Xoom 10-Q 29 Jul 15 2015 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2015	Jul. 24, 2015
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2015
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q2
Trading Symbol	xoom
Entity Registrant Name	XOOM CORP
Entity Central Index Key	1,315,657
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		39,311,305

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Current assets:
Cash and cash equivalents	$ 81,613	$ 67,216
Disbursement prefunding	42,893	71,167
Short-term investments	105,382	111,777
Customer funds receivable	25,470	18,590
Prepaid expenses and other current assets	7,358	5,417
Total current assets	262,716	274,167
Non-current assets:
Property, equipment and software, net	15,406	15,670
Goodwill	9,032	9,032
Intangibles, net	4,710	5,129
Restricted cash	11,404	10,971
Other assets	751	755
Total assets	304,019	315,724
Current liabilities:
Accounts payable and accrued expenses	17,438	14,533
Customer liabilities	19,815	11,540
Line of credit		28,000
Total current liabilities	37,253	54,073
Non-current liabilities:
Non-current liabilities	6,289	5,885
Total liabilities	$ 43,542	$ 59,958
Commitments and Contingencies (Note 11)
Stockholders' equity:
Common stock, $0.0001 par value, 500,000,000 shares authorized; issued and outstanding 39,304,758 and 38,592,808 shares at June 30, 2015 and December 31, 2014, respectively	$ 4	$ 4
Additional paid-in capital	347,451	339,169
Accumulated other comprehensive loss	(27)	(55)
Accumulated deficit	(86,951)	(83,352)
Total stockholders' equity	260,477	255,766
Total liabilities and stockholders' equity	$ 304,019	$ 315,724

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares	Jun. 30, 2015	Dec. 31, 2014
Statement Of Financial Position [Abstract]
Common stock, par value	$ 0.0001	$ 0.0001
Common stock, authorized	500,000,000	500,000,000
Common stock, issued	39,304,758	38,592,808
Common stock, outstanding	39,304,758	38,592,808

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Income Statement [Abstract]
Revenue	$ 46,327	$ 39,844	$ 90,745	$ 75,782
Cost of revenue	13,349	12,977	25,382	22,555
Gross profit	32,978	26,867	65,363	53,227
Marketing	10,511	7,356	20,449	16,138
Technology and development	12,138	8,801	23,220	16,651
Customer service and operations	4,798	4,371	9,407	8,345
General and administrative	7,544	4,817	15,130	9,975
Total operating expense	34,991	25,345	68,206	51,109
Income from operations	(2,013)	1,522	(2,843)	2,118
Other income (expense):
Interest expense	(325)	(344)	(694)	(672)
Interest income	72	69	148	145
Other income (expense)	(18)	170	(130)	190
Income (loss) before income taxes	(2,284)	1,417	(3,519)	1,781
Provision for income taxes	52	19	80	31
Net income (loss)	$ (2,336)	$ 1,398	$ (3,599)	$ 1,750
Net income (loss) per share:
Basic	$ (0.06)	$ 0.04	$ (0.09)	$ 0.05
Diluted	$ (0.06)	$ 0.03	$ (0.09)	$ 0.04
Weighted-average shares used to compute net income (loss) per share:
Basic	39,183	38,102	38,994	37,952
Diluted	39,183	41,622	38,994	41,667

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Statement Of Income And Comprehensive Income [Abstract]
Net income (loss)	$ (2,336)	$ 1,398	$ (3,599)	$ 1,750
Unrealized gain (loss) on marketable securities, net of taxes of $0	(12)	(4)	28	(9)
Total comprehensive income (loss)	$ (2,348)	$ 1,394	$ (3,571)	$ 1,741

Consolidated Statements of Com6

Consolidated Statements of Comprehensive Income (Loss) (Parenthetical) - USD ($)	3 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Statement Of Income And Comprehensive Income [Abstract]
Tax effect related to available-for-sale investments	$ 0	$ 0

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Cash flows from operating activities:
Net income (loss)	$ (3,599)	$ 1,750
Adjustments to reconcile net income to net cash used in operating activities:
Stock-based compensation	6,485	4,257
Depreciation And Amortization	2,368	1,619
Amortization of acquired intangible	407	407
Loss on disposal of property equipment and software	39
Amortization of net premium on investments	420	741
Amortization of warrant issuance costs	11	11
Changes in operating assets and liabilities:
Disbursement prefunding	28,273	(6,412)
Customer funds receivable	(6,880)	(8,685)
Prepaid expenses and other current assets	(1,828)	(918)
Other assets	(40)	235
Customer liabilities	8,276	10,601
Accounts payable and accrued expenses	3,066	767
Non-current liabilities	403	1,420
Net cash provided by operating activities	37,401	5,793
Cash flows from investing activities:
Purchase of property, equipment, software, and intangible assets	(2,249)	(4,460)
Purchase of short-term investments	(61,761)	(81,089)
Proceeds from sales and maturities of short-term investments	67,764	77,167
Cash paid in business combination, net of cash received		(8,874)
Change in restricted cash	(433)	(3,153)
Net cash provided by (used in) investing activities	3,321	(20,409)
Cash flows from financing activities:
Proceeds from exercise of common stock options	2,458	1,759
Excess tax benefit related to stock-based compensation		15
Taxes paid related to net share settlement	(783)
Net borrowings (repayments) under line of credit	(28,000)
Net cash provided by (used in) financing activities	(26,325)	1,774
Net increase (decrease) in cash and cash equivalents	14,397	(12,842)
Cash and cash equivalents, beginning of period	67,216	110,979
Cash and cash equivalents, end of period	81,613	98,137
Supplemental disclosures of cash flow information:
Cash paid for taxes	120	2
Cash paid for interest	506	474
Cash received from refund of income taxes	17
Supplemental disclosure of non-cash investing and financing activities:
Change in the Business Combination Contingent Consideration Liability		1,500
Issuance of common stock in connection with acquisition of BlueKite, LTD		4,470
Purchases of property and equipment in accounts payable and accrued expenses	$ 80	$ 1,220

