Cover
Cover - USD ($) $ in Billions | 12 Months Ended | ||
Jan. 31, 2023 | Mar. 01, 2023 | Jul. 29, 2022 | |
Document Information [Line Items] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Document Period End Date | Jan. 31, 2023 | ||
Current Fiscal Year End Date | --01-31 | ||
Entity File Number | 001-39495 | ||
Entity Registrant Name | ASANA, INC. | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 26-3912448 | ||
Entity Address, Address Line One | 633 Folsom Street, Suite 100 | ||
Entity Address, City or Town | San Francisco | ||
Entity Address, State or Province | CA | ||
Entity Address, Postal Zip Code | 94107 | ||
City Area Code | 415 | ||
Local Phone Number | 525-3888 | ||
Title of 12(b) Security | Class A Common Stock, $0.00001 par value per share | ||
Trading Symbol | ASAN | ||
Security Exchange Name | NYSE | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Entity Shell Company | false | ||
Entity Public Float | $ 1.3 | ||
Documents Incorporated by Reference | Portions of the registrant’s definitive Proxy Statement relating to the Annual Meeting of Stockholders are incorporated by reference into Part III of this Annual Report on Form 10-K where indicated. Such definitive Proxy Statement will be filed with the Securities and Exchange Commission within 120 days after the end of the registrant’s fiscal year ended January 31, 2023. | ||
Entity Central Index Key | 0001477720 | ||
Document Fiscal Year Focus | 2023 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Common Class A | |||
Document Information [Line Items] | |||
Entity Common Stock, Shares Outstanding | 128,898,419 | ||
Common Class B | |||
Document Information [Line Items] | |||
Entity Common Stock, Shares Outstanding | 85,489,359 |
Audit Information
Audit Information | 12 Months Ended |
Jan. 31, 2023 | |
Auditor Information [Abstract] | |
Auditor Name | PricewaterhouseCoopers LLP |
Auditor Location | San Francisco, California |
Auditor Firm ID | 238 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jan. 31, 2023 | Jan. 31, 2022 |
Current assets | ||
Cash and cash equivalents | $ 526,563 | $ 240,403 |
Marketable securities | 2,739 | 71,628 |
Accounts receivable, net | 82,363 | 59,085 |
Prepaid expenses and other current assets | 48,726 | 40,278 |
Total current assets | 660,391 | 411,394 |
Property and equipment, net | 94,984 | 99,632 |
Operating lease right-of-use assets | 176,189 | 174,083 |
Investments, noncurrent | 0 | 2,760 |
Other assets | 23,399 | 19,166 |
Total assets | 954,963 | 707,035 |
Current liabilities | ||
Accounts payable | 7,554 | 11,557 |
Accrued expenses and other current liabilities | 83,488 | 60,915 |
Deferred revenue, current | 226,443 | 170,143 |
Operating lease liabilities, current | 14,831 | 12,573 |
Total current liabilities | 332,316 | 255,188 |
Term loan, net | 46,696 | 34,612 |
Deferred revenue, noncurrent | 7,156 | 4,082 |
Operating lease liabilities, noncurrent | 210,012 | 208,422 |
Other liabilities | 2,209 | 891 |
Total liabilities | 598,389 | 503,195 |
Commitments and contingencies (Note 8) | ||
Stockholders' equity (deficit) | ||
Common stock, $0.00001 par value; 1,500,000 shares authorized as of January 31, 2023 and January 31, 2022; 214,293 and 188,298 shares issued and outstanding as of January 31, 2023 and January 31, 2022, respectively; | 2 | 2 |
Additional paid-in capital | 1,595,001 | 1,034,252 |
Accumulated other comprehensive income (loss) | (873) | (626) |
Accumulated deficit | (1,237,556) | (829,788) |
Total stockholders’ equity (deficit) | 356,574 | 203,840 |
Total liabilities and stockholders’ equity (deficit) | $ 954,963 | $ 707,035 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Jan. 31, 2023 | Jan. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Common stock, par value (in dollars per share) | $ 0.00001 | $ 0.00001 |
Common stock, shares authorized (in shares) | 1,500,000,000 | 1,500,000,000 |
Common stock, shares issued (in shares) | 214,293,000 | 188,298,000 |
Common stock, shares outstanding (in shares) | 214,293,000 | 188,298,000 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2021 | |
Income Statement [Abstract] | |||
Revenues | $ 547,212 | $ 378,437 | $ 227,004 |
Cost of revenues | 56,559 | 38,897 | 28,741 |
Gross profit | 490,653 | 339,540 | 198,263 |
Operating expenses: | |||
Research and development | 297,209 | 203,124 | 121,139 |
Sales and marketing | 434,961 | 282,897 | 176,479 |
General and administrative | 166,309 | 118,703 | 76,212 |
Total operating expenses | 898,479 | 604,724 | 373,830 |
Loss from operations | (407,826) | (265,184) | (175,567) |
Interest income and other income (expense), net | 6,933 | (1,536) | 1,568 |
Interest expense | (2,000) | (18,385) | (36,178) |
Loss before provision for income taxes | (402,893) | (285,105) | (210,177) |
Provision for income taxes | 4,875 | 3,237 | 1,533 |
Net loss | $ (407,768) | $ (288,342) | $ (211,710) |
Net loss per share: | |||
Basic (in usd per share) | $ (2.04) | $ (1.63) | $ (1.99) |
Diluted (in usd per share) | $ (2.04) | $ (1.63) | $ (1.99) |
Weighted-average shares used in calculating net loss per share: | |||
Basic (in shares) | 200,034 | 176,401 | 106,344 |
Diluted (in shares) | 200,034 | 176,401 | 106,344 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Loss - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2021 | |
Statement of Comprehensive Income [Abstract] | |||
Net loss | $ (407,768) | $ (288,342) | $ (211,710) |
Other comprehensive income (loss): | |||
Net unrealized gains (losses) on marketable securities | 62 | (91) | (4) |
Change in foreign currency translation adjustments | (309) | (574) | 145 |
Comprehensive loss | $ (408,015) | $ (289,007) | $ (211,569) |
Consolidated Statements of Rede
Consolidated Statements of Redeemable Convertible Preferred Stock and Stockholders' Equity (Deficit) - USD ($) shares in Thousands, $ in Thousands | Total | Redeemable convertible preferred stock | Common Stock | Additional Paid-In | Accumulated Other Comprehensive Income (Loss) | Accumulated Deficit |
Beginning balance (in shares) at Jan. 31, 2020 | 76,688 | |||||
Beginning balance at Jan. 31, 2020 | $ (145,315) | $ 1 | $ 184,522 | $ (102) | $ (329,736) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of common stock upon the exercise of options (in shares) | 11,012 | |||||
Issuance of common stock upon the exercise of options | 18,057 | 18,057 | ||||
Vesting of early exercised stock options | 3,443 | 3,443 | ||||
Repurchases of common stock (in shares) | (17) | |||||
Issuance of common stock upon the vesting and settlement of restricted stock units, net of shares withheld for taxes (in shares) | 220 | |||||
Issuance of common stock upon the vesting and settlement of restricted stock units, net of shares withheld for taxes | (378) | (378) | ||||
Conversion of redeemable convertible preferred stock to common stock in connection with direct listing and issuance of common stock upon conversion of convertible notes-related party (in shares) | (73,577) | 73,577 | ||||
Conversion of redeemable convertible preferred stock to common stock in connection with direct listing and issuance of common stock upon conversion of convertible notes-related party | 250,581 | $ 1 | 250,580 | |||
Stock-based compensation expense | 34,419 | 34,419 | ||||
Net unrealized gains (losses) on marketable securities | (4) | (4) | ||||
Foreign currency translation adjustments | 145 | 145 | ||||
Deemed capital contribution on issuance of convertible note—related party | 37,973 | 37,973 | ||||
Net loss | (211,710) | (211,710) | ||||
Ending balance (in shares) at Jan. 31, 2021 | 161,480 | |||||
Ending balance at Jan. 31, 2021 | (12,789) | $ 2 | 528,616 | 39 | (541,446) | |
Temporary equity, beginning balance (in shares) at Jan. 31, 2020 | 73,577 | |||||
Temporary equity, beginning balance at Jan. 31, 2020 | $ 250,581 | |||||
Increase (Decrease) in Temporary Equity [Roll Forward] | ||||||
Conversion of redeemable convertible preferred stock to common stock in connection with direct listing | $ (250,581) | |||||
Temporary equity, ending balance (in shares) at Jan. 31, 2021 | 0 | |||||
Temporary equity, ending balance at Jan. 31, 2021 | $ 0 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of common stock upon the exercise of options (in shares) | 6,822 | |||||
Issuance of common stock upon the exercise of options | 16,323 | 16,323 | ||||
Vesting of early exercised stock options | 2,350 | 2,350 | ||||
Repurchases of common stock (in shares) | (12) | |||||
Issuance of common stock upon the vesting and settlement of restricted stock units, net of shares withheld for taxes (in shares) | 2,458 | |||||
Issuance of common stock for employee share purchase plan (in shares) | 537 | |||||
Issuance of common stock for employee share purchase plan | 13,350 | 13,350 | ||||
Conversion of redeemable convertible preferred stock to common stock in connection with direct listing and issuance of common stock upon conversion of convertible notes-related party (in shares) | 17,013 | |||||
Conversion of redeemable convertible preferred stock to common stock in connection with direct listing and issuance of common stock upon conversion of convertible notes-related party | 368,459 | 368,459 | ||||
Stock-based compensation expense | 105,154 | 105,154 | ||||
Net unrealized gains (losses) on marketable securities | (91) | (91) | ||||
Foreign currency translation adjustments | (574) | (574) | ||||
Net loss | $ (288,342) | (288,342) | ||||
Ending balance (in shares) at Jan. 31, 2022 | 188,298 | 188,298 | ||||
Ending balance at Jan. 31, 2022 | $ 203,840 | $ 2 | 1,034,252 | (626) | (829,788) | |
Temporary equity, ending balance (in shares) at Jan. 31, 2022 | 0 | |||||
Temporary equity, ending balance at Jan. 31, 2022 | $ 0 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of common stock upon the exercise of options (in shares) | 2,021 | 2,021 | ||||
Issuance of common stock upon the exercise of options | $ 5,754 | 5,754 | ||||
Vesting of early exercised stock options | 692 | 692 | ||||
Repurchases of common stock (in shares) | (1) | |||||
Issuance of common stock upon the vesting and settlement of restricted stock units, net of shares withheld for taxes (in shares) | 3,982 | |||||
Issuance of common stock for employee share purchase plan (in shares) | 720 | |||||
Issuance of common stock for employee share purchase plan | 17,116 | 17,116 | ||||
Conversion of redeemable convertible preferred stock to common stock in connection with direct listing and issuance of common stock upon conversion of convertible notes-related party (in shares) | 19,273 | |||||
Conversion of redeemable convertible preferred stock to common stock in connection with direct listing and issuance of common stock upon conversion of convertible notes-related party | 347,289 | 347,289 | ||||
Stock-based compensation expense | 189,898 | 189,898 | ||||
Net unrealized gains (losses) on marketable securities | 62 | 62 | ||||
Foreign currency translation adjustments | (309) | (309) | ||||
Net loss | $ (407,768) | (407,768) | ||||
Ending balance (in shares) at Jan. 31, 2023 | 214,293 | 214,293 | ||||
Ending balance at Jan. 31, 2023 | $ 356,574 | $ 2 | $ 1,595,001 | $ (873) | $ (1,237,556) | |
Temporary equity, ending balance (in shares) at Jan. 31, 2023 | 0 | |||||
Temporary equity, ending balance at Jan. 31, 2023 | $ 0 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |||||
Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2021 | ||||
Cash flows from operating activities | ||||||
Net loss | $ (407,768) | $ (288,342) | $ (211,710) | |||
Adjustments to reconcile net loss to net cash used in operating activities: | ||||||
Allowance for doubtful accounts | 1,918 | 2,257 | 924 | |||
Depreciation and amortization | 12,669 | 8,464 | 3,486 | |||
Amortization of deferred contract acquisition costs | 15,098 | 8,647 | 4,079 | |||
Stock-based compensation expense | 188,962 | 104,527 | 34,225 | |||
Net amortization of premium on marketable securities | 62 | 784 | 406 | |||
Non-cash lease expense | 15,595 | 16,589 | 16,389 | |||
Amortization of discount on convertible notes and term loan issuance costs | 41 | 10,645 | 22,369 | |||
Non-cash interest expense | 0 | 6,670 | 13,681 | |||
Changes in operating assets and liabilities: | ||||||
Accounts receivable | (25,179) | (26,993) | (20,458) | |||
Prepaid expenses and other current assets | (24,042) | (23,652) | (17,184) | |||
Other assets | (4,108) | (10,724) | (3,402) | |||
Accounts payable | (4,391) | 7,259 | (2,877) | |||
Accrued expenses and other liabilities | 25,539 | 23,682 | 18,123 | |||
Deferred revenue | 59,375 | 68,339 | 41,779 | |||
Operating lease liabilities | (13,829) | 8,063 | 7,300 | |||
Net cash used in operating activities | (160,058) | (83,785) | (92,870) | |||
Cash flows from investing activities | ||||||
Purchases of marketable securities | (72,216) | (62,394) | (191,576) | |||
Sales of marketable securities | 0 | 373 | 37,103 | |||
Maturities of marketable securities | 143,865 | 132,301 | 53,842 | |||
Purchases of property and equipment | (5,351) | (41,587) | (57,344) | |||
Capitalized internal-use software costs | (1,806) | (1,132) | (962) | |||
Net cash provided by (used in) investing activities | 64,492 | 27,561 | (158,937) | |||
Cash flows from financing activities | ||||||
Proceeds from term loan, net of issuance costs | 49,555 | 9,000 | 30,915 | |||
Repayment of term loan | (38,333) | (1,667) | 0 | |||
Proceeds from private placement — related party, net of offering costs | 347,289 | 0 | 0 | |||
Proceeds from issuance of convertible notes — related party | 0 | 0 | 150,000 | |||
Taxes paid related to net share settlement of equity awards | 0 | 0 | (378) | |||
Repurchases of common stock | (9) | (40) | (33) | |||
Proceeds from exercise of stock options | 5,773 | 16,567 | 20,501 | |||
Proceeds from employee stock purchase plan | 17,116 | 13,350 | 0 | |||
Net cash provided by financing activities | 381,391 | 37,210 | 201,005 | |||
Effect of foreign exchange rates on cash and cash equivalents | 335 | (461) | 3 | |||
Net increase (decrease) in cash and cash equivalents | 286,160 | (19,475) | (50,799) | |||
Cash and cash equivalents | ||||||
Beginning of period | [1] | 240,403 | 259,878 | 310,677 | ||
End of period | 526,563 | 240,403 | [1] | 259,878 | [1] | |
Supplemental cash flow data | ||||||
Cash paid for income taxes | 4,325 | 1,463 | 275 | |||
Cash paid for interest | 1,657 | 833 | 80 | |||
Supplemental non-cash investing and financing information | ||||||
Purchase of property and equipment in accounts payable and accrued liabilities | 598 | 571 | 10,094 | |||
Vesting of early exercised stock options | 692 | 2,350 | 3,443 | |||
Issuance of common stock upon conversion of convertible notes — related party | 0 | $ 368,459 | $ 0 | |||
Restricted cash | $ 4,700 | |||||
[1]The beginning of period cash and cash equivalents balance for fiscal 2021 includes $4.7 million of restricted cash, but as of January 31, 2021 all restrictions of the cash balances had expired and the amounts were no longer restricted. |
Organization
Organization | 12 Months Ended |
Jan. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization | Organization Organization and Description of Business Asana, Inc. (“Asana” or the “Company”) was incorporated in the state of Delaware on December 16, 2008. Asana is a work management platform that helps organizations orchestrate work, from daily tasks to cross-functional strategic initiatives. The Company is headquartered in San Francisco, California. |
Basis of Presentation and Summa
Basis of Presentation and Summary of Significant Accounting Policies | 12 Months Ended |
Jan. 31, 2023 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Summary of Significant Accounting Policies | Basis of Presentation and Summary of Significant Accounting Policies Principles of Consolidation The accompanying consolidated financial statements have been prepared in conformity with generally accepted accounting principles in the United States of America (“GAAP”) and include the accounts of the Company’s wholly-owned subsidiaries. All intercompany transactions and balances have been eliminated on consolidation. Fiscal Year The Company’s fiscal year ends on January 31. For example, references to fiscal 2023, 2022, and 2021 refer to the fiscal year ended January 31, 2023, January 31, 2022, and January 31, 2021, respectively. Reclassification of Class A and Class B Common Stock On March 23, 2020, the Company amended and restated its certificate of incorporation to effect a reclassification of the Company’s Class A common stock to Class B common stock, and vice versa. There were no changes to the rights, preferences, and privileges of each class of common stock at this time. All references to Class A common stock have been recast to Class B common stock, and all references to Class B common stock have been recast to Class A common stock, in these consolidated financial statements to give retrospective effect to the reclassification for all periods presented. Direct Listing On September 30, 2020, the Company completed a direct listing of its Class A common stock (the “Direct Listing”) on the NYSE. The Company incurred fees related to financial advisory service, audit, and legal expenses in connection with the Direct Listing and recorded general and administrative expenses of $18.0 million for the year ended January 31, 2021. Prior to the Direct Listing, all 73,577,455 outstanding shares of redeemable convertible preferred stock were converted into an equivalent number of shares of Class B common stock. Use of Estimates The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported and disclosed in the consolidated financial statements and accompanying notes. Estimates and assumptions reflected in the consolidated financial statements include, but are not limited to, revenue recognition, the useful lives and carrying values of long-lived assets, the fair value of the Convertible Notes (as defined in N ote 6. Convertible Notes—Related Party ), the fair value of common stock for periods prior to the Direct Listing, stock-based compensation expense, the period of benefit for deferred contract acquisition costs, and income taxes. Actual results could differ from those estimates. Risks and Uncertainties The Company continues to monitor and respond to evolving developments regarding the COVID-19 pandemic, which has significantly impacted the global economy. While the Company has re-opened its offices globally to employees and shifted to an office-centric hybrid work model, in-office collaboration is voluntary in times of increased community spread, and could therefore be further disrupted should the severity of the pandemic worsen. Should the pandemic worsen, the Company’s operations and the operations of its partners or customers may be further affected by the pandemic. Additionally, other recent macroeconomic events including elevated inflation, the U.S. Federal Reserve raising interest rates, bank failures, supply chain disruptions, fluctuations in currency exchange rates, and the Russian invasion of Ukraine, have led to further economic uncertainty in the global economy. These macroeconomic conditions have and are likely to continue to have adverse effects on the rate of global IT spending, including the buying patterns of the Company’s customers and prospective customers. The conditions caused by the COVID-19 pandemic and the other aforementioned recent macroeconomic events could affect the rate of global IT spending and could adversely affect demand for the Company’s platform, lengthen the Company’s sales cycles, reduce the value or duration of subscriptions, negatively impact collections of accounts receivable, reduce expected spending from new customers, cause some of the Company’s paying customers to go out of business, limit the ability of the Company’s direct sales force to travel to customers and potential customers, and affect contraction or attrition rates of the Company’s customers, all of which could adversely affect the Company’s business, results of operations, and financial condition. As of the date of issuance of the financial statements, the Company is not aware of any specific event or circumstance related to COVID-19 or the other aforementioned macroeconomic events that would require it to update its estimates or judgments or adjust the carrying value of its assets or liabilities. Actual results could differ from those estimates and any such differences may be material to the consolidated financial