Document and Entity Information
Document and Entity Information Statement - USD ($) $ in Billions | 12 Months Ended | ||
Dec. 31, 2016 | Feb. 21, 2017 | Jun. 30, 2016 | |
Document Information [Line Items] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2016 | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | FY | ||
Entity Registrant Name | TABLEAU SOFTWARE INC | ||
Entity Central Index Key | 1,303,652 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Current Reporting Status | Yes | ||
Entity Well-Known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Public Float | $ 2.8 | ||
Common Class A | |||
Document Information [Line Items] | |||
Entity Common Stock, Shares Outstanding | 59,950,143 | ||
Common Class B | |||
Document Information [Line Items] | |||
Entity Common Stock, Shares Outstanding | 18,101,609 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Current assets | ||
Cash and cash equivalents | $ 908,717 | $ 795,900 |
Accounts receivable, net | 206,765 | 131,784 |
Prepaid expenses and other current assets | 36,011 | 16,977 |
Income taxes receivable | 131 | 78 |
Total current assets | 1,151,624 | 944,739 |
Property and equipment, net | 106,637 | 72,350 |
Goodwill | 15,531 | 932 |
Deferred income taxes | 1,449 | 1,544 |
Deposits and other assets | 11,958 | 11,146 |
Total assets | 1,287,199 | 1,030,711 |
Current liabilities | ||
Accounts payable | 17,637 | 1,152 |
Accrued compensation and employee related benefits | 70,230 | 53,003 |
Other accrued liabilities | 53,418 | 31,838 |
Income taxes payable | 1,893 | 1,000 |
Deferred revenue | 285,543 | 185,608 |
Total current liabilities | 428,721 | 272,601 |
Deferred revenue | 26,930 | 12,903 |
Other long-term liabilities | 39,700 | 11,262 |
Total liabilities | 495,351 | 296,766 |
Commitments and contingencies (note 8) | ||
Stockholders' equity | ||
Preferred stock | 0 | 0 |
Additional paid-in capital | 1,007,205 | 805,804 |
Accumulated other comprehensive income | 1,593 | 643 |
Accumulated deficit | (216,958) | (72,509) |
Total stockholders' equity | 791,848 | 733,945 |
Total liabilities and stockholders' equity | 1,287,199 | 1,030,711 |
Common Class B | ||
Stockholders' equity | ||
Common Stock | 2 | 2 |
Common Class A | ||
Stockholders' equity | ||
Common Stock | $ 6 | $ 5 |
Consolidated Balance Sheets - P
Consolidated Balance Sheets - Parenthetical - $ / shares | Dec. 31, 2016 | Dec. 31, 2015 |
Convertible Preferred Stock | ||
Preferred stock par value (in USD per share) | $ 0.0001 | $ 0.0001 |
Preferred Stock, Shares Authorized | 10,000,000 | 10,000,000 |
Preferred Stock, Shares Issued | 0 | 0 |
Preferred Stock, Shares Outstanding | 0 | 0 |
Common Class B | ||
Common stock par value (in USD per share) | $ 0.0001 | $ 0.0001 |
Shares authorized for issuance | 75,000,000 | 75,000,000 |
Common Stock, Shares, Issued | 18,336,609 | 19,331,666 |
Common Stock, Shares, Outstanding | 18,336,609 | 19,331,666 |
Common Class A | ||
Common stock par value (in USD per share) | $ 0.0001 | $ 0.0001 |
Shares authorized for issuance | 750,000,000 | 750,000,000 |
Common Stock, Shares, Issued | 58,381,813 | 53,872,798 |
Common Stock, Shares, Outstanding | 58,381,813 | 53,872,798 |
Consolidated Statement of Opera
Consolidated Statement of Operations - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Revenues | ||||
License | $ 481,659 | $ 423,766 | $ 279,944 | |
Maintenance and services | 345,284 | 229,821 | 132,672 | |
Total revenues | 826,943 | 653,587 | 412,616 | |
Cost of revenues | ||||
License | 7,003 | 3,852 | 1,211 | |
Maintenance and services | 92,087 | 69,833 | 35,774 | |
Total cost of revenues | [1] | 99,090 | 73,685 | 36,985 |
Gross profit | 727,853 | 579,902 | 375,631 | |
Operating expenses | ||||
Sales and marketing | [1] | 476,506 | 356,723 | 216,672 |
Research and development | [1] | 302,759 | 204,131 | 110,923 |
General and administrative | [1] | 88,149 | 71,078 | 41,712 |
Total operating expenses | 867,414 | 631,932 | 369,307 | |
Operating income (loss) | (139,561) | (52,030) | 6,324 | |
Other income, net | 2,134 | 1,223 | 858 | |
Income (loss) before income tax expense | (137,427) | (50,807) | 7,182 | |
Income tax expense | 7,022 | 32,893 | 1,309 | |
Net income (loss) | $ (144,449) | $ (83,700) | $ 5,873 | |
Net income (loss) per share: | ||||
Basic (in USD per share) | $ (1.92) | $ (1.17) | $ 0.09 | |
Diluted (in USD per share) | $ (1.92) | $ (1.17) | $ 0.08 | |
Weighted average shares used to compute net income (loss) per share: | ||||
Basic (in shares) | 75,162 | 71,701 | 67,591 | |
Diluted (in shares) | 75,162 | 71,701 | 74,319 | |
Cost of revenues | ||||
Share-based Compensation [Abstract] | ||||
Allocated share-based compensation expense | $ 10,595 | $ 7,031 | $ 2,227 | |
Sales and marketing | ||||
Share-based Compensation [Abstract] | ||||
Allocated share-based compensation expense | 68,411 | 45,205 | 18,203 | |
Research and development | ||||
Share-based Compensation [Abstract] | ||||
Allocated share-based compensation expense | 91,044 | 55,269 | 20,794 | |
General and administrative | ||||
Share-based Compensation [Abstract] | ||||
Allocated share-based compensation expense | $ 15,662 | $ 11,963 | $ 5,794 | |
[1] | Includes stock-based compensation expense as follows: Year Ended December 31, 2016 2015 2014 (in thousands)Cost of revenues$10,595 $7,031 $2,227Sales and marketing68,411 45,205 18,203Research and development91,044 55,269 20,794General and administrative15,662 11,963 5,794 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Comprehensive Income Statement - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Statement of Comprehensive Income [Abstract] | |||
Net income (loss) | $ (144,449) | $ (83,700) | $ 5,873 |
Other comprehensive income (loss): | |||
Foreign currency translation, net | 950 | 503 | 211 |
Comprehensive income (loss) | $ (143,499) | $ (83,197) | $ 6,084 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders Equity Statement - USD ($) $ in Thousands | Total | Public Offering | Common Stock (Class A and B) | Common Stock (Class A and B)Public Offering | Additional Paid-in Capital | Additional Paid-in CapitalPublic Offering | Accumulated Other Comprehensive Income (Loss) | Retained Earnings (Accumulated Deficit) |
Balances (in shares), period start at Dec. 31, 2013 | 62,198,686 | |||||||
Balances, period start at Dec. 31, 2013 | $ 244,660 | $ 7 | $ 239,406 | $ (71) | $ 5,318 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Proceeds from issuance of common stock (in shares) | 3,669,533 | 4,000,000 | ||||||
Proceeds from issuance of common stock | 16,151 | $ 344,077 | 16,151 | $ 344,077 | ||||
Stock-based compensation expense | 47,018 | 47,018 | ||||||
Excess tax benefit from stock-based compensation | 14,016 | 14,016 | ||||||
Other comprehensive income, net | 211 | 211 | ||||||
Net income (loss) | 5,873 | 5,873 | ||||||
Balances (in shares), period end at Dec. 31, 2014 | 69,868,219 | |||||||
Balances, period end at Dec. 31, 2014 | 672,006 | $ 7 | 660,668 | 140 | 11,191 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Proceeds from issuance of common stock (in shares) | 3,336,245 | |||||||
Proceeds from issuance of common stock | 20,117 | 20,117 | ||||||
Stock-based compensation expense | 119,468 | 119,468 | ||||||
Excess tax benefit from stock-based compensation | 5,551 | 5,551 | ||||||
Other comprehensive income, net | 503 | 503 | ||||||
Net income (loss) | (83,700) | (83,700) | ||||||
Balances (in shares), period end at Dec. 31, 2015 | 73,204,464 | |||||||
Balances, period end at Dec. 31, 2015 | 733,945 | $ 7 | 805,804 | 643 | (72,509) | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Proceeds from issuance of common stock (in shares) | 3,960,475 | |||||||
Proceeds from issuance of common stock | $ 34,357 | $ 1 | 34,356 | |||||
Repurchase of common stock (in shares) | (446,517) | |||||||
Repurchase of common stock | $ (20,009) | (20,009) | ||||||
Stock-based compensation expense | 185,712 | 185,712 | ||||||
Excess tax benefit from stock-based compensation | 1,342 | 1,342 | ||||||
Other comprehensive income, net | 950 | 950 | ||||||
Net income (loss) | (144,449) | (144,449) | ||||||
Balances (in shares), period end at Dec. 31, 2016 | 76,718,422 | |||||||
Balances, period end at Dec. 31, 2016 | $ 791,848 | $ 8 | $ 1,007,205 | $ 1,593 | $ (216,958) |
Consolidated Statement of Cash
Consolidated Statement of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Operating activities | |||
Net income (loss) | $ (144,449) | $ (83,700) | $ 5,873 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities | |||
Depreciation and amortization expense | 43,006 | 23,667 | 13,512 |
Stock-based compensation expense | 185,712 | 119,468 | 47,018 |
Excess tax benefit from stock-based compensation | (2,215) | (5,629) | (14,061) |
Deferred income taxes | 1,219 | 28,558 | (899) |
Changes in operating assets and liabilities | |||
Accounts receivable, net | (78,197) | (34,225) | (41,015) |
Prepaid expenses, deposits and other assets | (18,987) | (13,783) | (6,950) |
Income taxes receivable | (56) | 147 | 1,816 |
Deferred revenue | 116,860 | 71,383 | 62,752 |
Accounts payable and accrued liabilities | 71,157 | 30,224 | 21,181 |
Income taxes payable | 997 | 664 | 224 |
Net cash provided by operating activities | 175,047 | 136,774 | 89,451 |
Investing activities | |||
Purchases of property and equipment | (60,732) | (45,130) | (36,748) |
Sales of property and equipment | 0 | 0 | 1,694 |
Business combination | 16,399 | 1,000 | 0 |
Net cash used in investing activities | (77,131) | (46,130) | (35,054) |
Financing activities | |||
Proceeds from public offering, net of underwriters' discount and offering costs | 0 | 0 | 344,077 |
Proceeds from issuance of common stock | 34,356 | 20,117 | 16,151 |
Repurchases of common stock | (20,009) | 0 | 0 |
Excess tax benefit from stock-based compensation | 2,215 | 5,629 | 14,061 |
Net cash provided by financing activities | 16,562 | 25,746 | 374,289 |
Effect of exchange rate changes on cash and cash equivalents | (1,661) | (1,103) | (747) |
Net increase in cash and cash equivalents | 112,817 | 115,287 | 427,939 |
Cash and cash equivalents | |||
Beginning of year | 795,900 | 680,613 | 252,674 |
End of year | 908,717 | 795,900 | 680,613 |
Supplemental disclosures | |||
Cash paid for income taxes | 1,513 | 959 | 569 |
Cash paid for interest | 15 | 8 | 19 |
Non-cash activities | |||
Accrued purchases of property and equipment | 26,548 | 10,012 | 4,776 |
Asset retirement obligations recognized, net | 745 | 271 | 667 |
Property and equipment acquired under build-to-suit lease | 0 | 0 | 11,600 |
Property and equipment sold in sale-leaseback transaction | $ 0 | $ 0 | $ 11,600 |
Description of Business
Description of Business | 12 Months Ended |
Dec. 31, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Description of Business | Description of Business Tableau Software, Inc., a Delaware corporation, and its wholly-owned subsidiaries (the "Company", "we", "us" or "our") are headquartered in Seattle, Washington. Our software products put the power of data into the hands of everyday people, allowing a broad population of business users to engage with their data, ask questions, solve problems and create value. Based on innovative core technologies originally developed at Stanford University, our products dramatically reduce the complexity, inflexibility and expense associated with traditional business intelligence applications. We currently offer five key products; Tableau Desktop, a self-service, powerful analytics product for anyone with data; Tableau Server, a business intelligence platform for organizations; Tableau Online, a hosted software-as-a-service ("SaaS") version of Tableau Server; Tableau Public, a free cloud-based platform for analyzing and sharing public data; and Vizable, a free application used to easily analyze data on a tablet. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Accounting Principles The consolidated financial statements and accompanying notes were prepared in accordance with accounting principles generally accepted in the United States ("GAAP"). Principles of Consolidation The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation. Reclassifications In the Consolidated Balance Sheets, certain prior year amounts have been reclassified to conform to the current year presentation. Specifically, "Goodwill" was previously included in the line item "Deposits and other assets" and is now separately stated. There was no change to total assets as a result of the reclassification. Public Offering In March 2014, we closed a follow-on public offering, in which we sold 4,000,000 shares of our Class A common stock at a price to the public of $89.25 per share. The aggregate offering price for shares sold in the offering was approximately $344.1 million , net of underwriters' discounts and commissions, and offering expenses. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Our estimates include the useful lives of our property and equipment and other lease related assets and liabilities and the collectability of our accounts receivable. We also use estimates in stock-based compensation, income taxes, business combinations and accrued liabilities. Actual results could differ from those estimates. Foreign Currency The financial statements of our foreign subsidiaries with a functional currency other than U.S. dollars have been translated into U.S. dollars. Assets and liabilities of these subsidiaries are translated at the exchange rate in effect at each period-end. Income statement amounts are translated at the average rate of exchange prevailing during the period. Translation adjustments arising from the use of differing exchange rates from period to period are included in other comprehensive income (loss). Gains and losses on foreign currency transactions are included in income. Foreign currency transaction gain (loss) was $(0.6) million , $0.6 million and $0.6 million for the years ended December 31, 2016 , 2015 and 2014 , respectively. Risks and Uncertainties Inherent in our business are various risks and uncertainties, including our limited history of operating our business at its current scale and development of advanced technologies in a rapidly changing industry. These risks include our ability to manage our growth and our ability to attract new customers and expand sales to existing customers, as well as other risks and uncertainties. In the event that we do not successfully implement our business plan, certain assets may not be recoverable, certain liabilities may not be paid and investments in our capital stock may not be recoverable. Our success depends upon the acceptance of our technology, development of sales and distribution channels, and our ability to generate significant revenues from the sale of our technology. Segments We follow the authoritative literature that established annual and interim reporting standards for an enterprise's operating segments and related disclosures about its products and services, geographic regions and major customers. We operate our business as one operating segment. Our chief operating decision makers ("CODM") are our Chief Executive Officer and Chief Financial Officer, who review financial information presented on a consolidated basis for purposes of making operating decisions, assessing financial performance and allocating resources. Revenue Recognition We generate revenues primarily in the form of software license fees and related maintenance and services fees. Software license fees include fees from the sales of perpetual, term and subscription licenses. Maintenance and services fees primarily consist of fees for maintenance services (including support and unspecified upgrades and enhancements when and if they are available), training, and professional services that are not essential to the functionality of the software. We recognize revenues when all of the following conditions are met: • there is persuasive evidence of an arrangement; • the software or services have been delivered to the customer; • the amount of fees to be paid by the customer is fixed or determinable; and • the collection of the related fees is probable. We use click-through license agreements, signed agreements and purchase orders as evidence of an arrangement. We deliver all of our software electronically. Electronic delivery occurs when we provide the customer with access to the software and license key via a secure portal. We assess whether the fee is fixed or determinable at the outset of the arrangement. Our typical terms of payment are due 30 days from delivery. We assess collectability based on a number of factors such as collection history and creditworthiness of the customer. If we determine that collectability is not probable, revenue is deferred until collectability becomes probable, generally upon receipt of cash. Substantially all of our software licenses are sold in multiple-element