Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jul. 31, 2018 | Aug. 31, 2018 | |
Document And Entity Information [Line Items] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jul. 31, 2018 | |
Document Fiscal Year Focus | 2,019 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | VEEV | |
Entity Registrant Name | VEEVA SYSTEMS INC | |
Entity Central Index Key | 1,393,052 | |
Current Fiscal Year End Date | --01-31 | |
Entity Filer Category | Large Accelerated Filer | |
Class A common stock [Member] | ||
Document And Entity Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 121,826,207 | |
Class B common stock [Member] | ||
Document And Entity Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 22,683,180 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Jul. 31, 2018 | Jan. 31, 2018 | [1] |
Current assets: | |||
Cash and cash equivalents | $ 511,735 | $ 320,183 | |
Short-term investments | 498,690 | 441,779 | |
Accounts receivable, net of allowance for doubtful accounts of $461 and $345, respectively | 111,795 | 224,668 | [2] |
Unbilled accounts receivable | 14,777 | 13,348 | [2] |
Prepaid expenses and other current assets | 15,361 | 12,443 | |
Total current assets | 1,152,358 | 1,012,421 | |
Property and equipment, net | 50,705 | 52,284 | |
Deferred costs, net | 28,126 | 30,306 | |
Goodwill | 95,804 | 95,804 | |
Intangible assets, net | 27,854 | 31,490 | |
Deferred income taxes, noncurrent | 3,468 | 2,222 | |
Other long-term assets | 6,277 | 5,806 | |
Total assets | 1,364,592 | 1,230,333 | |
Current liabilities: | |||
Accounts payable | 7,661 | 6,944 | |
Accrued compensation and benefits | 14,113 | 17,054 | |
Accrued expenses and other current liabilities | 11,989 | 13,152 | |
Income tax payable | 1,725 | 2,080 | |
Deferred revenue | 259,170 | 266,939 | |
Total current liabilities | 294,658 | 306,169 | |
Deferred income taxes, noncurrent | 12,309 | 10,949 | |
Other long-term liabilities | 7,249 | 6,977 | |
Total liabilities | 314,216 | 324,095 | |
Commitments and contingencies (Note 12) | |||
Stockholders’ equity: | |||
Additional paid-in capital | 566,533 | 515,272 | |
Accumulated other comprehensive income | (119) | 1,600 | |
Retained earnings | 483,961 | 389,365 | |
Total stockholders’ equity | 1,050,376 | 906,238 | |
Total liabilities and stockholders’ equity | 1,364,592 | 1,230,333 | |
Class A common stock [Member] | |||
Stockholders’ equity: | |||
Common stock | $ 1 | $ 1 | |
[1] | See note 1 of the notes to the condensed consolidated financial statements for a summary of adjustments. | ||
[2] | Unbilled accounts receivable was previously included in Accounts receivable before the adoption of Topic 606. |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Jul. 31, 2018 | Jan. 31, 2018 | [1] |
Allowance for doubtful accounts | $ 461 | $ 345 | |
Class A common stock [Member] | |||
Common stock, par value | $ 0.00001 | $ 0.00001 | |
Common stock, shares authorized | 800,000,000 | 800,000,000 | |
Common stock, shares issued | 121,412,763 | 117,246,735 | |
Common stock, shares outstanding | 121,412,763 | 117,246,735 | |
Class B common stock [Member] | |||
Common stock, par value | $ 0.00001 | $ 0.00001 | |
Common stock, shares authorized | 190,000,000 | 190,000,000 | |
Common stock, shares issued | 22,731,725 | 24,822,661 | |
Common stock, shares outstanding | 22,731,725 | 24,822,661 | |
[1] | See note 1 of the notes to the condensed consolidated financial statements for a summary of adjustments. |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Comprehensive Income - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | |||||
Jul. 31, 2018 | Jul. 31, 2017 | [1] | Jul. 31, 2018 | Jul. 31, 2017 | [1] | ||
Revenues: | |||||||
Revenues | $ 209,609 | $ 167,795 | $ 405,156 | $ 327,567 | |||
Cost of revenues: | |||||||
Cost of revenues | [2] | 59,226 | 50,400 | 119,381 | 99,277 | ||
Gross profit | 150,383 | 117,395 | 285,775 | 228,290 | |||
Operating expenses: | |||||||
Research and development | [2] | 38,826 | 32,678 | 76,023 | 60,989 | ||
Sales and marketing | [2] | 38,222 | 32,070 | 72,607 | 62,211 | ||
General and administrative | [2] | 20,517 | 14,580 | 40,371 | 28,160 | ||
Total operating expenses | [2] | 97,565 | 79,328 | 189,001 | 151,360 | ||
Operating income | 52,818 | 38,067 | 96,774 | 76,930 | |||
Other income, net | 3,342 | 2,858 | 5,481 | 3,449 | |||
Income before income taxes | 56,160 | 40,925 | 102,255 | 80,379 | |||
Provision for income taxes | 5,874 | 2,323 | 7,659 | 4,781 | |||
Net income | 50,286 | 38,602 | 94,596 | 75,598 | |||
Net income attributable to Class A and Class B common stockholders, basic and diluted | $ 50,286 | $ 38,602 | $ 94,596 | $ 75,598 | |||
Net income per share attributable to Class A and Class B common stockholders: | |||||||
Basic | $ 0.35 | $ 0.28 | $ 0.66 | $ 0.54 | |||
Diluted | $ 0.32 | $ 0.25 | $ 0.61 | $ 0.49 | |||
Weighted-average shares used to compute net income per share attributable to Class A and Class B common stockholders: | |||||||
Basic | 143,748 | 140,010 | 143,271 | 139,351 | |||
Diluted | 155,416 | 153,778 | 155,227 | 153,301 | |||
Other comprehensive income: | |||||||
Net change in unrealized losses on available-for-sale investments | $ 357 | $ 34 | $ 662 | $ (72) | |||
Net change in cumulative foreign currency translation gain (loss) | (1,572) | 327 | (2,381) | 1,232 | |||
Comprehensive income | 49,071 | 38,963 | 92,877 | 76,758 | |||
Subscription services [Member] | |||||||
Revenues: | |||||||
Revenues | 169,592 | 135,550 | 325,595 | 264,681 | |||
Cost of revenues: | |||||||
Cost of revenues | [2] | 29,146 | 26,800 | 59,059 | 52,938 | ||
Professional services and other [Member] | |||||||
Revenues: | |||||||
Revenues | 40,017 | 32,245 | 79,561 | 62,886 | |||
Cost of revenues: | |||||||
Cost of revenues | [2] | $ 30,080 | $ 23,600 | $ 60,322 | $ 46,339 | ||
[1] | See note 1 of the notes to the condensed consolidated financial statements for a summary of adjustments. | ||||||
[2] | Includes stock-based compensation as follows: Cost of revenues: Cost of subscription services $416 $376 $761 $718 Cost of professional services and other 2,657 2,133 4,985 3,822 Research and development 5,795 4,349 10,462 8,151 Sales and marketing 4,830 4,173 8,918 8,020 General and administrative 6,020 2,349 11,603 4,457 Total stock-based compensation $19,718 $13,380 $36,729 $25,168 |
Condensed Consolidated Stateme5
Condensed Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jul. 31, 2018 | Jul. 31, 2017 | [1] | Jul. 31, 2018 | Jul. 31, 2017 | [1] | |
Stock-based compensation | $ 19,718 | $ 13,380 | $ 36,729 | $ 25,168 | ||
Cost of subscription services [Member] | ||||||
Stock-based compensation | 416 | 376 | 761 | 718 | ||
Cost of professional services and other [Member] | ||||||
Stock-based compensation | 2,657 | 2,133 | 4,985 | 3,822 | ||
Research and development [Member] | ||||||
Stock-based compensation | 5,795 | 4,349 | 10,462 | 8,151 | ||
Sales and marketing [Member] | ||||||
Stock-based compensation | 4,830 | 4,173 | 8,918 | 8,020 | ||
General and administrative [Member] | ||||||
Stock-based compensation | $ 6,020 | $ 2,349 | $ 11,603 | $ 4,457 | ||
[1] | See note 1 of the notes to the condensed consolidated financial statements for a summary of adjustments. |
Condensed Consolidated Stateme6
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||||
Jul. 31, 2018 | Jul. 31, 2017 | [1] | Jul. 31, 2018 | Jul. 31, 2017 | |||
Cash flows from operating activities | |||||||
Net income | $ 50,286 | $ 38,602 | $ 94,596 | $ 75,598 | [1] | ||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||
Depreciation and amortization | 3,498 | 3,571 | 7,094 | 7,020 | [1] | ||
Amortization of premiums (accretion of discount) on short-term investments | (353) | 386 | (532) | 842 | [1] | ||
Stock-based compensation | 19,718 | 13,380 | 36,729 | 25,168 | [1] | ||
Amortization of deferred costs | 4,583 | 4,087 | 9,102 | 8,135 | [1] | ||
Deferred income taxes | 868 | (296) | 818 | (943) | [1] | ||
(Gain) Loss on foreign currency from market-to-market derivative | (186) | 204 | (163) | 253 | [1] | ||
Bad debt expense (recovery) | (58) | (198) | 178 | (206) | [1] | ||
Changes in operating assets and liabilities: | |||||||
Accounts receivable | 43,103 | 16,345 | 112,695 | 87,149 | [1] | ||
Unbilled accounts receivable | 2,858 | 7,453 | (1,429) | (479) | [1] | ||
Deferred costs | (3,371) | (4,046) | (6,922) | (7,763) | [1] | ||
Income taxes | 1,992 | 483 | (504) | (2,062) | [1] | ||
Prepaid expenses and other current and long-term assets | (2,796) | 331 | (3,509) | (1,160) | [1] | ||
Accounts payable | (1,443) | 700 | 538 | 244 | [1] | ||
Accrued expenses and other current liabilities | (1,540) | (361) | (4,104) | 544 | [1] | ||
Deferred revenue | (30,406) | (24,250) | (7,756) | 5,161 | [1] | ||
Other long-term liabilities | 60 | 1,215 | 567 | 2,266 | [1] | ||
Net cash provided by operating activities | 86,813 | 57,606 | 237,398 | 199,767 | [1] | ||
Cash flows from investing activities | |||||||
Purchases of short-term investments | (181,069) | (87,202) | (374,231) | (143,451) | [1] | ||
Maturities and sales of short-term investments | 141,266 | 69,681 | 317,810 | 128,377 | [1] | ||
Purchases of property and equipment | (686) | (2,535) | (1,395) | (6,495) | [1] | ||
Capitalized internal-use software development costs | (284) | (242) | (514) | (1,033) | [1] | ||
Net cash used in investing activities | (40,773) | (20,298) | (58,330) | (22,602) | [1] | ||
Cash flows from financing activities | |||||||
Proceeds from exercise of common stock options | 7,022 | 6,131 | 14,861 | 13,416 | [1] | ||
Net cash provided by financing activities | 7,022 | 6,131 | 14,861 | 13,416 | [1] | ||
Effect of exchange rate changes on cash, cash equivalents, and restricted cash | (1,565) | 327 | (2,376) | 1,240 | [1] | ||
Net change in cash, cash equivalents, and restricted cash | 51,497 | 43,766 | 191,553 | 191,821 | [1] | ||
Cash, cash equivalents, and restricted cash at beginning of period | 461,443 | 366,662 | 321,387 | 218,607 | [1] | ||
Cash, cash equivalents, and restricted cash at end of period | 512,940 | 410,428 | 512,940 | 410,428 | [1] | ||
Cash, cash equivalents, and restricted cash at end of period: | |||||||
Cash and cash equivalents | 511,735 | 409,226 | 511,735 | 409,226 | [1] | ||
Restricted cash included in other long-term assets | 1,205 | 1,202 | 1,205 | 1,202 | [1] | ||
Cash, cash equivalents, and restricted cash at end of period | 512,940 | 410,428 | 512,940 | 410,428 | [1] | ||
Supplemental disclosures of other cash flow information: | |||||||
Cash paid for income taxes, net of refunds | 6,455 | 1,780 | 10,571 | 6,036 | [1] | ||
Excess tax benefits from employee stock plans | 9,347 | 14,765 | 19,026 | 28,675 | [1] | ||
Non-cash investing and financing activities: | |||||||
Changes in accounts payable and accrued expenses related to property and equipment purchases | $ 80 | $ 465 | $ 179 | (121) | [1] | ||
Vesting of early exercised stock options | [1] | $ 1 | |||||
[1] | See note 1 of the notes to the condensed consolidated financial statements for a summary of adjustments. |
Summary of Business and Signifi
Summary of Business and Significant Accounting Policies | 6 Months Ended |
Jul. 31, 2018 | |
Accounting Policies [Abstract] | |
Summary of Business and Significant Accounting Policies | Note 1. Summary of Business and Significant Accounting Policies Description of Business Veeva is a leading provider of industry cloud solutions for the global life sciences industry. We were founded in 2007 on the premise that industry-specific cloud solutions could best address the operating challenges and regulatory requirements of life sciences companies. Our products are designed to meet the unique needs of our customers and their most strategic business functions—from research and development (R&D) to commercialization. Our products address a broad range of needs—including multichannel customer relationship management (CRM), content management, master data management, and data regarding healthcare professionals and organizations. Veeva is also offering its regulated content management solutions to a new set of customers in process and discrete manufacturing, consumer packaged goods, and highly regulated services industries. Our fiscal year end is January 31. Principles of Consolidation and Basis of Presentation These 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 and include the accounts of our wholly-owned subsidiaries after elimination of intercompany accounts and transactions. 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 condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes included in Veeva’s Annual Report on Form 10-K for the fiscal year ended January 31, 2018, filed on March 29, 2018. Except for the accounting policies for revenue recognition, unbilled accounts receivable, and deferred costs that were updated as a result of adopting ASU 2014-09, “ Revenue from Contracts with Customers The condensed consolidated balance sheet as of January 31, 2018 included herein was derived from the audited financial statements as of that date. These unaudited condensed consolidated financial statements reflect all normal recurring adjustments necessary to present fairly the financial position, results of operations, our comprehensive income and cash flows for the interim periods, but are not necessarily indicative of the results of operations to be anticipated for the full fiscal year ending January 31, 2019 or any other period. Effective February 1, 2018, we adopted the requirements of Topic 606, ASU 2016-18, “ Statement of Cash Flows, Restricted Cash ,” and ASU 2018-02, “ Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income ,” as discussed in this note. All amounts and disclosures set forth in this Form 10-Q for previously reported periods have also been updated to comply with the new standards, as indicated by the “as adjusted” tables in this footnote. Use of Estimates The preparation of condensed consolidated financial statements in conformity with GAAP requires us to make estimates, judgments and assumptions that affect the condensed consolidated financial statements and the notes thereto. These estimates are based on information available as of the date of the condensed consolidated financial statements. On a regular basis, management evaluates these estimates and assumptions. Significant items subject to such estimates and assumptions include, but are not limited to: • the standalone selling price for each distinct performance obligation included in customer contracts with multiple performance obligations; • the period of benefit for deferred costs; • the collectibility of our accounts receivable; • the fair value of assets acquired and liabilities assumed for business combinations; • the valuation of short-term investments and the determination of other-than-temporary impairments; • the realizability of deferred income tax assets and liabilities; • the fair value of our stock-based awards; and • the capitalization and estimated useful life of internal-use software development costs. As future events cannot be determined with precision, actual results could differ significantly from those estimates. Revenue Recognition We derive our revenues primarily from subscription services and professional services. Subscription services revenues consist of fees from customers accessing our cloud-based software solutions and subscription or license fees for our data solutions. Professional services and other revenues consist primarily of fees from implementation services, configuration, data services, training and managed services related to our solutions. Revenues are recognized when control of these services is transferred to our customers, in an amount that reflects the consideration we expect to be entitled to in exchange for those services. We determine revenue recognition through the following steps: • Identification of the contract, or contracts, with a customer; • Identification of the performance obligations in the contract; • Determination of the transaction price; • Allocation of the transaction price to the performance obligations in the contract; and • Recognition of revenue when, or as, we satisfy a performance obligation. Our subscription services agreements are generally non-cancelable during the term, although customers typically have the right to terminate their agreements for cause in the event of material breach. Subscription Services Revenues Subscription services revenues are recognized ratably over the respective non-cancelable subscription term because of the continuous transfer of control to the customer. Our subscription arrangements are considered service contracts, and the customer does not have the right to take possession of the software. Professional Services and Other Revenues The majority of our professional services arrangements are recognized on a time and materials basis. Professional services revenues recognized on a time and materials basis are measured monthly based on time incurred and contractually agreed upon rates. Certain professional services revenues are based on fixed fee arrangements and revenues are recognized as services are rendered. Data services and training revenues are generally recognized as the services are performed. Contracts with Multiple Performance Obligations Some of our contracts with customers contain multiple performance obligations. For these contracts, we account for individual performance obligations separately when they are distinct. The transaction price is allocated to the separate performance obligations on a relative standalone selling price basis. We determine the standalone selling prices based on our overall pricing objectives, taking into consideration market conditions and other factors, including other groupings such as customer type and geography. Unbilled Accounts Receivable Unbilled accounts receivable is a contract asset related to the delivery of our subscription services and professional services for which the related billings will occur in a future period. Unbilled accounts receivable consists of (i) revenue recognized for professional services performed but not yet billed and (ii) revenue recognized from non-cancelable, multi-year orders in which fees increase annually but for which we are not contractually able to invoice until a future period. Deferred Costs Deferred costs include sales commissions associated with obtaining a contract with a customer. These costs are deferred and then amortized over a period of benefit that we have determined to be three years. We determined the period of benefit by taking into consideration our customer contracts, our technology and other factors. Amortization expense is included in sales and marketing expenses in the accompanying condensed consolidated statements of operations. Deferred Revenue Deferred revenue includes amounts billed to customers for which the revenue recognition criteria have not been met. Deferred revenue primarily consists of billings or payments received in advance of revenue recognition from our subscription services and, to a lesser extent, professional services and other revenues described above. Deferred revenue is recognized as we satisfy our performance obligations. We generally invoice our customers in annual or quarterly installments for subscription services. Accordingly, the deferred revenue balance does not generally represent the total contract value of a subscription arrangement. 