Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Jan. 31, 2017 | Feb. 24, 2017 | |
Document And Entity Information [Abstract] | ||
Entity Registrant Name | Bazaarvoice Inc | |
Entity Central Index Key | 1,330,421 | |
Current Fiscal Year End Date | --04-30 | |
Entity Filer Category | Accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | Jan. 31, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | BV | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding | 83,648,563 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Jan. 31, 2017 | Apr. 30, 2016 |
Current assets: | ||
Cash and cash equivalents | $ 38,287 | $ 43,963 |
Short-term investments | 45,207 | 50,682 |
Accounts receivable, net of allowance for doubtful accounts of $1,537 and $2,362 as of January 31, 2017 and April 30, 2016, respectively | 51,624 | 39,597 |
Prepaid expenses and other current assets | 9,567 | 8,415 |
Total current assets | 144,685 | 142,657 |
Property, equipment and capitalized internal-use software development costs, net | 29,160 | 31,649 |
Goodwill | 139,155 | 139,155 |
Acquired intangible assets, net | 8,190 | 9,607 |
Other non-current assets | 4,003 | 5,214 |
Total assets | 325,193 | 328,282 |
Current liabilities: | ||
Accounts payable | 4,775 | 6,110 |
Accrued expenses and other current liabilities | 18,314 | 23,167 |
Revolving line of credit | 37,000 | 0 |
Deferred revenue | 71,163 | 62,735 |
Total current liabilities | 131,252 | 92,012 |
Long-term liabilities: | ||
Revolving line of credit | 0 | 42,000 |
Deferred revenue less current portion | 2,500 | 2,481 |
Other liabilities, long-term | 6,726 | 7,255 |
Total liabilities | 140,478 | 143,748 |
Commitments and contingencies (Note 9) | ||
Stockholders’ equity: | ||
Common stock – $0.0001 par value; 150,000,000 shares authorized, 83,848,563 shares issued and 83,648,563 shares outstanding as of January 31, 2017; 150,000,000 shares authorized, 82,269,748 shares issued and 82,069,748 shares outstanding at April 30, 2016 | 8 | 8 |
Treasury stock, at cost – 200,000 shares as of January 31, 2017 and April 30, 2016 | 0 | 0 |
Additional paid-in capital | 450,418 | 437,239 |
Accumulated other comprehensive loss | (1,909) | (878) |
Accumulated deficit | (263,802) | (251,835) |
Total stockholders’ equity | 184,715 | 184,534 |
Total liabilities and stockholders’ equity | $ 325,193 | $ 328,282 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Jan. 31, 2017 | Apr. 30, 2016 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts | $ 1,537 | $ 2,362 |
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 150,000,000 | 150,000,000 |
Common stock, shares issued | 83,848,563 | 82,269,748 |
Common stock, shares outstanding | 83,648,563 | 82,069,748 |
Treasury stock, shares | 200,000 | 200,000 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 31, 2017 | Jan. 31, 2016 | Jan. 31, 2017 | Jan. 31, 2016 | |
Income Statement [Abstract] | ||||
Revenue | $ 50,525 | $ 50,255 | $ 151,026 | $ 149,057 |
Cost of revenue | 19,196 | 18,920 | 56,807 | 57,614 |
Gross profit | 31,329 | 31,335 | 94,219 | 91,443 |
Operating expenses: | ||||
Sales and marketing | 16,322 | 16,113 | 47,445 | 51,781 |
Research and development | 9,588 | 10,199 | 30,620 | 31,086 |
General and administrative | 7,299 | 6,940 | 23,609 | 22,821 |
Restructuring charges | 0 | 0 | 1,094 | 0 |
Acquisition-related and other | 84 | 332 | 380 | 1,258 |
Amortization of acquired intangible assets | 309 | 309 | 928 | 928 |
Total operating expenses | 33,602 | 33,893 | 104,076 | 107,874 |
Operating loss | (2,273) | (2,558) | (9,857) | (16,431) |
Other income (expense), net: | ||||
Interest income | 150 | 124 | 445 | 275 |
Interest expense | (450) | (596) | (1,398) | (1,628) |
Other expense | (32) | (247) | (807) | (553) |
Total other expense, net | (332) | (719) | (1,760) | (1,906) |
Loss before income taxes | (2,605) | (3,277) | (11,617) | (18,337) |
Income tax expense (benefit) | 123 | (163) | 350 | (127) |
Net loss | $ (2,728) | $ (3,114) | $ (11,967) | $ (18,210) |
Net loss per share: | ||||
Basic and diluted loss per share | $ (0.03) | $ (0.04) | $ (0.14) | $ (0.23) |
Basic and diluted weighted average number of shares outstanding | 83,348 | 81,096 | 82,830 | 80,649 |
Condensed Consolidated Stateme5
Condensed Consolidated Statements of Comprehensive Loss - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 31, 2017 | Jan. 31, 2016 | Jan. 31, 2017 | Jan. 31, 2016 | |
Statement of Comprehensive Income [Abstract] | ||||
Net loss | $ (2,728) | $ (3,114) | $ (11,967) | $ (18,210) |
Other comprehensive gain (loss), net of tax: | ||||
Foreign currency translation adjustment | 111 | (453) | (1,015) | (526) |
Unrealized loss on investments | (14) | (34) | (16) | (33) |
Total other comprehensive gain (loss), net of tax | 97 | (487) | (1,031) | (559) |
Comprehensive loss | $ (2,631) | $ (3,601) | $ (12,998) | $ (18,769) |
Condensed Consolidated Stateme6
Condensed Consolidated Statement of Changes in Stockholders' Equity - 9 months ended Jan. 31, 2017 - USD ($) shares in Thousands, $ in Thousands | Total | Common stock | Treasury stock | Additional paid-in capital | Accumulated other comprehensive income (loss) | Accumulated deficit |
Beginning balance, Shares at Apr. 30, 2016 | 82,270 | (200) | ||||
Beginning balance at Apr. 30, 2016 | $ 184,534 | $ 8 | $ 0 | $ 437,239 | $ (878) | $ (251,835) |
Excess tax deficiency related to stock-based expense | (43) | (43) | ||||
Stock-based expense | 12,537 | 12,537 | ||||
Issuance of restricted stock awards | 91 | |||||
Exercise of stock options and vested restricted stock units, shares | 1,164 | |||||
Exercise of stock options and vested restricted stock units | (220) | (220) | ||||
Shares issued under employee stock plans, shares | 324 | |||||
Shares issued under employee stock plans | 905 | 905 | ||||
Change in foreign currency translation adjustment | (1,015) | (1,015) | ||||
Change in unrealized gain on investments | (16) | (16) | ||||
Net loss | (11,967) | (11,967) | ||||
Ending balance, Shares at Jan. 31, 2017 | 83,849 | (200) | ||||
Ending balance at Jan. 31, 2017 | $ 184,715 | $ 8 | $ 0 | $ 450,418 | $ (1,909) | $ (263,802) |
Condensed Consolidated Stateme7
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Jan. 31, 2017 | Jan. 31, 2016 | |
Operating activities: | ||
Net loss | $ (11,967) | $ (18,210) |
Adjustments to reconcile net loss to net cash provided by operating activities: | ||
Depreciation and amortization expense | 10,623 | 10,487 |
Stock-based expense | 12,172 | 11,484 |
Bad debt expense | (243) | (265) |
Amortization of deferred financing costs | 176 | 176 |
Loss on sublease | 501 | 0 |
Other non-cash expense | (172) | 82 |
Changes in operating assets and liabilities: | ||
Accounts receivable | (11,784) | 10,715 |
Prepaid expenses and other current assets | (815) | (479) |
Other non-current assets | 862 | (968) |
Accounts payable | (1,313) | 1,797 |
Accrued expenses and other current liabilities | (5,425) | (5,138) |
Deferred revenue | 8,447 | 225 |
Other liabilities, long-term | (468) | 5,039 |
Net cash provided by operating activities | 594 | 14,945 |
Investing activities: | ||
Proceeds from sale of discontinued operations | 0 | 4,501 |
Purchases of property, equipment and capitalized internal-use software development costs | (6,988) | (19,422) |
Purchases of short-term investments | (36,895) | (53,467) |
Proceeds from maturities of short-term investments | 42,140 | 55,017 |
Net cash used in investing activities | (1,743) | (13,371) |
Financing activities: | ||
Proceeds from employee stock compensation plans | 1,297 | 2,777 |
Payments on revolving line of credit | 5,000 | 0 |
Net cash provided by (used in) financing activities | (3,703) | 2,777 |
Effect of exchange rate fluctuations on cash and cash equivalents | (824) | (448) |
Net change in cash and cash equivalents | (5,676) | 3,903 |
Cash and cash equivalents at beginning of period | 43,963 | 54,041 |
Cash and cash equivalents at end of period | 38,287 | 57,944 |
Supplemental disclosure of non-cash investing and financing activities: | ||
Purchase of fixed assets recorded in accounts payable | 0 | 318 |
Asset retirement obligation costs incurred | 0 | 100 |
Capitalized stock-based compensation | $ 365 | $ 366 |
Organization and Nature of Oper
Organization and Nature of Operations | 9 Months Ended |
Jan. 31, 2017 | |
Accounting Policies [Abstract] | |
Organization and Nature of Operations | Organization and Nature of Operations Bazaarvoice, Inc. (“Bazaarvoice” or the “Company”) was founded on the premise that the collective voice of the consumer is the most powerful marketing tool in the world. The Company's solutions and services allow the Company's retailer and brand clients to understand that consumer voice and the role it plays in influencing purchasing decisions, both online and offline. The Company’s solutions collect, curate and display consumer-generated content including ratings and reviews, questions and answers, customer stories, and social posts, photos, and videos. This content is syndicated and distributed across the Company's clients' marketing channels, including category/product pages, search terms, brand sites, mobile applications, in-store displays, and paid and earned advertising. This consumer-generated content enables the Company's clients to generate more revenue, market share, and brand affinity. The Company's solutions empower the Company's clients to leverage insights derived from consumer-generated content to improve marketing effectiveness, increase success of new product launches, improve existing products and services, effectively scale customer support, decrease product returns, reach consumers when actively shopping via highly targeted audience advertising, and enable retailers to launch and manage on-site advertising solutions and site monetization strategies. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 9 Months Ended |
Jan. 31, 2017 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Fiscal Year The Company’s fiscal year end is April 30. References to fiscal year 2017 , for example, refer to the fiscal year ending April 30, 2017 . Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States (“GAAP”) and applicable rules and regulations of the Securities and Exchange Commission (“SEC”) regarding interim financial reporting. Certain information and note disclosures normally included in the financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. Therefore, these unaudited condensed consolidated financial statements and notes included herein should be read in conjunction with the audited consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the fiscal year ended April 30, 2016 , filed on June 20, 2016. There have been no significant changes to the Company’s accounting policies since April 30, 2016 . The condensed consolidated balance sheet data as of April 30, 2016 was derived from the audited consolidated financial statements included in the Company’s Annual Report on form 10-K for the fiscal year ended April 30, 2016 . Certain immaterial prior period amounts presented in the consolidated statement of cash flows have been reclassified to conform to current period financial statement presentation. These reclassifications have no effect on previously reported net income. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. On an ongoing basis, the Company evaluates its estimates, including those related to revenue recognition, allowance for doubtful accounts, income taxes, stock-based expense, accrued liabilities, useful lives of property, equipment and capitalized software development costs, among others. The Company bases its estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results could differ from the estimates made by management with respect to these items. Principles of Consolidation The accompanying condensed consolidated financial statements include the accounts of the Company and the accounts of the Company’s wholly-owned subsidiaries. All intercompany balances and transactions have been eliminated upon consolidation. Unaudited Interim Financial Information The accompanying unaudited condensed consolidated financial statements and notes have been prepared in accordance with GAAP, as contained in the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification for interim financial information and Article 10 of Regulation S-X issued by the SEC. Accordingly, they do not include all the information and footnotes required by GAAP for annual fiscal reporting periods. In the opinion of management, the interim financial information includes all adjustments of a normal recurring nature necessary for a fair statement of the results of operations, financial position, changes in stockholders’ equity and cash flows. The results of operations for the three and nine months ended January 31, 2017 are not necessarily indicative of results that may be expected for the fiscal year ending April 30, 2017 or any other period. Foreign Currency Translation The U.S. dollar is the reporting currency for all periods presented. The functional currency of the Company’s foreign subsidiaries is generally the local currency. All assets and liabilities denominated in a foreign currency are translated into U.S. dollars at the exchange rate on the balance sheet date. Revenue and expenses are translated at the average rate during the period. Equity transactions are translated using historical exchange rates. Adjustments resulting from translating foreign currency financial statements into U.S. dollars are included in accumulated other comprehensive gain (loss). Foreign currency transaction gains and losses are included in net loss for the period. Foreign currency losses, net of hedge gains, were immaterial for the three month periods ended January 31, 2017 and 2016. The Company recognized foreign currency losses, net of hedge gains, of $0.6 million and $0.5 million , for the nine month period ended January 31, 2017 and 2016, respectively. Derivative Financial Instruments As a result of the Company’s international operations, it is exposed to various market risks, such as fluctuations in currency exchange rates, which may affect its consolidated results of operations, cash flows and financial position. The Company’s primary foreign currency exposures are in Euros and British Pound Sterling. The Company faces exposure to adverse movements in currency exchange rates as the financial results of certain of its operations are translated from local currency into U.S. dollars upon consolidation. Additionally, foreign exchange rate fluctuations on transactions denominated in currencies other than the functional currency result in gains and losses that are reflected in income. The Company may enter into derivative instruments to hedge certain net exposures of non-U.S. dollar-denominated assets and liabilities, even though it does not elect to apply hedge accounting or hedge accounting does not apply. Gains and losses resulting from a change in fair value of these derivatives are reflected in income in the period in which the change occurs and are recognized on the condensed consolidated statement of operations in other income (expense). Cash flows from these contracts are classified within net cash provided by operating activities on the condensed consolidated statements of cash flows. The Company does not use financial instruments for trading or speculative purposes. The Company recognizes all derivative instruments on the balance sheet at fair value, and its derivative instruments are generally short-term in duration. Derivative contracts were not material as of January 31, 2017 and April 30, 2016. The Company is exposed to the risk that counterparties to derivative contracts may fail to meet their contractual obligations. Fair Value of Financial Instruments The carrying amounts of the Company’s financial instruments, including cash equivalents, accounts receivable, accounts payable and accrued liabilities, approximate their respective fair values due to their short-term nature. The Company applies the authoritative guidance on fair value measurements for financial assets and liabilities. The guidance defines fair value and increases disclosures surrounding fair value calculations. The guidance establishes a three-tiered fair value hierarchy that prioritizes inputs to valuation techniques used in fair value calculations. The three levels of inputs are defined as follows: Level 1: Unadjusted quoted prices for identical assets or liabilities in active markets accessible by the Company. Level 2: Inputs that are observable in the marketplace other than those inputs classified as Level 1. Level 3: Inputs that are unobservable in the marketplace which require the Company to develop its own assumptions. The valuation techniques used to determine the fair value of our financial instruments having Level 2 inputs are valued using unadjusted, non-binding market consensus prices that are corroborated by observable market data, quoted market prices for similar instruments, or pricing models. Our procedures include controls to ensure that appropriate fair values are recorded by a review of the valuation methods and assumptions. The Company did not hold any cash equivalents, restricted cash or short-term investments categorized as Level 3 as of January 31, 2017 or April 30, 2016. Goodwill Impairment In accordance with ASC Topic 350, “Intangibles-Goodwill and Other”, the Company evaluates goodwill for impairment annually in the fourth fiscal quarter or more frequently if indicators of potential impairment arise, using the two-step method. Conditions that could trigger a more frequent impairment assessment include, but are not limited to, a significant adverse change in customer demand or business climate, significant underperformance relative to historical or projected future operating results, a significant reduction in our stock price for a sustained period or a reduction of the Company's market capitalization relative to the carrying value. The Company performs step one of the test for impairment of goodwill by estimating and comparing the fair value of the Company's single reporting unit to its carrying value as of that date. The Company estimates fair value of its single reporting unit using a market approach, which includes consideration of the Company's market capitalization. If the fair value of the Company's single reporting unit is less than its carrying value, the second step of the test for impairment of goodwill, in which the Company compares the implied fair value of its reporting unit's goodwill with the carrying value of that goodwill, is performed. The estimate of implied fair value of goodwill may require estimated fair values of individual assets and liabilities of the reporting unit, together with an estimate of the fair value of the reporting unit taken as a whole. If the carrying value of the goodwill exceeds the calculated implied fair value, the excess amount will be recognized as an impairment loss. The estimates the Company makes in determining the fair value of its reporting unit involve the application of judgment, which could affect the timing and size of any future impairment charges. No goodwill impairment charges were recorded for any of the periods presented. Concentrations of Credit Risk and Significant Customers Financial instruments that potentially subject the Company to concentrations of credit risk consist of cash and cash equivalents and account receivables. The Company’s cash and cash equivalents are placed with high-credit-quality financial institutions and issuers, and at times may exceed federally insured limits. The Company has not experienced any loss relating to cash and cash equivalents in these accounts to date. The Company maintains an allowance for doubtful accounts receivable balances, performs periodic credit evaluations of its clients and generally does not require collateral of its clients. No single client accounted for 10% or more of accounts receivable as of January 31, 2017 or April 30, 2016 . No single client accounted for 10% or more of total revenue for the three and nine months ended January 31, 2017 or 2016 . Revenue Recognition In general, the Company recognizes revenue when (i) persuasive evidence of an arrangement exists, (ii) delivery has occurred or services have been delivered to the client, (iii) the fee is fixed or determinable and (iv) collectability is reasonably assured. Amounts that have been invoiced are recorded in accounts receivable and in deferred revenue or revenue, depending on whether the revenue recognition criteria have been met. The Company generates revenue primarily from sales of the following services: Software as a Service (“SaaS”) Revenue: SaaS revenue includes subscription fees from clients accessing the Company’s cloud-based social commerce solutions and application services pursuant to service agreements that vary in length from one to three years . Subscription and support revenue is recognized ratably over the term of the related agreement commencing upon the later of the agreement start date or when all revenue recognition criteria have been met. The client does not have the right to take possession of the software supporting the application service at any time, nor do the arrangements contain general rights of return. Professional Service Revenue: Professional services consist of fees associated with providing expert services that educate and assist clients on the best use of the Company’s solutions as well as assist in the implementation of the solutions. Professional services are not required for clients to utilize the Company’s solutions. The Company's professional services contracts are offered on both a time and material basis and a project basis. Professional services revenue is recognized as the services are rendered. Advertising Revenue: Advertising revenue consists primarily of fees charged to advertisers when their advertisements are displayed on websites owned by various third-parties (“Publishers”). The Company receives a fee from the advertisers and pays the Publishers based on their contractual revenue-share agreements or average cost per thousand impressions delivered. Advertising revenue is recognized on a net basis as the Company has determined that it is acting as an agent in these transactions. Multiple Element Arrangements Typically, the Company's SaaS revenue from new clients consists of agreements with multiple elements, comprised of subscription fees for the Company’s products and professional services. The Company evaluates each element in a multiple-element arrangement to determine whether it represents a separate unit of accounting. An element constitutes a separate unit of accounting when the delivered item has standalone value and delivery of the undelivered element is probable and within the Company’s control. Various subscription-based products have standalone value because they are routinely sold separately by the Company. In determining whether professional services can be accounted for separately from subscription services, the Company considered the availability of the professional services from other vendors, the nature of the Company’s professional services, whether the professional service is required to utilize the Company's solutions and whether the Company sells its applications to new clients without professional services. If the deliverables have standalone value upon