arrangements that include maintenance services and may include professional services and training. Vendor specific objective evidence ("VSOE") of the fair value for software licenses is not available as our software licenses are never sold without maintenance; however, VSOE generally exists for all undelivered elements and any services that are not essential to the functionality of the delivered software. Therefore, we account for delivered software licenses under the residual method. Maintenance agreements consist of fees for providing software updates on a when and if available basis and technical support for software products ("post-contract support" or "PCS") for an initial term, generally one year. We have established VSOE of the fair value for maintenance on perpetual licenses based on stated substantive renewal rates or the price when sold on a standalone basis. Stated renewal rates are considered to be substantive if they are at least 15% of the actual price charged for the software license. VSOE of the fair value for standalone maintenance contracts is considered to have been established when a substantial majority of individual sales transactions within the previous 12 months falls within a reasonably narrow range, which we have defined to be plus or minus 15% of the median sales price of actual standalone sales transactions. License arrangements may include professional services and training. In determining whether professional services and training revenues should be accounted for separately from license revenues, we evaluate: • whether such services are considered essential to the functionality of the software using factors such as the nature of the software products; • whether they are ready for use by the customer upon receipt; • the nature of the services, which typically do not involve significant customization to or development of the underlying software code; • the availability of services from other vendors; • whether the timing of payments for license revenues coincides with performance of services; and • whether milestones or acceptance criteria exist that affect the realizability of the software license fee. To date, professional services have not been considered essential to the functionality of the software. The VSOE of the fair value of our professional services and training is based on the price for these same services when they are sold separately. Revenues related to professional services are billed on a time and materials basis and are recognized as the services are performed. Revenues related to training services are billed on a fixed fee basis and are recognized as the services are delivered. Payments received in advance of services performed are deferred and recognized when the related services are performed. When software is licensed for a specified term or on a subscription basis, fees for maintenance and support are generally bundled with the license fee over the entire term of the contract. In these cases, we do not have VSOE of the fair value for maintenance and support. Revenues related to term and subscription license fees are recognized ratably over the contract term beginning on the date the customer has access to the software license key and continuing through the end of the contract term. We do not offer refunds and therefore have not recorded any sales return allowance for any of the periods presented. Upon a periodic review of outstanding accounts receivable, amounts that are deemed to be uncollectable are written off against the allowance for doubtful accounts. We account for taxes collected from customers and remitted to governmental authorities on a net basis and exclude them from revenues. Cash and Cash Equivalents We consider all highly liquid investments purchased with an original or remaining maturity of three months or less at the date of purchase to be cash equivalents. Cash and cash equivalents are recorded at cost, which approximates fair value. We maintain cash and cash equivalent balances which exceed the insured limits by the Federal Deposit Insurance Corporation. Accounts Receivable Accounts receivable consist of amounts billed and currently due from customers. Our accounts receivable are subject to collection risk. Our gross accounts receivable is reduced for this risk by a provision for doubtful accounts. This provision is for estimated losses resulting from the inability of our customers to make required payments. It is an estimate and is regularly evaluated for adequacy by taking into consideration a combination of factors. We look at factors such as past collection experience, credit quality of the customer, age of the receivable balance, and current economic conditions. These factors are reviewed to determine whether a provision for doubtful accounts should be recorded to reduce the receivable balance to the amount believed to be collectible. Activity related to our provision for doubtful accounts was as follows: Year Ended December 31, 2016 2015 2014 (in thousands) Balance at the beginning of the period $ 888 $ 1,111 $ 805 Bad debt expense 750 250 747 Accounts written off (573 ) (473 ) (441 ) Balance at the end of the period $ 1,065 $ 888 $ 1,111 Property and Equipment Property and equipment are stated at cost, net of accumulated depreciation and amortization. Depreciation and amortization are calculated using the straight-line method over the estimated useful lives of the assets. The estimated useful lives range from approximately one to twelve years. Leasehold improvements are amortized over the shorter of the estimated useful life or the remaining lease term. When assets are retired or disposed of, the cost and accumulated depreciation are removed from the accounts, and any resulting gains or losses are included in results of operations. Maintenance and repairs that do not improve or extend the lives of the respective assets are charged to expense in the period incurred. Leases and Asset Retirement Obligations Leases are categorized at their inception as either operating or capital leases. Within some lease agreements, rent holidays and other incentives are included. Rent expense is recognized on a straight-line method, over the term of the agreement generally beginning once control of the space is achieved, without regard to deferred payment terms, such as rent holidays that defer the commencement date of required rent payments. Additionally, incentives received are treated as a reduction of expense over the term of the agreement. Leased buildings under build-to-suit lease arrangements are capitalized and included in property and equipment when we are involved in the construction of the structural improvements or take construction risk prior to the commencement of the lease. Upon completion of the construction under the build-to-suit leases, we assess whether those arrangements qualify for sales recognition under the sale-leaseback accounting guidance. Liabilities are established for the present value of estimated future costs to retire leasehold improvements at the termination or expiration of a lease. A corresponding asset is recorded in the period in which the obligation is incurred. Such assets are amortized over the estimated useful life of the asset, and the recorded liabilities are accreted to the future value of the estimated retirement costs. Impairment of Long-Lived Assets We evaluate the recoverability of long-lived assets in accordance with authoritative guidance on accounting for the impairment or disposal of long-lived assets. We evaluate long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying value of these assets may not be recoverable. Such impairment is recognized in the event the carrying value of such assets exceeds their fair value. If the carrying value of the net assets assigned exceeds the fair value of the assets, then the second step of the impairment test is performed in order to determine the implied fair value. No impairment of long-lived assets occurred in the periods presented. Software Development Costs Software development costs associated with the development of new products, enhancements of existing products and quality assurance activities consists of employee, consulting and other external personnel costs. The costs incurred internally from the research and development ("R&D") of computer software products are charged to expense until technological feasibility has been established for the product. Once technological feasibility is established, all software costs are capitalized until the product is available for release to customers. Judgment is required in determining when technological feasibility of a product is established. To date, we have determined that technological feasibility of software products is reached shortly before the products are released. Costs incurred after establishment of technological feasibility have not been material, and therefore, we have expensed all R&D costs as they were incurred. R&D expenses primarily consist of personnel related costs attributable to our R&D personnel and allocated overhead, which includes facilities related costs. We capitalize certain costs relating to software developed or modified solely to meet our internal requirements and for which there are no substantive plans to market the software. To date, we have not capitalized any such costs as these costs have not been material. Intangible Asset Costs Costs related to filing and pursuing patent and trademark applications are expensed as incurred, as recoverability of such expenditures is uncertain. These intangible asset-related legal costs are generally reported as a component of general and administrative expenses. Advertising Expenses We expense all advertising costs as incurred and classify such costs as sales and marketing expenses. Advertising expenses for the years ended December 31, 2016 , 2015 and 2014 were $21.7 million , $11.3 million and $7.6 million , respectively. Income Taxes Income taxes are accounted for under the asset and liability method in accordance with authoritative guidance for income taxes. Deferred income tax assets are recognized for deductible temporary differences, net operating loss carryforwards, and tax credit carryforwards if it is more likely than not that the tax benefits will be realized. We consider future taxable income, historical operating results, and ongoing prudent and feasible tax planning strategies in assessing the need for a valuation allowance. A valuation allowance is recorded to reduce our deferred income tax assets to the net amount that we believe is more likely than not to be realized. In the event we determine that we are able to realize our deferred income tax assets in excess of our net recorded amount, we would reduce the valuation allowance associated with the deferred income tax assets in the period the determination is made, which may result in a tax benefit in the statement of operations. Deferred income tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred income tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Our assumptions, judgments and estimates relative to the value of net deferred income taxes take into account predictions of the amount and category of future taxable income, such as income from operations or capital gains income. Actual operating results and the underlying amount and category of income in future years could render our current assumptions, judgments and estimates of recoverable net deferred income taxes inaccurate. Any of the assumptions, judgments and estimates mentioned above could cause our actual income tax obligations to differ from our estimates, thus materially impacting our financial position and results of operations. Concentrations of Credit Risk Financial instruments that potentially subject us to concentrations of credit risk consist primarily of cash and cash equivalents and accounts receivable. We extend credit to customers based upon an evaluation of the customer's financial condition and generally collateral is not required. As of December 31, 2016 and 2015 , no individual customer accounted for 10% or more of total accounts receivable. For the years ended December 31, 2016 , 2015 and 2014 , no individual customer represented 10% or more of our total revenues. Business Combinations As of the date of an acquisition, we recognize the identifiable assets acquired and liabilities assumed at fair value. Any excess of the consideration over the fair value of identifiable net assets is recorded as goodwill. Amounts that are not part of the consideration transferred are recognized separately from a business combination and are expensed as incurred. Intangible assets acquired are measured at their acquisition date fair value using valuation techniques that are subject to judgment. Goodwill and Intangible Assets Intangible assets with a finite life are typically amortized over their useful lives which range from three to five years. Goodwill is tested for impairment on an annual basis in the third quarter and more frequently if circumstances indicate that the carrying value may not be recoverable. As part of our goodwill impairment test, we first perform a qualitative assessment to determine whether it is more likely than not that the fair value of our reporting unit is less than its carrying amount. For purposes of this assessment, we consider the enterprise to be the reporting unit. If we determine it is more likely than not that the fair value of our reporting unit is less than its carrying amount, we will perform a two-step quantitative impairment test. The first step is to compare the fair value of our reporting unit to its carrying value. If step one indicates that an impairment may exist, the second step is performed to measure the amount impaired, if any. Impairment is recognized when the carrying amount of goodwill exceeds its fair value. We have not had any impairments of the goodwill balance. Stock-Based Compensation We record compensation expense for stock-based transactions including employee and non-employee stock option and restricted stock unit ("RSU") awards granted under our 2004 Equity Incentive Plan (the "2004 Plan") and our 2013 Equity Incentive Plan, as amended, (the "2013 Plan" and together with the 2004 Plan, the "Plans"). We also record compensation expense related to employee contributions made under our 2013 Employee Stock Purchase Plan ("2013 ESPP"). These contributions are used to purchase shares of our Class A common stock at a discount. Stock-based compensation expense is measured and recognized in the financial statements based on fair value. The fair value of each RSU award is determined based on the closing price of our Class A common stock as reported on the New York Stock Exchange on the date of grant. The fair value of each stock option award is determined at the date of grant by applying the Black-Scholes option pricing model. We also use the Black-Scholes option pricing model to determine the fair value of each common share issued under the 2013 ESPP. The fair value for 2013 ESPP grants is determined on the first day of each offering period. The Black-Scholes option pricing model utilizes the value of our underlying common stock at the measurement date, the expected or contractual term of the option or offering period, the expected volatility of our common stock, risk-free interest rates and expected dividend yield of our common stock. Prior to our IPO in May 2013, because our stock was not publicly traded we estimated the fair value of our common stock. Our board of directors considered numerous objective and subjective factors to determine the fair value of our common stock at each meeting at which awards were approved. The factors included, but were not limited to: (i) contemporaneous third-party valuations of our common stock; (ii) the prices, rights, preferences and privileges of our preferred stock that was then outstanding relative to those of our common stock; (iii) the lack of marketability of our common stock; (iv) our actual operating and financial results; (v) current business conditions and projections; and (vi) the likelihood of achieving a liquidity event, such as an IPO or merger or acquisition, given prevailing market conditions. After the completion of our IPO, our common stock has been valued by reference to the closing price of our Class A common stock as reported on the New York Stock Exchange. Measurement of stock-based compensation is subject to periodic adjustment as the underlying equity instruments vest. We recognize compensation expense for only the portion of awards expected to vest. Therefore, we apply an estimated forfeiture rate that was derived from historical employee termination behavior. If the actual number of forfeitures differs from the estimates, adjustments to stock-based compensation expense may be required in future periods. We compute the timing of excess tax benefits from