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 noncurrent, which is included in other long-term liabilities on the condensed consolidated balance sheet. Certain Risks and Concentrations of Credit Risk Our revenues are derived from subscription services, professional services and other services delivered primarily to the life sciences industry. We operate in markets that are highly competitive and rapidly changing. Significant technological changes, shifting customer needs, the emergence of competitive products or services with new capabilities and other factors could negatively impact our operating results. Our financial instruments that potentially subject us to concentration of credit risk consist primarily of cash and cash equivalents, short-term investments and trade accounts receivable. Our cash equivalents and short-term investments are held by established financial institutions. We have established guidelines relative to credit ratings, diversification and maturities that seek to maintain safety and liquidity. Deposits in these financial institutions may significantly exceed federally insured limits. We do not require collateral from our customers and generally require payment within 30 to 60 days of billing. We periodically evaluate the collectibility of our accounts receivable and provide an allowance for doubtful accounts as necessary, based on historical experience. Historically, losses related to lack of collectibility have not been material. The following customers individually exceeded 10% of total accounts receivable as of the dates shown: July 31, January 31, 2018 2018 Customer 1 * 18% Customer 2 * 13% * Does not exceed 10%. No single customer represented over 10% of total revenues in the condensed consolidated statements of comprehensive income for the three and six months ended July 31, 2018 and 2017. New Accounting Pronouncements Adopted in Fiscal 2019 Income Taxes In March 2018, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2018-05, “ Income Taxes (Topic 740): Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin No. 118 Stranded Tax Effects in Accumulated Other Comprehensive Income In February 2018, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2018-02, " Income Statement-Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income ASU 2018-02 is effective for fiscal years beginning after December 15, 2018, including interim periods within those years. We early adopted this standard effective February 1, 2018. The impact on our condensed consolidated financial statements was immaterial. Restricted Cash In November 2016, the FASB issued ASU 2016-18, “ Statement of Cash, Restricted Cash Financial Instruments In January 2016, the FASB issued ASU 2016-01, “Financial Instruments ASU 2016-01, among other things, requires equity investments, with certain exceptions, to be measured at fair value with changes in fair value recognized in net income and clarifies that an entity should evaluate the need for a valuation allowance on a deferred tax asset related to available-for-sale securities in combination with the entity’s other deferred tax assets. Revenue Recognition In May 2014, the FASB issued Topic 606. This guidance outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most current revenue recognition guidance, including industry-specific guidance. The core principle of the revenue model requires revenue to be recognized when promised goods or services are transferred to customers in an amount that reflects the consideration that is expected to be received for those goods or services. Topic 606 supersedes the existing revenue recognition guidance in “Revenue Recognition (Topic 605)”. We have adopted the requirements of the new standard as of February 1, 2018, utilizing the full retrospective transition method. Adoption of the new standard resulted in changes to our accounting policies for revenue recognition, unbilled accounts receivable, and deferred costs as detailed above in our description of Revenue Recognition. We applied a practical expedient provided by the new standard and are not disclosing the amount of consideration allocated to the remaining performance obligations for all reporting periods presented before the date of the initial application. The impact of adoption included the deferral of costs to obtain customer contracts, which is comprised of commissions on our subscription services arrangements. Revenue for the majority of our subscription services customer contracts will continue to be recognized over time because of the continuous transfer of control to the customer; however, there is some impact to revenue primarily driven by (i) accounting for non-cancelable multi-year contracts, (ii) the removal of the current limitation on contingent revenue, which may result in revenue being recognized earlier for certain contracts, and (iii) allocation of revenue from subscription services to professional services. We adjusted our condensed consolidated financial statements from amounts previously reported to reflect the adoption of Topic 606, ASU 2016-18, or ASU 2018-02. Select impacted condensed consolidated balance sheet line items, which reflect the adoption of the new standards are as follows (in thousands): January 31, 2018 As Reported Adjustments As adjusted Assets Accounts receivable (1) $ 233,731 (9,063 ) a $ 224,668 Unbilled accounts receivable (1) — 13,348 a 13,348 Deferred costs, net — 30,306 a 30,306 Deferred income taxes, non-current 3,490 (1,268 ) a 2,222 Liabilities Deferred revenue $ 275,446 $ (8,507 ) a $ 266,939 Deferred income taxes, non-current 3,828 7,121 a 10,949 Stockholders’ equity: Accumulated other comprehensive income $ 1,404 $ 196 b $ 1,600 Retained earnings 354,850 34,515 a, b 389,365 (1) Unbilled accounts receivable was previously included in Accounts receivable before the adoption of Topic 606. a Adjusted to reflect the adoption of ASU 2014-09, “ ” b Adjusted to reflect the adoption of ASU 2018-02, “ Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income .” Select unaudited condensed consolidated statement of comprehensive income line items, which reflect the adoption of the new standards are as follows (in thousands): Three months ended July 31, 2017 As Reported Adjustments As adjusted Revenues: Subscription services $ 134,340 $ 1,210 a $ 135,550 Operating expenses: Sales and marketing 32,017 53 a 32,070 Operating income 36,898 1,169 a 38,067 Provision for income taxes 1,912 411 a 2,323 Net income $ 37,844 $ 758 a $ 38,602 Net income per share attributable to Class A and Class B common stockholders: Basic $ 0.27 $ 0.01 a $ 0.28 Diluted $ 0.25 $ — a $ 0.25 Six months ended July 31, 2017 As Reported Adjustments As adjusted Revenues: Subscription services $ 261,617 $ 3,064 a $ 264,681 Operating expenses: Sales and marketing 61,827 384 a 62,211 Operating income 74,237 2,693 a 76,930 Provision for income taxes 3,819 962 a 4,781 Net income $ 73,867 $ 1,731 a $ 75,598 Net income per share attributable to Class A and Class B common stockholders: Basic $ 0.53 $ 0.01 a $ 0.54 Diluted $ 0.48 $ 0.01 a $ 0.49 a Adjusted to reflect the adoption of ASU 2014-09, “ ” Select unaudited condensed consolidated statement of cash flows line items, which reflect the adoption of the new standards are as follows (in thousands): Three months ended July 31, 2017 As Reported Adjustments As adjusted Cash flows from operating activities Net income $ 37,844 $ 758 a $ 38,602 Adjustments to reconcile net income to net cash provided by operating activities: Amortization of deferred costs — 4,087 a 4,087 Changes in operating assets and liabilities: Accounts receivable 16,169 176 a 16,345 Unbilled accounts receivable — 7,453 a 7,453 Deferred costs — (4,046 ) a (4,046 ) Deferred revenue (15,410 ) (8,840 ) a (24,250 ) Net cash provided by operating activities 57,607 (1 ) a 57,606 Change in restricted cash and deposits (201 ) 201 b — Net cash (used in) provided by investing activities (20,499 ) 201 b (20,298 ) Net change in cash, cash equivalents and restricted cash 43,566 200 b 43,766 Cash, cash equivalents and restricted cash at the beginning of period 365,660 1,002 b 366,662 Cash, cash equivalents and restricted cash at the end of period $ 409,226 $ 1,202 b $ 410,428 Six months ended July 31, 2017 As Reported Adjustments As adjusted Cash flows from operating activities Net income $ 73,867 $ 1,731 a $ 75,598 Adjustments to reconcile net income to net cash provided by operating activities: Amortization of deferred costs — 8,135 a 8,135 Changes in operating assets and liabilities: Accounts receivable 85,869 1,280 a 87,149 Unbilled accounts receivable — (479 ) a (479 ) Deferred costs — (7,763 ) a (7,763 ) Deferred revenue 9,027 (3,866 ) a 5,161 Net cash provided by operating activities 199,768 (1 ) a 199,767 Change in restricted cash and deposits (202 ) 202 b — Net cash (used in) provided by investing activities (22,804 ) 202 b (22,602 ) Net change in cash, cash equivalents and restricted cash 191,620 201 b 191,821 Cash, cash equivalents and restricted cash at the beginning of period 217,606 1,001 b 218,607 Cash, cash equivalents and restricted cash at the end of period $ 409,226 $ 1,202 b $ 410,428 a Adjusted to reflect the adoption of ASU 2014-09, “ ” b Adjusted to reflect the adoption of ASU 2016-18, “ Statement of Cash Flows, Restricted Cash .” Future periods may or may not have the same impact as those set forth above. |
Short-Term Investments
Short-Term Investments | 6 Months Ended |
Jul. 31, 2018 | |
Investments Debt And Equity Securities [Abstract] | |
Short-Term Investments | Note 2. Short-Term Investments At July 31, 2018, short-term investments consisted of the following (in thousands): Gross Gross Estimated Amortized unrealized unrealized fair cost gains losses value Available-for-sale securities: Certificates of deposits $ 11,036 $ 7 $ — $ 11,043 Asset-backed securities 86,498 2 (555 ) 85,945 Commercial paper 13,596 2 (1 ) 13,597 Corporate notes and bonds 152,185 56 (718 ) 151,523 Foreign government bonds 2,999 — (21 ) 2,978 Mortgage backed securities 13,366 — (81 ) 13,285 U.S. agency obligations 57,657 2 (25 ) 57,634 U.S. treasury securities 162,888 1 (204 ) 162,685 Total available-for-sale securities $ 500,225 $ 70 $ (1,605 ) $ 498,690 At January 31, 2018, short-term investments consisted of the following (in thousands): Gross Gross Estimated Amortized unrealized unrealized fair cost gains losses value Available-for-sale securities: Asset-backed securities $ 67,875 $ — $ (424 ) $ 67,451 Commercial paper 19,926 — (12 ) 19,914 Corporate notes and bonds 160,499 1 (759 ) 159,741 Foreign government bonds 1,504 — (18 ) 1,486 Mortgage backed securities 11,555 — (75 ) 11,480 U.S. agency obligations 71,206 1 (76 ) 71,131 U.S. treasury securities 110,707 5 (136 ) 110,576 Total available-for-sale securities $ 443,272 $ 7 $ (1,500 ) $ 441,779 The following table summarizes the estimated fair value of our short-term investments, designated as available-for-sale and classified by the contractual maturity date of the securities as of the dates shown (in thousands): July 31, January 31, 2018 2018 Due in one year or less $ 331,500 $ 308,172 Due in greater than one year 167,190 133,607 Total $ 498,690 $ 441,779 We have certain available-for-sale securities in a gross unrealized loss position, some of which have been in that position for more than 12 months. We review our debt securities classified as short-term investments on a regular basis to evaluate whether or not any security has experienced an other-than-temporary decline in fair value. We consider factors such as the length of time and extent to which the market value has been less than the cost, our financial position and near-term prospects and our intent to sell, or whether it is more likely than not we will be required to sell the investment before recovery of the investment’s amortized-cost basis. If we determine that an other-than-temporary decline exists in one of these securities, we would write down the respective investment to fair value. For debt securities, the portion of the write-down related to credit loss would be recognized as other income, net in our condensed consolidated statements of comprehensive income. Any portion not related to credit loss would be included in accumulated other comprehensive income. There were no impairments considered other-than-temporary as of July 31, 2018 and January 31, 2018. The following table shows the fair values and the gross unrealized losses of these available-for-sale securities aggregated by investment category as of July 31, 2018 (in thousands): Gross Fair unrealized value losses Asset-backed securities $ 82,019 $ (555 ) Commercial paper 3,892 (1 ) Corporate notes and bonds 108,287 (718 ) Foreign government bonds 2,979 (21 ) Mortgage backed securities 13,285 (81 ) U.S. agency obligations 49,893 (25 ) U.S. treasury securities 153,505 (204 ) The following table shows the fair values and the gross unrealized losses of these available-for-sale securities aggregated by investment category as of January 31, 2018 (in thousands): Gross Fair unrealized value losses Asset-backed securities $ 65,690 $ (424 ) Commercial paper 19,914 (12 ) Corporate notes and bonds 155,419 (759 ) Foreign government bonds 1,485 (18 ) Mortgage backed securities 11,481 (75 ) U.S. agency obligations 66,655 (76 ) U.S. treasury securities 82,147 (136 ) |
Deferred Costs
Deferred Costs | 6 Months Ended |
Jul. 31, 2018 | |
Deferred Costs [Abstract] | |
Deferred Costs | Note 3. Deferred Costs Deferred costs, which consist of deferred sales commissions, were $28.1 million and $30.3 million as of July 31, 2018 and January 31, 2018, respectively. For the three and six months ended July 31, 2018, amortization expense for the deferred costs was $4.6 million and $9.1 million, respectively. For the three and six months ended July 31, 2017, amortization expense for the deferred costs was $4.1 million and $8.1 million, respectively. There has been no impairment loss recorded in relation to the costs capitalized for all periods presented. |
Property and Equipment, Net
Property and Equipment, Net | 6 Months Ended |
Jul. 31, 2018 | |
Property Plant And Equipment [Abstract] | |
Property and Equipment, Net | Note 4. Property and Equipment, Net Property and equipment, net consists of the following as of the dates shown (in thousands): July 31, January 31, 2018 2018 Land $ 3,040 $ 3,040 Building 20,984 20,984 Land improvements and building improvements 20,172 20,073 Equipment and computers 7,837 7,732 Furniture and fixtures 9,495 9,619 Leasehold improvements 3,613 3,637 Construction in progress 270 36 65,411 65,121 Less accumulated depreciation (14,706 ) (12,837 ) Total property and equipment, net $ 50,705 $ 52,284 Total depreciation expense was $1.6 million and $3.2 million for the three and six months ended July 31, 2018, respectively, and $1.4 million and $2.7 million for the three and six months ended July 31, 2017, respectively. Land is not depreciated. |
Intangible Assets
Intangible Assets | 6 Months Ended |
Jul. 31, 2018 | |
Intangible Assets Net Excluding Goodwill [Abstract] | |
Intangible Assets | Note 5. Intangible Assets The following schedule presents the details of intangible assets as of July 31, 2018 (dollar amounts in thousands): July 31, 2018 Gross Remaining carrying Accumulated useful life amount amortization Net (in years) Existing technology $ 3,880 $ (3,813 ) $ 67 1.7 Database 4,939 (4,340 ) 599 1.7 Customer contracts and relationships 33,643 (10,560 ) 23,083 7.1 Software 10,867 (6,979 ) 3,888 1.7 Brand 1,141 (924 ) 217 0.7 $ 54,470 $ (26,616 ) $ 27,854 The following schedule presents the details of intangible assets as of January 31, 2018 (dollar amounts in thousands): January 31, 2018 Gross Remaining carrying Accumulated useful life amount amortization Net (in years) Existing technology $ 3,880 $ (3,509 ) $ 371 0.8 Database 4,939 (4,091 ) 848 2.0 Customer contracts and relationships 33,643 (8,798 ) 24,845 7.5 Software 10,867 (5,820 ) 5,047 2.2 Brand 1,141 (762 ) 379 1.2 $ 54,470 $ (22,980 ) $ 31,490 Amortization expense associated with intangible assets was $1.8 million and $3.6 million for the three and six months ended July 31, 2018, respectively, and $2.0 million and $4.0 million for the three and six months ended July 31, 2017, respectively. The estimated amortization expense for intangible assets, for the next five years and thereafter is as follows as of July 31, 2018 (in thousands): Estimated amortization Period expense Fiscal 2019 $ 3,334 Fiscal 2020 6,062 Fiscal 2021 3,629 Fiscal 2022 3,182 Fiscal 2023 3,182 Thereafter 8,465 Total $ 27,854 |
Accrued Expenses
Accrued Expenses | 6 Months Ended |
Jul. 31, 2018 | |
Payables And Accruals [Abstract] | |
