable securities:
Total	11,439	11,918
Fair Value, Inputs, Level 1 [Member] | U.S. Treasury Notes and Bonds Conventional [Member]
Available for sale marketable securities:
Marketable securities, short-term	3,757	502
Non-current marketable securities:
Marketable securities, long-term	4,513	7,762
Fair Value, Inputs, Level 1 [Member] | Money Market Accounts [Member]
Financial assets:
Cash and cash equivalents	3,169	3,654
Fair Value, Inputs, Level 2 [Member]
Non-current marketable securities:
Total	4,507	4,004
Fair Value, Inputs, Level 2 [Member] | U.S. Government Agency Issues Short Term [Member]
Available for sale marketable securities:
Marketable securities, short-term	1,002	1,002
Fair Value, Inputs, Level 2 [Member] | U.S. Government Agency Issues Long Term [Member]
Non-current marketable securities:
Marketable securities, long-term	$ 3,505	$ 3,002

Fair Value Measurements - Summa

Fair Value Measurements - Summary of Available-for-Sale Securities (Detail) - USD ($) $ in Thousands	Apr. 30, 2016	Jan. 31, 2016
Schedule of Available-for-Sale Securities [Line Items]
Amortized Cost	$ 64,249	$ 70,970
Gross Unrealized Gains	40	32
Gross Unrealized Losses		(1)
Estimated Fair Value	64,289	71,001
Cash [Member]
Schedule of Available-for-Sale Securities [Line Items]
Amortized Cost	48,343	55,079
Estimated Fair Value	48,343	55,079
Cash Equivalents [Member]
Schedule of Available-for-Sale Securities [Line Items]
Amortized Cost	3,169	3,654
Estimated Fair Value	3,169	3,654
Cash and Cash Equivalents [Member]
Schedule of Available-for-Sale Securities [Line Items]
Amortized Cost	51,512	58,733
Estimated Fair Value	51,512	58,733
U.S. Treasury Notes and Bonds - Short Term [Member]
Schedule of Available-for-Sale Securities [Line Items]
Amortized Cost	3,754	503
Gross Unrealized Gains	3
Gross Unrealized Losses		(1)
Estimated Fair Value	3,757	502
U.S. Treasury Notes and Bonds - Long Term [Member]
Schedule of Available-for-Sale Securities [Line Items]
Amortized Cost	4,502	7,756
Gross Unrealized Gains	11	6
Estimated Fair Value	4,513	7,762
U.S. Government Agency Issues Short Term [Member]
Schedule of Available-for-Sale Securities [Line Items]
Amortized Cost	1,001	1,001
Gross Unrealized Gains	1	1
Estimated Fair Value	1,002	1,002
U.S. Government Agency Issues Long Term [Member]
Schedule of Available-for-Sale Securities [Line Items]
Amortized Cost	3,480	2,977
Gross Unrealized Gains	25	25
Estimated Fair Value	$ 3,505	$ 3,002

Fair Value Measurements - Sched

Fair Value Measurements - Schedule of Contractual Maturities Available-for-Sale Investments (Detail) $ in Thousands	Apr. 30, 2016USD ($)
Fair Value Disclosures [Abstract]
Maturity of one year or less	$ 4,759
Maturity between one and five years	8,018
Total	$ 12,777