the exercise of stock options and the vesting and settlement of RSUs under the "with-and-without" approach. Under this approach, we will not record an excess tax benefit until such time as a cash tax benefit is recognized. We include the impact of the excess tax benefits in the calculation of certain tax attributes such as the R&D tax credit and do not prepare separate computations considering the cascading impacts of the excess tax deduction. We compute the pool of excess tax benefits available to offset any future shortfalls in the tax benefits actually realized as a single pool for employees and non-employees. Fair Value Measurements We categorize assets and liabilities recorded at fair value on our consolidated balance sheets based upon the level of judgment associated with inputs used to measure their fair value. The levels of the fair value hierarchy are as follows: • Level 1—Inputs are unadjusted quoted prices in active markets for identical assets or liabilities. • Level 2—Inputs are quoted prices for similar assets and liabilities in active markets or quoted prices for identical or similar instruments in markets that are not active and model-derived valuations in which all significant inputs and significant value drivers are observable in active markets. • Level 3—Inputs are unobservable inputs based on our own assumptions and valuation techniques used to measure assets and liabilities at fair value. The inputs require significant management judgment or estimation. Our assessment of the significance of a particular input to the fair value measurement requires judgment and may affect the valuation of fair value assets and liabilities and their placement within the fair value hierarchy levels. We establish fair value of our assets and liabilities using the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date and using a fair value hierarchy based on the inputs used to measure fair value. The carrying amounts reported in the consolidated financial statements approximate the fair value for cash equivalents, accounts receivable, accounts payable, and accrued and other current liabilities, due to their short-term nature. Recently Adopted Accounting Pronouncements In August 2014, the FASB issued ASU 2014-15 related to status as a going concern. The new guidance explicitly requires that management assess an entity's ability to continue as a going concern and may require additional detailed disclosures. ASU 2014-15 is effective for the annual period ending after December 15, 2016 and for the annual periods and interim periods thereafter. We adopted this standard in the fourth quarter of 2016. The adoption did not have an impact on our consolidated financial statements. In April 2015, the FASB issued ASU 2015-05 related to a customer's accounting for fees paid in a cloud computing arrangement. The new guidance requires that management evaluate each cloud computing arrangement in order to determine whether it includes a software license that must be accounted for separately from hosted services. ASU 2015-05 applies the same guidance cloud service providers use to make this determination and also eliminates the existing requirement for customers to account for software licenses they acquire by analogizing to the guidance on leases. ASU 2015-05 is effective for annual periods, including interim periods within those annual periods, beginning after December 15, 2015 and provides the option of applying the guidance prospectively to all arrangements entered into or materially modified after the effective date or on a retrospective basis. We adopted this standard prospectively in the first quarter of 2016. The adoption did not have a significant impact on our consolidated financial statements. Recent Accounting Pronouncements Not yet Adopted In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2014-09 related to revenue recognition. Since the issuance of ASU 2014-09, the FASB has also issued ASU 2016-08, ASU 2016-10, ASU 2016-12 and ASU 2016-20, all of which clarify certain aspects of ASU 2014-09. The new standard will change the way we recognize revenue, including the identification of contractual performance obligations and the allocation of transaction price, to depict the transfer of promised goods or services to customers at the amount that reflects the consideration to which we expect to be entitled in exchange for those goods or services. ASU 2014-09 provides for retrospective or modified prospective methods of initial adoption and is effective for annual periods beginning after December 15, 2017 and interim periods within those annual periods. We are currently evaluating the method of adoption and do not plan to adopt this standard early. The new standard will impact the timing of revenue recognition related to our on-premises term license agreements. Under existing guidance we recognize revenue related to on-premises term license agreements ratably over the term of the licensing agreement. However, under the new standard we expect that revenue allocable to the license portion of the arrangement will be recognized upon delivery of the license. Maintenance revenue related to on-premises term license agreements will continue to be recognized ratably over the term of the licensing agreement. The new standard may also impact our determination of standalone selling prices which could impact the allocation of transaction price to each performance obligation, thereby impacting the timing of revenue recognition depending on when each performance obligation is recognized. The new standard will impact our internal control environment, including our financial statement disclosure controls, our business process controls and enhancements necessary to update our business systems. Our evaluation of the new standard will extend into future periods and we will update our disclosures, including the expected impacts of the new standard, as we progress towards the adoption date. In February 2016, the FASB issued ASU 2016-02 related to lease accounting. The new guidance will require lessees to recognize right-of-use assets and lease liabilities on the balance sheet for operating leases that do not meet the definition of a short-term lease. ASU 2016-02 is effective for annual periods, including interim periods within those annual periods, beginning after December 15, 2018 and requires modified retrospective transition. Early adoption is permitted. Under the new standard we anticipate that our current real estate leases will continue to be classified as operating leases and a significant amount of our currently outstanding operating lease commitments will be recorded to the balance sheet as a right-of-use asset and a corresponding lease liability. Our evaluation of the new standard will extend into future periods and we will update our disclosures, including the expected impacts of the new standard, as we progress towards the required adoption date. In March 2016, the FASB issued ASU 2016-09 related to stock-based compensation. The new guidance, which simplifies the accounting and presentation for share-based payments, provides for a number of amendments which impact the accounting for income taxes and the accounting for forfeitures. ASU 2016-09 is effective for annual periods, including interim periods within those annual periods, beginning after December 15, 2016 and requires varied adoption methods for each respective amendment. We will adopt this standard in the first quarter of 2017. We do not expect this standard to have a material impact on our consolidated financial statements as we anticipate that the majority of our previously unrecognized excess tax benefits, recognized upon adoption, will be offset by a corresponding increase to our U.S. federal and state deferred tax asset valuation allowance. Additionally, we plan to make the policy election to account for forfeitures as they occur; however, we do not anticipate that this change will have a material impact on our consolidated financial statements. In January 2017, the FASB issued ASU 2017-04, simplifying the accounting for goodwill impairment. The new guidance removes step two of the two-step quantitative goodwill impairment test, which requires a hypothetical purchase price allocation. ASU 2017-04 is effective for annual or any interim goodwill impairment tests in fiscal years beginning after December 15, 2019 and may be adopted early for any interim or annual goodwill impairment tests performed after January 1, 2017. We currently expect to adopt this standard in 2017 as part of our annual impairment testing performed in the third quarter. We do not believe that this standard will have a material impact on our consolidated financial statements. |
Balance Sheet Detail
Balance Sheet Detail | 12 Months Ended |
Dec. 31, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Balance Sheet Detail | Balance Sheet Detail Property and Equipment, Net Property and equipment, net consisted of the following: Useful Life December 31, (in months) 2016 2015 (in thousands) Computer equipment and software 36 $ 92,536 $ 73,052 Furniture and fixtures 36 18,953 14,602 Leasehold improvements 10-150 37,308 26,656 Construction in progress 35,099 7,140 183,896 121,450 Less: Accumulated depreciation and amortization (77,259 ) (49,100 ) $ 106,637 $ 72,350 Depreciation and amortization expense was $43.0 million , $23.7 million and $13.5 million for the years ended December 31, 2016 , 2015 and 2014 , respectively. Goodwill The only change in the carrying amount of goodwill during the year ended December 31, 2016 was an increase of $14.6 million related to our acquisition of HyPer (Note 5). Accrued Compensation and Employee Related Benefits Accrued compensation and employee related benefits consisted of the following: December 31, 2016 2015 (in thousands) Accrued commissions $ 24,801 $ 17,518 Accrued bonuses 19,080 16,882 Accrued vacation 13,003 10,425 Other 13,346 8,178 Total $ 70,230 $ 53,003 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The components of our income (loss) before income tax expense consisted of the following: Year Ended December 31, 2016 2015 2014 (in thousands) United States $ (100,725 ) $ (27,779 ) $ 6,217 International (36,702 ) (23,028 ) 965 Total $ (137,427 ) $ (50,807 ) $ 7,182 Income tax expense consisted of the following: Year Ended December 31, 2016 2015 2014 (in thousands) United States $ 2,147 $ 28,630 $ (937 ) International 4,875 4,263 2,246 Total $ 7,022 $ 32,893 $ 1,309 The provision (benefit) for income taxes consisted of the following: Year Ended December 31, 2016 2015 2014 (in thousands) Current Federal $ 1,447 $ 4,009 $ 11,057 State 402 771 2,359 Foreign 5,230 5,240 2,802 Total current income tax expense 7,079 10,020 16,218 Deferred Federal 258 22,011 (12,970 ) State 40 1,839 (1,383 ) Foreign (355 ) (977 ) (556 ) Total deferred income tax expense (benefit) (57 ) 22,873 (14,909 ) Total income tax expense $ 7,022 $ 32,893 $ 1,309 A reconciliation of the U.S. federal statutory income tax provision (benefit) to the effective income tax expense for each year follows: Year Ended December 31, 2016 2015 2014 (in thousands) Income tax provision (benefit) at statutory rate $ (48,098 ) $ (17,783 ) $ 2,514 State taxes, net of federal tax benefit (3,466 ) (896 ) 207 Impact of foreign income taxes 14,566 10,582 1,340 Research and development and other tax credits (8,462 ) (10,187 ) (6,499 ) Non-deductible stock-based compensation 5,098 3,174 2,929 Non-deductible meals and entertainment 1,212 1,395 832 Impact of valuation allowance 46,174 46,737 — Other, net (2 ) (129 ) (14 ) Total income tax expense $ 7,022 $ 32,893 $ 1,309 Our effective tax rate differs from the U.S. federal statutory rate primarily due to the impact of the valuation allowance on our U.S. federal and state deferred income tax assets and losses in jurisdictions where a tax benefit is not available. The difference between the impact of valuation allowance on income tax expense as compared to the U.S. federal statutory rate in 2016 and the change in the deferred tax asset valuation allowance, recorded in 2016, is related to shortfalls, incurred upon the settlement of stock-based compensation awards during the period. The tax effects of temporary differences and carryforwards that gave rise to deferred income tax assets and liabilities consisted of the following: December 31, 2016 2015 (in thousands) Deferred income tax assets Tax credit carryforwards $ 17,904 $ 9,704 Stock-based compensation 18,589 21,924 Accrued compensation 14,268 11,819 Deferred revenue 3,728 2,425 Deferred rent 9,037 3,589 Depreciation and amortization 5,234 2,018 Other 304 553 Total deferred income tax assets 69,064 52,032 Deferred income tax liabilities Prepaid assets 4,231 3,757 Total deferred income tax liabilities 4,231 3,757 Net deferred income tax assets before valuation allowance 64,833 48,275 Less: Valuation allowance (63,384 ) (46,737 ) Net deferred income tax assets $ 1,449 $ 1,538 Reported As: Deferred income taxes 1,449 1,544 Other long-term liabilities — (6 ) Net deferred income tax assets $ 1,449 $ 1,538 We determine our deferred income tax assets and liabilities based on differences between the financial reporting and tax basis of assets and liabilities using the enacted tax rates and laws that will be in effect when we expect the differences to reverse . We regularly assess the need for a valuation allowance against our deferred income tax assets by considering both positive and negative evidence related to whether it is more likely than not that our deferred income tax assets will be realized. A valuation allowance is recorded when it is more likely than not that all or some portion of the deferred income tax assets will not be realized. In evaluating our ability to recover our deferred income tax assets within the jurisdiction from which they arise, we consider all available positive and negative evidence, including scheduled reversals of deferred income tax liabilities, projected future taxable income, tax-planning strategies, and results of recent operations. In 2015, a valuation allowance of $46.7 million was established for our U.S. federal and state deferred income tax assets, in part due to our current three-year cumulative GAAP net loss adjusted for permanent tax differences, which is a significant piece of negative evidence for recording the valuation allowance. In 2016 , we determined our U.S. federal and state deferred income tax assets continue to be currently not more likely than not to be realized; therefore, we increased the valuation allowance to $63.4 million as of December 31, 2016 . Net operating loss ("NOL") carryforwards created by excess tax benefits from the exercise of stock options or the vesting of RSUs are not recorded as deferred income tax assets. To the extent such NOL carryforwards are utilized, the benefit realized will increase stockholders' equity. At December 31, 2016 , for income tax return purposes we have gross NOL carryforwards totaling $713.6 million and tax credit carryforwards of $47.8 million , the majority of which relates to the U.S. These carryforwards may be subject to limitations under the Internal Revenue Code and other applicable tax laws. If not utilized, a portion of the carryforwards will begin to expire in 2025. We are subject to income taxes in the United States and in numerous foreign jurisdictions. The statute of limitations for adjustments to our historic tax obligations will vary from jurisdiction to jurisdiction. Furthermore, net operating loss and tax credit carryforwards may be subject to adjustment after the expiration of the statute of limitations of the year such net operating losses and tax credits originated. In general, the tax years for U.S. federal and state income tax purposes open for examination are for 2005 and forward due to our net operating loss carryforwards. Income tax expense includes both U.S. and international income taxes. Except as required under U.S. tax law, we do not provide for U.S. income taxes on our undistributed earnings of foreign subsidiaries that have not been previously taxed, because we intend to invest such undistributed earnings indefinitely outside of the U.S. If our intent changes or if these funds are needed for our U.S. operations, we would be required to accrue or pay U.S. taxes on some or all of these undistributed earnings. As of December 31, 2016 , cash held by foreign subsidiaries was $23.6 million . Currently, we have no undistributed earnings of foreign subsidiaries permanently reinvested outside of the U.S. We have reserves for taxes to address potential exposures involving tax positions that we believe could be challenged by taxing authorities even though we believe the positions we have taken are appropriate. We believe our tax reserves are adequate to cover potential liabilities. We review the tax reserves as circumstances warrant and adjust the reserves