Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jul. 31, 2020 | Aug. 31, 2020 | |
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jul. 31, 2020 | |
Document Transition Report | false | |
Entity File Number | 001-38933 | |
Entity Registrant Name | CROWDSTRIKE HOLDINGS, INC. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 45-3788918 | |
Entity Address, Address Line One | 150 Mathilda Place | |
Entity Address, Address Line Two | Suite 300 | |
Entity Address, City or Town | Sunnyvale | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 94086 | |
Title of 12(b) Security | Class A common stock, par value $0.0005 per share | |
Trading Symbol | CRWD | |
Security Exchange Name | NASDAQ | |
City Area Code | 888 | |
Local Phone Number | 512-8906 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | true | |
Entity Ex Transition Period | false | |
Entity Shell Company | false | |
Entity Central Index Key | 0001535527 | |
Current Fiscal Year End Date | --01-31 | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false | |
Class A common stock | ||
Entity Common Stock, Shares Outstanding | 184,410,223 | |
Class B common stock | ||
Entity Common Stock, Shares Outstanding | 35,038,535 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Jul. 31, 2020 | Jan. 31, 2020 |
Current assets: | ||
Cash and cash equivalents | $ 1,064,734 | $ 264,798 |
Marketable securities | 0 | 647,266 |
Accounts receivable, net of allowance for doubtful accounts of $1.3 million and $1.1 million as of July 31, 2020 and January 31, 2020, respectively | 149,236 | 164,987 |
Deferred contract acquisition costs, current | 53,837 | 42,971 |
Prepaid expenses and other current assets | 48,174 | 51,614 |
Total current assets | 1,315,981 | 1,171,636 |
Strategic investments | 2,000 | 1,000 |
Property and equipment, net | 153,303 | 136,078 |
Operating lease right-of-use assets | 40,454 | 0 |
Deferred contract acquisition costs, noncurrent | 81,186 | 71,235 |
Goodwill | 8,131 | 7,722 |
Total amortization expense | 347 | 527 |
Other assets | 15,550 | 16,708 |
Total assets | 1,616,952 | 1,404,906 |
Current liabilities: | ||
Accounts payable | 10,118 | 1,345 |
Accrued expenses | 19,211 | 30,355 |
Accrued payroll and benefits | 36,099 | 36,810 |
Operating lease liabilities, current | 8,643 | 0 |
Deferred revenue | 515,081 | 412,985 |
Other current liabilities | 14,140 | 11,601 |
Total current liabilities | 603,292 | 493,096 |
Deferred revenue, noncurrent | 174,759 | 158,183 |
Operating lease liabilities, noncurrent | 36,134 | 0 |
Other liabilities, noncurrent | 10,752 | 11,020 |
Total liabilities | 824,937 | 662,299 |
Stockholders’ Equity | ||
Preferred stock, $0.0005 par value; 100,000 shares authorized as of July 31, 2020 and January 31, 2020; no shares issued and outstanding as of July 31, 2020 and January 31, 2020 | 0 | 0 |
Additional paid-in capital | 1,476,323 | 1,378,479 |
Accumulated deficit | (686,583) | (637,487) |
Accumulated other comprehensive income | 1,115 | 1,009 |
Total CrowdStrike Holdings, Inc. stockholders’ equity | 790,965 | 742,107 |
Non-controlling interest | 1,050 | 500 |
Total stockholders’ equity | 792,015 | 742,607 |
Total liabilities and stockholders’ equity | 1,616,952 | 1,404,906 |
Class A and Class B common stock | ||
Stockholders’ Equity | ||
Class A common stock, $0.0005 par value; 2,000,000 shares authorized as of July 31, 2020 and January 31, 2020, respectively; 183,609 shares and 107,666 shares issued and outstanding as of July 31, 2020 and January 31, 2020, respectively; Class B common stock, $0.0005 par value; 300,000 shares authorized as of July 31, 2020 and January 31, 2020, respectively; 35,585 shares and 105,282 shares issued and outstanding as of July 31, 2020 and January 31, 2020, respectively | $ 110 | $ 106 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions | Jul. 31, 2020 | Jan. 31, 2020 |
Accounts receivable, allowance for doubtful accounts | $ 1.3 | $ 1.1 |
Preferred stock, par value (in usd per share) | $ 0.0005 | $ 0.0005 |
Preferred stock, shares authorized (in shares) | 100,000,000 | 100,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Class A common stock | ||
Common stock, par value (in usd per share) | $ 0.0005 | $ 0.0005 |
Common stock, shares authorized (in shares) | 2,000,000,000 | 2,000,000,000 |
Common stock, shares issued (in shares) | 183,609,000 | 107,666,000 |
Common stock, shares outstanding (in shares) | 183,609,000 | 107,666,000 |
Class B common stock | ||
Common stock, par value (in usd per share) | $ 0.0005 | $ 0.0005 |
Common stock, shares authorized (in shares) | 300,000,000 | 300,000,000 |
Common stock, shares issued (in shares) | 35,585,000 | 105,282,000 |
Common stock, shares outstanding (in shares) | 35,585,000 | 105,282,000 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2020 | Jul. 31, 2019 | Jul. 31, 2020 | Jul. 31, 2019 | |
Revenue | ||||
Total revenue | $ 198,971 | $ 108,108 | $ 377,049 | $ 204,185 |
Cost of revenue | ||||
Total cost of revenue | 54,391 | 31,582 | 101,286 | 60,856 |
Gross profit | 144,580 | 76,526 | 275,763 | 143,329 |
Operating expenses | ||||
Sales and marketing | 95,127 | 65,274 | 183,265 | 122,117 |
Research and development | 50,483 | 31,630 | 91,061 | 55,505 |
General and administrative | 28,961 | 30,261 | 54,004 | 42,122 |
Total operating expenses | 174,571 | 127,165 | 328,330 | 219,744 |
Loss from operations | (29,991) | (50,639) | (52,567) | (76,415) |
Interest expense | (174) | (164) | (317) | (165) |
Other income (expense), net | 732 | (451) | 5,265 | (56) |
Loss before provision for income taxes | (29,433) | (51,254) | (47,619) | (76,636) |
Provision for income taxes | (441) | (635) | (1,477) | (1,230) |
Net loss | $ (29,874) | $ (51,889) | $ (49,096) | $ (77,866) |
Net loss per share attributable to Class A and Class B common stockholders, basic and diluted (in usd per share) | $ (0.14) | $ (0.40) | $ (0.23) | $ (0.87) |
Weighted-average shares used in computing net loss per share attributable to Class A and Class B common stockholders, basic and diluted (in shares) | 216,695,000 | 130,091,000 | 214,932,000 | 89,335,000 |
Subscription | ||||
Revenue | ||||
Total revenue | $ 184,256 | $ 97,575 | $ 346,478 | $ 183,566 |
Cost of revenue | ||||
Total cost of revenue | 44,037 | 24,946 | 81,281 | 48,637 |
Professional services | ||||
Revenue | ||||
Total revenue | 14,715 | 10,533 | 30,571 | 20,619 |
Cost of revenue | ||||
Total cost of revenue | $ 10,354 | $ 6,636 | $ 20,005 | $ 12,219 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Loss - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2020 | Jul. 31, 2019 | Jul. 31, 2020 | Jul. 31, 2019 | |
Statement of Comprehensive Income [Abstract] | ||||
Net loss | $ (29,874) | $ (51,889) | $ (49,096) | $ (77,866) |
Other comprehensive income (loss): | ||||
Foreign currency translation adjustments | 2,119 | (343) | 1,426 | (623) |
Reversal of unrealized gain upon sale of debt securities | 0 | 0 | (1,320) | 0 |
Unrealized loss on available-for-sale securities, net of tax | 0 | (1) | 0 | (5) |
Other comprehensive income (loss) | 2,119 | (344) | 106 | (628) |
Total comprehensive loss | $ (27,755) | $ (52,233) | $ (48,990) | $ (78,494) |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Redeemable Convertible Preferred Stock and Stockholders' Deficit - USD ($) $ in Thousands | Total | Cumulative Effect, Period of Adoption, Adjustment | Common Stock | Additional Paid-in Capital | Accumulated Deficit | Accumulated DeficitCumulative Effect, Period of Adoption, Adjustment | Accumulated Other Comprehensive Income (Loss) | Non-controlling Interest | Redeemable Convertible Preferred Stock |
Stockholders' Deficit | |||||||||
Cumulative effect of accounting change | $ 23,418 | $ 23,418 | |||||||
Beginning balance (in shares) at Jan. 31, 2019 | 131,268,000 | ||||||||
Beginning balance at Jan. 31, 2019 | $ 557,912 | ||||||||
Increase (Decrease) in Temporary Equity [Roll Forward] | |||||||||
Conversion of redeemable convertible preferred stock to common stock upon initial public offering (in shares) | (131,268,000) | ||||||||
Conversion of redeemable convertible preferred stock to common stock upon initial public offering | $ (557,912) | ||||||||
Ending balance (in shares) at Jul. 31, 2019 | 0 | ||||||||
Ending balance at Jul. 31, 2019 | $ 0 | ||||||||
Beginning balance (in shares) at Jan. 31, 2019 | 47,421,000 | ||||||||
Beginning balance at Jan. 31, 2019 | $ (487,793) | $ 24 | $ 31,211 | $ (519,126) | $ 98 | ||||
Stockholders' Deficit | |||||||||
Common stock issued (in shares) | 20,700,000 | ||||||||
Issuance of common stock upon initial public offering, net of underwriting discounts and issuance costs (in shares) | 659,218 | $ 11 | 659,207 | ||||||
Conversion of redeemable convertible preferred stock to common stock upon initial public offering (in shares) | 131,268,000 | ||||||||
Conversion of redeemable convertible preferred stock to common stock upon initial public offering | 557,912 | $ 66 | 557,846 | ||||||
Reclassification of redeemable convertible preferred stock warrant liability to additional paid-in capital upon initial public offering | 10,559 | 10,559 | |||||||
Net exercise of common stock warrants (in shares) | 322,000 | ||||||||
Issuance of common stock upon exercise of options (in shares) | 4,445,000 | ||||||||
Issuance of common stock upon exercise of options | 8,567 | $ 2 | 8,565 | ||||||
Issuance of common stock related to early exercised options | 1,037,356 | ||||||||
Vesting of early exercised stock options | 854 | 854 | |||||||
Stock-based compensation expense | 33,611 | 33,611 | |||||||
Capitalized stock-based compensation | 245 | 245 | |||||||
Net loss | (77,866) | (77,866) | |||||||
Other comprehensive income | (628) | (628) | |||||||
Ending balance (in shares) at Jul. 31, 2019 | 205,193,000 | ||||||||
Ending balance at Jul. 31, 2019 | 728,097 | $ 103 | 1,302,098 | (573,574) | (530) | ||||
Beginning balance (in shares) at Apr. 30, 2019 | 131,268,000 | ||||||||
Beginning balance at Apr. 30, 2019 | $ 557,912 | ||||||||
Increase (Decrease) in Temporary Equity [Roll Forward] | |||||||||
Conversion of redeemable convertible preferred stock to common stock upon initial public offering (in shares) | (131,268,000) | ||||||||
Conversion of redeemable convertible preferred stock to common stock upon initial public offering | $ (557,912) | ||||||||
Ending balance (in shares) at Jul. 31, 2019 | 0 | ||||||||
Ending balance at Jul. 31, 2019 | $ 0 | ||||||||
Beginning balance (in shares) at Apr. 30, 2019 | 48,127,000 | ||||||||
Beginning balance at Apr. 30, 2019 | (485,177) | $ 24 | 36,670 | (521,685) | (186) | ||||
Stockholders' Deficit | |||||||||
Common stock issued (in shares) | 20,700,000 | ||||||||
Issuance of common stock upon initial public offering, net of underwriting discounts and issuance costs (in shares) | 659,218 | $ 11 | 659,207 | ||||||
Conversion of redeemable convertible preferred stock to common stock upon initial public offering (in shares) | 131,268,000 | ||||||||
Conversion of redeemable convertible preferred stock to common stock upon initial public offering | 557,912 | $ 66 | 557,846 | ||||||
Reclassification of redeemable convertible preferred stock warrant liability to additional paid-in capital upon initial public offering | 10,559 | 10,559 | |||||||
Net exercise of common stock warrants (in shares) | 322,000 | ||||||||
Issuance of common stock upon exercise of options (in shares) | 3,739,000 | ||||||||
Issuance of common stock upon exercise of options | 7,057 | $ 2 | 7,055 | ||||||
Issuance of common stock related to early exercised options | 1,037,356 | ||||||||
Vesting of early exercised stock options | 710 | 710 | |||||||
Stock-based compensation expense | 29,859 | 29,859 | |||||||
Capitalized stock-based compensation | 192 | 192 | |||||||
Net loss | (51,889) | (51,889) | |||||||
Other comprehensive income | (344) | (344) | |||||||
Ending balance (in shares) at Jul. 31, 2019 | 205,193,000 | ||||||||
Ending balance at Jul. 31, 2019 | 728,097 | $ 103 | 1,302,098 | (573,574) | (530) | ||||
Beginning balance (in shares) at Jan. 31, 2020 | 0 | ||||||||
Beginning balance at Jan. 31, 2020 | $ 0 | ||||||||
Ending balance (in shares) at Jul. 31, 2020 | 0 | ||||||||
Ending balance at Jul. 31, 2020 | $ 0 | ||||||||
Beginning balance (in shares) at Jan. 31, 2020 | 212,948,000 | ||||||||
Beginning balance at Jan. 31, 2020 | 742,107 | ||||||||
Beginning balance at Jan. 31, 2020 | 742,607 | $ 106 | 1,378,479 | (637,487) | 1,009 | $ 500 | |||
Stockholders' Deficit | |||||||||
Issuance of common stock upon exercise of options (in shares) | 4,689,000 | ||||||||
Issuance of common stock upon exercise of options | 16,601 | $ 4 | 16,597 | ||||||
Issuance of common stock under RSU release (in shares) | 992,000 | ||||||||
Issuance of common stock under RSU release | 0 | $ 0 | |||||||
Issuance of common stock under employee stock purchase plan (in shares) | 565,000 | ||||||||
Issuance of common stock under employee stock purchase plan | 17,284 | 17,284 | |||||||
Vesting of early exercised stock options | 1,722 | 1,722 | |||||||
Stock-based compensation expense | 61,351 | 61,351 | |||||||
Capitalized stock-based compensation | 890 | 890 | |||||||
Net loss | (49,096) | (49,096) | |||||||
Non-controlling interest | 550 | 550 | |||||||
Other comprehensive income | 106 | 106 | |||||||
Ending balance (in shares) at Jul. 31, 2020 | 219,194,000 | ||||||||
Ending balance at Jul. 31, 2020 | 790,965 | ||||||||
Ending balance at Jul. 31, 2020 | 792,015 | $ 110 | 1,476,323 | (686,583) | 1,115 | 1,050 | |||
Beginning balance (in shares) at Apr. 30, 2020 | 0 | ||||||||
Beginning balance at Apr. 30, 2020 | $ 0 | ||||||||
Ending balance (in shares) at Jul. 31, 2020 | 0 | ||||||||
Ending balance at Jul. 31, 2020 | $ 0 | ||||||||
Beginning balance (in shares) at Apr. 30, 2020 | 215,505,000 | ||||||||
Beginning balance at Apr. 30, 2020 | 753,153 | $ 108 | 1,409,758 | (656,709) | (1,004) | 1,000 | |||
Stockholders' Deficit | |||||||||
Issuance of common stock upon exercise of options (in shares) | 2,633,000 | ||||||||
Issuance of common stock upon exercise of options | 10,208 | $ 2 | 10,206 | ||||||
Issuance of common stock under RSU release (in shares) | 491,000 | ||||||||
Issuance of common stock under RSU release | 0 | $ 0 | |||||||
Issuance of common stock under employee stock purchase plan (in shares) | 565,000 | ||||||||
Issuance of common stock under employee stock purchase plan | 17,284 | 17,284 | |||||||
Vesting of early exercised stock options | 849 | 849 | |||||||
Stock-based compensation expense | 37,713 | 37,713 | |||||||
Capitalized stock-based compensation | 513 | 513 | |||||||
Net loss | (29,874) | (29,874) | |||||||
Non-controlling interest | 50 | 50 | |||||||
Other comprehensive income | 2,119 | 2,119 | |||||||
Ending balance (in shares) at Jul. 31, 2020 | 219,194,000 | ||||||||
Ending balance at Jul. 31, 2020 | 790,965 | ||||||||
Ending balance at Jul. 31, 2020 | $ 792,015 | $ 110 | $ 1,476,323 | $ (686,583) | $ 1,115 | $ 1,050 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 6 Months Ended | |
Jul. 31, 2020 | Jul. 31, 2019 | |
Operating activities | ||
Net loss | $ (49,096) | $ (77,866) |
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: | ||
Depreciation and amortization | 17,621 | 10,193 |
Amortization of intangible assets | 207 | 285 |
Amortization of deferred contract acquisition costs | 28,171 | 15,076 |
Non-cash operating lease cost | 4,939 | 0 |
Change in fair value of redeemable convertible preferred stock warrant liability | 0 | 6,022 |
Provision for bad debts | (269) | 22 |
Stock-based compensation expense | 61,351 | 33,611 |
Gain on sale of debt securities, net | (1,347) | 0 |
Accretion (amortization) of marketable securities purchased at a discount | 578 | (960) |
Non-cash interest expense | 320 | 163 |
Changes in operating assets and liabilities | ||
Accounts receivable | 16,020 | (22,802) |
Deferred contract acquisition costs | (48,988) | (27,788) |
Prepaid expenses and other assets | (1,953) | (12,505) |
Accounts payable | 9,634 | (5,897) |
Accrued expenses and other current liabilities | (8,112) | (2,095) |
Accrued payroll and benefits | (711) | 773 |
Operating lease liabilities | 1,315 | 0 |
Deferred revenue | 118,672 | 79,362 |
Other liabilities | 5,250 | (393) |
Net cash provided by (used in) operating activities | 153,602 | (4,799) |
Investing activities | ||
Purchases of property and equipment | (30,334) | (37,159) |
Capitalized internal-use software | (3,850) | (3,310) |
Purchase of strategic investments | (1,000) | 0 |
Purchases of marketable securities | (84,904) | (117,572) |
Proceeds from sales of marketable securities | 639,586 | 4,473 |
Maturities of marketable securities | 91,605 | 123,314 |
Net cash provided by (used in) investing activities | 611,103 | (30,254) |
Financing activities | ||
Proceeds from the issuance of common stock upon initial public offering, net of underwriting discounts | 0 | 665,092 |
Payments of deferred offering costs | 0 | (4,080) |
Proceeds from issuance of common stock upon exercise of stock options | 16,601 | 8,526 |
Proceeds from the issuance of common stock upon exercise of early exercisable stock options | 0 | 10,264 |
Proceeds from issuance of common stock under the employee stock purchase plan | 17,284 | 0 |
Capital contributions from non-controlling interest holders | 550 | 0 |
Net cash provided by financing activities | 34,435 | 679,802 |
Effect of foreign exchange rates on cash and cash equivalents | 796 | (349) |
Net increase in cash and cash equivalents | 799,936 | 644,400 |
Cash and cash equivalents, beginning of period | 264,798 | 88,408 |
Cash and cash equivalents, end of period | 1,064,734 | 732,808 |
Supplemental disclosure of cash flow information: | ||
Interest paid | 0 | 2 |
Income taxes paid, net of refunds received | 663 | 413 |
Supplemental disclosure of non-cash investing and financing activities: | ||
Conversion of redeemable convertible preferred stock to common stock | 0 | 659,207 |
Conversion of redeemable convertible preferred stock warrant liabilities reclassified to additional paid-in capital | 0 | 10,559 |
Net increase (decrease) in deferred offering costs, accrued but not paid | 0 | (1,078) |
Net increase (decrease) in property and equipment included in accounts payable and accrued expenses | (1,020) | 3,820 |
Vesting of early exercised stock options | $ 1,722 | $ 854 |
Description of Business and Bas
Description of Business and Basis of Presentation | 6 Months Ended |
