Cover
Cover - shares | 3 Months Ended | |
Apr. 30, 2023 | May 15, 2023 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Apr. 30, 2023 | |
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 | 206 E. 9th Street | |
Entity Address, Address Line Two | Suite 1400 | |
Entity Address, City or Town | Austin | |
Entity Address, State or Province | TX | |
Entity Address, Postal Zip Code | 78701 | |
City Area Code | 888 | |
Local Phone Number | 512-8906 | |
Title of 12(b) Security | Class A common stock, par value $0.0005 per share | |
Trading Symbol | CRWD | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Central Index Key | 0001535527 | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --01-31 | |
Class A common stock | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding (in shares) | 224,132,410 | |
Class B common stock | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding (in shares) | 12,975,938 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Apr. 30, 2023 | Jan. 31, 2023 |
Current assets: | ||
Cash and cash equivalents | $ 2,829,677 | $ 2,455,369 |
Short-term investments | 100,000 | 250,000 |
Accounts receivable, net of allowance for credit losses of $3.0 million and $2.6 million as of April 30, 2023 and January 31, 2023, respectively | 461,092 | 626,181 |
Deferred contract acquisition costs, current | 186,901 | 186,855 |
Prepaid expenses and other current assets | 131,100 | 121,862 |
Total current assets | 3,708,770 | 3,640,267 |
Strategic investments | 57,877 | 47,270 |
Property and equipment, net | 523,721 | 492,335 |
Operating lease right-of-use assets | 50,459 | 39,936 |
Deferred contract acquisition costs, noncurrent | 254,397 | 260,233 |
Goodwill | 430,755 | 430,645 |
Intangible assets, net | 83,215 | 86,889 |
Other long-term assets | 28,664 | 28,965 |
Total assets | 5,137,858 | 5,026,540 |
Current liabilities: | ||
Accounts payable | 16,900 | 45,372 |
Accrued expenses | 91,494 | 137,884 |
Accrued payroll and benefits | 151,099 | 168,767 |
Operating lease liabilities, current | 16,215 | 13,046 |
Deferred revenue | 1,788,304 | 1,727,484 |
Other current liabilities | 16,052 | 16,519 |
Total current liabilities | 2,080,064 | 2,109,072 |
Long-term debt | 741,377 | 741,005 |
Deferred revenue, noncurrent | 615,487 | 627,629 |
Operating lease liabilities, noncurrent | 36,774 | 29,567 |
Other liabilities, noncurrent | 29,797 | 31,833 |
Total liabilities | 3,503,499 | 3,539,106 |
Commitments and contingencies (Note 8) | ||
Stockholders’ Equity | ||
Preferred stock, $0.0005 par value; 100,000 shares authorized as of April 30, 2023 and January 31, 2023; no shares issued and outstanding as of April 30, 2023 and January 31, 2023. | 0 | 0 |
Class A common stock, $0.0005 par value; 2,000,000 shares authorized as of April 30, 2023 and January 31, 2023; 224,123 shares and 222,759 shares issued and outstanding as of April 30, 2023 and January 31, 2023, respectively; Class B common stock, $0.0005 par value; 300,000 shares authorized as of April 30, 2023 and January 31, 2023; 12,976 shares and 13,018 shares issued and outstanding as of April 30, 2023 and January 31, 2023, respectively. | 118 | 118 |
Additional paid-in capital | 2,752,716 | 2,612,705 |
Accumulated deficit | (1,147,672) | (1,148,163) |
Accumulated other comprehensive income (loss) | 139 | (1,019) |
Total CrowdStrike Holdings, Inc. stockholders’ equity | 1,605,301 | 1,463,641 |
Non-controlling interest | 29,058 | 23,793 |
Total stockholders’ equity | 1,634,359 | 1,487,434 |
Total liabilities and stockholders’ equity | $ 5,137,858 | $ 5,026,540 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions | Apr. 30, 2023 | Jan. 31, 2023 |
Accounts receivable, allowance for doubtful accounts | $ 3 | $ 2.6 |
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) | 224,123,000 | 222,759,000 |
Common stock, shares outstanding (in shares) | 224,123,000 | 222,759,000 |
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) | 12,976,000 | 13,018,000 |
Common stock, shares outstanding (in shares) | 12,976,000 | 13,018,000 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Apr. 30, 2023 | Apr. 30, 2022 | |
Revenue | ||
Total revenue | $ 692,580 | $ 487,834 |
Cost of revenue | ||
Total cost of revenue | 169,230 | 126,832 |
Gross profit | 523,350 | 361,002 |
Operating expenses | ||
Sales and marketing | 281,107 | 193,532 |
Research and development | 179,065 | 123,399 |
General and administrative | 82,634 | 67,954 |
Total operating expenses | 542,806 | 384,885 |
Loss from operations | (19,456) | (23,883) |
Interest expense | (6,387) | (6,298) |
Interest income | 30,521 | 1,507 |
Other income, net | 230 | 1,705 |
Income (loss) before provision for income taxes | 4,908 | (26,969) |
Provision for income taxes | 4,409 | 3,440 |
Net income (loss) | 499 | (30,409) |
Net income attributable to non-controlling interest | 8 | 1,114 |
Net income (loss) attributable to CrowdStrike | $ 491 | $ (31,523) |
Net income (loss) per share attributable to CrowdStrike common stockholders, basic (in usd per share) | $ 0 | $ (0.14) |
Net income (loss) per share attributable to CrowdStrike common stockholders, diluted (in usd per share) | $ 0 | $ (0.14) |
Weighted-average shares used in computing net income (loss) per share attributable to CrowdStrike common stockholders, basic (in shares) | 236,414 | 231,179 |
Weighted-average shares used in computing net income (loss) per share attributable to CrowdStrike common stockholders, diluted (in shares) | 240,598 | 231,179 |
Subscription | ||
Revenue | ||
Total revenue | $ 651,175 | $ 459,822 |
Cost of revenue | ||
Total cost of revenue | 142,100 | 107,942 |
Professional services | ||
Revenue | ||
Total revenue | 41,405 | 28,012 |
Cost of revenue | ||
Total cost of revenue | $ 27,130 | $ 18,890 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | |
Apr. 30, 2023 | Apr. 30, 2022 | |
Statement of Comprehensive Income [Abstract] | ||
Net income (loss) | $ 499 | $ (30,409) |
Other comprehensive income (loss): | ||
Foreign currency translation adjustments | 1,158 | (2,948) |
Other comprehensive income (loss) | 1,158 | (2,948) |
Less: Comprehensive income attributable to non-controlling interest | 8 | 1,114 |
Total comprehensive income (loss) attributable to CrowdStrike | $ 1,649 | $ (34,471) |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Stockholders' Equity - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Accumulated Deficit | Accumulated Other Comprehensive Income (loss) | Non-controlling Interest |
Beginning balance (in shares) at Jan. 31, 2022 | 230,706 | |||||
Beginning balance at Jan. 31, 2022 | $ 1,037,643 | $ 115 | $ 1,991,807 | $ (964,918) | $ (1,240) | $ 11,879 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of common stock upon exercise of options (in shares) | 407 | |||||
Issuance of common stock upon exercise of options | 3,105 | $ 1 | 3,104 | |||
Issuance of common stock under RSU and PSU release (in shares) | 886 | |||||
Vesting of early exercised stock options | 735 | 735 | ||||
Issuance of common stock for founders holdbacks related to acquisitions (in shares) | 19 | |||||
Issuance of common stock for founders holdbacks related to acquisitions | 3,704 | 3,704 | ||||
Stock-based compensation expense | 100,776 | 100,776 | ||||
Capitalized stock-based compensation | 2,928 | 2,928 | ||||
Net income | (30,409) | (31,523) | 1,114 | |||
Non-controlling interest | 1,463 | 1,463 | ||||
Other comprehensive income (loss) | (2,948) | (2,948) | ||||
Ending balance (in shares) at Apr. 30, 2022 | 232,018 | |||||
Ending balance at Apr. 30, 2022 | 1,116,997 | $ 116 | 2,103,054 | (996,441) | (4,188) | 14,456 |
Beginning balance (in shares) at Jan. 31, 2023 | 235,777 | |||||
Beginning balance at Jan. 31, 2023 | $ 1,487,434 | $ 118 | 2,612,705 | (1,148,163) | (1,019) | 23,793 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of common stock upon exercise of options (in shares) | 376 | 375 | ||||
Issuance of common stock upon exercise of options | $ 2,651 | 2,651 | ||||
Issuance of common stock under RSU and PSU release (in shares) | 933 | |||||
Vesting of early exercised stock options | 0 | |||||
Issuance of common stock for founders holdbacks related to acquisitions (in shares) | 13 | |||||
Issuance of common stock for founders holdbacks related to acquisitions | 1,649 | 1,649 | ||||
Issuance of common stock for board of directors (in shares) | 1 | |||||
Issuance of common stock for board of directors | 79 | 79 | ||||
Stock-based compensation expense | 129,130 | 129,130 | ||||
Capitalized stock-based compensation | 6,502 | 6,502 | ||||
Net income | 499 | 491 | 8 | |||
Non-controlling interest | 5,257 | 5,257 | ||||
Other comprehensive income (loss) | 1,158 | 1,158 | ||||
Ending balance (in shares) at Apr. 30, 2023 | 237,099 | |||||
Ending balance at Apr. 30, 2023 | $ 1,634,359 | $ 118 | $ 2,752,716 | $ (1,147,672) | $ 139 | $ 29,058 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Apr. 30, 2023 | Apr. 30, 2022 | |
Operating activities | ||
Net income (loss) | $ 499 | $ (30,409) |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
Depreciation and amortization | 26,409 | 16,341 |
Amortization of intangible assets | 4,174 | 4,088 |
Amortization of deferred contract acquisition costs | 55,322 | 37,592 |
Non-cash operating lease cost | 3,092 | 2,237 |
Stock-based compensation expense | 130,856 | 102,494 |
Deferred income taxes | (255) | 1,752 |
Non-cash interest expense | 754 | 669 |
Change in fair value of strategic investments | 0 | (2,208) |
Changes in operating assets and liabilities, net of impact of acquisitions | ||
Accounts receivable, net | 165,089 | (1,058) |
Deferred contract acquisition costs | (49,532) | (51,354) |
Prepaid expenses and other assets | (8,542) | 4,243 |
Accounts payable | (18,596) | (36,431) |
Accrued expenses and other liabilities | (36,576) | (7,300) |
Accrued payroll and benefits | (17,281) | 13,235 |
Operating lease liabilities | (3,199) | (2,210) |
Deferred revenue | 48,678 | 163,276 |
Net cash provided by operating activities | 300,892 | 214,957 |
Investing activities | ||
Purchases of property and equipment | (62,264) | (52,211) |
Capitalized internal-use software and website development costs | (10,902) | (5,214) |
Purchases of strategic investments | (10,513) | (2,825) |
Purchases of intangible assets | 0 | (700) |
Proceeds from sales of investments | 150,000 | 0 |
Purchases of deferred compensation investments | (290) | 0 |
Net cash provided by (used in) investing activities | 66,031 | (60,950) |
Financing activities | ||
Proceeds from issuance of common stock upon exercise of stock options | 2,651 | 3,106 |
Capital contributions from non-controlling interest holders | 5,257 | 1,462 |
Net cash provided by financing activities | 7,908 | 4,568 |
Effect of foreign exchange rates on cash, cash equivalents and restricted cash | (190) | (2,472) |
Net increase in cash, cash equivalents and restricted cash | 374,641 | 156,103 |
Cash, cash equivalents and restricted cash at beginning of period | 2,456,924 | 1,996,633 |
Cash, cash equivalents and restricted cash at end of period | 2,831,565 | 2,152,736 |
Cash and cash equivalents | 2,829,677 | 2,152,736 |
Restricted cash included in prepaid expenses and other assets | 1,888 | 0 |
Total cash, cash equivalents and restricted cash shown in the condensed consolidated statements of cash flows | 2,831,565 | 2,152,736 |
Supplemental disclosure of cash flow information: | ||
Interest paid | 11,250 | 11,265 |
Income taxes paid, net of refunds received | 3,377 | 3,948 |
Supplemental disclosure of non-cash investing and financing activities: | ||
Net increase (decrease) in property and equipment included in accounts payable and accrued expenses | (22,479) | 13,165 |
Vesting of early exercised stock options | 0 | 735 |
Operating lease liabilities arising from obtaining operating right of-use assets | 13,847 | 0 |