as events occur that affect our potential liability for additional taxes. It is often difficult to predict the final outcome or timing of resolution of any particular tax matter. Various events, some of which cannot be predicted, such as clarification of tax law by administrative or judicial means, may occur and would require us to increase or decrease our reserves and effective income tax rate. The total gross amount of unrecognized tax benefits was $12.9 million , $10.8 million and $7.1 million as of December 31, 2016 , 2015 and 2014 , respectively. Of the total gross amount of unrecognized tax benefits, the portion recorded to liabilities pertaining to uncertain tax positions was $0.7 million , $0.7 million and $0.2 million as of December 31, 2016 , 2015 and 2014 , respectively. Our increase in unrecognized tax benefits relates primarily to the R&D tax credits generated in the current year which are recorded net of the corresponding deferred tax asset. These amounts represent the gross amount of exposure in individual jurisdictions and do not reflect any additional benefits expected to be realized if such positions were not sustained. To the extent that any uncertain tax positions are resolved in our favor, it may have a positive impact on our effective income tax rate. We do not expect any material decrease on our unrecognized tax position within the next twelve months. The following table shows the gross changes in our unrecognized tax position. Year Ended December 31, 2016 2015 2014 (in thousands) Balance, beginning of period $ 10,781 $ 7,116 $ 3,441 Gross increases to tax positions related to prior periods 28 545 — Gross increases related to current tax positions 2,100 3,120 3,675 Balance, end of period $ 12,909 $ 10,781 $ 7,116 Interest or penalties, if incurred, would be recognized as a component of income tax expense. No penalties or interest were recognized or accrued for at December 31, 2016 , 2015 and 2014 . On July 27, 2015, the U.S. Tax Court issued an opinion related to litigation in Altera Corp v. Commissioner. This litigation relates to the treatment of stock-based compensation expense in an inter-company cost-sharing arrangement with one of Altera's foreign subsidiaries. In its opinion, the U.S. Tax Court invalidated the portion of the Treasury regulations requiring the inclusion of stock-based compensation expense in such inter-company cost-sharing arrangements. The final resolution of this litigation remains uncertain as the Internal Revenue Service ("IRS") could appeal the U.S. Tax Court's decision. Therefore, for the year ended December 31, 2016 , we have not recorded any potentially favorable benefit related to the current or prior periods. We will continue to monitor developments related to this case and the potential impact of those developments on our current and future financial statements. |
Business Combinations
Business Combinations | 12 Months Ended |
Dec. 31, 2016 | |
Business Combinations [Abstract] | |
Business Combinations | Business Combinations On March 1, 2016, we acquired HyPer, a high-performance main-memory database system, for $16.4 million in cash. Through this acquisition, we acquired new technology, capable of enhancing our key products, and additional engineering talent. We have accounted for this transaction as a business combination, and allocated $1.8 million to the acquired technology intangible asset. The remaining purchase price was recorded to goodwill which is primarily attributable to the synergies between HyPer and our key products. No other assets or liabilities were identified as part of the acquisition. A portion of the goodwill balance associated with this transaction is deductible for U.S. income tax purposes. Pro forma results of operations for this acquisition have not been presented as the effects were not material to our consolidated financial results. Certain employees hired in conjunction with the acquisition receive restricted stock units ("RSUs"). These awards are subject to service conditions, and certain awards are also subject to the completion of a technology milestone. We will account for these awards as a post-business combination expense. |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Dec. 31, 2016 | |
Equity [Abstract] | |
Stockholders' Equity | Stockholders' Equity Common Stock Our certificate of incorporation, as amended and restated, authorizes us to issue 75,000,000 shares of Class B common stock, at $0.0001 par value per share, and 750,000,000 shares of Class A common stock, at $0.0001 par value per share. The rights of the holders of Class A and Class B common stock are identical, except with respect to voting and conversion. Each holder of Class B common stock is entitled to ten votes per share and each holder of Class A common stock is entitled to one vote per share. Shares of Class B common stock may be converted into Class A common stock at any time at the option of the stockholder, and are automatically converted upon sale or transfer, to Class A common stock, subject to certain limited exceptions. At its discretion, the board of directors may declare dividends on shares of common stock, subject to the rights of our preferred stockholders, if any. Upon liquidation or dissolution, holders of common stock will receive distributions only after preferred stock preferences have been satisfied. Preferred Stock Our certificate of incorporation, as amended and restated, authorizes us to issue 10,000,000 shares of preferred stock at $0.0001 par value per share. Our board of directors has the authority to provide for the issuance of all the shares in one or more series. At its discretion, our board of directors may designate the voting rights and preferences of the preferred stock. As of December 31, 2016 and 2015 , no shares of preferred stock were outstanding. Stock Repurchase Program On November 1, 2016, we announced that our board of directors approved a stock repurchase program, under which we may repurchase up to $200 million of our outstanding Class A common stock. The repurchase program has no expiration date and may be modified, suspended or discontinued at any time. Repurchases under the program are made from time to time on the open market at prevailing market prices, in privately negotiated transactions, in transactions structured through investment banking institutions or a combination of the foregoing, in compliance with Rule 10b-18 under the Securities Exchange Act of 1934, as amended, as determined by management at its discretion and subject to market conditions, applicable legal requirements and other relevant factors. During the fourth quarter of 2016, we repurchased 446,517 shares of our outstanding Class A common stock at an average price of $44.81 per share for $20.0 million . All repurchases were made in open market transactions using cash on hand and all of the shares repurchased were retired. As of December 31, 2016, we were authorized to repurchase a remaining $180.0 million of our Class A common stock under our repurchase program. |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Dec. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-Based Compensation | Stock-Based Compensation Our 2004 Plan authorized the granting of options to purchase shares of our Class B common stock, RSUs and other stock-based awards to our employees, consultants, officers and directors. In December 2012, we modified the 2004 Plan to increase the number of shares of Class B common stock authorized thereunder to 26,473,282 . Our 2013 Plan, which was the successor to our 2004 Plan, authorizes the granting of options to purchase shares of our Class A common stock, RSUs and other stock-based awards to our employees, consultants, officers and directors. Options granted under the Plans may be incentive or nonstatutory stock options. Incentive stock options may only be granted to employees. The term of each option is stated in the award agreement, but shall be no more than ten years from the date of grant. The board of directors determines the period over which options and RSUs become vested. Currently, the vesting period for our options and RSUs is typically four years. Our 2013 ESPP allows eligible employees to purchase shares of our Class A common stock at a discount through payroll deductions of up to 15% of their eligible compensation, subject to plan limitations. The 2013 ESPP currently includes purchase periods approximately six months in duration starting on the first trading date on or after June 1 st and December 1 st of each year. Participants are able to purchase shares of our common stock at 85% of the lower of its fair market value on (i) the first day of the purchase period or on (ii) the purchase date, which is the last day of the purchase period. A summary of the option activity during the year ended December 31, 2016 is presented below: Options Outstanding Shares Weighted Average Exercise Price Per Share Weighted-Average Remaining Contractual Term Aggregate Intrinsic Value (in years) (in thousands) Balances at December 31, 2015 5,953,771 $ 8.92 Options granted 75,000 54.87 Options exercised (1,448,728 ) 8.24 Options canceled (422 ) 55.88 Options forfeited (93,205 ) 23.56 Balances at December 31, 2016 4,486,416 $ 9.59 5.18 $ 147,535 Vested and expected to vest at December 31, 2016 4,486,401 $ 9.59 5.18 $ 147,535 Exercisable at December 31, 2016 4,355,601 $ 8.59 5.09 $ 146,599 The stock options are exercisable at a price equal to the market value of the underlying shares of common stock on the date of the grant. For periods prior to the IPO this value was determined by our board of directors. After the IPO, this value was determined by reference to the closing price of our Class A common stock on the New York Stock Exchange on the date of the grant. The total intrinsic value of options exercised during 2016 , 2015 and 2014 was $63.3 million , $224.6 million and $258.0 million , respectively. The total grant date fair value of options vested during 2016 , 2015 and 2014 was $7.8 million , $11.7 million and $15.0 million , respectively. The intrinsic value is the difference between the current fair value of the stock and the exercise price of the stock option. The following provides a summary of the RSU activity during the year ended December 31, 2016 : Number of Shares Underlying Outstanding RSUs Weighted-Average Grant-Date Fair Value per RSU Non-Vested outstanding at December 31, 2015 5,406,077 $ 93.61 RSUs granted 4,351,657 44.61 RSUs vested (1,962,420 ) 92.52 RSUs forfeited (654,020 ) 72.33 Non-Vested outstanding at December 31, 2016 7,141,294 $ 65.62 An RSU award entitles the holder to receive shares of our Class A common stock as the award vests, which is generally based on length of service. Our non-vested RSUs do not have nonforfeitable rights to dividends or dividend equivalents. For awards subject to technology milestones, we will recognize compensation cost over the required service period if it is probable that the technology milestone will be met. If our assessment of the probability of the technology milestone being met changes, we will recognize the impact of the change in estimate in the period of the change. The weighted-average grant date fair value of RSUs granted in 2016 , 2015 and 2014 was $44.61 , $101.52 and $80.05 , respectively. The total intrinsic value of RSUs vested during 2016 , 2015 and 2014 was $92.5 million , $89.1 million and $12.0 million , respectively. Stock-based compensation expense is amortized using the straight-line method over the requisite service period. As of December 31, 2016 , total unrecognized compensation expense, adjusted for estimated forfeitures, related to stock options and non-vested RSUs was $469.6 million which is expected to be recognized over a period of 2.5 years . The summary of shares available for issuance for equity based awards (including stock options and RSUs) is as follows: Shares Available for Grant 2013 Plan 2013 ESPP Balances at December 31, 2015 6,361,749 3,320,668 Authorized 3,660,223 732,044 Granted (4,426,657 ) (549,327 ) Canceled 422 — Forfeited 747,225 — Balances at December 31, 2016 6,342,962 3,503,385 Pursuant to the provisions of our 2013 Plan, the number of shares authorized for issuance increases annually on January 1 st by the lesser of 5% of the total number of shares of our capital stock outstanding on December 31 st of the preceding calendar year or an amount determined by our board of directors. Pursuant to the provisions of our 2013 ESPP, the number of shares authorized for issuance increases annually on January 1 st by the lesser of 1% of the total number of shares of our capital stock outstanding on December 31 st of the preceding calendar year, 4,000,000 shares of Class A common stock, or an amount determined by our board of directors. There are no shares available for grant under our 2004 plan. Valuation Assumptions Stock-based awards granted to our employees, consultants, officers and directors, are measured based on the grant date fair value of the awards. The weighted average grant date fair value of stock options granted for the year ended December 31, 2016 was $23.73 . For the years ended December 31, 2015 and 2014 , there were no options granted. For the year ended December 31, 2016 , the fair value of options was estimated using the Black-Scholes option pricing model with the following assumptions: Year Ended December 31, 2016 Risk-free interest rates 1.2% Expected term 5.2 years Expected dividends None Expected volatility 48.0% There were 549,327 Class A common stock shares issued under the 2013 ESPP for the year ended December 31, 2016 . For the years ended December 31, 2015 and 2014 , there were no Class A common stock shares issued under the 2013 ESPP. The first offering period under the 2013 ESPP commenced on December 1, 2015. For the years ended December 31, 2016 and 2015 , the fair value of common share purchase rights under the 2013 ESPP was estimated using the Black-Scholes option pricing model with the following assumptions: Year Ended December 31, 2016 2015 Risk-free interest rates 0.5% - 0.6% 0.4% Expected term 0.5 years 0.5 years Expected dividends None None Expected volatility 42.0% - 50.1% 48.0% The weighted-average, risk-free interest rates are based on the rates for a U.S. Treasury zero coupon issue with a term that approximates the expected life of the award at the date closest to the grant date for stock options and to the first date of the purchase period for shares expected to be issued under our 2013 ESPP. The expected term represents the period that our stock-based awards are expected to be outstanding. For awards of stock options, the expected term assumptions were determined based on actual experience adjusted for expected employee exercise behavior. The expected term for shares expected to be issued under our 2013 ESPP is based on the duration of each purchase period, which is approximately six months. We have not paid and do not expect to pay dividends. We estimate expected future volatility based on the annualized daily historical volatility of our stock price. The estimation of stock awards that will ultimately vest requires judgment, and to the extent actual results or updated estimates differ from our current estimates, such amounts will be recorded as a cumulative adjustment in the period the estimates are revised. We consider many factors when estimating expected forfeitures, including the types of awards, employee class and historical experience. Forfeitures were estimated at the time of grant and revised if necessary in subsequent periods if actual forfeitures differed from those estimates. Actual results, and future changes in estimates, may differ substantially from our current estimates. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Operating Lease Commitments We conduct our operations in leased facilities under leases expiring at various dates through 2029 . We recognize rent expense on a straight-line basis over the defined lease periods. Total rent expense under operating leases, net of sublease income, was approximately $44.1 million , $18.3 million and $7.2 million for the years ended December 31, 2016 , 2015 and 2014 , respectively. Future minimum lease payments under non-cancellable operating leases, net of future minimum lease payments to be received under non-cancellable subleases, as of December 31, 2016 are as follows (in thousands): Year Ending December 31, 2017 $ 35,851 2018 42,663 2019 45,352 2020 43,969 2021 43,239 Thereafter 214,211 Total minimum lease payments $ 425,285 Liabilities for Loss on Lease Obligations and Related Exit Costs During the fourth quarter of 2016, we consolidated operations in some of our leased real estate properties and vacated certain leased office spaces. We recognized additional operating expenses of $13.9 million , of which $5.5 million was the result of the recognition of a cease-use loss. The remainder was recognized as additional depreciation expense attributable to adjustments to the useful lives of certain leasehold improvements. The expense during the year was allocated to operating expenses in accordance with our overhead allocation. A cease-use loss liability was recorded for the leased office spaces we vacated and was calculated as the present value of the total remaining lease payment obligation offset by estimated sublease rental income, adjusted for deferred items and estimated direct costs to obtain sublease rentals. Contractual Commitments Our contractual commitments are associated with agreements that are enforceable and legally binding and that specify all significant terms, including fixed or minimum services to be used, fixed, minimum or variable price provisions, and the approximate timing of the transaction. Obligations under contracts that we can cancel without a significant penalty are not included. As of December 31, 2016 , our contractual commitments were $6.3 million . Legal Proceedings We are subject to certain routine legal proceedings, as well as demands and claims that arise in the normal course of our business. We make a provision for a liability relating to legal matters when it is both probable that a liability has been incurred and the amount of the loss can be reasonably estimated. These provisions are reviewed and adjusted to reflect the impacts of negotiations, estimated settlements, legal rulings, advice of legal counsel and other information and events pertaining to a particular matter. We are not aware of any pending legal proceedings that we believe, individually or in the aggregate, would be expected to have a material adverse effect on our business, operating results, or financial condition. We may, in the future, be party to litigation arising in the ordinary course of business, including claims that we allegedly infringe upon third party intellectual property rights. Such claims, even if not meritorious, could result in the expenditure of significant financial and management resources. |
