Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Jan. 31, 2015 | Mar. 10, 2015 | Jul. 31, 2014 | |
Document and Entity Information [Abstract] | |||
Entity Registrant Name | HEALTHEQUITY INC | ||
Entity Central Index Key | 1428336 | ||
Current Fiscal Year End Date | -30 | ||
Entity Filer Category | Non-accelerated Filer | ||
Document Type | 10-K | ||
Document Period End Date | 31-Jan-15 | ||
Document Fiscal Year Focus | 2015 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | FALSE | ||
Entity Common Stock, Shares Outstanding | 55,065,470 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Public Float | $543,500,000 |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (Unaudited) (USD $) | Jan. 31, 2015 | Jan. 31, 2014 |
In Thousands, unless otherwise specified | ||
Current assets | ||
Cash and cash equivalents | $111,005 | $13,917 |
Accounts receivable, net of allowance for doubtful accounts of $40 as of January 31, 2015 and 2014 | 9,054 | 5,705 |
Inventories | 625 | 391 |
Deferred tax asset | 1,764 | 3,080 |
Prepaid expenses | 2,271 | 663 |
Total current assets | 124,719 | 23,756 |
Property and equipment, net | 2,577 | 1,992 |
Intangible assets, net | 26,541 | 24,691 |
Goodwill | 4,651 | 4,651 |
Other investments | 281 | 0 |
Total assets | 158,769 | 55,090 |
Current liabilities | ||
Accounts payable | 1,303 | 2,368 |
Accrued compensation | 5,301 | 4,134 |
Accrued liabilities | 2,227 | 2,927 |
Total liabilities | 8,831 | 9,429 |
Long-term liabilities | ||
Deferred rent | 488 | 393 |
Series D-3 redeemable convertible preferred stock derivative liability | 0 | 6,182 |
Deferred tax liability | 5,355 | 5,078 |
Total long-term liabilities | 5,843 | 11,653 |
Total liabilities | 14,674 | 21,082 |
Commitments and contingencies (see note 5) | ||
Redeemable convertible preferred stock, $0.0001 par value, 26,473 shares authorized; no shares issued and outstanding as of January 31, 2015 and 17,349 shares issued and outstanding as of January 31, 2014; liquidation preference of $0 and $43,128 as of January 31, 2015 and 2014, respectively | 0 | 46,714 |
Total stockholders’ equity (deficit) | ||
Common stock, $0.0001 par value, 900,000 shares authorized, 54,802 and 7,038 shares issued and outstanding as of January 31, 2015 and 2014, respectively | 5 | 1 |
Common stock warrants | 0 | 2,334 |
Additional paid-in capital | 157,094 | 0 |
Accumulated deficit | -13,004 | -23,170 |
Total stockholders’ equity (deficit) | 144,095 | -12,706 |
Total liabilities, redeemable convertible preferred stock and stockholders’ equity (deficit) | 158,769 | 55,090 |
Redeemable convertible preferred stock | ||
Long-term liabilities | ||
Redeemable convertible preferred stock, $0.0001 par value, 26,473 shares authorized; no shares issued and outstanding as of January 31, 2015 and 17,349 shares issued and outstanding as of January 31, 2014; liquidation preference of $0 and $43,128 as of January 31, 2015 and 2014, respectively | 0 | 46,714 |
Convertible preferred stock | ||
Total stockholders’ equity (deficit) | ||
Convertible preferred stock, $0.0001 par value, 6,738 shares authorized, no shares issued and outstanding as of January 31, 2015 and 6,156 shares issued and outstanding as of January 31, 2014; liquidation preference of $0 and $12,764 as of January 31, 2015 and 2014, respectively | $0 | $8,129 |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Phantom) (USD $) | Jan. 31, 2015 | Jan. 31, 2014 |
Allowance for doubtful accounts | $40,000 | $40,000 |
Redeemable Convertible Preferred Stock, Shares Outstanding | 0 | 17,349,000 |
Preferred Stock, Par or Stated Value Per Share | $0.00 | $0.00 |
Preferred Stock, Shares Authorized | 100,000,000 | 100,000,000 |
Common Stock, Par or Stated Value Per Share | $0.00 | $0.00 |
Common Stock, Shares Authorized | 900,000,000 | 900,000,000 |
Common Stock, Shares, Issued | 54,802,000 | 54,802,000 |
Common Stock, Shares, Outstanding | 7,038,000 | 7,038,000 |
Redeemable convertible preferred stock | ||
Redeemable Convertible Preferred Stock, Par or Stated Value Per Share | $0.00 | $0.00 |
Redeemable Convertible Preferred Stock, Shares Authorized | 26,473,000 | 26,473,000 |
Redeemable Convertible Preferred Stock, Shares Issued | 0 | 17,349,000 |
Redeemable Convertible Preferred Stock, Shares Outstanding | 0 | 17,349,000 |
Redeemable Convertible Preferred Stock, Liquidation Preference | 0 | 43,128,000 |
Convertible preferred stock | ||
Preferred Stock, Par or Stated Value Per Share | $0.00 | $0.00 |
Preferred Stock, Shares Authorized | 6,738,000 | 6,738,000 |
Preferred Stock, Shares Issued | 0 | 6,156,000 |
Preferred Stock, Shares Outstanding | 0 | 6,156,000 |
Liquidation preference | $0 | $12,764,000 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements Of Operations And Comprehensive Income (Unaudited) (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Jan. 31, 2015 | Jan. 31, 2014 | Jan. 31, 2013 |
Revenue | |||
Account fee revenue | $45,010 | $30,575 | $22,102 |
Custodial fee revenue | 24,374 | 18,955 | 15,181 |
Card fee revenue | 17,746 | 11,931 | 8,520 |
Other revenue | 725 | 554 | 285 |
Total revenue | 87,855 | 62,015 | 46,088 |
Cost of services | |||
Account costs | 29,760 | 21,473 | 15,389 |
Custodial costs | 4,141 | 3,487 | 3,485 |
Card costs | 5,899 | 4,137 | 2,697 |
Other costs | 82 | 116 | 397 |
Total cost of services | 39,882 | 29,213 | 21,968 |
Gross profit | 47,973 | 32,802 | 24,120 |
Operating expenses | |||
Sales and marketing | 10,619 | 8,602 | 7,795 |
Technology and development | 10,501 | 7,142 | 4,229 |
General and administrative | 8,343 | 3,897 | 3,367 |
Amortization of acquired intangible assets | 1,637 | 1,637 | 1,637 |
Total operating expenses | 31,100 | 21,278 | 17,028 |
Income from operations | 16,873 | 11,524 | 7,092 |
Other expense | |||
Interest expense | 0 | -44 | -326 |
Loss on revaluation of warrants | 0 | -614 | -14 |
Loss on revaluation of redeemable convertible preferred stock derivative | -735 | -5,363 | -103 |
Total other expense | -374 | -129 | -147 |
Total other expense | -1,109 | -6,150 | -590 |
Income before income taxes | 15,764 | 5,374 | 6,502 |
Income tax provision (benefit) | 5,598 | 4,141 | -4,667 |
Net income and comprehensive income | 10,166 | 1,233 | 11,169 |
Comprehensive income | 10,166 | 1,233 | 11,169 |
Net income (loss) attributable to common stockholders: | |||
Basic (in dollars) | 12,058 | -7,132 | 3,993 |
Diluted (in dollars) | $10,901 | ($7,132) | $9,562 |
Net income (loss) per share attributable to common stockholders: | |||
Basic (in dollars per share) | $0.39 | ($1.26) | $0.81 |
Diluted (in dollars per share) | $0.21 | ($1.26) | $0.25 |
Weighted-average number of shares used in computing net income per share attributable to common stockholders | |||
Basic (in shares) | 31,181 | 5,651 | 4,924 |
Diluted (in shares) | 51,856 | 5,651 | 37,514 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements Of Redeemable Convertible Preferred Stock and Stockholders' Equity (Deficit) (USD $) | Total | Convertible preferred stock | Common stock | Common stock warrants | Additional paid-in capital | Accumulated deficit |
In Thousands, except Share data, unless otherwise specified | ||||||
Opening balance at Jan. 31, 2012 | ($16,577) | $8,990 | $1 | $3,684 | $0 | ($29,252) |
Opening balance at Jan. 31, 2012 | 39,319 | |||||
Opening balance, shares at Jan. 31, 2012 | 17,185,000 | |||||
Opening balance, shares at Jan. 31, 2012 | 6,738,000 | 4,857,000 | ||||
Redeemable convertible preferred stock | ||||||
Issuance of series D-3 redeemable convertible preferred stock as a stock dividend | 248,000 | |||||
Issuance of series D-3 redeemable convertible preferred stock as a stock dividend | 609 | |||||
Redeemable convertible preferred stock accretion | 1,258 | |||||
Stockholders’ equity (deficit) | ||||||
Issuance of series D-3 redeemable convertible preferred stock cash dividend | -655 | -655 | ||||
Exercise of 419 warrants at $0.0002 per share for 2013, 1,084 warrants at $0.0682 per share for 2014 and 2,972 warrants at $0.8008 per share for 2015, shares | 419,000 | |||||
Exercise of 419 warrants at $0.0002 per share for 2013, 1,084 warrants at $0.0682 per share for 2014 and 2,972 warrants at $0.8008 per share for 2015 | 750 | -5 | 755 | |||
Exercise of 110 stock options at $1.0025 per share for 2013, 568 stock options at $0.9210 per share for 2014 and 1,841 options at $1.3204 per share, shares | 110,000 | 110,000 | ||||
Exercise of 110 stock options at $1.0025 per share for 2013, 568 stock options at $0.9210 per share for 2014 and 1,841 options at $1.3204 per share | 110 | 110 | ||||
Stock-based compensation | 48 | 48 | ||||
Tax benefit on stock options exercised | 14 | 14 | ||||
Redeemable convertible preferred stock accretion | -1,258 | -927 | -331 | |||
Net income | 11,169 | 11,169 | ||||
Ending balance at Jan. 31, 2013 | -6,399 | 8,990 | 1 | 3,679 | 0 | -19,069 |
Ending balance at Jan. 31, 2013 | 41,186 | |||||
Ending balance, shares at Jan. 31, 2013 | 17,433,000 | |||||
Ending balance, shares at Jan. 31, 2013 | 6,738,000 | 5,386,000 | ||||
Redeemable convertible preferred stock | ||||||
Stock repurchased and retired-665,613 preferred shares (674,120 common stock equivalent shares), $5.00 per share | -84,000 | |||||
Stock repurchased and retired-665,613 preferred shares (674,120 common stock equivalent shares), $5.00 per share | -236 | |||||
Redeemable convertible preferred stock accretion | 5,764 | |||||
Stockholders’ equity (deficit) | ||||||
Issuance of series D-3 redeemable convertible preferred stock cash dividend | -694 | -694 | ||||
Exercise of 419 warrants at $0.0002 per share for 2013, 1,084 warrants at $0.0682 per share for 2014 and 2,972 warrants at $0.8008 per share for 2015, shares | 1,084,000 | |||||
Exercise of 419 warrants at $0.0002 per share for 2013, 1,084 warrants at $0.0682 per share for 2014 and 2,972 warrants at $0.8008 per share for 2015 | 1,202 | -1,345 | 2,547 | |||
Exercise of 110 stock options at $1.0025 per share for 2013, 568 stock options at $0.9210 per share for 2014 and 1,841 options at $1.3204 per share, shares | 568,000 | 568,000 | ||||
Exercise of 110 stock options at $1.0025 per share for 2013, 568 stock options at $0.9210 per share for 2014 and 1,841 options at $1.3204 per share | 523 | 523 | ||||
Stock-based compensation | 57 | 57 | ||||
Tax benefit on stock options exercised | 271 | 271 | ||||
Stock repurchased and retired-665,613 preferred shares (674,120 common stock equivalent shares), $5.00 per share | -582,000 | |||||
Stock repurchased and retired-665,613 preferred shares (674,120 common stock equivalent shares), $5.00 per share | -3,135 | -861 | -2,274 | |||
Redeemable convertible preferred stock accretion | -5,764 | -3,398 | -2,366 | |||
Net income | 1,233 | 1,233 | ||||
Ending balance at Jan. 31, 2014 | -12,706 | 8,129 | 1 | 2,334 | 0 | -23,170 |
Ending balance at Jan. 31, 2014 | 46,714 | |||||
Ending balance, shares at Jan. 31, 2014 | 17,349,000 | |||||
Ending balance, shares at Jan. 31, 2014 | 6,156,000 | 7,038,000 | ||||
Redeemable convertible preferred stock | ||||||
Conversion of preferred stock to common stock upon initial public offering, shares | -17,349 | |||||
Conversion of preferred stock to common stock upon initial public offering | -42,693 | |||||
Redeemable convertible preferred stock accretion | -4,021 | |||||
Stockholders’ equity (deficit) | ||||||
Issuance of series D-3 redeemable convertible preferred stock cash dividend | -347 | -347 | ||||
Issuance of common stock cash dividend | -50,000 | -50,000 | ||||
Exercise of 419 warrants at $0.0002 per share for 2013, 1,084 warrants at $0.0682 per share for 2014 and 2,972 warrants at $0.8008 per share for 2015, shares | 2,972,000 | |||||
Exercise of 419 warrants at $0.0002 per share for 2013, 1,084 warrants at $0.0682 per share for 2014 and 2,972 warrants at $0.8008 per share for 2015 | 2,380 | -2,334 | 4,714 | |||
Exercise of 110 stock options at $1.0025 per share for 2013, 568 stock options at $0.9210 per share for 2014 and 1,841 options at $1.3204 per share, shares | 1,841,000 | 1,841,000 | ||||
Exercise of 110 stock options at $1.0025 per share for 2013, 568 stock options at $0.9210 per share for 2014 and 1,841 options at $1.3204 per share | 2,430 | 2,430 | ||||
Conversion of preferred stock to common stock upon initial public offering, shares | -6,156,000 | 32,486,000 | ||||
Conversion of preferred stock to common stock upon initial public offering | 42,693 | -8,129 | 3 | 50,819 | ||
Issuance of common stock, shares | 10,465,000 | |||||
Issuance of common stock | 132,587 | 1 | 132,586 | |||
Stock-based compensation | 2,525 | 2,525 | ||||
Tax benefit on stock options exercised | 3,429 | 3,429 | ||||
Redeemable convertible preferred stock accretion | 4,021 | 4,021 | ||||
Reclassification of series D-3 redeemable convertible preferred stock derivative liability | 6,917 | 6,917 | ||||
Net income | 10,166 | 10,166 | ||||
Ending balance at Jan. 31, 2015 | 144,095 | 0 | 5 | 0 | 157,094 | -13,004 |
Ending balance at Jan. 31, 2015 | $0 | |||||
Ending balance, shares at Jan. 31, 2015 | 0 | |||||
Ending balance, shares at Jan. 31, 2015 | 0 | 54,802,000 |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statements Of Redeemable Convertible Preferred Stock and Stockholders' Equity (Deficit) Condensed Consolidated Statements of Redeemable Convertible Preferred Stock and Stockholders' Equity (Deficit) (Parenthetical) (USD $) | 0 Months Ended | 12 Months Ended | ||
Jan. 30, 2014 | Jan. 31, 2015 | Jan. 31, 2014 | Jan. 31, 2013 | |
Warrants exercised | 2,972,000 | 1,084,000 | 419,000 | |
Exercise price of warrants | $0.80 | $0.07 | $0.00 | |
Options, exercise price | $1.32 | $0.92 | $1.00 | |
Number of shares, exercised | 1,841,000 | 568,000 | 110,000 | |
Number of stock repurchased, common stock equivalent | 61,743 | |||
Repurchase price per share | $5 | |||
Common stock | ||||
Number of stock repurchased, common stock equivalent | 674,000 | 674,120 | ||
Series B, Series C and Series D-3 Preferred Stock | ||||
Number of stock repurchased, common stock equivalent | 660,000 | 665,613 |
Condensed_Consolidated_Stateme3
Condensed Consolidated Statements Of Cash Flows (Unaudited) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Jan. 31, 2015 | Jan. 31, 2014 | Jan. 31, 2013 |
Cash flows from operating activities: | |||
Net income | $10,166 | $1,233 | $11,169 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 5,890 | 4,270 | 3,365 |
Loss on revaluation of warrant liability | 0 | 614 | 14 |
Loss on revaluation of redeemable convertible preferred stock derivative | 735 | 5,363 | 103 |
Loss on other investments | 24 | 0 | 0 |
Bad debt expense | 31 | 0 | -100 |
Loss on revaluation of redeemable convertible preferred stock derivative | 0 | 38 | 112 |
Imputed interest on notes payable | 1,593 | 3,552 | -4,905 |
Deferred taxes | 2,525 | 57 | 47 |
Changes in operating assets and liabilities: | |||
Restricted cash | 0 | 791 | -752 |
Accounts receivable | -3,380 | -1,546 | 571 |
Inventories | -234 | -118 | 18 |
Prepaid expenses | -1,608 | -272 | -25 |
Letter of credit cash deposit | 0 | 0 | 86 |
Accounts payable | -1,156 | 1,492 | 245 |
Due to trust | 0 | -791 | 752 |
Accrued compensation | 1,167 | 1,334 | 770 |
Accrued liabilities | -802 | 1,808 | 213 |
Income taxes payable | 0 | -77 | 65 |
Deferred rent | 95 | 267 | 22 |
Net cash provided by operating activities | 15,046 | 18,015 | 11,770 |
Cash flows from investing activities: | |||
Purchase of property and equipment | -1,712 | -1,595 | -831 |
Purchase of software and capitalized software development costs | -6,420 | -3,844 | -1,906 |
Note receivable from shareholder | 0 | 800 | -800 |
Purchase of other investments | -305 | 0 | 0 |
Purchase of software and capitalized software development costs | -8,437 | -4,639 | -3,537 |
Purchase of other investments | |||
Net cash used in investing activities | 0 | -2,167 | -7,568 |
Dividend payments | -50,347 | -694 | 0 |
Cash flows from financing activities: | 132,587 | 0 | 0 |
Repurchase of redeemable convertible preferred stock and convertible preferred stock | 0 | -3,371 | 0 |
Proceeds from exercise of common stock options | 2,430 | 523 | 110 |
Repayment of notes payable | 2,380 | 74 | 0 |
Dividend payments | 3,429 | 271 | 0 |
Repurchase of redeemable convertible preferred stock and convertible preferred stock | 90,479 | -5,364 | -7,458 |
Proceeds from exercise of common stock warrants | 97,088 | 8,012 | 775 |
Beginning cash and cash equivalents | 13,917 | 5,905 | 5,130 |
Ending cash and cash equivalents | 111,005 | 13,917 | 5,905 |
Supplemental Cash Flow Information [Abstract] | |||
Interest expense paid in cash | 0 | -38 | -331 |
Interest expense paid in cash | -1,504 | -353 | -274 |
Supplemental disclosures of non-cash investing and financing activities: | |||
Beginning cash and cash equivalents | 50,822 | 0 | 0 |
Preferred stock accretion | 4,021 | -5,764 | -1,258 |
Ending cash and cash equivalents | 6,917 | 0 | 0 |
Common stock warrants exercised | 2,334 | 1,128 | 750 |
Series D-3 redeemable convertible preferred stock dividend | $0 | $0 | $609 |
Summary_of_business_and_signif
Summary of business and significant accounting policies | 12 Months Ended | |
Jan. 31, 2015 | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Summary of business and significant accounting policies | Summary of business and significant accounting policies | |
HealthEquity, Inc. was incorporated in the state of Delaware on September 18, 2002, and was organized to offer a full range of innovative solutions for managing health care accounts (Health Savings Accounts ("HSAs"), Health Reimbursement Arrangements ("HRAs"), and Flexible Spending Accounts ("FSAs")) for health plans, insurance companies, and third-party administrators. | ||
In February 2006, HealthEquity, Inc. received designation by the U.S. Department of Treasury to act as a passive non-bank custodian, which allows HealthEquity, Inc. to hold custodial assets in trust for individual account holders. At December 31, 2014, the Company’s year-end for trust and tax purposes, custodial assets held in trust were $2.0 billion. The Company’s operations consist primarily of servicing HSAs through the use of the Company’s proprietary technology. HSAs are tax-deductible, custodial accounts owned by individuals for health care purchases. An HSA-based health plan has two fundamental components—a High Deductible Health Plan ("HDHP"), which is required to qualify for the tax-deductible contributions to a participant’s HSA, and a custodial HSA. As a passive non-bank custodian, according to the Internal Revenue Code ("IRC") 1.408-2(e)(5)(ii)(B)(2), the Company must maintain net worth (assets minus liabilities) greater than 2% of custodial funds held in trust at each year-end in order to take on additional custodial assets. At December 31, 2014, the Company’s year-end for trust and tax purposes, the net worth of the Company as defined in Treasury Regulation §104-2(e)(5)(ii) by subtracting the Company’s total liabilities from the total assets, resulted in a calculated net worth of $141,807,550. The amount of supportable custodial funds calculated by dividing the Company’s net worth (defined above) by two percent, pursuant to the requirements of Treasury Regulation §104-2(e)(5)(ii)(C) as of December 31, 2014, was $7,090,377,499. The amount that the supportable custodial funds exceeded the actual amount of custodial funds at December 31, 2014 was $5,121,308,728. In the event the Company is unable to comply with the aforementioned net worth requirement, IRC 1.408-2(e)(5)(ii)(C)(2) requires the Company, as a passive non-bank custodian, to take whatever lawful steps necessary, including the relinquishment of fiduciary accounts, to ensure that its net worth exceeds 1% of the custodial assets. | ||
The accompanying financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America, or GAAP, which contemplates the realization of assets and satisfaction of liabilities in the normal course of business. This summary of significant accounting policies of the Company is presented to assist in understanding the Company's consolidated financial statements. The financial statements and notes are representations of the Company's management, which is responsible for their integrity and objectivity. These accounting policies conform to accounting principles generally accepted in the United States of America and have been consistently applied in the preparation of the consolidated financial statements. Certain reclassifications may be made to prior year amounts to conform to the current year presentation. | ||
Principles of consolidation—The consolidated financial statements include the accounts of HealthEquity, Inc. and its wholly owned subsidiaries, First HSA, LLC, First Horizon MSaver, Inc., HEQ Insurance Services, Inc., and HealthEquity Advisors, LLC (collectively referred to as the "Company"). First HSA, LLC and First Horizon MSaver, Inc. were dissolved during the year ended January 31, 2014. During the year ended January 31, 2015, the Company and an unrelated company formed a joint venture ("Healthbox") for the management of early stage companies in the healthcare industry. The Company has a 22% ownership interest in Healthbox accounted for using the equity method of accounting. The investment was approximately $281,000 as of January 31, 2015 and is included in other investments on the accompanying consolidated balance sheets. All significant intercompany balances and transactions have been eliminated. | ||
Initial public offering—On August 5, 2014, the Company consummated its initial public offering ("IPO") and issued and sold 10,465,000 shares of its common stock at a public offering price of $14.00 per share, less the underwriters' discount. The Company received net proceeds of approximately $132.6 million after deducting underwriters' discounts and commissions of approximately $10.2 million and other offering expenses payable by the Company of approximately $3.7 million. The underwriting discounts and commissions and other offering expenses were recorded as an offset against the IPO proceeds in additional paid-in capital upon the closing of the IPO on August 5, 2014. | ||
Deferred offering costs—Deferred offering costs consisting of legal, accounting and filing fees relating to our IPO were capitalized until the consummation of our IPO in August 2014, at which time the deferred offering costs were offset against our IPO proceeds upon the completion of the offering. | ||
