Document And Entity Information
Document And Entity Information - shares | 6 Months Ended | |
Jul. 31, 2019 | Aug. 31, 2019 | |
Document Information [Line Items] | ||
Entity Registrant Name | QAD INC | |
Entity Central Index Key | 0001036188 | |
Trading Symbol | qada | |
Current Fiscal Year End Date | --01-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Current Reporting Status | Yes | |
Entity Emerging Growth Company | false | |
Entity Small Business | false | |
Entity Shell Company | false | |
Document Type | 10-Q | |
Document Period End Date | Jul. 31, 2019 | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false | |
Title of 12(b) Security | Common Stock | |
Common Class A [Member] | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding (in shares) | 17,024,858 | |
Common Class B [Member] | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding (in shares) | 3,321,002 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands | Jul. 31, 2019 | Jan. 31, 2019 |
Assets | ||
Cash and equivalents | $ 141,768 | $ 139,413 |
Short-term investments | 1,200 | 1,200 |
Accounts receivable, net of allowances of $2,837 and $2,901 at July 31, 2019 and January 31, 2019, respectively | 41,495 | 81,577 |
Prepaid expenses and other current assets, net | 23,411 | 22,150 |
Total current assets | 207,874 | 244,340 |
Property and equipment, net of accumulated depreciation and amortization of $40.1 million and $39.2 million at July 31, 2019 and January 31, 2019, respectively | 29,446 | 29,621 |
Lease right-of-use assets | 18,195 | |
Capitalized software costs, net | 1,720 | 1,598 |
Goodwill | 12,379 | 12,423 |
Deferred tax assets, net | 6,571 | 16,172 |
Other assets, net | 12,202 | 13,020 |
Total assets | 288,387 | 317,174 |
Liabilities and Stockholders’ Equity | ||
Current portion of long-term debt | 492 | 487 |
Lease liabilities | 4,855 | |
Accounts payable | 7,808 | 9,902 |
Deferred revenue | 94,399 | 115,253 |
Other current liabilities | 32,510 | 40,348 |
Total current liabilities | 140,064 | 165,990 |
Long-term debt | 12,589 | 12,836 |
Long-term lease liabilities | 14,059 | |
Other liabilities | 5,815 | 5,101 |
Commitments and contingencies | ||
Stockholders’ equity: | ||
Preferred stock, $0.001 par value. Authorized 5,000,000 shares; none issued or outstanding | ||
Additional paid-in capital | 196,312 | 196,723 |
Treasury stock, at cost (59,309 Class A shares and 273,474 Class B shares at July 31, 2019 and 241,667 Class A shares and 273,474 Class B shares at January 31, 2019) | (4,943) | (7,350) |
Accumulated deficit | (67,903) | (48,485) |
Accumulated other comprehensive loss | (7,626) | (7,661) |
Total stockholders’ equity | 115,860 | 133,247 |
Total liabilities and stockholders’ equity | 288,387 | 317,174 |
Common Class A [Member] | ||
Stockholders’ equity: | ||
Common stock | 16 | 16 |
Common Class B [Member] | ||
Stockholders’ equity: | ||
Common stock | $ 4 | $ 4 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($) $ in Thousands | Jul. 31, 2019 | Jan. 31, 2019 |
Accounts receivable, net of allowance | $ 2,837 | $ 2,901 |
Accumulated depreciation and amortization | $ 40,100 | $ 39,200 |
Preferred stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized (in shares) | 5,000,000 | 5,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common Class A [Member] | ||
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (in shares) | 71,000,000 | 71,000,000 |
Common stock, shares issued (in shares) | 16,605,215 | 16,605,215 |
Treasury stock (in shares) | 59,309 | 241,667 |
Common Class B [Member] | ||
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (in shares) | 4,000,000 | 4,000,000 |
Common stock, shares issued (in shares) | 3,537,380 | 3,537,380 |
Treasury stock (in shares) | 273,474 | 273,474 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations and Comprehensive (Loss) Income (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2019 | Jul. 31, 2018 | Jul. 31, 2019 | Jul. 31, 2018 | |
Revenue: | ||||
Revenues | $ 76,378,000 | $ 84,543,000 | $ 154,413,000 | $ 170,733,000 |
Costs of revenue: | ||||
Costs of revenues | 36,032,000 | 40,436,000 | 72,966,000 | 81,503,000 |
Gross profit | 40,346,000 | 44,107,000 | 81,447,000 | 89,230,000 |
Operating expenses: | ||||
Sales and marketing | 20,191,000 | 19,502,000 | 41,082,000 | 39,448,000 |
Research and development | 13,870,000 | 13,513,000 | 27,857,000 | 27,519,000 |
General and administrative | 10,392,000 | 9,366,000 | 19,810,000 | 18,728,000 |
Amortization of intangibles from acquisitions | 66,000 | 133,000 | 0 | |
Total operating expenses | 44,519,000 | 42,381,000 | 88,882,000 | 85,695,000 |
Operating (loss) income | (4,173,000) | 1,726,000 | (7,435,000) | 3,535,000 |
Other (income) expense: | ||||
Interest income | (789,000) | (743,000) | (1,513,000) | (1,267,000) |
Interest expense | 148,000 | 154,000 | 301,000 | 311,000 |
Other (income), net | (154,000) | (269,000) | (326,000) | (673,000) |
Total other (income), net | (795,000) | (858,000) | (1,538,000) | (1,629,000) |
(Loss) income before income taxes | (3,378,000) | 2,584,000 | (5,897,000) | 5,164,000 |
Income tax expense | 9,872,000 | 1,471,000 | 10,587,000 | 2,654,000 |
Net (loss) income | (13,250,000) | 1,113,000 | (16,484,000) | 2,510,000 |
Diluted net (loss) income per share | ||||
Net (loss) income | (13,250,000) | 1,113,000 | (16,484,000) | 2,510,000 |
Other comprehensive income (loss), net of tax: | ||||
Foreign currency translation adjustments | 298,000 | (326,000) | 35,000 | (836,000) |
Total comprehensive (loss) income | (12,952,000) | 787,000 | (16,449,000) | 1,674,000 |
Common Class A [Member] | ||||
Other (income) expense: | ||||
Net (loss) income | $ (11,379,000) | $ 954,000 | $ (14,152,000) | $ 2,150,000 |
Basic net (loss) income per share | ||||
Basic net (loss) income per share (in dollars per share) | $ (0.69) | $ 0.06 | $ (0.86) | $ 0.13 |
Diluted net (loss) income per share | ||||
Diluted net (loss) income per share (in dollars per share) | $ (0.69) | $ 0.05 | $ (0.86) | $ 0.12 |
Net (loss) income | $ (11,379,000) | $ 954,000 | $ (14,152,000) | $ 2,150,000 |
Common Class B [Member] | ||||
Other (income) expense: | ||||
Net (loss) income | $ (1,871,000) | $ 159,000 | $ (2,332,000) | $ 360,000 |
Basic net (loss) income per share | ||||
Basic net (loss) income per share (in dollars per share) | $ (0.57) | $ 0.05 | $ (0.71) | $ 0.11 |
Diluted net (loss) income per share | ||||
Diluted net (loss) income per share (in dollars per share) | $ (0.57) | $ 0.05 | $ (0.71) | $ 0.11 |
Net (loss) income | $ (1,871,000) | $ 159,000 | $ (2,332,000) | $ 360,000 |
Subscription and Circulation [Member] | ||||
Revenue: | ||||
Revenues | 25,888,000 | 22,439,000 | 51,194,000 | 43,950,000 |
Costs of revenue: | ||||
Costs of revenues | 9,903,000 | 8,334,000 | 19,320,000 | 16,562,000 |
License [Member] | ||||
Revenue: | ||||
Revenues | 3,516,000 | 5,561,000 | 7,982,000 | 11,827,000 |
Costs of revenue: | ||||
Costs of revenues | 554,000 | 574,000 | 1,145,000 | 1,238,000 |
Maintenance [Member] | ||||
Revenue: | ||||
Revenues | 29,586,000 | 30,574,000 | 59,485,000 | 62,057,000 |
Costs of revenue: | ||||
Costs of revenues | 7,459,000 | 7,774,000 | 15,062,000 | 15,639,000 |
Professional Services [Member] | ||||
Revenue: | ||||
Revenues | 17,388,000 | 25,969,000 | 35,752,000 | 52,899,000 |
Costs of revenue: | ||||
Costs of revenues | $ 18,116,000 | $ 23,754,000 | $ 37,439,000 | $ 48,064,000 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) shares in Thousands, $ in Thousands | Common Stock [Member]Common Class A [Member] | Common Stock [Member]Common Class B [Member] | Treasury Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Common Class A [Member] | Common Class B [Member] | Total |
Balance (in shares) at Jan. 31, 2018 | 16,605 | 3,537 | (892) | ||||||
Balance at Jan. 31, 2018 | $ 16 | $ 4 | $ (12,461) | $ 200,456 | $ (75,559) | $ (6,828) | $ 105,628 | ||
Net (loss) income | 2,510 | $ 2,150 | $ 360 | 2,510 | |||||
Foreign currency translation adjustments | (836) | (836) | |||||||
Stock award exercises (in shares) | 192 | ||||||||
Stock award exercises | $ 3,349 | (7,722) | (4,373) | ||||||
Stock compensation expense | 5,470 | 5,470 | |||||||
Dividends declared ($0.144 and $0.12 per Class A and Class B share, respectively) | (2,731) | (2,731) | |||||||
Restricted stock (in shares) | 171 | ||||||||
Restricted stock | $ 1,580 | (5,783) | (4,203) | ||||||
Adoption of ASU2016-02, Leases (Topic 842) at Jan. 31, 2018 | 22,125 | 22,125 | |||||||
Adjusted balance at February 1, 2018 at Jan. 31, 2018 | $ 16 | $ 4 | $ (12,461) | 200,456 | (53,434) | (6,828) | 127,753 | ||
Balance (in shares) at Jul. 31, 2018 | 16,605 | 3,537 | (529) | ||||||
Balance at Jul. 31, 2018 | $ 16 | $ 4 | $ (7,532) | 192,421 | (53,655) | (7,664) | 123,590 | ||
Balance (in shares) at Jan. 31, 2019 | 16,605 | 3,537 | (515) | ||||||
Balance at Jan. 31, 2019 | $ 16 | $ 4 | $ (7,350) | 196,723 | (48,485) | (7,661) | 133,247 | ||
Net (loss) income | (16,484) | $ (14,152) | $ (2,332) | (16,484) | |||||
Foreign currency translation adjustments | 35 | 35 | |||||||
Stock award exercises (in shares) | 9 | ||||||||
Stock award exercises | $ 202 | (357) | (155) | ||||||
Stock compensation expense | 5,492 | 5,492 | |||||||
Dividends declared ($0.144 and $0.12 per Class A and Class B share, respectively) | (2,761) | (2,761) | |||||||
Restricted stock (in shares) | 174 | ||||||||
Restricted stock | $ 2,205 | (5,546) | (3,341) | ||||||
Adoption of ASU2016-02, Leases (Topic 842) at Jan. 31, 2019 | (173) | (173) | |||||||
Balance (in shares) at Jul. 31, 2019 | 16,605 | 3,537 | (332) | ||||||
Balance at Jul. 31, 2019 | $ 16 | $ 4 | $ (4,943) | $ 196,312 | $ (67,903) | $ (7,626) | $ 115,860 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Stockholders' Equity (Unaudited) (Parentheticals) - Retained Earnings [Member] - $ / shares | 6 Months Ended | |
Jul. 31, 2019 | Jul. 31, 2018 | |
Common Class A [Member] | ||
Dividends declared, per share (in dollars per share) | $ 0.144 | $ 0.144 |
Common Class B [Member] | ||
Dividends declared, per share (in dollars per share) | $ 0.12 | $ 0.12 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Jul. 31, 2019 | Jul. 31, 2018 | |
Cash flows from operating activities: | ||
Net (loss) income | $ (16,484) | $ 2,510 |
Adjustments to reconcile net (loss) income to net cash provided by operating activities: | ||
Depreciation and amortization | 3,070 | 2,699 |
Amortization of costs capitalized to obtain revenue contracts, net | 2,161 | 2,051 |
Non-cash lease expense | 2,965 | |
Net change in valuation allowance for deferred tax assets | 11,527 | 4,553 |
Other deferred income taxes | 19 | (1,649) |
Loss on disposal of equipment | 16 | 4 |
Provision for doubtful accounts and sales adjustments | 127 | 498 |
Stock compensation expense | 5,492 | 5,470 |
Change in fair value of derivative instrument | 251 | (152) |
Other, net | 69 | |
Changes in assets and liabilities: | ||
