Nutanix (NTNX) 10-Q 5 Dec 19 2020 Q1 Quarterly report Financial data

Cover Page

Cover Page - shares	3 Months Ended
	Oct. 31, 2019	Nov. 30, 2019
Entity Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Oct. 31, 2019
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
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
Title of 12(b) Security	Class A Common Stock, $0.000025 par value per share
Trading Symbol	NTNX
Security Exchange Name	NASDAQ
Entity Central Index Key	0001618732
Current Fiscal Year End Date	--07-31
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q1
Amendment Flag	false
Common Class A
Entity Information [Line Items]
Entity Common Stock, Shares Outstanding (in shares)		175,155,784
Common Class B
Entity Information [Line Items]
Entity Common Stock, Shares Outstanding (in shares)		17,093,493

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands		Oct. 31, 2019	Jul. 31, 2019
Current assets:
Cash and cash equivalents		$ 233,820	$ 396,678
Short-term investments		655,584	512,156
Accounts receivable, net		214,883	245,475
Deferred commissions—current		51,966	46,238
Prepaid expenses and other current assets		61,654	74,665
Total current assets		1,217,907	1,275,212
Property and equipment, net		140,470	136,962
Operating lease right-of-use assets	[1]	123,002	0
Deferred commissions—non-current		120,059	107,474
Total intangible assets, net		62,428	66,773
Goodwill		185,260	185,180
Other assets—non-current		17,260	14,441
Total assets		1,866,386	1,786,042
Current liabilities:
Accounts payable		83,381	74,047
Accrued compensation and benefits		95,018	99,804
Accrued expenses and other current liabilities(1)	[1]	17,434	28,797
Deferred revenue—current		429,429	396,667
Operating lease liabilities—current	[1]	29,968	0
Total current liabilities		655,230	599,315
Deferred revenue—non-current		545,845	513,377
Operating lease liabilities—non-current	[1]	118,410	0
Convertible senior notes, net		466,545	458,910
Other liabilities—non-current	[1]	16,827	27,547
Total liabilities		1,802,857	1,599,149
Commitments and contingencies (Note 7)
Stockholders’ equity:
Preferred stock, par value of $0.000025 per share— 200,000 shares authorized as of July 31, 2019 and October 31, 2019; no shares issued and outstanding as of July 31, 2019 and October 31, 2019		0	0
Common stock, par value of $0.000025 per share—1,200,000 (1,000,000 Class A, 200,000 Class B) shares authorized as of July 31, 2019 and October 31, 2019; 188,595 (168,155 Class A and 20,440 Class B) and 192,174 (175,080 Class A and 17,094 Class B) shares issued and outstanding as of July 31, 2019 and October 31, 2019		5	5
Additional paid-in capital		1,940,899	1,835,528
Accumulated other comprehensive income		1,234	669
Accumulated deficit		(1,878,609)	(1,649,309)
Total stockholders’ equity		63,529	186,893
Total liabilities and stockholders’ equity		$ 1,866,386	$ 1,786,042
[1]	During the first quarter of fiscal 2020, we adopted Accounting Standards Update ("ASU") No. 2016-02 using the modified retrospective method and elected the transition option that allows us not to restate the comparative periods in our condensed consolidated financial statements in the year of adoption. For additional details, refer to Note 1.

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (parenthetical) - $ / shares	Oct. 31, 2019	Jul. 31, 2019
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, par value (in dollars per share)	$ 0.000025	$ 0.000025
Common stock, shares authorized (in shares)	1,200,000,000	1,200,000,000
Common stock, shares issued (in shares)	192,174,000	188,595,000
Common stock, shares outstanding (in shares)	192,174,000	188,595,000
Common Class A
Common stock, shares authorized (in shares)	1,000,000,000	1,000,000,000
Common stock, shares issued (in shares)	175,080,000	168,155,000
Common stock, shares outstanding (in shares)	175,080,000	168,155,000
Common Class B
Common stock, shares authorized (in shares)	200,000,000	200,000,000
Common stock, shares issued (in shares)	17,094,000	20,440,000
Common stock, shares outstanding (in shares)	17,094,000	20,440,000