Capital structure—On July 14, 2014, the Company's board of directors approved an amended and restated certificate of incorporation, pursuant to which the total number of shares of all classes of capital stock that the Company is authorized to issue is 1,000,000,000 shares, including 900,000,000 shares of common stock and 100,000,000 shares of preferred stock, par value $0.0001 per share. The amended and restated certificate of incorporation was filed with the Secretary of State of the State of Delaware and became effective on August 5, 2014 in connection with the completion of the IPO. | ||
On July 14, 2014, the Company's board of directors declared a cash dividend in an aggregate amount of $50.0 million on shares of the Company's common stock outstanding on August 4, 2014 (after giving effect to the conversion of all outstanding convertible preferred stock and redeemable convertible preferred stock into shares of common stock). The terms of each of the Company's stock plans, including the 2003 Director Stock Plan, 2003 Stock Plan, 2005 Stock Plan, 2006 Stock Plan, 2009 Stock Plan and the 2014 Equity Incentive Plan requires an adjustment to outstanding stock options to prevent dilution of the holders’ interests as a result of the foregoing special dividend. Accordingly, the Company's board of directors approved an adjustment to reduce the exercise price by $1.00 of each of the stock options outstanding as of the record date, August 4, 2014, excluding those options granted on July 30, 2014 in connection with the IPO. The reduction of the exercise price to stock options outstanding as of the record date, August 4, 2014, resulted in no incremental compensation expense. | ||
As of the close of business on August 4, 2014, all of the Company's redeemable convertible preferred stock and convertible preferred stock converted into 32,486,588 shares of common stock. | ||
Segments—The Company operates in one segment. Management uses one measurement of profitability and does not segregate its business for internal reporting. All long-lived assets are maintained in the United States of America. | ||
Cash, cash equivalents and restricted cash—The Company considers all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents. The Company’s cash and cash equivalents were held in institutions in the U.S. and include deposits in a money market account that was unrestricted as to withdrawal or use. Restricted cash represents custodial funds held temporarily by the Company in its accounts with a corresponding due to trust liability account. | ||
Accounts receivable—Accounts receivable represent monies due to the Company for monthly account fees, fees from custodial banks, card fees and other revenue. As of January 31, 2015, accounts receivable consisted of $4.9 million of account fees, $2.6 million of fees from custodial banks, and $1.6 million of card fees and other revenue. The Company maintains an allowance for doubtful accounts to reserve for potentially uncollectible receivable amounts. In evaluating the Company’s ability to collect outstanding receivable balances, the Company considers various factors including the age of the balance, the creditworthiness of the customer, which is assessed based on ongoing credit evaluations and payment history, and the customer’s current financial condition. As of January 31, 2015, 2014 and 2013, the Company had allowance for doubtful accounts of $40,000. | ||
Inventories—Inventories consist of new member and participant supplies and are recorded at the lower of cost or market using an average cost basis. | ||
Property and equipment—Property and equipment, including leasehold improvements, are stated at cost less accumulated depreciation. Depreciation is determined using the straight-line method over the estimated useful lives of individual assets. The useful life for leasehold improvements is the shorter of the estimated useful life or the term of the lease ranging from 3-5 years. The useful life used for computing depreciation for all other asset classes is described below: | ||
Computer Equipment | 3-5 years | |
Furniture and Fixtures | 5 years | |
Maintenance and repairs are expensed when incurred, and improvements that extend the economic useful life of an asset are capitalized. Gains and losses on the disposal of property and equipment are reflected in operating expenses. | ||
Capitalized software development costs—We account for the costs of computer software developed or obtained for internal use in accordance with Accounting Standards Codification (“ASC”) 350-40, “Internal-Use Software.” Costs incurred during operation and post-implementation stages are charged to expense. Costs incurred that are directly attributable to developing or obtaining software for internal use incurred in the application development stage are capitalized. Management’s judgment is required in determining the point when various projects enter the stages at which costs may be capitalized, in assessing the ongoing value of the capitalized costs and in determining the estimated useful lives over which the costs are amortized. See Note 4—Intangible Assets and Goodwill for additional information. | ||
Intangible assets, net—Intangible assets are carried at cost and amortized, typically, on a straight-line basis over their estimated useful lives, which is 3-5 years for capitalized software development costs and acquired technology rights, and 15 years for certain acquired intangible member assets. The acquired intangible member assets are the result of various acquisitions of HSA portfolios. A significant portion of the purchase price from each acquisition has been allocated to the acquired HSA assets, which consists of the contractual rights to administer the activities related to the individual health savings accounts acquired. The Company analyzed the historical attrition and depletion rates of member accounts and determined that an average useful life of 15 years and the use of a straight-line amortization method are appropriate to reflect the pattern over which the economic benefits of existing member assets are realized. The Company reviews identifiable amortizable intangible assets to be held and used for impairment whenever events or changes in circumstances indicate that the carrying value of the assets may not be recoverable. Determination of recoverability is based on the lowest level of identifiable estimated undiscounted cash flows resulting from use of the asset and its eventual disposition. Measurement of any impairment loss is based on the excess of the carrying value of the asset over its fair value. There have been no impairment charges recorded in any of the periods presented in the accompanying consolidated financial statements. See Note 4—Intangible Assets and Goodwill for additional information. | ||
Goodwill—Goodwill represents the excess of the purchase price over the fair value of the net tangible and intangible assets acquired in a business combination. Goodwill is not amortized, but is tested for impairment annually on January 31 or more frequently if events or changes in circumstances indicate that the asset may be impaired. The Company’s impairment tests are based on a single operating segment and reporting unit structure. The goodwill impairment test involves a two-step process. The first step involves comparing the Company's market capitalization to the carrying value of the reporting unit, including goodwill. If the carrying value of the reporting unit exceeds its fair value, the second step of the test is performed by comparing the carrying value of the goodwill in the reporting unit to its implied fair value. An impairment charge is recognized for the excess of the carrying value of goodwill over its implied fair value. | ||
The Company’s annual goodwill impairment test resulted in no impairment charges in any of the periods presented in the accompanying consolidated financial statements. | ||
Deferred rent—The Company recognizes rental expense for its office lease on a straight-line basis over the lease term. Deferred rent represents the difference between actual operating lease payments due and straight-line rent expense. The excess is recorded as a deferred credit in the early periods of the lease, when cash payments are generally lower than straight-line rent expense, and is reduced in the later periods of the lease when payments begin to exceed the straight-line expense. | ||
Revenue recognition—The Company recognizes revenue when persuasive evidence of an arrangement exists, services have been provided, the price of services is fixed or determinable, and collection is reasonably assured. The Company generates revenue primarily from account fees, custodial fees, card fees and other services. | ||
The Company earns account fee revenue from the fees paid by health plan partners, employer partners or individual members for administration services provided in connection with the tax-advantaged HSAs, HRAs and FSAs the Company administers. These fees are generally fixed for the duration of the contract agreement with health plan or employer partners, which is typically three to five years. The fees are paid on a monthly basis and revenue is recognized monthly as services are rendered under the Company’s written service agreements. | ||
The Company earns custodial fee revenue from HSA custodial assets held in trust. As a non-bank custodian, the Company deposits HSA cash with various custodial financial institutions having contract terms from three to five years and either a fixed or variable interest rate. These deposits are FDIC insured for each individual HSA. The Company also invests HSA cash in an annuity contract with a insurance company partner. HSA investment balances are deposited with the custodial investment partner from whom the Company receives an administrative and recordkeeping fee. | ||
The Company earns card fee revenue (also known as interchange) from card transactions when members are paying their healthcare claims using a card issued by the Company. | ||
Cost of services—The Company incurs cost of services related to servicing member accounts, managing customer and partner relationships, and processing reimbursement claims. Expenditures include personnel-related costs, depreciation, amortization, stock-based compensation, common expense allocations, new member and participant supplies and other operating costs of the Company’s related member account servicing departments. Other components of the Company’s cost of services sold include interest paid to members on custodial assets held in trust and card costs incurred in connection with processing card transactions initiated by members. | ||
Stock-based compensation—For stock options granted to employees, the Company recognizes compensation expense for all stock-based awards based on the grant date estimated fair value. The value of the portion of the award that is ultimately expected to vest is recognized as expense ratably over the requisite service period. The fair value of stock options is determined using the Black-Scholes option pricing model. The determination of fair value for stock-based awards on the date of grant using an option pricing model requires management to make certain assumptions regarding a number of complex and subjective variables. | ||
Stock-based compensation expense related to stock options granted to non-employees is recognized based on the fair value of the stock options, determined using the Black-Scholes option pricing model, as they are earned. The awards generally vest over the time period the Company expects to receive services from the non-employee. | ||
For awards with performance conditions, we evaluate the probability of achieving the performance criteria and of the number of shares that are expected to vest, and compensation expense is then adjusted to reflect the number of shares expected to vest and the requisite service period. For awards with performance conditions, compensation expense is recognized using the graded-vesting attribution method in accordance with the provisions of FASB ASC Topic 718, Compensation—Stock Compensation ("Topic 718"). | ||
Upon the exercise of a stock option, common shares are issued from authorized, but not outstanding, common stock. | ||
Income tax provision (benefit)—The Company accounts for income taxes and the related accounts under the liability method as set forth in the authoritative guidance for accounting for income taxes. Under this method, current tax liabilities and assets are recognized for the estimated taxes payable or refundable on the tax returns for the current fiscal year. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases, for net operating losses, and for tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted statutory tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be realized or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. | ||
A valuation allowance is provided for when it is more likely than not that some or all of the deferred tax assets may not be realized in future years. After weighing both the positive and negative evidence, the Company believes that it is more likely than not that all deferred tax assets will be realized as of January 31, 2015. Based upon the Company’s operating results through January 31, 2013 and an assessment of expected future results of operations, management determined that there was significant positive evidence regarding the realization of the majority of the Company’s U.S. federal and state deferred tax assets. At that time, $7.5 million of the Company’s valuation allowance was released, leaving a valuation allowance of $29,000 remaining related to state net operating losses for which the Company expected no benefit as of January 31, 2013. During the year ended January 31, 2014, the remaining valuation allowance of $29,000 was written-off due to the associated state net operating losses expiring unutilized. The release of the valuation allowance was recorded as a tax benefit on the Company’s consolidated financial statements during the years ended January 31, 2014 and 2013. As of January 31, 2015 and 2014, No valuation allowance remained on the Company’s consolidated financial statements. | ||
The Company recognizes the tax benefit from an uncertain tax position taken or expected to be taken in a tax return using a two-step approach. The first step is to evaluate the tax position taken or expected to be taken in a tax return by determining if the weight of available evidence indicates that it is more likely than not that the tax position will be sustained upon examination by the relevant taxing authorities, based on the technical merits of the position. For tax positions that are more likely than not to be sustained upon audit, the second step is to measure the tax benefit in the financial statements as the largest benefit that has a greater than 50% likelihood of being sustained upon settlement. The Company recognizes interest and penalties, if any, related to unrecognized tax benefits as a component of other expense in the Consolidated Statements of Operations and Comprehensive Income. Significant judgment is required to evaluate uncertain tax positions. Changes in facts and circumstances could have a material impact on the Company’s effective tax rate and results of operations. | ||
Comprehensive income—Comprehensive income is defined as a change in equity of a business enterprise during a period, resulting from transactions from non-owner sources. There have been no items qualifying as other comprehensive income and, therefore, for all periods presented, the Company’s comprehensive income was the same as its reported net income. | ||
Use of estimates—The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Management has made estimates for the allowance for doubtful accounts, capitalized software development costs, evaluating goodwill and long-lived assets for impairment, useful lives of property and equipment and intangible assets, warrant liability, series D-3 redeemable convertible preferred stock derivative liability, accrued compensation, accrued liabilities, grant date fair value of stock options and income taxes. Actual results could differ from those estimates. | ||
Concentration of market risk—The Company derives a substantial portion of its revenue from providing services for healthcare accounts. A significant downturn in this market or changes in state and/or federal laws impacting the preferential tax treatment of healthcare accounts could have a material adverse effect on the Company’s results of operations. For the years ended January 31, 2015, 2014 and 2013, no one customer accounted for greater than 10% of revenue or accounts receivable. | ||
Concentration of credit risk—Financial instruments, which potentially subject the Company to concentrations of credit risk, consist primarily of cash. The Company maintains its cash and cash equivalents in bank and other depository accounts, which, at times, may exceed federally insured limits. The Company’s cash and cash equivalents held in banks as of January 31, 2015 was $111.0 million, of which $500,000 was covered by federal depository insurance. The Company has not experienced any losses in such accounts and believes it is not exposed to any significant credit risk on cash. The Company’s accounts receivable balance as of January 31, 2015 was $9.1 million. The Company has not experienced any significant write-offs to accounts receivable and believes that it is not exposed to significant credit risk with respect to accounts receivable. | ||
Interest rate risk—The Company has entered into depository agreements with financial institutions for its custodial cash deposits. The contracted interest rates were negotiated at the time the depository agreements were executed. A significant reduction in prevailing interest rates may make it difficult for the Company to continue to place custodial deposits at the current contracted rates. | ||
Recent accounting pronouncements—On May 28, 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2014-09, Revenue from Contracts with Customers, which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The ASU will replace most existing revenue recognition guidance in GAAP when it becomes effective. The new standard is effective for our annual and interim reporting periods beginning February 1, 2017. Early application is not permitted. The standard permits the use of either the retrospective or cumulative effect transition method. The Company is evaluating the effect that ASU 2014-09 will have on the consolidated financial statements and related disclosures. The Company has not yet selected a transition method nor determined the effect of the standard on the ongoing financial reporting. |
Net_income_loss_per_share_attr
Net income (loss) per share attributable to common stockholders | 12 Months Ended | ||||||||||||
Jan. 31, 2015 | |||||||||||||
Earnings Per Share [Abstract] | |||||||||||||
Net income (loss) per share attributable to common stockholders | The Company computes net income per share of common stock in conformity with the two-class method required for participating securities. The Company considers its series D-3 redeemable convertible preferred stock to be participating securities as the holders of the preferred stock were entitled to receive a dividend in the event that a dividend is paid on common stock. The following table sets forth the computation of basic and diluted net income per share attributable to common stockholders: | ||||||||||||
(in thousands, except per share data) | Year ended January 31, | ||||||||||||
2015 | 2014 | 2013 | |||||||||||
Numerator (basic and diluted): | |||||||||||||
Net income | $ | 10,166 | $ | 1,233 | $ | 11,169 | |||||||
Add back (deduction): accretion of redeemable convertible preferred stock | 4,021 | (5,764 | ) | (1,258 | ) | ||||||||
Less: dividend on redeemable convertible preferred stock and dividend on convertible preferred stock | (1,286 | ) | (2,601 | ) | (2,563 | ) | |||||||
Less: undistributed income attributed to redeemable convertible preferred stockholders | (843 | ) | — | (3,355 | ) | ||||||||
Net income (loss) attributable to common stockholders for basic earnings per share | $ | 12,058 | $ | (7,132 | ) | $ | 3,993 | ||||||
Add back: dividend of redeemable convertible preferred stock | 1,286 | — | 1,361 | ||||||||||
Add back (deduction): accretion on redeemable convertible preferred stock and dividend on convertible preferred stock | (4,021 | ) | — | 1,907 | |||||||||
Add back: series D-3 derivative liability revaluations | 735 | — | — | ||||||||||
Add back: adjustment to undistributed income attributed to redeemable convertible preferred stockholders | 843 | — | 2,301 | ||||||||||
Net income (loss) attributable to common stockholders for diluted earnings per share | $ | 10,901 | $ | (7,132 | ) | $ | 9,562 | ||||||
Denominator (basic): | |||||||||||||
Weighted-average common shares outstanding | 31,181 | 5,651 | 4,924 | ||||||||||
Denominator (diluted): | |||||||||||||
Weighted-average common shares outstanding | 31,181 | 5,651 | 4,924 | ||||||||||
Effect of potential dilutive securities: | |||||||||||||
Weighted-average dilutive effect of stock options | 3,071 | — | 1,016 | ||||||||||
Weighted-average dilutive effect of common shares from stock warrants | 1,227 | — | 2,817 | ||||||||||
Dilutive effect from preferred stock assuming conversion | 16,377 | — | 28,757 | ||||||||||
Weighted-average common shares outstanding | 51,856 | 5,651 | 37,514 | ||||||||||
Net income (loss) per share attributable to common stockholders: | |||||||||||||
Basic | $ | 0.39 | $ | (1.26 | ) | $ | 0.81 | ||||||
Diluted | $ | 0.21 | $ | (1.26 | ) | $ | 0.25 | ||||||
For the years ended January 31, 2015, 2014 and 2013, approximately 745,000, 33.2 million, and 4.6 million shares, respectively, attributable to outstanding series A and series B convertible preferred stock, series C, D-1, D-2 and D-3 redeemable convertible preferred stock, common stock warrants, and stock options were excluded from the calculation of diluted earnings per share as their inclusion would have been anti-dilutive. |
Property_and_equipment
Property and equipment | 12 Months Ended | ||||||||
Jan. 31, 2015 | |||||||||
Property, Plant and Equipment [Abstract] | |||||||||
Property and equipment | Property and equipment consisted of the following as of January 31, 2015 and January 31, 2014: | ||||||||
(in thousands) | 31-Jan-15 | 31-Jan-14 | |||||||