statements. Revenue Recognition The Company derives its revenues from subscription fees earned from customers accessing the platform. The Company’s policy is to exclude sales and other indirect taxes when measuring the transaction price of its subscription agreements. The Company accounts for revenue contracts with customers by applying the requirements of ASC 606, Revenue from Contracts with Customers , which includes the following steps: • identification of the contract, or contracts, with the customer; • identification of the performance obligations in the contract; • determination of the transaction price; • allocation of the transaction price to the performance obligations in the contract; and • recognition of the revenues when, or as, the Company satisfies a performance obligation. The Company’s subscription agreements generally have monthly or annual contractual terms and are billed in advance. Revenues are recognized ratably over the related contractual term beginning on the date that the platform is made available to a customer. The Company recognizes revenues ratably because the customer receives and consumes the benefits of the platform throughout the contractual period. Access to the platform represents a series of distinct services that comprise a single performance obligation that is satisfied over time. The Company’s contracts are generally non-cancelable and non-refundable in the event of cancellations. Research and Development Research and development expenses consist primarily of personnel-related expenses such as salaries and related benefits for the Company’s product development employees. Also included are non-personnel costs such as product design costs, third-party services and consulting expenses, depreciation expense related to equipment used in research and development activities, and allocation of the Company’s general overhead expenses. Advertising Expenses Advertising expenses are charged to sales and marketing expense in the consolidated statements of operations as incurred. Advertising expenses were $118.1 million, $87.4 million, and $68.0 million for the years ended January 31, 2023, 2022, and 2021, respectively. Stock‑Based Compensation Expense The Company records stock-based compensation expense for all stock-based awards, including stock options, purchase rights issued under the 2020 Employee Stock Purchase Plan, and restricted stock units, made to employees, non-employees, and directors based on estimated fair values recognized over the requisite service period. The fair value of stock options granted and purchase rights issued under the ESPP for purposes of calculating stock-based compensation expense is estimated on the grant date using the Black-Scholes pricing model. The Black-Scholes pricing model requires the Company to make assumptions and judgments about the inputs used in the calculation, including the expected term (weighted-average period of time that the options granted are expected to be outstanding), the volatility of the Company’s common stock, risk-free interest rate, and expected dividend yield. The expected term represents the period that the Company’s stock-based awards are expected to be outstanding. The expected term assumptions are determined based on the vesting terms, exercise terms, and contractual lives of the options. The volatility is based on an average of the historical volatilities of the common stock of comparable public companies with characteristics similar to those of the Company. The risk-free rate is based on the U.S. Treasury yield curve in effect at the time of grant for periods corresponding with the expected life of the option. The Company’s expected dividend yield input is zero as it has not historically paid, nor does it expect in the future to pay, cash dividends on its common stock. Stock-based compensation expense for RSUs is measured based on the fair value of the underlying shares on the date of grant. Stock-based compensation expense is recognized as expense over the requisite service period, which is generally the vesting period of the respective award. The Company uses the straight-line method for expense attribution. The Company accounts for forfeitures as they occur. Foreign Currency Translation and Transactions The functional currency of each of the Company’s wholly owned subsidiaries is the applicable local currency or the U.S. dollar. The translation of foreign currencies into U.S. dollars is performed for assets and liabilities using current foreign currency exchange rates in effect at the balance sheet date and for revenues and expense accounts using average foreign currency exchange rates during the period. Capital accounts are translated at historical foreign currency exchange rates. Translation gains and losses are included in stockholders’ equity (deficit) as a component of accumulated other comprehensive income (loss). Adjustments that arise from foreign currency exchange rate changes on transactions denominated in a currency other than the functional currency are included in other income (expense), net on the consolidated statements of operations and were not material for the years ended January 31, 2023, 2022, and 2021. Segment Information The Company’s chief operating decision-maker is its Chief Executive Officer (“CEO”), who reviews financial information presented on a consolidated basis for purposes of making operating decisions, assessing financial performance, and allocating resources. The Company manages its operations and allocates resources as a single operating segment. For information regarding the Company’s revenues and long-lived assets by geographic area, see Note 15. Geographic Information . Cash and Cash Equivalents The Company considers all highly liquid investments with original maturities at the date of purchase of three months or less to be cash equivalents. Cash and cash equivalents are stated at cost, which approximates fair value. Cash and cash equivalents as reported in the Company’s consolidated statements of cash flows includes the aggregate amounts of cash and cash equivalents as shown on the consolidated balance sheets. Marketable Securities and Investments Marketable securities are partially comprised of U.S. government securities, commercial paper, and corporate bonds with an original contractual maturity or a remaining maturity at the time of purchase of greater than three months and no more than 37 months. Marketable securities with a remaining maturity at the time of purchase in excess of 12 months are presented as investments, non-current on the consolidated balance sheets. These marketable securities are classified as available-for-sale securities and are carried at fair value with unrealized gains and losses reported in accumulated other comprehensive income (loss) as a separate component of stockholders’ equity (deficit). Interest receivable on these securities is presented in prepaid expenses and other current assets on the consolidated balance sheets. Realized gains and losses, other-than-temporary impairments (prior to the Company’s adoption of ASU No. 2016-13 on February 1, 2021), and the recognition of expected credit losses (subsequent to the Company’s adoption of ASU No. 2016-13 on February 1, 2021), if any, on available-for-sale securities are recognized upon sale and are included in other income (expense), net in the consolidated statements of operations. The cost of securities sold is based on the specific identification method. Marketable securities are reviewed periodically to identify possible other-than-temporary impairments or expected credit losses. No impairment or credit loss has been recorded on the Company’s marketable securities during the years ended January 31, 2023, 2022, or 2021. Accounts Receivable Accounts receivable are stated at realizable value, net of allowance for doubtful accounts. The allowance for doubtful accounts is based on the Company’s assessment of the collectability of its accounts receivable, which considers the Company’s historical write-offs of uncollectible accounts, an analysis of the aging of outstanding accounts receivable, specific customers with known adverse financial conditions, and considers other relevant factors, including contractual terms and current and future economic conditions. The Company also considers current market conditions and current and future economic conditions in reviewing the adequacy of the allowance. The Company reassesses the adequacy of the allowance for credit losses each reporting period. The Company’s allowance for doubtful accounts was $2.3 million and $2.0 million as of January 31, 2023 and 2022, respectively. Concentration of Credit Risk Financial instruments that potentially subject the Company to a concentration of credit risk consist of cash, cash equivalents, and marketable securities. The Company deposits its cash and cash equivalents with financial institutions that management believes are of high credit quality, although such deposits may, at times, exceed federally insured limits. The Company has not experienced any losses on its deposits of cash and cash equivalents to date. Cash equivalents are invested in highly rated money market funds. The Company grants credit to customers in the normal course of business. For the years ended January 31, 2023, 2022, and 2021, there were no individual customers that accounted for 10% or more of the Company’s revenues. The Company had no customers that accounted for 10% or more of accounts receivable at January 31, 2023 and 2022. Fair Value of Financial Instruments Fair value is defined as the exit price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the reporting date. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. Fair value is estimated by utilizing a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value as follows: Level 1 Observable inputs comprised of quoted prices for identical assets or liabilities in active markets. Level 2 Inputs other than the quoted prices in active markets that are observable either directly or indirectly. Level 3 Unobservable inputs in which there is little or no market data and that are significant to the fair value of the assets or liabilities. In determining fair value, a financial instrument’s classification within the three-tier fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. The Company utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible, as well as considers counterparty credit risk in its assessment of fair value. The carrying amount of certain financial instruments, including cash, accounts receivable, accounts payable, and accrued liabilities approximates their fair values due to their short-term nature. Lease Obligations The Company determines if an arrangement is a lease at inception by determining if the contract conveys the right to control the issue of an identified asset for a period of time in exchange for consideration and other facts and circumstances. Right-of-use assets and lease liabilities are recognized at commencement date based on the present value of remaining lease payments over the lease term. For this purpose, the Company considers only payments that are fixed and determinable at the time of commencement. As the Company’s leases do not provide an implicit rate, the Company uses the incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. The incremental borrowing rate is a hypothetical rate based on the Company’s understanding of what its credit rating would be. The ROU assets also include any lease payments made prior to commencement and are recorded net of any lease incentives received. The lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise such options. The lease agreements may contain variable costs such as common area maintenance, insurance, real estate taxes or other costs. Variable lease costs are expensed as incurred on the consolidated statements of operations. The Company’s lease agreements generally do not contain any residual value guarantees, restrictions, or covenants. The Company has lease agreements with lease and non-lease components. The Company elects to combine lease and non-lease components as a single lease component for all classes of underlying assets. The Company elects to not record leases with an initial term of 12 months or less on the balance sheet and the associated lease payments are recognized in the consolidated statements of operations on a straight-line basis over the lease term. Operating leases are included in operating lease ROU assets, operating lease liabilities, current, and operating lease liabilities, noncurrent on the consolidated balance sheets. Property and Equipment, Net The Company records its property and equipment at cost. Depreciation is computed on the straight-line method over the estimated useful lives of two Asset Type Life (Years) Desktop and other computer equipment 2-3 Furniture and fixtures 5 Leasehold improvements Shorter of lease term or estimated useful life Capitalized internal-use software 3 Capitalized Internal-Use Software The Company capitalizes certain internal software development costs, consisting primarily of direct labor associated with creating the internally developed software. Capitalized costs are amortized using the straight-line method over the estimated useful life of the software once it is ready for its intended use. The Company believes the straight-line recognition method best approximates the manner in which the expected benefit will be derived. Impairment of Long-Lived Assets The Company evaluates its long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of such asset groups may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset group to future undiscounted net cash flows expected to be generated by the asset group. If such assets are considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. Assets to be disposed of are reported at the lower of the carrying amount or fair value less costs to sell. No impairment losses were recorded during the years ended January 31, 2023, 2022, and 2021. Income Taxes The Company accounts for income taxes under the asset and liability method, which requires that deferred income taxes be provided for temporary differences between the tax basis of the Company’s assets and liabilities and their financial statement reported amounts. In addition, deferred tax assets are recorded for the future benefit of utilizing net operating loss carryforwards and research and development credit carryforwards. A valuation allowance is provided against deferred tax assets unless it is more likely than not that they will be realized. If there is significant negative evidence that the near-term realization of certain assets are deemed unlikely, the Company would record a valuation allowance against the deferred tax assets. The Company regularly assesses the continuing need for a valuation allowance against its deferred tax assets. Significant judgment is required to determine whether a valuation allowance continues to be necessary and the amount of such valuation allowance, if appropriate. The Company considers all available evidence, both positive and negative, to determine, based on the weight of available evidence, whether it is more likely than not that some or all of the deferred tax assets will not be realized. In evaluating the continued need for a valuation allowance, the Company considers, among other things, the nature, frequency, and severity of current and cumulative losses, forecasts of future profitability, and the duration of statutory carryforward periods. The Company performs a comprehensive review of potential uncertain tax positions in each jurisdiction in which the Company operates. The Company accounts for uncertain tax positions in accordance with ASC 740, Income Taxes . ASC 740 prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax provision that an entity takes or expects to take in a tax return. Net Loss Per Share Basic and diluted net loss per share attributable to common stockholders is presented in conformity with the two-class method required for participating securities. All series of the Company’s redeemable convertible preferred stock and early exercised stock options are considered to be participating securities because all holders are entitled to receive a non-cumulative dividend on a pari passu basis in the event that a dividend is paid on the common stock. The holders of the redeemable convertible preferred stock do not have a contractual obligation to share in the Company’s losses. As such, the Company’s net losses for the years ended January 31, 2023, 2022, and 2021 were not allocated to these participating securities. The rights, including the liquidation and dividend rights, of the holders of Class A and Class B common stock are identical, except with respect to voting. As the liquidation and dividend rights are identical, the undistributed earnings are allocated on a proportionate basis and the resulting net loss per share attributed to common stockholders will, therefore, be the same for both Class A and Class B common stock on an individual or combined basis. Under the two-class method, basic net loss per share attributable to common stockholders is computed by dividing the net loss attributable to common stockholders by the weighted-average number of shares of common stock outstanding during the period. Diluted earnings per share attributable to common stockholders adjusts basic earnings per share for the potentially dilutive impact of redeemable convertible preferred stock warrants, stock options, RSUs, and redeemable convertible preferred stock. As the Company has reported losses for all periods presented, all potentially dilutive securities are anti-dilutive, and accordingly, basic net loss per share equaled diluted net loss per share. Reclassifications The Company reclassified $4.1 million of deferred revenue, noncurrent from other liabilities, noncurrent for the comparative consolidated balance sheets as of January 31, 2022 to conform to the current year presentation. Recently Issued Accounting Pronouncements Not Yet Adopted In October 2021, the FASB issued ASU No. 2021-08 , Business Combinations - Accounting for Contract Liabilities from Contracts with Customers, which requires an acquirer in a business combination to recognize and measure contract assets and contract liabilities from acquired contracts using the revenue recognition guidance under Accounting Standards Codification Topic 606 in order to align the recognition of a contract liability with the definition of a performance obligation. The guidance is effective for the Company’s fiscal years beginning after February 1, 2023. The Company is currently evaluating the impact of adopting ASU 2021-08. Recently Adopted Accounting Pronouncements On February 1, 2022, the Company adopted ASU No. 2020-06, Accounting for Convertible Instruments and Contracts in an Entity's Own Equity , which simplifies the accounting for certain convertible instruments, amends the guidance on derivative scope exceptions for contracts in an entity's own equity, and modifies the guidance on diluted earnings per share calculations as a result of these changes. The adoption of the guidance did not have an impact on the Company’s consolidated financial statements. On February 1, 2021, the Company adopted ASU No. 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments , which requires the measurement and recognition of expected credit losses for financial assets held at amortized cost, including accounts receivables. It also eliminates the concept of other-than-temporary impairment and requires credit losses related to available-for-sale debt securities to be recorded through an allowance for credit losses rather than as a reduction in the amortized cost basis of the securities. These changes will result in more timely recognition of credit losses. The adoption of the guidance did not have a material impact on the Company’s consolidated financial statements. On February 1, 2021, the Company adopted ASU No. 2018-15 , Intangibles-Goodwill and Other-Internal-Use Software (Subtopic 350-40), Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract. The amendments in ASU No. 2018-15 amend the definition of a hosting arrangement and requires a customer in a hosting arrangement that is a service contract to capitalize certain costs as if the arrangement were an internal-use software project. The Company adopted ASU No. 2018-15 as of February 1, 2021 using a prospective transition approach. The adoption of the guidance did not have a material impact on the Company’s consolidated financial statements. |
