Cover Page
Cover Page - shares | 9 Months Ended | |
Apr. 30, 2023 | May 31, 2023 | |
Entity 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 | 001-37883 | |
Entity Registrant Name | NUTANIX, INC. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 27-0989767 | |
Entity Address, Address Line One | 1740 Technology Drive, Suite 150 | |
Entity Address, City or Town | San Jose | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 95110 | |
City Area Code | (408) | |
Local Phone Number | 216-8360 | |
Title of 12(b) Security | Class A Common Stock, $0.000025 par value per share | |
Trading Symbol | NTNX | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding (in shares) | 235,759,366 | |
Entity Central Index Key | 0001618732 | |
Current Fiscal Year End Date | --07-31 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | false |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Apr. 30, 2023 | Jul. 31, 2022 |
Current assets: | ||
Cash and cash equivalents | $ 439,918 | $ 402,850 |
Short-term investments | 918,570 | 921,429 |
Accounts receivable, net of allowances of $644 and $745, respectively | 135,073 | 124,559 |
Deferred commissions—current | 113,736 | 115,356 |
Prepaid expenses and other current assets | 121,611 | 93,787 |
Total current assets | 1,728,908 | 1,657,981 |
Property and equipment, net | 115,465 | 113,440 |
Operating lease right-of-use assets | 97,804 | 118,740 |
Deferred commissions—non-current | 236,935 | 252,234 |
Intangible assets, net | 7,334 | 15,829 |
Goodwill | 185,260 | 185,260 |
Other assets—non-current | 24,291 | 22,265 |
Total assets | 2,395,997 | 2,365,749 |
Current liabilities: | ||
Accounts payable | 34,235 | 44,931 |
Accrued compensation and benefits | 152,167 | 149,811 |
Accrued expenses and other current liabilities | 108,965 | 59,568 |
Deferred revenue—current | 806,002 | 720,993 |
Operating lease liabilities—current | 31,481 | 39,801 |
Convertible senior notes, net-current | 0 | 145,456 |
Total current liabilities | 1,132,850 | 1,160,560 |
Deferred revenue—non-current | 737,338 | 724,545 |
Operating lease liabilities—non-current | 73,036 | 89,782 |
Convertible senior notes, net | 1,207,296 | 1,156,205 |
Other liabilities—non-current | 34,544 | 35,161 |
Total liabilities | 3,185,064 | 3,166,253 |
Commitments and contingencies (Note 7) | ||
Stockholders’ deficit: | ||
Preferred stock, par value of $0.000025 per share 200,000 shares authorized as of July 31, 2022 and April 30, 2023; no shares issued and outstanding as of July 31 2022 and April 30, 2023. | 0 | 0 |
Common stock, value | 6 | 6 |
Additional paid-in capital | 3,834,845 | 3,583,928 |
Accumulated other comprehensive (loss) income | (4,283) | (6,076) |
Accumulated deficit | (4,619,635) | (4,378,362) |
Total stockholders’ deficit | (789,067) | (800,504) |
Total liabilities and stockholders’ deficit | $ 2,395,997 | $ 2,365,749 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Apr. 30, 2023 | Jul. 31, 2022 |
Accounts receivable, allowance for credit loss | $ 745 | $ 644 |
Preferred stock, par value (in dollars per share) | $ 0.000025 | $ 0.000025 |
Preferred stock, shares authorized (in shares) | 200,000,000 | 200,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, shares authorized (in shares) | 1,042,004,000 | 1,042,004,000 |
Common Class A [Member] | ||
Common stock, par value (in dollars per share) | $ 0.000025 | $ 0.000025 |
Common stock, shares authorized (in shares) | 1,000,000,000 | 1,000,000,000 |
Common stock, shares issued (in shares) | 235,744,000 | 226,938,000 |
Common stock, shares outstanding (in shares) | 235,744,000 | 226,938,000 |
Common Class B [Member] | ||
Common stock, par value (in dollars per share) | $ 0.000025 | $ 0.000025 |
Common stock, shares authorized (in shares) | 42,004,000 | 42,004,000 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Apr. 30, 2023 | Apr. 30, 2022 | Apr. 30, 2023 | Apr. 30, 2022 | ||
Revenue: | |||||
Total revenue | $ 448,581 | $ 403,658 | $ 1,368,685 | $ 1,195,256 | |
Cost of revenue: | |||||
Total cost of revenue | 82,429 | 79,849 | 251,729 | 241,264 | |
Gross profit | 366,152 | 323,809 | 1,116,956 | 953,992 | |
Operating expenses: | |||||
Sales and marketing | 229,261 | 234,623 | 695,271 | 726,475 | |
Research and development | 143,016 | 142,334 | 434,760 | 428,731 | |
General and administrative | 52,515 | 39,552 | 182,728 | 123,871 | |
Total operating expenses | 424,792 | 416,509 | 1,312,759 | 1,279,077 | |
Loss from operations | (58,640) | (92,700) | (195,803) | (325,085) | |
Other expense, net | (7,168) | (15,676) | (30,696) | (309,557) | |
Loss before provision for income taxes | (65,808) | (108,376) | (226,499) | (634,642) | |
Provision for income taxes | 5,161 | 3,611 | 14,774 | 12,967 | |
Net loss | $ (70,969) | $ (111,987) | $ (241,273) | $ (647,609) | |
Net loss per share attributable to Class A common stockholders-basic | [1] | $ (0.30) | $ (0.50) | $ (1.04) | $ (2.96) |
Net loss per share attributable to Class A common stockholders-diluted | [1] | $ (0.30) | $ (0.50) | $ (1.04) | $ (2.96) |
Weighted average shares used in computing net loss per share attributable to Class A common stockholders-basic | [1] | 234,735 | 222,473 | 231,702 | 218,888 |
Weighted average shares used in computing net loss per share attributable to Class A common stockholders-diluted | [1] | 234,735 | 222,473 | 231,702 | 218,888 |
Product | |||||
Revenue: | |||||
Total revenue | $ 212,507 | $ 199,616 | $ 671,619 | $ 588,872 | |
Cost of revenue: | |||||
Total cost of revenue | 12,430 | 13,739 | 40,452 | 43,056 | |
Support, Entitlements and Other Services | |||||
Revenue: | |||||
Total revenue | 236,074 | 204,042 | 697,066 | 606,384 | |
Cost of revenue: | |||||
Total cost of revenue | $ 69,999 | $ 66,110 | $ 211,277 | $ 198,208 | |
[1] Effective January 3, 2022, all of the then outstanding shares of Nutanix, Inc. Class B common stock were automatically converted into the same number of shares of Nutanix, Inc. Class A common stock. See Note 9 for further details. |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Apr. 30, 2023 | Apr. 30, 2022 | Apr. 30, 2023 | Apr. 30, 2022 | |
Statement of Comprehensive Income [Abstract] | ||||
Net loss | $ (70,969) | $ (111,987) | $ (241,273) | $ (647,609) |
Other comprehensive loss, net of tax: | ||||
Change in unrealized loss on available-for-sale securities, net of tax | 1,518 | (3,711) | 1,793 | (6,138) |
Comprehensive loss | $ (69,451) | $ (115,698) | $ (239,480) | $ (653,747) |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' DEFICIT - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-In Capital | Accumulated Other Comprehensive Loss | Accumulated Deficit |
Stockholders' equity, beginning balance at Jul. 31, 2021 | $ (1,020,969) | $ 5 | $ 2,615,317 | $ (8) | $ (3,636,283) |
Stockholders' equity, beginning balance (ASU 2020-06) at Jul. 31, 2021 | (48,013) | (148,598) | 100,585 | ||
Stockholders' equity, beginning balance (in shares) at Jul. 31, 2021 | 214,210 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
2026 Notes derivative liability reclassification | 698,213 | 698,213 | |||
Issuance of common stock through employee equity incentive plans | 1,352 | 1,352 | |||
Issuance of common stock through employee equity incentive plans (in shares) | 2,809 | ||||
Issuance of common stock from ESPP purchase | 28,786 | 28,786 | |||
Issuance of common stock from ESPP purchase (in shares) | 1,309 | ||||
Repurchase and retirement of common stock | (58,570) | (14,852) | (43,718) | ||
Repurchase and retirement of common stock (in shares) | (1,369) | ||||
Unwinding of 2023 Notes hedges | 39,880 | 39,880 | |||
Unwinding of 2023 Notes warrants | (18,390) | (18,390) | |||
Stock-based compensation | 90,547 | 90,547 | |||
Other comprehensive income | (651) | (651) | |||
Net loss | (420,206) | (420,206) | |||
Stockholders' equity, ending balance at Oct. 31, 2021 | (708,021) | $ 5 | 3,292,255 | (659) | (3,999,622) |
Stockholders' equity, ending balance (in shares) at Oct. 31, 2021 | 216,959 | ||||
Stockholders' equity, beginning balance at Jul. 31, 2021 | (1,020,969) | $ 5 | 2,615,317 | (8) | (3,636,283) |
Stockholders' equity, beginning balance (ASU 2020-06) at Jul. 31, 2021 | (48,013) | (148,598) | 100,585 | ||
Stockholders' equity, beginning balance (in shares) at Jul. 31, 2021 | 214,210 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net loss | (647,609) | ||||
Stockholders' equity, ending balance at Apr. 30, 2022 | (731,855) | $ 5 | 3,501,311 | (6,146) | (4,227,025) |
Stockholders' equity, ending balance (in shares) at Apr. 30, 2022 | 224,285 | ||||
Stockholders' equity, beginning balance at Oct. 31, 2021 | (708,021) | $ 5 | 3,292,255 | (659) | (3,999,622) |
Stockholders' equity, beginning balance (in shares) at Oct. 31, 2021 | 216,959 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Issuance of common stock through employee equity incentive plans | 1,914 | 1,914 | |||
Issuance of common stock through employee equity incentive plans (in shares) | 3,580 | ||||
Stock-based compensation | 88,045 | 88,045 | |||
Other comprehensive income | (1,776) | (1,776) | |||
Net loss | (115,416) | (115,416) | |||
Stockholders' equity, ending balance at Jan. 31, 2022 | (735,254) | $ 5 | 3,382,214 | (2,435) | (4,115,038) |
Stockholders' equity, ending balance (in shares) at Jan. 31, 2022 | 220,539 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Issuance of common stock through employee equity incentive plans | 744 | 744 | |||
Issuance of common stock through employee equity incentive plans (in shares) | 2,228 | ||||
Issuance of common stock from ESPP purchase | 33,847 | 33,847 | |||
Issuance of common stock from ESPP purchase (in shares) | 1,518 | ||||
Stock-based compensation | 84,506 | 84,506 | |||
Other comprehensive income | (3,711) | (3,711) | |||
Net loss | (111,987) | (111,987) | |||
Stockholders' equity, ending balance at Apr. 30, 2022 | (731,855) | $ 5 | 3,501,311 | (6,146) | (4,227,025) |
Stockholders' equity, ending balance (in shares) at Apr. 30, 2022 | 224,285 | ||||
Stockholders' equity, beginning balance at Jul. 31, 2022 | (800,504) | $ 6 | 3,583,928 | (6,076) | (4,378,362) |
Stockholders' equity, beginning balance (in shares) at Jul. 31, 2022 | 226,938 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Issuance of common stock through employee equity incentive plans | 1,975 | 1,975 | |||
Issuance of common stock through employee equity incentive plans (in shares) | 2,172 | ||||
Issuance of common stock from ESPP purchase | 18,947 | 18,947 | |||
Issuance of common stock from ESPP purchase (in shares) | 998 | ||||
Stock-based compensation | 80,955 | 80,955 | |||
Other comprehensive income | (3,642) | (3,642) | |||
Net loss | (99,514) | (99,514) | |||
Stockholders' equity, ending balance at Oct. 31, 2022 | (801,783) | $ 6 | 3,685,805 | (9,718) | (4,477,876) |
Stockholders' equity, ending balance (in shares) at Oct. 31, 2022 | 230,108 | ||||
Stockholders' equity, beginning balance at Jul. 31, 2022 | (800,504) | $ 6 | 3,583,928 | (6,076) | (4,378,362) |
Stockholders' equity, beginning balance (in shares) at Jul. 31, 2022 | 226,938 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net loss | (241,273) | ||||
Stockholders' equity, ending balance at Apr. 30, 2023 | (789,067) | $ 6 | 3,834,845 | (4,283) | (4,619,635) |
Stockholders' equity, ending balance (in shares) at Apr. 30, 2023 | 235,744 | ||||
Stockholders' equity, beginning balance at Oct. 31, 2022 | (801,783) | $ 6 | 3,685,805 | (9,718) | (4,477,876) |
Stockholders' equity, beginning balance (in shares) at Oct. 31, 2022 | 230,108 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Issuance of common stock through employee equity incentive plans | $ 684 | 684 | |||
Issuance of common stock through employee equity incentive plans (in shares) | 3,483 | ||||
Stock-based compensation | $ 85,290 | 85,290 | |||
Other comprehensive income | 3,917 | 3,917 | |||
Net loss | (70,790) | (70,790) | |||
Stockholders' equity, ending balance at Jan. 31, 2023 | (782,682) | $ 6 | 3,771,779 | (5,801) | (4,548,666) |
Stockholders' equity, ending balance (in shares) at Jan. 31, 2023 | 233,591 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Issuance of common stock through employee equity incentive plans | 372 | 372 | |||
Issuance of common stock through employee equity incentive plans (in shares) | 2,566 | ||||
Stock-based compensation | 72,908 | 72,908 | |||
Other comprehensive income | 1,518 | 1,518 | |||
Net loss | (70,969) | (70,969) | |||
Stockholders' equity, ending balance at Apr. 30, 2023 | $ (789,067) | $ 6 | $ 3,834,845 | $ (4,283) | $ (4,619,635) |
Stockholders' equity, ending balance (in shares) at Apr. 30, 2023 | 235,744 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 9 Months Ended | ||
Apr. 30, 2023 | Apr. 30, 2022 | ||
Cash flows from operating activities: | |||
Net loss | $ (241,273) | $ (647,609) | |
Adjustments to reconcile net loss to net cash provided by operating activities: | |||
Depreciation and amortization | 59,078 | 67,123 | |
Stock-based compensation | 239,153 | 263,098 | |
Change in fair value of derivative liability | 0 | 198,038 | |
Loss on debt extinguishment | 0 | 64,910 | |
Amortization of debt discount and issuance costs | 31,767 | 29,929 | |
Operating lease cost, net of accretion | 27,065 | 27,496 | |
Early exit of lease-related assets | (1,109) | 0 | |
Non-cash interest expense | 14,772 | 14,408 | |
Other | (6,275) | 7,181 | |
Changes in operating assets and liabilities: | |||
Accounts receivable, net | (4,768) | 4,193 | |
Deferred commissions | 16,919 | (10,377) | |
Prepaid expenses and other assets | (33,858) | (31,723) | |
Accounts payable | (5,106) | 4,159 | |
Accrued compensation and benefits | 2,356 | (46,379) | |
Accrued expenses and other liabilities | 53,451 | 5,570 | |
Operating leases, net | (30,134) | (35,743) | |
Deferred revenue | 92,056 | 115,265 | |
Net cash (used in) provided by operating activities | 214,094 | 29,539 | |
Cash flows from investing activities: | |||
Maturities of investments | 722,983 | 778,914 | |
Purchases of investments | (711,253) | (794,180) | |
Sales of investments | 0 | 17,999 | |
Purchases of property and equipment | (52,603) | (34,279) | |
Net cash used in investing activities | (40,873) | (31,546) | |
Cash flows from financing activities: | |||
Repayment of convertible notes | (145,704) | 0 | |
Payments of debt extinguishment costs | 0 | (14,709) | |
Proceeds from unwinding of convertible note hedges | 0 | 39,880 | |
Payments for unwinding of warrants | 0 | (18,390) | |
Proceeds from sales of shares through employee equity incentive plans | 23,268 | 66,644 | |
Taxes paid related to net share settlement of equity awards | (10,214) | ||
Proceeds from the issuance of convertible notes, net of issuance costs | 0 | 88,687 | |
Repurchases of common stock | 0 | (58,570) | |
Payment of finance lease obligations | (3,711) | (626) | |
Net cash provided by (used in) financing activities | (136,361) | 102,916 | |
Net increase in cash, cash equivalents and restricted cash | 36,860 | 100,909 | |
Cash, cash equivalents and restricted cash—beginning of period | 405,862 | 288,873 | |
Cash, cash equivalents and restricted cash—end of period | 442,722 | 389,782 | |
Restricted cash | [1] | 2,804 | 3,061 |
Cash and cash equivalents—end of period | 439,918 | 386,721 | |
Supplemental disclosures of cash flow information: | |||
Cash paid for income taxes | 21,578 | 17,101 | |
Supplemental disclosures of non-cash investing and financing information: | |||
Purchases of property and equipment included in accounts payable and accrued and other liabilities | 16,214 | 20,026 | |
Finance lease liabilities arising from obtaining right-of-use assets | $ 13,408 | $ 11,159 | |
[1] Included within other assets—non-current in the condensed consolidated balance sheets. |
Overview and Basis of Presentat
Overview and Basis of Presentation | 9 Months Ended |
Apr. 30, 2023 | |
Accounting Policies [Abstract] | |
Overview and Basis of Presentation | NOTE 1. OVERVIEW AND B ASIS OF PRESENTATION Organization and Description of Business Nutanix, Inc. was incorporated in the state of Delaware in September 2009. Nutanix, Inc. is headquartered in San Jose, California, and together with its wholly-owned subsidiaries (collectively, "we," "us," "our" or "Nutanix"), has operations throughout North America, Europe, Asia Pacific, the Middle East, Latin America, and Africa. We provide a leading enterprise cloud platform, which we call the Nutanix Cloud Platform, that consists of software solutions and cloud services that power our customers’ enterprise infrastructure. Our solutions deliver a consistent cloud operating model across edge, private-, hybrid- and multicloud environments for all applications and their data. Our solutions allow organizations to simply move their workloads, including enterprise applications, high-performance databases, end-user computing and virtual desktop infrastructure ("VDI") services, container-based modern applications, and analytics applications, between on-premises and public clouds. Our solutions are primarily sold through channel partners and original equipment manufacturers ("OEMs") (collectively, "Partners"), and delivered directly to our end customers. Principles of Consolidation and Significant Accounting Policies The accompanying condensed consolidated financial statements, which include the accounts of Nutanix, Inc. and its wholly-owned subsidiaries, have been prepared in conformity with accounting principles generally accepted in the United States ("U.S. GAAP") and are consistent in all material respects with those included in our Annual Report on Form 10-K for the fiscal year ended July 31, 2022, filed with the Securities and Exchange Commission ("SEC") on September 21, 2022. All intercompany accounts and transactions have been eliminated in consolidation. The condensed consolidated financial statements are unaudited, but include all adjustments of a normal recurring nature necessary for a fair presentation of our quarterly results. The consolidated balance sheet as of July 31, 2022 is derived from audited financial statements; however, it does not include all of the information and footnotes required by U.S. GAAP for complete financial statements. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes in our Annual Report on Form 10-K for the fiscal year ended July 31, 2022 . Use of Estimates The preparation of interim condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. Such management estimates and assumptions include, but are not limited to, the best estimate of selling prices for products and related support; useful lives and recoverability of intangible assets and property and equipment; allowance for credit losses; determination of fair value of stock-based awards; accounting for income taxes, including the valuation allowance on deferred tax assets and uncertain tax positions; warranty liability; purchase commitment liabilities to our contract manufacturers; sales commissions expense and the period of benefit for deferred commissions; whether an arrangement is or contains a lease; the incremental borrowing rate to measure the present value of right-of-use assets and lease liabilities; the inputs used to determine the fair value of the contingent liability associated with the conversion feature of the 2.50 % convertible senior notes due 2026 (the "2026 Notes"); and contingencies and litigation. Management evaluates these estimates and assumptions on an ongoing basis using historical experience and other factors and makes adjustments when facts and circumstances dictate. As future events and their effects cannot be determined with precision, actual results could materially differ from those estimates and assumptions. Concentration of Risk Concentration of revenue and accounts receivable —We sell our products primarily through our Partners and occasionally directly to end customers. For the three and nine months ended April 30, 2022 and 2023 , no end customer accounted for more than 10 % of total revenue or accounts receivable. For each significant Partner, revenue as a percentage of total revenue and accounts receivable as a percentage of total accounts receivable, net are as follows: Revenue Accounts Receivable as of Three Months Ended Nine Months Ended July 31, April 30, Partners 2022 2023 2022 2023 Partner A 15 % 18 % 14 % 16 % 11 % 20 % Partner B 34 % 32 % 33 % 32 % 26 % 16 % Partner C (1) (1) 11 % 10 % (1) (1) (1) Less than 10% Summary of Significant Accounting Policies There have been no changes to our significant accounting policies described in our Annual Report on Form 10-K for the fiscal year ended July 31, 2022 , filed with the SEC on September 21, 2022, that have had a material impact on our condensed consolidated financial statements. |
REVISION TO PRIOR PERIOD FINANC
REVISION TO PRIOR PERIOD FINANCIAL STATEMENT | 9 Months Ended |