Leasehold improvements | $ | 506 | $ | 329 | |||||
Furniture and fixtures | 1,317 | 1,094 | |||||||
Computer equipment | 4,013 | 3,075 | |||||||
Property and equipment, gross | 5,836 | 4,498 | |||||||
Accumulated depreciation | (3,259 | ) | (2,506 | ) | |||||
Property and equipment, net | $ | 2,577 | $ | 1,992 | |||||
Depreciation expense for the years ended January 31, 2015, 2014 and 2013 was $1.1 million, $728,000 and $638,000 respectively. |
Intangible_assets_and_goodwill
Intangible assets and goodwill | 12 Months Ended | ||||||||
Jan. 31, 2015 | |||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||
Intangible assets and goodwill | Intangible assets and goodwill | ||||||||
During the years ended January 31, 2015, 2014 and 2013, the Company capitalized software development costs of $5.2 million, $1.8 million and $1.0 million, respectively, related to significant enhancements and upgrades to its proprietary system. | |||||||||
The gross carrying amount and associated accumulated amortization of intangible assets is as follows as of January 31, 2015 and January 31, 2014: | |||||||||
(in thousands) | 31-Jan-15 | 31-Jan-14 | |||||||
Amortized intangible assets: | |||||||||
Capitalized software development costs | $ | 10,468 | $ | 5,290 | |||||
Software | 4,695 | 3,351 | |||||||
Acquired intangible member assets | 24,563 | 24,563 | |||||||
Intangible assets, gross | 39,726 | 33,204 | |||||||
Accumulated amortization | (13,185 | ) | (8,513 | ) | |||||
Intangible assets, net | $ | 26,541 | $ | 24,691 | |||||
During the years ended January 31, 2015, 2014 and 2013, the Company incurred and expensed a total of $4.6 million, $2.4 million and $1.7 million, respectively, in software development costs primarily related to the post-implementation and operation stages of its proprietary software. | |||||||||
Amortization expense for the years ended January 31, 2015, 2014 and 2013 was $4.8 million, $3.5 million and $2.7 million, respectively. Estimated amortization expense for the years ending January 31 is as follows: | |||||||||
Year ending January 31, (in thousands) | |||||||||
2016 | $ | 5,717 | |||||||
2017 | 4,398 | ||||||||
2018 | 2,850 | ||||||||
2019 | 1,660 | ||||||||
2020 | 1,637 | ||||||||
Thereafter | 10,279 | ||||||||
Total | $ | 26,541 | |||||||
All of the Company’s goodwill was generated from the acquisition of First Horizon MSaver, Inc. on August 11, 2011. There have been no changes to the goodwill carrying value during the years ended January 31, 2015 and 2014. |
Commitments_and_contingencies
Commitments and contingencies | 12 Months Ended | ||||||||||||
Jan. 31, 2015 | |||||||||||||
Commitments and Contingencies Disclosure [Abstract] | |||||||||||||
Commitments and contingencies | Property, colocation, equipment, and license agreements—The Company leases office space, data storage facilities, equipment and certain maintenance agreements under long-term, non-cancelable operating leases. Future minimum lease payments required under non-cancelable obligations as of January 31, 2015 are as follows: | ||||||||||||
Year ending January 31, (in thousands) | Office lease | Other agreements | Total | ||||||||||
2016 | $ | 1,319 | $ | 95 | $ | 1,414 | |||||||
2017 | 1,235 | 51 | 1,286 | ||||||||||
2018 | 1,218 | 1 | 1,219 | ||||||||||
2019 | 1,218 | — | 1,218 | ||||||||||
2020 | 305 | — | 305 | ||||||||||
Thereafter | — | — | — | ||||||||||
Total | $ | 5,295 | $ | 147 | $ | 5,442 | |||||||
The Company also has agreements with several entities for access to technology and software. The agreements are based on usage, and there are no minimum required monthly payments. | |||||||||||||
The Company has entered into a non-cancelable lease agreement with escalating lease payments for office space. The term of the lease began December 1, 2012, and runs for 77 months with renewal options. Under the terms of the agreement, the Company is responsible for all expenses, taxes, and insurance on the leased property and also a pro-rata share of the expenses related to common areas. In March 2014, the Company modified its corporate office lease to expand its existing space. The Company also leases office space in Overland Park, Kansas, which expires in March 2016. | |||||||||||||
Lease expense for office space for the years ended January 31, 2015, 2014 and 2013 totaled $1.6 million, $935,000 and $811,000, respectively. Expense for other agreements for the years ended January 31, 2015, 2014 and 2013 totaled $148,000, $214,000 and $188,000, respectively. | |||||||||||||
Processing services agreement—During the year ended January 31, 2012, the Company amended its merchant processing services agreement with a vendor. The agreement expires in 2016 and requires the Company to pay a dollar minimum processing fee based on the processing year of the agreement. The Company may terminate the agreement beginning January 1, 2014 by providing 180 days’ written notice. | |||||||||||||
If the processing agreement is terminated prior to December 31, 2016, the Company is required to pay the vendor a termination fee, equal to 70% of the aggregate value of the minimum processing fees for the remaining years of the agreement, plus a portion of the account boarding incentive fee. | |||||||||||||
Minimum processing fees required under the terms of the merchant processing services agreement are as follows: | |||||||||||||
Year ending January 31, (in thousands) | Minimum | ||||||||||||
processing fees | |||||||||||||
2016 | $ | 825 | |||||||||||
2017 | $ | 825 | |||||||||||
For each of the years ended January 31, 2015, 2014 and 2013, the Company exceeded the minimum amounts required under the agreement. | |||||||||||||
Contingencies—In the normal course of business, the Company enters into contracts and agreements that contain a variety of representations and warranties and provide for general indemnifications. The Company’s exposure under these agreements is unknown because it involves claims that may be made against the Company in the future, but have not yet been made. The Company accrues a liability for such matters when it is probable that future expenditures will be made and such expenditures can be reasonably estimated. | |||||||||||||
Indemnification—In accordance with the Company’s amended and restated Certificate of Incorporation and amended and restated bylaws, the Company has indemnification obligations to its officers and directors for certain events or occurrences, subject to certain limits, while they are serving at the Company’s request in such capacity. There have been no claims to date and the Company has a director and officer insurance policy that may enable it to recover a portion of any amounts paid for future claims. | |||||||||||||
Litigation—The Company may from time to time be involved in legal proceedings arising from the normal course of business. There are no pending or threatened legal proceedings as of January 31, 2015, 2014 and 2013. |
Income_taxes
Income taxes | 12 Months Ended | ||||||||||||
Jan. 31, 2015 | |||||||||||||
Income Tax Disclosure [Abstract] | |||||||||||||
Income taxes | Income taxes | ||||||||||||
Income tax provision (benefit) consists of the following for the years ended January 31, 2015, 2014 and 2013: | |||||||||||||
(in thousands) | 2015 | 2014 | 2013 | ||||||||||
Current: | |||||||||||||
Federal | $ | 3,574 | $ | 225 | $ | 134 | |||||||
State | 451 | 93 | 90 | ||||||||||
Total Current tax provision | $ | 4,025 | $ | 318 | $ | 224 | |||||||
Deferred: | |||||||||||||
Federal | $ | 1,703 | $ | 3,622 | $ | (4,539 | ) | ||||||
State | (130 | ) | 201 | (352 | ) | ||||||||
Total deferred tax provision (benefit) | $ | 1,573 | $ | 3,823 | $ | (4,891 | ) | ||||||
Total income tax provision (benefit) | $ | 5,598 | $ | 4,141 | $ | (4,667 | ) | ||||||
Total income tax provision (benefit) differed from the amounts computed by applying the U.S. federal statutory income tax rate of 34% to income before income tax provision as a result of the following: | |||||||||||||
(in thousands) | 2015 | 2014 | 2013 | ||||||||||
Federal income tax provision at the statutory rate | $ | 5,360 | $ | 1,827 | $ | 2,211 | |||||||
State income tax provision, net of federal tax benefit | 297 | 293 | 240 | ||||||||||
Non-deductible or non-taxable items | 313 | 2,144 | 90 | ||||||||||
Federal research and development credit | (421 | ) | (160 | ) | (65 | ) | |||||||
Change in valuation allowance | — | (29 | ) | (7,455 | ) | ||||||||
Change in uncertain tax position reserves, net of indirect benefits | 54 | 43 | 133 | ||||||||||
Other items, net | (5 | ) | 23 | 179 | |||||||||
Total income tax provision (benefit) | $ | 5,598 | $ | 4,141 | $ | (4,667 | ) | ||||||
Deferred tax assets and liabilities consist of the following as of January 31, 2015 and 2014: | |||||||||||||
(in thousands) | 2015 | 2014 | |||||||||||
Deferred tax assets: | |||||||||||||
Current: | |||||||||||||
Accrued bonuses | $ | 441 | $ | 321 | |||||||||
Net operating loss carryforward | 21 | 1,919 | |||||||||||
Research and development credit | 751 | 307 | |||||||||||
AMT credit | 412 | 442 | |||||||||||
Other accruals and reserves, net | 139 | 91 | |||||||||||
Net current deferred tax asset | $ | 1,764 | $ | 3,080 | |||||||||
Non-Current: | |||||||||||||
Net operating loss carryforward | $ | 35 | $ | 43 | |||||||||
Nonqualified stock options | 994 | 71 | |||||||||||
Deferred rent | 184 | 147 | |||||||||||
Other, net | 24 | 60 | |||||||||||
Net non-current deferred tax asset | 1,237 | 321 | |||||||||||
Total gross deferred tax assets | $ | 3,001 | $ | 3,401 | |||||||||
Deferred tax liabilities: | |||||||||||||
Non-current: | |||||||||||||
Fixed assets: depreciation and gain/Loss | $ | (675 | ) | $ | (467 | ) | |||||||
Intangibles: amortization | (5,897 | ) | (4,885 | ) | |||||||||
Total gross non-current deferred tax liability | (6,572 | ) | (5,352 | ) | |||||||||
Net non-current deferred tax liability | $ | (5,335 | ) | $ | (5,031 | ) | |||||||
Net deferred tax liability | $ | (3,571 | ) | $ | (1,951 | ) | |||||||
In assessing whether deferred tax assets would be realized, management considered whether it is more likely than not that some portion or all of the deferred tax assets would be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considered the scheduled reversal of deferred tax liabilities, projected future taxable income and tax planning strategies in making this assessment and determined that based on the weight of all available evidence, it is more likely than not (a likelihood of more than 50%) that the Company will be able to realize its deferred tax assets. Therefore, no valuation allowance was required as of January 31, 2015. The valuation allowance decreased by $29,000 and $7.5 million during the years ended January 31, 2014, and 2013, respectively. No valuation allowance remained as of January 31, 2014. | |||||||||||||
As of January 31, 2015, the Company had state net operating loss carryforwards of $1.2 million, which begin to expire at various intervals between tax years ending December 31, 2023 and December 31, 2028. As of January 31, 2015, the Company also had federal and state research and development carryforwards of $743,000 and $391,000, respectively, which expire beginning with the tax year ending December 31, 2031, and federal and state alternative minimum tax credit carryforwards of $411,000 and $1,000, respectively, which do not expire. | |||||||||||||
The Company’s current income taxes payable has been reduced by tax benefits from employee and director stock option plan awards. The Company receives an income tax benefit calculated as the tax effect of the difference between the fair market value of the stock issued at the time of exercise and the exercise price. | |||||||||||||
As of January 31, 2015 and 2014, the gross unrecognized tax benefit was $300,000 and $256,000, respectively. If recognized, $230,000 and $177,000 of the total unrecognized tax benefits would affect the Company's effective tax rate as of January 31, 2015 and 2014, respectively. Total gross unrecognized tax benefits increased by $44,000 in the period from January 31, 2014 to January 31, 2015. A tabular reconciliation of the beginning and ending amount of gross unrecognized tax benefits is as follows: | |||||||||||||
(in thousands) | 2015 | 2014 | |||||||||||
Gross unrecognized tax benefits at beginning of year | $ | 256 | $ | 207 | |||||||||
Gross amounts of increases and decreases: | |||||||||||||
Increases as a result of tax positions taken during a prior period | — | — | |||||||||||
Decreases as a result of tax positions taken during a prior period | (88 | ) | — | ||||||||||
Increases as a result of tax positions taken during the current period | 144 | 49 | |||||||||||
Decreases as a result of tax positions taken during the current period | — | — | |||||||||||
Decreases resulting from the lapse of the applicable statute of limitations | (12 | ) | — | ||||||||||
Gross unrecognized tax benefits at end of year | $ | 300 | $ | 256 | |||||||||
Certain unrecognized tax benefits are required to be netted against their related deferred tax assets as a result of Accounting Standards Update No. 2013-11. The resulting unrecognized tax benefit recorded within the Company's consolidated balance sheet excludes the following amounts that have been netted against the related deferred tax assets accordingly: | |||||||||||||
(in thousands) | 2015 | 2014 | |||||||||||
Total gross unrecognized tax benefits | $ | 300 | $ | 256 | |||||||||
Amounts netted against related deferred tax assets | (280 | ) | (209 | ) | |||||||||
Unrecognized tax benefits recorded on the consolidated balance sheet | $ | 20 | $ | 47 | |||||||||
The Company’s policy is to recognize interest and penalties related to unrecognized tax benefits as a component of other expense in the statement of operations. During the years ended January 31, 2015, 2014, and 2013, respectively, the Company recorded an increase/(decrease) of $(6,000), $5,000 and $9,000 in interest and penalties related to unrecognized tax benefits for total accrued interest and penalties of $8,000 and $14,000 as of January 31, 2015 and 2014, respectively. The Company anticipates a decrease of $20,000 in total gross unrecognized tax benefits within 12 months of the reporting date related to uncertain tax positions on research and development credits claimed and the untimely filing of certain elections for which a lapse of the applicable statute of limitations is expected. | |||||||||||||
The Company files income tax returns with U.S. federal and state taxing jurisdictions and is not currently under examination with any jurisdiction. The Company remains subject to examination by federal and various state taxing jurisdictions for tax years after 2003. |
Redeemable_convertible_preferr
Redeemable convertible preferred stock and convertible preferred stock | 12 Months Ended | ||||||||||||||
Jan. 31, 2015 | |||||||||||||||
Equity [Abstract] | |||||||||||||||
Redeemable convertible preferred stock and convertible preferred stock | In connection with the Company's IPO, all outstanding shares of the Company's convertible preferred stock and redeemable convertible preferred stock converted into 32,486,588 shares of common stock. In accordance with their respective terms, shares of the series A and series B convertible preferred stock and D-3 redeemable convertible preferred stock converted into shares of common stock on a 1:1 basis, shares of series C redeemable and convertible preferred stock converted into shares of common stock on a 1:1.38 basis, shares of the series D-1 redeemable convertible preferred stock converted into shares of common stock on a 1:2 basis, and shares of the series D-2 redeemable convertible preferred stock converted into shares of common stock on a 1:2.27 basis. As a result, as of August 4, 2014, amounts associated with the convertible preferred stock and redeemable convertible preferred stock were reclassified to additional paid-in capital, and no amounts were outstanding as of January 31, 2015. | ||||||||||||||
As of January 31, 2014, the Company had outstanding shares of series A and B convertible preferred stock and series C, D-1, D-2, and D-3 redeemable convertible preferred stock. Redeemable convertible preferred stock and convertible preferred stock as of January 31, 2014 consisted of the following: | |||||||||||||||
(in thousands) | Shares | ||||||||||||||
Series | Authorized | Issued and | Liquidation | Carrying | |||||||||||
outstanding | preference | value | |||||||||||||
Redeemable convertible preferred stock: | |||||||||||||||
Series C | 6,773 | 6,751 | $ | 22,533 | $ | 22,232 | |||||||||
Series D-1 | 9,000 | 5,835 | 8,464 | 8,340 | |||||||||||
Series D-2 | 3,200 | 440 | 719 | 709 | |||||||||||
Series D-3 | 7,500 | 4,323 | 11,412 | 15,433 | |||||||||||
Total redeemable convertible preferred stock | 26,473 | 17,349 | $ | 43,128 | $ | 46,714 | |||||||||
Convertible preferred stock: | |||||||||||||||
Series A | 2,000 | 2,000 | $ | 3,291 | $ | 2,000 | |||||||||
Series B | 4,738 | 4,156 | 9,473 | 6,129 | |||||||||||
Total convertible preferred stock | 6,738 | 6,156 | $ | 12,764 | $ | 8,129 | |||||||||
Series A convertible preferred stock—The Company issued a total of 2.0 million shares of series A convertible preferred stock at a price of $1.00 per share, convertible into 2.0 million shares of common stock of the Company. | |||||||||||||||
As of January 31, 2014, 2.0 million shares of series A convertible preferred stock were issued and outstanding, convertible into 2.0 million shares of common stock of the Company. | |||||||||||||||
Each share of series A convertible preferred stock was entitled to accrue dividends at the rate of 6% per annum from the date of issuance; however, accrued dividends were payable only in connection with a liquidation event. Upon the occurrence of any liquidation, dissolution or winding up of the Company, the liquidation preference was to be paid first to series C, D-1, D-2 and D-3 redeemable convertible preferred stockholders in preference to the shares of series A and B convertible preferred stock. Had funds been unavailable to return an amount equal to the issue price plus all unpaid dividends, all legally available assets for distribution would be distributed to the stockholders of the series C, D-1, D-2 and D-3 redeemable convertible preferred shares, and then to the stockholders of the series A and B convertible preferred shares on par with each other on a pro-rata basis. | |||||||||||||||
Series A convertible preferred stock had no redemption rights. | |||||||||||||||
Series B convertible preferred stock—The Company issued 4.7 million shares of series B convertible preferred stock at $1.50 per share, convertible into 4.7 million shares of common stock of the Company. | |||||||||||||||
On January 30, 2014, the Company’s Board of Directors approved a stock repurchase of 582,000 shares of series B convertible preferred stock at $5.00 per share. The repurchased shares were immediately retired by the Company. As of January 31, 2014, 4.2 million shares of series B convertible preferred stock were issued and outstanding, convertible into 4.2 million shares of common stock of the Company. | |||||||||||||||
Each share of series B convertible preferred stock was entitled to accrue dividends at 6% per annum from the date of issuance; however, accrued dividends were payable only in connection with a liquidation event. Upon the occurrence of any liquidation, dissolution or winding up of the Company, an amount equal to the purchase price per share plus accrued and unpaid dividends were to be paid first to series C, D-1, D-2 and D-3 redeemable convertible preferred stockholders in preference to the shares of series A and B convertible preferred stock. Had funds been unavailable to return an amount equal to the issue price plus all unpaid dividends, all legally available assets for distribution would be first distributed to the stockholders of the series C, D-1, D-2 and D-3 redeemable convertible preferred shares, and then to the stockholders of Series A and B Convertible Preferred shares on par with each other on a pro-rata basis. | |||||||||||||||
Series B convertible preferred stock had no redemption rights. | |||||||||||||||
Series C redeemable convertible preferred stock—The Company issued 6.8 million shares of its series C redeemable convertible preferred stock at $2.32 per share, convertible into 9.4 million shares of common stock of the Company. | |||||||||||||||
On January 30, 2014, the Company’s Board of Directors approved a stock repurchase of 22,000 shares of series C redeemable convertible preferred stock (or 31,000 common stock equivalent shares) at $5.00 per common stock equivalent share. The repurchased shares were immediately retired by the Company. As of January 31, 2014, 6.8 million shares of series C redeemable convertible preferred stock were issued and outstanding, convertible into 9.3 million shares of common stock of the Company. | |||||||||||||||
Each share of series C redeemable convertible preferred stock was entitled to accrue dividends at 6%per annum from the date of issuance; however, accrued dividends were payable only in connection with a liquidation event. Upon occurrence of any liquidation, dissolution, or winding up of the Company, stockholders of series C, D-1, D-2 and D-3 redeemable convertible preferred shares were entitled to receive an amount equal to the purchase price plus all accrued and unpaid dividends in preference to the stockholders of series A and B convertible preferred shares. Had there been insufficient funds to pay the series C, D-1, D-2 and D-3 redeemable convertible preferred stockholders their liquidation preference, the entire assets and funds of the Company legally available for distribution would have been distributed to the stockholders of series C, D-1, D-2 and D-3 redeemable convertible preferred shares in proportion to the number of shares held by each stockholder and then to the stockholders of the series A and B convertible preferred shares on par with each other on a pro-rata basis. | |||||||||||||||