delivery, the Company accounts for each deliverable separately and revenue is recognized for the respective deliverables over the respective service period. If one or more of the deliverables does not have standalone value upon delivery, the deliverables that do not have standalone value are generally combined with the final deliverable within the arrangement and treated as a single unit of accounting. Revenue for arrangements treated as a single unit of accounting is generally recognized over the period commencing upon delivery of the final deliverable and over the remaining term of the subscription contract. The Company allocates revenue to each element in an arrangement based on a selling price hierarchy. The selling price for a deliverable is based on its vendor-specific objective evidence (“VSOE”), if available, third-party evidence (“TPE”), if VSOE is not available, or best estimated selling price (“BESP”), if neither VSOE nor TPE is available. Because the Company has been unable to establish VSOE or TPE for the elements of our arrangements, the Company allocates the arrangement fee to the separate units of accounting based on the Company’s best estimate of selling price. The Company determines BESP price for its deliverables based on the Company’s overall pricing objectives, discounting practices, the size and volume of the Company’s transactions, the client demographic, the Company’s price lists, the Company’s go-to-market strategy, historical standalone sales and contract prices. The determination of BESP is made through consultation with and approval by management, taking into consideration the go-to-market strategy. As the Company’s go-to-market strategies evolve, the Company may modify its pricing practices in the future, which could result in changes in relative selling prices, including both VSOE and BESP. Deferred Revenue Deferred revenue consists of billings or payments received in advance of revenue recognition and is recognized as the revenue recognition criteria are met. The Company invoices clients in a variety of installments and, consequently, the deferred revenue balance does not represent the total contract value of its non-cancelable subscription agreements. Deferred revenue that will be recognized during the succeeding 12-month period is recorded as current deferred revenue and the remaining portion is recorded as non-current deferred revenue. Recent Accounting Pronouncements Simplifying the Accounting for Goodwill Impairment In January 2017, the FASB issued Accounting Standards Update 2017-04, “Intangibles - Goodwill and Other (Topic 350): Simplifying the Accounting for Goodwill Impairment,” (“ASU 2017-04”), which removes step two of the two-step quantitative goodwill impairment test, which requires a hypothetical purchase price allocation. Goodwill impairment will now be calculated as the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. ASU 2017-04 is effective for annual and interim periods beginning after December 15, 2019, with early adoption permitted, and applied prospectively. The Company does not expect ASU 2017-04 to have a material impact on its consolidated financial statements. Classification of Certain Cash Receipts and Cash Payments In August 2016, the FASB issued Accounting Standards Update 2016-15, "Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments," (“ASU 2016-15”) to clarify and provide specific guidance on eight cash flow classification issues that are not addressed by current GAAP and thereby reduce the current diversity in practice. The standard is effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years and requires retrospective adoption. The Company does not expect the adoption to have a material impact on its consolidated financial statements and may consider early adoption, which is permitted in any interim or annual period. Improvements to Employee Share-Based Payment Accounting In March 2016, the FASB issued Accounting Standards Update 2016-09, "Improvements to Employee Share-Based Payment Accounting," (“ASU 2016-09”) which requires excess tax benefits and tax deficiencies to be recorded in the income statement. In addition, cash flows related to excess tax benefits will no longer be separately classified as a financing activity apart from other income tax cash flows. The standard also allows entities to repurchase more of an employee’s shares for tax withholding purposes without triggering liability accounting, clarifies that all cash payments made on an employee’s behalf for withheld shares should be presented as a financing activity on the cash flow statement, and provides an accounting policy election to account for forfeitures as they occur. The standard is effective for fiscal years beginning after December 15, 2016, including interim periods within those fiscal years, and early adoption is permitted. The Company does not expect the adoption to have a material impact on its consolidated financial statements Leases (Topic 842) In February 2016, the FASB issued Accounting Standards Update 2016-02, “Leases (Topic 842),” (“ASU 2016-02”) which requires that lessees recognize assets and liabilities for leases with lease terms greater than twelve months in the statement of financial position. ASU 2016-02 also requires improved disclosures to help users of financial statements better understand the amount, timing and uncertainty of cash flows arising from leases. The standard is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The standard must be adopted using a modified retrospective approach and early adoption is permitted. As a result of this new standard, the Company expects to record a lease commitment liability and corresponding asset for most of our leases. The Company is currently evaluating the full impact the adoption of ASU 2016-02 will have on its consolidated financial statements. Intangibles – Goodwill and Other – Internal Use Software In April 2015, the FASB issued Accounting Standards Update 2015-05, “Intangible-Goodwill and Other-Internal Use Software (Subtopic 350-40): Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement,” (“ASU 2015-05”) which provides guidance to customers with cloud computing arrangements that include a software license. If a cloud computing arrangement includes a software license, the customer is required to account for the software license element of the arrangement consistent with the acquisition of other software licenses. If a cloud computing arrangement does not include a software license, the customer should account for the arrangement as a service contract. ASU 2015-05 does not change the accounting for a customer’s accounting for service contracts. As a result of the ASU 2015-05, all software licenses within the scope of Subtopic 350-40 will be accounted for consistent with other licenses of intangible assets. The standard allows for retrospective or prospective adoption. The Company adopted this updated guidance effective fiscal year 2017. Adoption of this guidance did not have a material impact on our consolidated results of operations, financial position or liquidity. Presentation of Financial Statements – Going Concern (Subtopic 205-40) In August 2014, the FASB issued Accounting Standards Update 2014-15, “Presentation of Financial Statements – Going Concern (Subtopic 205-40), Disclosure of Uncertainties about an Entities Ability to Continue as a Going Concern,” (“ASU 2014-15”) which sets forth management’s responsibility to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern as well as required disclosures. ASU 2014-15 indicates that, when preparing financial statements for interim and annual financial statements, management should evaluate whether conditions or events, in the aggregate, raise substantial doubt about the entity’s ability to continue as a going concern for one year from the date the financial statements are issued or are available to be issued. The updated guidance will be effective for annual periods ending after December 15, 2016 with early adoption permitted. The updated guidance will be effective for the fiscal year ending April 30, 2017 and is not expected to have a material impact on our consolidated financial statements. Revenue In May 2014, the FASB issued Accounting Standards Update 2014-09, “Revenue from Contracts with Customers,” (“ASU 2014-09”) which provides updated, comprehensive revenue recognition guidance for contracts with customers, including a new principles-based five step framework that eliminates much of the industry-specific guidance in current accounting literature. Under ASU 2014-09, revenue recognition is based on a core principle that companies recognize revenue in an amount consistent with the consideration it expects to be entitled to in exchange for the transfer of goods or services. The standards update also requires enhanced disclosures regarding the nature, amount, timing and uncertainty of recognized revenue. Since ASU 2014-09 was issued, several additional ASUs have been issued and incorporated within FASB Accounting Standards Codification 606 ("ASC 606") to clarify various elements of the guidance, including Accounting Standards Update 2015-14, "Revenue from Contracts with Customers," ("ASU 2015-14") which defers the effective date of ASU 2014-09 by one year. In accordance with the deferral, updated guidance will be effective for the Company's fiscal year ending April 30, 2019, including interim periods within that reporting period. Early adoption is permitted for annual periods beginning after December 15, 2016, the original effective date of ASU 2014-09. The Company is in the process of assessing the adoption methodology, which allows the amendment to be applied retrospectively to each prior period presented, or with the cumulative effect recognized as of the date of initial application. While the Company is still evaluating the full impact of the pending adoption of ASU 2014-09 and related amendments on its consolidated financial statements, the Company has identified certain anticipated impacts based on its preliminary review of the standard. Specifically, under the new standard the Company will be required to capitalize certain sales commissions that are directly related to the acquisition of customers, which the Company currently expenses. In addition, the Company has identified certain contract specific terms for which the timing of revenue recognition may be impacted by the new standard. The Company has reviewed other new accounting pronouncements that were issued as of January 31, 2017 and does not believe that these pronouncements are applicable to the Company, or that they will have a material impact on its financial position or results of operations. |
Fair Value of Financial Assets
Fair Value of Financial Assets and Liabilities | 9 Months Ended |
