Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 31, 2019 | Mar. 31, 2019 | Jul. 31, 2018 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Jan. 31, 2019 | ||
Document Fiscal Year Focus | 2019 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | OOMA | ||
Entity Registrant Name | Ooma Inc | ||
Entity Central Index Key | 0001327688 | ||
Current Fiscal Year End Date | --01-31 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | true | ||
Entity Ex Transition Period | true | ||
Entity Shell Company | false | ||
Entity Common Stock, Shares Outstanding | 20,600,000 | ||
Entity Public Float | $ 295 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Jan. 31, 2019 | Jan. 31, 2018 |
Current assets: | ||
Cash and cash equivalents | $ 15,370 | $ 4,483 |
Short-term investments | 27,253 | 47,307 |
Accounts receivable, net | 3,723 | 2,858 |
Inventories | 10,117 | 6,079 |
Other current assets | 5,450 | 4,397 |
Total current assets | 61,913 | 65,124 |
Property and equipment, net | 4,563 | 4,732 |
Intangible assets, net | 2,635 | 1,292 |
Goodwill | 3,898 | 1,947 |
Other assets | 5,379 | 336 |
Total assets | 78,388 | 73,431 |
Current liabilities: | ||
Accounts payable | 10,231 | 5,453 |
Accrued expenses | 19,048 | 14,777 |
Deferred revenue | 15,443 | 15,556 |
Total current liabilities | 44,722 | 35,786 |
Other liabilities | 619 | 577 |
Total liabilities | 45,341 | 36,363 |
Commitments and contingencies (Note 11) | ||
Stockholders’ equity: | ||
Preferred stock $0.0001 par value: 10 million shares authorized; none issued and outstanding | ||
Common stock $0.0001 par value: 100 million shares authorized; 20.3 million and 19.1 million shares issued and outstanding, respectively | 4 | 2 |
Additional paid-in capital | 138,848 | 128,081 |
Accumulated other comprehensive loss | (10) | (84) |
Accumulated deficit | (105,795) | (90,931) |
Total stockholders’ equity | 33,047 | 37,068 |
Total liabilities and stockholders’ equity | $ 78,388 | $ 73,431 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Jan. 31, 2019 | Jan. 31, 2018 |
Statement Of Financial Position [Abstract] | ||
Preferred stock, par value | $ 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 stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 20,300,000 | 19,100,000 |
Common stock, shares outstanding | 20,300,000 | 19,100,000 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 31, 2019 | Jan. 31, 2018 | Jan. 31, 2017 | |
Revenue: | |||
Total revenue | $ 129,231 | $ 114,490 | $ 104,524 |
Cost of revenue: | |||
Total cost of revenue | 52,740 | 46,398 | 45,195 |
Gross profit | 76,491 | 68,092 | 59,329 |
Operating expenses: | |||
Sales and marketing | 40,761 | 37,302 | 33,768 |
Research and development | 33,903 | 29,328 | 24,239 |
General and administrative | 17,613 | 15,186 | 14,598 |
Total operating expenses | 92,277 | 81,816 | 72,605 |
Loss from operations | (15,786) | (13,724) | (13,276) |
Interest and other income, net | 830 | 603 | 327 |
Loss before income taxes | (14,956) | (13,121) | (12,949) |
Income tax benefit | 384 | (3) | |
Net loss | $ (14,572) | $ (13,121) | $ (12,949) |
Net loss per share of common stock: | |||
Basic and diluted | $ (0.74) | $ (0.71) | $ (0.74) |
Weighted-average number of shares used in per share amounts: | |||
Basic and diluted | 19,799,781 | 18,570,128 | 17,490,448 |
Subscription and services | |||
Revenue: | |||
Total revenue | $ 116,429 | $ 101,999 | $ 91,127 |
Cost of revenue: | |||
Total cost of revenue | 36,108 | 31,406 | 29,650 |
Product and other | |||
Revenue: | |||
Total revenue | 12,802 | 12,491 | 13,397 |
Cost of revenue: | |||
Total cost of revenue | $ 16,632 | $ 14,992 | $ 15,545 |
CONSOLIDATED STATEMENTS OF STOC
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) | Total | Common Stock | Additional Paid-In Capital | Accumulated Other Comprehensive Income (Loss) | Accumulated Deficit |
BALANCE at Jan. 31, 2016 | $ 42,890,000 | $ 2,000 | $ 107,679,000 | $ 17,000 | $ (64,808,000) |
BALANCE, Shares at Jan. 31, 2016 | 16,916,250 | ||||
Issuance of common stock related to acquisition | 165,000 | 165,000 | |||
Issuance of common stock related to acquisition, Shares | 26,375 | ||||
Issuance of common stock under equity-based plans | 1,558,000 | 1,558,000 | |||
Issuance of common stock under equity based plans, Shares | 1,223,211 | ||||
Shares repurchased for tax withholdings on vesting of RSUs | (1,588,000) | (1,588,000) | |||
Shares repurchased for tax withholdings on vesting of RSUs, Shares | (170,281) | ||||
Stock-based compensation | 9,772,000 | 9,772,000 | |||
Changes in comprehensive loss | (28,000) | (28,000) | |||
Cumulative stock-based compensation forfeiture adjustment | 53,000 | (53,000) | |||
Net loss | (12,949,000) | (12,949,000) | |||
BALANCE at Jan. 31, 2017 | 39,820,000 | $ 2,000 | 117,639,000 | (11,000) | (77,810,000) |
BALANCE, Shares at Jan. 31, 2017 | 17,995,555 | ||||
Issuance of common stock under equity-based plans | 1,964,000 | 1,964,000 | |||
Issuance of common stock under equity based plans, Shares | 1,345,392 | ||||
Shares repurchased for tax withholdings on vesting of RSUs | (2,443,000) | (2,443,000) | |||
Shares repurchased for tax withholdings on vesting of RSUs, Shares | (244,865) | ||||
Exercise of warrants to common stock, Shares | 19,352 | ||||
Stock-based compensation | 10,921,000 | 10,921,000 | |||
Changes in comprehensive loss | (73,000) | (73,000) | |||
Net loss | (13,121,000) | (13,121,000) | |||
BALANCE at Jan. 31, 2018 | 37,068,000 | $ 2,000 | 128,081,000 | (84,000) | (90,931,000) |
BALANCE, Shares at Jan. 31, 2018 | 19,115,434 | ||||
Issuance of common stock related to acquisition | 390,000 | $ 35,513 | 390,000 | ||
Issuance of common stock under equity-based plans | 2,935,000 | $ 2,000 | 2,933,000 | ||
Issuance of common stock under equity based plans, Shares | 1,374,336 | ||||
Shares repurchased for tax withholdings on vesting of RSUs | (2,926,000) | (2,926,000) | |||
Shares repurchased for tax withholdings on vesting of RSUs, Shares | (213,181) | ||||
Stock-based compensation | 10,370,000 | 10,370,000 | |||
Changes in comprehensive loss | 74,000 | 74,000 | |||
Cumulative adjustment upon adoption of Topic 606 (Note 3) | (292,000) | (292,000) | |||
Net loss | (14,572,000) | (14,572,000) | |||
BALANCE at Jan. 31, 2019 | $ 33,047,000 | $ 4,000 | $ 138,848,000 | $ (10,000) | $ (105,795,000) |
BALANCE, Shares at Jan. 31, 2019 | 20,312,102 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 31, 2019 | Jan. 31, 2018 | Jan. 31, 2017 | |
Cash flows from operating activities: | |||
Net loss | $ (14,572) | $ (13,121) | $ (12,949) |
Adjustments to reconcile net loss to net cash (used in) provided by operating activities: | |||
Stock-based compensation expense | 10,370 | 10,921 | 9,772 |
Depreciation and amortization of property and equipment | 2,269 | 1,958 | 1,648 |
Amortization of acquired intangible assets | 740 | 313 | 348 |
Change in fair value of acquisition-related contingent consideration | (342) | ||
Deferred income taxes | (384) | ||
Amortization and accretion of premiums from investments | (332) | 135 | 211 |
Changes in operating assets and liabilities, net of effect of acquisitions: | |||
Accounts receivable, net | (1,050) | 1,856 | 895 |
Inventories | (4,034) | (249) | (819) |
Deferred inventory costs | (179) | 559 | 393 |
Prepaid expenses and other assets | (5,334) | (1,519) | 84 |
Accounts payable and other liabilities | 8,150 | 2,366 | (156) |
Deferred revenue | 772 | (46) | 958 |
Net cash (used in) provided by operating activities | (3,926) | 3,173 | 385 |
Cash flows from investing activities: | |||
Purchases of short-term investments | (38,485) | (49,331) | (59,007) |
Proceeds from maturities of short-term investments | 53,736 | 49,217 | 32,330 |
Proceeds from sales of short-term investments | 5,225 | 1,800 | 5,266 |
Capital expenditures | (1,921) | (2,478) | (1,558) |
Business acquisition, net of cash assumed | (2,402) | (1,363) | |
Payment for purchase of convertible note | (1,300) | ||
Net cash provided by (used in) investing activities | 14,853 | (2,155) | (22,969) |
Cash flows from financing activities: | |||
Proceeds from issuance of common stock | 2,886 | 1,918 | 1,477 |
Repayment of debt, capital leases and warrants | (628) | ||
Payment of acquisition related earn-out | (100) | ||
Net cash used in financing activities | (40) | (525) | (839) |
Net increase (decrease) in cash and cash equivalents | 10,887 | 493 | (23,423) |
Cash and cash equivalents at beginning of period | 4,483 | 3,990 | 27,413 |
Cash and cash equivalents at end of period | 15,370 | 4,483 | 3,990 |
Supplemental disclosure of cash flow information: | |||
Income taxes paid | 1 | 3 | |
Interest paid | 18 | ||
Non-cash investing and financing activities: | |||
Unpaid portion of capital expenditures | 201 | 146 | 122 |
Contingent consideration for business acquisition | 231 | 311 | |
Holdback payable for business acquisition | 780 | ||
Shares issued for business acquisition and related earn-out | 390 | 165 | |
Restricted Stock Units (RSUs) | |||
Cash flows from financing activities: | |||
Shares repurchased for tax withholdings on vesting of RSUs | $ (2,926) | $ (2,443) | $ (1,588) |
Overview And Basis of Presentat
Overview And Basis of Presentation | 12 Months Ended |
Jan. 31, 2019 | |
Accounting Policies [Abstract] | |
Overview and Basis of Presentation | Note 1: Overview and Basis of Presentation Ooma, Inc. and its wholly-owned subsidiaries (collectively, “Ooma” or the “Company”) create new communications experiences for businesses and consumers. T he Company’s smart SaaS platform serves as a communications hub, which offers cloud-based communications solutions, smart security and other connected services. Principles of Presentation and Consolidation. The accompanying consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) and include the accounts of the Company and its wholly owned subsidiaries. All intercompany transactions and balances have been eliminated upon consolidation. In the opinion of the Company’s management, the consolidated financial statements reflect all adjustments, which are normal and recurring in nature, necessary for fair financial statement presentation. Fiscal Year . T he Company’s fiscal year ends on January 31. References to fiscal 2019, fiscal 2018 and fiscal 2017 refer to the fiscal years ended January 31, 2019, January 31, 2018 and January 31, 2017, respectively. Use of Estimates. The preparation of the Company’s financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in these consolidated financial statements and accompanying notes. Actual results could differ materially from those estimates. Comprehensive Loss. For all periods presented, comprehensive loss approximated net loss in the consolidated statements of operations and the difference was not material. Therefore, the consolidated statements of comprehensive loss have been omitted. Segment Reporting. The chief operating decision maker for the Company is the chief executive officer. The Company’s subscription plans, services and product offerings operate on a single SaaS platform and the chief executive officer reviews financial information presented on a consolidated basis for purposes of allocating resources and evaluating financial performance. Accordingly, management has determined that the Company operates in one reportable segment Revenue was principally derived from customers located in the United States for all periods presented. All of the Company’s long-lived assets were attributable to operations in the United States, with a small portion attributable to operations in Canada and other countries, for all periods presented. Secondary Public Offering. The Company completed its IPO in July 2015. In January and March 2017, the Company completed two secondary offerings in which certain stockholders of the Company sold an aggregate of 3.3 million shares and 3.3 million shares, respectively, of the Company’s common stock at a public offering price of $8.65 per share and $8.85 per share, respectively, including 0.4 million shares sold upon the underwriters’ exercise of the overallotment option in the March offering. The Company did not receive any of the proceeds from these offerings |
Significant Accounting Policies
Significant Accounting Policies | 12 Months Ended |
Jan. 31, 2019 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies | Note 2: Significant Accounting Policies Revenue Recognition On February 1, 2018, the Company adopted Topic 606, Revenue from Contracts with Customers Revenue Recognition Recent Accounting Standards The Company derives its revenue from two sources: (1) subscription and services revenue, which are generated from sales of subscription plans for communications services and other connected services; and (2) product and other revenue. Subscriptions and services are sold directly to end-customers. Products are sold to end-customers through several channels, including but not limited to, distributors, retailers and resellers (collectively the “channel partners”), and Ooma sales representatives. Under Topic 606, the Company determines revenue recognition through the following steps: • identification of the contract(s) with a customer; • identification of the performance obligations in the contract; • determination of the transaction price; • allocation of the transaction price to the performance obligations in the contract; and • recognition of revenue when, or as, the Company satisfies a performance obligation Revenue is recorded net of any sales and telecommunications taxes collected from customers to be remitted to government authorities. Under Topic 606, the Company has maintained its policy to exclude these taxes from revenue. Revenue disaggregated by revenue source consisted of the following (in thousands): Fiscal Year Ended January 31, 2019 2018 2017 Subscription and services revenue $ 116,429 $ 101,999 $ 91,127 Product and other revenue 12,802 12,491 13,397 Total revenue $ 129,231 $ 114,490 $ 104,524 The Company derived approximately 68%, 71% and 72% of its total revenue from Ooma Residential and approximately 28%, 22% and 16% from Ooma Business in fiscal 2019, 2018 and 2017, respectively. No individual country outside of the United States represented 10% or more of total revenue for the periods presented. No Subscription and Services Revenue. Most of the Company’s revenue is derived from recurring subscription fees related to service plans such as Ooma Business, Ooma Residential and other communications services. All subscription revenue is recognized ratably over the contractual service term. The Company’s service plans are generally sold as monthly subscriptions; however, certain plans are also offered as annual subscriptions. A small portion of the Company’s revenue is recognized on a point-in-time usage basis from services such as: prepaid international calls, directory assistance, and advertisements displayed through its Talkatone mobile application. Product and Other Revenue. Product and other revenue is generated from the sale of on-premise appliances and end-point devices, including shipping and handling fees for the Company’s direct customers, and to a lesser extent from porting fees that enable customers to transfer their existing phone numbers. The Company recognizes revenue from sales to direct end-customers and channel partners at the point in time that control transfers which is typically when it delivers the product or when all customer contractual provisions have been met, if any. The Company’s distribution agreements with channel partners typically contain clauses for price protection and right of return. Therefore, the amount of product revenue recognized is adjusted for any variable consideration, such as expected returns and customer sales incentives as described in “Sales Allowances” below. Amounts billed to customers related to shipping and handling are classified as revenue. Shipping and handling costs are expensed as incurred and classified as cost of revenue . Multiple performance obligations. The Company’s contracts with customers typically contain multiple performance obligations that consist of product(s) and related communications services. For these contracts, the Company accounts for individual performance obligations separately if they are distinct. The contract transaction price is then allocated to the separate performance obligations on a relative stand-alone selling price (“SSP”) basis. The Company determines the SSP for its communications services based on observable historical stand-alone sales to customers, for which the Company requires that a substantial majority of selling prices fall within a reasonably narrow pricing range. The Company does not have a directly observable SSP for its on-premise appliance and end-point devices, and therefore establishes SSP based on its best estimates and judgments, considering company-specific factors such as pricing strategies, estimated product and other costs, and bundling and discounting practices. Sales allowances. Credits and/or rebates issued to customers for product returns and sales incentives are deemed to be variable consideration under Topic 606, which the Company estimates and records as a reduction to revenue at the point of sale. Product returns and customer sales incentives are estimated based on the Company’s historical experience, current trends and expectations regarding future experience. Trends are influenced by product life cycles, new product introductions, market acceptance of products, the type of customer, seasonality and other factors. Product return and sales incentive rates may fluctuate over time but are sufficiently predictable to allow the Company to estimate expected future amounts. If actual future returns and sales incentives differ from past experience, additional reserves may be required. As of January 31, 2019 and 2018, the Company had total reserves for product returns and customer sales incentives of $0.6 million and $0.6 million, respectively Cash Equivalents and Short-term Investments . All highly liquid investments with an original maturity of three months or less at the date of purchase are classified as cash equivalents. Short-term investments are classified as available-for-sale and carried at fair value, with unrealized gains and losses, net of tax, recorded as a separate component of stockholders’ equity within accumulated other comprehensive (loss) income. All realized gains and losses and unrealized losses believed to be other-than-temporary are recorded in other expense, net in the current period. The cost of securities sold is based upon the specific identification method. Fair Value of Financial Instruments. The Company records its financial assets and liabilities at fair value. Fair value is defined as 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 reporting date. The Company estimates and categorizes the fair value of its financial assets by applying the following hierarchy: ▪ Level 1: Quoted prices (unadjusted) for identical assets or liabilities in active markets. ▪ Level 2: Observable prices based on inputs not quoted in active markets but are corroborated by market data. ▪ Level 3: Unobservable inputs that are supported by little or no market activity Transfers among Level classifications are recognized as of the actual date of the events or change in circumstances that caused the transfers. The carrying value of the Company’s financial instruments, including cash equivalents, accounts receivable, inventory, accounts payable and other current assets and current liabilities approximates fair value due to their short maturities. Concentration of Credit Risk. Financial instruments that potentially subject the Company to a concentration of credit