Accrued Expenses | Note 6. Accrued Expenses Accrued expenses consisted of the following as of the dates shown (in thousands): July 31, January 31, 2018 2018 Accrued commissions $ 1,357 $ 3,565 Accrued bonus 2,504 3,068 Deferred compensation associated with Zinc Ahead 464 467 Accrued vacation 3,571 2,608 Payroll tax payable 3,020 3,580 Accrued other compensation and benefits 3,197 3,766 Total accrued compensation and benefits $ 14,113 $ 17,054 Accrued fees payable to salesforce.com 4,990 4,929 Accrued third-party professional services subcontractors' fees 996 1,614 Taxes payable 2,435 3,009 Other accrued expenses 3,568 3,600 Total accrued expenses and other current liabilities $ 11,989 $ 13,152 |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jul. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Note 7. Fair Value Measurements The carrying amounts of accounts receivable and other current assets, accounts payable and accrued liabilities approximate their fair value due to their short-term nature. Financial assets and liabilities recorded at fair value in the condensed consolidated financial statements are categorized based upon the level of judgment associated with the inputs used to measure their fair value. Hierarchical levels, which are directly related to the amount of subjectivity associated with the inputs to the valuation of these assets or liabilities are as follows: Level 1—Observable inputs, such as quoted prices in active markets for identical assets or liabilities. Level 2—Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3—Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Financial assets and liabilities measured at fair value are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. Our assessment of the significance of a particular input to the fair value measurement requires management to make judgments and considers factors specific to the asset or liability. The following table presents the fair value hierarchy for financial assets measured at fair value on a recurring basis as of July 31, 2018 (in thousands): Level 1 Level 2 Level 3 Total Assets Cash equivalents: Money market funds $ 66,114 $ — $ — $ 66,114 Commercial paper — 4,485 — 4,485 Corporate notes and bonds — 3,034 — 3,034 U.S. agency obligations — 11,128 — 11,128 U.S. treasury securities — 29,967 — 29,967 Short-term investments: Certificates of deposits — 11,043 — 11,043 Asset-backed securities — 85,945 — 85,945 Commercial paper — 13,597 — 13,597 Corporate notes and bonds — 151,523 — 151,523 Foreign government bonds — 2,978 — 2,978 Mortgage backed securities — 13,285 — 13,285 U.S. agency obligations — 57,634 — 57,634 U.S. treasury securities — 162,685 — 162,685 Foreign currency derivative contracts — 59 — 59 Total $ 66,114 $ 547,363 $ — $ 613,477 Liabilities Foreign currency derivative contracts — 160 — 160 Total $ — $ 160 $ — $ 160 The following table presents the fair value hierarchy for financial assets measured at fair value on a recurring basis as of January 31, 2018 (in thousands): Level 1 Level 2 Level 3 Total Assets Cash equivalents: Money market funds $ 25,820 $ — $ — $ 25,820 Commercial paper — 1,999 — 1,999 Corporate notes and bonds — 2,080 — 2,080 U.S. treasury securities — 8,000 — 8,000 Short-term investments: Asset-backed securities — 67,451 — 67,451 Commercial paper — 19,914 — 19,914 Corporate notes and bonds — 159,741 — 159,741 Foreign government bonds — 1,486 — 1,486 Mortgage backed securities — 11,480 — 11,480 U.S. agency obligations — 71,131 — 71,131 U.S. treasury securities — 110,576 — 110,576 Foreign currency derivative contracts — 127 — 127 Total $ 25,820 $ 453,985 $ — $ 479,805 Liabilities Foreign currency derivative contracts — 391 — 391 Total $ — $ 391 $ — $ 391 We determine the fair value of our security holdings based on pricing from our service providers and market prices from industry-standard independent data providers. The valuation techniques used to measure the fair value of financial instruments having Level 2 inputs were derived from non-binding consensus prices that are corroborated by observable market data or quoted market prices for similar instruments. Such market prices may be quoted prices in active markets for identical assets (Level 1 inputs) or pricing determined using inputs other than quoted prices that are observable either directly or indirectly (Level 2 inputs). We perform procedures to ensure that appropriate fair values are recorded such as comparing prices obtained from other sources. Balance Sheet Hedges During the three months ended July 31, 2018, we entered into foreign currency forward contracts (the “Forward Contracts”) in order to hedge our foreign currency exposure. A Forward Contract is a commitment to deliver a certain amount of currency at a certain price on a specific date in the future. By entering into Forward Contracts and holding them to maturity, we are locked into a future currency exchange rate in an amount equal to and for the terms of the Forward Contracts. We account for derivative instruments at fair value with changes in the fair value recorded as a component of other income, net in our condensed consolidated statements of comprehensive income. Cash flows from such forward contracts are classified as operating activities. We recognized realized foreign currency losses of $0.2 million and gains of $0.3 million during the three and six months ended July 31, 2018 on hedging, respectively, and losses of $2.2 million and $2.8 million during the three and six months ended July 31, 2017 on hedging, respectively. The fair value of our outstanding derivative instruments is summarized below (in thousands): July 31, January 31, 2018 2018 Notional amount of foreign currency derivative contracts $ 2,946 $ 36,266 Fair value of foreign currency derivative contracts 3,047 36,531 Details on outstanding balance sheet hedges are presented below as of the date shown below (in thousands): July 31, January 31, 2018 2018 Derivative Assets Balance Sheet Location Derivatives not designated as hedging instruments: Foreign currency derivative contracts Prepaid expenses and other current assets $ 59 $ 127 Derivative Liabilities Derivatives not designated as hedging instruments: Foreign currency derivative contracts Accrued expenses $ 160 $ 391 |
Income Taxes
Income Taxes | 6 Months Ended |
Jul. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 8. Income Taxes For the three months ended July 31, 2018 and 2017, our effective tax rates were 10.5% and 5.7%, respectively. During the three months ended July 31, 2018 as compared to the prior year period, our effective tax rate increased primarily due to a decrease in excess tax benefits, which was partially offset by a reduced federal tax rate as a result of the Tax Act. We recognized excess tax benefits in our provision for income taxes of $9.3 million and $14.8 million for the three months ended July 31, 2018 and 2017, respectively. For the six months ended July 31, 2018 and 2017, our effective tax rates were 7.5% and 5.9%, respectively. During the six months ended July 31, 2018 as compared to the prior year period, our effective tax rate increased primarily due to a decrease in excess tax benefits, which was partially offset by a reduced federal tax rate as a result of the Tax Act. We recognized excess tax benefits in our provision for income taxes of $19.0 million and $28.7 million for the six months ended July 31, 2018 and 2017, respectively. On May 1, 2018 the Internal Revenue Service (IRS) issued a closing audit notice related to the income tax return for fiscal year ended January 31, 2015. The completion of the IRS audit resulted in an immaterial impact to our financial statements. The SEC staff issued Staff Accounting Bulletin No. 118, Income Tax Accounting Implications of the Tax Cuts and Jobs Act (SAB 118), which allows companies the ability to record provisional amounts during a measurement period not to extend more than one year beyond the Tax Act enactment date. Since the Tax Act was passed late in 2017 and further guidance and accounting interpretations are expected during the measurement period, our provisional estimate on the effect of the Tax Act in our financial statements remains subject to change. |
Deferred Revenue and Performanc
Deferred Revenue and Performance Obligations | 6 Months Ended |
Jul. 31, 2018 | |
Revenue Recognition And Deferred Revenue [Abstract] | |
Deferred Revenue and Performance Obligations | Note 9. Deferred Revenue and Performance Obligations We recognized $135.2 million and $187.9 million of subscription services revenue during the three and six months ended July 31, 2018, respectively, and $105.0 million and $146.5 million during the three and six months ended July 31, 2017, respectively, that was included in the deferred revenue balances at the beginning of the respective periods. Professional services revenue recognized in the same periods from deferred revenue balances at the beginning of the respective periods was immaterial. Transaction Price Allocated to the Remaining Performance Obligations Transaction price allocated to the remaining performance obligations represents contracted revenue that has not yet been recognized, which includes deferred revenue and non-cancelable amounts that will be invoiced and recognized as revenues in future periods. We applied the practical expedient in accordance with Topic 606 to exclude the amounts related to professional services contracts that are on a time-and-material basis. Revenue from remaining performance obligations for professional services contracts as of July 31, 2018 was immaterial. As of July 31, 2018, approximately $452.9 million of revenue is expected to be recognized from remaining performance obligations for subscription services contracts. We expect to recognize revenue on approximately $342.0 million of these remaining performance obligations over the next 12 months, with the balance recognized thereafter. |
Stockholders' Equity
Stockholders' Equity | 6 Months Ended |
Jul. 31, 2018 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stockholders' Equity | Note 10. Stockholders’ Equity Stock Option Activity A summary of stock option activity for the six months ended July 31, 2018 is as follows: Weighted Weighted average average remaining Aggregate Number exercise contractual intrinsic of shares price term (in years) value Options outstanding at January 31, 2018 16,024,146 $ 16.76 6.1 $ 738,648,507 Options granted 175,000 77.88 Options exercised (1,412,949 ) 10.17 Options forfeited/cancelled (202,268 ) 8.53 Options outstanding at July 31, 2018 14,583,929 $ 18.25 5.8 $ 837,197,633 Options vested and exercisable at July 31, 2018 6,444,160 $ 5.18 4.5 $ 453,984,350 Options vested and exercisable at July 31, 2018 and expected to vest thereafter 14,583,929 $ 18.25 5.8 $ 837,197,633 During the six months ended July 31, 2018, we granted 175,000 stock options under the 2013 Equity Incentive Plan (EIP). The weighted average grant-date fair value of options granted was $35.04 for the six months ended July 31, 2018. We did not grant any stock options during the three months ended July 31, 2018. As of July 31, 2018, there was $106.9 million in unrecognized compensation cost related to unvested stock options granted under the 2007 Stock Plan (2007 Plan), 2012 Equity Incentive Plan and 2013 EIP. This cost is expected to be recognized over a weighted average period of 3.9 years. As of July 31, 2018, we had authorized and unissued shares of common stock sufficient to satisfy exercises of stock options. The total intrinsic value of options exercised was approximately $42.9 million and $91.3 million for the three and six months ended July 31, 2018. Restricted Stock Units A summary of restricted stock unit (RSU) activity for the six months ended July 31, 2018 is as follows: Unreleased restricted Weighted average grant stock units date fair value Balance at January 31, 2018 2,901,736 $ 38.14 RSUs granted 832,014 72.02 RSUs vested (662,087 ) 36.17 RSUs forfeited/cancelled (156,241 ) 43.95 Balance at July 31, 2018 2,915,422 $ 47.95 During the three and six months ended July 31, 2018, we granted 194,304 and 832,014 RSUs under the 2013 EIP with a weighted-average grant date fair value of $78.85 and $72.02, respectively. As of July 31, 2018, there was a total of $131.3 million in unrecognized compensation cost related to unvested RSUs. This cost is expected to be recognized over a weighted-average period of approximately 2.5 years. Stock-Based Compensation Compensation expense related to share-based transactions, including equity awards to employees and non-employee directors, is measured and recognized in the condensed consolidated financial statements based on fair value. The grant date fair value of each option award is estimated on the grant date using the Monte Carlo simulation or Black-Scholes option-pricing model. The stock-based compensation expense is recognized using a straight-line basis over the requisite service periods of the awards, which is generally four to nine years. For RSUs, the grant date fair value is based on the closing price of our common stock on the grant date. Our option-pricing model requires the input of subjective assumptions, including the fair value of the underlying common stock, the expected term of the option, the expected volatility of the price of our common stock, risk-free interest rates, and the expected dividend yield of our common stock. The assumptions used in our option-pricing model represent management’s best estimates. These estimates involve inherent uncertainties and the application of management’s judgment. If factors change and different assumptions are used, our stock-based compensation expense could be materially different in the future. The following table presents the weighted-average assumptions used to estimate the grant date fair value of options granted during the periods presented: Three Months Ended July 31, Six Months Ended July 31, 2018 (1) 2017 2018 2017 Volatility —% 43% 41% 43% – 44% Expected term (in years) — 6.35 6.35 6.35 Risk-free interest rate —% 1.89% 2.73% 1.89% – 2.17% Dividend yield —% —% —% —% (1) For the three and six months ended July 31, 2018 and 2017, we capitalized an immaterial amount of stock-based compensation as part of our internal-use software capitalization. |
Net Income per Share Attributab
Net Income per Share Attributable to Common Stockholders | 6 Months Ended |
Jul. 31, 2018 | |
Earnings Per Share [Abstract] | |
Net Income per Share Attributable to Common Stockholders | Note 11. Net Income per Share Attributable to Common Stockholders We compute net income per share of our Class A and Class B common stock using the two-class method required for participating securities. We consider unvested shares issued upon the early exercise of options to be participating securities as the holders of these shares have a non-forfeitable right to dividends in the event of our declaration of a dividend for common shares. Under the two-class method, net income attributable to common stockholders is determined by allocating undistributed earnings, calculated as net income, less earnings attributable to participating securities. The net income per share attributable to common stockholders is allocated based on the contractual participation rights of the Class A common stock and Class B common stock as if the income for the year has been distributed. As the liquidation and dividend rights are identical, the net loss attributable to common stockholders is allocated on a proportionate basis. Basic net income per share of common stock is computed by dividing the net income attributable to common stockholders by the weighted-average number of shares of common stock outstanding during the period. All participating securities are excluded from the basic weighted-average shares of common stock outstanding. Unvested shares of common stock resulting from the early exercises of stock options are excluded from the calculation of the weighted-average shares of common stock until they vest as they are subject to repurchase until they are vested. The unvested shares of common stock resulting from early exercises of stock options accounted for all of our participating securities. Diluted net income per share attributable to common stockholders is computed by dividing net income attributable to common stockholders by the weighted-average shares outstanding, including potentially dilutive shares of common equivalents outstanding during the period. The dilutive effect of potential shares of common stock are determined using the treasury stock method. Undistributed net income for a given period is apportioned to participating securities based on the weighted-average shares of each class of common stock outstanding during the applicable period as a percentage of the total weighted-average shares outstanding during the same period. For purposes of the diluted net income per share attributable to common stockholders calculation, unvested shares of common stock resulting from the early exercises of stock options and unvested options to purchase common stock are considered to be potentially dilutive shares of common stock. In addition, the computation of the fully diluted net income per share of Class A common stock assumes the conversion from Class B common stock, while the fully diluted net income per share of Class B common stock does not assume the conversion of those shares. The numerators and denominators of the basic and diluted EPS computations for our common stock are calculated as follows (in thousands, except per share data): Three Months Ended July 31, Six Months Ended July 31, 2018 2017 2018 2017 *As adjusted *As adjusted Class A Class B Class A Class B Class A Class B Class A Class B Basic Numerator Net income $ 42,326 $ 7,960 $ 30,820 $ 7,782 $ 79,137 $ 15,459 $ 59,243 $ 16,355 Undistributed earnings allocated to participating securities — — — — — — — — Net income attributable to common stockholders, basic $ 42,326 $ 7,960 $ 30,820 $ 7,782 $ 79,137 $ 15,459 $ 59,243 $ 16,355 Denominator Weighted average shares used in computing net income per share attributable to common stockholders, basic 120,994 22,754 111,786 28,224 119,857 23,414 109,204 30,147 Net income per share attributable to common stockholders, basic $ 0.35 $ 0.35 $ 0.28 $ 0.28 $ 0.66 $ 0.66 $ 0.54 $ 0.54 Diluted Numerator Net income attributable to common stockholders, basic $ 42,326 $ 7,960 $ 30,820 $ 7,782 $ 79,137 $ 15,459 $ 59,243 $ 16,355 Reallocation as a result of conversion of Class B to Class A common stock: Net income attributable to common stockholders, basic 7,960 — 7,782 — 15,459 — 16,355 — Reallocation of net income to Class B common stock — 3,177 — 2,759 — 6,096 — 5,391 Net income attributable to common stockholders, diluted $ 50,286 $ 11,137 $ 38,602 $ 10,541 $ 94,596 $ 21,555 $ 75,598 $ 21,746 Denominator Number of shares used for basic EPS computation 120,994 22,754 111,786 28,224 119,857 23,414 109,204 30,147 Conversion of Class B to Class A common stock 22,754 — 28,224 — 23,414 — 30,147 — Effect of potentially dilutive common shares 11,668 11,668 13,768 13,768 11,956 11,956 13,950 13,950 Weighted average shares used in computing net income per share attributable to common stockholders, diluted 155,416 34,422 153,778 41,992 155,227 35,370 153,301 44,097 Net income per share attributable to common stockholders, diluted $ 0.32 $ 0.32 $ 0.25 $ 0.25 $ 0.61 $ 0.61 $ 0.49 $ 0.49 * See note 1 of the notes to the condensed consolidated financial statements for a summary of adjustments. Potential common share equivalents excluded where the inclusion would be anti-dilutive are as follows: Three Months Ended July 31, Six Months Ended July 31, 2018 2017 2018 2017 Options and awards to purchase shares not included in the computation of diluted net income per share because their inclusion would be anti-dilutive 3,157,436 337,503 3,123,695 558,126 |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jul. 31, 2018 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 12. Commitments and Contingencies Litigation IQVIA Litigation Matter. On January 10, 2017, IQVIA Inc. (formerly Quintiles IMS Incorporated) and IMS Software Services, Ltd. (collectively, “IQVIA”) filed a complaint against us in the U.S. District Court for the District of New Jersey ( IQVIA Inc. v. Veeva Systems Inc. (No. 2:17-cv-00177)). In the complaint, IQVIA alleges that we have