Business and Basis of Presentat

Business and Basis of Presentation	6 Months Ended
	Jun. 30, 2015
Organization and Description of Business [Abstract]
Business and Basis of Presentation	(1) Business and Basis of Presentation (a) Business Overview Xoom Corporation and its subsidiaries (together, “Xoom” or the “Company”) is a leader in the digital consumer-to-consumer international money transfer industry. Xoom provides its customers with fast and convenient ways to send money to, pay bills for and send prepaid mobile phone reloads to family and friends around the world using their bank account, credit card or debit card. We offer money transfer services from the United States to 38 countries, cross-border bill payment services from the United States to five countries and prepaid mobile phone reload services in 22 countries. Xoom was incorporated in California in June 2001 and reincorporated in Delaware in November 2012. The Company’s corporate headquarters is located in San Francisco, California. (b) Proposed Acquisition by PayPal, Inc. On July 1, 2015, the Company entered into an Agreement and Plan of Merger (the “Merger Agreement”) with PayPal, Inc. (“Parent”), Timer Acquisition Corp., a wholly-owned subsidiary of Parent (“Merger Sub”), and PayPal Holdings, Inc., the ultimate parent entity of Parent and Merger Sub (“PayPal”). The Merger Agreement provides that upon the closing of the transaction, the Company will become a wholly-owned subsidiary of Parent (the “Merger”). Further details on the Merger and Merger Agreement are presented in Note (12) of the consolidated financial statements. (c) Basis of Presentation and Consolidation The accompanying unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and applicable rules and regulations of the Securities and Exchange Commission (“SEC”) regarding interim financial reporting. Accordingly, they do not include all of the information and notes required by GAAP for annual financial statements. In the opinion of management, all adjustments consisting of normal and recurring entries considered necessary for a fair presentation of the results for the interim periods presented have been included. All intercompany balances and transactions have been eliminated. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect reported amounts in the financial statements and accompanying notes. These estimates are based on information available as of the date of the unaudited consolidated financial statements. Therefore, actual results could differ from these estimates. Interim results are not necessarily indicative of the results for a full year. These unaudited consolidated financial statements should be read in conjunction with the consolidated financial statements and notes contained in the Company’s Annual Report on Form 10-K filed with the SEC on March 2, 2015 (the “Annual Report”). Business events in 2015 required the Company to make an addition to the accounting policies for stock-based compensation, as more fully set forth below. There have been no other changes in the significant accounting policies as disclosed in the audited consolidated financial statements for 2014 included in the Annual Report. The Company granted performance-based restricted stock units (“PSUs”) to certain employees in February 2015. The fair value of PSUs is equal to the closing market price of the Company’s common stock on the date of grant. The number of PSUs that will ultimately vest will range from 0% to 170% of the target amount depending on the actual level of achievement within the specified performance bands. The performance condition will be evaluated quarterly to determine the probable level of achievement within specified performance bands as defined in the PSU agreement. The corresponding amount of stock-based compensation expense related to PSUs is amortized over a graded vesting period of three years. Changes in the quarterly estimate of probable achievement impact the total amount of stock-based compensation expense on a cumulative basis . (d) Recently Issued Accounting Guidance In May 2014, the Financial Accounting Standard Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, “Revenue from Contracts with Customers,” which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The ASU will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective. The new standard is effective for the Company on January 1, 2017. Early application is not permitted. The standard permits the use of either the retrospective or cumulative effect transition method. The Company is evaluating the impact of this accounting guidance on its consolidated financial statements. In April 2015, the FASB issued ASU No. 2015-03, “Simplifying the Presentation of Debt Issuance Costs,” which requires that debt issuance costs be presented in the consolidated balance sheet as a direct deduction from the carrying amount of debt liability, consistent with debt discounts. This new accounting guidance is effective for the Company on January 1, 2016. The Company is evaluating the impact of adopting this new accounting guidance on its consolidated financial statements. In April 2015, the FASB issued ASU No. 2015-05, "Customer's Accounting for Fees Paid in a Cloud Computing Arrangement," which provides guidance to customers about whether a cloud computing arrangement includes a software license. If a cloud computing arrangement includes a software license, then the customer should account for the software license element of the arrangement consistent with the acquisition of other software license. If a cloud computing arrangement does not include a software license, the customer should account for the arrangement as a service contract. The guidance will not change U.S. GAAP for a customer's accounting for service contracts. The new standard is effective for fiscal years, and interim periods within those years, beginning after December 15, 2015, with the option of applying the guidance prospectively or retrospectively. Early adoption is permitted. The Company is evaluating the impact of this accounting guidance on its consolidated financial statements. In May 2015, the FASB issued ASU No. 2015-07, “Disclosures for Investments in Certain Entities that Calculate Net Asset Value Per Share (or its Equivalent),” which removes the requirement to categorize within the fair value hierarchy all investments for which fair values are estimated using the net asset value per share (“NAV”) provided by ASC 820, Fair Value Measurement. The ASU also removes the requirement to make certain disclosures for all investments that are eligible to be measured at fair value using NAV. Those disclosures are limited to investments for which the entity has elected to measure the fair value using that practical expedient. This ASU is effective for fiscal years, and interim periods within those years, beginning after December 15, 2015, with retrospective application to all periods presented. Early adoption is permitted. The Company elected to early adopt ASU No. 2015-07 in the current quarter. Because the Company measures money market funds using NAV, the assignment of fair value hierarchy to money market funds has been removed in all periods presented in the se consolidated interim financial statements.

Short-term Investments

Short-term Investments	6 Months Ended
	Jun. 30, 2015
Short-term Investments [Abstract]
Short-term Investments	(2) Short-term Investments Short-term investments, classified as available for sale, are stated at fair value. Determination of the fair values of each short-term investment is further discussed in Note (3) below. As of June 30, 2015 , the fair value of the Company’s short-term investments was as follows (in thousands): June 30, 2015 Amortized cost Unrealized gains Unrealized loss Fair value (unaudited) U.S. agency notes $ $ $ $ Corporate bonds Commercial paper — Marketable securities Certificates of deposit — — Total short-term investments $ $ $ $ As of December 31, 2014, the fair value of the Company’s short-term investments was as follows (in thousands): December 31, 2014 Amortized cost Unrealized gains Unrealized loss Fair value U.S. agency notes $ $ — $ $ Corporate bonds Commercial paper — Marketable securities Certificates of deposit — — Total short-term investments $ $ $ $ The Company considers any declines in the market value of its marketable securities to be temporary in nature and does not consider any of its investments other-than-temporarily impaired. When evaluating an investment for other-than-temporary impairment, the Company reviews factors such as the length of time and extent to which fair value has been below its cost basis, the financial condition of the issuer, changes in market interest rates, the Company’s intent to sell, and/or whether it is more likely than not that the Company will be required to sell the investment before recovery of the investment’s cost basis. During the periods presented, the Company did not recognize any other-than-temporary impairment charges. The maturity period of the Company’s available for sale securities is within one year.

Fair Value Measurements

Fair Value Measurements	6 Months Ended
	Jun. 30, 2015
Fair Value Measurements [Abstract]
Fair Value Measurements	(3) Fair Value Measurements Fair value is an exit price, defined as the amount that would be received from the sale of an asset or paid to transfer a liability in an orderly transaction between market participants. The authoritative guidance on fair value measurements establishes a consistent framework for measuring fair value on either a recurring or nonrecurring basis whereby inputs, used in valuation techniques, are assigned a hierarchical level. The following three levels of inputs are used to measure fair value: Level 1: Quoted prices in active markets for identical assets or liabilities. Level 2: Quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability and market-corroborated inputs. Level 3: Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include items where the determination of fair value requires significant management judgment or estimation. Cash equivalents and short-term investments are measured at fair value on a recurring basis. The following table indicates the fair value hierarchy of the valuation for the Company’s cash equivalents and short-term investments, except money market funds which are valued using NAV and are not required to be assigned with a fair value hierarchy level according to ASU 2015-07 (in thousands): June 30, Fair Value Measured Using 2015 Level 1 Level 2 Level 3 (unaudited) Cash equivalents: Money market funds (1) $ Corporate bonds — — Commercial paper — — Total $ $ — $ $ — Short-term investments: U.S. agency notes $ — — Corporate bonds — — Commercial paper — — Certificates of deposit — — Total $ $ — $ $ — December 31, Fair Value Measured Using 2014 Level 1 Level 2 Level 3 Cash equivalents: Money market funds (1) $ U.S. agency notes $ — $ $ — Corporate bonds — — Commercial paper — — Total $ $ — $ $ — Short-term investments: U.S. agency notes $ — — Corporate bonds — — Commercial paper — — Certificates of deposit — — Total $ $ — $ $ — (1) A fair value hierarchy level was not assigned because money market funds were measured at fair value using NAV . The Company obtains the fair value of all the financial instruments in the table above, except the certificates of deposit, from the Company’s investment banks. The investment banks may use quoted market prices for identical or comparable instruments, or inputs other than quoted prices that are directly or indirectly observable. The investment banks gather quoted market prices and observable inputs for the Company’s financial instruments from a variety of industry data providers. The Company performs independent testing to validate the reasonableness of fair values provided by the investment banks. The fair value of certificates of deposit is discussed with other financial instruments in the paragraphs below. The fair values of Level 2 financial instruments were derived from nonbinding market consensus prices that are corroborated by observable market data, quoted market prices for similar instruments or pricing models. There were no material changes in the valuation techniques utilized during any of the periods presented. There were no transfers between Level 1 and Level 2 assets during any of the periods presented. For certain financial instruments on the consolidated balance sheets, book values approximate fair values due to their short-term, highly liquid nature. Such instruments generally include cash, restricted cash, disbursement prefunding, certificates of deposit, customer funds receivables, prepaid and other current assets, lines of credit, customer liabilities, and accounts payable and accrued liabilities as disclosed in Note (6) below. The fair value of all of these instruments would be categorized as Level 2 of the fair value hierarchy, with the exception of cash which would be categorized as Level 1. Certain non-financial assets are measured at fair value on a nonrecurring basis when an impairment charge is recognized. These assets include property, plant and equipment, intangible assets and goodwill. These assets are subject to fair value adjustments in certain circumstances, such as when there is evidence of impairment. If measured at fair value in the consolidated balance sheets, these would generally be classified as Level 3 of the fair value hierarchy.