Revenue
Revenue | 12 Months Ended |
Jan. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | Revenue Deferred Revenue and Remaining Performance Obligations The Company recognized $170.1 million and $103.9 million of revenues during the years ended January 31, 2023 and 2022, respectively, that were included in the deferred revenue balance at the beginning of the respective period. Deferred revenue that will be recognized within the next twelve months is recorded as current deferred revenue, and the remaining portion is recorded as noncurrent. As of January 31, 2023, the Company's remaining performance obligations from subscription contracts were $299.2 million, of which the Company expects to recognize approximately 84% as revenues over the next 12 months and the remainder thereafter. Deferred Contract Acquisition Costs Deferred contract acquisition costs represent gross deferred contract acquisition costs less accumulated amortization. Sales commissions earned by the Company’s sales force, as well as related payroll taxes, are considered to be incremental and recoverable costs of obtaining a contract with a customer. As a result, these amounts have been capitalized as deferred contract acquisition costs within prepaid and other current assets and other assets on the consolidated balance sheets. Deferred contract acquisition costs are amortized over a period of benefit of three years. The period of benefit was estimated by considering factors such as historical customer attrition rates, the useful life of the Company’s technology, and the impact of competition in the software-as-a-service industry. The following table summarizes the activity of deferred contract acquisition costs (in thousands): Year Ended January 31, 2023 2022 Beginning balance $ 22,771 $ 12,093 Capitalization of contract acquisition costs 28,910 19,325 Amortization of deferred contract acquisition costs (15,098) (8,647) Ending balance $ 36,583 $ 22,771 Deferred contract acquisition costs, current $ 18,049 $ 10,797 Deferred contract acquisition costs, noncurrent 18,534 11,974 Total deferred contract acquisition costs $ 36,583 $ 22,771 Deferred contract acquisition costs, current is presented within prepaid expenses and other current assets in the consolidated balance sheets. Deferred contract acquisition costs, noncurrent is presented within other assets in the consolidated balance sheets. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Jan. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements The following table summarizes, for assets and liabilities measured at fair value, the respective fair value and classification by level of input within the fair value hierarchy (in thousands): As of January 31, 2023 Level 1 Level 2 Level 3 Total Current Assets Cash equivalents Money market funds $ 289,001 $ — $ — $ 289,001 Total cash equivalents $ 289,001 $ — $ — $ 289,001 Marketable securities Commercial paper $ — $ — $ — $ — Corporate bonds — 2,739 — 2,739 Total marketable securities $ — $ 2,739 $ — $ 2,739 Non-current Assets Corporate bonds $ — $ — $ — $ — Total assets $ 289,001 $ 2,739 $ — $ 291,740 As of January 31, 2022 Level 1 Level 2 Level 3 Total Current Assets Cash equivalents Money market funds $ 176,855 $ — $ — $ 176,855 Total cash equivalents $ 176,855 $ — $ — $ 176,855 Marketable securities Commercial paper $ — $ 44,943 $ — $ 44,943 Corporate bonds — 26,685 — 26,685 Total marketable securities $ — $ 71,628 $ — $ 71,628 Non-current Assets Corporate bonds $ — $ 2,760 $ — $ 2,760 Total assets $ 176,855 $ 74,388 $ — $ 251,243 There were no transfers of financial assets or liabilities into or out of Level 3 during the years ended January 31, 2023 and 2022. The following table summarizes the Company's investments in marketable securities on the consolidated balance sheets (in thousands): As of January 31, 2023 Amortized Gross Gross Estimated Current Assets Commercial paper $ — $ — $ — $ — Corporate bonds 2,744 — (5) 2,739 Total marketable securities $ 2,744 $ — $ (5) $ 2,739 Non-current Assets Corporate bonds $ — $ — $ — $ — Total assets $ 2,744 $ — $ (5) $ 2,739 As of January 31, 2022 Amortized Gross Gross Estimated Current Assets Commercial paper $ 44,951 $ — $ (8) $ 44,943 Corporate bonds 26,730 3 (48) 26,685 Total marketable securities $ 71,681 $ 3 $ (56) $ 71,628 Non-current Assets Corporate bonds $ 2,774 $ — $ (14) $ 2,760 Total assets $ 74,455 $ 3 $ (70) $ 74,388 The Company periodically evaluates its investments for expected credit losses. The unrealized losses on the available-for-sale securities were primarily due to unfavorable changes in interest rates subsequent to the initial purchase of these securities. Gross unrealized losses of the Company’s available-for-sale securities that have been in a continuous unrealized loss position for twelve months or longer were immaterial as of January 31, 2023 and January 31, 2022. The Company expects to recover the full carrying value of its available-for-sale securities in an unrealized loss position as it does not intend or anticipate a need to sell these securities prior to recovering the associated unrealized losses. The Company also expects any credit losses would be immaterial based on the high-grade credit rating for each of such available-for-sale securities. As a result, the Company does not consider any portion of the unrealized losses as of January 31, 2023 or January 31, 2022 to represent credit losses. In April 2020 and November 2022, the Company entered into credit agreements (the “April 2020 Senior Secured Term Loan” and “November 2022 Senior Secured Credit Facility” as defined in Note 7. Debt ) with Silicon Valley Bank (“SVB”). The fair values of the credit facilities approximated their carrying values as of January 31, 2023 and January 31, 2022. As noted in Liquidity and Capital Resources , substantially all third party contracts previously entered into by SVB have been transferred to Silicon Valley Bridge Bank, National Association (“SVBBNA”), inclusive of our credit agreement with SVB, and SVBBNA has assumed all obligations of SVB under those contracts. In January 2020 and June 2020, the Company issued Convertible Notes (as defined in N ote 6. Convertible Notes—Related Party ) to a trust affiliated with the Company’s CEO. The fair value of the Convertible Notes at issuance on January 30, 2020 and June 26, 2020 was $203.0 million and $112.0 million, respectively. The Company considers the fair values of the Convertible Notes to be a Level 3 measurement as the fair value is estimated using significant unobservable inputs. The fair value of the Convertible Notes was measured using a binomial lattice model. Inputs used to determine the estimated fair value of the convertible notes include the equity volatility of comparable companies, the risk-free interest rate, and the estimated fair value of the Company’s common stock. On July 1, 2021, pursuant to the terms of the Convertible Notes, upon meeting the closing trading price criteria for optional conversion by the Company, the Company elected to convert the Convertible Notes into the Company’s Class B common stock. Refer to N ote 6. Convertible Notes—Related Party for additional information. |
Balance Sheet Components
Balance Sheet Components | 12 Months Ended |
Jan. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Balance Sheet Components | Balance Sheet Components Property and Equipment, Net Property and equipment, net, consisted of the following (in thousands): As of January 31, 2023 2022 Leasehold improvements $ 98,264 $ 94,458 Capitalized internal-use software 15,005 12,249 Furniture and fixtures 10,325 8,788 Desktop and other computer equipment 1,804 2,217 Construction in progress 652 1,327 Total gross property and equipment 126,050 119,039 Less: Accumulated depreciation and amortization (31,066) (19,407) Total property and equipment, net $ 94,984 $ 99,632 Depreciation and amortization expense for the years ended January 31, 2023, 2022, and 2021 was $12.7 million, $8.5 million, and $3.5 million, respectively. The changes in the carrying value of capitalized internal-use software costs for the periods presented below are as follows (in thousands): Amount Balance as of February 1, 2021 $ 1,356 Capitalization of internal-use software costs 1,750 Amortization of internal-use software costs (753) Balance as of January 31, 2022 $ 2,353 Capitalization of internal-use software costs 2,756 Amortization of internal-use software costs (1,074) Balance as of January 31, 2023 $ 4,035 Prepaid Expenses and Other Current Assets Prepaid expenses and other current assets consisted of the following (in thousands): As of January 31, 2023 2022 Prepaid expenses $ 25,134 $ 22,970 Deferred contract acquisition costs, current 18,049 10,797 Other current assets 5,543 6,511 Total prepaid expenses and other current assets $ 48,726 $ 40,278 Accrued Expenses and Other Current Liabilities Accrued expenses and other current liabilities consisted of the following (in thousands): As of January 31, 2023 2022 Accrued payroll liabilities $ 22,336 $ 16,906 Accrued sales and value-added taxes 13,347 7,219 Accrued advertising expenses 10,565 9,359 Accrued taxes for fringe benefits 8,064 3,953 Accrued consulting expenses 4,076 4,303 Accrued property and equipment 409 465 Other liabilities 24,691 18,710 Total accrued expenses and other current liabilities $ 83,488 $ 60,915 |
Convertible Notes_Related Party
Convertible Notes—Related Party | 12 Months Ended |
Jan. 31, 2023 | |
Related Party Transactions [Abstract] | |
Convertible Notes - Related Party | Convertible Notes—Related Party The Company previously issued two 3.5% unsecured senior mandatory convertible promissory notes in January 2020 (“January 2020 Convertible Note”) and June 2020 (“June 2020 Convertible Note”) (collectively, the “Convertible Notes”) in principal amounts of $300.0 million and $150.0 million, respectively. The Convertible Notes were not transferable except to affiliates, contained no financial or restrictive covenants, and were expressly subordinated in right of payment to any of the Company’s existing or future secured indebtedness. On July 1, 2021, upon meeting the closing trading price criteria for optional conversion by the Company (based on the Company’s Class A common stock closing trading price during the last 30 trading days of the previous calendar quarter as stated in the original terms of the Convertible Notes), the Company elected to convert both of the Convertible Notes into an aggregate of 17,012,822 shares of the Company’s Class B common stock pursuant to the original terms of the embedded, substantive conversion features in the Convertible Notes. The Company accounted for the conversion by adjusting its additional paid-in capital for the net carrying amount of the Convertible Notes as of July 1, 2021 of $368.5 million (including accrued interest of $20.4 million and the unamortized debt discount of $101.9 million). Interest expense related to the Convertible Notes recorded prior to the conversion was as follows (in thousands): Year Ended January 31, 2023 2022 2021 Amortization of debt discount $ — $ 10,628 $ 22,357 Contractual interest expense — 6,670 13,681 Total interest expense $ — $ 17,298 $ 36,038 In April 2020, the Company entered into a five-year $40.0 million term loan agreement with SVB (the “April 2020 Senior Secured Term Loan”) which provided for a senior secured term loan facility, in an aggregate principal amount of up to $40.0 million to be used for the construction of the Company’s corporate headquarters. Interest accrued and was payable monthly based on a floating rate per annum equal to the prime rate (per the Wall Street Journal) plus an applicable margin ranging from 0% to (1.0)% based on the Company’s unrestricted cash balance at the lender. The April 2020 Senior Secured Term Loan was repaid in full and terminated in November 2022. In November 2022, the Company entered into an agreement for a four-year credit facility (the “November 2022 Senior Secured Credit Facility”) with SVB, which refinanced the April 2020 Senior Secured Term Loan. The November 2022 Senior Secured Credit Facility provides for senior secured credit facilities in the aggregate principal amount of $150 million, including a senior secured term loan facility in an aggregate principal amount of $50.0 million and a revolving loan facility in an aggregate principal amount of up to $100.0 million, including a $30.0 million letter of credit sub-facility, maturing on November 7, 2026. As noted in Liquidity and Capital Resources , substantially all third party contracts previously entered into by SVB have since been transferred to SVBBNA, inclusive of our credit agreement with SVB, and SVBBNA has assumed all obligations of SVB under those contracts. Borrowings under the November 2022 Senior Secured Credit Facility may be designated as ABR Loans or SOFR Loans, subject to certain terms and conditions under the Credit Agreement. ABR Loans accrue interest at a rate per annum equal to the ABR plus an applicable margin of 1.25%. Term SOFR Loans accrue interest at a rate per annum equal to the applicable adjusted term SOFR rate, which is equal to the applicable term SOFR rate plus a term SOFR adjustment of 10 basis points, provided such adjusted term SOFR rate shall not be less than zero, plus an applicable margin of 2.25%. Interest accrues and is payable on a monthly basis. The Credit Agreement contains customary conditions to borrowing, events of default, and covenants, including covenants that restrict the Company’s ability to incur indebtedness, make or hold investments, execute certain change of control transactions, business combinations or other fundamental changes to the business, dispose of assets, make certain types of restricted payments or enter into certain related party transactions, subject to customary exceptions. In addition, the Credit Agreement contains financial covenants, including a consolidated adjusted quick ratio of 1.25 to 1.00, as well as a minimum cash adjusted EBITDA, each tested on a quarterly basis. Pursuant to the terms of the Credit Agreement, the Company may issue letters of credit which may reduce the total amount available for borrowing under the revolving credit facility. Additionally, the Company is required to pay an annual commitment fee that accrues at a rate of 0.15% per annum on the unused portion of the borrowing commitments under the revolving credit facility. The Company had an aggregate of $23.6 million of letters of credit outstanding under the revolving credit facility as of January 31, 2023, and the Company’s total available borrowing capacity under the revolving credit facility was $76.4 million as of January 31, 2023. As of January 31, 2023, $50.0 million was drawn and outstanding under the November 2022 Senior Secured Credit Facility. As of January 31, 2023, the Company was in compliance with all financial covenants. In conjunction with the close of the November 2022 Senior Secured Credit Facility, the Company paid upfront issuance fees of $0.4 million. The upfront fees are amortized over the remaining term of the agreement. Upfront issuance fees allocated to the revolving credit facility of $0.3 million are presented in the Company’s consolidated balance sheet within other assets. The net carrying amounts of the credit facilities were as follows (in thousands): As of January 31, 2023 2022 Principal $ 50,000 $ 38,333 Accrued interest 218 74 Unamortized loan issuance costs (179) (54) Net carrying amount $ 50,039 $ 38,353 Credit facilities, current $ 3,343 $ 3,741 Credit facilities, noncurrent $ 46,696 $ 34,612 |
Debt
Debt | 12 Months Ended |
Jan. 31, 2023 | |
Debt Disclosure [Abstract] | |
Debt | Convertible Notes—Related Party The Company previously issued two 3.5% unsecured senior mandatory convertible promissory notes in January 2020 (“January 2020 Convertible Note”) and June 2020 (“June 2020 Convertible Note”) (collectively, the “Convertible Notes”) in principal amounts of $300.0 million and $150.0 million, respectively. The Convertible Notes were not transferable except to affiliates, contained no financial or restrictive covenants, and were expressly subordinated in right of payment to any of the Company’s existing or future secured indebtedness. On July 1, 2021, upon meeting the closing trading price criteria for optional conversion by the Company (based on the Company’s Class A common stock closing trading price during the last 30 trading days of the previous calendar quarter as stated in the original terms of the Convertible Notes), the Company elected to convert both of the Convertible Notes into an aggregate of 17,012,822 shares of the Company’s Class B common stock pursuant to the original terms of the embedded, substantive conversion features in the Convertible Notes. The Company accounted for the conversion by adjusting its additional paid-in capital for the net carrying amount of the Convertible Notes as of July 1, 2021 of $368.5 million (including accrued interest of $20.4 million and the unamortized debt discount of $101.9 million). Interest expense related to the Convertible Notes recorded prior to the conversion was as follows (in thousands): Year Ended January 31, 2023 2022 2021 Amortization of debt discount $ — $ 10,628 $ 22,357 Contractual interest expense — 6,670 13,681 Total interest expense $ — $ 17,298 $ 36,038 In April 2020, the Company entered into a five-year $40.0 million term loan agreement with SVB (the “April 2020 Senior Secured Term Loan”) which provided for a senior secured term loan facility, in an aggregate principal amount of up to $40.0 million to be used for the construction of the Company’s corporate headquarters. Interest accrued and was payable monthly based on a floating rate per annum equal to the prime rate (per the Wall Street Journal) plus an applicable margin ranging from 0% to (1.0)% based on the Company’s unrestricted cash balance at the lender. The April 2020 Senior Secured Term Loan was repaid in full and terminated in November 2022. In November 2022, the Company entered into an agreement for a four-year credit facility (the “November 2022 Senior Secured Credit Facility”) with SVB, which refinanced the April 2020 Senior Secured Term Loan. The November 2022 Senior Secured Credit Facility provides for senior secured credit facilities in the aggregate principal amount of $150 million, including a senior secured term loan facility in an aggregate principal amount of $50.0 million and a revolving loan facility in an aggregate principal amount of up to $100.0 million, including a $30.0 million letter of credit sub-facility, maturing on November 7, 2026. As noted in Liquidity and Capital Resources , substantially all third party contracts previously entered into by SVB have since been transferred to SVBBNA, inclusive of our credit agreement with SVB, and SVBBNA has assumed all obligations of SVB under those contracts. Borrowings under the November 2022 Senior Secured Credit Facility may be designated as ABR Loans or SOFR Loans, subject to certain terms and conditions under the Credit Agreement. ABR Loans accrue interest at a rate per annum equal to the ABR plus an applicable margin of 1.25%. Term SOFR Loans accrue interest at a rate per annum equal to the applicable adjusted term SOFR rate, which is equal to the applicable term SOFR rate plus a term SOFR adjustment of 10 basis points, provided such adjusted term SOFR rate shall not be less than zero, plus an applicable margin of 2.25%. Interest accrues and is payable on a monthly basis. The Credit Agreement contains customary conditions to borrowing, events of default, and covenants, including covenants that restrict the Company’s ability to incur indebtedness, make or hold investments, execute certain change of control transactions, business combinations or other fundamental changes to the business, dispose of assets, make certain types of restricted payments or enter into certain related party transactions, subject to customary exceptions. In addition, the Credit Agreement contains financial covenants, including a consolidated adjusted quick ratio of 1.25 to 1.00, as well as a minimum cash adjusted EBITDA, each tested on a quarterly basis. Pursuant to the terms of the Credit Agreement, the Company may issue letters of credit which may reduce the total amount available for borrowing under the revolving credit facility. Additionally, the Company is required to pay an annual commitment fee that accrues at a rate of 0.15% per annum on the unused portion of the borrowing commitments under the revolving credit facility. The Company had an aggregate of $23.6 million of letters of credit outstanding under the revolving credit facility as of January 31, 2023, and the Company’s total available borrowing capacity under the revolving credit facility was $76.4 million as of January 31, 2023. As of January 31, 2023, $50.0 million was drawn and outstanding under the November 2022 Senior Secured Credit Facility. As of January 31, 2023, the Company was in compliance with all financial covenants. In conjunction with the close of the November 2022 Senior Secured Credit Facility, the Company paid upfront issuance fees of $0.4 million. The upfront fees are amortized over the remaining term of the agreement. Upfront issuance fees allocated to the revolving credit facility of $0.3 million are presented in the Company’s consolidated balance sheet within other assets. The net carrying amounts of the credit facilities were as follows (in thousands): As of January 31, 2023 2022 Principal $ 50,000 $ 38,333 Accrued interest 218 74 Unamortized loan issuance costs (179) (54) Net carrying amount $ 50,039 $ 38,353 Credit facilities, current $ 3,343 $ 3,741 Credit facilities, noncurrent $ 46,696 $ 34,612 |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Jan. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Standby Letters of Credit As of January 31, 2023 and 2022, the Company had several letters of credit outstanding related to its operating leases totaling $23.6 million and $20.2 million, respectively. The letters of credit expire at various dates between 2023 and 2034. Purchase Commitments In January 2021, the Company entered into a 60-month contract with Amazon Web Services for hosting-related services. Pursuant to the terms of the contract, the Company is required to spend a minimum of $103.5 million over the term of the agreement. The commitment may be offset by up to $7.3 million in additional credits subject to the Company meeting certain conditions of the agreement, of which $5.0 million have been earned as of January 31, 2023 and the remainder of which the Company has determined are probable to be earned. As of January 31, 2023, the Company ha d purchase commitments remaining of $64.3 million for hosting-related services and $16.7 million with various parties primarily for software-based services which are not reflected on the Company’s consolidated balance sheet. Indemnification Agreements The Company has entered into indemnification agreements with its directors and officers that may require the Company to indemnify its directors and officers against any liabilities that may arise by reason of their status or service as directors or officers, other than liabilities arising from willful misconduct of the individual. Additionally, in the ordinary course of business, the Company enters into agreements of varying scope and terms pursuant to which it agrees to indemnify customers, vendors, lessors, business partners, and other parties with respect to certain matters, including, but not limited to, losses arising out of the breach of such agreements, services to be provided by the Company, or from intellectual property infringement claims made by third parties. For the years ended January 31, 2023 and 2022, no demands have been made upon the Company to provide indemnification under such agreements, and there are no claims that the Company is aware of that could have a material adverse effect on its financial position, results of operations, or cash flows. Contingencies From time to time in the normal course of business, the Company may be subject to various claims and other legal matters arising in the ordinary course of business. As of January 31, 2023 and 2022, the Company believes that |
Leases
Leases | 12 Months Ended |
Jan. 31, 2023 | |
Leases [Abstract] | |
Leases | Leases The Company leases real estate facilities under non-cancelable operating leases with various expiration dates through fiscal 2034. The Company has no lease agreements that are classified as finance leases. The components of lease costs, lease term, and discount rate for operating leases are as follows: Year Ended January 31, 2023 2022 2021 Operating lease costs (in thousands) $ 36,542 $ 36,494 $ 25,192 Short-term lease costs (in thousands) 2,946 3,240 3,464 Variable lease costs (in thousands) 2,269 1,452 1,553 Total lease costs $ 41,757 $ 41,186 $ 30,209 Weighted-average remaining lease term (in years) 10.2 11.4 12.1 Weighted-average discount rate 9.6 % 9.5 % 9.5 % Supplemental cash flow information related to operating leases are as follows (in thousands): Year Ended January 31, 2023 2022 2021 Cash paid for amounts included in the measurement of operating lease liabilities $ 34,816 $ 12,021 $ 1,726 Right-of-use assets obtained in exchange for new operating lease liabilities $ 17,809 $ 7,997 $ 177,716 The cash paid for the operating lease liability amount in 2021 in the table above has been updated to include all cash payments. Future minimum lease payments (net of tenant improvement receivables) under non-cancelable operating leases with initial lease terms in excess of one year included in the Company’s lease liabilities as of January 31, 2023, are as follows (in thousands): Year Ending January 31: Operating Lease Payments 2024 $ 34,791 2025 32,710 2026 31,871 2027 32,738 2028 and thereafter 228,770 Total undiscounted operating lease payments 360,880 Less: imputed interest (136,037) Total operating lease liabilities $ 224,843 |
Net Loss per Share
Net Loss per Share | 12 Months Ended |
Jan. 31, 2023 | |
Earnings Per Share [Abstract] | |
Net Loss per Share | Net Loss per Share The Company computes net loss per share using the two-class method required for multiple classes of common stock and participating securities. The rights, including the liquidation and dividend rights, of the Class A common stock and Class B common stock are substantially identical, other than voting rights. Accordingly, the Class A common stock and Class B common stock share equally in the Company’s net income and losses. The following table presents the calculation of basic and diluted net loss per share (in thousands, except per share data): Year Ended January 31, 2023 2022 2021 Numerator: Net loss $ (407,768) $ (288,342) $ (211,710) Denominator: Weighted-average shares used in calculating net loss per share, basic and diluted 200,034 176,401 106,344 Net loss per share, basic and diluted $ (2.04) $ (1.63) $ (1.99) The potential shares of common stock that were excluded from the computation of diluted net loss per share for the period presented because including them would have been anti-dilutive are as follows (in thousands): Year Ended January 31, 2023 2022 2021 Stock options 11,941 14,383 22,340 Restricted stock units 14,591 8,812 8,199 Early exercised stock options 28 205 714 Shares issuable pursuant to the 2020 Employee Stock Purchase Plan 528 249 185 Total 27,088 23,649 31,438 As noted in N ote 6. Convertible Notes—Related Party, the Convertible Notes were converted into 17,012,822 shares of the Company’s Class B common stock in July 2021. The shares underlying the Convertible Notes were previously excluded from diluted EPS because the effect would have been anti-dilutive. |
Stockholders' Equity (Deficit)
Stockholders' Equity (Deficit) | 12 Months Ended |
Jan. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Stockholders' Equity (Deficit) | Stockholders’ Equity (Deficit) Common Stock There are two classes of common stock that total 1,500,000,000 authorized shares: 1,000,000,000 authorized shares of Class A common stock and 500,000,000 authorized shares of Class B common stock. The rights of the holders of Class A common stock and Class B common stock are identical, except with respect to voting and conversion. Each share of Class A common stock is entitled to one vote per share. Each share of Class B common stock is entitled to 10 votes per share and is convertible into one share of Class A common stock. There are 128,803,395 shares of Class A common stock and 85,489,359 shares of Class B common stock issued and outstanding as of January 31, 2023. There were 102,809,115 shares of Class A common stock and 85,489,359 shares of class B common stock issued and outstanding as of January 31, 2022. All changes in the number of shares of common stock outstanding for the years ended January 31, 2023 and 2022, were related to changes in Class A common stock, other than the shares of Class B common stock issued in conversion of the Convertible Notes during the three and six months ended July 31, 2021. Private Placement—Related Party In September 2022, the Company issued and sold 19,273,127 shares of its Class A common stock to the Company’s CEO in a private placement transaction at a purchase price of $18.16 per share, based on the closing trading price of the Company’s Class A common stock on September 2, 2022, for aggregate gross proceeds of approximately $350 million. The Company incurred issuance costs related to the private placement of $2.7 million. The Company recorded the proceeds (net of issuance costs) of $347.3 million as additional paid-in capital within the consolidated statements of stockholders’ equity (deficit) for the year ended January 31, 2023. Stock Plans The Company has a 2009 Stock Plan (the “2009 Plan”), a 2012 Amended and Restated Stock Plan (the “2012 Plan”), and a 2020 Equity Incentive Plan (the “2020 Plan”). Each plan was initially established to grant equity awards to employees and consultants of the Company to assist in attracting, retaining, and motivating employees and consultants and to provide incentives to promote the success of the Company’s business. The number of shares reserved for issuance under the 2020 Plan increased by 9,414,923 shares of Class A common stock on February 1, 2022 pursuant to the evergreen provisions of the 2020 Plan. There are no outstanding awards under the 2009 Plan, and new issuances under the 2012 Plan terminated upon completion of the Company’s direct listing. Awards outstanding under the 2012 Plan continue to be outstanding and are governed by the provisions of the 2012 Plan. The 2020 Plan provides for the grant of incentive stock options (“ISOs”), within the meaning of Section 422 of the Code, nonstatutory stock options (“NSOs”), stock appreciation rights, restricted stock awards, RSU awards, performance-based stock awards, and other forms of equity compensation. ISOs may be granted only to Company employees (including officers and directors who are also employees). NSOs may be granted to Company employees and consultants. Options under the 2020 Plan may be granted for periods of up to 10 years. The exercise price of ISOs and NSOs shall not be less than 100% of the estimated fair value of the shares on the date of grant as determined by the Company’s board of directors (the “Board of Directors”). Options granted generally vest over four years and vest at a rate of 25% upon the first anniversary of the vesting commencement date and 1/48 per month thereafter. The Company has outstanding RSU awards issued pursuant to the 2012 Plan and 2020 Plan. RSUs granted generally vest on a predefined rate over a period of four years contingent upon continuous service. Shares of common stock purchased under the 2012 Plan are subject to certain restrictions and repurchase rights. Stock Options Option activity under the Company’s combined stock plans is set forth below (in thousands, except years and per share data): Number of Shares Weighted- Average Exercise Price Weighted- Aggregate Intrinsic Value Balance as of January 31, 2022 14,383 $ 3.02 6.1 $ 711,455 Options granted — — Options exercised (2,021) 2.86 Options cancelled (421) 5.34 Balances as of January 31, 2023 11,941 2.96 5.1 $ 149,738 Vested and exercisable at January 31, 2023 10,769 2.78 5.0 $ 136,949 Vested and expected to vest at January 31, 2023 11,969 2.96 5.1 $ 150,090 The weighted-average grant-date fair value of options granted and the total intrinsic value of options exercised during the periods presented were as follows: Year Ended January 31, 2023 2022 2021 Weighted-average grant-date fair value per share $ — $ — $ 6.77 Aggregate intrinsic value of options exercised (in thousands) $ 52,687 $ 404,964 $ 238,165 Early Exercise of Employee Options The 2009 Plan and 2012 Plan allow for the early exercise of stock options. The consideration received for an early exercise of an option is considered to be a deposit of the exercise price, and the related dollar amount is recorded as a liability and reflected in accrued expenses and other current liabilities and other liabilities in the consolidated balance sheets. This liability is reclassified to additional paid-in capital as the awards vest. If a stock option is early exercised, the unvested shares may be repurchased by the Company in case of employment termination at the price paid by the purchaser for such shares. Shares that were subject to repurchase totaled 27,864 and 205,361 as of January 31, 2023 and 2022, respectively. Determination of Fair Values The assumptions used in the Black-Scholes pricing model for stock-based compensation for options granted in the periods below were as follows: Year Ended January 31, 2023 2022 2021 Risk-free interest rate N/A N/A 1.2% Expected term N/A N/A 8 years Dividend yield N/A N/A — % Expected volatility N/A N/A 44.6% Restricted Stock Units The Company’s RSU activity is set forth below (in thousands, except per share data): Number of Shares Weighted- Average Grant Date Fair Value Aggregate Intrinsic Value Unvested RSUs at January 31, 2022 8,812 $ 47.07 $ 462,426 RSUs granted 12,567 20.31 RSUs vested (4,339) 39.71 RSUs cancelled/forfeited (2,449) 37.86 Unvested RSUs at January 31, 2023 14,591 27.75 $ 226,145 RSUs vested, not yet released at January 31, 2023 858 38.36 Stock-Based Compensation Expense Stock-based compensation for stock-based awards to employees and non-employees in the Company’s consolidated statements of operations for the periods below were as follows (in thousands): Year Ended January 31, 2023 2022 2021 Cost of revenues $ 1,658 $ 806 $ 305 Research and development 100,083 57,480 18,606 Sales and marketing 58,504 29,631 9,387 General and administrative 28,717 16,644 5,927 Total stock-based compensation expense $ 188,962 $ 104,561 $ 34,225 The stock-based compensation expense related to options granted to non-employees for the years ended January 31, 2023, 2022, and 2021 was not material. Total unrecognized compensation costs related to unvested awards not yet recognized under all equity compensation plans was as follows: As of January 31, 2023 Unrecognized Expense Weighted-Average Expected Recognition Period Stock options $ 3,230 1.6 RSUs 369,302 2.9 Total unrecognized stock-based compensation expense $ 372,532 2.9 As of January 31, 2022 Unrecognized Expense Weighted-Average Expected Recognition Period Stock options $ 12,248 1.7 RSUs 376,892 3.0 Total unrecognized stock-based compensation expense $ 389,140 2.9 2020 Employee Stock Purchase Plan In September 2020, the Board of Directors adopted and approved the 2020 Employee Stock Purchase Plan which became effective on the effective date of the Company's registration statement on Form S-1 filed with the SEC in connection with the Direct Listing. The ESPP initially reserved and authorized the issuance of up to a total of 2,000,000 shares of Class A common stock to participating employees. The number of shares reserved under the ESPP was automatically increased on February 1, 2021 to 3,614,801 shares of Class A common stock and to 5,497,785 on February 1, 2022 pursuant to the evergreen provisions of the ESPP. The ESPP provides for 24-month offering periods beginning September 16 and March 16 of each year, with each offering period consisting of four six-month purchase periods (except for the initial offering period which began on September 30, 2020 and ended on September 15, 2022), with purchase dates annually on March 15 and September 15. The purchase price of shares of Class A common stock in an offering will be the lesser of: (i) 85% of the fair market value of such shares of Class A common stock on the offering date, and (ii) 85% of the fair market value of such shares of Class A common stock on the applicable purchase date. During the years ended January 31, 2023, 2022, and 2021 the Company recog nized $12.8 million, $8.0 million, and $4.2 million respectively, of sto ck-based compensation expense related to the ESPP. The Company withheld $6.9 million and $7.2 million as of January 31, 2023 and 2022, respectively, in contributions from employees. As of January 31, 2023, total unrecognized compensation cost related to the ESPP was $12.6 million, which will be amortized over a weighted average vesting term of 1.1 years. The following assumptions were used to calculate the fair value of shares to be granted under the ESPP during the period: Year Ended January 31, 2023 2022 2021 Risk-free interest rate 0.9% - 4.0% 0.1%-0.2% 0.1% Expected term 0.5 - 2.0 years 0.5 - 2.0 years 0.5 - 2.0 years Dividend yield —% —% —% Expected volatility 46.2% - 64.1% 36.8% - 53.8% 50.8% - 55.3% |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Jan. 31, 2023 | |
Postemployment Benefits [Abstract] | |
Employee Benefit Plans | Employee Benefit PlansIn January 2011, the Company adopted a defined contribution retirement savings plan under Section 401(k) of the Internal Revenue Code. This plan covers all employees within the United States who meet minimum age and service requirements and allows participants to defer a portion of their annual compensation on a pre-tax basis. The Company’s contributions to the plan may be made at the discretion of the Board of Directors. There have been no contributions to the plan by the Company since the inception of the plan as of January 31, 2023. Additionally, the Company engages in required pension plans of respective countries in which operations exist. |
Interest Income and Other Incom
Interest Income and Other Income (Expense), Net | 12 Months Ended |
Jan. 31, 2023 | |
Other Income and Expenses [Abstract] | |
Interest Income and Other Income (Expense), Net | Interest Income and Other Income (Expense), Net Interest income and other income (expense), net consist of the following (in thousands): Year Ended January 31, 2023 2022 2021 Interest income $ 7,910 $ 506 $ 956 Unrealized gains (losses) on foreign currency transactions 801 (953) 642 Other non-operating expense (1,778) (1,089) (30) Total interest income and other income (expense), net $ 6,933 $ (1,536) $ 1,568 Other non-operating expense consists primarily of realized foreign currency gains and losses on transactions in the periods presented. |
Income Taxes
Income Taxes | 12 Months Ended |