Apr. 30, 2023 | |
Prior Period Adjustment [Abstract] | |
CORRECTION TO PRIOR PERIOD FINANCIAL STATEMENT | NOTE 2. CORRECTION TO PRIOR PERIOD FINANCIAL STATEMENTS In connection with the Audit Committee investigation described below in Part I, Item 2 of this Quarterly Report on Form 10-Q under the heading "Completion of Audit Committee Investigation" and subsequent to the issuance of the condensed consolidated financial statements for the fiscal quarter ended October 31, 2022, we discovered an error in the reporting of expenses for software licenses and support for each prior period beginning in August 2014, resulting in an immaterial understatement of operating expenses and accrued expenses and other current liabilities for these prior periods. We have evaluated the materiality of this error and determined that the impact is not material to our previously issued financial statements. We have determined to prospectively correct our previously issued financial statements to reflect the correction of this error rather than record a cumulative out-of-period adjustment for this error in the current period. As a result, we have corrected the accompanying condensed consolidated financial statements as of July 31, 2022 and for the three and nine months ended April 30, 2022, from amounts previously reported to reflect the correction of this error. The correction reflects our estimates of future payments for past non-compliant use of third-party software. Actual amounts may vary materially from these estimates. The following tables summarize the effects of the correction: As of July 31, 2022 As Previously Reported Adjustments As Corrected (in thousands) Condensed Consolidated Balance Sheet: Accrued expenses and other current liabilities $ 49,232 $ 10,336 $ 59,568 Total current liabilities $ 1,150,224 $ 10,336 $ 1,160,560 Total liabilities $ 3,155,917 $ 10,336 $ 3,166,253 Accumulated deficit $ ( 4,368,026 ) $ ( 10,336 ) $ ( 4,378,362 ) Total stockholders’ deficit $ ( 790,168 ) $ ( 10,336 ) $ ( 800,504 ) Three Months Ended April 30, 2022 As Previously Reported Adjustments As Corrected (in thousands) Condensed Consolidated Statement of Operations: Sales and marketing $ 234,530 $ 93 $ 234,623 Research and development $ 142,075 $ 259 $ 142,334 Total operating expenses $ 416,157 $ 352 $ 416,509 Loss from operations $ ( 92,348 ) $ ( 352 ) $ ( 92,700 ) Loss before provision for income taxes $ ( 108,024 ) $ ( 352 ) $ ( 108,376 ) Net loss $ ( 111,635 ) $ ( 352 ) $ ( 111,987 ) Net loss per share attributable to Class A and Class $ ( 0.50 ) $ ( 0.00 ) $ ( 0.50 ) Nine Months Ended April 30, 2022 As Previously Reported Adjustments As Corrected (in thousands) Condensed Consolidated Statement of Operations: Sales and marketing $ 726,196 $ 279 $ 726,475 Research and development $ 427,949 $ 782 $ 428,731 Total operating expenses $ 1,278,016 $ 1,061 $ 1,279,077 Loss from operations $ ( 324,024 ) $ ( 1,061 ) $ ( 325,085 ) Loss before provision for income taxes $ ( 633,581 ) $ ( 1,061 ) $ ( 634,642 ) Net loss $ ( 646,548 ) $ ( 1,061 ) $ ( 647,609 ) Net loss per share attributable to Class A and Class $ ( 2.95 ) $ ( 0.01 ) $ ( 2.96 ) Three Months Ended April 30, 2022 As Previously Reported Adjustments As Corrected (in thousands) Condensed Consolidated Statement of Comprehensive Loss: Net loss $ ( 111,635 ) $ ( 352 ) $ ( 111,987 ) Comprehensive loss $ ( 115,346 ) $ ( 352 ) $ ( 115,698 ) Nine Months Ended April 30, 2022 As Previously Reported Adjustments As Corrected (in thousands) Condensed Consolidated Statement of Comprehensive Loss: Net loss $ ( 646,548 ) $ ( 1,061 ) $ ( 647,609 ) Comprehensive loss $ ( 652,686 ) $ ( 1,061 ) $ ( 653,747 ) As Previously Reported Adjustments As Corrected (in thousands) Condensed Consolidated Statement of Stockholders' Deficit: Accumulated Deficit as of: July 31, 2021 $ ( 3,627,355 ) $ ( 8,928 ) $ ( 3,636,283 ) October 31, 2021 $ ( 3,990,340 ) $ ( 9,282 ) $ ( 3,999,622 ) January 31, 2022 $ ( 4,105,401 ) $ ( 9,637 ) $ ( 4,115,038 ) April 30, 2022 $ ( 4,217,036 ) $ ( 9,989 ) $ ( 4,227,025 ) July 31, 2022 $ ( 4,368,026 ) $ ( 10,336 ) $ ( 4,378,362 ) October 31, 2022 $ ( 4,467,142 ) $ ( 10,734 ) $ ( 4,477,876 ) Total Stockholders' Deficit as of: July 31, 2021 $ ( 1,012,041 ) $ ( 8,928 ) $ ( 1,020,969 ) October 31, 2021 $ ( 698,739 ) $ ( 9,282 ) $ ( 708,021 ) January 31, 2022 $ ( 725,617 ) $ ( 9,637 ) $ ( 735,254 ) April 30, 2022 $ ( 721,866 ) $ ( 9,989 ) $ ( 731,855 ) July 31, 2022 $ ( 790,168 ) $ ( 10,336 ) $ ( 800,504 ) October 31, 2022 $ ( 791,049 ) $ ( 10,734 ) $ ( 801,783 ) Net Loss for the Three Months Ended: October 31, 2021 $ ( 419,852 ) $ ( 354 ) $ ( 420,206 ) January 31, 2022 $ ( 115,061 ) $ ( 355 ) $ ( 115,416 ) April 30, 2022 $ ( 111,635 ) $ ( 352 ) $ ( 111,987 ) October 31, 2022 $ ( 99,116 ) $ ( 398 ) $ ( 99,514 ) Nine Months Ended April 30, 2022 As Previously Reported Adjustments As Corrected (in thousands) Condensed Consolidated Statement of Cash Flows: Net loss $ ( 646,548 ) $ ( 1,061 ) $ ( 647,609 ) Accrued expenses and other liabilities $ 4,509 $ 1,061 $ 5,570 |
Revenue, Deferred Revenue and D
Revenue, Deferred Revenue and Deferred Commissions | 9 Months Ended |
Apr. 30, 2023 | |
Revenue Recognition and Deferred Revenue [Abstract] | |
Revenue, Deferred Revenue and Deferred Commissions | NOTE 3. REVENUE, DEFERRED REV ENUE AND DEFERRED COMMISSIONS Disaggregation of Revenue and Revenue Recognition We generate revenue primarily from the sale of our enterprise cloud platform, which can be delivered pre-installed on an appliance that is configured to order or delivered separately to be utilized on a variety of certified hardware platforms. When the software license is not portable to other appliances, it can be used over the life of the associated appliance, while subscription term-based licenses typically have a term of one to five year s. Configured-to-order appliances, including our Nutanix-branded NX hardware line, can be purchased from one of our OEMs or in limited cases, directly from Nutanix. Our enterprise cloud platform typically includes one or more years of support and entitlements, which provides customers with the right to software upgrades and enhancements as well as technical support. A substantial portion of sales are made through channel partners and OEM relationships. The following table depicts the disaggregation of revenue by revenue type, consistent with how we evaluate our financial performance: Three Months Ended Nine Months Ended 2022 2023 2022 2023 (in thousands) Subscription $ 370,496 $ 417,516 $ 1,083,141 $ 1,271,388 Non-portable software 9,368 8,345 38,247 27,003 Hardware 1,329 619 5,245 2,473 Professional services 22,465 22,101 68,623 67,821 Total revenue $ 403,658 $ 448,581 $ 1,195,256 $ 1,368,685 Subscription revenue — Subscription revenue includes any performance obligation which has a defined term and is generated from the sales of software entitlement and support subscriptions, subscription software licenses and cloud-based software as a service ("SaaS") offerings. • Ratable — We recognize revenue from software entitlement and support subscriptions and SaaS offerings ratably over the contractual service period, the substantial majority of which relate to software entitlement and support subscriptions. These offerings represented approximately $ 191.1 million and $ 565.5 million of our subscription revenue for the three and nine months ended April 30, 2022, respectively, and $ 226.1 million and $ 663.8 million of our subscription revenue for the three and nine months ended April 30, 2023, respectively. • Upfront — Revenue from our subscription software licenses is generally recognized upfront upon transfer of control to the customer, which happens when we make the software available to the customer. These subscription software licenses represented approximately $ 179.4 million and $ 517.6 million of our subscription revenue for the three and nine months ended April 30, 2022, respectively, and $ 191.4 million and $ 607.6 million of our subscription revenue for the three and nine months ended April 30, 2023, respectively. Non-portable software revenue — Non-portable software revenue includes sales of our enterprise cloud platform when delivered on a configured-to-order appliance by us or one of our OEM partners. The software licenses associated with these sales are typically non-portable and can be used over the life of the appliance on which the software is delivered. Revenue from our non-portable software products is generally recognized upon transfer of control to the customer. Hardware revenue — In transactions where the hardware appliance is purchased directly from Nutanix, we consider ourselves to be the principal in the transaction and we record revenue and costs of goods sold on a gross basis. We consider the amount allocated to hardware revenue to be equivalent to the cost of the hardware procured. Hardware revenue is generally recognized upon transfer of control to the customer. Professional services revenue — We also sell professional services with our products. We recognize revenue related to professional services as they are performed. Contracts with multiple performance obligations — The majority of our contracts with customers contain multiple performance obligations. For these contracts, we account for individual performance obligations separately if they are distinct. The transaction price is allocated to the separate performance obligations on a relative standalone selling price ("SSP") basis. For deliverables that we routinely sell separately, such as software entitlement and support subscriptions on our core offerings, we determine SSP by evaluating the standalone sales over the trailing 12 months. For those that are not sold routinely, we determine SSP based on our overall pricing trends and objectives, taking into consideration market conditions and other factors, including the value of our contracts, the products sold and geographic locations. Contract balances — The timing of revenue recognition may differ from the timing of invoicing to customers. Accounts receivable are recorded at the invoiced amount, net of an allowance for credit losses. A receivable is recognized in the period in which we deliver goods or provide services, or when our right to consideration is unconditional. In situations where revenue recognition occurs before invoicing, an unbilled receivable is created, which represents a contract asset. Unbilled accounts receivable, included in accounts receivable, net on the condensed consolidated balance sheets, was not material for any of the periods presented. Payment terms on invoiced amounts are typically 30-45 days. We assess credit losses on accounts receivable by taking into consideration past collection experience, the credit quality of the customer, the age of the receivable balance, current and future economic conditions, and forecasts that may affect the collectability of the reported amount. The balance of accounts receivable, net of allowance for credit losses, as of July 31, 2022 and April 30, 2023 is presented in the accompanying condensed consolidated balance sheets. Costs to obtain and fulfill a contract — We capitalize commissions paid to sales personnel and the related payroll taxes when customer contracts are signed. These costs are recorded as deferred commissions in the condensed consolidated balance sheets, current and non-current. We determine whether costs should be deferred based on our sales compensation plans, if the commissions are incremental and would not have been incurred absent the execution of the customer contract. Commissions paid upon the initial acquisition of a contract are recognized over the estimated period of benefit, which may exceed the term of the initial contract if the commissions expected to be paid upon renewal are not commensurate with that of the initial contract. Accordingly, deferred costs are recognized on a systematic basis that is consistent with the pattern of revenue recognition allocated to each performance obligation over the entire period of benefit and included in sales and marketing expense in the condensed consolidated statements of operations. We determine the estimated period of benefit by evaluating the expected renewals of customer contracts, the duration of relationships with our customers, customer retention data, our technology development lifecycle and other factors. Deferred costs are periodically reviewed for impairment. Taxes assessed by a government authority that are both imposed on and concurrent with specific revenue transactions between us and our customers are presented on a net basis in our condensed consolidated statements of operations. Deferred revenue — Deferred revenue primarily consists of amounts that have been invoiced but not yet recognized as revenue and primarily pertain to software entitlement and support subscriptions and professional services. The current portion of deferred revenue represents the amounts that are expected to be recognized as revenue within one year of the condensed consolidated balance sheet date. Significant changes in the balance of deferred revenue (contract liability) and deferred commissions (contract asset) for the periods presented are as follows: Deferred Deferred (in thousands) Balance as of July 31, 2022 $ 1,445,538 $ 367,590 Additions (1) 469,647 33,112 Revenue/commissions recognized ( 433,609 ) ( 48,325 ) Balance as of October 31, 2022 1,481,576 352,377 Additions (1) 531,230 46,439 Revenue/commissions recognized ( 486,495 ) ( 50,336 ) Balance as of January 31, 2023 1,526,311 348,480 Additions 465,610 48,571 Revenue/commissions recognized ( 448,581 ) ( 46,380 ) Balance as of April 30, 2023 $ 1,543,340 $ 350,671 (1) Includes both billed and unbilled amounts. During the three and nine months ended April 30, 2022 , we recognized revenue of approximately $ 189.5 million and $ 475.8 million pertaining to amounts deferred as of January 31, 2022 and July 31, 2021, respectively. During the three and nine months ended April 30, 2023 , we recognized revenue of approximately $ 218.7 million and $ 556.9 million pertaining to amounts deferred as of January 31, 2023 and July 31, 2022, respectively. Many of our contracted but not invoiced performance obligations are subject to cancellation terms. Revenue allocated to remaining performance obligations represents contracted revenue that has not yet been recognized ("contracted not recognized"), which includes deferred revenue and non-cancelable amounts that will be invoiced and recognized as revenue in future periods and excludes performance obligations that are subject to cancellation terms. Contracted not recognized revenue was approximately $ 1.7 billion as of April 30, 2023 , of which we expect to recognize approximately 53 % over the next 12 months, and the remainder thereafter. |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Apr. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | NOTE 4. FAIR VAL UE MEASUREMENTS The fair value of our financial assets measured on a recurring basis is as follows: As of July 31, 2022 Level I Level II Level III Total (in thousands) Financial Assets: Cash equivalents: Money market funds $ 227,796 $ — $ — $ 227,796 Commercial paper — 27,927 — 27,927 Short-term investments: Corporate bonds — 409,024 — 409,024 Commercial paper — 317,738 — 317,738 U.S. Government securities — 194,667 — 194,667 Total measured at fair value $ 227,796 $ 949,356 $ — $ 1,177,152 Cash 147,127 Total cash, cash equivalents and short-term investments $ 1,324,279 As of April 30, 2023 Level I Level II Level III Total (in thousands) Financial Assets: Cash equivalents: Money market funds $ 231,380 $ — $ — $ 231,380 Commercial paper — 57,823 — 57,823 Short-term investments: Corporate bonds — 462,506 — 462,506 Commercial paper — 246,700 — 246,700 U.S. Government securities — 209,364 — 209,364 Total measured at fair value $ 231,380 $ 976,393 $ — $ 1,207,773 Cash 150,715 Total cash, cash equivalents and short-term investments $ 1,358,488 Financial Instruments Not Recorded at Fair Value on a Recurring Basis We report our financial instruments at fair value, with the exception of the 0% convertible senior notes due 2023 (the "2023 Notes"), the 2026 Notes and the 0.25 % convertible senior notes due 2027 (the "2027 Notes") (collectively, the "Notes"). Financial instruments that are not recorded at fair value on a recurring basis are measured at fair value on a quarterly basis for disclosure purposes. The carrying values and estimated fair values of financial instruments not recorded at fair value are as follows: As of July 31, 2022 As of April 30, 2023 Carrying Estimated Carrying Estimated (in thousands) 2023 Notes $ 145,456 $ 143,154 $ — $ — 2026 Notes 589,200 759,086 639,144 899,655 2027 Notes 567,005 400,252 568,152 475,094 Total $ 1,301,661 $ 1,302,492 $ 1,207,296 $ 1,374,749 The carrying value of the 2023 Notes as of July 31, 2022 was net of unamortized debt issuance costs of $ 0.2 million. In January 2023, we settled the 2023 Notes in full at maturity with a cash payment of $ 145.7 million. The carrying value of the 2026 Notes as of July 31, 2022 and April 30, 2023 included $ 28.0 million and $ 47.6 million, respectively, of non-cash interest expense that was converted to the principal balance, net of unamortized debt discounts of $ 169.4 million and $ 142.2 million, respectively, and unamortized debt issuance costs of $ 19.4 million and $ 16.2 million, respectively. The carrying value of the 2027 Notes as of July 31, 2022 and April 30, 2023 was net of unamortized debt issuance costs of $ 8.0 million and $ 6.8 million, respectively. The total estimated fair value of the 2023 Notes was determined based on the closing trading price per $ 100 of the 2023 Notes as of the last day of trading for the period. We consider the fair value of the 2023 Notes to be a Level 2 valuation due to the limited trading activity. The total estimated fair value of the 2026 Notes is based on a binomial model. We consider the fair value of the 2026 Notes to be a Level 3 valuation, as the 2026 Notes are not publicly traded. The Level 3 inputs used are the same as those used to determine the estimated fair value of the associated derivative liability, as detailed below. The total estimated fair value of the 2027 Notes was determined based on the closing trading price per $ 100 of the 2027 Notes as of the last day of trading for the period. We consider the fair value of the 2027 Notes to be a Level 2 valuation due to the limited trading activity. Derivative Liability The conversion feature of the 2026 Notes represented an embedded derivative at inception. The 2026 Notes are not considered to be conventional debt and we determined that the embedded conversion feature was required to be bifurcated from the host debt and accounted for as a derivative liability, as the 2026 Notes were convertible into a variable number of shares until the conversion price became fixed in September 2021, based on the level of achievement of the associated financial performance metric. As such, the initial fair value of the derivative instrument was recorded as a liability in the condensed consolidated balance sheet with the corresponding amount recorded as a discount to the 2026 Notes upon issuance. The derivative liability is considered a Level 3 valuation and was recorded at its estimated fair value at the end of each reporting period and as of September 15, 2021, when the conversion price became fixed, with the change in fair value recognized within other expense, net in the condensed consolidated statements of operations. On September 15, 2021, the conversion price of the 2026 Notes became fixed and the bifurcated liability was no longer accounted for as a separate derivative because the conversion features are now considered indexed to our own equity and meet the equity classification conditions. We estimated the fair value of the derivative liability as of September 15, 2021 to be $ 698.2 million, which was reclassified to equity on that date. |
Balance Sheet Components
Balance Sheet Components | 9 Months Ended |