Property, Equipment and Softwar

Property, Equipment and Software, Net	6 Months Ended
	Jun. 30, 2015
Property, Equipment and Software, Net [Abstract]
Property, Equipment and Software, Net	(4) Property, Equipment and Software, Net The following is a summary of property, equipment and software at cost, less accumulated depreciation and amortization (in thousands): June 30, December 31, 2015 2014 (unaudited) Office furniture and equipment $ $ Software Leasehold improvements Total Less: accumulated depreciation Property, equipment and software, net $ $ Depreciation and amortization expense of $1.2 million and $2.4 million were recorded for the three and six months ended June 30, 2015, respectively. Depreciation and amortization expense of $0.8 million and $1.6 million were recorded for the three and six months ended June 30, 2014, respectively.

Goodwill and Other Intangible A

Goodwill and Other Intangible Assets	6 Months Ended
	Jun. 30, 2015
Goodwill and Other Intangible Assets [Abstract]
Goodwill and Other Intangible Assets	(5) Goodwill and Other Intangible Assets In connection with the acquisition of BlueKite, LTD (the “BlueKite Acquisition”) on January 10, 2014, the Company recorded $9.0 million of goodwill and $5.7 million of developed technology. There were no changes in the carrying amount of goodwill during the three and six months ended June 30, 2015. Developed technology is classified as an intangible asset and is being amortized on a straight-line basis over an estimated useful life of seven years. As of June 30, 2015 and December 31, 2014, the gross accumulated amortization of the developed technology asset was $1.2 million and $0.8 million, respectively. Amortization expense related to the acquired intangible asset for both the three-month periods ended June 30, 2015 and 2014 was $0.2 million , and for both the six-month periods ended June 30, 2015 and 2014 was $0.4 million , and was included in technology and development expense in the consolidated statements of operations.

Accounts Payable and Accrued Ex

Accounts Payable and Accrued Expenses	6 Months Ended
	Jun. 30, 2015
Accounts Payable and Accrued Expenses [Abstract]
Accounts Payable and Accrued Expenses	(6) Accounts Payable and Accrued Expenses The following is a summary of accounts payable and accrued expenses (in thousands): June 30, December 31, 2015 2014 (unaudited) Accounts payable $ $ Accrued processing and disbursement costs Accrued marketing expense BlueKite Acquisition holdback liability Accrued professional services Disbursement payable Accrued payroll and employee benefits Other accrued expenses Total accounts payable and accrued expenses $ $ Other accrued expenses in the table above include a reserve for transaction losses. The Company is exposed to transaction losses due to fraud, as well as nonperformance of third parties and customers. The Company establishes a reserve for such losses based on historical trends and any specific risks identified in processing customer transactions. The following table summarizes the activities of the Company’s reserve for transaction losses during the period presented (in thousands): (unaudited) Balance as of December 31, 2014 $ Additions to expense Losses incurred, net of recoveries Balance as of June 30, 2015 $

Line of Credit

Line of Credit	6 Months Ended
	Jun. 30, 2015
Line of Credit [Abstract]
Line of Credit	(7) Line of Credit In September 2013, the Company entered into an Amended and Restated Credit Agreement (the “Restated Loan Agreement”) with Silicon Valley Bank (“SVB”) and other lenders. The Restated Loan Agreement added additional lenders, increased the available borrowing amount to $150.0 million through September 2016 and changed certain of the financial provisions. The Company is required to repay the outstanding principal balance under the line of credit in full at least once every eight business days. Under the Restated Loan Agreement, the Company pays a fee of 0.50% per annum for the daily unused portions of the line of credit. The interest rate at June 30, 2015 and December 31, 2014 was 4.25% . In 2013, the Company paid SVB a one-time commitment fee of $ 430,000 and a one-time arrangement fee of 0.30% of the amount available under the line of credit. These expenses are being amortized over the period of the Restated Loan Agreement. In addition, the Company pays an annual administration fee of $45,000 . SVB issued a standby letter of credit for $15.0 million which satisfied an additional collateral requirement to maintain the Company’s India operations. SVB issued a $3.9 million letter of credit in January 2014 as a security deposit for the Company’s office lease. As of June 30, 2015 , the Company had $131.1 million available under its $150.0 million line of credit, reflecting $18.9 million reserved under the two letters of credit. There was zero outstanding under the line of credit as of June 30, 2015. As of December 31, 2014, the Company had $103.1 million available under its $150.0 million line of credit, reflecting $28.0 million outstanding under the line of credit and $18.9 million reserved under the two letters of credit.

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2015
Income Taxes [Abstract]
Income Taxes	(8) Income Taxes The Company’s income tax provisions for the three months ended June 30, 2015 and 2014 w ere $52,000 and $19,000 , respectively, and the income tax provisions for the six months ended June 30, 2015 and 2014 were $80,000 and $31,000 , respectively, whic h were primarily attributable to U.S. state and foreign income taxes. The Company’s effective income tax rates were (2.3%) and 1.3% for the three months ended June 30, 2015 and 2014, respectively, and (2.3%) and 1.7% for the six months ended June 30, 2015 and 2014, respectively. Calculation of the effective tax rate for both periods includes a non-cash valuation allowance recorded against the Company’s deferred tax assets, which partially offsets a tax benefit resulting from the operating loss generated in the period.