Jan. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The components of the provision for income taxes were as follows (in thousands): Year Ended January 31, 2023 2022 2021 Current: United States $ — $ — $ — State 45 — 73 Foreign 4,009 3,031 1,226 Total current: $ 4,054 $ 3,031 $ 1,299 Deferred: United States $ — $ — $ — State — — — Foreign 821 206 234 Total deferred 821 206 234 Total provision for income taxes $ 4,875 $ 3,237 $ 1,533 The components of income (loss) before income taxes were as follows (in thousands): Year Ended January 31, 2023 2022 2021 United States $ (413,505) $ (292,759) $ (214,540) Foreign 10,612 7,654 4,363 Total $ (402,893) $ (285,105) $ (210,177) The reconciliation between the statutory federal income tax and the Company’s effective tax rates as a percentage of loss before income taxes were as follows: Year Ended January 31, 2023 2022 2021 Federal tax rate 21.0 % 21.0 % 21.0 % Stock-based compensation expense (2.4) 25.0 16.3 Change in valuation allowance (23.1) (52.8) (34.0) Transaction costs (0.1) — (1.8) Research and development credits 4.9 7.7 1.9 Convertible debt interest — (1.3) (3.6) Other (1.5) (0.8) (0.5) Effective income tax rate (1.2) % (1.2) % (0.7) % The major components of deferred tax assets (liabilities) were as follows (in thousands): As of January 31, 2023 2022 Deferred tax assets: Net operating loss carryforwards $ 282,705 $ 282,385 Research and development tax credits 87,059 53,641 Stock-based compensation 14,731 12,947 Reserves and accrued expenses 6,714 3,825 Operating lease liabilities 52,922 54,556 R&D expense capitalization under Sec. 174 76,765 — Total deferred tax assets 520,896 407,354 Valuation allowance (470,548) (356,946) Total deferred tax assets, net of valuation allowance 50,348 50,408 Deferred tax liabilities: Right of use asset (41,434) (42,816) Deferred commissions (8,020) (5,320) Depreciation and amortization (2,123) (2,714) Total deferred tax liabilities (51,577) (50,850) Net deferred tax liabilities $ (1,229) $ (442) The valuation allowance increased by $113.6 million, $174.4 million, and $86.4 million during the years ended January 31, 2023, 2022, and 2021, respectively. The increase in the valuation allowance during the year ended January 31, 2023 was primarily driven by research and development expense capitalization under Sec. 174, loss carryforwards, and tax credits generated in the United States. The increase in the valuation allowance during the years ended January 31, 2022, and 2021 was primarily driven by losses and tax credits generated in the United States. As of January 31, 2023, 2022, and 2021, the Company believes it is not more likely than not that the deferred tax assets will be fully realizable and continues to maintain a full valuation allowance against its net deferred tax assets. As of January 31, 2023 , the Company had federal and state net operating loss carryforwards of $1,169.5 million and $632.1 million , respectively. The federal and state net operating losses, if not used, will begin to expire in 2029 . Federal net operating losses generated after January 31, 2018 will carry forward indefinitely. As of January 31, 2023, the Company has federal and California research and development tax credit carryforwards of $73.2 million and $53.7 million, respectively, to offset future taxable income. The federal research and development tax credits, if not used, will begin to expire in 2030, while the state tax credit carryforwards may be carried forward indefinitely. The Tax Reform Act of 1986 limits the use of net operating loss and tax credit carryforwards in certain situations where changes occur in the stock ownership of a company. Under Section 382 of the Internal Revenue Code of 1986, as amended, the Company’s ability to utilize net operating loss carryforwards or other tax attributes in any taxable year may be limited if the Company has experienced an “ownership change.” Generally, a Section 382 “ownership change” occurs if one or more stockholders or groups of stockholders who owns at least 5% of a corporation’s stock increases its ownership by more than 50 percentage points over its lowest ownership percentage within a specified testing period. Similar rules may apply under state tax laws. The Company has completed a Section 382 study of transactions in its stock through January 31, 2020. The study concluded that the Company has experienced ownership changes since inception and that its utilization of net operating loss carryforwards will be subject to annual limitations. However, it is not expected that the annual limitations will result in the expiration of tax attribute carryforwards prior to utilization. Under the Tax Cuts and Jobs Act of 2017, research and development costs are no longer fully deductible and are required to be capitalized and amortized for U.S. tax purposes effective January 1, 2022. This tax law change did not result in any U.S. federal tax liability due to the use of existing U.S. federal net operating loss carryforwards. It did result in incremental state tax liability and expense due to limitations on the use of existing state net operating loss carryforwards. Foreign withholding taxes have not been provided for the cumulative undistributed earnings of the Company’s foreign subsidiaries as of January 31, 2023 due to the Company’s intention to permanently reinvest such earnings. No liability related to uncertain tax positions is recorded in the financial statements due to the fact the liabilities have been netted against deferred attribute carryovers. A reconciliation of the beginning and ending amounts of gross unrecognized tax benefits was as follows (in thousands): As of January 31, 2023 2022 Balance at the beginning of the year $ 19,826 $ 7,863 Increases - current period tax positions 7,666 11,410 Increases - prior period tax positions 4,246 553 Decreases - prior period tax positions — — Balance at the end of the year $ 31,738 $ 19,826 The Company had no accrued interest and penalties related to unrecognized tax benefits as of January 31, 2023 or January 31, 2022. As of January 31, 2023, there are no unrecognized tax benefits that, if recognized, would affect the Company’s effective tax rate. The Company does not expect that its uncertain tax positions will materially change in the next 12 months. The Company files federal and state tax returns in the United States and in various foreign jurisdictions. The Company’s tax years since inception are open to examination by federal and state taxing authorities, and the tax years 2017 and forward remain open in various foreign jurisdictions. |
Geographic Information
Geographic Information | 12 Months Ended |
Jan. 31, 2023 | |
Segment Reporting [Abstract] | |
Geographic Information | Geographic Information The following tables set forth revenues and long-lived assets, including operating lease ROU assets, by geographic area for the periods presented below (in thousands): Revenues Year Ended January 31, 2023 2022 2021 United States $ 330,238 $ 219,305 $ 131,534 International 216,974 159,132 95,470 Total revenues $ 547,212 $ 378,437 $ 227,004 Revenues by geography are based on the billing address of the customer. Long-Lived Assets As of January 31, 2023 2022 United States $ 265,582 $ 267,007 International 5,591 6,708 Total long-lived assets $ 271,173 $ 273,715 |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Jan. 31, 2023 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions In January and June 2020, the Company issued Convertible Notes to a trust affiliated with the Company’s CEO. The Company elected to convert these Convertible Notes on July 1, 2021. See Note 6. Convertible Notes—Related Party for further details. During the fiscal year ended January 31, 2020, the Company began leasing certain office facilities from a company affiliated with Board members of the Company. Rent payments made under these leases totaled $2.0 million and $2.0 million for the years ended January 31, 2023 and 2022, respectively. The Company has entered into various agreements with the same company and had receivable amounts of $1.7 million and $0.1 million as of January 31, 2023 and 2022, respectively. The Company has entered into an advertising agreement with a company affiliated with a Board member of the Company. Payments under this agreement totaled $1.8 million and $1.0 million for th e years ended January 31, 2023 and 2022, respectively. The Company has entered into an advertising agreement with a company affiliated with a Board member of the Company. Payments under this agreement totaled $3.2 million for th e year ended January 31, 2023. This company was not a related party during the year ended January 31, 2022. In September 2022, the Company issued and sold 19,273,127 shares of its Class A common stock to the Company’s CEO in a private placement transaction at a purchase price of $18.16 per share, based on the closing trading price of the Company’s Class A common stock on September 2, 2022, for aggregate gross proceeds of approximately $350 million. See Note 11. Stockholders’ Equity (Deficit) for further details. |
Restructuring
Restructuring | 12 Months Ended |
Jan. 31, 2023 | |
Restructuring and Related Activities [Abstract] | |
Restructuring | Restructuring On November 15, 2022, the Company authorized a plan to reduce its global headcount by approximately 9%. This plan was adopted as part of a restructuring intended to improve operational efficiencies and operating costs and better align the Company’s workforce with current business needs, top strategic priorities, and key growth opportunities. Non-recurring charges in connection with the headcount reductions include notice period and severance payments, employee benefits, and related facilitation costs as well as non-cash expenditures related to the accelerated vesting of share-based awards, which resulted in $9.3 million of restructuring costs for the year ended January 31, 2023. The headcount reductions, including cash payments, were substantially completed by the end of fiscal 2023. The consolidated balance sheet as of January 31, 2023 includes $0.9 million of restructuring costs classified in current liabilities. The restructuring costs are recognized in the consolidated statement of operations for the year ended January 31, 2023 as follows: Severance and Related Charges Stock-Based Compensation Expense (Benefit) Total Cost of revenues $ 512 $ 38 $ 550 Research and development 33 2 35 Sales and marketing 5,921 661 6,582 General and administrative 1,914 179 2,093 Total $ 8,380 $ 880 $ 9,260 |
Basis of Presentation and Sum_2
Basis of Presentation and Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Jan. 31, 2023 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation The accompanying consolidated financial statements have been prepared in conformity with generally accepted accounting principles in the United States of America (“GAAP”) and include the accounts of the Company’s wholly-owned subsidiaries. All intercompany transactions and balances have been eliminated on consolidation. |
Reclassification of Class A and Class B Common Stock and Direct Listing | Reclassification of Class A and Class B Common Stock On March 23, 2020, the Company amended and restated its certificate of incorporation to effect a reclassification of the Company’s Class A common stock to Class B common stock, and vice versa. There were no changes to the rights, preferences, and privileges of each class of common stock at this time. All references to Class A common stock have been recast to Class B common stock, and all references to Class B common stock have been recast to Class A common stock, in these consolidated financial statements to give retrospective effect to the reclassification for all periods presented. Direct Listing On September 30, 2020, the Company completed a direct listing of its Class A common stock (the “Direct Listing”) on the NYSE. The Company incurred fees related to financial advisory service, audit, and legal expenses in connection with the Direct Listing and recorded general and administrative expenses of $18.0 million for the year ended January 31, 2021. Prior to the Direct Listing, all 73,577,455 outstanding shares of redeemable convertible preferred stock were converted into an equivalent number of shares of Class B common stock. |
Use of Estimates | Use of Estimates The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported and disclosed in the consolidated financial statements and accompanying notes. Estimates and assumptions reflected in the consolidated financial statements include, but are not limited to, revenue recognition, the useful lives and carrying values of long-lived assets, the fair value of the Convertible Notes (as defined in N ote 6. Convertible Notes—Related Party ), the fair value of common stock for periods prior to the Direct Listing, stock-based compensation expense, the period of benefit for deferred contract acquisition costs, and income taxes. Actual results could differ from those estimates. |
Risks and Uncertainties | Risks and Uncertainties The Company continues to monitor and respond to evolving developments regarding the COVID-19 pandemic, which has significantly impacted the global economy. While the Company has re-opened its offices globally to employees and shifted to an office-centric hybrid work model, in-office collaboration is voluntary in times of increased community spread, and could therefore be further disrupted should the severity of the pandemic worsen. Should the pandemic worsen, the Company’s operations and the operations of its partners or customers may be further affected by the pandemic. |
Revenue Recognition | Revenue Recognition The Company derives its revenues from subscription fees earned from customers accessing the platform. The Company’s policy is to exclude sales and other indirect taxes when measuring the transaction price of its subscription agreements. The Company accounts for revenue contracts with customers by applying the requirements of ASC 606, Revenue from Contracts with Customers , which includes the following steps: • identification of the contract, or contracts, with the customer; • identification of the performance obligations in the contract; • determination of the transaction price; • allocation of the transaction price to the performance obligations in the contract; and • recognition of the revenues when, or as, the Company satisfies a performance obligation. The Company’s subscription agreements generally have monthly or annual contractual terms and are billed in advance. Revenues are recognized ratably over the related contractual term beginning on the date that the platform is made available to a customer. The Company recognizes revenues ratably because the customer receives and consumes the benefits of the platform throughout the contractual period. Access to the platform represents a series of distinct services that comprise a single performance obligation that is satisfied over time. The Company’s contracts are generally non-cancelable and non-refundable in the event of cancellations. |
Research and Development | Research and Development Research and development expenses consist primarily of personnel-related expenses such as salaries and related benefits for the Company’s product development employees. Also included are non-personnel costs such as product design costs, third-party services and consulting expenses, depreciation expense related to equipment used in research and development activities, and allocation of the Company’s general overhead expenses. |
Advertising Expenses | Advertising ExpensesAdvertising expenses are charged to sales and marketing expense in the consolidated statements of operations as incurred. |
Stock‑Based Compensation Expense | Stock‑Based Compensation Expense The Company records stock-based compensation expense for all stock-based awards, including stock options, purchase rights issued under the 2020 Employee Stock Purchase Plan, and restricted stock units, made to employees, non-employees, and directors based on estimated fair values recognized over the requisite service period. The fair value of stock options granted and purchase rights issued under the ESPP for purposes of calculating stock-based compensation expense is estimated on the grant date using the Black-Scholes pricing model. The Black-Scholes pricing model requires the Company to make assumptions and judgments about the inputs used in the calculation, including the expected term (weighted-average period of time that the options granted are expected to be outstanding), the volatility of the Company’s common stock, risk-free interest rate, and expected dividend yield. The expected term represents the period that the Company’s stock-based awards are expected to be outstanding. The expected term assumptions are determined based on the vesting terms, exercise terms, and contractual lives of the options. The volatility is based on an average of the historical volatilities of the common stock of comparable public companies with characteristics similar to those of the Company. The risk-free rate is based on the U.S. Treasury yield curve in effect at the time of grant for periods corresponding with the expected life of the option. The Company’s expected dividend yield input is zero as it has not historically paid, nor does it expect in the future to pay, cash dividends on its common stock. Stock-based compensation expense for RSUs is measured based on the fair value of the underlying shares on the date of grant. |
Foreign Currency Translations and Transactions | Foreign Currency Translation and Transactions The functional currency of each of the Company’s wholly owned subsidiaries is the applicable local currency or the U.S. dollar. The translation of foreign currencies into U.S. dollars is performed for assets and liabilities using current foreign currency exchange rates in effect at the balance sheet date and for revenues and expense accounts using average foreign currency exchange rates during the period. Capital accounts are translated at historical foreign currency exchange rates. Translation gains and losses are included in stockholders’ equity (deficit) as a component of accumulated other comprehensive income (loss). Adjustments that arise from foreign currency exchange rate changes on transactions denominated in a currency other than the functional currency are included in other income (expense), net on the consolidated statements of operations and were not material for the years ended January 31, 2023, 2022, and 2021. |
Segment Information | Segment InformationThe Company’s chief operating decision-maker is its Chief Executive Officer (“CEO”), who reviews financial information presented on a consolidated basis for purposes of making operating decisions, assessing financial performance, and allocating resources. The Company manages its operations and allocates resources as a single operating segment. |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company considers all highly liquid investments with original maturities at the date of purchase of three months or less to be cash equivalents. Cash and cash equivalents are stated at cost, which approximates fair value. |
Marketable Securities and Investments | Marketable Securities and Investments Marketable securities are partially comprised of U.S. government securities, commercial paper, and corporate bonds with an original contractual maturity or a remaining maturity at the time of purchase of greater than three months and no more than 37 months. Marketable securities with a remaining maturity at the time of purchase in |
Accounts Receivable | Accounts Receivable Accounts receivable are stated at realizable value, net of allowance for doubtful accounts. |
Concentration of Credit Risk | Concentration of Credit Risk Financial instruments that potentially subject the Company to a concentration of credit risk consist of cash, cash equivalents, and marketable securities. The Company deposits its cash and cash equivalents with financial institutions that management believes are of high credit quality, although such deposits may, at times, exceed federally insured limits. The Company has not experienced any losses on its deposits of cash and cash equivalents to date. Cash equivalents are invested in highly rated money market funds. The Company grants credit to customers in the normal course of business. For the years ended January 31, 2023, 2022, and 2021, there were no individual customers that accounted for 10% or more of the Company’s revenues. The Company had no customers that accounted for 10% or more of accounts receivable at January 31, 2023 and 2022. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments Fair value is defined as the exit price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the reporting date. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. Fair value is estimated by utilizing a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value as follows: Level 1 Observable inputs comprised of quoted prices for identical assets or liabilities in active markets. Level 2 Inputs other than the quoted prices in active markets that are observable either directly or indirectly. Level 3 Unobservable inputs in which there is little or no market data and that are significant to the fair value of the assets or liabilities. In determining fair value, a financial instrument’s classification within the three-tier fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. The Company utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible, as well as considers counterparty credit risk in its assessment of fair value. The carrying amount of certain financial instruments, including cash, accounts receivable, accounts payable, and accrued liabilities approximates their fair values due to their short-term nature. |