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Oct. 31, 2019	Oct. 31, 2018
Revenue:
Total revenue	$ 314,768	$ 313,283
Cost of revenue:
Total cost of revenue	72,201	74,106
Gross profit	242,567	239,177
Operating expenses:
Sales and marketing	291,838	196,497
Research and development	138,206	110,531
General and administrative	32,860	27,339
Total operating expenses	462,904	334,367
Loss from operations	(220,337)	(95,190)
Other expense, net	(5,040)	(2,703)
Loss before (benefit from) provision for income taxes	(225,377)	(97,893)
(Benefit from) provision for income taxes	3,923	(3,628)
Net loss	$ (229,300)	$ (94,265)
Net loss per share attributable to common stockholders—basic and diluted (in dollars per share)	$ (1.21)	$ (0.54)
Weighted-average shares used in computing net loss per share attributable to common stockholders—basic and diluted (in shares)	189,671	175,446
Product
Revenue:
Total revenue	$ 192,444	$ 224,346
Cost of revenue:
Total cost of revenue	21,233	39,261
Professional Services
Revenue:
Total revenue	122,324	88,937
Cost of revenue:
Total cost of revenue	$ 50,968	$ 34,845

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($) $ in Thousands	3 Months Ended
	Oct. 31, 2019	Oct. 31, 2018
Statement of Comprehensive Income [Abstract]
Net loss	$ (229,300)	$ (94,265)
Other comprehensive loss, net of tax:
Change in unrealized (loss) gain on available-for-sale securities, net of tax	565	(166)
Comprehensive loss	$ (228,735)	$ (94,431)

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY Statement - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-In Capital	Accumulated Other Comprehensive Loss	Accumulated Deficit
Stockholders' equity, beginning balance (in shares) at Jul. 31, 2018		172,858,000
Stockholders' equity, beginning balance at Jul. 31, 2018	$ 326,779	$ 4	$ 1,355,907	$ (1,002)	$ (1,028,130)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock through employee equity incentive plans, net of repurchases (in shares)		2,629,000
Issuance of common stock through employee equity incentive plans	3,680		3,680
Issuance of common stock from ESPP purchase (in shares)		1,128,000
Issuance of common stock from ESPP purchase	26,318		26,318
Issuance of common stock in connection with a business combination (in shares)		2,451,000
Issuance of common stock in connection with an acquisition	102,978		102,978
Stock-based compensation	65,925		65,925
Stock-based compensation	70		70
Other comprehensive income	(166)			(166)
Net loss	(94,265)				(94,265)
Stockholders' equity, ending balance (in shares) at Oct. 31, 2018		179,066,000
Stockholders' equity, ending balance at Oct. 31, 2018	$ 431,319	$ 4	1,554,878	(1,168)	(1,122,395)
Stockholders' equity, beginning balance (in shares) at Jul. 31, 2019	188,595,000	188,595,000
Stockholders' equity, beginning balance at Jul. 31, 2019	$ 186,893	$ 5	1,835,528	669	(1,649,309)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock through employee equity incentive plans, net of repurchases (in shares)		2,620,000
Issuance of common stock through employee equity incentive plans	2,608		2,608
Issuance of common stock from ESPP purchase (in shares)		959,000
Issuance of common stock from ESPP purchase	21,337		21,337
Stock-based compensation	81,426		81,426
Other comprehensive income	565			565
Net loss	$ (229,300)				(229,300)
Stockholders' equity, ending balance (in shares) at Oct. 31, 2019	192,174,000	192,174,000
Stockholders' equity, ending balance at Oct. 31, 2019	$ 63,529	$ 5	$ 1,940,899	$ 1,234	$ (1,878,609)

