Appian (APPN) 10-Q 3 Aug 17 2017 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2017	Jul. 31, 2017
Document and Entity Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2017
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q2
Trading Symbol	APPN
Entity Registrant Name	APPIAN CORP
Entity Central Index Key	1,441,683
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Class A Common Stock [Member]
Document and Entity Information [Line Items]
Entity Common Stock, Shares Outstanding		7,198,341
Class B Common Stock [Member]
Document and Entity Information [Line Items]
Entity Common Stock, Shares Outstanding		52,919,419

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Current assets
Cash and cash equivalents	$ 77,654	$ 31,143
Accounts receivable, net of allowance of $400	46,956	46,814
Deferred commissions, current	7,165	7,146
Prepaid expenses and other current assets	5,837	3,281
Total current assets	137,612	88,384
Property and equipment, net	2,872	3,101
Deferred commissions, net of current portion	11,775	10,860
Deferred tax assets	13	12
Other assets	395	381
Total assets	152,667	102,738
Current liabilities
Accounts payable	7,782	5,057
Accrued expenses	6,880	2,860
Accrued compensation and related benefits	9,086	9,554
Deferred revenue, current	55,597	52,000
Current portion of long-term debt		6,111
Other current liabilities	457	437
Total current liabilities	79,802	76,019
Long-term debt, net of current portion		13,889
Deferred tax liabilities	34	32
Deferred revenue, net of current portion	17,209	18,108
Preferred stock warrant liability		850
Other long-term liabilities	1,737	1,917
Total liabilities	98,782	110,815
Stockholders’ equity (deficit)
Common stock		3
Additional paid-in capital	136,981
Accumulated other comprehensive (loss) income	(66)	1,330
Accumulated deficit	(83,036)	(64,825)
Total stockholders’ equity (deficit)	53,885	(63,492)
Total liabilities, convertible preferred stock and stockholders’ equity (deficit)	152,667	102,738
Series A Convertible Preferred Stock [Member]
Convertible preferred stock
Preferred stock		17,915
Series B Convertible Preferred Stock [Member]
Convertible preferred stock
Preferred stock		$ 37,500
Class A Common Stock [Member]
Stockholders’ equity (deficit)
Common stock	1
Class B Common Stock [Member]
Stockholders’ equity (deficit)
Common stock	$ 5

CONDENSED CONSOLIDATED BALANCE3

CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited) (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Allowance for doubtful accounts	$ 400	$ 400
Common stock, par value	$ 0.0001
Common stock, shares authorized	0	61,462,320
Common stock, shares issued	0	34,274,718
Common stock, shares outstanding	0	34,274,718
Series A Convertible Preferred Stock [Member]
Preferred stock, par value	$ 0.0001
Preferred stock, shares authorized	0	12,127,468
Preferred stock, shares issued	0	12,043,108
Preferred stock, shares outstanding	0	12,043,108
Series B Convertible Preferred Stock [Member]
Preferred stock, par value	$ 0.0001
Preferred stock, shares authorized	0	6,120,050
Preferred stock, shares issued	0	6,120,050
Preferred stock, shares outstanding	0	6,120,050
Class A Common Stock [Member]
Common stock, par value	$ 0.0001
Common stock, shares authorized	500,000,000	0
Common stock, shares issued	7,198,341	0
Common stock, shares outstanding	7,198,341	0
Class B Common Stock [Member]
Common stock, par value	$ 0.0001
Common stock, shares authorized	100,000,000	0
Common stock, shares issued	52,904,479	0
Common stock, shares outstanding	52,904,479	0

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Revenue:
Subscriptions, software and support	$ 22,012	$ 17,320	$ 43,456	$ 32,938
Professional services	21,186	15,147	38,071	35,493
Total revenue	43,198	32,467	81,527	68,431
Cost of revenue:
Subscriptions, software and support	2,488	1,836	4,550	3,618
Professional services	14,149	11,723	24,777	24,701
Total cost of revenue	16,637	13,559	29,327	28,319
Gross profit	26,561	18,908	52,200	40,112
Operating expenses:
Sales and marketing	22,775	13,831	39,778	24,997
Research and development	9,971	5,296	17,271	10,223
General and administrative	8,635	4,318	13,484	8,248
Total operating expenses	41,381	23,445	70,533	43,468
Operating loss	(14,820)	(4,537)	(18,333)	(3,356)
Other (income) expense:
Other (income) expense, net	(734)	733	(1,233)	196
Interest expense	197	241	453	483
Total other (income) expense	(537)	974	(780)	679
Net loss before income taxes	(14,283)	(5,511)	(17,553)	(4,035)
Income tax expense (benefit)	176	(1,217)	301	(496)
Net loss	(14,459)	(4,294)	(17,854)	(3,539)
Accretion of dividends on convertible preferred stock	143	214	357	428
Net loss attributable to common stockholders	$ (14,602)	$ (4,508)	$ (18,211)	$ (3,967)
Net loss per share attributable to common stockholders:
Basic and diluted	$ (0.34)	$ (0.13)	$ (0.47)	$ (0.12)
Weighted average common shares outstanding:
Basic and diluted	42,800,875	34,274,718	38,561,349	34,274,718

CONDENSED CONSOLIDATED STATEME5

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Statement Of Income And Comprehensive Income [Abstract]
Net loss	$ (14,459)	$ (4,294)	$ (17,854)	$ (3,539)
Comprehensive income, net of income taxes:
Foreign currency translation adjustment	(1,032)	(491)	(1,396)	37
Total other comprehensive loss, net of income taxes	$ (15,491)	$ (4,785)	$ (19,250)	$ (3,502)

CONDENSED CONSOLIDATED STATEME6

CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY (DEFICIT) (unaudited) - 6 months ended Jun. 30, 2017 - USD ($) $ in Thousands	Total	Common Stock [Member]	Additional Paid-In Capital [Member]	Accumulated Other Comprehensive Income (Loss) [Member]	Accumulated Deficit [Member]
Beginning Balance at Dec. 31, 2016	$ (63,492)	$ 3		$ 1,330	$ (64,825)
Beginning Balance, Shares at Dec. 31, 2016		34,274,718
Net loss	(17,854)				(17,854)
Accretion of dividends on convertible preferred stock	(357)				(357)
Conversion of convertible preferred stock to common stock	48,207	$ 2	$ 48,205
Conversion of convertible preferred stock to common stock, Shares		18,163,158
Conversion of convertible preferred stock warrant to common stock warrant	1,191		1,191
Issuance of common stock from initial public offering, net of issuance costs	77,789	$ 1	77,788
Issuance of common stock from initial public offering, net of issuance costs, Shares		7,187,500
Exercise of common stock warrant, Shares		79,363
Issuance of common stock to directors, Shares		10,841
Exercise of stock options	$ 452		452
Exercise of stock options, Shares	387,240	387,240
Stock-based compensation expense	$ 9,345		9,345
Other comprehensive loss	(1,396)			(1,396)
Ending Balance at Jun. 30, 2017	$ 53,885	$ 6	$ 136,981	$ (66)	$ (83,036)
Ending Balance, Shares at Jun. 30, 2017		60,102,820

CONDENSED CONSOLIDATED STATEME7

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016
Cash flows from operating activities:
Net loss	$ (17,854)	$ (3,539)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	443	363
Bad debt expense		4
Deferred income taxes		(892)
Stock-based compensation	9,345
Fair value adjustment for warrant liability	341
Loss on extinguishment of debt	384
Changes in assets and liabilities:
Accounts receivable	(1,248)	(10,565)
Prepaid expenses and other assets	(2,362)	(3,361)
Deferred commissions	(933)	(2,081)
Accounts payable and accrued expenses	5,296	3,088
Accrued compensation and related benefits	(687)	3,140
Other current liabilities	(186)	61
Deferred revenue	1,728	1,031
Other long-term liabilities	(17)	459
Net cash used in operating activities	(5,750)	(12,292)
Cash flows from investing activities:
Purchases of property and equipment	(205)	(665)
Net cash used in investing activities	(205)	(665)
Cash flows from financing activities:
Proceeds from initial public offering, net of underwriting discounts	80,213
Payment of deferred initial public offering costs	(1,081)
Payment of dividend to Series A preferred stockholders	(7,565)
Proceeds from exercise of common stock options	452
Proceeds from issuance of long-term debt, net of debt issuance costs	19,616	20,000
Repayment of long-term debt	(40,000)	(10,000)
Net cash provided by financing activities	51,635	10,000
Effect of foreign exchange rate changes on cash and cash equivalents	831	(809)
Net increase in cash and cash equivalents	46,511	(3,766)
Cash and cash equivalents, beginning of period	31,143	31,393
Cash and cash equivalents, end of period	77,654	27,627
Supplemental disclosure of cash flow information:
Cash paid for interest	506	400
Cash paid for income taxes	228	593
Supplemental disclosure of non-cash financing activities:
Accretion of dividends on convertible preferred stock	357	$ 428
Deferred offering costs included in accounts payable and accrued expenses	1,343
Conversion of Convertible Preferred Stock to Common Stock [Member]
Supplemental disclosure of non-cash financing activities:
Conversion of convertible stock	48,207
Conversion of Convertible Preferred Stock Warrant to Common Stock Warrant [Member]
Supplemental disclosure of non-cash financing activities:
Conversion of convertible stock	$ 1,191

Organization and Description of

Organization and Description of Business	6 Months Ended
	Jun. 30, 2017
Accounting Policies [Abstract]
Organization and Description of Business	1. Organization and Description of Business Appian Corporation (together with its subsidiaries, “Appian,” the “Company,” “we” or “our”) provides a leading low-code software development platform that enables organizations to rapidly develop powerful and unique applications. The applications created on our platform help companies drive digital transformation and competitive differentiation. We were incorporated in the state of Delaware in August 1999. We are headquartered in Reston, Virginia and have offices in Canada, Switzerland, the United Kingdom, France, Germany, the Netherlands, Italy, and Australia.