Purchases of intangible assets included in accrued expenses and other liabilities | $ 500 | $ 0 |
Description of Business and Sig
Description of Business and Significant Accounting Policies | 3 Months Ended |
Apr. 30, 2023 | |
Accounting Policies [Abstract] | |
Description of Business and Significant Accounting Policies | Description of Business and Significant Accounting Policies Business CrowdStrike Holdings, Inc. (the “Company”) was formed on November 7, 2011. The Company is a global cybersecurity leader that provides cloud-delivered protection of endpoints, cloud workloads, identity, and data via a software as a service (“SaaS”) subscription-based model that spans multiple security markets, including corporate workload security, security and vulnerability management, managed security services, IT operations management, threat intelligence services, identity protection, and log management. The Company conducts its business in the United States, as well as locations internationally, including in Australia, Germany, India, Israel, Romania, and the United Kingdom. Basis of Presentation The accompanying condensed consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“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, 2023, 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 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 months ended April 30, 2023 are not necessarily indicative of the results to be expected for the year ending January 31, 2024 or for any other interim period or for any other future year. 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, 2023, filed with the SEC on March 9, 2023. 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. 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 differences 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 credit losses, the useful lives of long-lived assets, the fair values of strategic investments, the period of benefit for deferred contract acquisition costs, the discount rate used for operating leases, the recognition, measurement and disclosure of contingent liabilities, income taxes, stock-based compensation, and the fair value of assets acquired and liabilities assumed in business combinations. 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, short-term investments, accounts receivable, and strategic investments. The Company’s cash is placed with high-credit-quality financial institutions and issuers, and at times exceeds federally insured limits. The Company has not experienced any credit loss relating to its cash, cash equivalents, short-term investments, or strategic investments. The Company performs periodic credit evaluations of its customers and generally does not require collateral. There were no channel partners or direct customers who represented 10% or more of the Company’s accounts receivable as of April 30, 2023 and January 31, 2023. There were no channel partners or direct customers who represented 10% or more of the Company’s total revenue for each of the three months ended April 30, 2023 and 2022. Significant Accounting Policies The Company’s significant accounting policies are described in the Company’s Annual Report on Form 10-K for the year ended January 31, 2023. There have been no significant changes to these policies that have had a material impact on the Company’s condensed consolidated financial statements and related notes for the three months ended April 30, 2023. Recently Adopted Accounting Pronouncements In October 2021, the FASB issued ASU 2021-08, Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers, which requires that an entity recognize and measure contract assets and contract liabilities acquired in a business combination in accordance with Topic 606 as if it had originated the contracts. For public business entities, this ASU is effective for fiscal years beginning after December 15, 2022, and interim periods within those fiscal years. The Company adopted this guidance on February 1, 2023, which did not have a material effect on its condensed consolidated financial statements. |
Investments and Fair Value Meas
Investments and Fair Value Measurements | 3 Months Ended |
Apr. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Investments and Fair Value Measurements | Investments and Fair Value Measurements The Company follows ASC 820 , Fair Value Measurements , with respect to cash equivalents 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 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 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 (in thousands): April 30, 2023 January 31, 2023 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Assets (1) Cash equivalents (2) Money market funds $ 2,630,767 $ — $ — $ 2,630,767 $ 64,752 $ — $ — $ 64,752 Other assets Deferred compensation investments 359 — — 359 64 — — 64 Total assets $ 2,631,126 $ — $ — $ 2,631,126 $ 64,816 $ — $ — $ 64,816 __________________________________ (1) $100.0 million and $250.0 million of time deposits, which are included in short-term investments, are excluded since they are carried at cost and approximate fair value as of April 30, 2023 and January 31, 2023, respectively. (2) Cash equivalents exclude an immaterial amount of time deposits, which are carried at cost and approximate fair value, as of April 30, 2023. Cash equivalents exclude $1.6 billion of time deposits, which are carried at cost and approximate fair value, as of January 31, 2023. There were no transfers between the levels of the fair value hierarchy during the periods presented. The following summarizes the changes in the net carrying value of strategic investments, which are Level 3, within the fair value hierarchy for the three months ended April 30, 2023 and April 30, 2022 (in thousands): April 30, 2023 April 30, 2022 Carrying amount, beginning of period $ 47,270 $ 23,632 Adjustments related to non-marketable securities: Purchases 10,607 2,825 Unrealized net gains due to changes in fair value — 2,207 Carrying amount, end of period $ 57,877 $ 28,665 Cumulative unrealized gains and losses for equity securities held as of April 30, 2023 are $9.6 million and $2.9 million, respectively. |
Balance Sheet Components
Balance Sheet Components | 3 Months Ended |
Apr. 30, 2023 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Balance Sheet Components | Balance Sheet Components Property and Equipment, Net Property and equipment, net consisted of the following (in thousands): April 30, 2023 January 31, 2023 Data center and other computer equipment $ 351,174 $ 297,585 Capitalized internal-use software and website development costs 128,263 113,276 Leasehold improvements 24,747 24,944 Purchased software 9,019 6,384 Furniture and equipment 7,395 7,412 Construction in progress 245,732 259,013 766,330 708,614 Less: Accumulated depreciation and amortization (242,609) (216,279) Property and equipment, net $ 523,721 $ 492,335 Construction in progress primarily includes data center equipment purchased that has not yet been placed in service. Data center equipment that was purchased but not yet been placed into service was $226.1 million as of April 30, 2023. Depreciation and amortization expense of property and equipment was $26.4 million and $16.3 million during the three months ended April 30, 2023 and April 30, 2022, respectively. There was no impairment of property and equipment during the three months ended April 30, 2023 and April 30, 2022. The Company capitalized $16.6 million and $8.1 million in internal-use software and website development costs during the three months ended April 30, 2023 and April 30, 2022, respectively. Amortization expense associated with internal-use software and website development costs totaled $7.5 million and $4.3 million during the three months ended April 30, 2023 and April 30, 2022, respectively. The net book value of capitalized internal-use software and website development costs was $75.5 million and $66.3 million as of April 30, 2023 and January 31, 2023, respectively. Intangible Assets, Net Total intangible assets, net consisted of the following (dollars in thousands): April 30, 2023 Weighted-Average Gross Carrying Amount Accumulated Amortization Net Amount (in months) Developed technology $ 101,467 $ 29,458 $ 72,009 65 Customer relationships 12,044 4,290 7,755 59 Other acquired intangible assets 5,220 1,769 3,451 144 Total $ 118,732 $ 35,516 $ 83,215 January 31, 2023 Weighted-Average Gross Carrying Amount Accumulated Amortization Net Amount (in months) Developed technology $ 101,452 $ 25,866 $ 75,586 68 Customer relationships 12,032 3,831 8,201 61 Other acquired intangible assets 4,717 1,615 3,102 147 Total $ 118,201 $ 31,312 $ 86,889 Amortization expense of intangible assets was $4.2 million and $4.1 million during the three months ended April 30, 2023 and April 30, 2022, respectively. The estimated aggregate future amortization expense of intangible assets as of April 30, 2023 is as follows (in thousands): Total Fiscal 2024 (remaining nine months) $ 12,308 Fiscal 2025 16,409 Fiscal 2026 15,322 Fiscal 2027 13,147 Fiscal 2028 12,634 Thereafter 13,395 Total amortization expense $ 83,215 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 The changes in goodwill during the three months ended April 30, 2023 consisted of the following (in thousands): Amounts Goodwill as of January 31, 2023 $ 430,645 Foreign currency translation 110 Goodwill as of April 30, 2023 $ 430,755 Accrued Expenses Accrued expenses consisted of the following (in thousands): April 30, 2023 January 31, 2023 Web hosting services $ 33,729 $ 65,589 Accrued marketing 14,202 11,435 Accrued professional services 13,390 13,281 Other accrued expenses 11,596 11,247 Accrued purchases of property and equipment 8,204 20,157 Accrued partner commissions 5,623 5,800 Accrued interest expense 4,750 10,375 Accrued expenses $ 91,494 $ 137,884 Accrued Payroll and Benefits Accrued payroll and benefits consisted of the following (in thousands): April 30, 2023 January 31, 2023 Accrued commissions $ 46,396 $ 77,287 Employee Stock Purchase Plan 40,814 17,475 Accrued payroll and related expenses 38,395 39,907 Accrued bonuses 25,494 34,098 Accrued payroll and benefits $ 151,099 $ 168,767 |
Debt
Debt | 3 Months Ended |
Apr. 30, 2023 | |
Debt Disclosure [Abstract] | |