TLL, LLC Acquisition and Loss35

TLL, LLC Acquisition and Loss on Impairment - Additional Information (Detail) - USD ($)	Feb. 02, 2016	Aug. 03, 2015	Feb. 02, 2015	May. 31, 2016	Apr. 30, 2016	Apr. 30, 2015	Jan. 31, 2016	Feb. 28, 2015
Business Acquisition [Line Items]
Payments to acquire business						$ 11,686,000
Contingent consideration liability, fair value							$ 0	$ 3,200,000
Severance and restructuring charges					$ 1,775,000	$ 212,000
Timeline Labs [Member]
Business Acquisition [Line Items]
Percentage of equity interest acquired			100.00%
Payments to acquire business			$ 14,186,000
Indemnification assets			$ 1,400,000
Business acquisition, number of common stock issued	542,274	260,537	344,055
Common stock deposited into escrow			173,265
Business acquisition, value of common stock issued	$ 3,200,000	$ 1,800,000	$ 4,959,000
Loss on impairment due to reversal of contingent consideration liability							400,000
Acquisition of Timeline Labs			$ 15,800,000
Business acquisition related costs							100,000
Loss on impairment							$ 21,900,000
Severance and restructuring charges					$ 600,000
Timeline Labs [Member] | Subsequent Event [Member]
Business Acquisition [Line Items]
Business acquisition, number of common stock issued				70,473
Business acquisition, value of common stock issued				$ 200,000

TLL, LLC Acquisition and Loss36

TLL, LLC Acquisition and Loss on Impairment - Summary of Allocation of Purchase Price (Detail) - USD ($) $ in Thousands	Feb. 02, 2015	Apr. 30, 2015	Apr. 30, 2016	Feb. 02, 2016	Jan. 31, 2016	Aug. 03, 2015
Fair value of consideration:
Cash, net of cash acquired		$ 11,686
Fair value of assets acquired and liabilities assumed:
Goodwill			$ 41,304		$ 40,175
Timeline Labs [Member]
Fair value of consideration:
Cash, net of cash acquired	$ 14,186
Closing stock consideration	3,019
Deferred stock consideration	4,959			$ 3,200		$ 1,800
Contingent consideration	475
Total purchase price	22,639
Fair value of assets acquired and liabilities assumed:
Current assets	95
Other long-term assets	108
Finite-life intangible assets	6,720
Goodwill	15,787
Current liabilities	(71)
Allocated purchase price	$ 22,639

TLL, LLC Acquisition and Loss37

TLL, LLC Acquisition and Loss on Impairment - Components of Identified Intangible Assets Associated with Timeline Labs Acquisition and their Estimated Useful Lives (Detail) - USD ($) $ in Thousands	Feb. 02, 2015	Apr. 30, 2016
Finite-Lived Intangible Assets [Line Items]
Identified intangible assets, Fair Value	$ 6,720
Tradename [Member]
Finite-Lived Intangible Assets [Line Items]
Identified intangible assets, Useful life	7 years
Identified intangible assets, Fair Value	$ 620
Customer Contracts [Member]
Finite-Lived Intangible Assets [Line Items]
Identified intangible assets, Useful life	7 years	6 years
Identified intangible assets, Fair Value	$ 4,760
Non-Compete Agreements [Member]
Finite-Lived Intangible Assets [Line Items]
Identified intangible assets, Useful life	2 years
Identified intangible assets, Fair Value	$ 170
Existing Technology [Member]
Finite-Lived Intangible Assets [Line Items]
Identified intangible assets, Useful life	5 years
Identified intangible assets, Fair Value	$ 1,170

Inventories - Schedule of Inven

Inventories - Schedule of Inventories (Detail) - USD ($) $ in Thousands	Apr. 30, 2016	Jan. 31, 2016
Inventory Disclosure [Abstract]
Components and assemblies	$ 1,197	$ 1,223
Finished products	551	459
Total inventory	$ 1,748	$ 1,682

Goodwill and Intangible Asset39

Goodwill and Intangible Assets - Schedule of Change in Carrying Amount of Goodwill (Detail) $ in Thousands	3 Months Ended
	Apr. 30, 2016USD ($)
Goodwill [Roll Forward]
Goodwill gross, Beginning balance	$ 55,962
Accumulated impairment losses	(15,787)
Goodwill, Beginning balance	40,175
Cumulative translation adjustment	1,129
Goodwill gross, Ending balance	57,091
Accumulated impairment losses	(15,787)
Goodwill, Ending balance	$ 41,304