Jul. 31, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Description of Business and Basis of Presentation | Description of Business and Basis of Presentation Business CrowdStrike Holdings, Inc. (the “Company”) was formed on November 7, 2011. The Company provides a leading cloud-delivered solution for next-generation endpoint protection that offers 11 cloud modules on its Falcon platform via a software as a service (“SaaS”) subscription-based model that spans multiple large security markets, including endpoint security, security and IT operations (including vulnerability management), and threat intelligence. The Company is headquartered in Sunnyvale, California. The Company conducts its business in the United States, as well as locations internationally, including in Australia, Germany, India, Romania, and the United Kingdom. Initial Public Offering On June 14, 2019, the Company closed its initial public offering (“IPO”), in which it sold 20,700,000 shares of Class A common stock. The shares were sold at a public offering price of $34.00 per share for net proceeds of $659.2 million, after deducting underwriters’ discounts and commissions and offering expenses of $44.8 million. Immediately prior to the closing of the IPO, all outstanding shares of redeemable convertible preferred stock automatically converted into 131,267,586 shares of Class B common stock on a one-to-one basis. Additionally, in connection with the IPO, all of the Company’s outstanding common stock was reclassified into shares of Class B common stock on a one-for-one basis. Redeemable convertible preferred stock warrants also converted into 336,386 warrants to purchase Class B common stock on a one-to-one basis. Basis of Presentation The accompanying condensed consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles in the United States of America (“U.S. GAAP”) and applicable rules and regulations of the Securities and Exchange Commission (“SEC”) regarding interim financial reporting. As permitted under those rules, certain footnotes or other financial information that are normally required by U.S. GAAP have been condensed or omitted, and accordingly the balance sheet as of January 31, 2020, and related disclosures, have been derived from the audited consolidated financial statements at that date but do not include all of the information required by U.S. GAAP for complete consolidated financial statements. These unaudited condensed consolidated financial statements have been prepared on the same basis as the Company’s annual consolidated financial statements and, in the opinion of management, reflect all adjustments (consisting only of normal recurring adjustments) that are necessary for the fair statement of the Company’s condensed consolidated financial information. The results of operations for the three and six months ended July 31, 2020 are not necessarily indicative of the results to be expected for the year ending January 31, 2021 or for any other interim period or for any other future year. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jul. 31, 2020 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Principles of Consolidation The condensed consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. Certain information and footnote disclosures normally included in the financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to the applicable required disclosures and regulations of the SEC. Therefore, the accompanying interim unaudited condensed consolidated financial statements and related financial information should be read in conjunction with Item 8, “Financial Statements and Supplementary Data” included in the Company’s Annual Report on Form 10-K for the fiscal year ended January 31, 2020, filed with the SEC on March 23, 2020. JOBS Act Accounting Election The Company will be an “emerging growth company” (“EGC”) as defined in the Jumpstart Our Business Startups Act of 2012 (“JOBS Act”) until January 31, 2021. An EGC may take advantage of specified reduced reporting requirements that are otherwise applicable generally to public companies, including, but not limited to, delayed adoption of new or revised accounting pronouncements applicable to public companies until such pronouncements are made applicable to private companies, not being required to comply with the auditor attestation requirements of Section 404 of the Sarbanes-Oxley Act of 2002 (“Sarbanes-Oxley Act”), reduced disclosure obligations regarding executive compensation in the Company’s periodic reports and proxy statements, and exemptions from the requirements of holding a nonbinding advisory vote on executive compensation and stockholder approval of any golden parachute payments not previously approved. The Company may take advantage of these exemptions until it is no longer an EGC. Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported and disclosed in the Company’s condensed consolidated financial statements and accompanying notes. These estimates are based on information available as of the date of the condensed consolidated financial statements. On a regular basis, management evaluates these estimates and assumptions. Actual results may differ from these estimates and such difference could be material to the Company’s condensed consolidated financial statements. Estimates and assumptions used by management include, but are not limited to, revenue recognition, the allowance for doubtful accounts, the carrying value and the useful lives of long-lived assets, the fair values of financial instruments and strategic investments, the period of benefit for deferred contract acquisition costs, the discount rate used for operating leases, the recognition and disclosure of contingent liabilities, income taxes, and stock-based compensation. Due to the Coronavirus (“COVID-19”) pandemic, there has been uncertainty and disruption in the global economy and financial markets. The Company is not aware of any specific event or circumstance that would require a material update to its estimates or judgments or an adjustment of the carrying value of its assets or liabilities as of July 31, 2020. While there was not a material impact to the Company’s condensed consolidated financial statements as of and for the three and six months ended July 31, 2020, these estimates may change, as new events occur and additional information is obtained, as well as other factors related to COVID-19 that could result in material impacts to the Company’s condensed consolidated financial statements in future reporting periods. Concentration of Credit Risk and Geographic Information The Company generates revenue from the sale of subscriptions to access its cloud platform and professional services. The Company’s sales team, along with its channel partner network of system integrators and value-added resellers (collectively, “channel partners”), sells the Company’s services worldwide to organizations of all sizes. Financial instruments that potentially subject the Company to concentrations of credit risk consist of cash, cash equivalents, marketable securities, accounts receivable, and strategic investments. The Company’s cash is placed with high-credit-quality financial institutions and issuers, and at times exceed federally insured limits. The Company limits its concentration of risk in cash equivalents and marketable securities by diversifying its investments among a variety of industries and issuers. The Company has not experienced any credit loss relating to its cash equivalents, marketable securities, and strategic investments. The Company performs periodic credit evaluations of its customers and generally does not require collateral. As of July 31, 2020, the Company did not have any cash equivalents or marketable securities. Channel partners or direct customers who represented 10% or more of the Company’s accounts receivable were as follows: July 31, January 31, 2020 2020 Channel partner A 7 % 11 % Channel partner B 6 % 10 % Customer B 4 % 20 % Channel partners who represented 10% or more of the Company’s total revenue were as follows: Three Months Ended July 31, Six Months Ended July 31, 2020 2019 2020 2019 Channel partner A 9 % 11% 9 % 11 % There were no direct customers who represented 10% or more of the Company’s total revenue during the three and six months ended July 31, 2020 and July 31, 2019. Significant Accounting Policies Other than the policies described below, there have been no changes to the Company’s significant accounting policies described in its Annual Report on Form 10-K that have had a material impact on its consolidated financial statements and related notes. Leases The Company enters into operating lease arrangements for real estate assets related to office space. The Company determines if an arrangement is or contains a lease at inception by evaluating various factors, including whether a vendor’s right to substitute an identified asset is substantive. Lease classification is determined at the lease commencement date, which is the date the leased assets are made available for use. Operating leases are included in “Operating lease right-of-use assets”, “Operating lease liabilities, current”, and “Operating lease liabilities, noncurrent” in the condensed consolidated balance sheet. The Company did not have any financing leases in any of the periods presented. Operating lease right-of-use assets and lease liabilities are recognized at the lease commencement date based on the present value of lease payments over the lease term. Lease payments consist of the fixed payments under the arrangement, less any lease incentives, such as tenant improvement allowances. Variable costs, such as maintenance and utilities based on actual usage, are not included in the measurement of right-to-use assets and lease liabilities but are expensed when the event determining the amount of variable consideration to be paid occurs. As the implicit rate of the leases is not determinable, the Company uses an incremental borrowing rate (“IBR”) based on the information available at the lease commencement date in determining the present value of lease payments. Lease expenses are recognized on a straight-line basis over the lease term. The Company uses the non-cancelable lease term when recognizing the right-of-use (“ROU”) assets and lease liabilities, unless it is reasonably certain that a renewal or termination option will be exercised. The Company accounts for lease components and non-lease components as a single lease component. Leases with a term of twelve months or less are not recognized on the condensed consolidated balance sheet but are recognized as expense on a straight-line basis over the term of the lease. Available-for-sale debt securities The Company evaluates investments with unrealized loss positions by assessing if they are related to deterioration in credit risk and whether the Company expects to recover the entire amortized cost basis of the security, the Company ’ s intent to sell and whether it is more likely than not that the Company will be required to sell the securities before the recovery of its cost basis. Credit-related impairment losses, not to exceed the amount that fair value is less than the amortized cost basis, are recognized through an allowance for credit losses with changes in the allowance for credit losses recorded in other income (expense), net in the condensed consolidated statements of comprehensive income (loss). As of July 31, 2020, there were no marketable securities held by the Company and there were no securities that had been in continuous unrealized loss position. Accounts Receivable Accounts receivable are recorded at the invoiced amount and are non-interest bearing. Accounts receivable are stated at their net realizable value, net of allowance for doubtful accounts. The Company has a well-established collections history from its customers. Credit is extended to customers based on an evaluation of their financial condition and other factors. The Company generally does not require collateral from its customers; however, the Company may require payment prior to commencing service in certain instances to limit credit risk. The Company regularly reviews the adequacy of the allowance for doubtful accounts by considering various factors including the age of each outstanding invoice, each customer’s expected ability to pay, historical loss rates and expectations of forward-looking loss estimates to determine whether the allowance is appropriate. Amounts deemed uncollectible are written off against the allowance for doubtful accounts. As of July 31, 2020 and January 31, 2020, the allowance for doubtful accounts was $1.3 million and $1.1 million, respectively. Software Implementation Costs The Company contracts with third party information technology providers for various service arrangements including software, platform, and information technology infrastructure. The Company capitalizes the implementation cost incurred to develop or obtain internal-use software in such arrangements. All capitalized implementation costs are amortized over the term of the arrangement which includes reasonably certain renewals. Costs incurred during the preliminary project and post implement stage are expensed as the activities are performed. Capitalized implementation costs were not material for the three and six months ended July 31, 2020. Recently Adopted Accounting Pronouncements In February 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2016-02, “Leases (Topic 842),” which requires lessees to generally recognize on the balance sheet operating and financing lease liabilities and corresponding ROU assets, and to recognize on the income statement the expenses in a manner similar to prior practice. The Company adopted Topic 842 using the modified retrospective method on February 1, 2020. The Company elected the following practical expedients: • The package of practical expedients which allows for not reassessing 1) whether existing contracts contain leases, 2) the lease classification of existing leases, and 3) whether existing initial direct costs meet the new definition. • The practical expedient in ASC Subtopic 842-10 to not separate non-lease components from lease components and instead account for each separate lease component and non-lease components associated with that lease component as a single lease component by class of the underlying assets. • Not to recognize right of use assets and lease liabilities for short-term leases, which have a lease term of twelve months or less and do not include an option to purchase the underlying asset that the Company is reasonably certain to exercise. The Company did not elect the hindsight practical expedient. Lease payments consist primarily of the fixed payments under the arrangement, less any lease incentives such as tenant improvement allowance. The Company uses an estimate of its IBR based on the information available at the lease commencement date in determining the present value of lease payments, unless the implicit rate is readily determinable. In determining the appropriate IBR, management considers information including, but not limited to, the Company ’s credit rating, the lease term, and the currency in which the arrangement is denominated. For leases which commenced prior to the adoption of Topic 842, the Company used the IBR on January 31, 2020. The adoption of this new standard on February 1, 2020, and the application of the modified retrospective transition approach resulted in the following changes: a. Assets increased by $37.4 million, primarily representing the recognition of ROU asset for operating leases; and b. Liabilities increased by $37.4 million, primarily representing the recognition of lease liabilities for operating leases partially offset by derecognition of liabilities for deferred rent previously designated under ASC Topic 840 In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments . This ASU requires a financial asset measured at amortized cost basis to be presented at the net amount expected to be collected, with further clarifications made more recently regarding the treatment of accrued interest, transfers between classifications for loans and debt securities, recoveries and the option to irrevocably elect the fair value option (on an instrument-by-instrument basis) for eligible financial assets at amortized costs. For trade receivables, loans, and other financial assets, the Company will be required to use a forward-looking expected loss model rather than the incurred loss model for recognizing credit losses which reflects losses that are probable. Credit losses relating to available-for-sale debt securities are required to be recorded through an allowance for credit losses in the condensed consolidated statements of operation rather than as a reduction in the amortized cost basis of the securities. The Company adopted this guidance on February 1, 2020, which did not have a material effect on its condensed consolidated financial statements. In January 2017, the FASB issued ASU No. 2017-04, Intangibles—Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment . This ASU simplifies the measurement of goodwill by eliminating step two of the two-step impairment test. Step two measures a goodwill impairment loss by comparing the implied fair value of a reporting unit’s goodwill with the carrying amount of that goodwill. This ASU requires an entity to compare the fair value of a reporting unit with its carrying amount and recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value. Additionally, an entity should consider income tax effects from any tax-deductible goodwill on the carrying amount of the reporting unit when measuring the goodwill impairment loss, if applicable. The Company adopted this guidance on February 1, 2020 which did not have a material effect on its condensed consolidated financial statements. In August 2018, the FASB issued ASU No. 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement . This ASU modifies the disclosure requirements on fair value measurements in Topic 820, Fair Value Measurement . The Company adopted this guidance on February 1, 2020 which did not have a material effect on its condensed consolidated financial statements. In August 2018, the FASB issued 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 (a consensus of the FASB Emerging Issues Task Force). This ASU aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal use software. The Company adopted this guidance on February 1, 2020 which did not have a material effect on its condensed consolidated financial statements. In March 2020, the FASB issued ASU 2020-04 , Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting. The ASU provides optional expedients and exceptions for applying generally accepted accounting principles to contract modifications and hedging relationships, subject to meeting certain criteria, that reference LIBOR or another reference rate expected to be discontinued. This ASU may be applied prospectively through December 31, 2022. The Company adopted this guidance on May 1, 2020 which did not have a material effect on its condensed consolidated financial statements. Per the terms of the Company’s secured revolving credit facility (see Note 5), outstanding Eurodollar Loans incur interest at the Eurodollar Rate, which is defined in the Credit Agreement as LIBOR (or any successor thereto), plus a margin. The Company’s lender is currently preparing to use the Secured Overnight Funding Rate if LIBOR becomes unavailable. No amounts were outstanding under the Credit Agreement as of July 31, 2020. Recently Issued Accounting Pronouncements In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes, which enhances and simplifies various aspects of the income tax accounting guidance, including requirements such as tax basis step-up in goodwill obtained in a transaction that is not a business combination, ownership changes in investments, and interim-period accounting for enacted changes in tax law. For public business entities, this ASU is effective for fiscal years beginning after December 15, 2020, and interim periods within those fiscal years. The Company is currently assessing the impact of this pronouncement on its condensed consolidated financial statements. |
Fair Value Measurements and Mar
Fair Value Measurements and Marketable Securities | 6 Months Ended |