Debt | Debt 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. On January 4, 2021, the Company amended and restated its existing credit agreement (the “A&R Credit Agreement” and the facility thereunder the “Revolving Facility”) among CrowdStrike, Inc., as borrower, CrowdStrike Holdings, Inc., as guarantor, and Silicon Valley Bank and the other lenders party thereto, providing the Company with a revolving line of credit of up to $750.0 million, including a letter of credit sub-facility in the aggregate amount of $100.0 million, and a swingline sub-facility in the aggregate amount of $50.0 million. The Company also has the option to request an incremental facility of up to an additional $250.0 million from one or more of the lenders under the A&R Credit Agreement. The A&R Credit Agreement is guaranteed by all of the Company’s material domestic subsidiaries. The A&R Credit Agreement extended the maturity date of April 19, 2022 to January 2, 2026. On January 6, 2022, the Company modified the A&R Credit Agreement (the “Amended A&R Credit Agreement”) among CrowdStrike, Inc., as borrower, CrowdStrike Holdings, Inc., as guarantor, and Silicon Valley Bank and the other lenders party thereto. There were no changes to the borrowing amounts or maturity date. Under the Amended A&R Credit Agreement, revolving loans are Alternate Base Rate (“ABR”) Loans. 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 on such day plus 0.50%, and (c) the Term Secured Overnight Finance Rate (the “Term SOFR”) for a one-month tenor in effect on such day plus 1.00%, in each case plus a margin between (0.25)% and 0.25%, depending on the senior secured leverage ratio. The Company will be charged a commitment fee of 0.15% to 0.25% per year for committed but unused amounts, depending on the senior secured leverage ratio. The financial covenants require the Company to maintain a minimum consolidated interest coverage ratio of 3.00:1.00, a maximum senior secured leverage ratio of 3.00:1.00 (through January 31, 2023), and a maximum total leverage ratio of 5.50:1.00 stepping down to 3.50:1.00 over time. The Company was in compliance with all of its financial covenants as of April 30, 2023. The Amended A&R Credit Agreement is secured by substantially all of the Company’s current and future consolidated assets, property and rights, including, but not limited to, intellectual property, cash, goods, equipment, contractual rights, financial assets, and intangible assets of the Company and certain of its subsidiaries. The Amended A&R Credit Agreement contains customary covenants limiting the Company’s ability and the ability of its subsidiaries 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. No amounts were outstanding under the Amended A&R Credit Agreement as of April 30, 2023 and January 31, 2023. Senior Notes On January 20, 2021, the Company issued $750.0 million in aggregate principal amount of 3.00% Senior Notes maturing in February 2029. The Senior Notes are guaranteed by the Company’s subsidiary, CrowdStrike, Inc. and will be guaranteed by each of the Company’s existing and future domestic subsidiaries that becomes a borrower or guarantor under the A&R Credit Agreement. The Senior Notes were issued at par and bear interest at a rate of 3.00% per annum. Interest payments are payable semiannually on February 15 and August 15 of each year, commencing on August 15, 2021. The Company may voluntarily redeem the Senior Notes, in whole or in part, 1) at any time prior to February 15, 2024 at (a) 100.00% of their principal amount, plus a “make whole” premium or (b) with the net cash proceeds received from an equity offering at a redemption price equal to 103.00% of the principal amount, provided the aggregate principal amount of all such redemptions does not exceed 40% of the original aggregate principal amount of the Senior Notes; 2) at any time on or after February 15, 2024 at a prepayment price equal to 101.50% of the principal amount; 3) at any time on or after February 15, 2025 at a prepayment price equal to 100.75% of the principal amount; and 4) at any time on or after February 15, 2026 at a prepayment price equal to 100.00% of the principal amount; in each case, plus accrued and unpaid interest, if any, to but excluding, the date of redemption. The net proceeds from the debt offering were $738.0 million after deducting the underwriting commissions of $9.4 million and $2.6 million of issuance costs. The debt issuance costs are being amortized to interest expense using the effective interest method over the term of the Senior Notes. Interest expense related to contractual interest expense, amortization of debt issuance costs, and accretion of debt discount was $6.0 million during both the three months ended April 30, 2023 and 2022. In certain circumstances involving a change of control event, the Company will be required to make an offer to repurchase all or, at the holder’s option, any part, of each holder’s notes of that series at 101% of the aggregate principal amount thereof, plus accrued and unpaid interest, if any, to, but excluding, the repurchase date. The indenture governing the Senior Notes (the “Indenture”) contains covenants limiting the Company’s ability and the ability of its subsidiaries to create liens on certain assets to secure debt; grant a subsidiary guarantee of certain debt without also providing a guarantee of the Senior Notes; declare dividends; and consolidate or merge with or into, or sell or otherwise dispose of all or substantially all of its assets to, another person. These covenants are subject to a number of limitations and exceptions. Certain of these covenants will not apply during any period in which the notes are rated investment grade by Fitch Ratings, Inc. (“Fitch”), Moody’s Investors Service, Inc. (“Moody’s”), and Standard & Poor’s Ratings Services (“S&P”). As of April 30, 2023, the Company was in compliance with all of its financial covenants under the Indenture associated with the Senior Notes. |
Income Taxes
Income Taxes | 3 Months Ended |
Apr. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The Company recognized income tax expense of $4.4 million and $3.4 million for the three months ended April 30, 2023 and April 30, 2022, respectively. The tax expense for the three months ended April 30, 2023 and April 30, 2022 was primarily attributable to pre-tax foreign earnings and withholding taxes related to customer payments in certain foreign jurisdictions in which the Company conducts business. The Company’s effective tax rates of 89.8% and (12.7)% for the three months ended April 30, 2023 and April 30, 2022, 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, U.S. state, and U.K. deferred tax assets. As a result, the Company does not record a tax benefit on these losses because it is more likely than not that the benefit will not be realized. Total gross unrecognized tax benefits were $40.6 million and $36.9 million as of April 30, 2023 and January 31, 2023, respectively. As of April 30, 2023 and January 31, 2023, approximately $4.4 million and $4.2 million, respectively of unrecognized tax benefits, which, if recognized, would affect the Company’s effective tax rate due to the full valuation allowance. The Company’s policy is to classify interest and penalties related to unrecognized tax benefits as part of the income tax provision in the condensed consolidated statements of operations. The Company had incurred an insignificant amount of interest and penalties related to unrecognized tax benefits as of April 30, 2023 and January 31, 2023. During the three months ended April 30, 2023, the net increase in uncertain tax benefits was a result of research and development credits. The potential change in unrecognized tax benefits during the next 12 months is not expected to be material. In accordance with the guidance on the accounting for uncertainty in income taxes, for all U.S. and other tax jurisdictions, the Company recognizes potential liabilities for anticipated tax audit issues based on the Company’s estimate of whether, and the extent to which, additional taxes and interest will be due. If the Company’s estimate of income tax liabilities proves to be less than the ultimate assessment, a further charge to expense would be required. If events occur and the payment of these amounts ultimately proves to be unnecessary, the reversal of the liabilities would result in tax benefits being recognized in the period when the Company determines the liabilities are no longer necessary. The Company includes interest and penalties related to unrecognized tax benefits within the provision for income taxes in the condensed consolidated statements of operations. Accrued interest and penalties are included within other liabilities, noncurrent on the condensed consolidated balance sheets. |
Stock-Based Compensation
Stock-Based Compensation | 3 Months Ended |
Apr. 30, 2023 | |
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, 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. There were no stock options granted during the three months ended April 30, 2023 or April 30, 2022. The following table is a summary of stock option activity for the three months ended April 30, 2023: Number of Weighted-Average (in thousands) Options outstanding at January 31, 2023 2,869 $ 8.52 Exercised (376) $ 7.04 Canceled (3) $ 13.97 Options outstanding at April 30, 2023 2,490 $ 8.74 Options vested and expected to vest at April 30, 2023 2,490 $ 8.74 Options exercisable at April 30, 2023 2,216 $ 8.41 Options outstanding include 263,992 options that were unvested and exercisable as of April 30, 2023. The aggregate intrinsic value of options vested and exercisable was $247.4 million and $247.2 million as of April 30, 2023 and January 31, 2023, respectively. The weighted-average remaining contractual term of options vested and exercisable was 4.7 years and 4.8 years as of April 30, 2023 and January 31, 2023, respectively. The total intrinsic value of all options exercised was $45.1 million and $81.2 million during the three months ended April 30, 2023 and April 30, 2022, respectively. The aggregate intrinsic value of stock options outstanding as of April 30, 2023 and January 31, 2023 was $277.2 million and $279.4 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 4.8 years and 5.0 years as of April 30, 2023 and January 31, 2023, respectively. Total unrecognized stock-based compensation expense related to unvested options was $1.7 million as of April 30, 2023. This expense is expected to be amortized over a weighted-average vesting period of 1.4 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 during the three months ended April 30, 2023 or April 30, 2022. As of April 30, 2023 and January 31, 2023, there were no shares of common stock related to early exercised stock options subject to repurchase. 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 balance sheets and statements of stockholders’ equity. Restricted Stock Units RSUs granted under the 2019 Plan are generally subject to only a service-based vesting condition. The service-based vesting condition is generally satisfied based on one of four 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, subject to continued service, (iii) vesting in eight equal quarterly installments, subject to continued service, or (iv) vesting in sixteen quarterly installments with 10% in the first year, 15% in the second year, 25% in the third year and 50% in the fourth year, subject to continued service. The valuation of these RSUs is based solely on the fair value of the Company’s stock on the date of grant. Total unrecognized stock-based compensation expense related to unvested RSUs was $1.4 billion as of April 30, 2023. This expense is expected to be amortized over a weighted-average vesting period of 2.9 years. Performance-based Stock Units PSUs granted under the 2019 Plan are generally subject to both a service-based vesting condition and a performance-based vesting condition. PSUs will vest upon the achievement of specified performance targets and subject to continued service through the applicable vesting dates. The associated compensation cost is recognized over the requisite service period when it is probable that the performance condition will be satisfied. Total unrecognized stock-based compensation expense related to unvested PSUs was $124.6 million as of April 30, 2023. This expense is expected to be amortized over a weighted-average vesting period of 1.6 years. Special PSU Awards In fiscal 2022 the Company’s board of directors granted 655,000 performance stock units (the “Special PSU Awards”) to certain executives under the 2019 Plan. The Special PSU Awards will vest upon the satisfaction of the Company’s achievement of specified stock price hurdles, which are based on the average of the closing stock price per share of the Company’s Class A common stock during any 45 consecutive trading day period during the applicable performance period, and a service-based vesting condition. The service condition applicable to each tranche of the Special PSU Awards will be satisfied in installments as follows, subject to continued employment with the Company through each applicable vesting date: (i) 50% of the Special PSU Awards underlying the applicable tranche will service vest on the first anniversary of the vesting