Significant Accounting Policies

Significant Accounting Policies	6 Months Ended
	Jun. 30, 2017
Accounting Policies [Abstract]
Significant Accounting Policies	2. Significant Accounting Policies Basis of Presentation The accompanying unaudited condensed consolidated financial statements and footnotes have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) as contained in the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (the “Codification” or “ASC”) for interim financial information. In the opinion of management, the interim financial information includes all adjustments of a normal recurring nature necessary for a fair presentation of the results of operations, financial position, changes in stockholders’ equity (deficit) and cash flows. The results of operations for the current period are not necessarily indicative of the results for the full year or the results for any future periods. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related footnotes included in our final prospectus for our initial public offering (“IPO”) dated as of May 24, 2017 and filed with the Securities and Exchange Commission (the “SEC”) pursuant to Rule 424(b)(4) under the Securities Act of 1933, as amended. Use of Estimates The preparation of our condensed consolidated financial statements in conformity with U.S. GAAP requires us to make estimates and judgments that affect the amounts reported in these condensed consolidated financial statements and accompanying notes. Although we believe that the estimates we use are reasonable, due to the inherent uncertainty involved in making these estimates, actual results reported in future periods could differ from those estimates. Significant estimates embedded in the condensed consolidated financial statements include revenue recognition, income taxes and the related valuation allowance, stock-based compensation and fair value measurements for our common stock and preferred stock warrant. Principles of Consolidation The accompanying condensed consolidated financial statements include the accounts of Appian and its wholly-owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation. Initial Public Offering In May 2017, we completed an IPO in which we sold 7,187,500 shares of our newly-authorized Class A common stock at an initial price to the public of $12.00 per share. We received net proceeds of $77.8 million, after deducting underwriting discounts and commissions and offering expenses paid and payable by us, from sales of our shares in the IPO. Immediately prior to the completion of the IPO, (1) all shares of common stock then outstanding were converted into Class B common stock on a one-for-one basis, (2) a warrant to purchase shares of convertible preferred stock was converted into a warrant to purchase shares of Class B common stock and (3) all shares of convertible preferred stock then outstanding were converted into shares of our common stock on a one-for-one basis, and then reclassified as shares of Class B common stock. See Note 7 for further discussion of the convertible preferred stock and Note 8 for further discussion of the warrant. Deferred offering costs of $2.4 million, consisting of legal, accounting and other fees and costs related to our IPO, were recorded to additional paid-in capital as a reduction of the proceeds upon the closing of our IPO. Revenue Recognition We generate revenue primarily through sales of subscriptions to our platform, as well as professional services. We recognize revenue when all of the following conditions are met: (1) there is persuasive evidence of an arrangement; (2) the service or product has been provided to the customer; (3) the amount of fees to be paid by the customer is fixed or determinable; and (4) the collection of related fees is reasonably assured. If collection is not reasonably assured, we defer revenue recognition until collectability becomes reasonably assured. Our arrangements do not contain general rights of return. Revenue is recognized net of any taxes collected from customers and subsequently remitted to governmental authorities. Subscriptions, Software and Support Revenue Subscriptions, software and support revenue is primarily related to (1) software as a service (“SaaS”) subscriptions bundled with maintenance and support and hosting services and (2) term license subscriptions bundled with maintenance and support. To a lesser extent, we also generate revenue from the sale of perpetual software licenses and associated maintenance and support. Historically, we licensed our software primarily under perpetual licenses, but over time we transitioned from perpetual licenses to subscriptions. As a result, revenue from our perpetual software licenses was 0.2% and 0.6% of our total revenue for the three and six months ended June 30, 2017, respectively. Revenue from our perpetual software licenses was 0.4% and 0.5% of our total revenue for the three and six months ended June 30, 2016, respectively. We generally charge subscription fees on a per-user basis. We bill customers and collect payment for subscriptions to our platform in advance on a monthly, quarterly or annual basis. In certain instances, we have had customers pay their entire contract up front. SaaS Subscriptions Our SaaS subscription revenue is derived from customers accessing our cloud offering pursuant to contracts that are generally one to five years in length. We perform all required maintenance and support for our cloud offering and we do not separately charge customers for hosting costs. In these arrangements, our customers do not have the right to take the software on-premises and, as a result, such arrangements are not accounted for within the scope of the software revenue guidance. Revenue from SaaS subscriptions is recognized ratably over the term of the subscription, beginning with the date our service is made available to our customer. Term License Subscriptions Our term license subscription revenue is derived from customers with on-premises installations of our platform pursuant to contracts that are generally one to five years in length. Customers with term license subscriptions have the right to use our software and receive maintenance and support. Since we do not sell maintenance and support separately from the subscription, revenue for the term license subscription and maintenance and support is recognized ratably over the term of the subscription, upon delivery of the platform to the customer when sold on a standalone basis. Perpetual Licenses Our perpetual license revenue is derived from customers with perpetual licenses to our platform and associated maintenance and support contracts. We recognize revenue from perpetual licenses on the date of delivery to our customer. We sell maintenance and support to perpetual license customers separately from the perpetual licenses pursuant to agreements that generally renew annually. Maintenance and support revenue is deferred and recognized ratably over the term of the support period. Professional Services Our professional services revenue is comprised of fees for consulting services, including application development and deployment assistance and training related to our platform. Our professional services are not essential to the functionality of our platform because the platform is ready for the customer’s use immediately upon delivery and is not modified or customized in any manner. Consulting services are billed under both time-and-material and fixed-fee arrangements. For standalone time-and-material contracts, we recognize revenue at contractually agreed upon billing rates applied to hours performed, plus the cost of any materials delivered. For standalone fixed-fee contracts, we also recognize revenue as the work is performed using the proportional performance method of accounting. Training revenue is recognized when the associated training services are delivered. Training is also sold in the form of a subscription arrangement where a customer agrees to pay an annual fixed fee for a fixed number of users to have access to all of our training offerings during the year. Revenue from training subscription agreements is recognized ratably over the subscription period. We defer recognition of revenue from work performed on pending contract modifications until the period in which the modifications are accepted and funding is approved by the customer. Costs of work performed on pending contract modifications are expensed as incurred. Multiple Element Arrangements Our multiple element arrangements are from SaaS subscriptions, term license subscriptions, and perpetual licenses that are generally sold in combination with maintenance and support service and frequently with professional services. SaaS Subscriptions For multiple element arrangements involving SaaS subscriptions that include professional services in addition to the subscription to our platform, we evaluate each element to determine whether it represents a separate unit of accounting. Because there are third-party vendors who routinely sell and provide the same professional services to our customers, our professional services are deemed to have standalone value apart from the SaaS subscription. Additionally, we offer both SaaS subscriptions and professional services on a standalone basis. Professional services revenue is therefore accounted for separately from subscription fees and recognized as the professional services are performed. We allocate revenue to the elements based on the selling price hierarchy using vendor-specific objective evidence (“VSOE”) of selling price, third-party evidence (“TPE”) of selling price, or if neither exists, best estimated selling price (“BESP”). In cases where we do not have VSOE or TPE of the elements of our arrangements, we use BESP to allocate revenue. We determine BESP for a service by considering multiple factors including, but not limited to, evaluating the weighted average of actual sales prices and other factors such as gross margin objectives, pricing practices and growth strategy. Pricing practices taken into consideration include historic contractually stated prices, volume discounts where applicable and our price lists. While we believe we can make reliable estimates regarding these matters, these estimates are inherently subjective. Once the revenue is allocated to these elements, revenue is recognized as such services are provided. Term License Subscriptions For multiple element arrangements involving term license subscriptions, maintenance and support and professional services, we do not have VSOE of fair value for the maintenance and support. Our term license subscriptions are generally not sold on a standalone basis, and therefore, we have not established VSOE of fair value for the subscriptions. Consequently, for our bundled arrangements that include certain professional services, there are two undelivered elements for which VSOE of fair value has not been established and, therefore, we utilize the combined services approach and defer all revenue until the software has been delivered and the provision of all services has commenced. We then recognize the entire fee from the arrangement ratably over the remaining period of the arrangement, assuming all other software revenue recognition criteria have been met. Perpetual Licenses For multiple element arrangements involving our perpetual software licenses, we allocate revenue to the software license arrangement by determining if VSOE of fair value exists for the undelivered elements, which are usually maintenance and support and professional services. In situations where VSOE of fair value exists for the undelivered elements, we apply the residual method whereby the fees allocated to license revenue are recognized upon delivery, the fees allocated to maintenance and support revenue are recognized over the service period and the fees allocated to professional services and training are recognized as performed. In instances where we lack VSOE of fair value for the undelivered elements, revenue is either deferred until the final element is delivered or recognized ratably over the service period when the only undelivered elements are either professional services or maintenance and support. We have VSOE for maintenance and support elements and professional services elements performed on a time and materials basis. VSOE of fair value is based upon the price charged when the same element is sold separately. In determining VSOE of fair value, we require that a substantial majority of the selling prices fall within a reasonably narrow pricing range. We reassess VSOE annually or more frequently if required. Deferred Revenue Deferred revenue primarily consists of amounts billed or billable in advance of revenue recognition from our subscriptions, software, and support and professional services described above. Deferred revenue is recognized as the revenue recognition criteria are met. Cost of Revenue Cost of Subscriptions, Software and Support Revenue Cost of subscriptions, software and support revenue consists primarily of fees paid to our third-party managed hosting providers and other third-party service providers, personnel costs, including payroll and benefits for our technology operations and customer support teams, and allocated facility costs and overhead. Cost of Professional Services Revenue Cost of professional services revenue includes all direct and indirect costs to deliver our professional services and training, including employee compensation for our global professional services and training personnel, travel costs, third-party contractor costs and allocated facility costs and overhead. Concentration of Credit Risk Our financial instruments that are exposed to concentration of credit risk consist primarily of cash and cash equivalents and trade accounts receivable. Cash deposits may be in excess of insured limits. We believe that the financial institutions that hold our cash deposits are financially sound and, accordingly, minimal credit risk exists with respect to these balances. With regard to our customers, credit evaluation and account monitoring procedures are used to minimize the risk of loss. We believe that no additional credit risk beyond amounts provided for collection loss are inherent in accounts receivable. Revenue generated from government agencies represented 15.8% and 16.1% of our revenue for the three and six months ended June 30, 2017, respectively, of which the top three federal government agencies generated 9.2% and 9.9% of our revenue for the three and six months ended June 30, 2017, respectively. Additionally, 25.1% and 24.0% of our revenue during the three and six months ended June 30, 2017, respectively, was generated from foreign customers. Revenue generated from government agencies represented 28.2% and 32.6% of our revenue for the three and six months ended June 30, 2016, respectively, of which the top three federal government agencies generated 15.6% and 22.4% of our revenue for the three and six months ended June 30, 2016, respectively. Additionally, 19.1% and 16.6% of our revenue during the three and six months ended June 30, 2016, respectively, was generated from foreign customers. Federal government agencies accounted for 16.4% and 17.2% of accounts receivable at June 30, 2017 and December 31, 2016, respectively. Accounts Receivable and Allowance for Doubtful Accounts Accounts receivable are stated at realizable value, net of an allowance for doubtful accounts. The allowance for doubtful accounts is based on our assessment of the collectability of accounts. We regularly review the composition of the accounts receivable aging, historical bad debts, changes in payment patterns, customer creditworthiness and current economic trends. If the financial condition of our customers were to deteriorate, resulting in their inability to make required payments, additional provisions for doubtful accounts would be required and would increase bad debt expense. To date, our allowance and related bad debt write-offs have been nominal. There was no change in the allowance for doubtful accounts from December 31, 2016 to June 30, 2017. Deferred Commissions Deferred commissions are the incremental costs that are directly associated with subscription agreements with customers and consist of sales commissions paid to our direct sales force. Commissions are considered direct and incremental and as such are deferred and amortized over the terms of the related customer contracts consistent with the related revenue. Amortization of deferred commissions is included in sales and marketing expense in the accompanying condensed consolidated statements of operations. Commission expense was $2.7 million and $5.3 million for the three and six months ended June 30, 2017, respectively. Commission expense was $1.8 million and $3.6 million for the three and six months ended June 30, 2016, respectively. Fair Value of Financial Instruments The carrying amounts of our cash and cash equivalents, accounts receivable, accounts payable and accrued expenses approximate fair value as of June 30, 2017 and December 31, 2016 because of the relatively short duration of these instruments. The carrying value of our long-term debt as of December 31, 2016 approximated fair value given interest rates for similar debt instruments available to the Company. We use a three-tier fair value hierarchy to classify and disclose all assets and liabilities measured at fair value on a recurring basis, as well as assets and liabilities measured at fair value on a non-recurring basis, in periods subsequent to their initial measurement. The hierarchy requires us to use observable inputs when available, and to minimize the use of unobservable inputs when determining fair value. The three tiers are defined as follows: • Level 1. Observable inputs based on unadjusted quoted prices in active markets for identical assets or liabilities; • Level 2. Inputs, other than quoted prices in active markets, that are observable either directly or indirectly; and • Level 3. Unobservable inputs for which there is little or no market data, which require us to develop our own assumptions. Assets and Liabilities Measured at Fair Value on a Recurring Basis We evaluate our financial assets and liabilities subject to fair value measurements on a recurring basis to determine the appropriate level in which to classify them for each reporting period. This determination requires significant judgments to be made. After the reclassification of the convertible preferred stock warrant in May 2017, we did not have any assets or liabilities subject to fair value measurements as of June 30, 2017. See Note 8 for further discussion of the warrant reclassification. The following table summarizes the conclusions reached as of December 31, 2016 (in thousands): December 31, 2016 Level 1 Level 2 Level 3 Liabilities: Series A convertible preferred stock warrant(1) $ 850 $ — $ — $ 850 $ 850 $ — $ — $ 850 (1) In order to determine the fair value of the convertible preferred stock warrant, we used the Black-Scholes option pricing model (“OPM”). Significant inputs for the OPM included an estimate of the fair value of the Series A convertible preferred stock, the remaining contractual life of the warrant, an estimate of the timing of a liquidity event, a risk-free rate of interest and an estimate of our stock volatility using the volatilities of guideline peer companies. Assets and Liabilities Measured at Fair Value on a Recurring Basis Using Significant Unobservable Inputs The following table presents the changes in our Level 3 instruments measured at fair value on a recurring basis during the three months ended June 30, 2017 and 2016 (in thousands): Three Months Ended June 30, 2017 2016 Balance as of April 1 $ 850 $ 650 Change in fair value of warrant liability 341 200 Reclassification of warrant liability to equity (1,191 ) — Balance as of June 30 $ — $ 850 The following table presents the changes in our Level 3 instruments measured at fair value on a recurring basis during the six months ended June 30, 2017 and 2016 (in thousands): Six Months Ended June 30, 2017 2016 Balance as of January 1 $ 850 $ 650 Change in fair value of warrant liability 341 200 Reclassification of warrant liability to equity (1,191 ) — Balance as of June 30 $ — $ 850 Stock-Based Compensation We account for stock-based compensation expense related to stock-based awards based on the estimated fair value of the award on the grant date. We calculate the fair value of stock options using the Black-Scholes OPM. For service-based awards, stock-based compensation expense is recognized on a straight-line basis over the requisite service period. For performance-based awards, stock-based compensation expense is recognized using the accelerated attribution method, based on the probability of satisfying the performance condition. For awards that contain market conditions, compensation expense is measured using a Monte Carlo simulation model and recognized using the accelerated attribution method over the derived service period based on the expected market performance as of the grant date. As discussed in “—Recent Accounting Pronouncements,” we have elected to early adopt Accounting Standards Update (“ASU”) No. 2016-09, which, among other things, permits an entity to make an entity-wide policy election to either (1) estimate the number of awards that are expected to vest or (2) account for forfeitures when they occur. We have elected to account for forfeitures as they occur, rather than estimate expected forfeitures. Emerging Growth Company Status We are an “emerging growth company” as defined in the Jumpstart Our Business Startups Act (“JOBS Act”). The JOBS Act provides that an emerging growth company can take advantage of an extended transition period for complying with new or revised accounting standards. Thus, an emerging growth company can delay the adoption of certain accounting standards until those standards would otherwise apply to private companies. We have elected to avail ourselves of this extended transition period and, as a result, we will not adopt new or revised accounting standards on the relevant dates on which adoption of such standards is required for other public companies. Recent Accounting Pronouncements Adopted In August 2014, the FASB issued ASU No. 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern In April 2015, the FASB issued ASU No. 2015-03, Simplifying the Presentation of Debt Issuance Costs Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements In April 2015, the FASB issued ASU No. 2015-05, Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement In November 2015, the FASB issued ASU No. 2015-17, Balance Sheet Classification of Deferred Taxes (Topic 740) In March 2016, the FASB issued ASU No. 2016-09, Improvements to Employee Share-Based Payment Accounting (Topic 718) Not Yet Adopted In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) (“ASU 2014-09”), which provides new guidance for revenue recognition. ASU 2014-09 provides that an entity Principal Versus Agent Considerations (Reporting Revenue Gross Versus Net) Identifying Performance Obligations and Licensing Narrow-Scope Improvements and Practical Expedients We currently plan to adopt the new standard using the full retrospective approach; however, the decision regarding the adoption method has not been finalized. Our final determination will depend on a number of factors such as the significance of the impact of the new standard on our financial results, system readiness, including that of software procured from third-party providers, and our ability to accumulate and analyze the information necessary to assess the impact on prior period financial statements, as necessary. We are in the initial stages of our evaluation of the impact of the new standard on our accounting policies, processes, and system requirements. We have assigned internal resources in addition to the engagement of third-party service providers to assist in the evaluation. Furthermore, we have made and will continue to make investments in systems to enable timely and accurate reporting under the new standard. While we continue to assess all potential impacts under the new standard there is the potential for significant impacts to the timing of recognition of revenue, particularly term license subscriptions and professional services revenue. We also expect an impact to our accounting for contract acquisition costs, both with respect to the amounts that will be capitalized as well as the period of amortization. Under current industry-specific software revenue recognition guidance, we have historically concluded that we did not have VSOE of fair value of the undelivered services related to term license subscriptions, and accordingly, have recognized term license subscriptions and related services ratably over the subscription term. Professional services included in an arrangement with subscription revenue has also been recognized ratably over the subscription term. The new standard, which does not retain the concept of VSOE, requires an evaluation of whether term license subscriptions and related services, including professional services, are distinct performance obligations and therefore should be separately recognized at a point in time or over time. Depending on the outcome of our evaluation, the timing of when revenue is recognized could change significantly for term license subscriptions and professional services under the new standard. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments

Accrued Expenses

Accrued Expenses	6 Months Ended
	Jun. 30, 2017
Payables And Accruals [Abstract]
Accrued Expenses	3. Accrued Expenses Accrued expenses consist of the following: June 30, 2017 December 31, 2016 Accrued contract labor costs $ 2,485 $ 743 Accrued marketing and tradeshow expenses 1,231 111 Accrued deferred offering costs 1,016 — Accrued audit and tax expenses 254 358 Other accrued expenses 1,894 1,648 Total $ 6,880 $ 2,860

Debt

Debt	6 Months Ended
	Jun. 30, 2017
Debt Disclosure [Abstract]
Debt	4. Debt Line of Credit At December 31, 2015, we had a $10.0 million revolving line of credit with a lender, expiring in June 2016, which was subsequently amended in June 2016 to extend the maturity date through June 2017. This line of credit was terminated in April 2017. Term Loan In March 2015, we entered into a collateralized $10.0 million term loan facility with a lender, maturing in March 2019, and borrowed the full amount under the term loan facility in June 2015. In January 2016, we paid off the outstanding balance of the term loan and simultaneously entered into a collateralized $20.0 million term loan facility, maturing in January 2020. We borrowed the full amount under the term loan facility in January 2016, which we repaid in full in April 2017. New Financing Facility In April 2017, we entered into a new financing facility consisting of a $5.0 million senior revolving credit facility, a $20.0 million senior term loan, and a $10.0 million subordinated term loan. In connection with the execution of this financing facility, the prior line of credit was terminated, and we borrowed the full $20.0 million available under the senior term loan and repaid the outstanding balance under our prior term loan. Additionally, in connection with the execution of our new financing facility, the lender waived the prepayment fee associated with our prior line of credit. In June 2017, we used proceeds from our IPO to pay all remaining outstanding principal and interest under the senior term loan and subsequently terminated the senior term loan and subordinated term loan. In connection with the repayment of the senior term loan, we recognized a loss on extinguishment of debt of $0.4 million related to unamortized debt issuance costs, which is included within other (income) expense, net in the accompanying condensed consolidated statements of operations. As of June 30, 2017, we had no outstanding borrowings.

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2017
Income Tax Disclosure [Abstract]
Income Taxes	5. Income Taxes The provision for income taxes is based upon the estimated annual effective tax rates for the year applied to the current period income (loss) before tax plus the tax effect of any significant unusual items, discrete events or changes in tax law. Our operating subsidiaries are exposed to statutory effective tax rates ranging from zero to approximately 40%. Fluctuations in the distribution of pre-tax income (loss) among our operating subsidiaries can lead to fluctuations of the effective tax rate in the consolidated financial statements. For the three and six months ended June 30, 2017, the actual effective tax rates were (1.2)% and (1.7)%, respectively. For the three and six months ended June 30, 2016, the actual effective tax rates were 22.1% and 12.3%, respectively. We assess uncertain tax positions in accordance with ASC 740-10, Accounting for Uncertainties in Tax We file income tax returns in the United States federal jurisdiction and in many state and foreign jurisdictions. The tax years 2013 through 2016 remain open to examination by the major taxing jurisdictions to which we are subject. No material examinations are currently open.