Accounts receivable | 39,188 | 27,033 |
Costs capitalized to obtain revenue contracts, net | (2,158) | (1,692) |
Lease liabilities | (3,095) | |
Prepaid expenses and other assets | (1,683) | (894) |
Accounts payable | (1,910) | (3,480) |
Deferred revenue | (18,707) | (21,683) |
Other liabilities | (6,670) | (6,122) |
Net cash provided by operating activities | 14,178 | 9,146 |
Cash flows from investing activities: | ||
Purchase of property and equipment | (3,707) | (2,004) |
Acquisition of business, net of cash acquired | (450) | |
Purchase of short-term investments | (1,200) | |
Proceeds from sale of short-term investments | 1,200 | |
Capitalized software costs | (534) | (536) |
Net cash used in investing activities | (4,241) | (2,990) |
Cash flows from financing activities: | ||
Repayments of debt | (253) | (234) |
Tax payments related to stock awards | (3,496) | (8,576) |
Cash dividends paid | (2,761) | (2,731) |
Net cash used in financing activities | (6,510) | (11,541) |
Effect of exchange rates on cash and equivalents | (1,072) | (2,110) |
Net increase (decrease) in cash and equivalents | 2,355 | (7,495) |
Cash and equivalents at beginning of period | 139,413 | 147,023 |
Cash and equivalents at end of period | 141,768 | 139,528 |
Supplemental disclosure of cash flow information: | ||
Interest | 294 | 305 |
Income taxes, net of refunds | $ 2,368 | $ 1,632 |
Note 1 - Basis of Presentation
Note 1 - Basis of Presentation and Recent Accounting Pronouncements | 6 Months Ended |
Jul. 31, 2019 | |
Notes to Financial Statements | |
Basis of Presentation and Significant Accounting Policies [Text Block] | 1. BASIS OF PRESENTATION AND RECENT ACCOUNTING PRONOUNCEMENTS Basis of Presentation In the opinion of management, the accompanying unaudited Condensed Consolidated Financial Statements fairly present the financial information contained therein. These statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”) for interim financial information and with the instructions to Form 10 10 X. not 10 January 31, 2019. six July 31, 2019 not January 31, 2020. The Company’s accounting policies are set forth in detail in Note 1 10 January 31, 2019 Assets Held for Sale During the second 2020, 12 $1.7 July 31, 2019. Recent Accounting Pronouncements Except as discussed below, there have been no six July 31, 2019, Recent Accounting Pronouncements Adopted In February 2016, 2016 02, Leases (Topic 842 2016 02, February 1, 2019, 840, not The Company elected the package of practical expedients not not Adoption of the new standard resulted in the recording of a non-cash transitional adjustment to ROU lease assets and lease liabilities of approximately $13.1 $13.9 February 1, 2019. 2016 02 not Recent Accounting Pronouncements Not Yet Adopted In August 2018, No. 2018 15, Intangibles-Goodwill and Other-Internal-Use Software (Subtopic 350 40 350 40, No. 2018 15 December 15, 2019, In January 2017, 2017 04, Intangibles—Goodwill and Other (Topic 350 ): Simplifying the Test for Goodwill Impairment, 2 zero 2 February 1, 2020. not 2017 04 In June 2016, 2016 13, Financial Instruments-Credit Losses (Topic 326 2016 13 2016 13 December 15, 2019, first 2016 13 first 2021. |
Note 2 - Revenue
Note 2 - Revenue | 6 Months Ended |
Jul. 31, 2019 | |
Notes to Financial Statements | |
Revenue from Contract with Customer [Text Block] | 2. REVENUE QAD offers its software using the same underlying technology via two not The Company generates revenue through sales of licenses and maintenance provided to its on-premises customers and through subscriptions of its cloud-based software. QAD offers professional services to both its on-premises and cloud customers to assist them with the design, testing and implementation of its software. The Company determines revenue recognition through the following steps: - Identification of the contract, or contracts, with a customer; - Identification of the performance obligations in the contract; - Determination of the transaction price; - Allocation of the transaction price to the performance obligations in the contract; and - Recognition of revenue when, or as, the Company satisfies a performance obligation. Revenue is presented net of sales, value-added and other taxes collected from customers and remitted to government authorities. Performance Obligations A performance obligation is a promise in a contract to transfer a distinct good or service to the customer and is the unit of account under Topic 606. The Company’s contracts which contain multiple performance obligations generally consist of the initial purchase of subscription or licenses and a professional services engagement. License purchases generally have multiple performance obligations as customers purchase maintenance in addition to the licenses. The Company’s single performance obligation arrangements are typically maintenance renewals, subscription renewals and services engagements. For contracts with multiple performance obligations where the contracted price differs from the standalone selling price ("SSP") for any distinct good or service, the Company may Judgment is required to determine the SSP for each distinct performance obligation. In instances where SSP is not not may first Subscription Subscription revenue is recognized ratably over the initial subscription period committed to by the customer commencing when the cloud environment is made available to the customer. The initial subscription period is typically 12 60 30 Software Licenses Transfer of control for software is considered to have occurred upon electronic delivery of the license key that provides immediate availability of the product to the customer. The Company’s typical payment terms tend to vary by region but its standard payment terms are within 30 90 Maintenance Revenue from support services and product updates, referred to as maintenance revenue, is recognized ratably over the term of the maintenance period, which in most instances is one 30 Professional Services Revenue from professional services is typically comprised of implementation, development, training or other consulting services. Consulting services are generally sold on a time-and-materials or fixed fee basis and can include services ranging from software installation to data conversion and building non-complex interfaces to allow the software to operate in integrated environments. The Company recognizes revenue for time-and-materials arrangements as the services are performed. In fixed fee arrangements, revenue is recognized as services are performed as measured by costs incurred to date, compared to total estimated costs to complete the services project. Management applies judgment when estimating project status and the costs necessary to complete the services projects. A number of internal and external factors can affect these estimates, including labor rates, utilization and efficiency variances and specification and testing requirement changes. Services are generally invoiced upon milestones in the contract or upon consumption of the hourly resources and payments are typically due 30 Indirect Sales Channels The Company executes arrangements through indirect sales channels via sales agents and distributors who are authorized to market its software products to end users. In arrangements with sales agents, QAD contracts directly with the customer and sales agents are compensated on a commission basis. Distributor arrangements are those in which the resellers are authorized to market and distribute the Company’s software products to end users in specified territories and the distributor bears the risk of collection from the end user customer. The Company recognizes revenue from transactions with distributors when the distributor submits a signed agreement and transfer of control has occurred to the distributor in accordance with the five not Disaggregated Revenue The Company disaggregates revenue from contracts with customers by geography and by the customers’ industry within manufacturing, as it believes it best depicts how the nature, amount, timing and uncertainty of revenue and cash flows are affected by economic factors. The Company’s revenue by geography is as follows: Three Months Ended July 31, Six Months Ended July 31, 201 9 201 8 201 9 201 8 (in thousands) (in thousands) North America $ 36,837 $ 39,288 $ 74,496 $ 79,313 EMEA 22,118 26,906 44,627 51,993 Asia Pacific 11,751 12,866 23,637 25,425 Latin America 5,672 5,483 11,653 14,002 Total revenue $ 76,378 $ 84,543 $ 154,413 $ 170,733 The Company’s revenue by industry is as follows: Three Months Ended July 31, Six Months Ended July 31, 201 9 201 8 201 9 201 8 (in thousands) (in thousands) Automotive $ 26,962 $ 34,663 $ 56,034 $ 71,725 Consumer products and food and beverage 12,128 13,527 24,107 27,317 High technology and industrial products 26,389 25,363 51,937 50,358 Life sciences 10,899 10,990 22,335 21,333 Total revenue $ 76,378 $ 84,543 $ 154,413 $ 170,733 Management Judgments Due to the complexity of certain contracts, the actual revenue recognition treatment required under Topic 606 may may Revenue is recognized over time for the Company’s subscription, maintenance and fixed fee professional services that are separate performance obligations. For the Company’s professional services, revenue is recognized over time, generally using costs incurred or hours expended to measure progress. Judgment is required in estimating project status and the costs necessary to complete projects. A number of internal and external factors can affect these estimates, including labor rates, utilization, specification variances and testing requirement changes. If a group of agreements are entered at or near the same time and so closely related that they are, in effect, part of a single arrangement, such agreements are deemed to be combined as one If a contract includes variable consideration, the Company exercises judgment in estimating the amount of consideration to which the entity will be entitled in exchange for transferring the promised goods or services to a customer. When estimating variable consideration, the Company will consider all relevant facts and circumstances. Variable consideration will be estimated and included in the contract price only when it is probable that a significant reversal in the amount of revenue recognized will not Contract Balances The timing of revenue recognition may not not The contract assets indicated below are presented as other current and non-current assets in the Condensed Consolidated Balance Sheets. These assets primarily relate to professional services and subscription and consist of the Company’s rights to consideration for goods or services transferred but not July 31, 2019. The Company’s contract balances are as follows: July 31, 2019 January 31, 2019 (In thousands) Contract assets, short-term (in Prepaid expenses and other current assets, net) $ 2,391 $ 2,058 Contract assets, long-term (in Other assets, net) 67 - Total contract assets $ 2,458 $ 2,058 Deferred revenue, short-term $ 94,399 $ 115,253 Deferred revenue, long-term (in Other liabilities) 1,893 1,465 Total deferred revenue $ 96,292 $ 116,718 During the six July 31, 2019, $82.8 Revenue allocated to remaining performance obligations represents the transaction price allocated to the performance obligations that are unsatisfied, or partially unsatisfied, which includes unearned revenue and amounts that will be invoiced and recognized as revenue in future periods. Contracted but unsatisfied performance obligations were approximately $250.5 July 31, 2019, $156.0 twelve not not Deferred Revenue The Company typically invoices its customers for subscription and support fees in advance on a quarterly or annual basis, with payment due at the start of the subscription or support term. Unpaid invoice amounts for non-cancelable services starting in future periods are included in accounts receivable and deferred revenue. The portion of deferred revenue that QAD anticipates will be recognized after the succeeding twelve Deferred revenues consisted of the following: July 31, 2019 January 31, 2019 (in thousands) Deferred maintenance $ 59,636 $ 77,037 Deferred subscription 32,791 34,020 Deferred professional services 1,849 2,146 Deferred license 89 1,713 Deferred other revenue 34 337 Deferred revenues, current 94,399 115,253 Deferred revenues, non-current (in Other liabilities) 1,893 1,465 Total deferred revenues $ 96,292 $ 116,718 Practical Expedients and Exemptions There are several practical expedients and exemptions allowed under Topic 606 ● The Company does not one ● The Company generally expenses sales commissions and sales agent fees when incurred when the amortization period would have been one ● The Company calculates contract acquisition costs based on a portfolio of contracts with similar characteristics instead of a contract by contract analysis. ● The Company does not Costs to Obtain and Fulfill a Contract The Company’s incremental direct costs of obtaining a contract consist of sales commissions and sales agent fees which are deferred and amortized ratably over the term of economic benefit which the Company has determined to be five one July 31, 2019 January 31, 2019, $11.0 three six July 31, 2019, $0.9 $1.9 three six July 31, 2018, $0.9 $1.8 Costs to fulfill a contract, which are incurred upon initiation of certain services contracts and are related to initial customer setup, are included in other current assets and long-term assets in the Company’s Condensed Consolidated Balance Sheets. At July 31, 2019 January 31, 2019 $1.4 $1.5 five three six July 31, 2019, $0.1 $0.3 three six July 31, 2018, $0.1 $0.3 Recoverability of these costs is subject to various business risks. Quarterly, the Company compares the carrying value of these assets with the undiscounted future cash flows expected to be generated by them to determine if there is impairment. If impaired, these assets are reduced to an estimated fair value on a discounted cash flow basis. No six July 31, 2019. |
Note 3 - Computation of Net (Lo
Note 3 - Computation of Net (Loss) Income Per Share | 6 Months Ended |
Jul. 31, 2019 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | 3. COMPUTATION OF NET (LOSS) INCOME PER SHARE The following table sets forth the computation of basic and diluted net (loss) income per share: Three Months Ended Six Months Ended July 31, July 31, 201 9 201 8 201 9 201 8 (in thousands, except per share data) (in thousands, except per share data) Net (loss) income $ (13,250 ) $ 1,113 $ (16,484 ) $ 2,510 Less: Dividends declared (1,387 ) (1,372 ) (2,761 ) (2,731 ) Undistributed net loss $ (14,637 ) $ (259 ) $ (19,245 ) $ (221 ) Net (loss) income per share – Class A Common Stock Dividends declared $ 1,191 $ 1,176 $ 2,370 $ 2,340 Allocation of undistributed net loss (12,570 ) (222 ) (16,522 ) (190 ) Net (loss) income attributable to Class A common stock $ (11,379 ) $ 954 $ (14,152 ) $ 2,150 Weighted average shares of Class A common stock outstanding— basic 16,465 16,266 16,417 16,173 Weighted average potential shares of Class A common stock — 1,661 — 1,713 Weighted average shares of Class A common stock and potential common shares outstanding— diluted 16,465 17,927 16,417 17,886 Basic net (loss) income per Class A common share $ (0.69 ) $ 0.06 $ (0.86 ) $ 0.13 Diluted net (loss) income per Class A common share $ (0.69 ) $ 0.05 $ (0.86 ) $ 0.12 Net (loss) income per share – Class B Common Stock Dividends declared $ 196 $ 196 $ 391 $ 391 Allocation of undistributed net loss (2,067 ) (37 ) (2,723 ) (31 ) Net (loss) income attributable to Class B common stock $ (1,871 ) $ 159 $ (2,332 ) $ 360 Weighted average shares of Class B common stock outstanding— basic 3,264 3,263 3,264 3,248 Weighted average potential shares of Class B common stock — 171 — 177 Weighted average shares of Class B common stock and potential common shares outstanding— diluted 3,264 3,434 3,264 3,425 Basic net (loss) income per Class B common share $ (0.57 ) $ 0.05 $ (0.71 ) $ 0.11 Diluted net (loss) income per Class B common share $ (0.57 ) $ 0.05 $ (0.71 ) $ 0.11 Potential common shares consist of the shares issuable upon the release of restricted stock units (“RSUs”) and (“PSUs”) and the exercise of stock appreciation rights (“SARs”). The Company’s unvested RSUs and PSUs, and unexercised SARs are not not The following table sets forth the number of potential common shares not Three Months Ended Six Months Ended July 31, July 31, 201 9 201 8 201 9 201 8 (in thousands) (in thousands) Class A 2,897 351 2,898 179 Class B 278 — 278 — |
Note 4 - Fair Value Measurement
Note 4 - Fair Value Measurements | 6 Months Ended |
Jul. 31, 2019 | |
Notes to Financial Statements | |
Fair Value Measurement and Measurement Inputs, Recurring and Nonrecurring [Text Block] | 4. FAIR VALUE MEASUREMENTS When determining fair value, the Company uses a three not • Level 1 • Level 2 The following table sets forth the financial assets and liability, measured at fair value, as of July 31, 2019 January 31, 2019: Fair value measurement at reporting date using Quoted Prices Significant Significant (in thousands) Money market mutual funds as of July 31, 2019 $ 106,774 Money market mutual funds as of January 31, 2019 $ 107,855 Short-term investments as of July 31, 2019 $ 1,200 Short-term investments as of January 31, 2019 $ 1,200 Liability related to the interest rate swap as of July 31, 2019 $ (115 ) Asset related to the interest rate swap as of January 31, 2019 $ 136 Money market mutual funds are classified as part of “Cash and equivalents” in the accompanying Condensed Consolidated Balance Sheets. The amount of cash and equivalents deposited with commercial banks was $35.0 $31.6 July 31, 2019 January 31, 2019, The Company’s note payable bears a variable market interest rate commensurate with the Company’s credit standing. Therefore, the carrying amount outstanding under the note payable reasonably approximates fair value based on Level 2 There have been no six July 31, 2019. Derivative Instruments The Company entered into an interest rate swap in May 2012 one 7 The fair values of the derivative instrument at July 31, 2019 January 31, 2019 Liability / Asset Fair Value Balance Sheet July 31 , January 31, Derivative instrument: Interest rate swap Other liabilities / Other assets, net $ (115 ) $ 136 Total $ (115 ) $ 136 The change in fair value of the interest rate swap recognized in the Condensed Consolidated Statement of Operations and Comprehensive (Loss) Income was $( 160,000 251,000 three six July 31, 2019, $35,000 $152,000 three six July 31, 2018, |
Note 5 - Capitalized Software C
Note 5 - Capitalized Software Costs | 6 Months Ended |
Jul. 31, 2019 | |
Notes to Financial Statements | |
Capitalized Software Costs [Text Block] | 5. CAPITALIZED SOFTWARE COSTS Capitalized software costs and accumulated amortization at July 31, 2019 January 31, 2019 July 31 , 2019 January 31, 2019 (in thousands) Capitalized software costs: Capitalized software development costs $ 2,737 $ 2,314 Acquired software technology 135 135 2,872 2,449 Less accumulated amortization (1,152 ) (851 ) Capitalized software costs, net $ 1,720 $ 1,598 The Company’s capitalized software development costs relate to translations and localizations of QAD Adaptive Applications. Acquired software technology costs relate to acquired technology purchased during the second 2019. It is the Company’s policy to write off capitalized software development costs once fully amortized. Accordingly, during the first six 2020, $0.1 Amortization of capitalized software costs was $0.2 $0.4 three six July 31, 2019, $0.1 $0.3 three six July 31, 2018, The following table summarizes the estimated amortization expense relating to the Company’s capitalized software costs as of July 31, 2019: Fiscal Years (in thousands) 2020 remaining $ 458 2021 750 2022 407 2023 92 Thereafter 13 $ 1,720 |
Note 6 - Goodwill and Intangibl
Note 6 - Goodwill and Intangible Assets | 6 Months Ended |
Jul. 31, 2019 | |
Notes to Financial Statements | |
Goodwill and Intangible Assets Disclosure [Text Block] | 6. GOODWILL AND INTANGIBLE ASSETS Goodwill The changes in the carrying amount of goodwill for the six July 31, 2019 Gross Carrying Amount Accumulated Impairment Goodwill, Net (in thousands) Balance at January 31, 2019 $ 28,031 $ (15,608 ) $ 12,423 Impact of foreign currency translation (44 ) - (44 ) Balance at July 31, 2019 $ 27,987 $ (15,608 ) $ 12,379 The Company performed its annual goodwill impairment review during the fourth 2019. November 30, 2018. no 2019. No six July 31, 2019 Intangible Assets July 31 , 2019 January 31, 2019 (in thousands) Amortizable intangible assets: Customer relationships $ 1,349 $ 1,348 Less accumulated amortization (250 ) (115 ) Amortizable intangible assets, net $ 1,099 $ 1,233 The Company’s intangible assets as of July 31, 2019 second third 2019. five Amortization of intangibles from acquisitions was $66,000 $133,000 second first six 2020, No first 2019. July 31, 2019: Fiscal Years (in thousands) 2020 remaining $ 135 2021 270 2022 270 2023 270 Thereafter 154 $ 1,099 |
Note 7 - Debt
Note 7 - Debt | 6 Months Ended |
Jul. 31, 2019 | |
Notes to Financial Statements | |
Debt Disclosure [Text Block] | 7. DEBT July 31 , 2019 January 31, 2019 (in thousands) Note payable $ 13,111 $ 13,358 Less current maturities (492 ) (487 ) Less loan origination costs, net (30 ) (35 ) Long-term debt $ 12,589 $ 12,836 Note Payable Effective May 30, 2012, “2012 2012 $16.1 one 2.25%. 2.31% July 31, 2019. 2012 June 2022 2012 $16.1 4.31% 2012 2012 $88,100 one $11.7 July 31, 2019 $13.1 |
Note 8 - Leases
Note 8 - Leases | 6 Months Ended |
Jul. 31, 2019 | |
Notes to Financial Statements | |