used unauthorized access to proprietary IQVIA data to improve our software and data products, and that our software is designed to steal IQVIA trade secrets. IQVIA further alleges that we have intentionally gained unauthorized access to IQVIA proprietary information to gain an unfair advantage in marketing our products and that we have made false statements concerning IQVIA’s conduct and our data security capabilities. IQVIA asserts claims under both federal and state misappropriation of trade secret laws, federal false advertising law, and common law claims for unjust enrichment, tortious interference, and unfair trade practices. The complaint seeks declaratory and injunctive relief and unspecified monetary damages. There are no dispositive motions pending with respect to IQVIA’s claims against Veeva. On March 13, 2017, we filed our answer and counterclaims in the IQVIA action. Our counterclaims allege that IQVIA has abused monopoly power as the dominant provider of data products for life sciences companies to exclude Veeva OpenData and Veeva Network from their respective markets. The counterclaims allege that IQVIA has engaged in various tactics to prevent customers from using our applications and has deliberately raised costs and difficulty for customers attempting to switch from IQVIA to our data products. The counterclaims assert federal and state antitrust claims, as well as claims under California’s Unfair Practices Act and common law claims for intentional interference with contractual relations and intentional interference with prospective economic advantage. The counterclaims seek injunctive relief, monetary damages exceeding $200 million, and attorneys’ fees. On May 3, 2017, in lieu of filing an answer, IQVIA filed a motion to dismiss our counterclaims. The court has not yet ruled on that motion. Discovery in the IQVIA litigation is currently in process and no trial date has been set. While it is not possible at this time to predict with any degree of certainty the ultimate outcome of this action, and we are unable to make a meaningful estimate of the amount or range of loss, if any, that could result from any unfavorable outcome, we believe that IQVIA’s claims lack merit. Medidata Litigation Matter. On January 26, 2017, Medidata Solutions, Inc. filed a complaint in the U.S. District Court for the Southern District of New York ( Medidata Solutions, Inc. v. Veeva Systems Inc. et al. Veeva filed a motion to compel the entire matter to arbitration, which the district court denied, and we have appealed the district court’s order to the U.S. Court of Appeals for the Second Circuit Discovery in the Medidata litigation is currently in process and no trial date has been set. While it is not possible at this time to predict with any degree of certainty the ultimate outcome of this action, and we are unable to make a meaningful estimate of the amount or range of loss, if any, that could result from any unfavorable outcome, we believe that Medidata’s claims lack merit. Other Litigation Matters From time to time, we may be involved in other legal proceedings and subject to claims incident to the ordinary course of business. Although the results of such legal proceedings and claims cannot be predicted with certainty, we believe we are not currently a party to any other legal proceedings, the outcome of which, if determined adversely to us, would individually or taken together have a material adverse effect on our business, operating results, cash flows or financial position. Regardless of the outcome, such proceedings can have an adverse impact on us because of defense and settlement costs, diversion of resources and other factors, and there can be no assurances that favorable outcomes will be obtained. Liabilities for loss contingencies arising from claims, assessments, litigation, fines and penalties and other sources are recorded when it is probable that a liability has been incurred and the amount of the assessment or remediation can be reasonably estimated. Legal costs incurred in connection with loss contingencies are expensed as incurred. Value-Added Reseller Agreement We have a value-added reseller agreement with salesforce.com, inc. for our use of the Salesforce1 Platform in combination with our developed technology to deliver certain of our multichannel CRM applications, including hosting infrastructure and data center operations provided by salesforce.com. The agreement, as amended, requires that we meet minimum order commitments of $500 million over the term of the agreement, which ends on September 1, 2025, including “true-up” payments if the orders we place with salesforce.com have not equaled or exceeded the following aggregate amounts within the timeframes indicated: (i) $250 million for the period from March 1, 2014 to September 1, 2020 and (ii) the full amount of $500 million by September 1, 2025. As of July 31, 2018, we remained obligated to pay fees of at least $251.6 million prior to September 1, 2025 in connection with this agreement. |
Revenues by Product
Revenues by Product | 6 Months Ended |
Jul. 31, 2018 | |
Revenue From Contract With Customer [Abstract] | |
Revenues by Product | Note 13. Revenues by Product Our industry cloud solutions are grouped into two key product areas—Veeva Commercial Cloud and Veeva Vault. Veeva Commercial Cloud is a suite of multichannel CRM applications, territory allocation and alignment applications, master data management applications, and customer reference and key opinion leader data and services. Veeva Vault is a unified suite of cloud-based, enterprise content and data management applications. Total revenues consist of the following (in thousands): Three Months Ended July 31, Six Months Ended July 31, 2018 2017 2018 2017 *As adjusted *As adjusted Subscription services Veeva Commercial Cloud $ 97,927 $ 87,420 $ 191,038 $ 172,378 Veeva Vault (1) 71,665 48,130 134,557 92,303 Total subscription services $ 169,592 $ 135,550 $ 325,595 $ 264,681 Professional services Veeva Commercial Cloud $ 14,770 $ 15,471 $ 30,931 $ 31,439 Veeva Vault (1) 25,247 16,774 48,630 31,447 Total professional services $ 40,017 $ 32,245 $ 79,561 $ 62,886 Total revenues $ 209,609 $ 167,795 $ 405,156 $ 327,567 (1) Veeva Vault revenues includes revenue from legacy Zinc Ahead products. * See note 1 of the notes to the condensed consolidated financial statements for a summary of adjustments. |
Information about Geographic Ar
Information about Geographic Areas and Products | 6 Months Ended |
Jul. 31, 2018 | |
Segment Reporting [Abstract] | |
Information about Geographic Areas and Products | Note 14. Information about Geographic Areas We track and allocate revenues by the principal geographic area of our customers’ end users rather than by individual country, which makes it impractical to disclose revenues for the United States or other specific foreign countries. Total revenues by geographic area, which is primarily measured by the estimated location of the end users for subscription services revenues and the estimated location of the resources performing the services for professional services, were as follows for the periods shown below (in thousands): Three Months Ended July 31, Six Months Ended July 31, 2018 2017 2018 2017 *As adjusted *As adjusted Revenues by geography North America $ 117,158 $ 91,008 $ 226,435 $ 177,909 Europe and other 62,087 50,996 119,069 99,394 Asia Pacific 30,364 25,791 59,652 50,264 Total revenues $ 209,609 $ 167,795 $ 405,156 $ 327,567 * See note 1 of the notes to the condensed consolidated financial statements for a summary of adjustments. Long-lived assets by geographic area are as follows as of the periods shown below (in thousands): July 31, January 31, 2018 2018 Long-lived assets by geography North America $ 47,996 $ 49,214 Europe and other 1,645 1,840 Asia Pacific 1,064 1,230 Total long-lived assets $ 50,705 $ 52,284 |
Summary of Business and Signi21
Summary of Business and Significant Accounting Policies (Policies) | 6 Months Ended |
Jul. 31, 2018 | |
Accounting Policies [Abstract] | |
Description of Business | Description of Business Veeva is a leading provider of industry cloud solutions for the global life sciences industry. We were founded in 2007 on the premise that industry-specific cloud solutions could best address the operating challenges and regulatory requirements of life sciences companies. Our products are designed to meet the unique needs of our customers and their most strategic business functions—from research and development (R&D) to commercialization. Our products address a broad range of needs—including multichannel customer relationship management (CRM), content management, master data management, and data regarding healthcare professionals and organizations. Veeva is also offering its regulated content management solutions to a new set of customers in process and discrete manufacturing, consumer packaged goods, and highly regulated services industries. Our fiscal year end is January 31. |
Principles of Consolidation and Basis of Presentation | Principles of Consolidation and Basis of Presentation These 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 and include the accounts of our wholly-owned subsidiaries after elimination of intercompany accounts and transactions. 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 condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes included in Veeva’s Annual Report on Form 10-K for the fiscal year ended January 31, 2018, filed on March 29, 2018. Except for the accounting policies for revenue recognition, unbilled accounts receivable, and deferred costs that were updated as a result of adopting ASU 2014-09, “ Revenue from Contracts with Customers The condensed consolidated balance sheet as of January 31, 2018 included herein was derived from the audited financial statements as of that date. These unaudited condensed consolidated financial statements reflect all normal recurring adjustments necessary to present fairly the financial position, results of operations, our comprehensive income and cash flows for the interim periods, but are not necessarily indicative of the results of operations to be anticipated for the full fiscal year ending January 31, 2019 or any other period. Effective February 1, 2018, we adopted the requirements of Topic 606, ASU 2016-18, “ Statement of Cash Flows, Restricted Cash ,” and ASU 2018-02, “ Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income ,” as discussed in this note. All amounts and disclosures set forth in this Form 10-Q for previously reported periods have also been updated to comply with the new standards, as indicated by the “as adjusted” tables in this footnote. |
Use of Estimates | Use of Estimates The preparation of condensed consolidated financial statements in conformity with GAAP requires us to make estimates, judgments and assumptions that affect the condensed consolidated financial statements and the notes thereto. These estimates are based on information available as of the date of the condensed consolidated financial statements. On a regular basis, management evaluates these estimates and assumptions. Significant items subject to such estimates and assumptions include, but are not limited to: • the standalone selling price for each distinct performance obligation included in customer contracts with multiple performance obligations; • the period of benefit for deferred costs; • the collectibility of our accounts receivable; • the fair value of assets acquired and liabilities assumed for business combinations; • the valuation of short-term investments and the determination of other-than-temporary impairments; • the realizability of deferred income tax assets and liabilities; • the fair value of our stock-based awards; and • the capitalization and estimated useful life of internal-use software development costs. As future events cannot be determined with precision, actual results could differ significantly from those estimates. |
Revenue Recognition | Revenue Recognition We derive our revenues primarily from subscription services and professional services. Subscription services revenues consist of fees from customers accessing our cloud-based software solutions and subscription or license fees for our data solutions. Professional services and other revenues consist primarily of fees from implementation services, configuration, data services, training and managed services related to our solutions. Revenues are recognized when control of these services is transferred to our customers, in an amount that reflects the consideration we expect to be entitled to in exchange for those services. We determine revenue recognition through the following steps: • Identification of the contract, or contracts, with a customer; • Identification of the performance obligations in the contract; • Determination of the transaction price; • Allocation of the transaction price to the performance obligations in the contract; and • Recognition of revenue when, or as, we satisfy a performance obligation. Our subscription services agreements are generally non-cancelable during the term, although customers typically have the right to terminate their agreements for cause in the event of material breach. Subscription Services Revenues Subscription services revenues are recognized ratably over the respective non-cancelable subscription term because of the continuous transfer of control to the customer. Our subscription arrangements are considered service contracts, and the customer does not have the right to take possession of the software. Professional Services and Other Revenues The majority of our professional services arrangements are recognized on a time and materials basis. Professional services revenues recognized on a time and materials basis are measured monthly based on time incurred and contractually agreed upon rates. Certain professional services revenues are based on fixed fee arrangements and revenues are recognized as services are rendered. Data services and training revenues are generally recognized as the services are performed. Contracts with Multiple Performance Obligations Some of our contracts with customers contain multiple performance obligations. For these contracts, we account for individual performance obligations separately when they are distinct. The transaction price is allocated to the separate performance obligations on a relative standalone selling price basis. We determine the standalone selling prices based on our overall pricing objectives, taking into consideration market conditions and other factors, including other groupings such as customer type and geography. Unbilled Accounts Receivable Unbilled accounts receivable is a contract asset related to the delivery of our subscription services and professional services for which the related billings will occur in a future period. Unbilled accounts receivable consists of (i) revenue recognized for professional services performed but not yet billed and (ii) revenue recognized from non-cancelable, multi-year orders in which fees increase annually but for which we are not contractually able to invoice until a future period. |
Deferred Costs | Deferred Costs Deferred costs include sales commissions associated with obtaining a contract with a customer. These costs are deferred and then amortized over a period of benefit that we have determined to be three years. We determined the period of benefit by taking into consideration our customer contracts, our technology and other factors. Amortization expense is included in sales and marketing expenses in the accompanying condensed consolidated statements of operations. |
Deferred Revenue | Deferred Revenue Deferred revenue includes amounts billed to customers for which the revenue recognition criteria have not been met. Deferred revenue primarily consists of billings or payments received in advance of revenue recognition from our subscription services and, to a lesser extent, professional services and other revenues described above. Deferred revenue is recognized as we satisfy our performance obligations. We generally invoice our customers in annual or quarterly installments for subscription services. Accordingly, the deferred revenue balance does not generally represent the total contract value of a subscription arrangement. 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 noncurrent, which is included in other long-term liabilities on the condensed consolidated balance sheet. |
Certain Risks and Concentrations of Credit Risk | Certain Risks and Concentrations of Credit Risk Our revenues are derived from subscription services, professional services and other services delivered primarily to the life sciences industry. We operate in markets that are highly competitive and rapidly changing. Significant technological changes, shifting customer needs, the emergence of competitive products or services with new capabilities and other factors could negatively impact our operating results. Our financial instruments that potentially subject us to concentration of credit risk consist primarily of cash and cash equivalents, short-term investments and trade accounts receivable. Our cash equivalents and short-term investments are held by established financial institutions. We have established guidelines relative to credit ratings, diversification and maturities that seek to maintain safety and liquidity. Deposits in these financial institutions may significantly exceed federally insured limits. We do not require collateral from our customers and generally require payment within 30 to 60 days of billing. We periodically evaluate the collectibility of our accounts receivable and provide an allowance for doubtful accounts as necessary, based on historical experience. Historically, losses related to lack of collectibility have not been material. The following customers individually exceeded 10% of total accounts receivable as of the dates shown: July 31, January 31, 2018 2018 Customer 1 * 18% Customer 2 * 13% * Does not exceed 10%. No single customer represented over 10% of total revenues in the condensed consolidated statements of comprehensive income for the three and six months ended July 31, 2018 and 2017. |