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands		3 Months Ended
		Oct. 31, 2019	Oct. 31, 2018
Cash flows from operating activities:
Net loss		$ (229,300)	$ (94,265)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Depreciation and amortization		22,462	16,183
Stock-based compensation		81,426	65,925
Change in fair value of contingent consideration		0	(799)
Amortization of debt discount and issuance costs		7,635	7,148
Operating lease cost, net of accretion		6,671	0
Other		103	(759)
Changes in operating assets and liabilities:
Accounts receivable, net		30,592	23,497
Deferred commissions		(18,313)	(7,728)
Prepaid expenses and other assets		16,150	(3,812)
Accounts payable		5,208	1,292
Accrued compensation and benefits		(4,786)	(19,689)
Accrued expenses and other liabilities		(5,772)	(7,442)
Operating leases, net		(3,469)	0
Deferred revenue		65,230	70,273
Net cash provided by operating activities		(26,163)	49,824
Cash flows from investing activities:
Maturities of investments		171,441	143,409
Purchases of investments		(321,474)	(79,766)
Sales of investments		7,870	0
Purchases of property and equipment		(18,203)	(29,832)
Payments for business combinations, net of cash and restricted cash acquired		0	(18,662)
Net cash provided by (used in) investing activities		(160,366)	15,149
Cash flows from financing activities:
Proceeds from sales of shares through employee equity incentive plans, net of repurchases		23,973	29,890
Payment of debt in conjunction with business combinations		0	(991)
Payment of issuance costs related to convertible senior notes		0	(75)
Net cash provided by financing activities		23,973	28,824
Net increase (decrease) in cash, cash equivalents and restricted cash		(162,556)	93,797
Cash, cash equivalents and restricted cash—beginning of period		399,520	307,098
Cash, cash equivalents and restricted cash—end of period		236,964	400,895
Restricted cash	[1]	3,144	1,109
Cash and cash equivalents—end of period		233,820	399,786
Supplemental disclosures of cash flow information:
Cash paid for income taxes		7,779	3,910
Supplemental disclosures of non-cash investing and financing information:
Issuance of common stock in connection with business combinations		0	102,978
Purchases of property and equipment included in accounts payable and accrued liabilities		12,200	15,717
Vesting of early exercised stock options		$ 0	$ 70
[1]	Included within other assets—non-current in the condensed consolidated balance sheets.