Retirement Plan
Retirement Plan | 12 Months Ended |
Dec. 31, 2016 | |
Compensation and Retirement Disclosure [Abstract] | |
Retirement Plan | Retirement Plan We offer a salary deferral 401(k) plan for our U.S. employees. The plan allows employees to contribute a percentage of their pretax earnings annually, subject to limitations imposed by the IRS. The plan also allows us to make matching contributions, subject to certain limitations. We contributed approximately $3.6 million , $2.8 million and $1.3 million for the years ended December 31, 2016 , 2015 and 2014 , respectively, to the 401(k) plan. |
Segments and Information about
Segments and Information about Revenues by Geographic Region | 12 Months Ended |
Dec. 31, 2016 | |
Segment Reporting [Abstract] | |
Segments and Information about Revenues by Geographic Area | Segments and Information about Revenues by Geographic Area The following table presents our revenues by geographic region of end users who purchased products or services for the periods presented below: Year Ended December 31, 2016 2015 2014 (in thousands) United States and Canada $ 586,494 $ 489,329 $ 318,835 International 240,449 164,258 93,781 Total revenues $ 826,943 $ 653,587 $ 412,616 Substantially all of our long-lived assets are located in the United States as of December 31, 2016 and 2015 . |
Net Income (Loss) Per Share
Net Income (Loss) Per Share | 12 Months Ended |
Dec. 31, 2016 | |
Earnings Per Share [Abstract] | |
Net Income (Loss) Per Share | Net Income (Loss) Per Share We calculate basic net income (loss) per share by dividing our net income (loss) for the period by the weighted average number of shares of common stock outstanding during the period. Diluted net income (loss) per share is computed giving effect to all potential common shares that were dilutive and outstanding during the period. For the years ended December 31, 2016 and 2015 , basic net loss per share is the same as diluted net loss per share as the inclusion of all potentially dilutive common shares outstanding is anti-dilutive when we are in a net loss position. The following table presents the computation of basic and diluted net income (loss) per share: Year Ended December 31, 2016 2015 2014 (in thousands, except per share data) Net income (loss) per share - basic Net income (loss) $ (144,449 ) $ (83,700 ) $ 5,873 Weighted average shares outstanding used to compute basic net income (loss) per share 75,162 71,701 67,591 Net income (loss) per share - basic $ (1.92 ) $ (1.17 ) $ 0.09 Net income (loss) per share - diluted Net income (loss) $ (144,449 ) $ (83,700 ) $ 5,873 Weighted average shares outstanding used to compute basic net income (loss) per share 75,162 71,701 67,591 Effect of potentially dilutive shares: Stock awards — — 6,728 Weighted average shares outstanding used to compute diluted net income (loss) per share 75,162 71,701 74,319 Net income (loss) per share - diluted $ (1.92 ) $ (1.17 ) $ 0.08 The following shares subject to outstanding awards were excluded from the computation of diluted net income (loss) per share for the periods presented as their effect would have been antidilutive: Year Ended December 31, 2016 2015 2014 (in thousands) Shares subject to outstanding common stock awards 12,017 11,510 1,967 |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements The following table presents the fair value of our financial assets using the fair value hierarchy: December 31, 2016 Description Level 1 Level 2 Level 3 Total (in thousands) Money market funds $ 872,161 $ — $ — $ 872,161 December 31, 2015 Description Level 1 Level 2 Level 3 Total (in thousands) Money market funds $ 736,806 $ — $ — $ 736,806 We did not have any investments in prime money market funds as of December 31, 2016 . We have no material financial assets or liabilities measured using Level 2 or Level 3 inputs. |
Quarterly Financial Information
Quarterly Financial Information (Unaudited) | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Information (Unaudited) | Quarterly Financial Information (Unaudited) The following table contains selected unaudited financial data for each quarter of 2016 and 2015 . The unaudited information should be read in conjunction with our financial statements and these notes to the consolidated financial statements. We believe that the following unaudited information reflects all normal recurring adjustments necessary for a fair presentation of the information for the periods presented. The operating results for any quarter are not necessarily indicative of results for any future period. Three Months Ended Dec 31, 2016 Sept 30, 2016 June 30, 2016 March 31, 2016 Dec 31, 2015 Sept 30, 2015 June 30, 2015 March 31, 2015 (in thousands, except per share amounts) Total revenues $ 250,653 $ 206,057 $ 198,535 $ 171,698 $ 202,750 $ 170,832 $ 149,860 $ 130,145 Gross profit 222,950 182,027 173,671 149,205 181,115 150,956 133,107 114,724 Net loss (21,088 ) (30,261 ) (47,522 ) (45,578 ) (41,321 ) (13,373 ) (18,979 ) (10,027 ) Net loss per share: Basic and diluted $ (0.28 ) $ (0.40 ) $ (0.64 ) $ (0.62 ) $ (0.57 ) $ (0.19 ) $ (0.27 ) $ (0.14 ) |
Summary of Significant Accoun21
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Accounting Principles | Accounting Principles The consolidated financial statements and accompanying notes were prepared in accordance with accounting principles generally accepted in the United States ("GAAP"). |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation. |
Reclassifications | Reclassifications In the Consolidated Balance Sheets, certain prior year amounts have been reclassified to conform to the current year presentation. Specifically, "Goodwill" was previously included in the line item "Deposits and other assets" and is now separately stated. There was no change to total assets as a result of the reclassification. |
Public Offerings | Public Offering In March 2014, we closed a follow-on public offering, in which we sold 4,000,000 shares of our Class A common stock at a price to the public of $89.25 per share. The aggregate offering price for shares sold in the offering was approximately $344.1 million , net of underwriters' discounts and commissions, and offering expenses. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Our estimates include the useful lives of our property and equipment and other lease related assets and liabilities and the collectability of our accounts receivable. We also use estimates in stock-based compensation, income taxes, business combinations and accrued liabilities. Actual results could differ from those estimates. |
Foreign Currency | Foreign Currency The financial statements of our foreign subsidiaries with a functional currency other than U.S. dollars have been translated into U.S. dollars. Assets and liabilities of these subsidiaries are translated at the exchange rate in effect at each period-end. Income statement amounts are translated at the average rate of exchange prevailing during the period. Translation adjustments arising from the use of differing exchange rates from period to period are included in other comprehensive income (loss). Gains and losses on foreign currency transactions are included in income. |
Risks and Uncertainties | Risks and Uncertainties Inherent in our business are various risks and uncertainties, including our limited history of operating our business at its current scale and development of advanced technologies in a rapidly changing industry. These risks include our ability to manage our growth and our ability to attract new customers and expand sales to existing customers, as well as other risks and uncertainties. In the event that we do not successfully implement our business plan, certain assets may not be recoverable, certain liabilities may not be paid and investments in our capital stock may not be recoverable. Our success depends upon the acceptance of our technology, development of sales and distribution channels, and our ability to generate significant revenues from the sale of our technology. |
Segments | Segments We follow the authoritative literature that established annual and interim reporting standards for an enterprise's operating segments and related disclosures about its products and services, geographic regions and major customers. We operate our business as one operating segment. Our chief operating decision makers ("CODM") are our Chief Executive Officer and Chief Financial Officer, who review financial information presented on a consolidated basis for purposes of making operating decisions, assessing financial performance and allocating resources. |
Revenue Recognition | Revenue Recognition We generate revenues primarily in the form of software license fees and related maintenance and services fees. Software license fees include fees from the sales of perpetual, term and subscription licenses. Maintenance and services fees primarily consist of fees for maintenance services (including support and unspecified upgrades and enhancements when and if they are available), training, and professional services that are not essential to the functionality of the software. We recognize revenues when all of the following conditions are met: • there is persuasive evidence of an arrangement; • the software or services have been delivered to the customer; • the amount of fees to be paid by the customer is fixed or determinable; and • the collection of the related fees is probable. We use click-through license agreements, signed agreements and purchase orders as evidence of an arrangement. We deliver all of our software electronically. Electronic delivery occurs when we provide the customer with access to the software and license key via a secure portal. We assess whether the fee is fixed or determinable at the outset of the arrangement. Our typical terms of payment are due 30 days from delivery. We assess collectability based on a number of factors such as collection history and creditworthiness of the customer. If we determine that collectability is not probable, revenue is deferred until collectability becomes probable, generally upon receipt of cash. Substantially all of our software licenses are sold in multiple-element arrangements that include maintenance services and may include professional services and training. Vendor specific objective evidence ("VSOE") of the fair value for software licenses is not available as our software licenses are never sold without maintenance; however, VSOE generally exists for all undelivered elements and any services that are not essential to the functionality of the delivered software. Therefore, we account for delivered software licenses under the residual method. Maintenance agreements consist of fees for providing software updates on a when and if available basis and technical support for software products ("post-contract support" or "PCS") for an initial term, generally one year. We have established VSOE of the fair value for maintenance on perpetual licenses based on stated substantive renewal rates or the price when sold on a standalone basis. Stated renewal rates are considered to be substantive if they are at least 15% of the actual price charged for the software license. VSOE of the fair value for standalone maintenance contracts is considered to have been established when a substantial majority of individual sales transactions within the previous 12 months falls within a reasonably narrow range, which we have defined to be plus or minus 15% of the median sales price of actual standalone sales transactions. License arrangements may include professional services and training. In determining whether professional services and training revenues should be accounted for separately from license revenues, we evaluate: • whether such services are considered essential to the functionality of the software using factors such as the nature of the software products; • whether they are ready for use by the customer upon receipt; • the nature of the services, which typically do not involve significant customization to or development of the underlying software code; • the availability of services from other vendors; • whether the timing of payments for license revenues coincides with performance of services; and • whether milestones or acceptance criteria exist that affect the realizability of the software license fee. To date, professional services have not been considered essential to the functionality of the software. The VSOE of the fair value of our professional services and training is based on the price for these same services when they are sold separately. Revenues related to professional services are billed on a time and materials basis and are recognized as the services are performed. Revenues related to training services are billed on a fixed fee basis and are recognized as the services are delivered. Payments received in advance of services performed are deferred and recognized when the related services are performed. When software is licensed for a specified term or on a subscription basis, fees for maintenance and support are generally bundled with the license fee over the entire term of the contract. In these cases, we do not have VSOE of the fair value for maintenance and support. Revenues related to term and subscription license fees are recognized ratably over the contract term beginning on the date the customer has access to the software license key and continuing through the end of the contract term. We do not offer refunds and therefore have not recorded any sales return allowance for any of the periods presented. Upon a periodic review of outstanding accounts receivable, amounts that are deemed to be uncollectable are written off against the allowance for doubtful accounts. We account for taxes collected from customers and remitted to governmental authorities on a net basis and exclude them from revenues. |
Cash and Cash Equivalents | Cash and Cash Equivalents We consider all highly liquid investments purchased with an original or remaining maturity of three months or less at the date of purchase to be cash equivalents. Cash and cash equivalents are recorded at cost, which approximates fair value. We maintain cash and cash equivalent balances which exceed the insured limits by the Federal Deposit Insurance Corporation. |
Accounts Receivable | Accounts Receivable Accounts receivable consist of amounts billed and currently due from customers. Our accounts receivable are subject to collection risk. Our gross accounts receivable is reduced for this risk by a provision for doubtful accounts. This provision is for estimated losses resulting from the inability of our customers to make required payments. It is an estimate and is regularly evaluated for adequacy by taking into consideration a combination of factors. We look at factors such as past collection experience, credit quality of the customer, age of the receivable balance, and current economic conditions. These factors are reviewed to determine whether a provision for doubtful accounts should be recorded to reduce the receivable balance to the amount believed to be collectible. |
