Infoblox 10-Q 3 Dec 15 2016 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Oct. 31, 2015	Nov. 30, 2015
Document and Entity Information [Abstract]
Entity Registrant Name	INFOBLOX INC
Entity Central Index Key	1,223,862
Current Fiscal Year End Date	--07-31
Entity Filer Category	Large Accelerated Filer
Document Type	10-Q
Document Period End Date	Oct. 31, 2015
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q1
Amendment Flag	false
Entity Common Stock, Shares Outstanding		59,847,362

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Oct. 31, 2015	Jul. 31, 2015
CURRENT ASSETS:
Cash and cash equivalents	$ 127,621	$ 103,124
Short-term investments	222,500	227,712
Accounts receivable, net	47,233	45,881
Inventory	7,402	8,588
Prepaid expenses and other current assets	8,704	10,459
Total current assets	413,460	395,764
Property and equipment, net	24,138	23,225
Restricted cash	3,512	3,515
Intangible assets, net	1,601	1,923
Goodwill	33,293	33,293
Other assets	1,276	1,547
TOTAL ASSETS	477,280	459,267
CURRENT LIABILITIES:
Accounts payable and accrued liabilities	18,657	19,136
Accrued compensation	20,692	22,931
Deferred revenue, net	97,454	95,130
Total current liabilities	136,803	137,197
Deferred revenue, net	46,053	41,717
Other liabilities	4,937	5,201
TOTAL LIABILITIES	$ 187,793	$ 184,115
Commitments and contingencies (Note 5)
STOCKHOLDERS’ EQUITY:
Convertible preferred stock, $0.0001 par value per share—5,000 shares authorized; no shares issued or outstanding	$ 0	$ 0
Common stock, $0.0001 par value per share—100,000 shares authorized; 59,762 shares and 58,836 shares issued and outstanding as of October 31, 2015 and July 31, 2015	6	6
Additional paid-in capital	454,610	438,725
Accumulated other comprehensive loss	(76)	(37)
Accumulated deficit	(165,053)	(163,542)
TOTAL STOCKHOLDERS’ EQUITY	289,487	275,152
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$ 477,280	$ 459,267

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Oct. 31, 2015	Jul. 31, 2015
Statement of Financial Position [Abstract]
Convertible preferred stock, par value (USD per share)	$ 0.0001	$ 0.0001
Convertible preferred stock, shares authorized	5,000,000	5,000,000
Convertible preferred stock, shares issued	0	0
Convertible preferred stock, shares outstanding	0	0
Common stock, par value (USD per share)	$ 0.0001	$ 0.0001
Common stock, shares authorized	100,000,000	100,000,000
Common stock, shares issued	59,720,000	58,836,000
Common stock, shares outstanding	59,720,000	58,836,000

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Oct. 31, 2015	Oct. 31, 2014
Net revenue:
Products and licenses	$ 50,857	$ 31,508
Services	43,165	35,211
Total net revenue	94,022	66,719
Cost of revenue:
Products and licenses	10,350	7,467
Services	8,752	7,467
Total cost of revenue	19,102	14,934
Gross profit	74,920	51,785
Operating expenses:
Research and development	17,833	14,570
Sales and marketing	47,286	38,455
General and administrative	10,457	7,960
Total operating expenses	75,576	60,985
Loss from operations	(656)	(9,200)
Other income (expense), net	95	(190)
Loss before provision for income taxes	(561)	(9,390)
Provision for income taxes	950	820
Net loss	$ (1,511)	$ (10,210)
Net loss per share - basic and diluted (USD per share)	$ (0.03)	$ (0.18)
Weighted-average shares used in computing net loss per share - basic and diluted (shares)	59,272	55,371

Condensed Consolidated Stateme5

Condensed Consolidated Statements of Comprehensive Loss - USD ($) $ in Thousands	3 Months Ended
	Oct. 31, 2015	Oct. 31, 2014
Statement of Comprehensive Income [Abstract]
Net loss	$ (1,511)	$ (10,210)
Unrealized holding loss on short-term investments, net	(39)	(9)
Comprehensive loss	$ (1,550)	$ (10,219)

Condensed Consolidated Stateme6

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Oct. 31, 2015	Oct. 31, 2014
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$ (1,511)	$ (10,210)
Adjustments to reconcile net loss to net cash provided by operating activities:
Stock-based compensation	12,827	12,222
Depreciation and amortization	2,325	2,213
Excess tax benefits from employee stock plans	(716)	(600)
Other	227	598
Changes in operating assets and liabilities:
Accounts receivable, net	(1,352)	99
Inventory	1,080	(978)
Prepaid expenses, other current assets and other assets	2,135	597
Accounts payable and accrued liabilities	536	1,380
Accrued compensation	(2,239)	2,040
Deferred revenue, net	6,660	5,142
Other liabilities	(264)	(208)
Net cash provided by operating activities	19,708	12,295
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of short-term investments	(29,905)	(32,577)
Proceeds from maturities of short-term investments	34,920	20,340
Purchases of property and equipment	(3,205)	(1,751)
Proceeds from sales of short-term investments	0	1,001
Net cash provided by (used in) investing activities	1,810	(12,987)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from issuance of common stock under employee stock plans	2,332	1,535
Excess tax benefits from employee stock plans	716	600
Net cash provided by financing activities	3,048	2,135
Effect of foreign exchange rate changes on cash and cash equivalents	(69)	(434)
NET INCREASE IN CASH AND CASH EQUIVALENTS	24,497	1,009
CASH AND CASH EQUIVALENTS—Beginning of period	103,124	78,535
CASH AND CASH EQUIVALENTS—End of period	127,621	79,544
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
Purchases of property and equipment not yet paid	1,051	328
Cash paid for income taxes, net	$ 158	$ 172