commencement date applicable to such tranche of the Special PSU Awards ( i.e. , February 1, 2022, February 1, 2023, February 1, 2024 and February 1, 2025) and (ii) the remaining PSUs with respect to such tranche will thereafter service vest in four equal quarterly installments of 12.5%. The Company measured the fair value of the Special PSU Awards on the grant date using a Monte Carlo simulation valuation model. The risk-free interest rates used were 0.85% -1.51%, which were based on the zero-coupon-risk-free interest rate derived from the Treasury Constant Maturities yield curve for the expected term of the award on the grant date. The expected volatility was a blended volatility rate of 54.89% - 55.36%, which includes 50% weight on the Company’s historical volatility calculated from daily stock returns over a 2.21- 2.58 year look-back from the grant date and 50% weight based on the Company’s implied volatility as of the grant date. Total unrecognized stock-based compensation expense related to the unvested portion of the Special PSU Awards was $56.3 million as of April 30, 2023. This expense is expected to be amortized over a weighted-average vesting period of 1.9 years. The following table is a summary of RSUs, PSUs and the Special PSU Awards activities for the three months ended April 30, 2023: Number of Weighted- (in thousands) RSUs and PSUs outstanding at January 31, 2023 10,050 $ 158.08 Granted 2,694 $ 131.05 Released (934) $ 135.06 Performance adjustment (1) 155 $ 211.22 Forfeited (636) $ 164.05 RSUs and PSUs outstanding at April 30, 2023 11,329 $ 155.09 RSUs and PSUs ending vested and expected to vest at April 30, 2023 11,247 $ 154.55 ___________________________ (1) The performance adjustment represents adjustments in shares outstanding due to the actual achievement of performance-based awards, the achievement of which was based upon pre-defined financial performance targets. 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 the 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. In May 2021, the Company’s compensation committee adopted an amendment and restatement of the ESPP, which was approved by the Company’s stockholders in June 2021. The amended and restated ESPP clarified the original intent that the annual increase will in no event exceed 5,000,000 shares of the Company’s Class A common stock in any year. The ESPP provides for consecutive offering periods that will typically have a duration of approximately 24 months in length and are 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 ended on 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 is 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 ESPP also offers a two-year look-back feature, as well as a rollover feature that provides for an offering period to be rolled over to a new lower-priced offering if the offering price of the new offering period is less than that of the current offering period. During the fiscal year ended January 31, 2023, there were ESPP rollovers because the Company’s closing stock price on the purchase date was lower than the Company’s closing stock price on the first day of the offering periods. As a result, these offering dates were rolled over to a new 24-month offering period through December 12, 2024. These rollovers were accounted for as a modification to the original offerings. The total incremental expense as a result of the rollover and contribution modifications was $58.6 million, which will be recognized over the new or remaining offering periods. Employee payroll contributions ultimately used to purchase shares are reclassified to Stockholders’ equity on the purchase date. ESPP employee payroll contributions accrued as of April 30, 2023 and January 31, 2023 totaled $40.8 million and $17.5 million, respectively, 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 2020: Three Months Ended April 30, 2023 2022 Expected term (in years) 0.5 - 2.0 0.5 - 2.0 Risk-free interest rate 0.2% - 4.7% 0.1% - 0.7% Expected stock price volatility 50.2% - 61.2% 39.6% - 55.9% Dividend yield — % — % Stock-Based Compensation Expense Stock-based compensation expense included in the condensed consolidated statements of operations is as follows (in thousands): Three Months Ended April 30, 2023 2022 Subscription cost of revenue $ 8,966 $ 6,578 Professional services cost of revenue 4,630 3,001 Sales and marketing 35,739 26,710 Research and development 44,381 34,036 General and administrative 37,140 32,169 Total stock-based compensation expense $ 130,856 $ 102,494 |
Revenue, Deferred Revenue and R
Revenue, Deferred Revenue and Remaining Performance Obligations | 3 Months Ended |
Apr. 30, 2023 | |
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 by region based on the shipping address of customers who have contracted to use the Company’s platform or service (in thousands, except percentages): Three Months Ended April 30, 2023 2022 Amount % Revenue Amount % Revenue United States $ 474,825 69 % $ 345,593 71 % Europe, Middle East, and Africa 104,552 15 % 70,625 14 % Asia Pacific 72,219 10 % 48,079 10 % Other 40,984 6 % 23,537 5 % Total revenue $ 692,580 100 % $ 487,834 100 % No single country other than the United States represented 10% or more of the Company’s total revenue during the three months ended April 30, 2023 and April 30, 2022. 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 $596.4 million and $397.7 million for the three months ended April 30, 2023 and April 30, 2022, respectively, which was 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 (in thousands): Three Months Ended April 30, 2023 2022 Carrying Amount Beginning balance 2,355,113 1,529,321 Additions to deferred revenue 741,258 651,110 Recognition of deferred revenue (692,580) (487,834) Ending balance 2,403,791 1,692,597 Remaining Performance Obligations The Company’s subscription contracts with its customers have a typical term of one amount of the transaction price allocated to remaining performance obligations was $3.3 billion. The Company expects to recognize approximately 64% of the remaining performance obligations in the 12 months following April 30, 2023 and 35% of the remaining performance obligations between 13 to 36 months, with the remainder to be recognized thereafter. Costs to Obtain and Fulfill a Contract The Company capitalizes referral fees paid to partners and sales commissions and associated payroll taxes paid to internal sales personnel, contractors or sales agents 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 referral partners, earned upon the initial acquisition of a contract or subsequent upsell are amortized over an estimated period of benefit of four years, while commissions earned 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 eight months and are 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 months ended April 30, 2023 and April 30, 2022. The following table summarizes the activity of deferred contract acquisition costs (in thousands): Three Months Ended April 30, 2023 2022 Beginning balance $ 447,088 $ 319,180 Capitalization of contract acquisition costs 49,532 51,354 Amortization of deferred contract acquisition costs (55,322) (37,592) Ending balance $ 441,298 $ 332,942 Deferred contract acquisition costs, current $ 186,901 $ 135,681 Deferred contract acquisition costs, noncurrent 254,397 197,261 Total deferred contract acquisition costs $ 441,298 $ 332,942 |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Apr. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 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 April 30, 2023, the Company is committed to spend $194.9 million on such agreements in excess of one year through fiscal 2031. These obligations are included in purchase commitments below. In the normal course of business, the Company also enters into non-cancelable purchase commitments with various parties to purchase products and services such as advertising, technology, equipment, office renovations, corporate events, and consulting services. A summary of non-cancelable purchase obligations in excess of one year as of April 30, 2023 with expected date of payment is as follows (in thousands): Total Fiscal 2024 (remaining nine months) $ 69,077 Fiscal 2025 57,270 Fiscal 2026 39,744 Fiscal 2027 32,902 Fiscal 2028 30,774 Thereafter 47,034 Total purchase commitments $ 276,801 In October 2021, the Company entered into a new private pricing addendum with Amazon Web Services (“AWS”), which provides the Company with cloud computing infrastructure. Under the new pricing addendum, the minimum commitment is $600.0 million of cloud services from AWS through September 2026. As of April 30, 2023, the Company had utilized $366.9 million of this commitment. The remaining commitment is excluded from the table above and the Company expects to meet its remaining commitment with AWS. Letters of Credit As of April 30, 2023 , the Company had unused standby letters of credit for $0.7 million securing its facility in Tel Aviv, Israel, $0.4 million securing its facility in Sunnyvale, California, and $0.1 million securing its principal executive offices in Austin, Texas. As of January 31, 2023 , the Company had unused standby letters of credit for $0.8 million securing its principal executive offices in Austin, Texas and $0.4 million securing its facility in Sunnyvale, California. Litigation In June 2022, the Company and Fair Isaac Corporation (“FICO”) resolved a trademark dispute that was pending before the Trademark Trial and Appellate Board (“TTAB”) at the U.S. Patent and Trademark Office. The TTAB dismissed all proceedings between the parties in July 2022. In March 2022, Webroot, Inc. and Open Text, Inc. (collectively, “Webroot”) filed a lawsuit against the Company and CrowdStrike, Inc. in federal court in the Western District of Texas alleging that certain of the Company’s products infringe six patents held by them. In the complaint, Webroot sought unspecified damages, attorneys’ fees and a permanent injunction. In May 2022, CrowdStrike, Inc. asserted counterclaims alleging that certain of Webroot’s products infringe two of its patents. In the filing, CrowdStrike, Inc. sought unspecified damages, reasonable fees and costs, and a permanent injunction. In September 2022, Webroot amended its complaint to assert six additional patents. The Company intends to vigorously defend against Webroot’s allegations. As of April 30, 2023, the Company is unable to predict the outcome of Webroot’s claims or reasonably estimate a loss or a range of loss. In addition, the Company is involved in various other legal proceedings and subject to claims that arise in the ordinary course of business. 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 reasonably possible to have a material 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 costs of litigation and the timing of these costs 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 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 reduce 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. The Company has also agreed to indemnify its directors and certain executive officers for costs associated with any fees, expenses, judgments, fines and settlement amounts incurred by any of these persons in any action or proceeding to which any of those persons is, or is threatened to be, made a party by reason of the person’s service as a director or officer, including any action by the Company, arising out of that person’s services as the Company’s director or officer or that person’s services provided to any other company or enterprise at the Company’s request. The Company maintains director and officer insurance coverage that would generally enable the Company to recover a portion of any future amounts paid. The Company may also be subject to indemnification obligations by law with respect to the actions of its employees under certain circumstances and in certain jurisdictions. No liabilities have been accrued associated with this indemnification provision as of April 30, 2023 or January 31, 2023. |