Stockholders of series C redeemable convertible preferred stock had special voting rights. Until such date as (i) stockholders of series C redeemable convertible preferred stock hold less than 5% of the outstanding common stock of the Company, on an as-converted basis or (ii) the Company completes a qualified public offering, as defined in the Company’s amended and restated Certificate of Incorporation, the series C redeemable convertible preferred stockholders were entitled to vote separately as a single class to the exclusion of all other classes of the Company’s capital stock on certain corporate matters. The approval of a majority of the series C redeemable convertible preferred stock, with each share entitled to one vote, was required for the Company to engage in any of the specified corporate actions set forth in the Company’s amended and restated Certificate of Incorporation. In addition, the majority of series C redeemable convertible preferred stockholders were entitled to elect three Directors and one observer to the Company’s Board of Directors. | |||||||||||||||
Stockholders of series C preferred stock also had redemption rights (see below). | |||||||||||||||
Series D-1 redeemable convertible preferred stock—The Company issued 5.8 million shares of its series D-1 redeemable convertible preferred stock at $1.10 per share, convertible into 11.7 million shares of common stock of the Company. | |||||||||||||||
As of January 31, 2014, 5.8 million shares of series D-1 redeemable convertible preferred stock were issued and outstanding, convertible into 11.7 million shares of common stock of the Company. | |||||||||||||||
Each share of the series D-1 redeemable convertible preferred stock was entitled to accrue dividends at 6% per annum from the date of issuance; however, accrued dividends were payable only in connection with a liquidation event. Upon occurrence of any liquidation, dissolution, or winding up of the Company, stockholders of series C, D-1, D-2 and D-3 redeemable convertible preferred stock was entitled to receive an amount equal to the purchase price plus all accrued and unpaid dividends in preference to the stockholders of series A and B convertible preferred stock. Had there been insufficient funds to pay the series C, D-1, D-2 and D-3 redeemable convertible preferred stockholders their liquidation preference, the entire assets and funds of the Company legally available for distribution would have been distributed to the stockholders of series C, D-1, D-2 and D-3 redeemable convertible preferred shares in proportion to the number of shares held by each stockholder and then to the stockholders of the series A and B convertible preferred shares on par with each other on a pro-rata basis. | |||||||||||||||
Stockholders of series D-1 redeemable convertible preferred stock also had redemption rights (see below). | |||||||||||||||
Series D-2 redeemable convertible preferred stock—The Company issued 440,000 shares of its series D-2 redeemable convertible preferred stock at $1.25 per share, convertible into 1.0 million shares of common stock of the Company. | |||||||||||||||
As of January 31, 2014, 440,000 shares of series D-2 redeemable convertible preferred stock were issued and outstanding, convertible into 1.0 million shares of common stock of the Company. | |||||||||||||||
Each share of the series D-2 redeemable convertible preferred stock was entitled to accrue dividends at 6% per annum from the date of issuance; however, accrued dividends were payable only in connection with a liquidation event. Upon occurrence of any liquidation, dissolution, or winding up of the Company, stockholders of series C, D-1, D-2 and D-3 redeemable convertible preferred stock were entitled to receive an amount equal to the purchase price plus all accrued and unpaid dividends in preference to the stockholders of series A and B convertible preferred stock. Had there been insufficient funds to pay the series C, D-1, D-2 and D-3 redeemable convertible preferred stockholders their liquidation preference, the entire assets and funds of the Company legally available for distribution would have been distributed to the stockholders of series C, D-1, D-2 and D-3 redeemable convertible preferred shares in proportion to the number of shares held by each stockholder and then to the stockholders of the series A and B convertible preferred shares on par with each other on a pro-rata basis. | |||||||||||||||
Stockholders of series D-2 redeemable convertible preferred stock also had redemption rights (see below). | |||||||||||||||
Series D-3 redeemable convertible preferred stock—The Company issued 4.4 million shares of series D-3 redeemable convertible preferred stock at $2.64 per share, convertible into 4.4 million shares of common stock of the Company. | |||||||||||||||
On January 30, 2014, the Company’s Board of Directors approved a stock repurchase of 61,743 shares of series D-3 redeemable convertible preferred stock at $5.00 per share. The repurchased shares were immediately retired by the Company. As of January 31, 2014, 4.3 million total shares of series D-3 redeemable convertible preferred stock were issued and outstanding, convertible into 4.3 million shares of common stock of the Company, respectively. | |||||||||||||||
Each share of series D-3 redeemable convertible preferred stock accrued dividends from the date of issuance of such share at the annual rate of six percent (6%) of the Purchase Price per Share for such share of series D-3 redeemable convertible preferred stock. Such dividends accrued with respect to each share of preferred stock and were payable in cash within 30 days after the end of each fiscal year of the Company; provided, dividends on shares of series D-3 redeemable convertible preferred stock for the Company’s year ended January 31, 2014 were not payable in cash and instead were payable by issuance of additional shares of series D-3 redeemable convertible preferred stock. | |||||||||||||||
On January 31, 2013, an additional 248,000 shares of series D-3 redeemable convertible preferred stock valued at $655,000 were issued to the series D-3 redeemable convertible preferred stockholders as payment of series D-3 dividends through such date. Such shares were convertible into 248,000 shares of common stock of the Company. | |||||||||||||||
On January 31, 2014, the Company paid a cash dividend of $694,000, or $0.16 per share, to the series D-3 redeemable convertible preferred stockholders in payment of series D-3 Dividends through such date. In addition, we paid a cash dividend of $347,000 on shares of our outstanding series D-3 redeemable convertible preferred stock accrued through the date of conversion of such shares into common stock, which occurred on August 4, 2014. | |||||||||||||||
Upon occurrence of any liquidation, dissolution, or winding up of the Company, stockholders of series C, D-1, D-2 and D-3 redeemable convertible preferred stock were entitled to receive an amount equal to the purchase price plus all accrued and unpaid dividends in preference to the stockholders of series A and B convertible preferred stock. Had there been insufficient funds pay the series C, D-1, D-2 and D-3 redeemable convertible preferred stockholders their liquidation preference, the entire assets and funds of the Company legally available for distribution would have been distributed to the stockholders of series C, D-1, D-2 and D-3 redeemable convertible preferred shares in proportion to the number of shares held by each stockholder and then to the stockholders of the series A and B convertible preferred shares on par with each other on a pro rata basis. | |||||||||||||||
Series D-3 redeemable convertible preferred stockholders had no voting rights unless required by law. | |||||||||||||||
Stockholders of series D-3 redeemable convertible preferred stock also had redemption rights (see below). | |||||||||||||||
Redemption rights—Stockholders of the Company’s series C, series D-1, series D-2 and series D-3 redeemable convertible preferred stock had certain redemption rights. At any time following October 5, 2013, the stockholders of a majority of the issued and outstanding shares of the series C redeemable convertible preferred stock could have, by written notice, elect to require the Company to redeem all of the issued and outstanding series C, series D-1, series D-2, and series D-3 redeemable convertible preferred stock, for an amount equal to the aggregate of the liquidation preference for each issued and outstanding share; provided, however, that any holder of series D-3 could have, by written notice elect to not have such holder’s shares of series D-3 redeemed. The holders of a majority of the issued and outstanding shares of series D-3 could have elected to require the Corporation to redeem all, but not less than all, of the issued and outstanding series D-3 preferred stock at any time following August 11, 2018, for a per share amount equal to the greater of: (a) the fair market value of a share of series D-3 as determined in good faith by the Board without taking into account to any discount for minority interest, illiquidity or other similar considerations, or any premium for change in control or liquidity; or (b) the Liquidation preference of a share of series D-3. | |||||||||||||||
This fair value redemption feature resulted in a requirement to separately account for the conversion feature as derivative liability that is adjusted to fair value as of the end of each reporting period. The value of the derivative liability associated with the series D-3 redeemable convertible preferred stock totaled $6.2 million as of January 31, 2014. As discussed in Note 11. Fair Value, the series D-3 redeemable convertible preferred stock terms were modified and as a result, the aggregate fair value of the derivative liability was reclassified to additional paid-in capital. | |||||||||||||||
The Company recorded accretion related to the redemption features of their redeemable convertible preferred stock as an increase or decrease to the respective instrument’s carrying value with a corresponding decrease or increase to additional paid in capital or accumulated deficit based upon the respective redemption value of each class of redeemable convertible preferred stock in accordance with the Company’s Articles of Incorporation. |
Common_stock_warrants
Common stock warrants | 12 Months Ended |
Jan. 31, 2015 | |
Stockholders' Equity Note [Abstract] | |
Common stock warrant | Common stock warrants |
In conjunction with a rights equalization agreement, the Company issued warrants to series A convertible preferred stockholders to purchase 150,000 shares of its common stock for $1.00 per share. The warrants were exercisable through November 2015, of which 26,000 were exercised with 124,000 outstanding as of January 31, 2014. The 124,000 warrants outstanding as January 31, 2014 were all exercised during the year ended January 31, 2015. The warrants had a fair market value of $51,000 at the date of issuance. | |
In conjunction with the issuance of the series B convertible preferred stock, warrants to purchase 400,000 shares of common stock with an exercise price of $1.00 per share were granted to series B convertible preferred stockholders. The warrants were exercisable through February 2014, of which 50,000 were exercised with 350,000 outstanding as of January 31, 2014. Of the 350,000 warrants outstanding as of January 31, 2014, 340,000 were exercised, and 10,000 were forfeited during the year ended January 31, 2015. The warrants had a fair market value of $44,000 at the date of issuance. | |
The Company issued warrants to purchase an additional 200,000 shares of common stock to series B convertible preferred stockholders with an exercise price of $1.00 per share. The warrants were exercisable through September 2015, of which 5,000 were exercised with 195,000 outstanding as of January 31, 2014. The 195,000 warrants outstanding as of January 31, 2014 were all exercised during the year ended January 31, 2015. The warrants had a fair market value of $66,000 at the date of issuance. | |
In conjunction with the issuance of the series C redeemable convertible preferred stock, the Company issued detachable warrants to purchase 600,000 shares of common stock with an exercise price of $1.50 per share to series C redeemable convertible preferred stockholders. The warrants were exercisable through August 2016, of which 10,000 were exercised with 590,000 outstanding as of January 31, 2014. The 590,000 warrants outstanding as of January 31, 2014 were all exercised during the year ended January 31, 2015. The warrants had a fair market value of $339,000 at the date of issuance. The Company issued warrants to purchase an additional 1.0 million shares of common stock to series C redeemable convertible preferred stockholders with an exercise price of $0.01 per share. The warrants were exercisable through May 2017, of which 4,000 were exercised with 1.0 million outstanding as of January 31, 2014. The 1.0 million warrants outstanding as of January 31, 2014 were all exercised during the year ended January 31, 2015. The warrants had a fair market value of $1.6 million at the date of issuance. | |
In conjunction with the issuance of the series D-1 redeemable convertible preferred stock, the Company issued detachable warrants to purchase 400,000 shares of common stock with an exercise price of $2.00 per share. The warrants were exercisable upon the option of the stockholder through August 2018, of which 400,000 were outstanding as of January 31, 2014. The 400,000 warrants outstanding as of January 31, 2014 were all exercised during the year ended January 31, 2015. | |
In conjunction with the issuance of the series D-3 redeemable convertible preferred stock, warrants to purchase 966,000 shares of common stock with an exercise price of $0.01 per share were granted to series D-3 redeemable convertible preferred stockholders. The warrants were exercisable through August 2021, of which 767,000 were exercised with 199,000 outstanding as of January 31, 2014. The warrants outstanding as of January 31, 2014 were all exercised during the year ended January 31, 2015. The warrants had a value of $1.7 million at the date of issuance. | |
As a result of the foregoing, as of January 31, 2015, there were no warrants outstanding. |
Stock_options
Stock options | 12 Months Ended | |||||||||||||||
Jan. 31, 2015 | ||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||||||||||||||
Stock options | Stock options | |||||||||||||||
2003 Director stock option plan—During the year ended December 31, 2003, the Company adopted a Director Stock Plan (the "2003 Director Plan") that provides for the issuance of options to directors of the Company. During the year ended January 31, 2014, the aggregate pool was increased from 757,000 shares to 817,000 shares. During each of the years ended January 31, 2014 and 2013, 90,000 options were granted under the 2003 Director Plan. As of December 31, 2013, the 2003 Director Plan expired with 30,000 unused shares that were retired. | ||||||||||||||||
The options have a vesting period of 1 year or less and expire 10 years from the date of issuance or upon termination of service, disability, or death. As of January 31, 2015 and 2014, 60,000 and 716,000 options were outstanding and fully vested, respectively. The options are valued at their estimated fair market value as of the date of the grant. | ||||||||||||||||
2003, 2005, 2006, 2009 Employee stock option plan—During the year ended December 31, 2003, the Company adopted a stock incentive plan (the "2003 Employee Plan") providing for the issuance of stock options to employees to purchase up to an aggregate of 600,000 shares of common stock. An additional 3.4 million, 955,000, and 1.0 million options were approved by the Company's board of directors under the 2009, 2006 and 2005 stock incentive plans, respectively. The 2003 Employee Plan expired on December 31, 2013 with 6,250 unused shares that were retired. | ||||||||||||||||
2014 Equity incentive plan— On January 30, 2014, the 2005, 2006, and 2009 stock incentive plans were capped and no additional options will be granted out of these plans. As a result, 20,000, 2,000, and 163,000 unused shares were retired from the 2005, 2006, and 2009 stock incentive plans, respectively. | ||||||||||||||||
On January 30, 2014, the Company’s board of directors approved, and the Company adopted, the 2014 Equity Incentive Plan (as amended and restated, the "Incentive Plan") providing for the issuance of stock options to the directors and employees of the Company to purchase up to an aggregate of 600,000 shares of common stock. No stock options were issued to directors of the Company from the Incentive Plan as of January 31, 2014. | ||||||||||||||||
In July 2014, the Company's board of directors approved an increase the shares of common stock reserved under the Incentive Plan by 2,000,000 shares from 600,000 shares of common stock to 2,600,000 shares of common stock. In addition, the board of directors approved an amendment to the Incentive Plan providing that the number of shares of common stock reserved for issuance under the Incentive Plan will automatically increase on February 1 of each year, beginning as of February 1, 2015 and continuing through and including February 1, 2024, by 3% of the total number of shares of the Company’s capital stock outstanding on January 31 of the preceding fiscal year, or a lesser number of shares determined by the board of directors. As of January 31, 2015, 474,150 shares were available for grant under the Incentive Plan. | ||||||||||||||||
Under the terms of the Incentive Plan, the Company has the ability to grant incentive and nonqualified stock options. Incentive stock options may be granted only to Company employees. Nonqualified stock options may be granted to Company employees, directors and consultants. Such options are to be exercisable at prices, as determined by the board of directors, which must be equal to no less than the fair value of the Company's common stock at the date of the grant. Stock options granted under the Incentive Plan generally expire 10 years from the date of issuance, or are forfeited 90 days after termination of employment. Shares of common stock underlying stock options that are forfeited or that expire are returned to the Incentive Plan. | ||||||||||||||||
During the years ended January 31, 2015, 2014, and 2013, the Company granted 608,800, 624,000 and 504,000 time-based stock options to certain directors and key employees, respectively, of which 526,300, 534,000 and 414,000 vest over a period of 4 years. During the year ended January 31, 2015, the Company granted 82,500 time-based stock options to certain directors, which vest on January 31, 2015. In addition, during the year ended January 31, 2015, the Company granted 1.5 million performance-based stock options, respectively, to certain key employees under the Incentive Plan, which vest upon the achievement of certain performance criteria. The performance-based stock options vest upon the attainment of the following performance criteria: (a) 10% of the stock options vest upon attainment of at least $34.5 million in Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization ("EBITDA") for the year ended January 31, 2016, (b) 20% of the stock options vest upon the attainment of an annual growth rate of Adjusted EBITDA per share of common stock of 30% for the year ended January 31, 2017, (c) 30% of the stock options vest upon the attainment of an annual growth rate of Adjusted EBITDA per share of common stock of 30% for the year ended January 31, 2018, and (d) 40% of the stock options vest upon the attainment of an annual growth rate of Adjusted EBITDA per share of common stock of 25% for the year ended January 31, 2019. | ||||||||||||||||
As of January 31, 2015 and 2014, 4.1 million and 3.6 million options were exercisable, respectively. The options are valued at their estimated fair market value as of the date of the grant. | ||||||||||||||||
Other options—The Company previously issued 625,000 nonqualified stock options under two consulting agreements. As of January 31, 2015 and 2014, 0 and 325,000 of such options were outstanding, and 0 and 325,000 of such options were exercisable, respectively. For the years ended January 31, 2015, 2014 and 2013 the Company incurred expense of $0, $2,000 and $1,000, respectively, associated with these options. | ||||||||||||||||
Stock-based compensation—The Company has adopted the provisions of Topic 718, which requires the measurement and recognition of compensation for all stock-based awards made to employees and directors, based on estimated fair values. | ||||||||||||||||
Under Topic 718, the Company uses the Black-Scholes option pricing model as the method of valuation for stock-based awards. The determination of the fair value of stock-based awards on the date of grant is affected by the fair value of the stock as well as assumptions regarding a number of complex and subjective variables. The variables include, but are not limited to, 1) the expected life of the option, 2) the expected volatility of the fair value of the Company's common stock over the term of the award estimated by averaging the published volatilities of a relative peer group, 3) actual and projected exercise and forfeiture behaviors, and 4) expected dividends. | ||||||||||||||||
A summary of stock option activity is as follows: | ||||||||||||||||
Outstanding stock options | ||||||||||||||||
(in thousands, except for exercise prices and term) | Number of | Range of | Weighted- | Weighted- | Aggregate | |||||||||||
options | exercise | average | average | intrinsic | ||||||||||||
prices | exercise | contractual | value | |||||||||||||
price | term | |||||||||||||||
(in years) | ||||||||||||||||
Outstanding as of January 31, 2014 | 6,369 | $1.10 - 4.50 | $ | 1.77 | 6.34 | $ | 14,621 | |||||||||
Granted | 2,117 | $14.00 - 25.45 | $ | 14.88 | ||||||||||||
Exercised | (1,841 | ) | $0.10 - 2.50 | $ | 1.32 | |||||||||||
Forfeited | (188 | ) | $1.25 - 25.45 | $ | 9.53 | |||||||||||
Outstanding as of January 31, 2015 | 6,457 | $0.10 - 25.45 | $ | 5.27 | 6.88 | $ | 100,290 | |||||||||
Vested and expected to vest as of January 31, 2015 | 6,106 | $ | 4.86 | 6.75 | $ | 97,300 | ||||||||||
Exercisable as of January 31, 2015 | 4,066 | $ | 1.09 | 5.5 | $ | 80,016 | ||||||||||
The aggregate intrinsic value in the tables above represents the difference between the estimated fair value of common stock and the exercise price of outstanding, in-the-money stock options. | ||||||||||||||||
The total intrinsic value of stock options exercised during the years ended January 31, 2015, 2014 and 2013 was $9.5 million, $761,000 and $88,000, respectively. | ||||||||||||||||