Lessee, Operating Leases [Text Block] | 8. LEASES The Company leases certain office space, office equipment and autos with remaining lease terms of one twelve not one ten The Company treats a contract as a lease when the contract conveys the right to use a physically distinct asset for a period of time in exchange for consideration, the Company directs the use of the asset and obtains substantially all the economic benefits of the asset. These leases are recorded as right-of-use (“ROU”) assets and lease obligation liabilities for leases with terms greater than 12 not February 1, 2019 QAD reviews the impairment of ROU assets consistent with the approach applied for the Company’s other long-lived assets. The Company reviews the recoverability of long-lived assets when events or changes in circumstances occur that indicate that the carrying value of the asset may not The Company has applied the practical expedient available for lessees in which lease and non-lease components are accounted for as a single lease component for all asset classes. The Company also elected the practical expedient to exclude short-term leases (leases with original terms of 12 A majority of the Company’s leases are operating and lease expense is recognized on a straight-line basis over the lease term, while variable lease payments are expensed as incurred. Variable payments change due to facts or circumstances occurring after the commencement date, other than the passage of time, and do not not Supplemental balance sheet information related to leases was as follows (in thousands): July 31, 2019 Assets Operating $ 18,097 Finance 98 Total lease assets, net $ 18,195 Liabilities Current Operating $ 4,812 Finance 43 Noncurrent Operating 14,017 Finance 42 Total lease liabilities $ 18,914 The components of lease cost were as follows (in thousands): Three Months Ended Six Months Ended July 31, 2019 July 31, 2019 Operating lease cost $ 1,509 $ 2,965 Finance lease cost 14 14 Variable lease cost 397 769 Short-term lease cost 66 140 Net lease cost $ 1,986 $ 3,888 Lease term and discount rate were as follows: July 31, 2019 Weighted-average remaining lease term (in years) All leases 5.7 Weighted-average discount rate All leases 6.14 % Supplemental disclosures of cash flow information related to leases were as follows: Six Months Ended July 31, 2019 Cash flows related to lease liabilities Operating cash flows related to operating leases $ (3,095 ) ) Financing cash flows related to finance leases (11 ) Total cash flows related to lease liabilities $ (3,106 ) Non-cash items Leased assets obtained in exchange for new operating lease liabilities $ 7,696 Leased assets obtained in exchange for new finance lease liabilities 110 Total non-cash items $ 7,806 Maturities of lease liabilities were as follows as of July 31, 2019 ( Operating Leases Within 1 year $ 5.9 2 years 4.5 3 years 3.0 4 years 2.2 5 years 2.0 Thereafter 5.0 Total lease payments $ 22.6 Less: Imputed interest (3.7 ) Present value of lease liabilities $ 18.9 As of January 31, 2019 840, five 2020 $ 5.6 2021 4.6 2022 2.8 2023 1.8 2024 1.5 Thereafter 2.8 Total $ 19.1 The Company is a lessor for certain office space owned by the Company and leased to others under non-cancelable leases with initial terms ranging from six one six one no no three six July 31, 2019 $0.2 $0.5 |
Note 9 - Accumulated Other Comp
Note 9 - Accumulated Other Comprehensive Loss | 6 Months Ended |
Jul. 31, 2019 | |
Notes to Financial Statements | |
Accumulated Other Comprehensive Income (Loss) [Text Block] | 9. ACCUMULATED OTHER COMPREHENSIVE LOSS The components of accumulated other comprehensive loss, net of taxes, were as follows: Foreign Currency Translation Adjustments (in thousands) Balance as of January 31, 2019 $ (7,661 ) Other comprehensive income before reclassifications 35 Amounts reclassified from accumulated other comprehensive loss — Net current period other comprehensive income 35 Balance as of July 31, 2019 $ (7,626 ) |
Note 10 - Income Taxes
Note 10 - Income Taxes | 6 Months Ended |
Jul. 31, 2019 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | 10. INCOME TAXES In determining the quarterly provision for income taxes, the Company calculated income tax expense based on actual quarterly results in the second 2020, 2020 first 2020 The Company recorded income tax expense of $9.9 $1.5 second 2020 2019, 292% second 2020 57% second 2020 2019. $10 The Company recorded income tax expense of $10.6 $2.7 first six 2020 2019, 180% first six 2020 51% first six 2020 2019. $10 When calculating QAD’s income tax expense for the first six 2020 2019, December 22, 2017. June 14, 2019 second 2020, not The Company has elected to treat the deferred taxes related to GILTI provisions as a current-period expense when incurred (the “period cost method”). The gross amount of unrecognized tax benefits was $1.3 July 31, 2019, $1 2013 11. twelve The Company’s policy is to recognize interest and penalties, if any, related to unrecognized tax benefits as a component of income tax expense. As of July 31, 2019, $0.1 The Company reviews its net deferred tax assets by entity on a quarterly basis to determine whether a valuation allowance is necessary based on the more-likely-than- not second 2020 ● For the Irish Principal, the positive evidence was outweighed by the Irish three 2020 $10 second 2020. ● A valuation allowance was also placed on South Africa’s net deferred tax assets. The Company plans to liquidate this entity and does not ● The valuation allowance on Belgium has been released as management concluded that it is “more likely than not” A valuation allowance has been established for select foreign jurisdictions along with U.S. federal and state deferred tax assets. The following table discloses the Company’s valuation allowance by entity (in millions): Jurisdiction July 31, 2019 January 31, 2019 U.S. federal and state $ 26.8 $ 24.7 Irish Principal 9.9 - Brazil 5.4 5.2 Germany 2.7 2.9 Hong Kong 1.2 1.2 South Africa 0.2 - Belgium - 0.9 Total valuation allowance $ 46.2 $ 34.9 The Company files U.S. federal, state, and foreign tax returns that are subject to audit by various tax authorities. The Company is currently under audit in: ● India for fiscal years ended March 31, 2010, 2013 2014 ● Netherlands for fiscal year ended January 31, 2016 ● Germany for fiscal years ended January 31, 2015, 2016 2017 ● Switzerland for fiscal years ended January 31, 2014, 2015, 2016, 2017 2018 ● Thailand for fiscal year ended January 31, 2017 During the fiscal year 2020, ● Tennessee for fiscal year ended January 31, 2014, 2015, 2016 2017 |
Note 11 - Stockholders' Equity
Note 11 - Stockholders' Equity | 6 Months Ended |
Jul. 31, 2019 | |
Notes to Financial Statements | |
Stockholders' Equity Note Disclosure [Text Block] | 11. STOCKHOLDERS’ EQUITY Dividends The following table sets forth the dividends that were declared by the Company during the first six 2020: Declaration Date Record Date Payable Dividend Class A Dividend Class B Amount (in thousands) 6/24/2019 7/10/2019 7/17/2019 $ 0.072 $ 0.06 $ 1,387 4/9/2019 4/23/2019 5/3/2019 $ 0.072 $ 0.06 $ 1,374 |
Note 12 - Stock-based Compensat
Note 12 - Stock-based Compensation | 6 Months Ended |
Jul. 31, 2019 | |
Notes to Financial Statements | |
Share-based Payment Arrangement [Text Block] | 12. STOCK-BASED COMPENSATION The Company’s equity awards consist of RSUs, PSUs and SARs. For a description of the Company’s stock-based compensation plans, see Note 6 10 January 31, 2019. Performance Stock Units (“PSUs”) In June 2019, 2016 1/3 three 0% 200% no Stock-Based Compensation The following table sets forth reported stock-based compensation expense for the three six July 31, 2019 2018: Three Months Ended July 31, Six Months Ended July 31, 201 9 201 8 201 9 201 8 (in thousands) (in thousands) Cost of subscription $ 72 $ 68 $ 142 $ 117 Cost of maintenance and other revenue 132 118 253 210 Cost of professional services 359 327 681 553 Sales and marketing 575 534 955 936 Research and development 441 413 868 728 General and administrative 1,609 1,904 2,593 2,926 Total stock-based compensation expense $ 3,188 $ 3,364 $ 5,492 $ 5,470 RSU Information The estimated fair value of RSUs was calculated based on the closing price of the Company’s common stock on the date of grant, reduced by the present value of dividends foregone during the vesting period. The following table summarizes the activity for RSUs for the six July 31, 2019: RSUs Weighted Average Grant Date Fair Value (in thousands) Outstanding at January 31, 2019 663 $ 36.64 Granted 261 39.74 Released (1) (254 ) 32.33 Forfeited (26 ) 37.56 Outstanding at July 31, 2019 644 $ 39.55 ( 1 The number of RSUs released includes shares withheld on behalf of employees to satisfy the minimum statutory tax withholding requirements. The Company withholds a portion of the released shares as consideration for the Company’s payment of applicable employee income taxes. During the three July 31, 2019, 76,000 $3.2 six July 31, 2019, 80,000 $3.3 Total unrecognized compensation cost related to RSUs was approximately $24.1 July 31, 2019. 3.1 PSU Information The estimated fair value of PSUs was calculated based on the closing price of the Company’s common stock on the date of grant, reduced by the present value of dividends foregone during the vesting period. The following table summarizes the activity for PSUs for the six July 31, 2019: PSUs Weighted Average Grant Date Fair Value (in thousands) Outstanding at January 31, 2019 — $ — Granted 93 39.82 Released — — Forfeited — — Outstanding at July 31, 2019 93 $ 39.82 Total unrecognized compensation cost related to PSUs was approximately $3.5 July 31, 2019. 1.9 SAR Information The following table summarizes the activity for outstanding SARs for the six July 31, 2019: SARs (in thousands) Weighted Average Exercise Price per Share Weighted Average Remaining Contractual Term (years) Aggregate Intrinsic Value (in thousands) Outstanding at January 31, 2019 2,533 $ 20.81 Granted — — Exercised (17 ) 11.44 Expired — — Forfeited — — Outstanding at July 31, 2019 2,516 $ 20.87 3.0 $ 55,181 Vested and exercisable at July 31, 2019 2,231 (1) $ 18.38 2.6 $ 53,002 ( 1 July 31, 2019 877,500 127,500 August 22, 2019 August 25, 2019. $10.50 $31.65. The aggregate intrinsic value in the table above represents the total pretax intrinsic value (the aggregate difference between the closing stock price of the Company’s common stock based on the last trading day as of July 31, 2019, July 31, 2019. six July 31, 2019 $0.5 The number of SARs exercised includes shares withheld on behalf of employees to satisfy minimum statutory tax withholding requirements. During the three July 31, 2019, 2,000 $98,000. six July 31, 2019, 4,000 $0.2 At July 31, 2019, $3.4 2.5 |
Note 13 - Commitments and Conti
Note 13 - Commitments and Contingencies | 6 Months Ended |