Jul. 31, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements and Marketable Securities | Fair Value Measurements and Marketable Securities The Company follows ASC 820 , Fair Value Measurements , with respect to marketable securities that are measured at fair value on a recurring basis. Under the standard, fair value is defined as the exit price, or the amount that would be received to sell an asset or a liability in an orderly transaction between market participants as of the measurement date. The standard also establishes a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are inputs market participants would use in valuing the asset or liability developed based on market data obtained from sources independent of the Company. Unobservable inputs are inputs that reflect the Company’s assumptions about the factors market participants would use in valuing the asset or liability developed based upon the best information available in the circumstances. The hierarchy is broken down into three levels as follows: Level 1 Assets and liabilities whose values are based on unadjusted quoted market prices for identical assets and liabilities in active markets Level 2 Assets and liabilities whose values are based on quoted prices in markets that are not active or inputs that are observable for substantially the full term of the asset or liability Level 3 Assets and liabilities whose values are based on prices or valuation techniques that require inputs that are both unobservable and significant to the overall fair value measurement Categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The Company’s fair value hierarchy for its financial assets and liabilities that are measured at fair value on a recurring basis are as follows: July 31, 2020 January 31, 2020 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total (in thousands) (in thousands) Assets Cash equivalents (1) Money market funds $ — $ — $ — $ — $ 205,379 $ — $ — $ 205,379 Corporate debt securities — — — — — 39,940 — 39,940 Total cash equivalents — — — — 205,379 39,940 — 245,319 Marketable securities Corporate debt securities — — — — — 495,022 — 495,022 U.S. treasury securities — — — — 84,431 — — 84,431 Asset backed securities — — — — — 67,813 67,813 Total marketable securities — — — — 84,431 562,835 — 647,266 Total assets $ — $ — $ — $ — $ 289,810 $ 602,775 $ — $ 892,585 __________________________________ (1) Included in “Cash and cash equivalents” on the condensed consolidated balance sheets. There were no transfers between the levels of the fair value hierarchy during the three and six months ended July 31, 2020 or July 31, 2019. As of July 31, 2020, there were no marketable securities held by the Company and there were no securities that had been in continuous unrealized loss position. As of January 31, 2020, the amortized cost of the Company’s cash equivalents and marketable securities approximated their fair value and there were no material realized or unrealized gains or losses, either individually or in the aggregate. In addition, the securities that had been in continuous unrealized loss position per security type and in aggregate are not material as of January 31, 2020. There were no impairments considered “other-than-temporary” as it is more likely than not the Company will hold the securities until maturity or a recovery of the cost basis as of January 31, 2020. The following table presents the contractual maturities of marketable securities as of January 31, 2020: Amortized cost Fair value (in thousands) Due in one year or less $ 377,722 $ 378,408 Due after one year through five years 266,670 267,728 Due after five years through nineteen years 1,127 1,130 $ 645,519 $ 647,266 The following summarizes the changes in strategic investments: July 31, January 31, 2020 2020 (in thousands) Total initial cost $ 2,000 $ 1,000 Cumulative gain — — Carrying value $ 2,000 $ 1,000 There was no unrealized gain and loss included as an adjustment related to the carrying value of non-marketable securities as of July 31, 2020 and January 31, 2020. The following summarizes the changes in the redeemable convertible preferred stock warrant liability, which is classified as a Level 3 instrument: Three Months Ended July 31, Six Months Ended July 31, 2020 2019 2020 2019 (in thousands) (in thousands) Balance at beginning of period $ — $ 5,704 $ — $ 4,537 Adjustment resulting from change in fair value recognized in the condensed consolidated statement of operations — 4,855 — 6,022 Reclassification of liability for redeemable convertible preferred stock warrants to additional paid-in capital upon initial public offering — (10,559) — (10,559) Balance at end of period $ — $ — $ — $ — The fair value of the redeemable convertible preferred stock warrant liability was estimated using the Black-Scholes option-pricing model and was based on significant inputs not observable in the market, and therefore was classified as a Level 3 instrument. The inputs include the Company’s preferred stock price, expected stock price volatility, risk-free interest rate, and contractual term. A loss of $4.9 million and $6.0 million was recorded as a component of Other income (expense), net, because of the remeasurement of the redeemable convertible preferred stock warrant liability during the three and six months ended July 31, 2019, respectively. Immediately prior to the closing of the IPO on June 14, 2019, the redeemable convertible preferred stock warrants converted into 336,386 warrants to purchase Class B common stock on a one-to-one basis. The redeemable convertible preferred stock warrant liability was reclassified to additional paid-in capital upon the closing of the IPO. |
Balance Sheet Components
Balance Sheet Components | 6 Months Ended |
Jul. 31, 2020 | |
Balance Sheet Related Disclosures [Abstract] | |
Balance Sheet Components | Balance Sheet Components Prepaid Expenses and Other Current Assets Prepaid expenses and other current assets consisted of the following: July 31, January 31, (in thousands) Prepaid expenses $ 20,450 $ 20,390 Prepaid software licenses 14,675 16,645 Prepaid hosting services 6,536 8,056 Other current assets 6,513 6,523 Prepaid expenses and other current assets $ 48,174 $ 51,614 Property and Equipment, Net Property and equipment, net consisted of the following: July 31, January 31, (in thousands) Data center and other computer equipment $ 131,648 $ 87,166 Capitalized internal-use software 35,093 30,354 Leasehold improvements 15,517 13,157 Purchased software 3,071 2,604 Furniture and equipment 5,306 4,835 Construction in process 30,060 47,626 220,695 185,742 Less: Accumulated depreciation and amortization (67,392) (49,664) Property and equipment, net $ 153,303 $ 136,078 Construction in process mainly includes data center equipment purchased that has not yet been placed in service. As of July 31, 2020, $25.6 million of data center equipment was purchased but not yet been placed into service. Depreciation and amortization expense of property and equipment was $9.4 million and $5.3 million during the three months ended July 31, 2020 and July 31, 2019, respectively, and $17.6 million and $10.2 million during the six months ended July 31, 2020 and July 31, 2019, respectively. There were no impairments of internal-use software during the three and six months ended July 31, 2020 and July 31, 2019. The Company capitalized $2.4 million and $1.5 million in internal-use software during the three months ended July 31, 2020 and July 31, 2019, and $4.7 million and $3.5 million during the six months ended July 31, 2020 and July 31, 2019, respectively. Amortization expense associated with internal-use software totaled $1.8 million and $1.6 million during the three months ended July 31, 2020 and July 31, 2019, respectively, and $3.7 million and $3.0 million during the six months ended July 31, 2020 and July 31, 2019, respectively. The net book value of capitalized internal-use software was $14.4 million and $13.4 million as of July 31, 2020 and January 31, 2020, respectively. Intangible Assets, Net Total intangible assets, net consisted of the following: July 31, 2020 Weighted-Average Gross Carrying Amount Accumulated Amortization Net Amount (in thousands) (in months) Developed technology $ 1,293 $ 1,241 $ 52 3 Customer relationships 653 366 287 27 Non-compete agreement 131 123 8 3 Total $ 2,077 $ 1,730 $ 347 January 31, 2020 Weighted-Average Gross Carrying Amount Accumulated Amortization Net Amount (in thousands) (in months) Developed technology $ 1,238 $ 1,067 $ 171 9 Customer relationships 607 280 327 33 Non-compete agreement 121 92 29 9 Total $ 1,966 $ 1,439 $ 527 Amortization of developed technology, customer relationships, and non-compete agreement are recorded within cost of revenue, sales and marketing expense, and research and development expense, respectively, in the condensed consolidated statements of operations. Amortization expense of intangible assets was $0.1 million during both the three months ended July 31, 2020 and July 31, 2019 and $0.2 million and $0.3 million during the six months ended July 31, 2020 and July 31, 2019, respectively. The estimated aggregate future amortization expense of intangible assets as of July 31, 2020 is as follows: Total (in thousands) Fiscal 2021 (remaining six months) $ 126 Fiscal 2022 130 Fiscal 2023 91 Total amortization expense $ 347 The developed technology, customer relationships, and non-compete agreement assets are being amortized over 3 years, 5 years, and 3 years, respectively. Accrued Expenses Accrued expenses consisted of the following: July 31, January 31, (in thousands) Web hosting services $ 8,169 $ 16,367 Other accrued expenses 4,133 7,459 Accrued marketing 2,900 1,970 Accrued purchases of property and equipment 2,630 2,789 Accrued legal and accounting 1,379 1,770 Accrued expenses $ 19,211 $ 30,355 Accrued Payroll and Benefits Accrued payroll and benefits consisted of the following: July 31, January 31, (in thousands) Accrued commissions $ 11,024 $ 15,399 Accrued payroll and related expenses 10,635 6,680 Accrued bonuses 8,115 8,171 Employee Stock Purchase Plan 6,325 6,560 Accrued payroll and benefits $ 36,099 $ 36,810 |
Secured Revolving Credit Facili
Secured Revolving Credit Facility | 6 Months Ended |
Jul. 31, 2020 | |
Debt Disclosure [Abstract] | |
Secured Revolving Credit Facility | Secured Revolving Credit Facility In April 2019, the Company entered into a Credit Agreement with Silicon Valley Bank and other lenders, to provide a revolving line of credit of up to $150.0 million, including a letter of credit sub-facility in the aggregate amount of $10.0 million, and a swingline sub-facility in the aggregate amount of $10.0 million. The Company also has the option to request an incremental facility of up to an additional $75.0 million from one or more of the lenders under the Credit Agreement. The amount the Company may borrow under the Credit Agreement may not exceed the lesser of $150.0 million or the Company’s ordinary course recurring subscription revenue for the most recent month, as determined under the Credit Agreement, multiplied by a number that is (i) 6, for the first year after entry into the Credit Agreement; (ii) 5, for the second year after entry into the Credit Agreement; and (iii) 4, thereafter. Under the terms of the Credit Agreement, revolving loans may be either Eurodollar Loans or ABR Loans. Outstanding Eurodollar Loans incur interest at the Eurodollar Rate, which is defined in the Credit Agreement as LIBOR (or any successor thereto), plus a margin between 2.50% and 3.00%, depending on usage. Outstanding ABR Loans incur interest at the highest of (a) the Prime Rate, as published by the Wall Street Journal, (b) the federal funds rate in effect for such day plus 0.50%, and (c) the Eurodollar Rate plus 1.00%, in each case plus a margin between 1.50% and 2.00%, depending on usage. The Company will be charged a commitment fee of 0.20% to 0.30% per year for committed but unused amounts. The Credit Agreement will terminate on April 19, 2022. The Credit Agreement is collateralized by substantially all of the Company’s current and future property, rights, and assets, including, but not limited to, cash, goods, equipment, contractual rights, financial assets, and intangible assets of the Company and its subsidiaries. The Credit Agreement contains covenants limiting the ability to, among other things, dispose of assets, undergo a change in control, merge or consolidate, make acquisitions, incur debt, incur liens, pay dividends, repurchase stock, and make investments, in each case subject to certain exceptions. The Credit Agreement also contains financial covenants requiring the Company to maintain the year-over-year growth rate of its ordinary course recurring subscription revenue above specified rates and to maintain minimum liquidity at specified levels. The Company was in compliance with the financial covenants as of July 31, 2020. The Credit Agreement contains events of default that include, among others, non-payment of principal, interest, or fees, breach of covenants, inaccuracy of representations and warranties, cross defaults to certain other indebtedness, bankruptcy and insolvency events, and material judgments. No amounts were outstanding under the Credit Agreement as of July 31, 2020 and January 31, 2020. |
Income Taxes
Income Taxes | 6 Months Ended |
Jul. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The Company recognized an income tax expense of $0.4 million and $0.6 million for the three months ended July 31, 2020 and July 31, 2019, respectively, and $1.5 million and $1.2 million for the six months ended July 31, 2020 and July 31, 2019, respectively. The tax expense for the three and six months ended July 31, 2020 was primarily attributable to pre-tax foreign earnings. The Company’s effective tax rates of (1.5)% and (1.2)% for the three months ended July 31, 2020 and July 31, 2019, respectively, and (3.1)% and (1.6)% for the six months ended July 31, 2020 and July 31, 2019, respectively, differ from the U.S. statutory tax rate primarily due to U.S. losses for which there is no benefit and the tax rate differences between the United States and foreign countries. The Company has a full valuation allowance on its U.S. federal and state and its U.K. deferred tax assets. As a result, consistent with the prior year, the Company did not record a tax benefit on these losses because of uncertainty of future profitability. On March 27, 2020, the United States enacted the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”), as a response to the economic uncertainty resulting from the global COVID-19 pandemic. The CARES Act did not have a material impact on the Company’s condensed consolidated financial statements for the three and six months ended July 31, 2020. The Company continues to monitor any effects that may result from the CARES Act. |
Leases
Leases | 6 Months Ended |
Jul. 31, 2020 | |
Leases [Abstract] | |
Leases | Leases Operating Leases The Company has entered into non-cancelable operating lease agreements with various expiration dates through October 2026. Certain lease agreements include options to renew or terminate the lease, which are not reasonably certain to be exercised and therefore are not factored into the determination of lease payments. Total operating lease costs was $2.7 million and $5.0 million, excluding short-term leases costs and variable lease costs for the three and six months ended July 31, 2020, respectively. There was no sublease income for the three and six months ended July 31, 2020. Total lease expense recognized prior to the adoption of Topic 842 were $2.2 million and $4.0 million for the three and six months ended July 31, 2019, respectively. For the three and six months ended July 31, 2020, cash paid for amounts included in the measurement of operating lease liabilities were $3.0 million and $5.4 million, respectively. Operating lease liabilities arising from obtaining operating right of-use assets was $6.2 million for the three and six months ended July 31, 2020. As of July 31, 2020, the weighted-average remaining lease term is 4.6 years, and the weighted-average discount rate is 5.9%. The component of lease costs was as follows: Three Months Ended July 31, 2020 Six Months Ended July 31, 2020 (in thousands) Lease cost Operating lease cost $ 2,671 $ 4,954 Short-term lease cost 492 985 Variable lease cost 518 1,354 Total lease cost $ 3,681 $ 7,293 As of July 31, 2020, the Company has not entered into any non-cancelable operating leases with a term greater than 12 months that have not yet commenced. The maturities of the Company’s non-cancelable operating lease liabilities are as follows: July 31, 2020 (in thousands) Fiscal 2021 (remaining six months) $ 4,262 Fiscal 2022 11,413 Fiscal 2023 10,856 Fiscal 2024 10,785 Fiscal 2025 9,934 Thereafter 4,151 Total operating lease payments 51,401 Less: imputed interest 6,624 Present value of operating lease liabilities $ 44,777 Future minimum payments under non-cancelable operating leases determined using the prior accounting guidance consisted of the following as of January 31, 2020: Real Estate Arrangements (in thousands) Fiscal 2021 $ 9,958 Fiscal 2022 9,869 Fiscal 2023 9,377 Fiscal 2024 9,370 Fiscal 2025 8,441 Thereafter 3,671 Total $ 50,686 |
Equity Transactions
Equity Transactions | 6 Months Ended |
Jul. 31, 2020 | |
Equity [Abstract] | |
Equity Transactions | Equity Transactions Common Stock In connection with the IPO, on June 14, 2019, the Company filed an Amended and Restated Certificate of Incorporation which authorizes the issuance of 2,000,000,000 shares of Class A common stock with a par value of $0.0005 per share, 300,000,000 shares of Class B common stock with a par value of $0.0005 per share, and 100,000,000 shares of undesignated preferred stock with a par value of $0.0005 per share. The rights of the holders of Class A common stock and Class B common stock are identical, except with respect to voting and conversion rights. Each share of Class A common stock is entitled to one vote per share. Each share of Class B common stock is entitled to ten votes per share and is convertible into one share of Class A common stock. Class A and Class B common stockholders are not entitled to receive dividends unless declared by the Company’s board of directors. |
Stock-Based Compensation
Stock-Based Compensation | 6 Months Ended |
