SPS Commerce (SPSC) 10-Q 31 Jul 20 2020 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2020	Jul. 24, 2020
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2020
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q2
Trading Symbol	SPSC
Entity Registrant Name	SPS COMMERCE, INC.
Entity Central Index Key	0001092699
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Common Stock, Shares Outstanding		35,128,208
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Shell Company	false
Entity File Number	001-34702
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	41-2015127
Entity Address, Address Line One	333 South Seventh Street
Entity Address, Address Line Two	Suite 1000
Entity Address, City or Town	Minneapolis
Entity Address, State or Province	MN
Entity Address, Postal Zip Code	55402
City Area Code	612
Local Phone Number	435-9400
Title of 12(b) Security	Common Stock, par value $0.001 per share
Security Exchange Name	NASDAQ
Document Quarterly Report	true
Document Transition Report	false

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
CURRENT ASSETS
Cash and cash equivalents	$ 174,850	$ 179,252
Short-term investments	50,775	34,284
Accounts receivable	37,840	33,001
Allowance for credit losses	(3,663)	(1,469)
Accounts receivable, net	34,177	31,532
Deferred costs	35,797	35,274
Other assets	8,378	11,279
Total current assets	303,977	291,621
PROPERTY AND EQUIPMENT, less accumulated depreciation of $55,377 and $50,574, respectively	25,510	23,752
OPERATING LEASE RIGHT-OF-USE ASSETS	14,839	15,744
GOODWILL	75,883	76,845
INTANGIBLE ASSETS, net	19,790	22,668
INVESTMENTS	7,566
OTHER ASSETS
Deferred costs, non-current	10,852	11,667
Deferred income tax assets	1,030	2,630
Other assets, non-current	2,216	2,513
Total assets	461,663	447,440
CURRENT LIABILITIES
Accounts payable	4,256	4,274
Accrued compensation	16,950	22,303
Accrued expenses	5,067	6,207
Deferred revenue	36,273	31,463
Operating lease liabilities	4,189	3,783
Total current liabilities	66,735	68,030
OTHER LIABILITIES
Deferred revenue, non-current	2,746	2,851
Operating lease liabilities, non-current	17,920	20,085
Deferred income tax liabilities	952	1,193
Other liabilities, non-current		405
Total liabilities	88,353	92,564
COMMITMENTS and CONTINGENCIES
STOCKHOLDERS’ EQUITY
Preferred stock, $0.001 par value; 5,000,000 shares authorized; 0 shares issued and outstanding
Common stock, $0.001 par value; 55,000,000 shares authorized; 36,739,368 and 36,104,619 shares issued; and 35,126,118 and 34,863,271 outstanding, respectively	37	36
Treasury stock, at cost; 1,613,250 and 1,241,348 shares, respectively	(65,247)	(46,297)
Additional paid-in capital	373,686	354,115
Retained earnings	68,613	48,973
Accumulated other comprehensive loss	(3,779)	(1,951)
Total stockholders’ equity	373,310	354,876
Total liabilities and stockholders’ equity	$ 461,663	$ 447,440

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Statement Of Financial Position [Abstract]
Accumulated depreciation	$ 55,377	$ 50,574
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	5,000,000	5,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	55,000,000	55,000,000
Common stock, shares issued	36,739,368	36,104,619
Common stock, shares outstanding	35,126,118	34,863,271
Treasury stock, shares	1,613,250	1,241,348

Condensed Consolidated Statemen

Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Income Statement [Abstract]
Revenues	$ 75,573	$ 68,529	$ 149,765	$ 135,463
Cost of revenues	24,326	23,700	47,870	45,067
Gross profit	51,247	44,829	101,895	90,396
Operating expenses
Sales and marketing	18,611	17,545	36,910	35,467
Research and development	7,466	6,509	15,034	12,701
General and administrative	12,743	10,179	24,652	22,949
Amortization of intangible assets	1,316	1,266	2,652	2,570
Total operating expenses	40,136	35,499	79,248	73,687
Income from operations	11,111	9,330	22,647	16,709
Other income (expense)
Interest income, net	226	813	866	1,390
Other income, net	1,242	240	1	193
Change in earn-out liability		400	(72)	344
Total other income, net	1,468	1,453	795	1,927
Income before income taxes	12,579	10,783	23,442	18,636
Income tax expense	1,385	1,987	2,733	3,027
Net income	11,194	8,796	20,709	15,609
Other comprehensive income (expense)
Foreign currency translation adjustments	2,116	291	(1,748)	1,030
Unrealized gain on investments, net of tax of $3, $37, $26 and $67	7	110	78	200
Reclassification of gain on investments into earnings, net of tax of ($27), ($29), ($53) and ($60)	(79)	(88)	(158)	(180)
Total other comprehensive income (expense)	2,044	313	(1,828)	1,050
Comprehensive income	$ 13,238	$ 9,109	$ 18,881	$ 16,659
Net income per share
Basic	$ 0.32	$ 0.25	$ 0.59	$ 0.45
Diluted	$ 0.31	$ 0.24	$ 0.58	$ 0.43
Weighted average common shares used to compute net income per share
Basic	35,030	35,010	35,051	34,976
Diluted	36,016	36,020	35,995	36,006

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Comprehensive Income (Unaudited) (Parenthetical) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020USD ($)	Jun. 30, 2019USD ($)	Jun. 30, 2020USD ($)	Jun. 30, 2019USD ($)
Income Statement [Abstract]
Unrealized gain on investments, tax	$ 3	$ 37	$ 26	$ 67
Reclassification of gain on investments into earnings, tax	$ (27)	$ (29)	$ (53)	$ (60)

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands	Total	Revision of Prior Period Accounting Standards Update Adjustment [Member]	Common Stock [Member]	Treasury Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Retained Earnings [Member]Revision of Prior Period Accounting Standards Update Adjustment [Member]	Accumulated Other Comprehensive Loss [Member]	Accumulated Other Comprehensive Loss [Member]Revision of Prior Period Accounting Standards Update Adjustment [Member]
Beginning balance at Dec. 31, 2018	$ 318,974		$ 36	$ (25,679)	$ 332,574	$ 15,261		$ (3,218)
Beginning balance (ASU 2018-02) at Dec. 31, 2018		$ 8							$ 8
Beginning balance, shares at Dec. 31, 2018			34,691,472	823,784
Stock-based compensation	7,508				7,508
Exercise of stock options and issuance of restricted stock	3,371				3,371
Exercise of stock options and issuance of restricted stock, shares			403,142
Employee stock purchase plan	1,079				1,079
Employee stock purchase plan, shares			30,814
Repurchases of common stock	(8,966)			$ (8,966)
Repurchases of common stock, shares			(183,694)	183,694
Net income	15,609					15,609
Foreign currency translation adjustments	1,030							1,030
Unrealized gain (loss) on investments, net of tax	(180)							(180)
Reclassification of gain (loss) on investments into earnings, net of tax	200							200
Ending balance at Jun. 30, 2019	338,333		$ 36	$ (34,645)	344,232	30,870		(2,160)
Ending balance, shares at Jun. 30, 2019			34,936,212	1,007,478
Settlement and subsequent return of shares	(300)				(300)
Settlement and subsequent return of shares, shares			(5,522)
Beginning balance at Mar. 31, 2019	330,704		$ 36	$ (28,645)	339,712	22,074		(2,473)
Beginning balance, shares at Mar. 31, 2019			34,935,364	891,248
Stock-based compensation	2,542				2,542
Exercise of stock options and issuance of restricted stock	899				899
Exercise of stock options and issuance of restricted stock, shares			86,264
Employee stock purchase plan	1,079				1,079
Employee stock purchase plan, shares			30,814
Repurchases of common stock	(6,000)			$ (6,000)
Repurchases of common stock, shares			(116,230)	116,230
Net income	8,796					8,796
Foreign currency translation adjustments	291							291
Unrealized gain (loss) on investments, net of tax	110							110
Reclassification of gain (loss) on investments into earnings, net of tax	(88)							(88)
Ending balance at Jun. 30, 2019	338,333		$ 36	$ (34,645)	344,232	30,870		(2,160)
Ending balance, shares at Jun. 30, 2019			34,936,212	1,007,478
Beginning balance at Dec. 31, 2019	354,876		$ 36	$ (46,297)	354,115	48,973		(1,951)
Beginning balance (ASU 2016-13) at Dec. 31, 2019		$ (1,069)					$ (1,069)
Beginning balance, shares at Dec. 31, 2019			34,863,271	1,241,348
Stock-based compensation	8,596				8,596
Exercise of stock options and issuance of restricted stock	9,426		$ 1		9,425
Exercise of stock options and issuance of restricted stock, shares			601,666
Employee stock purchase plan	1,550				1,550
Employee stock purchase plan, shares			33,083
Repurchases of common stock	(18,950)			$ (18,950)
Repurchases of common stock, shares			(371,902)	371,902
Net income	20,709					20,709
Foreign currency translation adjustments	(1,748)							(1,748)
Unrealized gain (loss) on investments, net of tax	78							78
Reclassification of gain (loss) on investments into earnings, net of tax	(158)							(158)
Ending balance at Jun. 30, 2020	373,310		$ 37	$ (65,247)	373,686	68,613		(3,779)
Ending balance, shares at Jun. 30, 2020			35,126,118	1,613,250
Beginning balance at Mar. 31, 2020	355,188		$ 36	$ (58,297)	361,853	57,419		(5,823)
Beginning balance, shares at Mar. 31, 2020			34,992,825	1,481,623
Stock-based compensation	4,628				4,628
Exercise of stock options and issuance of restricted stock	5,743		$ 1		5,742
Exercise of stock options and issuance of restricted stock, shares			233,852
Employee stock purchase plan	1,463				1,463
Employee stock purchase plan, shares			31,068
Repurchases of common stock	(6,950)			$ (6,950)
Repurchases of common stock, shares			(131,627)	131,627
Net income	11,194					11,194
Foreign currency translation adjustments	2,116							2,116
Unrealized gain (loss) on investments, net of tax	7							7
Reclassification of gain (loss) on investments into earnings, net of tax	(79)							(79)
Ending balance at Jun. 30, 2020	$ 373,310		$ 37	$ (65,247)	$ 373,686	$ 68,613		$ (3,779)
Ending balance, shares at Jun. 30, 2020			35,126,118	1,613,250