Stock-based Compensation

Stock-based Compensation	6 Months Ended
	Jun. 30, 2015
Stockholders' Equity [Abstract]
Stock-based Compensation	(9) Stock-based Compensation The Company may grant stock options to purchase shares of its common stock, restricted stock units (“RSUs”), performance-based restricted stock units (“PSUs”) or common stock awards to its employees and non-employee directors. Stock ‑based compensation expense included in the Company’s consolidated statements of operations during the periods presented is as follows (in thousands): Three months ended June 30, Six months ended June 30, 2015 2014 2015 2014 (unaudited) Stock-based compensation expense: Marketing $ $ $ $ Technology and development Customer service and operations General and administrative Total stock-based compensation $ $ $ $ (a) Stock Options The fair value of options granted was estimated at the date of the grant using a Black-Scholes option-pricing model. The following table presents the weighted-average assumptions used in estimating the fair value of options granted during the periods presented: Three months ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 (unaudited) Expected term (in years) 5.8 5.6 6.0 6.2 Risk-free interest rate 1.67% 1.67% 1.65% 2.03% Dividend yield None None None None Volatility rate 45% 36% 35% 43% The Company’s common stock has been publicly traded for over two years, which has provided a history of the Company’s share price and volatility. As part of its continuous review of the key assumptions in the Black-Scholes option-pricing model, the Company phased in its own historical volatility to estimate its expected volatility based on the Company’s historical share prices. For the options with expected terms of less than the Company’s tenure as a publicly-traded company, a weighting equal to the division of the length of the Company’s public tenure over the expected term of stock options was assigned to the Company’s historical volatility. The remaining weightings were assigned based on the average of comparable public companies’ historical volatilities. The following table presents the stock option activity and related information for the six months ended June 30, 2015: Weighted- Weighted- Aggregate Average Average Intrinsic Options Exercise Contractual Term Value Outstanding Price (In Years) (in Millions) (unaudited) Outstanding as of December 31, 2014 $ $ Granted Exercised (1) Forfeited or cancelled Outstanding as of June 30, 2015 $ $ Exercisable as of June 30, 2015 $ $ Vested and expected to vest as of June 30, 2015 $ $ (1) Exercised options in the table above included both settled and unsettled exercises during the six months ended June 30, 2015 . The following table presents the total intrinsic value of stock options exercised and the weighted-average grant date fair value of stock options granted for the periods presented: Three months ended June 30, Six months ended June 30, (In millions except per share data) 2015 2014 2015 2014 (unaudited) (unaudited) Total intrinsic value of stock options exercised $ $ $ $ Weighted-average per share grant date fair value of stock options granted $ $ $ $ As of June 30, 2015 , there was $16.0 million of total unrecognized compensation expense related to option grants, which is expected to be recognized over a weighted-average remaining period of 2.5 years. (b) Restricted Stock Units and Performance-based Restricted Stock Units The fair value of RSUs is equal to the closing market price of the Company’s common stock on the date of grant. Stock-based compensation expense is amortized on a straight-line basis over the requisite service period, which is generally four years. In February 2015, the Company granted PSUs to certain employees, which contain both service and performance requirements. The number of PSUs that will ultimately vest will range from 0% to 170% of the target amount depending on the actual level of achievement within the specified performance bands for the year ended December 31, 2015. The performance condition will be evaluated quarterly to determine the probable level of achievement within specified performance bands as defined in the PSU agreement. Stock-based compensation expense related to PSUs is amortized over a graded vesting period of three years. Changes in the quarterly estimate of probable achievement impact the total amount of stock-based compensation expense on a cumulative basis. The following table shows a summary of RSU and PSU activity for the six months ended June 30, 2015 : RSUs PSUs Weighted- Weighted- Average Average Grant Date Grant Date (unaudited) Shares Fair Value Shares Fair Value Unvested as of December 31, 2014 $ — $ — Granted (1) Vested — — Forfeited — — Unvested as of June 30, 2015 $ $ (1) Estimated shares are based on the expectation of achievement within the specified performance bands as of June 30, 2015. The following table presents the total fair value and the aggregate intrinsic value of RSUs vested and the weighted-average grant date fair value of RSUs granted for the periods presented: RSUs Three months ended June 30, Six months ended June 30, (In millions, except per share data) 2015 2014 2015 2014 (unaudited) (unaudited) Total fair value of shares vested $ $ — $ $ — Total aggregate intrinsic value of shares vested $ $ — $ $ — Weighted-average per share grant date fair value of shares granted $ $ $ $ The weighted-average per share grant-date fair value of PSUs granted was $15.71 during the six months ended June 30, 2015. There were no PSUs granted during the three months ended June 30, 2015. No PSUs vested during any of the periods presented. As of June 30, 2015 , there was $14.0 million of total unrecognized compensation expense related to RSUs, which is expected to be recognized over a weighted-average remaining period of 3.2 years. Based on estimated level of achievement as of June 30, 2015, there was $1.0 million of total unrecognized compensation expense related to PSUs, which is expected to be recognized over a weighted-average remaining period of 1.7 years.

Earnings (Loss) Per Share

Earnings (Loss) Per Share	6 Months Ended
	Jun. 30, 2015
Earnings Per Share [Abstract]
Earnings Per Share	(10) Earnings Per Share Basic earnings (loss) per share (“EPS”) is computed by dividing the net income (loss) by the weighted-average number of shares of common stock outstanding during the period. Diluted EPS is computed using the weighted-average number of shares of common stock outstanding during the period and, when dilutive, potential common shares outstanding during the period. Potential common shares consist of incremental shares issuable upon the assumed exercise of stock options, preferred stock, unvested RSUs and PSUs, and contingent consideration related to the BlueKite Acquisition. The estimated shares of PSUs are excluded in the diluted EPS calculation as the performance conditions were not met by the end of this period. The following table presents the calculation of earnings (loss) per share (in thousands, except per share data): Three months ended June 30, Six months ended June 30, 2015 2014 2015 2014 (unaudited) Basic earnings (loss) per share: Numerator: Net income (loss) $ $ $ $ Denominator: Weighted-average common shares Basic earnings (loss) per share $ $ $ $ Diluted earnings per share: Numerator: Net income (loss) $ $ $ $ Denominator: Weighted-average common shares Weighted-average dilutive stock options and RSUs — — Contingent stock due to BlueKite Acquisition — — Weighted-average common shares and equivalents Diluted earnings (loss) per share $ $ $ $ The following securities have been excluded from the calculation of diluted earnings (loss) per share of common stock for the periods presented because their effect would have been anti-dilutive (in thousands): Three months ended June 30, Six months ended June 30, 2015 2014 2015 2014 (unaudited) Stock options outstanding Unvested RSUs Contingent stock due to BlueKite Acquisition — — Total common stock equivalents

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2015
Commitments And Contingencies Disclosure [Abstract]
Commitments and Contingencies	(11) Commitments and Contingencies (a) Operating Leases Pursuant to the terms of the lease agreement for the Company’s corporate headquarters, the Company took possession of additional office space in the same building in February 2015. The term of the lease for the additional space will expire in 2024. (b) Litigation The Company is involved from time to time in various legal proceedings in the normal course of business that individually or in the aggregate would not have a material effect on its results of operations or financial position. On January 6, 2015, the Company, John Kunze and Ryno Blignaut were sued in a putative class action lawsuit, captioned Alexander Liu v. Xoom Corporation, et al. , Case No. CGC-15-543531, filed in San Francisco Superior Court by purported stockholders of the Company, in connection with its January 5, 2015 announcement that the Company was the victim of criminal fraud resulting in the transfer of $30.8 million in corporate cash to overseas accounts. On February 6, 2015, the lawsuit was removed to federal court in the Northern District of California, and assigned the case number 5:15-cv-00602-LHK. On March 11, 2015, the Company, John Kunze and Ryno Blignaut were sued in a putative class action lawsuit captioned Patrick Andrew Barrett v. Xoom Corp. , et al., Case No. CGC-15-544655, also filed in San Francisco Superior Court by purported stockholders of the Company. On March 20, 2015, the lawsuit was removed to federal court in the Northern District of California, and assigned the case number 5:15-cv-01319. On June 25, 2015, the federal court remanded the Liu and Barrett actions back to the San Francisco Superior Court. The Liu and Barrett lawsuits allege that the Company and Messrs. Kunze and Blignaut violated federal securities laws by misrepresenting and/or omitting information in the offering materials distributed in connection with the Company’s February 2013 initial public offering. The lawsuits seek unspecified damages and attorneys’ fees and costs. Between July 8, 2015 and July 13, 2015, four purported class action lawsuits were filed against Xoom and its directors, PayPal, Inc., Timer Acquisition Corp. and PayPal Holdings, Inc. in connection with the proposed Merger between Xoom and PayPal in the Delaware Chancery Court, captioned Booth Family Trust v. Xoom Corporation et al. , C.A. No. 11263 (July, 8, 2015), King v. Xoom Corporation et al. , C.A. No. 11273 (July 9, 2015), Beverly v. Kunze et al. , C.A. No. 11285 (July 13, 2015) and Torres v. Xoom Corporation et al ., C.A. No. 11301 (July 16, 2015). On July 17, 2015, the Delaware Court of chancery issued an order consolidating all of the actions into one matter captioned In re Xoom Corporation Stockholder Litigation , Consolidated C.A. No. 11263-VCP. The lawsuits allege that Xoom’s directors breached their fiduciary duties to Xoom stockholders, and that the other defendants aided and abetted such breaches, by seeking to sell Xoom through an allegedly unfair process and for an unfair price and on unfair terms. The lawsuits seek, among other things, equitable relief that would enjoin the consummation of the Merger, rescission of the Merger Agreement (to the extent it has already been implemented) or rescissory damages, and attorneys’ fees and costs. The King and Beverly actions further seek an order directing the defendants to account for alleged damages suffered by the plaintiffs and the purported class as a result of the defendants’ alleged wrongdoing. Although the ultimate outcome of litigation cannot be predicted with certainty, the Company believes that these lawsuits are without merit and intends to defend against the actions vigorously. The Company believes that any liability resulting from these lawsuits will not have a material adverse effect on its business, financial condition or results of operations. (c) Merger Agreement The Company incurred $1.3 million of Merger-related expenses during the three months ended June 30, 2015 and expects to incur an additional $6.8 million in Merger-related expenses that are not contingent upon the closing of the Merger. A majority of these expenses will be recognized during the period ending September 30, 2015. In addition, should the Merger close, the Company expects to incur additional expenses of approximately $16.6 million in connection with closing. Total Merger-related expenses, contingent and non-contingent, are anticipated to be approximately $24.7 million.