Jul. 31, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Stock-Based Compensation | Stock-Based Compensation Stock Incentive Plan In May 2019, the Company’s board of directors adopted, and the stockholders approved the CrowdStrike Holdings, Inc. 2019 Equity Incentive Plan (the “2019 Plan”) with the purpose of granting stock-based awards to employees, directors, officers and consultants, including stock options, restricted stock awards, restricted stock units and performance-based restricted stock units. A total of 8,750,000 shares of Class A common stock were initially available for issuance under the 2019 Plan. The Company’s compensation committee administers the 2019 Plan. The number of shares of the Company’s common stock available for issuance under the 2019 Plan is subject to an annual increase on the first day of each fiscal year beginning on February 1, 2020, equal to the lesser of: (i) two percent (2.0%) of outstanding shares of the Company’s capital stock as of the last day of the immediately preceding fiscal year or (ii) such other amount as the Company’s board of directors may determine. The 2011 Plan was terminated on June 10, 2019, which was the business day prior to the effectiveness of the Company’s registration statement on Form S-1 used in connection with the Company’s IPO, and stock-based awards are no longer granted under the 2011 Plan. Any shares underlying stock options that expire or terminate or are forfeited or repurchased under the 2011 Plan will be automatically transferred to the 2019 Plan. Stock Options The Company records compensation expense for employee stock options based on the estimated fair value of the options on the date of grant using the Black-Scholes option-pricing model with the assumptions included in the table below. The expected term represents the period that the Company’s share-based awards are expected to be outstanding. The expected term assumptions were determined based on the vesting terms, exercise terms, and contractual lives of the options. The expected stock price volatility is based upon comparable public company data. The risk-free rate is based on the U.S. Treasury yield curve in effect at the time of grant for the estimated option life. The fair value of each option was estimated on the date of grant using the following assumptions during the period: Six Months Ended 2020 2019 Expected term (in years) 6.05 6.05 Risk-free interest rate 0.4 % 2.0% Expected stock price volatility 36.0 % 37.7% Dividend yield — % — % The following table is a summary of stock option activity for the six months ended July 31, 2020: Number of Weighted-Average (in thousands) Options outstanding at January 31, 2020 14,689 $ 5.52 Granted 60 $ 93.90 Exercised (4,689) $ 3.54 Canceled (189) $ 8.49 Options outstanding at July 31, 2020 9,871 $ 6.94 Options vested and expected to vest at July 31, 2020 9,871 $ 6.94 Options exercisable at July 31, 2020 4,794 $ 4.09 Options exercisable include 607,201 options that were unvested as of July 31, 2020. The aggregate intrinsic value of options vested and exercisable was $523.1 million and $469.6 million as of July 31, 2020 and January 31, 2020, respectively. The weighted-average remaining contractual term of options vested and exercisable was 6.5 years and 6.7 years as of July 31, 2020 and January 31, 2020, respectively. The weighted-average grant date fair values of all options granted was $32.91 and $13.45 per share during the three months ended July 31, 2020 and July 31, 2019, respectively, and $32.91 and $9.51 per share during the six months ended July 31, 2020 and July 31, 2019, respectively. The total intrinsic value of all options exercised was $242.8 million and $80.9 million during the three months ended July 31, 2020 and July 31, 2019, respectively, and $354.0 million and $89.7 million during the six months ended July 31, 2020 and July 31, 2019, respectively. The aggregate intrinsic value of stock options outstanding as of July 31, 2020 and January 31, 2020 was $1.05 billion and $816.3 million, respectively, which represents the excess of the fair value of the Company’s common stock over the exercise price of the options multiplied by the number of options outstanding. The weighted-average remaining contractual term of stock options outstanding was 7.2 years and 7.4 years as of July 31, 2020 and January 31, 2020, respectively. Total unrecognized stock-based compensation expense related to unvested options was $28.6 million as of July 31, 2020. This expense is expected to be amortized on a straight-line basis over a weighted-average vesting period of 1.9 years. Total unrecognized stock-based compensation expense related to unvested options was $34.7 million as of January 31, 2020. This expense is expected to be amortized on a straight-line basis over a weighted-average vesting period of 2.1 years. Early Exercise of Employee Options The 2011 Stock Plan allows for the early exercise of stock options for certain individuals as determined by the Board of Directors. The consideration received for an early exercise of an option is a deposit of the exercise price and the related dollar amount is recorded as a liability for early exercise of unvested stock options in the condensed 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 or for any reason, including death and disability, at the price paid by the purchaser for such shares. There were no issued shares of common stock related to early exercised stock options for the three and six months ended July 31, 2020. During both the three and six months ended July 31, 2019, the Company issued 1,037,356 shares of common stock related to early exercised stock options. As of July 31, 2020, the number of shares of common stock related to early exercised stock options subject to repurchase was 728,462 shares for $7.0 million. As of January 31, 2020, the number of shares of common stock related to early exercised stock options subject to repurchase was 984,417 shares for $8.7 million. Common stock purchased pursuant to an early exercise of stock options is not deemed to be outstanding for accounting purposes until those shares vest. The Company includes unvested shares subject to repurchase in the number of shares outstanding in the condensed consolidated statement of redeemable convertible preferred stock and stockholders’ equity (deficit). Restricted Stock Units Beginning in September 2018, the Company began issuing RSUs to certain employees. These RSUs include a service-based vesting condition and a performance-based vesting condition. The service-based vesting condition is generally satisfied based on one of three vesting schedules: (i) vesting of one-fourth of the RSUs on the first “Company vest date” (defined as March 20, June 20, September 20, or December 20) on or following the one-year anniversary of the vesting commencement date with the remainder of the RSUs vesting in twelve equal quarterly installments thereafter, subject to continued service, (ii) vesting in sixteen equal quarterly installments beginning on December 20, 2018, subject to continued service, or (iii) vesting in eight equal quarterly installments beginning on December 20, 2022, subject to continued service. The performance-based vesting condition is satisfied on the earlier of (i) a change in control, in which the consideration paid to holders of shares is either cash, publicly traded securities, or a combination thereof, or (ii) the first Company vest date to occur following the expiration of the lock-up period upon an IPO, subject to continued service through such change in control or lock-up expiration, as applicable. None of the RSUs vest unless the performance-based vesting condition is satisfied. Upon the completion of the IPO, the performance-based vesting condition was met and the Company recognized $17.3 million of deferred expense related to RSUs as of that date in its condensed consolidated statement of operations. Upon its IPO, the Company began issuing RSUs to its employees that generally have only a service-based vesting condition. The valuation of such RSUs is based solely on the fair value of the Company’s stock price on the date of grant. Expense for RSUs that have a service-based vesting condition only are being amortized on a straight-line basis. Expense for RSUs that have both a service-based and a performance-based vesting condition are being amortized under the accelerated attribution method. Total unrecognized stock-based compensation expense related to unvested RSUs was $283.9 million as of July 31, 2020. This expense is expected to be amortized (subject to acceleration or straight-line basis) over a weighted-average vesting period of 2.7 years. Performance-based Stock Units Performance-based stock units (“PSUs”) granted under the 2019 Plan are subject to both a service-based vesting condition and a performance-based vesting condition. PSUs generally vest over a four Expense for PSUs are being amortized under the accelerated attribution method and may be adjusted over the vesting period based on interim estimates of performance against the pre-set objectives. Total unrecognized stock-based compensation expense related to unvested PSUs was $33.6 million as of July 31, 2020. This expense is expected to be amortized over a weighted-average vesting period of 1.8 years. The following table is a summary of RSU and PSU activities for the six months ended July 31, 2020: Number of Weighted- (in thousands) RSUs and PSUs outstanding at January 31, 2020 6,063 $ 29.82 Granted 3,427 $ 63.98 Vested (992) $ 30.94 Forfeited (187) $ 32.39 RSUs and PSUs outstanding at July 31, 2020 8,311 $ 43.71 RSUs and PSUs expected to vest at July 31, 2020 8,311 $ 43.71 Employee Stock Purchase Plan In May 2019, the board of directors adopted, and the stockholders approved the CrowdStrike Holdings, Inc. 2019 Employee Stock Purchase Plan (“ESPP”), which became effective on June 10, 2019, which was the business day prior to the effectiveness of the Company’s registration statement on Form S-1 used in connection with the Company’s IPO. A total of 3,500,000 shares of Class A common stock were initially reserved for issuance under the ESPP. The Company’s compensation committee administers the ESPP. The number of shares of common stock available for issuance under the ESPP is subject to an annual increase on the first day of each fiscal year beginning on February 1, 2020, equal to the lesser of: (i) one percent (1%) of outstanding shares of the Company’s capital stock as of the last day of the immediately preceding fiscal year or (ii) such other amount as its board of directors may determine. The ESPP provides for consecutive offering periods that will typically have a duration of approximately 24 months in length and is comprised of four purchase periods of approximately six months in length. The offering periods are scheduled to start on the first trading day on or after June 11 and December 11 of each year. The first offering period commenced on June 11, 2019 and is scheduled to end on the first trading day on or before June 10, 2021. The ESPP provides eligible employees with an opportunity to purchase shares of the Company’s Class A common stock through payroll deductions of up to 15% of their eligible compensation. A participant may purchase a maximum of 2,500 shares of common stock during a purchase period. Amounts deducted and accumulated by the participant are used to purchase shares of common stock at the end of each six-month purchase period. The purchase price of the shares shall be 85% of the lower of the fair market value of the Class A common stock on (i) the first trading day of the applicable offering period and (ii) the last trading day of each purchase period in the related offering period. Participants may end their participation at any time during an offering period and will be paid their accrued contributions that have not yet been used to purchase shares of common stock. Participation ends automatically upon termination of employment. The ESPP allows for up to one increase in contribution during each purchase period. If an employee elects to increase his or her contribution, the Company treats this as an accounting modification. The pre- and post-modification fair values are calculated on the date of the modification, and the incremental expense is then amortized over the remaining purchase period. Incremental expense as a result of such modification was $0.8 million for the three and six months ended July 31, 2020. Employee payroll contributions ultimately used to purchase shares are reclassified to stockholders’ equity on the purchase date. ESPP employee payroll contributions accrued at July 31, 2020 totaled $6.3 million and are included within accrued payroll and benefits in the condensed consolidated balance sheets. The following table summarizes the assumptions used in the Black-Scholes option-pricing model to determine fair value of the Company’s common shares to be issued under the ESPP for the offering periods beginning in June 2019: Six Months Ended 2020 2019 Expected term (in years) 0.5 - 2.0 0.5 - 2.0 Risk-free interest rate 0.2% - 2.0% 1.9% - 2.2% Expected stock price volatility 30.1% - 54.3% 33.0% - 35.7% Dividend yield — % — % Stock-Based Compensation Expense Stock-based compensation expense included in the condensed consolidated statements of operations is as follows: Three Months Ended July 31, Six Months Ended July 31, 2020 2019 2020 2019 (in thousands) (in thousands) Subscription cost of revenue $ 2,635 $ 1,233 $ 4,630 $ 1,498 Professional services cost of revenue 1,425 644 2,396 747 Sales and marketing 13,603 6,638 22,290 8,156 Research and development 9,029 4,976 13,929 5,657 General and administrative 11,021 16,368 18,106 17,553 Total stock-based compensation expense $ 37,713 $ 29,859 $ 61,351 $ 33,611 |
Revenue, Deferred Revenue and R
Revenue, Deferred Revenue and Remaining Performance Obligations | 6 Months Ended |
Jul. 31, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Revenue, Deferred Revenue and Remaining Performance Obligations | Revenue, Deferred Revenue and Remaining Performance Obligations The following table summarizes the revenue from contracts by type of customer: Three Months Ended July 31, Six Months Ended July 31, 2020 2019 2020 2019 Amount % Revenue Amount % Revenue Amount % Revenue Amount % Revenue (in thousands, except percentages) (in thousands, except percentages) Channel Partners $ 153,412 77 % $ 70,438 65 % $ 283,692 75 % $ 134,897 66 % Direct Customers 45,559 23 % 37,670 35 % 93,357 25 % 69,288 34 % Total revenue $ 198,971 100 % $ 108,108 100 % $ 377,049 100 % $ 204,185 100 % The Company uses channel partners to complement direct sales and marketing efforts. The partners place an order with the Company after negotiating the order directly with an end customer. The partners negotiate pricing with the end customer and in some rare instances are responsible for certain support levels directly with the end customer. The Company’s contract is with the partner and payment to the Company is not contingent on the receipt of payment from the end customer. The Company recognizes the contractual amount charged to the partners as revenue ratably over the term of the arrangement once access to the Company’s solution has been provided to the end customer. The Company also uses referral partners who refer customers in exchange for a referral fee. The Company negotiates pricing and contracts directly with the end customer. The Company recognizes revenue from the sales to the end customers, ratably over the term of the contract, once access to the Company’s solution has been provided to the end customer. The following table summarizes the revenue by region based on the shipping address of customers who have contracted to use the Company’s platform or service: Three Months Ended July 31, Six Months Ended July 31, 2020 2019 2020 2019 Amount % Revenue Amount % Revenue Amount % Revenue Amount % Revenue (in thousands, except percentages) (in thousands, except percentages) United States $ 141,733 71 % $ 80,146 74 % $ 271,214 72 % $ 152,454 75 % Europe, Middle East, and Africa 28,552 14 % 15,006 14 % 53,593 14 % 28,419 14 % Asia Pacific 17,733 9 % 8,613 8 % 32,635 9 % 14,843 7 % Other 10,953 6 % 4,343 4 % 19,607 5 % 8,469 4 % Total revenue $ 198,971 100 % $ 108,108 100 % $ 377,049 100 % $ 204,185 100 % No single country other than the United States represented 10% or more of the Company’s total revenue during the three and six months ended July 31, 2020 and July 31, 2019. Contract Balances Contract liabilities consist of deferred revenue and include payments received in advance of performance under the contract. Such amounts are recognized as revenue over the contractual period. The Company recognized revenue of $165.1 million and $89.6 million for the three months ended July 31, 2020 and July 31, 2019, respectively, and $261.9 million and $169.5 million for the six months ended July 31, 2020 and July 31, 2019, respectively, that were included in the corresponding contract liability balance at the beginning of the period. The Company receives payments from customers based upon contractual billing schedules. Accounts receivable are recorded when the right to consideration becomes unconditional. Payment terms on invoiced amounts are typically 30 - 60 days. Contract assets include amounts related to the contractual right to consideration for both completed and partially completed performance obligations that may not have been invoiced. Changes in deferred revenue were as follows: Three Months Ended July 31, Six Months Ended July 31, 2020 2019 2020 2019 Carrying Amount (in thousands) Beginning Balance $ 635,973 $ 315,212 $ 571,168 $ 290,067 Additions to deferred revenue 252,838 162,658 495,721 283,880 Recognition of deferred revenue (198,971) (108,108) (377,049) (204,185) Ending Balance $ 689,840 $ 369,762 $ 689,840 $ 369,762 Remaining Performance Obligations The Company’s subscription contracts with its customers have a typical term of one three Costs to Obtain and Fulfill a Contract The Company capitalizes referral fees paid to partners and sales commission and associated payroll taxes paid to internal sales personnel that are incremental to the acquisition of channel partner and direct customer contracts and would not have occurred absent the customer contract. These costs are recorded as deferred contract acquisition costs, current and deferred contract acquisition costs, noncurrent on the condensed consolidated balance sheets. Sales commissions for renewal of a contract are not considered commensurate with the commissions paid for the acquisition of the initial contract or follow-on upsell given the substantive difference in commission rates in proportion to their respective contract values. Commissions, including referral fees paid to channel partners, paid upon the initial acquisition of a contract or subsequent upsell are amortized over an estimated period of benefit of 4 years while commissions paid for renewal contracts are amortized over the contractual term of the renewals. Sales commissions associated with professional service contracts are amortized ratably over an estimated period of benefit of six months and included in sales and marketing expense in the condensed consolidated statements of operations. In determining the period of benefit for commissions paid for the acquisition of the initial contract, the Company took into consideration the expected subscription term and expected renewals of customer contracts, the historical duration of relationships with customers, customer retention data, and the life of the developed technology. The Company periodically reviews the carrying amount of deferred contract acquisition costs to determine whether events or changes in circumstances have occurred that could impact the period of benefit of these deferred costs. The Company did not recognize any material impairment losses of deferred contract acquisition costs during the three and six months ended July 31, 2020 and July 31, 2019, respectively. The following table summarizes the activity of deferred contract acquisition costs: Three Months Ended July 31, Six Months Ended July 31, 2020 2019 2020 2019 (in thousands) Beginning balance $ 123,318 $ 64,197 $ 114,206 $ 63,071 Capitalization of contract acquisition costs 26,425 19,317 48,988 27,788 Amortization of deferred contract acquisition costs (14,720) (7,731) (28,171) (15,076) Ending balance $ 135,023 $ 75,783 $ 135,023 $ 75,783 Deferred contract acquisition costs, current $ 53,837 $ 34,017 $ 53,837 $ 34,017 Deferred contract acquisition costs, noncurrent 81,186 41,766 81,186 41,766 Total deferred contract acquisition costs $ 135,023 $ 75,783 $ 135,023 $ 75,783 |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jul. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 11. Commitments and Contingencies Purchase Obligations The Company enters into long-term non-cancelable agreements with providers to purchase data center capacity, such as bandwidth and colocation space, for the Company’s cloud platform. As of July 31, 2020, the Company is committed to spend $140.8 million on such agreements through 2027. These obligations are included in purchase obligations below. In the normal course of business, the Company enters into non-cancelable purchase commitments with various parties to purchase products and services such as technology, equipment, office renovations, corporate events, and consulting services. A summary of noncancelable purchase obligations as of July 31, 2020 with expected date of payment is as follows: Total (in thousands) Fiscal 2021 (remaining six months) $ 45,492 Fiscal 2022 92,967 Fiscal 2023 12,029 Fiscal 2024 11,351 Fiscal 2025 3,998 Thereafter 3,908 Total purchase commitments $ 169,745 Letters of Credit As of July 31, 2020 and January 31, 2020, the Company had an unused standby letter of credit for $0.4 million and $0.6 million, respectively, securing its headquarters facility in Sunnyvale, California. As of July 31, 2020 and January 31, 2020, the Company had an unused standby letter of credit for $1.0 million, securing its facility in Austin, Texas. Litigation The Company is currently involved in proceedings before the Trademark Trial and Appeal Board (“TTAB”) at the U.S. Patent and Trademark Office (the “USPTO”) regarding its U.S. trademark registrations for “CrowdStrike Falcon” and its U.S. application to register its “Falcon OverWatch” trademark. On November 23, 2016, Fair Isaac Corporation (“FICO”) filed a Petition for Cancellation of the Company’s “CrowdStrike Falcon” trademark registrations and a Notice of Opposition against the Company’s “Falcon OverWatch” trademark application before the USPTO, TTAB. On January 3, 2017, the Company filed answers to both the cancellation and opposition proceedings, and the proceedings thereafter were consolidated. On November 21, 2018, the Company filed a Petition for Partial Cancellation or Amendment of one of FICO’s “Falcon” trademark registrations, and on December 10, 2018, the parties filed a joint request to consolidate the proceedings and adjust the schedule. On January 16, 2019, FICO moved to dismiss the Company’s petition. On July 2, 2019, the TTAB consolidated the proceedings and granted FICO’s motion to dismiss with leave to amend. On July 22, 2019, the Company filed its Amended Petition for Cancellation or Amendment and on August 12, 2019, FICO moved to dismiss the Company’s Amended Petition for Cancellation or Amendment. On January 31, 2020, the TTAB denied the motion to dismiss as to two grounds for partial cancellation and as to the request for amendment, and granted the motion as to a third ground for partial cancellation of one of FICO’s “Falcon” registrations and the claim for abandonment of both of FICO’s “Falcon” trademark registrations, with the right to reassert both claims for relief. On March 18, 2020, the Company filed a motion for leave to file a Second Amended Petition to include a claim for abandonment for two of FICO’s “Falcon” trademark registrations. On August 3, 2020, the TTAB granted the motion for leave to file in part, and set a new schedule for the consolidated proceedings, with trial periods set to begin in May 2021. On August 13, 2020, the Company filed a separate petition to cancel one of FICO’s Falcon trademark registrations, and on August 24, 2020, the Company filed a Second Amended petition for Cancellation or Amendment as to the other FICO Falcon trademark registrations. The Company is vigorously defending the case, but given the early stage, although a loss may reasonably be possible, the Company is unable to predict the likelihood of success of FICO’s claims or estimate a loss or a range of loss. As a result, no liability has been recorded as of July 31, 2020 or January 31, 2020. In addition, from time to time the Company is a party to various litigation matters and subject to claims that arise in the ordinary course of business. In addition, third parties may from time to time assert claims against the Company in the form of letters and other communications. For any claims for which the Company believes a liability is both probable and reasonably estimable, the Company records a liability in the period for which it makes this determination. There is no pending or threatened legal proceeding to which the Company is a party that, in the Company’s opinion, is likely to have a material adverse effect on its condensed consolidated financial statements; however, the results of litigation and claims are inherently unpredictable. Regardless of the outcome, litigation can have an adverse impact on the Company’s business because of defense and settlement costs, diversion of management resources, and other factors. In addition, the expense of litigation and the timing of this expense from period to period are difficult to estimate, subject to change and could adversely affect the Company’s condensed consolidated financial statements. Warranties and Indemnification The Company’s cloud computing services are typically warranted to perform in a manner consistent with general industry standards that are reasonably applicable and materially in accordance with the Company’s online help documentation under normal use and circumstances. The Company’s arrangements generally include certain provisions for indemnifying customers against liabilities if its products or services infringe a third party’s intellectual property rights. In addition, for its Falcon Complete module customers, the Company offers a limited warranty, subject to certain conditions, to cover certain costs incurred by the customer in case of a cybersecurity breach. The Company has entered into an insurance policy to cover its potential liability arising from this limited warranty arrangement. To date, the Company has not incurred any material costs because of such obligations and has not accrued any liabilities related to such obligations in the condensed consolidated financial statements. |
Geographic Information
Geographic Information | 6 Months Ended |
Jul. 31, 2020 | |
Geographic Areas, Long-Lived Assets [Abstract] | |
Geographic Information | Geographic Information The Company’s long-lived assets are composed of property and equipment, net, and operating lease right-of-use assets, are summarized by geographic area as follows: July 31, January 31, (in thousands) United States $ 168,835 $ 125,409 International 24,922 10,669 Total property and equipment, net and operating lease right-of-use assets $ 193,757 $ 136,078 |
Related Party Transactions
Related Party Transactions | 6 Months Ended |
Jul. 31, 2020 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions Subscription and Professional Services Revenue from Related Parties During the three and six months ended July 31, 2020 and 2019, certain investors and companies with whom the Company’s Board of Directors are affiliated with purchased subscriptions and professional services. The Company recorded revenue from subscriptions and professional services from related parties of $1.0 million and $2.3 million during the three months ended July 31, 2020 and July 31, 2019, respectively, and $1.9 million and $4.6 million during the six months ended July 31, 2020 and July 31, 2019, respectively. Accounts receivable associated with these related parties was $3.2 million and $0.2 million as of July 31, 2020 and January 31, 2020. Accounts Payable to Related Parties |
Net Loss Per Share Attributable
Net Loss Per Share Attributable to Common Stockholders | 6 Months Ended |
Jul. 31, 2020 | |
Earnings Per Share [Abstract] | |
Net Loss Per Share Attributable to Common Stockholders | . Net Loss Per Share Attributable to Common Stockholders The following table sets forth the computation of basic and diluted net loss per share attributable to common stockholders (in thousands, except per share data): Three Months Ended July 31, Six Months Ended July 31, 2020 2019 2020 2019 Class A Common Stock Net loss attributable to common stockholders $ (23,059) $ (4,308) $ (33,407) $ (4,784) Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted 167,262 10,800 146,249 5,489 Net loss per share attributable to common stockholders, basic and diluted $ (0.14) $ (0.40) $ (0.23) $ (0.87) Class B Common Stock Net loss attributable to common stockholders $ (6,815) $ (47,581) $ (15,689) $ (73,082) Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted 49,433 119,291 68,683 83,846 Net loss per share attributable to common stockholders, basic and diluted $ (0.14) $ (0.40) $ (0.23) $ (0.87) Since the Company was in a net loss position for all periods presented, basic net loss per share is the same as diluted net loss per share as the inclusion of all potential common shares outstanding would have been antidilutive. The potential shares of common stock that were excluded from the computation of diluted net loss per share attributable to common stockholders for the periods presented because including them would have been antidilutive are as follows: July 31, July 31, (in thousands) Shares of common stock subject to repurchase from outstanding stock options 728 1,316 RSUs and PSUs subject to future vesting 8,311 5,729 Shares of common stock issuable from stock options 9,871 21,267 Share purchase rights under the employee stock purchase plan 1,154 1,654 Potential common shares excluded from diluted net loss per share 20,064 29,966 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jul. 31, 2020 | |
Accounting Policies [Abstract] | |
Basis of presentation | Basis of Presentation The accompanying condensed consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles in the United States of America (“U.S. GAAP”) and applicable rules and regulations of the Securities and Exchange Commission (“SEC”) regarding interim financial reporting. As permitted under those rules, certain footnotes or other financial information that are normally required by U.S. GAAP have been condensed or omitted, and accordingly the balance sheet as of January 31, 2020, and related disclosures, have been derived from the audited consolidated financial statements at that date but do not include all of the information required by U.S. GAAP for complete consolidated financial statements. These unaudited condensed consolidated financial statements have been prepared on the same basis as the Company’s annual consolidated financial statements and, in the opinion of management, reflect all adjustments (consisting only of normal recurring adjustments) that are necessary for the fair statement of the Company’s condensed consolidated financial information. The results of operations for the three and six months ended July 31, 2020 are not necessarily indicative of the results to be expected for the year ending January 31, 2021 or for any other interim period or for any other future year. |
Principles of consolidation | Principles of Consolidation The condensed consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. Certain information and footnote disclosures normally included in the financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to the applicable required disclosures and regulations of the SEC. Therefore, the accompanying interim unaudited condensed consolidated financial statements and related financial information should be read in conjunction with Item 8, “Financial Statements and Supplementary Data” included in the Company’s Annual Report on Form 10-K for the fiscal year ended January 31, 2020, filed with the SEC on March 23, 2020. |
JOBS act accounting election | JOBS Act Accounting Election The Company will be an “emerging growth company” (“EGC”) as defined in the Jumpstart Our Business Startups Act of 2012 (“JOBS Act”) until January 31, 2021. An EGC may take advantage of specified reduced reporting requirements that are otherwise applicable generally to public companies, including, but not limited to, delayed adoption of new or revised accounting pronouncements applicable to public companies until such pronouncements are made applicable to private companies, not being required to comply with the auditor attestation requirements of Section 404 of the Sarbanes-Oxley Act of 2002 (“Sarbanes-Oxley Act”), reduced disclosure obligations regarding executive compensation in the Company’s periodic reports and proxy statements, and exemptions from the requirements of holding a nonbinding advisory vote on executive compensation and stockholder approval of any golden parachute payments not previously approved. The Company may take advantage of these exemptions until it is no longer an EGC. |
Use of estimates | Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported and disclosed in the Company’s condensed consolidated financial statements and accompanying notes. These estimates are based on information available as of the date of the condensed consolidated financial statements. On a regular basis, management evaluates these estimates and assumptions. Actual results may differ from these estimates and such difference could be material to the Company’s condensed consolidated financial statements. Estimates and assumptions used by management include, but are not limited to, revenue recognition, the allowance for doubtful accounts, the carrying value and the useful lives of long-lived assets, the fair values of financial instruments and strategic investments, the period of benefit for deferred contract acquisition costs, the discount rate used for operating leases, the recognition and disclosure of contingent liabilities, income taxes, and stock-based compensation. Due to the Coronavirus (“COVID-19”) pandemic, there has been uncertainty and disruption in the global economy and financial markets. The Company is not aware of any specific event or circumstance that would require a material update to its estimates or judgments or an adjustment of the carrying value of its assets or liabilities as of July 31, 2020. While there was not a material impact to the Company’s condensed consolidated financial statements as of and for the three and six months ended July 31, 2020, these estimates may change, as new events occur and additional information is obtained, as well as other factors related to COVID-19 that could result in material impacts to the Company’s condensed consolidated financial statements in future reporting periods. |
Concentration of credit risk and geographic information | Concentration of Credit Risk and Geographic Information The Company generates revenue from the sale of subscriptions to access its cloud platform and professional services. The Company’s sales team, along with its channel partner network of system integrators and value-added resellers (collectively, “channel partners”), sells the Company’s services worldwide to organizations of all sizes. Financial instruments that potentially subject the Company to concentrations of credit risk consist of cash, cash equivalents, marketable securities, accounts receivable, and strategic investments. The Company’s cash is placed with high-credit-quality financial institutions and issuers, and at times exceed federally insured limits. The Company limits its concentration of risk in cash equivalents and marketable securities by diversifying its investments among a variety of industries and issuers. The Company has not experienced any credit loss relating to its cash equivalents, marketable securities, and strategic investments. The Company performs periodic credit evaluations of its customers and generally does not require collateral. As of July 31, 2020, the Company did not have any cash equivalents or marketable securities. Channel partners or direct customers who represented 10% or more of the Company’s accounts receivable were as follows: July 31, January 31, 2020 2020 Channel partner A 7 % 11 % Channel partner B 6 % 10 % Customer B 4 % 20 % Channel partners who represented 10% or more of the Company’s total revenue were as follows: Three Months Ended July 31, Six Months Ended July 31, 2020 2019 2020 2019 Channel partner A 9 % 11% 9 % 11 % There were no direct customers who represented 10% or more of the Company’s total revenue during the three and six months ended July 31, 2020 and July 31, 2019. |
Leases | Leases The Company enters into operating lease arrangements for real estate assets related to office space. The Company determines if an arrangement is or contains a lease at inception by evaluating various factors, including whether a vendor’s right to substitute an identified asset is substantive. Lease classification is determined at the lease commencement date, which is the date the leased assets are made available for use. Operating leases are included in “Operating lease right-of-use assets”, “Operating lease liabilities, current”, and “Operating lease liabilities, noncurrent” in the condensed consolidated balance sheet. The Company did not have any financing leases in any of the periods presented. Operating lease right-of-use assets and lease liabilities are recognized at the lease commencement date based on the present value of lease payments over the lease term. Lease payments consist of the fixed payments under the arrangement, less any lease incentives, such as tenant improvement allowances. Variable costs, such as maintenance and utilities based on actual usage, are not included in the measurement of right-to-use assets and lease liabilities but are expensed when the event determining the amount of variable consideration to be paid occurs. As the implicit rate of the leases is not determinable, the Company uses an incremental borrowing rate (“IBR”) based on the information available at the lease commencement date in determining the present value of lease payments. Lease expenses are recognized on a straight-line basis over the lease term. The Company uses the non-cancelable lease term when recognizing the right-of-use (“ROU”) assets and lease liabilities, unless it is reasonably certain that a renewal or termination option will be exercised. The Company accounts for lease components and non-lease components as a single lease component. Leases with a term of twelve months or less are not recognized on the condensed consolidated balance sheet but are recognized as expense on a straight-line basis over the term of the lease. |
Available-for-sale debt securities | Available-for-sale debt securities The Company evaluates investments with unrealized loss positions by assessing if they are related to deterioration in credit risk and whether the Company expects to recover the entire amortized cost basis of the security, the Company ’ s intent to sell and whether it is more likely than not that the Company will be required to sell the securities before the recovery of its cost basis. Credit-related impairment losses, not to exceed the amount that fair value is less than the amortized cost basis, are recognized through an allowance for credit losses with changes in the allowance for credit losses recorded in other income (expense), net in the condensed consolidated statements of comprehensive income (loss). As of July 31, 2020, there were no marketable securities held by the Company and there were no securities that had been in continuous unrealized loss position. |
Accounts receivable | Accounts ReceivableAccounts receivable are recorded at the invoiced amount and are non-interest bearing. Accounts receivable are stated at their net realizable value, net of allowance for doubtful accounts. The Company has a well-established collections history from its customers. Credit is extended to customers based on an evaluation of their financial condition and other factors. The Company generally does not require collateral from its customers; however, the Company may require payment prior to commencing service in certain instances to limit credit risk. The Company regularly reviews the adequacy of the allowance for doubtful accounts by considering various factors including the age of each outstanding invoice, each customer’s expected ability to pay, historical loss rates and expectations of forward-looking loss estimates to determine whether the allowance is appropriate. Amounts deemed uncollectible are written off against the allowance for doubtful accounts. |