Condensed Consolidated Statem_4

Condensed Consolidated Statements of Stockholders' Equity (Parenthetical)	Aug. 22, 2019	Aug. 08, 2019
Statement Of Stockholders Equity [Abstract]
Stock split ratio	2	2

Condensed Consolidated Statem_5

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
Cash flows from operating activities
Net income	$ 20,709	$ 15,609
Reconciliation of net income to net cash provided by operating activities
Deferred income taxes	1,443	2,634
Change in earn-out liability	72	(344)
Depreciation and amortization of property and equipment	6,276	5,324
Amortization of intangible assets	2,652	2,570
Provision for credit losses	3,020	1,504
Stock-based compensation	9,353	8,169
Other, net	(129)	(357)
Changes in assets and liabilities
Accounts receivable	(7,071)	(4,769)
Deferred costs	275	(56)
Other current and non-current assets	3,141	(549)
Accounts payable	321	(490)
Accrued compensation	(6,166)	(5,210)
Accrued expenses	(964)	404
Deferred revenue	4,705	5,250
Operating leases	(842)	(27)
Net cash provided by operating activities	36,795	29,662
Cash flows from investing activities
Purchases of property and equipment	(8,396)	(5,351)
Purchases of investments	(55,144)	(44,548)
Maturities of investments	31,050	37,725
Net cash used in investing activities	(32,490)	(12,174)
Cash flows from financing activities
Repurchases of common stock	(18,950)	(8,966)
Net proceeds from exercise of options to purchase common stock	9,426	3,371
Net proceeds from employee stock purchase plan	1,550	1,079
Payment for earn-out liability	(688)
Net cash used in financing activities	(8,662)	(4,516)
Effect of foreign currency exchange rate changes	(45)	192
Net (decrease) increase in cash and cash equivalents	(4,402)	13,164
Cash and cash equivalents at beginning of period	179,252	133,859
Cash and cash equivalents at end of period	$ 174,850	$ 147,023

General

General	6 Months Ended
	Jun. 30, 2020
Organization Consolidation And Presentation Of Financial Statements [Abstract]
General	NOTE A – General Business Description SPS Commerce is a leading provider of cloud-based supply chain management solutions that retailers, suppliers, grocers, distributors and logistics firms to orchestrate the For many businesses, implementing and maintaining a suite of supply chain management capabilities is resource-intensive and not a core competency. The solutions offered by SPS Commerce eliminate the need for on-premise software and support staff by taking on that capability on the customer’s behalf. These solutions also enable our customers to increase their supply cycle agility, optimize their inventory levels and sell-through, reduce operational costs and gain increased visibility into customer orders, helping ensure that suppliers, grocers, distributors, and logistics firms can satisfy retailer requirements. Basis of Presentation The accompanying unaudited condensed consolidated financial statements include the accounts of SPS Commerce, Inc. and its subsidiaries. All intercompany accounts and transactions have been eliminated in the condensed consolidated financial statements, which Effective January 1, 2020, we adopted Accounting Standards Update (“ASU”) No. 2016-13, Financial Instruments – Credit Losses On July 25, 2019, we announced that our board of directors declared a two-for-one stock split of our common stock, effected in the form of a 100 percent stock dividend as of the record date on August 8, 2019. The stock split dividend was distributed on August 22, 2019. Earnings per share and weighted average shares outstanding are presented in this Quarterly Report on Form 10-Q after the effect of the 100 percent stock dividend. The two-for-one stock split is reflected in the share amounts in all periods presented in this Quarterly Report on Form 10-Q. Use of Estimates Preparing financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. Recently Adopted Accounting Pronouncements Standard Date of Issuance Description Date Adopted Effect on the Financial Statements ASU 2016-13 , Financial Instruments - Credit Losses (Topic 326), Measurement of Credit Losses on Financial Statements June 2016 The amendment replaces the incurred loss impairment methodology in current GAAP with a methodology that reflects expected credit losses on instruments within its scope, including trade receivables. This is intended to provide financial statement users with more decision-useful information about the expected credit losses. January 2020 The adoption of this standard did not have a material impact on our condensed consolidated financial statements. See above under “Basis for Presentation” for significant inputs for the allowance for credit losses. ASU 2018-13 , Fair Value Measurement (Topic 820), Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement August 2018 This amendment adds, modifies and removes several disclosure requirements relative to the three levels of inputs used to measure fair value in accordance with Topic 820, Fair Value Measurement. January 2020 The adoption of this standard did not have a material impact on our condensed consolidated financial statements. ASU 2017-04 , Intangibles - Goodwill and Other (Topic 350), Simplifying the Test for Goodwill Impairment January 2017 This amendment eliminates Step 2 from the goodwill impairment test. January 2020 The adoption of this standard did not have a material impact on our condensed consolidated financial statements. Significant Accounting Policies There were no material changes in our significant accounting policies during the six months ended June 30, 2020. See Note A to the consolidated financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2019, as filed with the SEC, for additional information regarding our significant accounting policies.

Revenue

Revenue	6 Months Ended
	Jun. 30, 2020
Revenue From Contract With Customer [Abstract]
Revenue	NOTE B – Revenue We derive our revenues from the following revenue streams: Three Months Ended Six Months Ended June 30, June 30, (In thousands) 2020 2019 2020 2019 Recurring revenues: Fulfillment $ 60,745 $ 53,694 $ 119,848 $ 106,139 Analytics 9,247 9,245 18,983 18,118 Other 1,221 1,417 2,420 2,845 Recurring Revenues 71,213 64,356 141,251 127,102 One-time revenues 4,360 4,173 8,514 8,361 $ 75,573 $ 68,529 $ 149,765 $ 135,463 Revenues are recognized when our services are made available to our customers, in an amount that reflects the consideration we are contractually and legally entitled to in exchange for those services. We determine 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 - Recognition of revenue when, or as, we satisfy a performance obligation Recurring Revenues Recurring revenues consists of recurring subscriptions from customers that utilize our Fulfillment, Analytics, and Other cloud-based supply chain management solutions. Revenue for these solutions is generally recognized on a ratable basis over the contract term beginning on the date that our service is made available to the customer. Our contracts with our recurring revenue customers are recurring in nature, ranging from monthly to annual, and generally allow the customer to cancel the contract for any reason with 30 to 90 days’ notice. Timing of billings varies by customer and by contract type and are either in advance or within 30 days of the service being performed. The deferred revenue liability for recurring revenue contracts are for one year or less and recognized on a ratable basis over the contract term. We have applied the optional exemption to not disclose information about the remaining performance obligations for contracts which have original durations of one year or less. One-time Revenues One-time revenues consist of set-up fees from customers and miscellaneous one-time fees. Set-up fees are specific for each connection a customer has with a trading partner and many of our customers have connections with numerous trading partners. Set-up fees related to our cloud-based supply chain management solutions are nonrefundable upfront fees that are necessary for our customers to utilize our cloud-based services. These set-up fees do not provide any standalone value to our customers. Certain contracts contain set-up fees that constitute a material renewal option right. This material right provides customers a significant future incentive that would not otherwise be available to them unless they entered into the contract, as the set-up fees will not be incurred again upon contract renewal. For our Fulfillment solution, we have determined that the set-up fees and related costs represent a material renewal option right to our customers as they will not be incurred again upon renewal. These set-up fees and related costs are deferred and recognized ratably over two years For our Analytics solution, we have determined that the set-up fees do not represent a material customer renewal right and, as such, are deferred and recognized ratably over the estimated initial contract term, which is generally one year The table below presents the activity of the portion of the deferred revenue liability relating to set-up fees: Three Months Ended Six Months Ended June 30, June 30, (In thousands) 2020 2019 2020 2019 Balance, beginning of period $ 10,572 $ 9,813 $ 10,518 $ 9,857 Invoiced set-up fees 2,748 2,829 5,467 5,366 Amortized set-up fees (2,687 ) (2,579 ) (5,352 ) (5,160 ) Balance, end of period $ 10,633 $ 10,063 $ 10,633 $ 10,063 The entire balance of set-up fees will be recognized within two years and, as such, current amounts will be recognized in the next 1-12 months and long-term amounts will be recognized in the next 13-24 months. Miscellaneous one-time fees consist of professional services and testing and certification. The deferred revenue liability for these one-time fees are for one year or less and recognized at the time service is provided. We have applied the optional exemption to not disclose information about the remaining performance obligations for contracts which have original durations of one year or less.