OVERVIEW AND BASIS OF PRESENTAT

OVERVIEW AND BASIS OF PRESENTATION	3 Months Ended
	Oct. 31, 2019
Accounting Policies [Abstract]
OVERVIEW AND BASIS OF PRESENTATION	OVERVIEW AND BASIS 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 that consists of software solutions that power many of the world’s business applications by digitizing the traditional silos of enterprise computing . We seek to provide an enterprise cloud platform that empowers our customers to unify various clouds - private, public, distributed - into one seamless cloud, allowing enterprises to choose the right cloud for each application. Our enterprise cloud platform natively converges compute, virtualization, storage, networking, desktop and security services into one integrated, simple-to-consume solution, which allows enterprises to simplify the complexities of a multi-cloud environment with automation, cost governance and compliance. Our solutions are primarily sold through channel partners, including distributors, resellers 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, 2019 , filed with the Securities and Exchange Commission ("SEC") on September 24, 2019. 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. 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, 2019 . 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 doubtful accounts; 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 and OEMs; 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 operating right-of-use assets and lease liabilities; 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 months ended October 31, 2018 and 2019 , 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 Partners 2018 2019 July 31, October 31, 2019 Partner A 22 % 27 % 27 % 27 % Partner B 12 % 12 % (1) 16 % Partner C 12 % 12 % 18 % 11 % Partner D (1) (1) (1) 10 % Partner E 11 % (1) (1) (1) (1) Less than 10% Summary of Significant Accounting Policies Except for the accounting policy related to operating lease right-of-use ("ROU") assets and lease liabilities discussed in the "Recently Adopted Accounting Pronouncements" section below, 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, 2019 , filed with the SEC on September 24, 2019, that have had a material impact on our condensed consolidated financial statements. Recently Adopted Accounting Pronouncements In February 2016, the Financial Accounting Standards Board (the "FASB") issued Accounting Standards Update ("ASU") 2016-02, Leases ("ASC 842"), which requires the recognition of ROU assets and lease liabilities on the condensed consolidated balance sheets and additional disclosures around key information about leasing arrangements. We adopted the standard effective August 1, 2019, using a modified retrospective transition method. As a result, our consolidated balance sheet as of July 31, 2019 was not restated and continues to be reported under the previous lease standard ("ASC 840"), and is therefore not comparative. We elected the package of practical expedients permitted under the transition guidance, which allowed us to not reassess whether existing arrangements contain leases, not reassess lease classification and not reassess initial direct costs. The standard had a material impact on our condensed consolidated balance sheet, but did not have an impact on our condensed consolidated statement of operations or cash flows. The most significant impact was the recognition of ROU assets and lease liabilities for operating leases. We recognized ROU assets and lease liabilities of $120.2 million and $142.1 million , respectively, on our condensed consolidated balance sheet on August 1, 2019, which included reclassifying lease incentives, prepaid rent and deferred rent as components of the ROU asset. Refer to Note 6 for additional details. We determine if an arrangement is or contains a lease at inception by evaluating various factors, including whether a vendor’s right to substitute an identified asset is substantive. Lease classification is determined at the lease commencement date when the leased assets are made available for our use. Operating leases are included in operating lease right-of-use assets, operating lease liabilities—current and operating lease liabilities—non-current in our condensed consolidated balance sheet as of October 31, 2019. We did not have any material financing leases in the periods presented. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make payments arising from the lease. Operating lease ROU assets and liabilities are recognized at the lease commencement date based on the present value of lease payments over the lease term. The difference between the total ROU assets and total lease liabilities recorded as of August 1, 2019 is due primarily to the derecognition of deferred rent liabilities that were included in accrued expenses and other current liabilities and other liabilities—non-current in our consolidated balance sheet as of July 31, 2019. The operating lease ROU asset also includes any lease payments made prior to commencement date and excludes lease incentives. Lease payments consist primarily of fixed payments under the arrangement, less any lease incentives, such as rent holidays. Variable lease payments not dependent on an index or a rate are expensed as incurred and are not included within the ROU asset and lease liability calculation. Variable lease payments primarily include reimbursements of costs incurred by lessors for common area maintenance, property taxes and utilities. We use an estimate of our incremental borrowing rate ("IBR") based on the information available at the lease commencement date in determining the present value of lease payments, unless the implicit rate is readily determinable. In determining the appropriate IBR, we consider information including, but not limited to, our credit rating, the lease term and the currency in which the arrangement is denominated. For leases which commenced prior to our adoption of ASC 842, we used the IBR as of August 1, 2019. Our lease terms may include renewal options, which are not included 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. Lease costs are recognized on a straight-line basis as operating expenses within our condensed consolidated statements of operations. We present lease payments within cash flows from operations within the condensed consolidated statements of cash flows. For our operating leases, we elected to account for lease and non-lease components as a single lease component. Additionally, we do not record leases on the condensed consolidated balance sheet that have a lease term of 12 months or less at the lease commencement date. In February 2018, the FASB issued ASU 2018-02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income, which provides companies with an option to reclassify stranded tax effects resulting from the enactment of the Tax Cuts and Jobs Act ("TCJA") from accumulated other comprehensive income to retained earnings. We adopted the new standard effective August 1, 2019 and the adoption had no impact on our condensed consolidated financial statements. Recently Issued and Not Yet Adopted Accounting Pronouncements In June 2016, the FASB issued ASU 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which requires the measurement and recognition of expected credit losses for financial assets held at amortized cost, including trade receivables. ASU 2016-13 replaces the existing incurred loss impairment model with an expected loss model that requires the use of forward-looking information to calculate credit loss estimates. It also eliminates the concept of other-than-temporary impairment and requires credit losses related to available-for-sale debt securities to be recorded through an allowance for credit losses rather than as a reduction in the amortized cost basis of the securities. The new standard is effective for fiscal years beginning after December 15, 2019, with early adoption permitted, including interim reporting periods within those fiscal years. ASU 2016-13 is effective for us in the first quarter of fiscal 2021. We do not expect the adoption of this new standard to have a material impact on our consolidated financial statements and related disclosures. In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework-Changes to the Disclosure Requirements for Fair Value Measurement, which eliminates, adds and modifies certain disclosure requirements for fair value measurements as part of the FASB's disclosure framework project. The new standard is effective for fiscal years beginning after December 15, 2019, with early adoption permitted, including interim reporting periods within those fiscal years. ASU 2018-13 is effective for us in the first quarter of fiscal 2021. We do not expect the adoption of this new standard to have a material impact on our quarterly or annual disclosures.