Software implementation costs | Software Implementation Costs The Company contracts with third party information technology providers for various service arrangements including software, platform, and information technology infrastructure. The Company capitalizes the implementation cost incurred to develop or obtain internal-use software in such arrangements. All capitalized implementation costs are amortized over the term of the arrangement which includes reasonably certain renewals. Costs incurred during the preliminary project and post implement stage are expensed as the activities are performed. Capitalized implementation costs were not material for the three and six months ended July 31, 2020. |
Recently issued and recently adopted accounting pronouncements | Recently Adopted Accounting Pronouncements In February 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2016-02, “Leases (Topic 842),” which requires lessees to generally recognize on the balance sheet operating and financing lease liabilities and corresponding ROU assets, and to recognize on the income statement the expenses in a manner similar to prior practice. The Company adopted Topic 842 using the modified retrospective method on February 1, 2020. The Company elected the following practical expedients: • The package of practical expedients which allows for not reassessing 1) whether existing contracts contain leases, 2) the lease classification of existing leases, and 3) whether existing initial direct costs meet the new definition. • The practical expedient in ASC Subtopic 842-10 to not separate non-lease components from lease components and instead account for each separate lease component and non-lease components associated with that lease component as a single lease component by class of the underlying assets. • Not to recognize right of use assets and lease liabilities for short-term leases, which have a lease term of twelve months or less and do not include an option to purchase the underlying asset that the Company is reasonably certain to exercise. The Company did not elect the hindsight practical expedient. Lease payments consist primarily of the fixed payments under the arrangement, less any lease incentives such as tenant improvement allowance. The Company uses an estimate of its IBR based on the information available at the lease commencement date in determining the present value of lease payments, unless the implicit rate is readily determinable. In determining the appropriate IBR, management considers information including, but not limited to, the Company ’s credit rating, the lease term, and the currency in which the arrangement is denominated. For leases which commenced prior to the adoption of Topic 842, the Company used the IBR on January 31, 2020. The adoption of this new standard on February 1, 2020, and the application of the modified retrospective transition approach resulted in the following changes: a. Assets increased by $37.4 million, primarily representing the recognition of ROU asset for operating leases; and b. Liabilities increased by $37.4 million, primarily representing the recognition of lease liabilities for operating leases partially offset by derecognition of liabilities for deferred rent previously designated under ASC Topic 840 In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments . This ASU requires a financial asset measured at amortized cost basis to be presented at the net amount expected to be collected, with further clarifications made more recently regarding the treatment of accrued interest, transfers between classifications for loans and debt securities, recoveries and the option to irrevocably elect the fair value option (on an instrument-by-instrument basis) for eligible financial assets at amortized costs. For trade receivables, loans, and other financial assets, the Company will be required to use a forward-looking expected loss model rather than the incurred loss model for recognizing credit losses which reflects losses that are probable. Credit losses relating to available-for-sale debt securities are required to be recorded through an allowance for credit losses in the condensed consolidated statements of operation rather than as a reduction in the amortized cost basis of the securities. The Company adopted this guidance on February 1, 2020, which did not have a material effect on its condensed consolidated financial statements. In January 2017, the FASB issued ASU No. 2017-04, Intangibles—Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment . This ASU simplifies the measurement of goodwill by eliminating step two of the two-step impairment test. Step two measures a goodwill impairment loss by comparing the implied fair value of a reporting unit’s goodwill with the carrying amount of that goodwill. This ASU requires an entity to compare the fair value of a reporting unit with its carrying amount and recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value. Additionally, an entity should consider income tax effects from any tax-deductible goodwill on the carrying amount of the reporting unit when measuring the goodwill impairment loss, if applicable. The Company adopted this guidance on February 1, 2020 which did not have a material effect on its condensed consolidated financial statements. In August 2018, the FASB issued ASU No. 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement . This ASU modifies the disclosure requirements on fair value measurements in Topic 820, Fair Value Measurement . The Company adopted this guidance on February 1, 2020 which did not have a material effect on its condensed consolidated financial statements. In August 2018, the FASB issued 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 (a consensus of the FASB Emerging Issues Task Force). This ASU aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal use software. The Company adopted this guidance on February 1, 2020 which did not have a material effect on its condensed consolidated financial statements. In March 2020, the FASB issued ASU 2020-04 , Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting. The ASU provides optional expedients and exceptions for applying generally accepted accounting principles to contract modifications and hedging relationships, subject to meeting certain criteria, that reference LIBOR or another reference rate expected to be discontinued. This ASU may be applied prospectively through December 31, 2022. The Company adopted this guidance on May 1, 2020 which did not have a material effect on its condensed consolidated financial statements. Per the terms of the Company’s secured revolving credit facility (see Note 5), outstanding Eurodollar Loans incur interest at the Eurodollar Rate, which is defined in the Credit Agreement as LIBOR (or any successor thereto), plus a margin. The Company’s lender is currently preparing to use the Secured Overnight Funding Rate if LIBOR becomes unavailable. No amounts were outstanding under the Credit Agreement as of July 31, 2020. Recently Issued Accounting Pronouncements In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes, which enhances and simplifies various aspects of the income tax accounting guidance, including requirements such as tax basis step-up in goodwill obtained in a transaction that is not a business combination, ownership changes in investments, and interim-period accounting for enacted changes in tax law. For public business entities, this ASU is effective for fiscal years beginning after December 15, 2020, and interim periods within those fiscal years. The Company is currently assessing the impact of this pronouncement on its condensed consolidated financial statements. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 6 Months Ended |
Jul. 31, 2020 | |
Accounting Policies [Abstract] | |
Schedule of concentration of credit risk | Channel partners or direct customers who represented 10% or more of the Company’s accounts receivable were as follows: July 31, January 31, 2020 2020 Channel partner A 7 % 11 % Channel partner B 6 % 10 % Customer B 4 % 20 % Channel partners who represented 10% or more of the Company’s total revenue were as follows: Three Months Ended July 31, Six Months Ended July 31, 2020 2019 2020 2019 Channel partner A 9 % 11% 9 % 11 % |
Fair Value Measurements and M_2
Fair Value Measurements and Marketable Securities (Tables) | 6 Months Ended |
Jul. 31, 2020 | |
Fair Value Disclosures [Abstract] | |
Schedule of company's fair value hierarchy for its financial assets and liabilities that are measured at fair value on a recurring basis | The Company’s fair value hierarchy for its financial assets and liabilities that are measured at fair value on a recurring basis are as follows: July 31, 2020 January 31, 2020 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total (in thousands) (in thousands) Assets Cash equivalents (1) Money market funds $ — $ — $ — $ — $ 205,379 $ — $ — $ 205,379 Corporate debt securities — — — — — 39,940 — 39,940 Total cash equivalents — — — — 205,379 39,940 — 245,319 Marketable securities Corporate debt securities — — — — — 495,022 — 495,022 U.S. treasury securities — — — — 84,431 — — 84,431 Asset backed securities — — — — — 67,813 67,813 Total marketable securities — — — — 84,431 562,835 — 647,266 Total assets $ — $ — $ — $ — $ 289,810 $ 602,775 $ — $ 892,585 __________________________________ (1) Included in “Cash and cash equivalents” on the condensed consolidated balance sheets. |
Schedule of marketable securities | The following table presents the contractual maturities of marketable securities as of January 31, 2020: Amortized cost Fair value (in thousands) Due in one year or less $ 377,722 $ 378,408 Due after one year through five years 266,670 267,728 Due after five years through nineteen years 1,127 1,130 $ 645,519 $ 647,266 |
Summary of changes in strategic investments | The following summarizes the changes in strategic investments: July 31, January 31, 2020 2020 (in thousands) Total initial cost $ 2,000 $ 1,000 Cumulative gain — — Carrying value $ 2,000 $ 1,000 |
Summary of changes in the redeemable convertible preferred stock warrant liability | The following summarizes the changes in the redeemable convertible preferred stock warrant liability, which is classified as a Level 3 instrument: Three Months Ended July 31, Six Months Ended July 31, 2020 2019 2020 2019 (in thousands) (in thousands) Balance at beginning of period $ — $ 5,704 $ — $ 4,537 Adjustment resulting from change in fair value recognized in the condensed consolidated statement of operations — 4,855 — 6,022 Reclassification of liability for redeemable convertible preferred stock warrants to additional paid-in capital upon initial public offering — (10,559) — (10,559) Balance at end of period $ — $ — $ — $ — |
Balance Sheet Components (Table
Balance Sheet Components (Tables) | 6 Months Ended |
Jul. 31, 2020 | |
Balance Sheet Related Disclosures [Abstract] | |
Summary of prepaid expenses and other current assets | Prepaid expenses and other current assets consisted of the following: July 31, January 31, (in thousands) Prepaid expenses $ 20,450 $ 20,390 Prepaid software licenses 14,675 16,645 Prepaid hosting services 6,536 8,056 Other current assets 6,513 6,523 Prepaid expenses and other current assets $ 48,174 $ 51,614 |
Property, plant and equipment | Property and equipment, net consisted of the following: July 31, January 31, (in thousands) Data center and other computer equipment $ 131,648 $ 87,166 Capitalized internal-use software 35,093 30,354 Leasehold improvements 15,517 13,157 Purchased software 3,071 2,604 Furniture and equipment 5,306 4,835 Construction in process 30,060 47,626 220,695 185,742 Less: Accumulated depreciation and amortization (67,392) (49,664) Property and equipment, net $ 153,303 $ 136,078 |
Schedule of total intangible assets, net | Intangible Assets, Net Total intangible assets, net consisted of the following: July 31, 2020 Weighted-Average Gross Carrying Amount Accumulated Amortization Net Amount (in thousands) (in months) Developed technology $ 1,293 $ 1,241 $ 52 3 Customer relationships 653 366 287 27 Non-compete agreement 131 123 8 3 Total $ 2,077 $ 1,730 $ 347 January 31, 2020 Weighted-Average Gross Carrying Amount Accumulated Amortization Net Amount (in thousands) (in months) Developed technology $ 1,238 $ 1,067 $ 171 9 Customer relationships 607 280 327 33 Non-compete agreement 121 92 29 9 Total $ 1,966 $ 1,439 $ 527 |
Schedule of estimated aggregate future amortization expense of intangible assets | The estimated aggregate future amortization expense of intangible assets as of July 31, 2020 is as follows: Total (in thousands) Fiscal 2021 (remaining six months) $ 126 Fiscal 2022 130 Fiscal 2023 91 Total amortization expense $ 347 |
Summary of accrued expenses | Accrued expenses consisted of the following: July 31, January 31, (in thousands) Web hosting services $ 8,169 $ 16,367 Other accrued expenses 4,133 7,459 Accrued marketing 2,900 1,970 Accrued purchases of property and equipment 2,630 2,789 Accrued legal and accounting 1,379 1,770 Accrued expenses $ 19,211 $ 30,355 |
Summary of accrued payroll and benefits | Accrued payroll and benefits consisted of the following: July 31, January 31, (in thousands) Accrued commissions $ 11,024 $ 15,399 Accrued payroll and related expenses 10,635 6,680 Accrued bonuses 8,115 8,171 Employee Stock Purchase Plan 6,325 6,560 Accrued payroll and benefits $ 36,099 $ 36,810 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jul. 31, 2020 | |
Leases [Abstract] | |
Schedule of Component of Lease Costs | The component of lease costs was as follows: Three Months Ended July 31, 2020 Six Months Ended July 31, 2020 (in thousands) Lease cost Operating lease cost $ 2,671 $ 4,954 Short-term lease cost 492 985 Variable lease cost 518 1,354 Total lease cost $ 3,681 $ 7,293 |
Summary of future minimum payments under noncancelable operating leases | The maturities of the Company’s non-cancelable operating lease liabilities are as follows: July 31, 2020 (in thousands) Fiscal 2021 (remaining six months) $ 4,262 Fiscal 2022 11,413 Fiscal 2023 10,856 Fiscal 2024 10,785 Fiscal 2025 9,934 Thereafter 4,151 Total operating lease payments 51,401 Less: imputed interest 6,624 Present value of operating lease liabilities $ 44,777 Future minimum payments under non-cancelable operating leases determined using the prior accounting guidance consisted of the following as of January 31, 2020: Real Estate Arrangements (in thousands) Fiscal 2021 $ 9,958 Fiscal 2022 9,869 Fiscal 2023 9,377 Fiscal 2024 9,370 Fiscal 2025 8,441 Thereafter 3,671 Total $ 50,686 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 6 Months Ended |
Jul. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Schedule of stock option activity | The following table is a summary of stock option activity for the six months ended July 31, 2020: Number of Weighted-Average (in thousands) Options outstanding at January 31, 2020 14,689 $ 5.52 Granted 60 $ 93.90 Exercised (4,689) $ 3.54 Canceled (189) $ 8.49 Options outstanding at July 31, 2020 9,871 $ 6.94 Options vested and expected to vest at July 31, 2020 9,871 $ 6.94 Options exercisable at July 31, 2020 4,794 $ 4.09 |
Schedule of restricted stock units | The following table is a summary of RSU and PSU activities for the six months ended July 31, 2020: Number of Weighted- (in thousands) RSUs and PSUs outstanding at January 31, 2020 6,063 $ 29.82 Granted 3,427 $ 63.98 Vested (992) $ 30.94 Forfeited (187) $ 32.39 RSUs and PSUs outstanding at July 31, 2020 8,311 $ 43.71 RSUs and PSUs expected to vest at July 31, 2020 8,311 $ 43.71 |
Schedule of stock-based compensation expense | Stock-based compensation expense included in the condensed consolidated statements of operations is as follows: Three Months Ended July 31, Six Months Ended July 31, 2020 2019 2020 2019 (in thousands) (in thousands) Subscription cost of revenue $ 2,635 $ 1,233 $ 4,630 $ 1,498 Professional services cost of revenue 1,425 644 2,396 747 Sales and marketing 13,603 6,638 22,290 8,156 Research and development 9,029 4,976 13,929 5,657 General and administrative 11,021 16,368 18,106 17,553 Total stock-based compensation expense $ 37,713 $ 29,859 $ 61,351 $ 33,611 |
Employee Stock Purchase Plan | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Schedule of assumptions used to estimate fair value on date of grant | Six Months Ended 2020 2019 Expected term (in years) 0.5 - 2.0 0.5 - 2.0 Risk-free interest rate 0.2% - 2.0% 1.9% - 2.2% Expected stock price volatility 30.1% - 54.3% 33.0% - 35.7% Dividend yield — % — % |
Stock options | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Schedule of assumptions used to estimate fair value on date of grant | The fair value of each option was estimated on the date of grant using the following assumptions during the period: Six Months Ended 2020 2019 Expected term (in years) 6.05 6.05 Risk-free interest rate 0.4 % 2.0% Expected stock price volatility 36.0 % 37.7% Dividend yield — % — % |
Revenue, Deferred Revenue and_2
Revenue, Deferred Revenue and Remaining Performance Obligations (Tables) | 6 Months Ended |
Jul. 31, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Summary of revenue from contracts by type of customer | The following table summarizes the revenue from contracts by type of customer: Three Months Ended July 31, Six Months Ended July 31, 2020 2019 2020 2019 Amount % Revenue Amount % Revenue Amount % Revenue Amount % Revenue (in thousands, except percentages) (in thousands, except percentages) Channel Partners $ 153,412 77 % $ 70,438 65 % $ 283,692 75 % $ 134,897 66 % Direct Customers 45,559 23 % 37,670 35 % 93,357 25 % 69,288 34 % Total revenue $ 198,971 100 % $ 108,108 100 % $ 377,049 100 % $ 204,185 100 % |
Summary of revenue by region based on the shipping address of customers | The following table summarizes the revenue by region based on the shipping address of customers who have contracted to use the Company’s platform or service: Three Months Ended July 31, Six Months Ended July 31, 2020 2019 2020 2019 Amount % Revenue Amount % Revenue Amount % Revenue Amount % Revenue (in thousands, except percentages) (in thousands, except percentages) United States $ 141,733 71 % $ 80,146 74 % $ 271,214 72 % $ 152,454 75 % Europe, Middle East, and Africa 28,552 14 % 15,006 14 % 53,593 14 % 28,419 14 % Asia Pacific 17,733 9 % 8,613 8 % 32,635 9 % 14,843 7 % Other 10,953 6 % 4,343 4 % 19,607 5 % 8,469 4 % Total revenue $ 198,971 100 % $ 108,108 100 % $ 377,049 100 % $ 204,185 100 % |
Summary of changes in deferred revenue | Changes in deferred revenue were as follows: Three Months Ended July 31, Six Months Ended July 31, 2020 2019 2020 2019 Carrying Amount (in thousands) Beginning Balance $ 635,973 $ 315,212 $ 571,168 $ 290,067 Additions to deferred revenue 252,838 162,658 495,721 283,880 Recognition of deferred revenue (198,971) (108,108) (377,049) (204,185) Ending Balance $ 689,840 $ 369,762 $ 689,840 $ 369,762 |