Deferred Costs

Deferred Costs	6 Months Ended
	Jun. 30, 2020
Deferred Costs [Abstract]
Deferred Costs	NOTE C – Deferred Costs Deferred costs consist of costs to obtain customer contracts, such as commissions paid to sales personnel and to third-party partners for customer referrals, and costs to fulfill customer contracts, such as customer implementation costs. Costs to obtain customer contracts relating to recurring revenues are considered incremental and recoverable costs of obtaining a contract with our customer. These costs are deferred and amortized over the expected period of benefit which we have determined to be two years Costs to fulfill customer contracts are considered incremental and recoverable costs of obtaining a contract with our customer. These costs are deferred and amortized over the expected period of benefit which we have determined to be two years The table below presents the activity of deferred costs and amortization of deferred costs: Three Months Ended Six Months Ended June 30, June 30, (In thousands) 2020 2019 2020 2019 Balance, beginning of period $ 46,936 $ 45,891 $ 46,941 $ 45,475 Incurred deferred costs 12,350 11,880 25,071 24,212 Amortized deferred costs (12,637 ) (12,243 ) (25,363 ) (24,159 ) Balance, end of period $ 46,649 $ 45,528 $ 46,649 $ 45,528

Financial Instruments

Financial Instruments	6 Months Ended
	Jun. 30, 2020
Disclosure Text Block Supplement [Abstract]
Financial Instruments	NOTE D – Financial Instruments Cash equivalents and investments We invest primarily in money market funds, certificates of deposit, highly liquid debt instruments of the U.S. government and U.S. corporate debt securities. Highly liquid investments with original maturities of 90 days or less are classified as cash equivalents. Investments with remaining maturities of less than one year from the balance sheet date are classified as short-term investments whereas those with remaining maturities of more than one year from the balance sheet date are classified as investments. Our marketable securities are classified as available-for-sale. We intend to hold marketable securities until maturity; however, we may sell these securities at any time for use in current operations or for other purposes. Our marketable securities are carried at fair value and unrealized gains and losses on these investments, net of taxes, are included in accumulated other comprehensive loss in the condensed consolidated balance sheets. Realized gains or losses are included in other income (expense), net in the condensed consolidated statements of comprehensive income. When a determination has been made that the fair value of a marketable security is below its amortized cost basis, the portion of the unrealized loss that corresponds to a credit-related factor is realized through a credit allowance on the marketable security and the equivalent expense is realized in other income (expense), net in the condensed consolidated statements of comprehensive income. Cash equivalents and investments consisted of the following: June 30, 2020 Amortized Unrealized Fair (In thousands) Cost Gains (Losses) Value Cash equivalents: Money market funds $ 142,916 $ — $ 142,916 Certificates of deposit 6,890 — 6,890 Marketable securities: Corporate bonds 11,313 22 11,335 Commercial paper 12,588 (14 ) 12,574 U.S. treasury securities 27,547 (5 ) 27,542 $ 201,254 $ 3 $ 201,257 Maturing within one year $ 193,691 Maturing within one to two years 7,566 Total $ 201,257 December 31, 2019 Amortized Unrealized Fair (In thousands) Cost Gains, net Value Cash equivalents: Money market funds $ 151,266 $ — $ 151,266 Certificates of deposit 7,030 — 7,030 Marketable securities: Corporate bonds 9,785 20 9,805 Commercial paper 7,503 — 7,503 U.S. treasury securities 9,855 91 9,946 $ 185,439 $ 111 $ 185,550 Maturing within one year $ 185,550 Total $ 185,550 Recurring Fair Value Measurements We measure certain financial assets at fair value on a recurring basis based on a fair value hierarchy that requires us to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. A financial instrument’s categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The three levels of inputs that may be used to measure fair value are: • Level 1 – quoted prices in active markets for identical assets or liabilities. • Level 2 – observable inputs other than Level 1 prices, such as: (a) quoted prices for similar assets or liabilities, (b) quoted prices in markets with insufficient volume or infrequent transactions (less active markets), or (c) model-derived valuations in which all significant inputs are observable or can be derived principally from or corroborated by observable market data for substantially the full term of the assets or liabilities. • Level 3 – unobservable inputs to the valuation methodology that are significant to the measurement of fair value of assets or liabilities. We obtain the fair values of our level 2 available-for-sale securities from a professional pricing service. For the earn-out liability related to the EDIAdmin acquisition, the Company utilized the Monte Carlo simulation method to estimate the fair value of this contingent liability as of the balance sheet date. Thousands of iterations of the simulation were performed using forecasted revenues to develop a distribution of future values of recurring revenue which, in turn, provided indicated earn-out payments. The total estimated fair value equals the sum of the average present values of the indicated earn-out payments. Changes in the assumptions used in the simulations described above could have an impact on the payout of contingent consideration. The following table presents information about our financial assets and liabilities that are measured at fair value on a recurring basis and indicates the fair value hierarchy of the valuation techniques utilized to determine such fair value: June 30, 2020 (In thousands) Level 1 Level 2 Level 3 Total Assets: Cash equivalents: Money market funds $ 142,916 $ — $ — $ 142,916 Certificates of deposit 6,890 — — 6,890 Marketable securities: Corporate bonds — 11,335 — 11,335 Commercial paper — 12,574 — 12,574 U.S. treasury securities — 27,542 — 27,542 $ 149,806 $ 51,451 $ — $ 201,257 Liabilities: Earn-out liability $ — $ — $ 307 $ 307 $ — $ — $ 307 $ 307 December 31, 2019 (In thousands) Level 1 Level 2 Level 3 Total Assets: Cash equivalents: Money market funds $ 151,266 $ — $ — $ 151,266 Certificates of deposit 7,030 — — 7,030 Marketable securities: Corporate bonds — 9,805 — 9,805 Commercial paper — 7,503 — 7,503 U.S. treasury securities — 9,946 — 9,946 $ 158,296 $ 27,254 $ — $ 185,550 Liabilities: Earn-out liability $ — $ — $ 405 $ 405 $ — $ — $ 405 $ 405 During the three months ended June 30, 2020, there was no change in the earn-out liability. During the six months ended June 30, 2020, we recognized an expense of $0.1 million in our condensed consolidated statements of comprehensive income due to the remeasurement of the contingent liability and, additionally, we transferred $0.2 million out of Level 3. The remaining earn-out liability is expected to be paid in the first quarter of 2021 and has been measured as Level 3 given the unobservable inputs that are significant to the measurement of the liability. The earn-out has a maximum potential payout of $1.7 million, of which $0.7 million was paid. There were no other transfers in or out of our Level 1, 2, or 3 assets or liabilities during the six months ended June 30, 2020 and 2019. Nonrecurring Fair Value Measurements The Company measures certain assets and liabilities at fair value on a nonrecurring basis. Assets that are measured at fair value on a nonrecurring basis include long-lived assets, goodwill and indefinite-lived intangible assets, which would generally be recorded at fair value as a result of an impairment charge. Assets acquired and liabilities assumed as part of business combinations are measured at fair value. Other Fair Value Disclosures The carrying values of the Company's financial instruments, including cash and cash equivalents, accounts receivable, and accounts payable, when applicable, approximate their respective fair values due to their short-term nature.

Allowance for Credit Losses

Allowance for Credit Losses	6 Months Ended
	Jun. 30, 2020
Receivables [Abstract]
Allowance for Credit Losses	NOTE E – Allowance for Credit Losses The allowance for credit losses activity, included in accounts receivable, net, was as follows: Six Months Ended June 30, (In thousands) 2020 2019 Balance, beginning of period $ 1,469 $ 1,392 Adoption of ASU 2016-13 1,069 — Provision for credit losses 3,020 1,504 Write-offs, net of recoveries (1,895 ) (1,461 ) Balance, end of period $ 3,663 $ 1,435

Goodwill and Intangible Assets,

Goodwill and Intangible Assets, net	6 Months Ended
	Jun. 30, 2020
Goodwill And Intangible Assets Disclosure [Abstract]
Goodwill and Intangible Assets, net	NOTE F – Goodwill and Intangible Assets, net The changes in the net carrying amount of goodwill was as follows: Six Months Ended June 30, (In thousands) 2020 2019 Balance, beginning of period $ 76,845 $ 69,658 Foreign currency translation adjustments (962 ) 642 Balance, end of period $ 75,883 $ 70,300 Intangible assets subject to amortization are amortized over their respective useful lives (ranging from three to ten years). Intangible assets, net included the following: June 30, 2020 Gross Foreign Carrying Accumulated Currency (In thousands) Amount Amortization Translation Net Subscriber relationships $ 36,847 $ (22,476 ) $ (223 ) $ 14,148 Non-competition agreements 698 (628 ) (6 ) 64 Acquired technology 7,795 (2,217 ) — 5,578 $ 45,340 $ (25,321 ) $ (229 ) $ 19,790 December 31, 2019 Gross Foreign Carrying Accumulated Currency (In thousands) Amount Amortization Translation Net Subscriber relationships $ 43,640 $ (27,287 ) $ 214 $ 16,567 Non-competition agreements 2,495 (2,371 ) 10 134 Acquired technology 8,602 (2,643 ) 8 5,967 $ 54,737 $ (32,301 ) $ 232 $ 22,668 The estimated annual amortization expense related to intangible assets subject to amortization for the next five years and thereafter is as follows: (In thousands) Remainder of 2020 $ 2,646 2021 4,464 2022 3,360 2023 3,289 2024 2,100 Thereafter 3,931 $ 19,790