Apr. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Balance Sheet Components | NOTE 5. BALANCE SHEET COMPONENTS Short-Term Investments The amortized cost of our short-term investments approximates their fair value. Unrealized losses related to our short-term investments are generally due to interest rate fluctuations, as opposed to credit quality. However, we review individual securities that are in an unrealized loss position in order to evaluate whether or not they have experienced or are expected to experience credit losses that would result in a decline in fair value. As of July 31, 2022 and April 30, 2023, unrealized gains and losses from our short-term investments were not material and were not the result of a decline in credit quality. As a result, as of July 31, 2022 and April 30, 2023, we did not record any credit losses for these investments. The following table summarizes the estimated fair value of our investments in marketable debt securities by their contractual maturity dates: As of (in thousands) Due within one year $ 724,789 Due in one to two years 193,781 Total $ 918,570 Prepaid Expenses and Other Current Assets Prepaid expenses and other current assets consists of the following: As of July 31, April 30, (in thousands) Prepaid operating expenses $ 48,842 $ 59,920 VAT receivables 7,514 6,325 Other current assets 37,431 55,366 Total prepaid expenses and other current assets $ 93,787 $ 121,611 The increase in prepaid expenses and other current assets from July 31, 2022 to April 30, 2023 was due primarily to the insurance receivable related to our securities class action lawsuit. For additional details on this legal proceeding, refer to Note 8. Property and Equipment, Net Property and equipment, net consists of the following: As of Estimated July 31, April 30, (in months) (in thousands) Computer, production, engineering and other equipment 36 $ 341,536 $ 381,321 Demonstration units 12 61,914 61,418 Leasehold improvements (1) 61,443 65,960 Furniture and fixtures 60 16,508 16,254 Total property and equipment, gross 481,401 524,953 Less: accumulated depreciation ( 367,961 ) ( 409,488 ) Total property and equipment, net $ 113,440 $ 115,465 (1) Leasehold improvements are amortized over the shorter of the estimated useful lives of the improvements or the remaining lease term. Depreciation expense related to our property and equipment was $ 16.8 million and $ 53.2 million for the three and nine months ended April 30, 2022 , respectively, and $ 16.0 million and $ 47.8 million for the three and nine months ended April 30, 2023, respectively. Goodwill and Intangible Assets, Net There was no change in the carrying value of goodwill during the nine months ended April 30, 2023. Intangible assets, net consists of the following: As of July 31, April 30, (in thousands) Developed technology $ 79,300 $ 79,300 Customer relationships 8,860 8,860 Trade name 4,170 4,170 Total intangible assets, gross 92,330 92,330 Less: Accumulated amortization of developed technology ( 64,344 ) ( 72,122 ) Accumulated amortization of customer relationships ( 8,074 ) ( 8,704 ) Accumulated amortization of trade name ( 4,083 ) ( 4,170 ) Total accumulated amortization ( 76,501 ) ( 84,996 ) Total intangible assets, net $ 15,829 $ 7,334 Amortization expense related to our intangible assets is being recognized in the condensed consolidated statements of operations within product cost of revenue for developed technology and sales and marketing expense for customer relationships and trade name. The estimated future amortization expense of our intangible assets is as follows: Fiscal Year Ending July 31: Amount (in thousands) 2023 (remaining three months) $ 2,361 2024 3,210 2025 1,763 Total $ 7,334 Accrued Compensation and Benefits Accrued compensation and benefits consists of the following: As of July 31, April 30, (in thousands) Accrued commissions $ 32,886 $ 30,820 Contributions to ESPP withheld 19,174 26,924 Accrued vacation 23,140 25,372 Accrued wages and taxes 20,807 18,702 Accrued benefits 11,774 13,573 Payroll taxes payable 21,060 13,070 Accrued bonus 9,782 11,729 Other 11,188 11,977 Total accrued compensation and benefits $ 149,811 $ 152,167 Accrued expenses and other current liabilities consists of the following: As of July 31, April 30, (in thousands) Litigation settlement reserves $ 9,750 $ 71,000 Software usage liability 10,336 11,248 Income taxes payable 13,206 5,369 Accrued professional services 5,499 1,349 Other 20,777 19,999 Total accrued expenses and other current liabilities $ 59,568 $ 108,965 The increase in accrued expenses and other current liabilities from July 31, 2022 to April 30, 2023 was due primarily to an increase in the litigation settlement reserve related to our securities class action lawsuit. For additional details on this legal proceeding, refer to Note 8. |
Convertible Senior Notes
Convertible Senior Notes | 9 Months Ended |
Apr. 30, 2023 | |
Debt Disclosure [Abstract] | |
Convertible Senior Notes | NOTE 6. CONVERTI BLE SENIOR NOTES 2023 Notes In January 2018, we issued the 2023 Notes with a 0 % interest rate for an aggregate principal amount of $ 575.0 million, due in 2023, in a private placement to qualified institutional buyers pursuant to Rule144A under the Securities Act. On September 22, 2021, we consummated privately negotiated exchanges with certain holders of the outstanding 2023 Notes, pursuant to which such holders exchanged approximately $ 416.5 million in aggregate principal amount of 2023 Notes for $ 477.3 million in aggregate principal amount of 2027 Notes. We also entered into privately negotiated transactions with certain holders of the 2023 Notes pursuant to which we repurchased approximately $ 12.8 million in aggregate principal amount of 2023 Notes for cash. Following the closing of these exchanges and repurchases, approximately $ 145.7 million in aggregate principal amount of 2023 Notes remained outstanding with terms unchanged. In January 2023, we settled the 2023 Notes in full at maturity with a cash payment of $ 145.7 million. The 2023 Notes consisted of the following: As of July 31, April 30, (in thousands) Principal amounts: Principal $ 145,704 $ 145,704 Unamortized debt issuance costs (1) ( 248 ) — Repayment of convertible senior notes — ( 145,704 ) Net carrying amount $ 145,456 $ — (1) Included in the condensed consolidated balance sheets within convertible senior notes, net and amortized over the remaining life of the 2023 Notes using the effective interest rate method. The effective interest rate was 0.41 %. The following table sets forth the total interest expense recognized related to the 2023 Notes: Three Months Ended Nine Months Ended 2022 2023 2022 2023 (in thousands) Interest expense related to amortization of debt $ 148 $ — $ 696 $ 248 Note Hedges and Warrants Concurrently with the offering of the 2023 Notes in January 2018, we entered into convertible note hedge transactions with certain bank counterparties, whereby we have the initial option to purchase a total of approximately 11.8 million shares of our Class A common stock at a conversion price of approximately $ 48.85 per share, subject to adjustment for certain specified events. The total cost of the convertible note hedge transactions was approximately $ 143.2 million. In addition, we sold warrants to certain bank counterparties, whereby the holders of the warrants have the initial option to purchase a total of approximately 11.8 million shares of our Class A common stock at a price of $ 73.46 per share, subject to adjustment for certain specified events. We received approximately $ 88.0 million in cash proceeds from the sale of these warrants. In September 2021, in connection with the exchange and repurchase transactions described above, we terminated portions of the convertible note hedge transactions and warrant transactions previously entered into with certain financial institutions in connection with the issuance of the 2023 Notes. The net effect of these unwind transactions was a $ 21.5 million cash payment received, consisting of an $ 18.4 million payment for the warrant unwind and the receipt of $ 39.9 million from the hedge unwind. The amounts paid and received as part of the unwind transactions were recorded to additional paid-in capital within the condensed consolidated balance sheet. In January 2023, the convertible note hedges and warrant transactions expired concurrently with the expiration of the 2023 Notes. No settlement is required as the stock has remained below the strike price throughout the unwind settlement averaging period. 2026 Notes In September 2020, we issued $ 750.0 million in aggregate principal amount of the 2026 Notes to BCPE Nucleon (DE) SPV, LP, an entity affiliated with Bain Capital, LP ("Bain"). The total net proceeds from this offering were approximately $ 723.7 million, after deducting $ 26.3 million of debt issuance costs. The 2026 Notes bear interest at a rate of 2.5 % per annum, with such interest to be paid in kind ("PIK") on the 2026 Notes held by Bain through an increase in the principal amount of the 2026 Notes, and paid in cash on any 2026 Notes transferred to entities that are not affiliated with Bain. Interest on the 2026 Notes has accrued from the date of issuance, September 24, 2020, and is added to the principal amount, in the case of the 2026 Notes held by Bain, or paid in cash, in the case of the 2026 Notes held by entities that are not affiliated with Bain, as applicable, on a semi-annual basis (on March 15 and September 15 of each year). The 2026 Notes mature on September 15, 2026, subject to earlier conversion, redemption or repurchase. The 2026 Notes are convertible at an initial conversion rate of 36.036 shares of Class A common stock per $ 1,000 principal amount of the 2026 Notes, which is equal to an initial conversion price of $ 27.75 per share, subject to customary anti-dilution and other adjustments, including in connection with any make-whole adjustments as a result of certain extraordinary transactions. In September 2021, the one-year anniversary of the issuance of the 2026 Notes, the conversion price was subject to a one-time adjustment, based on the level of achievement of certain financial milestones and as a result, the conversion price became fixed at $ 27.75 per share. For each $ 1,000 principal amount of 2026 Notes a holder elects to convert, we have initially elected to pay cash with respect to the first $ 1,000 of conversion value and deliver shares of Class A common stock with respect to any conversion value in excess of $ 1,000 . Pursuant to the indenture governing the 2026 Notes, we may elect to change such default settlement method with respect to any conversion of 2026 Notes held by Bain by delivering written notice to Bain at least five trading days prior to the effective time of such settlement election. Additionally, if Bain elects to convert any 2026 Notes it holds upon our delivery of a notice of redemption, Bain will have the right to elect whether such conversion is settled in cash, shares of our Class A common stock or a combination thereof. On or after September 15, 2025, the 2026 Notes will be redeemable by us, at our option, in the event that the closing sale price of our Class A common stock has been at least 150 % of the conversion price then in effect for at least 20 trading days (whether or not consecutive) during any 30 consecutive trading day period (including the last trading day of such period) ending on, and including, the trading day immediately preceding the date on which we provide the redemption notice, for cash, at a redemption price of 100 % of the principal amount of such 2026 Notes, plus any accrued and unpaid interest to, but excluding, the redemption date. A holder who converts their 2026 Notes in connection with certain corporate events that constitute a "make-whole fundamental change" (as defined in the indenture governing the 2026 Notes) is, under certain circumstances, entitled to an increase in the conversion rate. In addition, if we undergo a "fundamental change" (as defined in the indenture governing the 2026 Notes) prior to the maturity date, holders of the 2026 Notes may require us to repurchase for cash all or a portion of their 2026 Notes at a repurchase price equal to 100 % of the principal amount of the repurchased 2026 Notes, plus accrued and unpaid interest thereon. In accordance with accounting guidance on embedded conversion features, we valued and bifurcated the conversion option associated with the 2026 Notes from the respective host debt instrument, which is treated as a debt discount, and initially recorded the conversion option of $ 230.9 million as a derivative liability in our condensed consolidated balance sheet, with the corresponding amount recorded as a discount to the 2026 Notes to be amortized over the term of the 2026 Notes using the effective interest method. The 2026 Notes consisted of the following: As of July 31, April 30, (in thousands) Principal amounts: Principal $ 750,000 $ 750,000 Non-cash interest expense converted to principal 27,997 47,569 Unamortized debt discount (conversion feature) (1) ( 169,438 ) ( 142,180 ) Unamortized debt issuance costs (1) ( 19,359 ) ( 16,245 ) Net carrying amount $ 589,200 $ 639,144 (1) Included in the condensed consolidated balance sheets within convertible senior notes, net and amortized over the remaining life of the 2026 Notes using the effective interest rate method. The effective interest rate is 7.05 %. As of April 30, 2023, the remaining life of the 2026 Notes was approximately 3.4 years . The following table sets forth the total interest expense recognized related to the 2026 Notes: Three Months Ended Nine Months Ended 2022 2023 2022 2023 (in thousands) Interest expense related to amortization of debt $ 8,619 $ 9,246 $ 25,408 $ 27,258 Interest expense related to amortization of debt 985 1,056 2,904 3,114 Non-cash interest expense 4,833 4,955 14,408 14,772 Total interest expense $ 14,437 $ 15,257 $ 42,720 $ 45,144 Non-cash interest expense is related to the 2.5 % PIK interest that we accrued from the issuance of the 2026 Notes through April 30, 2023 and was recognized within other expense, net in the condensed consolidated statement of operations and other liabilities–non-current in the condensed consolidated balance sheet. The accrued PIK interest will be converted to the principal balance of the 2026 Notes at each payment date and will be convertible to shares of our Class A common stock at maturity or when converted. Upon the conversion price of the 2026 Notes becoming fixed, subject to customary anti-dilution and other adjustments, in September 2021, the embedded conversion option for the 2026 Notes no longer required bifurcation because the conversion features are now considered indexed to our own equity and meet the equity classification conditions. The carrying amount of the derivative liability of $ 698.2 million as of that date was reclassified to additional paid-in capital within the condensed consolidated balance sheet. The remaining debt discount that arose from the original bifurcation continues to be amortized over the term of the 2026 Notes. 2027 Notes In September 2021, we issued $ 575 million in aggregate principal amount of 0.25 % convertible senior notes due 2027 consisting of (i) approximately $ 477.3 million principal amount of 2027 Notes in exchange for approximately $ 416.5 million principal amount of the 2023 Notes (the "Exchange Transactions") and (ii) approximately $ 97.7 million principal amount of 2027 Notes for cash (the "Subscription Transactions"). We did not receive any cash proceeds from the Exchange Transactions. The net cash proceeds from the Subscription Transactions was approximately $ 88.4 million after deducting the offering expenses for both the Exchange Transactions and the Subscription Transactions. We used (i) approximately $ 14.7 million of the net cash proceeds from the Subscription Transactions to repurchase approximately $ 12.8 million principal amount of the 2023 Notes and (ii) approximately $ 58.5 million of the net cash proceeds from the Subscription Transactions to repurchase approximately 1.4 million shares of our Class A common stock. The 2027 Notes bear interest at a rate of 0.25 % per annum, and pay interest semi-annually in arrears on each April 1 and October 1. The 2027 Notes will mature on October 1, 2027, unless earlier converted, redeemed or repurchased. The 2027 Notes are convertible into cash, shares of our Class A common stock, or a combination of cash and shares of Class A common stock, at our election. Each $ 1,000 of principal of the 2027 Notes is initially convertible into 17.3192 shares of our Class A common stock, which is equivalent to an initial conversion price of approximately $ 57.74 per share, subject to customary anti-dilution adjustments. Holders of these 2027 Notes may convert their 2027 Notes at their option at any time prior to the close of the business day immediately preceding July 1, 2027, only under the following circumstances: (1) during any fiscal quarter, and only during such fiscal quarter, if the closing price of our common stock for at least 20 trading days in a period of 30 consecutive trading days ending on, and including, the last trading day of the preceding fiscal quarter is greater than or equal to 130 % of the then applicable conversion price for the Notes per share of common stock; (2) during the five business day period after any five consecutive trading day period in which, for each trading day of that period, the trading price per $ 1,000 principal amount of 2027 Notes for such trading day was less than 98 % of the product of the closing price of our common stock and the then applicable conversion rate on each such trading day; (3) if we call the 2027 Notes for redemption, at any time prior to the close of business on the second scheduled trading day immediately preceding the redemption date; or (4) upon the occurrence of certain specified corporate events. Upon conversion of the 2027 Notes, we will pay or deliver, as the case may be, cash, shares of our Class A common stock or a combination of cash and shares of Class A common stock, at our election. We intend to settle the principal of the 2027 Notes in cash. The conversion rate will be subject to adjustment in certain events, but will not be adjusted for any accrued or unpaid interest. A holder who converts their 2027 Notes in connection with certain corporate events that constitute a "make-whole fundamental change" (as defined in the indenture governing the 2027 Notes) are, under certain circumstances, entitled to an increase in the conversion rate. In addition, if we undergo a "fundamental change" (as defined in the indenture governing the 2027 Notes) prior to the maturity date, holders of the 2027 Notes may require us to repurchase for cash all or a portion of their 2027 Notes at a repurchase price equal to 100 % of the principal amount of the repurchased 2027 Notes, plus accrued and unpaid interest thereon. In accounting for the exchange of convertible notes, we evaluated whether the transaction should be treated as a modification or extinguishment transaction. The partial exchange of the 2023 Notes and issuance of the 2027 Notes were deemed to have substantially different terms due to the significant difference between the value of the conversion option immediately prior to and after the exchange, and consequently, the 2023 Notes partial exchange was accounted for as a debt extinguishment. The $ 64.9 million difference between the total reacquisition price paid and the net carrying amount of the 2023 Notes is recognized as a debt extinguishment loss within other expense, net in the condensed consolidated statement of operations. The 2027 Notes consisted of the following: As of July 31, April 30, (in thousands) Principal amounts: Principal $ 575,000 $ 575,000 Unamortized debt issuance costs (1) ( 7,995 ) ( 6,848 ) Net carrying amount $ 567,005 $ 568,152 (1) Included in the condensed consolidated balance sheets within convertible senior notes, net and amortized over the remaining life of the 2027 Notes using the effective interest rate method. The effective interest rate is 0.52 %. As of April 30, 2023, the remaining life of the 2027 Notes was approximately 4.4 years . The following table sets forth the total interest expense recognized related to the 2027 Notes: Three Months Ended Nine Months Ended 2022 2023 2022 2023 (in thousands) Contractual interest expense $ 359 $ 548 $ 870 $ 1,266 Interest expense related to amortization of debt 381 383 921 1,147 Total interest expense $ 740 $ 931 $ 1,791 $ 2,413 |
Leases
Leases | 9 Months Ended |
Apr. 30, 2023 | |
Leases [Abstract] | |