The weighted-average grant-date fair value of stock options granted to certain directors and key employees during the years ended January 31, 2015, 2014 and 2013 was $6.29, $0.43, and $0.26 per share, respectively. | ||||||||||||||||
The key input assumptions that were utilized in the valuation of the stock options granted during the years ended January 31, 2015, 2014 and 2013 are as follows: | ||||||||||||||||
Year ended January 31, | ||||||||||||||||
2015 | 2014 | 2013 | ||||||||||||||
Expected dividend yield | — | % | — | % | — | % | ||||||||||
Expected stock price volatility | 32.90% - 40.29% | 32.9 | % | 31.3 | % | |||||||||||
Risk-free interest rate | 1.12% - 2.24% | 0.35% - 0.80% | 0.31% - 0.39% | |||||||||||||
Expected life of options | 5.6 - 7.3 years | 3 years | 3 years | |||||||||||||
The determination of the fair value of stock options on the date of grant using the Black-Scholes option pricing model is affected by the Company's stock price as well as assumptions regarding a number of complex and subjective variables. Expected volatility is determined using weighted average volatility of publicly traded peer companies. The Company expects that it will begin using its own historical volatility in addition to the volatility of publicly traded peer companies, as its share price history grows over time. The risk-free interest rate is determined by using published zero coupon rates on treasury notes for each grant date given the expected term on the options. The dividend yield of zero is based on the fact that the Company expects to invest cash in operations. The Company uses the "simplified" method to estimate expected term as determined under Staff Accounting Bulletin No. 110 due to the lack of option exercise history as a public company. | ||||||||||||||||
As of January 31, 2015, the weighted-average vesting period of non-vested stock-options expected to vest approximates 3.0 years; the amount of compensation expense the Company expects to recognize for stock options vesting in future periods approximates $9.1 million. | ||||||||||||||||
During the year ended January 31, 2015, the Company recorded compensation expense of $1.7 million related to the performance-based options based on the Company's probability assessment of attaining its Adjusted EBITDA targets, Adjusted EBITDA per common share growth rates and consummation of the IPO. | ||||||||||||||||
The following table shows a summary of stock-based compensation in the Company's consolidated statements of operations and comprehensive income during the years presented: | ||||||||||||||||
Year ended January 31, | ||||||||||||||||
(in thousands) | 2015 | 2014 | 2013 | |||||||||||||
Cost of services | $ | 403 | $ | 9 | $ | 7 | ||||||||||
Sales and marketing | 504 | 12 | 15 | |||||||||||||
Technology and development | 263 | 16 | 7 | |||||||||||||
General and administrative | 1,355 | 20 | 18 | |||||||||||||
Total stock-based compensation expense | $ | 2,525 | $ | 57 | $ | 47 | ||||||||||
Stock_Repurchase
Stock Repurchase | 12 Months Ended |
Jan. 31, 2015 | |
Equity [Abstract] | |
Stock repurchase | Stock repurchase |
On January 30, 2014, the Company’s Board of Directors approved a stock repurchase of 660,000 shares of Series B, Series C, and Series D-3 Preferred Stock, equivalent to 674,000 common shares at $5.00 per common stock equivalent share for a total purchase price of $3.4 million. All repurchased shares were immediately retired by the Company on January 31, 2014. |
Fair_value
Fair value | 12 Months Ended | ||||||||
Jan. 31, 2015 | |||||||||
Fair Value Disclosures [Abstract] | |||||||||
Fair value | Fair value | ||||||||
Fair value measurements—Fair value measurements are made at a specific point in time, based on relevant market information. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants at the measurement date. Accounting standards specify a hierarchy of valuation techniques based on whether the inputs to those valuation techniques are observable or unobservable. Observable inputs reflect data obtained from independent sources, while unobservable inputs reflect the Company’s market assumptions. These two types of inputs have created the following fair value hierarchy: | |||||||||
• | Level 1—quoted prices in active markets for identical assets or liabilities; | ||||||||
• | Level 2—inputs, other than the quoted prices in active markets, that are observable either directly or indirectly; | ||||||||
• | Level 3—unobservable inputs based on the Company’s own assumptions. | ||||||||
A derivative liability was recorded related to the Company’s series D-3 redeemable convertible preferred stock due to stated features allowing for redemption equal to the greater of the fair value per share of series D-3 redeemable convertible preferred stock, or the liquidation preference per share of series D-3 redeemable convertible preferred stock. The derivative instrument is recorded at its fair value, using an option pricing model, and is adjusted to fair value as of the end of each reporting period. Changes in the fair value of derivative instruments are recognized currently in the condensed consolidated financial statements. The Company has classified this derivative financial instrument as Level 3 in the fair value hierarchy. The Company continued to record adjustments to the fair value of the derivative liability until March 31, 2014, at which time the Company modified the terms of the series D-3 redeemable convertible preferred stock. As a result of the modifications, the Company reclassified the aggregate fair value of the liability to additional paid-in capital. | |||||||||
The following table includes a roll forward of the amounts for the years ended January 31, 2015 and 2014 for instruments classified within Level 3. The classification within Level 3 is based upon significance of the unobservable inputs to the overall fair value measurement. | |||||||||
Year ended January 31, | |||||||||
(in thousands) | 2015 | 2014 | |||||||
Balance at beginning of period | $ | 6,182 | $ | 818 | |||||
Loss on revaluation | 735 | 5,364 | |||||||
Elimination of liability due to removal of FMV provision | (6,917 | ) | — | ||||||
Balance at end of period | $ | — | $ | 6,182 | |||||
The following table summarizes the significant quantitative inputs and assumptions used for items categorized in Level 3 of the fair value hierarchy as of January 31, 2014: | |||||||||
Series D-3 redeemable convertible preferred stock derivative liability | |||||||||
January 31, 2014 | |||||||||
Market value of common stock on measurement date | $ | 4.06 | |||||||
Projected exercise price | $ | 2.64 | |||||||
Risk-free interest rate | 0.06 | % | |||||||
Expected lives | 180 days | ||||||||
Expected volatility | 25.2 | % | |||||||
Probability of liquidation event | — | % | |||||||
There are no other financial instruments that are considered Level 1 or Level 2 as of January 31, 2015 and January 31, 2014. |
Related_party_transactions
Related party transactions | 12 Months Ended |
Jan. 31, 2015 | |
Related Party Transactions [Abstract] | |
Related party transactions | Related party transactions |
The Company had entered into a consulting agreement with a company owned by the President and Chief Executive Officer of the Company. For the years ended January 31, 2015, 2014 and 2013, amounts paid to this company under the terms of the consulting agreement were $162,000, $450,000 and $467,000, respectively. In connection with the consummation of the Company's IPO, this consulting agreement was terminated. | |
The Company had made a loan to a shareholder with fixed or determinable payment terms not quoted in an active market. The note receivable from shareholder was repaid in full, including accrued interest, during the year ended January 31, 2014. |
401k_plan
401(k) plan | 12 Months Ended |
Jan. 31, 2015 | |
Compensation and Retirement Disclosure [Abstract] | |
401(k) plan | 401(k) plan |
The Company has established a 401(k) plan that qualifies as a deferred compensation arrangement under Section 401 of the IRS Code. All employees over the age of 21 are eligible to participate in the plan. The Company contributed 50% of an employee's elective deferral up to 4% of eligible earnings through May 2014. In May 2014, the Company amended its 401(k) plan to increase the employer contribution. Effective May 2014, the Company contributes 50% of an employee’s elective deferral up to 6% of eligible earnings. Employer contributions vest 25% each year of employment. 401(k) plan administrative expense was $8,000, $7,000 and $6,000 for the years ended January 31, 2015, 2014 and 2013, respectively. Employer matching contribution expense was $375,000, $176,000 and $78,000 for the years ended January 31, 2015, 2014 and 2013, respectively. |
Supplementary_quarterly_financ
Supplementary quarterly financial data | 12 Months Ended | ||||||||||||
Jan. 31, 2015 | |||||||||||||
Quarterly Financial Information Disclosure [Abstract] | |||||||||||||
Supplementary quarterly financial data | |||||||||||||
Three months ended | |||||||||||||
(in thousands, except for per share amounts) | January 31, 2015 | October 31, 2014 | July 31, 2014 | April 30, 2014 | |||||||||
Total revenue | $ | 24,871 | $ | 21,862 | $ | 20,891 | $ | 20,231 | |||||
Total cost of services | 12,358 | 9,630 | 9,122 | 8,772 | |||||||||
Gross profit | 12,513 | 12,232 | 11,769 | 11,459 | |||||||||
Total operating expenses | 10,493 | 7,938 | 6,698 | 5,971 | |||||||||
Total other expense | (98 | ) | (145 | ) | (39 | ) | (827 | ) | |||||
Income tax provision | 551 | 1,100 | 2,004 | 1,943 | |||||||||
Net income and comprehensive income | $ | 1,371 | $ | 3,049 | $ | 3,028 | $ | 2,718 | |||||
Net income per share attributable to common stockholders: | |||||||||||||
Basic (1) | $ | 0.03 | $ | 0.06 | $ | 0.19 | $ | 0.52 | |||||
Diluted | $ | 0.02 | $ | 0.05 | $ | 0.06 | $ | 0.08 | |||||
Three months ended | |||||||||||||
(in thousands, except for per share amounts) | January 31, 2014 | October 31, 2013 | July 31, 2013 | April 30, 2013 | |||||||||
Total revenue | $ | 17,161 | $ | 15,248 | $ | 14,982 | $ | 14,624 | |||||
Total cost of services | 8,739 | 6,870 | 6,639 | 6,965 | |||||||||
Gross profit | 8,422 | 8,378 | 8,343 | 7,659 | |||||||||
Total operating expenses | 6,833 | 4,982 | 4,730 | 4,733 | |||||||||
Total other expense | (5,889 | ) | (138 | ) | (40 | ) | (83 | ) | |||||
Income tax provision | 417 | 1,280 | 1,351 | 1,093 | |||||||||
Net income (loss) and comprehensive income | $ | (4,717 | ) | $ | 1,978 | $ | 2,222 | $ | 1,750 | ||||
Net income (loss) per share attributable to common stockholders: | |||||||||||||
Basic (1) | $ | (1.71 | ) | $ | 0.11 | $ | 0.12 | $ | 0.08 | ||||
Diluted (1) | $ | (1.71 | ) | $ | 0.04 | $ | 0.05 | $ | 0.04 | ||||
(1) Earnings per share amounts do not sum to equal full year total due to changes in the number of shares outstanding during the periods and rounding. | |||||||||||||
During the three months ended January 31, 2015, the Company recorded an out-of-period adjustment related to the correction of a $408,000 understatement of revenue related to prior periods, which had the effect of increasing the three months ended January 31, 2015 net income and comprehensive income by $246,000. The Company does not believe the correction of this error is material to its financial statements for any prior periods or the three months ended January 31, 2015. |
Schedule_II_Valuation_and_Qual
Schedule II - Valuation and Qualifying Accounts | 12 Months Ended | ||||||||||||||
Jan. 31, 2015 | |||||||||||||||
Valuation and Qualifying Accounts [Abstract] | |||||||||||||||
Schedule II - Valuation and Qualifying Accounts | Schedule II - Valuation and Qualifying Accounts | ||||||||||||||
Additions | |||||||||||||||
(in thousands) | Beginning balance | Charged to expense | Charged to other accounts | Deductions | Ending balance | ||||||||||
Deferred tax valuation allowance: | |||||||||||||||
January 31, 2015 | — | — | — | — | — | ||||||||||
January 31, 2014 | 29 | — | — | (29 | ) | (a) | — | ||||||||
January 31, 2013 | 7,484 | — | — | (7,455 | ) | (a) | 29 | ||||||||
(a) Primarily due to reassessments of valuation allowances against future operations. |
Summary_of_business_and_signif1
Summary of business and significant accounting policies (Policies) | 12 Months Ended | |
Jan. 31, 2015 | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Segment Reporting, Policy [Policy Text Block] | Segments—The Company operates in one segment. Management uses one measurement of profitability and does not segregate its business for internal reporting. All long-lived assets are maintained in the United States of America. | |
Interest Rate Risk, Policy [Policy Text Block] | Interest rate risk—The Company has entered into depository agreements with financial institutions for its custodial cash deposits. The contracted interest rates were negotiated at the time the depository agreements were executed. A significant reduction in prevailing interest rates may make it difficult for the Company to continue to place custodial deposits at the current contracted rates. | |
Inventory, Policy [Policy Text Block] | Inventories—Inventories consist of new member and participant supplies and are recorded at the lower of cost or market using an average cost basis. | |
Cash and Cash Equivalents, Restricted Cash and Cash Equivalents, Policy [Policy Text Block] | Cash, cash equivalents and restricted cash—The Company considers all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents. The Company’s cash and cash equivalents were held in institutions in the U.S. and include deposits in a money market account that was unrestricted as to withdrawal or use. Restricted cash represents custodial funds held temporarily by the Company in its accounts with a corresponding due to trust liability account. | |
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash, cash equivalents and restricted cash—The Company considers all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents. The Company’s cash and cash equivalents were held in institutions in the U.S. and include deposits in a money market account that was unrestricted as to withdrawal or use. Restricted cash represents custodial funds held temporarily by the Company in its accounts with a corresponding due to trust liability account. | |
Principles of consolidation | Principles of consolidation—The consolidated financial statements include the accounts of HealthEquity, Inc. and its wholly owned subsidiaries, First HSA, LLC, First Horizon MSaver, Inc., HEQ Insurance Services, Inc., and HealthEquity Advisors, LLC (collectively referred to as the "Company"). First HSA, LLC and First Horizon MSaver, Inc. were dissolved during the year ended January 31, 2014. During the year ended January 31, 2015, the Company and an unrelated company formed a joint venture ("Healthbox") for the management of early stage companies in the healthcare industry. The Company has a 22% ownership interest in Healthbox accounted for using the equity method of accounting. The investment was approximately $281,000 as of January 31, 2015 and is included in other investments on the accompanying consolidated balance sheets. All significant intercompany balances and transactions have been eliminated. | |
Recent accounting pronouncements | Recent accounting pronouncements—On May 28, 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2014-09, Revenue from Contracts with Customers, which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The ASU will replace most existing revenue recognition guidance in GAAP when it becomes effective. The new standard is effective for our annual and interim reporting periods beginning February 1, 2017. Early application is not permitted. The standard permits the use of either the retrospective or cumulative effect transition method. The Company is evaluating the effect that ASU 2014-09 will have on the consolidated financial statements and related disclosures. The Company has not yet selected a transition method nor determined the effect of the standard on the ongoing financial reporting. | |
Receivables, Trade and Other Accounts Receivable, Allowance for Doubtful Accounts, Policy [Policy Text Block] | Accounts receivable—Accounts receivable represent monies due to the Company for monthly account fees, fees from custodial banks, card fees and other revenue. As of January 31, 2015, accounts receivable consisted of $4.9 million of account fees, $2.6 million of fees from custodial banks, and $1.6 million of card fees and other revenue. The Company maintains an allowance for doubtful accounts to reserve for potentially uncollectible receivable amounts. In evaluating the Company’s ability to collect outstanding receivable balances, the Company considers various factors including the age of the balance, the creditworthiness of the customer, which is assessed based on ongoing credit evaluations and payment history, and the customer’s current financial condition. | |
Property, Plant and Equipment, Policy [Policy Text Block] | Property and equipment—Property and equipment, including leasehold improvements, are stated at cost less accumulated depreciation. Depreciation is determined using the straight-line method over the estimated useful lives of individual assets. The useful life for leasehold improvements is the shorter of the estimated useful life or the term of the lease ranging from 3-5 years. The useful life used for computing depreciation for all other asset classes is described below: | |
Computer Equipment | 3-5 years | |
Furniture and Fixtures | 5 years | |
Maintenance and repairs are expensed when incurred, and improvements that extend the economic useful life of an asset are capitalized. Gains and losses on the disposal of property and equipment are reflected in operating expenses. | ||
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Table Text Block] | Capitalized software development costs—We account for the costs of computer software developed or obtained for internal use in accordance with Accounting Standards Codification (“ASC”) 350-40, “Internal-Use Software.” Costs incurred during operation and post-implementation stages are charged to expense. Costs incurred that are directly attributable to developing or obtaining software for internal use incurred in the application development stage are capitalized. Management’s judgment is required in determining the point when various projects enter the stages at which costs may be capitalized, in assessing the ongoing value of the capitalized costs and in determining the estimated useful lives over which the costs are amortized. See Note 4—Intangible Assets and Goodwill for additional information. | |
Goodwill and Intangible Assets, Intangible Assets, Policy [Policy Text Block] | Intangible assets, net—Intangible assets are carried at cost and amortized, typically, on a straight-line basis over their estimated useful lives, which is 3-5 years for capitalized software development costs and acquired technology rights, and 15 years for certain acquired intangible member assets. The acquired intangible member assets are the result of various acquisitions of HSA portfolios. A significant portion of the purchase price from each acquisition has been allocated to the acquired HSA assets, which consists of the contractual rights to administer the activities related to the individual health savings accounts acquired. The Company analyzed the historical attrition and depletion rates of member accounts and determined that an average useful life of 15 years and the use of a straight-line amortization method are appropriate to reflect the pattern over which the economic benefits of existing member assets are realized. The Company reviews identifiable amortizable intangible assets to be held and used for impairment whenever events or changes in circumstances indicate that the carrying value of the assets may not be recoverable. Determination of recoverability is based on the lowest level of identifiable estimated undiscounted cash flows resulting from use of the asset and its eventual disposition. Measurement of any impairment loss is based on the excess of the carrying value of the asset over its fair value. There have been no impairment charges recorded in any of the periods presented in the accompanying consolidated financial statements. See Note 4—Intangible Assets and Goodwill for additional information. | |
Goodwill and Intangible Assets, Goodwill, Policy [Policy Text Block] | Goodwill—Goodwill represents the excess of the purchase price over the fair value of the net tangible and intangible assets acquired in a business combination. Goodwill is not amortized, but is tested for impairment annually on January 31 or more frequently if events or changes in circumstances indicate that the asset may be impaired. The Company’s impairment tests are based on a single operating segment and reporting unit structure. The goodwill impairment test involves a two-step process. The first step involves comparing the Company's market capitalization to the carrying value of the reporting unit, including goodwill. If the carrying value of the reporting unit exceeds its fair value, the second step of the test is performed by comparing the carrying value of the goodwill in the reporting unit to its implied fair value. An impairment charge is recognized for the excess of the carrying value of goodwill over its implied fair value. | |
The Company’s annual goodwill impairment test resulted in no impairment charges in any of the periods presented in the accompanying consolidated financial statements. | ||
Deferred Charges, Policy [Policy Text Block] | Deferred rent—The Company recognizes rental expense for its office lease on a straight-line basis over the lease term. Deferred rent represents the difference between actual operating lease payments due and straight-line rent expense. The excess is recorded as a deferred credit in the early periods of the lease, when cash payments are generally lower than straight-line rent expense, and is reduced in the later periods of the lease when payments begin to exceed the straight-line expense. | |
Revenue Recognition, Policy [Policy Text Block] | Revenue recognition—The Company recognizes revenue when persuasive evidence of an arrangement exists, services have been provided, the price of services is fixed or determinable, and collection is reasonably assured. The Company generates revenue primarily from account fees, custodial fees, card fees and other services. | |