Other Assets

Other Assets	6 Months Ended
	Jun. 30, 2020
Other Assets [Abstract]
Other Assets	NOTE G – Other Assets The changes in the net amount of capitalized implementation costs for software hosting arrangements is as follows: Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2020 2019 2020 2019 Balance, beginning of period $ 1,188 $ 700 $ 1,166 $ 455 Capitalized implementation fees 29 262 80 517 Amortization of implementation fees (29 ) (16 ) (58 ) (26 ) Balance, end of period $ 1,188 $ 946 $ 1,188 $ 946 There were no impairment losses in relation to the capitalized implementation costs for the six months ended June 30, 2020 and 2019.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2020
Commitments And Contingencies Disclosure [Abstract]
Commitments and Contingencies	NOTE H – Commitments and Contingencies Leases We are obligated under non-cancellable operating leases, primarily for office space and certain equipment, as follows: June 30, 2020 December 31, 2019 (In thousands, except remaining term) Remaining Term Right-of-Use Asset Remaining Term Right-of-Use Asset Minneapolis, MN lease 5 years $ 10,280 5 years $ 10,704 Kyev, Ukraine lease 5 years 2,124 5 years 2,316 Little Falls, NJ lease 3 years 1,369 4 years 1,574 Other leases <1 - 5 years 1,066 <1 - 5 years 1,150 $ 14,839 $ 15,744 Some of our leases may include options to extend the leases for up to five years. The options to extend our leases are not recognized as part of our Right-of-Use (“ROU”) assets and lease liabilities as it is not reasonably certain that we will exercise those options. Additionally, our agreements do not include options to terminate the leases. The components of lease expense were as follows: Three Months Ended Six Months Ended June 30, June 30, (In thousands) 2020 2019 2020 2019 Operating lease cost $ 773 $ 620 $ 1,368 $ 1,306 Variable lease cost 909 835 1,801 1,639 $ 1,682 $ 1,455 $ 3,169 $ 2,945 Supplemental cash flow information related to leases was as follows: Six Months Ended June 30, (In thousands) 2020 2019 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases 2,278 2,137 ROU assets obtained in exchange for operating lease liabilities 330 — Supplemental balance sheet information related to leases was as follows: June 30, 2020 December 31, 2019 Weighted-average remaining lease term - operating leases 4.5 years 5.0 years Weighted-average discount rate - operating leases 4.5 % 4.5 % At June 30, 2020, our future minimum payments under operating leases were as follows: (In thousands) Remainder of 2020 $ 4,320 2021 5,209 2022 4,700 2023 4,439 2024 4,149 Thereafter 1,437 24,254 Less: imputed interest (2,145 ) $ 22,109 Purchase Commitments In May 2020, we entered into a noncancelable agreement with a computing infrastructure vendor for services through May 2023. At June 30, 2020, the remaining purchase commitment was $14.7 million.

Stock-Based Compensation

Stock-Based Compensation	6 Months Ended
	Jun. 30, 2020
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Stock-Based Compensation	NOTE I – Stock-Based Compensation Our equity compensation plans provide for the grant of incentive and nonqualified stock options, as well as other stock-based awards including performance share units (“PSU”), restricted stock awards (“RSA”), restricted stock units (“RSU”), and deferred stock units (“DSU”), to employees, non-employee directors and other consultants who provide services to us. We also provide an employee stock purchase plan (“ESPP”) and 401(k) stock match. RSAs result in the issuance of new shares when granted. For other stock-based awards, new shares are issued when the award is exercised, vested or released according to the terms of the agreement. In February 2020, 2.1 million additional shares were reserved for future issuance under our 2010 Equity Incentive Plan. At June 30, 2020, there were approximately 14.0 million shares available for grant under approved equity compensation plans. We generally recognize stock-based compensation expense on a straight-line basis over the vesting period. Exceptions include when retirement-eligible employees have not given their required notice, in which case expense is recognized on a continuous pro-rata basis relative to the time period until notice is given and for PSUs, in which case expense is recognized on a straight-line basis from the grant date through the end of the performance period, regardless of whether the market condition is satisfied. Stock-based compensation expense was allocated in the condensed consolidated statements of comprehensive income as follows: Three Months Ended Six Months Ended June 30, June 30, (In thousands) 2020 2019 2020 2019 Cost of revenues $ 956 $ 662 $ 1,764 $ 1,249 Operating expenses Sales and marketing 1,010 694 1,856 1,424 Research and development 883 602 1,806 1,125 General and administrative 2,160 917 3,927 4,371 $ 5,009 $ 2,875 $ 9,353 $ 8,169 Stock-based compensation expense by plan type was as follows: Three Months Ended Six Months Ended June 30, June 30, (In thousands) 2020 2019 2020 2019 Stock options $ 540 $ 655 $ 1,134 $ 1,929 PSUs 1,096 151 1,792 1,074 RSUs 2,672 1,419 5,001 3,862 RSAs and DSUs 107 145 234 281 ESPP 213 171 435 361 401(k) stock match 381 334 757 662 $ 5,009 $ 2,875 $ 9,353 $ 8,169 As of June 30, 2020, there was $26.6 million of unrecognized stock-based compensation expense under our equity compensation plans, which is expected to be recognized over a weighted average period of 2.7 years. Stock Options Stock options generally vest over four years and have a contractual term of seven to ten years from the date of grant. Our stock option activity was as follows: Six Months Ended June 30, 2020 Weighted Average Options (#) Exercise Price (per share) Outstanding, beginning of period 1,543,912 $ 30.03 Granted 114,945 56.93 Exercised (399,844 ) 23.57 Forfeited (1,878 ) 40.40 Outstanding, end of period 1,257,135 34.53 Of the total outstanding options at June 30, 2020, 0.9 million were exercisable. The outstanding and exercisable options had a weighted average exercise price of $30.76 per share and a weighted average remaining contractual life of 3.1 years. The weighted average grant date fair value of options granted during the first six months of 2020 was $15.53 per share. This was estimated on the date of grant using the Black-Scholes option pricing model with the following weighted-average assumptions: Volatility 32.5 % Dividend yield 0 % Life (in years) 4.0 Risk-free interest rate 1.1 % The expected volatility of the options is based on the historical volatility of our common stock. We have not issued dividends on our common stock and do not expect to do so in the foreseeable future. Beginning with awards granted in 2020, the expected term of options is derived from historical data on employee exercises and post-vesting employment termination behavior. For awards granted prior to 2020, the expected term of the options was based on the simplified method which did not consider historical employee exercise behavior. The risk-free interest rate is based on the U.S. Treasury rates at the date of grant with maturity dates approximately equal to the expected life at the grant date. Performance Share Units, Restricted Stock Units and Awards, and Deferred Stock Units In February 2017, our executive officers were granted PSU awards with vesting contingent on successful attainment of pre-determined revenue targets over the course of a three-year In February 2018, 2019, and 2020, our executive officers were granted PSU awards with vesting contingent on our total shareholder return as compared to indexed total shareholder return over the course of a fiscal based three-year RSUs generally vest over four years and, upon vesting, the holder is entitled to receive shares of our common stock. RSAs vest over one year and, upon vesting, the holder is entitled to receive shares of our common stock. In lieu of RSAs, a participant may elect to receive DSUs with one year vesting but the participant directs delayed receipt of common shares of up to ten years after the end of service to the Company. Activity for our PSU, RSU, RSA, and DSU was as follows: Six Months Ended June 30, 2020 Weighted Average Grant (#) Date Fair Value (per share) Outstanding, beginning of period 797,546 $ 38.80 Granted 258,980 57.66 Vested and common stock issued (198,882 ) 34.44 Forfeited (151,185 ) 28.28 Outstanding, end of period 706,459 49.20 Employee Stock Purchase Plan We have an ESPP which a llows participating employees to purchase shares of our common stock at a discount through payroll deductions. The plan is available to all employees subject to certain eligibility requirements. Participating employees may purchase common stock, on a voluntary after-tax basis, at a price that is the lower of 85% of the fair market value of common stock at the beginning or end of each stock purchase period. The plan consists of two six-month offering periods, beginning on January 1 and July 1 of each calendar year, respectively. A total of 1.9 million shares of common stock are reserved for issuance under the plan as of June 30, 2020. Our ESPP activity was as follows: Three Months Ended Six Months Ended June 30, June 30, (In thousands, except share data) 2020 2019 2020 2019 Amounts for shares purchased $ 1,463 $ 1,079 $ 1,550 $ 1,079 Shares purchased 31,068 30,814 33,083 30,814 The fair value was estimated based on the market price of our common stock at the beginning of the offering period using the Black-Scholes option pricing model with the following assumptions: Volatility 30.6 % Dividend yield 0 % Life (in years) 0.5 Risk-free interest rate 1.6 % 401(k) Stock Match We sponsor a 401(k) retirement savings plan for our U.S. employees where participants can contribute up to 80% of their compensation, subject to the limits established by law. We match 50% of the employee’s elective deferrals, up to the first 6% of the employee’s pre-tax compensation for each pay period. A portion of our match is in company stock, which is purchased from the open market by our plan provider and immediately deposited into the employee’s 401(k) account.

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2020
Income Tax Disclosure [Abstract]
Income Taxes	NOTE J – Income Taxes We record our interim provision for income taxes by applying our estimated annual effective tax rate to our year-to-date pretax income and adjust the provision for discrete tax items recorded in the period. Differences between our effective tax rate and statutory tax rates are primarily due to the impact of permanently non-deductible expenses partially offset by the federal research and development credits and tax benefits associated with foreign-derived intangible income. Additionally, excess tax benefits generated upon settlement or exercise of stock awards are recognized as a reduction to income tax expense as a discrete tax item in the quarter that the event occurs creating potentially significant fluctuation in tax expense by quarter and by year. Our provisions for income taxes include current foreign and state income tax expense, as well as deferred tax expense. As of June 30, 2020, we do not have any unrecognized tax benefits nor any material accrued interest or tax penalties.