Jan. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Assets and Liabilities | Fair Value of Financial Assets and Liabilities The following table summarizes the Company’s cash and cash equivalents as of January 31, 2017 and April 30, 2016 (in thousands): January 31, April 30, Demand deposit accounts $ 37,025 $ 38,692 Money market funds 587 922 Commercial paper 675 4,349 Total cash and cash equivalents $ 38,287 $ 43,963 The following table summarizes the Company’s short-term investments as of January 31, 2017 (in thousands): Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Available-for-sale securities: Certificates of deposit $ 3,670 $ — $ — $ 3,670 Municipal debt securities 541 — — 541 Commercial paper 4,446 — — 4,446 U.S. Treasury securities 8,712 — (7 ) 8,705 U.S. government agency debt securities 19,731 1 (7 ) 19,725 Corporate debt securities 8,133 — (13 ) 8,120 Total short-term investments $ 45,233 $ 1 $ (27 ) $ 45,207 The following table summarizes the Company’s short-term investments as of April 30, 2016 (in thousands): Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Available-for-sale securities: Certificates of deposit $ 7,090 $ — $ (1 ) $ 7,089 Commercial paper 4,043 — — 4,043 U.S. Treasury securities 8,764 — — 8,764 U.S. government agency debt securities 24,841 4 (9 ) 24,836 Corporate debt securities 5,954 1 (5 ) 5,950 Total short-term investments $ 50,692 $ 5 $ (15 ) $ 50,682 Realized and unrealized gains and losses on short-term investments were not material for the three and nine months ended January 31, 2017 and 2016 . An impairment charge is recorded in the consolidated statements of operations for declines in fair value below the cost of an individual investment that are deemed to be other-than-temporary. The Company assesses whether a decline in value is temporary based on the length of time that the fair market value has been below cost, the severity of the decline, as well as the intent and ability to hold, or plans to sell, the investment. There have been no impairment charges recognized related to short-term investments for the three and nine months ended January 31, 2017 and 2016 . Actual maturities may differ from contractual maturities because some borrowers have the right to call or prepay obligations with or without call or prepayment penalties. We may sell these securities at any time for use in current operations or for other purposes, such as consideration for acquisitions, even if they have not yet reached maturity. As a result, we classify our investments, including securities with maturities beyond twelve months as current assets in the accompanying condensed consolidated balance sheets. Contractual maturities of available-for-sale securities at January 31, 2017 , were as follows (in thousands): Estimated Fair Value Due in one year or less 43,218 Due in 1-2 years 1,989 Total investments in debt securities 45,207 The following table summarizes the fair value of the Company’s financial assets and liabilities that were measured on a recurring basis as of January 31, 2017 and April 30, 2016 (in thousands): Fair Value Measurements at January 31, 2017 Fair Value Measurements at April 30, 2016 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Assets: Cash equivalents: Money market funds $ 587 $ — $ — $ 587 $ 922 $ — $ — $ 922 Commercial paper — 675 — 675 — 4,349 — 4,349 Total cash equivalents 587 675 — 1,262 922 4,349 — 5,271 Short-term investments: Certificates of deposit — 3,670 — 3,670 — 7,089 — 7,089 Municipal debt securities — 541 — 541 — — — — Commercial paper — 4,446 — 4,446 — 4,043 — 4,043 U.S. Treasury securities 8,705 — — 8,705 8,764 — — 8,764 U.S. government agency securities 19,725 — — 19,725 24,836 — — 24,836 Corporate securities — 8,120 — 8,120 — 5,950 — 5,950 Total short-term investments 28,430 16,777 — 45,207 33,600 17,082 — 50,682 Total assets $ 29,017 $ 17,452 $ — $ 46,469 $ 34,522 $ 21,431 $ — $ 55,953 The Company measures certain assets, including property and equipment, goodwill and intangible assets, at fair value on a non-recurring basis. These assets are recognized at fair value when they are deemed to be impaired. The Company evaluates transfers between levels at the end of the fiscal year and assumes that any identified transfers are deemed to have occurred at the end of the reporting year. There were no transfers between levels in any of the periods presented. |
Acquired Intangible Assets, net
Acquired Intangible Assets, net | 9 Months Ended |
Jan. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Acquired Intangible Assets, net | Acquired Intangible Assets, net Acquired intangible assets, net, as of January 31, 2017 and April 30, 2016 are as follows (in thousands): January 31, April 30, Gross Fair Value Accumulated Amortization Net Book Value Gross Fair Value Accumulated Amortization Net Book Value Customer relationships $ 11,835 $ (5,086 ) $ 6,749 $ 11,835 $ (4,158 ) $ 7,677 Developed technology 3,265 (1,824 ) 1,441 3,265 (1,335 ) 1,930 Total $ 15,100 $ (6,910 ) $ 8,190 $ 15,100 $ (5,493 ) $ 9,607 The amortization of customer relationships is recorded as amortization expense and the amortization for developed technology is amortized to cost of revenue. The following table presents our estimate of future amortization expense for definite-lived intangible assets (in thousands): Fiscal period: Amount Remaining nine months of Fiscal year 2017 $ 473 Fiscal year 2018 1,890 Fiscal year 2019 1,856 Fiscal year 2020 1,130 Fiscal year 2021 1,130 Thereafter 1,711 Total $ 8,190 |
Income Taxes
Income Taxes | 9 Months Ended |
Jan. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The Company computes its interim provision for income taxes by applying the estimated annual effective tax rate to income from operations and adjusts the provision for discrete tax items occurring in the period. For all periods presented, the Company was in a domestic net operating loss position, as such all income tax expenses incurred during the periods presented relate to foreign and state jurisdictions. The Company’s effective tax rate for the three months ended January 31, 2017 was an expense of 4.7 percent compared to a benefit of 5.0 percent for the three months ended January 31, 2016 . The Company’s effective tax rate for the nine months ended January 31, 2017 was an expense of 3.0 percent compared to a benefit of 0.7 percent for the nine months ended January 31, 2016 . The tax expense for the three and nine months ended January 31, 2017 was primarily attributable to estimated foreign and state income tax expense with a partial offset from the income tax benefit from research and development credits provided by the State of Texas. The tax benefit for the three and nine months ended January 31, 2016 was primarily attributable to a decrease in state taxes payable as a result of increased benefits recognized for research and development credits provided by the State of Texas. |
Restructuring Charges
Restructuring Charges | 9 Months Ended |
Jan. 31, 2017 | |
Restructuring Charges [Abstract] | |
Restructuring Charges | Restructuring Charges In February 2016, the Company made the decision to suspend sales of its BV Local product, reduce its cost structure to improve operating efficiencies and align resources with its growth strategies. Costs associated with these restructuring activities include workforce reductions charges, and facilities charges related to the loss recorded on the sub-lease of excess office space at the Company's headquarters. The Company recorded pre-tax charges of approximately $0.0 million and $1.1 million during the three and nine month periods ended January 31, 2017 , consisting primarily of a loss on the sublease of the Company's San Francisco office which commenced in August 2016 and severance and related costs. As of January 31, 2017 and April 30, 2016, the accrued liability associated with the Company's restructuring activities consisted of the following (in thousands): Workforce Reduction Excess Facilities Total (in thousands) Balance at April 30, 2016 $ 497 $ 546 $ 1,043 Restructuring charges 459 635 1,094 Payments (941 ) (280 ) (1,221 ) Non-cash settlements of restructuring charges — (566 ) (566 ) Balance at January 31, 2017 $ 15 $ 335 $ 350 Expenses recorded related to these restructuring activities are included in the "Restructuring charges" line item in our consolidated statement of operations. The Company recorded charges of $2.7 million to date and does not expect to record any additional significant charges related to this restructuring. |
Debt
Debt | 9 Months Ended |
Jan. 31, 2017 | |
Debt Disclosure [Abstract] | |
Debt | Debt Credit Facility On July 18, 2007, the Company entered into a loan and security agreement with Comerica Bank which was most recently amended and restated on November 21, 2014. The Amended and Restated Credit Facility (the “Credit Facility”) provides for a secured, revolving line of credit of up to $70.0 million , with a sublimit of $3.0 million for the incurrence of swingline loans and a sublimit of $15.0 million for the issuance of letters of credit. Borrowings under the Credit Facility are collateralized by substantially all assets of the Company and of its U.S. subsidiaries. The revolving line of credit bears interest at the adjusted LIBOR rate plus 3.5% . Availability under the Credit Facility was $23.1 million as of January 31, 2017 . The Company had letters of credit outstanding of $9.9 million as of January 31, 2017 . The Credit Facility expires on November 21, 2017 with all advances immediately due and payable. The Company was in compliance with all covenants contained in the Credit Facility as of January 31, 2017 . The Company incurred $0.7 million of fees in connection with the Amended and Restated Credit Facility which were capitalized and are being amortized to interest expense using the straight-line method, which approximates the effective interest method, over the life of the Credit Facility. The Company incurred amortization expense on deferred financing costs of $0.1 million and $0.2 million , respectively, for the three and nine months ended January 31, 2017 and 2016 . During the nine months ended January 31, 2017 the Company paid $5.0 million on the balance outstanding under its Credit Facility, reducing the Company's outstanding debt to $37.0 million . |
Net Loss Per Share Applicable t
Net Loss Per Share Applicable to Common Stockholders | 9 Months Ended |
Jan. 31, 2017 | |
Earnings Per Share [Abstract] | |
Net Loss Per Share Applicable to Common Stockholders | Net Loss Per Share The following table sets forth the computations of net loss per share applicable to common stockholders for the three and nine months ended January 31, 2017 and 2016 , respectively (in thousands, except net loss per share data): Three Months Ended January 31, Nine Months Ended January 31, 2017 2016 2017 2016 Net loss $ (2,728 ) $ (3,114 ) $ (11,967 ) $ (18,210 ) Basic and diluted loss per share $ (0.03 ) $ (0.04 ) $ (0.14 ) $ (0.23 ) Basic and diluted weighted average number of shares outstanding 83,348 81,096 82,830 80,649 Potentially dilutive securities (1) : Outstanding stock options 360 168 279 224 Restricted shares 963 17 677 50 (1) The impact of potentially dilutive securities on earnings per share is anti-dilutive in a period of net loss. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Jan. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies In the ordinary course of business, the Company may be subject to various legal proceedings and claims including alleged infringement of third-party patents and other intellectual property rights. The Company reviews the status of each matter and records a provision for a liability when it is considered both probable that a liability has been incurred and that the amount of the loss can be reasonably estimated. Legal fees incurred in connection with loss contingencies are recognized as incurred when the legal services are provided, and therefore are not recognized as a part of a loss contingency accrual. These provisions are reviewed quarterly and adjusted as additional information becomes available. We are not presently a party to any legal proceedings that in the opinion of our management would have a material adverse effect on our business, financial condition, operating results or cash flows. Regardless of the outcome, litigation can have an adverse impact on us because of defense and settlement costs, diversion of management resources and other factors. The Company is subject to audit in various jurisdictions, and such jurisdictions may assess additional income and sales tax liabilities against us. Although we believe our tax estimates are reasonable, the final outcome of tax audits and any related litigation could be materially different from our historical income and sales tax provisions and accruals. Developments in an audit or litigation could have a material effect on our operating results or cash flows in the period or periods for which that development occurs, as well as for prior and subsequent periods. As of January 31, 2017 , certain of the Company's sales tax returns are currently under audit by state tax authorities. As of January 31, 2017 , the Company had accrued tax liabilities of $0.7 million , representing the best estimate of sales tax obligations it believes are probable to be incurred as a result of these assessments and audits. In addition, in conjunction with an open Texas state sales tax audit, the Company is challenging the taxability of certain purchases that are integral to the Company's products which may result in a sales tax refund for all years open to audit. During the nine months ended January 31, 2017 , the Company determined that for certain forms of employee compensation, primarily equity grants, 401(k) deferrals were not being withheld as required by the Company's 401(k) plan. As a result, the Company recorded a $0.5 million accrual representing the Company's best estimate of employer contributions the Company expects to make on behalf of its employees. |