Property and Equipment | Property and Equipment Property and equipment are stated at cost, net of accumulated depreciation and amortization. Depreciation and amortization are calculated using the straight-line method over the estimated useful lives of the assets. The estimated useful lives range from approximately one to twelve years. Leasehold improvements are amortized over the shorter of the estimated useful life or the remaining lease term. When assets are retired or disposed of, the cost and accumulated depreciation are removed from the accounts, and any resulting gains or losses are included in results of operations. Maintenance and repairs that do not improve or extend the lives of the respective assets are charged to expense in the period incurred. |
Leases and Asset Retirement Obligations | Leases and Asset Retirement Obligations Leases are categorized at their inception as either operating or capital leases. Within some lease agreements, rent holidays and other incentives are included. Rent expense is recognized on a straight-line method, over the term of the agreement generally beginning once control of the space is achieved, without regard to deferred payment terms, such as rent holidays that defer the commencement date of required rent payments. Additionally, incentives received are treated as a reduction of expense over the term of the agreement. Leased buildings under build-to-suit lease arrangements are capitalized and included in property and equipment when we are involved in the construction of the structural improvements or take construction risk prior to the commencement of the lease. Upon completion of the construction under the build-to-suit leases, we assess whether those arrangements qualify for sales recognition under the sale-leaseback accounting guidance. Liabilities are established for the present value of estimated future costs to retire leasehold improvements at the termination or expiration of a lease. A corresponding asset is recorded in the period in which the obligation is incurred. Such assets are amortized over the estimated useful life of the asset, and the recorded liabilities are accreted to the future value of the estimated retirement costs. |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets We evaluate the recoverability of long-lived assets in accordance with authoritative guidance on accounting for the impairment or disposal of long-lived assets. We evaluate long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying value of these assets may not be recoverable. Such impairment is recognized in the event the carrying value of such assets exceeds their fair value. If the carrying value of the net assets assigned exceeds the fair value of the assets, then the second step of the impairment test is performed in order to determine the implied fair value. No impairment of long-lived assets occurred in the periods presented. |
Software Development Costs | Software Development Costs Software development costs associated with the development of new products, enhancements of existing products and quality assurance activities consists of employee, consulting and other external personnel costs. The costs incurred internally from the research and development ("R&D") of computer software products are charged to expense until technological feasibility has been established for the product. Once technological feasibility is established, all software costs are capitalized until the product is available for release to customers. Judgment is required in determining when technological feasibility of a product is established. To date, we have determined that technological feasibility of software products is reached shortly before the products are released. Costs incurred after establishment of technological feasibility have not been material, and therefore, we have expensed all R&D costs as they were incurred. R&D expenses primarily consist of personnel related costs attributable to our R&D personnel and allocated overhead, which includes facilities related costs. We capitalize certain costs relating to software developed or modified solely to meet our internal requirements and for which there are no substantive plans to market the software. To date, we have not capitalized any such costs as these costs have not been material. |
Intangible Asset Costs | Intangible Asset Costs Costs related to filing and pursuing patent and trademark applications are expensed as incurred, as recoverability of such expenditures is uncertain. These intangible asset-related legal costs are generally reported as a component of general and administrative expenses. |
Advertising Expenses | Advertising Expenses We expense all advertising costs as incurred and classify such costs as sales and marketing expenses. |
Income Taxes | Income Taxes Income taxes are accounted for under the asset and liability method in accordance with authoritative guidance for income taxes. Deferred income tax assets are recognized for deductible temporary differences, net operating loss carryforwards, and tax credit carryforwards if it is more likely than not that the tax benefits will be realized. We consider future taxable income, historical operating results, and ongoing prudent and feasible tax planning strategies in assessing the need for a valuation allowance. A valuation allowance is recorded to reduce our deferred income tax assets to the net amount that we believe is more likely than not to be realized. In the event we determine that we are able to realize our deferred income tax assets in excess of our net recorded amount, we would reduce the valuation allowance associated with the deferred income tax assets in the period the determination is made, which may result in a tax benefit in the statement of operations. Deferred income tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred income tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Our assumptions, judgments and estimates relative to the value of net deferred income taxes take into account predictions of the amount and category of future taxable income, such as income from operations or capital gains income. Actual operating results and the underlying amount and category of income in future years could render our current assumptions, judgments and estimates of recoverable net deferred income taxes inaccurate. Any of the assumptions, judgments and estimates mentioned above could cause our actual income tax obligations to differ from our estimates, thus materially impacting our financial position and results of operations. |
Concentrations of Credit Risk | Concentrations of Credit Risk Financial instruments that potentially subject us to concentrations of credit risk consist primarily of cash and cash equivalents and accounts receivable. We extend credit to customers based upon an evaluation of the customer's financial condition and generally collateral is not required. |
Business Combinations | Business Combinations As of the date of an acquisition, we recognize the identifiable assets acquired and liabilities assumed at fair value. Any excess of the consideration over the fair value of identifiable net assets is recorded as goodwill. Amounts that are not part of the consideration transferred are recognized separately from a business combination and are expensed as incurred. Intangible assets acquired are measured at their acquisition date fair value using valuation techniques that are subject to judgment. |
Goodwill and Intangible Assets | Goodwill and Intangible Assets Intangible assets with a finite life are typically amortized over their useful lives which range from three to five years. Goodwill is tested for impairment on an annual basis in the third quarter and more frequently if circumstances indicate that the carrying value may not be recoverable. As part of our goodwill impairment test, we first perform a qualitative assessment to determine whether it is more likely than not that the fair value of our reporting unit is less than its carrying amount. For purposes of this assessment, we consider the enterprise to be the reporting unit. If we determine it is more likely than not that the fair value of our reporting unit is less than its carrying amount, we will perform a two-step quantitative impairment test. The first step is to compare the fair value of our reporting unit to its carrying value. If step one indicates that an impairment may exist, the second step is performed to measure the amount impaired, if any. Impairment is recognized when the carrying amount of goodwill exceeds its fair value. We have not had any impairments of the goodwill balance. |
Stock-Based Compensation | Stock-Based Compensation We record compensation expense for stock-based transactions including employee and non-employee stock option and restricted stock unit ("RSU") awards granted under our 2004 Equity Incentive Plan (the "2004 Plan") and our 2013 Equity Incentive Plan, as amended, (the "2013 Plan" and together with the 2004 Plan, the "Plans"). We also record compensation expense related to employee contributions made under our 2013 Employee Stock Purchase Plan ("2013 ESPP"). These contributions are used to purchase shares of our Class A common stock at a discount. Stock-based compensation expense is measured and recognized in the financial statements based on fair value. The fair value of each RSU award is determined based on the closing price of our Class A common stock as reported on the New York Stock Exchange on the date of grant. The fair value of each stock option award is determined at the date of grant by applying the Black-Scholes option pricing model. We also use the Black-Scholes option pricing model to determine the fair value of each common share issued under the 2013 ESPP. The fair value for 2013 ESPP grants is determined on the first day of each offering period. The Black-Scholes option pricing model utilizes the value of our underlying common stock at the measurement date, the expected or contractual term of the option or offering period, the expected volatility of our common stock, risk-free interest rates and expected dividend yield of our common stock. Prior to our IPO in May 2013, because our stock was not publicly traded we estimated the fair value of our common stock. Our board of directors considered numerous objective and subjective factors to determine the fair value of our common stock at each meeting at which awards were approved. The factors included, but were not limited to: (i) contemporaneous third-party valuations of our common stock; (ii) the prices, rights, preferences and privileges of our preferred stock that was then outstanding relative to those of our common stock; (iii) the lack of marketability of our common stock; (iv) our actual operating and financial results; (v) current business conditions and projections; and (vi) the likelihood of achieving a liquidity event, such as an IPO or merger or acquisition, given prevailing market conditions. After the completion of our IPO, our common stock has been valued by reference to the closing price of our Class A common stock as reported on the New York Stock Exchange. Measurement of stock-based compensation is subject to periodic adjustment as the underlying equity instruments vest. We recognize compensation expense for only the portion of awards expected to vest. Therefore, we apply an estimated forfeiture rate that was derived from historical employee termination behavior. If the actual number of forfeitures differs from the estimates, adjustments to stock-based compensation expense may be required in future periods. We compute the timing of excess tax benefits from the exercise of stock options and the vesting and settlement of RSUs under the "with-and-without" approach. Under this approach, we will not record an excess tax benefit until such time as a cash tax benefit is recognized. We include the impact of the excess tax benefits in the calculation of certain tax attributes such as the R&D tax credit and do not prepare separate computations considering the cascading impacts of the excess tax deduction. We compute the pool of excess tax benefits available to offset any future shortfalls in the tax benefits actually realized as a single pool for employees and non-employees. |
Fair Value Measurements | Fair Value Measurements We categorize assets and liabilities recorded at fair value on our consolidated balance sheets based upon the level of judgment associated with inputs used to measure their fair value. The levels of the fair value hierarchy are as follows: • Level 1—Inputs are unadjusted quoted prices in active markets for identical assets or liabilities. • Level 2—Inputs are quoted prices for similar assets and liabilities in active markets or quoted prices for identical or similar instruments in markets that are not active and model-derived valuations in which all significant inputs and significant value drivers are observable in active markets. • Level 3—Inputs are unobservable inputs based on our own assumptions and valuation techniques used to measure assets and liabilities at fair value. The inputs require significant management judgment or estimation. Our assessment of the significance of a particular input to the fair value measurement requires judgment and may affect the valuation of fair value assets and liabilities and their placement within the fair value hierarchy levels. We establish fair value of our assets and liabilities using the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date and using a fair value hierarchy based on the inputs used to measure fair value. The carrying amounts reported in the consolidated financial statements approximate the fair value for cash equivalents, accounts receivable, accounts payable, and accrued and other current liabilities, due to their short-term nature. |
Recently Adopted Accounting Pronouncements | Recently Adopted Accounting Pronouncements In August 2014, the FASB issued ASU 2014-15 related to status as a going concern. The new guidance explicitly requires that management assess an entity's ability to continue as a going concern and may require additional detailed disclosures. ASU 2014-15 is effective for the annual period ending after December 15, 2016 and for the annual periods and interim periods thereafter. We adopted this standard in the fourth quarter of 2016. The adoption did not have an impact on our consolidated financial statements. In April 2015, the FASB issued ASU 2015-05 related to a customer's accounting for fees paid in a cloud computing arrangement. The new guidance requires that management evaluate each cloud computing arrangement in order to determine whether it includes a software license that must be accounted for separately from hosted services. ASU 2015-05 applies the same guidance cloud service providers use to make this determination and also eliminates the existing requirement for customers to account for software licenses they acquire by analogizing to the guidance on leases. ASU 2015-05 is effective for annual periods, including interim periods within those annual periods, beginning after December 15, 2015 and provides the option of applying the guidance prospectively to all arrangements entered into or materially modified after the effective date or on a retrospective basis. We adopted this standard prospectively in the first quarter of 2016. The adoption did not have a significant impact on our consolidated financial statements. Recent Accounting Pronouncements Not yet Adopted In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2014-09 related to revenue recognition. Since the issuance of ASU 2014-09, the FASB has also issued ASU 2016-08, ASU 2016-10, ASU 2016-12 and ASU 2016-20, all of which clarify certain aspects of ASU 2014-09. The new standard will change the way we recognize revenue, including the identification of contractual performance obligations and the allocation of transaction price, to depict the transfer of promised goods or services to customers at the amount that reflects the consideration to which we expect to be entitled in exchange for those goods or services. ASU 2014-09 provides for retrospective or modified prospective methods of initial adoption and is effective for annual periods beginning after December 15, 2017 and interim periods within those annual periods. We are currently evaluating the method of adoption and do not plan to adopt this standard early. The new standard will impact the timing of revenue recognition related to our on-premises term license agreements. Under existing guidance we recognize revenue related to on-premises