Stock-Based Compensation

Stock-Based Compensation	6 Months Ended
	Jun. 30, 2017
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Stock-Based Compensation	6. Stock-Based Compensation In May 2017, our board of directors adopted, and our stockholders approved, the 2017 Equity Incentive Plan (the “2017 Plan”), which became effective as of the date of the final prospectus for our IPO. The 2017 Plan provides for the grant of incentive stock options to employees, and for the grant of nonstatutory stock options, restricted stock awards, restricted stock unit awards, stock appreciation rights, performance-based stock awards and other forms of equity compensation to employees, including officers, and to non-employee directors and consultants. We initially reserved 6,421,442 shares of Class A common stock for issuance under the 2017 Plan, which includes 421,442 shares that remained available for issuance under our 2007 Stock Option Plan (the “2007 Plan”) at the time that the 2017 Plan became effective. The number of shares reserved under the 2017 Plan increases for any shares subject to outstanding awards originally granted under the 2007 Plan that expire or are forfeited prior to exercise. As a result of the adoption of the 2017 Plan, no further grants may be made under the 2007 Plan. As of June 30, 2017, there were 6,444,842 shares of Class A common stock reserved for issuance under the 2017 Plan, all of which were available to be issued. The 2007 Plan provided for the grant of stock options to employees, directors, and officers. Options under the 2007 Plan are exercisable into shares of Class B common stock and generally expire ten years from the date of grant. Under the 2007 Plan, the exercise price of each award was established by the board of directors, but could not be less than the fair market value of a share of our common stock on the grant date. Options generally vest upon the satisfaction of both a service condition and a performance condition. The service condition is satisfied at various rates as determined by us, typically on an annual basis over five years. The performance condition required the occurrence of a qualifying event, defined as a change of control transaction or upon the completion of an IPO. The performance condition was satisfied upon the effectiveness of our IPO in May 2017, on which date we recognized $6.2 million of cumulative stock-based compensation expense using the accelerated attribution method from the service start date . We estimate the fair value of stock options using the Black-Scholes OPM, which requires the use of subjective assumptions, including the expected term of the option, the current price of the underlying stock, the expected stock price volatility, expected dividend yield and the risk-free interest rate for the expected term of the option. The expected term represents the period of time the stock options are expected to be outstanding. Due to the lack of sufficient historical exercise data to provide a reasonable basis upon which to otherwise estimate the expected term of the stock options, we use the simplified method to estimate the expected term for its stock options. Under the simplified method, the expected term of an option is presumed to be the mid-point between the vesting date and the end of the contractual term. Expected volatility is based on historical volatilities for publicly traded stock of comparable companies over the estimated expected term of the stock options. We assume no dividend yield because dividends are not expected to be paid in the near future, which is consistent with our history of not paying dividends. The following table summarizes the assumptions used to estimate the fair value of stock options granted during the three and six months ended June 30, 2017 and 2016: Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Risk-free interest rate 2.0% - 2.1% 1.4% - 1.5% 2.0% - 2.2% 1.4% - 1.5% Expected term (in years) 6.5 6.5 6.5 6.5 Expected volatility 38.7% - 38.8% 41.2% - 42.0% 38.7% - 40.6% 41.2% - 42.0% Expected dividend yield 0% 0% 0% 0% The following table summarizes the stock option activity for the six months ended June 30, 2017: Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (Years) Aggregate Intrinsic Value (in thousands) Outstanding at January 1, 2017 6,784,448 $ 4.65 6.5 $ 44,259 Granted 1,244,200 $ 11.83 Exercised (387,240 ) $ 1.17 $ 5,122 Cancelled (59,720 ) $ 4.94 Outstanding at June 30, 2017 7,581,688 $ 6.04 6.9 $ 91,793 Exercisable at June 30, 2017 3,031,105 $ 1.66 3.8 $ 49,996 The weighted average grant-date fair value of options granted during the six months ended June 30, 2017 and 2016 was $5.01 and $3.21 per share, respectively. The total fair value of stock options that vested during the six months ended June 30, 2017 was $4.9 million. No stock options vested during the six months ended June 30, 2016 because a qualifying event had not yet occurred. As of June 30, 2017, the total compensation cost related to nonvested stock options not yet recognized was $14.1 million, which will be recognized over a weighted average period of 4.0 years. On April 25, 2017, our board of directors modified certain outstanding stock options nearing their expiration date to remove the performance condition. Stock options to purchase an aggregate of 216,160 shares of common stock were modified, and we recognized stock-based compensation expense of $2.4 million related to this modification. The following table summarizes the components of our stock-based compensation expense for the three and six months ended June 30, 2017 (in thousands): Three and Six Months Ended June 30, 2017 Stock-based compensation expense related to stock option modifications $ 2,394 Cumulative stock-based compensation expense related to stock options recorded upon effectiveness of our IPO 6,236 Post-IPO stock-based compensation expense related to stock options 585 Stock-based compensation expense related to the issuance of common stock to directors 130 Total stock-based compensation expense $ 9,345 Stock-based compensation expense is included in the following line items in the accompanying condensed consolidated statements of operations for the three and six months ended June 30, 2017 (in thousands): Three and Six Months Ended June 30, 2017 Cost of revenue Subscriptions, software and support $ 404 Professional services 984 Sales and marketing 2,423 Research and development 2,202 General and administrative 3,332 Total stock-based compensation expense $ 9,345 For the three and six months ended June 30, 2016, no stock-based compensation expense was recognized for our stock option awards because a qualifying event had not yet occurred.

Convertible Preferred Stock and

Convertible Preferred Stock and Stockholders’ Equity (Deficit)	6 Months Ended
	Jun. 30, 2017
Equity [Abstract]
Convertible Preferred Stock and Stockholders’ Equity (Deficit)	7. Convertible Preferred Stock and Stockholders’ Equity (Deficit) Convertible Preferred Stock Immediately prior to the completion of the IPO, all shares of convertible preferred stock then outstanding were automatically converted into 18,163,158 shares of common stock on a one-for-one basis, and then reclassified as shares of Class B common stock. Summary of Activity The following tables present a summary of activity for our convertible preferred stock issued and outstanding for the six months ended June 30, 2017 (dollar amounts in thousands): Series A Convertible Preferred Stock Series B Convertible Preferred Stock Amount Shares Amount Shares Balance as of January 1, 2017 $ 17,915 12,043,108 $ 37,500 6,120,050 Accretion of dividends on convertible preferred stock 357 — — — Payment of accrued dividend to Series A convertible preferred stockholders (7,565 ) — — — Conversion of convertible preferred stock to common stock (10,707 ) (12,043,108 ) (37,500 ) (6,120,050 ) Balance as of June 30, 2017 $ — — $ — — Common Stock Immediately prior to the completion of the IPO, all shares of common stock then outstanding were converted into Class B common stock on a one-for-one basis. We offered and sold newly authorized shares of Class A common stock in the IPO. The rights of the holders of Class A common stock and Class B common stock are identical, except with respect to voting and conversion rights. The holders of Class A common stock are entitled to one vote per share, and the holders of Class B common stock are entitled to ten votes per share, on all matters that are subject to stockholder vote. The holders of Class B common stock also have approval rights for certain corporate actions. Each share of Class B common stock may be converted into one share of Class A common stock at the option of its holder and will be automatically converted into one share of Class A common stock upon transfer thereof, subject to certain exceptions. In addition, upon the date on which the outstanding shares of Class B common stock represent less than 10% of the aggregate voting power of our capital stock, all outstanding shares of Class B common stock shall convert automatically into Class A common stock.

Warrants

Warrants	6 Months Ended
	Jun. 30, 2017
Warrants And Rights Note Disclosure [Abstract]
Warrants	8. Warrants We previously issued a warrant to purchase 84,360 shares of Series A convertible preferred stock in conjunction with a credit facility with a lender at an exercise price of $0.88905 per share. Immediately prior to the completion of the IPO, this warrant was converted into a warrant to purchase 84,360 shares of Class B common stock. The fair value at the time of the conversion was $1.2 million and was recorded as additional paid-in capital and a reduction of the preferred stock warrant liability. In May 2017, the warrant holder exercised the warrant and we issued 79,363 shares of Class B common stock through a cashless exercise of the warrant, in accordance with its terms.

Basic and Diluted Loss per Comm

Basic and Diluted Loss per Common Share	6 Months Ended
	Jun. 30, 2017
Earnings Per Share [Abstract]
Basic and Diluted Loss per Common Share	9. Basic and Diluted Loss per Common Share We use the two-class method to compute net loss per common share because we have issued securities, other than common stock, that contractually entitle the holders to participate in dividends and earnings. These participating securities include our convertible preferred stock which have non-forfeitable rights to participate in any dividends declared on our common stock. The two-class method requires earnings for the period to be allocated between common stock and participating securities based upon their respective rights to receive distributed and undistributed earnings. Under the two-class method, for periods with net income, basic net income per common share is computed by dividing the net income attributable to common stockholders by the weighted average number of shares of common stock outstanding during the period. Net income attributable to common stockholders is computed by subtracting from net income the portion of current period earnings that the participating securities would have been entitled to receive pursuant to their dividend rights had all of the period’s earnings been distributed. No such adjustment to earnings is made during periods with a net loss, as the holders of the participating securities have no obligation to fund losses. Diluted net income (loss) per common share is computed under the two-class method by using the weighted average number of shares of common stock outstanding, plus, for periods with net income attributable to common stockholders, the potential dilutive effects of stock options and warrants. In addition, we analyze the potential dilutive effect of the outstanding participating securities under the “if-converted” method when calculating diluted earnings per share, in which it is assumed that the outstanding participating securities convert into common stock at the beginning of the period or date of issuance, if later. We report the more dilutive of the approaches (two-class or “if-converted”) as our diluted net income per share during the period. The following securities have been excluded from the calculation of weighted average common shares outstanding because the effect is anti-dilutive or performance or market conditions had not been met at the end of the period: Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Convertible preferred stock: Series A convertible preferred stock — 12,043,108 — 12,043,108 Series B convertible preferred stock — 6,120,050 — 6,120,050 Warrant to purchase Series A convertible preferred stock — 84,360 — 84,360 Stock options 7,581,688 4,658,388 7,581,688 4,658,388

Segment and Geographic Informat

Segment and Geographic Information	6 Months Ended
	Jun. 30, 2017
Segment Reporting [Abstract]
Segment and Geographic Information	10. Segment and Geographic Information The following table summarizes revenue by geography for the three and six months ended June 30, 2017 and 2016 (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Domestic $ 32,335 $ 26,275 $ 61,982 $ 57,065 International 10,863 6,192 19,545 11,366 Total $ 43,198 $ 32,467 $ 81,527 $ 68,431 With respect to geographic information, revenue is attributed to respective geographies based on the contracting address of the customer. There were no individual foreign countries from which more than 10% of our total revenue was attributable for the three and six months ended June 30, 2017 and 2016. Substantially all of our long-lived assets were held in the United States as of June 30, 2017 and December 31, 2016.