Summary of Significant Accoun17
Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Jan. 31, 2017 | |
Accounting Policies [Abstract] | |
Fiscal Year | Fiscal Year The Company’s fiscal year end is April 30. References to fiscal year 2017 , for example, refer to the fiscal year ending April 30, 2017 . |
Basis of Presentation | Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States (“GAAP”) and applicable rules and regulations of the Securities and Exchange Commission (“SEC”) regarding interim financial reporting. Certain information and note disclosures normally included in the financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. Therefore, these unaudited condensed consolidated financial statements and notes included herein should be read in conjunction with the audited consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the fiscal year ended April 30, 2016 , filed on June 20, 2016. There have been no significant changes to the Company’s accounting policies since April 30, 2016 . The condensed consolidated balance sheet data as of April 30, 2016 was derived from the audited consolidated financial statements included in the Company’s Annual Report on form 10-K for the fiscal year ended April 30, 2016 . Certain immaterial prior period amounts presented in the consolidated statement of cash flows have been reclassified to conform to current period financial statement presentation. These reclassifications have no effect on previously reported net income. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. On an ongoing basis, the Company evaluates its estimates, including those related to revenue recognition, allowance for doubtful accounts, income taxes, stock-based expense, accrued liabilities, useful lives of property, equipment and capitalized software development costs, among others. The Company bases its estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results could differ from the estimates made by management with respect to these items. |
Principles of Consolidation | Principles of Consolidation The accompanying condensed consolidated financial statements include the accounts of the Company and the accounts of the Company’s wholly-owned subsidiaries. All intercompany balances and transactions have been eliminated upon consolidation. |
Unaudited Interim Financial Information | Unaudited Interim Financial Information The accompanying unaudited condensed consolidated financial statements and notes have been prepared in accordance with GAAP, as contained in the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification for interim financial information and Article 10 of Regulation S-X issued by the SEC. Accordingly, they do not include all the information and footnotes required by GAAP for annual fiscal reporting periods. In the opinion of management, the interim financial information includes all adjustments of a normal recurring nature necessary for a fair statement of the results of operations, financial position, changes in stockholders’ equity and cash flows. The results of operations for the three and nine months ended January 31, 2017 are not necessarily indicative of results that may be expected for the fiscal year ending April 30, 2017 or any other period. |
Foreign Currency Translation | Foreign Currency Translation The U.S. dollar is the reporting currency for all periods presented. The functional currency of the Company’s foreign subsidiaries is generally the local currency. All assets and liabilities denominated in a foreign currency are translated into U.S. dollars at the exchange rate on the balance sheet date. Revenue and expenses are translated at the average rate during the period. Equity transactions are translated using historical exchange rates. Adjustments resulting from translating foreign currency financial statements into U.S. dollars are included in accumulated other comprehensive gain (loss). Foreign currency transaction gains and losses are included in net loss for the period. Foreign currency losses, net of hedge gains, were immaterial for the three month periods ended January 31, 2017 and 2016. The Company recognized foreign currency losses, net of hedge gains, of $0.6 million and $0.5 million , for the nine month period ended January 31, 2017 and 2016, respectively. |
Derivative Financial Instruments | Derivative Financial Instruments As a result of the Company’s international operations, it is exposed to various market risks, such as fluctuations in currency exchange rates, which may affect its consolidated results of operations, cash flows and financial position. The Company’s primary foreign currency exposures are in Euros and British Pound Sterling. The Company faces exposure to adverse movements in currency exchange rates as the financial results of certain of its operations are translated from local currency into U.S. dollars upon consolidation. Additionally, foreign exchange rate fluctuations on transactions denominated in currencies other than the functional currency result in gains and losses that are reflected in income. The Company may enter into derivative instruments to hedge certain net exposures of non-U.S. dollar-denominated assets and liabilities, even though it does not elect to apply hedge accounting or hedge accounting does not apply. Gains and losses resulting from a change in fair value of these derivatives are reflected in income in the period in which the change occurs and are recognized on the condensed consolidated statement of operations in other income (expense). Cash flows from these contracts are classified within net cash provided by operating activities on the condensed consolidated statements of cash flows. The Company does not use financial instruments for trading or speculative purposes. The Company recognizes all derivative instruments on the balance sheet at fair value, and its derivative instruments are generally short-term in duration. Derivative contracts were not material as of January 31, 2017 and April 30, 2016. The Company is exposed to the risk that counterparties to derivative contracts may fail to meet their contractual obligations. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The carrying amounts of the Company’s financial instruments, including cash equivalents, accounts receivable, accounts payable and accrued liabilities, approximate their respective fair values due to their short-term nature. The Company applies the authoritative guidance on fair value measurements for financial assets and liabilities. The guidance defines fair value and increases disclosures surrounding fair value calculations. The guidance establishes a three-tiered fair value hierarchy that prioritizes inputs to valuation techniques used in fair value calculations. The three levels of inputs are defined as follows: Level 1: Unadjusted quoted prices for identical assets or liabilities in active markets accessible by the Company. Level 2: Inputs that are observable in the marketplace other than those inputs classified as Level 1. Level 3: Inputs that are unobservable in the marketplace which require the Company to develop its own assumptions. The valuation techniques used to determine the fair value of our financial instruments having Level 2 inputs are valued using unadjusted, non-binding market consensus prices that are corroborated by observable market data, quoted market prices for similar instruments, or pricing models. Our procedures include controls to ensure that appropriate fair values are recorded by a review of the valuation methods and assumptions. The Company did not hold any cash equivalents, restricted cash or short-term investments categorized as Level 3 as of January 31, 2017 or April 30, 2016. |
Goodwill Impairment | Goodwill Impairment In accordance with ASC Topic 350, “Intangibles-Goodwill and Other”, the Company evaluates goodwill for impairment annually in the fourth fiscal quarter or more frequently if indicators of potential impairment arise, using the two-step method. Conditions that could trigger a more frequent impairment assessment include, but are not limited to, a significant adverse change in customer demand or business climate, significant underperformance relative to historical or projected future operating results, a significant reduction in our stock price for a sustained period or a reduction of the Company's market capitalization relative to the carrying value. The Company performs step one of the test for impairment of goodwill by estimating and comparing the fair value of the Company's single reporting unit to its carrying value as of that date. The Company estimates fair value of its single reporting unit using a market approach, which includes consideration of the Company's market capitalization. If the fair value of the Company's single reporting unit is less than its carrying value, the second step of the test for impairment of goodwill, in which the Company compares the implied fair value of its reporting unit's goodwill with the carrying value of that goodwill, is performed. The estimate of implied fair value of goodwill may require estimated fair values of individual assets and liabilities of the reporting unit, together with an estimate of the fair value of the reporting unit taken as a whole. If the carrying value of the goodwill exceeds the calculated implied fair value, the excess amount will be recognized as an impairment loss. The estimates the Company makes in determining the fair value of its reporting unit involve the application of judgment, which could affect the timing and size of any future impairment charges. No goodwill impairment charges were recorded for any of the periods presented. |
Concentrations of Credit Risk and Significant Customers | Concentrations of Credit Risk and Significant Customers Financial instruments that potentially subject the Company to concentrations of credit risk consist of cash and cash equivalents and account receivables. The Company’s cash and cash equivalents are placed with high-credit-quality financial institutions and issuers, and at times may exceed federally insured limits. The Company has not experienced any loss relating to cash and cash equivalents in these accounts to date. The Company maintains an allowance for doubtful accounts receivable balances, performs periodic credit evaluations of its clients and generally does not require collateral of its clients. No single client accounted for 10% or more of accounts receivable as of January 31, 2017 or April 30, 2016 . No single client accounted for 10% or more of total revenue for the three and nine months ended January 31, 2017 or 2016 . |