Jul. 31, 2019 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | 13. COMMITMENTS AND CONTINGENCIES Indemnifications The Company sells software licenses and services to its customers under written agreements. Each agreement contains the relevant terms of the contractual arrangement with the customer and generally includes certain provisions for indemnifying the customer against losses, expenses and liabilities from damages that may third The Company believes its internal development processes and other policies and practices limit its exposure related to the indemnification provisions of the agreements. For several reasons, including the lack of prior indemnification claims and the lack of a monetary liability limit for certain infringement cases under the agreements, the Company cannot determine the maximum amount of potential future payments, if any, related to such indemnification provisions. Legal Actions The Company is subject to various legal proceedings and claims, either asserted or unasserted, which arise in the ordinary course of business. While the outcome of these claims cannot be predicted with certainty, management does not |
Note 14 - Business Segment Info
Note 14 - Business Segment Information | 6 Months Ended |
Jul. 31, 2019 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | 14. BUSINESS SEGMENT INFORMATION The Company markets its products and services worldwide, primarily to companies in the manufacturing industry, including automotive, consumer products, food and beverage, high technology, industrial products and life sciences industries. The Company sells and licenses its products through its direct sales force in four third 606, not 280, Segment Reporting not one Subscription, license and maintenance revenues are generally assigned to the region where a majority of end users are located. Professional services revenue is assigned based on the region where the services are delivered. Three Months Ended July 31, Six Months Ended July 31, 201 9 201 8 201 9 201 8 (in thousands) (in thousands) Revenue: North America (1) $ 36,837 $ 39,288 $ 74,496 $ 79,313 EMEA 22,118 26,906 44,627 51,993 Asia Pacific 11,751 12,866 23,637 25,425 Latin America 5,672 5,483 11,653 14,002 $ 76,378 $ 84,543 $ 154,413 $ 170,733 ( 1 Sales into Canada accounted for 2% 3% three six July 31, 2019, 1% 2% three six July 31, 2018, |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 6 Months Ended |
Jul. 31, 2019 | |
Accounting Policies [Abstract] | |
Basis of Accounting, Policy [Policy Text Block] | Basis of Presentation In the opinion of management, the accompanying unaudited Condensed Consolidated Financial Statements fairly present the financial information contained therein. These statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”) for interim financial information and with the instructions to Form 10 10 X. not 10 January 31, 2019. six July 31, 2019 not January 31, 2020. The Company’s accounting policies are set forth in detail in Note 1 10 January 31, 2019 |
Impairment or Disposal of Long-Lived Assets, Including Intangible Assets, Policy [Policy Text Block] | Assets Held for Sale During the second 2020, 12 $1.7 July 31, 2019. |
New Accounting Pronouncements, Policy [Policy Text Block] | Recent Accounting Pronouncements Except as discussed below, there have been no six July 31, 2019, Recent Accounting Pronouncements Adopted In February 2016, 2016 02, Leases (Topic 842 2016 02, February 1, 2019, 840, not The Company elected the package of practical expedients not not Adoption of the new standard resulted in the recording of a non-cash transitional adjustment to ROU lease assets and lease liabilities of approximately $13.1 $13.9 February 1, 2019. 2016 02 not Recent Accounting Pronouncements Not Yet Adopted In August 2018, No. 2018 15, Intangibles-Goodwill and Other-Internal-Use Software (Subtopic 350 40 350 40, No. 2018 15 December 15, 2019, In January 2017, 2017 04, Intangibles—Goodwill and Other (Topic 350 ): Simplifying the Test for Goodwill Impairment, 2 zero 2 February 1, 2020. not 2017 04 In June 2016, 2016 13, Financial Instruments-Credit Losses (Topic 326 2016 13 2016 13 December 15, 2019, first 2016 13 first 2021. |
Note 2 - Revenue (Tables)
Note 2 - Revenue (Tables) | 6 Months Ended |
Jul. 31, 2019 | |
Notes Tables | |
Disaggregation of Revenue [Table Text Block] | Three Months Ended July 31, Six Months Ended July 31, 201 9 201 8 201 9 201 8 (in thousands) (in thousands) North America $ 36,837 $ 39,288 $ 74,496 $ 79,313 EMEA 22,118 26,906 44,627 51,993 Asia Pacific 11,751 12,866 23,637 25,425 Latin America 5,672 5,483 11,653 14,002 Total revenue $ 76,378 $ 84,543 $ 154,413 $ 170,733 Three Months Ended July 31, Six Months Ended July 31, 201 9 201 8 201 9 201 8 (in thousands) (in thousands) Automotive $ 26,962 $ 34,663 $ 56,034 $ 71,725 Consumer products and food and beverage 12,128 13,527 24,107 27,317 High technology and industrial products 26,389 25,363 51,937 50,358 Life sciences 10,899 10,990 22,335 21,333 Total revenue $ 76,378 $ 84,543 $ 154,413 $ 170,733 |
Contract with Customer, Asset and Liability [Table Text Block] | July 31, 2019 January 31, 2019 (In thousands) Contract assets, short-term (in Prepaid expenses and other current assets, net) $ 2,391 $ 2,058 Contract assets, long-term (in Other assets, net) 67 - Total contract assets $ 2,458 $ 2,058 Deferred revenue, short-term $ 94,399 $ 115,253 Deferred revenue, long-term (in Other liabilities) 1,893 1,465 Total deferred revenue $ 96,292 $ 116,718 July 31, 2019 January 31, 2019 (in thousands) Deferred maintenance $ 59,636 $ 77,037 Deferred subscription 32,791 34,020 Deferred professional services 1,849 2,146 Deferred license 89 1,713 Deferred other revenue 34 337 Deferred revenues, current 94,399 115,253 Deferred revenues, non-current (in Other liabilities) 1,893 1,465 Total deferred revenues $ 96,292 $ 116,718 |
Note 3 - Computation of Net (_2
Note 3 - Computation of Net (Loss) Income Per Share (Tables) | 6 Months Ended |
Jul. 31, 2019 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Three Months Ended Six Months Ended July 31, July 31, 201 9 201 8 201 9 201 8 (in thousands, except per share data) (in thousands, except per share data) Net (loss) income $ (13,250 ) $ 1,113 $ (16,484 ) $ 2,510 Less: Dividends declared (1,387 ) (1,372 ) (2,761 ) (2,731 ) Undistributed net loss $ (14,637 ) $ (259 ) $ (19,245 ) $ (221 ) Net (loss) income per share – Class A Common Stock Dividends declared $ 1,191 $ 1,176 $ 2,370 $ 2,340 Allocation of undistributed net loss (12,570 ) (222 ) (16,522 ) (190 ) Net (loss) income attributable to Class A common stock $ (11,379 ) $ 954 $ (14,152 ) $ 2,150 Weighted average shares of Class A common stock outstanding— basic 16,465 16,266 16,417 16,173 Weighted average potential shares of Class A common stock — 1,661 — 1,713 Weighted average shares of Class A common stock and potential common shares outstanding— diluted 16,465 17,927 16,417 17,886 Basic net (loss) income per Class A common share $ (0.69 ) $ 0.06 $ (0.86 ) $ 0.13 Diluted net (loss) income per Class A common share $ (0.69 ) $ 0.05 $ (0.86 ) $ 0.12 Net (loss) income per share – Class B Common Stock Dividends declared $ 196 $ 196 $ 391 $ 391 Allocation of undistributed net loss (2,067 ) (37 ) (2,723 ) (31 ) Net (loss) income attributable to Class B common stock $ (1,871 ) $ 159 $ (2,332 ) $ 360 Weighted average shares of Class B common stock outstanding— basic 3,264 3,263 3,264 3,248 Weighted average potential shares of Class B common stock — 171 — 177 Weighted average shares of Class B common stock and potential common shares outstanding— diluted 3,264 3,434 3,264 3,425 Basic net (loss) income per Class B common share $ (0.57 ) $ 0.05 $ (0.71 ) $ 0.11 Diluted net (loss) income per Class B common share $ (0.57 ) $ 0.05 $ (0.71 ) $ 0.11 |
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block] | Three Months Ended Six Months Ended July 31, July 31, 201 9 201 8 201 9 201 8 (in thousands) (in thousands) Class A 2,897 351 2,898 179 Class B 278 — 278 — |
Note 4 - Fair Value Measureme_2
Note 4 - Fair Value Measurements (Tables) | 6 Months Ended |
Jul. 31, 2019 | |
Notes Tables | |
Fair Value Measurements, Recurring and Nonrecurring [Table Text Block] | Fair value measurement at reporting date using Quoted Prices Significant Significant (in thousands) Money market mutual funds as of July 31, 2019 $ 106,774 Money market mutual funds as of January 31, 2019 $ 107,855 Short-term investments as of July 31, 2019 $ 1,200 Short-term investments as of January 31, 2019 $ 1,200 Liability related to the interest rate swap as of July 31, 2019 $ (115 ) Asset related to the interest rate swap as of January 31, 2019 $ 136 |
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value [Table Text Block] | Liability / Asset Fair Value Balance Sheet July 31 , January 31, Derivative instrument: Interest rate swap Other liabilities / Other assets, net $ (115 ) $ 136 Total $ (115 ) $ 136 |
Note 5 - Capitalized Software_2
Note 5 - Capitalized Software Costs (Tables) | 6 Months Ended |
Jul. 31, 2019 | |
Notes Tables | |
Schedule of Capitalized Software Costs [Table Text Block] | July 31 , 2019 January 31, 2019 (in thousands) Capitalized software costs: Capitalized software development costs $ 2,737 $ 2,314 Acquired software technology 135 135 2,872 2,449 Less accumulated amortization (1,152 ) (851 ) Capitalized software costs, net $ 1,720 $ 1,598 |
Schedule of Capitalized Software Costs Amortization Expense [Table Text Block] | Fiscal Years (in thousands) 2020 remaining $ 458 2021 750 2022 407 2023 92 Thereafter 13 $ 1,720 |
Note 6 - Goodwill and Intangi_2
Note 6 - Goodwill and Intangible Assets (Tables) | 6 Months Ended |
Jul. 31, 2019 | |
Notes Tables | |
Schedule of Goodwill [Table Text Block] | Gross Carrying Amount Accumulated Impairment Goodwill, Net (in thousands) Balance at January 31, 2019 $ 28,031 $ (15,608 ) $ 12,423 Impact of foreign currency translation (44 ) - (44 ) Balance at July 31, 2019 $ 27,987 $ (15,608 ) $ 12,379 |
Schedule of Finite-Lived Intangible Assets [Table Text Block] | July 31 , 2019 January 31, 2019 (in thousands) Amortizable intangible assets: Customer relationships $ 1,349 $ 1,348 Less accumulated amortization (250 ) (115 ) Amortizable intangible assets, net $ 1,099 $ 1,233 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | Fiscal Years (in thousands) 2020 remaining $ 135 2021 270 2022 270 2023 270 Thereafter 154 $ 1,099 |
Note 7 - Debt (Tables)
Note 7 - Debt (Tables) | 6 Months Ended |
Jul. 31, 2019 | |
Notes Tables | |
Schedule of Debt [Table Text Block] | July 31 , 2019 January 31, 2019 (in thousands) Note payable $ 13,111 $ 13,358 Less current maturities (492 ) (487 ) Less loan origination costs, net (30 ) (35 ) Long-term debt $ 12,589 $ 12,836 |
Note 8 - Leases (Tables)
Note 8 - Leases (Tables) | 6 Months Ended |
Jul. 31, 2019 | |
Notes Tables | |
Lessee, Operating Lease, Assets and Liabilities [Table Text Block] | July 31, 2019 Assets Operating $ 18,097 Finance 98 Total lease assets, net $ 18,195 Liabilities Current Operating $ 4,812 Finance 43 Noncurrent Operating 14,017 Finance 42 Total lease liabilities $ 18,914 |