REVENUE, DEFERRED REVENUE AND D

REVENUE, DEFERRED REVENUE AND DEFERRED COMMISSIONS	3 Months Ended
	Oct. 31, 2019
Revenue Recognition and Deferred Revenue [Abstract]
REVENUE, DEFERRED REVENUE AND DEFERRED COMMISSIONS	ue 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. Software can be delivered separately or on a configured-to-order appliance. When the software is not portable to other appliances, it generally has a term equal to the life of the associated appliance, while subscription term-based licenses typically have a term of one to five years . Configured-to-order appliances, including our Nutanix-branded NX hardware line, are typically sold through Partners and can be purchased from one of our OEMs or directly from Nutanix. Our enterprise cloud platform is typically purchased with one or more years of support and entitlements, which includes 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 2018 2019 (in thousands) Subscription $ 126,976 $ 217,896 Non-portable software 146,570 77,571 Hardware 32,547 9,724 Professional services 7,190 9,577 Total revenue $ 313,283 $ 314,768 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 $83.0 million and $114.9 million of our subscription revenue for the three months ended October 31, 2018 and 2019, 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 $44.0 million and $103.0 million of our subscription revenue for the three months ended October 31, 2018 and 2019, 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 have a term equal to 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 we deliver the hardware appliance, 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 — Some 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 doubtful accounts. A receivable is recognized in the period 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 days. The balance of accounts receivable, net of allowance for doubtful accounts, as of July 31, 2019 and October 31, 2019 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 amortized 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 original contract. Accordingly, the amortization of deferred costs is recognized on a systematic basis that is consistent with the pattern of revenue recognition allocated to each performance obligation 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. 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 period presented are as follows: Deferred Revenue Deferred Commissions (in thousands) Balance as of July 31, 2019 $ 910,044 $ 153,712 Additions 187,554 57,846 Revenue/commissions recognized (122,324 ) (39,533 ) Balance as of October 31, 2019 $ 975,274 $ 172,025 During the three months ended October 31, 2018 , we recognized revenue of approximately $78.8 million pertaining to amounts deferred as of July 31, 2018 . During the three months ended October 31, 2019 , we recognized revenue of approximately $109.0 million pertaining to amounts deferred as of July 31, 2019 . The majority 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 $1,005.6 million as of October 31, 2019 , of which we expect to recognize approximately 45%