Leases | NOTE 7. LEASES We have operating leases for offices, research and development facilities and datacenters and finance leases for certain datacenter equipment. Our leases have remaining lease terms of one year to approximately seven years , some of which include options to renew or terminate. We do not include renewal options in the lease terms for calculating our lease liability, as we are not reasonably certain that we will exercise these renewal options at the time of the lease commencement. Our lease agreements do not contain any residual value guarantees or restrictive covenants. Total operating lease cost was $ 10.7 million and $ 32.4 million for the three and nine months ended April 30, 2022 , respectively, and $ 10.6 million and $ 32.6 million for the three and nine months ended April 30, 2023 , respectively, excluding short-term lease costs, variable lease costs and sublease income, each of which were not material. Variable lease costs primarily include common area maintenance charges. Total finance lease cost was $ 0.7 million and $ 1.7 million for the three and nine months ended April 30, 2022 , respectively, and $ 1.0 million and $ 2.8 million for the three and nine months ended April 30, 2023, respectively. During the nine months ended April 30, 2023, we signed agreements to early exit certain office spaces in the United States and the Netherlands. The reductions in the lease terms resulted in decreases to the carrying amounts of the operating lease liabilities and the operating lease right-of-use assets on our condensed consolidated balance sheet as of April 30, 2023 . In addition, we recorded $ 1.7 million of expense in our condensed consolidated statement of operations for the nine months ended April 30, 2023. Supplemental balance sheet information related to leases is as follows: As of July 31, April 30, (in thousands) Operating leases: Operating lease right-of-use assets, gross $ 188,060 $ 187,835 Accumulated amortization ( 69,320 ) ( 90,031 ) Operating lease right-of-use assets, net $ 118,740 $ 97,804 Operating lease liabilities—current $ 39,801 $ 31,481 Operating lease liabilities—non-current 89,782 73,036 Total operating lease liabilities $ 129,583 $ 104,517 Weighted average remaining lease term (in years): 5.1 5.1 Weighted average discount rate: 5.7 % 5.8 % As of July 31, April 30, (in thousands) Finance leases: Finance lease right-of-use assets, gross (1) $ 13,501 $ 17,603 Accumulated amortization (1) ( 3,053 ) ( 4,644 ) Finance lease right-of-use assets , net (1) $ 10,448 $ 12,959 Finance lease liabilities—current (2) $ 2,685 $ 3,345 Finance lease liabilities—non-current (3) 7,806 10,063 Total finance lease liabilities $ 10,491 $ 13,408 Weighted average remaining lease term (in years): 3.9 3.9 Weighted average discount rate: 5.9 % 6.8 % (1) Included in the condensed consolidated balance sheets within property and equipment, net. (2) Included in the condensed consolidated balance sheets within accrued expenses and other current liabilities. (3) Included in the condensed consolidated balance sheets within other liabilities—non-current. Supplemental cash flow and other information related to leases is as follows: Three Months Ended Nine Months Ended 2022 2023 2022 2023 (in thousands) Cash paid for amounts included in the measurement of Operating cash flows from operating leases $ 11,353 $ 11,798 $ 36,910 $ 35,561 Financing cash flows from finance leases $ 303 $ 1,367 $ 626 $ 3,711 Lease liabilities arising from obtaining right-of-use assets: Operating leases $ 1,067 $ — $ 5,017 $ 5,971 Finance leases $ 656 $ 5,468 $ 4,529 $ 7,011 The undiscounted cash flows for our operating lease liabilities as of April 30, 2023 were as follows: Fiscal Year Ending July 31: Operating Finance Total (in thousands) 2023 $ 8,453 $ 1,038 $ 9,491 2024 30,785 4,152 34,937 2025 18,152 4,152 22,304 2026 14,687 3,450 18,137 2027 13,461 1,740 15,201 Thereafter 38,715 795 39,510 Total lease payments 124,253 15,327 139,580 Less: imputed interest ( 19,736 ) ( 1,919 ) ( 21,655 ) Total lease obligation 104,517 13,408 117,925 Less: current lease obligations ( 31,481 ) ( 3,345 ) ( 34,826 ) Long-term lease obligations $ 73,036 $ 10,063 $ 83,099 As of April 30, 2023 , we did not have any additional operating lease commitments for office leases that have not yet commenced. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Apr. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | NOTE 8. COMMITMENTS AND CONTINGENCIES Purchase Commitments In the normal course of business, we make commitments with our contract manufacturers to ensure them a minimum level of financial consideration for their investment in our joint solutions. These commitments are based on performance targets or on-hand inventory and non-cancelable purchase orders for non-standard components. We record a charge related to these items when we determine that it is probable a loss will be incurred and we are able to estimate the amount of the loss. Our historical charges have not been material. As of April 30, 2023, we had up to approximately $ 97.4 million of non-cancelable purchase obligations and other commitments pertaining to our daily business operations, and up to approximately $ 57.1 million in the form of guarantees to certain of our contract manufacturers. Legal Proceedings Securities Class Actions . Beginning on March 29, 2019, several purported securities class actions were filed in the United States District Court for the Northern District of California against us and two of our officers. The initial complaints generally alleged that the defendants made false and misleading statements in violation of Sections 10(b) and 20(a) of the Exchange Act and SEC Rule 10b-5. In July 2019, the court consolidated the actions into a single action, and appointed a lead plaintiff, who then filed a consolidated amended complaint (the "Original Complaint"). The action was brought on behalf of those who purchased or otherwise acquired our stock between November 30, 2017 and May 30, 2019, inclusive. The defendants subsequently filed a motion to dismiss the Original Complaint, which the court granted on March 9, 2020, while providing the lead plaintiff leave to amend. On April 17, 2020, the lead plaintiff filed a second amended complaint (the "Amended Complaint"), again naming us and two of our officers as defendants. The Amended Complaint alleges the same class period, includes many of the same factual allegations as the Original Complaint, and again alleges that the defendants violated Sections 10(b) and 20(a) of the Exchange Act, as well as SEC Rule 10b-5. The Amended Complaint sought monetary damages in an unspecified amount. On September 11, 2020, the court denied the defendants' motion to dismiss the Amended Complaint and held that the lead plaintiff adequately stated a claim with respect to certain statements regarding our new customer growth and sales productivity. On January 27, 2021, lead plaintiff, Shimon Hedvat, filed a motion to (i) withdraw as lead plaintiff and (ii) substitute proposed new lead plaintiffs and approve their appointment of a new co-lead counsel. On March 1, 2021, the court granted the lead plaintiff’s motion to withdraw as lead plaintiff but denied without prejudice his motion to substitute proposed new lead plaintiffs. The court also reopened the lead plaintiff selection process, allowing any putative class member interested in serving as the new lead plaintiff to file a lead plaintiff application. Following the lead plaintiff selection hearing on April 28, 2021, on June 10, 2021 the court appointed California Ironworkers Field Pension Trust as lead plaintiff and approved its appointment of counsel. On May 28, 2021, one of the movants for lead plaintiff, John P. Norton on behalf of the Norton Family Living Trust UAD 11/15/2002, filed a separate class action complaint (the "Options Class Action Complaint") in the Northern District of California on behalf of a class of persons or entities who transacted in publicly traded call options and/or put options on Nutanix stock during the period from November 30, 2017 and May 30, 2019, containing allegations substantively the same as those alleged in the Amended Complaint (the "Options Class Action") and naming the same defendants. On September 8, 2021, the court appointed the John P. Norton on behalf of the Norton Family Living Trust UAD 11/15/2002 as the lead plaintiff in the Options Class Action. On April 26, 2022, the parties met for mediation, which did not result in a settlement. On September 1, 2022, California Ironworkers Field Pension Trust filed a third amended complaint (which amends the Amended Complaint, the "Third Amended Complaint") and John P. Norton on behalf of the Norton Family Living Trust UAD 11/15/2002 filed an amended complaint (which amends the Options Class Action Complaint, the "First Amended Complaint"). On November 14, 2022, the defendants filed a motion to dismiss the Third Amended Complaint and the First Amended Complaint. On February 9, 2023, the plaintiffs and the defendants agreed to a mediator’s recommendation to settle these actions for a total of $ 71.0 million, which is accrued as of April 30, 2023 and included within accrued expenses and other current liabilities on our condensed consolidated balance sheet. On May 19, 2023, the court granted its preliminary approval of the settlement and the notice to class members, and a final settlement hearing is scheduled for October 4, 2023. The settlement accrual is partially offset by a receivable of $ 39.9 million for amounts recoverable under our applicable insurance policies, which is included within prepaid expenses and other current assets on our condensed consolidated balance sheet as of April 30, 2023. During the nine months ended April 30, 2023, we recorded charges of $ 38.5 million for the settlement and applicable legal fees, net of our insurance receivable. On April 14, 2023, a purported federal securities class action complaint was filed in the United States District Court for the Northern District of California against us, two of our current officers, and a former officer. The complaint generally alleges that the defendants made false and misleading statements in violation of Sections 10(b) and 20(a) of the Exchange Act and SEC Rule 10b-5. This action is brought on behalf of those who purchased or otherwise acquired our securities between September 21, 2021 and March 6, 2023, inclusive. In addition, on May 5, 2023, a purported stockholder derivative complaint was filed in the United States District Court for the Northern District of California, naming our current directors as defendants and our company as a nominal defendant. The complaint generally alleges violations of Section 14(a) of the Exchange Act and breach of fiduciary duties, and aiding and abetting breach of fiduciary duties, based on similar underlying allegations contained in the purported federal securities class action complaint described above. These cases are in their very early stages, and we are not able to determine what, if any, liabilities will attach to these complaints. We are not currently a party to any other legal proceedings that we believe to be material to our business or financial condition. From time to time, we may become party to various litigation matters and subject to claims that arise in the ordinary course of business. |
Stockholders' Equity
Stockholders' Equity | 9 Months Ended |
Apr. 30, 2023 | |
Equity [Abstract] | |
Stockholders' Equity | NOTE 9. STOCKHO LDERS’ EQUITY Effective January 3, 2022, all of our then outstanding shares of Class B common stock, par value $ 0.000025 per share, were automatically converted into the same number of shares of the Company’s Class A common stock, par value $ 0.000025 per share, pursuant to the terms of our Amended and Restated Certificate of Incorporation. No additional shares of Class B common stock will be issued following such conversion. As a result, as of April 30, 2023 , we had one class of outstanding common stock consisting of Class A common stock. In December 2022, our stockholders approved an amendment and restatement of our Amended and Restated Certificate of Incorporation, which includes the removal of all provisions related to Class B common stock. As of April 30, 2023 , we had 1.0 billion shares of Class A common stock authorized, with a par value of $ 0.000025 per share. As of April 30, 2023 , we had 235.7 million shares of Class A common stock issued and outstanding. Holders of Class A common stock are entitled to one vote for each share of Class A common stock held on all matters submitted to a vote of stockholders. In September 2021, we used approximately $ 58.5 million of the net cash proceeds from the issuance of $ 97.7 million in aggregate principal amount of 2027 Notes to repurchase 1.4 million shares of Class A common stock in open market transactions at an average price of $ 42.77 per share. For additional details on these transactions, refer to Note 6. |
Equity Incentive Plans
Equity Incentive Plans | 9 Months Ended |
Apr. 30, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Equity Incentive Plans | NOTE 10. EQUITY INCENTIVE PLANS Stock Plans We have three equity incentive plans, the 2010 Stock Plan ("2010 Plan"), 2011 Stock Plan ("2011 Plan") and 2016 Equity Incentive Plan ("2016 Plan"). Our stockholders approved the 2016 Plan in March 2016 and it became effective in connection with our initial public offering ("IPO"). As a result, at the time of the IPO, we ceased granting additional stock awards under the 2010 Plan and 2011 Plan and both plans were terminated. Any outstanding stock awards under the 2010 Plan and 2011 Plan remain outstanding, subject to the terms of the applicable plan and award agreements, until such shares are issued under those stock awards, by exercise of stock options or settlement of restricted stock units ("RSUs"), or until those stock awards become vested or expired by their terms. Under the 2016 Plan, we may grant incentive stock options, non-statutory stock options, restricted stock, RSUs and stock appreciation rights to employees, directors and consultants. We initially reserved 22.4 million shares of our Class A common stock for issuance under the 2016 Plan. The number of shares of Class A common stock available for issuance under the 2016 Plan also includes an annual increase on the first day of each fiscal year, beginning in fiscal 2018, equal to the lesser of: 18.0 million shares, 5 % of the outstanding shares of all classes of common stock as of the last day of our immediately preceding fiscal year, or such other amount as may be determined by the Board. Accordingly, on August 1, 2021 and 2022, the number of shares of Class A common stock available for issuance under the 2016 Plan increased by 10.7 million and 11.3 million shares, respectively, pursuant to these provisions. As of April 30, 2023 , we had reserved a total of 42.5 million shares for the issuance of equity awards under the Stock Plans, of which 14.4 million shares were still available for grant. Restricted Stock Units Performance RSUs — We have granted RSUs that have both service and performance conditions to our executives and employees ("Performance RSUs"). Vesting of Performance RSUs is subject to continuous service and the satisfaction of certain performance targets. While we recognize cumulative stock-based compensation expense for the portion of the awards for which both the service condition has been satisfied and it is probable that the performance conditions will be met, the actual vesting and settlement of Performance RSUs are subject to the performance conditions actually being met. Market Stock Units In connection with his hiring, in December 2020, the Compensation Committee of our Board of Directors approved the grant of 0.7 million RSUs subject to certain market conditions ("MSUs") to our President and CEO. These MSUs have a weighted average grant date fair value per unit of $ 35.69 and will vest up to 133 % based upon the achievement of certain stock price targets over a performance period of approximately 4.0 years, subject to his continuous service on each vesting date. In October 2021 and August 2022, the Compensation Committee of our Board of Directors approved the grant of approximately 0.4 million and 1.3 million MSUs, respectively, to certain of our executives. These MSUs have a weighted average grant date fair value per unit of approximately $ 46.20 and $ 27.89 , respectively, and will vest up to 200 % of the target number of MSUs based upon our total shareholder return relative to the total shareholder return of companies in the Nasdaq Composite Index over a performance period of approximately 2.8 years and 2.9 years, respectively, subject to continuous service on each vesting date. Additional MSUs have been granted with similar terms, but were not material. We used Monte Carlo simulations to calculate the fair value of these awards on the grant date, or modification date, as applicable. A Monte Carlo simulation requires the use of various assumptions, including the stock price volatility and risk-free interest rate as of the valuation date corresponding to the length of time remaining in the performance period and expected dividend yield. We recognize stock-based compensation expense related to these MSUs using the graded vesting attribution method over the respective performance periods. As of April 30, 2023 , approximately 2.0 million MSUs remained outstanding. Below is a summary of RSU activity, including MSUs, under the Stock Plans: Number of Weighted Average (in thousands) Outstanding at July 31, 2022 22,136 $ 29.81 Granted 16,295 $ 18.66 Released ( 7,720 ) $ 28.59 Forfeited ( 3,783 ) $ 27.00 Outstanding at April 30, 2023 26,928 $ 23.82 Stock Options We did no t grant any stock options during the nine months ended April 30, 2023 . A total of 0.5 million stock options were exercised during the nine months ended April 30, 2023 , with a weighted average exercise price per share of $ 6.05 . As of April 30, 2023 , 1.2 million stock options, with a weighted average exercise price of $ 6.58 per share, a weighted average remaining contractual life of 1.3 years and an aggregate intrinsic value of $ 20.7 million, remained outstanding. Employee Stock Purchase Plan In December 2015, the Board adopted the 2016 Employee Stock Purchase Plan, which was subsequently amended in January 2016 and September 2016 and approved by our stockholders in March 2016 (the "Original 2016 ESPP"). The Original 2016 ESPP became effective in connection with our IPO. Our stockholders subsequently approved amendments to the Original 2016 ESPP in December 2019 and December 2022 (as amended, the "Amended 2016 ESPP"). Under the Amended 2016 ESPP, the maximum number of shares of Class A common stock available for sale is 13.8 million shares. The 2016 ESPP allows eligible employees to purchase shares of our Class A common stock at a discount through payroll deductions of up to 15 % of eligible compensation, subject to caps of $ 25,000 in any calendar year and 1,000 shares on any purchase date. The 2016 ESPP provides for 12-month offering periods, generally beginning in March and September of each year, and each offering period consists of two six-month purchase periods. On each purchase date, participating employees will purchase Class A common stock at a price per share equal to 85 % of the lesser of the fair market value of our Class A common stock on (i) the first trading day of the applicable offering period or (ii) the last trading day of each purchase period in the applicable offering period. If the stock price of our Class A common stock on any purchase date in an offering period is lower than the stock price on the enrollment date of that offering period, the offering period will immediately reset after the purchase of shares on such purchase date and automatically roll into a new offering period. During the nine months ended April 30, 2023 , 1.0 million shares of common stock were purchased under the 2016 ESPP for an aggregate amount of $ 18.9 million. As of April 30, 2023 , 13.8 million shares were available for future issuance under the 2016 ESPP. We use the Black-Scholes option pricing model to determine the fair value of shares purchased under the 2016 ESPP with the following weighted average assumptions on the date of grant: Nine Months Ended April 30, 2022 2023 Expected term (in years) 0.81 0.74 Risk-free interest rate 1.0 % 4.2 % Volatility 43.4 % 60.5 % Dividend yield — % — % Stock-Based Compensation Total stock-based compensation expense recognized in the condensed consolidated statements of operations is as follows: Three Months Ended Nine Months Ended 2022 2023 2022 2023 (in thousands) Cost of revenue: Product $ 1,830 $ 1,831 $ 5,529 $ 6,103 Support, entitlements and other services 7,307 6,565 23,564 20,083 Sales and marketing 25,463 19,383 80,975 63,425 Research and development 35,467 32,003 109,709 107,116 General and administrative 14,439 13,126 43,321 42,426 Total stock-based compensation expense $ 84,506 $ 72,908 $ 263,098 $ 239,153 As of April 30, 2023 , unrecognized stock-based compensation expense related to outstanding stock awards was approximately $ 573.0 million and is expected to be recognized over a weighted average period of approximately 2.6 years. |
Income Taxes
Income Taxes | 9 Months Ended |