Lease, Cost [Table Text Block] | Three Months Ended Six Months Ended July 31, 2019 July 31, 2019 Operating lease cost $ 1,509 $ 2,965 Finance lease cost 14 14 Variable lease cost 397 769 Short-term lease cost 66 140 Net lease cost $ 1,986 $ 3,888 |
Lessee, Weighted Average Lease Term and Discount Rate [Table Text Block] | July 31, 2019 Weighted-average remaining lease term (in years) All leases 5.7 Weighted-average discount rate All leases 6.14 % |
Lessee, Operating Leases, Supplemental Cash Flow Disclosure [Table Text Block] | Six Months Ended July 31, 2019 Cash flows related to lease liabilities Operating cash flows related to operating leases $ (3,095 ) ) Financing cash flows related to finance leases (11 ) Total cash flows related to lease liabilities $ (3,106 ) Non-cash items Leased assets obtained in exchange for new operating lease liabilities $ 7,696 Leased assets obtained in exchange for new finance lease liabilities 110 Total non-cash items $ 7,806 |
Lessee, Operating Lease, Liability, Maturity [Table Text Block] | Operating Leases Within 1 year $ 5.9 2 years 4.5 3 years 3.0 4 years 2.2 5 years 2.0 Thereafter 5.0 Total lease payments $ 22.6 Less: Imputed interest (3.7 ) Present value of lease liabilities $ 18.9 |
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | 2020 $ 5.6 2021 4.6 2022 2.8 2023 1.8 2024 1.5 Thereafter 2.8 Total $ 19.1 |
Note 9 - Accumulated Other Co_2
Note 9 - Accumulated Other Comprehensive Loss (Tables) | 6 Months Ended |
Jul. 31, 2019 | |
Notes Tables | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | Foreign Currency Translation Adjustments (in thousands) Balance as of January 31, 2019 $ (7,661 ) Other comprehensive income before reclassifications 35 Amounts reclassified from accumulated other comprehensive loss — Net current period other comprehensive income 35 Balance as of July 31, 2019 $ (7,626 ) |
Note 10 - Income Taxes (Tables)
Note 10 - Income Taxes (Tables) | 6 Months Ended |
Jul. 31, 2019 | |
Notes Tables | |
Summary of Valuation Allowance [Table Text Block] | Jurisdiction July 31, 2019 January 31, 2019 U.S. federal and state $ 26.8 $ 24.7 Irish Principal 9.9 - Brazil 5.4 5.2 Germany 2.7 2.9 Hong Kong 1.2 1.2 South Africa 0.2 - Belgium - 0.9 Total valuation allowance $ 46.2 $ 34.9 |
Note 11 - Stockholders' Equity
Note 11 - Stockholders' Equity (Tables) | 6 Months Ended |
Jul. 31, 2019 | |
Notes Tables | |
Dividends Declared [Table Text Block] | Declaration Date Record Date Payable Dividend Class A Dividend Class B Amount (in thousands) 6/24/2019 7/10/2019 7/17/2019 $ 0.072 $ 0.06 $ 1,387 4/9/2019 4/23/2019 5/3/2019 $ 0.072 $ 0.06 $ 1,374 |
Note 12 - Stock-based Compens_2
Note 12 - Stock-based Compensation (Tables) | 6 Months Ended |
Jul. 31, 2019 | |
Notes Tables | |
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Table Text Block] | Three Months Ended July 31, Six Months Ended July 31, 201 9 201 8 201 9 201 8 (in thousands) (in thousands) Cost of subscription $ 72 $ 68 $ 142 $ 117 Cost of maintenance and other revenue 132 118 253 210 Cost of professional services 359 327 681 553 Sales and marketing 575 534 955 936 Research and development 441 413 868 728 General and administrative 1,609 1,904 2,593 2,926 Total stock-based compensation expense $ 3,188 $ 3,364 $ 5,492 $ 5,470 |
Share-based Payment Arrangement, Restricted Stock and Restricted Stock Unit, Activity [Table Text Block] | RSUs Weighted Average Grant Date Fair Value (in thousands) Outstanding at January 31, 2019 663 $ 36.64 Granted 261 39.74 Released (1) (254 ) 32.33 Forfeited (26 ) 37.56 Outstanding at July 31, 2019 644 $ 39.55 |
Share-based Payment Arrangement, Performance Shares, Activity [Table Text Block] | PSUs Weighted Average Grant Date Fair Value (in thousands) Outstanding at January 31, 2019 — $ — Granted 93 39.82 Released — — Forfeited — — Outstanding at July 31, 2019 93 $ 39.82 |
Share-based Payment Arrangement, Option and Stock Appreciation Rights, Activity [Table Text Block] | SARs (in thousands) Weighted Average Exercise Price per Share Weighted Average Remaining Contractual Term (years) Aggregate Intrinsic Value (in thousands) Outstanding at January 31, 2019 2,533 $ 20.81 Granted — — Exercised (17 ) 11.44 Expired — — Forfeited — — Outstanding at July 31, 2019 2,516 $ 20.87 3.0 $ 55,181 Vested and exercisable at July 31, 2019 2,231 (1) $ 18.38 2.6 $ 53,002 |
Note 14 - Business Segment In_2
Note 14 - Business Segment Information (Tables) | 6 Months Ended |
Jul. 31, 2019 | |
Notes Tables | |
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas [Table Text Block] | Three Months Ended July 31, Six Months Ended July 31, 201 9 201 8 201 9 201 8 (in thousands) (in thousands) Revenue: North America (1) $ 36,837 $ 39,288 $ 74,496 $ 79,313 EMEA 22,118 26,906 44,627 51,993 Asia Pacific 11,751 12,866 23,637 25,425 Latin America 5,672 5,483 11,653 14,002 $ 76,378 $ 84,543 $ 154,413 $ 170,733 |
Note 1 - Basis of Presentatio_2
Note 1 - Basis of Presentation and Recent Accounting Pronouncements (Details Textual) - USD ($) $ in Thousands | Jul. 31, 2019 | Feb. 01, 2019 |
Operating Lease, Right-of-Use Asset | $ 18,097 | |
Operating Lease, Liability, Total | 18,900 | |
Accounting Standards Update 2016-02 [Member] | ||
Operating Lease, Right-of-Use Asset | $ 13,100 | |
Operating Lease, Liability, Total | $ 13,900 | |
Other Current Assets [Member] | Building Held for Sale [Member] | ||
Assets Held-for-sale, Not Part of Disposal Group, Total | $ 1,700 |
Note 2 - Revenue 1 (Details Tex
Note 2 - Revenue 1 (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jul. 31, 2019 | Jul. 31, 2018 | Jul. 31, 2019 | Jul. 31, 2018 | Jan. 31, 2019 | |
Contract with Customer, Liability, Revenue Recognized | $ 82,800 | ||||
Revenue, Remaining Performance Obligation, Amount | $ 250,500 | 250,500 | |||
Capitalized Contract Cost, Amortization | 2,161 | $ 2,051 | |||
Capitalized Contract Cost, Impairment Loss | $ 0 | ||||
Direct Costs of Obtaining Contract [Member] | |||||
Capitalized Contract Cost, Amortization Period | 5 years | 5 years | |||
Capitalized Contract Cost, Net, Total | $ 11,000 | $ 11,000 | $ 11,000 | ||
Capitalized Contract Cost, Amortization | 900 | 1,900 | |||
Direct Costs of Obtaining Contract [Member] | Selling and Marketing Expense [Member] | |||||
Capitalized Contract Cost, Amortization | $ 900 | $ 1,800 | |||
Costs to Fulfill Contract [Member] | |||||
Capitalized Contract Cost, Amortization Period | 5 years | 5 years | |||
Capitalized Contract Cost, Net, Total | $ 1,400 | $ 1,400 | $ 1,500 | ||
Costs to Fulfill Contract [Member] | Cost of Sales [Member] | |||||
Capitalized Contract Cost, Amortization | $ 100 | $ 100 | $ 300 | $ 300 |
Note 2 - Revenue 2 (Details Tex
Note 2 - Revenue 2 (Details Textual) $ in Thousands | Jul. 31, 2019USD ($) |
Revenue, Remaining Performance Obligation, Amount | $ 250,500 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2019-08-01 | |
Revenue, Remaining Performance Obligation, Amount | $ 156,000 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year |
Note 2 - Revenue - Disaggregati
Note 2 - Revenue - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jul. 31, 2019 | Jul. 31, 2018 | Jul. 31, 2019 | Jul. 31, 2018 | Jul. 31, 2018 | |
Revenues | $ 76,378 | $ 84,543 | $ 154,413 | $ 170,733 | $ 170,733 |
Automotive [Member] | |||||
Revenues | 26,962 | 34,663 | 56,034 | 71,725 | |
Consumer Products and Food and Beverage [Member] | |||||
Revenues | 12,128 | 13,527 | 24,107 | 27,317 | |
High Technology and Industrial Products [Member] | |||||
Revenues | 26,389 | 25,363 | 51,937 | 50,358 | |
Life Sciences [Member] | |||||
Revenues | 10,899 | 10,990 | 22,335 | 21,333 | |
North America [Member] | |||||
Revenues | 36,837 | 39,288 | 74,496 | 79,313 | |
EMEA [Member] | |||||
Revenues | 22,118 | 26,906 | 44,627 | 51,993 | |
Asia Pacific [Member] | |||||
Revenues | 11,751 | 12,866 | 23,637 | 25,425 | |
Latin America [Member] | |||||
Revenues | $ 5,672 | $ 5,483 | $ 11,653 | $ 14,002 |
Note 2 - Revenue - Contract Bal
Note 2 - Revenue - Contract Balances (Details) - USD ($) $ in Thousands | Jul. 31, 2019 | Jan. 31, 2019 |
Contract assets, short-term (in Prepaid expenses and other current assets, net) | $ 2,391 | $ 2,058 |
Contract assets, long-term (in Other assets, net) | 67 | |
Total contract assets | 2,458 | 2,058 |
Deferred revenue | 94,399 | 115,253 |
Deferred revenue, long-term (in Other liabilities) | 1,893 | 1,465 |
Total deferred revenue | 96,292 | 116,718 |
Deferred revenues, current | 94,399 | 115,253 |
Deferred revenues, non-current (in Other liabilities) | 1,893 | 1,465 |
Maintenance [Member] | ||
Deferred revenue | 59,636 | 77,037 |
Deferred revenues, current | 59,636 | 77,037 |
Subscription and Circulation [Member] | ||
Deferred revenue | 32,791 | 34,020 |
Deferred revenues, current | 32,791 | 34,020 |
Professional Services [Member] | ||
Deferred revenue | 1,849 | 2,146 |
Deferred revenues, current | 1,849 | 2,146 |
License [Member] | ||
Deferred revenue | 89 | 1,713 |
Deferred revenues, current | 89 | 1,713 |
Product and Service, Other [Member] | ||
Deferred revenue | 34 | 337 |
Deferred revenues, current | $ 34 | $ 337 |
Note 3 - Computation of Net (_3
Note 3 - Computation of Net (Loss) Income Per Share - Computation of Basic and Diluted Net Loss Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2019 | Jul. 31, 2018 | Jul. 31, 2019 | Jul. 31, 2018 | |
Net (loss) income | $ (13,250) | $ 1,113 | $ (16,484) | $ 2,510 |
Dividends declared | (1,387) | (1,372) | (2,761) | (2,731) |
Undistributed net loss | (14,637) | (259) | (19,245) | (221) |
Net (loss) income per share | ||||
Dividends declared | 1,387 | 1,372 | 2,761 | 2,731 |
Undistributed net loss | (14,637) | (259) | (19,245) | (221) |
Net (loss) income | (13,250) | 1,113 | (16,484) | 2,510 |
Common Class A [Member] | ||||
Net (loss) income | (11,379) | 954 | (14,152) | 2,150 |
Dividends declared | (1,191) | (1,176) | (2,370) | (2,340) |
Undistributed net loss | (12,570) | (222) | (16,522) | (190) |
Net (loss) income per share | ||||
Dividends declared | 1,191 | 1,176 | 2,370 | 2,340 |
Undistributed net loss | (12,570) | (222) | (16,522) | (190) |
Net (loss) income | $ (11,379) | $ 954 | $ (14,152) | $ 2,150 |
Weighted average shares of common stock outstanding—basic (in shares) | 16,465 | 16,266 | 16,417 | 16,173 |
Weighted average potential shares of common stock (in shares) | 1,661 | 1,713 | ||
Weighted average shares of common stock and potential common shares outstanding—diluted (in shares) | 16,465 | 17,927 | 16,417 | 17,886 |
Basic net (loss) income per common share (in dollars per share) | $ (0.69) | $ 0.06 | $ (0.86) | $ 0.13 |
Diluted net (loss) income per common share (in dollars per share) | $ (0.69) | $ 0.05 | $ (0.86) | $ 0.12 |
Common Class B [Member] | ||||
Net (loss) income | $ (1,871) | $ 159 | $ (2,332) | $ 360 |
Dividends declared | (196) | (196) | (391) | (391) |
Undistributed net loss | (2,067) | (37) | (2,723) | (31) |
Net (loss) income per share | ||||
Dividends declared | 196 | 196 | 391 | 391 |
Undistributed net loss | (2,067) | (37) | (2,723) | (31) |