Revenue Recognition | Revenue Recognition In general, the Company recognizes revenue when (i) persuasive evidence of an arrangement exists, (ii) delivery has occurred or services have been delivered to the client, (iii) the fee is fixed or determinable and (iv) collectability is reasonably assured. Amounts that have been invoiced are recorded in accounts receivable and in deferred revenue or revenue, depending on whether the revenue recognition criteria have been met. The Company generates revenue primarily from sales of the following services: Software as a Service (“SaaS”) Revenue: SaaS revenue includes subscription fees from clients accessing the Company’s cloud-based social commerce solutions and application services pursuant to service agreements that vary in length from one to three years . Subscription and support revenue is recognized ratably over the term of the related agreement commencing upon the later of the agreement start date or when all revenue recognition criteria have been met. The client does not have the right to take possession of the software supporting the application service at any time, nor do the arrangements contain general rights of return. Professional Service Revenue: Professional services consist of fees associated with providing expert services that educate and assist clients on the best use of the Company’s solutions as well as assist in the implementation of the solutions. Professional services are not required for clients to utilize the Company’s solutions. The Company's professional services contracts are offered on both a time and material basis and a project basis. Professional services revenue is recognized as the services are rendered. Advertising Revenue: Advertising revenue consists primarily of fees charged to advertisers when their advertisements are displayed on websites owned by various third-parties (“Publishers”). The Company receives a fee from the advertisers and pays the Publishers based on their contractual revenue-share agreements or average cost per thousand impressions delivered. Advertising revenue is recognized on a net basis as the Company has determined that it is acting as an agent in these transactions. Multiple Element Arrangements Typically, the Company's SaaS revenue from new clients consists of agreements with multiple elements, comprised of subscription fees for the Company’s products and professional services. The Company evaluates each element in a multiple-element arrangement to determine whether it represents a separate unit of accounting. An element constitutes a separate unit of accounting when the delivered item has standalone value and delivery of the undelivered element is probable and within the Company’s control. Various subscription-based products have standalone value because they are routinely sold separately by the Company. In determining whether professional services can be accounted for separately from subscription services, the Company considered the availability of the professional services from other vendors, the nature of the Company’s professional services, whether the professional service is required to utilize the Company's solutions and whether the Company sells its applications to new clients without professional services. If the deliverables have standalone value upon delivery, the Company accounts for each deliverable separately and revenue is recognized for the respective deliverables over the respective service period. If one or more of the deliverables does not have standalone value upon delivery, the deliverables that do not have standalone value are generally combined with the final deliverable within the arrangement and treated as a single unit of accounting. Revenue for arrangements treated as a single unit of accounting is generally recognized over the period commencing upon delivery of the final deliverable and over the remaining term of the subscription contract. The Company allocates revenue to each element in an arrangement based on a selling price hierarchy. The selling price for a deliverable is based on its vendor-specific objective evidence (“VSOE”), if available, third-party evidence (“TPE”), if VSOE is not available, or best estimated selling price (“BESP”), if neither VSOE nor TPE is available. Because the Company has been unable to establish VSOE or TPE for the elements of our arrangements, the Company allocates the arrangement fee to the separate units of accounting based on the Company’s best estimate of selling price. The Company determines BESP price for its deliverables based on the Company’s overall pricing objectives, discounting practices, the size and volume of the Company’s transactions, the client demographic, the Company’s price lists, the Company’s go-to-market strategy, historical standalone sales and contract prices. The determination of BESP is made through consultation with and approval by management, taking into consideration the go-to-market strategy. As the Company’s go-to-market strategies evolve, the Company may modify its pricing practices in the future, which could result in changes in relative selling prices, including both VSOE and BESP. |
Deferred Revenue | Deferred Revenue Deferred revenue consists of billings or payments received in advance of revenue recognition and is recognized as the revenue recognition criteria are met. The Company invoices clients in a variety of installments and, consequently, the deferred revenue balance does not represent the total contract value of its non-cancelable subscription agreements. Deferred revenue that will be recognized during the succeeding 12-month period is recorded as current deferred revenue and the remaining portion is recorded as non-current deferred revenue. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Simplifying the Accounting for Goodwill Impairment In January 2017, the FASB issued Accounting Standards Update 2017-04, “Intangibles - Goodwill and Other (Topic 350): Simplifying the Accounting for Goodwill Impairment,” (“ASU 2017-04”), which removes step two of the two-step quantitative goodwill impairment test, which requires a hypothetical purchase price allocation. Goodwill impairment will now be calculated as the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. ASU 2017-04 is effective for annual and interim periods beginning after December 15, 2019, with early adoption permitted, and applied prospectively. The Company does not expect ASU 2017-04 to have a material impact on its consolidated financial statements. Classification of Certain Cash Receipts and Cash Payments In August 2016, the FASB issued Accounting Standards Update 2016-15, "Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments," (“ASU 2016-15”) to clarify and provide specific guidance on eight cash flow classification issues that are not addressed by current GAAP and thereby reduce the current diversity in practice. The standard is effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years and requires retrospective adoption. The Company does not expect the adoption to have a material impact on its consolidated financial statements and may consider early adoption, which is permitted in any interim or annual period. Improvements to Employee Share-Based Payment Accounting In March 2016, the FASB issued Accounting Standards Update 2016-09, "Improvements to Employee Share-Based Payment Accounting," (“ASU 2016-09”) which requires excess tax benefits and tax deficiencies to be recorded in the income statement. In addition, cash flows related to excess tax benefits will no longer be separately classified as a financing activity apart from other income tax cash flows. The standard also allows entities to repurchase more of an employee’s shares for tax withholding purposes without triggering liability accounting, clarifies that all cash payments made on an employee’s behalf for withheld shares should be presented as a financing activity on the cash flow statement, and provides an accounting policy election to account for forfeitures as they occur. The standard is effective for fiscal years beginning after December 15, 2016, including interim periods within those fiscal years, and early adoption is permitted. The Company does not expect the adoption to have a material impact on its consolidated financial statements Leases (Topic 842) In February 2016, the FASB issued Accounting Standards Update 2016-02, “Leases (Topic 842),” (“ASU 2016-02”) which requires that lessees recognize assets and liabilities for leases with lease terms greater than twelve months in the statement of financial position. ASU 2016-02 also requires improved disclosures to help users of financial statements better understand the amount, timing and uncertainty of cash flows arising from leases. The standard is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The standard must be adopted using a modified retrospective approach and early adoption is permitted. As a result of this new standard, the Company expects to record a lease commitment liability and corresponding asset for most of our leases. The Company is currently evaluating the full impact the adoption of ASU 2016-02 will have on its consolidated financial statements. Intangibles – Goodwill and Other – Internal Use Software In April 2015, the FASB issued Accounting Standards Update 2015-05, “Intangible-Goodwill and Other-Internal Use Software (Subtopic 350-40): Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement,” (“ASU 2015-05”) which provides guidance to customers with cloud computing arrangements that include a software license. If a cloud computing arrangement includes a software license, the customer is required to account for the software license element of the arrangement consistent with the acquisition of other software licenses. If a cloud computing arrangement does not include a software license, the customer should account for the arrangement as a service contract. ASU 2015-05 does not change the accounting for a customer’s accounting for service contracts. As a result of the ASU 2015-05, all software licenses within the scope of Subtopic 350-40 will be accounted for consistent with other licenses of intangible assets. The standard allows for retrospective or prospective adoption. The Company adopted this updated guidance effective fiscal year 2017. Adoption of this guidance did not have a material impact on our consolidated results of operations, financial position or liquidity. Presentation of Financial Statements – Going Concern (Subtopic 205-40) In August 2014, the FASB issued Accounting Standards Update 2014-15, “Presentation of Financial Statements – Going Concern (Subtopic 205-40), Disclosure of Uncertainties about an Entities Ability to Continue as a Going Concern,” (“ASU 2014-15”) which sets forth management’s responsibility to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern as well as required disclosures. ASU 2014-15 indicates that, when preparing financial statements for interim and annual financial statements, management should evaluate whether conditions or events, in the aggregate, raise substantial doubt about the entity’s ability to continue as a going concern for one year from the date the financial statements are issued or are available to be issued. The updated guidance will be effective for annual periods ending after December 15, 2016 with early adoption permitted. The updated guidance will be effective for the