Lease Obligations | Lease Obligations The Company determines if an arrangement is a lease at inception by determining if the contract conveys the right to control the issue of an identified asset for a period of time in exchange for consideration and other facts and circumstances. Right-of-use assets and lease liabilities are recognized at commencement date based on the present value of remaining lease payments over the lease term. For this purpose, the Company considers only payments that are fixed and determinable at the time of commencement. As the Company’s leases do not provide an implicit rate, the Company uses the incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. The incremental borrowing rate is a hypothetical rate based on the Company’s understanding of what its credit rating would be. The ROU assets also include any lease payments made prior to commencement and are recorded net of any lease incentives received. The lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise such options. The lease agreements may contain variable costs such as common area maintenance, insurance, real estate taxes or other costs. Variable lease costs are expensed as incurred on the consolidated statements of operations. The Company’s lease agreements generally do not contain any residual value guarantees, restrictions, or covenants. The Company has lease agreements with lease and non-lease components. The Company elects to combine lease and non-lease components as a single lease component for all classes of underlying assets. The Company elects to not record leases with an initial term of 12 months or less on the balance sheet and the associated lease payments are recognized in the consolidated statements of operations on a straight-line basis over the lease term. |
Property and Equipment, Net | Property and Equipment, Net The Company records its property and equipment at cost. Depreciation is computed on the straight-line method over the estimated useful lives of two Asset Type Life (Years) Desktop and other computer equipment 2-3 Furniture and fixtures 5 Leasehold improvements Shorter of lease term or estimated useful life Capitalized internal-use software 3 Capitalized Internal-Use Software The Company capitalizes certain internal software development costs, consisting primarily of direct labor associated with creating the internally developed software. Capitalized costs are amortized using the straight-line method over the estimated useful life of the software once it is ready for its intended use. The Company believes the straight-line recognition method best approximates the manner in which the expected benefit will be derived. Impairment of Long-Lived Assets The Company evaluates its long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of such asset groups may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset group to future undiscounted net cash |
Income Taxes | Income Taxes The Company accounts for income taxes under the asset and liability method, which requires that deferred income taxes be provided for temporary differences between the tax basis of the Company’s assets and liabilities and their financial statement reported amounts. In addition, deferred tax assets are recorded for the future benefit of utilizing net operating loss carryforwards and research and development credit carryforwards. A valuation allowance is provided against deferred tax assets unless it is more likely than not that they will be realized. If there is significant negative evidence that the near-term realization of certain assets are deemed unlikely, the Company would record a valuation allowance against the deferred tax assets. The Company regularly assesses the continuing need for a valuation allowance against its deferred tax assets. Significant judgment is required to determine whether a valuation allowance continues to be necessary and the amount of such valuation allowance, if appropriate. The Company considers all available evidence, both positive and negative, to determine, based on the weight of available evidence, whether it is more likely than not that some or all of the deferred tax assets will not be realized. In evaluating the continued need for a valuation allowance, the Company considers, among other things, the nature, frequency, and severity of current and cumulative losses, forecasts of future profitability, and the duration of statutory carryforward periods. The Company performs a comprehensive review of potential uncertain tax positions in each jurisdiction in which the Company operates. The Company accounts for uncertain tax positions in accordance with ASC 740, Income Taxes |
Net Loss Per Share | Net Loss Per Share Basic and diluted net loss per share attributable to common stockholders is presented in conformity with the two-class method required for participating securities. All series of the Company’s redeemable convertible preferred stock and early exercised stock options are considered to be participating securities because all holders are entitled to receive a non-cumulative dividend on a pari passu basis in the event that a dividend is paid on the common stock. The holders of the redeemable convertible preferred stock do not have a contractual obligation to share in the Company’s losses. As such, the Company’s net losses for the years ended January 31, 2023, 2022, and 2021 were not allocated to these participating securities. The rights, including the liquidation and dividend rights, of the holders of Class A and Class B common stock are identical, except with respect to voting. As the liquidation and dividend rights are identical, the undistributed earnings are allocated on a proportionate basis and the resulting net loss per share attributed to common stockholders will, therefore, be the same for both Class A and Class B common stock on an individual or combined basis. Under the two-class method, basic net loss per share attributable to common stockholders is computed by dividing the net loss attributable to common stockholders by the weighted-average number of shares of common stock outstanding during the period. Diluted earnings per share attributable to common stockholders adjusts basic earnings per share for the potentially dilutive impact of redeemable convertible preferred stock warrants, stock options, RSUs, and redeemable convertible preferred stock. As the Company has reported losses for all periods presented, all potentially dilutive securities are anti-dilutive, and accordingly, basic net loss per share equaled diluted net loss per share. |
Recently Issued Accounting Pronouncements Not Yet Adopted | Recently Issued Accounting Pronouncements Not Yet Adopted In October 2021, the FASB issued ASU No. 2021-08 , Business Combinations - Accounting for Contract Liabilities from Contracts with Customers, which requires an acquirer in a business combination to recognize and measure contract assets and contract liabilities from acquired contracts using the revenue recognition guidance under Accounting Standards Codification Topic 606 in order to align the recognition of a contract liability with the definition of a performance obligation. The guidance is effective for the Company’s fiscal years beginning after February 1, 2023. The Company is currently evaluating the impact of adopting ASU 2021-08. Recently Adopted Accounting Pronouncements On February 1, 2022, the Company adopted ASU No. 2020-06, Accounting for Convertible Instruments and Contracts in an Entity's Own Equity , which simplifies the accounting for certain convertible instruments, amends the guidance on derivative scope exceptions for contracts in an entity's own equity, and modifies the guidance on diluted earnings per share calculations as a result of these changes. The adoption of the guidance did not have an impact on the Company’s consolidated financial statements. On February 1, 2021, the Company adopted ASU No. 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments , which requires the measurement and recognition of expected credit losses for financial assets held at amortized cost, including accounts receivables. It also eliminates the concept of other-than-temporary impairment and requires credit losses related to available-for-sale debt securities to be recorded through an allowance for credit losses rather than as a reduction in the amortized cost basis of the securities. These changes will result in more timely recognition of credit losses. The adoption of the guidance did not have a material impact on the Company’s consolidated financial statements. On February 1, 2021, the Company adopted ASU No. 2018-15 , Intangibles-Goodwill and Other-Internal-Use Software (Subtopic 350-40), Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract. The amendments in ASU No. 2018-15 amend the definition of a hosting arrangement and requires a customer in a hosting arrangement that is a service contract to capitalize certain costs as if the arrangement were an internal-use software project. The Company adopted ASU No. 2018-15 as of February 1, 2021 using a prospective transition approach. The adoption of the guidance did not have a material impact on the Company’s consolidated financial statements. |
Basis of Presentation and Sum_3
Basis of Presentation and Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Jan. 31, 2023 | |
Accounting Policies [Abstract] | |
Schedule of Property and Equipment, Net | Asset Type Life (Years) Desktop and other computer equipment 2-3 Furniture and fixtures 5 Leasehold improvements Shorter of lease term or estimated useful life Capitalized internal-use software 3 Property and equipment, net, consisted of the following (in thousands): As of January 31, 2023 2022 Leasehold improvements $ 98,264 $ 94,458 Capitalized internal-use software 15,005 12,249 Furniture and fixtures 10,325 8,788 Desktop and other computer equipment 1,804 2,217 Construction in progress 652 1,327 Total gross property and equipment 126,050 119,039 Less: Accumulated depreciation and amortization (31,066) (19,407) Total property and equipment, net $ 94,984 $ 99,632 |
Revenue (Tables)
Revenue (Tables) | 12 Months Ended |
Jan. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Deferred Contract Acquisition Costs | The following table summarizes the activity of deferred contract acquisition costs (in thousands): Year Ended January 31, 2023 2022 Beginning balance $ 22,771 $ 12,093 Capitalization of contract acquisition costs 28,910 19,325 Amortization of deferred contract acquisition costs (15,098) (8,647) Ending balance $ 36,583 $ 22,771 Deferred contract acquisition costs, current $ 18,049 $ 10,797 Deferred contract acquisition costs, noncurrent 18,534 11,974 Total deferred contract acquisition costs $ 36,583 $ 22,771 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Jan. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value of Assets and Liabilities Measured on Recurring Basis | The following table summarizes, for assets and liabilities measured at fair value, the respective fair value and classification by level of input within the fair value hierarchy (in thousands): As of January 31, 2023 Level 1 Level 2 Level 3 Total Current Assets Cash equivalents Money market funds $ 289,001 $ — $ — $ 289,001 Total cash equivalents $ 289,001 $ — $ — $ 289,001 Marketable securities Commercial paper $ — $ — $ — $ — Corporate bonds — 2,739 — 2,739 Total marketable securities $ — $ 2,739 $ — $ 2,739 Non-current Assets Corporate bonds $ — $ — $ — $ — Total assets $ 289,001 $ 2,739 $ — $ 291,740 As of January 31, 2022 Level 1 Level 2 Level 3 Total Current Assets Cash equivalents Money market funds $ 176,855 $ — $ — $ 176,855 Total cash equivalents $ 176,855 $ — $ — $ 176,855 Marketable securities Commercial paper $ — $ 44,943 $ — $ 44,943 Corporate bonds — 26,685 — 26,685 Total marketable securities $ — $ 71,628 $ — $ 71,628 Non-current Assets Corporate bonds $ — $ 2,760 $ — $ 2,760 Total assets $ 176,855 $ 74,388 $ — $ 251,243 |
Schedule of Debt Securities, Available-for-sale | The following table summarizes the Company's investments in marketable securities on the consolidated balance sheets (in thousands): As of January 31, 2023 Amortized Gross Gross Estimated Current Assets Commercial paper $ — $ — $ — $ — Corporate bonds 2,744 — (5) 2,739 Total marketable securities $ 2,744 $ — $ (5) $ 2,739 Non-current Assets Corporate bonds $ — $ — $ — $ — Total assets $ 2,744 $ — $ (5) $ 2,739 As of January 31, 2022 Amortized Gross Gross Estimated Current Assets Commercial paper $ 44,951 $ — $ (8) $ 44,943 Corporate bonds 26,730 3 (48) 26,685 Total marketable securities $ 71,681 $ 3 $ (56) $ 71,628 Non-current Assets Corporate bonds $ 2,774 $ — $ (14) $ 2,760 Total assets $ 74,455 $ 3 $ (70) $ 74,388 |
Balance Sheet Components (Table
Balance Sheet Components (Tables) | 12 Months Ended |
Jan. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Property and Equipment, Net | Asset Type Life (Years) Desktop and other computer equipment 2-3 Furniture and fixtures 5 Leasehold improvements Shorter of lease term or estimated useful life Capitalized internal-use software 3 Property and equipment, net, consisted of the following (in thousands): As of January 31, 2023 2022 Leasehold improvements $ 98,264 $ 94,458 Capitalized internal-use software 15,005 12,249 Furniture and fixtures 10,325 8,788 Desktop and other computer equipment 1,804 2,217 Construction in progress 652 1,327 Total gross property and equipment 126,050 119,039 Less: Accumulated depreciation and amortization (31,066) (19,407) Total property and equipment, net $ 94,984 $ 99,632 |
Schedule Of Capitalized Software | The changes in the carrying value of capitalized internal-use software costs for the periods presented below are as follows (in thousands): Amount Balance as of February 1, 2021 $ 1,356 Capitalization of internal-use software costs 1,750 Amortization of internal-use software costs (753) Balance as of January 31, 2022 $ 2,353 Capitalization of internal-use software costs 2,756 Amortization of internal-use software costs (1,074) Balance as of January 31, 2023 $ 4,035 |
Schedule of Prepaid Expenses and Other Current Assets | Prepaid expenses and other current assets consisted of the following (in thousands): As of January 31, 2023 2022 Prepaid expenses $ 25,134 $ 22,970 Deferred contract acquisition costs, current 18,049 10,797 Other current assets 5,543 6,511 Total prepaid expenses and other current assets $ 48,726 $ 40,278 |
Schedule of Accrued Expenses and Other Current Liabilities | Accrued expenses and other current liabilities consisted of the following (in thousands): As of January 31, 2023 2022 Accrued payroll liabilities $ 22,336 $ 16,906 Accrued sales and value-added taxes 13,347 7,219 Accrued advertising expenses 10,565 9,359 Accrued taxes for fringe benefits 8,064 3,953 Accrued consulting expenses 4,076 4,303 Accrued property and equipment 409 465 Other liabilities 24,691 18,710 Total accrued expenses and other current liabilities $ 83,488 $ 60,915 |
Convertible Notes_Related Par_2
Convertible Notes—Related Party (Tables) | 12 Months Ended |
Jan. 31, 2023 | |
Related Party Transactions [Abstract] | |
Summary of the Carrying Amount of Convertible Debt | Interest expense related to the Convertible Notes recorded prior to the conversion was as follows (in thousands): Year Ended January 31, 2023 2022 2021 Amortization of debt discount $ — $ 10,628 $ 22,357 Contractual interest expense — 6,670 13,681 Total interest expense $ — $ 17,298 $ 36,038 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Jan. 31, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments | The net carrying amounts of the credit facilities were as follows (in thousands): As of January 31, 2023 2022 Principal $ 50,000 $ 38,333 Accrued interest 218 74 Unamortized loan issuance costs (179) (54) Net carrying amount $ 50,039 $ 38,353 Credit facilities, current $ 3,343 $ 3,741 Credit facilities, noncurrent $ 46,696 $ 34,612 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Jan. 31, 2023 | |
Leases [Abstract] | |
Schedule of Lease Cost | The components of lease costs, lease term, and discount rate for operating leases are as follows: Year Ended January 31, 2023 2022 2021 Operating lease costs (in thousands) $ 36,542 $ 36,494 $ 25,192 Short-term lease costs (in thousands) 2,946 3,240 3,464 Variable lease costs (in thousands) 2,269 1,452 1,553 Total lease costs $ 41,757 $ 41,186 $ 30,209 Weighted-average remaining lease term (in years) 10.2 11.4 12.1 Weighted-average discount rate 9.6 % 9.5 % 9.5 % Supplemental cash flow information related to operating leases are as follows (in thousands): Year Ended January 31, 2023 2022 2021 Cash paid for amounts included in the measurement of operating lease liabilities $ 34,816 $ 12,021 $ 1,726 Right-of-use assets obtained in exchange for new operating lease liabilities $ 17,809 $ 7,997 $ 177,716 |
Schedule of Operating Lease, Liability, Maturity | Future minimum lease payments (net of tenant improvement receivables) under non-cancelable operating leases with initial lease terms in excess of one year included in the Company’s lease liabilities as of January 31, 2023, are as follows (in thousands): Year Ending January 31: Operating Lease Payments 2024 $ 34,791 2025 32,710 2026 31,871 2027 32,738 2028 and thereafter 228,770 Total undiscounted operating lease payments 360,880 Less: imputed interest (136,037) Total operating lease liabilities $ 224,843 |
Net Loss per Share (Tables)
Net Loss per Share (Tables) | 12 Months Ended |
Jan. 31, 2023 | |
Earnings Per Share [Abstract] | |
Calculation of Basic and Diluted Net Loss Per Share | The following table presents the calculation of basic and diluted net loss per share (in thousands, except per share data): Year Ended January 31, 2023 2022 2021 Numerator: Net loss $ (407,768) $ (288,342) $ (211,710) Denominator: Weighted-average shares used in calculating net loss per share, basic and diluted 200,034 176,401 106,344 Net loss per share, basic and diluted $ (2.04) $ (1.63) $ (1.99) |
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share | The potential shares of common stock that were excluded from the computation of diluted net loss per share for the period presented because including them would have been anti-dilutive are as follows (in thousands): Year Ended January 31, 2023 2022 2021 Stock options 11,941 14,383 22,340 Restricted stock units 14,591 8,812 8,199 Early exercised stock options 28 205 714 Shares issuable pursuant to the 2020 Employee Stock Purchase Plan 528 249 185 Total 27,088 23,649 31,438 |
Stockholders' Equity (Deficit)
Stockholders' Equity (Deficit) (Tables) | 12 Months Ended |
Jan. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of Stock Options Activity | Option activity under the Company’s combined stock plans is set forth below (in thousands, except years and per share data): Number of Shares Weighted- Average Exercise Price Weighted- Aggregate Intrinsic Value Balance as of January 31, 2022 14,383 $ 3.02 6.1 $ 711,455 Options granted — — Options exercised (2,021) 2.86 Options cancelled (421) 5.34 Balances as of January 31, 2023 11,941 2.96 5.1 $ 149,738 Vested and exercisable at January 31, 2023 10,769 2.78 5.0 $ 136,949 Vested and expected to vest at January 31, 2023 11,969 2.96 5.1 $ 150,090 |
Summary of Weighted-Average Grant-Date Fair Value of Options Granted and Total Intrinsic Value of Options Exercised | The weighted-average grant-date fair value of options granted and the total intrinsic value of options exercised during the periods presented were as follows: Year Ended January 31, 2023 2022 2021 Weighted-average grant-date fair value per share $ — $ — $ 6.77 Aggregate intrinsic value of options exercised (in thousands) $ 52,687 $ 404,964 $ 238,165 |
Schedule Assumptions used in the Black-Scholes Pricing Model for Stock-based Compensation | The assumptions used in the Black-Scholes pricing model for stock-based compensation for options granted in the periods below were as follows: Year Ended January 31, 2023 2022 2021 Risk-free interest rate N/A N/A 1.2% Expected term N/A N/A 8 years Dividend yield N/A N/A — % Expected volatility N/A N/A 44.6% |
Schedule of RSU Activity | The Company’s RSU activity is set forth below (in thousands, except per share data): Number of Shares Weighted- Average Grant Date Fair Value Aggregate Intrinsic Value Unvested RSUs at January 31, 2022 8,812 $ 47.07 $ 462,426 RSUs granted 12,567 20.31 RSUs vested (4,339) 39.71 RSUs cancelled/forfeited (2,449) 37.86 Unvested RSUs at January 31, 2023 14,591 27.75 $ 226,145 RSUs vested, not yet released at January 31, 2023 858 38.36 |