Net Income Per Share

Net Income Per Share	6 Months Ended
	Jun. 30, 2020
Earnings Per Share [Abstract]
Net Income Per Share	NOTE K – Net Income Per Share Basic net income per share has been computed using the weighted average number of shares of common stock outstanding during each period. Diluted net income per share also includes the impact of our outstanding potential common shares, including options, PSUs, RSUs, RSAs, and DSUs. Potential common shares that are anti-dilutive are excluded from the calculation of diluted net income per share. The following table presents the components of the computation of basic and diluted net income per share for the periods indicated: Three Months Ended Six Months Ended June 30, June 30, (In thousands, except per share amounts) 2020 2019 2020 2019 Numerator Net income $ 11,194 $ 8,796 $ 20,709 $ 15,609 Denominator Weighted average common shares outstanding, basic 35,030 35,010 35,051 34,976 Options to purchase common stock 581 698 588 714 PSUs, RSUs, RSAs, and DSUs 405 312 356 316 Weighted average common shares outstanding, diluted 36,016 36,020 35,995 36,006 Net income per share Basic $ 0.32 $ 0.25 $ 0.59 $ 0.45 Diluted $ 0.31 $ 0.24 $ 0.58 $ 0.43 Shares and per share data have been adjusted for all periods presented to reflect a two-for-one stock split effective August 22, 2019. The following table presents the effect of the outstanding potential common shares that were excluded from the calculation of diluted net income per share as they were anti-dilutive: Three Months Ended Six Months Ended June 30, June 30, (In thousands) 2020 2019 2020 2019 Antidilutive shares 206 148 195 182

Geographic Information

Geographic Information	6 Months Ended
	Jun. 30, 2020
Revenue From Contract With Customer [Abstract]
Geographic Information	NOTE L – Geographic Information For the three and six months ended June 30, 2020 At June 30, 2020

General (Policies)

General (Policies)	6 Months Ended
	Jun. 30, 2020
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Business Description	Business Description SPS Commerce is a leading provider of cloud-based supply chain management solutions that retailers, suppliers, grocers, distributors and logistics firms to orchestrate the For many businesses, implementing and maintaining a suite of supply chain management capabilities is resource-intensive and not a core competency. The solutions offered by SPS Commerce eliminate the need for on-premise software and support staff by taking on that capability on the customer’s behalf. These solutions also enable our customers to increase their supply cycle agility, optimize their inventory levels and sell-through, reduce operational costs and gain increased visibility into customer orders, helping ensure that suppliers, grocers, distributors, and logistics firms can satisfy retailer requirements.
Basis of Presentation	Basis of Presentation The accompanying unaudited condensed consolidated financial statements include the accounts of SPS Commerce, Inc. and its subsidiaries. All intercompany accounts and transactions have been eliminated in the condensed consolidated financial statements, which Effective January 1, 2020, we adopted Accounting Standards Update (“ASU”) No. 2016-13, Financial Instruments – Credit Losses On July 25, 2019, we announced that our board of directors declared a two-for-one stock split of our common stock, effected in the form of a 100 percent stock dividend as of the record date on August 8, 2019. The stock split dividend was distributed on August 22, 2019. Earnings per share and weighted average shares outstanding are presented in this Quarterly Report on Form 10-Q after the effect of the 100 percent stock dividend. The two-for-one stock split is reflected in the share amounts in all periods presented in this Quarterly Report on Form 10-Q.
Use of Estimates	Use of Estimates Preparing financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates.
Recently Adopted Accounting Pronouncements	Recently Adopted Accounting Pronouncements Standard Date of Issuance Description Date Adopted Effect on the Financial Statements ASU 2016-13 , Financial Instruments - Credit Losses (Topic 326), Measurement of Credit Losses on Financial Statements June 2016 The amendment replaces the incurred loss impairment methodology in current GAAP with a methodology that reflects expected credit losses on instruments within its scope, including trade receivables. This is intended to provide financial statement users with more decision-useful information about the expected credit losses. January 2020 The adoption of this standard did not have a material impact on our condensed consolidated financial statements. See above under “Basis for Presentation” for significant inputs for the allowance for credit losses. ASU 2018-13 , Fair Value Measurement (Topic 820), Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement August 2018 This amendment adds, modifies and removes several disclosure requirements relative to the three levels of inputs used to measure fair value in accordance with Topic 820, Fair Value Measurement. January 2020 The adoption of this standard did not have a material impact on our condensed consolidated financial statements. ASU 2017-04 , Intangibles - Goodwill and Other (Topic 350), Simplifying the Test for Goodwill Impairment January 2017 This amendment eliminates Step 2 from the goodwill impairment test. January 2020 The adoption of this standard did not have a material impact on our condensed consolidated financial statements.
Significant Accounting Policies	Significant Accounting Policies There were no material changes in our significant accounting policies during the six months ended June 30, 2020. See Note A to the consolidated financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2019, as filed with the SEC, for additional information regarding our significant accounting policies.

Revenue (Tables)

Revenue (Tables)	6 Months Ended
	Jun. 30, 2020
Revenue From Contract With Customer [Abstract]
Summary of Revenues by Revenue Stream	We derive our revenues from the following revenue streams: Three Months Ended Six Months Ended June 30, June 30, (In thousands) 2020 2019 2020 2019 Recurring revenues: Fulfillment $ 60,745 $ 53,694 $ 119,848 $ 106,139 Analytics 9,247 9,245 18,983 18,118 Other 1,221 1,417 2,420 2,845 Recurring Revenues 71,213 64,356 141,251 127,102 One-time revenues 4,360 4,173 8,514 8,361 $ 75,573 $ 68,529 $ 149,765 $ 135,463
Summary of Deferred Revenue Liability Relating to Set-Up Fees	The table below presents the activity of the portion of the deferred revenue liability relating to set-up fees: Three Months Ended Six Months Ended June 30, June 30, (In thousands) 2020 2019 2020 2019 Balance, beginning of period $ 10,572 $ 9,813 $ 10,518 $ 9,857 Invoiced set-up fees 2,748 2,829 5,467 5,366 Amortized set-up fees (2,687 ) (2,579 ) (5,352 ) (5,160 ) Balance, end of period $ 10,633 $ 10,063 $ 10,633 $ 10,063

Deferred Costs (Tables)

Deferred Costs (Tables)	6 Months Ended
	Jun. 30, 2020
Deferred Costs [Abstract]
Summary of Deferred Costs and Amortization of Deferred Costs	The table below presents the activity of deferred costs and amortization of deferred costs: Three Months Ended Six Months Ended June 30, June 30, (In thousands) 2020 2019 2020 2019 Balance, beginning of period $ 46,936 $ 45,891 $ 46,941 $ 45,475 Incurred deferred costs 12,350 11,880 25,071 24,212 Amortized deferred costs (12,637 ) (12,243 ) (25,363 ) (24,159 ) Balance, end of period $ 46,649 $ 45,528 $ 46,649 $ 45,528

Financial Instruments (Tables)

Financial Instruments (Tables)	6 Months Ended
	Jun. 30, 2020
Financial Instruments Owned At Fair Value [Abstract]
Summary of Cash Equivalents and Investments	Cash equivalents and investments consisted of the following: June 30, 2020 Amortized Unrealized Fair (In thousands) Cost Gains (Losses) Value Cash equivalents: Money market funds $ 142,916 $ — $ 142,916 Certificates of deposit 6,890 — 6,890 Marketable securities: Corporate bonds 11,313 22 11,335 Commercial paper 12,588 (14 ) 12,574 U.S. treasury securities 27,547 (5 ) 27,542 $ 201,254 $ 3 $ 201,257 Maturing within one year $ 193,691 Maturing within one to two years 7,566 Total $ 201,257 December 31, 2019 Amortized Unrealized Fair (In thousands) Cost Gains, net Value Cash equivalents: Money market funds $ 151,266 $ — $ 151,266 Certificates of deposit 7,030 — 7,030 Marketable securities: Corporate bonds 9,785 20 9,805 Commercial paper 7,503 — 7,503 U.S. treasury securities 9,855 91 9,946 $ 185,439 $ 111 $ 185,550 Maturing within one year $ 185,550 Total $ 185,550
Summary of Financial Assets and Liabilities Measured at Fair Value on a Recurring Basis	The following table presents information about our financial assets and liabilities that are measured at fair value on a recurring basis and indicates the fair value hierarchy of the valuation techniques utilized to determine such fair value: June 30, 2020 (In thousands) Level 1 Level 2 Level 3 Total Assets: Cash equivalents: Money market funds $ 142,916 $ — $ — $ 142,916 Certificates of deposit 6,890 — — 6,890 Marketable securities: Corporate bonds — 11,335 — 11,335 Commercial paper — 12,574 — 12,574 U.S. treasury securities — 27,542 — 27,542 $ 149,806 $ 51,451 $ — $ 201,257 Liabilities: Earn-out liability $ — $ — $ 307 $ 307 $ — $ — $ 307 $ 307 December 31, 2019 (In thousands) Level 1 Level 2 Level 3 Total Assets: Cash equivalents: Money market funds $ 151,266 $ — $ — $ 151,266 Certificates of deposit 7,030 — — 7,030 Marketable securities: Corporate bonds — 9,805 — 9,805 Commercial paper — 7,503 — 7,503 U.S. treasury securities — 9,946 — 9,946 $ 158,296 $ 27,254 $ — $ 185,550 Liabilities: Earn-out liability $ — $ — $ 405 $ 405 $ — $ — $ 405 $ 405

Allowance for Credit Losses (Ta

Allowance for Credit Losses (Tables)	6 Months Ended
	Jun. 30, 2020
Receivables [Abstract]
Schedule of Allowance for Credit Losses Activity Included in Accounts Receivable Net	The allowance for credit losses activity, included in accounts receivable, net, was as follows: Six Months Ended June 30, (In thousands) 2020 2019 Balance, beginning of period $ 1,469 $ 1,392 Adoption of ASU 2016-13 1,069 — Provision for credit losses 3,020 1,504 Write-offs, net of recoveries (1,895 ) (1,461 ) Balance, end of period $ 3,663 $ 1,435