FAIR VALUE MEASUREMENTS

FAIR VALUE MEASUREMENTS	3 Months Ended
	Oct. 31, 2019
Fair Value Disclosures [Abstract]
FAIR VALUE MEASUREMENTS	FAIR VALUE MEASUREMENTS The fair value of our financial assets and liabilities measured on a recurring basis is as follows: As of July 31, 2019 Level I Level II Level III Total (in thousands) Financial Assets: Cash equivalents: Money market funds $ 33,156 $ — $ — $ 33,156 Commercial paper — 103,029 — 103,029 U.S. government securities — 119,933 — 119,933 Corporate bonds — 9,996 — 9,996 Short-term investments: Corporate bonds — 354,549 — 354,549 Commercial paper — 92,851 — 92,851 U.S. government securities — 64,756 — 64,756 Total measured at fair value $ 33,156 $ 745,114 $ — $ 778,270 Cash 130,564 Total cash, cash equivalents and short-term investments $ 908,834 As of October 31, 2019 Level I Level II Level III Total (in thousands) Financial Assets: Cash equivalents: Money market funds $ 16,204 $ — $ — $ 16,204 Commercial paper — 24,939 — 24,939 Short-term investments: Corporate bonds — 402,213 — 402,213 Commercial paper — 147,667 — 147,667 U.S. government securities — 105,704 — 105,704 Total measured at fair value $ 16,204 $ 680,523 $ — $ 696,727 Cash 192,677 Total cash, cash equivalents and short-term investments $ 889,404 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 in January 2023 (the "Notes"). Financial instruments that are not recorded at fair value 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, 2019 As of October 31, 2019 Carrying Value Estimated Fair Value Carrying Value Estimated Fair Value (in thousands) Convertible senior notes, net $ 458,910 $ 527,275 $ 466,545 $ 555,013 The carrying value of the Notes as of October 31, 2019 was net of the unamortized debt discount of $102.7 million and unamortized debt issuance costs of $5.7 million . The total estimated fair value of the Notes was determined based on the closing trading price per $100 of the Notes as of the last day of trading for the period. We consider the fair value of the Notes to be a Level 2 measurement due to the limited trading activity.

BALANCE SHEET COMPONENTS

BALANCE SHEET COMPONENTS	3 Months Ended
	Oct. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
BALANCE SHEET COMPONENTS	BALANCE SHEET COMPONENTS Short-Term Investments The amortized cost of our short-term investments approximates their fair value. As of July 31, 2019 and October 31, 2019 , unrealized gains and losses from our short-term investments were not material. As of July 31, 2019 and October 31, 2019 , unrealized losses from securities that were in an unrealized loss position for more than 12 months were not material. Unrealized losses related to our short-term investments are due to interest rate fluctuations, as opposed to credit quality. As a result, at July 31, 2019 and October 31, 2019 , there were no other-than-temporary impairments 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 October 31, 2019 (in thousands) Due within one year $ 502,122 Due in one to two years 153,462 Total $ 655,584 Prepaid Expenses and Other Current Assets Prepaid expenses and other current assets consists of the following: As of July 31, October 31, (in thousands) Prepaid operating expenses $ 37,864 $ 33,126 Tenant improvement allowances — 7,354 VAT receivables 5,068 5,644 Prepaid income taxes 19,690 1,629 Other current assets 12,043 13,901 Total prepaid expenses and other current assets $ 74,665 $ 61,654 The decrease in prepaid expenses and other current assets from July 31, 2019 to October 31, 2019 was due primarily to the receipt of an $18.0 million corporate income tax refund in August 2019, partially offset by the addition of $7.4 million of tenant improvement allowances, which are recorded within prepaid expenses and other current assets on the condensed consolidated balance sheet as of October 31, 2019 as a result of our adoption of ASC 842 during the first quarter of fiscal 2020. Property and Equipment, Net Property and equipment, net consists of the following: Estimated As of July 31, October 31, (in months) (in thousands) Computer, production, engineering and other equipment 36 $ 200,762 $ 213,494 Demonstration units 12 59,981 62,519 Leasehold improvements (1) 46,520 49,856 Furniture and fixtures 60 12,868 13,601 Total property and equipment, gross 320,131 339,470 Less: accumulated depreciation (183,169 ) (199,000 ) Total property and equipment, net $ 136,962 $ 140,470 (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 $12.5 million and $18.1 million for the three months ended October 31, 2018 and 2019, respectively. Goodwill and Intangible Assets, Net The change in the carrying value of goodwill during the three months ended October 31, 2019 was not material. Intangible assets, net consists of the following: As of July 31, October 31, (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 (21,210 ) (24,904 ) Accumulated amortization of customer relationships (3,392 ) (3,782 ) Accumulated amortization of trade name (955 ) (1,216 ) Total accumulated amortization (25,557 ) (29,902 ) Total intangible assets, net $ 66,773 $ 62,428 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) 2020 (remaining nine months) $ 13,035 2021 17,380 2022 16,183 2023 10,856 2024 3,210 Thereafter 1,764 Total $ 62,428 Accrued Compensation and Benefits Accrued compensation and benefits consists of the following: As of July 31, October 31, (in thousands) Accrued commissions $ 31,703 $ 35,862 Accrued vacation 15,475 17,429 Payroll taxes payable 8,504 10,693 Contributions to ESPP withheld 20,778 10,515 Accrued bonus 11,413 7,486 Other 11,931 13,033 Total accrued compensation and benefits $ 99,804 $ 95,018