Description of the Business and

Description of the Business and Summary of Significant Accounting Policies	3 Months Ended
	Oct. 31, 2015
Accounting Policies [Abstract]
Description of the Business and Summary of Significant Accounting Policies	DESCRIPTION OF THE BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Business Infoblox Inc. (together with our subsidiaries, “we,” “us” or “our”) was originally incorporated in the State of Illinois in February 1999 and was reincorporated in the State of Delaware in May 2003. We are headquartered in Santa Clara, California and have subsidiaries and representative offices located throughout the world. We provide a broad family of enterprise and service provider-class solutions to automate management of the critical network infrastructure services needed for secure, scalable and fault-tolerant connections between applications, devices and users. Basis of Presentation The condensed consolidated financial statements include our accounts and the accounts of our wholly-owned subsidiaries. Intercompany transactions and balances have been eliminated. The accompanying condensed consolidated balance sheet as of October 31, 2015 and the condensed consolidated statements of operations, the condensed consolidated statements of comprehensive loss and the condensed consolidated statements of cash flows for the three months ended October 31, 2015 and 2014 are unaudited. The condensed consolidated balance sheet as of July 31, 2015 was derived from the audited consolidated balance sheet as of July 31, 2015 . These unaudited condensed consolidated financial statements and accompanying notes should be read together with the audited consolidated financial statements in Item 8 of our Annual Report on Form 10-K for the fiscal year ended July 31, 2015 . The accompanying condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles, or GAAP, pursuant to the rules and regulations of the Securities Exchange Commission, or SEC. They do not include all of the financial information and footnotes required by GAAP for complete financial statements. We believe the unaudited condensed consolidated financial statements have been prepared on the same basis as the audited financial statements and include all adjustments necessary for their fair presentation. All adjustments are of a normal recurring nature. The results for the three months ended October 31, 2015 are not necessarily indicative of the results to be expected for any subsequent quarter or for the year ending July 31, 2016. Significant Accounting Policies We describe our significant accounting policies in Note 1 to the consolidated financial statements in Item 8 of our Annual Report on Form 10-K for the fiscal year ended July 31, 2015 . Except for the accounting policy related to our market stock units, or MSUs, described below, there have been no significant changes in our accounting policies during the three months ended October 31, 2015 , as compared to the significant accounting policies described in our Annual Report on Form 10-K for the year ended July 31, 2015 . During the first quarter of fiscal 2016, we granted MSUs to certain of our executive officers as part of our executive compensation program. We measure and recognize compensation cost for all stock-based awards based on the awards' fair value. We use the Monte-Carlo simulation model to estimate the fair value of MSUs. As the MSUs contain a performance metric with a market condition (our stock performance relative to a market index), we recognize compensation cost for MSUs using the graded vesting approach, net of estimated forfeitures and do not adjust the expense for subsequent changes in the expected outcome of the market-based vesting conditions. Use of Estimates The preparation of the accompanying condensed consolidated financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. Those management estimates and assumptions affect revenue recognition, allowances for doubtful accounts and sales returns, valuation of our cash equivalents and available-for-sale investments, valuation of inventory, determination of fair value of stock-based awards, valuation of goodwill and intangible assets acquired, impairment of goodwill and other intangible assets, amortization of intangible assets, contingencies and litigation and accounting for income taxes, including the valuation reserve on deferred tax assets and uncertain tax positions. We evaluate our estimates and assumptions on an ongoing basis using historical experience and other factors and adjust those estimates and assumptions when facts and circumstances dictate. As future events and their effects cannot be determined with precision, actual results could differ from these estimates and assumptions, and those differences could be material to the condensed consolidated financial statements. Concentrations of Risk Financial instruments that potentially subject us to concentrations of credit risk consist of cash, cash equivalents, short-term investments, restricted cash and accounts receivable. Our cash, cash equivalents, short-term investments and restricted cash are invested in high-credit quality financial instruments with banks and financial institutions. Such deposits may be in excess of insured limits provided on such deposits. We mitigate credit risk in respect to accounts receivable by performing ongoing credit evaluations of our customers and maintaining a reserve for potential credit losses. In addition, we generally require our customers to prepay for maintenance and support services to mitigate the risk of uncollectible accounts receivable. Significant customers are those which represent more than 10% of our total net revenue or gross accounts receivable balance at each respective balance sheet date. Exclusive Networks, Ltd., a distributor, accounted for 12.4% and 12.2% of our total net revenue for the three months ended October 31, 2015 and 2014 . Exclusive Networks Ltd. accounted for 10.5% and 14.0% of our total gross accounts receivable as of October 31, 2015 and July 31, 2015 . We believe it is unlikely that the loss of any of our channel partners would have a long term material adverse effect on our total net revenue as we believe end-users would likely purchase our products from a different channel partner. However, a loss of any one of these channel partners could have a material adverse impact during the transition period. Recently Issued Accounting Pronouncements In November 2015, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2015-17 “Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes ,” to simplify the presentation of deferred income taxes. Under this new standard, both deferred tax liabilities and assets are required to be classified as noncurrent in a classified balance sheet. ASU 2015-17 is effective for fiscal years, and the interim periods within those years, beginning after December 15, 2016. This standard is effective for us in fiscal year 2018. The adoption of this standard is not expected to have a significant impact on our condensed consolidated financial statements. In July 2015, the FASB issued ASU 2015-11— Inventory—Simplifying the Measurement of Inventory (Topic 330) . ASU 2015-11 changes the measurement principle for inventory from the lower of cost or market to lower of cost and net realizable value. It applies to entities that measure inventory using a method other than last-in, first-out or the retail inventory method. The amendments apply to all other inventory, which includes inventory that is measured using first-in, first-out (FIFO) or average cost. ASU 2015-11 will be effective for us in fiscal year 2018. The adoption of this standard is not expected to have a significant impact on our condensed consolidated financial statements. In April 2015, the FASB issued ASU No. 2015-05, Intangibles-Goodwill and Other-Internal-Use Software: Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement , which provides guidance on determining whether a cloud computing arrangement contains a software license. If a cloud computing arrangement includes a software license, then the customer should account for the software license element of the arrangement consistent with the acquisition of other software licenses. If a cloud computing arrangement does not include a software license, the customer should account for the arrangement as a service contract. We adopted this standard during the three months ended October 31, 2015 and our adoption did not have a significant impact on our condensed consolidated financial statements. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) , which supersedes the revenue recognition requirements in Accounting Standards Codification (ASC) 605, Revenue Recognition. This ASU is based on the principle that revenue is recognized to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The ASU also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. The guidance requires the use of either of two methods: (i) retrospective to each prior reporting period presented with the option to elect certain practical expedients as defined within the guidance; or (ii) retrospective with the cumulative effect of initially applying the guidance recognized at the date of initial application and providing certain additional disclosures as defined per the guidance. In July 2015, the FASB decided to delay the effective date of the new revenue standard by one year. As such, ASU 2014-09 will be effective for us in fiscal year 2019, with the option to adopt earlier in fiscal year 2018. We are currently evaluating adoption timing and methods and whether this standard will have a material impact on our condensed consolidated financial statements.

Net Income (Loss) Per Share

Net Income (Loss) Per Share	3 Months Ended
	Oct. 31, 2015
Earnings Per Share [Abstract]
Net Income (Loss) Per Share	NET INCOME (LOSS) PER SHARE We compute basic net income (loss) per share using the weighted average number of common shares outstanding during the period. We compute diluted net income (loss) per share using the weighted average number of common shares and dilutive potential common shares outstanding during the period. Dilutive potential common shares include shares issuable upon the exercise of stock options and upon the vesting of restricted stock units, or RSUs, and each purchase under our employee stock purchase plan, or ESPP, under the treasury stock method. In loss periods, basic net loss per share and diluted net loss per share are the same since the effect of potential common shares is anti-dilutive and therefore excluded. The following outstanding weighted-average shares of common stock equivalents were excluded from the computation of diluted net loss per share for the periods presented because including them would have been antidilutive: Three Months Ended October 31, 2015 2014 (In thousands) Stock options to purchase common stock 2,429 3,023 Restricted stock units 2,427 3,267 Employee Stock Purchase Plan 56 271