Apr. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | NOTE 11. IN COME TAXES The income tax provisions of $ 3.6 million and $ 13.0 million for the three and nine months ended April 30, 2022 , respectively, and $ 5.2 million and $ 14.8 million for the three and nine months ended April 30, 2023, respectively, primarily consisted of foreign taxes on our international operations and U.S. state income taxes. We continue to maintain a full valuation allowance for our U.S. Federal and state deferred tax assets and a partial valuation allowance related to our foreign net deferred tax assets. The Internal Revenue Code Section 174, which requires the mandatory capitalization and amortization of research and development expense, became effective for us for our fiscal 2023. Although Congress has considered legislation that would defer, modify or repeal the capitalization and amortization requirement, there is no assurance that the provision will be deferred, repealed, or otherwise modified. If the requirement is not modified, we may be required to utilize some of our federal and state tax attributes and there may be increases to state cash taxes. |
Restructuring Charges
Restructuring Charges | 9 Months Ended |
Apr. 30, 2023 | |
Restructuring Charges [Abstract] | |
Restructuring Charges | NOTE 12. RESTRUCTURING CHARGES In August 2022, we announced a plan to reduce our global headcount by approximately 270 employees, which represents approximately 4 % of our total employees , following a review of our business structure and after taking other cost-cutting measures to reduce expenses. The headcount reduction is part of our ongoing efforts to drive towards profitable growth. As of April 30, 2023 , we recognized total restructuring charges of approximately $ 16.5 million, which consisted primarily of one-time severance and other termination benefit costs directly related to this reduction in force. Of the $ 16.5 million recognized, $ 0.4 million is included within support, entitlements and other services cost of revenue, $ 13.6 million is included within sales and marketing expense, $ 2.3 million is included within research and development expense, and $ 0.2 million is included within general and administrative expense on our condensed consolidated statements of operations. During the fiscal quarter ended April 30, 2023, we did not make any cash payments. As of April 30, 2023 , we had a remaining restructuring liability of $ 0.6 million, included within accrued compensation and benefits in our condensed consolidated balance sheet. We do not expect to record any material future charges related to this reduction in force. |
Net Loss Per Share
Net Loss Per Share | 9 Months Ended |
Apr. 30, 2023 | |
Earnings Per Share [Abstract] | |
Net Loss Per Share | NOTE 13. NET L OSS PER SHARE Basic net income (loss) per share is computed using the weighted average number of common shares outstanding during the period. Diluted net income (loss) per share is computed by giving effect to potentially dilutive common stock equivalents outstanding during the period, as their effect would be dilutive. Potentially dilutive common shares include participating securities and shares issuable upon the exercise of stock options, the exercise of common stock warrants, the exercise of convertible preferred stock warrants, the vesting of RSUs and each purchase under the 2016 ESPP, under the if-converted method. In loss periods, basic net loss per share and diluted net loss per share are the same, as the effect of potential common shares is antidilutive and therefore excluded. Effective January 3, 2022, all of our then outstanding shares of Class B common stock, par value $ 0.000025 per share, were automatically converted into the same number of shares of the Company’s Class A common stock, par value $ 0.000025 per share, pursuant to the terms of our Amended and Restated Certificate of Incorporation. Prior to this conversion, the rights, including the liquidation and dividend rights, of the holders of our Class A and Class B common stock were identical, except with respect to voting. As the liquidation and dividend rights were identical, our undistributed earnings or losses were allocated on a proportionate basis among the holders of both Class A and Class B common stock. As a result, the net income (loss) per share attributed to common stockholders was the same for both Class A and Class B common stock on an individual or combined basis. The computation of basic and diluted net loss per share attributable to common stockholders is as follows: Three Months Ended Nine Months Ended 2022 2023 2022 2023 (in thousands, except per share data) Numerator: Net loss $ ( 111,987 ) $ ( 70,969 ) $ ( 647,609 ) $ ( 241,273 ) Denominator: Weighted average shares—basic and diluted 222,473 234,735 218,888 231,702 Net loss per share attributable to common stockholders— $ ( 0.50 ) $ ( 0.30 ) $ ( 2.96 ) $ ( 1.04 ) The potential shares of common stock that were excluded from the computation of diluted net loss per share attributable to common stockholders for the periods presented because including them would have been antidilutive are as follows: Nine Months Ended April 30, 2022 2023 (in thousands) Outstanding stock options and RSUs 25,204 28,116 Employee stock purchase plan 2,654 2,032 Common stock issuable upon the conversion of the Notes 39,968 36,986 Total 67,826 67,134 Shares that will be issued in connection with our stock awards and shares that will be purchased under the employee stock purchase plan are generally automatically converted into shares of our Class A common stock. Common stock issuable upon the conversion of convertible debt represents the antidilutive impact of the 2023 Notes, 2026 Notes and 2027 Notes under the if-converted method. |
Segment Information
Segment Information | 9 Months Ended |
Apr. 30, 2023 | |
Segment Reporting [Abstract] | |
Segment Information | NOTE 14. SEGME NT INFORMATION Our chief operating decision maker is a group which is comprised of our Chief Executive Officer and Chief Financial Officer. This group reviews financial information presented on a consolidated basis for purposes of allocating resources and evaluating financial performance. Accordingly, we have a single reportable segment. The following table sets forth revenue by geographic location based on bill-to location: Three Months Ended Nine Months Ended 2022 2023 2022 2023 (in thousands) U.S. $ 227,195 $ 233,835 $ 670,782 $ 764,972 Europe, the Middle East and Africa 96,551 124,248 278,129 346,065 Asia Pacific 67,991 77,742 208,518 226,047 Other Americas 11,921 12,756 37,827 31,601 Total revenue $ 403,658 $ 448,581 $ 1,195,256 $ 1,368,685 The following table sets forth long-lived assets, which primarily include property and equipment, net, by geographic location: As of July 31, April 30, (in thousands) United States $ 74,472 $ 79,077 International 38,968 36,388 Total long-lived assets $ 113,440 $ 115,465 |
Overview and Basis of Present_2
Overview and Basis of Presentation (Policies) | 9 Months Ended |
Apr. 30, 2023 | |
Accounting Policies [Abstract] | |
Principles of Consolidation and Significant Accounting Policies | Principles of Consolidation and Significant Accounting Policies The accompanying condensed consolidated financial statements, which include the accounts of Nutanix, Inc. and its wholly-owned subsidiaries, have been prepared in conformity with accounting principles generally accepted in the United States ("U.S. GAAP") and are consistent in all material respects with those included in our Annual Report on Form 10-K for the fiscal year ended July 31, 2022, filed with the Securities and Exchange Commission ("SEC") on September 21, 2022. All intercompany accounts and transactions have been eliminated in consolidation. The condensed consolidated financial statements are unaudited, but include all adjustments of a normal recurring nature necessary for a fair presentation of our quarterly results. The consolidated balance sheet as of July 31, 2022 is derived from audited financial statements; however, it does not include all of the information and footnotes required by U.S. GAAP for complete financial statements. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes in our Annual Report on Form 10-K for the fiscal year ended July 31, 2022 . |
Use of Estimates | Use of Estimates The preparation of interim condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. Such management estimates and assumptions include, but are not limited to, the best estimate of selling prices for products and related support; useful lives and recoverability of intangible assets and property and equipment; allowance for credit losses; determination of fair value of stock-based awards; accounting for income taxes, including the valuation allowance on deferred tax assets and uncertain tax positions; warranty liability; purchase commitment liabilities to our contract manufacturers; sales commissions expense and the period of benefit for deferred commissions; whether an arrangement is or contains a lease; the incremental borrowing rate to measure the present value of right-of-use assets and lease liabilities; the inputs used to determine the fair value of the contingent liability associated with the conversion feature of the 2.50 % convertible senior notes due 2026 (the "2026 Notes"); and contingencies and litigation. Management evaluates these estimates and assumptions on an ongoing basis using historical experience and other factors and makes adjustments when facts and circumstances dictate. As future events and their effects cannot be determined with precision, actual results could materially differ from those estimates and assumptions. |
Concentration Risk | Concentration of Risk Concentration of revenue and accounts receivable —We sell our products primarily through our Partners and occasionally directly to end customers. For the three and nine months ended April 30, 2022 and 2023 , no end customer accounted for more than 10 % of total revenue or accounts receivable. For each significant Partner, revenue as a percentage of total revenue and accounts receivable as a percentage of total accounts receivable, net are as follows: Revenue Accounts Receivable as of Three Months Ended Nine Months Ended July 31, April 30, Partners 2022 2023 2022 2023 Partner A 15 % 18 % 14 % 16 % 11 % 20 % Partner B 34 % 32 % 33 % 32 % 26 % 16 % Partner C (1) (1) 11 % 10 % (1) (1) (1) Less than 10% |
REVISION TO PRIOR PERIOD FINA_2
REVISION TO PRIOR PERIOD FINANCIAL STATEMENT (Tables) | 9 Months Ended |
Apr. 30, 2023 | |
Prior Period Adjustment [Abstract] | |
Schedule Of Condensed Financial Statements | As of July 31, 2022 As Previously Reported Adjustments As Corrected (in thousands) Condensed Consolidated Balance Sheet: Accrued expenses and other current liabilities $ 49,232 $ 10,336 $ 59,568 Total current liabilities $ 1,150,224 $ 10,336 $ 1,160,560 Total liabilities $ 3,155,917 $ 10,336 $ 3,166,253 Accumulated deficit $ ( 4,368,026 ) $ ( 10,336 ) $ ( 4,378,362 ) Total stockholders’ deficit $ ( 790,168 ) $ ( 10,336 ) $ ( 800,504 ) |
Schedule of Condensed Consolidated Statement of Operations | Three Months Ended April 30, 2022 As Previously Reported Adjustments As Corrected (in thousands) Condensed Consolidated Statement of Operations: Sales and marketing $ 234,530 $ 93 $ 234,623 Research and development $ 142,075 $ 259 $ 142,334 Total operating expenses $ 416,157 $ 352 $ 416,509 Loss from operations $ ( 92,348 ) $ ( 352 ) $ ( 92,700 ) Loss before provision for income taxes $ ( 108,024 ) $ ( 352 ) $ ( 108,376 ) Net loss $ ( 111,635 ) $ ( 352 ) $ ( 111,987 ) Net loss per share attributable to Class A and Class $ ( 0.50 ) $ ( 0.00 ) $ ( 0.50 ) Nine Months Ended April 30, 2022 As Previously Reported Adjustments As Corrected (in thousands) Condensed Consolidated Statement of Operations: Sales and marketing $ 726,196 $ 279 $ 726,475 Research and development $ 427,949 $ 782 $ 428,731 Total operating expenses $ 1,278,016 $ 1,061 $ 1,279,077 Loss from operations $ ( 324,024 ) $ ( 1,061 ) $ ( 325,085 ) Loss before provision for income taxes $ ( 633,581 ) $ ( 1,061 ) $ ( 634,642 ) Net loss $ ( 646,548 ) $ ( 1,061 ) $ ( 647,609 ) Net loss per share attributable to Class A and Class $ ( 2.95 ) $ ( 0.01 ) $ ( 2.96 ) |
Schedule of Condensed Consolidated Statement of Comprehensive Loss | Three Months Ended April 30, 2022 As Previously Reported Adjustments As Corrected (in thousands) Condensed Consolidated Statement of Comprehensive Loss: Net loss $ ( 111,635 ) $ ( 352 ) $ ( 111,987 ) Comprehensive loss $ ( 115,346 ) $ ( 352 ) $ ( 115,698 ) Nine Months Ended April 30, 2022 As Previously Reported Adjustments As Corrected (in thousands) Condensed Consolidated Statement of Comprehensive Loss: Net loss $ ( 646,548 ) $ ( 1,061 ) $ ( 647,609 ) Comprehensive loss $ ( 652,686 ) $ ( 1,061 ) $ ( 653,747 ) |
Schedule Of Condensed Consolidated Statement of Cash Flows | Nine Months Ended April 30, 2022 As Previously Reported Adjustments As Corrected (in thousands) Condensed Consolidated Statement of Cash Flows: Net loss $ ( 646,548 ) $ ( 1,061 ) $ ( 647,609 ) Accrued expenses and other liabilities $ 4,509 $ 1,061 $ 5,570 |
Schedule Of Condensed Consolidated Stockholder's Deficit | As Previously Reported Adjustments As Corrected (in thousands) Condensed Consolidated Statement of Stockholders' Deficit: Accumulated Deficit as of: July 31, 2021 $ ( 3,627,355 ) $ ( 8,928 ) $ ( 3,636,283 ) October 31, 2021 $ ( 3,990,340 ) $ ( 9,282 ) $ ( 3,999,622 ) January 31, 2022 $ ( 4,105,401 ) $ ( 9,637 ) $ ( 4,115,038 ) April 30, 2022 $ ( 4,217,036 ) $ ( 9,989 ) $ ( 4,227,025 ) July 31, 2022 $ ( 4,368,026 ) $ ( 10,336 ) $ ( 4,378,362 ) October 31, 2022 $ ( 4,467,142 ) $ ( 10,734 ) $ ( 4,477,876 ) Total Stockholders' Deficit as of: July 31, 2021 $ ( 1,012,041 ) $ ( 8,928 ) $ ( 1,020,969 ) October 31, 2021 $ ( 698,739 ) $ ( 9,282 ) $ ( 708,021 ) January 31, 2022 $ ( 725,617 ) $ ( 9,637 ) $ ( 735,254 ) April 30, 2022 $ ( 721,866 ) $ ( 9,989 ) $ ( 731,855 ) July 31, 2022 $ ( 790,168 ) $ ( 10,336 ) $ ( 800,504 ) October 31, 2022 $ ( 791,049 ) $ ( 10,734 ) $ ( 801,783 ) Net Loss for the Three Months Ended: October 31, 2021 $ ( 419,852 ) $ ( 354 ) $ ( 420,206 ) January 31, 2022 $ ( 115,061 ) $ ( 355 ) $ ( 115,416 ) April 30, 2022 $ ( 111,635 ) $ ( 352 ) $ ( 111,987 ) October 31, 2022 $ ( 99,116 ) $ ( 398 ) $ ( 99,514 ) |
Overview and Basis of Present_3
Overview and Basis of Presentation (Tables) | 9 Months Ended |
Apr. 30, 2023 | |
Accounting Policies [Abstract] | |
Schedules of Concentration of Revenue and Accounts Receivable | For each significant Partner, revenue as a percentage of total revenue and accounts receivable as a percentage of total accounts receivable, net are as follows: Revenue Accounts Receivable as of Three Months Ended Nine Months Ended July 31, April 30, Partners 2022 2023 2022 2023 Partner A 15 % 18 % 14 % 16 % 11 % 20 % Partner B 34 % 32 % 33 % 32 % 26 % 16 % Partner C (1) (1) 11 % 10 % (1) (1) (1) Less than 10% |
Revenue, Deferred Revenue and_2
Revenue, Deferred Revenue and Deferred Commissions (Tables) | 9 Months Ended |
Apr. 30, 2023 | |
Revenue Recognition and Deferred Revenue [Abstract] | |
Revenue by Arrangement, Disclosure | The following table depicts the disaggregation of revenue by revenue type, consistent with how we evaluate our financial performance: Three Months Ended Nine Months Ended 2022 2023 2022 2023 (in thousands) Subscription $ 370,496 $ 417,516 $ 1,083,141 $ 1,271,388 Non-portable software 9,368 8,345 38,247 27,003 Hardware 1,329 619 5,245 2,473 Professional services 22,465 22,101 68,623 67,821 Total revenue $ 403,658 $ 448,581 $ 1,195,256 $ 1,368,685 |
Deferred Revenue, by Arrangement, Disclosure | Significant changes in the balance of deferred revenue (contract liability) and deferred commissions (contract asset) for the periods presented are as follows: Deferred Deferred (in thousands) Balance as of July 31, 2022 $ 1,445,538 $ 367,590 Additions (1) 469,647 33,112 Revenue/commissions recognized ( 433,609 ) ( 48,325 ) Balance as of October 31, 2022 1,481,576 352,377 Additions (1) 531,230 46,439 Revenue/commissions recognized ( 486,495 ) ( 50,336 ) Balance as of January 31, 2023 1,526,311 348,480 Additions 465,610 48,571 Revenue/commissions recognized ( 448,581 ) ( 46,380 ) Balance as of April 30, 2023 $ 1,543,340 $ 350,671 (1) Includes both billed and unbilled amounts. |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Apr. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Schedule of Financial Assets and Liabilities Measured on Recurring Basis | The fair value of our financial assets measured on a recurring basis is as follows: As of July 31, 2022 Level I Level II Level III Total (in thousands) Financial Assets: Cash equivalents: Money market funds $ 227,796 $ — $ — $ 227,796 Commercial paper — 27,927 — 27,927 Short-term investments: Corporate bonds — 409,024 — 409,024 Commercial paper — 317,738 — 317,738 U.S. Government securities — 194,667 — 194,667 Total measured at fair value $ 227,796 $ 949,356 $ — $ 1,177,152 Cash 147,127 Total cash, cash equivalents and short-term investments $ 1,324,279 As of April 30, 2023 Level I Level II Level III Total (in thousands) Financial Assets: Cash equivalents: Money market funds $ 231,380 $ — $ — $ 231,380 Commercial paper — 57,823 — 57,823 Short-term investments: Corporate bonds — 462,506 — 462,506 Commercial paper — 246,700 — 246,700 U.S. Government securities — 209,364 — 209,364 Total measured at fair value $ 231,380 $ 976,393 $ — $ 1,207,773 Cash 150,715 Total cash, cash equivalents and short-term investments $ 1,358,488 The carrying values and estimated fair values of financial instruments not recorded at fair value are as follows: As of July 31, 2022 As of April 30, 2023 Carrying Estimated Carrying Estimated (in thousands) 2023 Notes $ 145,456 $ 143,154 $ — $ — 2026 Notes 589,200 759,086 639,144 899,655 2027 Notes 567,005 400,252 568,152 475,094 Total $ 1,301,661 $ 1,302,492 $ 1,207,296 $ 1,374,749 |
Balance Sheet Components (Table
Balance Sheet Components (Tables) | 9 Months Ended |
Apr. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Investments in Marketable Debt Securities, by Contractual Maturity Date | The following table summarizes the estimated fair value of our investments in marketable debt securities by their contractual maturity dates: As of (in thousands) Due within one year $ 724,789 Due in one to two years 193,781 Total $ 918,570 |
Schedule of Prepaid Expenses and Other Current Assets | Prepaid expenses and other current assets consists of the following: As of July 31, April 30, (in thousands) Prepaid operating expenses $ 48,842 $ 59,920 VAT receivables 7,514 6,325 Other current assets 37,431 55,366 Total prepaid expenses and other current assets $ 93,787 $ 121,611 |
Schedule of Property and Equipment, Net | Property and equipment, net consists of the following: As of Estimated July 31, April 30, (in months) (in thousands) Computer, production, engineering and other equipment 36 $ 341,536 $ 381,321 Demonstration units 12 61,914 61,418 Leasehold improvements (1) 61,443 65,960 Furniture and fixtures 60 16,508 16,254 Total property and equipment, gross 481,401 524,953 Less: accumulated depreciation ( 367,961 ) ( 409,488 ) Total property and equipment, net $ 113,440 $ 115,465 (1) Leasehold improvements are amortized over the shorter of the estimated useful lives of the improvements or the remaining lease term. |
Schedule of Intangible Assets, Net | There was no change in the carrying value of goodwill during the nine months ended April 30, 2023. Intangible assets, net consists of the following: As of July 31, April 30, (in thousands) Developed technology $ 79,300 $ 79,300 Customer relationships 8,860 8,860 Trade name 4,170 4,170 Total intangible assets, gross 92,330 92,330 Less: Accumulated amortization of developed technology ( 64,344 ) ( 72,122 ) Accumulated amortization of customer relationships ( 8,074 ) ( 8,704 ) Accumulated amortization of trade name ( 4,083 ) ( 4,170 ) Total accumulated amortization ( 76,501 ) ( 84,996 ) Total intangible assets, net $ 15,829 $ 7,334 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense | The estimated future amortization expense of our intangible assets is as follows: Fiscal Year Ending July 31: Amount (in thousands) 2023 (remaining three months) $ 2,361 2024 3,210 2025 1,763 Total $ 7,334 |
Schedule of Accrued Liabilities | Accrued Compensation and Benefits Accrued compensation and benefits consists of the following: As of July 31, April 30, (in thousands) Accrued commissions $ 32,886 $ 30,820 Contributions to ESPP withheld 19,174 26,924 Accrued vacation 23,140 25,372 Accrued wages and taxes 20,807 18,702 Accrued benefits 11,774 13,573 Payroll taxes payable 21,060 13,070 Accrued bonus 9,782 11,729 Other 11,188 11,977 Total accrued compensation and benefits $ 149,811 $ 152,167 Accrued expenses and other current liabilities consists of the following: As of July 31, April 30, (in thousands) Litigation settlement reserves $ 9,750 $ 71,000 Software usage liability 10,336 11,248 Income taxes payable 13,206 5,369 Accrued professional services 5,499 1,349 Other 20,777 19,999 Total accrued expenses and other current liabilities $ 59,568 $ 108,965 |