The Company earns account fee revenue from the fees paid by health plan partners, employer partners or individual members for administration services provided in connection with the tax-advantaged HSAs, HRAs and FSAs the Company administers. These fees are generally fixed for the duration of the contract agreement with health plan or employer partners, which is typically three to five years. The fees are paid on a monthly basis and revenue is recognized monthly as services are rendered under the Company’s written service agreements. | ||
The Company earns custodial fee revenue from HSA custodial assets held in trust. As a non-bank custodian, the Company deposits HSA cash with various custodial financial institutions having contract terms from three to five years and either a fixed or variable interest rate. These deposits are FDIC insured for each individual HSA. The Company also invests HSA cash in an annuity contract with a insurance company partner. HSA investment balances are deposited with the custodial investment partner from whom the Company receives an administrative and recordkeeping fee. | ||
The Company earns card fee revenue (also known as interchange) from card transactions when members are paying their healthcare claims using a card issued by the Company. | ||
Cost of Sales, Policy [Policy Text Block] | Cost of services—The Company incurs cost of services related to servicing member accounts, managing customer and partner relationships, and processing reimbursement claims. Expenditures include personnel-related costs, depreciation, amortization, stock-based compensation, common expense allocations, new member and participant supplies and other operating costs of the Company’s related member account servicing departments. Other components of the Company’s cost of services sold include interest paid to members on custodial assets held in trust and card costs incurred in connection with processing card transactions initiated by members. | |
Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block] | Stock-based compensation—For stock options granted to employees, the Company recognizes compensation expense for all stock-based awards based on the grant date estimated fair value. The value of the portion of the award that is ultimately expected to vest is recognized as expense ratably over the requisite service period. The fair value of stock options is determined using the Black-Scholes option pricing model. The determination of fair value for stock-based awards on the date of grant using an option pricing model requires management to make certain assumptions regarding a number of complex and subjective variables. | |
Stock-based compensation expense related to stock options granted to non-employees is recognized based on the fair value of the stock options, determined using the Black-Scholes option pricing model, as they are earned. The awards generally vest over the time period the Company expects to receive services from the non-employee. | ||
For awards with performance conditions, we evaluate the probability of achieving the performance criteria and of the number of shares that are expected to vest, and compensation expense is then adjusted to reflect the number of shares expected to vest and the requisite service period. For awards with performance conditions, compensation expense is recognized using the graded-vesting attribution method in accordance with the provisions of FASB ASC Topic 718, Compensation—Stock Compensation ("Topic 718"). | ||
Upon the exercise of a stock option, common shares are issued from authorized, but not outstanding, common stock. | ||
Income Tax, Policy [Policy Text Block] | Income tax provision (benefit)—The Company accounts for income taxes and the related accounts under the liability method as set forth in the authoritative guidance for accounting for income taxes. Under this method, current tax liabilities and assets are recognized for the estimated taxes payable or refundable on the tax returns for the current fiscal year. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases, for net operating losses, and for tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted statutory tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be realized or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. | |
A valuation allowance is provided for when it is more likely than not that some or all of the deferred tax assets may not be realized in future years. After weighing both the positive and negative evidence, the Company believes that it is more likely than not that all deferred tax assets will be realized as of January 31, 2015. Based upon the Company’s operating results through January 31, 2013 and an assessment of expected future results of operations, management determined that there was significant positive evidence regarding the realization of the majority of the Company’s U.S. federal and state deferred tax assets. At that time, $7.5 million of the Company’s valuation allowance was released, leaving a valuation allowance of $29,000 remaining related to state net operating losses for which the Company expected no benefit as of January 31, 2013. During the year ended January 31, 2014, the remaining valuation allowance of $29,000 was written-off due to the associated state net operating losses expiring unutilized. The release of the valuation allowance was recorded as a tax benefit on the Company’s consolidated financial statements during the years ended January 31, 2014 and 2013. As of January 31, 2015 and 2014, No valuation allowance remained on the Company’s consolidated financial statements. | ||
The Company recognizes the tax benefit from an uncertain tax position taken or expected to be taken in a tax return using a two-step approach. The first step is to evaluate the tax position taken or expected to be taken in a tax return by determining if the weight of available evidence indicates that it is more likely than not that the tax position will be sustained upon examination by the relevant taxing authorities, based on the technical merits of the position. For tax positions that are more likely than not to be sustained upon audit, the second step is to measure the tax benefit in the financial statements as the largest benefit that has a greater than 50% likelihood of being sustained upon settlement. The Company recognizes interest and penalties, if any, related to unrecognized tax benefits as a component of other expense in the Consolidated Statements of Operations and Comprehensive Income. Significant judgment is required to evaluate uncertain tax positions. Changes in facts and circumstances could have a material impact on the Company’s effective tax rate and results of operations. | ||
Comprehensive Income, Policy [Policy Text Block] | Comprehensive income—Comprehensive income is defined as a change in equity of a business enterprise during a period, resulting from transactions from non-owner sources. There have been no items qualifying as other comprehensive income and, therefore, for all periods presented, the Company’s comprehensive income was the same as its reported net income. | |
Use of Estimates, Policy [Policy Text Block] | Use of estimates—The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Management has made estimates for the allowance for doubtful accounts, capitalized software development costs, evaluating goodwill and long-lived assets for impairment, useful lives of property and equipment and intangible assets, warrant liability, series D-3 redeemable convertible preferred stock derivative liability, accrued compensation, accrued liabilities, grant date fair value of stock options and income taxes. Actual results could differ from those estimates. | |
Concentration Risk, Market Risk, Policy [Policy Text Block] | Concentration of market risk—The Company derives a substantial portion of its revenue from providing services for healthcare accounts. A significant downturn in this market or changes in state and/or federal laws impacting the preferential tax treatment of healthcare accounts could have a material adverse effect on the Company’s results of operations. | |
Concentration Risk, Credit Risk, Policy [Policy Text Block] | Concentration of credit risk—Financial instruments, which potentially subject the Company to concentrations of credit risk, consist primarily of cash. The Company maintains its cash and cash equivalents in bank and other depository accounts, which, at times, may exceed federally insured limits. The Company’s cash and cash equivalents held in banks as of January 31, 2015 was $111.0 million, of which $500,000 was covered by federal depository insurance. The Company has not experienced any losses in such accounts and believes it is not exposed to any significant credit risk on cash. The Company’s accounts receivable balance as of January 31, 2015 was $9.1 million. The Company has not experienced any significant write-offs to accounts receivable and believes that it is not exposed to significant credit risk with respect to accounts receivable. |
Summary_of_business_and_signif2
Summary of business and significant accounting policies Accounting Policies (Tables) | 12 Months Ended | ||||||||
Jan. 31, 2015 | |||||||||
Accounting Policies [Abstract] | |||||||||
Schedule of Estimated Useful Life of Property Plant Equipment [Table Text Block] | The useful life used for computing depreciation for all other asset classes is described below: | ||||||||
Computer Equipment | 3-5 years | ||||||||
Furniture and Fixtures | 5 years | ||||||||
Property and equipment consisted of the following as of January 31, 2015 and January 31, 2014: | |||||||||
(in thousands) | 31-Jan-15 | 31-Jan-14 | |||||||
Leasehold improvements | $ | 506 | $ | 329 | |||||
Furniture and fixtures | 1,317 | 1,094 | |||||||
Computer equipment | 4,013 | 3,075 | |||||||
Property and equipment, gross | 5,836 | 4,498 | |||||||
Accumulated depreciation | (3,259 | ) | (2,506 | ) | |||||
Property and equipment, net | $ | 2,577 | $ | 1,992 | |||||
Net_income_loss_per_share_attr1
Net income (loss) per share attributable to common stockholders (Tables) | 12 Months Ended | ||||||||||||
Jan. 31, 2015 | |||||||||||||
Earnings Per Share [Abstract] | |||||||||||||
Schedule of Earnings Per Share, Basic and Diluted | The following table sets forth the computation of basic and diluted net income per share attributable to common stockholders: | ||||||||||||
(in thousands, except per share data) | Year ended January 31, | ||||||||||||
2015 | 2014 | 2013 | |||||||||||
Numerator (basic and diluted): | |||||||||||||
Net income | $ | 10,166 | $ | 1,233 | $ | 11,169 | |||||||
Add back (deduction): accretion of redeemable convertible preferred stock | 4,021 | (5,764 | ) | (1,258 | ) | ||||||||
Less: dividend on redeemable convertible preferred stock and dividend on convertible preferred stock | (1,286 | ) | (2,601 | ) | (2,563 | ) | |||||||
Less: undistributed income attributed to redeemable convertible preferred stockholders | (843 | ) | — | (3,355 | ) | ||||||||
Net income (loss) attributable to common stockholders for basic earnings per share | $ | 12,058 | $ | (7,132 | ) | $ | 3,993 | ||||||
Add back: dividend of redeemable convertible preferred stock | 1,286 | — | 1,361 | ||||||||||
Add back (deduction): accretion on redeemable convertible preferred stock and dividend on convertible preferred stock | (4,021 | ) | — | 1,907 | |||||||||
Add back: series D-3 derivative liability revaluations | 735 | — | — | ||||||||||
Add back: adjustment to undistributed income attributed to redeemable convertible preferred stockholders | 843 | — | 2,301 | ||||||||||
Net income (loss) attributable to common stockholders for diluted earnings per share | $ | 10,901 | $ | (7,132 | ) | $ | 9,562 | ||||||
Denominator (basic): | |||||||||||||
Weighted-average common shares outstanding | 31,181 | 5,651 | 4,924 | ||||||||||
Denominator (diluted): | |||||||||||||
Weighted-average common shares outstanding | 31,181 | 5,651 | 4,924 | ||||||||||
Effect of potential dilutive securities: | |||||||||||||
Weighted-average dilutive effect of stock options | 3,071 | — | 1,016 | ||||||||||
Weighted-average dilutive effect of common shares from stock warrants | 1,227 | — | 2,817 | ||||||||||
Dilutive effect from preferred stock assuming conversion | 16,377 | — | 28,757 | ||||||||||
Weighted-average common shares outstanding | 51,856 | 5,651 | 37,514 | ||||||||||
Net income (loss) per share attributable to common stockholders: | |||||||||||||
Basic | $ | 0.39 | $ | (1.26 | ) | $ | 0.81 | ||||||
Diluted | $ | 0.21 | $ | (1.26 | ) | $ | 0.25 | ||||||
Property_and_equipment_Tables
Property and equipment (Tables) | 12 Months Ended | ||||||||
Jan. 31, 2015 | |||||||||
Property, Plant and Equipment [Abstract] | |||||||||
Property, Plant and Equipment | The useful life used for computing depreciation for all other asset classes is described below: | ||||||||
Computer Equipment | 3-5 years | ||||||||
Furniture and Fixtures | 5 years | ||||||||
Property and equipment consisted of the following as of January 31, 2015 and January 31, 2014: | |||||||||
(in thousands) | 31-Jan-15 | 31-Jan-14 | |||||||
Leasehold improvements | $ | 506 | $ | 329 | |||||
Furniture and fixtures | 1,317 | 1,094 | |||||||
Computer equipment | 4,013 | 3,075 | |||||||
Property and equipment, gross | 5,836 | 4,498 | |||||||
Accumulated depreciation | (3,259 | ) | (2,506 | ) | |||||
Property and equipment, net | $ | 2,577 | $ | 1,992 | |||||
Intangible_assets_and_goodwill1
Intangible assets and goodwill (Tables) | 12 Months Ended | ||||||||
Jan. 31, 2015 | |||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||
Schedule of Finite-Lived Intangible Assets | The gross carrying amount and associated accumulated amortization of intangible assets is as follows as of January 31, 2015 and January 31, 2014: | ||||||||
(in thousands) | 31-Jan-15 | 31-Jan-14 | |||||||
Amortized intangible assets: | |||||||||
Capitalized software development costs | $ | 10,468 | $ | 5,290 | |||||
Software | 4,695 | 3,351 | |||||||
Acquired intangible member assets | 24,563 | 24,563 | |||||||
Intangible assets, gross | 39,726 | 33,204 | |||||||
Accumulated amortization | (13,185 | ) | (8,513 | ) | |||||
Intangible assets, net | $ | 26,541 | $ | 24,691 | |||||
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense | Estimated amortization expense for the years ending January 31 is as follows: | ||||||||
Year ending January 31, (in thousands) | |||||||||
2016 | $ | 5,717 | |||||||
2017 | 4,398 | ||||||||
2018 | 2,850 | ||||||||
2019 | 1,660 | ||||||||
2020 | 1,637 | ||||||||
Thereafter | 10,279 | ||||||||
Total | $ | 26,541 | |||||||
Commitments_and_contingencies_
Commitments and contingencies Commitment and Contingencies (Tables) | 12 Months Ended | ||||||||||||
Jan. 31, 2015 | |||||||||||||
Commitments and Contingencies Disclosure [Abstract] | |||||||||||||
Schedule of future minimum rental payments for operating leases | Future minimum lease payments required under non-cancelable obligations as of January 31, 2015 are as follows: | ||||||||||||
Year ending January 31, (in thousands) | Office lease | Other agreements | Total | ||||||||||
2016 | $ | 1,319 | $ | 95 | $ | 1,414 | |||||||
2017 | 1,235 | 51 | 1,286 | ||||||||||
2018 | 1,218 | 1 | 1,219 | ||||||||||
2019 | 1,218 | — | 1,218 | ||||||||||
2020 | 305 | — | 305 | ||||||||||
Thereafter | — | — | — | ||||||||||
Total | $ | 5,295 | $ | 147 | $ | 5,442 | |||||||
Schedule of processing fees | Minimum processing fees required under the terms of the merchant processing services agreement are as follows: | ||||||||||||
Year ending January 31, (in thousands) | Minimum | ||||||||||||
processing fees | |||||||||||||
2016 | $ | 825 | |||||||||||
2017 | $ | 825 | |||||||||||
Income_taxes_Tables
Income taxes (Tables) | 12 Months Ended | ||||||||||||
Jan. 31, 2015 | |||||||||||||
Income Tax Disclosure [Abstract] | |||||||||||||
Schedule of Components of Income Tax Expense (Benefit) | Income tax provision (benefit) consists of the following for the years ended January 31, 2015, 2014 and 2013: | ||||||||||||
(in thousands) | 2015 | 2014 | 2013 | ||||||||||
Current: | |||||||||||||
Federal | $ | 3,574 | $ | 225 | $ | 134 | |||||||
State | 451 | 93 | 90 | ||||||||||
Total Current tax provision | $ | 4,025 | $ | 318 | $ | 224 | |||||||
Deferred: | |||||||||||||
Federal | $ | 1,703 | $ | 3,622 | $ | (4,539 | ) | ||||||
State | (130 | ) | 201 | (352 | ) | ||||||||
Total deferred tax provision (benefit) | $ | 1,573 | $ | 3,823 | $ | (4,891 | ) | ||||||
Total income tax provision (benefit) | $ | 5,598 | $ | 4,141 | $ | (4,667 | ) | ||||||
Schedule of Effective Income Tax Rate Reconciliation | Total income tax provision (benefit) differed from the amounts computed by applying the U.S. federal statutory income tax rate of 34% to income before income tax provision as a result of the following: | ||||||||||||
(in thousands) | 2015 | 2014 | 2013 | ||||||||||
Federal income tax provision at the statutory rate | $ | 5,360 | $ | 1,827 | $ | 2,211 | |||||||
State income tax provision, net of federal tax benefit | 297 | 293 | 240 | ||||||||||
Non-deductible or non-taxable items | 313 | 2,144 | 90 | ||||||||||
Federal research and development credit | (421 | ) | (160 | ) | (65 | ) | |||||||
Change in valuation allowance | — | (29 | ) | (7,455 | ) | ||||||||
Change in uncertain tax position reserves, net of indirect benefits | 54 | 43 | 133 | ||||||||||
Other items, net | (5 | ) | 23 | 179 | |||||||||
Total income tax provision (benefit) | $ | 5,598 | $ | 4,141 | $ | (4,667 | ) | ||||||
Schedule of Deferred Tax Assets and Liabilities | Deferred tax assets and liabilities consist of the following as of January 31, 2015 and 2014: | ||||||||||||
(in thousands) | 2015 | 2014 | |||||||||||
Deferred tax assets: | |||||||||||||
Current: | |||||||||||||
Accrued bonuses | $ | 441 | $ | 321 | |||||||||
Net operating loss carryforward | 21 | 1,919 | |||||||||||
Research and development credit | 751 | 307 | |||||||||||
AMT credit | 412 | 442 | |||||||||||
Other accruals and reserves, net | 139 | 91 | |||||||||||
Net current deferred tax asset | $ | 1,764 | $ | 3,080 | |||||||||
Non-Current: | |||||||||||||
Net operating loss carryforward | $ | 35 | $ | 43 | |||||||||
Nonqualified stock options | 994 | 71 | |||||||||||
Deferred rent | 184 | 147 | |||||||||||
Other, net | 24 | 60 | |||||||||||
Net non-current deferred tax asset | 1,237 | 321 | |||||||||||
Total gross deferred tax assets | $ | 3,001 | $ | 3,401 | |||||||||
Deferred tax liabilities: | |||||||||||||
Non-current: | |||||||||||||
Fixed assets: depreciation and gain/Loss | $ | (675 | ) | $ | (467 | ) | |||||||
Intangibles: amortization | (5,897 | ) | (4,885 | ) | |||||||||
Total gross non-current deferred tax liability | (6,572 | ) | (5,352 | ) | |||||||||
Net non-current deferred tax liability | $ | (5,335 | ) | $ | (5,031 | ) | |||||||
Net deferred tax liability | $ | (3,571 | ) | $ | (1,951 | ) | |||||||
Schedule of Unrecognized Tax Benefits Roll Forward | A tabular reconciliation of the beginning and ending amount of gross unrecognized tax benefits is as follows: | ||||||||||||
(in thousands) | 2015 | 2014 | |||||||||||
Gross unrecognized tax benefits at beginning of year | $ | 256 | $ | 207 | |||||||||
Gross amounts of increases and decreases: | |||||||||||||
Increases as a result of tax positions taken during a prior period | — | — | |||||||||||
Decreases as a result of tax positions taken during a prior period | (88 | ) | — | ||||||||||
Increases as a result of tax positions taken during the current period | 144 | 49 | |||||||||||
Decreases as a result of tax positions taken during the current period | — | — | |||||||||||
Decreases resulting from the lapse of the applicable statute of limitations | (12 | ) | — | ||||||||||
Gross unrecognized tax benefits at end of year | $ | 300 | $ | 256 | |||||||||
Schedule of Unrecognized Tax Benefit Netted Against Deferred Tax Asset | The resulting unrecognized tax benefit recorded within the Company's consolidated balance sheet excludes the following amounts that have been netted against the related deferred tax assets accordingly: | ||||||||||||
(in thousands) | 2015 | 2014 | |||||||||||
Total gross unrecognized tax benefits | $ | 300 | $ | 256 | |||||||||
Amounts netted against related deferred tax assets | (280 | ) | (209 | ) | |||||||||
Unrecognized tax benefits recorded on the consolidated balance sheet | $ | 20 | $ | 47 | |||||||||
Redeemable_convertible_preferr1
Redeemable convertible preferred stock and convertible preferred stock (Tables) | 12 Months Ended | ||||||||||||||
Jan. 31, 2015 | |||||||||||||||
Equity [Abstract] | |||||||||||||||
Schedule of convertible preferred stock | Redeemable convertible preferred stock and convertible preferred stock as of January 31, 2014 consisted of the following: | ||||||||||||||
(in thousands) | Shares | ||||||||||||||
Series | Authorized | Issued and | Liquidation | Carrying | |||||||||||
outstanding | preference | value | |||||||||||||
Redeemable convertible preferred stock: | |||||||||||||||
Series C | 6,773 | 6,751 | $ | 22,533 | $ | 22,232 | |||||||||
Series D-1 | 9,000 | 5,835 | 8,464 | 8,340 | |||||||||||
Series D-2 | 3,200 | 440 | 719 | 709 | |||||||||||
Series D-3 | 7,500 | 4,323 | 11,412 | 15,433 | |||||||||||
Total redeemable convertible preferred stock | 26,473 | 17,349 | $ | 43,128 | $ | 46,714 | |||||||||
Convertible preferred stock: | |||||||||||||||
Series A | 2,000 | 2,000 | $ | 3,291 | $ | 2,000 | |||||||||
Series B | 4,738 | 4,156 | 9,473 | 6,129 | |||||||||||
Total convertible preferred stock | 6,738 | 6,156 | $ | 12,764 | $ | 8,129 | |||||||||
Schedule of redeemable convertible preferred stock | Redeemable convertible preferred stock and convertible preferred stock as of January 31, 2014 consisted of the following: | ||||||||||||||
(in thousands) | Shares | ||||||||||||||
Series | Authorized | Issued and | Liquidation | Carrying | |||||||||||
outstanding | preference | value | |||||||||||||
Redeemable convertible preferred stock: | |||||||||||||||
Series C | 6,773 | 6,751 | $ | 22,533 | $ | 22,232 | |||||||||
Series D-1 | 9,000 | 5,835 | 8,464 | 8,340 | |||||||||||
Series D-2 | 3,200 | 440 | 719 | 709 | |||||||||||
Series D-3 | 7,500 | 4,323 | 11,412 | 15,433 | |||||||||||
Total redeemable convertible preferred stock | 26,473 | 17,349 | $ | 43,128 | $ | 46,714 | |||||||||