Cash Equivalents, Short-Term In

Cash Equivalents, Short-Term Investments, Restricted Cash and Fair Value Measurements	3 Months Ended
	Oct. 31, 2015
Financial Instruments, Owned, at Fair Value [Abstract]
Cash Equivalents, Short-term Investments, Restricted Cash and Fair Value Measurements	CASH EQUIVALENTS, SHORT-TERM INVESTMENTS, RESTRICTED CASH AND FAIR VALUE MEASUREMENTS Cash Equivalents, Short-term Investments and Restricted Cash The following table summarizes our cash equivalents, short-term investments and restricted cash as of October 31, 2015 : Amortized Cost Unrealized Gains Unrealized Losses Estimated Fair Value (In thousands) Cash equivalents: Money market funds $ 11,146 $ — $ — $ 11,146 Short-term investments: U.S. Treasury securities 159,176 25 (78 ) 159,123 U.S. government agency securities 41,316 13 (18 ) 41,311 FDIC-backed certificates of deposit 22,080 8 (22 ) 22,066 Total short-term investments 222,572 46 (118 ) 222,500 Restricted cash: U.S. Treasury securities 3,414 — (4 ) 3,410 Total cash equivalents, short-term investments and restricted cash $ 237,132 $ 46 $ (122 ) $ 237,056 The following table presents the contractual maturities of our short-term investments which are classified as available-for-sale securities as of October 31, 2015 : Amortized Cost Estimated Fair Value (In thousands) Due within one year $ 118,409 $ 118,408 Due after one year through two years 104,163 104,092 Total $ 222,572 $ 222,500 We classify our available-for-sale investments as short-term investments in our condensed consolidated balance sheet based on the availability of the funds for use in operations or strategic investments rather than the actual maturity dates. The following table summarizes our cash equivalents, short-term investments and restricted cash as of July 31, 2015: Amortized Cost Unrealized Gains Unrealized Losses Estimated Fair Value (In thousands) Cash equivalents: Money market funds $ 5,695 $ — $ — $ 5,695 Short-term investments: U.S. Treasury securities 162,718 50 (58 ) 162,710 U.S. government agency securities 42,468 9 (10 ) 42,467 FDIC-backed certificates of deposit 22,560 7 (32 ) 22,535 Total short-term investments 227,746 66 (100 ) 227,712 Restricted cash: U.S. Treasury securities 3,416 1 (4 ) 3,413 Total cash equivalents, short-term investments and restricted cash $ 236,857 $ 67 $ (104 ) $ 236,820 Fair Value Measurements The following table sets forth the fair value of our financial assets by level within the fair value hierarchy: Fair Value Measurements at October 31, 2015 Using: Quoted Prices in Active Markets For Identical Assets Significant Other Observable Remaining Inputs Significant Other Unobservable Remaining Inputs (Level I) (Level II) (Level III) Total (In thousands) Financial Assets Cash equivalents: Money market funds $ 11,146 $ — $ — $ 11,146 Short-term investments: U.S. Treasury securities 159,123 — — 159,123 U.S. government agency securities — 41,311 — 41,311 FDIC-backed certificates of deposit — 22,066 — 22,066 Total short-term investments 159,123 63,377 — 222,500 Restricted cash: U.S. Treasury securities 3,410 — — 3,410 Total financial assets $ 173,679 $ 63,377 $ — $ 237,056 Fair Value Measurements at July 31, 2015 Using: Quoted Prices in Active Markets For Identical Assets Significant Other Observable Remaining Inputs Significant Other Unobservable Remaining Inputs (Level I) (Level II) (Level III) Total (In thousands) Financial Assets Cash equivalents: Money market funds $ 5,695 $ — $ — $ 5,695 Short-term investments: U.S. Treasury securities 162,710 — — 162,710 U.S. government agency securities — 42,467 — 42,467 FDIC-backed certificates of deposit — 22,535 — 22,535 Total short-term investments 162,710 65,002 — 227,712 Restricted cash: U.S. Treasury securities 3,413 — — 3,413 Total financial assets $ 171,818 $ 65,002 $ — $ 236,820 We value our Level I assets, consisting of money market funds and U.S. Treasury securities, using quoted prices in active markets for identical instruments. Financial assets whose fair values we measure on a recurring basis using Level II inputs consist of U.S. government agency securities and Federal Deposit Insurance Corporation, or FDIC-backed certificates of deposit. We measure the fair values of these assets with the help of a pricing service that either provides quoted market prices in active markets for identical or similar securities or uses observable inputs for their pricing without applying significant adjustments because the inputs used in the valuation model, such as interest rates and volatility, can be corroborated by readily observable market data for substantially the full term of the financial assets. There were no transfers between Level I, Level II and Level III fair value hierarchies during the three months ended October 31, 2015 .

Inventory and Deferred Revenue

Inventory and Deferred Revenue	3 Months Ended
	Oct. 31, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Inventory and Deferred Revenue	INVENTORY AND DEFERRED REVENUE Inventory Inventory consists of the following: October 31, 2015 July 31, 2015 (In thousands) Raw materials $ 1,873 $ 2,224 Finished goods 5,529 6,364 Total inventory $ 7,402 $ 8,588 Deferred Revenue, Net Deferred revenue, net consists of the following: October 31, 2015 July 31, 2015 (In thousands) Deferred revenue: Products and licenses $ 6,363 $ 6,255 Services 140,953 133,834 Total deferred revenue 147,316 140,089 Deferred cost of revenue: Products and licenses 595 567 Services 3,214 2,675 Total deferred cost of revenue 3,809 3,242 Total deferred revenue, net 143,507 136,847 Less current portion 97,454 95,130 Non-current portion $ 46,053 $ 41,717

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Oct. 31, 2015
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	COMMITMENTS AND CONTINGENCIES Contract Manufacturer Commitments The independent contract manufacturer that provides the substantial majority of our manufacturing, repair and supply chain operations procures components and builds our products based on our forecasts. These forecasts are based on estimates of future demand for our products, which are in turn based on historical trends and an analysis from our sales and marketing organizations, adjusted for overall market conditions. In order to reduce manufacturing lead times and plan for adequate component supply, we may issue purchase orders to this independent contract manufacturer which may not be cancelable. In addition, we also have purchase commitments with other third-party contract manufacturers and suppliers. As of October 31, 2015 , we had $7.7 million in purchase commitments with our third-party contract manufacturers and suppliers, of which $6.9 million relates to open purchase orders with our primary independent contract manufacturer. Guarantees We have entered into agreements with some of our customers that contain indemnification provisions relating to potential situations where claims could be alleged that our products infringe the intellectual property rights of a third party. We have, at our option and expense, the ability to repair any infringement, replace the product with a non-infringing functionally equivalent product, or refund our customers the unamortized value of the product based on its estimated useful life, typically five years . Other guarantees or indemnification arrangements include guarantees of product and service performance and standby letters of credit for lease facilities and corporate credit cards. We have not recorded a liability related to these indemnification and guarantee provisions, and our guarantees and indemnification arrangements have not had any significant impact on our condensed consolidated financial statements to date. Loss Contingencies and Legal Proceedings We are subject to the possibility of various loss contingencies arising in the ordinary course of business. An estimated loss contingency is accrued when it is probable that an asset has been impaired or a liability has been incurred and the range of loss can be reasonably estimated. However, the actual loss in any such contingency may be materially different from our estimates, which could result in the need to record additional expenses. If the amount of liability is not probable or the amount cannot be reasonably estimated, no accruals have been made. We regularly evaluate current information available to management to determine whether such accruals should be adjusted and whether new accruals are required in the periods presented. From time to time, we are subject to various legal proceedings, claims and litigation arising in the ordinary course of business. Other than the litigation matter described below, as to which we are unable to make a materiality determination, we do not believe we are party to any currently pending legal proceedings, the outcome of which would have a material adverse effect on our financial position, results of operations or cash flows. There can be no assurance that existing or future legal proceedings arising in the ordinary course of business or otherwise will not have a material adverse effect on our financial position, results of operations or cash flows. On April 16, 2013, Versata Software, Inc., or Versata, filed suit against us in the United States District Court for the District of Delaware in an action captioned Versata Software, Inc. F/K/A Trilogy Software, Inc.; and Versata Development Group, Inc. F/K/A Trilogy Development Group, Inc. v. Infoblox, Inc., Case No 1:13-cv-00678-UNA (D.Del.) (the “Action”). In the Action, Versata alleged that we directly and/or indirectly infringed U.S. Patent Nos. 6,834,282; 6,907,414; 7,363,593 and 7,426,481 by making, using, licensing, selling and offering for sale software products and related services including but not limited to Infoblox IP Address Management. In December 2013, we filed a motion to dismiss the Action. In September 2015, the Court issued its Report and Recommendation to partially grant our motion. On October 28, 2015, Versata stipulated to the Court to dismiss the case with prejudice. On June 9, 2015, Stacey Greenfield, who claims to be a stockholder of the Company, filed suit in the United States District Court for the Southern District of New York under Section 16(b) of the Securities Exchange Act of 1934 (“Section 16”) against Cadian Capital Management, LP, and certain persons and entities allegedly affiliated with it (collectively, the “Cadian Defendants”) in an action captioned Greenfield v. Cadian Capital Management, L.P., et al., Case No. 15-civ-04478. We are named as a nominal defendant. Plaintiff alleges that the Cadian Defendants engaged in transactions in our securities that resulted in “short-swing” profits within the scope of Section 16, and seeks disgorgement from the Cadian Defendants of those alleged “short-swing” profits on our behalf. On September 3, 2015, the Cadian Defendants filed a motion to dismiss the complaint. On October 7, 2015, Plaintiff filed an amended complaint (“Amended Complaint”). On November 6, 2015, the Court gave the Cadian Defendants permission to file on or before December 15, 2015 a motion to dismiss the Amended Complaint. The parties have agreed that we (as a nominal defendant) shall not be required to file any responsive pleading until after the Cadian Defendants’ motion to dismiss is decided. We believe at this time that liabilities associated with these cases, while possible, are not probable, and therefore we have not recorded any accrual for them as of October 31, 2015 and July 31, 2015 . Further, any possible range of loss cannot be reasonably estimated at this time.