Convertible Senior Notes (Table
Convertible Senior Notes (Tables) | 9 Months Ended |
Apr. 30, 2023 | |
2023 Convertible Senior Notes | |
Debt Instrument [Line Items] | |
Components of Notes | The 2023 Notes consisted of the following: As of July 31, April 30, (in thousands) Principal amounts: Principal $ 145,704 $ 145,704 Unamortized debt issuance costs (1) ( 248 ) — Repayment of convertible senior notes — ( 145,704 ) Net carrying amount $ 145,456 $ — (1) Included in the condensed consolidated balance sheets within convertible senior notes, net and amortized over the remaining life of the 2023 Notes using the effective interest rate method. The effective interest rate was 0.41 %. |
Interest Expense Recognized | The following table sets forth the total interest expense recognized related to the 2023 Notes: Three Months Ended Nine Months Ended 2022 2023 2022 2023 (in thousands) Interest expense related to amortization of debt $ 148 $ — $ 696 $ 248 |
2026 Convertible Senior Notes | |
Debt Instrument [Line Items] | |
Components of Notes | The 2026 Notes consisted of the following: As of July 31, April 30, (in thousands) Principal amounts: Principal $ 750,000 $ 750,000 Non-cash interest expense converted to principal 27,997 47,569 Unamortized debt discount (conversion feature) (1) ( 169,438 ) ( 142,180 ) Unamortized debt issuance costs (1) ( 19,359 ) ( 16,245 ) Net carrying amount $ 589,200 $ 639,144 (1) Included in the condensed consolidated balance sheets within convertible senior notes, net and amortized over the remaining life of the 2026 Notes using the effective interest rate method. The effective interest rate is 7.05 %. |
Interest Expense Recognized | The following table sets forth the total interest expense recognized related to the 2026 Notes: Three Months Ended Nine Months Ended 2022 2023 2022 2023 (in thousands) Interest expense related to amortization of debt $ 8,619 $ 9,246 $ 25,408 $ 27,258 Interest expense related to amortization of debt 985 1,056 2,904 3,114 Non-cash interest expense 4,833 4,955 14,408 14,772 Total interest expense $ 14,437 $ 15,257 $ 42,720 $ 45,144 |
2027 Convertible Senior Notes | |
Debt Instrument [Line Items] | |
Components of Notes | The 2027 Notes consisted of the following: As of July 31, April 30, (in thousands) Principal amounts: Principal $ 575,000 $ 575,000 Unamortized debt issuance costs (1) ( 7,995 ) ( 6,848 ) Net carrying amount $ 567,005 $ 568,152 (1) Included in the condensed consolidated balance sheets within convertible senior notes, net and amortized over the remaining life of the 2027 Notes using the effective interest rate method. The effective interest rate is 0.52 %. |
Interest Expense Recognized | The following table sets forth the total interest expense recognized related to the 2027 Notes: Three Months Ended Nine Months Ended 2022 2023 2022 2023 (in thousands) Contractual interest expense $ 359 $ 548 $ 870 $ 1,266 Interest expense related to amortization of debt 381 383 921 1,147 Total interest expense $ 740 $ 931 $ 1,791 $ 2,413 |
Leases (Tables)
Leases (Tables) | 9 Months Ended |
Apr. 30, 2023 | |
Leases [Abstract] | |
Assets and Liabilities, Lessee | Supplemental balance sheet information related to leases is as follows: As of July 31, April 30, (in thousands) Operating leases: Operating lease right-of-use assets, gross $ 188,060 $ 187,835 Accumulated amortization ( 69,320 ) ( 90,031 ) Operating lease right-of-use assets, net $ 118,740 $ 97,804 Operating lease liabilities—current $ 39,801 $ 31,481 Operating lease liabilities—non-current 89,782 73,036 Total operating lease liabilities $ 129,583 $ 104,517 Weighted average remaining lease term (in years): 5.1 5.1 Weighted average discount rate: 5.7 % 5.8 % As of July 31, April 30, (in thousands) Finance leases: Finance lease right-of-use assets, gross (1) $ 13,501 $ 17,603 Accumulated amortization (1) ( 3,053 ) ( 4,644 ) Finance lease right-of-use assets , net (1) $ 10,448 $ 12,959 Finance lease liabilities—current (2) $ 2,685 $ 3,345 Finance lease liabilities—non-current (3) 7,806 10,063 Total finance lease liabilities $ 10,491 $ 13,408 Weighted average remaining lease term (in years): 3.9 3.9 Weighted average discount rate: 5.9 % 6.8 % (1) Included in the condensed consolidated balance sheets within property and equipment, net. (2) Included in the condensed consolidated balance sheets within accrued expenses and other current liabilities. (3) Included in the condensed consolidated balance sheets within other liabilities—non-current. |
Supplemental Cash Flow and Other Information Related to Leases | Supplemental cash flow and other information related to leases is as follows: Three Months Ended Nine Months Ended 2022 2023 2022 2023 (in thousands) Cash paid for amounts included in the measurement of Operating cash flows from operating leases $ 11,353 $ 11,798 $ 36,910 $ 35,561 Financing cash flows from finance leases $ 303 $ 1,367 $ 626 $ 3,711 Lease liabilities arising from obtaining right-of-use assets: Operating leases $ 1,067 $ — $ 5,017 $ 5,971 Finance leases $ 656 $ 5,468 $ 4,529 $ 7,011 |
Lessee Operating and Finance Lease, Liability, Maturity | The undiscounted cash flows for our operating lease liabilities as of April 30, 2023 were as follows: Fiscal Year Ending July 31: Operating Finance Total (in thousands) 2023 $ 8,453 $ 1,038 $ 9,491 2024 30,785 4,152 34,937 2025 18,152 4,152 22,304 2026 14,687 3,450 18,137 2027 13,461 1,740 15,201 Thereafter 38,715 795 39,510 Total lease payments 124,253 15,327 139,580 Less: imputed interest ( 19,736 ) ( 1,919 ) ( 21,655 ) Total lease obligation 104,517 13,408 117,925 Less: current lease obligations ( 31,481 ) ( 3,345 ) ( 34,826 ) Long-term lease obligations $ 73,036 $ 10,063 $ 83,099 |
Equity Incentive Plans (Tables)
Equity Incentive Plans (Tables) | 9 Months Ended |
Apr. 30, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of RSUs Activity | Below is a summary of RSU activity, including MSUs, under the Stock Plans: Number of Weighted Average (in thousands) Outstanding at July 31, 2022 22,136 $ 29.81 Granted 16,295 $ 18.66 Released ( 7,720 ) $ 28.59 Forfeited ( 3,783 ) $ 27.00 Outstanding at April 30, 2023 26,928 $ 23.82 |
Schedule of ESPP Valuation Assumptions | We use the Black-Scholes option pricing model to determine the fair value of shares purchased under the 2016 ESPP with the following weighted average assumptions on the date of grant: Nine Months Ended April 30, 2022 2023 Expected term (in years) 0.81 0.74 Risk-free interest rate 1.0 % 4.2 % Volatility 43.4 % 60.5 % Dividend yield — % — % |
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs | Total stock-based compensation expense recognized in the condensed consolidated statements of operations is as follows: Three Months Ended Nine Months Ended 2022 2023 2022 2023 (in thousands) Cost of revenue: Product $ 1,830 $ 1,831 $ 5,529 $ 6,103 Support, entitlements and other services 7,307 6,565 23,564 20,083 Sales and marketing 25,463 19,383 80,975 63,425 Research and development 35,467 32,003 109,709 107,116 General and administrative 14,439 13,126 43,321 42,426 Total stock-based compensation expense $ 84,506 $ 72,908 $ 263,098 $ 239,153 |
Net Loss Per Share (Tables)
Net Loss Per Share (Tables) | 9 Months Ended |
Apr. 30, 2023 | |
Earnings Per Share [Abstract] | |
Schedule of Basic and Diluted Net Loss Per Share | The computation of basic and diluted net loss per share attributable to common stockholders is as follows: Three Months Ended Nine Months Ended 2022 2023 2022 2023 (in thousands, except per share data) Numerator: Net loss $ ( 111,987 ) $ ( 70,969 ) $ ( 647,609 ) $ ( 241,273 ) Denominator: Weighted average shares—basic and diluted 222,473 234,735 218,888 231,702 Net loss per share attributable to common stockholders— $ ( 0.50 ) $ ( 0.30 ) $ ( 2.96 ) $ ( 1.04 ) |
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share | The potential shares of common stock that were excluded from the computation of diluted net loss per share attributable to common stockholders for the periods presented because including them would have been antidilutive are as follows: Nine Months Ended April 30, 2022 2023 (in thousands) Outstanding stock options and RSUs 25,204 28,116 Employee stock purchase plan 2,654 2,032 Common stock issuable upon the conversion of the Notes 39,968 36,986 Total 67,826 67,134 |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Apr. 30, 2023 | |
Segment Reporting [Abstract] | |
Schedule of Revenue by Geographic Area | The following table sets forth revenue by geographic location based on bill-to location: Three Months Ended Nine Months Ended 2022 2023 2022 2023 (in thousands) U.S. $ 227,195 $ 233,835 $ 670,782 $ 764,972 Europe, the Middle East and Africa 96,551 124,248 278,129 346,065 Asia Pacific 67,991 77,742 208,518 226,047 Other Americas 11,921 12,756 37,827 31,601 Total revenue $ 403,658 $ 448,581 $ 1,195,256 $ 1,368,685 |
Schedule of Long-lived Assets by Geographical Location | The following table sets forth long-lived assets, which primarily include property and equipment, net, by geographic location: As of July 31, April 30, (in thousands) United States $ 74,472 $ 79,077 International 38,968 36,388 Total long-lived assets $ 113,440 $ 115,465 |
Overview and Basis of Present_4
Overview and Basis of Presentation - Schedules of Concentration of Revenue and Accounts Receivable (Details) - Partner Concentration Risk | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Apr. 30, 2023 | Apr. 30, 2022 | Apr. 30, 2023 | Apr. 30, 2022 | Jul. 31, 2022 | |
Partner A | Revenue | |||||
Concentration Risk [Line Items] | |||||
Concentration risk percentage | 18% | 15% | 16% | 14% | |
Partner A | Accounts Receivable | |||||
Concentration Risk [Line Items] | |||||
Concentration risk percentage | 20% | 11% | |||
Partner B | Revenue | |||||
Concentration Risk [Line Items] | |||||
Concentration risk percentage | 32% | 34% | 32% | 33% | |
Partner B | Accounts Receivable | |||||
Concentration Risk [Line Items] | |||||
Concentration risk percentage | 16% | 26% | |||
Partner C | Revenue | |||||
Concentration Risk [Line Items] | |||||
Concentration risk percentage | 10% | 11% |
Overview and Basis of Present_5
Overview and Basis of Presentation - Additional Information (Details) | 3 Months Ended | 9 Months Ended | ||||
Apr. 30, 2023 | Apr. 30, 2022 | Apr. 30, 2023 | Apr. 30, 2022 | Sep. 24, 2020 | Jan. 31, 2018 | |
Partner [Member] | Customer Concentration Risk [Member] | Revenue | ||||||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||||||
Concentration risk percentage | 10% | 10% | 10% | 10% | ||
2026 Convertible Senior Notes | Convertible Debt [Member] | ||||||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||||||
Interest rate, stated percentage | 2.50% | 2.50% | 2.50% | |||
2023 Convertible Senior Notes | Convertible Debt [Member] | ||||||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||||||
Interest rate, stated percentage | 0% |
CORRECTION TO PRIOR PERIOD FINA
CORRECTION TO PRIOR PERIOD FINANCIAL STATEMENT - Summery Of impact of this revision on our condensed consolidated balance sheet (Details) - USD ($) $ in Thousands | Apr. 30, 2023 | Jan. 31, 2023 | Oct. 31, 2022 | Jul. 31, 2022 | Apr. 30, 2022 | Jan. 31, 2022 | Oct. 31, 2021 | Jul. 31, 2021 |
Condensed Consolidated Balance Sheet: | ||||||||
Accrued expenses and other current liabilities | $ 108,965 | $ 59,568 | ||||||
Total current liabilities | 1,132,850 | 1,160,560 | ||||||
Total liabilities | 3,185,064 | 3,166,253 | ||||||
Accumulated deficit | (4,619,635) | (4,378,362) | ||||||
Total stockholders’ deficit | $ (789,067) | $ (782,682) | $ (801,783) | (800,504) | $ (731,855) | $ (735,254) | $ (708,021) | $ (1,020,969) |
As Previously Reported [Member] | ||||||||
Condensed Consolidated Balance Sheet: | ||||||||
Accrued expenses and other current liabilities | 49,232 | |||||||
Total current liabilities | 1,150,224 | |||||||
Total liabilities | 3,155,917 | |||||||
Accumulated deficit | (4,467,142) | (4,368,026) | (4,217,036) | (4,105,401) | (3,990,340) | (3,627,355) | ||
Total stockholders’ deficit | (791,049) | (790,168) | (721,866) | (725,617) | (698,739) | (1,012,041) | ||
Adjustment [Member] | ||||||||
Condensed Consolidated Balance Sheet: | ||||||||
Accrued expenses and other current liabilities | 10,336 | |||||||
Total current liabilities | 10,336 | |||||||
Total liabilities | 10,336 | |||||||
Accumulated deficit | (10,734) | (10,336) | (9,989) | (9,637) | (9,282) | (8,928) | ||
Total stockholders’ deficit | (10,734) | (10,336) | (9,989) | (9,637) | (9,282) | (8,928) | ||
As Corrected [Member] | ||||||||
Condensed Consolidated Balance Sheet: | ||||||||
Accrued expenses and other current liabilities | 59,568 | |||||||
Total current liabilities | 1,160,560 | |||||||
Total liabilities | 3,166,253 | |||||||
Accumulated deficit | (4,477,876) | (4,378,362) | (4,227,025) | (4,115,038) | (3,999,622) | (3,636,283) | ||
Total stockholders’ deficit | $ (801,783) | $ (800,504) | $ (731,855) | $ (735,254) | $ (708,021) | $ (1,020,969) |
CORRECTION TO PRIOR PERIOD FI_2
CORRECTION TO PRIOR PERIOD FINANCIAL STATEMENT - Summery Of Condensed Consolidated Statement of Operations (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Apr. 30, 2023 | Oct. 31, 2022 | Apr. 30, 2022 | Jan. 31, 2022 | Oct. 31, 2021 | Apr. 30, 2023 | Apr. 30, 2022 | ||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||||
Sales and marketing | $ 229,261 | $ 234,623 | $ 695,271 | $ 726,475 | ||||
Research and development | 143,016 | 142,334 | 434,760 | 428,731 | ||||
Total operating expenses | 424,792 | 416,509 | 1,312,759 | 1,279,077 | ||||
Loss from operations | (58,640) | (92,700) | (195,803) | (325,085) | ||||
Loss before provision for income taxes | (65,808) | (108,376) | (226,499) | (634,642) | ||||
Net loss | $ (70,969) | $ (99,514) | $ (111,987) | $ (115,416) | $ (420,206) | $ (241,273) | $ (647,609) | |
Net loss per share attributable to Class A common stockholders-basic | [1] | $ (0.30) | $ (0.50) | $ (1.04) | $ (2.96) | |||
Net loss per share attributable to Class A common stockholders-diluted | [1] | $ (0.30) | $ (0.50) | $ (1.04) | $ (2.96) | |||
As Previously Reported [Member] | ||||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||||
Sales and marketing | $ 234,530 | $ 726,196 | ||||||
Research and development | 142,075 | 427,949 | ||||||
Total operating expenses | 416,157 | 1,278,016 | ||||||
Loss from operations | (92,348) | (324,024) | ||||||
Loss before provision for income taxes | (108,024) | (633,581) | ||||||
Net loss | (99,116) | $ (111,635) | (115,061) | (419,852) | $ (646,548) | |||
Net loss per share attributable to Class A common stockholders-basic | $ (0.50) | $ (2.95) | ||||||
Net loss per share attributable to Class A common stockholders-diluted | $ (0.50) | $ (2.95) | ||||||
Adjustment [Member] | ||||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||||
Sales and marketing | $ 93 | $ 279 | ||||||
Research and development | 259 | 782 | ||||||
Total operating expenses | 352 | 1,061 | ||||||
Loss from operations | (352) | (1,061) | ||||||
Loss before provision for income taxes | (352) | (1,061) | ||||||
Net loss | (398) | $ (352) | (355) | (354) | $ (1,061) | |||
Net loss per share attributable to Class A common stockholders-basic | $ 0 | $ (0.01) | ||||||
Net loss per share attributable to Class A common stockholders-diluted | $ 0 | $ (0.01) | ||||||
As Corrected [Member] | ||||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||||
Sales and marketing | $ 234,623 | $ 726,475 | ||||||
Research and development | 142,334 | 428,731 | ||||||
Total operating expenses | 416,509 | 1,279,077 | ||||||
Loss from operations | (92,700) | (325,085) | ||||||
Loss before provision for income taxes | (108,376) | (634,642) | ||||||
Net loss | $ (70,969) | $ (99,514) | $ (111,987) | $ (115,416) | $ (420,206) | $ (241,273) | $ (647,609) | |
Net loss per share attributable to Class A common stockholders-basic | $ (0.30) | $ (0.50) | $ (1.04) | $ (2.96) | ||||
Net loss per share attributable to Class A common stockholders-diluted | $ (0.30) | $ (0.50) | $ (1.04) | $ (2.96) | ||||
[1] Effective January 3, 2022, all of the then outstanding shares of Nutanix, Inc. Class B common stock were automatically converted into the same number of shares of Nutanix, Inc. Class A common stock. See Note 9 for further details. |
CORRECTION TO PRIOR PERIOD FI_3
CORRECTION TO PRIOR PERIOD FINANCIAL STATEMENT - Summery Of Condensed Consolidated Statement of Comprehensive Loss (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||||
Apr. 30, 2023 | Oct. 31, 2022 | Apr. 30, 2022 | Jan. 31, 2022 | Oct. 31, 2021 | Apr. 30, 2023 | Apr. 30, 2022 | |
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||||||
Net loss | $ (70,969) | $ (99,514) | $ (111,987) | $ (115,416) | $ (420,206) | $ (241,273) | $ (647,609) |
Comprehensive loss | (69,451) | (115,698) | (239,480) | (653,747) | |||
As Previously Reported [Member] | |||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||||||
Net loss | (99,116) | (111,635) | (115,061) | (419,852) | (646,548) | ||
Comprehensive loss | (115,346) | (652,686) | |||||
Adjustment [Member] | |||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||||||
Net loss | (398) | (352) | (355) | (354) | (1,061) | ||
Comprehensive loss | (352) | (1,061) | |||||
As Corrected [Member] | |||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||||||
Net loss | $ (70,969) | $ (99,514) | (111,987) | $ (115,416) | $ (420,206) | $ (241,273) | (647,609) |
Comprehensive loss | $ (115,698) | $ (653,747) |
CORRECTION TO PRIOR PERIOD FI_4
CORRECTION TO PRIOR PERIOD FINANCIAL STATEMENT - Summery Of Condensed Consolidated Statement of Cash Flows (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||||
Apr. 30, 2023 | Oct. 31, 2022 | Apr. 30, 2022 | Jan. 31, 2022 | Oct. 31, 2021 | Apr. 30, 2023 | Apr. 30, 2022 | |
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||||||
Net loss | $ (70,969) | $ (99,514) | $ (111,987) | $ (115,416) | $ (420,206) | $ (241,273) | $ (647,609) |
Accrued expenses and other liabilities | 53,451 | 5,570 | |||||
As Previously Reported [Member] | |||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||||||
Net loss | (99,116) | (111,635) | (115,061) | (419,852) | (646,548) | ||
Accrued expenses and other liabilities | 4,509 | ||||||
Adjustment [Member] | |||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||||||
Net loss | (398) | (352) | (355) | (354) | (1,061) | ||
Accrued expenses and other liabilities | 1,061 | ||||||
As Corrected [Member] | |||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||||||
Net loss | $ (70,969) | $ (99,514) | $ (111,987) | $ (115,416) | $ (420,206) | $ (241,273) | (647,609) |
Accrued expenses and other liabilities | $ 5,570 |
CORRECTION TO PRIOR PERIOD FI_5
CORRECTION TO PRIOR PERIOD FINANCIAL STATEMENT - Summery Condensed Consolidated Stockholder's Deficit (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||||
Apr. 30, 2023 | Oct. 31, 2022 | Apr. 30, 2022 | Jan. 31, 2022 | Oct. 31, 2021 | Apr. 30, 2023 | Apr. 30, 2022 | Jan. 31, 2023 | Jul. 31, 2022 | Jul. 31, 2021 | |
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||||||
Accumulated Deficit | $ (4,619,635) | $ (4,619,635) | $ (4,378,362) | |||||||
Total stockholders’ deficit | (789,067) | $ (801,783) | $ (731,855) | $ (735,254) | $ (708,021) | (789,067) | $ (731,855) | $ (782,682) | (800,504) | $ (1,020,969) |
Net loss | (70,969) | (99,514) | (111,987) | (115,416) | (420,206) | (241,273) | (647,609) | |||
As Previously Reported [Member] | ||||||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||||||
Accumulated Deficit | (4,467,142) | (4,217,036) | (4,105,401) | (3,990,340) | (4,217,036) | (4,368,026) | (3,627,355) | |||
Total stockholders’ deficit | (791,049) | (721,866) | (725,617) | (698,739) | (721,866) | (790,168) | (1,012,041) | |||
Net loss | (99,116) | (111,635) | (115,061) | (419,852) | (646,548) | |||||
Adjustment [Member] | ||||||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||||||
Accumulated Deficit | (10,734) | (9,989) | (9,637) | (9,282) | (9,989) | (10,336) | (8,928) | |||
Total stockholders’ deficit | (10,734) | (9,989) | (9,637) | (9,282) | (9,989) | (10,336) | (8,928) | |||
Net loss | (398) | (352) | (355) | (354) | (1,061) | |||||
As Corrected [Member] | ||||||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||||||
Accumulated Deficit | (4,477,876) | (4,227,025) | (4,115,038) | (3,999,622) | (4,227,025) | (4,378,362) | (3,636,283) | |||
Total stockholders’ deficit | (801,783) | (731,855) | (735,254) | (708,021) | (731,855) | $ (800,504) | $ (1,020,969) | |||
Net loss | $ (70,969) | $ (99,514) | $ (111,987) | $ (115,416) | $ (420,206) | $ (241,273) | $ (647,609) |
Revenue, Deferred Revenue and_3