risk consist of cash equivalents, short-term investments, accounts receivables and other receivables. The Company’s cash equivalents and short-term investments are held by financial institutions that management believes are of high-credit quality. Such investments and deposits may, at times, exceed federally insured limits. The Company performs credit evaluations of its channel partners’ financial condition and generally does not require collateral for sales made on credit. As of January 31, 2019 and 2018, one of the Company’s customers accounted for 15% and 10%, respectively, of the Company’s net accounts receivable balance. Accounts Receivable. Accounts receivable are stated at invoice value less estimated allowances for doubtful accounts, product returns and customer sales incentives. The Company records its allowances for doubtful accounts based upon its assessment of several factors, including historical experience, aging of receivable balances and economic conditions. As of January 31, 2019 and 2018, the Company recorded allowances for doubtful accounts of $0.1 million and $0.4 million, respectively. (See “Sales Allowances” above regarding allowances for product returns and sales incentives.) Inventories. Inventories, which consist of raw materials and finished goods, include the cost to purchase manufactured products, allocated labor and overhead. Inventories are stated at the lower of actual cost or market on a first-in, first-out basis. The Company writes down its inventory for estimated excess and obsolete inventory based upon management’s assessment of future demand and market conditions, and establishes a new cost basis for the inventory. Adjustments to reduce inventory to net realizable value are recognized as a component of cost of revenue in the consolidated statement of operations. Customer Acquisition Costs . Sales commissions and other costs paid to internal sales personnel, third-party sales entities and value-added resellers are considered incremental and recoverable costs of obtaining customer contracts. ( The resellers are selling agents for the Company and earn sales commissions which are directly tied to the value of the contracts that the Company enters with the end-user customers.) Under Topic 606, beginning fiscal 2019, these costs are capitalized and amortized on a systematic basis over the expected period of benefit of five years, calculated based on both qualitative and quantitative factors, such as expected subscription term and expected renewal periods of its customer contracts, product life cycles and customer attrition. Amortization expense is included in sales and marketing expenses in the consolidated statement of operations. The Company pays sales commissions on initial contracts and contracts for increased purchases with existing customers (expansion contracts). The Company does not pay sales commissions for contract renewals. The Company periodically evaluates whether there have been any changes in its business, the market conditions in which it operates or other events which would indicate that its amortization period should be changed or if there are potential indicators of impairment. As of January 31, 2019, total deferred commission costs on the consolidated balance sheet was approximately $4.5 million, of which the $1.1 million current portion was included in other current assets and the $3.4 million non-current portion was included in other assets. During fiscal 2019, amortization expense was $0.7 million a nd there was no impairment loss in relation to the costs capitalized Website Development Costs. The Company capitalizes certain costs to develop its websites when preliminary development efforts are successfully completed, management has authorized and committed project funding, and it is probable that the project will be completed and the software will be used as intended. Such costs are amortized on a straight-line basis over the estimated useful life of approximately two years. Costs related to preliminary project activities and post-implementation activities are expensed as incurred. The Company capitalized website development costs of approximately $0.8 million, $0.6 million and $0.4 million in fiscal 2019, 2018 and 2017, respectively. Property and Equipment. Property and equipment are stated at cost, less accumulated depreciation. Depreciation is computed over the estimated useful lives of the assets, using the straight-line method, generally three to five years. Leasehold improvements are amortized over the shorter of the lease term or estimated useful lives of the respective assets. Repairs and maintenance costs that do not extend the life or improve the asset are expensed as incurred. Goodwill . Goodwill represents the excess of the purchase price over the fair value of the net assets acquired in a business combination. Goodwill is evaluated for impairment annually in the fourth quarter of its fiscal year, or more frequently if indicators of potential impairment arise. The Company has a single reporting unit and consequently evaluates goodwill for impairment based on an evaluation of the fair value of the Company as a whole. No impairment has been recognized for any of the periods presented. Intangible Assets. Acquired intangible assets other than goodwill, which primarily consist of developed technology and customer relationships, are amortized over their useful lives unless the lives are determined to be indefinite. For intangible assets acquired in a business combination, the estimated fair values of the assets received are used to establish their recorded values. Valuation techniques consistent with the market approach, income approach and/or cost approach are used to measure fair value. Impairment of Long-Lived Assets. Long-lived assets, such as property and equipment, capitalized website development costs, and intangible assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to estimated undiscounted future cash flows expected to be generated by the asset. If the carrying amount of an asset exceeds its estimated future cash flows, an impairment charge is recognized by the amount by which the carrying amount of the asset exceeds the fair value of the asset. The Company has not recorded any material impairment charges. Research and Development. Research and development costs, including new product development, are charged to operating expenses as incurred in the consolidated statements of operations. Research and development included personnel-related costs (including stock-based compensation), allocated costs of facilities and information technology, supplies, software tools and product certification. Advertising. Advertising costs are included in sales and marketing and expensed as incurred, except for production costs associated with television and radio advertising, which are expensed on the first date of airing. Advertising costs were $13.7 million, $14.4 million and $16.5 million for fiscal 2019, 2018 and 2017, respectively. Advertising payments to the Company’s channel partners are recorded as a reduction in revenue. These costs totaled $0.3 million annually for each of the fiscal years 2019, 2018 and 2017, respectively. Stock-Based Compensation . Stock-based compensation expense for all stock-based awards granted to employees is measured at the grant date based on the fair value of the equity award and is recognized as expense over the requisite service period, which is generally the vesting period. The fair value of options granted is estimated on the date of grant using the Black-Scholes option pricing model. The fair value of each RSU granted is determined using the fair value of the Company’s common stock on the date of grant. The fair value of each stock purchase right under the Company's ESPP is calculated based on the closing price of the Company's stock on the date of grant and the value of a call and put option is estimated using the Black-Scholes pricing model. See Note 7: Stockholders’ Equity and Note 8: Stock-based Compensation below for additional information. Income Taxes. Income taxes are recorded using the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income (or loss) in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Valuation allowances are established when necessary to reduce deferred tax assets to the amount expected to be realized. A tax position is recognized when it is more-likely-than-not that the tax position will be sustained upon examination, including resolution of any related appeals or litigation processes. A tax position that meets the more likely than not recognition threshold is measured at the largest amount of benefit that is greater than 50% likely of being realized upon ultimate settlement with a taxing authority. Interest and penalties associated with unrecognized tax benefits are classified as income tax expense. The Company had no interest or penalty accruals associated with uncertain tax benefits in its consolidated balance sheets and statements of operations for any periods presented. Foreign currency. The U.S. dollar is the functional currency of the Company's foreign subsidiaries. Foreign currency remeasurement and transaction gains and losses are included in other expense, net and have not been material for any periods presented. |
Recent Accounting Standards
Recent Accounting Standards | 12 Months Ended |
Jan. 31, 2019 | |
Accounting Policies [Abstract] | |
Recent Accounting Standards | Note 3: Recent Accounting Standards Adopted Accounting Standards Revenue Recognition. In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2014-09, Revenue from Contracts with Customers ( Topic 606 ), which superseded the revenue recognition guidance in Topic 605 with a comprehensive revenue measurement and recognition standard and expanded disclosure requirements. Topic 606 also includes Subtopic 340-40, Other Assets and Deferred Costs – Contracts with Customers , which requires the deferral of incremental costs to acquire customer contracts, including sales commissions. The Company adopted the new standard effective February 1, 2018 under the modified retrospective method applied to only those contracts that were not completed as of the adoption date. The Company’s financial results for fiscal 2019 are presented in accordance with the provisions under Topic 606. Comparative prior period amounts have not been adjusted and continue to be reported under the historic accounting standards in effect for the periods presented. The Company has implemented policies, processes and controls to support the standard's measurement and disclosure requirements. The new standard impacted revenue recognition timing on product sales made to certain channel partners, whereby revenue is now recognized when the Company delivers product to the channel partner (sell-in basis) rather than deferring recognition until resale by the partner to the end customer (sell-through basis). The adoption of the new standard also changed the treatment of sales commissions, whereby the Company now capitalizes its incremental costs of acquiring customer contracts and amortizes these deferred costs over the expected period of benefit. Previously, all sales commissions were expensed as incurred. See Note 2: Significant Accounting Policies As a result of adopting Topic 606, the February 1, 2018 beginning balance of accumulated deficit increased by $0.3 million, reflecting a net decrease to deferred revenue of approximately $1.0 million and adjustments to deferred inventory costs and other related accounts of approximately $1.3 million. Deferred inventory costs represented the inventory that was shipped to a channel partner and had not been sold through to an end-customer. Deferred commissions related to open contracts as of the adoption date were immaterial. The following tables summarize the impact of adopting Topic 606 on the Company’s consolidated statement of operations and balance sheet (in thousands, except per share amounts): Statement of Operations: Fiscal Year Ended January 31, 2019 As Reported Effect of Change Balances without adoption of Topic 606 Total revenue $ 129,231 $ (169 ) $ 129,062 Total cost of revenue 52,740 (493 ) 52,247 Gross profit 76,491 324 76,815 Sales and marketing expense 40,761 4,468 45,229 Net loss (14,572 ) (4,144 ) (18,716 ) Net loss per share - basic and diluted (0.74 ) (0.21 ) (0.95 ) Balance Sheet: As of January 31, 2019 As Reported Effect of Change Balances without adoption of Topic 606 Accounts receivable, net $ 3,723 $ 49 $ 3,772 Other current assets (1) 5,450 308 5,758 Other assets (2) 5,379 (3,387 ) 1,992 Accrued expenses (3) 19,048 (732 ) 18,316 Deferred revenue 15,443 1,554 16,997 Accumulated deficit (105,795 ) (3,852 ) (109,647 ) (1) (2) (3) The adoption of the new standard did not have any impact on net cash flows for operating, investing and financing activities in the consolidated statements of cash flows. Business Combinations . The Company adopted ASU 2017-01, Business Combinations (Topic 805) – Clarifying the Definition of a Business in the first quarter of fiscal 2019. The updated standard provided guidance to assist entities in evaluating when a set of transferred assets and activities constitutes a business. To be considered a business, an acquisition would have to include an input and a substantive process that together significantly contributes to the ability to create outputs. The adoption of this standard had no impact on the Company’s consolidated financial statements. Accounting Standards Not Yet Adopted Leases . In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) which supersedes the lease accounting guidance in Topic 840 and requires that the Company recognize operating leased assets and corresponding liabilities on the balance sheet and provide enhanced disclosure of lease activity. The Company is adopting Topic 842 effective February 1, 2019 using the optional transition method, whereby it will not be adjusting comparative period financial statements for the new standard. The Company has substantially completed its process to identify its population of lease arrangements and its evaluation of each arrangement under the guidance. The Company has elected the package of practical expedients, which among other things, allows the Company to maintain its existing classification of its current leases. The Company has also elected as an accounting policy not to separate non-lease components from lease components and instead to account for these components as a single component. Additionally, the Company has made a policy election to not recognize leased assets and liabilities on the balance sheet for leases with an initial term of 12 months or less. The Company expects to record right-of-use leased assets and corresponding liabilities between $3.8 million and $4.8 million at the beginning of the first quarter of fiscal 2020. The Company does not expect the adoption to have a material impact on its consolidated statement of operations and its consolidated statement of cash flows. Stock-based Compensation . In June 2018, the FASB issued ASU 2018-07, Compensation – Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting, which expands the scope of Topic 718 to include and simplify the accounting for share-based payments issued to nonemployees. Under the amended standard, most of the guidance on nonemployee share-based payments would be aligned with the requirements for share-based payments granted to employees. The new standard is effective for the Company beginning in fiscal 2020. The Company does not expect the adoption to have a material impact on its consolidated financial statements. Fair Value Measurement. In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurements , which expands the disclosure requirements for Level 3 fair value measurements as well as eliminates, adds and modifies certain other disclosure requirements for fair value measurements. The amendment is effective for the Company beginning in fiscal 2020. The Company is evaluating the effect of adoption on its consolidated financial statements. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Jan. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Note 4: Fair Value Measurements The Company’s financial assets and liabilities that are measured at fair value on a recurring basis by level within the fair value hierarchy were as follows (in thousands): Balance as of January 31, 2019 Balance as of January 31, 2018 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Assets: Cash and cash equivalents: Money market funds $ 5,951 $ — $ — $ 5,951 $ 554 $ — $ — $ 554 Commercial paper — 5,429 — 5,429 — 2,844 — 2,844 Total cash equivalents $ 5,951 $ 5,429 $ — $ 11,380 $ 554 $ 2,844 $ — $ 3,398 Cash 3,990 1,085 Total cash and cash equivalents $ 15,370 $ 4,483 Short-term investments: U.S. government securities $ 11,087 $ — $ — $ 11,088 $ 20,867 $ — $ — $ 20,867 Corporate debt securities — 4,735 — 4,735 — 13,895 — 13,895 Commercial paper — 8,253 — 8,253 — 9,272 — 9,272 U.S. agency securities — 990 — 990 — 1,996 — 1,996 Asset-backed securities — 2,187 — 2,187 — 1,277 — 1,277 Total short-term investments $ 11,087 $ 16,165 $ — $ 27,253 $ 20,867 $ 26,440 $ — $ 47,307 Liabilities: Contingent consideration $ — $ — $ 200 $ 200 $ — $ — $ 311 $ 311 Total liabilities $ — $ — $ 200 $ 200 $ — $ — $ 311 $ 311 The Company classifies its cash equivalents and short-term investments within Level 1 or Level 2 because it uses quoted market prices or alternative pricing sources and models utilizing market observable inputs to determine their fair value. Commercial paper was valued using market prices, if available, adjusted for accretion of the purchase price to face value at maturity. There were no transfers of financial assets or liabilities between levels during the periods presented For the periods presented, the amortized cost of cash equivalents and marketable securities approximated their fair value and there were no material realized or unrealized gains or losses, either individually or in the aggregate. No investments in the Company’s portfolio were other-than-temporarily impaired. Level 3 liabilities consisted of contingent consideration related to the Company’s acquisitions of Butterfleye in December 2017 and Voxter in March 2018 that were estimated using an income-based approach. Key inputs included assumptions regarding the achievement of certain performance milestones and discount rates consistent with the level of risk and economy in general. Contingent consideration is classified as a component of accrued expenses on the consolidated balance sheets and changes in fair value are recorded to general and administrative expenses in the consolidated statements of operations. Changes in the Level 3 fair value category for the periods presented were as follows (in thousands): Contingent Consideration Balance at January 31, 2017 $ — Add: contingent consideration from Butterfleye acquisition 311 Balance at January 31, 2018 311 Add: contingent consideration from Voxter acquisition 231 Changes in fair value (342 ) Balance at January 31, 2019 $ 200 The following table classifies the Company’s short-term investments by contractual maturities (in thousands): As of January 31, 2019 As of January 31, 2018 Amortized Value Fair Value Amortized Value Fair Value One year or less $ 27,263 $ 27,253 $ 43,227 $ 43,172 Over one year and less than two years — — 4,164 4,135 Total $ 27,263 $ 27,253 $ 47,391 $ 47,307 |
Goodwill and Acquired Intangibl
Goodwill and Acquired Intangible Assets | 12 Months Ended |