Stockholders_ Equity and Employ

Stockholders’ Equity and Employee Benefit Plans	3 Months Ended
	Oct. 31, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Stockholders' Equity and Employee Benefit Plans	STOCKHOLDERS' EQUITY AND EMPLOYEE BENEFIT PLANS Stock-based Compensation The following table summarizes stock-based compensation expense for stock option grants, ESPP purchase rights, restricted stock units, or RSUs, and MSUs recorded in our condensed consolidated statements of operations: Three Months Ended October 31, 2015 2014 (In thousands) Cost of revenue $ 1,128 $ 1,203 Research and development 3,217 2,608 Sales and marketing 6,218 6,348 General and administrative 2,265 2,063 $ 12,828 $ 12,222 The following table summarizes stock-based compensation expense by award type: Three Months Ended October 31, 2015 2014 (In thousands) RSUs $ 9,821 $ 7,438 Stock options 1,565 2,706 ESPP 1,132 2,078 MSUs 310 — $ 12,828 $ 12,222 The following table summarizes the unrecognized stock-based compensation balance, net of estimated forfeitures, by type of awards as of October 31, 2015 : As of October 31, 2015 Weighted-Average Amortization Period (In thousands) (In years) RSUs $ 78,331 2.67 Stock options 9,880 2.34 MSUs 4,011 1.75 ESPP 2,442 0.82 Total unrecognized stock-based compensation balance $ 94,664 2.55 Determination of Fair Value The fair value of stock option grants was estimated at the date of grant using the following assumptions: Three Months Ended October 31, 2015 2014 Stock Options: Expected term (in years) 6.08 6.08 Risk-free interest rate 1.70 % 1.88 % Expected volatility 52 % 57 % Dividend rate — % — % Weighted average fair value per share $ 9.49 $ 7.90 Stock Option Activity A summary of the stock option activity under our stock plans during the three months ended October 31, 2015 is presented below: Number of Shares Underlying Outstanding Options Weighted- Average Exercise Price Weighted- Average Remaining Contractual Term Aggregate Intrinsic Value (In thousands) (In years) (In thousands) Outstanding as of July 31, 2015 3,357 $ 15.45 6.67 $ 32,040 Granted 72 18.78 Exercised (297 ) 7.85 Canceled due to forfeitures and expirations (49 ) 25.67 Outstanding as of October 31, 2015 3,083 16.09 6.94 11,300 Vested and expected to vest as of October 31, 2015 2,971 15.92 6.87 11,233 Vested and exercisable as of October 31, 2015 1,879 $ 13.85 5.94 $ 10,195 Restricted Stock Unit Activity A summary of the RSU activity during the three months ended October 31, 2015 is presented below: Number of Units Weighted-Average Grant Date Fair Value Per Share (In thousands) Outstanding as of July 31, 2015 4,406 $ 21.03 Granted 1,693 18.19 Vested (629 ) 20.38 Cancellations due to forfeitures (142 ) 22.16 Outstanding as of October 31, 2015 5,328 $ 20.18 Market Stock Units During the three months ended October 31, 2015, the Compensation Committee of our board of directors approved awarding MSUs to certain of our officers. In general, the target shares are eligible to be earned in three annual installments, based on the number of shares eligible to be earned for the applicable performance period multiplied by the Performance Multiplier (as defined below) in effect for the applicable performance period. The performance periods consist of a one-, two- and three-year period within the three-year period covering fiscal 2016, fiscal 2017 and fiscal 2018, with each performance period commencing on the first day of fiscal 2016. In each of the first two performance periods, up to one-third of the target shares are eligible to be earned. In the third performance period, up to the maximum shares ( 175% of target shares) less any shares that were earned in a prior performance period are eligible to be earned. The performance goal under the MSUs is our total stockholder return relative to the Russell 2000 Index over the applicable performance period. The Performance Multiplier is based on the positive difference or negative difference, measured in percentage points, between our total stockholder return and the total return for the Russell 2000 Index over the applicable performance period, and ranges from 0% to 175% . Subject to certain exceptions, the MSUs shall vest, if at all, only following the end of each applicable performance period, and the officer must be employed by us at the end of such performance period in order to vest in the award. We use a Monte-Carlo simulation to calculate the fair value of the award on the grant date. Monte-Carlo simulation requires various assumptions including stock price volatility and risk free interest rate as of the valuation date corresponding to the length of time remaining in the performance period and expected dividend yield. During the three months ended October 31, 2015, we granted a total of 245,000 MSUs with a weighted-average grant date fair value per unit of $20.66 . We recognized $0.3 million stock-based compensation expense, net of estimated forfeitures, related to MSUs during the three months ended October 31, 2015. As of October 31, 2015, there was approximately $4.0 million of unrecognized compensation cost, net of estimated forfeitures, related to MSUs. No MSUs vested during the three months ended October 31, 2015 as the first performance period would not be completed until the end of fiscal 2016. No MSUs were forfeited or cancelled during the three months ended October 31, 2015.

Income Taxes

Income Taxes	3 Months Ended
	Oct. 31, 2015
Income Tax Disclosure [Abstract]
Income Taxes	INCOME TAXES The provisions for income taxes for the three months ended October 31, 2015 and 2014 were $1.0 million and $0.8 million . The provision for income taxes for the three months ended October 31, 2015 consisted of U.S. and foreign income taxes. The income tax provision for the three months ended October 31, 2014 consisted of federal minimum taxes, and state and foreign income taxes. For the three months ended October 31, 2015 and 2014 , our provisions for income taxes differed from the statutory amount primarily due to U.S. and foreign taxes currently payable as we realized no benefit for current year losses due to maintaining a full valuation allowance against net U.S. deferred tax assets. For the three months ended October 31, 2015 , we also maintained a full valuation allowance against net Canadian deferred tax assets. The realization of tax benefits of deferred tax assets is dependent upon future levels of taxable income, of an appropriate character, in the periods the items are expected to be deductible or taxable. Based on the available objective evidence, management does not believe it is more likely than not that the net U.S. and Canadian deferred tax assets will be realizable. Accordingly, we have provided a full valuation allowance against net U.S. and Canadian deferred tax assets as of October 31, 2015 and July 31, 2015. We intend to maintain the valuation allowance until sufficient positive evidence exists to support a reversal of, or decrease in, the valuation allowance. During the three months ended October 31, 2015 , there have been no material changes to the total amount of unrecognized tax benefits.