Acquisitions
Acquisitions | 3 Months Ended |
Apr. 30, 2023 | |
Business Combination and Asset Acquisition [Abstract] | |
Acquisitions | Acquisitions Reposify Ltd. On October 3, 2022, the Company acquired 100% of the equity interest of Reposify Ltd. (“Reposify”), a privately-held company that provides an external attack surface management platform that scans the internet for exposed assets of an organization to detect and eliminate risk from vulnerable and unknown assets before attackers can exploit them. The acquisition has been accounted for as a business combination. The total consideration transferred consisted of $18.9 million, net of cash acquired of $0.5 million, and an immaterial amount representing the fair value of replacement equity awards attributable to pre-acquisition service. The remaining fair value of these replacement awards is subject to the recipient’s continued service and thus were excluded from the purchase price. The purchase price was allocated on a preliminary basis, subject to working capital adjustment and continuing management analysis, to developed technology of $3.8 million, net tangible assets acquired of $0.9 million, and goodwill of $14.2 million, which was allocated to the Company’s one reporting unit and represents the excess of the purchase price over the fair value of net tangible and intangible assets acquired. The goodwill was primarily attributable to the assembled workforce of Reposify, planned growth in new markets, and synergies expected to be achieved from the integration of Reposify. Goodwill was not deductible for income tax purposes. The fair value of the developed technology acquired was $3.8 million with a useful life of 72 months. Acquisition costs during the three months ended April 30, 2023 were not material and are recorded in research and development expenses on the Company’s condensed consolidated statements of operations. The results of operations for the acquisition have been included in the Company’s condensed consolidated financial statements from the date of acquisition. The acquisition did not have a material impact on the Company’s condensed consolidated financial statements, and therefore historical and pro forma disclosures have not been presented. |
Net Income (Loss) Per Share Att
Net Income (Loss) Per Share Attributable to Common Stockholders | 3 Months Ended |
Apr. 30, 2023 | |
Earnings Per Share [Abstract] | |
Net Income (Loss) Per Share Attributable to Common Stockholders | Net Income (Loss) Per Share Attributable to Common Stockholders Basic and diluted net income (loss) per share attributable to CrowdStrike’s common stockholders is computed in conformity with the two-class method required for participating securities. Basic net income (loss) per share attributable to CrowdStrike common stockholders is computed by dividing the net income (loss) attributable to CrowdStrike by the weighted-average number of shares of common stock outstanding during the period. Diluted net income per share attributable to CrowdStrike common stockholders is calculated by dividing net income by the combination of the weighted-average number of common shares outstanding and the weighted-average number of dilutive common share equivalents during the period. Diluted net loss per share is the same as basic net loss per share for the three months ended April 30, 2022 because the effects of potentially dilutive items were antidilutive given the Company’s net loss position. The rights of the holders of Class A and Class B common stock are identical, except with the respect to voting and conversion rights. As such, the undistributed earnings are allocated equally to each share of common stock without class distinction and the resulting basic and diluted net income (loss) per share attributable to CrowdStrike common stockholders are the same for shares of Class A and Class B common stock. The following table sets forth the computation of basic and diluted net income (loss) per share attributable to CrowdStrike common stockholders (in thousands, except per share data): Three Months Ended April 30, 2023 2022 Numerator: Net income (loss) attributable to Class A and Class B CrowdStrike common stockholders $ 491 $ (31,523) Denominator: Weighted-average shares used in computing net income (loss) per share attributable to Class A and Class B of CrowdStrike common stockholders, basic 236,414 231,179 Dilutive effect of common stock equivalents 4,184 — Weighted-average shares used in computing net income (loss) per share attributable to Class A and Class B of CrowdStrike common stockholders, dilutive 240,598 231,179 Net income (loss) per share attributable to Class A and Class B CrowdStrike common stockholders, basic $ 0.00 $ (0.14) Net income (loss) per share attributable to Class A and Class B CrowdStrike common stockholders, diluted $ 0.00 $ (0.14) The potential shares of common stock that were excluded from the computation of diluted net income (loss) per share attributable to common stockholders for the periods presented because including them would have been antidilutive are as follows (in thousands): April 30, 2023 April 30, 2022 Shares of common stock subject to repurchase from outstanding stock options — 132 RSUs and PSUs subject to future vesting 5,832 8,881 Shares of common stock issuable from stock options 3 3,518 Share purchase rights under the Employee Stock Purchase Plan 1,020 610 Potential common shares excluded from diluted net income (loss) per share 6,855 13,141 |
Description of Business and S_2
Description of Business and Significant Accounting Policies (Policies) | 3 Months Ended |
Apr. 30, 2023 | |
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 (“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, 2023, 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 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 months ended April 30, 2023 are not necessarily indicative of the results to be expected for the year ending January 31, 2024 or for any other interim period or for any other future year. 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, 2023, filed with the SEC on March 9, 2023. |
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. |
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 differences 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 credit losses, the useful lives of long-lived assets, the fair values of strategic investments, the period of benefit for deferred contract acquisition costs, the discount rate used for operating leases, the recognition, measurement and disclosure of contingent liabilities, income taxes, stock-based compensation, and the fair value of assets acquired and liabilities assumed in business combinations. |
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. |
Recently Adopted Accounting Pronouncements | Recently Adopted Accounting Pronouncements In October 2021, the FASB issued ASU 2021-08, Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers, which requires that an entity recognize and measure contract assets and contract liabilities acquired in a business combination in accordance with Topic 606 as if it had originated the contracts. For public business entities, this ASU is effective for fiscal years beginning after December 15, 2022, and interim periods within those fiscal years. The Company adopted this guidance on February 1, 2023, which did not have a material effect on its condensed consolidated financial statements. |
Investments and Fair Value Me_2
Investments and Fair Value Measurements (Tables) | 3 Months Ended |
Apr. 30, 2023 | |
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 (in thousands): April 30, 2023 January 31, 2023 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Assets (1) Cash equivalents (2) Money market funds $ 2,630,767 $ — $ — $ 2,630,767 $ 64,752 $ — $ — $ 64,752 Other assets Deferred compensation investments 359 — — 359 64 — — 64 Total assets $ 2,631,126 $ — $ — $ 2,631,126 $ 64,816 $ — $ — $ 64,816 __________________________________ (1) $100.0 million and $250.0 million of time deposits, which are included in short-term investments, are excluded since they are carried at cost and approximate fair value as of April 30, 2023 and January 31, 2023, respectively. (2) Cash equivalents exclude an immaterial amount of time deposits, which are carried at cost and approximate fair value, as of April 30, 2023. Cash equivalents exclude $1.6 billion of time deposits, which are carried at cost and approximate fair value, as of January 31, 2023. |
Schedule of Changes in Strategic Investments | The following summarizes the changes in the net carrying value of strategic investments, which are Level 3, within the fair value hierarchy for the three months ended April 30, 2023 and April 30, 2022 (in thousands): April 30, 2023 April 30, 2022 Carrying amount, beginning of period $ 47,270 $ 23,632 Adjustments related to non-marketable securities: Purchases 10,607 2,825 Unrealized net gains due to changes in fair value — 2,207 Carrying amount, end of period $ 57,877 $ 28,665 |
Balance Sheet Components (Table
Balance Sheet Components (Tables) | 3 Months Ended |
Apr. 30, 2023 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Schedule of Property and Equipment, Net | Property and equipment, net consisted of the following (in thousands): April 30, 2023 January 31, 2023 Data center and other computer equipment $ 351,174 $ 297,585 Capitalized internal-use software and website development costs 128,263 113,276 Leasehold improvements 24,747 24,944 Purchased software 9,019 6,384 Furniture and equipment 7,395 7,412 Construction in progress 245,732 259,013 766,330 708,614 Less: Accumulated depreciation and amortization (242,609) (216,279) Property and equipment, net $ 523,721 $ 492,335 |
Schedule of Intangible Assets, Net | Intangible Assets, Net Total intangible assets, net consisted of the following (dollars in thousands): April 30, 2023 Weighted-Average Gross Carrying Amount Accumulated Amortization Net Amount (in months) Developed technology $ 101,467 $ 29,458 $ 72,009 65 Customer relationships 12,044 4,290 7,755 59 Other acquired intangible assets 5,220 1,769 3,451 144 Total $ 118,732 $ 35,516 $ 83,215 January 31, 2023 Weighted-Average Gross Carrying Amount Accumulated Amortization Net Amount (in months) Developed technology $ 101,452 $ 25,866 $ 75,586 68 Customer relationships 12,032 3,831 8,201 61 Other acquired intangible assets 4,717 1,615 3,102 147 Total $ 118,201 $ 31,312 $ 86,889 |
Schedule of Estimated Aggregate Future Amortization Expense of Intangible Assets | The estimated aggregate future amortization expense of intangible assets as of April 30, 2023 is as follows (in thousands): Total Fiscal 2024 (remaining nine months) $ 12,308 Fiscal 2025 16,409 Fiscal 2026 15,322 Fiscal 2027 13,147 Fiscal 2028 12,634 Thereafter 13,395 Total amortization expense $ 83,215 |
Schedule of Goodwill | The changes in goodwill during the three months ended April 30, 2023 consisted of the following (in thousands): Amounts Goodwill as of January 31, 2023 $ 430,645 Foreign currency translation 110 Goodwill as of April 30, 2023 $ 430,755 |
Schedule of Accrued Expenses | Accrued expenses consisted of the following (in thousands): April 30, 2023 January 31, 2023 Web hosting services $ 33,729 $ 65,589 Accrued marketing 14,202 11,435 Accrued professional services 13,390 13,281 Other accrued expenses 11,596 11,247 Accrued purchases of property and equipment 8,204 20,157 Accrued partner commissions 5,623 5,800 Accrued interest expense 4,750 10,375 Accrued expenses $ 91,494 $ 137,884 |