Goodwill and Intangible Asset_2

Goodwill and Intangible Assets, net (Tables)	6 Months Ended
	Jun. 30, 2020
Goodwill And Intangible Assets Disclosure [Abstract]
Schedule of Changes in Net Carrying Amount of Goodwill	The changes in the net carrying amount of goodwill was as follows: Six Months Ended June 30, (In thousands) 2020 2019 Balance, beginning of period $ 76,845 $ 69,658 Foreign currency translation adjustments (962 ) 642 Balance, end of period $ 75,883 $ 70,300
Intangible Assets	Intangible assets subject to amortization are amortized over their respective useful lives (ranging from three to ten years). Intangible assets, net included the following: June 30, 2020 Gross Foreign Carrying Accumulated Currency (In thousands) Amount Amortization Translation Net Subscriber relationships $ 36,847 $ (22,476 ) $ (223 ) $ 14,148 Non-competition agreements 698 (628 ) (6 ) 64 Acquired technology 7,795 (2,217 ) — 5,578 $ 45,340 $ (25,321 ) $ (229 ) $ 19,790 December 31, 2019 Gross Foreign Carrying Accumulated Currency (In thousands) Amount Amortization Translation Net Subscriber relationships $ 43,640 $ (27,287 ) $ 214 $ 16,567 Non-competition agreements 2,495 (2,371 ) 10 134 Acquired technology 8,602 (2,643 ) 8 5,967 $ 54,737 $ (32,301 ) $ 232 $ 22,668
Estimated Annual Amortization Expense Related to Intangible Assets Subject to Amortization	The estimated annual amortization expense related to intangible assets subject to amortization for the next five years and thereafter is as follows: (In thousands) Remainder of 2020 $ 2,646 2021 4,464 2022 3,360 2023 3,289 2024 2,100 Thereafter 3,931 $ 19,790

Other Assets (Tables)

Other Assets (Tables)	6 Months Ended
	Jun. 30, 2020
Other Assets [Abstract]
Summary of Changes in Net Amount of Capitalized Implementation Costs for Software Hosting Arrangements	The changes in the net amount of capitalized implementation costs for software hosting arrangements is as follows: Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2020 2019 2020 2019 Balance, beginning of period $ 1,188 $ 700 $ 1,166 $ 455 Capitalized implementation fees 29 262 80 517 Amortization of implementation fees (29 ) (16 ) (58 ) (26 ) Balance, end of period $ 1,188 $ 946 $ 1,188 $ 946

Commitments and Contingencies (

Commitments and Contingencies (Tables)	6 Months Ended
	Jun. 30, 2020
Commitments And Contingencies Disclosure [Abstract]
Summary of Non-Cancellable Operating Leases, Primarily for Office Space and Certain Equipment	We are obligated under non-cancellable operating leases, primarily for office space and certain equipment, as follows: June 30, 2020 December 31, 2019 (In thousands, except remaining term) Remaining Term Right-of-Use Asset Remaining Term Right-of-Use Asset Minneapolis, MN lease 5 years $ 10,280 5 years $ 10,704 Kyev, Ukraine lease 5 years 2,124 5 years 2,316 Little Falls, NJ lease 3 years 1,369 4 years 1,574 Other leases <1 - 5 years 1,066 <1 - 5 years 1,150 $ 14,839 $ 15,744
Components of Lease Expense	The components of lease expense were as follows: Three Months Ended Six Months Ended June 30, June 30, (In thousands) 2020 2019 2020 2019 Operating lease cost $ 773 $ 620 $ 1,368 $ 1,306 Variable lease cost 909 835 1,801 1,639 $ 1,682 $ 1,455 $ 3,169 $ 2,945
Schedule of Supplemental Cash Flow Information Related to Leases	Supplemental cash flow information related to leases was as follows: Six Months Ended June 30, (In thousands) 2020 2019 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases 2,278 2,137 ROU assets obtained in exchange for operating lease liabilities 330 —
Schedule of Supplemental Balance Sheet Information Related to Leases	Supplemental balance sheet information related to leases was as follows: June 30, 2020 December 31, 2019 Weighted-average remaining lease term - operating leases 4.5 years 5.0 years Weighted-average discount rate - operating leases 4.5 % 4.5 %
Schedule of Future Minimum Payments Under Operating Leases	At June 30, 2020, our future minimum payments under operating leases were as follows: (In thousands) Remainder of 2020 $ 4,320 2021 5,209 2022 4,700 2023 4,439 2024 4,149 Thereafter 1,437 24,254 Less: imputed interest (2,145 ) $ 22,109

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	6 Months Ended
	Jun. 30, 2020
Stock-Based Compensation Expense	Stock-based compensation expense was allocated in the condensed consolidated statements of comprehensive income as follows: Three Months Ended Six Months Ended June 30, June 30, (In thousands) 2020 2019 2020 2019 Cost of revenues $ 956 $ 662 $ 1,764 $ 1,249 Operating expenses Sales and marketing 1,010 694 1,856 1,424 Research and development 883 602 1,806 1,125 General and administrative 2,160 917 3,927 4,371 $ 5,009 $ 2,875 $ 9,353 $ 8,169 Stock-based compensation expense by plan type was as follows: Three Months Ended Six Months Ended June 30, June 30, (In thousands) 2020 2019 2020 2019 Stock options $ 540 $ 655 $ 1,134 $ 1,929 PSUs 1,096 151 1,792 1,074 RSUs 2,672 1,419 5,001 3,862 RSAs and DSUs 107 145 234 281 ESPP 213 171 435 361 401(k) stock match 381 334 757 662 $ 5,009 $ 2,875 $ 9,353 $ 8,169
Stock Option Activity	Stock options generally vest over four years and have a contractual term of seven to ten years from the date of grant. Our stock option activity was as follows: Six Months Ended June 30, 2020 Weighted Average Options (#) Exercise Price (per share) Outstanding, beginning of period 1,543,912 $ 30.03 Granted 114,945 56.93 Exercised (399,844 ) 23.57 Forfeited (1,878 ) 40.40 Outstanding, end of period 1,257,135 34.53
Weighted Average Grant Date Fair Value of Options Granted, Assumptions	The weighted average grant date fair value of options granted during the first six months of 2020 was $15.53 per share. This was estimated on the date of grant using the Black-Scholes option pricing model with the following weighted-average assumptions: Volatility 32.5 % Dividend yield 0 % Life (in years) 4.0 Risk-free interest rate 1.1 %
Summary of ESPP Activity	Our ESPP activity was as follows: Three Months Ended Six Months Ended June 30, June 30, (In thousands, except share data) 2020 2019 2020 2019 Amounts for shares purchased $ 1,463 $ 1,079 $ 1,550 $ 1,079 Shares purchased 31,068 30,814 33,083 30,814
Fair Value Estimation of Common Stock Using Black-Scholes Option Pricing Model, Assumptions	The fair value was estimated based on the market price of our common stock at the beginning of the offering period using the Black-Scholes option pricing model with the following assumptions: Volatility 30.6 % Dividend yield 0 % Life (in years) 0.5 Risk-free interest rate 1.6 %
PSU, RSU, RSA, and DSU [Member]
PSU, RSU, RSA, and DSU	Activity for our PSU, RSU, RSA, and DSU was as follows: Six Months Ended June 30, 2020 Weighted Average Grant (#) Date Fair Value (per share) Outstanding, beginning of period 797,546 $ 38.80 Granted 258,980 57.66 Vested and common stock issued (198,882 ) 34.44 Forfeited (151,185 ) 28.28 Outstanding, end of period 706,459 49.20

Net Income Per Share (Tables)

Net Income Per Share (Tables)	6 Months Ended
	Jun. 30, 2020
Earnings Per Share [Abstract]
Components of Computation of Basic and Diluted Net Income Per Share	The following table presents the components of the computation of basic and diluted net income per share for the periods indicated: Three Months Ended Six Months Ended June 30, June 30, (In thousands, except per share amounts) 2020 2019 2020 2019 Numerator Net income $ 11,194 $ 8,796 $ 20,709 $ 15,609 Denominator Weighted average common shares outstanding, basic 35,030 35,010 35,051 34,976 Options to purchase common stock 581 698 588 714 PSUs, RSUs, RSAs, and DSUs 405 312 356 316 Weighted average common shares outstanding, diluted 36,016 36,020 35,995 36,006 Net income per share Basic $ 0.32 $ 0.25 $ 0.59 $ 0.45 Diluted $ 0.31 $ 0.24 $ 0.58 $ 0.43
Schedule of Anti-dilutive Common Shares Excluded from Calculation of Diluted Net Income Per Share	The following table presents the effect of the outstanding potential common shares that were excluded from the calculation of diluted net income per share as they were anti-dilutive: Three Months Ended Six Months Ended June 30, June 30, (In thousands) 2020 2019 2020 2019 Antidilutive shares 206 148 195 182

General - Additional Informatio

General - Additional Information (Detail) $ in Thousands	Aug. 22, 2019	Aug. 08, 2019	Jun. 30, 2020USD ($)	Dec. 31, 2019USD ($)
Schedule of Accounting Policies [Line Items]
Cumulative-effect adjustment to retained earnings			$ 68,613	$ 48,973
Stock split ratio	2	2
Percentage of stock dividend from stock split		100.00%
Accounting Standards Update 2016-13 [Member] | Cumulative Effect Period of Adoption Adjustment [Member]
Schedule of Accounting Policies [Line Items]
Cumulative-effect adjustment to retained earnings			$ 1,100