Segment Information

Segment Information	3 Months Ended
	Oct. 31, 2015
Segment Reporting [Abstract]
Segment Information	SEGMENT INFORMATION We operate in one segment. The following table represents net revenue based on the customer’s location, as determined by the customer’s shipping address: Three Months Ended October 31, 2015 2014 (In thousands) Americas $ 61,326 $ 44,850 Europe, Middle East and Africa ("EMEA") 23,992 15,897 Asia Pacific ("APAC") 8,704 5,972 Total net revenue $ 94,022 $ 66,719 Included within the Americas total in the above table is revenue from sales in the United States of $57.8 million and $42.3 million for the three months ended October 31, 2015 and 2014 . No other country comprised more than 10% of our net revenue for the three months ended October 31, 2015 and 2014 . Our property and equipment, net by location is summarized as follows: October 31, 2015 July 31, 2015 (In thousands) Americas $ 22,331 $ 21,807 EMEA 666 712 APAC 1,141 706 Total property and equipment, net $ 24,138 $ 23,225 Included within the Americas total in the above table is property and equipment, net in the United States of $22.3 million and $21.8 million as of October 31, 2015 and July 31, 2015 .

Subsequent Events

Subsequent Events	3 Months Ended
	Oct. 31, 2015
Subsequent Events [Abstract]
Subsequent Events	SUBSEQUENT EVENTS In November 2015, our board of directors authorized a $100 million share repurchase program with no termination date. Of this program, $50 million is expected to be executed as an accelerated share repurchase or ASR. For the remaining $50 million authorization, stock purchases may be made from time to time in compliance with applicable securities laws in the open market or in privately negotiated transactions. The timing and amounts of any purchases will be based on market conditions and other factors including price, regulatory requirements and capital availability. This share repurchase program does not require the purchase of any minimum number of shares and may be suspended, modified or discontinued at any time by our board of directors without prior notice.

Description of the Business a16

Description of the Business and Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Oct. 31, 2015
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The condensed consolidated financial statements include our accounts and the accounts of our wholly-owned subsidiaries. Intercompany transactions and balances have been eliminated. The accompanying condensed consolidated balance sheet as of October 31, 2015 and the condensed consolidated statements of operations, the condensed consolidated statements of comprehensive loss and the condensed consolidated statements of cash flows for the three months ended October 31, 2015 and 2014 are unaudited. The condensed consolidated balance sheet as of July 31, 2015 was derived from the audited consolidated balance sheet as of July 31, 2015 . These unaudited condensed consolidated financial statements and accompanying notes should be read together with the audited consolidated financial statements in Item 8 of our Annual Report on Form 10-K for the fiscal year ended July 31, 2015 . The accompanying condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles, or GAAP, pursuant to the rules and regulations of the Securities Exchange Commission, or SEC. They do not include all of the financial information and footnotes required by GAAP for complete financial statements. We believe the unaudited condensed consolidated financial statements have been prepared on the same basis as the audited financial statements and include all adjustments necessary for their fair presentation. All adjustments are of a normal recurring nature. The results for the three months ended October 31, 2015 are not necessarily indicative of the results to be expected for any subsequent quarter or for the year ending July 31, 2016.
Use of Estimates	Use of Estimates The preparation of the accompanying condensed consolidated financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. Those management estimates and assumptions affect revenue recognition, allowances for doubtful accounts and sales returns, valuation of our cash equivalents and available-for-sale investments, valuation of inventory, determination of fair value of stock-based awards, valuation of goodwill and intangible assets acquired, impairment of goodwill and other intangible assets, amortization of intangible assets, contingencies and litigation and accounting for income taxes, including the valuation reserve on deferred tax assets and uncertain tax positions. We evaluate our estimates and assumptions on an ongoing basis using historical experience and other factors and adjust those estimates and assumptions when facts and circumstances dictate. As future events and their effects cannot be determined with precision, actual results could differ from these estimates and assumptions, and those differences could be material to the condensed consolidated financial statements.
Concentrations of Risk	Concentrations of Risk Financial instruments that potentially subject us to concentrations of credit risk consist of cash, cash equivalents, short-term investments, restricted cash and accounts receivable. Our cash, cash equivalents, short-term investments and restricted cash are invested in high-credit quality financial instruments with banks and financial institutions. Such deposits may be in excess of insured limits provided on such deposits. We mitigate credit risk in respect to accounts receivable by performing ongoing credit evaluations of our customers and maintaining a reserve for potential credit losses. In addition, we generally require our customers to prepay for maintenance and support services to mitigate the risk of uncollectible accounts receivable. Significant customers are those which represent more than 10% of our total net revenue or gross accounts receivable balance at each respective balance sheet date. Exclusive Networks, Ltd., a distributor, accounted for 12.4% and 12.2% of our total net revenue for the three months ended October 31, 2015 and 2014 . Exclusive Networks Ltd. accounted for 10.5% and 14.0% of our total gross accounts receivable as of October 31, 2015 and July 31, 2015 . We believe it is unlikely that the loss of any of our channel partners would have a long term material adverse effect on our total net revenue as we believe end-users would likely purchase our products from a different channel partner. However, a loss of any one of these channel partners could have a material adverse impact during the transition period.
Recently Issued Accounting Pronouncements	Recently Issued Accounting Pronouncements In November 2015, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2015-17 “Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes ,” to simplify the presentation of deferred income taxes. Under this new standard, both deferred tax liabilities and assets are required to be classified as noncurrent in a classified balance sheet. ASU 2015-17 is effective for fiscal years, and the interim periods within those years, beginning after December 15, 2016. This standard is effective for us in fiscal year 2018. The adoption of this standard is not expected to have a significant impact on our condensed consolidated financial statements. In July 2015, the FASB issued ASU 2015-11— Inventory—Simplifying the Measurement of Inventory (Topic 330) . ASU 2015-11 changes the measurement principle for inventory from the lower of cost or market to lower of cost and net realizable value. It applies to entities that measure inventory using a method other than last-in, first-out or the retail inventory method. The amendments apply to all other inventory, which includes inventory that is measured using first-in, first-out (FIFO) or average cost. ASU 2015-11 will be effective for us in fiscal year 2018. The adoption of this standard is not expected to have a significant impact on our condensed consolidated financial statements. In April 2015, the FASB issued ASU No. 2015-05, Intangibles-Goodwill and Other-Internal-Use Software: Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement , which provides guidance on determining whether a cloud computing arrangement contains a software license. If a cloud computing arrangement includes a software license, then the customer should account for the software license element of the arrangement consistent with the acquisition of other software licenses. If a cloud computing arrangement does not include a software license, the customer should account for the arrangement as a service contract. We adopted this standard during the three months ended October 31, 2015 and our adoption did not have a significant impact on our condensed consolidated financial statements. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) , which supersedes the revenue recognition requirements in Accounting Standards Codification (ASC) 605, Revenue Recognition. This ASU is based on the principle that revenue is recognized to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The ASU also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. The guidance requires the use of either of two methods: (i) retrospective to each prior reporting period presented with the option to elect certain practical expedients as defined within the guidance; or (ii) retrospective with the cumulative effect of initially applying the guidance recognized at the date of initial application and providing certain additional disclosures as defined per the guidance. In July 2015, the FASB decided to delay the effective date of the new revenue standard by one year. As such, ASU 2014-09 will be effective for us in fiscal year 2019, with the option to adopt earlier in fiscal year 2018. We are currently evaluating adoption timing and methods and whether this standard will have a material impact on our condensed consolidated financial statements.