New Accounting Pronouncements Adopted in Fiscal 2019 | New Accounting Pronouncements Adopted in Fiscal 2019 Income Taxes In March 2018, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2018-05, “ Income Taxes (Topic 740): Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin No. 118 Stranded Tax Effects in Accumulated Other Comprehensive Income In February 2018, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2018-02, " Income Statement-Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income ASU 2018-02 is effective for fiscal years beginning after December 15, 2018, including interim periods within those years. We early adopted this standard effective February 1, 2018. The impact on our condensed consolidated financial statements was immaterial. Restricted Cash In November 2016, the FASB issued ASU 2016-18, “ Statement of Cash, Restricted Cash Financial Instruments In January 2016, the FASB issued ASU 2016-01, “Financial Instruments ASU 2016-01, among other things, requires equity investments, with certain exceptions, to be measured at fair value with changes in fair value recognized in net income and clarifies that an entity should evaluate the need for a valuation allowance on a deferred tax asset related to available-for-sale securities in combination with the entity’s other deferred tax assets. Revenue Recognition In May 2014, the FASB issued Topic 606. This guidance outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most current revenue recognition guidance, including industry-specific guidance. The core principle of the revenue model requires revenue to be recognized when promised goods or services are transferred to customers in an amount that reflects the consideration that is expected to be received for those goods or services. Topic 606 supersedes the existing revenue recognition guidance in “Revenue Recognition (Topic 605)”. We have adopted the requirements of the new standard as of February 1, 2018, utilizing the full retrospective transition method. Adoption of the new standard resulted in changes to our accounting policies for revenue recognition, unbilled accounts receivable, and deferred costs as detailed above in our description of Revenue Recognition. We applied a practical expedient provided by the new standard and are not disclosing the amount of consideration allocated to the remaining performance obligations for all reporting periods presented before the date of the initial application. The impact of adoption included the deferral of costs to obtain customer contracts, which is comprised of commissions on our subscription services arrangements. Revenue for the majority of our subscription services customer contracts will continue to be recognized over time because of the continuous transfer of control to the customer; however, there is some impact to revenue primarily driven by (i) accounting for non-cancelable multi-year contracts, (ii) the removal of the current limitation on contingent revenue, which may result in revenue being recognized earlier for certain contracts, and (iii) allocation of revenue from subscription services to professional services. We adjusted our condensed consolidated financial statements from amounts previously reported to reflect the adoption of Topic 606, ASU 2016-18, or ASU 2018-02. Select impacted condensed consolidated balance sheet line items, which reflect the adoption of the new standards are as follows (in thousands): January 31, 2018 As Reported Adjustments As adjusted Assets Accounts receivable (1) $ 233,731 (9,063 ) a $ 224,668 Unbilled accounts receivable (1) — 13,348 a 13,348 Deferred costs, net — 30,306 a 30,306 Deferred income taxes, non-current 3,490 (1,268 ) a 2,222 Liabilities Deferred revenue $ 275,446 $ (8,507 ) a $ 266,939 Deferred income taxes, non-current 3,828 7,121 a 10,949 Stockholders’ equity: Accumulated other comprehensive income $ 1,404 $ 196 b $ 1,600 Retained earnings 354,850 34,515 a, b 389,365 (1) Unbilled accounts receivable was previously included in Accounts receivable before the adoption of Topic 606. a Adjusted to reflect the adoption of ASU 2014-09, “ ” b Adjusted to reflect the adoption of ASU 2018-02, “ Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income .” Select unaudited condensed consolidated statement of comprehensive income line items, which reflect the adoption of the new standards are as follows (in thousands): Three months ended July 31, 2017 As Reported Adjustments As adjusted Revenues: Subscription services $ 134,340 $ 1,210 a $ 135,550 Operating expenses: Sales and marketing 32,017 53 a 32,070 Operating income 36,898 1,169 a 38,067 Provision for income taxes 1,912 411 a 2,323 Net income $ 37,844 $ 758 a $ 38,602 Net income per share attributable to Class A and Class B common stockholders: Basic $ 0.27 $ 0.01 a $ 0.28 Diluted $ 0.25 $ — a $ 0.25 Six months ended July 31, 2017 As Reported Adjustments As adjusted Revenues: Subscription services $ 261,617 $ 3,064 a $ 264,681 Operating expenses: Sales and marketing 61,827 384 a 62,211 Operating income 74,237 2,693 a 76,930 Provision for income taxes 3,819 962 a 4,781 Net income $ 73,867 $ 1,731 a $ 75,598 Net income per share attributable to Class A and Class B common stockholders: Basic $ 0.53 $ 0.01 a $ 0.54 Diluted $ 0.48 $ 0.01 a $ 0.49 a Adjusted to reflect the adoption of ASU 2014-09, “ ” Select unaudited condensed consolidated statement of cash flows line items, which reflect the adoption of the new standards are as follows (in thousands): Three months ended July 31, 2017 As Reported Adjustments As adjusted Cash flows from operating activities Net income $ 37,844 $ 758 a $ 38,602 Adjustments to reconcile net income to net cash provided by operating activities: Amortization of deferred costs — 4,087 a 4,087 Changes in operating assets and liabilities: Accounts receivable 16,169 176 a 16,345 Unbilled accounts receivable — 7,453 a 7,453 Deferred costs — (4,046 ) a (4,046 ) Deferred revenue (15,410 ) (8,840 ) a (24,250 ) Net cash provided by operating activities 57,607 (1 ) a 57,606 Change in restricted cash and deposits (201 ) 201 b — Net cash (used in) provided by investing activities (20,499 ) 201 b (20,298 ) Net change in cash, cash equivalents and restricted cash 43,566 200 b 43,766 Cash, cash equivalents and restricted cash at the beginning of period 365,660 1,002 b 366,662 Cash, cash equivalents and restricted cash at the end of period $ 409,226 $ 1,202 b $ 410,428 Six months ended July 31, 2017 As Reported Adjustments As adjusted Cash flows from operating activities Net income $ 73,867 $ 1,731 a $ 75,598 Adjustments to reconcile net income to net cash provided by operating activities: Amortization of deferred costs — 8,135 a 8,135 Changes in operating assets and liabilities: Accounts receivable 85,869 1,280 a 87,149 Unbilled accounts receivable — (479 ) a (479 ) Deferred costs — (7,763 ) a (7,763 ) Deferred revenue 9,027 (3,866 ) a 5,161 Net cash provided by operating activities 199,768 (1 ) a 199,767 Change in restricted cash and deposits (202 ) 202 b — Net cash (used in) provided by investing activities (22,804 ) 202 b (22,602 ) Net change in cash, cash equivalents and restricted cash 191,620 201 b 191,821 Cash, cash equivalents and restricted cash at the beginning of period 217,606 1,001 b 218,607 Cash, cash equivalents and restricted cash at the end of period $ 409,226 $ 1,202 b $ 410,428 a Adjusted to reflect the adoption of ASU 2014-09, “ ” b Adjusted to reflect the adoption of ASU 2016-18, “ Statement of Cash Flows, Restricted Cash .” Future periods may or may not have the same impact as those set forth above. |
Net Income per Share Attributable to Common Stockholders | We compute net income per share of our Class A and Class B common stock using the two-class method required for participating securities. We consider unvested shares issued upon the early exercise of options to be participating securities as the holders of these shares have a non-forfeitable right to dividends in the event of our declaration of a dividend for common shares. Under the two-class method, net income attributable to common stockholders is determined by allocating undistributed earnings, calculated as net income, less earnings attributable to participating securities. The net income per share attributable to common stockholders is allocated based on the contractual participation rights of the Class A common stock and Class B common stock as if the income for the year has been distributed. As the liquidation and dividend rights are identical, the net loss attributable to common stockholders is allocated on a proportionate basis. Basic net income per share of common stock is computed by dividing the net income attributable to common stockholders by the weighted-average number of shares of common stock outstanding during the period. All participating securities are excluded from the basic weighted-average shares of common stock outstanding. Unvested shares of common stock resulting from the early exercises of stock options are excluded from the calculation of the weighted-average shares of common stock until they vest as they are subject to repurchase until they are vested. The unvested shares of common stock resulting from early exercises of stock options accounted for all of our participating securities. Diluted net income per share attributable to common stockholders is computed by dividing net income attributable to common stockholders by the weighted-average shares outstanding, including potentially dilutive shares of common equivalents outstanding during the period. The dilutive effect of potential shares of common stock are determined using the treasury stock method. Undistributed net income for a given period is apportioned to participating securities based on the weighted-average shares of each class of common stock outstanding during the applicable period as a percentage of the total weighted-average shares outstanding during the same period. For purposes of the diluted net income per share attributable to common stockholders calculation, unvested shares of common stock resulting from the early exercises of stock options and unvested options to purchase common stock are considered to be potentially dilutive shares of common stock. In addition, the computation of the fully diluted net income per share of Class A common stock assumes the conversion from Class B common stock, while the fully diluted net income per share of Class B common stock does not assume the conversion of those shares. |
Summary of Business and Signi22
Summary of Business and Significant Accounting Policies (Tables) | 6 Months Ended |
Jul. 31, 2018 | |
Schedule of Certain Risks and Concentrations of Credit Risk | The following customers individually exceeded 10% of total accounts receivable as of the dates shown: July 31, January 31, 2018 2018 Customer 1 * 18% Customer 2 * 13% * Does not exceed 10%. |
Topic 606 [Member] | |
Schedule of Condensed Consolidated Balance Sheet | Select impacted condensed consolidated balance sheet line items, which reflect the adoption of the new standards are as follows (in thousands): January 31, 2018 As Reported Adjustments As adjusted Assets Accounts receivable (1) $ 233,731 (9,063 ) a $ 224,668 Unbilled accounts receivable (1) — 13,348 a 13,348 Deferred costs, net — 30,306 a 30,306 Deferred income taxes, non-current 3,490 (1,268 ) a 2,222 Liabilities Deferred revenue $ 275,446 $ (8,507 ) a $ 266,939 Deferred income taxes, non-current 3,828 7,121 a 10,949 Stockholders’ equity: Accumulated other comprehensive income $ 1,404 $ 196 b $ 1,600 Retained earnings 354,850 34,515 a, b 389,365 (1) Unbilled accounts receivable was previously included in Accounts receivable before the adoption of Topic 606. a Adjusted to reflect the adoption of ASU 2014-09, “ ” b Adjusted to reflect the adoption of ASU 2018-02, “ Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income .” |
Schedule of Unaudited Consolidated Statements of Comprehensive Income | Select unaudited condensed consolidated statement of comprehensive income line items, which reflect the adoption of the new standards are as follows (in thousands): Three months ended July 31, 2017 As Reported Adjustments As adjusted Revenues: Subscription services $ 134,340 $ 1,210 a $ 135,550 Operating expenses: Sales and marketing 32,017 53 a 32,070 Operating income 36,898 1,169 a 38,067 Provision for income taxes 1,912 411 a 2,323 Net income $ 37,844 $ 758 a $ 38,602 Net income per share attributable to Class A and Class B common stockholders: Basic $ 0.27 $ 0.01 a $ 0.28 Diluted $ 0.25 $ — a $ 0.25 Six months ended July 31, 2017 As Reported Adjustments As adjusted Revenues: Subscription services $ 261,617 $ 3,064 a $ 264,681 Operating expenses: Sales and marketing 61,827 384 a 62,211 Operating income 74,237 2,693 a 76,930 Provision for income taxes 3,819 962 a 4,781 Net income $ 73,867 $ 1,731 a $ 75,598 Net income per share attributable to Class A and Class B common stockholders: Basic $ 0.53 $ 0.01 a $ 0.54 Diluted $ 0.48 $ 0.01 a $ 0.49 a Adjusted to reflect the adoption of ASU 2014-09, “ ” |
Schedule of Unaudited Condensed Consolidated Statement of Cash Flows | Select unaudited condensed consolidated statement of cash flows line items, which reflect the adoption of the new standards are as follows (in thousands): Three months ended July 31, 2017 As Reported Adjustments As adjusted Cash flows from operating activities Net income $ 37,844 $ 758 a $ 38,602 Adjustments to reconcile net income to net cash provided by operating activities: Amortization of deferred costs — 4,087 a 4,087 Changes in operating assets and liabilities: Accounts receivable 16,169 176 a 16,345 Unbilled accounts receivable — 7,453 a 7,453 Deferred costs — (4,046 ) a (4,046 ) Deferred revenue (15,410 ) (8,840 ) a (24,250 ) Net cash provided by operating activities 57,607 (1 ) a 57,606 Change in restricted cash and deposits (201 ) 201 b — Net cash (used in) provided by investing activities (20,499 ) 201 b (20,298 ) Net change in cash, cash equivalents and restricted cash 43,566 200 b 43,766 Cash, cash equivalents and restricted cash at the beginning of period 365,660 1,002 b 366,662 Cash, cash equivalents and restricted cash at the end of period $ 409,226 $ 1,202 b $ 410,428 Six months ended July 31, 2017 As Reported Adjustments As adjusted Cash flows from operating activities Net income $ 73,867 $ 1,731 a $ 75,598 Adjustments to reconcile net income to net cash provided by operating activities: Amortization of deferred costs — 8,135 a 8,135 Changes in operating assets and liabilities: Accounts receivable 85,869 1,280 a 87,149 Unbilled accounts receivable — (479 ) a (479 ) Deferred costs — (7,763 ) a (7,763 ) Deferred revenue 9,027 (3,866 ) a 5,161 Net cash provided by operating activities 199,768 (1 ) a 199,767 Change in restricted cash and deposits (202 ) 202 b — Net cash (used in) provided by investing activities (22,804 ) 202 b (22,602 ) Net change in cash, cash equivalents and restricted cash 191,620 201 b 191,821 Cash, cash equivalents and restricted cash at the beginning of period 217,606 1,001 b 218,607 Cash, cash equivalents and restricted cash at the end of period $ 409,226 $ 1,202 b $ 410,428 a Adjusted to reflect the adoption of ASU 2014-09, “ ” b Adjusted to reflect the adoption of ASU 2016-18, “ Statement of Cash Flows, Restricted Cash .” |
Short-Term Investments (Tables)
Short-Term Investments (Tables) | 6 Months Ended |
Jul. 31, 2018 | |
Investments Debt And Equity Securities [Abstract] | |
Schedule of Short-Term Investments | At July 31, 2018, short-term investments consisted of the following (in thousands): Gross Gross Estimated Amortized unrealized unrealized fair cost gains losses value Available-for-sale securities: Certificates of deposits $ 11,036 $ 7 $ — $ 11,043 Asset-backed securities 86,498 2 (555 ) 85,945 Commercial paper 13,596 2 (1 ) 13,597 Corporate notes and bonds 152,185 56 (718 ) 151,523 Foreign government bonds 2,999 — (21 ) 2,978 Mortgage backed securities 13,366 — (81 ) 13,285 U.S. agency obligations 57,657 2 (25 ) 57,634 U.S. treasury securities 162,888 1 (204 ) 162,685 Total available-for-sale securities $ 500,225 $ 70 $ (1,605 ) $ 498,690 At January 31, 2018, short-term investments consisted of the following (in thousands): Gross Gross Estimated Amortized unrealized unrealized fair cost gains losses value Available-for-sale securities: Asset-backed securities $ 67,875 $ — $ (424 ) $ 67,451 Commercial paper 19,926 — (12 ) 19,914 Corporate notes and bonds 160,499 1 (759 ) 159,741 Foreign government bonds 1,504 — (18 ) 1,486 Mortgage backed securities 11,555 — (75 ) 11,480 U.S. agency obligations 71,206 1 (76 ) 71,131 U.S. treasury securities 110,707 5 (136 ) 110,576 Total available-for-sale securities $ 443,272 $ 7 $ (1,500 ) $ 441,779 |
Summary of Estimated Fair Value of Short-Term Investments, Designated as Available-for-Sale and Classified by Contractual Maturity | The following table summarizes the estimated fair value of our short-term investments, designated as available-for-sale and classified by the contractual maturity date of the securities as of the dates shown (in thousands): July 31, January 31, 2018 2018 Due in one year or less $ 331,500 $ 308,172 Due in greater than one year 167,190 133,607 Total $ 498,690 $ 441,779 |
Schedule of Fair Values and Gross Unrealized Losses of Available-for-Sale Securities Aggregated by Investment Category | The following table shows the fair values and the gross unrealized losses of these available-for-sale securities aggregated by investment category as of July 31, 2018 (in thousands): Gross Fair unrealized value losses Asset-backed securities $ 82,019 $ (555 ) Commercial paper 3,892 (1 ) Corporate notes and bonds 108,287 (718 ) Foreign government bonds 2,979 (21 ) Mortgage backed securities 13,285 (81 ) U.S. agency obligations 49,893 (25 ) U.S. treasury securities 153,505 (204 ) The following table shows the fair values and the gross unrealized losses of these available-for-sale securities aggregated by investment category as of January 31, 2018 (in thousands): Gross Fair unrealized value losses Asset-backed securities $ 65,690 $ (424 ) Commercial paper 19,914 (12 ) Corporate notes and bonds 155,419 (759 ) Foreign government bonds 1,485 (18 ) Mortgage backed securities 11,481 (75 ) U.S. agency obligations 66,655 (76 ) U.S. treasury securities 82,147 (136 ) |
Property and Equipment, Net (Ta
Property and Equipment, Net (Tables) | 6 Months Ended |
Jul. 31, 2018 | |
Property Plant And Equipment [Abstract] | |
Components of Property and Equipment, Net | Property and equipment, net consists of the following as of the dates shown (in thousands): July 31, January 31, 2018 2018 Land $ 3,040 $ 3,040 Building 20,984 20,984 Land improvements and building improvements 20,172 20,073 Equipment and computers 7,837 7,732 Furniture and fixtures 9,495 9,619 Leasehold improvements 3,613 3,637 Construction in progress 270 36 65,411 65,121 Less accumulated depreciation (14,706 ) (12,837 ) Total property and equipment, net $ 50,705 $ 52,284 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 6 Months Ended |
Jul. 31, 2018 | |
Intangible Assets Net Excluding Goodwill [Abstract] | |