Convertible preferred stock: | |||||||||||||||
Series A | 2,000 | 2,000 | $ | 3,291 | $ | 2,000 | |||||||||
Series B | 4,738 | 4,156 | 9,473 | 6,129 | |||||||||||
Total convertible preferred stock | 6,738 | 6,156 | $ | 12,764 | $ | 8,129 | |||||||||
Stock_options_Tables
Stock options (Tables) | 12 Months Ended | |||||||||||||||
Jan. 31, 2015 | ||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||||||||||||||
Summary of stock options | A summary of stock option activity is as follows: | |||||||||||||||
Outstanding stock options | ||||||||||||||||
(in thousands, except for exercise prices and term) | Number of | Range of | Weighted- | Weighted- | Aggregate | |||||||||||
options | exercise | average | average | intrinsic | ||||||||||||
prices | exercise | contractual | value | |||||||||||||
price | term | |||||||||||||||
(in years) | ||||||||||||||||
Outstanding as of January 31, 2014 | 6,369 | $1.10 - 4.50 | $ | 1.77 | 6.34 | $ | 14,621 | |||||||||
Granted | 2,117 | $14.00 - 25.45 | $ | 14.88 | ||||||||||||
Exercised | (1,841 | ) | $0.10 - 2.50 | $ | 1.32 | |||||||||||
Forfeited | (188 | ) | $1.25 - 25.45 | $ | 9.53 | |||||||||||
Outstanding as of January 31, 2015 | 6,457 | $0.10 - 25.45 | $ | 5.27 | 6.88 | $ | 100,290 | |||||||||
Vested and expected to vest as of January 31, 2015 | 6,106 | $ | 4.86 | 6.75 | $ | 97,300 | ||||||||||
Exercisable as of January 31, 2015 | 4,066 | $ | 1.09 | 5.5 | $ | 80,016 | ||||||||||
Summary of Assumptions | The key input assumptions that were utilized in the valuation of the stock options granted during the years ended January 31, 2015, 2014 and 2013 are as follows: | |||||||||||||||
Year ended January 31, | ||||||||||||||||
2015 | 2014 | 2013 | ||||||||||||||
Expected dividend yield | — | % | — | % | — | % | ||||||||||
Expected stock price volatility | 32.90% - 40.29% | 32.9 | % | 31.3 | % | |||||||||||
Risk-free interest rate | 1.12% - 2.24% | 0.35% - 0.80% | 0.31% - 0.39% | |||||||||||||
Expected life of options | 5.6 - 7.3 years | 3 years | 3 years | |||||||||||||
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Table Text Block] | The following table shows a summary of stock-based compensation in the Company's consolidated statements of operations and comprehensive income during the years presented: | |||||||||||||||
Year ended January 31, | ||||||||||||||||
(in thousands) | 2015 | 2014 | 2013 | |||||||||||||
Cost of services | $ | 403 | $ | 9 | $ | 7 | ||||||||||
Sales and marketing | 504 | 12 | 15 | |||||||||||||
Technology and development | 263 | 16 | 7 | |||||||||||||
General and administrative | 1,355 | 20 | 18 | |||||||||||||
Total stock-based compensation expense | $ | 2,525 | $ | 57 | $ | 47 | ||||||||||
Fair_value_Tables
Fair value (Tables) | 12 Months Ended | ||||||||
Jan. 31, 2015 | |||||||||
Fair Value Disclosures [Abstract] | |||||||||
Schedule of Roll-forward of the amounts for instruments classified with Level 3 | The following table includes a roll forward of the amounts for the years ended January 31, 2015 and 2014 for instruments classified within Level 3. The classification within Level 3 is based upon significance of the unobservable inputs to the overall fair value measurement. | ||||||||
Year ended January 31, | |||||||||
(in thousands) | 2015 | 2014 | |||||||
Balance at beginning of period | $ | 6,182 | $ | 818 | |||||
Loss on revaluation | 735 | 5,364 | |||||||
Elimination of liability due to removal of FMV provision | (6,917 | ) | — | ||||||
Balance at end of period | $ | — | $ | 6,182 | |||||
Summary of the significant quantitative inputs and assumptions used for items categorized in Level 3 of the fair value hierarchy | The following table summarizes the significant quantitative inputs and assumptions used for items categorized in Level 3 of the fair value hierarchy as of January 31, 2014: | ||||||||
Series D-3 redeemable convertible preferred stock derivative liability | |||||||||
January 31, 2014 | |||||||||
Market value of common stock on measurement date | $ | 4.06 | |||||||
Projected exercise price | $ | 2.64 | |||||||
Risk-free interest rate | 0.06 | % | |||||||
Expected lives | 180 days | ||||||||
Expected volatility | 25.2 | % | |||||||
Probability of liquidation event | — | % | |||||||
Supplementary_quarterly_financ1
Supplementary quarterly financial data (Tables) | 12 Months Ended | ||||||||||||
Jan. 31, 2015 | |||||||||||||
Quarterly Financial Information Disclosure [Abstract] | |||||||||||||
Schedule of Quarterly Financial Information | |||||||||||||
Three months ended | |||||||||||||
(in thousands, except for per share amounts) | January 31, 2015 | October 31, 2014 | July 31, 2014 | April 30, 2014 | |||||||||
Total revenue | $ | 24,871 | $ | 21,862 | $ | 20,891 | $ | 20,231 | |||||
Total cost of services | 12,358 | 9,630 | 9,122 | 8,772 | |||||||||
Gross profit | 12,513 | 12,232 | 11,769 | 11,459 | |||||||||
Total operating expenses | 10,493 | 7,938 | 6,698 | 5,971 | |||||||||
Total other expense | (98 | ) | (145 | ) | (39 | ) | (827 | ) | |||||
Income tax provision | 551 | 1,100 | 2,004 | 1,943 | |||||||||
Net income and comprehensive income | $ | 1,371 | $ | 3,049 | $ | 3,028 | $ | 2,718 | |||||
Net income per share attributable to common stockholders: | |||||||||||||
Basic (1) | $ | 0.03 | $ | 0.06 | $ | 0.19 | $ | 0.52 | |||||
Diluted | $ | 0.02 | $ | 0.05 | $ | 0.06 | $ | 0.08 | |||||
Three months ended | |||||||||||||
(in thousands, except for per share amounts) | January 31, 2014 | October 31, 2013 | July 31, 2013 | April 30, 2013 | |||||||||
Total revenue | $ | 17,161 | $ | 15,248 | $ | 14,982 | $ | 14,624 | |||||
Total cost of services | 8,739 | 6,870 | 6,639 | 6,965 | |||||||||
Gross profit | 8,422 | 8,378 | 8,343 | 7,659 | |||||||||
Total operating expenses | 6,833 | 4,982 | 4,730 | 4,733 | |||||||||
Total other expense | (5,889 | ) | (138 | ) | (40 | ) | (83 | ) | |||||
Income tax provision | 417 | 1,280 | 1,351 | 1,093 | |||||||||
Net income (loss) and comprehensive income | $ | (4,717 | ) | $ | 1,978 | $ | 2,222 | $ | 1,750 | ||||
Net income (loss) per share attributable to common stockholders: | |||||||||||||
Basic (1) | $ | (1.71 | ) | $ | 0.11 | $ | 0.12 | $ | 0.08 | ||||
Diluted (1) | $ | (1.71 | ) | $ | 0.04 | $ | 0.05 | $ | 0.04 | ||||
(1) Earnings per share amounts do not sum to equal full year total due to changes in the number of shares outstanding during the periods and rounding. |
Summary_of_business_and_signif3
Summary of business and significant accounting policies (Details) (USD $) | 0 Months Ended | 11 Months Ended | 12 Months Ended | 0 Months Ended | |||
Aug. 05, 2014 | Dec. 31, 2014 | Jan. 31, 2015 | Jan. 31, 2014 | Jan. 31, 2013 | Jul. 14, 2014 | Jan. 31, 2012 | |
segment | |||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||||||
Assets held in trust | $2,000,000,000 | ||||||
Minimum net worth required, percentage | 2.00% | ||||||
Calculated net worth | 141,807,550 | ||||||
Supportable custodial funds, calculated | 7,090,377,499 | ||||||
Custodial funds, actual | 5,121,308,728 | ||||||
Number of segments | 1 | ||||||
Account fees receivable | 4,900,000 | ||||||
Accounts receivables | 2,600,000 | ||||||
Credit card receivables | 1,600,000 | ||||||
Allowance for doubtful accounts | 40,000 | 40,000 | 40,000 | ||||
Decrease in valuation allowance | 29,000 | 7,500,000 | |||||
Valuation allowance | 0 | 29,000 | |||||
Cash and cash equivalents | 111,005,000 | 13,917,000 | 5,905,000 | 5,130,000 | |||
Cash covered by insurance | 500,000 | ||||||
Accounts receivable | 9,054,000 | 5,705,000 | |||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Useful life of intangible assets (in years) | 5 years | ||||||
Class of Stock [Line Items] | |||||||
Common and preferred stock, shares authorized | 1,000,000,000 | ||||||
Common stock, shares authorized | 900,000,000 | 900,000,000 | 900,000,000 | ||||
Preferred stock, shares authorized | 100,000,000 | 100,000,000 | 100,000,000 | ||||
Preferred stock, par value per share | $0.00 | $0.00 | $0.00 | ||||
Common stock, par value per share | $0.00 | $0.00 | $0.00 | ||||
Dividends declared | 50,000,000 | ||||||
Decrease in exercise price to record an adjustment to outstanding stock options | $1 | ||||||
Preferred stock converted to common stock ( in shares) | 32,486,588 | ||||||
IPO | |||||||
Class of Stock [Line Items] | |||||||
Shares of common stock issued | 10,465,000 | ||||||
IPO price per share | $14 | ||||||
Net proceeds from IPO | 132,600,000 | ||||||
Stock issuance costs, underwriters discounts and commissions | 10,200,000 | ||||||
Other offering expenses payable | 3,700,000 | ||||||
Dividend Declared | |||||||
Class of Stock [Line Items] | |||||||
Dividends declared | 50,000,000 | ||||||
Capitalized software development costs | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Useful life of intangible assets (in years) | 15 years | ||||||
Acquired intangible member assets | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Useful life of intangible assets (in years) | 3 years | ||||||
Minimum | Capitalized software development costs | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Useful life of intangible assets (in years) | 3 years | ||||||
Minimum | Computer equipment | |||||||
Property, Plant and Equipment [Line Items] | |||||||
Useful life of property, plant and equipment (in years) | 3 years | ||||||
Maximum | Capitalized software development costs | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Useful life of intangible assets (in years) | 5 years | ||||||
Maximum | Computer equipment | |||||||
Property, Plant and Equipment [Line Items] | |||||||
Useful life of property, plant and equipment (in years) | 5 years | ||||||
Healthbox Inc. | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Ownership percentage | 22.00% | ||||||
Equity method investments | $281,000 |
Net_income_loss_per_share_attr2
Net income (loss) per share attributable to common stockholders (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Per Share data, unless otherwise specified | Jan. 31, 2015 | Oct. 31, 2014 | Jul. 31, 2014 | Apr. 30, 2014 | Jan. 31, 2014 | Oct. 31, 2013 | Jul. 31, 2013 | Apr. 30, 2013 | Jan. 31, 2015 | Jan. 31, 2014 | Jan. 31, 2013 |
Earnings Per Share [Abstract] | |||||||||||
Net income | $1,371 | $3,049 | $3,028 | $2,718 | ($4,717) | $1,978 | $2,222 | $1,750 | $10,166 | $1,233 | $11,169 |
Add back (deduction): accretion of redeemable convertible preferred stock | 4,021 | -5,764 | -1,258 | ||||||||
Less: dividend on redeemable convertible preferred stock and dividend on convertible preferred stock | -1,286 | -2,601 | -2,563 | ||||||||
Less: undistributed income attributed to redeemable convertible preferred stockholders | -843 | 0 | -3,355 | ||||||||
Net income (loss) attributable to common stockholders for basic earnings per share | 12,058 | -7,132 | 3,993 | ||||||||
Add back: dividend of redeemable convertible preferred stock | 1,286 | 0 | 1,361 | ||||||||
Add back (deduction): accretion on redeemable convertible preferred stock and dividend on convertible preferred stock | -4,021 | 0 | 1,907 | ||||||||
Add back: series D-3 derivative liability revaluations | 735 | 0 | 0 | ||||||||
Add back: adjustment to undistributed income attributed to redeemable convertible preferred stockholders | 843 | 0 | 2,301 | ||||||||
Net income (loss) attributable to common stockholders for diluted earnings per share | $10,901 | ($7,132) | $9,562 | ||||||||
Weighted-average common shares outstanding (in shares) | 31,181 | 5,651 | 4,924 | ||||||||
Weighted-average dilutive effect of stock options (in shares) | 3,071 | 0 | 1,016 | ||||||||
Weighted-average dilutive effect of common shares from stock warrants (in shares) | 1,227 | 0 | 2,817 | ||||||||
Dilutive effect from preferred stock assuming conversion (in shares) | 16,377 | 0 | 28,757 | ||||||||
Weighted-average common shares outstanding (in shares) | 51,856 | 5,651 | 37,514 | ||||||||
Basic (in dollars per share) | $0.03 | $0.06 | $0.19 | $0.52 | ($1.71) | $0.11 | $0.12 | $0.08 | $0.39 | ($1.26) | $0.81 |
Diluted (in dollars per share) | $0.02 | $0.05 | $0.06 | $0.08 | ($1.71) | $0.04 | $0.05 | $0.04 | $0.21 | ($1.26) | $0.25 |
Net_income_loss_per_share_attr3
Net income (loss) per share attributable to common stockholders (Anti-dilutive securities) (Details) | 3 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | Jan. 31, 2015 | Jan. 31, 2014 | Jan. 31, 2013 |
Earnings Per Share [Abstract] | |||
Antidilutive securities excluded from computation of earnings per share (in shares) | 745 | 33,200 | 4,600 |
Property_and_equipment_Schedul
Property and equipment (Schedule of property and equipment) (Details) (USD $) | Jan. 31, 2015 | Jan. 31, 2014 |
In Thousands, unless otherwise specified | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $5,836 | $4,498 |
Accumulated depreciation | -3,259 | -2,506 |
Property and equipment, net | 2,577 | 1,992 |
Leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 506 | 329 |
Furniture and fixtures | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 1,317 | 1,094 |
Computer equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $4,013 | $3,075 |
Property_and_equipment_Narrati
Property and equipment (Narrative) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | Jan. 31, 2015 | Jan. 31, 2014 | Jan. 31, 2013 |
Property, Plant and Equipment [Abstract] | |||
Depreciation expense | $1,100 | $728 | $638 |
Intangible_assets_and_goodwill2
Intangible assets and goodwill (Narrative) (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||
In Millions, unless otherwise specified | Jan. 31, 2015 | Jan. 31, 2015 | Jan. 31, 2014 | Jan. 31, 2013 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||||
Capitalized software development costs | $5.20 | $1.80 | $1 | |
Software development costs incurred and expensed | 4.6 | 2.4 | 1.7 | |
Amortization expense | $4.80 | $3.50 | $2.70 |
Intangible_assets_and_goodwill3
Intangible assets and goodwill (Schedule of finite-lived intangible assets) (Details) (USD $) | Jan. 31, 2015 | Jan. 31, 2014 |
In Thousands, unless otherwise specified | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets, gross | $39,726 | $33,204 |
Accumulated amortization | -13,185 | -8,513 |
Intangible assets, net | 26,541 | 24,691 |
Capitalized software development costs | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets, gross | 10,468 | 5,290 |
Computer Software, Intangible Asset | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets, gross | 4,695 | 3,351 |
Acquired intangible member assets | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets, gross | $24,563 | $24,563 |
Intangible_assets_and_goodwill4
Intangible assets and goodwill (Schedule for future amortization expense) (Details) (USD $) | Jan. 31, 2015 | Jan. 31, 2014 |
In Thousands, unless otherwise specified | ||
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | ||
YE 2016 | $5,717 | |
YE 2017 | 4,398 | |
YE 2018 | 2,850 | |
YE 2019 | 1,660 | |
YE 2020 | 1,637 | |
Thereafter | 10,279 | |
Intangible assets, net | $26,541 | $24,691 |
Commitments_and_contingencies_1
Commitments and contingencies Future Minimum Rental (Details) (USD $) | 0 Months Ended | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 01, 2012 | Jan. 31, 2015 | Jan. 31, 2014 | Jan. 31, 2013 |
Operating Leased Assets [Line Items] | ||||
YE 2016 | $1,414 | |||
YE 2017 | 1,286 | |||
YE 2018 | 1,219 | |||
YE 2019 | 1,218 | |||
YE 2020 | 305 | |||
Thereafter | 0 | |||
Total | 5,442 | |||
Office lease | ||||
Operating Leased Assets [Line Items] | ||||
YE 2016 | 1,319 | |||
YE 2017 | 1,235 | |||
YE 2018 | 1,218 | |||
YE 2019 | 1,218 | |||
YE 2020 | 305 | |||
Thereafter | 0 | |||
Total | 5,295 | |||
Term of contract | 77 months | |||
Lease expense for office space | 1,600 | 935 | 811 | |
Other agreements | ||||
Operating Leased Assets [Line Items] | ||||
YE 2016 | 95 | |||
YE 2017 | 51 | |||
YE 2018 | 1 | |||
YE 2019 | 0 | |||
YE 2020 | 0 | |||
Thereafter | 0 | |||
Total | 147 | |||
Lease expense for office space | $148 | $214 | $188 |
Commitments_and_contingencies_2
Commitments and contingencies (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Jan. 31, 2015 | Jan. 31, 2014 | Jan. 31, 2013 |
Operating Leased Assets [Line Items] | |||
Contract termination fees, as percentage of minimum processing fees | 70.00% | ||
Office lease | |||
Operating Leased Assets [Line Items] | |||
Operating Leases, Rent Expense | $1,600 | $935 | $811 |
Other agreements | |||
Operating Leased Assets [Line Items] | |||
Operating Leases, Rent Expense | 148 | 214 | 188 |
Processing Service Fees | |||
Processing Fees | |||
YE 2016 | 825 | ||
YE 2017 | $825 |
Income_taxes_Details
Income taxes (Details) (USD $) | 12 Months Ended | ||
Jan. 31, 2015 | Jan. 31, 2014 | Jan. 31, 2013 | |
Operating Loss Carryforwards [Line Items] | |||
Income tax rate, percentage | 34.00% | ||
Decrease in valuation allowance | $29,000 | $7,500,000 | |
Valuation Allowances and Reserves, Balance | 0 | ||
Total unrecognized tax benefits would affect the Company's effective tax rate | 230,000 | 177,000 | |
Period increase (decrease) in unrecognized tax benefit | 44,000 | ||
Increase (decrease) in interest and penalty recorded as unrecognized tax benefit. | -6,000 | 5,000 | 9,000 |
Penalties and interest accrued | 8,000 | 14,000 | |
Anticipated decrease in total gross unrecognized tax benefits within 12 months | 20,000 | ||
Total gross unrecognized tax benefits | 300,000 | 256,000 | 207,000 |
State | |||
Operating Loss Carryforwards [Line Items] | |||
Credit carryforward | 1,000 | ||
Federal | |||
Operating Loss Carryforwards [Line Items] | |||
Credit carryforward | 411,000 | ||
December 31, 2023 and December 31, 2028 | State | |||
Operating Loss Carryforwards [Line Items] | |||
Operating loss carryforwards | 1,200,000 | ||
December 31, 2031 | Research | State | |||
Operating Loss Carryforwards [Line Items] | |||
Credit carryforward | 391,000 | ||
December 31, 2031 | Research | Federal | |||
Operating Loss Carryforwards [Line Items] | |||
Credit carryforward | $743,000 |
Income_taxes_Component_of_Inco
Income taxes (Component of Income tax) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Jan. 31, 2015 | Oct. 31, 2014 | Jul. 31, 2014 | Apr. 30, 2014 | Jan. 31, 2014 | Oct. 31, 2013 | Jul. 31, 2013 | Apr. 30, 2013 | Jan. 31, 2015 | Jan. 31, 2014 | Jan. 31, 2013 |
Current: | |||||||||||
Federal | $3,574 | $225 | $134 | ||||||||
State | 451 | 93 | 90 | ||||||||
Total Current tax provision | 4,025 | 318 | 224 | ||||||||
Deferred: | |||||||||||
Federal | 1,703 | 3,622 | -4,539 | ||||||||
State | -130 | 201 | -352 | ||||||||
Total deferred tax provision (benefit) | 1,573 | 3,823 | -4,891 | ||||||||
Income Tax Expense (Benefit) | $551 | $1,100 | $2,004 | $1,943 | $417 | $1,280 | $1,351 | $1,093 | $5,598 | $4,141 | ($4,667) |
Income_taxes_Reconciliation_of
Income taxes (Reconciliation of Income tax) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Jan. 31, 2015 | Oct. 31, 2014 | Jul. 31, 2014 | Apr. 30, 2014 | Jan. 31, 2014 | Oct. 31, 2013 | Jul. 31, 2013 | Apr. 30, 2013 | Jan. 31, 2015 | Jan. 31, 2014 | Jan. 31, 2013 |
Income Tax Disclosure [Abstract] | |||||||||||
Federal income tax provision at the statutory rate | $5,360 | $1,827 | $2,211 | ||||||||
State income tax provision, net of federal tax benefit | 297 | 293 | 240 | ||||||||
Non-deductible or non-taxable items | 313 | 2,144 | 90 | ||||||||
Federal research and development credit | -421 | -160 | -65 | ||||||||
Change in uncertain tax position reserves, net of indirect benefits | 0 | -29 | -7,455 | ||||||||
Change in uncertain tax position reserves, net of indirect benefits | 54 | 43 | 133 | ||||||||
Other items, net | -5 | 23 | 179 | ||||||||
Income Tax Expense (Benefit) | $551 | $1,100 | $2,004 | $1,943 | $417 | $1,280 | $1,351 | $1,093 | $5,598 | $4,141 | ($4,667) |
Income_taxes_Deferred_tax_Asse
Income taxes (Deferred tax Assets and Liabilities) (Details) (USD $) | Jan. 31, 2015 | Jan. 31, 2014 |
In Thousands, unless otherwise specified | ||
Deferred tax assets: | ||
Accrued bonuses | $441 | $321 |
Net operating loss carryforward | 21 | 1,919 |
Research and development credit | 751 | 307 |
AMT credit | 412 | 442 |
Other accruals and reserves, net | 139 | 91 |
Net current deferred tax asset | 1,764 | 3,080 |
Net operating loss carryforward | 35 | 43 |
Nonqualified stock options | 994 | 71 |
Deferred rent | 184 | 147 |
Other, net | 24 | 60 |
Net non-current deferred tax asset | 1,237 | 321 |
Total gross deferred tax assets | 3,001 | 3,401 |
Deferred tax liabilities: | ||
Fixed assets: depreciation and gain/Loss | -675 | -467 |
Intangibles: amortization | -5,897 | -4,885 |
Total gross non-current deferred tax liability | -6,572 | -5,352 |
Deferred tax liability | -5,335 | -5,031 |
Net deferred tax liability | ($3,571) | ($1,951) |
Income_taxes_Unrecognized_Tax_
Income taxes ( Unrecognized Tax Benefit Rollforward) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Jan. 31, 2015 | Jan. 31, 2014 |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | ||
Unrecognized tax benefits, beginning balance | $256 | $207 |
Increases as a result of tax positions taken during a prior period | 0 | 0 |
Decreases as a result of tax positions taken during a prior period | -88 | 0 |
Increases as a result of tax positions taken during the current period | 144 | 49 |
Decreases as a result of tax positions taken during the current period | 0 | 0 |
Decreases resulting from the lapse of the applicable statute of limitations | -12 | 0 |
Unrecognized tax benefits, ending balance | 300 | 256 |
Amounts netted against related deferred tax assets | -280 | -209 |
Unrecognized tax benefits recorded on the consolidated balance sheet | $20 | $47 |
Redeemable_convertible_preferr2
Redeemable convertible preferred stock and convertible preferred stock (Details) (USD $) | 12 Months Ended | |||||
Jan. 31, 2015 | Jul. 14, 2014 | Jan. 31, 2014 | Jan. 31, 2013 | Jan. 31, 2012 | Aug. 05, 2014 | |
Redeemable convertible preferred stock: | ||||||
Shares outstanding | 0 | 17,349,000 | 17,433,000 | 17,185,000 | ||
Carrying value | $0 | $46,714,000 | $41,186,000 | $39,319,000 | ||
Convertible preferred stock: | ||||||
Shares authorized | 100,000,000 | 100,000,000 | 100,000,000 | |||
Common stock | ||||||
Class of Stock [Line Items] | ||||||
Conversion of preferred stock to common stock | 32,486,588 | |||||
Series C Redeemable convertible preferred stock | ||||||
Class of Stock [Line Items] | ||||||
Conversion ratio to common stock | 1.38 | |||||
Redeemable convertible preferred stock: | ||||||