Net Income (Loss) Per Share (Ta

Net Income (Loss) Per Share (Tables)	3 Months Ended
	Oct. 31, 2015
Earnings Per Share [Abstract]
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share	The following outstanding weighted-average shares of common stock equivalents were excluded from the computation of diluted net loss per share for the periods presented because including them would have been antidilutive: Three Months Ended October 31, 2015 2014 (In thousands) Stock options to purchase common stock 2,429 3,023 Restricted stock units 2,427 3,267 Employee Stock Purchase Plan 56 271

Cash Equivalents, Short-Term 18

Cash Equivalents, Short-Term Investments, Restricted Cash and Fair Value Measurements (Tables)	3 Months Ended
	Oct. 31, 2015
Financial Instruments, Owned, at Fair Value [Abstract]
Schedule Cash Equivalents, Short-term Investments and Restricted Cash	The following table summarizes our cash equivalents, short-term investments and restricted cash as of July 31, 2015: Amortized Cost Unrealized Gains Unrealized Losses Estimated Fair Value (In thousands) Cash equivalents: Money market funds $ 5,695 $ — $ — $ 5,695 Short-term investments: U.S. Treasury securities 162,718 50 (58 ) 162,710 U.S. government agency securities 42,468 9 (10 ) 42,467 FDIC-backed certificates of deposit 22,560 7 (32 ) 22,535 Total short-term investments 227,746 66 (100 ) 227,712 Restricted cash: U.S. Treasury securities 3,416 1 (4 ) 3,413 Total cash equivalents, short-term investments and restricted cash $ 236,857 $ 67 $ (104 ) $ 236,820 The following table summarizes our cash equivalents, short-term investments and restricted cash as of October 31, 2015 : Amortized Cost Unrealized Gains Unrealized Losses Estimated Fair Value (In thousands) Cash equivalents: Money market funds $ 11,146 $ — $ — $ 11,146 Short-term investments: U.S. Treasury securities 159,176 25 (78 ) 159,123 U.S. government agency securities 41,316 13 (18 ) 41,311 FDIC-backed certificates of deposit 22,080 8 (22 ) 22,066 Total short-term investments 222,572 46 (118 ) 222,500 Restricted cash: U.S. Treasury securities 3,414 — (4 ) 3,410 Total cash equivalents, short-term investments and restricted cash $ 237,132 $ 46 $ (122 ) $ 237,056
Investments Classified by Contractual Maturity Date	The following table presents the contractual maturities of our short-term investments which are classified as available-for-sale securities as of October 31, 2015 : Amortized Cost Estimated Fair Value (In thousands) Due within one year $ 118,409 $ 118,408 Due after one year through two years 104,163 104,092 Total $ 222,572 $ 222,500
Schedule of Fair Value of Assets and Liabilities by Level	The following table sets forth the fair value of our financial assets by level within the fair value hierarchy: Fair Value Measurements at October 31, 2015 Using: Quoted Prices in Active Markets For Identical Assets Significant Other Observable Remaining Inputs Significant Other Unobservable Remaining Inputs (Level I) (Level II) (Level III) Total (In thousands) Financial Assets Cash equivalents: Money market funds $ 11,146 $ — $ — $ 11,146 Short-term investments: U.S. Treasury securities 159,123 — — 159,123 U.S. government agency securities — 41,311 — 41,311 FDIC-backed certificates of deposit — 22,066 — 22,066 Total short-term investments 159,123 63,377 — 222,500 Restricted cash: U.S. Treasury securities 3,410 — — 3,410 Total financial assets $ 173,679 $ 63,377 $ — $ 237,056 Fair Value Measurements at July 31, 2015 Using: Quoted Prices in Active Markets For Identical Assets Significant Other Observable Remaining Inputs Significant Other Unobservable Remaining Inputs (Level I) (Level II) (Level III) Total (In thousands) Financial Assets Cash equivalents: Money market funds $ 5,695 $ — $ — $ 5,695 Short-term investments: U.S. Treasury securities 162,710 — — 162,710 U.S. government agency securities — 42,467 — 42,467 FDIC-backed certificates of deposit — 22,535 — 22,535 Total short-term investments 162,710 65,002 — 227,712 Restricted cash: U.S. Treasury securities 3,413 — — 3,413 Total financial assets $ 171,818 $ 65,002 $ — $ 236,820

Inventory and Deferred Revenue

Inventory and Deferred Revenue (Tables)	3 Months Ended
	Oct. 31, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Schedule of Inventory	Inventory consists of the following: October 31, 2015 July 31, 2015 (In thousands) Raw materials $ 1,873 $ 2,224 Finished goods 5,529 6,364 Total inventory $ 7,402 $ 8,588
Schedule of Deferred Revenue, Net	Deferred revenue, net consists of the following: October 31, 2015 July 31, 2015 (In thousands) Deferred revenue: Products and licenses $ 6,363 $ 6,255 Services 140,953 133,834 Total deferred revenue 147,316 140,089 Deferred cost of revenue: Products and licenses 595 567 Services 3,214 2,675 Total deferred cost of revenue 3,809 3,242 Total deferred revenue, net 143,507 136,847 Less current portion 97,454 95,130 Non-current portion $ 46,053 $ 41,717

Stockholders_ Equity and Empl20

Stockholders’ Equity and Employee Benefit Plans (Tables)	3 Months Ended
	Oct. 31, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Schedule of Stock-based Compensation by Statement of Operations	The following table summarizes stock-based compensation expense for stock option grants, ESPP purchase rights, restricted stock units, or RSUs, and MSUs recorded in our condensed consolidated statements of operations: Three Months Ended October 31, 2015 2014 (In thousands) Cost of revenue $ 1,128 $ 1,203 Research and development 3,217 2,608 Sales and marketing 6,218 6,348 General and administrative 2,265 2,063 $ 12,828 $ 12,222 The following table summarizes stock-based compensation expense by award type: Three Months Ended October 31, 2015 2014 (In thousands) RSUs $ 9,821 $ 7,438 Stock options 1,565 2,706 ESPP 1,132 2,078 MSUs 310 — $ 12,828 $ 12,222
Schedule of Unrecognized Stock-Based Compensation Balance	The following table summarizes the unrecognized stock-based compensation balance, net of estimated forfeitures, by type of awards as of October 31, 2015 : As of October 31, 2015 Weighted-Average Amortization Period (In thousands) (In years) RSUs $ 78,331 2.67 Stock options 9,880 2.34 MSUs 4,011 1.75 ESPP 2,442 0.82 Total unrecognized stock-based compensation balance $ 94,664 2.55
Schedule of Determination of Fair Value	The fair value of stock option grants was estimated at the date of grant using the following assumptions: Three Months Ended October 31, 2015 2014 Stock Options: Expected term (in years) 6.08 6.08 Risk-free interest rate 1.70 % 1.88 % Expected volatility 52 % 57 % Dividend rate — % — % Weighted average fair value per share $ 9.49 $ 7.90
Schedule of Stock-Based Compensation Activity	A summary of the stock option activity under our stock plans during the three months ended October 31, 2015 is presented below: Number of Shares Underlying Outstanding Options Weighted- Average Exercise Price Weighted- Average Remaining Contractual Term Aggregate Intrinsic Value (In thousands) (In years) (In thousands) Outstanding as of July 31, 2015 3,357 $ 15.45 6.67 $ 32,040 Granted 72 18.78 Exercised (297 ) 7.85 Canceled due to forfeitures and expirations (49 ) 25.67 Outstanding as of October 31, 2015 3,083 16.09 6.94 11,300 Vested and expected to vest as of October 31, 2015 2,971 15.92 6.87 11,233 Vested and exercisable as of October 31, 2015 1,879 $ 13.85 5.94 $ 10,195
Schedule of Restricted Stock Units Award Activity	A summary of the RSU activity during the three months ended October 31, 2015 is presented below: Number of Units Weighted-Average Grant Date Fair Value Per Share (In thousands) Outstanding as of July 31, 2015 4,406 $ 21.03 Granted 1,693 18.19 Vested (629 ) 20.38 Cancellations due to forfeitures (142 ) 22.16 Outstanding as of October 31, 2015 5,328 $ 20.18