Details of Intangible Assets | The following schedule presents the details of intangible assets as of July 31, 2018 (dollar amounts in thousands): July 31, 2018 Gross Remaining carrying Accumulated useful life amount amortization Net (in years) Existing technology $ 3,880 $ (3,813 ) $ 67 1.7 Database 4,939 (4,340 ) 599 1.7 Customer contracts and relationships 33,643 (10,560 ) 23,083 7.1 Software 10,867 (6,979 ) 3,888 1.7 Brand 1,141 (924 ) 217 0.7 $ 54,470 $ (26,616 ) $ 27,854 The following schedule presents the details of intangible assets as of January 31, 2018 (dollar amounts in thousands): January 31, 2018 Gross Remaining carrying Accumulated useful life amount amortization Net (in years) Existing technology $ 3,880 $ (3,509 ) $ 371 0.8 Database 4,939 (4,091 ) 848 2.0 Customer contracts and relationships 33,643 (8,798 ) 24,845 7.5 Software 10,867 (5,820 ) 5,047 2.2 Brand 1,141 (762 ) 379 1.2 $ 54,470 $ (22,980 ) $ 31,490 |
Estimated Amortization Expense | The estimated amortization expense for intangible assets, for the next five years and thereafter is as follows as of July 31, 2018 (in thousands): Estimated amortization Period expense Fiscal 2019 $ 3,334 Fiscal 2020 6,062 Fiscal 2021 3,629 Fiscal 2022 3,182 Fiscal 2023 3,182 Thereafter 8,465 Total $ 27,854 |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 6 Months Ended |
Jul. 31, 2018 | |
Payables And Accruals [Abstract] | |
Schedule of Accrued Expenses | Accrued expenses consisted of the following as of the dates shown (in thousands): July 31, January 31, 2018 2018 Accrued commissions $ 1,357 $ 3,565 Accrued bonus 2,504 3,068 Deferred compensation associated with Zinc Ahead 464 467 Accrued vacation 3,571 2,608 Payroll tax payable 3,020 3,580 Accrued other compensation and benefits 3,197 3,766 Total accrued compensation and benefits $ 14,113 $ 17,054 Accrued fees payable to salesforce.com 4,990 4,929 Accrued third-party professional services subcontractors' fees 996 1,614 Taxes payable 2,435 3,009 Other accrued expenses 3,568 3,600 Total accrued expenses and other current liabilities $ 11,989 $ 13,152 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jul. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value Hierarchy for Financial Assets and Liabilities Measured at Fair Value on Recurring Basis | The following table presents the fair value hierarchy for financial assets measured at fair value on a recurring basis as of July 31, 2018 (in thousands): Level 1 Level 2 Level 3 Total Assets Cash equivalents: Money market funds $ 66,114 $ — $ — $ 66,114 Commercial paper — 4,485 — 4,485 Corporate notes and bonds — 3,034 — 3,034 U.S. agency obligations — 11,128 — 11,128 U.S. treasury securities — 29,967 — 29,967 Short-term investments: Certificates of deposits — 11,043 — 11,043 Asset-backed securities — 85,945 — 85,945 Commercial paper — 13,597 — 13,597 Corporate notes and bonds — 151,523 — 151,523 Foreign government bonds — 2,978 — 2,978 Mortgage backed securities — 13,285 — 13,285 U.S. agency obligations — 57,634 — 57,634 U.S. treasury securities — 162,685 — 162,685 Foreign currency derivative contracts — 59 — 59 Total $ 66,114 $ 547,363 $ — $ 613,477 Liabilities Foreign currency derivative contracts — 160 — 160 Total $ — $ 160 $ — $ 160 The following table presents the fair value hierarchy for financial assets measured at fair value on a recurring basis as of January 31, 2018 (in thousands): Level 1 Level 2 Level 3 Total Assets Cash equivalents: Money market funds $ 25,820 $ — $ — $ 25,820 Commercial paper — 1,999 — 1,999 Corporate notes and bonds — 2,080 — 2,080 U.S. treasury securities — 8,000 — 8,000 Short-term investments: Asset-backed securities — 67,451 — 67,451 Commercial paper — 19,914 — 19,914 Corporate notes and bonds — 159,741 — 159,741 Foreign government bonds — 1,486 — 1,486 Mortgage backed securities — 11,480 — 11,480 U.S. agency obligations — 71,131 — 71,131 U.S. treasury securities — 110,576 — 110,576 Foreign currency derivative contracts — 127 — 127 Total $ 25,820 $ 453,985 $ — $ 479,805 Liabilities Foreign currency derivative contracts — 391 — 391 Total $ — $ 391 $ — $ 391 |
Summary Fair Value of Outstanding Derivative Instruments | The fair value of our outstanding derivative instruments is summarized below (in thousands): July 31, January 31, 2018 2018 Notional amount of foreign currency derivative contracts $ 2,946 $ 36,266 Fair value of foreign currency derivative contracts 3,047 36,531 |
Summary of Outstanding Balance Sheet Hedges | Details on outstanding balance sheet hedges are presented below as of the date shown below (in thousands): July 31, January 31, 2018 2018 Derivative Assets Balance Sheet Location Derivatives not designated as hedging instruments: Foreign currency derivative contracts Prepaid expenses and other current assets $ 59 $ 127 Derivative Liabilities Derivatives not designated as hedging instruments: Foreign currency derivative contracts Accrued expenses $ 160 $ 391 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 6 Months Ended |
Jul. 31, 2018 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Summary of Stock Option Activity | A summary of stock option activity for the six months ended July 31, 2018 is as follows: Weighted Weighted average average remaining Aggregate Number exercise contractual intrinsic of shares price term (in years) value Options outstanding at January 31, 2018 16,024,146 $ 16.76 6.1 $ 738,648,507 Options granted 175,000 77.88 Options exercised (1,412,949 ) 10.17 Options forfeited/cancelled (202,268 ) 8.53 Options outstanding at July 31, 2018 14,583,929 $ 18.25 5.8 $ 837,197,633 Options vested and exercisable at July 31, 2018 6,444,160 $ 5.18 4.5 $ 453,984,350 Options vested and exercisable at July 31, 2018 and expected to vest thereafter 14,583,929 $ 18.25 5.8 $ 837,197,633 |
Summary of Restricted Stock Unit (RSU) Activity | A summary of restricted stock unit (RSU) activity for the six months ended July 31, 2018 is as follows: Unreleased restricted Weighted average grant stock units date fair value Balance at January 31, 2018 2,901,736 $ 38.14 RSUs granted 832,014 72.02 RSUs vested (662,087 ) 36.17 RSUs forfeited/cancelled (156,241 ) 43.95 Balance at July 31, 2018 2,915,422 $ 47.95 |
Schedule of Weighted-Average Assumptions Used to Estimate Grant Date Fair Value of Options Granted | The following table presents the weighted-average assumptions used to estimate the grant date fair value of options granted during the periods presented: Three Months Ended July 31, Six Months Ended July 31, 2018 (1) 2017 2018 2017 Volatility —% 43% 41% 43% – 44% Expected term (in years) — 6.35 6.35 6.35 Risk-free interest rate —% 1.89% 2.73% 1.89% – 2.17% Dividend yield —% —% —% —% (1) |
Net Income per Share Attribut29
Net Income per Share Attributable to Common Stockholders (Tables) | 6 Months Ended |
Jul. 31, 2018 | |
Earnings Per Share [Abstract] | |
Numerators and Denominators of the Basic and Diluted EPS Computations for Common Stock | The numerators and denominators of the basic and diluted EPS computations for our common stock are calculated as follows (in thousands, except per share data): Three Months Ended July 31, Six Months Ended July 31, 2018 2017 2018 2017 *As adjusted *As adjusted Class A Class B Class A Class B Class A Class B Class A Class B Basic Numerator Net income $ 42,326 $ 7,960 $ 30,820 $ 7,782 $ 79,137 $ 15,459 $ 59,243 $ 16,355 Undistributed earnings allocated to participating securities — — — — — — — — Net income attributable to common stockholders, basic $ 42,326 $ 7,960 $ 30,820 $ 7,782 $ 79,137 $ 15,459 $ 59,243 $ 16,355 Denominator Weighted average shares used in computing net income per share attributable to common stockholders, basic 120,994 22,754 111,786 28,224 119,857 23,414 109,204 30,147 Net income per share attributable to common stockholders, basic $ 0.35 $ 0.35 $ 0.28 $ 0.28 $ 0.66 $ 0.66 $ 0.54 $ 0.54 Diluted Numerator Net income attributable to common stockholders, basic $ 42,326 $ 7,960 $ 30,820 $ 7,782 $ 79,137 $ 15,459 $ 59,243 $ 16,355 Reallocation as a result of conversion of Class B to Class A common stock: Net income attributable to common stockholders, basic 7,960 — 7,782 — 15,459 — 16,355 — Reallocation of net income to Class B common stock — 3,177 — 2,759 — 6,096 — 5,391 Net income attributable to common stockholders, diluted $ 50,286 $ 11,137 $ 38,602 $ 10,541 $ 94,596 $ 21,555 $ 75,598 $ 21,746 Denominator Number of shares used for basic EPS computation 120,994 22,754 111,786 28,224 119,857 23,414 109,204 30,147 Conversion of Class B to Class A common stock 22,754 — 28,224 — 23,414 — 30,147 — Effect of potentially dilutive common shares 11,668 11,668 13,768 13,768 11,956 11,956 13,950 13,950 Weighted average shares used in computing net income per share attributable to common stockholders, diluted 155,416 34,422 153,778 41,992 155,227 35,370 153,301 44,097 Net income per share attributable to common stockholders, diluted $ 0.32 $ 0.32 $ 0.25 $ 0.25 $ 0.61 $ 0.61 $ 0.49 $ 0.49 * See note 1 of the notes to the condensed consolidated financial statements for a summary of adjustments. |
Potential Common Share Equivalents Excluded where the Inclusion would be Anti-dilutive | Potential common share equivalents excluded where the inclusion would be anti-dilutive are as follows: Three Months Ended July 31, Six Months Ended July 31, 2018 2017 2018 2017 Options and awards to purchase shares not included in the computation of diluted net income per share because their inclusion would be anti-dilutive 3,157,436 337,503 3,123,695 558,126 |
Revenues by Product (Tables)
Revenues by Product (Tables) | 6 Months Ended |
Jul. 31, 2018 | |
Revenue From Contract With Customer [Abstract] | |
Summary of Total Revenues | Total revenues consist of the following (in thousands): Three Months Ended July 31, Six Months Ended July 31, 2018 2017 2018 2017 *As adjusted *As adjusted Subscription services Veeva Commercial Cloud $ 97,927 $ 87,420 $ 191,038 $ 172,378 Veeva Vault (1) 71,665 48,130 134,557 92,303 Total subscription services $ 169,592 $ 135,550 $ 325,595 $ 264,681 Professional services Veeva Commercial Cloud $ 14,770 $ 15,471 $ 30,931 $ 31,439 Veeva Vault (1) 25,247 16,774 48,630 31,447 Total professional services $ 40,017 $ 32,245 $ 79,561 $ 62,886 Total revenues $ 209,609 $ 167,795 $ 405,156 $ 327,567 (1) Veeva Vault revenues includes revenue from legacy Zinc Ahead products. * See note 1 of the notes to the condensed consolidated financial statements for a summary of adjustments. |
Information about Geographic 31
Information about Geographic Areas and Products (Tables) | 6 Months Ended |
Jul. 31, 2018 | |
Segment Reporting [Abstract] | |
Revenues by Geographic Area | Total revenues by geographic area, which is primarily measured by the estimated location of the end users for subscription services revenues and the estimated location of the resources performing the services for professional services, were as follows for the periods shown below (in thousands): Three Months Ended July 31, Six Months Ended July 31, 2018 2017 2018 2017 *As adjusted *As adjusted Revenues by geography North America $ 117,158 $ 91,008 $ 226,435 $ 177,909 Europe and other 62,087 50,996 119,069 99,394 Asia Pacific 30,364 25,791 59,652 50,264 Total revenues $ 209,609 $ 167,795 $ 405,156 $ 327,567 * See note 1 of the notes to the condensed consolidated financial statements for a summary of adjustments. |
Long-Lived Assets by Geographic Area | Long-lived assets by geographic area are as follows as of the periods shown below (in thousands): July 31, January 31, 2018 2018 Long-lived assets by geography North America $ 47,996 $ 49,214 Europe and other 1,645 1,840 Asia Pacific 1,064 1,230 Total long-lived assets $ 50,705 $ 52,284 |
Summary of Business and Signi32
Summary of Business and Significant Accounting Policies - Additional Information (Detail) - Customer | 6 Months Ended | |
Jul. 31, 2018 | Jul. 31, 2017 | |
Summary Of Business And Accounting Policies [Line Items] | ||
Period of amortization | 3 years | |
Customer concentration risk [Member] | Revenues [Member] | ||
Summary Of Business And Accounting Policies [Line Items] | ||
Number of customers | 0 | 0 |
Minimum [Member] | ||
Summary Of Business And Accounting Policies [Line Items] | ||
Customer payment period | 30 days | |
Maximum [Member] | ||
Summary Of Business And Accounting Policies [Line Items] | ||
Customer payment period | 60 days |
Summary of Business and Signi33
Summary of Business and Significant Accounting Policies - Schedule of Certain Risks and Concentrations of Credit Risk (Detail) - Customer concentration risk [Member] - Accounts receivable [Member] | 12 Months Ended |
Jan. 31, 2018 | |
Customer 1 [Member] | |
Concentration Risk [Line Items] | |
Concentration risk percentage | 18.00% |
Customer 2 [Member] | |
Concentration Risk [Line Items] | |
Concentration risk percentage | 13.00% |
Summary of Business and Signi34
Summary of Business and Significant Accounting Policies - Schedule of Condensed Consolidated Balance Sheet (Detail) - USD ($) $ in Thousands | Jul. 31, 2018 | Jan. 31, 2018 | ||
Assets | ||||
Accounts receivable | $ 111,795 | $ 224,668 | [1],[2] | |
Unbilled accounts receivable | 14,777 | 13,348 | [1],[2] | |
Deferred costs, net | 28,126 | 30,306 | [1] | |
Deferred income taxes, noncurrent | 3,468 | 2,222 | [1] | |
Liabilities | ||||
Deferred revenue | 259,170 | 266,939 | [1] | |
Deferred income taxes, noncurrent | 12,309 | 10,949 | [1] | |
Stockholders’ equity: | ||||
Accumulated other comprehensive income | (119) | 1,600 | [1] | |
Retained earnings | $ 483,961 | 389,365 | [1] | |
As Reported [member] | Topic 606 [Member] | ||||
Assets | ||||
Accounts receivable | [2] | 233,731 | ||
Deferred income taxes, noncurrent | 3,490 | |||
Liabilities | ||||
Deferred revenue | 275,446 | |||
Deferred income taxes, noncurrent | 3,828 | |||
Stockholders’ equity: | ||||
Accumulated other comprehensive income | 1,404 | |||
Retained earnings | 354,850 | |||
Adjustments [Member] | Topic 606 [Member] | ||||
Assets | ||||
Accounts receivable | [2],[3] | (9,063) | ||
Unbilled accounts receivable | [2],[3] | 13,348 | ||
Deferred costs, net | [3] | 30,306 | ||
Deferred income taxes, noncurrent | [3] | (1,268) | ||
Liabilities | ||||
Deferred revenue | [3] | (8,507) | ||
Deferred income taxes, noncurrent | [3] | 7,121 | ||
Stockholders’ equity: | ||||
Accumulated other comprehensive income | [4] | 196 | ||
Retained earnings | [3],[4] | $ 34,515 | ||
[1] | See note 1 of the notes to the condensed consolidated financial statements for a summary of adjustments. | |||
[2] | Unbilled accounts receivable was previously included in Accounts receivable before the adoption of Topic 606. | |||
[3] | Adjusted to reflect the adoption of ASU 2014-09, “Revenue from Contracts with Customers (Topic 606).” | |||
[4] | Adjusted to reflect the adoption of ASU 2018-02, “Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income.” |
Summary of Business and Signi35
Summary of Business and Significant Accounting Policies - Schedule of Unaudited Condensed Consolidated Statements of Comprehensive Income (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | |||||
Jul. 31, 2018 | Jul. 31, 2017 | Jul. 31, 2018 | Jul. 31, 2017 | ||||
Revenues: | |||||||
Subscription services | $ 209,609 | $ 167,795 | [1] | $ 405,156 | $ 327,567 | [1] | |
Operating expenses: | |||||||
Sales and marketing | [2] | 38,222 | 32,070 | [1] | 72,607 | 62,211 | [1] |
Operating income | 52,818 | 38,067 | [1] | 96,774 | 76,930 | [1] | |
Provision for income taxes | 5,874 | 2,323 | [1] | 7,659 | 4,781 | [1] | |
Net income | $ 50,286 | $ 38,602 | [1] | $ 94,596 | $ 75,598 | [1] | |
Net income per share attributable to Class A and Class B common stockholders: | |||||||
Basic | $ 0.35 | $ 0.28 | [1] | $ 0.66 | $ 0.54 | [1] | |
Diluted | $ 0.32 | $ 0.25 | [1] | $ 0.61 | $ 0.49 | [1] | |
Subscription services [Member] | |||||||
Revenues: | |||||||
Subscription services | $ 169,592 | $ 135,550 | [1] | $ 325,595 | $ 264,681 | [1] | |
As Reported [member] | Topic 606 [Member] | |||||||
Operating expenses: | |||||||
Sales and marketing | 32,017 | 61,827 | |||||
Operating income | 36,898 | 74,237 | |||||
Provision for income taxes | 1,912 | 3,819 | |||||
Net income | $ 37,844 | $ 73,867 | |||||
Net income per share attributable to Class A and Class B common stockholders: | |||||||
Basic | $ 0.27 | $ 0.53 | |||||
Diluted | $ 0.25 | $ 0.48 | |||||
As Reported [member] | Subscription services [Member] | Topic 606 [Member] | |||||||
Revenues: | |||||||
Subscription services | $ 134,340 | $ 261,617 | |||||
Adjustments [Member] | Topic 606 [Member] | |||||||
Operating expenses: | |||||||
Sales and marketing | [3] | 53 | 384 | ||||
Operating income | [3] | 1,169 | 2,693 | ||||
Provision for income taxes | [3] | 411 | 962 | ||||
Net income | [3] | $ 758 | $ 1,731 | ||||
Net income per share attributable to Class A and Class B common stockholders: | |||||||
Basic | [3] | $ 0.01 | $ 0.01 | ||||
Diluted | [3] | $ 0.01 | |||||
Adjustments [Member] | Subscription services [Member] | Topic 606 [Member] | |||||||
Revenues: | |||||||
Subscription services | [3] | $ 1,210 | $ 3,064 | ||||
[1] | See note 1 of the notes to the condensed consolidated financial statements for a summary of adjustments. | ||||||
[2] | Includes stock-based compensation as follows: Cost of revenues: Cost of subscription services $416 $376 $761 $718 Cost of professional services and other 2,657 2,133 4,985 3,822 Research and development 5,795 4,349 10,462 8,151 Sales and marketing 4,830 4,173 8,918 8,020 General and administrative 6,020 2,349 11,603 4,457 Total stock-based compensation $19,718 $13,380 $36,729 $25,168 | ||||||
[3] | Adjusted to reflect the adoption of ASU 2014-09, “Revenue from Contracts with Customers (Topic 606).” |
Summary of Business and Signi36
Summary of Business and Significant Accounting Policies - Schedule of Unaudited Condensed Consolidated Statement of Cash Flows (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||||
Jul. 31, 2018 | Jul. 31, 2017 | Jul. 31, 2018 | Jul. 31, 2017 | ||||
Cash flows from operating activities | |||||||
Net income | $ 50,286 | $ 38,602 | [1] | $ 94,596 | $ 75,598 | [1] | |
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||
Amortization of deferred costs | 4,583 | 4,087 | [1] | 9,102 | 8,135 | [1] | |
Changes in operating assets and liabilities: | |||||||
Accounts receivable | 43,103 | 16,345 | [1] | 112,695 | 87,149 | [1] | |
Unbilled accounts receivable | 2,858 | 7,453 | [1] | (1,429) | (479) | [1] | |
Deferred costs | (3,371) | (4,046) | [1] | (6,922) | (7,763) | [1] | |
Deferred revenue | (30,406) | (24,250) | [1] | (7,756) | 5,161 | [1] | |
Net cash provided by operating activities | 86,813 | 57,606 | [1] | 237,398 | 199,767 | [1] | |
Net cash (used in) provided by investing activities | (40,773) | (20,298) | [1] | (58,330) | (22,602) | [1] | |
Net change in cash, cash equivalents and restricted cash | 51,497 | 43,766 | [1] | 191,553 | 191,821 | [1] | |
Cash, cash equivalents, and restricted cash at beginning of period | 461,443 | 366,662 | [1] | 321,387 | 218,607 | [1] | |
Cash, cash equivalents, and restricted cash at end of period | $ 512,940 | 410,428 | [1] | $ 512,940 | 410,428 | [1] | |