Revenue, Deferred Revenue and Deferred Commissions - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Apr. 30, 2023 | Apr. 30, 2022 | Apr. 30, 2023 | Apr. 30, 2022 | |
Deferred Revenue Arrangement [Line Items] | ||||
Total revenue | $ 448,581 | $ 403,658 | $ 1,368,685 | $ 1,195,256 |
Amount deferred in prior period | 218,700 | 189,500 | 556,900 | 475,800 |
Contracted revenue not recognized | $ 1,700,000 | $ 1,700,000 | ||
Percent expected to be recognized in next year | 53% | 53% | ||
Ratable | ||||
Deferred Revenue Arrangement [Line Items] | ||||
Total revenue | $ 226,100 | 191,100 | $ 663,800 | 565,500 |
Upfront | ||||
Deferred Revenue Arrangement [Line Items] | ||||
Total revenue | $ 191,400 | $ 179,400 | $ 607,600 | $ 517,600 |
Minimum | ||||
Deferred Revenue Arrangement [Line Items] | ||||
Software, license term | 1 year | |||
Maximum | ||||
Deferred Revenue Arrangement [Line Items] | ||||
Software, license term | 5 years |
Revenue, Deferred Revenue and_4
Revenue, Deferred Revenue and Deferred Commissions - Revenue by Arrangement, Disclosure (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Apr. 30, 2023 | Apr. 30, 2022 | Apr. 30, 2023 | Apr. 30, 2022 | |
Condensed Income Statements, Captions [Line Items] | ||||
Total revenue | $ 448,581 | $ 403,658 | $ 1,368,685 | $ 1,195,256 |
Subscription | ||||
Condensed Income Statements, Captions [Line Items] | ||||
Total revenue | 417,516 | 370,496 | 1,271,388 | 1,083,141 |
Non-portable software | ||||
Condensed Income Statements, Captions [Line Items] | ||||
Total revenue | 8,345 | 9,368 | 27,003 | 38,247 |
Hardware | ||||
Condensed Income Statements, Captions [Line Items] | ||||
Total revenue | 619 | 1,329 | 2,473 | 5,245 |
Professional services | ||||
Condensed Income Statements, Captions [Line Items] | ||||
Total revenue | $ 22,101 | $ 22,465 | $ 67,821 | $ 68,623 |
Revenue, Deferred Revenue and_5
Revenue, Deferred Revenue and Deferred Commissions - Deferred Revenue, by Arrangement, Disclosure (Details) - USD ($) $ in Thousands | 3 Months Ended | ||||
Apr. 30, 2023 | Jan. 31, 2023 | Oct. 31, 2022 | |||
Movement in Deferred Commissions [Roll Forward] | |||||
Deferred commissions, beginning balance | $ 348,480 | $ 352,377 | $ 367,590 | ||
Additions | 48,571 | 46,439 | [1] | 33,112 | [1] |
Revenue/commissions recognized | (46,380) | (50,336) | (48,325) | ||
Deferred commissions, ending balance | 350,671 | 348,480 | 352,377 | ||
Deferred revenue, beginning balance | 1,526,311 | 1,481,576 | 1,445,538 | ||
Additions | 465,610 | 531,230 | [1] | 469,647 | [1] |
Revenue/commissions recognized | (448,581) | (486,495) | (433,609) | ||
Deferred revenue, ending balance | $ 1,543,340 | $ 1,526,311 | $ 1,481,576 | ||
[1] Includes both billed and unbilled amounts. |
Fair Value Measurements - Fair
Fair Value Measurements - Fair Value of Financial Assets and Liabilities (Details) - USD ($) $ in Thousands | Apr. 30, 2023 | Jul. 31, 2022 |
Financial Assets: | ||
Short-term investments: | $ 918,570 | $ 921,429 |
Recurring | ||
Financial Assets: | ||
Total measured at fair value | 1,207,773 | 1,177,152 |
Cash | 150,715 | 147,127 |
Total cash, cash equivalents and short-term investments | 1,358,488 | 1,324,279 |
Recurring | Corporate bonds | ||
Financial Assets: | ||
Short-term investments: | 462,506 | 409,024 |
Recurring | Money market funds | ||
Financial Assets: | ||
Cash equivalents: | 231,380 | 227,796 |
Recurring | Commercial paper | ||
Financial Assets: | ||
Cash equivalents: | 57,823 | 27,927 |
Short-term investments: | 246,700 | 317,738 |
Recurring | U.S. government securities | ||
Financial Assets: | ||
Short-term investments: | 209,364 | 194,667 |
Recurring | Level I | ||
Financial Assets: | ||
Total measured at fair value | 231,380 | 227,796 |
Recurring | Level I | Corporate bonds | ||
Financial Assets: | ||
Short-term investments: | 0 | |
Recurring | Level I | Money market funds | ||
Financial Assets: | ||
Cash equivalents: | 231,380 | 227,796 |
Recurring | Level I | Commercial paper | ||
Financial Assets: | ||
Cash equivalents: | 0 | 0 |
Short-term investments: | 0 | |
Recurring | Level I | U.S. government securities | ||
Financial Assets: | ||
Short-term investments: | 0 | |
Recurring | Level II | ||
Financial Assets: | ||
Total measured at fair value | 976,393 | 949,356 |
Recurring | Level II | Corporate bonds | ||
Financial Assets: | ||
Cash equivalents: | 462,506 | |
Short-term investments: | 409,024 | |
Recurring | Level II | Money market funds | ||
Financial Assets: | ||
Cash equivalents: | 0 | 0 |
Recurring | Level II | Commercial paper | ||
Financial Assets: | ||
Cash equivalents: | 57,823 | 27,927 |
Short-term investments: | 246,700 | 317,738 |
Recurring | Level II | U.S. government securities | ||
Financial Assets: | ||
Short-term investments: | 209,364 | 194,667 |
Recurring | Level III | ||
Financial Assets: | ||
Total measured at fair value | 0 | 0 |
Recurring | Level III | Corporate bonds | ||
Financial Assets: | ||
Cash equivalents: | 0 | |
Short-term investments: | 0 | |
Recurring | Level III | Money market funds | ||
Financial Assets: | ||
Cash equivalents: | 0 | 0 |
Recurring | Level III | Commercial paper | ||
Financial Assets: | ||
Cash equivalents: | 0 | 0 |
Short-term investments: | 0 | 0 |
Recurring | Level III | U.S. government securities | ||
Financial Assets: | ||
Short-term investments: | $ 0 | $ 0 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 9 Months Ended | |||||||
Apr. 30, 2023 | Jul. 31, 2022 | Sep. 30, 2021 | Sep. 22, 2021 | Sep. 15, 2021 | Sep. 24, 2020 | Jan. 31, 2018 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative Liability, Subject to Master Netting Arrangement, before Offset | $ 698,200 | |||||||
2023 Convertible Senior Notes | Convertible Debt | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Interest rate, stated percentage | 0% | |||||||
Unamortized debt issuance cost | [1] | $ 0 | $ 248 | |||||
Closing trading price | $ 100 | |||||||
Debt outstanding | $ 145,700 | |||||||
Repayments of debt | $ 145,700 | |||||||
2026 Convertible Senior Notes | Convertible Debt | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Interest rate, stated percentage | 2.50% | 2.50% | ||||||
Non Cash Interest Expense Converted To Principal | $ 47,569 | 27,997 | ||||||
Unamortized discount | [2] | 142,180 | 169,438 | |||||
Unamortized debt issuance cost | [2] | $ 16,245 | 19,359 | |||||
2027 Convertible Senior Notes | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Interest rate, stated percentage | 0.25% | |||||||
2027 Convertible Senior Notes | Convertible Debt | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Interest rate, stated percentage | 0.25% | 0.25% | ||||||
Unamortized debt issuance cost | [3] | $ 6,848 | $ 7,995 | |||||
Closing trading price | $ 100 | |||||||
[1] Included in the condensed consolidated balance sheets within convertible senior notes, net and amortized over the remaining life of the 2023 Notes using the effective interest rate method. The effective interest rate was 0.41 %. Included in the condensed consolidated balance sheets within convertible senior notes, net and amortized over the remaining life of the 2026 Notes using the effective interest rate method. The effective interest rate is 7.05 %. Included in the condensed consolidated balance sheets within convertible senior notes, net and amortized over the remaining life of the 2027 Notes using the effective interest rate method. The effective interest rate is 0.52 %. |
Fair Value Measurements - Non-r
Fair Value Measurements - Non-recurring Basis (Details) - Fair Value, Measurements, Nonrecurring - Convertible Debt - USD ($) $ in Thousands | Apr. 30, 2023 | Jul. 31, 2022 |
Reported Value Measurement | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Convertible senior note, fair value disclosure | $ 1,207,296 | $ 1,301,661 |
Estimate of Fair Value Measurement | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Convertible senior note, fair value disclosure | 1,374,749 | 1,302,492 |
2023 Convertible Senior Notes | Reported Value Measurement | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Convertible senior note, fair value disclosure | 0 | 145,456 |
2023 Convertible Senior Notes | Estimate of Fair Value Measurement | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Convertible senior note, fair value disclosure | 0 | 143,154 |
2026 Convertible Senior Notes | Reported Value Measurement | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Convertible senior note, fair value disclosure | 639,144 | 589,200 |
2026 Convertible Senior Notes | Estimate of Fair Value Measurement | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Convertible senior note, fair value disclosure | 899,655 | 759,086 |
2027 Convertible Senior Notes | Reported Value Measurement | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Convertible senior note, fair value disclosure | 568,152 | 567,005 |
2027 Convertible Senior Notes | Estimate of Fair Value Measurement | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Convertible senior note, fair value disclosure | $ 475,094 | $ 400,252 |
Fair Value Measurements - Sched
Fair Value Measurements - Schedule of Changes in Derivative Liability (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Apr. 30, 2023 | Apr. 30, 2022 | |
Fair Value Disclosures [Abstract] | ||
Change in fair value | $ 0 | $ 198,038 |
Balance Sheet Components - Sche
Balance Sheet Components - Schedule of Investments in Marketable Debt Securities, by Contractual Maturity Date (Details) - USD ($) $ in Thousands | Apr. 30, 2023 | Jul. 31, 2022 |
Debt Securities, Available-for-sale, Maturity, Fair Value, Rolling Maturity [Abstract] | ||
Due within one year | $ 724,789 | |
Due in one to two years | 193,781 | |
Total | $ 918,570 | $ 921,429 |
Balance Sheet Components - Sc_2
Balance Sheet Components - Schedule of Prepaid Expenses and Other Current Assets (Details) - USD ($) $ in Thousands | Apr. 30, 2023 | Jul. 31, 2022 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Prepaid operating expenses | $ 59,920 | $ 48,842 |
VAT receivables | 6,325 | 7,514 |
Other current assets | 55,366 | 37,431 |
Total prepaid expenses and other current assets | $ 121,611 | $ 93,787 |
Balance Sheet Components - Sc_3
Balance Sheet Components - Schedule of Property and Equipment, Net (Details) - USD ($) $ in Thousands | 9 Months Ended | ||
Apr. 30, 2023 | Jul. 31, 2022 | ||
Property, Plant and Equipment [Line Items] | |||
Total property and equipment, gross | $ 524,953 | $ 481,401 | |
Less: accumulated depreciation | (409,488) | (367,961) | |
Total property and equipment, net | $ 115,465 | 113,440 | |
Computer, production, engineering and other equipment | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Life | 36 months | ||
Total property and equipment, gross | $ 381,321 | 341,536 | |
Demonstration units | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Life | 12 months | ||
Total property and equipment, gross | $ 61,418 | 61,914 | |
Leasehold improvements | |||
Property, Plant and Equipment [Line Items] | |||
Total property and equipment, gross | [1] | $ 65,960 | 61,443 |
Furniture and fixtures | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Life | 60 months | ||
Total property and equipment, gross | $ 16,254 | $ 16,508 | |
[1] Leasehold improvements are amortized over the shorter of the estimated useful lives of the improvements or the remaining lease term. |
Balance Sheet Components - Addi
Balance Sheet Components - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Apr. 30, 2023 | Apr. 30, 2022 | Apr. 30, 2023 | Apr. 30, 2022 | |
Property, Plant and Equipment | ||||
Property, Plant and Equipment [Line Items] | ||||
Depreciation | $ 16 | $ 16.8 | $ 47.8 | $ 53.2 |
Balance Sheet Components - Sc_4
Balance Sheet Components - Schedule of Intangible Assets, Net (Details) - USD ($) $ in Thousands | Apr. 30, 2023 | Jul. 31, 2022 |
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets, gross | $ 92,330 | $ 92,330 |
Less: | ||
Total accumulated amortization | (84,996) | (76,501) |
Total intangible assets, net | 7,334 | 15,829 |
Developed technology | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets, gross | 79,300 | 79,300 |
Less: | ||
Total accumulated amortization | (72,122) | (64,344) |
Customer relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets, gross | 8,860 | 8,860 |
Less: | ||
Total accumulated amortization | (8,704) | (8,074) |
Trade Names | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets, gross | 4,170 | 4,170 |
Less: | ||
Total accumulated amortization | $ (4,170) | $ (4,083) |
Balance Sheet Components - Sc_5
Balance Sheet Components - Schedule of Finite-lived Intangible Assets, Future Amortization Expense (Details) $ in Thousands | Apr. 30, 2023 USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2023 (remaining three months) | $ 2,361 |
2024 | 3,210 |
2025 | 1,763 |
Total | $ 7,334 |
Balance Sheet Components - Sc_6
Balance Sheet Components - Schedule of Accrued Compensation Benefits (Details) - USD ($) $ in Thousands | Apr. 30, 2023 | Jul. 31, 2022 |
Employee-related Liabilities, Current [Abstract] | ||
Accrued commissions | $ 30,820 | $ 32,886 |
Contributions to ESPP withheld | 26,924 | 19,174 |
Accrued vacation | 25,372 | 23,140 |
Accrued Wages and Taxes | 18,702 | 20,807 |
Accrued benefits | 13,573 | 11,774 |
Payroll taxes payable | 13,070 | 21,060 |
Accrued bonus | 11,729 | 9,782 |
Other | 11,977 | 11,188 |
Total accrued compensation and benefits | $ 152,167 | $ 149,811 |
Balance Sheet Components - Sc_7
Balance Sheet Components - Schedule of Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands | Apr. 30, 2023 | Jul. 31, 2022 |
Other Liabilities Disclosure [Abstract] | ||
Litigation settlement reserves | $ 71,000 | $ 9,750 |
Software usage liability | 11,248 | 10,336 |
Income taxes payable | 5,369 | 13,206 |
Accrued professional services | 1,349 | 5,499 |
Other | 19,999 | 20,777 |
Accrued expenses and other current liabilities | $ 108,965 | $ 59,568 |
Convertible Senior Notes - Addi
Convertible Senior Notes - Additional Information (Details) | 1 Months Ended | 9 Months Ended | |||||||
Sep. 30, 2020 USD ($) | Sep. 24, 2020 USD ($) d $ / shares | Jan. 31, 2023 USD ($) | Sep. 30, 2021 USD ($) d $ / shares shares | Apr. 30, 2023 USD ($) | Apr. 30, 2022 USD ($) | Jul. 31, 2022 USD ($) | Sep. 22, 2021 USD ($) | Jan. 31, 2018 USD ($) $ / shares | |
Debt Instrument [Line Items] | |||||||||
Payments for unwinding of warrants | $ 0 | $ (18,390,000) | |||||||
Proceeds from unwinding of convertible note hedges | 0 | 39,880,000 | |||||||
Loss on debt extinguishment | 0 | (64,910,000) | |||||||
Proceeds from the issuance of convertible notes, net of issuance costs | 0 | $ 88,687,000 | |||||||
2023 Convertible Senior Notes | |||||||||
Debt Instrument [Line Items] | |||||||||
Loss on debt extinguishment | $ 64,900,000 | ||||||||
Number of securities called by warrants or rights (in shares) | shares | 11,800,000 | ||||||||
Payments for convertible note hedges | $ 143,200,000 | ||||||||
Exercise price of warrants (in dollars per share) | $ / shares | $ 73.46 | ||||||||
Proceeds from issuance of warrants | $ 88,000,000 | ||||||||
2027 Convertible Senior Notes | |||||||||
Debt Instrument [Line Items] | |||||||||
Interest rate, stated percentage | 0.25% | ||||||||
Principal | $ 1,000 | ||||||||
Convertible Debt | 2023 Convertible Senior Notes | |||||||||
Debt Instrument [Line Items] | |||||||||
Interest rate, stated percentage | 0% | ||||||||
Face amount | $ 575,000,000 | ||||||||
Principal | 145,704,000 | $ 145,704,000 | |||||||
Debt outstanding | $ 145,700,000 | ||||||||
Repayments of debt | $ 145,700,000 | ||||||||
Convertible debt | 416,500,000 | ||||||||
Repurchase amount | 12,800,000 | ||||||||
Proceeds from unwind transactions | 21,500,000 | ||||||||
Payments for unwinding of warrants | (18,400,000) | ||||||||
Proceeds from unwinding of convertible note hedges | $ 39,900,000 | ||||||||
Conversion price (in dollars per share) | $ / shares | $ 48.85 | ||||||||
Convertible Debt | 2026 Convertible Senior Notes | |||||||||
Debt Instrument [Line Items] | |||||||||
Interest rate, stated percentage | 2.50% | 2.50% | |||||||
Face amount | $ 750,000,000 | ||||||||
Principal | $ 750,000,000 | 750,000,000 | |||||||
Conversion ratio | 36.036 | ||||||||
Conversion price (in dollars per share) | $ / shares | $ 27.75 | $ 27.75 | |||||||
Threshold trading days | d | 20 | ||||||||
Threshold consecutive trading days | d | 30 | ||||||||
Threshold percentage of stock price trigger | 150% | ||||||||
Redemption price, percentage | 100% | ||||||||
Debt instrument, term | 3 years 4 months 24 days | ||||||||
Proceeds from the issuance of convertible notes, net of issuance costs | 723,700,000 | ||||||||
Payments of debt issuance costs | $ 26,300,000 | ||||||||
Debt instrument, principal amount for conversion into common stock | $ 1,000 | $ 1,000 | |||||||
Derivative liability | $ 230,900,000 | 698,200,000 | |||||||
Debt Instrument convertible conversion price 1 | 1,000 | ||||||||
Convertible Debt | 2026 Convertible Senior Notes | Common Class A [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt Instrument convertible conversion excess value | $ 1,000 | ||||||||
Convertible Debt | 2027 Convertible Senior Notes | |||||||||
Debt Instrument [Line Items] | |||||||||
Interest rate, stated percentage | 0.25% | 0.25% | |||||||
Face amount | $ 575,000,000 | ||||||||
Principal | $ 575,000,000 | $ 575,000,000 | |||||||
Convertible debt | 477,300,000 | ||||||||
Debt instrument for cash, net | 88,400,000 | ||||||||
Notes for cash | 97,700,000 | ||||||||
Repurchase amount | $ 14,700,000 | ||||||||
Conversion ratio | 17.3192 | ||||||||
Conversion price (in dollars per share) | $ / shares | $ 57.74 | ||||||||
Threshold trading days | d | 20 | ||||||||
Threshold consecutive trading days | d | 30 | ||||||||
Redemption price, percentage | 100% | ||||||||
Debt instrument, term | 4 years 4 months 24 days | ||||||||
Debt instrument, principal amount for conversion into common stock | $ 1,000 | ||||||||
Convertible Debt | 2027 Convertible Senior Notes | Minimum | |||||||||
Debt Instrument [Line Items] | |||||||||
Threshold percentage of stock price trigger | 130% | ||||||||
Convertible Debt | 2027 Convertible Senior Notes | Common Class A [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Repurchase amount | $ 58,500,000 | ||||||||
Number of share repurchase | shares | 1,400,000 | ||||||||
Convertible Debt | 2027 Convertible Senior Notes | Common Class A [Member] | Maximum | |||||||||
Debt Instrument [Line Items] | |||||||||
Threshold percentage of stock price trigger | 98% | ||||||||
Convertible Debt | Exchange Transactions | 2023 Convertible Senior Notes | |||||||||
Debt Instrument [Line Items] | |||||||||
Face amount | 416,500,000 | ||||||||
Convertible Debt | Exchange Transactions | 2027 Convertible Senior Notes | |||||||||
Debt Instrument [Line Items] | |||||||||
Face amount | 477,300,000 | ||||||||
Convertible Debt | Cash Transaction | |||||||||
Debt Instrument [Line Items] | |||||||||
Repayments of debt | $ 145,700,000 | ||||||||
Convertible Debt | Cash Transaction | 2023 Convertible Senior Notes | |||||||||
Debt Instrument [Line Items] | |||||||||
Repurchase amount | $ 12,800,000 |
Convertible Senior Notes - Net
Convertible Senior Notes - Net Proceeds from Notes (Details) - Convertible Debt - 2023 Convertible Senior Notes - USD ($) $ in Thousands | Apr. 30, 2023 | Jul. 31, 2022 | |
Debt Instrument [Line Items] | |||
Principal | $ 145,704 | $ 145,704 | |
Unamortized debt issuance costs | [1] | 0 | (248) |
Repayment of convertible senior notes | (145,704) | 0 | |
Net carrying amount | $ 0 | $ 145,456 | |
[1] Included in the condensed consolidated balance sheets within convertible senior notes, net and amortized over the remaining life of the 2023 Notes using the effective interest rate method. The effective interest rate was 0.41 %. |
Convertible Senior Notes - Comp
Convertible Senior Notes - Components of Debt (Details) - USD ($) | 9 Months Ended | ||||
Apr. 30, 2023 | Apr. 30, 2022 | Jul. 31, 2022 | Sep. 30, 2021 | ||
Debt Instrument [Line Items] | |||||
Repayment of convertible senior notes | $ 145,704,000 | $ 0 | |||
2027 Convertible Senior Notes | |||||
Debt Instrument [Line Items] | |||||
Principal | $ 1,000 | ||||
Convertible Debt | 2023 Convertible Senior Notes | |||||
Debt Instrument [Line Items] | |||||
Principal | 145,704,000 | $ 145,704,000 | |||
Unamortized debt issuance costs | [1] | 0 | (248,000) | ||
Repayment of convertible senior notes | (145,704,000) | 0 | |||
Net carrying amount | 0 | 145,456,000 | |||
Convertible Debt | 2026 Convertible Senior Notes | |||||
Debt Instrument [Line Items] | |||||
Principal | 750,000,000 | 750,000,000 | |||
Non-cash interest expense converted to principal | 47,569,000 | 27,997,000 | |||
Unamortized debt discount | [2] | (142,180,000) | (169,438,000) | ||
Unamortized debt issuance costs | [2] | (16,245,000) | (19,359,000) | ||