Schedule of Accrued Payroll and Benefits | Accrued payroll and benefits consisted of the following (in thousands): April 30, 2023 January 31, 2023 Accrued commissions $ 46,396 $ 77,287 Employee Stock Purchase Plan 40,814 17,475 Accrued payroll and related expenses 38,395 39,907 Accrued bonuses 25,494 34,098 Accrued payroll and benefits $ 151,099 $ 168,767 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 3 Months Ended |
Apr. 30, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of Stock Option Activity | The following table is a summary of stock option activity for the three months ended April 30, 2023: Number of Weighted-Average (in thousands) Options outstanding at January 31, 2023 2,869 $ 8.52 Exercised (376) $ 7.04 Canceled (3) $ 13.97 Options outstanding at April 30, 2023 2,490 $ 8.74 Options vested and expected to vest at April 30, 2023 2,490 $ 8.74 Options exercisable at April 30, 2023 2,216 $ 8.41 |
Share-Based Payment Arrangement, Restricted Stock Unit, Performance Stock Unit, and Special Performance Stock Unit Award, Activity | The following table is a summary of RSUs, PSUs and the Special PSU Awards activities for the three months ended April 30, 2023: Number of Weighted- (in thousands) RSUs and PSUs outstanding at January 31, 2023 10,050 $ 158.08 Granted 2,694 $ 131.05 Released (934) $ 135.06 Performance adjustment (1) 155 $ 211.22 Forfeited (636) $ 164.05 RSUs and PSUs outstanding at April 30, 2023 11,329 $ 155.09 RSUs and PSUs ending vested and expected to vest at April 30, 2023 11,247 $ 154.55 ___________________________ (1) The performance adjustment represents adjustments in shares outstanding due to the actual achievement of performance-based awards, the achievement of which was based upon pre-defined financial performance targets. |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions | 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 2020: Three Months Ended April 30, 2023 2022 Expected term (in years) 0.5 - 2.0 0.5 - 2.0 Risk-free interest rate 0.2% - 4.7% 0.1% - 0.7% Expected stock price volatility 50.2% - 61.2% 39.6% - 55.9% Dividend yield — % — % |
Schedule of Stock-Based Compensation Expense | Stock-based compensation expense included in the condensed consolidated statements of operations is as follows (in thousands): Three Months Ended April 30, 2023 2022 Subscription cost of revenue $ 8,966 $ 6,578 Professional services cost of revenue 4,630 3,001 Sales and marketing 35,739 26,710 Research and development 44,381 34,036 General and administrative 37,140 32,169 Total stock-based compensation expense $ 130,856 $ 102,494 |
Revenue, Deferred Revenue and_2
Revenue, Deferred Revenue and Remaining Performance Obligations (Tables) | 3 Months Ended |
Apr. 30, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Disaggregation of Revenue | 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 (in thousands, except percentages): Three Months Ended April 30, 2023 2022 Amount % Revenue Amount % Revenue United States $ 474,825 69 % $ 345,593 71 % Europe, Middle East, and Africa 104,552 15 % 70,625 14 % Asia Pacific 72,219 10 % 48,079 10 % Other 40,984 6 % 23,537 5 % Total revenue $ 692,580 100 % $ 487,834 100 % |
Schedule of Changes in Deferred Revenue | Changes in deferred revenue were as follows (in thousands): Three Months Ended April 30, 2023 2022 Carrying Amount Beginning balance 2,355,113 1,529,321 Additions to deferred revenue 741,258 651,110 Recognition of deferred revenue (692,580) (487,834) Ending balance 2,403,791 1,692,597 |
Schedule of Capitalized Contract Cost | The following table summarizes the activity of deferred contract acquisition costs (in thousands): Three Months Ended April 30, 2023 2022 Beginning balance $ 447,088 $ 319,180 Capitalization of contract acquisition costs 49,532 51,354 Amortization of deferred contract acquisition costs (55,322) (37,592) Ending balance $ 441,298 $ 332,942 Deferred contract acquisition costs, current $ 186,901 $ 135,681 Deferred contract acquisition costs, noncurrent 254,397 197,261 Total deferred contract acquisition costs $ 441,298 $ 332,942 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 3 Months Ended |
Apr. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Summary of Noncancelable Purchase Obligations | A summary of non-cancelable purchase obligations in excess of one year as of April 30, 2023 with expected date of payment is as follows (in thousands): Total Fiscal 2024 (remaining nine months) $ 69,077 Fiscal 2025 57,270 Fiscal 2026 39,744 Fiscal 2027 32,902 Fiscal 2028 30,774 Thereafter 47,034 Total purchase commitments $ 276,801 |
Net Income (Loss) Per Share A_2
Net Income (Loss) Per Share Attributable to Common Stockholders (Tables) | 3 Months Ended |
Apr. 30, 2023 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The following table sets forth the computation of basic and diluted net income (loss) per share attributable to CrowdStrike common stockholders (in thousands, except per share data): Three Months Ended April 30, 2023 2022 Numerator: Net income (loss) attributable to Class A and Class B CrowdStrike common stockholders $ 491 $ (31,523) Denominator: Weighted-average shares used in computing net income (loss) per share attributable to Class A and Class B of CrowdStrike common stockholders, basic 236,414 231,179 Dilutive effect of common stock equivalents 4,184 — Weighted-average shares used in computing net income (loss) per share attributable to Class A and Class B of CrowdStrike common stockholders, dilutive 240,598 231,179 Net income (loss) per share attributable to Class A and Class B CrowdStrike common stockholders, basic $ 0.00 $ (0.14) Net income (loss) per share attributable to Class A and Class B CrowdStrike common stockholders, diluted $ 0.00 $ (0.14) |
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 income (loss) per share attributable to common stockholders for the periods presented because including them would have been antidilutive are as follows (in thousands): April 30, 2023 April 30, 2022 Shares of common stock subject to repurchase from outstanding stock options — 132 RSUs and PSUs subject to future vesting 5,832 8,881 Shares of common stock issuable from stock options 3 3,518 Share purchase rights under the Employee Stock Purchase Plan 1,020 610 Potential common shares excluded from diluted net income (loss) per share 6,855 13,141 |
Investments and Fair Value Me_3
Investments and Fair Value Measurements - Financial Assets and Liabilities (Details) - USD ($) $ in Thousands | Apr. 30, 2023 | Jan. 31, 2023 |
Assets | ||
Short-term investments | $ 100,000 | $ 250,000 |
Cash equivalents | 1,600,000 | |
Recurring | ||
Assets | ||
Total assets | 2,631,126 | 64,816 |
Recurring | Level 1 | ||
Assets | ||
Total assets | 2,631,126 | 64,816 |
Recurring | Level 2 | ||
Assets | ||
Total assets | 0 | 0 |
Recurring | Level 3 | ||
Assets | ||
Total assets | 0 | 0 |
Recurring | Money market funds | ||
Assets | ||
Cash equivalents | 2,630,767 | 64,752 |
Recurring | Money market funds | Level 1 | ||
Assets | ||
Cash equivalents | 2,630,767 | 64,752 |
Recurring | Money market funds | Level 2 | ||
Assets | ||
Cash equivalents | 0 | 0 |
Recurring | Money market funds | Level 3 | ||
Assets | ||
Cash equivalents | 0 | 0 |
Recurring | Deferred compensation investments | ||
Assets | ||
Other assets | 359 | 64 |
Recurring | Deferred compensation investments | Level 1 | ||
Assets | ||
Other assets | 359 | 64 |
Recurring | Deferred compensation investments | Level 2 | ||
Assets | ||
Other assets | 0 | 0 |
Recurring | Deferred compensation investments | Level 3 | ||
Assets | ||
Other assets | $ 0 | $ 0 |
Investments and Fair Value Me_4
Investments and Fair Value Measurements - Strategic Investments (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Apr. 30, 2023 | Apr. 30, 2022 | |
Strategic Investments [Roll Forward] | ||
Carrying amount, beginning of period | $ 47,270 | $ 23,632 |
Purchases | 10,607 | 2,825 |
Unrealized net gains due to changes in fair value | 0 | 2,207 |
Carrying amount, end of period | $ 57,877 | $ 28,665 |
Investments and Fair Value Me_5
Investments and Fair Value Measurements - Additional Information (Details) $ in Millions | 3 Months Ended |
Apr. 30, 2023 USD ($) | |
Fair Value Disclosures [Abstract] | |
Unrealized gains for equity securities | $ 9.6 |
Unrealized losses for equity securities | $ 2.9 |
Balance Sheet Components - Prop
Balance Sheet Components - Property and Equipment, Net (Details) - USD ($) $ in Thousands | Apr. 30, 2023 | Jan. 31, 2023 |
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 766,330 | $ 708,614 |
Less: Accumulated depreciation and amortization | (242,609) | (216,279) |
Property and equipment, net | 523,721 | 492,335 |
Data center and other computer equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 351,174 | 297,585 |
Capitalized internal-use software and website development costs | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 128,263 | 113,276 |
Leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 24,747 | 24,944 |
Purchased software | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 9,019 | 6,384 |
Furniture and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 7,395 | 7,412 |
Construction in progress | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 245,732 | $ 259,013 |
Balance Sheet Components - Addi
Balance Sheet Components - Additional Information (Details) - USD ($) | 3 Months Ended | ||
Apr. 30, 2023 | Apr. 30, 2022 | Jan. 31, 2023 | |
Finite-Lived Intangible Assets [Line Items] | |||
Depreciation and amortization | $ 26,400,000 | $ 16,300,000 | |
Impairment of property and equipment | 0 | 0 | |
Capitalized amount of internal use software | 16,600,000 | 8,100,000 | |
Amortization expense associated with internal use software | 7,500,000 | 4,300,000 | |
Net book value of capitalized internal use software | 75,500,000 | $ 66,300,000 | |
Amortization of intangible assets | $ 4,174,000 | $ 4,088,000 | |
Minimum | |||
Finite-Lived Intangible Assets [Line Items] | |||
Useful lives | 2 years | ||
Maximum | |||
Finite-Lived Intangible Assets [Line Items] | |||
Useful lives | 20 years | ||
Data center and other computer equipment | |||
Finite-Lived Intangible Assets [Line Items] | |||
Equipment purchased but not yet placed into service | $ 226,100,000 |
Balance Sheet Components - Inta
Balance Sheet Components - Intangible Assets, Net (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Apr. 30, 2023 | Jan. 31, 2023 | |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 118,732 | $ 118,201 |
Accumulated Amortization | 35,516 | 31,312 |
Net Amount | 83,215 | 86,889 |
Developed technology | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 101,467 | 101,452 |
Accumulated Amortization | 29,458 | 25,866 |
Net Amount | $ 72,009 | $ 75,586 |
Weighted-Average Remaining Useful Life | 65 months | 68 months |
Customer relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 12,044 | $ 12,032 |
Accumulated Amortization | 4,290 | 3,831 |
Net Amount | $ 7,755 | $ 8,201 |
Weighted-Average Remaining Useful Life | 59 months | 61 months |
Other acquired intangible assets | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 5,220 | $ 4,717 |
Accumulated Amortization | 1,769 | 1,615 |
Net Amount | $ 3,451 | $ 3,102 |
Weighted-Average Remaining Useful Life | 144 months | 147 months |
Balance Sheet Components - Futu
Balance Sheet Components - Future Amortization Expense (Details) - USD ($) $ in Thousands | Apr. 30, 2023 | Jan. 31, 2023 |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||
Fiscal 2024 (remaining nine months) | $ 12,308 | |
2025 | 16,409 | |
2026 | 15,322 | |
2027 | 13,147 | |
2028 | 12,634 | |
Thereafter | 13,395 | |
Net Amount | $ 83,215 | $ 86,889 |
Balance Sheet Components - Good
Balance Sheet Components - Goodwill Rollforward (Details) $ in Thousands | 3 Months Ended |