Summary of the activity of deferred contract acquisition costs | The following table summarizes the activity of deferred contract acquisition costs: Three Months Ended July 31, Six Months Ended July 31, 2020 2019 2020 2019 (in thousands) Beginning balance $ 123,318 $ 64,197 $ 114,206 $ 63,071 Capitalization of contract acquisition costs 26,425 19,317 48,988 27,788 Amortization of deferred contract acquisition costs (14,720) (7,731) (28,171) (15,076) Ending balance $ 135,023 $ 75,783 $ 135,023 $ 75,783 Deferred contract acquisition costs, current $ 53,837 $ 34,017 $ 53,837 $ 34,017 Deferred contract acquisition costs, noncurrent 81,186 41,766 81,186 41,766 Total deferred contract acquisition costs $ 135,023 $ 75,783 $ 135,023 $ 75,783 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 6 Months Ended |
Jul. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Summary of noncancelable purchase obligations | A summary of noncancelable purchase obligations as of July 31, 2020 with expected date of payment is as follows: Total (in thousands) Fiscal 2021 (remaining six months) $ 45,492 Fiscal 2022 92,967 Fiscal 2023 12,029 Fiscal 2024 11,351 Fiscal 2025 3,998 Thereafter 3,908 Total purchase commitments $ 169,745 |
Geographic Information (Tables)
Geographic Information (Tables) | 6 Months Ended |
Jul. 31, 2020 | |
Geographic Areas, Long-Lived Assets [Abstract] | |
Summary by geographic area of company's long lived assets | The Company’s long-lived assets are composed of property and equipment, net, and operating lease right-of-use assets, are summarized by geographic area as follows: July 31, January 31, (in thousands) United States $ 168,835 $ 125,409 International 24,922 10,669 Total property and equipment, net and operating lease right-of-use assets $ 193,757 $ 136,078 |
Net Loss Per Share Attributab_2
Net Loss Per Share Attributable to Common Stockholders (Tables) | 6 Months Ended |
Jul. 31, 2020 | |
Earnings Per Share [Abstract] | |
Schedule of computation of basic and diluted net loss per share attributable to common stockholders" | The following table sets forth the computation of basic and diluted net loss per share attributable to common stockholders (in thousands, except per share data): Three Months Ended July 31, Six Months Ended July 31, 2020 2019 2020 2019 Class A Common Stock Net loss attributable to common stockholders $ (23,059) $ (4,308) $ (33,407) $ (4,784) Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted 167,262 10,800 146,249 5,489 Net loss per share attributable to common stockholders, basic and diluted $ (0.14) $ (0.40) $ (0.23) $ (0.87) Class B Common Stock Net loss attributable to common stockholders $ (6,815) $ (47,581) $ (15,689) $ (73,082) Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted 49,433 119,291 68,683 83,846 Net loss per share attributable to common stockholders, basic and diluted $ (0.14) $ (0.40) $ (0.23) $ (0.87) |
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 attributable to common stockholders for the periods presented because including them would have been antidilutive are as follows: July 31, July 31, (in thousands) Shares of common stock subject to repurchase from outstanding stock options 728 1,316 RSUs and PSUs subject to future vesting 8,311 5,729 Shares of common stock issuable from stock options 9,871 21,267 Share purchase rights under the employee stock purchase plan 1,154 1,654 Potential common shares excluded from diluted net loss per share 20,064 29,966 |
Description of Business and B_2
Description of Business and Basis of Presentation (Details) $ / shares in Units, $ in Thousands | Jun. 14, 2019USD ($)$ / sharesshares | Jul. 31, 2020USD ($)modules | Jul. 31, 2019USD ($) |
Description of Business and Basis of Presentation | |||
Number of cloud modules | modules | 11 | ||
Proceeds from the issuance of common stock upon initial public offering, net of underwriting discounts | $ | $ 0 | $ 665,092 | |
Class A common stock | IPO | |||
Description of Business and Basis of Presentation | |||
Common stock issued (in shares) | shares | 20,700,000 | ||
Public offering price (in usd per share) | $ / shares | $ 34 | ||
Proceeds from the issuance of common stock upon initial public offering, net of underwriting discounts | $ | $ 659,200 | ||
Underwriters' discounts and commissions and estimated offering expenses | $ | $ 44,800 | ||
Common stock conversion ratio | 1 | ||
Class B common stock | |||
Description of Business and Basis of Presentation | |||
Common stock conversion ratio | 1 | ||
Class B common stock | IPO | |||
Description of Business and Basis of Presentation | |||
Number of shares issued in conversion of common stock (in shares) | shares | 131,267,586 | ||
Common stock conversion ratio | 1 | ||
Conversion of warrants, warrants issued (in shares) | shares | 336,386 | ||
Warrant conversion ratio | 1 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Narrative (Details) | Jul. 31, 2020USD ($)modules | Feb. 01, 2020USD ($) | Jan. 31, 2020USD ($) |
Concentration Risk [Line Items] | |||
Number of marketable securities held | modules | 0 | ||
Number of securities in continuous unrealized loss position | modules | 0 | ||
Accounts receivable, allowance for doubtful accounts | $ 1,300,000 | $ 1,100,000 | |
Operating lease right-of-use assets | 40,454,000 | $ 0 | |
Present value of operating lease liabilities | 44,777,000 | ||
Revolving line of credit | |||
Concentration Risk [Line Items] | |||
Amount outstanding under credit agreement | $ 0 | ||
Accounting standards update 2016-02 | Cumulative Effect, Period of Adoption, Adjustment | |||
Concentration Risk [Line Items] | |||
Operating lease right-of-use assets | $ 37,400,000 | ||
Liabilities | Accounting standards update 2016-02 | Cumulative Effect, Period of Adoption, Adjustment | |||
Concentration Risk [Line Items] | |||
Present value of operating lease liabilities | $ 37,400,000 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Concentration of Credit Risk (Details) | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jul. 31, 2020 | Jul. 31, 2019 | Jul. 31, 2020 | Jul. 31, 2019 | Jan. 31, 2020 | |
Channel partner A | Customers | Accounts receivable | |||||
Concentration Risk [Line Items] | |||||
Concentration risk, percentage | 7.00% | 11.00% | |||
Channel partner A | Channel partner A | Revenue | |||||
Concentration Risk [Line Items] | |||||
Concentration risk, percentage | 9.00% | 11.00% | 9.00% | 11.00% | |
Channel partner B | Customers | Accounts receivable | |||||
Concentration Risk [Line Items] | |||||
Concentration risk, percentage | 6.00% | 10.00% | |||
Customer B | Customers | Accounts receivable | |||||
Concentration Risk [Line Items] | |||||
Concentration risk, percentage | 4.00% | 20.00% |
Fair Value Measurements and M_3
Fair Value Measurements and Marketable Securities - Financial Assets and Liabilities (Details) - USD ($) $ in Thousands | Jul. 31, 2020 | Jan. 31, 2020 |
Assets | ||
Marketable securities | $ 0 | $ 647,266 |
Recurring | ||
Assets | ||
Cash equivalents | 0 | 245,319 |
Marketable securities | 0 | 647,266 |
Total assets | 0 | 892,585 |
Recurring | Money market funds | ||
Assets | ||
Cash equivalents | 0 | 205,379 |
Recurring | Corporate debt securities | ||
Assets | ||
Cash equivalents | 0 | 39,940 |
Marketable securities | 0 | 495,022 |
Recurring | U.S. treasury securities | ||
Assets | ||
Marketable securities | 0 | 84,431 |
Recurring | Asset backed securities | ||
Assets | ||
Marketable securities | 0 | 67,813 |
Level 1 | Recurring | ||
Assets | ||
Cash equivalents | 0 | 205,379 |
Marketable securities | 0 | 84,431 |
Total assets | 0 | 289,810 |
Level 1 | Recurring | Money market funds | ||
Assets | ||
Cash equivalents | 0 | 205,379 |
Level 1 | Recurring | Corporate debt securities | ||
Assets | ||
Cash equivalents | 0 | 0 |
Marketable securities | 0 | 0 |
Level 1 | Recurring | U.S. treasury securities | ||
Assets | ||
Marketable securities | 0 | 84,431 |
Level 1 | Recurring | Asset backed securities | ||
Assets | ||
Marketable securities | 0 | 0 |
Level 2 | Recurring | ||
Assets | ||
Cash equivalents | 0 | 39,940 |
Marketable securities | 0 | 562,835 |
Total assets | 0 | 602,775 |
Level 2 | Recurring | Money market funds | ||
Assets | ||
Cash equivalents | 0 | 0 |
Level 2 | Recurring | Corporate debt securities | ||
Assets | ||
Cash equivalents | 0 | 39,940 |
Marketable securities | 0 | 495,022 |
Level 2 | Recurring | U.S. treasury securities | ||
Assets | ||
Marketable securities | 0 | 0 |
Level 2 | Recurring | Asset backed securities | ||
Assets | ||
Marketable securities | 0 | 67,813 |
Level 3 | Recurring | ||
Assets | ||
Cash equivalents | 0 | 0 |
Marketable securities | 0 | 0 |
Total assets | 0 | 0 |
Level 3 | Recurring | Money market funds | ||
Assets | ||
Cash equivalents | 0 | 0 |
Level 3 | Recurring | Corporate debt securities | ||
Assets | ||
Cash equivalents | 0 | 0 |
Marketable securities | 0 | 0 |
Level 3 | Recurring | U.S. treasury securities | ||
Assets | ||
Marketable securities | 0 | 0 |
Level 3 | Recurring | Asset backed securities | ||
Assets | ||
Marketable securities | $ 0 |
Fair Value Measures and Marketa
Fair Value Measures and Marketable Securities - Maturities (Details) $ in Thousands | Jan. 31, 2020USD ($) |
Amortized cost | |
Due in one year or less | $ 377,722 |
Due after one year through five years | 266,670 |
Due after five years through nineteen years | 1,127 |
Total amortized cost | 645,519 |
Fair value | |
Due in one year or less | 378,408 |
Due after one year through five years | 267,728 |
Due after five years through nineteen years | 1,130 |
Total fair value | $ 647,266 |
Fair Value Measures and Marke_2
Fair Value Measures and Marketable Securities - Strategic Investments (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jul. 31, 2020 | Jan. 31, 2020 | |
Fair Value Disclosure, Asset and Liability, Not Measured at Fair Value [Line Items] | ||
Total initial cost | $ 2,000 | $ 1,000 |
Carrying value | 2,000 | 1,000 |
Cumulative gain | ||
Fair Value Disclosure, Asset and Liability, Not Measured at Fair Value [Line Items] | ||
Cumulative gain | $ 0 | $ 0 |
Fair Value Measurements and M_4
Fair Value Measurements and Marketable Securities - Additional Information (Details) - USD ($) | Jun. 14, 2019 | Jul. 31, 2019 | Jul. 31, 2019 | Jan. 31, 2020 |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Other-than-temporary impairments | $ 0 | |||
Adjustment resulting from change in fair value recognized in the condensed consolidated statement of operations | $ 4,900,000 | $ 6,000,000 | ||
IPO | Class B common stock | ||||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Conversion of warrants, warrants issued (in shares) | 336,386 |
Fair Value Measurements and M_5
Fair Value Measurements and Marketable Securities - Redeemable convertible preferred stock warrant liability (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2020 | Jul. 31, 2019 | Jul. 31, 2020 | Jul. 31, 2019 | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Adjustment resulting from change in fair value recognized in the condensed consolidated statement of operations | $ 4,900 | $ 6,000 | ||
Reclassification of liability for redeemable convertible preferred stock warrants to additional paid-in capital upon initial public offering | (10,559) | (10,559) | ||
Level 3 | Redeemable convertible preferred stock warrant | ||||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Balance at beginning of period | $ 0 | 5,704 | $ 0 | 4,537 |
Adjustment resulting from change in fair value recognized in the condensed consolidated statement of operations | 0 | 4,855 | 0 | 6,022 |
Reclassification of liability for redeemable convertible preferred stock warrants to additional paid-in capital upon initial public offering | 0 | 0 | ||
Balance at end of period | $ 0 | $ 0 | $ 0 | $ 0 |
Balance Sheet Components - Prep
Balance Sheet Components - Prepaid Expenses and Other Current Assets (Details) - USD ($) $ in Thousands | Jul. 31, 2020 | Jan. 31, 2020 |
Balance Sheet Related Disclosures [Abstract] | ||
Prepaid expenses | $ 20,450 | $ 20,390 |
Prepaid software licenses | 14,675 | 16,645 |
Prepaid hosting services | 6,536 | 8,056 |
Other current assets | 6,513 | 6,523 |
Prepaid expenses and other current assets | $ 48,174 | $ 51,614 |
Balance Sheet Components - Prop
Balance Sheet Components - Property and Equipment, Net (Details) - USD ($) $ in Thousands | Jul. 31, 2020 | Jan. 31, 2020 |
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 220,695 | $ 185,742 |
Less: Accumulated depreciation and amortization | (67,392) | (49,664) |
Property and equipment, net | 153,303 | 136,078 |
Data center and other computer equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 131,648 | 87,166 |
Capitalized internal-use software | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 35,093 | 30,354 |
Leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 15,517 | 13,157 |
Purchased software | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 3,071 | 2,604 |
Furniture and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 5,306 | 4,835 |
Construction in process | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 30,060 | $ 47,626 |
Balance Sheet Components - Addi
Balance Sheet Components - Additional Information (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jul. 31, 2020 | Jul. 31, 2019 | Jul. 31, 2020 | Jul. 31, 2019 | Jan. 31, 2020 | |
Finite-Lived Intangible Assets [Line Items] | |||||
Depreciation and amortization | $ 9,400,000 | $ 5,300,000 | $ 17,621,000 | $ 10,193,000 | |
Impairments of internal use software | 0 | 0 | 0 | 0 | |
Capitalized amount of internal use software | 2,400,000 | 1,500,000 | 4,700,000 | 3,500,000 | |
Amortization expense associated with internal use software | 1,800,000 | 1,600,000 | 3,700,000 | 3,000,000 | |
Net book value of capitalized internal use software | 14,400,000 | 14,400,000 | $ 13,400,000 | ||
Amortization of intangible assets | 100,000 | $ 100,000 | 207,000 | $ 285,000 | |
Data center and other computer equipment | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Equipment purchased but not yet placed into service | $ 25,600,000 | $ 25,600,000 | |||
Developed technology | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Useful lives | 3 years | ||||
Customer relationships | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Useful lives | 5 years | ||||
Non-compete agreement | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Useful lives | 3 years |
Balance Sheet Components - Inta
Balance Sheet Components - Intangible Assets, Net (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jul. 31, 2020 | Jan. 31, 2020 | |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 2,077 | $ 1,966 |
Accumulated Amortization | 1,730 | 1,439 |
Net Amount | 347 | 527 |
Developed technology | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 1,293 | 1,238 |
Accumulated Amortization | 1,241 | 1,067 |
Net Amount | $ 52 | $ 171 |
Weighted-Average Remaining Useful Life | 3 years | 9 years |
Customer relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 653 | $ 607 |
Accumulated Amortization | 366 | 280 |
Net Amount | $ 287 | $ 327 |
Weighted-Average Remaining Useful Life | 27 years | 33 years |
Non-compete agreement | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 131 | $ 121 |
Accumulated Amortization | 123 | 92 |
Net Amount | $ 8 | $ 29 |
Weighted-Average Remaining Useful Life | 3 years | 9 years |
Balance Sheet Components - Futu
Balance Sheet Components - Future Amortization Expense (Details) - USD ($) $ in Thousands | Jul. 31, 2020 | Jan. 31, 2020 |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||
Fiscal 2021 (remaining six months) | $ 126 | |
2022 | 130 | |
2023 | 91 | |
Net Amount | $ 347 | $ 527 |
Balance Sheet Components - Accr
Balance Sheet Components - Accrued Expenses (Details) - USD ($) $ in Thousands | Jul. 31, 2020 | Jan. 31, 2020 |
Accrued Expenses | ||
Web hosting services | $ 8,169 | $ 16,367 |
Other accrued expenses | 4,133 | 7,459 |
Accrued marketing | 2,900 | 1,970 |
Accrued purchases of property and equipment | 2,630 | 2,789 |
Accrued legal and accounting | 1,379 | 1,770 |
Accrued expenses | 19,211 | 30,355 |
Accrued Payroll and Benefits | ||
Accrued commissions | 11,024 | 15,399 |
Accrued payroll and related expenses | 10,635 | 6,680 |
Accrued bonuses | 8,115 | 8,171 |
Employee Stock Purchase Plan | 6,325 | 6,560 |
Accrued payroll and benefits | $ 36,099 | $ 36,810 |
Secured Revolving Credit Faci_2
Secured Revolving Credit Facility (Details) | 1 Months Ended | ||
Apr. 30, 2019USD ($)modules | Jul. 31, 2020USD ($) | Jan. 31, 2020USD ($) | |
Line of Credit Facility [Line Items] | |||
Amount outstanding | $ 0 | $ 0 | |
Minimum | |||
Line of Credit Facility [Line Items] | |||
Commitment fee (as a percent) | 0.20% | ||
Maximum | |||
Line of Credit Facility [Line Items] | |||
Commitment fee (as a percent) | 0.30% | ||
Revolving line of credit | |||
Line of Credit Facility [Line Items] | |||
Maximum borrowing capacity | $ 150,000,000 | ||
Incremental borrowing facility | $ 75,000,000 | ||
Borrowing facility multiple factor - first year | modules | 6 | ||
Borrowing facility multiple factor - second year | modules | 5 | ||
Borrowing facility multiple factor - thereafter | modules | 4 | ||
Letter of credit | |||
Line of Credit Facility [Line Items] | |||
Maximum borrowing capacity | $ 10,000,000 | ||
Swingline | |||
Line of Credit Facility [Line Items] | |||
Maximum borrowing capacity | $ 10,000,000 | ||
Eurodollar Loans | LIBOR | Minimum | |||
Line of Credit Facility [Line Items] | |||
Margin (as a percent) | 2.50% | ||
Eurodollar Loans | LIBOR | Maximum | |||
Line of Credit Facility [Line Items] | |||
Margin (as a percent) | 3.00% | ||
ABR Loans | Federal funds rate | |||
Line of Credit Facility [Line Items] | |||
Margin (as a percent) | 0.50% | ||
ABR Loans | Eurodollar rate | |||
Line of Credit Facility [Line Items] | |||
Margin (as a percent) | 1.00% | ||
ABR Loans | Eurodollar rate | Minimum | |||
Line of Credit Facility [Line Items] | |||
Margin (as a percent) | 1.50% | ||
ABR Loans | Eurodollar rate | Maximum | |||
Line of Credit Facility [Line Items] | |||
Margin (as a percent) | 2.00% |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2020 | Jul. 31, 2019 | Jul. 31, 2020 | Jul. 31, 2019 | |
Income Tax Disclosure [Abstract] | ||||
Income tax expense | $ 441 | $ 635 | $ 1,477 | $ 1,230 |
Effective tax rate (as a percent) | (1.50%) | (1.20%) | (3.10%) | (1.60%) |
Leases - Additional Information
Leases - Additional Information (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |
Jul. 31, 2020 | Jul. 31, 2019 | Jul. 31, 2020 | |
Operating Leased Assets [Line Items] | |||
Operating lease cost | $ 2,671,000 | $ 4,954,000 | |
Sublease Income | 0 | 0 | |
Rent expense | $ 2,200,000 | 4,000,000 | |
Cash payments | 3,000,000 | 5,400,000 | |
Operating lease liabilities arising from obtaining operating right of-use assets | $ 6,200,000 | $ 6,200,000 | |
Weighted average remaining lease term | 4 years 7 months 6 days | 4 years 7 months 6 days | |
Weighted average discount rate | 5.90% | 5.90% |
Leases - Lease Cost (Details)
Leases - Lease Cost (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended |
Jul. 31, 2020 | Jul. 31, 2020 | |
Leases [Abstract] | ||
Operating lease cost | $ 2,671 | $ 4,954 |
Short-term lease cost | 492 | 985 |
Variable lease cost | 518 | 1,354 |
Total lease cost | $ 3,681 | $ 7,293 |
Leases - Maturities of Operatin
Leases - Maturities of Operating Lease Liabilities (Details) $ in Thousands | Jul. 31, 2020USD ($) |
Property, Plant and Equipment [Line Items] | |
Fiscal 2021 (remaining six months) | $ 4,262 |
Fiscal 2022 | 11,413 |
Fiscal 2023 | 10,856 |
Fiscal 2024 | 10,785 |
Fiscal 2025 | 9,934 |
Thereafter | 4,151 |
Total operating lease payments | 51,401 |
Less: imputed interest | 6,624 |
Present value of operating lease liabilities | 44,777 |
Real Estate Arrangements | |
Property, Plant and Equipment [Line Items] | |
Fiscal 2021 (remaining six months) | 9,958 |
Fiscal 2022 | 9,869 |
Fiscal 2023 | 9,377 |
Fiscal 2024 | 9,370 |