Jan. 31, 2019 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill and Acquired Intangible Assets | Note 5: Goodwill and Acquired Intangible Assets The carrying amount of goodwill was $3.9 million and $1.9 million as of January 31, 2019 and 2018, respectively. The Company recognized $2.1 million in intangibles and $1.9 million in goodwill following the acquisition of Voxter in March 2018. See Note 12: Acquisitions and Divestitures below. Goodwill increased $0.1 million subsequent to this acquisition based on a deferred tax liability adjustment recorded in the fourth quarter of fiscal 2019. The gross value, accumulated amortization and carrying values of intangible assets were as follows (in thousands): As of January 31, 2019 As of January 31, 2018 Estimated life (in years) Gross Value Accumulated Amortization Carrying Value Gross Value Accumulated Amortization Carrying Value Developed technology 5 $ 2,716 $ (1,121 ) $ 1,595 $ 1,568 $ (630 ) $ 938 Customer relationships 5 902 (157 ) 745 — — — Trade name 5 451 (166 ) 285 262 (81 ) 181 Patents and licenses 3.8-7 714 (704 ) 10 714 (698 ) 16 User relationships N/A — — — 458 (458 ) — Total amortizable assets 4,783 (2,148 ) 2,635 3,002 (1,867 ) 1,135 In-process R&D (1) N/A — — — 157 — 157 Total intangible assets $ 4,783 $ (2,148 ) $ 2,635 $ 3,159 $ (1,867 ) $ 1,292 (1) Amortization expense was $0.7 million, $0.3 million and $0.3 million in fiscal 2019, 2018 and 2017, respectively. At January 31, 2019, the estimated future amortization expense for intangible assets is as follows (in thousands): Fiscal Years Ending January 31, Total 2020 691 2021 642 2022 638 2023 612 2024 and thereafter 52 Total $ 2,635 |
Balance Sheet Components
Balance Sheet Components | 12 Months Ended |
Jan. 31, 2019 | |
Balance Sheet Components [Abstract] | |
Balance Sheet Components | Note 6: Balance Sheet Components The following sections and tables provide details of selected balance sheet items (in thousands): Inventories As of January 31, 2019 2018 Finished goods $ 7,567 $ 5,517 Raw materials 2,550 562 Total inventory $ 10,117 $ 6,079 Other current assets As of January 31, 2019 2018 Prepaid expenses $ 2,681 $ 1,921 Deferred sales commissions (1) 1,081 — Deferred inventory costs (1) 334 1,061 Other current assets 1,354 1,415 Total other current assets $ 5,450 $ 4,397 (1) Changes in deferred inventory costs and deferred sales commissions were attributable to the Company’s adoption of Topic 606 on February 1, 2018. See Note 2: Significant Accounting Policies Property and equipment, net As of January 31, Estimated Life (in years) 2019 2018 Computer equipment and software 3-4 $ 7,109 $ 7,180 Website development costs 2 3,323 2,579 Machinery and equipment 3-5 1,190 1,473 Office furniture and fixtures 5 114 88 Leasehold improvements Shorter of estimated life or remaining lease term 449 651 Total property and equipment $ 12,185 $ 11,971 Less: accumulated depreciation and amortization (7,622 ) (7,239 ) Property and equipment, net $ 4,563 $ 4,732 Depreciation and amortization of property and equipment (including website development) totaled $2.3 million, $2.0 million and $1.6 million in fiscal 2019, 2018 and 2017, respectively. Other long-term assets As of January 31, 2019 2018 Deferred sales commissions (1) $ 3,387 $ — Convertible note receivable 1,300 — Other assets 692 336 Total other assets $ 5,379 $ 336 (1) Significant Accounting Policies In December 2018, the Company invested $1.3 million in cash to Global Telecomm Corporation (“GTC”), a small privately-held technology company, in exchange for an 18-month convertible promissory note, bearing interest at 10% annually. The principal and unpaid accrued interest on the promissory note will convert to shares of GTC common or preferred stock upon the occurrence of certain future events. The Company has partnered with GTC on certain research and development efforts. The Company is required to consolidate the assets and liabilities of variable interest entities (“VIEs”) in which it is deemed to be the primary beneficiary. The primary beneficiary is the party that has the power to make the decisions that most significantly affect the economic performance of the VIE and has the obligation to absorb losses or the right to receive benefits that could potentially be significant to the VIE. GTC is considered a VIE because, among other factors, it lacks sufficient equity to permit the entity to finance its activities without additional subordinated financial support from other parties. The Company’s convertible promissory note represents a variable interest. However, the Company does not participate in the day-to-day operating decisions or other decisions that would allow it to control GTC, and therefore, the Company is not considered the primary beneficiary and does not need to consolidate GTC’s financial statements. As of January 31, 2019, the Company’s maximum exposure to loss was equal to the carrying value of its convertible promissory note. For all periods presented, the Company had no other variable interests in VIEs. Accrued expenses As of January 31, 2019 2018 Payroll and related expenses $ 7,926 $ 5,423 Regulatory fees and taxes 5,645 5,239 Acquisition-related consideration 925 353 Other 4,552 3,762 Total accrued expenses $ 19,048 $ 14,777 Deferred revenue Deferred revenue primarily consists of billings or payments received in advance of meeting revenue recognition criteria. The Company’s communications services are sold as monthly or annual subscriptions, payable in advance. The Company recognizes deferred services revenue on a ratable basis over the term of the contract as the services are provided. For all arrangements, any revenue that has been deferred and is expected to be recognized beyond one year is classified in long term liabilities on the consolidated balance sheets. As of January 31, 2019 2018 Deferred revenue: Subscription and services $ 15,682 $ 14,568 Product and other 68 1,416 Total deferred revenue 15,750 15,984 Less: current deferred revenue 15,443 15,556 Noncurrent deferred revenue included in other long-term liabilities $ 307 $ 428 During fiscal 2019, the Company recognized revenue of approximately $14.2 million pertaining to amounts deferred as of January 31, 2018. As of January 31, 2019, the Company’s deferred revenue balance was primarily composed of subscription contracts that were invoiced during fiscal 2019. Remaining Performance Obligations. As of January 31, 2019, revenue of approximately $0.5 million is expected to be recognized from remaining performance obligations for open contracts with an original expected length of more than one year. This amount includes both long-term deferred revenue and non-cancelable contract amounts that will be invoiced and recognized as revenue in future periods. |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Jan. 31, 2019 | |
Equity [Abstract] | |
Stockholders' Equity | Note 7: Stockholders’ Equity Common Stock Reserved for Future Issuance The Company had shares of common stock reserved for issuance as follows: As of January 31, 2019 2018 Restricted stock units outstanding 1,925,311 1,966,895 Options to purchase common stock 1,691,272 1,801,232 Shares available for future issuance under stock plans 1,141,482 928,024 Shares reserved under ESPP 249,933 598,033 Warrants to purchase common stock 1,107 4,881 Total shares reserved for issuance 5,009,105 5,299,065 2015 Equity Incentive Plan (“2015 Plan”) T he Company’s 2015 Plan provides for the grant of incentive stock options to its employees and any of its subsidiary corporations’ employees, and for the grant of RSUs, non-statutory stock options, stock appreciation rights, restricted stock, performance units and performance shares to its employees, directors and consultants and its subsidiary corporations’ employees and consultants. Stock Options. Options to purchase shares of common stock may be granted to employees, directors and consultants. These options vest from date of grant to up to five years and expire ten years from the date of grant. Options may be exercised anytime during their term in accordance with the vesting/exercise schedule specified in the recipient’s stock option agreement and in accordance with the plan provisions. Shares issued upon exercise prior to vesting, are subject to a right of repurchase, which lapses according to the original option vesting schedule. Stock option activity for fiscal 2019 was as follows : Weighted Average Weighted Average Aggregate Number of Exercise Price Contractual Term Intrinsic Value Shares Per Share (in years) (in thousands) Balance as of January 31, 2018 1,801,232 $ 6.09 6.2 $ 8,270 Granted 100,000 $ 11.75 Exercised (185,535 ) 6.03 Canceled (24,425 ) 9.48 Balance as of January 31, 2019 1,691,272 $ 6.39 5.4 $ 14,755 Vested and exercisable - January 31, 2019 1,525,946 $ 5.86 5.1 $ 14,112 The aggregate intrinsic value of vested options exercised during fiscal 2019, 2018 and 2017 was $1.3 million, $0.3 million and $1.3 million, respectively. The weighted average grant date fair value of options granted during fiscal 2019, 2018 and 2017 was $5.28 per share, $4.81 per share and zero , respectively. No stock options were granted during fiscal 2017. Restricted Stock Units . RSUs may be granted to employees, non-employee board members and consultants. These RSUs vest ratably over a period ranging from one to four years, and are subject to the participant’s continuing service to the Company over that period. Until vested, RSUs do not have the voting and dividend participation rights of common stock and the shares underlying the awards are not considered issued and outstanding. RSU activity for fiscal 2019 and 2018 was as follows : Number of Shares Weighted Average Grant-Date Fair Value Per Share Balance as of January 31, 2017 1,859,196 $ 7.65 Granted 1,222,605 10.17 Vested (936,869 ) 8.54 Canceled (178,037 ) 8.77 Balance as of January 31, 2018 1,966,895 8.85 Granted 1,176,647 11.96 Vested (921,533 ) 9.12 Canceled (296,698 ) 9.70 Balance as of January 31, 2019 1,925,311 $ 10.49 Vested RSUs included shares of common stock that the Company withheld on behalf of certain employees to satisfy the minimum statutory tax withholding requirements, as defined by the Company. The Company withheld an aggregate amount of $2.9 million, $2.4 million and $1.6 million in fiscal 2019, 2018 and 2017, respectively, which were classified as financing cash outflows in the consolidated statements of cash flows. The Company canceled and returned these shares to the 2015 Plan, which are available under the plan terms for Employee Stock Purchase Plan The ESPP allows eligible employees to purchase shares of common stock at a discount through payroll deductions of up to 15% of their eligible compensation (subject to plan limitations). The ESPP provides for a 24-month offering period comprised of four purchase periods of approximately six months. Employees are able to purchase shares at 85% During fiscal 2019, 2018 and 2017, employees purchased 0.3 million, 0.3 million and 0.2 million shares, respectively, at a weighted purchase price of $6.82, $5.48 and $5.01 per share, respectively. |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Jan. 31, 2019 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock-Based Compensation | Note 8: Stock-Based Compensation Total stock-based compensation recognized for stock-based awards in the consolidated statements of operations was as follows (in thousands): Fiscal Year Ended January 31, 2019 2018 2017 Cost of revenue $ 920 $ 1,102 $ 1,026 Sales and marketing 1,442 1,818 1,438 Research and development 3,762 3,972 3,586 General and administrative 4,246 4,029 3,722 Total stock-based compensation expense $ 10,370 $ 10,921 $ 9,772 The income tax benefit related to stock-based compensation expense was zero for all periods presented due to a full valuation allowance on the Company's deferred tax assets (see Note 9: Income Taxes As of January 31, 2019, there was $20.2 million of unrecognized stock-based compensation expense related to unvested RSUs, stock options and ESPP that will be recognized on a straight-line basis over the remaining weighted-average vesting period of approximately 2.5 years. Fair value disclosures. The fair value of stock options granted and purchased under the Company's ESPP was estimated using the Black-Scholes option pricing model. The expected term of options granted to employees was based on the simplified method as the Company does not have sufficient historical exercise data, and the expected term of the ESPP was based on the contractual term. As the Company does not have a significant trading history for its common stock, expected volatility was determined using a combination of the average historical volatility of a group of comparable publicly traded companies and its own common stock. Risk-free interest rate was based on the yields of U.S. Treasury securities with maturities similar to the expected term. Dividend yield was zero as the Company does not have any history of, nor plans to make, dividend payments. The fair value of employee stock options and ESPP was estimated using the Black–Scholes model with the following assumptions, as applicable: Fiscal Year Ended January 31, 2019 2018 2017 Stock Options: Expected volatility 43% 47% NA Expected term (in years) 6.1 6.1 NA Risk-free interest rate 2.7 1.8%-2.1% NA Dividend yield NA NA NA Fiscal Year Ended January 31, 2019 2018 2017 ESPP: Expected volatility 39%-56% 35%-41% 37%-50% Expected term (in years) 0.5-2.0 0.5-2.0 0.5-2.0 Risk-free interest rate 2.0%-2.8% 0.9%-1.4% 0.5%-1.0% Dividend yield NA NA NA |
Income Taxes
Income Taxes | 12 Months Ended |
Jan. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 9: Income Taxes Income tax benefit differed from the amount computed by applying the federal blended statutory income tax rate of 21% to pretax loss as a result of the following (in thousands): Fiscal Year Ended January 31, 2019 Rate 2018 Rate 2017 Rate Federal tax at statutory rate $ (3,141 ) 21 % $ (4,316 ) 33 % $ (4,403 ) 34 % Impact of U.S. tax law change 58 — 11,667 (89 )% — — Change in valuation allowance 5,603 (37 )% (6,786 ) 52 % 4,881 (38 )% Research and development credit (2,155 ) 14 % (1,080 ) 8 % (738 ) 6 % State taxes (494 ) 3 % (396 ) 3 % (230 ) 2 % Stock-based compensation (991 ) 7 % 387 (3 )% 387 (3 )% Permanent tax adjustment 843 (6 )% 527 (4 )% 103 (1 )% Impact of foreign operations (105 ) 1 % — — — — Other (2 ) — — — — — Total $ (384 ) (3 )% $ 3 0 % $ — 0 % Income tax expense differs from the amount computed by applying the statutory federal income tax rate primarily as the result of changes in the valuation allowance. The tax effects of temporary differences that give rise to significant portions of the Company’s deferred tax assets and liabilities related to the following (in thousands): As of January 31, 2019 2018 Deferred tax assets: Accruals and reserves $ 1,549 $ 2,281 Stock-based compensation 1,071 1,030 Intangible assets amortization (21 ) 61 Deferred revenue 73 125 Net operating loss carry forwards 26,277 22,047 Tax credit carryover 5,977 3,810 Gross deferred tax assets 34,926 29,354 Valuation allowance (34,309 ) (28,657 ) Net deferred tax assets $ 617 $ 697 Deferred tax liabilities: Acquired intangible assets $ (607 ) $ (313 ) Fixed assets depreciation (154 ) (384 ) Gross deferred tax liabilities $ (761 ) $ (697 ) Total deferred tax liabilities $ (144 ) $ — On December 22, 2017, the Tax Cuts and Jobs Act (“Tax Act”) was enacted, reducing the corporate income tax rate from 35% to 21%, effective January 1, 2018. The carrying value of the Company's deferred tax assets was also determined by the enacted U.S. corporate income tax rate. Consequently, any changes in the U.S. corporate income tax rate have impacted the carrying value of the Company’s deferred tax assets. Under the new corporate income tax rate of 21%, deferred income taxes decreased, with a corresponding decrease to the valuation allowance. Therefore, the Tax Act had no impact on the Company's fiscal 2019 net loss. As of January 31, 2019, the Company has completed its accounting of the tax effects from the enactment of the Tax Act. The Company has a Section 162(m) stock awards limitation on deferred tax assets of $0.1 million. Effective for tax years beginning on January 1, 2018 or later, which is considered fiscal 2019 for the Company, tax reform legislation modifies Section 162(m) rules to repeal the performance-based compensation and commission exceptions to the $1.0 million deduction limitation. However, written binding contracts in effect on November 2, 2017, including plans where the right to participate in the plan is part of a written contract with an executive, are grandfathered and not subject to limitation under Section 162(m). The Company believes some of its contracts will not be subject to limitation and will continue to monitor the deferred tax assets related to deferred compensation expense and share-based compensation expense on a going forward basis. Management believes that, based on available evidence, both positive and negative, it is more likely than not that the deferred tax assets will not be utilized, such that a full valuation allowance has been recorded. The valuation allowance for deferred tax assets was $34.3 million, $28.7 million and $34.9 million as of January 31, 2019, 2018 and 2017, respectively. The net change in the total valuation allowance for fiscal 2019 and 2018 was an increase of $5.7 million and a decrease of $6.2 million, respectively. As of January 31, 2019, the Company had approximately $99.0 million and $71.8 million of net operating loss (“NOL”) carryforwards available to offset future taxable income for both federal and state purposes, respectively. If not utilized, these available carryforward losses will expire in various amounts for federal and state tax purposes beginning in 2030. In addition, the Company had approximately $5.8 million and $5.2 million of federal and state research and development tax credits, respectively, available to offset future taxes. If not utilized, the available federal credits will begin to expire in 2030. California state research and development tax credits can be carried forward indefinitely. Uncertain Tax Positions The Company has unrecognized tax benefits (“UTBs”) of approximately $4.4 million as of January 31, 2019. Deferred tax assets associated with these UTBs are fully offset by a valuation allowance. If recognized, these UTBs would not affect the effective tax rate before consideration of the valuation allowance. The following table summarizes the activity related to UTBs (in thousands): Balance at January 31, 2017 $ 1,815 Increase related to prior year positions 139 Increase related to current year tax positions 871 Balance at January 31, 2018 2,825 Increase related to prior year positions 8 Increase related to current year tax positions 1,592 Balance at January 31, 2019 $ 4,425 The UTBs reported above, if recognized, would not affect the effective tax rate before consideration of the valuation allowance. The Company had no interest or penalty accruals associated with uncertain tax benefits in its balance sheets and statements of operations for both fiscal 2019 and 2018. The Company does not have any tax positions for which it is reasonably possible the total amount of gross unrecognized benefits will increase or decrease within 12 months of the year ended January 31, 2019. Because the Company has net operating loss and credit carryforwards, there are open statutes of limitations in which federal, state and foreign taxing authorities may examine the Company’s tax returns for all years from 2009 through the current period. |
Retirement Plan
Retirement Plan | 12 Months Ended |
Jan. 31, 2019 | |
Compensation And Retirement Disclosure [Abstract] | |