Net carrying amount | 639,144,000 | 589,200,000 | |||
Convertible Debt | 2027 Convertible Senior Notes | |||||
Debt Instrument [Line Items] | |||||
Principal | 575,000,000 | 575,000,000 | |||
Unamortized debt issuance costs | [3] | (6,848,000) | (7,995,000) | ||
Net carrying amount | $ 568,152,000 | $ 567,005,000 | |||
[1] Included in the condensed consolidated balance sheets within convertible senior notes, net and amortized over the remaining life of the 2023 Notes using the effective interest rate method. The effective interest rate was 0.41 %. Included in the condensed consolidated balance sheets within convertible senior notes, net and amortized over the remaining life of the 2026 Notes using the effective interest rate method. The effective interest rate is 7.05 %. Included in the condensed consolidated balance sheets within convertible senior notes, net and amortized over the remaining life of the 2027 Notes using the effective interest rate method. The effective interest rate is 0.52 %. |
Convertible Senior Notes - Co_2
Convertible Senior Notes - Components of Notes (Parenthetical) (Details) - Convertible Debt | Apr. 30, 2023 |
2023 Convertible Senior Notes | |
Debt Instrument [Line Items] | |
Effective interest rate | 0.41% |
2026 Convertible Senior Notes | |
Debt Instrument [Line Items] | |
Effective interest rate | 7.05% |
2027 Convertible Senior Notes | |
Debt Instrument [Line Items] | |
Effective interest rate | 0.52% |
Convertible Senior Notes - Inte
Convertible Senior Notes - Interest Expense Recognized (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Apr. 30, 2023 | Apr. 30, 2022 | Apr. 30, 2023 | Apr. 30, 2022 | |
Debt Instrument [Line Items] | ||||
Non-cash interest expense | $ 14,772 | $ 14,408 | ||
Convertible Debt | 2023 Convertible Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Interest expense related to amortization of debt issuance costs | $ 0 | $ 148 | 248 | 696 |
Convertible Debt | 2026 Convertible Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Interest expense related to amortization of debt discount | 9,246 | 8,619 | 27,258 | 25,408 |
Interest expense related to amortization of debt issuance costs | 1,056 | 985 | 3,114 | 2,904 |
Non-cash interest expense | 4,955 | 4,833 | 14,772 | 14,408 |
Total interest expense | 15,257 | 14,437 | 45,144 | 42,720 |
Convertible Debt | 2027 Convertible Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Contractual interest expense | 548 | 359 | 1,266 | 870 |
Interest expense related to amortization of debt issuance costs | 383 | 381 | 1,147 | 921 |
Total interest expense | $ 931 | $ 740 | $ 2,413 | $ 1,791 |
Leases - Additional Information
Leases - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Apr. 30, 2023 | Apr. 30, 2022 | Apr. 30, 2023 | Apr. 30, 2022 | |
Lessee, Lease, Description [Line Items] | ||||
Operating lease, cost | $ 10.6 | $ 10.7 | $ 32.6 | $ 32.4 |
Finance lease, cost | $ 1 | $ 0.7 | 2.8 | $ 1.7 |
Operating lease expenses | $ 1.7 | |||
Minimum | ||||
Lessee, Lease, Description [Line Items] | ||||
Remaining lease term | 1 year | |||
Maximum | ||||
Lessee, Lease, Description [Line Items] | ||||
Remaining lease term | 7 years |
Leases - Supplemental Balance S
Leases - Supplemental Balance Sheet (Details) - USD ($) $ in Thousands | Apr. 30, 2023 | Jul. 31, 2022 | |
Operating leases | |||
Operating lease right-of-use assets, gross | $ 187,835 | $ 188,060 | |
Accumulated amortization | (90,031) | (69,320) | |
Operating lease right-of-use assets, net | 97,804 | 118,740 | |
Operating lease liabilities—current | 31,481 | 39,801 | |
Operating lease liabilities—non-current | 73,036 | 89,782 | |
Total lease obligation | $ 104,517 | $ 129,583 | |
Weighted average remaining lease term (in years) | 5 years 1 month 6 days | 5 years 1 month 6 days | |
Weighted average discount rate | 5.80% | 5.70% | |
Finance leases | |||
Finance lease right-of-use assets, gross | [1] | $ 17,603 | $ 13,501 |
Accumulated amortization | [1] | (4,644) | (3,053) |
Finance lease right-of-use assets, net | [1] | 12,959 | 10,448 |
Finance lease liabilities-current | [2] | 3,345 | 2,685 |
Finance lease liabilities-non-current | [3] | 10,063 | 7,806 |
Total lease obligation | $ 13,408 | $ 10,491 | |
Weighted average remaining lease term (in years) | 3 years 10 months 24 days | 3 years 10 months 24 days | |
Weighted average discount rate | 6.80% | 5.90% | |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Assets, Current | Assets, Current | |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Liabilities, Current | Liabilities, Current | |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Other Liabilities, Noncurrent | Other Liabilities, Noncurrent | |
Finance Lease, Liability, Statement of Financial Position [Extensible Enumeration] | Liabilities | Liabilities | |
[1] Included in the condensed consolidated balance sheets within property and equipment, net. Included in the condensed consolidated balance sheets within accrued expenses and other current liabilities. Included in the condensed consolidated balance sheets within other liabilities—non-current. |
Leases - Supplemental Cash Flow
Leases - Supplemental Cash Flow and Other Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Apr. 30, 2023 | Apr. 30, 2022 | Apr. 30, 2023 | Apr. 30, 2022 | |
Leases [Abstract] | ||||
Operating cash flows from operating leases | $ 11,798 | $ 11,353 | $ 35,561 | $ 36,910 |
Financing cash flows from finance leases | 1,367 | 303 | 3,711 | 626 |
Lease liabilities arising from obtaining right-of-use assets from operating leases | 0 | 1,067 | 5,971 | 5,017 |
Lease liabilities arising from obtaining right-of-use assets from finance leases | $ 5,468 | $ 656 | $ 7,011 | $ 4,529 |
Leases - Remaining Maturity Und
Leases - Remaining Maturity Under Topic 842 (Details) - USD ($) $ in Thousands | Apr. 30, 2023 | Jul. 31, 2022 | |
Operating Leases | |||
2023 | $ 8,453 | ||
2024 | 30,785 | ||
2025 | 18,152 | ||
2026 | 14,687 | ||
2027 | 13,461 | ||
Thereafter | 38,715 | ||
Total lease payments | 124,253 | ||
Less: imputed interest | (19,736) | ||
Total lease obligation | 104,517 | $ 129,583 | |
Less: current lease obligations | (31,481) | (39,801) | |
Long-term lease obligations | 73,036 | 89,782 | |
Finance leases | |||
2023 | 1,038 | ||
2024 | 4,152 | ||
2025 | 4,152 | ||
2026 | 3,450 | ||
2027 | 1,740 | ||
Thereafter | 795 | ||
Total lease payments | 15,327 | ||
Less: imputed interest | (1,919) | ||
Total lease obligation | 13,408 | 10,491 | |
Less: current lease obligations | [1] | (3,345) | (2,685) |
Long-term lease obligations | [2] | 10,063 | $ 7,806 |
Total | |||
2023 | 9,491 | ||
2024 | 34,937 | ||
2025 | 22,304 | ||
2026 | 18,137 | ||
2027 | 15,201 | ||
Thereafter | 39,510 | ||
Total lease payments | 139,580 | ||
Less: imputed interest | (21,655) | ||
Total lease obligation | 117,925 | ||
Less: current lease obligations | (34,826) | ||
Long-term lease obligations | $ 83,099 | ||
[1] Included in the condensed consolidated balance sheets within accrued expenses and other current liabilities. Included in the condensed consolidated balance sheets within other liabilities—non-current. |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Details) $ in Millions | 9 Months Ended |
Apr. 30, 2023 USD ($) | |
Loss Contingencies [Line Items] | |
Loss Contingency, Accrual, Current | $ 39.9 |
Loss Contingency, Receivable, Current | 71 |
Legal Fees | 38.5 |
Non-contract Vendors | |
Loss Contingencies [Line Items] | |
Purchase obligation | 97.4 |
Contract Manufacturer | |
Loss Contingencies [Line Items] | |
Purchase obligation | $ 57.1 |
Stockholders' Equity - Addition
Stockholders' Equity - Additional Information (Details) $ / shares in Units, $ in Thousands | 1 Months Ended | 9 Months Ended | |||
Sep. 30, 2021 USD ($) $ / shares shares | Apr. 30, 2023 USD ($) Vote $ / shares shares | Apr. 30, 2022 USD ($) | Jul. 31, 2022 $ / shares shares | Jan. 03, 2022 Class $ / shares shares | |
Class of Stock [Line Items] | |||||
Number of authorized common stock | Class | 1 | ||||
Common stock, shares authorized (in shares) | 1,042,004,000 | 1,042,004,000 | |||
Payments for repurchase of common stock | $ | $ 0 | $ 58,570 | |||
Common Class A [Member] | |||||
Class of Stock [Line Items] | |||||
Common stock, shares authorized (in shares) | 1,000,000,000 | 1,000,000,000 | |||
Common stock, par value (in dollars per share) | $ / shares | $ 0.000025 | $ 0.000025 | $ 0.000025 | ||
Common stock, shares issued (in shares) | 235,744,000 | 226,938,000 | |||
Common stock, shares outstanding (in shares) | 235,744,000 | 226,938,000 | |||
Common stock number of votes per share | Vote | 1 | ||||
Repurchase and retirement of common stock (in shares) | 1,400,000 | ||||
Stock repurchase price (in dollars per share) | $ / shares | $ 42.77 | ||||
Payments for repurchase of common stock | $ | $ 97,700 | ||||
Net cash proceeds from the issuance | $ | $ 58,500 | ||||
Common Class B [Member] | |||||
Class of Stock [Line Items] | |||||
Common stock, shares authorized (in shares) | 42,004,000 | 42,004,000 | |||
Common stock, par value (in dollars per share) | $ / shares | $ 0.000025 | $ 0.000025 | $ 0.000025 | ||
Common stock, shares issued (in shares) | 0 |
Equity Incentive Plans - Additi
Equity Incentive Plans - Additional Information (Details) $ / shares in Units, $ in Thousands | 1 Months Ended | 9 Months Ended | |||||||||
Dec. 31, 2022 USD ($) PurchasePeriod shares | Aug. 01, 2022 shares | Aug. 01, 2021 shares | Dec. 13, 2019 USD ($) PurchasePeriod shares | Dec. 13, 2019 USD ($) PurchasePeriod shares | Aug. 31, 2022 $ / shares shares | Oct. 31, 2021 $ / shares shares | Dec. 31, 2020 $ / shares shares | Sep. 30, 2016 shares | Apr. 30, 2023 USD ($) Plan $ / shares shares | Apr. 30, 2022 USD ($) | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Number of equity incentive plans | Plan | 3 | ||||||||||
Shares reserved for future issuance (in shares) | 42,500,000 | ||||||||||
Number of shares available for grant (in shares) | 14,400,000 | ||||||||||
Grants in period (in shares) | 0 | ||||||||||
Exercises in period (in shares) | 500,000 | ||||||||||
Weighted average exercise price (in dollars per share) | $ / shares | $ 6.58 | ||||||||||
Options outstanding (in shares) | 1,200,000 | ||||||||||
Outstanding options, weighted average exercise price (in dollars per share) | $ / shares | $ 6.05 | ||||||||||
Contractual term | 1 year 3 months 18 days | ||||||||||
Options outstanding, intrinsic value | $ | $ 20,700 | ||||||||||
Monetary cap | $ | $ 25,000 | $ 25,000 | $ 25,000 | ||||||||
Share cap (in shares) | 1,000 | 1,000 | |||||||||
Offering period duration (in months) | 12 months | 12 months | |||||||||
Number of six-month purchase periods | PurchasePeriod | 2 | 2 | 2 | ||||||||
Proceeds from stock plans | $ | 23,268 | $ 66,644 | |||||||||
Compensation not yet recognized | $ | $ 573,000 | ||||||||||
Period for recognition (in years) | 2 years 7 months 6 days | ||||||||||
RSUs | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Granted (in shares) | 16,295,000 | ||||||||||
Granted (in dollars per share) | $ / shares | $ 18.66 | ||||||||||
Common Class A [Member] | Employee Stock | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Shares reserved for future issuance (in shares) | 13,800,000 | 13,800,000 | 13,800,000 | ||||||||
Employee Stock Purchase Plan | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Shares reserved for future issuance (in shares) | 13,800,000 | ||||||||||
Percent of eligible compensation (up to) | 15% | 15% | 15% | ||||||||
Purchase price of common stock, percent | 85% | 85% | |||||||||
ESPP stock issued during period (in shares) | 1,000,000 | ||||||||||
2016 Plan | Common Class A [Member] | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Shares reserved for future issuance (in shares) | 22,400,000 | ||||||||||
Annual increase (in shares) | 18,000,000 | ||||||||||
Annual increase, percent of outstanding shares | 5% | ||||||||||
Number of additional shares authorized | 11,300,000 | 10,700,000 | |||||||||
2016 Plan | Employee Stock Purchase Plan | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Proceeds from stock plans | $ | $ 18,900 | ||||||||||
Market Stock Units | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Equity instruments outstanding (in shares) | 2,000,000 | ||||||||||
Market Stock Units | RSUs | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||
Granted (in shares) | 1,300,000 | 400,000 | 700,000 | ||||||||
Granted (in dollars per share) | $ / shares | $ 27.89 | $ 46.20 | $ 35.69 | ||||||||
Vesting percentage | 200% | 200% | 133% | ||||||||
Award vesting period | 2 years 10 months 24 days | 2 years 9 months 18 days | 4 years |
Equity Incentive Plans - RSU (D
Equity Incentive Plans - RSU (Details) - RSUs | 9 Months Ended |
Apr. 30, 2023 $ / shares shares | |
Number of Shares | |
Outstanding, beginning balance (in shares) | shares | 22,136,000 |
Granted (in shares) | shares | 16,295,000 |
Released (in shares) | shares | (7,720,000) |
Forfeited (in shares) | shares | (3,783,000) |
Outstanding, ending balance (in shares) | shares | 26,928,000 |
Grant Date Fair Value per Share | |
Beginning Outstanding (in dollars per share) | $ / shares | $ 29.81 |
Granted (in dollars per share) | $ / shares | 18.66 |
Released (in dollars per share) | $ / shares | 28.59 |
Forfeited (in dollars per share) | $ / shares | 27 |
Ending Outstanding (in dollars per share) | $ / shares | $ 23.82 |
Equity Incentive Plans - ESPP (
Equity Incentive Plans - ESPP (Details) - Employee Stock Purchase Plan | 9 Months Ended | |
Apr. 30, 2023 | Apr. 30, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Expected term (in years) | 8 months 26 days | 9 months 21 days |
Risk-free interest rate | 4.20% | 1% |
Volatility | 60.50% | 43.40% |
Dividend yield | 0% | 0% |
Equity Incentive Plans - Stock
Equity Incentive Plans - Stock Based Compensation Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Apr. 30, 2023 | Apr. 30, 2022 | Apr. 30, 2023 | Apr. 30, 2022 | |
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||||
Total stock-based compensation expense | $ 72,908 | $ 84,506 | $ 239,153 | $ 263,098 |
Sales and marketing | ||||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||||
Total stock-based compensation expense | 19,383 | 25,463 | 63,425 | 80,975 |
Research and development | ||||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||||
Total stock-based compensation expense | 32,003 | 35,467 | 107,116 | 109,709 |
General and administrative | ||||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||||
Total stock-based compensation expense | 13,126 | 14,439 | 42,426 | 43,321 |
Product | Cost of revenue | ||||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||||
Total stock-based compensation expense | 1,831 | 1,830 | 6,103 | 5,529 |
Support, entitlements and other services | Cost of revenue | ||||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||||
Total stock-based compensation expense | $ 6,565 | $ 7,307 | $ 20,083 | $ 23,564 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Apr. 30, 2023 | Apr. 30, 2022 | Apr. 30, 2023 | Apr. 30, 2022 | |
Income Tax Disclosure [Abstract] | ||||
Provision for income taxes | $ 5,161 | $ 3,611 | $ 14,774 | $ 12,967 |
Restructuring Charges (Addition
Restructuring Charges (Additional Information) (Details) $ in Millions | 1 Months Ended | 9 Months Ended |
Aug. 31, 2022 Employee | Apr. 30, 2023 USD ($) | |
Restructuring Cost and Reserve [Line Items] | ||
Restructuring description | In August 2022, we announced a plan to reduce our global headcount by approximately 270 employees, which represents approximately 4% of our total employees | |
Restructuring Charges | $ 16.5 | |
Accrued compensation and benefits | 0.6 | |
Sales and marketing expense [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring Charges | 13.6 | |
Research And Development Expense [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring Charges | 2.3 | |
Support entitlements and other services cost of revenue [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring Charges | 0.4 | |
General and administrative expense [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring Charges | 0.2 | |
Employee [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Number of employees reduced our global headcount | Employee | 270 | |
Number of employees reduced our global headcount, Percent | 4% | |
One-time severance [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring Charges | $ 16.5 |
Net Loss Per Share - Computatio
Net Loss Per Share - Computation of Basic and Diluted Net Loss Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Apr. 30, 2023 | Oct. 31, 2022 | Apr. 30, 2022 | Jan. 31, 2022 | Oct. 31, 2021 | Apr. 30, 2023 | Apr. 30, 2022 | ||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||||
Net loss | $ (70,969) | $ (99,514) | $ (111,987) | $ (115,416) | $ (420,206) | $ (241,273) | $ (647,609) | |
Weighted average shares-basic | [1] | 234,735 | 222,473 | 231,702 | 218,888 | |||
Weighted average shares-diluted | [1] | 234,735 | 222,473 | 231,702 | 218,888 | |||
Net loss per share attributable to common stockholders-basic | [1] | $ (0.30) | $ (0.50) | $ (1.04) | $ (2.96) | |||
Net loss per share attributable to common stockholders-diluted | [1] | $ (0.30) | $ (0.50) | $ (1.04) | $ (2.96) | |||
Prior Period Corretion [Member] | ||||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||||
Net loss | $ (70,969) | $ (99,514) | $ (111,987) | $ (115,416) | $ (420,206) | $ (241,273) | $ (647,609) | |
Weighted average shares-basic | 234,735 | 222,473 | 231,702 | 218,888 | ||||
Weighted average shares-diluted | 234,735 | 222,473 | 231,702 | 218,888 | ||||
Net loss per share attributable to common stockholders-basic | $ (0.30) | $ (0.50) | $ (1.04) | $ (2.96) | ||||
Net loss per share attributable to common stockholders-diluted | $ (0.30) | $ (0.50) | $ (1.04) | $ (2.96) | ||||
[1] Effective January 3, 2022, all of the then outstanding shares of Nutanix, Inc. Class B common stock were automatically converted into the same number of shares of Nutanix, Inc. Class A common stock. See Note 9 for further details. |
Net Loss Per Share - Antidiluti
Net Loss Per Share - Antidilutive Securities (Details) - shares shares in Thousands | 9 Months Ended | |
Apr. 30, 2023 | Apr. 30, 2022 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of earnings per share (in shares) | 67,134 | 67,826 |
Outstanding stock options and RSUs | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of earnings per share (in shares) | 28,116 | 25,204 |
Employee stock purchase plan | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of earnings per share (in shares) | 2,032 | 2,654 |
Common stock issuable upon the conversion of the Notes | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of earnings per share (in shares) | 36,986 | 39,968 |
Net Loss Per Share - Additional
Net Loss Per Share - Additional Information (Details) - $ / shares | Apr. 30, 2023 | Jul. 31, 2022 | Jan. 03, 2022 |
Common Class A [Member] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Common Stock, Par or Stated Value Per Share | $ 0.000025 | $ 0.000025 | $ 0.000025 |
Common Class B [Member] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Common Stock, Par or Stated Value Per Share | $ 0.000025 | $ 0.000025 | $ 0.000025 |
Segment Information - Additiona
Segment Information - Additional information (Details) | 9 Months Ended |
Apr. 30, 2023 Segment | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |
Number of reportable segments | 1 |
Segment Information - Schedule
Segment Information - Schedule of Revenue by Geographic Area (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Apr. 30, 2023 | Apr. 30, 2022 | Apr. 30, 2023 | Apr. 30, 2022 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total revenue | $ 448,581 | $ 403,658 | $ 1,368,685 | $ 1,195,256 |
U.S. | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total revenue | 233,835 | 227,195 | 764,972 | 670,782 |
Europe, the Middle East and Africa | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total revenue | 124,248 | 96,551 | 346,065 | 278,129 |
Asia Pacific | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total revenue | 77,742 | 67,991 | 226,047 | 208,518 |
Other Americas | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total revenue | $ 12,756 | $ 11,921 | $ 31,601 | $ 37,827 |
Segment Information - Schedul_2
Segment Information - Schedule of Sets Forth Long-Lived Assets Include Property and Equipment, Net (Details) - USD ($) $ in Thousands | Apr. 30, 2023 | Jul. 31, 2022 |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Long-lived assets | $ 115,465 | $ 113,440 |
United States | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Long-lived assets | 79,077 | 74,472 |
Non-US [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Long-lived assets | $ 36,388 | $ 38,968 |