Significant Accounting Polici18

Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2017
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying unaudited condensed consolidated financial statements and footnotes have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) as contained in the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (the “Codification” or “ASC”) for interim financial information. In the opinion of management, the interim financial information includes all adjustments of a normal recurring nature necessary for a fair presentation of the results of operations, financial position, changes in stockholders’ equity (deficit) and cash flows. The results of operations for the current period are not necessarily indicative of the results for the full year or the results for any future periods. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related footnotes included in our final prospectus for our initial public offering (“IPO”) dated as of May 24, 2017 and filed with the Securities and Exchange Commission (the “SEC”) pursuant to Rule 424(b)(4) under the Securities Act of 1933, as amended.
Use of Estimates	Use of Estimates The preparation of our condensed consolidated financial statements in conformity with U.S. GAAP requires us to make estimates and judgments that affect the amounts reported in these condensed consolidated financial statements and accompanying notes. Although we believe that the estimates we use are reasonable, due to the inherent uncertainty involved in making these estimates, actual results reported in future periods could differ from those estimates. Significant estimates embedded in the condensed consolidated financial statements include revenue recognition, income taxes and the related valuation allowance, stock-based compensation and fair value measurements for our common stock and preferred stock warrant.
Principles of Consolidation	Principles of Consolidation The accompanying condensed consolidated financial statements include the accounts of Appian and its wholly-owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation.
Initial Public Offering	Initial Public Offering In May 2017, we completed an IPO in which we sold 7,187,500 shares of our newly-authorized Class A common stock at an initial price to the public of $12.00 per share. We received net proceeds of $77.8 million, after deducting underwriting discounts and commissions and offering expenses paid and payable by us, from sales of our shares in the IPO. Immediately prior to the completion of the IPO, (1) all shares of common stock then outstanding were converted into Class B common stock on a one-for-one basis, (2) a warrant to purchase shares of convertible preferred stock was converted into a warrant to purchase shares of Class B common stock and (3) all shares of convertible preferred stock then outstanding were converted into shares of our common stock on a one-for-one basis, and then reclassified as shares of Class B common stock. See Note 7 for further discussion of the convertible preferred stock and Note 8 for further discussion of the warrant. Deferred offering costs of $2.4 million, consisting of legal, accounting and other fees and costs related to our IPO, were recorded to additional paid-in capital as a reduction of the proceeds upon the closing of our IPO.
Revenue Recognition	Revenue Recognition We generate revenue primarily through sales of subscriptions to our platform, as well as professional services. We recognize revenue when all of the following conditions are met: (1) there is persuasive evidence of an arrangement; (2) the service or product has been provided to the customer; (3) the amount of fees to be paid by the customer is fixed or determinable; and (4) the collection of related fees is reasonably assured. If collection is not reasonably assured, we defer revenue recognition until collectability becomes reasonably assured. Our arrangements do not contain general rights of return. Revenue is recognized net of any taxes collected from customers and subsequently remitted to governmental authorities. Subscriptions, Software and Support Revenue Subscriptions, software and support revenue is primarily related to (1) software as a service (“SaaS”) subscriptions bundled with maintenance and support and hosting services and (2) term license subscriptions bundled with maintenance and support. To a lesser extent, we also generate revenue from the sale of perpetual software licenses and associated maintenance and support. Historically, we licensed our software primarily under perpetual licenses, but over time we transitioned from perpetual licenses to subscriptions. As a result, revenue from our perpetual software licenses was 0.2% and 0.6% of our total revenue for the three and six months ended June 30, 2017, respectively. Revenue from our perpetual software licenses was 0.4% and 0.5% of our total revenue for the three and six months ended June 30, 2016, respectively. We generally charge subscription fees on a per-user basis. We bill customers and collect payment for subscriptions to our platform in advance on a monthly, quarterly or annual basis. In certain instances, we have had customers pay their entire contract up front. SaaS Subscriptions Our SaaS subscription revenue is derived from customers accessing our cloud offering pursuant to contracts that are generally one to five years in length. We perform all required maintenance and support for our cloud offering and we do not separately charge customers for hosting costs. In these arrangements, our customers do not have the right to take the software on-premises and, as a result, such arrangements are not accounted for within the scope of the software revenue guidance. Revenue from SaaS subscriptions is recognized ratably over the term of the subscription, beginning with the date our service is made available to our customer. Term License Subscriptions Our term license subscription revenue is derived from customers with on-premises installations of our platform pursuant to contracts that are generally one to five years in length. Customers with term license subscriptions have the right to use our software and receive maintenance and support. Since we do not sell maintenance and support separately from the subscription, revenue for the term license subscription and maintenance and support is recognized ratably over the term of the subscription, upon delivery of the platform to the customer when sold on a standalone basis. Perpetual Licenses Our perpetual license revenue is derived from customers with perpetual licenses to our platform and associated maintenance and support contracts. We recognize revenue from perpetual licenses on the date of delivery to our customer. We sell maintenance and support to perpetual license customers separately from the perpetual licenses pursuant to agreements that generally renew annually. Maintenance and support revenue is deferred and recognized ratably over the term of the support period. Professional Services Our professional services revenue is comprised of fees for consulting services, including application development and deployment assistance and training related to our platform. Our professional services are not essential to the functionality of our platform because the platform is ready for the customer’s use immediately upon delivery and is not modified or customized in any manner. Consulting services are billed under both time-and-material and fixed-fee arrangements. For standalone time-and-material contracts, we recognize revenue at contractually agreed upon billing rates applied to hours performed, plus the cost of any materials delivered. For standalone fixed-fee contracts, we also recognize revenue as the work is performed using the proportional performance method of accounting. Training revenue is recognized when the associated training services are delivered. Training is also sold in the form of a subscription arrangement where a customer agrees to pay an annual fixed fee for a fixed number of users to have access to all of our training offerings during the year. Revenue from training subscription agreements is recognized ratably over the subscription period. We defer recognition of revenue from work performed on pending contract modifications until the period in which the modifications are accepted and funding is approved by the customer. Costs of work performed on pending contract modifications are expensed as incurred. Multiple Element Arrangements Our multiple element arrangements are from SaaS subscriptions, term license subscriptions, and perpetual licenses that are generally sold in combination with maintenance and support service and frequently with professional services. SaaS Subscriptions For multiple element arrangements involving SaaS subscriptions that include professional services in addition to the subscription to our platform, we evaluate each element to determine whether it represents a separate unit of accounting. Because there are third-party vendors who routinely sell and provide the same professional services to our customers, our professional services are deemed to have standalone value apart from the SaaS subscription. Additionally, we offer both SaaS subscriptions and professional services on a standalone basis. Professional services revenue is therefore accounted for separately from subscription fees and recognized as the professional services are performed. We allocate revenue to the elements based on the selling price hierarchy using vendor-specific objective evidence (“VSOE”) of selling price, third-party evidence (“TPE”) of selling price, or if neither exists, best estimated selling price (“BESP”). In cases where we do not have VSOE or TPE of the elements of our arrangements, we use BESP to allocate revenue. We determine BESP for a service by considering multiple factors including, but not limited to, evaluating the weighted average of actual sales prices and other factors such as gross margin objectives, pricing practices and growth strategy. Pricing practices taken into consideration include historic contractually stated prices, volume discounts where applicable and our price lists. While we believe we can make reliable estimates regarding these matters, these estimates are inherently subjective. Once the revenue is allocated to these elements, revenue is recognized as such services are provided. Term License Subscriptions For multiple element arrangements involving term license subscriptions, maintenance and support and professional services, we do not have VSOE of fair value for the maintenance and support. Our term license subscriptions are generally not sold on a standalone basis, and therefore, we have not established VSOE of fair value for the subscriptions. Consequently, for our bundled arrangements that include certain professional services, there are two undelivered elements for which VSOE of fair value has not been established and, therefore, we utilize the combined services approach and defer all revenue until the software has been delivered and the provision of all services has commenced. We then recognize the entire fee from the arrangement ratably over the remaining period of the arrangement, assuming all other software revenue recognition criteria have been met. Perpetual Licenses For multiple element arrangements involving our perpetual software licenses, we allocate revenue to the software license arrangement by determining if VSOE of fair value exists for the undelivered elements, which are usually maintenance and support and professional services. In situations where VSOE of fair value exists for the undelivered elements, we apply the residual method whereby the fees allocated to license revenue are recognized upon delivery, the fees allocated to maintenance and support revenue are recognized over the service period and the fees allocated to professional services and training are recognized as performed. In instances where we lack VSOE of fair value for the undelivered elements, revenue is either deferred until the final element is delivered or recognized ratably over the service period when the only undelivered elements are either professional services or maintenance and support. We have VSOE for maintenance and support elements and professional services elements performed on a time and materials basis. VSOE of fair value is based upon the price charged when the same element is sold separately. In determining VSOE of fair value, we require that a substantial majority of the selling prices fall within a reasonably narrow pricing range. We reassess VSOE annually or more frequently if required.
Deferred Revenue	Deferred Revenue Deferred revenue primarily consists of amounts billed or billable in advance of revenue recognition from our subscriptions, software, and support and professional services described above. Deferred revenue is recognized as the revenue recognition criteria are met.
Cost of Revenue	Cost of Revenue Cost of Subscriptions, Software and Support Revenue Cost of subscriptions, software and support revenue consists primarily of fees paid to our third-party managed hosting providers and other third-party service providers, personnel costs, including payroll and benefits for our technology operations and customer support teams, and allocated facility costs and overhead. Cost of Professional Services Revenue Cost of professional services revenue includes all direct and indirect costs to deliver our professional services and training, including employee compensation for our global professional services and training personnel, travel costs, third-party contractor costs and allocated facility costs and overhead.
Concentration of Credit Risk	Concentration of Credit Risk Our financial instruments that are exposed to concentration of credit risk consist primarily of cash and cash equivalents and trade accounts receivable. Cash deposits may be in excess of insured limits. We believe that the financial institutions that hold our cash deposits are financially sound and, accordingly, minimal credit risk exists with respect to these balances. With regard to our customers, credit evaluation and account monitoring procedures are used to minimize the risk of loss. We believe that no additional credit risk beyond amounts provided for collection loss are inherent in accounts receivable. Revenue generated from government agencies represented 15.8% and 16.1% of our revenue for the three and six months ended June 30, 2017, respectively, of which the top three federal government agencies generated 9.2% and 9.9% of our revenue for the three and six months ended June 30, 2017, respectively. Additionally, 25.1% and 24.0% of our revenue during the three and six months ended June 30, 2017, respectively, was generated from foreign customers. Revenue generated from government agencies represented 28.2% and 32.6% of our revenue for the three and six months ended June 30, 2016, respectively, of which the top three federal government agencies generated 15.6% and 22.4% of our revenue for the three and six months ended June 30, 2016, respectively. Additionally, 19.1% and 16.6% of our revenue during the three and six months ended June 30, 2016, respectively, was generated from foreign customers. Federal government agencies accounted for 16.4% and 17.2% of accounts receivable at June 30, 2017 and December 31, 2016, respectively.
Accounts Receivable and Allowance for Doubtful Accounts	Accounts Receivable and Allowance for Doubtful Accounts Accounts receivable are stated at realizable value, net of an allowance for doubtful accounts. The allowance for doubtful accounts is based on our assessment of the collectability of accounts. We regularly review the composition of the accounts receivable aging, historical bad debts, changes in payment patterns, customer creditworthiness and current economic trends. If the financial condition of our customers were to deteriorate, resulting in their inability to make required payments, additional provisions for doubtful accounts would be required and would increase bad debt expense. To date, our allowance and related bad debt write-offs have been nominal. There was no change in the allowance for doubtful accounts from December 31, 2016 to June 30, 2017.
Deferred Commissions	Deferred Commissions Deferred commissions are the incremental costs that are directly associated with subscription agreements with customers and consist of sales commissions paid to our direct sales force. Commissions are considered direct and incremental and as such are deferred and amortized over the terms of the related customer contracts consistent with the related revenue. Amortization of deferred commissions is included in sales and marketing expense in the accompanying condensed consolidated statements of operations. Commission expense was $2.7 million and $5.3 million for the three and six months ended June 30, 2017, respectively. Commission expense was $1.8 million and $3.6 million for the three and six months ended June 30, 2016, respectively.
Fair Value of Financial Instruments	Fair Value of Financial Instruments The carrying amounts of our cash and cash equivalents, accounts receivable, accounts payable and accrued expenses approximate fair value as of June 30, 2017 and December 31, 2016 because of the relatively short duration of these instruments. The carrying value of our long-term debt as of December 31, 2016 approximated fair value given interest rates for similar debt instruments available to the Company. We use a three-tier fair value hierarchy to classify and disclose all assets and liabilities measured at fair value on a recurring basis, as well as assets and liabilities measured at fair value on a non-recurring basis, in periods subsequent to their initial measurement. The hierarchy requires us to use observable inputs when available, and to minimize the use of unobservable inputs when determining fair value. The three tiers are defined as follows: • Level 1. Observable inputs based on unadjusted quoted prices in active markets for identical assets or liabilities; • Level 2. Inputs, other than quoted prices in active markets, that are observable either directly or indirectly; and • Level 3. Unobservable inputs for which there is little or no market data, which require us to develop our own assumptions. Assets and Liabilities Measured at Fair Value on a Recurring Basis We evaluate our financial assets and liabilities subject to fair value measurements on a recurring basis to determine the appropriate level in which to classify them for each reporting period. This determination requires significant judgments to be made. After the reclassification of the convertible preferred stock warrant in May 2017, we did not have any assets or liabilities subject to fair value measurements as of June 30, 2017. See Note 8 for further discussion of the warrant reclassification. The following table summarizes the conclusions reached as of December 31, 2016 (in thousands): December 31, 2016 Level 1 Level 2 Level 3 Liabilities: Series A convertible preferred stock warrant(1) $ 850 $ — $ — $ 850 $ 850 $ — $ — $ 850 (1) In order to determine the fair value of the convertible preferred stock warrant, we used the Black-Scholes option pricing model (“OPM”). Significant inputs for the OPM included an estimate of the fair value of the Series A convertible preferred stock, the remaining contractual life of the warrant, an estimate of the timing of a liquidity event, a risk-free rate of interest and an estimate of our stock volatility using the volatilities of guideline peer companies. Assets and Liabilities Measured at Fair Value on a Recurring Basis Using Significant Unobservable Inputs The following table presents the changes in our Level 3 instruments measured at fair value on a recurring basis during the three months ended June 30, 2017 and 2016 (in thousands): Three Months Ended June 30, 2017 2016 Balance as of April 1 $ 850 $ 650 Change in fair value of warrant liability 341 200 Reclassification of warrant liability to equity (1,191 ) — Balance as of June 30 $ — $ 850 The following table presents the changes in our Level 3 instruments measured at fair value on a recurring basis during the six months ended June 30, 2017 and 2016 (in thousands): Six Months Ended June 30, 2017 2016 Balance as of January 1 $ 850 $ 650 Change in fair value of warrant liability 341 200 Reclassification of warrant liability to equity (1,191 ) — Balance as of June 30 $ — $ 850
Stock-Based Compensation	Stock-Based Compensation We account for stock-based compensation expense related to stock-based awards based on the estimated fair value of the award on the grant date. We calculate the fair value of stock options using the Black-Scholes OPM. For service-based awards, stock-based compensation expense is recognized on a straight-line basis over the requisite service period. For performance-based awards, stock-based compensation expense is recognized using the accelerated attribution method, based on the probability of satisfying the performance condition. For awards that contain market conditions, compensation expense is measured using a Monte Carlo simulation model and recognized using the accelerated attribution method over the derived service period based on the expected market performance as of the grant date. As discussed in “—Recent Accounting Pronouncements,” we have elected to early adopt Accounting Standards Update (“ASU”) No. 2016-09, which, among other things, permits an entity to make an entity-wide policy election to either (1) estimate the number of awards that are expected to vest or (2) account for forfeitures when they occur. We have elected to account for forfeitures as they occur, rather than estimate expected forfeitures. Emerging Growth Company Status We are an “emerging growth company” as defined in the Jumpstart Our Business Startups Act (“JOBS Act”). The JOBS Act provides that an emerging growth company can take advantage of an extended transition period for complying with new or revised accounting standards. Thus, an emerging growth company can delay the adoption of certain accounting standards until those standards would otherwise apply to private companies. We have elected to avail ourselves of this extended transition period and, as a result, we will not adopt new or revised accounting standards on the relevant dates on which adoption of such standards is required for other public companies.
Recent Accounting Pronouncements	Recent Accounting Pronouncements Adopted In August 2014, the FASB issued ASU No. 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern In April 2015, the FASB issued ASU No. 2015-03, Simplifying the Presentation of Debt Issuance Costs Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements In April 2015, the FASB issued ASU No. 2015-05, Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement In November 2015, the FASB issued ASU No. 2015-17, Balance Sheet Classification of Deferred Taxes (Topic 740) In March 2016, the FASB issued ASU No. 2016-09, Improvements to Employee Share-Based Payment Accounting (Topic 718) Not Yet Adopted In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) (“ASU 2014-09”), which provides new guidance for revenue recognition. ASU 2014-09 provides that an entity Principal Versus Agent Considerations (Reporting Revenue Gross Versus Net) Identifying Performance Obligations and Licensing Narrow-Scope Improvements and Practical Expedients We currently plan to adopt the new standard using the full retrospective approach; however, the decision regarding the adoption method has not been finalized. Our final determination will depend on a number of factors such as the significance of the impact of the new standard on our financial results, system readiness, including that of software procured from third-party providers, and our ability to accumulate and analyze the information necessary to assess the impact on prior period financial statements, as necessary. We are in the initial stages of our evaluation of the impact of the new standard on our accounting policies, processes, and system requirements. We have assigned internal resources in addition to the engagement of third-party service providers to assist in the evaluation. Furthermore, we have made and will continue to make investments in systems to enable timely and accurate reporting under the new standard. While we continue to assess all potential impacts under the new standard there is the potential for significant impacts to the timing of recognition of revenue, particularly term license subscriptions and professional services revenue. We also expect an impact to our accounting for contract acquisition costs, both with respect to the amounts that will be capitalized as well as the period of amortization. Under current industry-specific software revenue recognition guidance, we have historically concluded that we did not have VSOE of fair value of the undelivered services related to term license subscriptions, and accordingly, have recognized term license subscriptions and related services ratably over the subscription term. Professional services included in an arrangement with subscription revenue has also been recognized ratably over the subscription term. The new standard, which does not retain the concept of VSOE, requires an evaluation of whether term license subscriptions and related services, including professional services, are distinct performance obligations and therefore should be separately recognized at a point in time or over time. Depending on the outcome of our evaluation, the timing of when revenue is recognized could change significantly for term license subscriptions and professional services under the new standard. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments

Significant Accounting Polici19

Significant Accounting Policies (Tables)	6 Months Ended
	Jun. 30, 2017
Accounting Policies [Abstract]
Summary of Liabilities Fair Value Measurements	The following table summarizes the conclusions reached as of December 31, 2016 (in thousands): December 31, 2016 Level 1 Level 2 Level 3 Liabilities: Series A convertible preferred stock warrant(1) $ 850 $ — $ — $ 850 $ 850 $ — $ — $ 850 (1) In order to determine the fair value of the convertible preferred stock warrant, we used the Black-Scholes option pricing model (“OPM”). Significant inputs for the OPM included an estimate of the fair value of the Series A convertible preferred stock, the remaining contractual life of the warrant, an estimate of the timing of a liquidity event, a risk-free rate of interest and an estimate of our stock volatility using the volatilities of guideline peer companies.
Summary of Changes in Level 3 Instruments Measured at Fair Value On Recurring Basis	The following table presents the changes in our Level 3 instruments measured at fair value on a recurring basis during the three months ended June 30, 2017 and 2016 (in thousands): Three Months Ended June 30, 2017 2016 Balance as of April 1 $ 850 $ 650 Change in fair value of warrant liability 341 200 Reclassification of warrant liability to equity (1,191 ) — Balance as of June 30 $ — $ 850 The following table presents the changes in our Level 3 instruments measured at fair value on a recurring basis during the six months ended June 30, 2017 and 2016 (in thousands): Six Months Ended June 30, 2017 2016 Balance as of January 1 $ 850 $ 650 Change in fair value of warrant liability 341 200 Reclassification of warrant liability to equity (1,191 ) — Balance as of June 30 $ — $ 850