Retirement Plan | Note 10: Retirement Plan The Company offers a qualified 401(k) defined contribution plan to eligible full-time employees that provides for discretionary employer matching and profit-sharing contributions. Eligible employees may contribute up to a maximum of $18,500 per year, or $24,500 for employees over 50 years of age, and the Company matches 50% of the first 6% of each employee’s eligible compensation that is contributed to the 401(k) plan. Contributions made by the Company vest 100% upon contribution. The Company’s matching contributions to the plan, which are expensed immediately as compensation costs, were $0.7 million, $0.5 million and $0.4 million in fiscal 2019, 2018 and 2017, respectively. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Jan. 31, 2019 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 11: Commitments and Contingencies Operating Leases. The Company’s principal commitments consist of obligations under enforceable and legally binding lease agreements for office space and data center facilities. The Company assumes renewals in its determination of the lease term if the renewals are deemed to be reasonably assured. Rent expense was $2.5 million, $1.9 million and $2.0 million for fiscal 2019, 2018 and 2017, respectively. As of January 31, 2019, future minimum rental commitments under non-cancelable operating leases were as follows (in thousands): Fiscal Year Ending January 31, Operating Leases 2020 $ 1,983 2021 1,408 2022 917 2023 266 2024 and thereafter 49 Total $ 4,623 Purchase Commitments . As of January 31, 2019, non-cancelable purchase commitments with the Company’s contract manufacturers were $4.2 million. Legal Proceedings In addition to the litigation matters described below, from time to time, the Company may be involved in a variety of other claims, lawsuits, investigations, and proceedings relating to contractual disputes, intellectual property rights, employment matters, regulatory compliance matters, and other litigation matters relating to various claims that arise in the normal course of business. Defending such proceedings is costly and can impose a significant burden on management and employees, the Company may receive unfavorable preliminary or interim rulings in the course of litigation, and there can be no assurances that favorable final outcomes will be obtained. The Company determines whether an estimated loss from a contingency should be accrued by assessing whether a loss is deemed probable and can be reasonably estimated. The Company assesses its potential liability by analyzing specific litigation and regulatory matters using reasonably available information. The Company develops its views on estimated losses in consultation with inside and outside counsel, which involves a subjective analysis of potential results and outcomes, assuming various combinations of appropriate litigation and settlement strategies. Legal fees are expensed in the period in which they are incurred. As of January 31, 2019, the Company does not have any accrued liabilities recorded for loss contingencies in its consolidated financial statements. Berks County Litigation On January 21, 2016, the County of Berks, Pennsylvania filed a lawsuit in the Berks County Court of Common Pleas naming the Company and 113 other telephone service providers as defendants (the “Berks County Litigation”), alleging breach of fiduciary duty, fraud, and negligent misrepresentation in connection with alleged violations of the Pennsylvania 911 Emergency Communication Services Act (“PA 911 Act”) for failure to collect from subscribers and remit certain fees pursuant to the PA 911 Act. The plaintiff seeks a declaratory judgment that the Company must comply with the PA 911 Act, compensatory and punitive damages and such other relief as the court may deem proper. The Company believes that the plaintiff’s claims are without merit since the Company has no employees, property or other indicia of a “substantial nexus” with the State of Pennsylvania. The Company intends to continue vigorously defending against this lawsuit. However, litigation is unpredictable and there can be no assurances that the Company will obtain a favorable final outcome or that it will be able to avoid unfavorable preliminary or interim rulings in the course of litigation that may significantly add to the expense of its defense and could result in substantial costs and diversion of resources. Based on the Company’s current knowledge, the Company has determined that the amount of any material loss or range of any losses that is reasonably possible to result from the Berks County Litigation is not estimable. Deep Green Wireless Litigation On June 8, 2016, plaintiff Deep Green Wireless LLC filed a complaint in the U.S. District Court for the Eastern District of Texas against Ooma, Inc., alleging infringement of U.S. Patent No. RE42,714 (the “Deep Green Wireless Patent”, and such litigation, the “Deep Green Wireless Litigation ”). The complaint seeks unspecified monetary damages, costs, attorneys’ fees and other appropriate relief. In February 2017, the Court granted the Company’s motion to transfer the case to the Northern District of California, which proceeding has been stayed pending the outcome of an inter partes review of the Deep Green Wireless Patent by the United States Patent Trial and Appeal Board (“PTAB”). The PTAB has granted the Company’s motion for inter partes review of the Deep Green Wireless Patent, and on August 13, 2018 the PTAB heard oral arguments from each party. On December 17, 2018, the PTAB issued its final decision regarding the claims at issue in the Deep Green Wireless Litigation, in which it determined that all challenged claims of the ‘714 patent are obvious and unpatentable. Plaintiff failed to timely file an appeal to the PTAB by the January 16, 2019 deadline. Plaintiff filed its Notice of Appeal to the Federal Circuit on February 19, 2019 and the Company filed a Notice of Appeal on the same date to preserve its right to challenge the PTAB’s final decision concerning combinations of prior art that the PTAB determined did not render the ‘714 patent obvious and unpatentable. If the Federal Circuit rules in favor of the Company on appeal, the Deep Green Wireless Litigation should be dismissed. Based on the Company’s current knowledge, and as confirmed by the PTAB’s final decision, Dolemba Litigation On September 4, 2018, plaintiff Scott Dolemba filed a putative class action complaint against the Company in the U.S. District Court for the Northern District of Illinois, Eastern Division, alleging violations of the Telephone Consumer Protection Act and the Illinois Consumer Fraud Act. The complaint seeks unspecified monetary damages, costs, attorneys’ fees and other appropriate relief. The parties are commencing the discovery phase. Based on the Company’s current knowledge, the Company has determined that the amount of any loss resulting from the Dolemba Litigation is not estimable. Oregon Tax Litigation On August 30, 2016, the Oregon Department of Revenue (the “DOR”) issued tax assessments against the Company for the Oregon Emergency Communications Tax (the “Tax”), which the DOR alleges Ooma should have collected from its subscribers in Oregon and remitted to the DOR during the period starting on January 1, 2013 and ending on March 31, 2016 (collectively, the “Assessments”). On November 28, 2016, the Company filed a complaint in the Oregon Tax Court, asserting that the Assessments against the Company is in violation of applicable Oregon law and are barred by the United States Constitution, and asking the Oregon Tax Court to abate the Assessments in full (the “Complaint”, and such dispute, the “Oregon Tax Litigation”). On February 10, 2017, the DOR filed an answer to the Complaint, and during April 2017, the Company voluntarily participated in an informal discovery process by providing certain information and documents to the DOR. The Company filed a motion for summary judgment on September 29, 2017, and on December 13, 2017 the Court heard oral arguments from the parties regarding such motion. On March 27, 2018, the Magistrate Division of the Oregon Tax Court issued its decision denying the Company’s motion, and granting the DOR’s motion for summary judgment. Notwithstanding such decision, the Company believes that the Commerce Clause of the United States Constitution bars the application of the Tax and the Assessments to the Company, since the Company has no employees, property or other indicia of a “substantial nexus” with the State of Oregon. On June 12, 2018, the Company filed an appeal of the Magistrate Divisions decision and on October 12, 2018, the Company filed its motion for summary judgment with the Regular Division of the Oregon Tax Court. The DOR filed its motion for summary judgment on November 16, 2018. On January 17, 2019, the Regular Division of the Oregon Tax Court heard oral argument on the parties’ cross motions for summary judgment, and no decision has been issued. The Company will continue to vigorously litigate the Complaint in pursuit of the full abatement of the Assessments. However, litigation is unpredictable and there can be no assurances that the Company will obtain a favorable fi resources. During fiscal 2019, the Company paid $0.6 million to the State of Oregon in connection with the Oregon Tax Litigation, of which $0.3 million Secure Cam Litigation On May 2, 2018, plaintiff Secure Cam, LLC filed a complaint in the U.S. District Court for the Northern District of California against the Company’s wholly-owned subsidiary, Butterfleye, Inc., alleging infringement of four United States patents (No. 8,531,555, No. 8,350,928, No. 8,836,819 and No. 9,363,408) (the “Secure Cam Litigation”). On September 28, 2018, the Company and Secure Cam, LLC settled the complaint for an immaterial amount and the complaint was voluntarily dismissed with prejudice. Securities Litigation On January 14, 2016, Michael Barnett filed a purported stockholder class action in the San Mateo County Superior Court of the State of California (Case No. CIV536959) against the Company, certain of its officers and directors, and certain of the underwriters of the Company’s IPO on July 17, 2015. Since that time two additional purported class actions making substantially the same allegations against the same defendants were filed, and on May 18, 2016, all three complaints were combined into a “consolidated complaint” filed in the same court (the “Securities Litigation”). The consolidated complaint purports to be brought on behalf of all persons who purchased shares of common stock in the Company’s IPO in reliance upon the Registration Statement and Prospectus the Company filed with the SEC. The consolidated complaint alleges that the Company and the other defendants violated the Securities Act of 1933, as amended (the “Securities Act”) by issuing the Registration Statement and Prospectus, which the plaintiffs allege contained material misstatements and omissions in violation of Sections 11, 12(a)(2) and 15 of the Securities Act. The plaintiffs seek class certification, compensatory damages, attorneys’ fees and costs, rescission or a rescissory measure of damages, equitable and/or injunctive relief, and such other relief as the court may deem proper. On November 29, 2017, the Superior Court dismissed the claims that were based on Sections 12(a)(2) and 15 of the Securities Act with prejudice, but denied the Company’s motion to stay the case pending the United States Supreme Court’s decision in Cyan v. Beaver Cnty. Emp. Ret.‘ Fund. On March 20, 2018, the United States Supreme Court published its decision in the Cyan case, holding that state courts have subject matter jurisdiction to hear claims brought under the Securities Act, such as the claims alleging violations of Section 11 of the Securities Act (the only remaining claims in the Securities Litigation) brought against the Company in the Superior Court. The parties are now engaged in the discovery phase of the litigation. The Company believes the plaintiffs’ claims are without merit and the Company is vigorously defending against the Securities Litigation and will continue to do so. However, litigation is unpredictable and there can be no assurances that the Company will obtain a favorable final outcome or that it will be able to avoid unfavorable preliminary or interim rulings in the course of litigation that may significantly add to the expense of its defense and could result in substantial costs and diversion of resources. Based on the Company’s current knowledge, the Company has determined that the amount of any material loss or range of any losses that is reasonably possible to result from the Securities Litigation is not estimable. Indemnification The Company enters into standard indemnification arrangements in the ordinary course of business. Pursuant to these arrangements, the Company indemnifies, holds harmless and agrees to reimburse the indemnified parties for losses suffered or incurred by the indemnified party, in connection with any trade secret, copyright, patent or other intellectual property infringement claim by any third party with respect to the Company’s technology. The term of these indemnification agreements is generally perpetual. The maximum potential amount of future payments the Company could be required to make under these agreements is not determinable because it involves claims that may be made against the Company in the future, but have not yet been made. The Company has entered into indemnification agreements with its directors and officers that may require the Company to indemnify its directors and officers against liabilities that may arise by reason of their status or service as directors or officers, other than liabilities arising from willful misconduct of the individual. The maximum potential amount of future payments the Company could be required to make under these indemnification agreements is unlimited; however, the Company has director and officer insurance coverage that reduces the Company’s exposure and enables the Company to recover a portion of any future amounts paid. To date the Company has not incurred costs to defend lawsuits or settle claims related to these indemnification agreements. No liability associated with such indemnifications has been recorded to date. |
Acquisitions and Divestitures
Acquisitions and Divestitures | 12 Months Ended |
Jan. 31, 2019 | |
Business Acquisitions And Divestitures [Abstract] | |
Acquisitions and Divestitures | Note 12: Acquisitions and Divestitures Acquisition of Voxter, Inc. On March 12, 2018, the Company completed its acquisition of Voxter, a privately-held provider of UCaaS offerings for mid-market and enterprise businesses. The acquisition date fair value consideration transferred for Voxter was approximately $3.9 million, which consisted of the following (in thousands): Fair Value Cash paid at closing $ 2,510 Common stock issued at closing 390 Holdback payable (1) 780 Contingent consideration (2) 231 Total $ 3,911 (1) (2) The final purchase price allocation included identifiable intangible assets of approximately $2.1 million, net assets acquired of approximately $0.4 million, deferred tax liabilities of approximately $0.4 million and residual goodwill of approximately $2.0 million, based on the best estimates of management. See Note 5: Goodwill and Acquired Intangible Assets above. Acquisition-related transaction costs charged to expense during fiscal 2019 were $0.4 million. The goodwill Goodwill is not expected to be deductible for U.S. or Canadian income tax purposes. The operating results of the acquired company have been included in the Company's consolidated financial statements from the date of acquisition. Actual and pro forma results of operations for the Voxter acquisition have not been presented because it does not have a material impact on the Company's consolidated results of operations. Acquisition of Butterfleye, Inc. On December 14, 2017, the Company completed its acquisition of Butterfleye, Inc., a privately-held company that offers intelligent, wire-free security cameras. The fair value of consideration transferred included $1.5 million cash as well as deferred earnout payments contingent upon the achievement of certain performance targets during the Company’s fiscal 2019. Fair Value Measurements The final purchase price allocation included identifiable intangible assets of approximately $1.1 million, net liabilities assumed of approximately $0.1 million and residual goodwill of approximately $0.8 million, based on the best estimates of management. See Note 5: Goodwill and Acquired Intangible Assets above. Acquisition Goodwill is not expected to be deductible for U.S. income tax purposes The operating results of the acquired company have been included in the Company's consolidated financial statements from the date of acquisition. Actual and pro forma results of operations for the Butterfleye acquisition have not been presented because it does not have a material impact on the Company's consolidated results of operations. Sale of Business Promoter On August 15, 2017, the Company completed the sale of its Business Promoter service to a third-party entity. The Company did not receive any cash proceeds nor did it recognize any losses or gains from this transaction. The Company is entitled to receive a quarterly earn-out for the next five years up to a maximum of $4.5 million, subject to certain quarterly thresholds. During fiscal 2019 and 2018, the Company recorded earn-outs of approximately $0.3 million and $0.2 million, respectively, as a reduction to general and administrative expense in its consolidated statement of operations. |
Net Loss Per Share
Net Loss Per Share | 12 Months Ended |
Jan. 31, 2019 | |
Earnings Per Share [Abstract] | |
Net Loss Per Share | Note 13: Net Loss Per Share Basic and diluted net loss per share of common stock is calculated by dividing the net loss allocable to common stockholders by the weighted average number of common shares outstanding during the period. Diluted net loss per share of common stock is the same as basic net loss per share because the effects of potentially dilutive securities are antidilutive because the Company reported net losses for all periods presented. The following table sets forth the computation of basic and diluted net loss per share (in thousands, except share and per share data): Fiscal Year Ended January 31, 2019 2018 2017 Numerator Net loss $ (14,572 ) $ (13,121 ) $ (12,949 ) Denominator Weighted-average common shares 19,799,781 18,570,128 17,490,448 Basic and diluted net loss per share $ (0.74 ) $ (0.71 ) $ (0.74 ) Potentially dilutive securities of approximately 3.9 million, 4.1 million and 4.1 million were excluded from the computation of diluted net loss per share for fiscal 2019, 2018 and 2017, respectively. These dilutive securities included the Company’s RSUs, stock options and shares to be purchased under the ESPP. |
Related Party Transaction
Related Party Transaction | 12 Months Ended |
Jan. 31, 2019 | |
Related Party Transactions [Abstract] | |
Related Party Transaction | Note 14: Related Party Transactions In October 2017, the Company entered into an office sublease agreement with Fiserv Solutions, LLC (“Fiserv”) to lease approximately 33,400 rentable square feet of an office building located in Sunnyvale, California , the Company’s new corporate headquarters. One of the members of the Company’s board of directors is also a current member of Fiserv’s board of directors. The Company incurred total rental and common area maintenance expenses of approximately $1.2 million and $0.2 million in fiscal 2019 and 2018, respectively, under this sublease agreement. |
Significant Accounting Polici_2