Revenue - Summary of Revenues b

Revenue - Summary of Revenues by Revenue Stream (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Revenue Recognition [Line Items]
Revenues	$ 75,573	$ 68,529	$ 149,765	$ 135,463
Recurring Revenues [Member]
Revenue Recognition [Line Items]
Revenues	71,213	64,356	141,251	127,102
One-time Revenues [Member]
Revenue Recognition [Line Items]
Revenues	4,360	4,173	8,514	8,361
Fulfillment [Member] | Recurring Revenues [Member]
Revenue Recognition [Line Items]
Revenues	60,745	53,694	119,848	106,139
Analytics [Member] | Recurring Revenues [Member]
Revenue Recognition [Line Items]
Revenues	9,247	9,245	18,983	18,118
Other [Member] | Recurring Revenues [Member]
Revenue Recognition [Line Items]
Revenues	$ 1,221	$ 1,417	$ 2,420	$ 2,845

Revenue - Additional Informatio

Revenue - Additional Information (Detail)	6 Months Ended
	Jun. 30, 2020
Disaggregation Of Revenue [Line Items]
Latest timing of billings	30 days
Estimated period for material rights present to customers	2 years
Set up fees recognized period	2 years
Maximum recognition period for miscellaneous one-time fee	1 year
Analytics Solution [Member]
Disaggregation Of Revenue [Line Items]
Set up fees recognized period	1 year
Minimum [Member]
Disaggregation Of Revenue [Line Items]
Customer contract cancellation period	30 days
Current amount recognition period of set up fees	1 month
Long term amount recognition period of set up fees	13 months
Maximum [Member]
Disaggregation Of Revenue [Line Items]
Customer contract cancellation period	90 days
Deferred revenue recognition period	1 year
Contract period for remaining performance obligations for contracts in which the optional exemption under ASC 606-10-50-14(a) was applied	1 year
Current amount recognition period of set up fees	12 months
Long term amount recognition period of set up fees	24 months

Revenue - Summary of Deferred R

Revenue - Summary of Deferred Revenue Liability Relating to Set-Up Fees (Detail) - Set-Up Fees [Member] - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Deferred Revenue Arrangement [Line Items]
Balance, beginning of period	$ 10,572	$ 9,813	$ 10,518	$ 9,857
Invoiced set-up fees	2,748	2,829	5,467	5,366
Amortized set-up fees	(2,687)	(2,579)	(5,352)	(5,160)
Balance, end of period	$ 10,633	$ 10,063	$ 10,633	$ 10,063

Deferred Costs - Additional Inf

Deferred Costs - Additional Information (Detail)	6 Months Ended
	Jun. 30, 2020
Deferred Costs [Abstract]
Deferred commission expected amortization period	2 years
Deferred customer implementation costs expected amortization period	2 years

Deferred Costs - Summary of Def

Deferred Costs - Summary of Deferred Costs and Amortization of Deferred Costs (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Deferred Costs [Abstract]
Balance, beginning of period	$ 46,936	$ 45,891	$ 46,941	$ 45,475
Incurred deferred costs	12,350	11,880	25,071	24,212
Amortized deferred costs	(12,637)	(12,243)	(25,363)	(24,159)
Balance, end of period	$ 46,649	$ 45,528	$ 46,649	$ 45,528

Financial Instruments - Summary

Financial Instruments - Summary of Cash Equivalents and Investments (Detail) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Schedule of Financial Instruments [Line Items]
Maturing within one year	$ 193,691	$ 185,550
Maturing within one to two years	7,566
Amortized Cost	201,254	185,439
Unrealized Gains (Losses)	3	111
Fair Value	201,257	185,550
Money Market Funds [Member]
Schedule of Financial Instruments [Line Items]
Amortized Cost	142,916	151,266
Fair Value	142,916	151,266
Certificates of Deposit [Member]
Schedule of Financial Instruments [Line Items]
Amortized Cost	6,890	7,030
Fair Value	6,890	7,030
Corporate Bonds [Member]
Schedule of Financial Instruments [Line Items]
Amortized Cost	11,313	9,785
Unrealized Gains (Losses)	22	20
Fair Value	11,335	9,805
Commercial Paper [Member]
Schedule of Financial Instruments [Line Items]
Amortized Cost	12,588	7,503
Unrealized Gains (Losses)	(14)
Fair Value	12,574	7,503
U.S. Treasury Securities [Member]
Schedule of Financial Instruments [Line Items]
Amortized Cost	27,547	9,855
Unrealized Gains (Losses)	(5)	91
Fair Value	$ 27,542	$ 9,946

Financial Instruments - Summa_2

Financial Instruments - Summary of Financial Assets and Liabilities Measured at Fair Value on a Recurring Basis (Detail) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Assets fair value	$ 201,257	$ 185,550
Liabilities fair value	307	405
Money Market Funds [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Assets fair value	142,916	151,266
Certificates of Deposit [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Assets fair value	6,890	7,030
Corporate Bonds [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Assets fair value	11,335	9,805
Commercial Paper [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Assets fair value	12,574	7,503
U.S. Treasury Securities [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Assets fair value	27,542	9,946
Level 1 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Assets fair value	149,806	158,296
Level 1 [Member] | Money Market Funds [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Assets fair value	142,916	151,266
Level 1 [Member] | Certificates of Deposit [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Assets fair value	6,890	7,030
Level 2 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Assets fair value	51,451	27,254
Level 2 [Member] | Corporate Bonds [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Assets fair value	11,335	9,805
Level 2 [Member] | Commercial Paper [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Assets fair value	12,574	7,503
Level 2 [Member] | U.S. Treasury Securities [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Assets fair value	27,542	9,946
Level 3 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Liabilities fair value	$ 307	$ 405

Financial Instruments - Additio

Financial Instruments - Additional Information (Detail) - USD ($)	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Maximum potential payout of contingent consideration	$ 1,700,000
Expense due to remeasurement of contingent liability	100,000
Earn out liability payment	700,000
Fair value, assets, level 1 to level 2 transfers, amount	0	$ 0
Fair value, assets, level 2 to level 1 transfers, amount	0	0
Fair value, liabilities, level 1 to level 2 transfers, amount	0	0
Fair value, liabilities, level 2 to level 1 transfers, amount	0	0
Fair value, asset transfers into level 3	0	0
Fair value, asset, transfers out of level 3	0	0
Fair value, liability, transfers into level 3	0	0
Fair value, liability, transfers out of level 3	0	$ 0
Level 3 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Contingent liability transferred amount	$ 200,000

Allowance for Credit Losses - S

Allowance for Credit Losses - Schedule of Allowance for Credit Losses Activity Included in Accounts Receivable Net (Detail) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
Allowance For Credit Loss [Abstract]
Balance, beginning of period	$ 1,469	$ 1,392
Adoption of ASU 2016-13	1,069
Provision for credit losses	3,020	1,504
Write-offs, net of recoveries	(1,895)	(1,461)
Balance, end of period	$ 3,663	$ 1,435

Goodwill and Intangible Asset_3

Goodwill and Intangible Assets, net - Schedule of Changes in Net Carrying Amount of Goodwill (Detail) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
Goodwill And Intangible Assets Disclosure [Abstract]
Balance, beginning of period	$ 76,845	$ 69,658
Foreign currency translation adjustments	(962)	642
Balance, end of period	$ 75,883	$ 70,300

Goodwill and Intangible Asset_4

Goodwill and Intangible Assets, net - Additional Information (Detail)	6 Months Ended
	Jun. 30, 2020
Minimum [Member]
Finite-Lived Intangible Assets [Line Items]
Intangible assets useful life	3 years
Maximum [Member]
Finite-Lived Intangible Assets [Line Items]
Intangible assets useful life	10 years

Goodwill and Intangible Asset_5

Goodwill and Intangible Assets, net - Intangible Assets (Detail) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 45,340	$ 54,737
Accumulated Amortization	(25,321)	(32,301)
Foreign Currency Translation	(229)	232
Net	19,790	22,668
Subscriber Relationships [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	36,847	43,640
Accumulated Amortization	(22,476)	(27,287)
Foreign Currency Translation	(223)	214
Net	14,148	16,567
Non-competition Agreements [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	698	2,495
Accumulated Amortization	(628)	(2,371)
Foreign Currency Translation	(6)	10
Net	64	134
Acquired Technology [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	7,795	8,602
Accumulated Amortization	(2,217)	(2,643)
Foreign Currency Translation		8
Net	$ 5,578	$ 5,967

Goodwill and Intangible Asset_6

Goodwill and Intangible Assets, net - Estimated Annual Amortization Expense Related to Intangible Assets Subject to Amortization (Detail) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Goodwill And Intangible Assets Disclosure [Abstract]
Remainder of 2020	$ 2,646
2021	4,464
2022	3,360
2023	3,289
2024	2,100
Thereafter	3,931
Net	$ 19,790	$ 22,668

Other Assets - Summary of Chang

Other Assets - Summary of Changes in Net Amount of Capitalized Implementation Costs for Software Hosting Arrangements (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Capitalized Computer Software Net [Abstract]
Balance, beginning of period	$ 1,188	$ 700	$ 1,166	$ 455
Capitalized implementation fees	29	262	80	517
Amortization of implementation fees	(29)	(16)	(58)	(26)
Balance, end of period	$ 1,188	$ 946	$ 1,188	$ 946

Other Assets - Additional Infor

Other Assets - Additional Information (Detail) - USD ($)	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
Capitalized Computer Software Net [Abstract]
Impairment losses on capitalized implementation costs	$ 0	$ 0