Accrued Expenses (Tables)

Accrued Expenses (Tables)	6 Months Ended
	Jun. 30, 2017
Payables And Accruals [Abstract]
Schedule of Accrued Expenses	Accrued expenses consist of the following: June 30, 2017 December 31, 2016 Accrued contract labor costs $ 2,485 $ 743 Accrued marketing and tradeshow expenses 1,231 111 Accrued deferred offering costs 1,016 — Accrued audit and tax expenses 254 358 Other accrued expenses 1,894 1,648 Total $ 6,880 $ 2,860

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	6 Months Ended
	Jun. 30, 2017
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Summary of Estimate the Fair Value of Stock Options Granted	The following table summarizes the assumptions used to estimate the fair value of stock options granted during the three and six months ended June 30, 2017 and 2016: Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Risk-free interest rate 2.0% - 2.1% 1.4% - 1.5% 2.0% - 2.2% 1.4% - 1.5% Expected term (in years) 6.5 6.5 6.5 6.5 Expected volatility 38.7% - 38.8% 41.2% - 42.0% 38.7% - 40.6% 41.2% - 42.0% Expected dividend yield 0% 0% 0% 0%
Summary of the Stock Option Activity	The following table summarizes the stock option activity for the six months ended June 30, 2017: Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (Years) Aggregate Intrinsic Value (in thousands) Outstanding at January 1, 2017 6,784,448 $ 4.65 6.5 $ 44,259 Granted 1,244,200 $ 11.83 Exercised (387,240 ) $ 1.17 $ 5,122 Cancelled (59,720 ) $ 4.94 Outstanding at June 30, 2017 7,581,688 $ 6.04 6.9 $ 91,793 Exercisable at June 30, 2017 3,031,105 $ 1.66 3.8 $ 49,996
Schedule of Components of Stock-based Compensation Expense	The following table summarizes the components of our stock-based compensation expense for the three and six months ended June 30, 2017 (in thousands): Three and Six Months Ended June 30, 2017 Stock-based compensation expense related to stock option modifications $ 2,394 Cumulative stock-based compensation expense related to stock options recorded upon effectiveness of our IPO 6,236 Post-IPO stock-based compensation expense related to stock options 585 Stock-based compensation expense related to the issuance of common stock to directors 130 Total stock-based compensation expense $ 9,345
Schedule of Stock-based Compensation Expense Included in Condensed Consolidated Statements of Operations	Stock-based compensation expense is included in the following line items in the accompanying condensed consolidated statements of operations for the three and six months ended June 30, 2017 (in thousands): Three and Six Months Ended June 30, 2017 Cost of revenue Subscriptions, software and support $ 404 Professional services 984 Sales and marketing 2,423 Research and development 2,202 General and administrative 3,332 Total stock-based compensation expense $ 9,345

Convertible Preferred Stock a22

Convertible Preferred Stock and Stockholders’ Equity (Deficit) (Tables)	6 Months Ended
	Jun. 30, 2017
Equity [Abstract]
Summary of Activity for Convertible Preferred Stock Issued and Outstanding	The following tables present a summary of activity for our convertible preferred stock issued and outstanding for the six months ended June 30, 2017 (dollar amounts in thousands): Series A Convertible Preferred Stock Series B Convertible Preferred Stock Amount Shares Amount Shares Balance as of January 1, 2017 $ 17,915 12,043,108 $ 37,500 6,120,050 Accretion of dividends on convertible preferred stock 357 — — — Payment of accrued dividend to Series A convertible preferred stockholders (7,565 ) — — — Conversion of convertible preferred stock to common stock (10,707 ) (12,043,108 ) (37,500 ) (6,120,050 ) Balance as of June 30, 2017 $ — — $ — —

Basic and Diluted Loss per Co23

Basic and Diluted Loss per Common Share (Tables)	6 Months Ended
	Jun. 30, 2017
Earnings Per Share [Abstract]
Summary of Securities Excluded From Calculation of Weighted Average Common Shares	The following securities have been excluded from the calculation of weighted average common shares outstanding because the effect is anti-dilutive or performance or market conditions had not been met at the end of the period: Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Convertible preferred stock: Series A convertible preferred stock — 12,043,108 — 12,043,108 Series B convertible preferred stock — 6,120,050 — 6,120,050 Warrant to purchase Series A convertible preferred stock — 84,360 — 84,360 Stock options 7,581,688 4,658,388 7,581,688 4,658,388

Segment and Geographic Inform24

Segment and Geographic Information (Tables)	6 Months Ended
	Jun. 30, 2017
Segment Reporting [Abstract]
Summary of Revenue By Geography	The following table summarizes revenue by geography for the three and six months ended June 30, 2017 and 2016 (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Domestic $ 32,335 $ 26,275 $ 61,982 $ 57,065 International 10,863 6,192 19,545 11,366 Total $ 43,198 $ 32,467 $ 81,527 $ 68,431

Significant Accounting Polici25

Significant Accounting Policies - Additional Information (Details)	1 Months Ended	3 Months Ended		6 Months Ended		12 Months Ended
	May 31, 2017USD ($)$ / sharesshares	Jun. 30, 2017USD ($)Agency	Jun. 30, 2016USD ($)Agency	Jun. 30, 2017USD ($)Agency	Jun. 30, 2016USD ($)Agency	Dec. 31, 2016USD ($)
Summary Of Significant Accounting Policies [Line Items]
Net proceeds from initial public offering				$ 80,213,000
Deferred offering costs		$ 2,400,000		$ 2,400,000
Percentage of license revenue		0.20%	0.40%	0.60%	0.50%
Change in allowance for doubtful accounts				$ 0		$ 0
Commission expense		$ 2,700,000	$ 1,800,000	$ 5,300,000	$ 3,600,000
Customer Concentration Risk [Member] | Sales Revenue, Net [Member] | Foreign Customers [Member]
Summary Of Significant Accounting Policies [Line Items]
Concentration risk percentage		25.10%	19.10%	24.00%	16.60%
Customer Concentration Risk [Member] | Sales Revenue, Net [Member] | Government Agencies [Member]
Summary Of Significant Accounting Policies [Line Items]
Concentration risk percentage		15.80%	28.20%	16.10%	32.60%
Customer Concentration Risk [Member] | Sales Revenue, Net [Member] | Federal Government Agencies [Member]
Summary Of Significant Accounting Policies [Line Items]
Concentration risk percentage		9.20%	15.60%	9.90%	22.40%
Number of federal government agencies | Agency		3	3	3	3
Customer Concentration Risk [Member] | Accounts Receivable [Member] | Federal Government Agencies [Member]
Summary Of Significant Accounting Policies [Line Items]
Concentration risk percentage				16.40%		17.20%
Minimum [Member]
Summary Of Significant Accounting Policies [Line Items]
SaaS Subscriptions contracts term				1 year
Term license subscription contracts term				1 year
Maximum [Member]
Summary Of Significant Accounting Policies [Line Items]
SaaS Subscriptions contracts term				5 years
Term license subscription contracts term				5 years
Class A Common Stock [Member]
Summary Of Significant Accounting Policies [Line Items]
Net proceeds from initial public offering	$ 77,800,000
Class B Common Stock [Member]
Summary Of Significant Accounting Policies [Line Items]
Common stock conversion basis				one-for-one
Preferred stock conversion basis				one-for-one
IPO [Member] | Class A Common Stock [Member]
Summary Of Significant Accounting Policies [Line Items]
Issuance of common stock from initial public offering, net of issuance costs, Shares | shares	7,187,500
Shares issued price per share | $ / shares	$ 12

Significant Accounting Polici26

Significant Accounting Policies - Summary of Liabilities Fair Value Measurements (Details) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2015
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value measurements, Liabilities		$ 850
Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value measurements, Liabilities	$ 850	850	$ 850	$ 650	$ 650
Series A Convertible Preferred Stock Warrant [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value measurements, Liabilities		850
Series A Convertible Preferred Stock Warrant [Member] | Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value measurements, Liabilities		$ 850

Significant Accounting Polici27

Significant Accounting Policies - Summary of Changes in Level 3 Instruments Measured at Fair Value On Recurring Basis (Detail) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Fair Value Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]
Balance			$ 850
Level 3 [Member]
Fair Value Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]
Balance	$ 850	$ 650	850	$ 650
Change in fair value of warrant liability	341	200	341	200
Reclassification of warrant liability to equity	$ (1,191)		$ (1,191)
Balance		$ 850		$ 850

Accrued Expenses - Schedule of

Accrued Expenses - Schedule of Accrued Expenses (Detail) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Payables And Accruals [Abstract]
Accrued contract labor costs	$ 2,485	$ 743
Accrued marketing and tradeshow expenses	1,231	111
Accrued deferred offering costs	1,016
Accrued audit and tax expenses	254	358
Other accrued expenses	1,894	1,648
Total	$ 6,880	$ 2,860

Debt - Additional Information (

Debt - Additional Information (Detail) - USD ($)	Dec. 31, 2015	Jan. 31, 2016	Mar. 31, 2015	Jun. 30, 2017	Apr. 30, 2017
Line of Credit Facility [Line Items]
Loss on extinguishment of debt related to unamortized debt issuance costs				$ 384,000
Senior Revolving Credit Facility [Member]
Line of Credit Facility [Line Items]
Credit facility	$ 10,000,000				$ 5,000,000
Credit facility expiration date	Jun. 30, 2016
Credit facility termination date				Apr. 30, 2017
Senior Revolving Credit Facility [Member] | Extended Maturity [Member]
Line of Credit Facility [Line Items]
Credit facility expiration date				Jun. 30, 2017
Term Loan [Member]
Line of Credit Facility [Line Items]
Credit facility		$ 20,000,000	$ 10,000,000		20,000,000
Credit facility expiration date		Jan. 31, 2020	Mar. 31, 2019
Line of credit, outstanding borrowings				$ 0
Term Loan [Member] | Other (Income) Expense [Member]
Line of Credit Facility [Line Items]
Loss on extinguishment of debt related to unamortized debt issuance costs				$ 400,000
Subordinated Term Loan [Member]
Line of Credit Facility [Line Items]
Credit facility					$ 10,000,000