Subsequent Event

Subsequent Event	6 Months Ended
	Jun. 30, 2015
Subsequent Events [Abstract]
Subsequent Event	(12) Subsequent Event On July 1, 2015, the Company entered into the Merger Agreement with Parent, Merger Sub and PayPal, pursuant to which, subject to satisfaction or waiver of the conditions therein, Merger Sub will merge with and into the Company, with the Company surviving the Merger as a wholly owned subsidiary of Parent. Subject to the terms of the Merger Agreement, which has been unanimously approved by the board of directors of the Company, at the effective time of the Merger (the “Effective Time”), each share of Company common stock issued and outstanding immediately prior to the Effective Time (other than shares owned by PayPal or any of its subsidiaries, shares held by the Company as treasury stock, and shares held by stockholders who have perfected their statutory rights of appraisal under Section 262 of the Delaware General Corporation Law), will be converted into the right to receive $25.00 in cash, without interest (the “Merger Consideration”). The board of directors of the Company has unanimously adopted resolutions recommending the adoption of the Merger Agreement by the Company’s stockholders, and has agreed to hold a stockholder meeting to consider and vote upon the adoption of the Merger Agreement. The Merger is conditioned upon the approval by the stockholders of the Company, the expiration or early termination of the applicable pre-merger waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, the receipt of certain consents relating to the Company’s money transmitter licenses and other customary closing conditions. The obligation of each party to consummate the Merger is also conditioned upon the other party’s representations and warranties being true and correct (subject to certain materiality exceptions), the other party having performed in all material respects its obligations under the Merger Agreement and the Company having not suffered a material adverse effect. The Merger Agreement contains certain termination rights for both the Company and Parent, and provides that, upon termination of the Merger Agreement under specified circumstances, the Company may be required to pay Parent a termination fee of approximately $29.9 million, including if it accepts a superior acquisition proposal. Concurrently with entering into the Merger Agreement, the directors and executive officers of the Company and certain entities affiliated with Sequoia Capital entered into voting and support agreements with Parent (collectively, the “Voting Agreements”) pursuant to which they agreed, among other things, to vote their shares of the Company common stock for the adoption of the Merger Agreement and against any alternative proposal and against any action or agreement that would frustrate the purposes of, or prevent or delay the consummation of, the transactions contemplated by the Merger Agreement. As of the date hereof, such directors and executive officers and entities affiliated with Sequoia Capital collectively owned, in the aggregate, approximately 18% of the Company’s outstanding common stock. The Voting Agreements terminate upon the termination of the Merger Agreement in accordance with its terms, including if the Company accepts a superior acquisition proposal. For further information on the Merger and the Merger Agreement, please refer to the Current Report on Form 8-K filed by the Company on July 1, 2015 and the Merger Agreement and other documents filed as exhibits thereto. The foregoing description of the Merger does not purport to be complete, is subject to, and is qualified in its entirety by reference to, the Merger Agreement.

Business and Basis of Present20

Business and Basis of Presentation (Policies)	6 Months Ended
	Jun. 30, 2015
Summary of Significant Accounting Policies [Abstract]
Basis of Presentation and Consolidation	(c) Basis of Presentation and Consolidation The accompanying unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and applicable rules and regulations of the Securities and Exchange Commission (“SEC”) regarding interim financial reporting. Accordingly, they do not include all of the information and notes required by GAAP for annual financial statements. In the opinion of management, all adjustments consisting of normal and recurring entries considered necessary for a fair presentation of the results for the interim periods presented have been included. All intercompany balances and transactions have been eliminated. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect reported amounts in the financial statements and accompanying notes. These estimates are based on information available as of the date of the unaudited consolidated financial statements. Therefore, actual results could differ from these estimates. Interim results are not necessarily indicative of the results for a full year. These unaudited consolidated financial statements should be read in conjunction with the consolidated financial statements and notes contained in the Company’s Annual Report on Form 10-K filed with the SEC on March 2, 2015 (the “Annual Report”). Business events in 2015 required the Company to make an addition to the accounting policies for stock-based compensation, as more fully set forth below. There have been no other changes in the significant accounting policies as disclosed in the audited consolidated financial statements for 2014 included in the Annual Report.
Stock-based Compensation	The Company granted performance-based restricted stock units (“PSUs”) to certain employees in February 2015. The fair value of PSUs is equal to the closing market price of the Company’s common stock on the date of grant. The number of PSUs that will ultimately vest will range from 0% to 170% of the target amount depending on the actual level of achievement within the specified performance bands. The performance condition will be evaluated quarterly to determine the probable level of achievement within specified performance bands as defined in the PSU agreement. The corresponding amount of stock-based compensation expense related to PSUs is amortized over a graded vesting period of three years. Changes in the quarterly estimate of probable achievement impact the total amount of stock-based compensation expense on a cumulative basis .
Recently Issued and Adopted Accounting Pronouncements	Recently Issued Accounting Guidance In May 2014, the Financial Accounting Standard Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, “Revenue from Contracts with Customers,” which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The ASU will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective. The new standard is effective for the Company on January 1, 2017. Early application is not permitted. The standard permits the use of either the retrospective or cumulative effect transition method. The Company is evaluating the impact of this accounting guidance on its consolidated financial statements. In April 2015, the FASB issued ASU No. 2015-03, “Simplifying the Presentation of Debt Issuance Costs,” which requires that debt issuance costs be presented in the consolidated balance sheet as a direct deduction from the carrying amount of debt liability, consistent with debt discounts. This new accounting guidance is effective for the Company on January 1, 2016. The Company is evaluating the impact of adopting this new accounting guidance on its consolidated financial statements. In April 2015, the FASB issued ASU No. 2015-05, "Customer's Accounting for Fees Paid in a Cloud Computing Arrangement," which provides guidance to customers about whether a cloud computing arrangement includes a software license. If a cloud computing arrangement includes a software license, then the customer should account for the software license element of the arrangement consistent with the acquisition of other software license. If a cloud computing arrangement does not include a software license, the customer should account for the arrangement as a service contract. The guidance will not change U.S. GAAP for a customer's accounting for service contracts. The new standard is effective for fiscal years, and interim periods within those years, beginning after December 15, 2015, with the option of applying the guidance prospectively or retrospectively. Early adoption is permitted. The Company is evaluating the impact of this accounting guidance on its consolidated financial statements. In May 2015, the FASB issued ASU No. 2015-07, “Disclosures for Investments in Certain Entities that Calculate Net Asset Value Per Share (or its Equivalent),” which removes the requirement to categorize within the fair value hierarchy all investments for which fair values are estimated using the net asset value per share (“NAV”) provided by ASC 820, Fair Value Measurement. The ASU also removes the requirement to make certain disclosures for all investments that are eligible to be measured at fair value using NAV. Those disclosures are limited to investments for which the entity has elected to measure the fair value using that practical expedient. This ASU is effective for fiscal years, and interim periods within those years, beginning after December 15, 2015, with retrospective application to all periods presented. Early adoption is permitted. The Company elected to early adopt ASU No. 2015-07 in the current quarter. Because the Company measures money market funds using NAV, the assignment of fair value hierarchy to money market funds has been removed in all periods presented in the se consolidated interim financial statements.