Segment Information (Tables)

Segment Information (Tables)	3 Months Ended
	Oct. 31, 2015
Segment Reporting [Abstract]
Revenue from External Customers by Geographic Areas	We operate in one segment. The following table represents net revenue based on the customer’s location, as determined by the customer’s shipping address: Three Months Ended October 31, 2015 2014 (In thousands) Americas $ 61,326 $ 44,850 Europe, Middle East and Africa ("EMEA") 23,992 15,897 Asia Pacific ("APAC") 8,704 5,972 Total net revenue $ 94,022 $ 66,719
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas	Our property and equipment, net by location is summarized as follows: October 31, 2015 July 31, 2015 (In thousands) Americas $ 22,331 $ 21,807 EMEA 666 712 APAC 1,141 706 Total property and equipment, net $ 24,138 $ 23,225

Description of the Business a22

Description of the Business and Summary of Significant Accounting Policies (Details) - Exclusive Networks [Member]	3 Months Ended		12 Months Ended
	Oct. 31, 2015	Oct. 31, 2014	Jul. 31, 2015
Revenue [Member]
Organization [Line Items]
Concentration risk percentage	12.40%	12.20%
Accounts Receivable [Member]
Organization [Line Items]
Concentration risk percentage	10.50%		14.00%

Net Income (Loss) Per Share (De

Net Income (Loss) Per Share (Details) - shares shares in Thousands	3 Months Ended
	Oct. 31, 2015	Oct. 31, 2014
Stock Option [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share	2,429	3,023
Restricted Stock Units (RSUs) [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share	2,427	3,267
Employee Stock Purchase Plan [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share	56	271

Cash Equivalents, Short-Term 24

Cash Equivalents, Short-Term Investments, Restricted Cash and Fair Value Measurements (Available-for-sale Securities) (Details) - USD ($) $ in Thousands	Oct. 31, 2015	Jul. 31, 2015
Short-term investments [Abstract]
Short-term investments, Amortized Cost	$ 222,572	$ 227,746
Short-term investments, Gross Unrealized Gain	46	66
Short-term investments, Gross Unrealized Losses	(118)	(100)
Short-term investments	222,500	227,712
Restricted Cash [Abstract]
Total cash equivalents and short-term investments, Amortized Cost	237,132	236,857
Total cash equivalents and short-term investments, Unrealized Gains	46	67
Total cash equivalents and short-term investments, Unrealized Losses	(122)	(104)
Total cash equivalents and short-term investments, Estimated Fair Value	237,056	236,820
Amortized Cost
Amortized cost, Due within one year	118,409
Amortized cost, Due between one to two years	104,163
Amortized cost, Total	222,572
Estimated Fair Value
Estimated Fair Value, Due within one year	118,408
Estimated Fair Value, Due between one to two years	104,092
Estimated Fair Value, Total	222,500
US Treasury Securities [Member]
Short-term investments [Abstract]
Short-term investments, Amortized Cost	159,176	162,718
Short-term investments, Gross Unrealized Gain	25	50
Short-term investments, Gross Unrealized Losses	(78)	(58)
Short-term investments	159,123	162,710
Restricted Cash [Abstract]
Restricted cash, Amortized Costs Basis	3,414	3,416
Restricted cash, Gross Unrealized Gains	0	1
Restricted cash, Gross Unrealized Losses	(4)	(4)
Restricted cash, Fair Value Disclosure	3,410	3,413
US Government Agencies Securities [Member]
Short-term investments [Abstract]
Short-term investments, Amortized Cost	41,316	42,468
Short-term investments, Gross Unrealized Gain	13	9
Short-term investments, Gross Unrealized Losses	(18)	(10)
Short-term investments	41,311	42,467
FDIC-backed certificates of deposit [Member]
Short-term investments [Abstract]
Short-term investments, Amortized Cost	22,080	22,560
Short-term investments, Gross Unrealized Gain	8	7
Short-term investments, Gross Unrealized Losses	(22)	(32)
Short-term investments	22,066	22,535
Money Market Funds [Member]
Cash equivalents [Abstract]
Cash equivalents, Amortized Cost	11,146	5,695
Cash equivalents, Unrealized Gains	0	0
Cash equivalents, Unrealized Losses	0	0
Cash equivalents, Estimated Fair Value	$ 11,146	$ 5,695

Cash Equivalents, Short-Term 25

Cash Equivalents, Short-Term Investments, Restricted Cash and Fair Value Measurements (Schedule of the Fair Value of Assets and Liabilities by Level) (Details) - USD ($) $ in Thousands	Oct. 31, 2015	Jul. 31, 2015
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	$ 222,500	$ 227,712
Total financial assets	237,056	236,820
Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	159,123	162,710
Total financial assets	173,679	171,818
Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	63,377	65,002
Total financial assets	63,377	65,002
Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	0	0
Total financial assets	0	0
US Treasury Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	159,123	162,710
Restricted cash	3,410	3,413
US Treasury Securities [Member] | Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	159,123	162,710
Restricted cash	3,410	3,413
US Treasury Securities [Member] | Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	0	0
US Treasury Securities [Member] | Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	0	0
US Government Agencies Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	41,311	42,467
US Government Agencies Securities [Member] | Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	0	0
US Government Agencies Securities [Member] | Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	41,311	42,467
US Government Agencies Securities [Member] | Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	0	0
FDIC-backed certificates of deposit [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	22,066	22,535
FDIC-backed certificates of deposit [Member] | Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	0	0
FDIC-backed certificates of deposit [Member] | Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	22,066	22,535
FDIC-backed certificates of deposit [Member] | Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	0	0
Money Market Funds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and Cash Equivalents	11,146	5,695
Money Market Funds [Member] | Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and Cash Equivalents	11,146	5,695
Money Market Funds [Member] | Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and Cash Equivalents	0	0
Money Market Funds [Member] | Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and Cash Equivalents	$ 0	$ 0

Inventory and Deferred Revenu26

Inventory and Deferred Revenue (Schedule of Inventory) (Details) - USD ($) $ in Thousands	Oct. 31, 2015	Jul. 31, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Raw materials	$ 1,873	$ 2,224
Finished goods	5,529	6,364
Total inventory	$ 7,402	$ 8,588

Inventory and Deferred Revenu27

Inventory and Deferred Revenue (Schedule of Deferred Revenue) (Details) - USD ($) $ in Thousands	Oct. 31, 2015	Jul. 31, 2015
Deferred Revenue Arrangement [Line Items]
Deferred revenue	$ 147,316	$ 140,089
Deferred cost of revenue	3,809	3,242
Total deferred revenue, net	143,507	136,847
Less current portion	97,454	95,130
Total deferred income taxes and other tax liabilities	46,053	41,717
Products and Licenses [Member]
Deferred Revenue Arrangement [Line Items]
Deferred revenue	6,363	6,255
Deferred cost of revenue	595	567
Services [Member]
Deferred Revenue Arrangement [Line Items]
Deferred revenue	140,953	133,834
Deferred cost of revenue	$ 3,214	$ 2,675