term license agreements ratably over the term of the licensing agreement. However, under the new standard we expect that revenue allocable to the license portion of the arrangement will be recognized upon delivery of the license. Maintenance revenue related to on-premises term license agreements will continue to be recognized ratably over the term of the licensing agreement. The new standard may also impact our determination of standalone selling prices which could impact the allocation of transaction price to each performance obligation, thereby impacting the timing of revenue recognition depending on when each performance obligation is recognized. The new standard will impact our internal control environment, including our financial statement disclosure controls, our business process controls and enhancements necessary to update our business systems. Our evaluation of the new standard will extend into future periods and we will update our disclosures, including the expected impacts of the new standard, as we progress towards the adoption date. In February 2016, the FASB issued ASU 2016-02 related to lease accounting. The new guidance will require lessees to recognize right-of-use assets and lease liabilities on the balance sheet for operating leases that do not meet the definition of a short-term lease. ASU 2016-02 is effective for annual periods, including interim periods within those annual periods, beginning after December 15, 2018 and requires modified retrospective transition. Early adoption is permitted. Under the new standard we anticipate that our current real estate leases will continue to be classified as operating leases and a significant amount of our currently outstanding operating lease commitments will be recorded to the balance sheet as a right-of-use asset and a corresponding lease liability. Our evaluation of the new standard will extend into future periods and we will update our disclosures, including the expected impacts of the new standard, as we progress towards the required adoption date. In March 2016, the FASB issued ASU 2016-09 related to stock-based compensation. The new guidance, which simplifies the accounting and presentation for share-based payments, provides for a number of amendments which impact the accounting for income taxes and the accounting for forfeitures. ASU 2016-09 is effective for annual periods, including interim periods within those annual periods, beginning after December 15, 2016 and requires varied adoption methods for each respective amendment. We will adopt this standard in the first quarter of 2017. We do not expect this standard to have a material impact on our consolidated financial statements as we anticipate that the majority of our previously unrecognized excess tax benefits, recognized upon adoption, will be offset by a corresponding increase to our U.S. federal and state deferred tax asset valuation allowance. Additionally, we plan to make the policy election to account for forfeitures as they occur; however, we do not anticipate that this change will have a material impact on our consolidated financial statements. In January 2017, the FASB issued ASU 2017-04, simplifying the accounting for goodwill impairment. The new guidance removes step two of the two-step quantitative goodwill impairment test, which requires a hypothetical purchase price allocation. ASU 2017-04 is effective for annual or any interim goodwill impairment tests in fiscal years beginning after December 15, 2019 and may be adopted early for any interim or annual goodwill impairment tests performed after January 1, 2017. We currently expect to adopt this standard in 2017 as part of our annual impairment testing performed in the third quarter. We do not believe that this standard will have a material impact on |
Summary of Significant Accoun22
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Activity Related to Provision for Doubtful Accounts | Activity related to our provision for doubtful accounts was as follows: Year Ended December 31, 2016 2015 2014 (in thousands) Balance at the beginning of the period $ 888 $ 1,111 $ 805 Bad debt expense 750 250 747 Accounts written off (573 ) (473 ) (441 ) Balance at the end of the period $ 1,065 $ 888 $ 1,111 |
Balance Sheet Detail (Tables)
Balance Sheet Detail (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Property and Equipment, Net | Property and equipment, net consisted of the following: Useful Life December 31, (in months) 2016 2015 (in thousands) Computer equipment and software 36 $ 92,536 $ 73,052 Furniture and fixtures 36 18,953 14,602 Leasehold improvements 10-150 37,308 26,656 Construction in progress 35,099 7,140 183,896 121,450 Less: Accumulated depreciation and amortization (77,259 ) (49,100 ) $ 106,637 $ 72,350 |
Accrued Compensation and Employee Related Benefits | Accrued compensation and employee related benefits consisted of the following: December 31, 2016 2015 (in thousands) Accrued commissions $ 24,801 $ 17,518 Accrued bonuses 19,080 16,882 Accrued vacation 13,003 10,425 Other 13,346 8,178 Total $ 70,230 $ 53,003 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Schedule of Income before Income Tax, Domestic and Foreign | The components of our income (loss) before income tax expense consisted of the following: Year Ended December 31, 2016 2015 2014 (in thousands) United States $ (100,725 ) $ (27,779 ) $ 6,217 International (36,702 ) (23,028 ) 965 Total $ (137,427 ) $ (50,807 ) $ 7,182 |
Schedule Of Income Tax Expense Benefit By Geographic Area Table | Income tax expense consisted of the following: Year Ended December 31, 2016 2015 2014 (in thousands) United States $ 2,147 $ 28,630 $ (937 ) International 4,875 4,263 2,246 Total $ 7,022 $ 32,893 $ 1,309 |
Schedule of Components of Income Tax Expense (Benefit) | The provision (benefit) for income taxes consisted of the following: Year Ended December 31, 2016 2015 2014 (in thousands) Current Federal $ 1,447 $ 4,009 $ 11,057 State 402 771 2,359 Foreign 5,230 5,240 2,802 Total current income tax expense 7,079 10,020 16,218 Deferred Federal 258 22,011 (12,970 ) State 40 1,839 (1,383 ) Foreign (355 ) (977 ) (556 ) Total deferred income tax expense (benefit) (57 ) 22,873 (14,909 ) Total income tax expense $ 7,022 $ 32,893 $ 1,309 |
Schedule of Effective Income Tax Rate Reconciliation | A reconciliation of the U.S. federal statutory income tax provision (benefit) to the effective income tax expense for each year follows: Year Ended December 31, 2016 2015 2014 (in thousands) Income tax provision (benefit) at statutory rate $ (48,098 ) $ (17,783 ) $ 2,514 State taxes, net of federal tax benefit (3,466 ) (896 ) 207 Impact of foreign income taxes 14,566 10,582 1,340 Research and development and other tax credits (8,462 ) (10,187 ) (6,499 ) Non-deductible stock-based compensation 5,098 3,174 2,929 Non-deductible meals and entertainment 1,212 1,395 832 Impact of valuation allowance 46,174 46,737 — Other, net (2 ) (129 ) (14 ) Total income tax expense $ 7,022 $ 32,893 $ 1,309 |
Schedule of Deferred Tax Assets and Liabilities | The tax effects of temporary differences and carryforwards that gave rise to deferred income tax assets and liabilities consisted of the following: December 31, 2016 2015 (in thousands) Deferred income tax assets Tax credit carryforwards $ 17,904 $ 9,704 Stock-based compensation 18,589 21,924 Accrued compensation 14,268 11,819 Deferred revenue 3,728 2,425 Deferred rent 9,037 3,589 Depreciation and amortization 5,234 2,018 Other 304 553 Total deferred income tax assets 69,064 52,032 Deferred income tax liabilities Prepaid assets 4,231 3,757 Total deferred income tax liabilities 4,231 3,757 Net deferred income tax assets before valuation allowance 64,833 48,275 Less: Valuation allowance (63,384 ) (46,737 ) Net deferred income tax assets $ 1,449 $ 1,538 Reported As: Deferred income taxes 1,449 1,544 Other long-term liabilities — (6 ) Net deferred income tax assets $ 1,449 $ 1,538 We determine our deferred income tax assets and liabilities based on differences between the financial reporting and tax basis of assets and liabilities using the enacted tax rates and laws that will be in effect when we expect the differences to reverse |
Schedule of Unrecognized Tax Benefits Roll Forward | The following table shows the gross changes in our unrecognized tax position. Year Ended December 31, 2016 2015 2014 (in thousands) Balance, beginning of period $ 10,781 $ 7,116 $ 3,441 Gross increases to tax positions related to prior periods 28 545 — Gross increases related to current tax positions 2,100 3,120 3,675 Balance, end of period $ 12,909 $ 10,781 $ 7,116 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Summary of Option Activity | A summary of the option activity during the year ended December 31, 2016 is presented below: Options Outstanding Shares Weighted Average Exercise Price Per Share Weighted-Average Remaining Contractual Term Aggregate Intrinsic Value (in years) (in thousands) Balances at December 31, 2015 5,953,771 $ 8.92 Options granted 75,000 54.87 Options exercised (1,448,728 ) 8.24 Options canceled (422 ) 55.88 Options forfeited (93,205 ) 23.56 Balances at December 31, 2016 4,486,416 $ 9.59 5.18 $ 147,535 Vested and expected to vest at December 31, 2016 4,486,401 $ 9.59 5.18 $ 147,535 Exercisable at December 31, 2016 4,355,601 $ 8.59 5.09 $ 146,599 |
Summary of RSU Activity | The following provides a summary of the RSU activity during the year ended December 31, 2016 : Number of Shares Underlying Outstanding RSUs Weighted-Average Grant-Date Fair Value per RSU Non-Vested outstanding at December 31, 2015 5,406,077 $ 93.61 RSUs granted 4,351,657 44.61 RSUs vested (1,962,420 ) 92.52 RSUs forfeited (654,020 ) 72.33 Non-Vested outstanding at December 31, 2016 7,141,294 $ 65.62 |
Schedule Of Equity Based Awards Available | The summary of shares available for issuance for equity based awards (including stock options and RSUs) is as follows: Shares Available for Grant 2013 Plan 2013 ESPP Balances at December 31, 2015 6,361,749 3,320,668 Authorized 3,660,223 732,044 Granted (4,426,657 ) (549,327 ) Canceled 422 — Forfeited 747,225 — Balances at December 31, 2016 6,342,962 3,503,385 |
Fair Value Assumptions - Options | For the year ended December 31, 2016 , the fair value of options was estimated using the Black-Scholes option pricing model with the following assumptions: Year Ended December 31, 2016 Risk-free interest rates 1.2% Expected term 5.2 years Expected dividends None Expected volatility 48.0% |
Fair Value Assumptions - ESPP | For the years ended December 31, 2016 and 2015 , the fair value of common share purchase rights under the 2013 ESPP was estimated using the Black-Scholes option pricing model with the following assumptions: Year Ended December 31, 2016 2015 Risk-free interest rates 0.5% - 0.6% 0.4% Expected term 0.5 years 0.5 years Expected dividends None None Expected volatility 42.0% - 50.1% 48.0% |
Commitments and Contigencies (T
Commitments and Contigencies (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Future Minimum Lease Payments | Future minimum lease payments under non-cancellable operating leases, net of future minimum lease payments to be received under non-cancellable subleases, as of December 31, 2016 are as follows (in thousands): Year Ending December 31, 2017 $ 35,851 2018 42,663 2019 45,352 2020 43,969 2021 43,239 Thereafter 214,211 Total minimum lease payments $ 425,285 |
Segments and Information abou27
Segments and Information about Revenues by Geographic Region (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Segment Reporting [Abstract] | |
Reconciliation of Revenue from Segments to Consolidated | The following table presents our revenues by geographic region of end users who purchased products or services for the periods presented below: Year Ended December 31, 2016 2015 2014 (in thousands) United States and Canada $ 586,494 $ 489,329 $ 318,835 International 240,449 164,258 93,781 Total revenues $ 826,943 $ 653,587 $ 412,616 |
Net Income (Loss) Per Share (Ta
Net Income (Loss) Per Share (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Earnings Per Share [Abstract] | |
Schedule of Computation of Earnings Per Share, Basic and Diluted | The following table presents the computation of basic and diluted net income (loss) per share: Year Ended December 31, 2016 2015 2014 (in thousands, except per share data) Net income (loss) per share - basic Net income (loss) $ (144,449 ) $ (83,700 ) $ 5,873 Weighted average shares outstanding used to compute basic net income (loss) per share 75,162 71,701 67,591 Net income (loss) per share - basic $ (1.92 ) $ (1.17 ) $ 0.09 Net income (loss) per share - diluted Net income (loss) $ (144,449 ) $ (83,700 ) $ 5,873 Weighted average shares outstanding used to compute basic net income (loss) per share 75,162 71,701 67,591 Effect of potentially dilutive shares: Stock awards — — 6,728 Weighted average shares outstanding used to compute diluted net income (loss) per share 75,162 71,701 74,319 Net income (loss) per share - diluted $ (1.92 ) $ (1.17 ) $ 0.08 |
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share | The following shares subject to outstanding awards were excluded from the computation of diluted net income (loss) per share for the periods presented as their effect would have been antidilutive: Year Ended December 31, 2016 2015 2014 (in thousands) Shares subject to outstanding common stock awards 12,017 11,510 1,967 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Assets | The following table presents the fair value of our financial assets using the fair value hierarchy: December 31, 2016 Description Level 1 Level 2 Level 3 Total (in thousands) Money market funds $ 872,161 $ — $ — $ 872,161 December 31, 2015 Description Level 1 Level 2 Level 3 Total (in thousands) Money market funds $ 736,806 $ — $ — $ 736,806 |
Quarterly Financial Informati30
Quarterly Financial Information (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of quarterly financial information | Three Months Ended Dec 31, 2016 Sept 30, 2016 June 30, 2016 March 31, 2016 Dec 31, 2015 Sept 30, 2015 June 30, 2015 March 31, 2015 (in thousands, except per share amounts) Total revenues $ 250,653 $ 206,057 $ 198,535 $ 171,698 $ 202,750 $ 170,832 $ 149,860 $ 130,145 Gross profit 222,950 182,027 173,671 149,205 181,115 150,956 133,107 114,724 Net loss (21,088 ) (30,261 ) (47,522 ) (45,578 ) (41,321 ) (13,373 ) (18,979 ) (10,027 ) Net loss per share: Basic and diluted $ (0.28 ) $ (0.40 ) $ (0.64 ) $ (0.62 ) $ (0.57 ) $ (0.19 ) $ (0.27 ) $ (0.14 ) |
Description of Business Narrati
Description of Business Narrative (Details) | Dec. 31, 2016product |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of products | 5 |
Summary of Significant Accoun32
Summary of Significant Accounting Policies (Details) | 1 Months Ended | 12 Months Ended | ||
Mar. 31, 2014USD ($)$ / sharesshares | Dec. 31, 2016USD ($)segment | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Class of Stock [Line Items] | ||||
Foreign currency transaction gain (loss) | $ (600,000) | $ 600,000 | $ 600,000 | |
Number of operating segments | segment | 1 | |||
Terms of payment due | 30 days | |||
VSOE Sales % variance compared to median sales price of standalone transactions | 15.00% | |||
VSOE sales period of evaluation | 12 months | |||
Impairment of long-lived assets | $ 0 | 0 | 0 | |
Advertising expenses | $ 21,700,000 | $ 11,300,000 | $ 7,600,000 | |
Minimum | ||||
Class of Stock [Line Items] | ||||
Useful life of property and equipment (in years) | 1 year | |||
Maximum | ||||
Class of Stock [Line Items] | ||||
Useful life of property and equipment (in years) | 12 years | |||
Common Class A | ||||
Class of Stock [Line Items] | ||||
Proceeds from public offering, net of underwriters' discount (in shares) | shares | 4,000,000 | |||
Price per share of stock sold in IPO (in USD per share) | $ / shares | $ 89.25 | |||
Proceeds from Issuance of Common Stock | $ 344,100,000 |
Summary of Significant Accoun33
Summary of Significant Accounting Policies Activity Related to Allowance for Doubtful Accounts (Details) - Allowance for doubtful accounts - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at the beginning of the period | $ 888 | $ 1,111 | $ 805 |
Bad debt expense | 750 | 250 | 747 |
Accounts written off | (573) | (473) | (441) |
Balance at the end of the period | $ 1,065 | $ 888 | $ 1,111 |
Balance Sheet Detail - Property
Balance Sheet Detail - Property and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Property, Plant and Equipment [Line Items] | ||
Property and equipment, Gross | $ 183,896 | $ 121,450 |
Less: Accumulated depreciation and amortization | (77,259) | (49,100) |
Property and equipment, net | $ 106,637 | 72,350 |
Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Useful life (in months) | 1 year | |
Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Useful life (in months) | 12 years | |