fiscal year ending April 30, 2017 and is not expected to have a material impact on our consolidated financial statements. Revenue In May 2014, the FASB issued Accounting Standards Update 2014-09, “Revenue from Contracts with Customers,” (“ASU 2014-09”) which provides updated, comprehensive revenue recognition guidance for contracts with customers, including a new principles-based five step framework that eliminates much of the industry-specific guidance in current accounting literature. Under ASU 2014-09, revenue recognition is based on a core principle that companies recognize revenue in an amount consistent with the consideration it expects to be entitled to in exchange for the transfer of goods or services. The standards update also requires enhanced disclosures regarding the nature, amount, timing and uncertainty of recognized revenue. Since ASU 2014-09 was issued, several additional ASUs have been issued and incorporated within FASB Accounting Standards Codification 606 ("ASC 606") to clarify various elements of the guidance, including Accounting Standards Update 2015-14, "Revenue from Contracts with Customers," ("ASU 2015-14") which defers the effective date of ASU 2014-09 by one year. In accordance with the deferral, updated guidance will be effective for the Company's fiscal year ending April 30, 2019, including interim periods within that reporting period. Early adoption is permitted for annual periods beginning after December 15, 2016, the original effective date of ASU 2014-09. The Company is in the process of assessing the adoption methodology, which allows the amendment to be applied retrospectively to each prior period presented, or with the cumulative effect recognized as of the date of initial application. While the Company is still evaluating the full impact of the pending adoption of ASU 2014-09 and related amendments on its consolidated financial statements, the Company has identified certain anticipated impacts based on its preliminary review of the standard. Specifically, under the new standard the Company will be required to capitalize certain sales commissions that are directly related to the acquisition of customers, which the Company currently expenses. In addition, the Company has identified certain contract specific terms for which the timing of revenue recognition may be impacted by the new standard. The Company has reviewed other new accounting pronouncements that were issued as of January 31, 2017 and does not believe that these pronouncements are applicable to the Company, or that they will have a material impact on its financial position or results of operations. |
Fair Value of Financial Asset18
Fair Value of Financial Assets and Liabilities (Tables) | 9 Months Ended |
Jan. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Summary of Cash and Cash Equivalents | The following table summarizes the Company’s cash and cash equivalents as of January 31, 2017 and April 30, 2016 (in thousands): January 31, April 30, Demand deposit accounts $ 37,025 $ 38,692 Money market funds 587 922 Commercial paper 675 4,349 Total cash and cash equivalents $ 38,287 $ 43,963 |
Summary of Short-Term Investments | The following table summarizes the Company’s short-term investments as of January 31, 2017 (in thousands): Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Available-for-sale securities: Certificates of deposit $ 3,670 $ — $ — $ 3,670 Municipal debt securities 541 — — 541 Commercial paper 4,446 — — 4,446 U.S. Treasury securities 8,712 — (7 ) 8,705 U.S. government agency debt securities 19,731 1 (7 ) 19,725 Corporate debt securities 8,133 — (13 ) 8,120 Total short-term investments $ 45,233 $ 1 $ (27 ) $ 45,207 The following table summarizes the Company’s short-term investments as of April 30, 2016 (in thousands): Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Available-for-sale securities: Certificates of deposit $ 7,090 $ — $ (1 ) $ 7,089 Commercial paper 4,043 — — 4,043 U.S. Treasury securities 8,764 — — 8,764 U.S. government agency debt securities 24,841 4 (9 ) 24,836 Corporate debt securities 5,954 1 (5 ) 5,950 Total short-term investments $ 50,692 $ 5 $ (15 ) $ 50,682 |
Contractual Maturities of Available-for-Sale Debt Securities | Contractual maturities of available-for-sale securities at January 31, 2017 , were as follows (in thousands): Estimated Fair Value Due in one year or less 43,218 Due in 1-2 years 1,989 Total investments in debt securities 45,207 |
Summary of Fair Value of Financial Assets and Liabilities | The following table summarizes the fair value of the Company’s financial assets and liabilities that were measured on a recurring basis as of January 31, 2017 and April 30, 2016 (in thousands): Fair Value Measurements at January 31, 2017 Fair Value Measurements at April 30, 2016 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Assets: Cash equivalents: Money market funds $ 587 $ — $ — $ 587 $ 922 $ — $ — $ 922 Commercial paper — 675 — 675 — 4,349 — 4,349 Total cash equivalents 587 675 — 1,262 922 4,349 — 5,271 Short-term investments: Certificates of deposit — 3,670 — 3,670 — 7,089 — 7,089 Municipal debt securities — 541 — 541 — — — — Commercial paper — 4,446 — 4,446 — 4,043 — 4,043 U.S. Treasury securities 8,705 — — 8,705 8,764 — — 8,764 U.S. government agency securities 19,725 — — 19,725 24,836 — — 24,836 Corporate securities — 8,120 — 8,120 — 5,950 — 5,950 Total short-term investments 28,430 16,777 — 45,207 33,600 17,082 — 50,682 Total assets $ 29,017 $ 17,452 $ — $ 46,469 $ 34,522 $ 21,431 $ — $ 55,953 |
Acquired Intangible Assets, n19
Acquired Intangible Assets, net (Tables) | 9 Months Ended |
Jan. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Acquired Intangible Assets, Net | Acquired intangible assets, net, as of January 31, 2017 and April 30, 2016 are as follows (in thousands): January 31, April 30, Gross Fair Value Accumulated Amortization Net Book Value Gross Fair Value Accumulated Amortization Net Book Value Customer relationships $ 11,835 $ (5,086 ) $ 6,749 $ 11,835 $ (4,158 ) $ 7,677 Developed technology 3,265 (1,824 ) 1,441 3,265 (1,335 ) 1,930 Total $ 15,100 $ (6,910 ) $ 8,190 $ 15,100 $ (5,493 ) $ 9,607 |
Estimate of Future Amortization Expense for Definite-Lived Intangible Assets | The following table presents our estimate of future amortization expense for definite-lived intangible assets (in thousands): Fiscal period: Amount Remaining nine months of Fiscal year 2017 $ 473 Fiscal year 2018 1,890 Fiscal year 2019 1,856 Fiscal year 2020 1,130 Fiscal year 2021 1,130 Thereafter 1,711 Total $ 8,190 |
Restructuring Charges (Tables)
Restructuring Charges (Tables) | 9 Months Ended |
Jan. 31, 2017 | |
Restructuring Charges [Abstract] | |
Restructuring Charges | As of January 31, 2017 and April 30, 2016, the accrued liability associated with the Company's restructuring activities consisted of the following (in thousands): Workforce Reduction Excess Facilities Total (in thousands) Balance at April 30, 2016 $ 497 $ 546 $ 1,043 Restructuring charges 459 635 1,094 Payments (941 ) (280 ) (1,221 ) Non-cash settlements of restructuring charges — (566 ) (566 ) Balance at January 31, 2017 $ 15 $ 335 $ 350 |
Net Loss Per Share Applicable21
Net Loss Per Share Applicable to Common Stockholders (Tables) | 9 Months Ended |
Jan. 31, 2017 | |
Earnings Per Share [Abstract] | |
Computations of Loss per Share Applicable to Common Stockholders | The following table sets forth the computations of net loss per share applicable to common stockholders for the three and nine months ended January 31, 2017 and 2016 , respectively (in thousands, except net loss per share data): Three Months Ended January 31, Nine Months Ended January 31, 2017 2016 2017 2016 Net loss $ (2,728 ) $ (3,114 ) $ (11,967 ) $ (18,210 ) Basic and diluted loss per share $ (0.03 ) $ (0.04 ) $ (0.14 ) $ (0.23 ) Basic and diluted weighted average number of shares outstanding 83,348 81,096 82,830 80,649 Potentially dilutive securities (1) : Outstanding stock options 360 168 279 224 Restricted shares 963 17 677 50 (1) The impact of potentially dilutive securities on earnings per share is anti-dilutive in a period of net loss. |
Summary of Significant Accoun22
Summary of Significant Accounting Policies - Additional Information (Detail) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Jan. 31, 2017Customer | Jan. 31, 2016Customer | Jan. 31, 2017USD ($)Customer | Jan. 31, 2016USD ($)Customer | Apr. 30, 2016Customer | |
Accounting Policies [Abstract] | |||||
Number of clients that accounted for more than 10% of account receivables | 0 | 0 | 0 | ||
Number of clients that accounted for more than 10% of revenue | 0 | 0 | 0 | 0 | |
Revenue Recognition, Multiple-deliverable Arrangements [Line Items] | |||||
Foreign Currency Transaction Gain (Loss), before Tax | $ | $ 0.6 | $ 0.5 | |||
Minimum [Member] | Software as a Service (“SaaS”) | |||||
Revenue Recognition, Multiple-deliverable Arrangements [Line Items] | |||||
Service agreement period | 1 year | ||||
Maximum [Member] | Software as a Service (“SaaS”) | |||||
Revenue Recognition, Multiple-deliverable Arrangements [Line Items] | |||||
Service agreement period | 3 years |
Fair Value of Financial Asset23
Fair Value of Financial Assets and Liabilities - Summary of Cash and Cash Equivalents (Details) - USD ($) $ in Thousands | Jan. 31, 2017 | Apr. 30, 2016 |
Cash and Cash Equivalents [Line Items] | ||
Total cash and cash equivalents | $ 38,287 | $ 43,963 |
Demand deposit accounts | ||
Cash and Cash Equivalents [Line Items] | ||
Total cash and cash equivalents | 37,025 | 38,692 |
Money market funds | ||
Cash and Cash Equivalents [Line Items] | ||
Total cash and cash equivalents | 587 | 922 |
Commercial paper | ||
Cash and Cash Equivalents [Line Items] | ||
Total cash and cash equivalents | $ 675 | $ 4,349 |
Fair Value of Financial Asset24
Fair Value of Financial Assets and Liabilities - Summary of Short-Term Investments (Details) - USD ($) | 9 Months Ended | ||
Jan. 31, 2017 | Jan. 31, 2016 | Apr. 30, 2016 | |
Schedule of Available-for-Sale Securities [Line Items] | |||
Cost | $ 45,233,000 | $ 50,692,000 | |
Gross Unrealized Gains | 1,000 | 5,000 | |
Gross Unrealized Losses | (27,000) | (15,000) | |
Fair Value | 45,207,000 | 50,682,000 | |
Impairment Charges | 0 | $ 0 | |
Certificates of deposit | |||
Schedule of Available-for-Sale Securities [Line Items] | |||
Cost | 3,670,000 | 7,090,000 | |
Gross Unrealized Gains | 0 | 0 | |
Gross Unrealized Losses | 0 | (1,000) | |
Fair Value | 3,670,000 | 7,089,000 | |
Municipal debt securities | |||
Schedule of Available-for-Sale Securities [Line Items] | |||
Cost | 541,000 | ||
Gross Unrealized Gains | 0 | ||
Gross Unrealized Losses | 0 | ||
Fair Value | 541,000 | ||
Commercial paper | |||
Schedule of Available-for-Sale Securities [Line Items] | |||
Cost | 4,446,000 | 4,043,000 | |
Gross Unrealized Gains | 0 | 0 | |
Gross Unrealized Losses | 0 | 0 | |
Fair Value | 4,446,000 | 4,043,000 | |
U.S. Treasury securities | |||
Schedule of Available-for-Sale Securities [Line Items] | |||
Cost | 8,712,000 | 8,764,000 | |
Gross Unrealized Gains | 0 | 0 | |
Gross Unrealized Losses | (7,000) | 0 | |
Fair Value | 8,705,000 | 8,764,000 | |
US government agencies debt securities | |||
Schedule of Available-for-Sale Securities [Line Items] | |||
Cost | 19,731,000 | 24,841,000 | |
Gross Unrealized Gains | 1,000 | 4,000 | |
Gross Unrealized Losses | (7,000) | (9,000) | |
Fair Value | 19,725,000 | 24,836,000 | |
Corporate debt securities | |||
Schedule of Available-for-Sale Securities [Line Items] | |||
Cost | 8,133,000 | 5,954,000 | |
Gross Unrealized Gains | 0 | 1,000 | |
Gross Unrealized Losses | (13,000) | (5,000) | |
Fair Value | $ 8,120,000 | $ 5,950,000 |
Fair Value of Financial Asset25