Goodwill and Intangible Asset40

Goodwill and Intangible Assets - Additional Information (Detail)	3 Months Ended
	Apr. 30, 2016USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill, Impairment charges	$ 0

Goodwill and Intangible Asset41

Goodwill and Intangible Assets - Schedule of Intangible Assets (Detail) - USD ($) $ in Thousands	Feb. 02, 2015	Apr. 30, 2016	Jan. 31, 2016
Finite-Lived Intangible Assets [Line Items]
Finite-life intangible assets, Gross		$ 50,488	$ 49,464
Accumulated Amortization		(46,741)	(45,338)
Finite-life intangible assets, Net		$ 3,747	4,126
Customer Contracts [Member]
Finite-Lived Intangible Assets [Line Items]
Weighted average remaining life (Years)	7 years	6 years
Finite-life intangible assets, Gross		$ 30,555	29,956
Accumulated Amortization		(27,192)	(26,284)
Finite-life intangible assets, Net		3,363	3,672
Non-Compete Agreements [Member]
Finite-Lived Intangible Assets [Line Items]
Weighted average remaining life (Years)	2 years
Finite-life intangible assets, Gross		2,457	2,365
Accumulated Amortization		$ (2,457)	(2,365)
Completed Technology [Member]
Finite-Lived Intangible Assets [Line Items]
Weighted average remaining life (Years)		5 years 6 months
Finite-life intangible assets, Gross		$ 10,389	10,075
Accumulated Amortization		(10,005)	(9,621)
Finite-life intangible assets, Net		384	454
Trademarks, Patents and Other [Member]
Finite-Lived Intangible Assets [Line Items]
Finite-life intangible assets, Gross		7,087	7,068
Accumulated Amortization		$ (7,087)	$ (7,068)

Goodwill and Intangible Asset42

Goodwill and Intangible Assets - Schedule of Finite-Life Intangible Assets, Future Amortization Expense (Detail) - USD ($) $ in Thousands	Apr. 30, 2016	Jan. 31, 2016
Goodwill and Intangible Assets Disclosure [Abstract]
2017 (for the remaining nine months)	$ 1,573
2,018	1,301
2,019	630
2,020	243
2,021	0
2022 and thereafter	0
Finite-life intangible assets, Net	$ 3,747	$ 4,126

Commitments and Contingencies -

Commitments and Contingencies - Additional Information (Detail) - Demand Debt Instrument [Member]	3 Months Ended
	Apr. 30, 2016USD ($)
Contingencies And Commitments [Line Items]
Demand notes payable	$ 20,000,000
Line of credit expiration date	Aug. 31, 2016

Severance and Other Restructu44

Severance and Other Restructuring Costs - Additional Information (Detail) $ in Thousands	Apr. 06, 2016USD ($)Installments	Apr. 30, 2016USD ($)	Apr. 30, 2015USD ($)
Restructuring Cost and Reserve [Line Items]
Restructuring charges		$ 1,775	$ 212
CEO [Member] | Separation Agreement [Member]
Restructuring Cost and Reserve [Line Items]
Employee separation related liabilities including bonus payable	$ 1,000
Bonus payable	200
Employee separation liability payable	$ 800
Number of equal monthly installments | Installments	12
Timeline Labs [Member]
Restructuring Cost and Reserve [Line Items]
Restructuring charges		600
Timeline Labs [Member] | Canada [Member]
Restructuring Cost and Reserve [Line Items]
Other restructuring charges, (relating to remaining lease obligation)		200
Timeline Labs [Member] | Former Employees [Member]
Restructuring Cost and Reserve [Line Items]
Severance costs		$ 400

Severance and Other Restructu45

Severance and Other Restructuring Costs - Change in Severance Liability (Detail) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2016	Apr. 30, 2015
Restructuring and Related Activities [Abstract]
Accrual balance at the beginning of the period	$ 47
Severance and other restructuring charges incurred	1,775	$ 212
Severance costs paid	(766)
Other adjustments	(325)
Accrual balance at the ending of the period	$ 731