Computer equipment and software | ||
Property, Plant and Equipment [Line Items] | ||
Useful life (in months) | 36 months | |
Property and equipment, Gross | $ 92,536 | 73,052 |
Furniture and fixtures | ||
Property, Plant and Equipment [Line Items] | ||
Useful life (in months) | 36 months | |
Property and equipment, Gross | $ 18,953 | 14,602 |
Leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, Gross | $ 37,308 | 26,656 |
Leasehold improvements | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Useful life (in months) | 10 months | |
Leasehold improvements | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Useful life (in months) | 150 months | |
Construction in progress | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, Gross | $ 35,099 | $ 7,140 |
Balance Sheet Detail - Addition
Balance Sheet Detail - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||
Depreciation and amortization expense | $ 43,006 | $ 23,667 | $ 13,512 |
Goodwill, Period Increase (Decrease) | $ 14,600 |
Balance Sheet Detail - Accrued
Balance Sheet Detail - Accrued Compensation and Other Employee Related Benefits (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Accrued commissions | $ 24,801 | $ 17,518 |
Accrued bonuses | 19,080 | 16,882 |
Accrued vacation | 13,003 | 10,425 |
Other | 13,346 | 8,178 |
Total | $ 70,230 | $ 53,003 |
Income Taxes - Income Before Pr
Income Taxes - Income Before Provision for Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Tax Disclosure [Abstract] | |||
United States | $ (100,725) | $ (27,779) | $ 6,217 |
International | (36,702) | (23,028) | 965 |
Income (loss) before income tax expense | $ (137,427) | $ (50,807) | $ 7,182 |
Income Taxes - Income Taxes Exp
Income Taxes - Income Taxes Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Tax Expense Benefit [Line Items] | |||
Provision (benefit) for income taxes | $ 7,022 | $ 32,893 | $ 1,309 |
United States | |||
Income Tax Expense Benefit [Line Items] | |||
Provision (benefit) for income taxes | 2,147 | 28,630 | (937) |
International | |||
Income Tax Expense Benefit [Line Items] | |||
Provision (benefit) for income taxes | $ 4,875 | $ 4,263 | $ 2,246 |
Income Taxes - Provision for Cu
Income Taxes - Provision for Current and Deferred Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Current | |||
Federal | $ 1,447 | $ 4,009 | $ 11,057 |
State | 402 | 771 | 2,359 |
Foreign | 5,230 | 5,240 | 2,802 |
Total current income tax expense | 7,079 | 10,020 | 16,218 |
Deferred | |||
Federal | 258 | 22,011 | (12,970) |
State | 40 | 1,839 | (1,383) |
Foreign | (355) | (977) | (556) |
Total deferred income tax expense (benefit) | (57) | 22,873 | (14,909) |
Total income tax expense | $ 7,022 | $ 32,893 | $ 1,309 |
Income Taxes - Provision for In
Income Taxes - Provision for Income Taxes Differs from U.S. Federal Statutory Rate (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Tax Disclosure [Abstract] | |||
Income tax provision (benefit) at statutory rate | $ (48,098) | $ (17,783) | $ 2,514 |
State taxes, net of federal tax benefit | (3,466) | (896) | 207 |
Impact of foreign income taxes | 14,566 | 10,582 | 1,340 |
Research and development and other tax credits | (8,462) | (10,187) | (6,499) |
Non-deductible stock-based compensation | 5,098 | 3,174 | 2,929 |
Non-deductible meals and entertainment | 1,212 | 1,395 | 832 |
Impact of valuation allowance | 46,174 | 46,737 | 0 |
Other, net | (2) | (129) | (14) |
Total income tax expense | $ 7,022 | $ 32,893 | $ 1,309 |
Income Taxes - Deferred Income
Income Taxes - Deferred Income Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Deferred income tax assets | ||
Tax credit carryforwards | $ 17,904 | $ 9,704 |
Stock-based compensation | 18,589 | 21,924 |
Accrued compensation | 14,268 | 11,819 |
Deferred revenue | 3,728 | 2,425 |
Deferred rent | 9,037 | 3,589 |
Depreciation and amortization | 5,234 | 2,018 |
Other | 304 | 553 |
Total deferred income tax assets | 69,064 | 52,032 |
Deferred income tax liabilities | ||
Prepaid assets | 4,231 | 3,757 |
Total deferred income tax liabilities | 4,231 | 3,757 |
Net deferred income tax assets before valuation allowance | 64,833 | 48,275 |
Less: Valuation allowance | (63,384) | (46,737) |
Net deferred income tax assets | 1,449 | 1,538 |
Components of Deferred Tax Assets Reported As | ||
Deferred income taxes | 1,449 | 1,544 |
Other long-term liabilities | 0 | (6) |
Net deferred income tax assets | $ 1,449 | $ 1,538 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Tax Disclosure [Abstract] | ||||
Valuation allowance | $ 63,384,000 | $ 46,737,000 | ||
Net operating loss carryforwards | 713,600,000 | |||
R&D tax credit carryforwards | 47,800,000 | |||
Cash held by foreign subsidiaries | 23,600,000 | |||
Foreign earnings on which US income taxes has not been provided | 0 | |||
Unrecognized tax benefits | 12,909,000 | 10,781,000 | $ 7,116,000 | $ 3,441,000 |
Unrecognized tax benefits, liability | 700,000 | 700,000 | 200,000 | |
Income tax penalties and interest expense | $ 0 | $ 0 | $ 0 |
Income Taxes - Changes in Unrec
Income Taxes - Changes in Unrecognized Tax Position (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Reconciliation of Unrecognized Tax Benefits [Roll Forward] | |||
Balance, beginning of period | $ 10,781 | $ 7,116 | $ 3,441 |
Gross increases to tax positions related to prior periods | 28 | 545 | 0 |
Gross increases related to current tax positions | 2,100 | 3,120 | 3,675 |
Balance, end of period | $ 12,909 | $ 10,781 | $ 7,116 |
Business Combinations (Details)
Business Combinations (Details) - HyPer $ in Millions | Mar. 01, 2016USD ($) |
Business Acquisition [Line Items] | |
Cash payment for business acquired | $ 16.4 |
Acquired technology intangible asset | $ 1.8 |
Stockholders' Equity (Details)
Stockholders' Equity (Details) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016USD ($)votes$ / sharesshares | Nov. 01, 2016USD ($) | Dec. 31, 2015$ / sharesshares | |
Class of Stock [Line Items] | |||
Approved repurchase amount | $ | $ 200,000 | ||
Repurchase of common stock (in shares) | 446,517 | ||
Average price (in USD per share) | $ / shares | $ 44.81 | ||
Repurchase of common stock | $ | $ 20,009 | ||
Remaining authorized repurchase amount | $ | $ 180,000 | ||
Common Class B | |||
Class of Stock [Line Items] | |||
Shares authorized for issuance | 75,000,000 | 75,000,000 | |
Common stock par value (in USD per share) | $ / shares | $ 0.0001 | $ 0.0001 | |
Votes per share entitled to share holder | votes | 10 | ||
Common Class A | |||
Class of Stock [Line Items] | |||
Shares authorized for issuance | 750,000,000 | 750,000,000 | |
Common stock par value (in USD per share) | $ / shares | $ 0.0001 | $ 0.0001 | |
Votes per share entitled to share holder | votes | 1 | ||
Preferred Stock | |||
Class of Stock [Line Items] | |||
Preferred stock authorized (in shares) | 10,000,000 | 10,000,000 | |
Preferred stock par value (in USD per share) | $ / shares | $ 0.0001 | $ 0.0001 | |
Preferred stock outstanding (in shares) | 0 | 0 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Unrecognized compensation cost | $ 469.6 | ||
Weighted-average remaining vesting period (in years) | 2 years 6 months | ||
Weighted-average fair value options granted (in USD per share) | $ 23.73 | ||
Stock options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award expiration period (in years) | 10 years | ||
Vesting period (in years) | 4 years | ||
Total intrinsic value of options exercised | $ 63.3 | $ 224.6 | $ 258 |
Fair value of options vested | $ 7.8 | $ 11.7 | $ 15 |
Options granted (in shares) | 75,000 | ||
2004 Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares available for grant (in shares) | 0 | ||
2004 Plan | Common Class B | Stock options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares authorized (in shares) | 26,473,282 | ||
ESPP | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Annual increase in shares authorized for grant (percent) | 1.00% | ||
Annual increase in shares authorized for grant (in shares) | 4,000,000 | ||
Shares issued (in shares) | 0 | 0 | 0 |
ESPP | Common Class A | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
ESPP maximum deduction (percent) | 15.00% | ||
ESPP purchase period (in months) | 6 months | ||
ESPP purchase price, percent of fair market value (percent) | 85.00% | ||
2013 Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Annual increase in shares authorized for grant (percent) | 5.00% | ||
Shares available for grant (in shares) | 6,342,962 | 6,361,749 | |
Options granted (in shares) | 4,426,657 | ||
2013 Plan | Stock options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Options granted (in shares) | 0 | 0 | |
2013 Plan | Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted-average grant date fair value of RSUs granted (in USD per share) | $ 44.61 | $ 101.52 | $ 80.05 |
Fair value of RSUs vested in period | $ 92.5 | $ 89.1 | $ 12 |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Option Activity Under Stock option Plan (Details) - Stock options $ / shares in Units, $ in Thousands | 12 Months Ended |
Dec. 31, 2016USD ($)$ / sharesshares | |
Options Outstanding | |
Beginning of balance (in shares) | shares | 5,953,771 |
Options granted (in shares) | shares | 75,000 |
Options exercised (in shares) | shares | (1,448,728) |
Options canceled (in shares) | shares | (422) |
Options forfeited (in shares) | shares | (93,205) |
Ending of balance (in shares) | shares | 4,486,416 |
Vested and expected to vest (in shares) | shares | 4,486,401 |
Exercisable (in shares) | shares | 4,355,601 |
Weighted Average Exercise Price Per Share | |
Beginning balance (in USD per share) | $ / shares | $ 8.92 |
Options granted (in USD per share) | $ / shares | 54.87 |
Options exercised (in USD per share) | $ / shares | 8.24 |
Options canceled (in USD per share) | $ / shares | 55.88 |
Options forfeited (in USD per share) | $ / shares | 23.56 |
Ending balance (in USD per share) | $ / shares | 9.59 |
Vested and expected to vest (in USD per share) | $ / shares | 9.59 |
Exercisable (in USD per share) | $ / shares | $ 8.59 |
Weighted-Average Remaining Contractual Term | |
Ending balance (term) | 5 years 2 months 4 days |
Vested and expected to vest (term) | 5 years 2 months 4 days |
Exercisable (term) | 5 years 1 month 2 days |
Aggregate Intrinsic Value | |
Ending balance | $ | $ 147,535 |
Vested and expected to vest | $ | 147,535 |
Exercisable | $ | $ 146,599 |
Stock-Based Compensation - Su48
Stock-Based Compensation - Summary of RSU Activity (Details) - 2013 Plan - Restricted Stock Units (RSUs) - $ / shares | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Number of Shares Underlying Outstanding RSUs | |||
Beginning of period (in shares) | 5,406,077 | ||
RSUs granted (in shares) | 4,351,657 | ||
RSUs vested (in shares) | (1,962,420) | ||
RSUs forfeited (in shares) | (654,020) | ||
End of period (in shares) | 7,141,294 | 5,406,077 | |
Weighted-Average Grant-Date Fair Value per RSU | |||
Beginning of period (in USD per share) | $ 93.61 | ||
RSUs granted (in USD per share) | 44.61 | $ 101.52 | $ 80.05 |
RSUs vested (in USD per share) | 92.52 | ||
RSUs forfeited (in USD per share) | 72.33 | ||
End of period(in USD per share) | $ 65.62 | $ 93.61 |
Stock-Based Compensation - Equi
Stock-Based Compensation - Equity Based Awards (including Stock Options and RSUs (Details) | 12 Months Ended |
Dec. 31, 2016shares | |
2013 Plan | |
Shares Available for Grant | |
Beginning of period (in shares) | 6,361,749 |
Authorized (in shares) | 3,660,223 |
Options granted (in shares) | 4,426,657 |
Canceled (in shares) | 422 |
Options forfeited (in shares) | 747,225 |
End of period (in shares) | 6,342,962 |
2013 ESPP | Common Class A | |
Shares Available for Grant | |
Beginning of period (in shares) | 3,320,668 |
Authorized (in shares) | 732,044 |
Options granted (in shares) | 549,327 |
Canceled (in shares) | 0 |
Options forfeited (in shares) | 0 |
End of period (in shares) | 3,503,385 |
Stock-Based Compensation - Fair
Stock-Based Compensation - Fair Value of Options Estimated Using Black-Scholes Option Pricing Model (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
ESPP | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Risk-free interest rates (percent) | 0.40% | |
Risk-free interest rates, minimum (percent) | 0.50% | |
Risk-free interest rates, maximum (percent) | 0.60% | |
Expected term (in years) | 6 months | 6 months |
Expected dividends | $ 0 | $ 0 |
Expected volatility (percent) | 48.00% | |
Expected volatility, minimum (percent) | 42.00% | |
Expected volatility, minimum (percent) | 50.10% | |
Stock options | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Risk-free interest rates (percent) | 1.20% | |
Expected term (in years) | 5 years 1 month 25 days | |
Expected dividends | $ 0 | |
Expected volatility (percent) | 48.00% |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | ||||
Rent expense | $ 44.1 | $ 18.3 | $ 7.2 | |
Loss Contingencies [Line Items] | ||||
Additional operating expenses | $ 13.9 | |||
Recognition of a cease-use loss | 5.5 | |||
Contractual commitments | $ 6.3 | $ 6.3 |
Commitments and Contingencies52
Commitments and Contingencies - Future Minimum Lease Payments under Non-Cancellable Operating Leases (Details) $ in Thousands | Dec. 31, 2016USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
2,017 | $ 35,851 |
2,018 | 42,663 |
2,019 | 45,352 |
2,020 | 43,969 |
2,021 | 43,239 |
Thereafter | 214,211 |
Total minimum lease payments | $ 425,285 |
Retirement Plan Additional Info
Retirement Plan Additional Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Compensation and Retirement Disclosure [Abstract] | |||
Employer matching contributions | $ 3.6 | $ 2.8 | $ 1.3 |
Segments and Information abou54
Segments and Information about Revenues by Geographic Region (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Segment Reporting Information [Line Items] | |||||||||||
Revenues | $ 250,653 | $ 206,057 | $ 198,535 | $ 171,698 | $ 202,750 | $ 170,832 | $ 149,860 | $ 130,145 | $ 826,943 | $ 653,587 | $ 412,616 |
United States and Canada | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 586,494 | 489,329 | 318,835 | ||||||||
International | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | $ 240,449 | $ 164,258 | $ 93,781 |
Net Income (Loss) Per Share - C
Net Income (Loss) Per Share - Computation of Basic and Diluted Net Income (Loss) Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Earnings Per Share, Basic [Abstract] | |||||||||||
Net income (loss) | $ (21,088) | $ (30,261) | $ (47,522) | $ (45,578) | $ (41,321) | $ (13,373) | $ (18,979) | $ (10,027) | $ (144,449) | $ (83,700) | $ 5,873 |
Basic (in shares) | 75,162 | 71,701 | 67,591 | ||||||||
Net income (loss) per share - basic (in USD per share) | $ (1.92) | $ (1.17) | $ 0.09 | ||||||||
Net income (loss) per share - diluted | |||||||||||
Net income (loss) | $ (21,088) | $ (30,261) | $ (47,522) | $ (45,578) | $ (41,321) | $ (13,373) | $ (18,979) | $ (10,027) | $ (144,449) | $ (83,700) | $ 5,873 |
Diluted (in shares) | 75,162 | 71,701 | 67,591 | ||||||||
Stock awards (in shares) | 0 | 0 | 6,728 | ||||||||
Weighted average shares outstanding used to compute diluted net income (loss) per share | 75,162 | 71,701 | 74,319 | ||||||||
Net income (loss) per share - diluted (in USD per share) | $ (1.92) | $ (1.17) | $ 0.08 |
Net Income (Loss) Per Share - S
Net Income (Loss) Per Share - Shares Excluded From Computation of Diluted Net Income per Share Attributable to Common Stockholders (Details) - shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Common Stock (Class A and B) | |||
Dilutive Securities, Effect on Basic Earnings Per Share [Abstract] | |||
Shares subject to outstanding common stock awards | 12,017 | 11,510 | 1,967 |
Fair Value Measurements (Detail
Fair Value Measurements (Details) - Money market funds - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments fair value | $ 872,161 | $ 736,806 |
Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments fair value | 872,161 | 736,806 |
Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments fair value | 0 | 0 |
Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments fair value | $ 0 | $ 0 |
Quarterly Financial Informati58
Quarterly Financial Information (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Total revenues | $ 250,653 | $ 206,057 | $ 198,535 | $ 171,698 | $ 202,750 | $ 170,832 | $ 149,860 | $ 130,145 | $ 826,943 | $ 653,587 | $ 412,616 |
Gross profit | 222,950 | 182,027 | 173,671 | 149,205 | 181,115 | 150,956 | 133,107 | 114,724 | 727,853 | 579,902 | 375,631 |
Net loss | $ (21,088) | $ (30,261) | $ (47,522) | $ (45,578) | $ (41,321) | $ (13,373) | $ (18,979) | $ (10,027) | $ (144,449) | $ (83,700) | $ 5,873 |
Earnings Per Share, Basic and Diluted [Abstract] | |||||||||||
Basic and diluted (in USD per share) | $ (0.28) | $ (0.40) | $ (0.64) | $ (0.62) | $ (0.57) | $ (0.19) | $ (0.27) | $ (0.14) |