Significant Accounting Policies (Policies) | 12 Months Ended |
Jan. 31, 2019 | |
Accounting Policies [Abstract] | |
Principles of Presentation and Consolidation | Principles of Presentation and Consolidation. The accompanying consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) and include the accounts of the Company and its wholly owned subsidiaries. All intercompany transactions and balances have been eliminated upon consolidation. In the opinion of the Company’s management, the consolidated financial statements reflect all adjustments, which are normal and recurring in nature, necessary for fair financial statement presentation. |
Fiscal Year | Fiscal Year . T he Company’s fiscal year ends on January 31. References to fiscal 2019, fiscal 2018 and fiscal 2017 refer to the fiscal years ended January 31, 2019, January 31, 2018 and January 31, 2017, respectively. |
Use of Estimates | Use of Estimates. The preparation of the Company’s financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in these consolidated financial statements and accompanying notes. Actual results could differ materially from those estimates. |
Comprehensive Loss | Comprehensive Loss. For all periods presented, comprehensive loss approximated net loss in the consolidated statements of operations and the difference was not material. Therefore, the consolidated statements of comprehensive loss have been omitted. |
Segment Reporting | Segment Reporting. The chief operating decision maker for the Company is the chief executive officer. The Company’s subscription plans, services and product offerings operate on a single SaaS platform and the chief executive officer reviews financial information presented on a consolidated basis for purposes of allocating resources and evaluating financial performance. Accordingly, management has determined that the Company operates in one reportable segment Revenue was principally derived from customers located in the United States for all periods presented. All of the Company’s long-lived assets were attributable to operations in the United States, with a small portion attributable to operations in Canada and other countries, for all periods presented. |
Secondary Public Offering | Secondary Public Offering. The Company completed its IPO in July 2015. In January and March 2017, the Company completed two secondary offerings in which certain stockholders of the Company sold an aggregate of 3.3 million shares and 3.3 million shares, respectively, of the Company’s common stock at a public offering price of $8.65 per share and $8.85 per share, respectively, including 0.4 million shares sold upon the underwriters’ exercise of the overallotment option in the March offering. The Company did not receive any of the proceeds from these offerings |
Revenue Recognition | Revenue Recognition On February 1, 2018, the Company adopted Topic 606, Revenue from Contracts with Customers Revenue Recognition Recent Accounting Standards The Company derives its revenue from two sources: (1) subscription and services revenue, which are generated from sales of subscription plans for communications services and other connected services; and (2) product and other revenue. Subscriptions and services are sold directly to end-customers. Products are sold to end-customers through several channels, including but not limited to, distributors, retailers and resellers (collectively the “channel partners”), and Ooma sales representatives. Under Topic 606, the Company determines revenue recognition through the following steps: • identification of the contract(s) with a customer; • identification of the performance obligations in the contract; • determination of the transaction price; • allocation of the transaction price to the performance obligations in the contract; and • recognition of revenue when, or as, the Company satisfies a performance obligation Revenue is recorded net of any sales and telecommunications taxes collected from customers to be remitted to government authorities. Under Topic 606, the Company has maintained its policy to exclude these taxes from revenue. Revenue disaggregated by revenue source consisted of the following (in thousands): Fiscal Year Ended January 31, 2019 2018 2017 Subscription and services revenue $ 116,429 $ 101,999 $ 91,127 Product and other revenue 12,802 12,491 13,397 Total revenue $ 129,231 $ 114,490 $ 104,524 The Company derived approximately 68%, 71% and 72% of its total revenue from Ooma Residential and approximately 28%, 22% and 16% from Ooma Business in fiscal 2019, 2018 and 2017, respectively. No individual country outside of the United States represented 10% or more of total revenue for the periods presented. No |
Subscription and Service Revenue | Subscription and Services Revenue. Most of the Company’s revenue is derived from recurring subscription fees related to service plans such as Ooma Business, Ooma Residential and other communications services. All subscription revenue is recognized ratably over the contractual service term. The Company’s service plans are generally sold as monthly subscriptions; however, certain plans are also offered as annual subscriptions. A small portion of the Company’s revenue is recognized on a point-in-time usage basis from services such as: prepaid international calls, directory assistance, and advertisements displayed through its Talkatone mobile application. |
Product and Other Revenue | Product and Other Revenue. Product and other revenue is generated from the sale of on-premise appliances and end-point devices, including shipping and handling fees for the Company’s direct customers, and to a lesser extent from porting fees that enable customers to transfer their existing phone numbers. The Company recognizes revenue from sales to direct end-customers and channel partners at the point in time that control transfers which is typically when it delivers the product or when all customer contractual provisions have been met, if any. The Company’s distribution agreements with channel partners typically contain clauses for price protection and right of return. Therefore, the amount of product revenue recognized is adjusted for any variable consideration, such as expected returns and customer sales incentives as described in “Sales Allowances” below. Amounts billed to customers related to shipping and handling are classified as revenue. Shipping and handling costs are expensed as incurred and classified as cost of revenue . |
Multiple performance obligations | Multiple performance obligations. The Company’s contracts with customers typically contain multiple performance obligations that consist of product(s) and related communications services. For these contracts, the Company accounts for individual performance obligations separately if they are distinct. The contract transaction price is then allocated to the separate performance obligations on a relative stand-alone selling price (“SSP”) basis. The Company determines the SSP for its communications services based on observable historical stand-alone sales to customers, for which the Company requires that a substantial majority of selling prices fall within a reasonably narrow pricing range. The Company does not have a directly observable SSP for its on-premise appliance and end-point devices, and therefore establishes SSP based on its best estimates and judgments, considering company-specific factors such as pricing strategies, estimated product and other costs, and bundling and discounting practices. |
Sales allowances | Sales allowances. Credits and/or rebates issued to customers for product returns and sales incentives are deemed to be variable consideration under Topic 606, which the Company estimates and records as a reduction to revenue at the point of sale. Product returns and customer sales incentives are estimated based on the Company’s historical experience, current trends and expectations regarding future experience. Trends are influenced by product life cycles, new product introductions, market acceptance of products, the type of customer, seasonality and other factors. Product return and sales incentive rates may fluctuate over time but are sufficiently predictable to allow the Company to estimate expected future amounts. If actual future returns and sales incentives differ from past experience, additional reserves may be required. As of January 31, 2019 and 2018, the Company had total reserves for product returns and customer sales incentives of $0.6 million and $0.6 million, respectively |
Cash Equivalents and Short-term Investments | Cash Equivalents and Short-term Investments . All highly liquid investments with an original maturity of three months or less at the date of purchase are classified as cash equivalents. Short-term investments are classified as available-for-sale and carried at fair value, with unrealized gains and losses, net of tax, recorded as a separate component of stockholders’ equity within accumulated other comprehensive (loss) income. All realized gains and losses and unrealized losses believed to be other-than-temporary are recorded in other expense, net in the current period. The cost of securities sold is based upon the specific identification method. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments. The Company records its financial assets and liabilities at fair value. Fair value is defined as 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 reporting date. The Company estimates and categorizes the fair value of its financial assets by applying the following hierarchy: ▪ Level 1: Quoted prices (unadjusted) for identical assets or liabilities in active markets. ▪ Level 2: Observable prices based on inputs not quoted in active markets but are corroborated by market data. ▪ Level 3: Unobservable inputs that are supported by little or no market activity Transfers among Level classifications are recognized as of the actual date of the events or change in circumstances that caused the transfers. The carrying value of the Company’s financial instruments, including cash equivalents, accounts receivable, inventory, accounts payable and other current assets and current liabilities approximates fair value due to their short maturities. |
Concentration of Credit Risk | Concentration of Credit Risk. Financial instruments that potentially subject the Company to a concentration of credit risk consist of cash equivalents, short-term investments, accounts receivables and other receivables. The Company’s cash equivalents and short-term investments are held by financial institutions that management believes are of high-credit quality. Such investments and deposits may, at times, exceed federally insured limits. The Company performs credit evaluations of its channel partners’ financial condition and generally does not require collateral for sales made on credit. As of January 31, 2019 and 2018, one of the Company’s customers accounted for 15% and 10%, respectively, of the Company’s net accounts receivable balance. |
Accounts Receivable | Accounts Receivable. Accounts receivable are stated at invoice value less estimated allowances for doubtful accounts, product returns and customer sales incentives. The Company records its allowances for doubtful accounts based upon its assessment of several factors, including historical experience, aging of receivable balances and economic conditions. As of January 31, 2019 and 2018, the Company recorded allowances for doubtful accounts of $0.1 million and $0.4 million, respectively. (See “Sales Allowances” above regarding allowances for product returns and sales incentives.) |
Inventories | Inventories. Inventories, which consist of raw materials and finished goods, include the cost to purchase manufactured products, allocated labor and overhead. Inventories are stated at the lower of actual cost or market on a first-in, first-out basis. The Company writes down its inventory for estimated excess and obsolete inventory based upon management’s assessment of future demand and market conditions, and establishes a new cost basis for the inventory. Adjustments to reduce inventory to net realizable value are recognized as a component of cost of revenue in the consolidated statement of operations. |
Customer Acquisition Costs | Customer Acquisition Costs . Sales commissions and other costs paid to internal sales personnel, third-party sales entities and value-added resellers are considered incremental and recoverable costs of obtaining customer contracts. ( The resellers are selling agents for the Company and earn sales commissions which are directly tied to the value of the contracts that the Company enters with the end-user customers.) Under Topic 606, beginning fiscal 2019, these costs are capitalized and amortized on a systematic basis over the expected period of benefit of five years, calculated based on both qualitative and quantitative factors, such as expected subscription term and expected renewal periods of its customer contracts, product life cycles and customer attrition. Amortization expense is included in sales and marketing expenses in the consolidated statement of operations. The Company pays sales commissions on initial contracts and contracts for increased purchases with existing customers (expansion contracts). The Company does not pay sales commissions for contract renewals. The Company periodically evaluates whether there have been any changes in its business, the market conditions in which it operates or other events which would indicate that its amortization period should be changed or if there are potential indicators of impairment. As of January 31, 2019, total deferred commission costs on the consolidated balance sheet was approximately $4.5 million, of which the $1.1 million current portion was included in other current assets and the $3.4 million non-current portion was included in other assets. During fiscal 2019, amortization expense was $0.7 million a nd there was no impairment loss in relation to the costs capitalized |
Website Development Costs | Website Development Costs. The Company capitalizes certain costs to develop its websites when preliminary development efforts are successfully completed, management has authorized and committed project funding, and it is probable that the project will be completed and the software will be used as intended. Such costs are amortized on a straight-line basis over the estimated useful life of approximately two years. Costs related to preliminary project activities and post-implementation activities are expensed as incurred. The Company capitalized website development costs of approximately $0.8 million, $0.6 million and $0.4 million in fiscal 2019, 2018 and 2017, respectively. |
Property and Equipment | Property and Equipment. Property and equipment are stated at cost, less accumulated depreciation. Depreciation is computed over the estimated useful lives of the assets, using the straight-line method, generally three to five years. Leasehold improvements are amortized over the shorter of the lease term or estimated useful lives of the respective assets. Repairs and maintenance costs that do not extend the life or improve the asset are expensed as incurred. |
Goodwill | Goodwill . Goodwill represents the excess of the purchase price over the fair value of the net assets acquired in a business combination. Goodwill is evaluated for impairment annually in the fourth quarter of its fiscal year, or more frequently if indicators of potential impairment arise. The Company has a single reporting unit and consequently evaluates goodwill for impairment based on an evaluation of the fair value of the Company as a whole. No impairment has been recognized for any of the periods presented. |
Intangible Assets | Intangible Assets. Acquired intangible assets other than goodwill, which primarily consist of developed technology and customer relationships, are amortized over their useful lives unless the lives are determined to be indefinite. For intangible assets acquired in a business combination, the estimated fair values of the assets received are used to establish their recorded values. Valuation techniques consistent with the market approach, income approach and/or cost approach are used to measure fair value. |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets. Long-lived assets, such as property and equipment, capitalized website development costs, and intangible assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to estimated undiscounted future cash flows expected to be generated by the asset. If the carrying amount of an asset exceeds its estimated future cash flows, an impairment charge is recognized by the amount by which the carrying amount of the asset exceeds the fair value of the asset. The Company has not recorded any material impairment charges. |
Research and Development | Research and Development. Research and development costs, including new product development, are charged to operating expenses as incurred in the consolidated statements of operations. Research and development included personnel-related costs (including stock-based compensation), allocated costs of facilities and information technology, supplies, software tools and product certification. |
Advertising | Advertising. Advertising costs are included in sales and marketing and expensed as incurred, except for production costs associated with television and radio advertising, which are expensed on the first date of airing. Advertising costs were $13.7 million, $14.4 million and $16.5 million for fiscal 2019, 2018 and 2017, respectively. Advertising payments to the Company’s channel partners are recorded as a reduction in revenue. These costs totaled $0.3 million annually for each of the fiscal years 2019, 2018 and 2017, respectively. |
Stock-Based Compensation | Stock-Based Compensation . Stock-based compensation expense for all stock-based awards granted to employees is measured at the grant date based on the fair value of the equity award and is recognized as expense over the requisite service period, which is generally the vesting period. The fair value of options granted is estimated on the date of grant using the Black-Scholes option pricing model. The fair value of each RSU granted is determined using the fair value of the Company’s common stock on the date of grant. The fair value of each stock purchase right under the Company's ESPP is calculated based on the closing price of the Company's stock on the date of grant and the value of a call and put option is estimated using the Black-Scholes pricing model. See Note 7: Stockholders’ Equity and Note 8: Stock-based Compensation below for additional information. |
Income Taxes | Income Taxes. Income taxes are recorded using the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income (or loss) in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Valuation allowances are established when necessary to reduce deferred tax assets to the amount expected to be realized. A tax position is recognized when it is more-likely-than-not that the tax position will be sustained upon examination, including resolution of any related appeals or litigation processes. A tax position that meets the more likely than not recognition threshold is measured at the largest amount of benefit that is greater than 50% likely of being realized upon ultimate settlement with a taxing authority. Interest and penalties associated with unrecognized tax benefits are classified as income tax expense. The Company had no interest or penalty accruals associated with uncertain tax benefits in its consolidated balance sheets and statements of operations for any periods presented. |