Fiscal 2025 | 8,441 |
Thereafter | 3,671 |
Present value of operating lease liabilities | $ 50,686 |
Equity Transactions (Details)
Equity Transactions (Details) | Jun. 14, 2019modules$ / sharesshares | Jul. 31, 2020$ / sharesshares | Jan. 31, 2020$ / sharesshares |
Class of Stock [Line Items] | |||
Preferred stock, shares authorized (in shares) | shares | 100,000,000 | 100,000,000 | |
Preferred stock, par value (in usd per share) | $ / shares | $ 0.0005 | $ 0.0005 | |
Class A common stock | |||
Class of Stock [Line Items] | |||
Common stock, shares authorized (in shares) | shares | 2,000,000,000 | 2,000,000,000 | |
Common stock, par value (in usd per share) | $ / shares | $ 0.0005 | $ 0.0005 | |
Class B common stock | |||
Class of Stock [Line Items] | |||
Common stock, shares authorized (in shares) | shares | 300,000,000 | 300,000,000 | |
Common stock, par value (in usd per share) | $ / shares | $ 0.0005 | $ 0.0005 | |
Common stock conversion ratio | 1 | ||
IPO | |||
Class of Stock [Line Items] | |||
Preferred stock, shares authorized (in shares) | shares | 100,000,000 | ||
Preferred stock, par value (in usd per share) | $ / shares | $ 0.0005 | ||
IPO | Class A common stock | |||
Class of Stock [Line Items] | |||
Common stock, shares authorized (in shares) | shares | 2,000,000,000 | ||
Common stock, par value (in usd per share) | $ / shares | $ 0.0005 | ||
Number of votes per share | modules | 1 | ||
Common stock conversion ratio | 1 | ||
IPO | Class B common stock | |||
Class of Stock [Line Items] | |||
Common stock, shares authorized (in shares) | shares | 300,000,000 | ||
Common stock, par value (in usd per share) | $ / shares | $ 0.0005 | ||
Number of votes per share | modules | 10 | ||
Common stock conversion ratio | 1 |
Stock-Based Compensation (Detai
Stock-Based Compensation (Details) $ / shares in Units, $ in Thousands | 1 Months Ended | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||||
May 31, 2019unit_Standard_itemshares | Sep. 30, 2018unit_Standard_installmentunit_Standard_tranche | Jul. 31, 2020USD ($)$ / sharesshares | Jul. 31, 2019USD ($)$ / shares | Jul. 31, 2020USD ($)changesInContribution$ / sharesshares | Jul. 31, 2019USD ($)$ / shares | Jan. 31, 2020USD ($)shares | Jun. 14, 2019USD ($) | |
Stock Based Compensation | ||||||||
Employee payroll contributions accrued | $ 36,099 | $ 36,099 | $ 36,810 | |||||
Number of increases in contribution | changesInContribution | 1 | |||||||
2019 Plan | Class A common stock | ||||||||
Stock Based Compensation | ||||||||
Maximum number of shares of common stock that may be issued (in shares) | shares | 8,750,000 | |||||||
Threshold percentage of outstanding shares | 2.00% | |||||||
Employee Stock Purchase Plan | ||||||||
Stock Based Compensation | ||||||||
Threshold percentage of outstanding shares | 1.00% | |||||||
Offering period | 24 months | |||||||
Number of purchase periods | unit_Standard_item | 4 | |||||||
Duration of purchase periods | 6 months | |||||||
Percentage of eligible compensation | 15.00% | |||||||
Maximum number of shares each participant can purchase during purchase period (in shares) | shares | 2,500 | |||||||
Purchase price, threshold percentage of fair market value | 85.00% | |||||||
Employee payroll contributions accrued | 6,300 | $ 6,300 | ||||||
Plan modification, incremental cost | $ 800 | $ 800 | ||||||
Employee Stock Purchase Plan | Class A common stock | ||||||||
Stock Based Compensation | ||||||||
Maximum number of shares of common stock that may be issued (in shares) | shares | 3,500,000 | |||||||
Service-based vesting | ||||||||
Stock Based Compensation | ||||||||
Number of vesting schedules | unit_Standard_tranche | 3 | |||||||
Stock options | ||||||||
Stock Based Compensation | ||||||||
Options unvested (in shares) | shares | 607,201 | 607,201 | ||||||
Aggregate intrinsic value of options vested and exercisable | $ 523,100 | $ 523,100 | $ 469,600 | |||||
Weighted-average remaining contractual term of options vested and exercisable (in years) | 6 years 6 months | 6 years 8 months 12 days | ||||||
Weighted-average grant date fair value of options granted (in usd per share) | $ / shares | $ 32.91 | $ 13.45 | $ 32,910,000 | $ 9.51 | ||||
Total intrinsic value of options exercised | $ 242,800 | $ 80,900 | $ 354,000 | $ 89,700 | ||||
Aggregate intrinsic value of stock options outstanding | 1,050,000 | $ 1,050,000 | $ 816,300 | |||||
Weighted-average remaining contractual term of stock options outstanding (in years) | 7 years 2 months 12 days | 7 years 4 months 24 days | ||||||
Total unrecognized stock-based compensation expenses related to unvested options | $ 28,600 | $ 28,600 | $ 34,700 | |||||
Expected to be amortized over weighted-average vesting period (in years) | 2 years 1 month 6 days | 1 year 10 months 24 days | ||||||
Shares issued for exercise of stock options (in shares) | shares | 0 | 0 | ||||||
Number of shares of common stock related to early exercised stock options subject to repurchase (in shares) | shares | 728,462 | 728,462 | 984,417 | |||||
Value of common stock related to early exercised stock options subject to repurchase | $ 7,000 | $ 7,000 | $ 8,700 | |||||
Performance-based vesting | ||||||||
Stock Based Compensation | ||||||||
Stock-based compensation expense deferred | $ 17,300 | |||||||
RSUs | ||||||||
Stock Based Compensation | ||||||||
Expected to be amortized over weighted-average vesting period (in years) | 2 years 8 months 12 days | |||||||
Total unrecognized stock-based compensation expenses related to unvested RSUs | 283,900 | $ 283,900 | ||||||
PSUs | ||||||||
Stock Based Compensation | ||||||||
Threshold percentage of outstanding shares | 130.00% | |||||||
Expected to be amortized over weighted-average vesting period (in years) | 1 year 9 months 18 days | |||||||
Total unrecognized stock-based compensation expenses related to unvested RSUs | $ 33,600 | $ 33,600 | ||||||
Vesting period | 4 years | |||||||
Vesting one | Service-based vesting | ||||||||
Stock Based Compensation | ||||||||
Vesting percentage | 25.00% | |||||||
Number of quarterly installments | unit_Standard_installment | 12 | |||||||
Vesting two | Service-based vesting | ||||||||
Stock Based Compensation | ||||||||
Number of quarterly installments | unit_Standard_installment | 16 | |||||||
Vesting three | Service-based vesting | ||||||||
Stock Based Compensation | ||||||||
Number of quarterly installments | unit_Standard_installment | 8 |
Stock-Based Compensation - Stoc
Stock-Based Compensation - Stock options - Assumptions (Details) | 6 Months Ended | |
Jul. 31, 2020 | Jul. 31, 2019 | |
Stock options | ||
Stock Based Compensation | ||
Expected term (in years) | 6 years 18 days | 6 years 18 days |
Risk-free interest rate | 0.40% | 2.00% |
Expected stock price volatility | 36.00% | 37.70% |
Dividend yield | 0.00% | 0.00% |
Employee Stock Purchase Plan | ||
Stock Based Compensation | ||
Dividend yield | 0.00% | 0.00% |
Minimum | Employee Stock Purchase Plan | ||
Stock Based Compensation | ||
Expected term (in years) | 6 months | 6 months |
Risk-free interest rate | 0.20% | 1.90% |
Expected stock price volatility | 30.10% | 33.00% |
Maximum | Employee Stock Purchase Plan | ||
Stock Based Compensation | ||
Expected term (in years) | 2 years | 2 years |
Risk-free interest rate | 2.00% | 2.20% |
Expected stock price volatility | 54.30% | 35.70% |
Stock-Based Compensation - St_2
Stock-Based Compensation - Stock options - Summary (Details) - Stock options - $ / shares shares in Thousands | 6 Months Ended |
Jul. 31, 2020 | |
Number of Shares | |
Options outstanding at beginning of period (in shares) | 14,689 |
Options granted (in shares) | 60 |
Exercised (in shares) | (4,689) |
Canceled (in shares) | (189) |
Options outstanding at end of period (in shares) | 9,871 |
Options vested and expected to vest at end of period (in shares) | 9,871 |
Options exercisable at end of period (in shares) | 4,794 |
Weighted-Average Exercise Price Per Share | |
Options outstanding at beginning of period (in usd per share) | $ 5.52 |
Granted (in usd per share) | 93.90 |
Exercised (in usd per share) | 3.54 |
Canceled (in usd per share) | 8.49 |
Options outstanding at end of period (in usd per share) | 6.94 |
Options vested and expected to vest at end of period (in usd per share) | 6.94 |
Options exercisable at end of period (in usd per share) | $ 4.09 |
Stock-Based Compensation - RSU
Stock-Based Compensation - RSU activity (Details) - RSU and PSU shares in Thousands | 6 Months Ended |
Jul. 31, 2020$ / sharesshares | |
Number of Shares | |
RSUs and PSUs outstanding at beginning of period (in shares) | shares | 6,063 |
Granted (in shares) | shares | 3,427 |
Vested (in shares) | shares | (992) |
Forfeited (in shares) | shares | (187) |
RSUs and PSUs outstanding at end of period (in shares) | shares | 8,311 |
RSUs and PSUs expected to vest at end of period (in shares) | shares | 8,311 |
Weighted-Average Grant Date Fair Value Per Share | |
RSUs and PSUs outstanding at beginning of period (in usd per share) | $ / shares | $ 29.82 |
Granted (in usd per share) | $ / shares | 63.98 |
Vested (in usd per share) | $ / shares | 30.94 |
Forfeited (in usd per share) | $ / shares | 32.39 |
RSUs and PSUs outstanding at end of period (in usd per share) | $ / shares | 43.71 |
RSUs and PSUs expected to vest at end of period (in usd per share) | $ / shares | $ 43.71 |
Stock-Based Compensation - Expe
Stock-Based Compensation - Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2020 | Jul. 31, 2019 | Jul. 31, 2020 | Jul. 31, 2019 | |
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||||
Total stock-based compensation expense | $ 37,713 | $ 29,859 | $ 61,351 | $ 33,611 |
Sales and marketing | ||||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||||
Total stock-based compensation expense | 13,603 | 6,638 | 22,290 | 8,156 |
Research and development | ||||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||||
Total stock-based compensation expense | 9,029 | 4,976 | 13,929 | 5,657 |
General and administrative | ||||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||||
Total stock-based compensation expense | 11,021 | 16,368 | 18,106 | 17,553 |
Subscription | Cost of revenue | ||||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||||
Total stock-based compensation expense | 2,635 | 1,233 | 4,630 | 1,498 |
Professional services | Cost of revenue | ||||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||||
Total stock-based compensation expense | $ 1,425 | $ 644 | $ 2,396 | $ 747 |
Revenue, Deferred Revenue and_3
Revenue, Deferred Revenue and Remaining Performance Obligations - Revenue from Contracts by Type and Region (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2020 | Jul. 31, 2019 | Jul. 31, 2020 | Jul. 31, 2019 | |
Disaggregation of Revenue [Line Items] | ||||
Total revenue | $ 198,971 | $ 108,108 | $ 377,049 | $ 204,185 |
Percentage of revenue | 100.00% | 100.00% | 100.00% | 100.00% |
United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | $ 141,733 | $ 80,146 | $ 271,214 | $ 152,454 |
Percentage of revenue | 71.00% | 74.00% | 72.00% | 75.00% |
Europe, Middle East, and Africa | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | $ 28,552 | $ 15,006 | $ 53,593 | $ 28,419 |
Percentage of revenue | 14.00% | 14.00% | 14.00% | 14.00% |
Asia Pacific | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | $ 17,733 | $ 8,613 | $ 32,635 | $ 14,843 |
Percentage of revenue | 9.00% | 8.00% | 9.00% | 7.00% |
Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | $ 10,953 | $ 4,343 | $ 19,607 | $ 8,469 |
Percentage of revenue | 6.00% | 4.00% | 5.00% | 4.00% |
Channel Partners | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | $ 153,412 | $ 70,438 | $ 283,692 | $ 134,897 |
Percentage of revenue | 77.00% | 65.00% | 75.00% | 66.00% |
Direct Customers | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | $ 45,559 | $ 37,670 | $ 93,357 | $ 69,288 |
Percentage of revenue | 23.00% | 35.00% | 25.00% | 34.00% |
Revenue, Deferred Revenue and_4
Revenue, Deferred Revenue and Remaining Performance Obligations - Additional Information (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2020 | Jul. 31, 2019 | Jul. 31, 2020 | Jul. 31, 2019 | |
Contract with Customer, Liability [Line Items] | ||||
Revenue included in the contract liability balance | $ 165,100,000 | $ 89,600,000 | $ 261,900,000 | $ 169,500,000 |
Commission amortization period | 4 years | |||
Professional services contract amortization | 6 months | |||
Impairment loss | $ 0 | $ 0 | $ 0 | $ 0 |
Minimum | ||||
Contract with Customer, Liability [Line Items] | ||||
Payment terms | 30 days | |||
Subscription term | 1 year | |||
Maximum | ||||
Contract with Customer, Liability [Line Items] | ||||
Payment terms | 60 days | |||
Subscription term | 3 years |
Revenue, Deferred Revenue and_5
Revenue, Deferred Revenue and Remaining Performance Obligations - Changes in Deferred Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2020 | Jul. 31, 2019 | Jul. 31, 2020 | Jul. 31, 2019 | |
Movement in Deferred Revenue [Roll Forward] | ||||
Beginning Balance | $ 635,973 | $ 315,212 | $ 571,168 | $ 290,067 |
Additions to deferred revenue | 252,838 | 162,658 | 495,721 | 283,880 |
Recognition of deferred revenue | (198,971) | (108,108) | (377,049) | (204,185) |
Ending Balance | $ 689,840 | $ 369,762 | $ 689,840 | $ 369,762 |
Revenue, Deferred Revenue and_6
Revenue, Deferred Revenue and Remaining Performance Obligations - Performance Obligations (Details) $ in Millions | Jul. 31, 2020USD ($) |
Revenue from Contract with Customer [Abstract] | |
Transaction price allocated to remaining performance obligations | $ 925.5 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-08-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining performance obligation, percentage | 72.00% |
Remaining performance obligation, period | 12 months |
Revenue, Deferred Revenue and_7
Revenue, Deferred Revenue and Remaining Performance Obligations - Deferred contract acquisition costs (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||||
Jul. 31, 2020 | Jul. 31, 2019 | Jul. 31, 2020 | Jul. 31, 2019 | Jul. 31, 2020 | Jan. 31, 2020 | Jul. 31, 2019 | |
Movement in Deferred Contract Acquisition Costs [Roll Forward] | |||||||
Beginning balance | $ 123,318 | $ 64,197 | $ 114,206 | $ 63,071 | |||
Capitalization of contract acquisition costs | 26,425 | 19,317 | 48,988 | 27,788 | |||
Amortization of deferred contract acquisition costs | (14,720) | (7,731) | (28,171) | (15,076) | |||
Ending balance | 135,023 | 75,783 | 135,023 | 75,783 | |||
Deferred contract acquisition costs, current | $ 53,837 | $ 42,971 | $ 34,017 | ||||
Deferred contract acquisition costs, noncurrent | 81,186 | 71,235 | 41,766 | ||||
Total deferred contract acquisition costs | $ 135,023 | $ 75,783 | $ 135,023 | $ 75,783 | $ 135,023 | $ 114,206 | $ 75,783 |
Commitments and Contingencies_2
Commitments and Contingencies (Details) - USD ($) | Jul. 31, 2020 | Jan. 31, 2020 |
Line of Credit Facility [Line Items] | ||
Commitment to spend | $ 140,800,000 | |
Unused standby letter of credit | 0 | $ 0 |
Liability recorded | 0 | 0 |
Liabilities accrued | 0 | 0 |
Sunnyvale, California | ||
Line of Credit Facility [Line Items] | ||
Unused standby letter of credit | 400,000 | 600,000 |
Austin, Texas | ||
Line of Credit Facility [Line Items] | ||
Unused standby letter of credit | $ 1,000,000 | $ 1,000,000 |
Commitments and Contingencies -
Commitments and Contingencies - Purchase Obligations (Details) $ in Thousands | Jul. 31, 2020USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
Fiscal 2021 (remaining six months) | $ 45,492 |
Fiscal 2022 | 92,967 |
Fiscal 2023 | 12,029 |
Fiscal 2024 | 11,351 |
Fiscal 2025 | 3,998 |
Thereafter | 3,908 |
Total purchase commitments | $ 169,745 |
Geographic Information (Details
Geographic Information (Details) - USD ($) $ in Thousands | Jul. 31, 2020 | Jan. 31, 2020 |
Geographic Information | ||
Total property and equipment, net and operating lease right-of-use assets | $ 193,757 | $ 136,078 |
United States | ||
Geographic Information | ||
Total property and equipment, net and operating lease right-of-use assets | 168,835 | 125,409 |
International | ||
Geographic Information | ||
Total property and equipment, net and operating lease right-of-use assets | $ 24,922 | $ 10,669 |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jul. 31, 2020 | Jul. 31, 2019 | Jul. 31, 2020 | Jul. 31, 2019 | Jan. 31, 2020 | |
Related Party Transactions [Abstract] | |||||
Revenue from subscriptions and professional services from related parties | $ 1,000 | $ 2,300 | $ 1,900 | $ 4,600 | |
Accounts receivable associated with related parties | 3,200 | 3,200 | $ 200 | ||
Purchases from related parties | $ 100 | $ 900 | $ 900 | $ 1,500 |
Net Loss Per Share Attributab_3
Net Loss Per Share Attributable to Common Stockholders (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2020 | Jul. 31, 2019 | Jul. 31, 2020 | Jul. 31, 2019 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Net loss attributable to common stockholders | $ (29,874) | $ (51,889) | $ (49,096) | $ (77,866) |
Weighted-average shares used in computing net loss per share attributable to Class A and Class B common stockholders, basic and diluted (in shares) | 216,695,000 | 130,091,000 | 214,932,000 | 89,335,000 |
Net loss per share attributable to Class A and Class B common stockholders, basic and diluted (in usd per share) | $ (0.14) | $ (0.40) | $ (0.23) | $ (0.87) |
Class A common stock | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Net loss attributable to common stockholders | $ (23,059) | $ (4,308) | $ (33,407) | $ (4,784) |
Weighted-average shares used in computing net loss per share attributable to Class A and Class B common stockholders, basic and diluted (in shares) | 167,262,000 | 10,800,000 | 146,249,000 | 5,489,000 |
Net loss per share attributable to Class A and Class B common stockholders, basic and diluted (in usd per share) | $ (0.14) | $ (0.40) | $ (0.23) | $ (0.87) |
Class B common stock | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Net loss attributable to common stockholders | $ (6,815) | $ (47,581) | $ (15,689) | $ (73,082) |
Weighted-average shares used in computing net loss per share attributable to Class A and Class B common stockholders, basic and diluted (in shares) | 49,433,000 | 119,291,000 | 68,683,000 | 83,846,000 |
Net loss per share attributable to Class A and Class B common stockholders, basic and diluted (in usd per share) | $ (0.14) | $ (0.40) | $ (0.23) | $ (0.87) |
Net Loss Per Share Attributab_4
Net Loss Per Share Attributable to Common Stockholders - Antidilutive (Details) - shares shares in Thousands | 6 Months Ended | |
Jul. 31, 2020 | Jul. 31, 2019 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Potential common shares excluded from diluted net loss per share (in shares) | 20,064 | 29,966 |
Shares of common stock subject to repurchase from outstanding stock options | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Potential common shares excluded from diluted net loss per share (in shares) | 728 | 1,316 |
RSUs and PSUs subject to future vesting | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Potential common shares excluded from diluted net loss per share (in shares) | 8,311 | 5,729 |
Shares of common stock issuable from stock options | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Potential common shares excluded from diluted net loss per share (in shares) | 9,871 | 21,267 |
Share purchase rights under the employee stock purchase plan | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Potential common shares excluded from diluted net loss per share (in shares) | 1,154 | 1,654 |