Commitments and Contingencies -

Commitments and Contingencies - Summary of Non-Cancellable Operating Leases, Primarily for Office Space and Certain Equipment (Detail) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Lessee Lease Description [Line Items]
Right-of-Use Asset	$ 14,839	$ 15,744
Minneapolis, MN Lease [Member]
Lessee Lease Description [Line Items]
Remaining Term (in years)	5 years	5 years
Right-of-Use Asset	$ 10,280	$ 10,704
Kyev, Ukraine Lease [Member]
Lessee Lease Description [Line Items]
Remaining Term (in years)	5 years	5 years
Right-of-Use Asset	$ 2,124	$ 2,316
Little Falls, NJ Lease [Member]
Lessee Lease Description [Line Items]
Remaining Term (in years)	3 years	4 years
Right-of-Use Asset	$ 1,369	$ 1,574
Other Leases [Member]
Lessee Lease Description [Line Items]
Right-of-Use Asset	$ 1,066	$ 1,150
Other Leases [Member] | Minimum [Member]
Lessee Lease Description [Line Items]
Remaining Term (in years)	1 year	1 year
Other Leases [Member] | Maximum [Member]
Lessee Lease Description [Line Items]
Remaining Term (in years)	5 years	5 years

Commitments and Contingencies_2

Commitments and Contingencies - Additional Information (Detail) $ in Millions	Jun. 30, 2020USD ($)
Commitments And Contingencies Disclosure [Abstract]
Lease extension period, number of years	5 years
Remaining purchase commitment	$ 14.7

Commitments and Contingencies_3

Commitments and Contingencies - Components of Lease Expense (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Leases [Abstract]
Operating lease cost	$ 773	$ 620	$ 1,368	$ 1,306
Variable lease cost	909	835	1,801	1,639
Lease expense	$ 1,682	$ 1,455	$ 3,169	$ 2,945

Commitments and Contingencies_4

Commitments and Contingencies - Schedule of Supplemental Cash Flow Information Related to Leases (Detail) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from operating leases	$ 2,278	$ 2,137
ROU assets obtained in exchange for operating lease liabilities	$ 330

Commitments and Contingencies_5

Commitments and Contingencies - Schedule of Supplemental Balance Sheet Information Related to Leases (Detail)	Jun. 30, 2020	Dec. 31, 2019
Leases [Abstract]
Weighted-average remaining lease term - operating leases	4 years 6 months	5 years
Weighted-average discount rate - operating leases	4.50%	4.50%

Commitments and Contingencies_6

Commitments and Contingencies - Schedule of Future Minimum Payments Under Operating Leases (Detail) $ in Thousands	Jun. 30, 2020USD ($)
Leases [Abstract]
Remainder of 2020	$ 4,320
2021	5,209
2022	4,700
2023	4,439
2024	4,149
Thereafter	1,437
Future minimum payments	24,254
Less: imputed interest	(2,145)
Operating lease liability	$ 22,109

Stock-Based Compensation - Addi

Stock-Based Compensation - Additional Information (Detail) $ / shares in Units, shares in Millions, $ in Millions	1 Months Ended				6 Months Ended
	Feb. 29, 2020shares	Feb. 28, 2019	Feb. 28, 2018	Feb. 28, 2017	Jun. 30, 2020USD ($)Offering$ / sharesshares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares available for grant					14
Unrecognized stock-based compensation expense | $					$ 26.6
Unrecognized stock-based compensation, expected to be recognized, weighted average period					2 years 8 months 12 days
Employee Stock Purchase Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Additional shares reserved for issuance under the plan					1.9
Purchase price as a percentage of fair market value					85.00%
Number of offerings per year | Offering					2
Equity Incentive Plan [Member] | 2010 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Additional shares reserved for issuance under the plan	2.1
Stock Options [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period					4 years
Outstanding and exercisable options					0.9
Weighted average exercise price | $ / shares					$ 30.76
Weighted average remaining contractual life					3 years 1 month 6 days
Weighted average fair value per share of options granted | $ / shares					$ 15.53
Stock Options [Member] | Minimum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options contractual term range					7 years
Stock Options [Member] | Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options contractual term range					10 years
Performance Share Unit [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	3 years	3 years	3 years	3 years
Restricted Stock Units [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period					4 years
Restricted Stock Award [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period					1 year
Deferred Stock Units [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period					1 year
Deferred Stock Units [Member] | Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Period of delayed receipt of common shares					10 years
401(k) Stock Match [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Maximum allowable contribution by employee percentage					80.00%
Defined benefit plan employer matching contribution percent					50.00%
Maximum annual contribution per employee, percent					6.00%

Stock-Based Compensation - Stoc

Stock-Based Compensation - Stock-Based Compensation Expense (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	$ 5,009	$ 2,875	$ 9,353	$ 8,169
Stock Options [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	540	655	1,134	1,929
PSUs [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
PSUs	1,096	151	1,792	1,074
RSUs [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	2,672	1,419	5,001	3,862
RSAs and DSUs [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	107	145	234	281
ESPP [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	213	171	435	361
401(k) Stock Match [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	381	334	757	662
Cost of Revenues [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	956	662	1,764	1,249
Sales and Marketing [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	1,010	694	1,856	1,424
Research and Development [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	883	602	1,806	1,125
General and Administrative [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	$ 2,160	$ 917	$ 3,927	$ 4,371

Stock-Based Compensation - St_2

Stock-Based Compensation - Stock Option Activity (Detail)	6 Months Ended
	Jun. 30, 2020$ / sharesshares
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Options Outstanding, beginning of period | shares	1,543,912
Options, Granted | shares	114,945
Options, Exercised | shares	(399,844)
Options, Forfeited | shares	(1,878)
Options Outstanding, end of period | shares	1,257,135
Weighted Average Exercise Price, Outstanding, beginning of period | $ / shares	$ 30.03
Weighted Average Exercise Price, Granted | $ / shares	56.93
Weighted Average Exercise Price, Exercised | $ / shares	23.57
Weighted Average Exercise Price, Forfeited | $ / shares	40.40
Weighted Average Exercise Price, Outstanding, end of period | $ / shares	$ 34.53

Stock-Based Compensation - Weig

Stock-Based Compensation - Weighted Average Grant Date Fair Value of Options Granted, Assumptions (Detail) - Stock Options [Member]	6 Months Ended
	Jun. 30, 2020
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Volatility	32.50%
Dividend yield	0.00%
Life (in years)	4 years
Risk-free interest rate	1.10%

Stock-Based Compensation - PSU,

Stock-Based Compensation - PSU, RSU, RSA, and DSU (Detail) - PSU, RSU, RSA, and DSU [Member]	6 Months Ended
	Jun. 30, 2020$ / sharesshares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock awards, Outstanding, beginning of period | shares	797,546
Granted, stock units | shares	258,980
Vested and common stock issued, stock units | shares	(198,882)
Forfeited, stock units | shares	(151,185)
Stock awards, Outstanding, end of period | shares	706,459
Weighted average grant date fair value, Outstanding, beginning of period | $ / shares	$ 38.80
Granted, Weighted Average Grant Date Fair Value | $ / shares	57.66
Vested and common stock issued, Weighted Average Grant Date Fair Value | $ / shares	34.44
Forfeited, Weighted Average Grant Date Fair Value | $ / shares	28.28
Weighted average grant date fair value, Outstanding, end of period | $ / shares	$ 49.20

Stock-Based Compensation - Summ

Stock-Based Compensation - Summary of ESPP Activity (Detail) - Employee Stock Purchase Plan [Member] - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Amounts for shares purchased	$ 1,463	$ 1,079	$ 1,550	$ 1,079
Shares purchased	31,068	30,814	33,083	30,814

Stock-Based Compensation - Fair

Stock-Based Compensation - Fair Value Estimation of Common Stock Using Black-Scholes Option Pricing Model, Assumptions (Detail) - Employee Stock Purchase Plan [Member]	6 Months Ended
	Jun. 30, 2020
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Volatility	30.60%
Dividend yield	0.00%
Life (in years)	6 months
Risk-free interest rate	1.60%

Income Taxes - Additional Infor

Income Taxes - Additional Information (Detail)	Jun. 30, 2020USD ($)
Income Tax Disclosure [Abstract]
Unrecognized tax benefits	$ 0
Accrued interest or tax penalties	$ 0

Net Income Per Share - Componen

Net Income Per Share - Components of Computation of Basic and Diluted Net Income Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Numerator
Net income	$ 11,194	$ 8,796	$ 20,709	$ 15,609
Denominator
Weighted average common shares outstanding, basic	35,030	35,010	35,051	34,976
Options to purchase common stock	581	698	588	714
PSUs, RSUs, RSAs, and DSUs	405	312	356	316
Weighted average common shares outstanding, diluted	36,016	36,020	35,995	36,006
Net income per share
Basic	$ 0.32	$ 0.25	$ 0.59	$ 0.45
Diluted	$ 0.31	$ 0.24	$ 0.58	$ 0.43

Net Income Per Share - Addition

Net Income Per Share - Additional Information (Detail)	Aug. 22, 2019	Aug. 08, 2019	Jun. 30, 2020
Net Income Per Share [Abstract]
Stock split ratio, description			two-for-one stock split
Stock split ratio	2	2

Net Income Per Share - Schedule

Net Income Per Share - Schedule of Anti-dilutive Common Shares Excluded from Calculation of Diluted Net Income Per Share (Detail) - shares shares in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Net Income Per Share [Abstract]
Antidilutive shares	206	148	195	182

Geographic Information - Additi

Geographic Information - Additional Information (Detail) - jurisdiction	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Disaggregation Of Revenue [Line Items]
Number of jurisdiction outside US had excess revenue of 10%			0
Geographic Concentration Risk | United States [Member]
Disaggregation Of Revenue [Line Items]
Concentration risk, percentage	85.00%	85.00%	85.00%	85.00%
Geographic Concentration Risk | Foreign [Member] | Property, Plant and Equipment
Disaggregation Of Revenue [Line Items]
Concentration risk, percentage			9.00%	9.00%
Geographic Concentration Risk | Foreign [Member] | Maximum [Member]
Disaggregation Of Revenue [Line Items]
Concentration risk, percentage	10.00%