Shares authorized | 6,773,000 | |||||
Shares issued | 6,751,000 | |||||
Shares outstanding | 6,751,000 | 6,751,000 | ||||
Liquidation preference | 22,533,000 | |||||
Carrying value | 22,232,000 | |||||
Series D1 Redeemable convertible preferred stock | ||||||
Class of Stock [Line Items] | ||||||
Conversion ratio to common stock | 2 | |||||
Redeemable convertible preferred stock: | ||||||
Shares authorized | 9,000,000 | |||||
Shares issued | 5,835,000 | |||||
Shares outstanding | 5,835,000 | |||||
Liquidation preference | 8,464,000 | |||||
Carrying value | 8,340,000 | |||||
Series D2 Redeemable convertible preferred stock | ||||||
Class of Stock [Line Items] | ||||||
Conversion ratio to common stock | 2.27 | |||||
Redeemable convertible preferred stock: | ||||||
Shares authorized | 3,200,000 | |||||
Shares issued | 440,000 | |||||
Shares outstanding | 440,000 | |||||
Liquidation preference | 719,000 | |||||
Carrying value | 709,000 | |||||
Series D3 Redeemable convertible preferred stock | ||||||
Redeemable convertible preferred stock: | ||||||
Shares authorized | 7,500,000 | |||||
Shares issued | 4,323,000 | |||||
Shares outstanding | 4,323,000 | 248,000 | 4,400,000 | |||
Liquidation preference | 11,412,000 | |||||
Carrying value | 15,433,000 | |||||
Redeemable convertible preferred stock | ||||||
Redeemable convertible preferred stock: | ||||||
Shares authorized | 26,473,000 | 26,473,000 | ||||
Shares issued | 0 | 17,349,000 | ||||
Shares outstanding | 0 | 17,349,000 | ||||
Liquidation preference | 0 | 43,128,000 | ||||
Carrying value | 0 | 46,714,000 | ||||
Series A Convertible preferred stock | ||||||
Class of Stock [Line Items] | ||||||
Conversion ratio to common stock | 1 | |||||
Convertible preferred stock: | ||||||
Shares authorized | 2,000,000 | |||||
Shares issued | 2,000,000 | |||||
Shares outstanding | 2,000,000 | |||||
Liquidation preference | 3,291,000 | |||||
Carrying value | 2,000,000 | |||||
Series B Convertible preferred stock | ||||||
Convertible preferred stock: | ||||||
Shares authorized | 4,738,000 | |||||
Shares issued | 4,156,000 | |||||
Shares outstanding | 4,156,000 | 4,700,000 | ||||
Liquidation preference | 9,473,000 | |||||
Carrying value | 6,129,000 | |||||
Convertible preferred stock | ||||||
Convertible preferred stock: | ||||||
Shares authorized | 6,738,000 | 6,738,000 | ||||
Shares issued | 0 | 6,156,000 | ||||
Shares outstanding | 0 | 6,156,000 | ||||
Liquidation preference | 0 | 12,764,000 | ||||
Carrying value | $0 | $8,129,000 |
Redeemable_convertible_preferr3
Redeemable convertible preferred stock and convertible preferred stock (Narrative) (Details) (USD $) | 0 Months Ended | 12 Months Ended | 0 Months Ended | ||||
In Thousands, except Share data, unless otherwise specified | Jan. 30, 2014 | Jan. 31, 2015 | Jan. 31, 2014 | Jan. 31, 2013 | Aug. 04, 2014 | Jul. 14, 2014 | Jan. 31, 2012 |
Class of Stock [Line Items] | |||||||
Preferred stock, par value per share | $0.00 | $0.00 | $0.00 | ||||
Number of stock repurchased | 61,743 | ||||||
Repurchase price per share | $5 | ||||||
Temporary equity, shares outstanding | 0 | 17,349,000 | 17,433,000 | 17,185,000 | |||
Temporary equity, par value | $655 | ||||||
Dividends paid, shares | 347 | 694 | 655 | ||||
Series D-3 redeemable convertible preferred stock derivative liability | 6,182 | ||||||
Series A Convertible preferred stock | |||||||
Class of Stock [Line Items] | |||||||
Preferred stock, shares outstanding | 2,000,000 | ||||||
Preferred stock, par value per share | $1 | ||||||
Shares reserved for future issuance | 2,000,000 | ||||||
Preferred stock, dividend rate, percentage | 6.00% | ||||||
Series B Convertible preferred stock | |||||||
Class of Stock [Line Items] | |||||||
Preferred stock, shares outstanding | 4,156,000 | 4,700,000 | |||||
Preferred stock, par value per share | $1.50 | ||||||
Shares reserved for future issuance | 4,200,000 | 4,700,000 | |||||
Preferred stock, dividend rate, percentage | 6.00% | ||||||
Number of stock repurchased | 582,000 | ||||||
Repurchase price per share | $5 | ||||||
Series C Redeemable convertible preferred stock | |||||||
Class of Stock [Line Items] | |||||||
Number of stock repurchased | 22,000 | ||||||
Repurchase price per share | $5 | ||||||
Temporary equity, shares outstanding | 6,751,000 | 6,751,000 | |||||
Temporary equity, par or stated value per share | $2.32 | ||||||
Temporary equity, dividend rate, percentage | 6.00% | ||||||
Temporary equity, shares covertible into common shares | 9,300,000 | 9,400,000 | |||||
Common stock | |||||||
Class of Stock [Line Items] | |||||||
Number of stock repurchased | 674,000 | 674,120 | |||||
Series D1 Redeemable convertible preferred stock | |||||||
Class of Stock [Line Items] | |||||||
Temporary equity, shares outstanding | 5,835,000 | ||||||
Temporary equity, par or stated value per share | $1.10 | ||||||
Temporary equity, dividend rate, percentage | 6.00% | ||||||
Temporary equity, shares covertible into common shares | 11,700,000 | ||||||
Series D2 Redeemable convertible preferred stock | |||||||
Class of Stock [Line Items] | |||||||
Temporary equity, shares outstanding | 440,000 | ||||||
Temporary equity, par or stated value per share | $1.25 | ||||||
Temporary equity, dividend rate, percentage | 6.00% | ||||||
Temporary equity, shares covertible into common shares | 1,000,000 | ||||||
Series D3 Redeemable convertible preferred stock | |||||||
Class of Stock [Line Items] | |||||||
Temporary equity, shares outstanding | 4,323,000 | 248,000 | 4,400,000 | ||||
Temporary equity, par or stated value per share | 2.64 | ||||||
Temporary equity, dividend rate, percentage | 6.00% | ||||||
Temporary equity, dividend payable, duration to pay dividends | 30 days | ||||||
Temporary equity, shares covertible into common shares | 4,300,000 | 200,000 | 4,400,000 | ||||
Dividend per share | $0.16 | ||||||
Dividends paid, shares | $694 | $347 | |||||
Common stock | Series C Redeemable convertible preferred stock | |||||||
Class of Stock [Line Items] | |||||||
Number of stock repurchased | 31,000 |
Common_stock_warrants_Details
Common stock warrants (Details) (USD $) | 12 Months Ended | |||||||||
In Thousands, except Per Share data, unless otherwise specified | Jan. 31, 2015 | Jan. 31, 2014 | Jan. 31, 2013 | Nov. 30, 2005 | Feb. 29, 2004 | Sep. 30, 2005 | Aug. 31, 2006 | 7-May-07 | Aug. 31, 2008 | Aug. 31, 2011 |
Class of Warrant or Right [Line Items] | ||||||||||
Exercise price of warrants (usd per share) | 0.8008 | $0.07 | $0.00 | |||||||
Warrants exercised | 2,972 | 1,084 | 419 | |||||||
Value of common stock warrants | 0 | $2,334 | ||||||||
Series A Convertible Preferred Stock, Exercisable Through November 2015 | ||||||||||
Class of Warrant or Right [Line Items] | ||||||||||
Number of securities called by warrants | 150 | |||||||||
Exercise price of warrants (usd per share) | $1 | |||||||||
Warrants exercised | 26 | |||||||||
Warrants outstanding | 124 | |||||||||
Value of common stock warrants | 51 | |||||||||
Series B Convertible Preferred Stock, Exercisable Through February 2014 | ||||||||||
Class of Warrant or Right [Line Items] | ||||||||||
Number of securities called by warrants | 400 | |||||||||
Exercise price of warrants (usd per share) | $1 | |||||||||
Warrants exercised | 340 | 50 | ||||||||
Warrants forfeited | 10 | |||||||||
Warrants outstanding | 350 | |||||||||
Value of common stock warrants | 44 | |||||||||
Series B Convertible Preferred Stock, Exercisable Through Sept 2015 | ||||||||||
Class of Warrant or Right [Line Items] | ||||||||||
Number of securities called by warrants | 200 | |||||||||
Exercise price of warrants (usd per share) | $1 | |||||||||
Warrants exercised | 5 | |||||||||
Warrants outstanding | 195 | |||||||||
Value of common stock warrants | 66 | |||||||||
Series C Redeemable Convertible Preferred Stock, Exercisable Through August 2016 | ||||||||||
Class of Warrant or Right [Line Items] | ||||||||||
Number of securities called by warrants | 600 | |||||||||
Exercise price of warrants (usd per share) | $1.50 | |||||||||
Warrants exercised | 10 | |||||||||
Warrants outstanding | 590 | |||||||||
Value of common stock warrants | 339 | |||||||||
Series C Redeemable Convertible Preferred Stock, Exercisable Through May 7, 2015 | ||||||||||
Class of Warrant or Right [Line Items] | ||||||||||
Number of securities called by warrants | 1,000 | |||||||||
Exercise price of warrants (usd per share) | $0.01 | |||||||||
Warrants exercised | 4 | |||||||||
Warrants outstanding | 1,000 | |||||||||
Value of common stock warrants | 1,600 | |||||||||
Series D1 Redeemable Convertible Preferred Stock, Exercisable Through 2016 | ||||||||||
Class of Warrant or Right [Line Items] | ||||||||||
Number of securities called by warrants | 400 | |||||||||
Exercise price of warrants (usd per share) | $2 | |||||||||
Warrants outstanding | 400 | |||||||||
Series D3 Redeemable Convertible Preferred Stock, Exercisable Through August 2021 | ||||||||||
Class of Warrant or Right [Line Items] | ||||||||||
Number of securities called by warrants | 966 | |||||||||
Exercise price of warrants (usd per share) | $0.01 | |||||||||
Warrants exercised | 767 | |||||||||
Warrants outstanding | 199 | |||||||||
Value of common stock warrants | $1,700 |
Stock_options_Details
Stock options (Details) (USD $) | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Jan. 31, 2015 | Jan. 31, 2014 | Jan. 31, 2013 |
Number of options | |||
Opening balance | 6,369,000 | ||
Granted | 2,117,000 | 90,000 | |
Number of shares, Exercised | -1,841,000 | -568,000 | -110,000 |
Forfeited | -188,000 | ||
Ending balance | 6,457,000 | 6,369,000 | |
Range of exercise prices (usd per share) | |||
Beginning balance, minimum | $1.10 | ||
Beginning balance, maximum | $4.50 | ||
Granted, minimum | $14 | ||
Granted, maximum | $25.45 | ||
Exercised, minimum | $0.10 | ||
Exercised, maximum | $2.50 | ||
Forfeited, minimum | $1.25 | ||
Forfeited, maximum | $25.45 | ||
Ending balance, minimum | $0.10 | $1.10 | |
Ending balance, maximum | $25.45 | $4.50 | |
Weighted- average exercise price (usd per share) | |||
Opening balance | $1.77 | ||
Granted | $14.88 | ||
Exercised | $1.32 | $0.92 | $1.00 |
Forfeited | $9.53 | ||
Ending balance | $5.27 | $1.77 | |
Weighted- average contractual term (in years) | 6 years 10 months 18 days | 6 years 4 months 2 days | |
Aggregate intrinsic value | $100,290 | $14,621 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding, Number | 6,106,000 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding, Weighted Average Exercise Price | $4.86 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Exercisable, Weighted Average Remaining Contractual Term | 6 years 8 months 30 days | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Exercisable, Aggregate Intrinsic Value | 97,300 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Exercisable, Number | 4,066,000 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Weighted Average Exercise Price | $1.09 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Weighted Average Remaining Contractual Term | 5 years 6 months 0 days | ||
Aggregate intrinsic value | $80,016 |
Stock_options_Assumptions_Deta
Stock options (Assumptions) (Details) | 12 Months Ended | ||
Jan. 31, 2015 | Jan. 31, 2014 | Jan. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected dividend yield | 0.00% | 0.00% | 0.00% |
Expected stock price volatility | 32.90% | 31.30% | |
Expected life of options | 3 years | 3 years | |
Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected stock price volatility | 32.90% | ||
Risk-free interest rate | 1.12% | 0.35% | 0.31% |
Expected life of options | 5 years 7 months 17 days | ||
Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected stock price volatility | 40.29% | ||
Risk-free interest rate | 2.24% | 0.80% | 0.39% |
Expected life of options | 7 years 3 months |
Stock_options_Narrative_Detail
Stock options (Narrative) (Details) (USD $) | 1 Months Ended | 12 Months Ended | 3 Months Ended | 0 Months Ended | |||||||
Jul. 31, 2014 | Jan. 31, 2015 | Jan. 31, 2014 | Jan. 31, 2013 | Jan. 31, 2015 | Jan. 30, 2014 | Dec. 31, 2013 | Dec. 31, 2009 | Dec. 31, 2006 | Dec. 31, 2005 | Dec. 31, 2003 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Number of shares authorized | 2,600,000 | 2,600,000 | 600,000 | ||||||||
Additional shares available for grants as percentage of capital stock outstanding | 3.00% | 3.00% | |||||||||
Increase in authorized shares | 2,000,000 | ||||||||||
Shares available for grant | 474,000 | 474,000 | |||||||||
Grants to certain directors and key employees | 2,117,000 | 90,000 | |||||||||
Expiration period after termination | 10 years | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 6,457,000 | 6,369,000 | 6,457,000 | ||||||||
Options outstanding | 4,066,000 | 4,066,000 | |||||||||
Expiration period from termination of employment | 90 days | ||||||||||
Aggregate intrinsic value | $9,500,000 | $761,000 | $88,000 | ||||||||
Weighted-average vesting period of non-vested awards expected to vest | 2 years 12 months 5 days | ||||||||||
Unrecognized stock compensation expense to be recognized in future | 9,100,000 | 9,100,000 | |||||||||
Share based compensation | 2,525,000 | 57,000 | 47,000 | ||||||||
Options granted, grant date fair value | $6.29 | $0.43 | $0.26 | ||||||||
Options, exercisable, shares | 4,100,000 | 3,600,000 | 4,100,000 | ||||||||
Vesting criteria for FY 2016 | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Percentage of options vested | 10.00% | ||||||||||
Minimum adjusted EBITDA to be attained for shares to vest | 34,500,000 | ||||||||||
Vesting criteria for FY 2017 | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Percentage of options vested | 20.00% | ||||||||||
Annual growth rate of adjusted EBITDA per share of common stock to be achieved for options to vest | 30.00% | ||||||||||
Vesting criteria for FY 2018 | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Percentage of options vested | 30.00% | ||||||||||
Annual growth rate of adjusted EBITDA per share of common stock to be achieved for options to vest | 30.00% | ||||||||||
Vesting criteria for FY 2019 | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Percentage of options vested | 40.00% | ||||||||||
Annual growth rate of adjusted EBITDA per share of common stock to be achieved for options to vest | 25.00% | ||||||||||
Nonqualified Stock Options | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Grants to certain directors and key employees | 625,000 | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 0 | 325,000 | 0 | ||||||||
Options outstanding | 0 | 325,000 | 0 | ||||||||
Share based compensation | 0 | 2,000 | 1,000 | ||||||||
Number of consulting agreements | 2 | ||||||||||
Performance Shares | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Performance stock granted | 1,500,000 | ||||||||||
Share based compensation | $1,700,000 | ||||||||||
Directors and Key Employees | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Grants to certain directors and key employees | 624,000 | 504,000 | 608,800 | ||||||||
Directors and Key Employees | Vesting Period of Four Year | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Grants to certain directors and key employees | 526,300 | 534,000 | 414,000 | ||||||||
2003 Directors stock option plan | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Number of shares authorized | 817,000 | 757,000 | |||||||||
Options expired during the period | 30,000 | ||||||||||
Grants to certain directors and key employees | 90,000 | ||||||||||
Vesting period | 1 year | ||||||||||
Expiration period after termination | 10 years | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 60,000 | 716,000 | 60,000 | ||||||||
2009 Employee stock option plan | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Number of shares authorized | 3,400,000 | ||||||||||
Options expired during the period | 163,000 | ||||||||||
2006 Employee stock option plan | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Number of shares authorized | 955,000 | ||||||||||
Options expired during the period | 2,000 | ||||||||||
2005 Employee stock option plan | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Number of shares authorized | 1,000,000 | ||||||||||
Options expired during the period | 20,000 | ||||||||||
2003 Employee stock option plan | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Number of shares authorized | 600,000 | ||||||||||
Options expired during the period | 6,250 | ||||||||||
Maximum | Directors and Key Employees | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Vesting period | 4 years |
Stock_options_Stockbased_Compe
Stock options (Stock-based Compensation) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Jan. 31, 2015 | Jan. 31, 2014 | Jan. 31, 2013 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share based compensation | $2,525 | $57 | $47 |
Cost of Sales [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share based compensation | 403 | 9 | 7 |
Sales and Marketing [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share based compensation | 504 | 12 | 15 |
Technology and Development [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share based compensation | 263 | 16 | 7 |
General and Administrative Expense [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share based compensation | $1,355 | $20 | $18 |
Stock_Repurchase_Details
Stock Repurchase (Details) (USD $) | 0 Months Ended | 12 Months Ended |
In Thousands, except Share data, unless otherwise specified | Jan. 30, 2014 | Jan. 31, 2014 |
Equity, Class of Treasury Stock [Line Items] | ||
Number of stock repurchased, common stock equivalent | 61,743 | |
Repurchase price per share | $5 | |
Total purchase price | $3,400 | $3,135 |
Common stock | ||
Equity, Class of Treasury Stock [Line Items] | ||
Number of stock repurchased, common stock equivalent | 674,000 | 674,120 |
Series B, Series C and Series D-3 Preferred Stock | ||
Equity, Class of Treasury Stock [Line Items] | ||
Number of stock repurchased, common stock equivalent | 660,000 | 665,613 |
Fair_value_Details
Fair value (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Jan. 31, 2015 | Jan. 31, 2014 |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance at beginning of period | $6,182 | $818 |
Loss on revaluation | 735 | 5,364 |
Elimination of liability due to removal of FMV provision | -6,917 | 0 |
Balance at the end of period | $0 | $6,182 |
Fair_value_Fair_Value_Assumpti
Fair value ( Fair Value Assumptions) (Details) (Series D-3 redeemable convertible preferred stock derivative liability, Level 3, USD $) | 12 Months Ended |
Jan. 31, 2014 | |
Series D-3 redeemable convertible preferred stock derivative liability | Level 3 | |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | |
Market value of common stock on measurement date (usd per share) | $4.06 |
Projected exercise price ( usd per share) | $2.64 |
Risk-free interest rate | 0.06% |
Expected lives | 180 days |
Expected volatility | 25.20% |
Probability of liquidation event | 0.00% |
Related_party_transactions_Det
Related party transactions (Details) (Company owned by President and Chief Executive Officer, USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Jan. 31, 2015 | Jan. 31, 2014 | Jan. 31, 2013 |
Company owned by President and Chief Executive Officer | |||
Related Party Transaction [Line Items] | |||
Amounts paid under consulting agreement | $162 | $450 | $467 |
401k_plan_Details
401(k) plan (Details) (United States Postretirement Benefit Plan of US Entity, 401(k), USD $) | 0 Months Ended | 12 Months Ended | ||||
In Thousands, unless otherwise specified | 24-May-14 | 1-May-14 | Apr. 30, 2014 | Jan. 31, 2015 | Jan. 31, 2014 | Jan. 31, 2013 |
United States Postretirement Benefit Plan of US Entity | 401(k) | ||||||
Defined Contribution Plan Disclosure [Line Items] | ||||||
Employer matching contribution, percent of match | 50.00% | 50.00% | ||||
Percent of employees eligible earnings | 4.00% | 6.00% | ||||
Annual vesting, percentage | 25.00% | |||||
Administrative expenses | $8 | $7 | $6 | |||
Employer matching contribution expense | $375 | $176 | $78 |
Supplementary_quarterly_financ2
Supplementary quarterly financial data (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Per Share data, unless otherwise specified | Jan. 31, 2015 | Oct. 31, 2014 | Jul. 31, 2014 | Apr. 30, 2014 | Jan. 31, 2014 | Oct. 31, 2013 | Jul. 31, 2013 | Apr. 30, 2013 | Jan. 31, 2015 | Jan. 31, 2014 | Jan. 31, 2013 |
Quantifying Misstatement in Current Year Financial Statements [Line Items] | |||||||||||
Total revenue | $24,871 | $21,862 | $20,891 | $20,231 | $17,161 | $15,248 | $14,982 | $14,624 | $87,855 | $62,015 | $46,088 |
Total cost of services | 12,358 | 9,630 | 9,122 | 8,772 | 8,739 | 6,870 | 6,639 | 6,965 | 39,882 | 29,213 | 21,968 |
Gross profit | 12,513 | 12,232 | 11,769 | 11,459 | 8,422 | 8,378 | 8,343 | 7,659 | 47,973 | 32,802 | 24,120 |
Total operating expenses | 10,493 | 7,938 | 6,698 | 5,971 | 6,833 | 4,982 | 4,730 | 4,733 | 31,100 | 21,278 | 17,028 |
Total other expense | -98 | -145 | -39 | -827 | -5,889 | -138 | -40 | -83 | -374 | -129 | -147 |
Income tax provision | 551 | 1,100 | 2,004 | 1,943 | 417 | 1,280 | 1,351 | 1,093 | 5,598 | 4,141 | -4,667 |
Net income and comprehensive income | 1,371 | 3,049 | 3,028 | 2,718 | -4,717 | 1,978 | 2,222 | 1,750 | 10,166 | 1,233 | 11,169 |
Comprehensive income | 1,371 | 3,049 | 3,028 | 2,718 | -4,717 | 1,978 | 2,222 | 1,750 | 10,166 | 1,233 | 11,169 |
Basic (in dollars per share) | $0.03 | $0.06 | $0.19 | $0.52 | ($1.71) | $0.11 | $0.12 | $0.08 | $0.39 | ($1.26) | $0.81 |
Diluted (in dollars per share) | $0.02 | $0.05 | $0.06 | $0.08 | ($1.71) | $0.04 | $0.05 | $0.04 | $0.21 | ($1.26) | $0.25 |
Revenue Understated [Member] | |||||||||||
Quantifying Misstatement in Current Year Financial Statements [Line Items] | |||||||||||
Adjustment for error caused by understatement of revenue | 408 | ||||||||||
Increasein net income and comprehensive income | $246 |
Schedule_II_Valuation_and_Qual1
Schedule II - Valuation and Qualifying Accounts (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Jan. 31, 2015 | Jan. 31, 2014 | Jan. 31, 2013 |
Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Ending balance | $0 | ||
Valuation Allowance of Deferred Tax Assets [Member] | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Beginning balance | 0 | 29 | 7,484 |
Charged to expense | 0 | 0 | 0 |
Charged to other accounts | 0 | 0 | 0 |
Deductions | 0 | -29 | -7 |
Ending balance | $0 | $0 | $29 |