Stockholders' Equity - Addition

Stockholders' Equity - Additional Information (Detail) - USD ($) $ in Millions	Apr. 06, 2016	Jul. 31, 2015	Jun. 30, 2015	Apr. 30, 2016	Jan. 31, 2016	Jul. 31, 2011
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Market based options granted				800,000
Officer [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation arrangement by share-based payment award, options, vested in period, fair value				$ 2.2
Share-based compensation arrangement by share-based payment award, options, vested in period				1 year 10 months 24 days
Employee service share-based compensation, nonvested awards, total compensation cost not yet recognized				$ 1.8
CEO [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Market based options granted	600,000
Chief Operating Officer [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Market based options granted			200,000
Compensation and Incentive Plan 2011 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation arrangement by share-based payment award, number of shares authorized						5,300,000
Share-based compensation arrangement by share-based payment award, Description				Option awards may be granted to employees at an exercise price per share of not less than 100% of the fair market value per common share on the date of the grant.
Share-based compensation arrangement by share based payment award, Option award expiration period				10 years
Share-based Compensation Arrangement by Share-based Payment Award, Purchase Price of Common Stock, Percent				100.00%
Compensation and Incentive Plan 2011 [Member] | Minimum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation arrangement by Share-based payment award, Option award vesting period				1 year
Compensation and Incentive Plan 2011 [Member] | Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation arrangement by Share-based payment award, Option award vesting period				4 years
Compensation and Incentive Plan 2011 [Member] | Stock Compensation Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation arrangement by share-based payment award, number of shares available for grant				1,629,384
2015 Employee Stock Purchase Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation arrangement by share-based payment award, Description				On each purchase date, eligible employees will purchase our stock at a price per share equal to 85% of the closing price of our common stock on the exercise date, but no less than par value.
Minimum payroll deductions at base compensation under employee stock purchase plan		1.00%
Maximum payroll deductions at base compensation under employee stock purchase plan		15.00%
Offering period commence date		Oct. 1, 2015
Percentage of stock to be purchased under the plan		85.00%
2015 Employee Stock Purchase Plan [Member] | Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation arrangement by share-based payment award, number of shares authorized		1,150,000
Long Term Incentive Program [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation arrangement by Share-based payment award, Option award vesting period					3 years

Accumulated Other Comprehensi47

Accumulated Other Comprehensive Loss - Schedule of Changes in Components of Accumulated Other Comprehensive Loss (Detail) $ in Thousands	3 Months Ended
	Apr. 30, 2016USD ($)
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	$ (6,613)
Other comprehensive income	616
Ending balance	(5,997)
Cumulative Translation Adjustment [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	(6,644)
Other comprehensive income	607
Ending balance	(6,037)
Unrealized Gain/Loss on Investments [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	31
Other comprehensive income	9
Ending balance	$ 40

Segment Information, Signific48

Segment Information, Significant Customers and Geographic Information - Additional Information (Detail)	3 Months Ended
	Apr. 30, 2016Segment
Segment Reporting [Abstract]
Number of reportable segment	1

Segment Information, Signific49

Segment Information, Significant Customers and Geographic Information - Schedule of Revenue by Major Customers by Reporting Segments (Detail) - Customer Concentration Risk [Member] - Total Revenue [Member]	3 Months Ended
	Apr. 30, 2016	Apr. 30, 2015
Customer A [Member]
Revenue, Major Customer [Line Items]
% of total revenues	32.00%	20.00%
Customer B [Member]
Revenue, Major Customer [Line Items]
% of total revenues		17.00%