Foreign Currency | Foreign currency. The U.S. dollar is the functional currency of the Company's foreign subsidiaries. Foreign currency remeasurement and transaction gains and losses are included in other expense, net and have not been material for any periods presented. |
Adopted Accounting Standards | Adopted Accounting Standards Revenue Recognition. In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2014-09, Revenue from Contracts with Customers ( Topic 606 ), which superseded the revenue recognition guidance in Topic 605 with a comprehensive revenue measurement and recognition standard and expanded disclosure requirements. Topic 606 also includes Subtopic 340-40, Other Assets and Deferred Costs – Contracts with Customers , which requires the deferral of incremental costs to acquire customer contracts, including sales commissions. The Company adopted the new standard effective February 1, 2018 under the modified retrospective method applied to only those contracts that were not completed as of the adoption date. The Company’s financial results for fiscal 2019 are presented in accordance with the provisions under Topic 606. Comparative prior period amounts have not been adjusted and continue to be reported under the historic accounting standards in effect for the periods presented. The Company has implemented policies, processes and controls to support the standard's measurement and disclosure requirements. The new standard impacted revenue recognition timing on product sales made to certain channel partners, whereby revenue is now recognized when the Company delivers product to the channel partner (sell-in basis) rather than deferring recognition until resale by the partner to the end customer (sell-through basis). The adoption of the new standard also changed the treatment of sales commissions, whereby the Company now capitalizes its incremental costs of acquiring customer contracts and amortizes these deferred costs over the expected period of benefit. Previously, all sales commissions were expensed as incurred. See Note 2: Significant Accounting Policies As a result of adopting Topic 606, the February 1, 2018 beginning balance of accumulated deficit increased by $0.3 million, reflecting a net decrease to deferred revenue of approximately $1.0 million and adjustments to deferred inventory costs and other related accounts of approximately $1.3 million. Deferred inventory costs represented the inventory that was shipped to a channel partner and had not been sold through to an end-customer. Deferred commissions related to open contracts as of the adoption date were immaterial. The following tables summarize the impact of adopting Topic 606 on the Company’s consolidated statement of operations and balance sheet (in thousands, except per share amounts): Statement of Operations: Fiscal Year Ended January 31, 2019 As Reported Effect of Change Balances without adoption of Topic 606 Total revenue $ 129,231 $ (169 ) $ 129,062 Total cost of revenue 52,740 (493 ) 52,247 Gross profit 76,491 324 76,815 Sales and marketing expense 40,761 4,468 45,229 Net loss (14,572 ) (4,144 ) (18,716 ) Net loss per share - basic and diluted (0.74 ) (0.21 ) (0.95 ) Balance Sheet: As of January 31, 2019 As Reported Effect of Change Balances without adoption of Topic 606 Accounts receivable, net $ 3,723 $ 49 $ 3,772 Other current assets (1) 5,450 308 5,758 Other assets (2) 5,379 (3,387 ) 1,992 Accrued expenses (3) 19,048 (732 ) 18,316 Deferred revenue 15,443 1,554 16,997 Accumulated deficit (105,795 ) (3,852 ) (109,647 ) (1) (2) (3) The adoption of the new standard did not have any impact on net cash flows for operating, investing and financing activities in the consolidated statements of cash flows. Business Combinations . The Company adopted ASU 2017-01, Business Combinations (Topic 805) – Clarifying the Definition of a Business in the first quarter of fiscal 2019. The updated standard provided guidance to assist entities in evaluating when a set of transferred assets and activities constitutes a business. To be considered a business, an acquisition would have to include an input and a substantive process that together significantly contributes to the ability to create outputs. The adoption of this standard had no impact on the Company’s consolidated financial statements. |
Accounting Standards Not Yet Adopted | Accounting Standards Not Yet Adopted Leases . In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) which supersedes the lease accounting guidance in Topic 840 and requires that the Company recognize operating leased assets and corresponding liabilities on the balance sheet and provide enhanced disclosure of lease activity. The Company is adopting Topic 842 effective February 1, 2019 using the optional transition method, whereby it will not be adjusting comparative period financial statements for the new standard. The Company has substantially completed its process to identify its population of lease arrangements and its evaluation of each arrangement under the guidance. The Company has elected the package of practical expedients, which among other things, allows the Company to maintain its existing classification of its current leases. The Company has also elected as an accounting policy not to separate non-lease components from lease components and instead to account for these components as a single component. Additionally, the Company has made a policy election to not recognize leased assets and liabilities on the balance sheet for leases with an initial term of 12 months or less. The Company expects to record right-of-use leased assets and corresponding liabilities between $3.8 million and $4.8 million at the beginning of the first quarter of fiscal 2020. The Company does not expect the adoption to have a material impact on its consolidated statement of operations and its consolidated statement of cash flows. Stock-based Compensation . In June 2018, the FASB issued ASU 2018-07, Compensation – Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting, which expands the scope of Topic 718 to include and simplify the accounting for share-based payments issued to nonemployees. Under the amended standard, most of the guidance on nonemployee share-based payments would be aligned with the requirements for share-based payments granted to employees. The new standard is effective for the Company beginning in fiscal 2020. The Company does not expect the adoption to have a material impact on its consolidated financial statements. Fair Value Measurement. In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurements , which expands the disclosure requirements for Level 3 fair value measurements as well as eliminates, adds and modifies certain other disclosure requirements for fair value measurements. The amendment is effective for the Company beginning in fiscal 2020. The Company is evaluating the effect of adoption on its consolidated financial statements. |
Significant Accounting Polici_3
Significant Accounting Policies (Tables) | 12 Months Ended |
Jan. 31, 2019 | |
Accounting Policies [Abstract] | |
Summary of Revenue Disaggregated by Revenue Source | Revenue disaggregated by revenue source consisted of the following (in thousands): Fiscal Year Ended January 31, 2019 2018 2017 Subscription and services revenue $ 116,429 $ 101,999 $ 91,127 Product and other revenue 12,802 12,491 13,397 Total revenue $ 129,231 $ 114,490 $ 104,524 |
Recent Accounting Standards (Ta
Recent Accounting Standards (Tables) | 12 Months Ended |
Jan. 31, 2019 | |
Topic 606 | |
Summary of Impact of Adopting Topic 606 on Consolidated Statement of Operations and Balance Sheet | The following tables summarize the impact of adopting Topic 606 on the Company’s consolidated statement of operations and balance sheet (in thousands, except per share amounts): Statement of Operations: Fiscal Year Ended January 31, 2019 As Reported Effect of Change Balances without adoption of Topic 606 Total revenue $ 129,231 $ (169 ) $ 129,062 Total cost of revenue 52,740 (493 ) 52,247 Gross profit 76,491 324 76,815 Sales and marketing expense 40,761 4,468 45,229 Net loss (14,572 ) (4,144 ) (18,716 ) Net loss per share - basic and diluted (0.74 ) (0.21 ) (0.95 ) Balance Sheet: As of January 31, 2019 As Reported Effect of Change Balances without adoption of Topic 606 Accounts receivable, net $ 3,723 $ 49 $ 3,772 Other current assets (1) 5,450 308 5,758 Other assets (2) 5,379 (3,387 ) 1,992 Accrued expenses (3) 19,048 (732 ) 18,316 Deferred revenue 15,443 1,554 16,997 Accumulated deficit (105,795 ) (3,852 ) (109,647 ) (1) (2) (3) |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Jan. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Schedule of Financial Assets and Liabilities at Fair Value | The Company’s financial assets and liabilities that are measured at fair value on a recurring basis by level within the fair value hierarchy were as follows (in thousands): Balance as of January 31, 2019 Balance as of January 31, 2018 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Assets: Cash and cash equivalents: Money market funds $ 5,951 $ — $ — $ 5,951 $ 554 $ — $ — $ 554 Commercial paper — 5,429 — 5,429 — 2,844 — 2,844 Total cash equivalents $ 5,951 $ 5,429 $ — $ 11,380 $ 554 $ 2,844 $ — $ 3,398 Cash 3,990 1,085 Total cash and cash equivalents $ 15,370 $ 4,483 Short-term investments: U.S. government securities $ 11,087 $ — $ — $ 11,088 $ 20,867 $ — $ — $ 20,867 Corporate debt securities — 4,735 — 4,735 — 13,895 — 13,895 Commercial paper — 8,253 — 8,253 — 9,272 — 9,272 U.S. agency securities — 990 — 990 — 1,996 — 1,996 Asset-backed securities — 2,187 — 2,187 — 1,277 — 1,277 Total short-term investments $ 11,087 $ 16,165 $ — $ 27,253 $ 20,867 $ 26,440 $ — $ 47,307 Liabilities: Contingent consideration $ — $ — $ 200 $ 200 $ — $ — $ 311 $ 311 Total liabilities $ — $ — $ 200 $ 200 $ — $ — $ 311 $ 311 |
Schedule of Changes in Level 3 Fair Value Category | Changes in the Level 3 fair value category for the periods presented were as follows (in thousands): Contingent Consideration Balance at January 31, 2017 $ — Add: contingent consideration from Butterfleye acquisition 311 Balance at January 31, 2018 311 Add: contingent consideration from Voxter acquisition 231 Changes in fair value (342 ) Balance at January 31, 2019 $ 200 |
Schedule of Short-term Investments by Contractual Maturities | The following table classifies the Company’s short-term investments by contractual maturities (in thousands): As of January 31, 2019 As of January 31, 2018 Amortized Value Fair Value Amortized Value Fair Value One year or less $ 27,263 $ 27,253 $ 43,227 $ 43,172 Over one year and less than two years — — 4,164 4,135 Total $ 27,263 $ 27,253 $ 47,391 $ 47,307 |
Goodwill and Acquired Intangi_2
Goodwill and Acquired Intangible Assets (Tables) | 12 Months Ended |
Jan. 31, 2019 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Schedule of Carrying Value of Intangible Assets Other than Goodwill | The gross value, accumulated amortization and carrying values of intangible assets were as follows (in thousands): As of January 31, 2019 As of January 31, 2018 Estimated life (in years) Gross Value Accumulated Amortization Carrying Value Gross Value Accumulated Amortization Carrying Value Developed technology 5 $ 2,716 $ (1,121 ) $ 1,595 $ 1,568 $ (630 ) $ 938 Customer relationships 5 902 (157 ) 745 — — — Trade name 5 451 (166 ) 285 262 (81 ) 181 Patents and licenses 3.8-7 714 (704 ) 10 714 (698 ) 16 User relationships N/A — — — 458 (458 ) — Total amortizable assets 4,783 (2,148 ) 2,635 3,002 (1,867 ) 1,135 In-process R&D (1) N/A — — — 157 — 157 Total intangible assets $ 4,783 $ (2,148 ) $ 2,635 $ 3,159 $ (1,867 ) $ 1,292 |
Schedule of Estimated Future Amortization Expense | Amortization expense was $0.7 million, $0.3 million and $0.3 million in fiscal 2019, 2018 and 2017, respectively. At January 31, 2019, the estimated future amortization expense for intangible assets is as follows (in thousands): Fiscal Years Ending January 31, Total 2020 691 2021 642 2022 638 2023 612 2024 and thereafter 52 Total $ 2,635 |
Balance Sheet Components (Table
Balance Sheet Components (Tables) | 12 Months Ended |
Jan. 31, 2019 | |
Balance Sheet Components [Abstract] | |
Components of Inventories | The following sections and tables provide details of selected balance sheet items (in thousands): Inventories As of January 31, 2019 2018 Finished goods $ 7,567 $ 5,517 Raw materials 2,550 562 Total inventory $ 10,117 $ 6,079 |
Components of Other Current Assets | Other current assets As of January 31, 2019 2018 Prepaid expenses $ 2,681 $ 1,921 Deferred sales commissions (1) 1,081 — Deferred inventory costs (1) 334 1,061 Other current assets 1,354 1,415 Total other current assets $ 5,450 $ 4,397 (1) Changes in deferred inventory costs and deferred sales commissions were attributable to the Company’s adoption of Topic 606 on February 1, 2018. See Note 2: Significant Accounting Policies |
Components of Property and Equipment, Net | Property and equipment, net As of January 31, Estimated Life (in years) 2019 2018 Computer equipment and software 3-4 $ 7,109 $ 7,180 Website development costs 2 3,323 2,579 Machinery and equipment 3-5 1,190 1,473 Office furniture and fixtures 5 114 88 Leasehold improvements Shorter of estimated life or remaining lease term 449 651 Total property and equipment $ 12,185 $ 11,971 Less: accumulated depreciation and amortization (7,622 ) (7,239 ) Property and equipment, net $ 4,563 $ 4,732 |
Components of Other Long-Term Assets | Other long-term assets As of January 31, 2019 2018 Deferred sales commissions (1) $ 3,387 $ — Convertible note receivable 1,300 — Other assets 692 336 Total other assets $ 5,379 $ 336 (1) Significant Accounting Policies |
Components of Accrued Expenses | Accrued expenses As of January 31, 2019 2018 Payroll and related expenses $ 7,926 $ 5,423 Regulatory fees and taxes 5,645 5,239 Acquisition-related consideration 925 353 Other 4,552 3,762 Total accrued expenses $ 19,048 $ 14,777 |
Components of Deferred Revenue | Deferred revenue As of January 31, 2019 2018 Deferred revenue: Subscription and services $ 15,682 $ 14,568 Product and other 68 1,416 Total deferred revenue 15,750 15,984 Less: current deferred revenue 15,443 15,556 Noncurrent deferred revenue included in other long-term liabilities $ 307 $ 428 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 12 Months Ended |
Jan. 31, 2019 | |
Equity [Abstract] | |
Schedule of Common Stock Reserved for Issuance | The Company had shares of common stock reserved for issuance as follows: As of January 31, 2019 2018 Restricted stock units outstanding 1,925,311 1,966,895 Options to purchase common stock 1,691,272 1,801,232 Shares available for future issuance under stock plans 1,141,482 928,024 Shares reserved under ESPP 249,933 598,033 Warrants to purchase common stock 1,107 4,881 Total shares reserved for issuance 5,009,105 5,299,065 |
Summarizes of Stock Option Activities | Stock option activity for fiscal 2019 was as follows : Weighted Average Weighted Average Aggregate Number of Exercise Price Contractual Term Intrinsic Value Shares Per Share (in years) (in thousands) Balance as of January 31, 2018 1,801,232 $ 6.09 6.2 $ 8,270 Granted 100,000 $ 11.75 Exercised (185,535 ) 6.03 Canceled (24,425 ) 9.48 Balance as of January 31, 2019 1,691,272 $ 6.39 5.4 $ 14,755 Vested and exercisable - January 31, 2019 1,525,946 $ 5.86 5.1 $ 14,112 |
Summarizes of Restricted Stock Units Activities | RSU activity for fiscal 2019 and 2018 was as follows : Number of Shares Weighted Average Grant-Date Fair Value Per Share Balance as of January 31, 2017 1,859,196 $ 7.65 Granted 1,222,605 10.17 Vested (936,869 ) 8.54 Canceled (178,037 ) 8.77 Balance as of January 31, 2018 1,966,895 8.85 Granted 1,176,647 11.96 Vested (921,533 ) 9.12 Canceled (296,698 ) 9.70 Balance as of January 31, 2019 1,925,311 $ 10.49 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Jan. 31, 2019 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Total Stock-Based Compensation Recognized for Stock-Based Awards in Consolidated Statements of Operations | Total stock-based compensation recognized for stock-based awards in the consolidated statements of operations was as follows (in thousands): Fiscal Year Ended January 31, 2019 2018 2017 Cost of revenue $ 920 $ 1,102 $ 1,026 Sales and marketing 1,442 1,818 1,438 Research and development 3,762 3,972 3,586 General and administrative 4,246 4,029 3,722 Total stock-based compensation expense $ 10,370 $ 10,921 $ 9,772 |
Summary of Assumptions Used to Estimate Fair Value of Employee Stock Options Grants and Employee Stock Purchase Plan Using Black-Scholes Option Pricing Model | The fair value of employee stock options and ESPP was estimated using the Black–Scholes model with the following assumptions, as applicable: Fiscal Year Ended January 31, 2019 2018 2017 Stock Options: Expected volatility 43% 47% NA Expected term (in years) 6.1 6.1 NA Risk-free interest rate 2.7 1.8%-2.1% NA Dividend yield NA NA NA Fiscal Year Ended January 31, 2019 2018 2017 ESPP: Expected volatility 39%-56% 35%-41% 37%-50% Expected term (in years) 0.5-2.0 0.5-2.0 0.5-2.0 Risk-free interest rate 2.0%-2.8% 0.9%-1.4% 0.5%-1.0% Dividend yield NA NA NA |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Jan. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Reconciliation of Income Tax Benefit | Income tax benefit differed from the amount computed by applying the federal blended statutory income tax rate of 21% to pretax loss as a result of the following (in thousands): Fiscal Year Ended January 31, 2019 Rate 2018 Rate 2017 Rate Federal tax at statutory rate $ (3,141 ) 21 % $ (4,316 ) 33 % $ (4,403 ) 34 % Impact of U.S. tax law change 58 — 11,667 (89 )% — — Change in valuation allowance 5,603 (37 )% (6,786 ) 52 % 4,881 (38 )% Research and development credit (2,155 ) 14 % (1,080 ) 8 % (738 ) 6 % State taxes (494 ) 3 % (396 ) 3 % (230 ) 2 % Stock-based compensation (991 ) 7 % 387 (3 )% 387 (3 )% Permanent tax adjustment 843 (6 )% 527 (4 )% 103 (1 )% Impact of foreign operations (105 ) 1 % — — — — Other (2 ) — — — — — Total $ (384 ) (3 )% $ 3 0 % $ — 0 % |
Schedule of Deferred Tax Assets and Liabilities | The tax effects of temporary differences that give rise to significant portions of the Company’s deferred tax assets and liabilities related to the following (in thousands): As of January 31, 2019 2018 Deferred tax assets: Accruals and reserves $ 1,549 $ 2,281 Stock-based compensation 1,071 1,030 Intangible assets amortization (21 ) 61 Deferred revenue 73 125 Net operating loss carry forwards 26,277 22,047 Tax credit carryover 5,977 3,810 Gross deferred tax assets 34,926 29,354 Valuation allowance (34,309 ) (28,657 ) Net deferred tax assets $ 617 $ 697 Deferred tax liabilities: Acquired intangible assets $ (607 ) $ (313 ) Fixed assets depreciation (154 ) (384 ) Gross deferred tax liabilities $ (761 ) $ (697 ) Total deferred tax liabilities $ (144 ) $ — |
Summary of Activity Related to UTBs | The following table summarizes the activity related to UTBs (in thousands): Balance at January 31, 2017 $ 1,815 Increase related to prior year positions 139 Increase related to current year tax positions 871 Balance at January 31, 2018 2,825 Increase related to prior year positions 8 Increase related to current year tax positions 1,592 Balance at January 31, 2019 $ 4,425 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Jan. 31, 2019 | |
Commitments And Contingencies Disclosure [Abstract] | |
Minimum Rental Commitments under Non-Cancelable Operating Leases | As of January 31, 2019, future minimum rental commitments under non-cancelable operating leases were as follows (in thousands): Fiscal Year Ending January 31, Operating Leases 2020 $ 1,983 2021 1,408 2022 917 2023 266 2024 and thereafter 49 Total $ 4,623 |