As Reported [member] | Topic 606 [Member] | |||||||
Cash flows from operating activities | |||||||
Net income | 37,844 | 73,867 | |||||
Changes in operating assets and liabilities: | |||||||
Accounts receivable | 16,169 | 85,869 | |||||
Deferred revenue | (15,410) | 9,027 | |||||
Net cash provided by operating activities | 57,607 | 199,768 | |||||
Change in restricted cash and deposits | (201) | (202) | |||||
Net cash (used in) provided by investing activities | (20,499) | (22,804) | |||||
Net change in cash, cash equivalents and restricted cash | 43,566 | 191,620 | |||||
Cash, cash equivalents, and restricted cash at beginning of period | 365,660 | 217,606 | |||||
Cash, cash equivalents, and restricted cash at end of period | 409,226 | 409,226 | |||||
Adjustments [Member] | Topic 606 [Member] | |||||||
Cash flows from operating activities | |||||||
Net income | [2] | 758 | 1,731 | ||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||
Amortization of deferred costs | [2] | 4,087 | 8,135 | ||||
Changes in operating assets and liabilities: | |||||||
Accounts receivable | [2] | 176 | 1,280 | ||||
Unbilled accounts receivable | [2] | 7,453 | (479) | ||||
Deferred costs | [2] | (4,046) | (7,763) | ||||
Deferred revenue | [2] | (8,840) | (3,866) | ||||
Net cash provided by operating activities | [2] | (1) | (1) | ||||
Change in restricted cash and deposits | [3] | 201 | 202 | ||||
Net cash (used in) provided by investing activities | [3] | 201 | 202 | ||||
Net change in cash, cash equivalents and restricted cash | [3] | 200 | 201 | ||||
Cash, cash equivalents, and restricted cash at beginning of period | [3] | 1,002 | 1,001 | ||||
Cash, cash equivalents, and restricted cash at end of period | [3] | $ 1,202 | $ 1,202 | ||||
[1] | See note 1 of the notes to the condensed consolidated financial statements for a summary of adjustments. | ||||||
[2] | Adjusted to reflect the adoption of ASU 2014-09, “Revenue from Contracts with Customers (Topic 606).” | ||||||
[3] | Adjusted to reflect the adoption of ASU 2016-18, “Statement of Cash Flows, Restricted Cash.” |
Short-Term Investments - Schedu
Short-Term Investments - Schedule of Short-Term Investments (Detail) - USD ($) $ in Thousands | Jul. 31, 2018 | Jan. 31, 2018 | |
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, Amortized cost | $ 500,225 | $ 443,272 | |
Available-for-sale securities, Gross unrealized gains | 70 | 7 | |
Available-for-sale securities, Gross unrealized losses | (1,605) | (1,500) | |
Available-for-sale securities, Estimated fair value | 498,690 | 441,779 | [1] |
Certificates of deposits [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, Amortized cost | 11,036 | ||
Available-for-sale securities, Gross unrealized gains | 7 | ||
Available-for-sale securities, Estimated fair value | 11,043 | ||
Asset-backed securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, Amortized cost | 86,498 | 67,875 | |
Available-for-sale securities, Gross unrealized gains | 2 | ||
Available-for-sale securities, Gross unrealized losses | (555) | (424) | |
Available-for-sale securities, Estimated fair value | 85,945 | 67,451 | |
Commercial paper [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, Amortized cost | 13,596 | 19,926 | |
Available-for-sale securities, Gross unrealized gains | 2 | ||
Available-for-sale securities, Gross unrealized losses | (1) | (12) | |
Available-for-sale securities, Estimated fair value | 13,597 | 19,914 | |
Corporate notes and bonds [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, Amortized cost | 152,185 | 160,499 | |
Available-for-sale securities, Gross unrealized gains | 56 | 1 | |
Available-for-sale securities, Gross unrealized losses | (718) | (759) | |
Available-for-sale securities, Estimated fair value | 151,523 | 159,741 | |
Foreign government bonds [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, Amortized cost | 2,999 | 1,504 | |
Available-for-sale securities, Gross unrealized losses | (21) | (18) | |
Available-for-sale securities, Estimated fair value | 2,978 | 1,486 | |
Mortgage backed securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, Amortized cost | 13,366 | 11,555 | |
Available-for-sale securities, Gross unrealized losses | (81) | (75) | |
Available-for-sale securities, Estimated fair value | 13,285 | 11,480 | |
U.S. agency obligations [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, Amortized cost | 57,657 | 71,206 | |
Available-for-sale securities, Gross unrealized gains | 2 | 1 | |
Available-for-sale securities, Gross unrealized losses | (25) | (76) | |
Available-for-sale securities, Estimated fair value | 57,634 | 71,131 | |
U.S. treasury securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, Amortized cost | 162,888 | 110,707 | |
Available-for-sale securities, Gross unrealized gains | 1 | 5 | |
Available-for-sale securities, Gross unrealized losses | (204) | (136) | |
Available-for-sale securities, Estimated fair value | $ 162,685 | $ 110,576 | |
[1] | See note 1 of the notes to the condensed consolidated financial statements for a summary of adjustments. |
Short-Term Investments - Summar
Short-Term Investments - Summary of Estimated Fair Value of Short-Term Investments, Designated as Available-for-Sale and Classified by Contractual Maturity (Detail) - USD ($) $ in Thousands | Jul. 31, 2018 | Jan. 31, 2018 | |
Investments Debt And Equity Securities [Abstract] | |||
Due in one year or less | $ 331,500 | $ 308,172 | |
Due in greater than one year | 167,190 | 133,607 | |
Total | $ 498,690 | $ 441,779 | [1] |
[1] | See note 1 of the notes to the condensed consolidated financial statements for a summary of adjustments. |
Short-Term Investments - Additi
Short-Term Investments - Additional Information (Detail) - USD ($) | 6 Months Ended | 12 Months Ended |
Jul. 31, 2018 | Jan. 31, 2018 | |
Investments Debt And Equity Securities [Abstract] | ||
Other-than-temporary impairment losses on investments | $ 0 | $ 0 |
Short-Term Investments - Sche40
Short-Term Investments - Schedule of Fair Values and Gross Unrealized Losses of Available-for-Sale Securities Aggregated by Investment Category (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jul. 31, 2018 | Jan. 31, 2018 | |
Asset-backed securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair value | $ 82,019 | $ 65,690 |
Gross unrealized losses | (555) | (424) |
Commercial paper [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair value | 3,892 | 19,914 |
Gross unrealized losses | (1) | (12) |
Corporate notes and bonds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair value | 108,287 | 155,419 |
Gross unrealized losses | (718) | (759) |
Foreign government bonds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair value | 2,979 | 1,485 |
Gross unrealized losses | (21) | (18) |
Mortgage backed securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair value | 13,285 | 11,481 |
Gross unrealized losses | (81) | (75) |
U.S. agency obligations [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair value | 49,893 | 66,655 |
Gross unrealized losses | (25) | (76) |
U.S. treasury securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair value | 153,505 | 82,147 |
Gross unrealized losses | $ (204) | $ (136) |
Deferred Costs - Additional Inf
Deferred Costs - Additional Information (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | ||||||
Jul. 31, 2018 | Jul. 31, 2017 | Jul. 31, 2018 | Jul. 31, 2017 | Jan. 31, 2018 | [1] | |||
Deferred Costs [Abstract] | ||||||||
Deferred costs | $ 28,126,000 | $ 28,126,000 | $ 30,306,000 | |||||
Amortization of deferred costs | 4,583,000 | $ 4,087,000 | [1] | 9,102,000 | $ 8,135,000 | [1] | ||
Impairment loss recorded in relation to the costs capitalized | $ 0 | $ 0 | $ 0 | $ 0 | ||||
[1] | See note 1 of the notes to the condensed consolidated financial statements for a summary of adjustments. |
Property and Equipment, Net - C
Property and Equipment, Net - Components of Property and Equipment, Net (Detail) - USD ($) $ in Thousands | Jul. 31, 2018 | Jan. 31, 2018 | |
Property, Plant and Equipment [Line Items] | |||
Property and equipment, gross | $ 65,411 | $ 65,121 | |
Less accumulated depreciation | (14,706) | (12,837) | |
Total property and equipment, net | 50,705 | 52,284 | [1] |
Land [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment, gross | 3,040 | 3,040 | |
Building [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment, gross | 20,984 | 20,984 | |
Land improvements and building improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment, gross | 20,172 | 20,073 | |
Equipment and computers [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment, gross | 7,837 | 7,732 | |
Furniture and fixtures [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment, gross | 9,495 | 9,619 | |
Leasehold improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment, gross | 3,613 | 3,637 | |
Construction in progress [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment, gross | $ 270 | $ 36 | |
[1] | See note 1 of the notes to the condensed consolidated financial statements for a summary of adjustments. |
Property and Equipment, Net - A
Property and Equipment, Net - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2018 | Jul. 31, 2017 | Jul. 31, 2018 | Jul. 31, 2017 | |
Property Plant And Equipment [Abstract] | ||||
Depreciation | $ 1.6 | $ 1.4 | $ 3.2 | $ 2.7 |
Intangible Assets - Details of
Intangible Assets - Details of Intangible Assets (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Jul. 31, 2018 | Jan. 31, 2018 | ||
Finite-Lived Intangible Assets [Line Items] | |||
Intangible assets, Gross carrying amount | $ 54,470 | $ 54,470 | |
Intangible assets, Accumulated amortization | (26,616) | (22,980) | |
Intangible assets, Net | 27,854 | 31,490 | [1] |
Existing technology [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Intangible assets, Gross carrying amount | 3,880 | 3,880 | |
Intangible assets, Accumulated amortization | (3,813) | (3,509) | |
Intangible assets, Net | $ 67 | $ 371 | |
Intangible assets, Remaining useful life | 1 year 8 months 12 days | 9 months 18 days | |
Database [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Intangible assets, Gross carrying amount | $ 4,939 | $ 4,939 | |
Intangible assets, Accumulated amortization | (4,340) | (4,091) | |
Intangible assets, Net | $ 599 | $ 848 | |
Intangible assets, Remaining useful life | 1 year 8 months 12 days | 2 years | |
Customer contracts and relationships [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Intangible assets, Gross carrying amount | $ 33,643 | $ 33,643 | |
Intangible assets, Accumulated amortization | (10,560) | (8,798) | |
Intangible assets, Net | $ 23,083 | $ 24,845 | |
Intangible assets, Remaining useful life | 7 years 1 month 6 days | 7 years 6 months | |
Software [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Intangible assets, Gross carrying amount | $ 10,867 | $ 10,867 | |
Intangible assets, Accumulated amortization | (6,979) | (5,820) | |
Intangible assets, Net | $ 3,888 | $ 5,047 | |
Intangible assets, Remaining useful life | 1 year 8 months 12 days | 2 years 2 months 12 days | |
Brand [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Intangible assets, Gross carrying amount | $ 1,141 | $ 1,141 | |
Intangible assets, Accumulated amortization | (924) | (762) | |
Intangible assets, Net | $ 217 | $ 379 | |
Intangible assets, Remaining useful life | 8 months 12 days | 1 year 2 months 12 days | |
[1] | See note 1 of the notes to the condensed consolidated financial statements for a summary of adjustments. |
Intangible Assets - Additional
Intangible Assets - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2018 | Jul. 31, 2017 | Jul. 31, 2018 | Jul. 31, 2017 | |
Intangible Assets Net Excluding Goodwill [Abstract] | ||||
Amortization expense | $ 1.8 | $ 2 | $ 3.6 | $ 4 |
Intangible Assets - Estimated A
Intangible Assets - Estimated Amortization Expense (Detail) - USD ($) $ in Thousands | Jul. 31, 2018 | Jan. 31, 2018 | [1] |
Finite Lived Intangible Assets Future Amortization Expense Current And Five Succeeding Fiscal Years [Abstract] | |||
Fiscal 2,019 | $ 3,334 | ||
Fiscal 2,020 | 6,062 | ||
Fiscal 2,021 | 3,629 | ||
Fiscal 2,022 | 3,182 | ||
Fiscal 2,023 | 3,182 | ||
Thereafter | 8,465 | ||
Intangible assets, Net | $ 27,854 | $ 31,490 | |
[1] | See note 1 of the notes to the condensed consolidated financial statements for a summary of adjustments. |
Accrued Expenses - Schedule of
Accrued Expenses - Schedule of Accrued Expenses (Detail) - USD ($) $ in Thousands | Jul. 31, 2018 | Jan. 31, 2018 | |
Payables And Accruals [Abstract] | |||
Accrued commissions | $ 1,357 | $ 3,565 | |
Accrued bonus | 2,504 | 3,068 | |
Deferred compensation associated with Zinc Ahead | 464 | 467 | |
Accrued vacation | 3,571 | 2,608 | |
Payroll tax payable | 3,020 | 3,580 | |
Accrued other compensation and benefits | 3,197 | 3,766 | |
Total accrued compensation and benefits | 14,113 | 17,054 | [1] |
Accrued fees payable to salesforce.com | 4,990 | 4,929 | |
Accrued third-party professional services subcontractors' fees | 996 | 1,614 | |
Taxes payable | 2,435 | 3,009 | |
Other accrued expenses | 3,568 | 3,600 | |
Total accrued expenses and other current liabilities | $ 11,989 | $ 13,152 | [1] |
[1] | See note 1 of the notes to the condensed consolidated financial statements for a summary of adjustments. |
Fair Value Measurements - Fair
Fair Value Measurements - Fair Value Hierarchy for Financial Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Thousands | Jul. 31, 2018 | Jan. 31, 2018 | |
Assets | |||
Short-term investments | $ 498,690 | $ 441,779 | [1] |
Commercial paper [Member] | |||
Assets | |||
Short-term investments | 13,597 | 19,914 | |
Corporate notes and bonds [Member] | |||
Assets | |||
Short-term investments | 151,523 | 159,741 | |
U.S. agency obligations [Member] | |||
Assets | |||
Short-term investments | 57,634 | 71,131 | |
U.S. treasury securities [Member] | |||
Assets | |||
Short-term investments | 162,685 | 110,576 | |
Certificates of deposits [Member] | |||
Assets | |||
Short-term investments | 11,043 | ||
Asset-backed securities [Member] | |||
Assets | |||
Short-term investments | 85,945 | 67,451 | |
Foreign government bonds [Member] | |||
Assets | |||
Short-term investments | 2,978 | 1,486 | |
Mortgage backed securities [Member] | |||
Assets | |||
Short-term investments | 13,285 | 11,480 | |
Fair value, measurements recurring [Member] | |||
Assets | |||
Total | 613,477 | 479,805 | |
Liabilities | |||
Total | 160 | 391 | |
Fair value, measurements recurring [Member] | Money market funds [Member] | |||
Assets | |||
Cash equivalents | 66,114 | 25,820 | |
Fair value, measurements recurring [Member] | Commercial paper [Member] | |||
Assets | |||
Cash equivalents | 4,485 | 1,999 | |
Short-term investments | 13,597 | 19,914 | |
Fair value, measurements recurring [Member] | Corporate notes and bonds [Member] | |||
Assets | |||
Cash equivalents | 3,034 | 2,080 | |
Short-term investments | 151,523 | 159,741 | |
Fair value, measurements recurring [Member] | U.S. agency obligations [Member] | |||
Assets | |||
Cash equivalents | 11,128 | ||
Short-term investments | 57,634 | 71,131 | |
Fair value, measurements recurring [Member] | U.S. treasury securities [Member] | |||
Assets | |||
Cash equivalents | 29,967 | 8,000 | |
Short-term investments | 162,685 | 110,576 | |
Fair value, measurements recurring [Member] | Certificates of deposits [Member] | |||
Assets | |||
Short-term investments | 11,043 | ||
Fair value, measurements recurring [Member] | Asset-backed securities [Member] | |||
Assets | |||
Short-term investments | 85,945 | 67,451 | |
Fair value, measurements recurring [Member] | Foreign government bonds [Member] | |||
Assets | |||
Short-term investments | 2,978 | 1,486 | |
Fair value, measurements recurring [Member] | Mortgage backed securities [Member] | |||
Assets | |||
Short-term investments | 13,285 | 11,480 | |
Fair value, measurements recurring [Member] | Foreign currency derivative contracts [Member] | |||
Assets | |||
Foreign currency derivative contracts | 59 | 127 | |
Liabilities | |||
Foreign currency derivative contracts | 160 | 391 | |
Fair value, measurements recurring [Member] | Level 1 [Member] | |||
Assets | |||
Total | 66,114 | 25,820 | |
Fair value, measurements recurring [Member] | Level 1 [Member] | Money market funds [Member] | |||
Assets | |||
Cash equivalents | 66,114 | 25,820 | |
Fair value, measurements recurring [Member] | Level 2 [Member] | |||
Assets | |||
Total | 547,363 | 453,985 | |
Liabilities | |||
Total | 160 | 391 | |
Fair value, measurements recurring [Member] | Level 2 [Member] | Commercial paper [Member] | |||
Assets | |||
Cash equivalents | 4,485 | 1,999 | |
Short-term investments | 13,597 | 19,914 | |
Fair value, measurements recurring [Member] | Level 2 [Member] | Corporate notes and bonds [Member] | |||
Assets | |||
Cash equivalents | 3,034 | 2,080 | |
Short-term investments | 151,523 | 159,741 | |
Fair value, measurements recurring [Member] | Level 2 [Member] | U.S. agency obligations [Member] | |||
Assets | |||
Cash equivalents | 11,128 | ||
Short-term investments | 57,634 | 71,131 | |
Fair value, measurements recurring [Member] | Level 2 [Member] | U.S. treasury securities [Member] | |||
Assets | |||
Cash equivalents | 29,967 | 8,000 | |
Short-term investments | 162,685 | 110,576 | |
Fair value, measurements recurring [Member] | Level 2 [Member] | Certificates of deposits [Member] | |||
Assets | |||
Short-term investments | 11,043 | ||
Fair value, measurements recurring [Member] | Level 2 [Member] | Asset-backed securities [Member] | |||
Assets | |||
Short-term investments | 85,945 | 67,451 | |
Fair value, measurements recurring [Member] | Level 2 [Member] | Foreign government bonds [Member] | |||
Assets | |||
Short-term investments | 2,978 | 1,486 | |
Fair value, measurements recurring [Member] | Level 2 [Member] | Mortgage backed securities [Member] | |||
Assets | |||
Short-term investments | 13,285 | 11,480 | |
Fair value, measurements recurring [Member] | Level 2 [Member] | Foreign currency derivative contracts [Member] | |||
Assets | |||
Foreign currency derivative contracts | 59 | 127 | |
Liabilities | |||
Foreign currency derivative contracts | $ 160 | $ 391 | |
[1] | See note 1 of the notes to the condensed consolidated financial statements for a summary of adjustments. |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2018 | Jul. 31, 2017 | Jul. 31, 2018 | Jul. 31, 2017 | |
Foreign currency forward contracts [Member] | ||||
Foreign Currency Fair Value Hedge Derivative [Line Items] | ||||
Foreign currency gains (losses) recognized | $ (0.2) | $ (2.2) | $ 0.3 | $ (2.8) |
Fair Value Measurements - Summa
Fair Value Measurements - Summary Fair Value of Outstanding Derivative Instruments (Detail) - Foreign currency forward contracts [Member] - USD ($) | Jul. 31, 2018 | Jan. 31, 2018 |