Schedule of Stock-Based Compensation Expense | Stock-based compensation for stock-based awards to employees and non-employees in the Company’s consolidated statements of operations for the periods below were as follows (in thousands): Year Ended January 31, 2023 2022 2021 Cost of revenues $ 1,658 $ 806 $ 305 Research and development 100,083 57,480 18,606 Sales and marketing 58,504 29,631 9,387 General and administrative 28,717 16,644 5,927 Total stock-based compensation expense $ 188,962 $ 104,561 $ 34,225 |
Summary of Unrecognized Compensation Costs, Related to Unvested Awards | Total unrecognized compensation costs related to unvested awards not yet recognized under all equity compensation plans was as follows: As of January 31, 2023 Unrecognized Expense Weighted-Average Expected Recognition Period Stock options $ 3,230 1.6 RSUs 369,302 2.9 Total unrecognized stock-based compensation expense $ 372,532 2.9 As of January 31, 2022 Unrecognized Expense Weighted-Average Expected Recognition Period Stock options $ 12,248 1.7 RSUs 376,892 3.0 Total unrecognized stock-based compensation expense $ 389,140 2.9 |
Schedule of Share-based Payment Award, Employee Stock Purchase Plan, Valuation Assumptions | The following assumptions were used to calculate the fair value of shares to be granted under the ESPP during the period: Year Ended January 31, 2023 2022 2021 Risk-free interest rate 0.9% - 4.0% 0.1%-0.2% 0.1% Expected term 0.5 - 2.0 years 0.5 - 2.0 years 0.5 - 2.0 years Dividend yield —% —% —% Expected volatility 46.2% - 64.1% 36.8% - 53.8% 50.8% - 55.3% |
Interest Income and Other Inc_2
Interest Income and Other Income (Expense), Net (Tables) | 12 Months Ended |
Jan. 31, 2023 | |
Other Income and Expenses [Abstract] | |
Schedule of Interest and Other Income (Expense), Net | Interest income and other income (expense), net consist of the following (in thousands): Year Ended January 31, 2023 2022 2021 Interest income $ 7,910 $ 506 $ 956 Unrealized gains (losses) on foreign currency transactions 801 (953) 642 Other non-operating expense (1,778) (1,089) (30) Total interest income and other income (expense), net $ 6,933 $ (1,536) $ 1,568 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Jan. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of the Provision for Income Taxes | The components of the provision for income taxes were as follows (in thousands): Year Ended January 31, 2023 2022 2021 Current: United States $ — $ — $ — State 45 — 73 Foreign 4,009 3,031 1,226 Total current: $ 4,054 $ 3,031 $ 1,299 Deferred: United States $ — $ — $ — State — — — Foreign 821 206 234 Total deferred 821 206 234 Total provision for income taxes $ 4,875 $ 3,237 $ 1,533 |
Schedule of Income before Income Taxes | The components of income (loss) before income taxes were as follows (in thousands): Year Ended January 31, 2023 2022 2021 United States $ (413,505) $ (292,759) $ (214,540) Foreign 10,612 7,654 4,363 Total $ (402,893) $ (285,105) $ (210,177) |
Schedule of Reconciliation of Effective Tax Rates | The reconciliation between the statutory federal income tax and the Company’s effective tax rates as a percentage of loss before income taxes were as follows: Year Ended January 31, 2023 2022 2021 Federal tax rate 21.0 % 21.0 % 21.0 % Stock-based compensation expense (2.4) 25.0 16.3 Change in valuation allowance (23.1) (52.8) (34.0) Transaction costs (0.1) — (1.8) Research and development credits 4.9 7.7 1.9 Convertible debt interest — (1.3) (3.6) Other (1.5) (0.8) (0.5) Effective income tax rate (1.2) % (1.2) % (0.7) % |
Schedule of Major Components of Deferred Tax Assets and Liabilities | The major components of deferred tax assets (liabilities) were as follows (in thousands): As of January 31, 2023 2022 Deferred tax assets: Net operating loss carryforwards $ 282,705 $ 282,385 Research and development tax credits 87,059 53,641 Stock-based compensation 14,731 12,947 Reserves and accrued expenses 6,714 3,825 Operating lease liabilities 52,922 54,556 R&D expense capitalization under Sec. 174 76,765 — Total deferred tax assets 520,896 407,354 Valuation allowance (470,548) (356,946) Total deferred tax assets, net of valuation allowance 50,348 50,408 Deferred tax liabilities: Right of use asset (41,434) (42,816) Deferred commissions (8,020) (5,320) Depreciation and amortization (2,123) (2,714) Total deferred tax liabilities (51,577) (50,850) Net deferred tax liabilities $ (1,229) $ (442) |
Schedule of Gross Unrecognized Tax Benefits Roll Forward | A reconciliation of the beginning and ending amounts of gross unrecognized tax benefits was as follows (in thousands): As of January 31, 2023 2022 Balance at the beginning of the year $ 19,826 $ 7,863 Increases - current period tax positions 7,666 11,410 Increases - prior period tax positions 4,246 553 Decreases - prior period tax positions — — Balance at the end of the year $ 31,738 $ 19,826 |
Geographic Information (Tables)
Geographic Information (Tables) | 12 Months Ended |
Jan. 31, 2023 | |
Segment Reporting [Abstract] | |
Revenue by Geographic Areas | Revenues Year Ended January 31, 2023 2022 2021 United States $ 330,238 $ 219,305 $ 131,534 International 216,974 159,132 95,470 Total revenues $ 547,212 $ 378,437 $ 227,004 |
Long-lived Assets by Geographic Areas | Long-Lived Assets As of January 31, 2023 2022 United States $ 265,582 $ 267,007 International 5,591 6,708 Total long-lived assets $ 271,173 $ 273,715 |
Restructuring (Tables)
Restructuring (Tables) | 12 Months Ended |
Jan. 31, 2023 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and Related Costs | The restructuring costs are recognized in the consolidated statement of operations for the year ended January 31, 2023 as follows: Severance and Related Charges Stock-Based Compensation Expense (Benefit) Total Cost of revenues $ 512 $ 38 $ 550 Research and development 33 2 35 Sales and marketing 5,921 661 6,582 General and administrative 1,914 179 2,093 Total $ 8,380 $ 880 $ 9,260 |
Basis of Presentation and Sum_4
Basis of Presentation and Summary of Significant Accounting Policies - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Sep. 29, 2020 | Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2021 | |
Debt Securities, Available-for-sale [Line Items] | ||||
Professional fees | $ 18,000 | |||
Issuance of redeemable convertible preferred stock upon net exercise (in shares) | 73,577,455 | |||
Advertising expense | $ 118,100 | $ 87,400 | $ 68,000 | |
Allowance for doubtful accounts | 2,300 | 2,000 | ||
Deferred revenue, noncurrent | $ 7,156 | $ 4,082 | ||
Minimum | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Marketable securities, term | 3 months | |||
Property and equipment, useful life | 2 years | |||
Maximum | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Marketable securities, term | 37 months | |||
Property and equipment, useful life | 5 years |
Basis of Presentation and Sum_5
Basis of Presentation and Summary of Significant Accounting Policies - Property And Equipment (Details) | 12 Months Ended |
Jan. 31, 2023 | |
Minimum | |
Property, Plant and Equipment [Line Items] | |
Property and equipment, useful life | 2 years |
Maximum | |
Property, Plant and Equipment [Line Items] | |
Property and equipment, useful life | 5 years |
Desktop and other computer equipment | Minimum | |
Property, Plant and Equipment [Line Items] | |
Property and equipment, useful life | 2 years |
Desktop and other computer equipment | Maximum | |
Property, Plant and Equipment [Line Items] | |
Property and equipment, useful life | 3 years |
Furniture and fixtures | |
Property, Plant and Equipment [Line Items] | |
Property and equipment, useful life | 5 years |
Capitalized internal-use software | |
Property, Plant and Equipment [Line Items] | |
Property and equipment, useful life | 3 years |
Revenue - Narrative (Details)
Revenue - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | |
Jan. 31, 2023 | Jan. 31, 2022 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Deferred revenue recognized | $ 170.1 | $ 103.9 |
Revenue, remaining performance obligation, amount | $ 299.2 | |
Deferred contract acquisition costs, amortization period | 3 years | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-02-01 | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Revenue, Remaining Performance Obligation, Percentage | 84% | |
Revenue, remaining performance obligation, expected timing of satisfaction, period | 12 months |
Revenue - Deferred Contract Acq
Revenue - Deferred Contract Acquisition Costs Activity (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2021 | |
Capitalized Contract Costs [Roll Forward] | |||
Beginning balance | $ 22,771 | $ 12,093 | |
Capitalization of contract acquisition costs | 28,910 | 19,325 | |
Amortization of deferred contract acquisition costs | (15,098) | (8,647) | $ (4,079) |
Ending balance | 36,583 | 22,771 | 12,093 |
Deferred contract acquisition costs, current | 18,049 | 10,797 | |
Deferred contract acquisition costs, noncurrent | 18,534 | 11,974 | |
Total deferred contract acquisition costs | $ 36,583 | $ 22,771 | $ 12,093 |
Fair Value Measurements - Fair
Fair Value Measurements - Fair Value Hierarchy (Details) - USD ($) $ in Thousands | Jan. 31, 2023 | Jan. 31, 2022 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | $ 289,001 | $ 176,855 |
Marketable securities | 2,739 | 71,628 |
Total assets | 291,740 | 251,243 |
Money market funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | 289,001 | 176,855 |
Commercial paper | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketable securities | 0 | 44,943 |
Corporate bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketable securities | 2,739 | 26,685 |
Corporate bonds | 0 | 2,760 |
Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | 289,001 | 176,855 |
Marketable securities | 0 | 0 |
Total assets | 289,001 | 176,855 |
Level 1 | Money market funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | 289,001 | 176,855 |
Level 1 | Commercial paper | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketable securities | 0 | 0 |
Level 1 | Corporate bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketable securities | 0 | 0 |
Corporate bonds | 0 | 0 |
Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | 0 | 0 |
Marketable securities | 2,739 | 71,628 |
Total assets | 2,739 | 74,388 |
Level 2 | Money market funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | 0 | 0 |
Level 2 | Commercial paper | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketable securities | 0 | 44,943 |
Level 2 | Corporate bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketable securities | 2,739 | 26,685 |
Corporate bonds | 0 | 2,760 |
Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | 0 | 0 |
Marketable securities | 0 | 0 |
Total assets | 0 | 0 |
Level 3 | Money market funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | 0 | 0 |
Level 3 | Commercial paper | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketable securities | 0 | 0 |
Level 3 | Corporate bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketable securities | 0 | 0 |
Corporate bonds | $ 0 | $ 0 |
Fair Value Measurements - Inves
Fair Value Measurements - Investments (Details) - USD ($) $ in Thousands | Jan. 31, 2023 | Jan. 31, 2022 |
Current assets | ||
Amortized Cost | $ 2,744 | $ 71,681 |
Gross Unrealized Gains | 0 | 3 |
Gross Unrealized Losses | (5) | (56) |
Estimated Fair Value | 2,739 | 71,628 |
Non-current Assets | ||
Total assets, amortized cost | 2,744 | 74,455 |
Total assets, gross unrealized gains | 0 | 3 |
Total assets, gross unrealized loss | (5) | (70) |
Total assets, estimated estimated fair value | 2,739 | 74,388 |
Commercial paper | ||
Current assets | ||
Amortized Cost | 0 | 44,951 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | (8) |
Estimated Fair Value | 0 | 44,943 |
Corporate bonds | ||
Current assets | ||
Amortized Cost | 2,744 | 26,730 |
Gross Unrealized Gains | 0 | 3 |
Gross Unrealized Losses | (5) | (48) |
Estimated Fair Value | 2,739 | 26,685 |
Non-current Assets | ||
Amortized Cost | 0 | 2,774 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | (14) |
Estimated Fair Value | $ 0 | $ 2,760 |
Fair Value Measurements - Narra
Fair Value Measurements - Narrative (Details) - Fair Value - USD ($) $ in Millions | Jun. 26, 2020 | Jan. 30, 2020 |
January 2020 Convertible Note | ||
Debt Instrument [Line Items] | ||
Convertible debt, fair value disclosures | $ 203 | |
June 2020 Convertible Note | ||
Debt Instrument [Line Items] | ||
Convertible debt, fair value disclosures | $ 112 |
Balance Sheet Components - Prop
Balance Sheet Components - Property and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2021 | |
Property, Plant and Equipment [Line Items] | |||
Total gross property and equipment | $ 126,050 | $ 119,039 | |
Less: Accumulated depreciation and amortization | (31,066) | (19,407) | |
Total property and equipment, net | 94,984 | 99,632 | |
Depreciation and amortization | 12,700 | 8,500 | $ 3,500 |
Leasehold improvements | |||
Property, Plant and Equipment [Line Items] | |||
Total gross property and equipment | 98,264 | 94,458 | |
Capitalized internal-use software | |||
Property, Plant and Equipment [Line Items] | |||
Total gross property and equipment | 15,005 | 12,249 | |
Furniture and fixtures | |||
Property, Plant and Equipment [Line Items] | |||
Total gross property and equipment | 10,325 | 8,788 | |
Desktop and other computer equipment | |||
Property, Plant and Equipment [Line Items] | |||
Total gross property and equipment | 1,804 | 2,217 | |
Construction in progress | |||
Property, Plant and Equipment [Line Items] | |||
Total gross property and equipment | $ 652 | $ 1,327 |
Balance Sheet Components - Capi
Balance Sheet Components - Capitalized Software Costs (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jan. 31, 2023 | Jan. 31, 2022 | |
Movement in Capitalized Computer Software, Net [Roll Forward] | ||
Beginning balance | $ 2,353 | $ 1,356 |
Capitalization of internal-use software costs | 2,756 | 1,750 |
Amortization of internal-use software costs | (1,074) | (753) |
Ending balance | $ 4,035 | $ 2,353 |
Balance Sheet Components - Prep
Balance Sheet Components - Prepaid Expenses and Other Current Assets (Details) - USD ($) $ in Thousands | Jan. 31, 2023 | Jan. 31, 2022 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Prepaid expenses | $ 25,134 | $ 22,970 |
Deferred contract acquisition costs, current | 18,049 | 10,797 |
Other current assets | 5,543 | 6,511 |
Total prepaid expenses and other current assets | $ 48,726 | $ 40,278 |
Balance Sheet Components - Accr
Balance Sheet Components - Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands | Jan. 31, 2023 | Jan. 31, 2022 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Accrued payroll liabilities | $ 22,336 | $ 16,906 |
Accrued sales and value-added taxes | 13,347 | 7,219 |
Accrued advertising expenses | 10,565 | 9,359 |
Accrued taxes for fringe benefits | 8,064 | 3,953 |
Accrued consulting expenses | 4,076 | 4,303 |
Accrued property and equipment | 409 | 465 |
Other liabilities | 24,691 | 18,710 |
Total accrued expenses and other current liabilities | $ 83,488 | $ 60,915 |
Convertible Notes_Related Par_3
Convertible Notes—Related Party - Narrative (Details) $ in Millions | 1 Months Ended | 6 Months Ended | |||
Jul. 01, 2021 USD ($) shares | Sep. 29, 2020 shares | Jul. 31, 2021 shares | Jun. 30, 2020 USD ($) debt_instrument | Jan. 31, 2020 USD ($) | |
Related Party Transaction [Line Items] | |||||
Issuance of redeemable convertible preferred stock upon net exercise (in shares) | shares | 73,577,455 | ||||
Convertible Debt | |||||
Related Party Transaction [Line Items] | |||||
Number of debt instruments issued in the period | debt_instrument | 2 | ||||
Long-term debt | $ 368.5 | ||||
Accrued interest | 20.4 | ||||
Unamortized discount | $ 101.9 | ||||
Convertible Debt | Common Class B | |||||
Related Party Transaction [Line Items] | |||||
Issuance of redeemable convertible preferred stock upon net exercise (in shares) | shares | 17,012,822 | 17,012,822 | |||
June 2020 Convertible Note | Convertible Debt | |||||
Related Party Transaction [Line Items] | |||||
Convertible notes, interest rate, stated percentage | 3.50% | 3.50% | |||
Long-term debt, face amount | $ 150 | ||||
January 2020 Convertible Note | Convertible Debt | |||||
Related Party Transaction [Line Items] | |||||
Long-term debt, face amount | $ 300 |
Convertible Notes_Related Par_4
Convertible Notes—Related Party - Interest Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2021 | |
Related Party Transaction [Line Items] | |||
Amortization of debt discount | $ 41 | $ 10,645 | $ 22,369 |
Convertible Notes | |||
Related Party Transaction [Line Items] | |||
Amortization of debt discount | 0 | 10,628 | 22,357 |
Contractual interest expense | 0 | 6,670 | 13,681 |
Total interest expense | $ 0 | $ 17,298 | $ 36,038 |
Debt - Narrative (Details)
Debt - Narrative (Details) - USD ($) | 1 Months Ended | 12 Months Ended | |||
Nov. 30, 2022 | Apr. 30, 2020 | Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2021 | |
Line of Credit Facility [Line Items] | |||||
Letters of credit outstanding, amount | $ 23,600,000 | $ 20,200,000 | |||
Proceeds from term loan, net of issuance costs | 49,555,000 | 9,000,000 | $ 30,915,000 | ||
Upfront issuance fees | $ 400,000 | ||||
Credit Agreement | |||||
Line of Credit Facility [Line Items] | |||||
Debt instrument, term | 4 years | ||||
Long-term debt | 50,000,000 | 38,333,000 | |||
Upfront issuance fees | 179,000 | $ 54,000 | |||
Credit Agreement | Letter of Credit | |||||
Line of Credit Facility [Line Items] | |||||
Line of credit, maximum borrowing capacity | $ 30,000,000 | ||||
Credit Agreement | Maximum | Revolving Credit Facility | |||||
Line of Credit Facility [Line Items] | |||||
Debt instrument, covenant, consolidated adjusted quick ratio | 1.25 | ||||
Credit Agreement | Minimum | Revolving Credit Facility | |||||
Line of Credit Facility [Line Items] | |||||
Debt instrument, covenant, consolidated adjusted quick ratio | 1 | ||||
Secured Debt | Term Loan Agreement | |||||
Line of Credit Facility [Line Items] | |||||
Long-term debt, term | 5 years | ||||
Long-term debt, face amount | $ 40,000,000 | ||||
Proceeds from term loan, net of issuance costs | 50,000,000 | ||||
Long-term debt | 50,000,000 | ||||
Secured Debt | Term Loan Agreement | Maximum | Prime Rate | |||||
Line of Credit Facility [Line Items] | |||||
Debt instrument, basis spread on variable rate | (1.00%) | ||||
Secured Debt | Term Loan Agreement | Minimum | Prime Rate | |||||
Line of Credit Facility [Line Items] | |||||
Debt instrument, basis spread on variable rate | 0% | ||||
Line of Credit | Credit Agreement | |||||
Line of Credit Facility [Line Items] | |||||
Line of credit, maximum borrowing capacity | $ 150,000,000 | ||||
Line of Credit | Credit Agreement | Term Loan Facility | |||||
Line of Credit Facility [Line Items] | |||||
Long-term debt, face amount | $ 50,000,000 | ||||
Debt instrument, basis spread on variable rate | 2.25% | ||||
Line of Credit | Credit Agreement | Revolving Credit Facility | |||||
Line of Credit Facility [Line Items] | |||||
Line of credit, maximum borrowing capacity | $ 100,000,000 | ||||
Line of credit facility, commitment fee percentage | 0.15% | ||||
Letters of credit outstanding, amount | 23,600,000 | ||||
Line of credit facility, remaining borrowing capacity | $ 76,400,000 | ||||
Upfront issuance fees | $ 300,000 | ||||
Line of Credit | Credit Agreement | ABR Loans | |||||
Line of Credit Facility [Line Items] | |||||
Convertible notes, interest rate, stated percentage | 1.25% | ||||
Line of Credit | Credit Agreement | Secured Overnight Financing Rate (SOFR) | Term Loan Facility | |||||
Line of Credit Facility [Line Items] | |||||
Debt instrument, basis spread on variable rate | 0.10% |
Debt - Net Carrying Amount of T
Debt - Net Carrying Amount of Term Loan (Details) - USD ($) $ in Thousands | Jan. 31, 2023 | Nov. 30, 2022 | Jan. 31, 2022 |
Debt Instrument [Line Items] | |||
Unamortized loan issuance costs | $ (400) | ||
Credit Agreement | |||
Debt Instrument [Line Items] | |||
Principal | $ 50,000 | $ 38,333 | |
Accrued interest | 218 | 74 | |
Unamortized loan issuance costs | (179) | (54) | |
Long-Term Debt, Total | 50,039 | 38,353 | |
Credit facilities, current | 3,343 | 3,741 | |
Credit facilities, noncurrent | $ 46,696 | $ 34,612 |
Commitments and Contingencies (
Commitments and Contingencies (Details) - USD ($) $ in Millions | 1 Months Ended | ||
Jan. 31, 2021 | Jan. 31, 2023 | Jan. 31, 2022 | |