Short-term Investments (Tables)

Short-term Investments (Tables)	6 Months Ended
	Jun. 30, 2015
Short-term Investments [Abstract]
Short-term Investments Measured at Fair Value	As of June 30, 2015 , the fair value of the Company’s short-term investments was as follows (in thousands): June 30, 2015 Amortized cost Unrealized gains Unrealized loss Fair value (unaudited) U.S. agency notes $ $ $ $ Corporate bonds Commercial paper — Marketable securities Certificates of deposit — — Total short-term investments $ $ $ $ As of December 31, 2014, the fair value of the Company’s short-term investments was as follows (in thousands): December 31, 2014 Amortized cost Unrealized gains Unrealized loss Fair value U.S. agency notes $ $ — $ $ Corporate bonds Commercial paper — Marketable securities Certificates of deposit — — Total short-term investments $ $ $ $

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	6 Months Ended
	Jun. 30, 2015
Fair Value Measurements [Abstract]
Cash Equivalents and Short-term Investments measured at Fair value on Recurring Basis	The following table indicates the fair value hierarchy of the valuation for the Company’s cash equivalents and short-term investments, except money market funds which are valued using NAV and are not required to be assigned with a fair value hierarchy level according to ASU 2015-07 (in thousands): June 30, Fair Value Measured Using 2015 Level 1 Level 2 Level 3 (unaudited) Cash equivalents: Money market funds (1) $ Corporate bonds — — Commercial paper — — Total $ $ — $ $ — Short-term investments: U.S. agency notes $ — — Corporate bonds — — Commercial paper — — Certificates of deposit — — Total $ $ — $ $ — December 31, Fair Value Measured Using 2014 Level 1 Level 2 Level 3 Cash equivalents: Money market funds (1) $ U.S. agency notes $ — $ $ — Corporate bonds — — Commercial paper — — Total $ $ — $ $ — Short-term investments: U.S. agency notes $ — — Corporate bonds — — Commercial paper — — Certificates of deposit — — Total $ $ — $ $ — A fair value hierarchy level was not assigned because money market funds were measured at fair value using NAV

Property, Equipment and Softw23

Property, Equipment and Software, Net (Tables)	6 Months Ended
	Jun. 30, 2015
Property, Equipment and Software, Net [Abstract]
Summary of Property, Equipment and Software, Net	The following is a summary of property, equipment and software at cost, less accumulated depreciation and amortization (in thousands): June 30, December 31, 2015 2014 (unaudited) Office furniture and equipment $ $ Software Leasehold improvements Total Less: accumulated depreciation Property, equipment and software, net $ $

Accounts Payable and Accrued 24

Accounts Payable and Accrued Expenses (Tables)	6 Months Ended
	Jun. 30, 2015
Accounts Payable and Accrued Expenses [Abstract]
Summary of Accounts Payable and Accrued Expenses	The following is a summary of accounts payable and accrued expenses (in thousands): June 30, December 31, 2015 2014 (unaudited) Accounts payable $ $ Accrued processing and disbursement costs Accrued marketing expense BlueKite Acquisition holdback liability Accrued professional services Disbursement payable Accrued payroll and employee benefits Other accrued expenses Total accounts payable and accrued expenses $ $
Reserve for Transaction Losses	The following table summarizes the activities of the Company’s reserve for transaction losses during the period presented (in thousands): (unaudited) Balance as of December 31, 2014 $ Additions to expense Losses incurred, net of recoveries Balance as of June 30, 2015 $

Stockholders' Equity (Tables)

Stockholders' Equity (Tables)	6 Months Ended
	Jun. 30, 2015
Stockholders' Equity [Abstract]
Stock Based Compensation Expense Included in Condensed Consolidated Statements of Income	Stock ‑based compensation expense included in the Company’s consolidated statements of operations during the periods presented is as follows (in thousands): Three months ended June 30, Six months ended June 30, 2015 2014 2015 2014 (unaudited) Stock-based compensation expense: Marketing $ $ $ $ Technology and development Customer service and operations General and administrative Total stock-based compensation $ $ $ $
Weighted Average Assumptions for Options Granted	Three months ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 (unaudited) Expected term (in years) 5.8 5.6 6.0 6.2 Risk-free interest rate 1.67% 1.67% 1.65% 2.03% Dividend yield None None None None Volatility rate 45% 36% 35% 43%
Stock Option Activity and Related Information	The following table presents the stock option activity and related information for the six months ended June 30, 2015: Weighted- Weighted- Aggregate Average Average Intrinsic Options Exercise Contractual Term Value Outstanding Price (In Years) (in Millions) (unaudited) Outstanding as of December 31, 2014 $ $ Granted Exercised (1) Forfeited or cancelled Outstanding as of June 30, 2015 $ $ Exercisable as of June 30, 2015 $ $ Vested and expected to vest as of June 30, 2015 $ $ (1) Exercised options in the table above included both settled and unsettled exercises during the six months ended June 30, 2015
Schedule Of Share Based Compensation Arrangement By Share Based Payment Award, Options, Grants In Period, Grant Date Intrinsic Value and Weighted Average Grant Date Fair Value [TableTextBlock]	The following table presents the total intrinsic value of stock options exercised and the weighted-average grant date fair value of stock options granted for the periods presented: Three months ended June 30, Six months ended June 30, (In millions except per share data) 2015 2014 2015 2014 (unaudited) (unaudited) Total intrinsic value of stock options exercised $ $ $ $ Weighted-average per share grant date fair value of stock options granted $ $ $ $
Summary of RSU and PSU Activity	RSUs PSUs Weighted- Weighted- Average Average Grant Date Grant Date (unaudited) Shares Fair Value Shares Fair Value Unvested as of December 31, 2014 $ — $ — Granted (1) Vested — — Forfeited — — Unvested as of June 30, 2015 $ $
Schedule of Fair Value and Instrinsic Value of RSUs vested, and the weighted average grant date fair value of RSUs granted for periods presented.	The following table presents the total fair value and the aggregate intrinsic value of RSUs vested and the weighted-average grant date fair value of RSUs granted for the periods presented: RSUs Three months ended June 30, Six months ended June 30, (In millions, except per share data) 2015 2014 2015 2014 (unaudited) (unaudited) Total fair value of shares vested $ $ — $ $ — Total aggregate intrinsic value of shares vested $ $ — $ $ — Weighted-average per share grant date fair value of shares granted $ $ $ $

Earnings Per Share (Tables)