Acquisitions and Divestitures (
Acquisitions and Divestitures (Tables) | 12 Months Ended |
Jan. 31, 2019 | |
Business Acquisitions And Divestitures [Abstract] | |
Schedule of Fair Value of Consideration Transferred | The acquisition date fair value consideration transferred for Voxter was approximately $3.9 million, which consisted of the following (in thousands): Fair Value Cash paid at closing $ 2,510 Common stock issued at closing 390 Holdback payable (1) 780 Contingent consideration (2) 231 Total $ 3,911 (1) (2) |
Net Loss Per Share (Tables)
Net Loss Per Share (Tables) | 12 Months Ended |
Jan. 31, 2019 | |
Earnings Per Share [Abstract] | |
Computation of Basic and Diluted Net Loss Per Share | The following table sets forth the computation of basic and diluted net loss per share (in thousands, except share and per share data): Fiscal Year Ended January 31, 2019 2018 2017 Numerator Net loss $ (14,572 ) $ (13,121 ) $ (12,949 ) Denominator Weighted-average common shares 19,799,781 18,570,128 17,490,448 Basic and diluted net loss per share $ (0.74 ) $ (0.71 ) $ (0.74 ) |
Overview and Basis of Present_2
Overview and Basis of Presentation - Additional Information (Details) $ / shares in Units, shares in Millions | 1 Months Ended | 12 Months Ended | |||
Mar. 31, 2017USD ($)$ / sharesshares | Jan. 31, 2017USD ($)$ / sharesshares | Jan. 31, 2019USD ($)Segment | Jan. 31, 2018USD ($) | Jan. 31, 2017USD ($)$ / shares | |
Stockholders Equity Note Disclosure [Line Items] | |||||
Reportable segments | Segment | 1 | ||||
Proceeds from offering | $ | $ 2,886,000 | $ 1,918,000 | $ 1,477,000 | ||
Secondary Offering | |||||
Stockholders Equity Note Disclosure [Line Items] | |||||
Proceeds from offering | $ | $ 0 | $ 0 | |||
Common Stock | Secondary Offering | |||||
Stockholders Equity Note Disclosure [Line Items] | |||||
Common stock shares sold | shares | 3.3 | 3.3 | |||
Common stock shares sold, public offering price | $ / shares | $ 8.85 | $ 8.65 | $ 8.65 | ||
Common Stock | Overallotment Option | |||||
Stockholders Equity Note Disclosure [Line Items] | |||||
Common stock shares sold | shares | 0.4 |
Significant Accounting Polici_4
Significant Accounting Policies - Additional Information (Details) | 12 Months Ended | ||
Jan. 31, 2019USD ($)SourceCountryCustomer | Jan. 31, 2018USD ($)CountryCustomer | Jan. 31, 2017USD ($)CountryCustomer | |
Significant Accounting Policies [Line Items] | |||
Number of sources of revenue | Source | 2 | ||
Number of countries outside United States represented 10% or more of total revenue | Country | 0 | 0 | 0 |
Number of customers that individually exceeded 10% of revenue | Customer | 0 | 0 | 0 |
Allowances for product returns and customer sales incentives | $ 600,000 | $ 600,000 | |
Allowances for doubtful accounts | 100,000 | 400,000 | |
Deferred commission costs | 4,500,000 | ||
Deferred commission costs current | 1,100,000 | ||
Deferred commission costs non current | 3,400,000 | ||
Amortization expense | 700,000 | ||
Impairment loss in relation to deferred commission costs capitalized | 0 | ||
Impairment of goodwill | 0 | 0 | $ 0 |
Impairment of long-lived assets | 0 | ||
Advertising costs | 300,000 | 300,000 | 300,000 |
Interest expense or penalties related to unrecognized tax benefits | 0 | 0 | 0 |
Sales and marketing | |||
Significant Accounting Policies [Line Items] | |||
Advertising costs | $ 13,700,000 | 14,400,000 | 16,500,000 |
Minimum | |||
Significant Accounting Policies [Line Items] | |||
Estimated useful life of property and equipment | 3 years | ||
Maximum | |||
Significant Accounting Policies [Line Items] | |||
Estimated useful life of property and equipment | 5 years | ||
Website Development Costs | |||
Significant Accounting Policies [Line Items] | |||
Estimated useful life of property and equipment | 2 years | ||
Development costs capitalized | $ 800,000 | $ 600,000 | $ 400,000 |
Customer relationships | |||
Significant Accounting Policies [Line Items] | |||
Estimated life (in years) | 5 years | ||
Accounts Receivable | Customer Concentration Risk | |||
Significant Accounting Policies [Line Items] | |||
Concentration risk, percentage | 15.00% | 10.00% | |
Ooma Residential | Revenue | |||
Significant Accounting Policies [Line Items] | |||
Concentration risk, percentage | 68.00% | 71.00% | 72.00% |
Ooma Business | Revenue | |||
Significant Accounting Policies [Line Items] | |||
Concentration risk, percentage | 28.00% | 22.00% | 16.00% |
Significant Accounting Polici_5
Significant Accounting Policies - Summary of Revenue Disaggregated by Revenue Source (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 31, 2019 | Jan. 31, 2018 | Jan. 31, 2017 | |
Disaggregation Of Revenue [Line Items] | |||
Total revenue | $ 129,231 | $ 114,490 | $ 104,524 |
Subscription and services revenue | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 116,429 | 101,999 | 91,127 |
Product and other revenue | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | $ 12,802 | $ 12,491 | $ 13,397 |
Recent Accounting Standards - A
Recent Accounting Standards - Additional Information (Details) - USD ($) | Feb. 01, 2018 | Jan. 31, 2019 | Jan. 31, 2018 | Jan. 31, 2017 | Feb. 01, 2019 |
Significant Accounting Policies [Line Items] | |||||
Net cash provided by or used in operating activities | $ (3,926,000) | $ 3,173,000 | $ 385,000 | ||
Net cash provided by or used in investing activities | 14,853,000 | $ (2,155,000) | $ (22,969,000) | ||
Minimum | Subsequent Event | |||||
Significant Accounting Policies [Line Items] | |||||
Right-of-use leased assets | $ 3,800,000 | ||||
Lease liability | 3,800,000 | ||||
Maximum | Subsequent Event | |||||
Significant Accounting Policies [Line Items] | |||||
Right-of-use leased assets | 4,800,000 | ||||
Lease liability | $ 4,800,000 | ||||
Topic 606 | |||||
Significant Accounting Policies [Line Items] | |||||
Net decrease in deferred revenue | $ 1,000,000 | ||||
Net increase to accumulated deficit due to adoption of new standard | 300,000 | ||||
Adjustment | Topic 606 | |||||
Significant Accounting Policies [Line Items] | |||||
Deferred inventory costs and other related accounts | $ 1,300,000 | ||||
Net cash provided by or used in operating activities | 0 | ||||
Net cash provided by or used in investing activities | $ 0 |
Recent Accounting Standards - S
Recent Accounting Standards - Summary of Impact of Adopting Topic 606 on Consolidated Statement of Operations (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Jan. 31, 2019 | Jan. 31, 2018 | Jan. 31, 2017 | |
Disaggregation Of Revenue [Line Items] | |||
Total revenue | $ 129,231 | $ 114,490 | $ 104,524 |
Total cost of revenue | 52,740 | 46,398 | 45,195 |
Gross profit | 76,491 | 68,092 | 59,329 |
Sales and marketing | 40,761 | 37,302 | 33,768 |
Net loss | $ (14,572) | $ (13,121) | $ (12,949) |
Basic and diluted | $ (0.74) | $ (0.71) | $ (0.74) |
Adjustment | Topic 606 | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | $ (169) | ||
Total cost of revenue | (493) | ||
Gross profit | 324 | ||
Sales and marketing | 4,468 | ||
Net loss | $ (4,144) | ||
Basic and diluted | $ (0.21) | ||
Balances Without Adoption of Topic 606 | Topic 606 | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | $ 129,062 | ||
Total cost of revenue | 52,247 | ||
Gross profit | 76,815 | ||
Sales and marketing | 45,229 | ||
Net loss | $ (18,716) | ||
Basic and diluted | $ (0.95) |
Recent Accounting Standards -_2
Recent Accounting Standards - Summary of Impact of Adopting Topic 606 on Consolidated Statement of Balance Sheet (Details) - USD ($) $ in Thousands | Jan. 31, 2019 | Jan. 31, 2018 |
Disaggregation Of Revenue [Line Items] | ||
Accounts receivable, net | $ 3,723 | $ 2,858 |
Other current assets | 5,450 | 4,397 |
Other assets | 5,379 | 336 |
Accrued expenses | 19,048 | 14,777 |
Deferred revenue | 15,443 | 15,556 |
Accumulated deficit | (105,795) | $ (90,931) |
Adjustment | Topic 606 | ||
Disaggregation Of Revenue [Line Items] | ||
Accounts receivable, net | 49 | |
Other current assets | 308 | |
Other assets | (3,387) | |
Accrued expenses | (732) | |
Deferred revenue | 1,554 | |
Accumulated deficit | (3,852) | |
Balances Without Adoption of Topic 606 | Topic 606 | ||
Disaggregation Of Revenue [Line Items] | ||
Accounts receivable, net | 3,772 | |
Other current assets | 5,758 | |
Other assets | 1,992 | |
Accrued expenses | 18,316 | |
Deferred revenue | 16,997 | |
Accumulated deficit | $ (109,647) |
Fair Value Measurements - Sched
Fair Value Measurements - Schedule of Financial Assets and Liabilities at Fair Value (Details) - USD ($) $ in Thousands | Jan. 31, 2019 | Jan. 31, 2018 |
Assets: | ||
Total cash and cash equivalents | $ 15,370 | $ 4,483 |
Total short-term investments | 27,253 | 47,307 |
Liabilities: | ||
Total liabilities | 200 | 311 |
U.S. Government Securities | ||
Assets: | ||
Total short-term investments | 11,088 | 20,867 |
Commercial Paper | ||
Assets: | ||
Total short-term investments | 8,253 | 9,272 |
Corporate Debt Securities | ||
Assets: | ||
Total short-term investments | 4,735 | 13,895 |
U.S. Agency Securities | ||
Assets: | ||
Total short-term investments | 990 | 1,996 |
Asset-backed Securities | ||
Assets: | ||
Total short-term investments | 2,187 | 1,277 |
Cash | ||
Assets: | ||
Total cash and cash equivalents | 3,990 | 1,085 |
Cash Equivalents | ||
Assets: | ||
Total cash and cash equivalents | 11,380 | 3,398 |
Cash Equivalents | Commercial Paper | ||
Assets: | ||
Total cash and cash equivalents | 5,429 | 2,844 |
Cash Equivalents | Money Market Funds | ||
Assets: | ||
Total cash and cash equivalents | 5,951 | 554 |
Level 1 | ||
Assets: | ||
Total short-term investments | 11,087 | 20,867 |
Level 1 | U.S. Government Securities | ||
Assets: | ||
Total short-term investments | 11,087 | 20,867 |
Level 1 | Cash Equivalents | ||
Assets: | ||
Total cash and cash equivalents | 5,951 | 554 |
Level 1 | Cash Equivalents | Money Market Funds | ||
Assets: | ||
Total cash and cash equivalents | 5,951 | 554 |
Level 2 | ||
Assets: | ||
Total short-term investments | 16,165 | 26,440 |
Level 2 | Commercial Paper | ||
Assets: | ||
Total short-term investments | 8,253 | 9,272 |
Level 2 | Corporate Debt Securities | ||
Assets: | ||
Total short-term investments | 4,735 | 13,895 |
Level 2 | U.S. Agency Securities | ||
Assets: | ||
Total short-term investments | 990 | 1,996 |
Level 2 | Asset-backed Securities | ||
Assets: | ||
Total short-term investments | 2,187 | 1,277 |
Level 2 | Cash Equivalents | ||
Assets: | ||
Total cash and cash equivalents | 5,429 | 2,844 |
Level 2 | Cash Equivalents | Commercial Paper | ||
Assets: | ||
Total cash and cash equivalents | 5,429 | 2,844 |
Level 3 | ||
Liabilities: | ||
Total liabilities | 200 | 311 |
Contingent Consideration | ||
Liabilities: | ||
Total liabilities | 200 | 311 |
Contingent Consideration | Level 3 | ||
Liabilities: | ||
Total liabilities | $ 200 | $ 311 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jan. 31, 2019 | Jan. 31, 2018 | |
Fair Value Disclosures [Abstract] | ||
Financial assets, level 2 to level 1 transfers, amount | $ 0 | $ 0 |
Financial assets, level 1 to level 2 transfers, amount | 0 | 0 |
Financial liabilities, level 2 to level 1 transfers, amount | 0 | 0 |
Financial liabilities, level 1 to level 2 transfers, amount | 0 | $ 0 |
Investments other-than-temporarily impaired | $ 0 |
Fair Value Measurement - Schedu
Fair Value Measurement - Schedule of Changes in Level 3 Fair Value Category (Details) - USD ($) $ in Thousands | Mar. 12, 2018 | Jan. 31, 2019 | Jan. 31, 2018 |
Fair Value Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | |||
Beginning Balance | $ 311 | ||
Add: contingent consideration from acquisition | 231 | $ 311 | |
Changes in fair value | (342) | ||
Ending Balance | 200 | 311 | |
Voxter Communications Inc. | |||
Fair Value Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | |||
Add: contingent consideration from acquisition | $ 780 | ||
Contingent Consideration | |||
Fair Value Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | |||
Beginning Balance | 311 | ||
Ending Balance | 200 | 311 | |
Level 3 | |||
Fair Value Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | |||
Beginning Balance | 311 | ||
Ending Balance | 200 | 311 | |
Level 3 | Contingent Consideration | |||
Fair Value Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | |||
Beginning Balance | 311 | ||
Changes in fair value | (342) | ||
Ending Balance | 200 | 311 | |
Level 3 | Contingent Consideration | Butterfleye, Inc. | |||
Fair Value Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | |||
Add: contingent consideration from acquisition | $ 311 | ||
Level 3 | Contingent Consideration | Voxter Communications Inc. | |||
Fair Value Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | |||
Add: contingent consideration from acquisition | $ 231 |
Fair Value Measurements - Sch_2
Fair Value Measurements - Schedule of Short-term Investments by Contractual Maturities (Details) - Short-term Investments - USD ($) $ in Thousands | Jan. 31, 2019 | Jan. 31, 2018 |
Schedule Of Available For Sale Securities [Line Items] | ||
One year or less, Amortized Value | $ 27,263 | $ 43,227 |
Over one year and less than two years, Amortized Value | 4,164 | |
Short-term Investments, Amortized Value | 27,263 | 47,391 |
One year or less, fair value | 27,253 | 43,172 |
Over one year and less than two years, fair value | 4,135 | |
Short-term Investments, Fair Value | $ 27,253 | $ 47,307 |
Goodwill and Acquired Intangi_3
Goodwill and Acquired Intangible Assets - Additional Information (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||
Mar. 31, 2018 | Dec. 31, 2019 | Jan. 31, 2019 | Jan. 31, 2018 | Jan. 31, 2017 | Mar. 12, 2018 | |
Finite Lived Intangible Assets [Line Items] | ||||||
Goodwill | $ 3,898 | $ 1,947 | ||||
Amortization expense | $ 740 | $ 313 | $ 348 | |||
Voxter Communications Inc. | ||||||
Finite Lived Intangible Assets [Line Items] | ||||||
Goodwill | $ 2,000 | |||||
Intangible assets recognized from acquisition | $ 2,100 | |||||
Goodwill recognized from acquisition | $ 1,900 | |||||
Increase in goodwill | $ 100 |
Goodwill and Acquired Intangi_4
Goodwill and Acquired Intangible Assets - Summary of Carrying Values of Intangible Assets Other than Goodwill (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jan. 31, 2019 | Jan. 31, 2018 | |
Finite Lived Intangible Assets [Line Items] | ||
Gross Value, Amortizable Intangible Assets | $ 4,783 | $ 3,002 |
Accumulated Amortization, Amortizable Intangible Assets | (2,148) | (1,867) |
Carrying Value, Amortizable Intangible Assets | 2,635 | 1,135 |
Gross Value | 4,783 | 3,159 |
Accumulated Amortization | (2,148) | (1,867) |
Carrying Value | $ 2,635 | 1,292 |
In-process R&D | ||
Finite Lived Intangible Assets [Line Items] | ||
Carrying Value | 157 | |
Developed technology | ||
Finite Lived Intangible Assets [Line Items] | ||
Estimated life (in years) | 5 years | |
Gross Value, Amortizable Intangible Assets | $ 2,716 | 1,568 |
Accumulated Amortization, Amortizable Intangible Assets | (1,121) | (630) |
Carrying Value, Amortizable Intangible Assets | $ 1,595 | 938 |
Customer relationships | ||
Finite Lived Intangible Assets [Line Items] | ||
Estimated life (in years) | 5 years | |
Gross Value, Amortizable Intangible Assets | $ 902 | |
Accumulated Amortization, Amortizable Intangible Assets | (157) | |
Carrying Value, Amortizable Intangible Assets | $ 745 | |
Trade name | ||
Finite Lived Intangible Assets [Line Items] | ||
Estimated life (in years) | 5 years | |
Gross Value, Amortizable Intangible Assets | $ 451 | 262 |
Accumulated Amortization, Amortizable Intangible Assets | (166) | (81) |
Carrying Value, Amortizable Intangible Assets | 285 | 181 |
Patents and licenses | ||
Finite Lived Intangible Assets [Line Items] | ||
Gross Value, Amortizable Intangible Assets | 714 | 714 |
Accumulated Amortization, Amortizable Intangible Assets | (704) | (698) |
Carrying Value, Amortizable Intangible Assets | $ 10 | 16 |
Patents and licenses | Minimum | ||
Finite Lived Intangible Assets [Line Items] | ||
Estimated life (in years) | 3 years 9 months 18 days | |
Patents and licenses | Maximum | ||
Finite Lived Intangible Assets [Line Items] | ||
Estimated life (in years) | 7 years | |
User relationships | ||
Finite Lived Intangible Assets [Line Items] | ||
Gross Value, Amortizable Intangible Assets | 458 | |
Accumulated Amortization, Amortizable Intangible Assets | $ (458) |
Goodwill and Acquired Intangi_5
Goodwill and Acquired Intangible Assets - Schedule of Estimated Future Amortization Expense for Intangible Assets (Details) - USD ($) $ in Thousands | Jan. 31, 2019 | Jan. 31, 2018 |
Goodwill And Intangible Assets Disclosure [Abstract] | ||
2020 | $ 691 | |
2021 | 642 | |
2022 | 638 | |
2023 | 612 | |
2024 and thereafter | 52 | |
Carrying Value, Amortizable Intangible Assets | $ 2,635 | $ 1,135 |
Balance Sheet Components - Comp
Balance Sheet Components - Components of Inventories (Details) - USD ($) $ in Thousands | Jan. 31, 2019 | Jan. 31, 2018 |
Inventory Disclosure [Abstract] | ||
Finished goods | $ 7,567 | $ 5,517 |
Raw materials | 2,550 | 562 |
Total inventory | $ 10,117 | $ 6,079 |
Balance Sheet Components - Co_2
Balance Sheet Components - Components of Other Current Assets (Details) - USD ($) $ in Thousands | Jan. 31, 2019 | Jan. 31, 2018 |
Prepaid Expense And Other Assets Current [Abstract] | ||
Prepaid expenses | $ 2,681 | $ 1,921 |
Deferred sales commissions | 1,081 | |
Deferred inventory costs | 334 | 1,061 |
Other current assets | 1,354 | 1,415 |
Total other current assets | $ 5,450 | $ 4,397 |
Balance Sheet Components - Co_3
Balance Sheet Components - Components of Property And Equipment, Net (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jan. 31, 2019 | Jan. 31, 2018 | |
Property Plant And Equipment [Line Items] | ||
Total property and equipment | $ 12,185 | $ 11,971 |
Less: accumulated depreciation and amortization | (7,622) | (7,239) |
Property and equipment, net | 4,563 | 4,732 |
Computer Equipment and Software | ||
Property Plant And Equipment [Line Items] | ||
Total property and equipment | $ 7,109 | 7,180 |
Website Development Costs | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment, estimated life | 2 years | |
Total property and equipment | $ 3,323 | 2,579 |
Machinery and Equipment | ||
Property Plant And Equipment [Line Items] | ||
Total property and equipment | $ 1,190 | 1,473 |
Office Furniture and Fixtures | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment, estimated life | 5 years | |
Total property and equipment | $ 114 | 88 |
Leasehold Improvements | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment, estimated lifes | Shorter of estimated life or remaining lease term | |
Total property and equipment | $ 449 | $ 651 |
Minimum | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment, estimated life | 3 years | |
Minimum | Computer Equipment and Software | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment, estimated life | 3 years | |
Minimum | Machinery and Equipment | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment, estimated life | 3 years | |
Maximum | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment, estimated life | 5 years | |
Maximum | Computer Equipment and Software | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment, estimated life | 4 years | |
Maximum | Machinery and Equipment | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment, estimated life | 5 years |
Balance Sheet Components - Addi
Balance Sheet Components - Additional Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 31, 2019 | Jan. 31, 2018 | Jan. 31, 2017 | |
Balance Sheet Components [Line Items] | |||
Depreciation and amortization | $ 2.3 | $ 2 | $ 1.6 |