Fair Value of Financial Assets and Liabilities - Contractual Maturities of Available-for-Sale Debt Securities (Details) $ in Thousands | Jan. 31, 2017USD ($) |
Fair Value Disclosures [Abstract] | |
Due in one year or less | $ 43,218 |
Due in 1-2 years | 1,989 |
Total investments in debt securities | $ 45,207 |
Fair Value of Financial Asset26
Fair Value of Financial Assets and Liabilities - Summary of Fair Value of Financial Assets and Liabilities (Details) - USD ($) $ in Thousands | Jan. 31, 2017 | Apr. 30, 2016 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents: | $ 38,287 | $ 43,963 |
Short-term investments: | 45,207 | 50,682 |
Fair value, measurements, recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents: | 1,262 | 5,271 |
Short-term investments: | 45,207 | 50,682 |
Total assets | 46,469 | 55,953 |
Fair value, measurements, recurring | Fair value, inputs, level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents: | 587 | 922 |
Short-term investments: | 28,430 | 33,600 |
Total assets | 29,017 | 34,522 |
Fair value, measurements, recurring | Fair value, inputs, level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents: | 675 | 4,349 |
Short-term investments: | 16,777 | 17,082 |
Total assets | 17,452 | 21,431 |
Fair value, measurements, recurring | Fair value, inputs, level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents: | 0 | 0 |
Short-term investments: | 0 | 0 |
Total assets | 0 | 0 |
Certificates of deposit | Fair value, measurements, recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments: | 3,670 | 7,089 |
Certificates of deposit | Fair value, measurements, recurring | Fair value, inputs, level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments: | 0 | 0 |
Certificates of deposit | Fair value, measurements, recurring | Fair value, inputs, level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments: | 3,670 | 7,089 |
Certificates of deposit | Fair value, measurements, recurring | Fair value, inputs, level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments: | 0 | 0 |
Municipal debt securities | Fair value, measurements, recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments: | 541 | 0 |
Municipal debt securities | Fair value, measurements, recurring | Fair value, inputs, level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments: | 0 | 0 |
Municipal debt securities | Fair value, measurements, recurring | Fair value, inputs, level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments: | 541 | 0 |
Municipal debt securities | Fair value, measurements, recurring | Fair value, inputs, level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments: | 0 | 0 |
Commercial paper | Fair value, measurements, recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents: | 675 | 4,349 |
Short-term investments: | 4,446 | 4,043 |
Commercial paper | Fair value, measurements, recurring | Fair value, inputs, level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents: | 0 | 0 |
Short-term investments: | 0 | 0 |
Commercial paper | Fair value, measurements, recurring | Fair value, inputs, level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents: | 675 | 4,349 |
Short-term investments: | 4,446 | 4,043 |
Commercial paper | Fair value, measurements, recurring | Fair value, inputs, level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents: | 0 | 0 |
Short-term investments: | 0 | 0 |
U.S. Treasury securities | Fair value, measurements, recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments: | 8,705 | 8,764 |
U.S. Treasury securities | Fair value, measurements, recurring | Fair value, inputs, level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments: | 8,705 | 8,764 |
U.S. Treasury securities | Fair value, measurements, recurring | Fair value, inputs, level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments: | 0 | 0 |
U.S. Treasury securities | Fair value, measurements, recurring | Fair value, inputs, level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments: | 0 | 0 |
US government agencies debt securities | Fair value, measurements, recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments: | 19,725 | 24,836 |
US government agencies debt securities | Fair value, measurements, recurring | Fair value, inputs, level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments: | 19,725 | 24,836 |
US government agencies debt securities | Fair value, measurements, recurring | Fair value, inputs, level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments: | 0 | 0 |
US government agencies debt securities | Fair value, measurements, recurring | Fair value, inputs, level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments: | 0 | 0 |
Corporate debt securities | Fair value, measurements, recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments: | 8,120 | 5,950 |
Corporate debt securities | Fair value, measurements, recurring | Fair value, inputs, level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments: | 0 | 0 |
Corporate debt securities | Fair value, measurements, recurring | Fair value, inputs, level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments: | 8,120 | 5,950 |
Corporate debt securities | Fair value, measurements, recurring | Fair value, inputs, level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments: | 0 | 0 |
Money market funds | Fair value, measurements, recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents: | 587 | 922 |
Money market funds | Fair value, measurements, recurring | Fair value, inputs, level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents: | 587 | 922 |
Money market funds | Fair value, measurements, recurring | Fair value, inputs, level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents: | 0 | 0 |
Money market funds | Fair value, measurements, recurring | Fair value, inputs, level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents: | $ 0 | $ 0 |
Acquired Intangible Assets, n27
Acquired Intangible Assets, net for Continuing Operations (Details) - USD ($) $ in Thousands | Jan. 31, 2017 | Apr. 30, 2016 |
Acquired Finite Lived and Indefinite Lived Intangible Assets [Line Items] | ||
Gross Fair Value | $ 15,100 | $ 15,100 |
Accumulated Amortization | (6,910) | (5,493) |
Total | 8,190 | 9,607 |
Customer relationships | ||
Acquired Finite Lived and Indefinite Lived Intangible Assets [Line Items] | ||
Acquired finite-lived intangible assets, gross | 11,835 | 11,835 |
Accumulated Amortization | (5,086) | (4,158) |
Acquired finite-lived intangible assets, net book value | 6,749 | 7,677 |
Developed technology | ||
Acquired Finite Lived and Indefinite Lived Intangible Assets [Line Items] | ||
Acquired finite-lived intangible assets, gross | 3,265 | 3,265 |
Accumulated Amortization | (1,824) | (1,335) |
Acquired finite-lived intangible assets, net book value | $ 1,441 | $ 1,930 |
Acquired Intangible Assets, n28
Acquired Intangible Assets, net Acquired Intangible Assets, net - Estimate of Future Amortization Expenses (Details) - USD ($) $ in Thousands | Jan. 31, 2017 | Apr. 30, 2016 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Remaining nine months of Fiscal year 2017 | $ 473 | |
Fiscal year 2018 | 1,890 | |
Fiscal year 2019 | 1,856 | |
Fiscal year 2020 | 1,130 | |
Fiscal year 2021 | 1,130 | |
Thereafter | 1,711 | |
Total | $ 8,190 | $ 9,607 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) | 3 Months Ended | 9 Months Ended | ||
Jan. 31, 2017 | Jan. 31, 2016 | Jan. 31, 2017 | Jan. 31, 2016 | |
Income Tax Disclosure [Abstract] | ||||
Company's effective tax rate | 4.70% | (5.00%) | 3.00% | (0.70%) |
Restructuring Charges - Accrued
Restructuring Charges - Accrued Liability Rollforward (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 31, 2017 | Jan. 31, 2016 | Jan. 31, 2017 | Jan. 31, 2016 | |
Restructuring Cost and Reserve [Line Items] | ||||
Balance at April 30, 2016 | $ 1,043 | |||
Restructuring charges | $ 0 | $ 0 | 1,094 | $ 0 |
Payments | (1,221) | |||
Non-cash settlements of restructuring charges | (566) | |||
Balance at January 31, 2017 | 350 | 350 | ||
Employee Severance [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Balance at April 30, 2016 | 497 | |||
Restructuring charges | 459 | |||
Payments | (941) | |||
Non-cash settlements of restructuring charges | 0 | |||
Balance at January 31, 2017 | 15 | 15 | ||
Other Restructuring [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Balance at April 30, 2016 | 546 | |||
Restructuring charges | 635 | |||
Payments | (280) | |||
Non-cash settlements of restructuring charges | (566) | |||
Balance at January 31, 2017 | $ 335 | $ 335 |
Restructuring Charges - Additio
Restructuring Charges - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 31, 2017 | Jan. 31, 2016 | Jan. 31, 2017 | Jan. 31, 2016 | |
Restructuring Charges [Abstract] | ||||
Restructuring charges | $ 0 | $ 0 | $ 1,094 | $ 0 |
Restructuring charges, incurred to date | $ 2,700 | $ 2,700 |
Debt - Additional Information (
Debt - Additional Information (Details) - USD ($) $ in Thousands | Nov. 21, 2014 | Jan. 31, 2017 | Jan. 31, 2016 | Jan. 31, 2017 | Jan. 31, 2016 | Apr. 30, 2016 |
Debt Instrument [Line Items] | ||||||
Amortization of deferred financing costs | $ 176 | $ 176 | ||||
Revolving line of credit | $ 0 | $ 0 | $ 42,000 | |||
Revolving credit facility | ||||||
Debt Instrument [Line Items] | ||||||
Revolving line of credit with a borrowing capacity | $ 70,000 | |||||
Loan and security agreement, expiration date | Nov. 21, 2017 | |||||
Letters of credit outstanding, Amount | 9,900 | $ 9,900 | ||||
Fees capitalized related to the amended and restated credit facility | 700 | |||||
Amortization of deferred financing costs | 100 | $ 100 | 200 | $ 200 | ||
Repayments of Debt | 5,000 | |||||
Long-term Line of Credit | 37,000 | 37,000 | ||||
Revolving credit facility | Unused lines of credit | ||||||
Debt Instrument [Line Items] | ||||||
Credit facility, remaining borrowing capacity | $ 23,100 | $ 23,100 | ||||
Revolving credit facility | Daily adjusting LIBOR rate | ||||||
Debt Instrument [Line Items] | ||||||
Interest above daily adjusting LIBOR rate | 3.50% | |||||
Revolving credit facility | Swingline Loan | ||||||
Debt Instrument [Line Items] | ||||||
Revolving line of credit with a borrowing capacity | $ 3,000 | |||||
Revolving credit facility | Letter of Credit [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Revolving letter of credit with a borrowing capacity | $ 15,000 |
Net Loss Per Share Applicable33
Net Loss Per Share Applicable to Common Stockholders - Computations of Loss per Share Applicable to Common Stockholders (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Jan. 31, 2017 | Jan. 31, 2016 | Jan. 31, 2017 | Jan. 31, 2016 | ||
Schedule Of Computation Of Basic And Diluted Earnings Per Common Share [Line Items] | |||||
Net loss | $ (2,728) | $ (3,114) | $ (11,967) | $ (18,210) | |
Basic and diluted loss per share | $ (0.03) | $ (0.04) | $ (0.14) | $ (0.23) | |
Basic and diluted weighted average number of shares outstanding | 83,348 | 81,096 | 82,830 | 80,649 | |
Outstanding stock options | |||||
Potentially dilutive securities (1): | |||||
Outstanding stock options | [1] | 360 | 168 | 279 | 224 |
Restricted shares | |||||
Potentially dilutive securities (1): | |||||
Outstanding stock options | [1] | 963 | 17 | 677 | 50 |
[1] | The impact of potentially dilutive securities on earnings per share is anti-dilutive in a period of net loss. |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Details) $ in Millions | Jan. 31, 2017USD ($) |
Sales Tax Accrual [Member] | |
Loss Contingencies [Line Items] | |
Accrued contingency | $ 0.7 |
401K Accrual [Member] | |
Loss Contingencies [Line Items] | |
Accrued contingency | $ 0.5 |