Apr. 30, 2023 USD ($) | |
Goodwill [Roll Forward] | |
Goodwill, beginning balance | $ 430,645 |
Foreign currency translation | 110 |
Goodwill, ending balance | $ 430,755 |
Balance Sheet Components - Accr
Balance Sheet Components - Accrued Expenses (Details) - USD ($) $ in Thousands | Apr. 30, 2023 | Jan. 31, 2023 |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||
Web hosting services | $ 33,729 | $ 65,589 |
Accrued marketing | 14,202 | 11,435 |
Accrued professional services | 13,390 | 13,281 |
Other accrued expenses | 11,596 | 11,247 |
Accrued purchases of property and equipment | 8,204 | 20,157 |
Accrued partner commissions | 5,623 | 5,800 |
Accrued interest expense | 4,750 | 10,375 |
Accrued expenses | $ 91,494 | $ 137,884 |
Balance Sheet Components - Ac_2
Balance Sheet Components - Accrued Payroll and Benefits (Details) - USD ($) $ in Thousands | Apr. 30, 2023 | Jan. 31, 2023 |
Accrued Payroll and Benefits | ||
Accrued commissions | $ 46,396 | $ 77,287 |
Employee Stock Purchase Plan | 40,814 | 17,475 |
Accrued payroll and related expenses | 38,395 | 39,907 |
Accrued bonuses | 25,494 | 34,098 |
Accrued payroll and benefits | $ 151,099 | $ 168,767 |
Debt (Details)
Debt (Details) | 3 Months Ended | ||||||
Jan. 06, 2022 | Jan. 20, 2021 USD ($) | Apr. 30, 2023 USD ($) | Apr. 30, 2022 USD ($) | Jan. 31, 2023 USD ($) | Jan. 04, 2021 USD ($) | Apr. 30, 2019 USD ($) | |
A&R Credit Agreement | |||||||
Line of Credit Facility [Line Items] | |||||||
Minimum interest coverage ratio | 3 | ||||||
Maximum senior secured leverage ratio | 3 | ||||||
Maximum total leverage ratio | 5.50 | ||||||
Maximum total leverage ratio, stepped down | 3.50 | ||||||
A&R Credit Agreement | Minimum | |||||||
Line of Credit Facility [Line Items] | |||||||
Commitment fee | 0.15% | ||||||
A&R Credit Agreement | Maximum | |||||||
Line of Credit Facility [Line Items] | |||||||
Commitment fee | 0.25% | ||||||
3.00% Senior Notes | Senior Notes | |||||||
Line of Credit Facility [Line Items] | |||||||
Aggregate principal amount | $ 750,000,000 | ||||||
Stated interest rate | 3% | ||||||
Percentage of original principal amount | 40% | ||||||
Proceeds from issuance of senior notes, net of debt financing costs | $ 738,000,000 | ||||||
Payment for underwriting commissions | 9,400,000 | ||||||
Payments of financing costs | $ 2,600,000 | ||||||
Interest expense, amortization of debt issuance costs and accretion of debt discount | $ 6,000,000 | $ 6,000,000 | |||||
Debt instrument, fair value | 653,500,000 | $ 645,400,000 | |||||
3.00% Senior Notes | Senior Notes | Debt Instrument, Redemption, Period Two | |||||||
Line of Credit Facility [Line Items] | |||||||
Redemption percentage | 101.50% | ||||||
3.00% Senior Notes | Senior Notes | Debt Instrument, Redemption, Period Three | |||||||
Line of Credit Facility [Line Items] | |||||||
Redemption percentage | 100.75% | ||||||
3.00% Senior Notes | Senior Notes | Debt Instrument, Redemption, Period Four | |||||||
Line of Credit Facility [Line Items] | |||||||
Redemption percentage | 100% | ||||||
3.00% Senior Notes | Senior Notes | Debt Instrument, Redemption, Period Five | |||||||
Line of Credit Facility [Line Items] | |||||||
Redemption percentage | 101% | ||||||
3.00% Senior Notes | Senior Notes | Plus "Make Whole" Premium | Debt Instrument, Redemption, Period One | |||||||
Line of Credit Facility [Line Items] | |||||||
Redemption percentage | 100% | ||||||
3.00% Senior Notes | Senior Notes | Proceeds From Equity Offering, Provided Principal Amount of Redemptions Does Not Exceed 40% | Debt Instrument, Redemption, Period One | |||||||
Line of Credit Facility [Line Items] | |||||||
Redemption percentage | 103% | ||||||
Revolving Line of Credit | |||||||
Line of Credit Facility [Line Items] | |||||||
Maximum borrowing capacity | $ 150,000,000 | ||||||
Unused standby letter of credit | $ 0 | $ 0 | |||||
Revolving Line of Credit | A&R Credit Agreement | |||||||
Line of Credit Facility [Line Items] | |||||||
Maximum borrowing capacity | $ 750,000,000 | ||||||
Incremental borrowing facility | 250,000,000 | ||||||
Letter of Credit | |||||||
Line of Credit Facility [Line Items] | |||||||
Maximum borrowing capacity | 10,000,000 | ||||||
Letter of Credit | A&R Credit Agreement | |||||||
Line of Credit Facility [Line Items] | |||||||
Maximum borrowing capacity | 100,000,000 | ||||||
Swingline | |||||||
Line of Credit Facility [Line Items] | |||||||
Maximum borrowing capacity | $ 10,000,000 | ||||||
Swingline | A&R Credit Agreement | |||||||
Line of Credit Facility [Line Items] | |||||||
Maximum borrowing capacity | $ 50,000,000 | ||||||
ABR Loans | A&R Credit Agreement | Federal Funds Rate | |||||||
Line of Credit Facility [Line Items] | |||||||
Margin | 0.50% | ||||||
ABR Loans | A&R Credit Agreement | Eurodollar Rate | |||||||
Line of Credit Facility [Line Items] | |||||||
Margin | 1% | ||||||
ABR Loans | A&R Credit Agreement | Eurodollar Rate | Minimum | |||||||
Line of Credit Facility [Line Items] | |||||||
Margin | (0.25%) | ||||||
ABR Loans | A&R Credit Agreement | Eurodollar Rate | Maximum | |||||||
Line of Credit Facility [Line Items] | |||||||
Margin | 0.25% |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Apr. 30, 2023 | Apr. 30, 2022 | Jan. 31, 2023 | |
Income Tax Disclosure [Abstract] | |||
Provision for income taxes | $ 4,409 | $ 3,440 | |
Effective tax rate | 89.80% | (12.70%) | |
Gross unrecognized tax benefits | $ 40,600 | $ 36,900 | |
Unrecognized tax benefits including interest and penalties that would affect effective tax rate | $ 4,400 | $ 4,200 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Details) $ in Thousands | 1 Months Ended | 3 Months Ended | 6 Months Ended | 12 Months Ended | 30 Months Ended | ||
May 31, 2019 purchase_period shares | Apr. 30, 2023 USD ($) installment tranche change_in_contribution shares | Apr. 30, 2022 USD ($) shares | Apr. 30, 2023 USD ($) shares | Jan. 31, 2023 USD ($) day shares | Dec. 12, 2024 USD ($) | May 31, 2021 shares | |
Stock Based Compensation | |||||||
Options unvested (in shares) | shares | 263,992 | 263,992 | |||||
Aggregate intrinsic value of options vested and exercisable | $ 247,400 | $ 247,400 | $ 247,200 | ||||
Weighted-average remaining contractual term of options vested and exercisable (in years) | 4 years 8 months 12 days | 4 years 9 months 18 days | |||||
Total intrinsic value of options exercised | $ 45,100 | $ 81,200 | |||||
Aggregate intrinsic value of stock options outstanding | $ 277,200 | 277,200 | $ 279,400 | ||||
Weighted-average remaining contractual term of stock options outstanding (in years) | 4 years 9 months 18 days | 5 years | |||||
Total unrecognized stock-based compensation expenses related to unvested options | $ 1,700 | 1,700 | |||||
Common stock shares issued, early exercised stock options (in shares) | shares | 0 | 0 | |||||
Employee payroll contributions accrued | $ 151,099 | $ 151,099 | $ 168,767 | ||||
Stock options | |||||||
Stock Based Compensation | |||||||
Expected to be amortized over weighted-average vesting period (in years) | 1 year 4 months 24 days | ||||||
Number of shares of common stock related to early exercised stock options subject to repurchase (in shares) | shares | 0 | 0 | 0 | ||||
Service-based vesting | |||||||
Stock Based Compensation | |||||||
Number of vesting schedules | tranche | 4 | ||||||
Service-based vesting | Vesting one | |||||||
Stock Based Compensation | |||||||
Number of quarterly installments | installment | 12 | ||||||
Vesting percentage | 10% | 25% | |||||
Service-based vesting | Vesting two | |||||||
Stock Based Compensation | |||||||
Number of quarterly installments | installment | 16 | ||||||
Vesting percentage | 15% | ||||||
Service-based vesting | Vesting three | |||||||
Stock Based Compensation | |||||||
Number of quarterly installments | installment | 8 | ||||||
Vesting percentage | 25% | ||||||
Service-based vesting | Vesting four | |||||||
Stock Based Compensation | |||||||
Number of quarterly installments | installment | 16 | ||||||
Vesting percentage | 50% | ||||||
RSUs | |||||||
Stock Based Compensation | |||||||
Expected to be amortized over weighted-average vesting period (in years) | 2 years 10 months 24 days | ||||||
Total unrecognized stock-based compensation expenses related to unvested RSUs/PSUs | $ 1,400,000 | $ 1,400,000 | |||||
PSUs | |||||||
Stock Based Compensation | |||||||
Expected to be amortized over weighted-average vesting period (in years) | 1 year 7 months 6 days | ||||||
Total unrecognized stock-based compensation expenses related to unvested RSUs/PSUs | $ 124,600 | 124,600 | |||||
Threshold consecutive trading days | day | 45 | ||||||
Special PSUs | |||||||
Stock Based Compensation | |||||||
Expected to be amortized over weighted-average vesting period (in years) | 1 year 10 months 24 days | ||||||
Number of quarterly installments | installment | 4 | ||||||
Total unrecognized stock-based compensation expenses related to unvested RSUs/PSUs | $ 56,300 | 56,300 | |||||
Historical volatility rate, weight | 50% | ||||||
Implied volatility rate, weight | 50% | ||||||
Special PSUs | Minimum | |||||||
Stock Based Compensation | |||||||
Risk-free interest rate | 0.85% | ||||||
Expected stock price volatility | 54.89% | ||||||
Look back period | 2 years 2 months 15 days | ||||||
Special PSUs | Maximum | |||||||
Stock Based Compensation | |||||||
Risk-free interest rate | 1.51% | ||||||
Expected stock price volatility | 55.36% | ||||||
Look back period | 2 years 6 months 29 days | ||||||
Special PSUs | Executive Officer | |||||||
Stock Based Compensation | |||||||
Granted (in shares) | shares | 655,000 | ||||||
Special PSUs | Vesting one | |||||||
Stock Based Compensation | |||||||
Vesting percentage | 50% | ||||||
Special PSUs | Vesting two | |||||||
Stock Based Compensation | |||||||
Vesting percentage | 12.50% | ||||||
Special PSUs | Vesting three | |||||||
Stock Based Compensation | |||||||
Vesting percentage | 12.50% | ||||||
Special PSUs | Vesting four | |||||||
Stock Based Compensation | |||||||
Vesting percentage | 12.50% | ||||||
Special PSUs | Vesting five | |||||||
Stock Based Compensation | |||||||
Vesting percentage | 12.50% | ||||||
Employee Stock Purchase Plan | |||||||
Stock Based Compensation | |||||||
Threshold percentage of outstanding shares | 1% | ||||||
Look back period | 2 years | ||||||
Offering period | 24 months | ||||||
Number of purchase periods | purchase_period | 4 | ||||||
Duration of purchase periods | 6 months | ||||||
Percentage of eligible compensation | 15% | ||||||
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% | ||||||
Number of increases in contribution | change_in_contribution | 1 | ||||||
Employee payroll contributions accrued | $ 40,800 | $ 40,800 | $ 17,500 | ||||
Employee Stock Purchase Plan | Rollover Feature | Forecast | |||||||
Stock Based Compensation | |||||||
Plan modification, incremental cost | $ 58,600 | ||||||
Employee Stock Purchase Plan | Minimum | |||||||
Stock Based Compensation | |||||||
Risk-free interest rate | 0.20% | 0.10% | |||||
Expected stock price volatility | 50.20% | 39.60% | |||||
Employee Stock Purchase Plan | Maximum | |||||||
Stock Based Compensation | |||||||
Risk-free interest rate | 4.70% | 0.70% | |||||
Expected stock price volatility | 61.20% | 55.90% | |||||
Class A common stock | Employee Stock Purchase Plan | |||||||
Stock Based Compensation | |||||||
Maximum number of shares of common stock that may be issued (in shares) | shares | 3,500,000 | ||||||
Maximum number of additional shares of common stock that may be issued (in shares) | shares | 5,000,000 | ||||||
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% |
Stock-Based Compensation - Stoc
Stock-Based Compensation - Stock options - Summary (Details) shares in Thousands | 3 Months Ended |
Apr. 30, 2023 $ / shares shares | |
Number of Shares | |