Net (loss) income | $ (1,871) | $ 159 | $ (2,332) | $ 360 |
Weighted average shares of common stock outstanding—basic (in shares) | 3,264 | 3,263 | 3,264 | 3,248 |
Weighted average potential shares of common stock (in shares) | 171 | 177 | ||
Weighted average shares of common stock and potential common shares outstanding—diluted (in shares) | 3,264 | 3,434 | 3,264 | 3,425 |
Basic net (loss) income per common share (in dollars per share) | $ (0.57) | $ 0.05 | $ (0.71) | $ 0.11 |
Diluted net (loss) income per common share (in dollars per share) | $ (0.57) | $ 0.05 | $ (0.71) | $ 0.11 |
Note 3 - Computation of Net (_4
Note 3 - Computation of Net (Loss) Income Per Share - Anti-dilutive Shares (Details) - shares shares in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2019 | Jul. 31, 2018 | Jul. 31, 2019 | Jul. 31, 2018 | |
Common Class A [Member] | ||||
Antidilutive securities excluded from computation of net income per share (in shares) | 2,897 | 351 | 2,898 | 179 |
Common Class B [Member] | ||||
Antidilutive securities excluded from computation of net income per share (in shares) | 278 | 278 |
Note 4 - Fair Value Measureme_3
Note 4 - Fair Value Measurements (Details Textual) - USD ($) | 3 Months Ended | 6 Months Ended | ||||
Jul. 31, 2019 | Jul. 31, 2018 | Jul. 31, 2019 | Jul. 31, 2018 | Jan. 31, 2019 | Jan. 31, 2018 | |
Cash and Cash Equivalents, at Carrying Value, Ending Balance | $ 141,768,000 | $ 139,528,000 | $ 141,768,000 | $ 139,528,000 | $ 139,413,000 | $ 147,023,000 |
Interest Rate Swap [Member] | ||||||
Derivative, Gain (Loss) on Derivative, Net, Total | (160,000) | $ 35,000 | 251,000 | $ 152,000 | ||
Reported Value Measurement [Member] | ||||||
Cash and Cash Equivalents, at Carrying Value, Ending Balance | $ 35,000,000 | $ 35,000,000 | $ 31,600,000 |
Note 4 - Fair Value Measureme_4
Note 4 - Fair Value Measurements - Financial Assets and Liabilities (Details) - USD ($) $ in Thousands | Jul. 31, 2019 | Jan. 31, 2019 |
Short-term investments | $ 1,200 | $ 1,200 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Money market mutual funds | 106,774 | 107,855 |
Short-term investments | 1,200 | 1,200 |
Liability related to the interest rate swap | ||
Asset related to the interest rate swap | ||
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Money market mutual funds | ||
Short-term investments | ||
Liability related to the interest rate swap | $ (115) | |
Asset related to the interest rate swap | $ 136 |
Note 4 - Fair Value Measureme_5
Note 4 - Fair Value Measurements - Fair Values of the Derivative Instrument (Details) - Fair Value, Inputs, Level 2 [Member] - Fair Value, Recurring [Member] - USD ($) $ in Thousands | Jul. 31, 2019 | Jan. 31, 2019 |
Liability related to the interest rate swap | $ (115) | |
Asset related to the interest rate swap | $ 136 | |
Interest Rate Swap [Member] | Other Noncurrent Assets [Member] | ||
Liability related to the interest rate swap | $ (115) | |
Interest Rate Swap [Member] | Other Noncurrent Liabilities [Member] | ||
Asset related to the interest rate swap | $ 136 |
Note 5 - Capitalized Software_3
Note 5 - Capitalized Software Costs (Details Textual) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2019 | Jul. 31, 2018 | Jul. 31, 2019 | Jul. 31, 2018 | |
Capitalized Computer Software Write-Downs | $ 0.1 | |||
Capitalized Computer Software, Amortization | $ 0.2 | $ 0.1 | $ 0.4 | $ 0.3 |
Note 5 - Capitalized Software_4
Note 5 - Capitalized Software Costs - Capitalized Software Costs and Accumulated Amortization (Details) - USD ($) $ in Thousands | Jul. 31, 2019 | Jan. 31, 2019 |
Capitalized software development costs | $ 2,737 | $ 2,314 |
Acquired software technology | 135 | 135 |
Capitalized software costs, Gross | 2,872 | 2,449 |
Less accumulated amortization | (1,152) | (851) |
Capitalized software costs, net | $ 1,720 | $ 1,598 |
Note 5 - Capitalized Software_5
Note 5 - Capitalized Software Costs - Estimated Amortization Expense (Details) - USD ($) $ in Thousands | Jul. 31, 2019 | Jan. 31, 2019 |
2020 remaining | $ 458 | |
2021 | 750 | |
2022 | 407 | |
2023 | 92 | |
Thereafter | 13 | |
Total | $ 1,720 | $ 1,598 |
Note 6 - Goodwill and Intangi_3
Note 6 - Goodwill and Intangible Assets (Details Textual) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2019 | Jul. 31, 2018 | Jul. 31, 2019 | Jul. 31, 2018 | |
Amortization of Intangible Assets, Total | $ 66,000 | $ 133,000 | $ 0 |
Note 6 - Goodwill and Intangi_4
Note 6 - Goodwill and Intangible Assets - Goodwill (Details) $ in Thousands | 6 Months Ended |
Jul. 31, 2019USD ($) | |
Beginning balance, gross | $ 28,031 |
Impact of foreign currency translation, gross | (44) |
Ending balance, gross | 27,987 |
Accumulated impairment | (15,608) |
Impact of foreign currency translation, accumulated impairment | |
Accumulated impairment | (15,608) |
Beginning balance, net | 12,423 |
Ending balance, net | $ 12,379 |
Note 6 - Goodwill and Intangi_5
Note 6 - Goodwill and Intangible Assets - Intangible Assets (Details) - USD ($) $ in Thousands | Jul. 31, 2019 | Jan. 31, 2019 |
Amortizable intangible assets, gross | $ 1,349 | $ 1,348 |
Less accumulated amortization | (250) | (115) |
Net amortizable intangible assets | $ 1,099 | $ 1,233 |
Note 6 - Goodwill and Intangi_6
Note 6 - Goodwill and Intangible Assets - Future Amortization of Intangible Assets (Details) - USD ($) $ in Thousands | Jul. 31, 2019 | Jan. 31, 2019 |
2020 remaining | $ 135 | |
2021 | 270 | |
2022 | 270 | |
2023 | 270 | |
Thereafter | 154 | |
Net amortizable intangible assets | $ 1,099 | $ 1,233 |
Note 7 - Debt (Details Textual)
Note 7 - Debt (Details Textual) - Rabobank N.A [Member] - USD ($) | May 30, 2012 | Jul. 31, 2019 |
2012 Mortgage [Member] | Quad Ortega Hill LLC [Member] | ||
Debt Instrument, Face Amount | $ 16,100,000 | |
Debt Instrument, Periodic Payment, Total | 88,100 | |
Final Principal Payment | 11,700,000 | |
2012 Mortgage [Member] | Quad Ortega Hill LLC [Member] | Swap [Member] | ||
Derivative Liability, Notional Amount | $ 16,100,000 | |
Derivative, Fixed Interest Rate | 4.31% | |
2012 Mortgage [Member] | Quad Ortega Hill LLC [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||
Debt Instrument, Basis Spread on Variable Rate | 2.25% | 2.31% |
Unsecured Credit Agreement [Member] | ||
Loans Payable to Bank, Total | $ 13,100,000 |
Note 7 - Debt - Summary of Debt
Note 7 - Debt - Summary of Debt (Details) - USD ($) $ in Thousands | Jul. 31, 2019 | Jan. 31, 2019 |
Note payable | $ 13,111 | $ 13,358 |
Less current maturities | (492) | (487) |
Less loan origination costs, net | (30) | (35) |
Long-term debt | $ 12,589 | $ 12,836 |
Note 8 - Leases (Details Textua
Note 8 - Leases (Details Textual) $ in Millions | 3 Months Ended | 6 Months Ended |
Jul. 31, 2019USD ($) | Jul. 31, 2019USD ($) | |
Operating Lease, Lease Income, Total | $ 0.2 | $ 0.5 |
Minimum [Member] | ||
Lessee, Operating Lease, Renewal Term | 1 year | 1 year |
Lessor, Operating Lease, Renewal Term | 180 days | 180 days |
Maximum [Member] | ||
Lessee, Operating Lease, Renewal Term | 10 years | 10 years |
Lessor, Operating Lease, Renewal Term | 1 year | 1 year |
Office Space, Equipment, and Automobiles [Member] | Minimum [Member] | ||
Operating Lease, Remaining Term | 1 year | |
Office Space, Equipment, and Automobiles [Member] | Maximum [Member] | ||
Operating Lease, Remaining Term | 12 years | |
Assets Leased to Others [Member] | Minimum [Member] | ||
Lessor, Operating Lease, Term of Contract | 180 days | 180 days |
Assets Leased to Others [Member] | Maximum [Member] | ||
Lessor, Operating Lease, Term of Contract | 1 year | 1 year |
Note 8 - Leases - Balance Sheet
Note 8 - Leases - Balance Sheet Information (Details) - USD ($) $ in Thousands | Jul. 31, 2019 | Jan. 31, 2019 |
Operating Lease, Right-of-Use Asset | $ 18,097 | |
Finance | 98 | |
Total lease assets, net | 18,195 | |
Operating | 4,812 | |
Finance | 43 | |
Operating | 14,017 | |
Finance | 42 | |
Total lease liabilities | $ 18,914 |
Note 8 - Leases - Lease Cost (D
Note 8 - Leases - Lease Cost (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended |
Jul. 31, 2019 | Jul. 31, 2019 | |
Operating lease cost | $ 1,509 | $ 2,965 |
Finance lease cost | 14 | 14 |
Variable lease cost | 397 | 769 |
Short-term lease cost | 66 | 140 |
Net lease cost | $ 1,986 | $ 3,888 |
Note 8 - Leases - Lease Term an
Note 8 - Leases - Lease Term and Discount Rate (Details) | Jul. 31, 2019 |
Weighted-average remaining lease term (Year) | 5 years 255 days |
Weighted-average discount rate | 6.14% |
Note 8 - Leases - Supplemental
Note 8 - Leases - Supplemental Cash Flow Information (Details) $ in Thousands | 6 Months Ended |
Jul. 31, 2019USD ($) | |
Operating cash flows related to operating leases | $ (3,095) |
Financing cash flows related to finance leases | (11) |
Total cash flows related to lease liabilities | (3,106) |
Leased assets obtained in exchange for new operating lease liabilities | 7,696 |
Leased assets obtained in exchange for new finance lease liabilities | 110 |
Total non-cash items | $ 7,806 |
Note 8 - Leases - Maturities of
Note 8 - Leases - Maturities of Lease Liabilities (Details) $ in Millions | Jul. 31, 2019USD ($) |
Within 1 year | $ 5.9 |
2 years | 4.5 |
3 years | 3 |
4 years | 2.2 |
5 years | 2 |
Thereafter | 5 |
Total lease payments | 22.6 |
Less: Imputed interest | (3.7) |
Present value of lease liabilities | $ 18.9 |
Note 8 - Leases - Future Minimu
Note 8 - Leases - Future Minimum Lease Payments (Details) $ in Millions | Jan. 31, 2019USD ($) |
2020 | $ 5.6 |
2021 | 4.6 |
2022 | 2.8 |
2023 | 1.8 |
2024 | 1.5 |
Thereafter | 2.8 |
Total | $ 19.1 |
Note 9 - Accumulated Other Co_3
Note 9 - Accumulated Other Comprehensive Loss - Components of Accumulated Other Comprehensive Loss (Details) $ in Thousands | 6 Months Ended |
Jul. 31, 2019USD ($) | |
Balance | $ 133,247 |
Balance | 115,860 |
Accumulated Foreign Currency Adjustment Attributable to Parent [Member] | |
Balance | (7,661) |
Other comprehensive income before reclassifications | 35 |
Amounts reclassified from accumulated other comprehensive loss | |
Net current period other comprehensive income | 35 |
Balance | $ (7,626) |
Note 10 - Income Taxes (Details
Note 10 - Income Taxes (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2019 | Jul. 31, 2018 | Jul. 31, 2019 | Jul. 31, 2018 | |
Income Tax Expense (Benefit), Total | $ 9,872 | $ 1,471 | $ 10,587 | $ 2,654 |
Effective Income Tax Rate Reconciliation, Percent, Total | (292.00%) | 57.00% | (180.00%) | 51.00% |
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Amount | $ 10,000 | $ 10,000 | ||
Unrecognized Tax Benefits, Ending Balance | 1,300 | 1,300 | ||
Unrecognized Tax Benefits, Period Increase (Decrease), Total | 1,000 | |||
Unrecognized Tax Benefits, Income Tax Penalties and Interest Accrued, Total | $ 100 | $ 100 | ||
Foreign Tax Authority [Member] | Ministry of Finance, India [Member] | ||||
Income Tax Examination, Year under Examination | 2010 2013 2014 | |||