Deferred revenue recognized | 14.2 | ||
Revenue expected to be recognized from remaining performance obligations | 0.5 | ||
Global Telecomm Corporation | Convertible Promissory Note | |||
Balance Sheet Components [Line Items] | |||
Investment in privately-held company | $ 1.3 | ||
Convertible promissory note, maturity period | 18 months | ||
Convertible promissory note, interest rate | 10.00% |
Balance Sheet Components - Co_4
Balance Sheet Components - Components of Other Long-Term Assets (Details) - USD ($) $ in Thousands | Jan. 31, 2019 | Jan. 31, 2018 |
Other Assets Noncurrent [Abstract] | ||
Deferred sales commissions | $ 3,387 | |
Convertible note receivable | 1,300 | |
Other assets | 692 | $ 336 |
Total other assets | $ 5,379 | $ 336 |
Balance Sheet Components - Co_5
Balance Sheet Components - Components of Accrued Expenses (Details) - USD ($) $ in Thousands | Jan. 31, 2019 | Jan. 31, 2018 |
Payables And Accruals [Abstract] | ||
Payroll and related expenses | $ 7,926 | $ 5,423 |
Regulatory fees and taxes | 5,645 | 5,239 |
Acquisition-related consideration | 925 | 353 |
Other | 4,552 | 3,762 |
Total accrued expenses | $ 19,048 | $ 14,777 |
Balance Sheet Components - Co_6
Balance Sheet Components - Components of Deferred Revenue (Details) - USD ($) $ in Thousands | Jan. 31, 2019 | Jan. 31, 2018 |
Deferred Revenue Arrangement [Line Items] | ||
Deferred revenue | $ 15,750 | $ 15,984 |
Less: current deferred revenue | 15,443 | 15,556 |
Noncurrent deferred revenue included in other long-term liabilities | 307 | 428 |
Subscription and Services | ||
Deferred Revenue Arrangement [Line Items] | ||
Deferred revenue | 15,682 | 14,568 |
Product and Other | ||
Deferred Revenue Arrangement [Line Items] | ||
Deferred revenue | $ 68 | $ 1,416 |
Balance Sheet Components - Ad_2
Balance Sheet Components - Additional Information (Details 1) $ in Millions | Jan. 31, 2019USD ($) |
Balance Sheet Components [Line Items] | |
Revenue expected to be recognized from remaining performance obligations | $ 0.5 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2019-02-01 | |
Balance Sheet Components [Line Items] | |
Revenue expected to be recognized from remaining performance obligations | $ 0.2 |
Revenue expected to be recognized from remaining performance obligations, period | 12 months |
Stockholders' Equity - Schedule
Stockholders' Equity - Schedule of Common Stock Reserved for Issuance (Details) - shares | Jan. 31, 2019 | Jan. 31, 2018 |
Common Stock Reserved For Future Issuance [Line Items] | ||
Total shares reserved for issuance | 5,009,105 | 5,299,065 |
Warrants to purchase common stock | ||
Common Stock Reserved For Future Issuance [Line Items] | ||
Total shares reserved for issuance | 1,107 | 4,881 |
Options to purchase common stock | ||
Common Stock Reserved For Future Issuance [Line Items] | ||
Total shares reserved for issuance | 1,691,272 | 1,801,232 |
Shares available for future issuance under stock plans | ||
Common Stock Reserved For Future Issuance [Line Items] | ||
Total shares reserved for issuance | 1,141,482 | 928,024 |
Shares reserved under ESPP | ||
Common Stock Reserved For Future Issuance [Line Items] | ||
Total shares reserved for issuance | 249,933 | 598,033 |
Restricted stock units outstanding | ||
Common Stock Reserved For Future Issuance [Line Items] | ||
Total shares reserved for issuance | 1,925,311 | 1,966,895 |
Stockholders' Equity - Addition
Stockholders' Equity - Additional Information (Details) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Jan. 31, 2019USD ($)Peroid$ / sharesshares | Jan. 31, 2018USD ($)$ / sharesshares | Jan. 31, 2017USD ($)$ / sharesshares | |
Stockholders Equity Note Disclosure [Line Items] | |||
Stock option, granted | 100,000 | ||
ESPP | |||
Stockholders Equity Note Disclosure [Line Items] | |||
Percentage of eligible compensation subject to plan limitation | 15.00% | ||
Employee stock purchase plan offering period | 24 months | ||
Number of purchase periods | Peroid | 4 | ||
Purchase periods | 6 months | ||
Purchase price of common stock as percentage of fair market value | 85.00% | ||
Number of shares of common stock issued under ESPP | 300,000 | 300,000 | 200,000 |
Weighted purchase price of shares of common stock under ESPP | $ / shares | $ 6.82 | $ 5.48 | $ 5.01 |
Stock Options | |||
Stockholders Equity Note Disclosure [Line Items] | |||
Employee stock option expiration period | 10 years | ||
Aggregate intrinsic value of vested options exercised | $ | $ 1,300 | $ 300 | $ 1,300 |
Weighted-average grant date fair value of options granted | $ / shares | $ 5.28 | $ 4.81 | |
Stock option, granted | 0 | ||
Stock Options | Maximum | |||
Stockholders Equity Note Disclosure [Line Items] | |||
Employee stock option vesting period | 5 years | ||
Restricted Stock Units (RSUs) | |||
Stockholders Equity Note Disclosure [Line Items] | |||
Payment for shares of common stock withheld for tax withholdings on vesting of RSUs | $ | $ 2,926 | $ 2,443 | $ 1,588 |
Restricted Stock Units (RSUs) | Maximum | |||
Stockholders Equity Note Disclosure [Line Items] | |||
Employee stock option vesting period | 4 years | ||
Restricted Stock Units (RSUs) | Minimum | |||
Stockholders Equity Note Disclosure [Line Items] | |||
Employee stock option vesting period | 1 year |
Stockholders' Equity - Summariz
Stockholders' Equity - Summarizes of Stock Option Activities (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Jan. 31, 2019 | Jan. 31, 2018 | |
Number of Shares | ||
Number of Shares, Beginning balance | 1,801,232 | |
Number of Shares, Granted | 100,000 | |
Number of Shares, Exercised | (185,535) | |
Number of Shares, Canceled | (24,425) | |
Number of Shares, Ending balance | 1,691,272 | 1,801,232 |
Number of Shares, Vested and exercisable | 1,525,946 | |
Weighted Average Exercise Price Per Share | ||
Weighted Average Exercise Price Per Share, Beginning balance | $ 6.09 | |
Weighted Average Exercise Price Per Share, Granted | 11.75 | |
Weighted Average Exercise Price Per Share, Exercised | 6.03 | |
Weighted Average Exercise Price Per Share, Canceled | 9.48 | |
Weighted Average Exercise Price Per Share, Ending balance | 6.39 | $ 6.09 |
Weighted Average Exercise Price Per Share, Vested and exercisable | $ 5.86 | |
Weighted Average Contractual Term | ||
Weighted Average Contractual Term | 5 years 4 months 24 days | 6 years 2 months 12 days |
Weighted Average Contractual Term, Vested and exercisable | 5 years 1 month 6 days | |
Aggregate Intrinsic Value | ||
Aggregate Intrinsic Value | $ 14,755 | $ 8,270 |
Aggregate Intrinsic Value, Vested and exercisable | $ 14,112 |
Stockholders' Equity - Summar_2
Stockholders' Equity - Summarizes of Restricted Stock Units Activities (Details) - Restricted Stock Units (RSUs) - $ / shares | 12 Months Ended | |
Jan. 31, 2019 | Jan. 31, 2018 | |
Number of Shares | ||
Number of Shares, RSUs Beginning Balance | 1,966,895 | 1,859,196 |
Number of Shares, Granted | 1,176,647 | 1,222,605 |
Number of Shares, Vested | (921,533) | (936,869) |
Number of Shares, Canceled | (296,698) | (178,037) |
Number of Shares, RSUs Ending Balance | 1,925,311 | 1,966,895 |
Weighted Average Grant-Date Fair Value Per Share | ||
Weighted Average Grant-Date Fair Value Per Share, Beginning Balance | $ 8.85 | $ 7.65 |
Weighted Average Grant-Date Fair Value Per Share, Granted | 11.96 | 10.17 |
Weighted Average Grant-Date Fair Value Per Share, Vested | 9.12 | 8.54 |
Weighted Average Grant-Date Fair Value Per Share, Canceled | 9.70 | 8.77 |
Weighted Average Grant-Date Fair Value Per Share, Ending Balance | $ 10.49 | $ 8.85 |
Stock-Based Compensation - Tota
Stock-Based Compensation - Total Stock-Based Compensation Recognized for Stock-Based Awards in Consolidated Statements of Operations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 31, 2019 | Jan. 31, 2018 | Jan. 31, 2017 | |
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | |||
Stock-based compensation | $ 10,370 | $ 10,921 | $ 9,772 |
Cost of revenue | |||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | |||
Stock-based compensation | 920 | 1,102 | 1,026 |
Sales and marketing | |||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | |||
Stock-based compensation | 1,442 | 1,818 | 1,438 |
Research and development | |||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | |||
Stock-based compensation | 3,762 | 3,972 | 3,586 |
General and administrative | |||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | |||
Stock-based compensation | $ 4,246 | $ 4,029 | $ 3,722 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Details) - USD ($) | 12 Months Ended | ||
Jan. 31, 2019 | Jan. 31, 2018 | Jan. 31, 2017 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Income tax benefit related to stock-based compensation expense | $ 0 | $ 0 | $ 0 |
Stock Options | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Unrecognized share-based compensation expense related to unvested stock option grants | $ 20,200,000 | ||
Stock-based compensation expenses recognized on straight line basis offering period | 2 years 6 months | ||
Restricted Stock Units (RSUs) | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Unrecognized share-based compensation expense related to unvested stock option grants | $ 20,200,000 | ||
Stock-based compensation expenses recognized on straight line basis offering period | 2 years 6 months | ||
ESPP | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Unrecognized share-based compensation expense related to unvested stock option grants | $ 20,200,000 | ||
Stock-based compensation expenses recognized on straight line basis offering period | 2 years 6 months |
Stock-Based Compensation - Assu
Stock-Based Compensation - Assumptions Used to Estimate Fair Value of Employee Stock Options Grants and Employee Stock Purchase Plan Using Black-Scholes Option Pricing Model (Details) | 12 Months Ended | ||
Jan. 31, 2019 | Jan. 31, 2018 | Jan. 31, 2017 | |
ESPP | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Expected volatility, minimum | 39.00% | 35.00% | 37.00% |
Expected volatility, maximum | 56.00% | 41.00% | 50.00% |
Risk-free interest rate, minimum | 2.00% | 0.90% | 0.50% |
Risk-free interest rate, maximum | 2.80% | 1.40% | 1.00% |
ESPP | Minimum | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Expected term (in years) | 6 months | 6 months | 6 months |
ESPP | Maximum | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Expected term (in years) | 2 years | 2 years | 2 years |
Stock Options | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Expected volatility | 43.00% | 47.00% | |
Expected term (in years) | 6 years 1 month 6 days | 6 years 1 month 6 days | |
Risk-free interest rate | 2.70% | ||
Stock Options | Minimum | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Risk-free interest rate | 1.80% | ||
Stock Options | Maximum | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Risk-free interest rate | 2.10% |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of Income Tax Benefit (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 31, 2019 | Jan. 31, 2018 | Jan. 31, 2017 | |
Income Tax Disclosure [Abstract] | |||
Federal tax at statutory rate | $ (3,141) | $ (4,316) | $ (4,403) |
Impact of U.S. tax law change | 58 | 11,667 | |
Change in valuation allowance | 5,603 | (6,786) | 4,881 |
Research and development credit | (2,155) | (1,080) | (738) |
State taxes | (494) | (396) | (230) |
Stock-based compensation | (991) | 387 | 387 |
Permanent tax adjustment | 843 | 527 | $ 103 |
Impact of foreign operations | (105) | ||
Other | (2) | ||
Total | $ (384) | $ 3 | |
Federal tax at statutory rate, Rate | 21.00% | 33.00% | 34.00% |
Impact of U.S. tax law change, Rate | (89.00%) | ||
Change in valuation allowance, Rate | (37.00%) | 52.00% | (38.00%) |
Research and development credit, Rate | 14.00% | 8.00% | 6.00% |
State taxes, Rate | 3.00% | 3.00% | 2.00% |
Stock-based compensation, Rate | 7.00% | (3.00%) | (3.00%) |
Permanent tax adjustment, Rate | (6.00%) | (4.00%) | (1.00%) |
Impact of foreign operations, Rate | 1.00% | ||
Total, Rate | (3.00%) | 0.00% | 0.00% |
Income Taxes - Summary of Defer
Income Taxes - Summary of Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Jan. 31, 2019 | Jan. 31, 2018 | Jan. 31, 2017 |
Deferred tax assets: | |||
Accruals and reserves | $ 1,549 | $ 2,281 | |
Stock-based compensation | 1,071 | 1,030 | |
Intangible assets amortization | (21) | 61 | |
Deferred revenue | 73 | 125 | |
Net operating loss carry forwards | 26,277 | 22,047 | |
Tax credit carryover | 5,977 | 3,810 | |
Gross deferred tax assets | 34,926 | 29,354 | |
Valuation allowance | (34,309) | (28,657) | $ (34,900) |
Net deferred tax assets | 617 | 697 | |
Deferred tax liabilities: | |||
Acquired intangible assets | (607) | (313) | |
Fixed assets depreciation | (154) | (384) | |
Gross deferred tax liabilities | (761) | $ (697) | |
Total deferred tax liabilities | $ (144) |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) | 12 Months Ended | |||
Jan. 31, 2019 | Jan. 31, 2018 | Jan. 31, 2017 | Apr. 30, 2020 | |
Income Tax [Line Items] | ||||
Federal statutory income tax rate | 21.00% | 33.00% | 34.00% | |
Deferred tax assets | $ 34,926,000 | $ 29,354,000 | ||
Performance based compensation and commission exceptions to tax deduction limitation | 1,000,000 | |||
Valuation allowance for deferred tax assets | 34,309,000 | 28,657,000 | $ 34,900,000 | |
Net deferred tax asset, change in valuation allowance | $ 5,700,000 | (6,200,000) | ||
Net operating loss carryforwards, expired | 2030 | |||
Unrecognized tax benefits | $ 4,425,000 | 2,825,000 | 1,815,000 | $ 4,400,000 |
Interest expense or penalties related to unrecognized tax benefits | $ 0 | $ 0 | $ 0 | |
Research and Development | ||||
Income Tax [Line Items] | ||||
Federal tax credit, expired | 2030 | |||
Federal | ||||
Income Tax [Line Items] | ||||
Net operating loss carryforwards | $ 99,000,000 | |||
Federal | Research and Development | ||||
Income Tax [Line Items] | ||||
Tax credit carryforwards | 5,800,000 | |||
State | ||||
Income Tax [Line Items] | ||||
Net operating loss carryforwards | 71,800,000 | |||
State | Research and Development | ||||
Income Tax [Line Items] | ||||
Tax credit carryforwards | 5,200,000 | |||
Stock Awards Limitation | ||||
Income Tax [Line Items] | ||||
Deferred tax assets | $ 100,000 | |||
Maximum | ||||
Income Tax [Line Items] | ||||
Federal statutory income tax rate | 35.00% |
Income Taxes - Summary of Activ
Income Taxes - Summary of Activity Related to UTBs (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jan. 31, 2019 | Jan. 31, 2018 | |
Income Tax Disclosure [Abstract] | ||
Beginning Balance | $ 2,825 | $ 1,815 |
Increase related to prior year positions | 8 | 139 |
Increase related to current year tax positions | 1,592 | 871 |
Ending Balance | $ 4,425 | $ 2,825 |
Retirement Plan - Additional In
Retirement Plan - Additional Information (Details) - USD ($) | 12 Months Ended | ||
Jan. 31, 2019 | Jan. 31, 2018 | Jan. 31, 2017 | |
Compensation And Retirement Disclosure [Abstract] | |||
Employee contributions maximum amount | $ 18,500 | ||
Employee contributions maximum amount, over fifty years of age. | $ 24,500 | ||
Employer contribution, percent of match | 50.00% | ||
Employee maximum contribution percent of deferred salary amount | 6.00% | ||
Vesting percentage | 100.00% | ||
Compensation costs | $ 700,000 | $ 500,000 | $ 400,000 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Details) - USD ($) | 12 Months Ended | ||
Jan. 31, 2019 | Jan. 31, 2018 | Jan. 31, 2017 | |
Commitments And Contingencies Disclosure [Line Items] | |||
Rent expense | $ 2,500,000 | $ 1,900,000 | $ 2,000,000 |
Non-cancelable purchase commitments | 4,200,000 | ||
Accrued liabilities for loss contingencies | 0 | ||
Tax litigation amount | 600,000 | ||
Cumulative charges of litigation loss | 300,000 | ||
Other current assets | |||
Commitments And Contingencies Disclosure [Line Items] | |||
Amount of receivables in other current assets | $ 300,000 |
Commitments and Contingencies_2
Commitments and Contingencies - Minimum Rental Commitments under Non-Cancelable Operating Leases (Details) $ in Thousands | Jan. 31, 2018USD ($) |
Operating Leases | |
2020 | $ 1,983 |
2021 | 1,408 |
2022 | 917 |
2023 | 266 |
2024 and thereafter | 49 |
Total | $ 4,623 |
Acquisitions and Divestitures -
Acquisitions and Divestitures - Additional Information (Details) - USD ($) | Mar. 12, 2018 | Dec. 14, 2017 | Aug. 15, 2017 | Jan. 31, 2019 | Jan. 31, 2018 |
Business Acquisition [Line Items] | |||||
Goodwill | $ 3,898,000 | $ 1,947,000 | |||
Business Promoter | Third Party Entity | |||||
Business Acquisition [Line Items] | |||||
Proceeds from disposition of business | $ 0 | ||||
Quarterly earn-out payment receivable period | 5 years | ||||
Quarterly earn-out payment receivable, maximum | $ 4,500,000 | ||||
Proceeds from disposition of business quarterly earn-outs | 300,000 | $ 200,000 | |||
Voxter Communications Inc. | |||||
Business Acquisition [Line Items] | |||||
Acquisition completion date | Mar. 12, 2018 | ||||
Fair value of consideration transferred | $ 3,911,000 | ||||
Intangible assets | 2,100,000 | ||||
Net assets acquired | 400,000 | ||||
Deferred tax liabilities | 400,000 | ||||
Goodwill | 2,000,000 | ||||
Acquisition-related transaction costs | $ 400,000 | ||||
Earn-out payments, fair market value | 231,000 | ||||
Earn-out payments, gross amount | $ 800,000 | ||||
Butterfleye, Inc. | |||||
Business Acquisition [Line Items] | |||||
Fair value of consideration transferred | $ 1,500,000 | ||||
Intangible assets | 1,100,000 | ||||
Goodwill | 800,000 | ||||
Earn-out payments, fair market value | 300,000 | ||||
Earn-out payments, gross amount | 900,000 | ||||
Net liabilities assumed | $ 100,000 |
Acquisitions and Divestitures_2
Acquisitions and Divestitures - Schedule of Fair Value of Consideration Transferred (Details) - USD ($) $ in Thousands | Mar. 12, 2018 | Jan. 31, 2019 | Jan. 31, 2018 | Jan. 31, 2017 |
Business Acquisition [Line Items] | ||||
Common stock issued at closing | $ 390 | $ 165 | ||
Holdback payable | $ 231 | $ 311 | ||
Voxter Communications Inc. | ||||
Business Acquisition [Line Items] | ||||
Cash paid at closing | $ 2,510 | |||
Common stock issued at closing | 390 | |||
Holdback payable | 780 | |||
Contingent consideration | 231 | |||
Total | $ 3,911 |
Acquisitions and Divestitures_3
Acquisitions and Divestitures - Schedule of Fair Value of Consideration Transferred (Parenthetical) (Details) $ in Millions | Mar. 12, 2018USD ($) |
Voxter Communications Inc. | |
Business Acquisition [Line Items] | |
Earn-out payments, gross amount | $ 0.8 |
Net Loss Per Share - Computatio
Net Loss Per Share - Computation of Basic and Diluted Net Loss Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Jan. 31, 2019 | Jan. 31, 2018 | Jan. 31, 2017 | |
Numerator | |||
Net loss | $ (14,572) | $ (13,121) | $ (12,949) |
Denominator | |||
Weighted-average common shares | 19,799,781 | 18,570,128 | 17,490,448 |
Basic and diluted net loss per share | $ (0.74) | $ (0.71) | $ (0.74) |
Net Loss Per Share - Additional
Net Loss Per Share - Additional Information (Details) - shares shares in Millions | 12 Months Ended | ||
Jan. 31, 2019 | Jan. 31, 2018 | Jan. 31, 2017 | |
Earnings Per Share [Abstract] | |||
Potentially dilutive securities excluded from the computation of diluted net loss per share | 3.9 | 4.1 | 4.1 |
Related Party Transaction - Add
Related Party Transaction - Additional Information (Details) - Fiserv Solutions, LLC $ in Millions | 12 Months Ended | ||
Jan. 31, 2019USD ($) | Jan. 31, 2018USD ($) | Oct. 31, 2017ft² | |
Related Party Transaction [Line Items] | |||
Lease rentable space of office building | ft² | 33,400 | ||
Total rental and common area maintenance expenses | $ | $ 1.2 | $ 0.2 |