Options outstanding at beginning of period (in shares) | shares | 2,869 |
Exercised (in shares) | shares | (376) |
Canceled (in shares) | shares | (3) |
Options outstanding at end of period (in shares) | shares | 2,490 |
Options vested and expected to vest at end of period (in shares) | shares | 2,490 |
Options exercisable at end of period (in shares) | shares | 2,216 |
Weighted-Average Exercise Price Per Share | |
Options outstanding at beginning of period (in usd per share) | $ / shares | $ 8.52 |
Exercised (in usd per share) | $ / shares | 7.04 |
Canceled (in usd per share) | $ / shares | 13.97 |
Options outstanding at end of period (in usd per share) | $ / shares | 8.74 |
Options vested and expected to vest at end of period (in usd per share) | $ / shares | 8.74 |
Options exercisable at end of period (in usd per share) | $ / shares | $ 8.41 |
Stock-Based Compensation - RSU,
Stock-Based Compensation - RSU, PSU and Special PSU activity (Details) - Share-Based Compensation Award, Other than Stock Options shares in Thousands | 3 Months Ended |
Apr. 30, 2023 $ / shares shares | |
Number of Shares | |
RSUs and PSUs outstanding at beginning of period (in shares) | shares | 10,050 |
Granted (in shares) | shares | 2,694 |
Released (in shares) | shares | (934) |
Performance adjustment (in shares) | shares | 155 |
Forfeited (in shares) | shares | (636) |
RSUs and PSUs outstanding at end of period (in shares) | shares | 11,329 |
RSUs and PSUs ending vested and expected to vest (in shares) | shares | 11,247 |
Weighted- Average Grant Date Fair Value Per Share | |
RSUs and PSUs outstanding at beginning of period (in usd per share) | $ / shares | $ 158.08 |
Granted (in usd per share) | $ / shares | 131.05 |
Vested (in usd per share) | $ / shares | 135.06 |
Performance adjustment (in usd per share) | $ / shares | 211.22 |
Forfeited (in usd per share) | $ / shares | 164.05 |
RSUs and PSUs outstanding at end of period (in usd per share) | $ / shares | 155.09 |
RSUs and PSUs ending vested and expected to vest (in usd per share) | $ / shares | $ 154.55 |
Stock-Based Compensation - Assu
Stock-Based Compensation - Assumptions (Details) - Employee Stock Purchase Plan | 3 Months Ended | |
Apr. 30, 2023 | Apr. 30, 2022 | |
Stock Based Compensation | ||
Dividend yield | 0% | 0% |
Minimum | ||
Stock Based Compensation | ||
Expected term (in years) | 6 months | 6 months |
Risk-free interest rate | 0.20% | 0.10% |
Expected stock price volatility | 50.20% | 39.60% |
Maximum | ||
Stock Based Compensation | ||
Expected term (in years) | 2 years | 2 years |
Risk-free interest rate | 4.70% | 0.70% |
Expected stock price volatility | 61.20% | 55.90% |
Stock-Based Compensation - Expe
Stock-Based Compensation - Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Apr. 30, 2023 | Apr. 30, 2022 | |
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Total stock-based compensation expense | $ 130,856 | $ 102,494 |
Sales and marketing | ||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Total stock-based compensation expense | 35,739 | 26,710 |
Research and development | ||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Total stock-based compensation expense | 44,381 | 34,036 |
General and administrative | ||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Total stock-based compensation expense | 37,140 | 32,169 |
Subscription | Cost of revenue | ||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Total stock-based compensation expense | 8,966 | 6,578 |
Professional services | Cost of revenue | ||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Total stock-based compensation expense | $ 4,630 | $ 3,001 |
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 | |
Apr. 30, 2023 | Apr. 30, 2022 | |
Disaggregation of Revenue [Line Items] | ||
Total revenue | $ 692,580 | $ 487,834 |
Percentage of revenue | 100% | 100% |
United States | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue | $ 474,825 | $ 345,593 |
Percentage of revenue | 69% | 71% |
Europe, Middle East, and Africa | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue | $ 104,552 | $ 70,625 |
Percentage of revenue | 15% | 14% |
Asia Pacific | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue | $ 72,219 | $ 48,079 |
Percentage of revenue | 10% | 10% |
Other | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue | $ 40,984 | $ 23,537 |
Percentage of revenue | 6% | 5% |
Revenue, Deferred Revenue and_4
Revenue, Deferred Revenue and Remaining Performance Obligations - Additional Information (Details) - USD ($) | 3 Months Ended | |
Apr. 30, 2023 | Apr. 30, 2022 | |
Contract with Customer, Liability [Line Items] | ||
Revenue included in the contract liability balance | $ 596,400,000 | $ 397,700,000 |
Transaction price allocated to remaining performance obligations | $ 3,300,000,000 | |
Commission amortization period | 4 years | |
Professional services contract amortization | 8 months | |
Impairment loss | $ 0 | $ 0 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-05-01 | ||
Contract with Customer, Liability [Line Items] | ||
Remaining performance obligation, percentage | 64% | |
Subscription term | 12 months | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-05-01 | ||
Contract with Customer, Liability [Line Items] | ||
Remaining performance obligation, percentage | 35% | |
Minimum | ||
Contract with Customer, Liability [Line Items] | ||
Payment terms | 30 days | |
Subscription term | 1 year | |
Minimum | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-05-01 | ||
Contract with Customer, Liability [Line Items] | ||
Subscription term | 13 months | |
Maximum | ||
Contract with Customer, Liability [Line Items] | ||
Payment terms | 60 days | |
Subscription term | 3 years | |
Maximum | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-05-01 | ||
Contract with Customer, Liability [Line Items] | ||
Subscription term | 36 months |
Revenue, Deferred Revenue and_5
Revenue, Deferred Revenue and Remaining Performance Obligations - Changes in Deferred Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Apr. 30, 2023 | Apr. 30, 2022 | |
Movement in Deferred Revenue [Roll Forward] | ||
Beginning balance | $ 2,355,113 | $ 1,529,321 |
Additions to deferred revenue | 741,258 | 651,110 |
Recognition of deferred revenue | (692,580) | (487,834) |
Ending balance | $ 2,403,791 | $ 1,692,597 |
Revenue, Deferred Revenue and_6
Revenue, Deferred Revenue and Remaining Performance Obligations - Deferred Contract Acquisition Costs (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Apr. 30, 2023 | Apr. 30, 2022 | Jan. 31, 2023 | |
Movement in Deferred Contract Acquisition Costs [Roll Forward] | |||
Beginning balance | $ 447,088 | $ 319,180 | |
Capitalization of contract acquisition costs | 49,532 | 51,354 | |
Amortization of deferred contract acquisition costs | (55,322) | (37,592) | |
Ending balance | 441,298 | 332,942 | |
Deferred contract acquisition costs, current | 186,901 | 135,681 | $ 186,855 |
Deferred contract acquisition costs, noncurrent | 254,397 | 197,261 | 260,233 |
Total deferred contract acquisition costs | $ 441,298 | $ 332,942 | $ 447,088 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Details) | 1 Months Ended | |||||
Sep. 30, 2022 patent | May 31, 2022 patent | Mar. 31, 2022 patent | Oct. 31, 2021 USD ($) | Apr. 30, 2023 USD ($) | Jan. 31, 2023 USD ($) | |
Line of Credit Facility [Line Items] | ||||||
Commitment to spend | $ 194,900,000 | |||||
Number of patents allegedly infringed upon by company | patent | 6 | 6 | ||||
Number of patents allegedly infringed upon by counterparty | patent | 2 | |||||
Liabilities accrued | 0 | $ 0 | ||||
Sunnyvale, California | Standby Letters of Credit | ||||||
Line of Credit Facility [Line Items] | ||||||
Unused standby letter of credit | 400,000 | 400,000 | ||||
Austin, Texas | Standby Letters of Credit | ||||||
Line of Credit Facility [Line Items] | ||||||
Unused standby letter of credit | 100,000 | $ 800,000 | ||||
ISRAEL | Standby Letters of Credit | ||||||
Line of Credit Facility [Line Items] | ||||||
Unused standby letter of credit | 700,000 | |||||
Amazon Web Services | ||||||
Line of Credit Facility [Line Items] | ||||||
Minimum commitment | $ 600,000,000 | |||||
Remaining contractual commitment | $ 366,900,000 |
Commitments and Contingencies_2
Commitments and Contingencies - Purchase Obligations (Details) $ in Thousands | Apr. 30, 2023 USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
Fiscal 2024 (remaining nine months) | $ 69,077 |
2025 | 57,270 |
2026 | 39,744 |
2027 | 32,902 |
2028 | 30,774 |
Thereafter | 47,034 |
Total purchase commitments | $ 276,801 |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Oct. 03, 2022 USD ($) reporting_unit | Apr. 30, 2023 USD ($) | Jan. 31, 2023 USD ($) | |
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Net tangible assets acquired | $ 900 | ||
Goodwill | $ 430,755 | $ 430,645 | |
Number of reporting units | reporting_unit | 1 | ||
Developed technology | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Useful life | 65 months | 68 months | |
Reposify | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Voting equity interest acquired | 100% | ||
Equity consideration for acquisitions | $ 18,900 | ||
Cash acquired from acquisition | 500 | ||
Business combination, recognized identifiable assets acquired and liabilities assumed, intangible assets, other than goodwill | 3,800 | ||
Net tangible assets acquired | 900 | ||
Goodwill | $ 14,200 | ||
Reposify | Developed technology | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Useful life | 72 months |
Net Income (Loss) Per Share A_3
Net Income (Loss) Per Share Attributable to Common Stockholders - Schedule of Earnings Per Share, Basic and Diluted (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Apr. 30, 2023 | Apr. 30, 2022 | |
Numerator: | ||
Net income (loss) attributable to Class A and Class B CrowdStrike common stockholders | $ 491 | $ (31,523) |
Denominator: | ||
Weighted-average shares used in computing net loss per share attributable to Class A and Class B of CrowdStrike common stockholders, basic (in shares) | 236,414 | 231,179 |
Dilutive effect of common stock equivalents (in shares) | 4,184 | 0 |
Weighted-average shares used in computing net loss per share attributable to Class A and Class B of CrowdStrike common stockholders, diluted (in shares) | 240,598 | 231,179 |
Net loss per share attributable to Class A and Class B CrowdStrike common stockholders, basic (in usd per share) | $ 0 | $ (0.14) |
Net loss per share attributable to Class A and Class B CrowdStrike common stockholders, diluted (in usd per share) | $ 0 | $ (0.14) |
Net Income (Loss) Per Share A_4
Net Income (Loss) Per Share Attributable to Common Stockholders - Schedule of Antidilutive Securities (Details) - shares shares in Thousands | 3 Months Ended | |
Apr. 30, 2023 | Apr. 30, 2022 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Potential common shares excluded from diluted net income (loss) per share (in shares) | 6,855 | 13,141 |
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 income (loss) per share (in shares) | 0 | 132 |
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 income (loss) per share (in shares) | 5,832 | 8,881 |
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 income (loss) per share (in shares) | 3 | 3,518 |
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 income (loss) per share (in shares) | 1,020 | 610 |
Net Income (Loss) Per Share A_5
Net Income (Loss) Per Share Attributable to Common Stockholders - Additional Information (Details) $ / shares in Units, $ in Millions | Apr. 30, 2023 USD ($) $ / shares shares |
Earnings Per Share [Abstract] | |
Contingent consideration related to business combinations | $ | $ 6.2 |
Shares issued | shares | 12,810 |
Weighted average price (in usd per share) | $ / shares | $ 128.77 |