Earnings Per Share (Tables)	6 Months Ended
	Jun. 30, 2015
Earnings Per Share [Abstract]
Earnings Per Share	The following table presents the calculation of earnings (loss) per share (in thousands, except per share data): Three months ended June 30, Six months ended June 30, 2015 2014 2015 2014 (unaudited) Basic earnings (loss) per share: Numerator: Net income (loss) $ $ $ $ Denominator: Weighted-average common shares Basic earnings (loss) per share $ $ $ $ Diluted earnings per share: Numerator: Net income (loss) $ $ $ $ Denominator: Weighted-average common shares Weighted-average dilutive stock options and RSUs — — Contingent stock due to BlueKite Acquisition — — Weighted-average common shares and equivalents Diluted earnings (loss) per share $ $ $ $
Securities Excluded from Calculation of Diluted Net Earnings Per Share	The following securities have been excluded from the calculation of diluted earnings (loss) per share of common stock for the periods presented because their effect would have been anti-dilutive (in thousands): Three months ended June 30, Six months ended June 30, 2015 2014 2015 2014 (unaudited) Stock options outstanding Unvested RSUs Contingent stock due to BlueKite Acquisition — — Total common stock equivalents

Business and Basis of Present27

Business and Basis of Presentation (Details) - country	1 Months Ended	6 Months Ended
	Feb. 28, 2015	Jun. 30, 2015
Number Of Countries In Which Entity Provide Money Remittance Services		38
Number Of Countries In Which Entity Provide Bill Pay Services		5
Number of countries in which entity provides prepaid mobile phone reload services		22
PSUs
Stock based awards, vesting period		3 years
PSUs | Minimum
Number of percentage of PSUs that are ultimately vested	0.00%	0.00%
PSUs | Maximum
Number of percentage of PSUs that are ultimately vested	170.00%	170.00%

Short-term Investments (Details

Short-term Investments (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Short-term Investments [Abstract]
Other than Temporary Impairment Losses, Investments, Available-for-sale Securities	$ 0	$ 0

Short-term Investments - Measur

Short-term Investments - Measured at Fair Value (Detail) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Schedule of Available-for-sale Securities [Line Items]
Amortized cost	$ 105,409	$ 111,832
Unrealized gains	7	3
Unrealized loss	(34)	(58)
Fair value	$ 105,382	111,777
Maximum
Schedule of Available-for-sale Securities [Line Items]
Maturity period of available for sale securities	1 year
Marketable securities
Schedule of Available-for-sale Securities [Line Items]
Amortized cost	$ 98,409	108,832
Unrealized gains	7	3
Unrealized loss	(34)	(58)
Fair value	98,382	108,777
U S agency notes
Schedule of Available-for-sale Securities [Line Items]
Amortized cost	36,617	33,489
Unrealized gains	4
Unrealized loss	(3)	(13)
Fair value	36,618	33,476
Corporate bonds
Schedule of Available-for-sale Securities [Line Items]
Amortized cost	36,998	44,025
Unrealized gains	1	3
Unrealized loss	(31)	(44)
Fair value	36,968	43,984
Commercial paper
Schedule of Available-for-sale Securities [Line Items]
Amortized cost	24,794	31,318
Unrealized gains	2
Unrealized loss		(1)
Fair value	24,796	31,317
Certificates of deposit
Schedule of Available-for-sale Securities [Line Items]
Amortized cost	7,000	3,000
Fair value	$ 7,000	$ 3,000

Fair Value Measurements (Detail

Fair Value Measurements (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term Investments	$ 105,382	$ 111,777
Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	32,507	40,845
Short-term Investments	105,382	111,777
Money market funds | Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	27,711	37,544
U S agency notes
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term Investments	36,618	33,476
U S agency notes | Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents		101
Short-term Investments	36,618	33,476
Corporate bonds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term Investments	36,968	43,984
Corporate bonds | Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	897	200
Short-term Investments	36,968	43,984
Commercial paper
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term Investments	24,796	31,317
Commercial paper | Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	3,899	3,000
Short-term Investments	24,796	31,317
Certificates of deposit
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term Investments	7,000	3,000
Certificates of deposit | Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term Investments	7,000	3,000
Level 2 | Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	4,796	3,301
Short-term Investments	105,382	111,777
Level 2 | U S agency notes | Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents		101
Short-term Investments	36,618	33,476
Level 2 | Corporate bonds | Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	897	200
Short-term Investments	36,968	43,984
Level 2 | Commercial paper | Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	3,899	3,000
Short-term Investments	24,796	31,317
Level 2 | Certificates of deposit | Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term Investments	$ 7,000	$ 3,000

Property Equipment and Software

Property Equipment and Software, Net (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Property, Equipment and Software, Net
Property, equipment and software at cost	$ 25,823		$ 25,823		$ 23,761
Less: accumulated depreciation	(10,417)		(10,417)		(8,091)
Property, equipment and software, net	15,406		15,406		15,670
Property, Equipment and Software, Net, Other Information
Depreciation	1,200	$ 800	2,400	$ 1,600
Office furniture and equipment
Property, Equipment and Software, Net
Property, equipment and software at cost	9,764		9,764		8,723
Software
Property, Equipment and Software, Net
Property, equipment and software at cost	6,920		6,920		6,004
Leasehold improvements
Property, Equipment and Software, Net
Property, equipment and software at cost	$ 9,139		$ 9,139		$ 9,034

Goodwill and Other Intangible32

Goodwill and Other Intangible Assets (Details) - USD ($) $ in Thousands	Jan. 10, 2014	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Goodwill And Other Intangible Assets [Abstract]
Goodwill acquired		$ 9,032		$ 9,032		$ 9,032
Amortization expense, intangible assets		203	$ 203	407	$ 407
Goodwill, Impaired [Abstract]
Impairment changes of Goodwill		0		0
Developed Technology Rights
Goodwill And Other Intangible Assets [Abstract]
Acquired intangible assets, useful life	7 years
Finite-Lived Intangible Assets, Accumulated Amortization		$ 1,200		$ 1,200		$ 800
Bluekite Ltd | Developed Technology Rights
Goodwill And Other Intangible Assets [Abstract]
Developed technology	$ 5,700

Accounts Payable and Accrued 33

Accounts Payable and Accrued Expenses (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Accounts Payable and Accrued Expenses [Abstract]
Accounts payable	$ 1,965	$ 979
Accrued processing and disbursement costs	2,913	2,793
Accrued marketing expense	2,402	3,421
Acquisition holdback liability	1,500	1,500
Accrued professional services	3,144	1,294
Disbursement payable	1,391	291
Accrued payroll and employee benefits	1,824	1,307
Other accrued expenses	2,299	2,948
Accounts payable and accrued expenses	$ 17,438	$ 14,533

Accounts Payable and Accrued 34

Accounts Payable and Accrued Expenses - Reserve for Transaction Losses (Detail) - Reserve For Transaction Losses $ in Thousands	6 Months Ended
	Jun. 30, 2015USD ($)
Valuation and Qualifying Accounts Disclosure [Line Items]
Balance at Beginning of Year	$ 189
Additions to expense	6,249
Losses incurred, net of recoveries	(6,098)
Balance at End of Year	$ 340

Line of Credit (Details)

Line of Credit (Details)	Dec. 31, 2014USD ($)item	Sep. 30, 2013USD ($)	Jun. 30, 2015USD ($)letter	Jan. 31, 2014USD ($)
Line of Credit Facility [Line Items]
Line of credit, outstanding amount	$ 28,000,000
Amended And Restated Credit Agreement
Line of Credit Facility [Line Items]
Line of credit, maximum borrowing capacity	$ 150,000,000	$ 150,000,000	$ 150,000,000
Line of credit, percentage of annual fee			0.50%
Loan agreement, interest rate at period end	4.25%		4.25%
Available credit facility	$ 103,100,000		$ 131,100,000
Standby Letters Of Credit
Line of Credit Facility [Line Items]
Letter of credit, outstanding amount	$ 18,900,000		$ 18,900,000
Letters of credit, number	2		2
Silicon Valley Bank
Line of Credit Facility [Line Items]
Commitment fee		$ 430,000
Line of credit facility, one-time arrangement fee percentage		0.30%
Line of credit facility, annual administration fee paid	$ 45,000
Silicon Valley Bank | Standby Letters Of Credit
Line of Credit Facility [Line Items]
Letter of credit, outstanding amount		$ 15,000,000		$ 3,900,000