Commitments and contingencies (Note 8) | |||
Letters of credit outstanding, amount | $ 23.6 | $ 20.2 | |
Long-term purchase commitment, period | 60 months | ||
Purchase obligation | $ 103.5 | ||
Purchase obligation, maximum offsetting amount | $ 7.3 | ||
Purchase commitments, credits earned | 5 | ||
Hosting-Related Services | |||
Commitments and contingencies (Note 8) | |||
Purchase commitment remaining | 64.3 | ||
Software-based Services | |||
Commitments and contingencies (Note 8) | |||
Purchase commitment remaining | $ 16.7 |
Leases - Components of Lease Co
Leases - Components of Lease Cost (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2021 | |
Leases [Abstract] | |||
Operating lease costs (in thousands) | $ 36,542 | $ 36,494 | $ 25,192 |
Short-term lease costs (in thousands) | 2,946 | 3,240 | 3,464 |
Variable lease costs (in thousands) | 2,269 | 1,452 | 1,553 |
Total lease costs | $ 41,757 | $ 41,186 | $ 30,209 |
Weighted-average remaining lease term (in years) | 10 years 2 months 12 days | 11 years 4 months 24 days | 12 years 1 month 6 days |
Weighted-average discount rate | 9.60% | 9.50% | 9.50% |
Cash paid for amounts included in the measurement of operating lease liabilities | $ 34,816 | $ 12,021 | $ 1,726 |
Right-of-use assets obtained in exchange for new operating lease liabilities | $ 17,809 | $ 7,997 | $ 177,716 |
Leases - Future Minimum Lease P
Leases - Future Minimum Lease Payments (Details) $ in Thousands | Jan. 31, 2023 USD ($) |
Leases [Abstract] | |
2024 | $ 34,791 |
2025 | 32,710 |
2026 | 31,871 |
2027 | 32,738 |
2028 and thereafter | 228,770 |
Total undiscounted operating lease payments | 360,880 |
Less: imputed interest | (136,037) |
Total operating lease liabilities | $ 224,843 |
Leases - Narrative (Details)
Leases - Narrative (Details) $ in Millions | Jan. 31, 2023 USD ($) |
Leases [Abstract] | |
Future minimum lease payments | $ 30.2 |
Net Loss per Share (Details)
Net Loss per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2021 | |
Numerator: | |||
Net loss | $ (407,768) | $ (288,342) | $ (211,710) |
Denominator: | |||
Weighted average number of shares outstanding, basic (in shares) | 200,034 | 176,401 | 106,344 |
Weighted average number of shares outstanding, diluted (in shares) | 200,034 | 176,401 | 106,344 |
Net loss per share, basic (in usd per share) | $ (2.04) | $ (1.63) | $ (1.99) |
Net loss per share, diluted (in usd per share) | $ (2.04) | $ (1.63) | $ (1.99) |
Net Loss per Share - Antidiluti
Net Loss per Share - Antidilutive Securities (Details) - shares | 1 Months Ended | 12 Months Ended | ||||
Jul. 01, 2021 | Sep. 29, 2020 | Jul. 31, 2021 | Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2021 | |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||||||
Antidilutive securities (in shares) | 27,088,000 | 23,649,000 | 31,438,000 | |||
Issuance of redeemable convertible preferred stock upon net exercise (in shares) | 73,577,455 | |||||
Convertible Debt | Common Class B | ||||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||||||
Issuance of redeemable convertible preferred stock upon net exercise (in shares) | 17,012,822 | 17,012,822 | ||||
Stock options | ||||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||||||
Antidilutive securities (in shares) | 11,941,000 | 14,383,000 | 22,340,000 | |||
Restricted stock units | ||||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||||||
Antidilutive securities (in shares) | 14,591,000 | 8,812,000 | 8,199,000 | |||
Early exercised stock options | ||||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||||||
Antidilutive securities (in shares) | 27,864 | 205,361 | 714,000 | |||
Shares issuable pursuant to the 2020 Employee Stock Purchase Plan | ||||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||||||
Antidilutive securities (in shares) | 528,000 | 249,000 | 185,000 |
Stockholders' Equity (Deficit_2
Stockholders' Equity (Deficit) - Narrative (Details) $ / shares in Units, $ in Thousands | 1 Months Ended | 12 Months Ended | |||||
Feb. 01, 2022 shares | Sep. 30, 2020 period shares | Sep. 30, 2022 USD ($) $ / shares shares | Jan. 31, 2023 USD ($) vote shares | Jan. 31, 2022 USD ($) shares | Jan. 31, 2021 USD ($) shares | Feb. 01, 2021 shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Common stock, shares authorized (in shares) | 1,500,000,000 | 1,500,000,000 | |||||
Common stock, shares issued (in shares) | 214,293,000 | 188,298,000 | |||||
Common stock, shares outstanding (in shares) | 214,293,000 | 188,298,000 | |||||
Share-based compensation arrangement, number of shares, period increase (decrease) | 9,414,923 | ||||||
Antidilutive securities (in shares) | 27,088,000 | 23,649,000 | 31,438,000 | ||||
Share-based compensation arrangement, offering period | 24 months | ||||||
Share-based compensation arrangement, number of purchase periods | period | 4 | ||||||
Total stock-based compensation expense | $ | $ 188,962 | $ 104,561 | $ 34,225 | ||||
Employee contributions withheld | $ | 6,900 | 7,200 | |||||
Unrecognized expense | $ | $ 372,532 | $ 389,140 | |||||
Early exercised stock options | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Antidilutive securities (in shares) | 27,864 | 205,361 | 714,000 | ||||
Stock options | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Options, expiration period | 10 years | ||||||
Exercise price, minimum threshold, as a 100% of estimated fair value on the date of grant | 100% | ||||||
Vesting period | 4 years | ||||||
Stock options | Tranche One | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Vesting percentage | 25% | ||||||
Stock options | Tranche Two | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Vesting percentage | 2.08% | ||||||
Restricted stock units | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Vesting period | 4 years | ||||||
Shares issuable pursuant to the 2020 Employee Stock Purchase Plan | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Common stock, shares reserved for future issuance (in shares) | 2,000,000 | ||||||
Common stock, shares pursuant to evergreen provisions of ESPP (in shares) | 5,497,785 | ||||||
Total stock-based compensation expense | $ | $ 12,800 | $ 8,000 | |||||
Unrecognized expense | $ | $ 12,600 | ||||||
Unrecognized expense, period for recognition | 1 year 1 month 6 days | ||||||
Common Class A | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Common stock, shares authorized (in shares) | 1,000,000,000 | ||||||
Number of votes per share | vote | 1 | ||||||
Conversion of stock, shares converted (in shares) | 1 | ||||||
Common stock, shares issued (in shares) | 128,803,395 | 102,809,115 | |||||
Common stock, shares outstanding (in shares) | 128,803,395 | 102,809,115 | |||||
Common Class A | Private Placement, Related Party | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Stock issued during period, new issues (in shares) | 19,273,127 | ||||||
Shares issued, price per share (in dollars per share) | $ / shares | $ 18.16 | ||||||
Sale of stock, consideration received on transaction, gross | $ | $ 350,000 | ||||||
Payments of stock issuance costs | $ | $ 2,700 | ||||||
Sale of stock, consideration received on transaction | $ | $ 347,300 | ||||||
Common Class A | Shares issuable pursuant to the 2020 Employee Stock Purchase Plan | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Common stock, shares pursuant to evergreen provisions of ESPP (in shares) | 3,614,801 | ||||||
Share-based compensation arrangement, offering period | 6 months | ||||||
Purchase price of common stock, percent | 85% | ||||||
Common Class B | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Common stock, shares authorized (in shares) | 500,000,000 | ||||||
Number of votes per share | vote | 10 | ||||||
Common stock, shares issued (in shares) | 85,489,359 | 85,489,359 | |||||
Common stock, shares outstanding (in shares) | 85,489,359 | 85,489,359 |
Stockholders' Equity (Deficit_3
Stockholders' Equity (Deficit) - Schedule of Option Activity (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2021 | |
Number of Shares | |||
Beginning balance (in shares) | 14,383 | ||
Options granted (in shares) | 0 | ||
Options exercised (in shares) | (2,021) | ||
Options canceled (in shares) | (421) | ||
Ending balance (in shares) | 11,941 | 14,383 | |
Vested and exercisable, end of period (in shares) | 10,769 | ||
Vested and expected to vest, end of period (in shares) | 11,969 | ||
Weighted- Average Exercise Price | |||
Beginning balance (in dollars per share) | $ 3.02 | ||
Options granted (in dollars per share) | 0 | ||
Options exercised (in dollars per share) | 2.86 | ||
Options canceled (in dollars per share) | 5.34 | ||
Ending balance (in dollars per share) | 2.96 | $ 3.02 | |
Vested and exercisable, end of period (in dollars per share) | 2.78 | ||
Vested and expected to vest, end of period (in dollars per share) | $ 2.96 | ||
Weighted- Average Remaining Contractual Term (in years) | |||
Weighted average remaining contractual term (in years) | 5 years 1 month 6 days | 6 years 1 month 6 days | |
Weighted average remaining contractual term, vested and exercisable (in years) | 5 years | ||
Weighted average remaining contractual term, vested and expected to vest (in years) | 5 years 1 month 6 days | ||
Aggregate Intrinsic Value | |||
Aggregate intrinsic value, outstanding | $ 149,738 | $ 711,455 | |
Aggregate intrinsic value, vested and exercisable | 136,949 | ||
Aggregate intrinsic value, vested and expected to vest | $ 150,090 | ||
Weighted-average grant-date fair value per share (in dollars per share) | $ 0 | $ 0 | $ 6.77 |
Aggregate intrinsic value of options exercised (in thousands) | $ 52,687 | $ 404,964 | $ 238,165 |
Stockholders' Equity (Deficit_4
Stockholders' Equity (Deficit) - Fair Value Assumptions (Details) | 12 Months Ended |
Jan. 31, 2021 | |
Share-Based Payment Arrangement [Abstract] | |
Risk-free interest rate | 1.20% |
Expected term | 8 years |
Dividend yield | 0% |
Expected volatility | 44.60% |
Stockholders' Equity (Deficit_5
Stockholders' Equity (Deficit) - Schedule of RSU Activity (Details) - Restricted stock units - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | |
Jan. 31, 2023 | Jan. 31, 2022 | |
Number of Shares | ||
Beginning balance (in shares) | 8,812 | |
RSUs granted (in shares) | 12,567 | |
RSUs vested (in shares) | (4,339) | |
RSUs cancelled/forfeited (in shares) | (2,449) | |
Ending balance (in shares) | 14,591 | |
RSUs vested, not released (in shares) | 858 | |
Weighted- Average Grant Date Fair Value | ||
Beginning balance (in dollars per share) | $ 47.07 | |
RSUs granted (in dollars per share) | 20.31 | |
RSUs vested, and released (in dollars per share) | 39.71 | |
RSUs cancelled/forfeited (in dollars per share) | 37.86 | |
Ending balance (in dollars per share) | 27.75 | |
RSUs vested, not yet released (in dollars per share) | $ 38.36 | |
Aggregate intrinsic value | $ 226,145 | $ 462,426 |
Stockholders' Equity (Deficit_6
Stockholders' Equity (Deficit) - Stock-based Compensation Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total stock-based compensation expense | $ 188,962 | $ 104,561 | $ 34,225 |
Unrecognized expense, stock options | 3,230 | 12,248 | |
Unrecognized expense, RSUs | 369,302 | 376,892 | |
Unrecognized expense | $ 372,532 | $ 389,140 | |
Weighted-average expected recognition period | 2 years 10 months 24 days | 2 years 10 months 24 days | |
Stock options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted-average expected recognition period | 1 year 7 months 6 days | 1 year 8 months 12 days | |
Restricted stock units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted-average expected recognition period | 2 years 10 months 24 days | 3 years | |
Cost of revenues | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total stock-based compensation expense | $ 1,658 | $ 806 | 305 |
Research and development | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total stock-based compensation expense | 100,083 | 57,480 | 18,606 |
Sales and marketing | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total stock-based compensation expense | 58,504 | 29,631 | 9,387 |
General and administrative | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total stock-based compensation expense | $ 28,717 | $ 16,644 | $ 5,927 |
Stockholders' Equity (Deficit_7
Stockholders' Equity (Deficit) - ESPP Fair Value Assumptions (Details) | 12 Months Ended | ||
Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Risk-free interest rate | 1.20% | ||
Expected term | 8 years | ||
Dividend yield | 0% | ||
Expected volatility | 44.60% | ||
Shares issuable pursuant to the 2020 Employee Stock Purchase Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Risk-free interest rate | 0.10% | ||
Dividend yield | 0% | 0% | 0% |
Shares issuable pursuant to the 2020 Employee Stock Purchase Plan | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Risk-free interest rate | 0.90% | 0.10% | |
Expected term | 6 months | 6 months | 6 months |
Expected volatility | 46.20% | 36.80% | 50.80% |
Shares issuable pursuant to the 2020 Employee Stock Purchase Plan | Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Risk-free interest rate | 4% | 0.20% | |
Expected term | 2 years | 2 years | 2 years |
Expected volatility | 64.10% | 53.80% | 55.30% |
Employee Benefit Plans- Narrati
Employee Benefit Plans- Narrative (Details) | 12 Months Ended |
Jan. 31, 2023 USD ($) | |
Postemployment Benefits [Abstract] | |
Defined contribution plan, employer discretionary contribution amount | $ 0 |
Interest Income and Other Inc_3
Interest Income and Other Income (Expense), Net (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2021 | |
Other Income and Expenses [Abstract] | |||
Interest income | $ 7,910 | $ 506 | $ 956 |
Unrealized gains (losses) on foreign currency transactions | 801 | (953) | 642 |
Other non-operating expense | (1,778) | (1,089) | (30) |
Interest income and other income (expense), net | $ 6,933 | $ (1,536) | $ 1,568 |
Income Taxes - Components of In
Income Taxes - Components of Income and Income Tax Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2021 | |
Current: | |||
United States | $ 0 | $ 0 | $ 0 |
State | 45 | 0 | 73 |
Foreign | 4,009 | 3,031 | 1,226 |
Total current: | 4,054 | 3,031 | 1,299 |
Deferred: | |||
United States | 0 | 0 | 0 |
State | 0 | 0 | 0 |
Foreign | 821 | 206 | 234 |
Total deferred | 821 | 206 | 234 |
Provision for income taxes | $ 4,875 | $ 3,237 | $ 1,533 |
Income Taxes - Components of _2
Income Taxes - Components of Income (Loss) Before Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2021 | |
Income Tax Disclosure [Abstract] | |||
United States | $ (413,505) | $ (292,759) | $ (214,540) |
Foreign | 10,612 | 7,654 | 4,363 |
Loss before provision for income taxes | $ (402,893) | $ (285,105) | $ (210,177) |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of Effective Tax Rates (Details) | 12 Months Ended | ||
Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2021 | |
Income Tax Disclosure [Abstract] | |||
Federal tax rate | 21% | 21% | 21% |
Stock-based compensation expense | (2.40%) | 25% | 16.30% |
Change in valuation allowance | (23.10%) | (52.80%) | (34.00%) |
Transaction costs | (0.10%) | 0% | (1.80%) |
Research and development credits | 4.90% | 7.70% | 1.90% |
Convertible debt interest | 0% | (1.30%) | (3.60%) |
Other | (1.50%) | (0.80%) | (0.50%) |
Effective income tax rate | (1.20%) | (1.20%) | (0.70%) |
Income Taxes - Components of De
Income Taxes - Components of Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Jan. 31, 2023 | Jan. 31, 2022 |
Deferred tax assets: | ||
Net operating loss carryforwards | $ 282,705 | $ 282,385 |
Research and development tax credits | 87,059 | 53,641 |
Stock-based compensation | 14,731 | 12,947 |
Reserves and accrued expenses | 6,714 | 3,825 |
Operating lease liabilities | 52,922 | 54,556 |
R&D expense capitalization under Sec. 174 | 76,765 | 0 |
Total deferred tax assets | 520,896 | 407,354 |
Valuation allowance | (470,548) | (356,946) |
Total deferred tax assets, net of valuation allowance | 50,348 | 50,408 |
Deferred tax liabilities: | ||
Right of use asset | (41,434) | (42,816) |
Deferred commissions | (8,020) | (5,320) |
Depreciation and amortization | (2,123) | (2,714) |
Total deferred tax liabilities | (51,577) | (50,850) |
Net deferred tax liabilities | $ (1,229) | $ (442) |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) | 12 Months Ended | ||
Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2021 | |
Income Tax Contingency [Line Items] | |||
Valuation allowance increase (decrease) | $ 113,600,000 | $ 174,400,000 | $ 86,400,000 |
Research and development tax credits | 87,059,000 | 53,641,000 | |
Unrecognized tax benefits, accrued interest and penalties | 0 | $ 0 | |
Domestic Tax Authority | |||
Income Tax Contingency [Line Items] | |||
Operating loss carryforwards | 1,169,500,000 | ||
Research and development tax credits | 73,200,000 | ||
State and Local Jurisdiction | |||
Income Tax Contingency [Line Items] | |||
Operating loss carryforwards | 632,100,000 | ||
Research and development tax credits | $ 53,700,000 |
Income Taxes - Reconciliation_2
Income Taxes - Reconciliation of Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jan. 31, 2023 | Jan. 31, 2022 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | ||
Beginning balance | $ 19,826 | $ 7,863 |
Increases - current period tax positions | 7,666 | 11,410 |
Increases - prior period tax positions | 4,246 | 553 |
Decreases - prior period tax positions | 0 | 0 |
Ending balance | $ 31,738 | $ 19,826 |
Geographic Information (Details
Geographic Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2021 | |
Segment Reporting, Revenue Reconciling Item [Line Items] | |||
Revenues | $ 547,212 | $ 378,437 | $ 227,004 |
Long-lived assets | 271,173 | 273,715 | |
United States | |||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||
Revenues | 330,238 | 219,305 | 131,534 |
Long-lived assets | 265,582 | 267,007 | |
International | |||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||
Revenues | 216,974 | 159,132 | $ 95,470 |
Long-lived assets | $ 5,591 | $ 6,708 |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) $ / shares in Units, $ in Millions | 1 Months Ended | 12 Months Ended | ||
Sep. 30, 2022 | Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2021 | |
Common Class A | Private Placement, Related Party | ||||
Related Party Transaction [Line Items] | ||||
Stock issued during period, new issues (in shares) | 19,273,127 | |||
Shares issued, price per share (in dollars per share) | $ 18.16 | |||
Sale of stock, consideration received on transaction, gross | $ 350 | |||
Affiliated Entity | ||||
Related Party Transaction [Line Items] | ||||
Due from related parties | $ 1.7 | $ 0.1 | ||
Affiliated Entity | Lease Expense | ||||
Related Party Transaction [Line Items] | ||||
Amount of related party transactions | 2 | $ 2 | ||
Affiliated Entity | Advertising Agreement One | ||||
Related Party Transaction [Line Items] | ||||
Amount of related party transactions | 1.8 | $ 1 | ||
Affiliated Entity | Advertising Agreement Two | ||||
Related Party Transaction [Line Items] | ||||
Amount of related party transactions | $ 3.2 |
Restructuring - Narrative (Deta
Restructuring - Narrative (Details) $ in Thousands | 3 Months Ended | 12 Months Ended |
Jan. 31, 2023 USD ($) | Jan. 31, 2023 USD ($) | |
Restructuring and Related Activities [Abstract] | ||
Headcount reduction, percent | 9% | |
Restructuring costs | $ 9,260 | |
Restructuring reserve, current | $ 900 | $ 900 |
Restructuring - Restructuring C
Restructuring - Restructuring Costs (Details) $ in Thousands | 12 Months Ended |
Jan. 31, 2023 USD ($) | |
Restructuring Cost and Reserve [Line Items] | |
Severance and Related Charges | $ 8,380 |
Stock-Based Compensation Expense (Benefit) | 880 |
Total | 9,260 |
Cost of revenues | |
Restructuring Cost and Reserve [Line Items] | |
Severance and Related Charges | 512 |
Stock-Based Compensation Expense (Benefit) | 38 |
Total | 550 |
Research and development | |
Restructuring Cost and Reserve [Line Items] | |
Severance and Related Charges | 33 |
Stock-Based Compensation Expense (Benefit) | 2 |
Total | 35 |
Sales and marketing | |
Restructuring Cost and Reserve [Line Items] | |
Severance and Related Charges | 5,921 |
Stock-Based Compensation Expense (Benefit) | 661 |
Total | 6,582 |
General and administrative | |
Restructuring Cost and Reserve [Line Items] | |
Severance and Related Charges | 1,914 |
Stock-Based Compensation Expense (Benefit) | 179 |
Total | $ 2,093 |