Balance Sheet Components | Balance Sheet Components Prepaid Expenses and Other Current Assets Prepaid expenses and other current assets consisted of the following: April 30, January 31, (in thousands) Prepaid expenses $ 23,924 $ 23,072 Prepaid software licenses 20,164 20,596 Other current assets 6,994 4,566 Prepaid hosting services 5,303 5,383 Prepaid expenses and other current assets $ 56,385 $ 53,617 Property and Equipment, Net Property and equipment, net consisted of the following: April 30, January 31, (in thousands) Data center and other computer equipment $ 165,251 $ 146,220 Capitalized internal-use software and website development 46,269 44,358 Leasehold improvements 19,455 19,733 Purchased software 3,548 3,211 Furniture and equipment 6,498 6,498 Construction in process 50,837 35,528 291,858 255,548 Less: Accumulated depreciation and amortization (100,548) (88,534) Property and equipment, net $ 191,310 $ 167,014 Construction in process mainly includes data center equipment purchased that has not yet been placed in service. As of April 30, 2021, $41.6 million of data center equipment was purchased but not yet been placed into service. Depreciation and amortization expense of property and equipment was $12.0 million and $8.2 million during the three months ended April 30, 2021 and April 30, 2020, respectively. There was no impairment of website and internal-use software during the three months ended April 30, 2021 and April 30, 2020. The Company capitalized $6.2 million and $2.3 million in website and internal-use software during the three months ended April 30, 2021 and April 30, 2020. Amortization expense associated with website and internal-use software totaled $2.5 million and $1.9 million during the three months ended April 30, 2021 and April 30, 2020, respectively. The net book value of capitalized website and internal-use software was $23.7 million and $20.1 million as of April 30, 2021 and January 31, 2021, respectively. Intangible Assets, Net Total intangible assets, net consisted of the following: April 30, 2021 Weighted-Average Gross Carrying Amount Accumulated Amortization Net Amount (in thousands) (in months) Developed technology $ 82,431 $ 3,309 $ 79,122 90 Customer relationships 9,097 871 8,226 80 Other acquired intangible assets 1,727 224 1,503 47 Total $ 93,255 $ 4,404 $ 88,851 January 31, 2021 Weighted-Average Gross Carrying Amount Accumulated Amortization Net Amount (in thousands) (in months) Developed technology $ 14,513 $ 2,193 $ 12,320 56 Customer relationships 3,769 649 3,120 54 Other acquired intangible assets 399 162 237 185 Total $ 18,681 $ 3,004 $ 15,677 Amortization of developed technology, customer relationships, and other acquired intangible assets 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 $2.4 million and $0.1 million during the three months ended April 30, 2021 and April 30, 2020, respectively. The estimated aggregate future amortization expense of intangible assets as of April 30, 2021 is as follows: Total (in thousands) Fiscal 2022 (remaining nine months) $ 9,951 Fiscal 2023 13,199 Fiscal 2024 12,500 Fiscal 2025 12,416 Fiscal 2026 11,329 Thereafter 29,456 Total amortization expense $ 88,851 The developed technology, customer relationships, and other acquired intangible assets are amortized over their estimated useful lives, generally on a straight-line basis for periods ranging from 2 to 20 years. Goodwill Goodwill during the three months ended April 30, 2021 consisted of the following: Amounts (in thousands) Goodwill as of January 31, 2021 $ 83,566 Goodwill acquired (1) 291,156 Foreign currency translation (141) Goodwill as of April 30, 2021 $ 374,581 __________________________________ (1) Goodwill acquired resulted from the acquisition of Humio. Refer to Note 12 for additional information. Accrued Expenses Accrued expenses consisted of the following: April 30, January 31, (in thousands) Web hosting services $ 13,390 $ 14,187 Other accrued expenses 12,387 11,372 Accrued purchases of property and equipment 9,026 4,570 Accrued interest expense 6,312 687 Accrued marketing 6,093 14,592 Accrued legal and accounting 2,419 5,709 Accrued expenses $ 49,627 $ 51,117 Accrued Payroll and Benefits Accrued payroll and benefits consisted of the following: April 30, January 31, (in thousands) Accrued commissions $ 24,479 $ 32,300 Employee Stock Purchase Plan 24,308 10,969 Accrued payroll and related expenses 17,737 16,528 Accrued bonuses 12,575 12,110 Accrued payroll and benefits $ 79,099 $ 71,907 In April 2020, the Company began deferring payment on its share of payroll taxes owed, as permitted by the CARES Act through December 31, 2020. As of April 30, 2021 and January 31, 2021, the Company had deferred $5.1 million of payroll taxes in other current liabilities and $5.1 million of payroll taxes in other liabilities, noncurrent on the condensed consolidated balance sheet. |