Derivatives Fair Value [Line Items] | ||
Notional amount of foreign currency derivative contracts | $ 2,946,000 | $ 36,266,000 |
Fair value of foreign currency derivative contracts | $ 3,047,000 | $ 36,531,000 |
Fair Value Measurements - Sum51
Fair Value Measurements - Summary of Outstanding Balance Sheet Hedges (Detail) - Foreign currency derivative contracts [Member] - Derivatives not designated as hedging instruments [Member] - USD ($) $ in Thousands | Jul. 31, 2018 | Jan. 31, 2018 |
Prepaid expenses and other current assets [Member] | ||
Derivatives Fair Value [Line Items] | ||
Derivative Assets | $ 59 | $ 127 |
Accrued expenses [Member] | ||
Derivatives Fair Value [Line Items] | ||
Derivative Liabilities | $ 160 | $ 391 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2018 | Jul. 31, 2017 | Jul. 31, 2018 | Jul. 31, 2017 | |
Income Tax Contingency [Line Items] | ||||
Effective tax rates | 10.50% | 5.70% | 7.50% | 5.90% |
Maximum [Member] | ||||
Income Tax Contingency [Line Items] | ||||
Provisional amounts measurement period | 1 year | |||
Effect on Provision for Income Taxes [Member] | ||||
Income Tax Contingency [Line Items] | ||||
Excess tax benefits recognized | $ 9.3 | $ 14.8 | $ 19 | $ 28.7 |
Deferred Revenue and Performa53
Deferred Revenue and Performance Obligations - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2018 | Jul. 31, 2017 | Jul. 31, 2018 | Jul. 31, 2017 | |
Revenue From Contracts With Customers [Line Items] | ||||
Revenue, remaining performance obligation, recognition period | 12 months | 12 months | ||
Subscription Services [Member] | ||||
Revenue From Contracts With Customers [Line Items] | ||||
Recognition of deferred revenue | $ 135.2 | $ 105 | $ 187.9 | $ 146.5 |
Revenue expected to be recognized from remaining performance obligations | 452.9 | 452.9 | ||
Revenue expected to recognize from remaining performance obligations over the next 12 months | $ 342 | $ 342 |
Stockholders' Equity - Summary
Stockholders' Equity - Summary of Stock Option Activity (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended |
Jul. 31, 2018 | Jul. 31, 2018 | Jan. 31, 2018 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |||
Number of shares, Options outstanding, Beginning Balance | 16,024,146 | ||
Number of shares, Options granted | 0 | 175,000 | |
Number of shares, Options exercised | (1,412,949) | ||
Number of shares, Options forfeited/cancelled | (202,268) | ||
Number of shares, Options outstanding, Ending Balance | 14,583,929 | 14,583,929 | 16,024,146 |
Number of shares, Options vested and exercisable | 6,444,160 | 6,444,160 | |
Number of shares, Options vested and exercisable and expected to vest thereafter | 14,583,929 | 14,583,929 | |
Weighted average exercise price, Options outstanding, Beginning Balance | $ 16.76 | ||
Weighted average exercise price, Options granted | 77.88 | ||
Weighted average exercise price, Options exercised | 10.17 | ||
Weighted average exercise price, Options forfeited/cancelled | 8.53 | ||
Weighted average exercise price, Options outstanding, Ending Balance | $ 18.25 | 18.25 | $ 16.76 |
Weighted average exercise price, Options vested and exercisable | 5.18 | 5.18 | |
Weighted average exercise price, Options vested and exercisable and expected to vest thereafter | $ 18.25 | $ 18.25 | |
Weighted average remaining contractual term (in years), Options outstanding | 5 years 9 months 18 days | 6 years 1 month 6 days | |
Weighted average remaining contractual term (in years), Options vested and exercisable | 4 years 6 months | ||
Weighted average remaining contractual term (in years), Options vested and exercisable and expected to vest thereafter | 5 years 9 months 18 days | ||
Aggregate intrinsic value, Options outstanding | $ 837,197,633 | $ 837,197,633 | $ 738,648,507 |
Aggregate intrinsic value, Options vested and exercisable | 453,984,350 | 453,984,350 | |
Aggregate intrinsic value, Options vested and exercisable and expected to vest thereafter | $ 837,197,633 | $ 837,197,633 |
Stockholders' Equity - Addition
Stockholders' Equity - Additional Information (Detail) $ / shares in Units, $ in Millions | 3 Months Ended | 6 Months Ended |
Jul. 31, 2018USD ($)$ / sharesshares | Jul. 31, 2018USD ($)$ / sharesshares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Stock options, granted | 0 | 175,000 |
Unrecognized compensation cost related to unvested stock options granted | $ | $ 106.9 | $ 106.9 |
Intrinsic value of options exercised | $ | 42.9 | $ 91.3 |
Stock Options [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Weighted average period of unvested stock | 3 years 10 months 24 days | |
Restricted Stock Units (RSUs) [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Weighted average period of unvested stock | 2 years 6 months | |
Weighted average grant date fair value, RSUs granted | $ / shares | $ 72.02 | |
Number of shares, RSUs granted | 832,014 | |
Unrecognized compensation cost related to unvested RSUs | $ | $ 131.3 | $ 131.3 |
2013 Equity Incentive Plan [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Weighted-average grant date fair value of options granted | $ / shares | $ 35.04 | |
Stock options, granted | 0 | 175,000 |
2013 Equity Incentive Plan [Member] | Restricted Stock Units (RSUs) [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Weighted average grant date fair value, RSUs granted | $ / shares | $ 78.85 | $ 72.02 |
Number of shares, RSUs granted | 194,304 | 832,014 |
2012 and 2013 Equity Incentive Plan [Member] | Minimum [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Share-based compensation cost recognition vesting service period | 4 years | |
2012 and 2013 Equity Incentive Plan [Member] | Maximum [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Share-based compensation cost recognition vesting service period | 9 years |
Stockholders' Equity - Summar56
Stockholders' Equity - Summary of Restricted Stock Unit (RSU) Activity (Detail) - Restricted Stock Units (RSUs) [Member] | 6 Months Ended |
Jul. 31, 2018$ / sharesshares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Unreleased restricted stock units, Beginning Balance | shares | 2,901,736 |
Unreleased restricted stock units, RSUs granted | shares | 832,014 |
Unreleased restricted stock units, RSUs vested | shares | (662,087) |
Unreleased restricted stock units, RSUs forfeited/cancelled | shares | (156,241) |
Unreleased restricted stock units, Ending Balance | shares | 2,915,422 |
Weighted average grant date fair value, Beginning Balance | $ / shares | $ 38.14 |
Weighted average grant date fair value, RSUs granted | $ / shares | 72.02 |
Weighted average grant date fair value, RSUs vested | $ / shares | 36.17 |
Weighted average grant date fair value, RSUs forfeited/cancelled | $ / shares | 43.95 |
Weighted average grant date fair value, Ending Balance | $ / shares | $ 47.95 |
Stockholders' Equity - Schedule
Stockholders' Equity - Schedule of Weighted-Average Assumptions Used to Estimate Grant Date Fair Value of Options Granted (Detail) - Stock Options [Member] | 3 Months Ended | 6 Months Ended | |
Jul. 31, 2017 | Jul. 31, 2018 | Jul. 31, 2017 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Volatility | 43.00% | 41.00% | |
Volatility, Minimum | 43.00% | ||
Volatility, Maximum | 44.00% | ||
Expected term (in years) | 6 years 4 months 6 days | 6 years 4 months 6 days | 6 years 4 months 6 days |
Risk-free interest rate | 1.89% | 2.73% | |
Risk-free interest rate, Minimum | 1.89% | ||
Risk-free interest rate, Maximum | 2.17% |
Stockholders' Equity - Schedu58
Stockholders' Equity - Schedule of Weighted-Average Assumptions Used to Estimate Grant Date Fair Value of Options Granted (Parenthetical) (Detail) - shares | 3 Months Ended | 6 Months Ended |
Jul. 31, 2018 | Jul. 31, 2018 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ||
Stock options, granted | 0 | 175,000 |
Net Income per Share Attribut59
Net Income per Share Attributable to Common Stockholders - Numerators and Denominators of the Basic and Diluted EPS Computations for Common Stock (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | |||||
Jul. 31, 2018 | Jul. 31, 2017 | Jul. 31, 2018 | Jul. 31, 2017 | ||||
Schedule Of Earnings Per Share Basic And Diluted [Line Items] | |||||||
Net income | $ 50,286 | $ 38,602 | [1] | $ 94,596 | $ 75,598 | [1] | |
Weighted average shares used in computing net income per share attributable to common stockholders, basic | 143,748 | 140,010 | [1] | 143,271 | 139,351 | [1] | |
Net income per share attributable to common stockholders, basic | $ 0.35 | $ 0.28 | [1] | $ 0.66 | $ 0.54 | [1] | |
Reallocation as a result of conversion of Class B to Class A common stock: | |||||||
Weighted average shares used in computing net income per share attributable to common stockholders, diluted | 155,416 | 153,778 | [1] | 155,227 | 153,301 | [1] | |
Net income per share attributable to common stockholders, diluted | $ 0.32 | $ 0.25 | [1] | $ 0.61 | $ 0.49 | [1] | |
Class A common stock [Member] | |||||||
Schedule Of Earnings Per Share Basic And Diluted [Line Items] | |||||||
Net income | $ 42,326 | $ 79,137 | |||||
Net income attributable to common stockholders, basic | $ 42,326 | $ 79,137 | |||||
Weighted average shares used in computing net income per share attributable to common stockholders, basic | 120,994 | 119,857 | |||||
Net income per share attributable to common stockholders, basic | $ 0.35 | $ 0.66 | |||||
Net income attributable to common stockholders, basic | $ 42,326 | $ 79,137 | |||||
Reallocation as a result of conversion of Class B to Class A common stock: | |||||||
Net income attributable to common stockholders, basic | 7,960 | 15,459 | |||||
Net income attributable to common stockholders, diluted | $ 50,286 | $ 94,596 | |||||
Conversion of Class B to Class A common stock | 22,754 | 23,414 | |||||
Effect of potentially dilutive common shares | 11,668 | 11,956 | |||||
Weighted average shares used in computing net income per share attributable to common stockholders, diluted | 155,416 | 155,227 | |||||
Net income per share attributable to common stockholders, diluted | $ 0.32 | $ 0.61 | |||||
Class A common stock [Member] | As adjusted [Member] | |||||||
Schedule Of Earnings Per Share Basic And Diluted [Line Items] | |||||||
Net income | [1] | $ 30,820 | $ 59,243 | ||||
Net income attributable to common stockholders, basic | [1] | $ 30,820 | $ 59,243 | ||||
Weighted average shares used in computing net income per share attributable to common stockholders, basic | [1] | 111,786 | 109,204 | ||||
Net income per share attributable to common stockholders, basic | [1] | $ 0.28 | $ 0.54 | ||||
Net income attributable to common stockholders, basic | [1] | $ 30,820 | $ 59,243 | ||||
Reallocation as a result of conversion of Class B to Class A common stock: | |||||||
Net income attributable to common stockholders, basic | [1] | 7,782 | 16,355 | ||||
Net income attributable to common stockholders, diluted | [1] | $ 38,602 | $ 75,598 | ||||
Conversion of Class B to Class A common stock | [1] | 28,224 | 30,147 | ||||
Effect of potentially dilutive common shares | [1] | 13,768 | 13,950 | ||||
Weighted average shares used in computing net income per share attributable to common stockholders, diluted | [1] | 153,778 | 153,301 | ||||
Net income per share attributable to common stockholders, diluted | [1] | $ 0.25 | $ 0.49 | ||||
Class B common stock [Member] | |||||||
Schedule Of Earnings Per Share Basic And Diluted [Line Items] | |||||||
Net income | $ 7,960 | $ 15,459 | |||||
Net income attributable to common stockholders, basic | $ 7,960 | $ 15,459 | |||||
Weighted average shares used in computing net income per share attributable to common stockholders, basic | 22,754 | 23,414 | |||||
Net income per share attributable to common stockholders, basic | $ 0.35 | $ 0.66 | |||||
Net income attributable to common stockholders, basic | $ 7,960 | $ 15,459 | |||||
Reallocation as a result of conversion of Class B to Class A common stock: | |||||||
Reallocation of net income to Class B common stock | 3,177 | 6,096 | |||||
Net income attributable to common stockholders, diluted | $ 11,137 | $ 21,555 | |||||
Effect of potentially dilutive common shares | 11,668 | 11,956 | |||||
Weighted average shares used in computing net income per share attributable to common stockholders, diluted | 34,422 | 35,370 | |||||
Net income per share attributable to common stockholders, diluted | $ 0.32 | $ 0.61 | |||||
Class B common stock [Member] | As adjusted [Member] | |||||||
Schedule Of Earnings Per Share Basic And Diluted [Line Items] | |||||||
Net income | [1] | $ 7,782 | $ 16,355 | ||||
Net income attributable to common stockholders, basic | [1] | $ 7,782 | $ 16,355 | ||||
Weighted average shares used in computing net income per share attributable to common stockholders, basic | [1] | 28,224 | 30,147 | ||||
Net income per share attributable to common stockholders, basic | [1] | $ 0.28 | $ 0.54 | ||||
Net income attributable to common stockholders, basic | [1] | $ 7,782 | $ 16,355 | ||||
Reallocation as a result of conversion of Class B to Class A common stock: | |||||||
Reallocation of net income to Class B common stock | [1] | 2,759 | 5,391 | ||||
Net income attributable to common stockholders, diluted | [1] | $ 10,541 | $ 21,746 | ||||
Effect of potentially dilutive common shares | [1] | 13,768 | 13,950 | ||||
Weighted average shares used in computing net income per share attributable to common stockholders, diluted | [1] | 41,992 | 44,097 | ||||
Net income per share attributable to common stockholders, diluted | [1] | $ 0.25 | $ 0.49 | ||||
[1] | See note 1 of the notes to the condensed consolidated financial statements for a summary of adjustments. |
Net Income per Share Attribut60
Net Income per Share Attributable to Common Stockholders - Potential Common Share Equivalents Excluded where the Inclusion would be Anti-dilutive (Detail) - shares | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2018 | Jul. 31, 2017 | Jul. 31, 2018 | Jul. 31, 2017 | |
Earnings Per Share [Abstract] | ||||
Options and awards to purchase shares not included in the computation of diluted net income per share because their inclusion would be anti-dilutive | 3,157,436 | 337,503 | 3,123,695 | 558,126 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) | Mar. 13, 2017USD ($) | Jan. 26, 2017Employee | Jul. 31, 2018USD ($) |
Value-Added Reseller Agreement [Member] | |||
Long Term Purchase Commitment [Line Items] | |||
Minimum fee commitment obligation | $ 251,600,000 | ||
Purchase commitment, description | The agreement, as amended, requires that we meet minimum order commitments of $500 million over the term of the agreement, which ends on September 1, 2025, including “true-up” payments if the orders we place with salesforce.com have not equaled or exceeded the following aggregate amounts within the timeframes indicated: (i) $250 million for the period from March 1, 2014 to September 1, 2020 and (ii) the full amount of $500 million by September 1, 2025. | ||
Minimum order commitment | $ 500,000,000 | ||
Agreement maturity date | Sep. 1, 2025 | ||
Value-Added Reseller Agreement [Member] | September 1, 2025 [Member] | |||
Long Term Purchase Commitment [Line Items] | |||
Minimum order commitment | $ 500,000,000 | ||
Value-Added Reseller Agreement [Member] | March 1, 2014 to September 1, 2020 [Member] | |||
Long Term Purchase Commitment [Line Items] | |||
Minimum order commitment | $ 250,000,000 | ||
IQVIA Litigation Matter [Member] | |||
Long Term Purchase Commitment [Line Items] | |||
Litigation filed date | January 10, 2017 | ||
IQVIA Litigation Matter [Member] | Minimum [Member] | |||
Long Term Purchase Commitment [Line Items] | |||
Monetary damages | $ 200,000,000 | ||
Medidata Litigation Matter [Member] | |||
Long Term Purchase Commitment [Line Items] | |||
Litigation filed date | January 26, 2017 | ||
Number of former employees | Employee | 5 | ||
Defendants dismissed from case | Individual Defendants |
Revenues by Product - Summary o
Revenues by Product - Summary of Total Revenues (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||||
Jul. 31, 2018 | Jul. 31, 2017 | [1] | Jul. 31, 2018 | Jul. 31, 2017 | [1] | ||
Disaggregation Of Revenue [Line Items] | |||||||
Total revenues | $ 209,609 | $ 167,795 | $ 405,156 | $ 327,567 | |||
Subscription services, Veeva Commercial Cloud [Member] | |||||||
Disaggregation Of Revenue [Line Items] | |||||||
Total revenues | 97,927 | 87,420 | 191,038 | 172,378 | |||
Subscription services, Veeva Vault [Member] | |||||||
Disaggregation Of Revenue [Line Items] | |||||||
Total revenues | [2] | 71,665 | 48,130 | 134,557 | 92,303 | ||
Subscription services [Member] | |||||||
Disaggregation Of Revenue [Line Items] | |||||||
Total revenues | 169,592 | 135,550 | 325,595 | 264,681 | |||
Professional services, Veeva Commercial Cloud [Member] | |||||||
Disaggregation Of Revenue [Line Items] | |||||||
Total revenues | 14,770 | 15,471 | 30,931 | 31,439 | |||
Professional services, Veeva Vault [Member] | |||||||
Disaggregation Of Revenue [Line Items] | |||||||
Total revenues | [2] | 25,247 | 16,774 | 48,630 | 31,447 | ||
Professional services [Member] | |||||||
Disaggregation Of Revenue [Line Items] | |||||||
Total revenues | $ 40,017 | $ 32,245 | $ 79,561 | $ 62,886 | |||
[1] | See note 1 of the notes to the condensed consolidated financial statements for a summary of adjustments. | ||||||
[2] | Veeva Vault revenues includes revenue from legacy Zinc Ahead products. |
Information about Geographic 63
Information about Geographic Areas and Products - Total Revenues by Geographic Area (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2018 | Jul. 31, 2017 | Jul. 31, 2018 | Jul. 31, 2017 | |
Revenues by geography | ||||
Total revenues | $ 209,609 | $ 167,795 | $ 405,156 | $ 327,567 |
North America [Member] | ||||
Revenues by geography | ||||
Total revenues | 117,158 | 91,008 | 226,435 | 177,909 |
Europe and other [Member] | ||||
Revenues by geography | ||||
Total revenues | 62,087 | 50,996 | 119,069 | 99,394 |
Asia Pacific [Member] | ||||
Revenues by geography | ||||
Total revenues | $ 30,364 | $ 25,791 | $ 59,652 | $ 50,264 |
Information about Geographic 64
Information about Geographic Areas and Products - Long-Lived Assets by Geographic Area (Detail) - USD ($) $ in Thousands | Jul. 31, 2018 | Jan. 31, 2018 | |
Long-lived assets by geography | |||
Total long-lived assets | $ 50,705 | $ 52,284 | [1] |
North America [Member] | |||
Long-lived assets by geography | |||
Total long-lived assets | 47,996 | 49,214 | |
Europe and other [Member] | |||
Long-lived assets by geography | |||
Total long-lived assets | 1,645 | 1,840 | |
Asia Pacific [Member] | |||
Long-lived assets by geography | |||
Total long-lived assets | $ 1,064 | $ 1,230 | |
[1] | See note 1 of the notes to the condensed consolidated financial statements for a summary of adjustments. |