Income Taxes - Additional Infor

Income Taxes - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Income Taxes [Line Items]
Effective tax rate	(1.20%)	22.10%	(1.70%)	12.30%
Net unrecognized tax benefits which would impact effective tax rate if recognized	$ 0.5		$ 0.5
Earliest Tax Year [Member]
Income Taxes [Line Items]
Open tax year			2,013
Latest Tax Year [Member]
Income Taxes [Line Items]
Open tax year			2,016
Minimum [Member] | Subsidiaries [Member]
Income Taxes [Line Items]
Effective tax rate			0.00%
Maximum [Member] | Subsidiaries [Member]
Income Taxes [Line Items]
Effective tax rate			40.00%

Stock-Based Compensation - Addi

Stock-Based Compensation - Additional Information (Detail) - USD ($)	Apr. 25, 2017	May 31, 2017	Jun. 30, 2017	Jun. 30, 2017	Jun. 30, 2016
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Service period for option exercise				5 years
Stock-based compensation expense			$ 9,345,000	$ 9,345,000
Weighted average grant-date fair value of options granted				$ 5.01	$ 3.21
Fair value of stock options vested				$ 4,900,000	$ 0
Compensation cost related to nonvested stock options not yet recognized			14,100,000	$ 14,100,000	$ 0
Unrecognized compensation cost related to nonvested stock option recognized over weighted average period, in years				4 years
Aggregate purchase of stock options	216,160
Cumulative Stock-based Compensation Expense Related to Stock Options Recorded upon Effectiveness of Our IPO [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation expense			6,236,000	$ 6,236,000
Cumulative Stock-based Compensation Expense Related to Stock Options Recorded upon Effectiveness of Our IPO [Member] | Performance Shares [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation expense		$ 6,200,000
Stock Option Modifications [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation expense	$ 2,400,000		$ 2,394,000	$ 2,394,000
2017 Equity Incentive Plan [Member] | Class A Common Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares available to be issued		6,421,442			6,444,842
2007 Stock Option Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares available to be issued		421,442
Number of shares available for grants		0
Period for which options can be granted				10 years

Stock-Based Compensation - Summ

Stock-Based Compensation - Summary of Estimate the Fair Value of Stock Options Granted (Detail)	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Share Based Goods And Nonemployee Services Transaction [Line Items]
Expected term (in years)	6 years 6 months	6 years 6 months	6 years 6 months	6 years 6 months
Expected dividend yield	0.00%	0.00%	0.00%	0.00%
Minimum [Member]
Share Based Goods And Nonemployee Services Transaction [Line Items]
Risk-free interest rate	2.00%	1.40%	2.00%	1.40%
Expected volatility	38.70%	41.20%	38.70%	41.20%
Maximum [Member]
Share Based Goods And Nonemployee Services Transaction [Line Items]
Risk-free interest rate	2.10%	1.50%	2.20%	1.50%
Expected volatility	38.80%	42.00%	40.60%	42.00%

Stock-Based Compensation - Su33

Stock-Based Compensation - Summary of the Stock Option Activity (Detail) - USD ($) $ / shares in Units, $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2017	Dec. 31, 2016
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Number of Shares, Outstanding, Beginning balance	6,784,448
Number of Shares, Granted	1,244,200
Nunber of Shares, Exercised	(387,240)
Number of Shares, Cancelled	(59,720)
Number of Shares, Outstanding, Ending balance	7,581,688	6,784,448
Number of Shares, Exercisable at June 30, 2017	3,031,105
Weighted Average Exercise Price, Outstanding, Beginning balance	$ 4.65
Weighted Average Exercise Price, Granted	11.83
Weighted Average Exercise Price, Exercised	1.17
Weighted Average Exercise Price, Cancelled	4.94
Weighted Average Exercise Price, Outstanding, Ending balance	6.04	$ 4.65
Weighted Average Exercise Price, Exercisable at June 30, 2017	$ 1.66
Weighted Average Remaining Contractual Term (Years), Outstanding	6 years 10 months 25 days	6 years 6 months
Weighted Average Remaining Contractual Term (Years), Exercisable at June 30, 2017	3 years 9 months 18 days
Aggregate Intrinsic Value, Outstanding	$ 44,259
Aggregate Intrinsic Value, Exercised	5,122
Aggregate Intrinsic Value, Outstanding	91,793	$ 44,259
Aggregate Intrinsic Value, Exercisable	$ 49,996

Stock-Based Compensation - Sche

Stock-Based Compensation - Schedule of Stock-based Compensation Expense (Detail) - USD ($) $ in Thousands	Apr. 25, 2017	Jun. 30, 2017	Jun. 30, 2017
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Total stock-based compensation expense		$ 9,345	$ 9,345
Stock Option Modifications [Member]
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Total stock-based compensation expense	$ 2,400	2,394	2,394
Cumulative Stock-based Compensation Expense Related to Stock Options Recorded upon Effectiveness of Our IPO [Member]
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Total stock-based compensation expense		6,236	6,236
Post-IPO Stock-based Compensation Expense Related to Stock Options [Member]
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Total stock-based compensation expense		585	585
Issuance of Common Stock to Directors [Member]
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Total stock-based compensation expense		$ 130	$ 130

Stock-Based Compensation - Sc35

Stock-Based Compensation - Schedule of Stock-based Compensation Expense Included in Condensed Consolidated Statements of Operations (Detail) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Jun. 30, 2017	Jun. 30, 2017
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Total stock-based compensation expense	$ 9,345	$ 9,345
Subscriptions, Software and Support [Member]
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Total stock-based compensation expense	404	404
Professional Services [Member]
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Total stock-based compensation expense	984	984
Selling and Marketing [Member]
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Total stock-based compensation expense	2,423	2,423
Research and Development [Member]
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Total stock-based compensation expense	2,202	2,202
General and Administrative [Member]
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Total stock-based compensation expense	$ 3,332	$ 3,332

Convertible Preferred Stock a36

Convertible Preferred Stock and Stockholders' Equity (Deficit) - Additional Information (Detail)	6 Months Ended
	Jun. 30, 2017Voteshares
Temporary Equity [Line Items]
Common stock voting rights description	The holders of Class A common stock are entitled to one vote per share, and the holders of Class B common stock are entitled to ten votes per share, on all matters that are subject to stockholder vote. The holders of Class B common stock also have approval rights for certain corporate actions.
Common stock conversion rights description	Each share of Class B common stock may be converted into one share of Class A common stock at the option of its holder and will be automatically converted into one share of Class A common stock upon transfer thereof, subject to certain exceptions. In addition, upon the date on which the outstanding shares of Class B common stock represent less than 10% of the aggregate voting power of our capital stock, all outstanding shares of Class B common stock shall convert automatically into Class A common stock.
Class B Common Stock [Member]
Temporary Equity [Line Items]
Convertible preferred stock outstanding shares converted into common stock | shares	18,163,158
Preferred stock conversion description	Immediately prior to the completion of the IPO, all shares of convertible preferred stock then outstanding were automatically converted into 18,163,158 shares of common stock on a one-for-one basis, and then reclassified as shares of Class B common stock.
Preferred stock conversion basis	one-for-one
Common stock conversion basis	one-for-one
Common stock conversion description	Immediately prior to the completion of the IPO, all shares of common stock then outstanding were converted into Class B common stock on a one-for-one basis.
Number of votes entitled to stockholders per share | Vote	10
Class A Common Stock [Member]
Temporary Equity [Line Items]
Number of votes entitled to stockholders per share | Vote	1
Conversion of stock | shares	1
Maximum percentage of aggregate voting power of capital stock which triggers conversion of stock	10.00%

Convertible Preferred Stock a37

Convertible Preferred Stock and Stockholders' Equity (Deficit) - Summary of Activity for Convertible Preferred Stock Issued and Outstanding (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Temporary Equity [Line Items]
Accretion of dividends on convertible preferred stock	$ 143	$ 214	$ 357	$ 428
Payment of accrued dividend to Series A convertible preferred stockholders			(7,565)
Series A Convertible Preferred Stock [Member]
Temporary Equity [Line Items]
Beginning balance			$ 17,915
Beginning balance, shares issued			12,043,108
Beginning balance, shares outstanding			12,043,108
Accretion of dividends on convertible preferred stock			$ 357
Payment of accrued dividend to Series A convertible preferred stockholders			(7,565)
Conversion of convertible preferred stock to common stock			$ (10,707)
Conversion of convertible preferred stock to common stock, shares			(12,043,108)
Ending balance, shares issued	0		0
Ending balance, shares outstanding	0		0
Series B Convertible Preferred Stock [Member]
Temporary Equity [Line Items]
Beginning balance			$ 37,500
Beginning balance, shares issued			6,120,050
Beginning balance, shares outstanding			6,120,050
Conversion of convertible preferred stock to common stock			$ (37,500)
Conversion of convertible preferred stock to common stock, shares			(6,120,050)
Ending balance, shares issued	0		0
Ending balance, shares outstanding	0		0

Warrants - Additional Informati

Warrants - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Millions	Jun. 30, 2017	May 31, 2017
Class of Warrant or Right [Line Items]
Warrant exercise price	$ 0.88905
Warrant [Member]
Class of Warrant or Right [Line Items]
Fair value of warrant	$ 1.2
Series A Convertible Preferred Stock [Member]
Class of Warrant or Right [Line Items]
Warrant to purchase shares of preferred stock	84,360
Class B Common Stock [Member]
Class of Warrant or Right [Line Items]
Shares issued on cashless exercise of warrants		79,363
Class B Common Stock [Member] | Prior to IPO [Member]
Class of Warrant or Right [Line Items]
Warrant to purchase shares of preferred stock	84,360

Basic and Diluted Loss per Co39

Basic and Diluted Loss per Common Share - Summary of Securities Excluded From Calculation of Weighted Average Common Shares Outstanding (Detail) - shares	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Series A Convertible Preferred Stock [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total convertible preferred stock		12,043,108		12,043,108
Series B Convertible Preferred Stock [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total convertible preferred stock		6,120,050		6,120,050
Warrant To Purchase Series A Convertible Preferred Stock [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total convertible preferred stock		84,360		84,360
Employee Stock Option [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total convertible preferred stock	7,581,688	4,658,388	7,581,688	4,658,388

Segment and Geographic Inform40

Segment and Geographic Information - Summary of Revenues By Geography (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	$ 43,198	$ 32,467	$ 81,527	$ 68,431
Domestic [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	32,335	26,275	61,982	57,065
International [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	$ 10,863	$ 6,192	$ 19,545	$ 11,366

Segment and Geographic Inform41

Segment and Geographic Information - Additional Information (Detail)	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Sales Revenue, Net [Member] | Geographic Concentration Risk [Member]
Segment Reporting Information [Line Items]
Concentration risk, percentage	10.00%	10.00%	10.00%	10.00%