Commitments and Contingencies (

Commitments and Contingencies (Details) $ in Millions	3 Months Ended
	Oct. 31, 2015USD ($)
Guarantor Obligations [Line Items]
Open purchase orders	$ 7.7
Indemnification Agreement [Member]
Guarantor Obligations [Line Items]
Term of guarantee	5 years
Open Purchase Orders [Member]
Guarantor Obligations [Line Items]
Open purchase orders	$ 6.9

Stockholders_ Equity and Empl29

Stockholders’ Equity and Employee Benefit Plans (Stock-based Compensation) (Details) - USD ($) $ in Thousands	3 Months Ended
	Oct. 31, 2015	Oct. 31, 2014
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total stock-based compensation expense	$ 12,828	$ 12,222
Total unrecognized stock-based compensation balance	$ 94,664
Total unrecognized stock-based compensation balance, Weighted-average amortization	2 years 6 months 18 days
Restricted Stock Units (RSUs) [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total stock-based compensation expense	$ 9,821	7,438
Total unrecognized stock-based compensation balance	$ 78,331
Total unrecognized stock-based compensation balance, Weighted-average amortization	2 years 8 months 1 day
Stock Option [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total stock-based compensation expense	$ 1,565	2,706
Total unrecognized stock-based compensation balance	$ 9,880
Total unrecognized stock-based compensation balance, Weighted-average amortization	2 years 4 months 2 days
Employee Stock Purchase Plan [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total stock-based compensation expense	$ 1,132	2,078
Total unrecognized stock-based compensation balance	$ 2,442
Total unrecognized stock-based compensation balance, Weighted-average amortization	9 months 25 days
Market Stock Units [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total stock-based compensation expense	$ 310	0
Total unrecognized stock-based compensation balance	$ 4,011
Total unrecognized stock-based compensation balance, Weighted-average amortization	1 year 9 months
Cost of Revenue [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total stock-based compensation expense	$ 1,128	1,203
Research and Development [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total stock-based compensation expense	3,217	2,608
Selling and Marketing [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total stock-based compensation expense	6,218	6,348
General and Administrative Expense [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total stock-based compensation expense	$ 2,265	$ 2,063

Stockholders_ Equity and Empl30

Stockholders’ Equity and Employee Benefit Plans (Determination of Fair Value) (Details) - Stock Option [Member] - $ / shares	3 Months Ended
	Oct. 31, 2015	Oct. 31, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected term (in years)	6 years 29 days	6 years 29 days
Risk-free interest rate	1.70%	1.88%
Expected volatility	52.00%	57.00%
Dividend rate	0.00%	0.00%
Weighted average fair value per share, stock options (in dollars per share)	$ 9.49	$ 7.90

Stockholders_ Equity and Empl31

Stockholders’ Equity and Employee Benefit Plans (Stock Option Activities) (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended	12 Months Ended
	Oct. 31, 2015	Jul. 31, 2015
Number of Shares Underlying Outstanding Options [Roll Forward]
Number of Shares Underlying Outstanding Options, Beginning Balance	3,357,000
Number of Shares Underlying Outstanding Options, Granted	72,000
Number of Shares Underlying Outstanding Options, Exercised	(297,000)
Number of Shares Underlying Outstanding Options, Canceled due to forfeitures and expirations	(49,000)
Number of Shares Underlying Outstanding Options, Ending Balance	3,083,000	3,357,000
Number of Shares Underlying Outstanding Options, Vested and Expected to Vest	2,971,000
Number of Shares Underlying Outstanding Options, Exercisable	1,879,000
Weighted Average Exercise Price [Roll Forward]
Weighted Average Exercise Price, Beginning Balance	$ 15.45
Weighted Average Exercise Price, Granted	18.78
Weighted Average Exercise Price, Exercised	7.85
Weighted Average Exercise Price, Canceled due to forfeitures and expirations	25.67
Weighted Average Exercise Price, Ending Balance	16.09	$ 15.45
Weighted-Average Exercise Price, Vested and Expected to Vest	15.92
Weighted-Average Exercise Price, Exercisable	$ 13.85
Weighted Average Remaining Contractual Term [Abstract]
Weighted Average Remaining Contractual Term	6 years 11 months 8 days	6 years 8 months 1 day
Weighted-Average Remaining Contractual Term, Vested and Expected to Vest	6 years 10 months 13 days
Weighted-Average Remaining Contractual Term, Exercisable	5 years 11 months 8 days
Aggregate Intrinsic Value [Abstract]
Aggregate Intrinsic Value, Outstanding	$ 11,300	$ 32,040
Aggregate Intrinsic Value, Vested and Expected to Vest	11,233
Aggregate Intrinsic Value, Exercisable	$ 10,195

Stockholders_ Equity and Empl32

Stockholders’ Equity and Employee Benefit Plans (Restricted Stock Units Activities) (Details) - Restricted Stock Units (RSUs) [Member] shares in Thousands	3 Months Ended
	Oct. 31, 2015$ / sharesshares
Number of Units [Roll Forward]
Number of Units, Oustanding	4,406
Number of Units, Granted	1,693
Number of Units, Vested	(629)
Number of Units, Cancellations due to forfeitures	(142)
Number of Units, Oustanding	5,328
Weighted Average Grant Date Fair Value [Roll Forward]
Weighted Average Grant Date Fair Value, Outstanding | $ / shares	$ 21.03
Weighted Average Grant Date Fair Value, Granted | $ / shares	18.19
Weighted Average Grant Date Fair Value, Vested | $ / shares	20.38
Weighted Average Grant Date Fair Value, Cancellations due to forfeitures | $ / shares	22.16
Weighted Average Grant Date Fair Value, Outstanding | $ / shares	$ 20.18

Stockholders_ Equity and Empl33

Stockholders’ Equity and Employee Benefit Plans (Market Stock Units) (Details) $ / shares in Units, $ in Thousands	3 Months Ended
	Oct. 31, 2015USD ($)installment$ / sharesshares	Oct. 31, 2014USD ($)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense	$ 12,828	$ 12,222
Total unrecognized stock-based compensation balance	$ 94,664
Market Stock Units [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of installments | installment	3
Percent of target shares	175.00%
Number of Units, Granted | shares	245,000
Weighted Average Grant Date Fair Value, Granted | $ / shares	$ 20.66
Total stock-based compensation expense	$ 310	$ 0
Total unrecognized stock-based compensation balance	$ 4,011
Market Stock Units [Member] | Minimum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percent of target shares	0.00%
Market Stock Units [Member] | Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percent of target shares	175.00%

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended
	Oct. 31, 2015	Oct. 31, 2014
Income Tax Disclosure [Abstract]
Provision for income taxes	$ 950	$ 820

Segment Information (Details)

Segment Information (Details) $ in Thousands	3 Months Ended
	Oct. 31, 2015USD ($)segment	Oct. 31, 2014USD ($)	Jul. 31, 2015USD ($)
Revenues from External Customers and Long-Lived Assets [Line Items]
Number of reportable segments | segment	1
Net revenue	$ 94,022	$ 66,719
Property and equipment, net	24,138		$ 23,225
Americas [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Net revenue	61,326	44,850
Property and equipment, net	22,331		21,807
EMEA [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Net revenue	23,992	15,897
Property and equipment, net	666		712
Asia Pacific [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Net revenue	8,704	5,972
Property and equipment, net	1,141		706
United States [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Net revenue	57,800	$ 42,300
Property and equipment, net	$ 22,300		$ 21,800

Subsequent Events (Details)

Subsequent Events (Details) - Subsequent Event [Member] $ in Millions	Nov. 30, 2015USD ($)
Subsequent Event [Line Items]
Authorized amount	$ 100
Remaining authorized repurchase amount	50
Accelerated Share Repurchase [Member]
Subsequent Event [Line Items]
Remaining authorized repurchase amount	$ 50