Foreign Tax Authority [Member] | Federal Ministry of Finance, Germany [Member] | ||||
Income Tax Examination, Year under Examination | 2015 2016 2017 | |||
Foreign Tax Authority [Member] | Swiss Federal Tax Administration (FTA) [Member] | ||||
Income Tax Examination, Year under Examination | 2014 2015 2016 2017 2018 | |||
Foreign Tax Authority [Member] | Income Tax Autority, Thailand [Member] | ||||
Income Tax Examination, Year under Examination | 2017 | |||
Foreign Tax Authority [Member] | Tax and Customs Administration, Netherlands [Member] | ||||
Income Tax Examination, Year under Examination | 2016 |
Note 10 - Income Taxes - Valuat
Note 10 - Income Taxes - Valuation Allowance (Details) - USD ($) $ in Millions | Jul. 31, 2019 | Jan. 31, 2019 |
Valuation Allowance | $ 46.2 | $ 34.9 |
Federal and State Tax Authority [Member] | ||
Valuation Allowance | 26.8 | 24.7 |
Foreign Tax Authority [Member] | Revenue Commissioners, Ireland [Member] | ||
Valuation Allowance | 9.9 | |
Foreign Tax Authority [Member] | Secretariat of the Federal Revenue Bureau of Brazil [Member] | ||
Valuation Allowance | 5.4 | 5.2 |
Foreign Tax Authority [Member] | Federal Ministry of Finance, Germany [Member] | ||
Valuation Allowance | 2.7 | 2.9 |
Foreign Tax Authority [Member] | Inland Revenue, Hong Kong [Member] | ||
Valuation Allowance | 1.2 | 1.2 |
Foreign Tax Authority [Member] | Income Tax Authority, South Africa [Member] | ||
Valuation Allowance | 0.2 | |
Foreign Tax Authority [Member] | Administration of the Treasury, Belgium [Member] | ||
Valuation Allowance | $ 0.9 |
Note 11 - Stockholders' Equit_2
Note 11 - Stockholders' Equity - Dividends (Details) - USD ($) $ / shares in Units, $ in Thousands | Jun. 24, 2019 | Apr. 09, 2019 | Jul. 31, 2019 | Jul. 31, 2018 |
Record Date | Jul. 10, 2019 | Apr. 23, 2019 | ||
Payable | Jul. 17, 2019 | May 3, 2019 | ||
Amount | $ 1,387 | $ 1,374 | $ 2,761 | $ 2,731 |
Common Class A [Member] | ||||
Dividend Per Share (in dollars per share) | $ 0.072 | $ 0.072 | ||
Common Class B [Member] | ||||
Dividend Per Share (in dollars per share) | $ 0.06 | $ 0.06 |
Note 12 - Stock-based Compens_3
Note 12 - Stock-based Compensation (Details Textual) - USD ($) | 1 Months Ended | 3 Months Ended | 6 Months Ended |
Jun. 30, 2019 | Jul. 31, 2019 | Jul. 31, 2019 | |
Common Class A [Member] | Karl Lopker [Member] | |||
Number of Vested Stock Appreciation Rights Owned by Deceased Individual, Exercisable by Estate | 877,500 | 877,500 | |
Common Class B [Member] | Karl Lopker [Member] | |||
Number of Vested Stock Appreciation Rights Owned by Deceased Individual, Exercisable by Estate | 127,500 | 127,500 | |
Performance Shares [Member] | |||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount, Total | $ 3,500,000 | $ 3,500,000 | |
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition | 1 year 328 days | ||
Restricted Stock Units (RSUs) [Member] | |||
Share-based Payment Arrangement, Shares Withheld for Tax Withholding Obligation | 76,000 | 80,000 | |
Share-based Payment Arrangement, Decrease for Tax Withholding Obligation | $ 3,200,000 | $ 3,300,000 | |
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount, Total | $ 24,100,000 | $ 24,100,000 | |
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition | 3 years 36 days | ||
Stock Appreciation Rights (SARs) [Member] | |||
Share-based Payment Arrangement, Shares Withheld for Tax Withholding Obligation | 2,000 | 4,000 | |
Share-based Payment Arrangement, Decrease for Tax Withholding Obligation | $ 98,000 | $ 200,000 | |
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount, Total | $ 3,400,000 | $ 3,400,000 | |
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition | 2 years 182 days | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Intrinsic Value | $ 500,000 | ||
Minimum [Member] | Common Class A and B [Member] | Karl Lopker [Member] | |||
Vested Stock Appreciation Rights Owned by Deceased Individual, Exercisable by Estate, Exercise Price | $ 10.50 | $ 10.50 | |
Minimum [Member] | Performance Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Target Award Vesting Rights, Percentage | 0.00% | ||
Maximum [Member] | Common Class A and B [Member] | Karl Lopker [Member] | |||
Vested Stock Appreciation Rights Owned by Deceased Individual, Exercisable by Estate, Exercise Price | $ 31.65 | $ 31.65 | |
Maximum [Member] | Performance Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Target Award Vesting Rights, Percentage | 200.00% |
Note 12 - Stock-based Compens_4
Note 12 - Stock-based Compensation - Stock-based Compensation Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2019 | Jul. 31, 2018 | Jul. 31, 2019 | Jul. 31, 2018 | |
Allocated stock-based compensation expense | $ 3,188 | $ 3,364 | $ 5,492 | $ 5,470 |
Cost of Subscription [Member] | ||||
Allocated stock-based compensation expense | 72 | 68 | 142 | 117 |
Cost of Maintenance and Other Revenue [Member] | ||||
Allocated stock-based compensation expense | 132 | 118 | 253 | 210 |
Cost of Professional Services [Member] | ||||
Allocated stock-based compensation expense | 359 | 327 | 681 | 553 |
Selling and Marketing Expense [Member] | ||||
Allocated stock-based compensation expense | 575 | 534 | 955 | 936 |
Research and Development Expense [Member] | ||||
Allocated stock-based compensation expense | 441 | 413 | 868 | 728 |
General and Administrative Expense [Member] | ||||
Allocated stock-based compensation expense | $ 1,609 | $ 1,904 | $ 2,593 | $ 2,926 |
Note 12 - Stock-based Compens_5
Note 12 - Stock-based Compensation - RSUs Activity (Details) - Restricted Stock Units (RSUs) [Member] shares in Thousands | 6 Months Ended | |
Jul. 31, 2019$ / sharesshares | ||
Outstanding (in shares) | shares | 663 | |
Outstanding, weighted average grant date fair value (in dollars per share) | $ / shares | $ 36.64 | |
Granted (in shares) | shares | 261 | |
Granted, weighted average grant date fair value (in dollars per share) | $ / shares | $ 39.74 | |
Released (in shares) | shares | (254) | [1] |
Released, weighted average grant date fair value (in dollars per share) | $ / shares | $ 32.33 | [1] |
Forfeited (in shares) | shares | (26) | |
Forfeited, weighted average grant date fair value (in dollars per share) | $ / shares | $ 37.56 | |
Outstanding (in shares) | shares | 644 | |
Outstanding, weighted average grant date fair value (in dollars per share) | $ / shares | $ 39.55 | |
[1] | The number of RSUs released includes shares withheld on behalf of employees to satisfy the minimum statutory tax withholding requirements. |
Note 12 - Stock-based Compens_6
Note 12 - Stock-based Compensation - PSUs Activity (Details) - Performance Shares [Member] shares in Thousands | 6 Months Ended |
Jul. 31, 2019$ / sharesshares | |
Outstanding (in shares) | shares | |
Outstanding, weighted average grant date fair value (in dollars per share) | $ / shares | |
Granted (in shares) | shares | 93 |
Granted, weighted average grant date fair value (in dollars per share) | $ / shares | $ 39.82 |
Released (in shares) | shares | |
Released, weighted average grant date fair value (in dollars per share) | $ / shares | |
Forfeited (in shares) | shares | |
Forfeited, weighted average grant date fair value (in dollars per share) | $ / shares | |
Outstanding (in shares) | shares | 93 |
Outstanding, weighted average grant date fair value (in dollars per share) | $ / shares | $ 39.82 |
Note 12 - Stock-based Compens_7
Note 12 - Stock-based Compensation - SARs Activity (Details) - Stock Appreciation Rights (SARs) [Member] $ / shares in Units, shares in Thousands, $ in Thousands | 6 Months Ended | |
Jul. 31, 2019USD ($)$ / sharesshares | ||
Outstanding (in shares) | shares | 2,533 | |
Outstanding, weighted average exercise price (in dollars per share) | $ / shares | $ 20.81 | |
Granted (in shares) | shares | ||
Granted, weighted average exercise price (in dollars per share) | $ / shares | ||
Exercised (in shares) | shares | (17) | |
Exercised, weighted average exercise price (in dollars per share) | $ / shares | $ 11.44 | |
Expired (in shares) | shares | ||
Expired, weighted average exercise price (in dollars per share) | $ / shares | ||
Forfeited (in shares) | shares | ||
Forfeited, weighted average exercise price (in dollars per share) | $ / shares | ||
Outstanding (in shares) | shares | 2,516 | |
Outstanding, weighted average exercise price (in dollars per share) | $ / shares | $ 20.87 | |
Outstanding, weighted average remaining contractual term (Year) | 3 years | |
Outstanding, aggregate intrinsic value | $ | $ 55,181 | |
Vested and exercisable at July 31, 2019 (in shares) | shares | 2,231 | [1] |
Vested and exercisable at July 31, 2019 (in dollars per share) | $ / shares | $ 18.38 | |
Vested and exercisable at July 31, 2019 (Year) | 2 years 219 days | |
Vested and exercisable at July 31, 2019 | $ | $ 53,002 | |
[1] | The number of SARs vested and exercisable at July 31, 2019 includes 877,500 Class A and 127,500 Class B shares previously held by Mr. Karl Lopker which were exercised on August 22, 2019 by his estate, prior to their expiration date of August 25, 2019. Exercise prices for these SARs range from $10.50 to $31.65. |
Note 14 - Business Segment In_3
Note 14 - Business Segment Information (Details Textual) | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2019 | Jul. 31, 2018 | Jul. 31, 2019 | Jul. 31, 2018 | |
Number of Geographic Locations | 4 | |||
Number of Operating Segments | 1 | |||
Geographic Concentration Risk [Member] | North America Revenue [Member] | CANADA | ||||
Concentration Risk, Percentage | 2.00% | 1.00% | 3.00% | 2.00% |
Note 14 - Business Segment In_4
Note 14 - Business Segment Information - Revenue by Region (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jul. 31, 2019 | Jul. 31, 2018 | Jul. 31, 2019 | Jul. 31, 2018 | Jul. 31, 2018 | ||
Revenues | $ 76,378 | $ 84,543 | $ 154,413 | $ 170,733 | $ 170,733 | |
North America [Member] | ||||||
Revenues | 36,837 | 39,288 | 74,496 | 79,313 | ||
EMEA [Member] | ||||||
Revenues | 22,118 | 26,906 | 44,627 | 51,993 | ||
Asia Pacific [Member] | ||||||
Revenues | 11,751 | 12,866 | 23,637 | 25,425 | ||
Latin America [Member] | ||||||
Revenues | 5,672 | 5,483 | 11,653 | $ 14,002 | ||
Reportable Geographical Components [Member] | North America [Member] | ||||||
Revenues | [1] | 36,837 | 39,288 | 74,496 | 79,313 | |
Reportable Geographical Components [Member] | EMEA [Member] | ||||||
Revenues | 22,118 | 26,906 | 44,627 | 51,993 | ||
Reportable Geographical Components [Member] | Asia Pacific [Member] | ||||||
Revenues | 11,751 | 12,866 | 23,637 | 25,425 | ||
Reportable Geographical Components [Member] | Latin America [Member] | ||||||
Revenues | $ 5,672 | $ 5,483 | $ 11,653 | $ 14,002 | ||
[1] | Sales into Canada accounted for 2% and 3% of North America total revenue in the three and six months ended July 31, 2019, respectively and for 1% and 2% of North America total revenue in the three and six months ended July 31, 2018, respectively. |