Income Taxes (Detail)

Income Taxes (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Income Taxes [Abstract]
Provision for income taxes	$ 52	$ 19	$ 80	$ 31
Effective tax rate (as a percent)	(2.30%)	1.30%	(2.30%)	1.70%

Stock-based Compensation - Stoc

Stock-based Compensation - Stock based compensation expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation expense	$ 3,250	$ 2,333	$ 6,485	$ 4,257
Marketing
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation expense	304	266	655	499
Technology and Development
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation expense	1,121	787	2,180	1,406
Customer Service And Operations
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation expense	294	209	602	402
General and Administrative Expense (Member)
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation expense	$ 1,531	$ 1,071	$ 3,048	$ 1,950

Stock based Compensation - Weig

Stock based Compensation - Weighted Average Assumptions for Options Granted (Detail)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected term (in years)			6 years	6 years 2 months 12 days
Risk-free interest rate			1.65%	2.03%
Volatility rate			35.00%	43.00%
Stock Options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected term (in years)	5 years 9 months 18 days	5 years 7 months 6 days
Risk-free interest rate	1.67%	1.67%
Volatility rate	45.00%	36.00%

Stock based Compensation - Stoc

Stock based Compensation - Stock Option Activity (Detail) - Stock Options - USD ($) $ / shares in Units, $ in Millions	6 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Options Outstanding
Outstanding at beginning of period	6,132,641
Granted	685,690
Exercised	(590,479)
Forfeited and cancelled	(303,135)
Outstanding at end of period	5,924,717	6,132,641
Exercisable at end of period	3,695,958
Vested and expected to vest end of the period	5,892,328
Weighted average exercise price
Outstanding at beginning of period	$ 11.62
Granted	16.27
Exercised	4.24
Forfeited and cancelled	15.98
Outstanding at end of period	12.67	$ 11.62
Exercisable at end of period	9.42
Vested and expected to vest end of the period	$ 12.63
Weighted Average outstanding at the end of the period	6 years 2 months 16 days	6 years 2 months 1 day
Weighted average exercisable contractual term end of the period	4 years 11 months 27 days
Weighted average vested and expected to vest contractual term end of the period	6 years 2 months 12 days
Aggregate intrinsic value outstanding	$ 57.8	$ 50.4
Aggregate intrinsic value exercisable at the end of the period	46.3
Aggregate intrinsic value vested and expected to vest at the end of the period	$ 57.6
Options Exercisable
Outstanding at end of period	3,695,958

Stock based Compensation - St40

Stock based Compensation - Stock Option Activity and Related Information (Detail) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Exercisable Weighted Average Exercise Price per Share
Total intrinsic value of options exercised			$ 7.3	$ 11.4
Weighted-average grant date fair value of options granted			$ 6.02	$ 11.71
Stock Options
Exercisable Weighted Average Exercise Price per Share
Vested and expected to vest end of the period	5,892,328		5,892,328
Total intrinsic value of options exercised	$ 3.5	$ 3.6
Weighted-average grant date fair value of options granted	$ 8.43	$ 7.99
Unrecognized compensation expense	$ 16		$ 16
Unrecognized compensation expense expected to be recognized, Weighted-average period			2 years 6 months

Stock based Compensation - Summ

Stock based Compensation - Summary of RSU and PSU Activity (Detail) - $ / shares	1 Months Ended	3 Months Ended		6 Months Ended
	Feb. 28, 2015	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
RSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock based awards, vesting period				4 years
Outstanding RSUs & PSUs, Shares
Beginning Balance				497,020
Granted				580,957
Vested				(102,407)
Forfeited and cancelled				(76,715)
Ending Balance		898,855		898,855
Outstanding RSUs & PSUs, Weighted-Average Grant Date Fair Value
Beginning Balance				$ 19.40
Granted		$ 18.28	$ 17.92	17.55	$ 19.41
Vested				17.77
Forfeited and cancelled				18.64
Ending balance		$ 18.45		$ 18.45
PSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock based awards, vesting period				3 years
Outstanding RSUs & PSUs, Shares
Granted				86,580
Ending Balance		86,580		86,580
Outstanding RSUs & PSUs, Weighted-Average Grant Date Fair Value
Granted				$ 15.71
Ending balance		$ 15.71		$ 15.71
PSUs | Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of percentage of PSUs that are ultimately vested	0.00%			0.00%
PSUs | Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of percentage of PSUs that are ultimately vested	170.00%			170.00%

Stock based Compensation - Su42

Stock based Compensation - Summary of RSU & PSU - Other related information (Detail) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
RSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total fair value of shares vested	$ 1.40		$ 1.80
Total aggregate intrinsic value of shares vested	$ 1.60		$ 2.16
Weighted-average grant date fair value of shares granted	$ 18.28	$ 17.92	$ 17.55	$ 19.41
Unrecognized compensation expense	$ 14,000,000		$ 14,000,000
Unrecognized compensation expense expected to be recognized, Weighted-average period			3 years 2 months 12 days
PSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted-average grant date fair value of shares granted			$ 15.71
Shares granted	$ 0
Shares vested	0		0
Unrecognized compensation expense	$ 1,000,000		$ 1,000,000
Unrecognized compensation expense expected to be recognized, Weighted-average period			1 year 8 months 12 days

Earnings (Loss) Per Share (Deta

Earnings (Loss) Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Basic earnings (loss) per share:
Net income (loss)	$ (2,336)	$ 1,398	$ (3,599)	$ 1,750
Weighted-average common shares	39,183	38,102	38,994	37,952
Basic earnings (loss) per share	$ (0.06)	$ 0.04	$ (0.09)	$ 0.05
Diluted earnings (loss) per share:
Net income (loss)	$ (2,336)	$ 1,398	$ (3,599)	$ 1,750
Weighted-average common shares	39,183	38,102	38,994	37,952
Incremental Common Shares Attributable To Stock Options And Restricted Stock Units		3,432		3,632
Incremental Common Shares Attributable To Contingently Issuable Shares		88		83
Weighted-average common shares and equivalents	39,183	41,622	38,994	41,667
Diluted earnings (loss) per share	$ (0.06)	$ 0.03	$ (0.09)	$ 0.04

Earnings (Loss) Per Share - Ant

Earnings (Loss) Per Share - Antidilutive Securities (Details) - shares shares in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive Securities	6,875	1,979	6,857	1,946
Stock Options
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive Securities	5,932	1,947	6,060	1,911
RSUs
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive Securities	899	32	753	35
Contingent Consideration Classified as Equity
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive Securities	44		44

Commitment and Contingencies -

Commitment and Contingencies - Additional Information (Details) - USD ($) $ in Millions	Dec. 30, 2014	Dec. 31, 2015	Jun. 30, 2015
Litigation Settlement [Abstract]
Victim of criminal fraud transfer	$ 30.8
Merger Agreement [Abstract]
Merger related expenses			$ 1.3
Scenario, Forecast [Member]
Merger Agreement [Abstract]
Merger related expenses		$ 24.7
Merger related expenses not contingent upon closing of merger		6.8
Merger related expenses contingent upon closing of merger		$ 16.6

Subsequent Event (Details)

Subsequent Event (Details) - Jul. 01, 2015 - Subsequent Event [Member] $ / shares in Units, $ in Millions	USD ($)$ / shares
PayPal [Member]
Subsequent Event [Line Items]
Right to receive cash (per share) | $ / shares	$ 25
Termination fee payable to Parent on default	$ 29.9
Directors and executive officers and entities affiliated with Sequoia Capital
Subsequent Event [Line Items]
Ownership percentage	0.18