Segment Information, Signific50

Segment Information, Significant Customers and Geographic Information - Schedule of Revenue from External Customers Attributed to Foreign Countries by Geographic Area (Detail) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2016	Apr. 30, 2015
Segment Reporting Information [Line Items]
Total revenues	$ 21,570	$ 23,177
North America [Member]
Segment Reporting Information [Line Items]
Total revenues	10,671	13,779
Europe and Middle East [Member]
Segment Reporting Information [Line Items]
Total revenues	9,141	7,566
Latin America [Member]
Segment Reporting Information [Line Items]
Total revenues	1,185	1,098
Asia Pacific [Member]
Segment Reporting Information [Line Items]
Total revenues	$ 573	$ 734
Customer Concentration Risk [Member] | Total Revenue [Member] | North America [Member]
Segment Reporting Information [Line Items]
% of total revenues	50.00%	59.00%
Customer Concentration Risk [Member] | Total Revenue [Member] | Europe and Middle East [Member]
Segment Reporting Information [Line Items]
% of total revenues	42.00%	33.00%
Customer Concentration Risk [Member] | Total Revenue [Member] | Latin America [Member]
Segment Reporting Information [Line Items]
% of total revenues	5.00%	5.00%
Customer Concentration Risk [Member] | Total Revenue [Member] | Asia Pacific [Member]
Segment Reporting Information [Line Items]
% of total revenues	3.00%	3.00%

Segment Information, Signific51

Segment Information, Significant Customers and Geographic Information - Schedule of Revenue from External Customers Attributed to Foreign Countries by Geographic Area (Parenthetical) (Detail) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2016	Apr. 30, 2015
Segment Reporting Information [Line Items]
Total revenues	$ 21,570	$ 23,177
United States Revenue [Member]
Segment Reporting Information [Line Items]
Total revenues	$ 8,446	$ 11,935
United States Revenue [Member] | Total Revenue [Member] | Customer Concentration Risk [Member]
Segment Reporting Information [Line Items]
% of total revenue	39.20%	51.50%

Income Taxes - Additional Infor

Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2016	Apr. 30, 2015
Income Tax Disclosure [Abstract]
Income tax provision (benefit)	$ 254	$ 147

Net Loss Per Share - Schedule o

Net Loss Per Share - Schedule of Earnings Per Share, Basic and Diluted (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Apr. 30, 2016	Apr. 30, 2015
Earnings Per Share [Abstract]
Net loss	$ (8,907)	$ (9,825)
Weighted average shares used in computing net loss per share - basic and diluted	34,354	33,328
Net loss per share:
Basic	$ (0.26)	$ (0.29)
Diluted	$ (0.26)	$ (0.29)

Net Loss Per Share - Schedule54

Net Loss Per Share - Schedule of Anti-dilutive Securities Excluded from Computation of Earnings Per Share (Detail) - shares shares in Thousands	3 Months Ended
	Apr. 30, 2016	Apr. 30, 2015
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Anti-dilutive potentially outstanding common shares	1,897	1,569
Stock Options [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Anti-dilutive potentially outstanding common shares	927	1,408
Restricted Stock Units [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Anti-dilutive potentially outstanding common shares	896	155
Deferred Stock Units [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Anti-dilutive potentially outstanding common shares	74	6

Subsequent Events - Additional

Subsequent Events - Additional Information (Detail) - USD ($) $ in Thousands	May. 06, 2016	Jul. 31, 2017	Apr. 30, 2015
Subsequent Event [Line Items]
Payments to acquire business			$ 11,686
DCC Labs [Member] | Scenario, Forecast [Member]
Subsequent Event [Line Items]
Severance and other restructuring costs		$ 1,000
Subsequent Event [Member] | DCC Labs [Member]
Subsequent Event [Line Items]
Percentage of equity interest acquired	100.00%
Payments to acquire business	$ 8,000
Payments to acquire business, paid in cash	5,400
Payments to acquire business, paid in shares	2,600
Cash held in escrow	500
Expected annualized cost savings	$ 8,000