CONVERTIBLE SENIOR NOTES

CONVERTIBLE SENIOR NOTES	3 Months Ended
	Oct. 31, 2019
Debt Disclosure [Abstract]
CONVERTIBLE SENIOR NOTES	CONVERTIBLE SENIOR NOTES In January 2018, we issued Convertible Senior Notes with a 0% interest rate for an aggregate principal amount of $575.0 million , due in 2023 (the "Notes"), in a private placement to qualified institutional buyers pursuant to Rule144A under the Securities Act. This included $75.0 million in aggregate principal amount of the Notes that we issued resulting from initial purchasers fully exercising their option to purchase additional notes. There are no required principal payments prior to the maturity of the Notes. The total net proceeds from the Notes are as follows: Amount (in thousands) Principal amount $ 575,000 Less: initial purchasers' discount (10,781 ) Less: cost of the bond hedges (143,175 ) Add: proceeds from the sale of warrants 87,975 Less: other issuance costs (707 ) Net proceeds $ 508,312 The Notes do not bear any interest and will mature on January 15, 2023, unless earlier converted or repurchased in accordance with their terms. The Notes are unsecured and do not contain any financial covenants or any restrictions on the payment of dividends, or the issuance or repurchase of securities by us. Each $1,000 of principal of the Notes will initially be convertible into 20.4705 shares of our Class A common stock, which is equivalent to an initial conversion price of approximately $48.85 per share, subject to adjustment upon the occurrence of specified events. Holders of these Notes may convert their Notes at their option at any time prior to the close of the business day immediately preceding October 15, 2022, only under the following circumstances: 1) during any fiscal quarter commencing after the fiscal quarter ending on April 30, 2018 (and only during such fiscal quarter), if the last reported sale price of our Class A common stock for at least 20 trading days (whether or not consecutive) during a period of 30 consecutive trading days ending on, and including, the last trading day of the immediately preceding fiscal quarter, is greater than or equal to 130% of the conversion price on each applicable trading day; 2) during the five business day period after any five consecutive trading day period (the "measurement period") in which the trading price per $1,000 principal amount of Notes for each trading day of the measurement period was less than 98% of the product of the last reported sale price of our Class A common stock and the conversion rate for the Notes on each such trading day; or 3) upon the occurrence of certain specified corporate events. Based on the closing price of our Class A common stock of $29.22 on October 31, 2019 , the if-converted value of the Notes was lower than the principal amount. The price of our Class A common stock was not greater than or equal to 130% of the conversion price for 20 or more trading days during the 30 consecutive trading days ending on the last trading day of the quarter ended October 31, 2019 , the Notes are not convertible for the fiscal quarter commencing after October 31, 2019 . On or after October 15, 2022, holders may convert all or any portion of their Notes at any time prior to the close of business on the second scheduled trading day immediately preceding the maturity date, regardless of the foregoing conditions. Upon conversion of the 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 Notes in cash. The conversion rate will be subject to adjustment in some events, but will not be adjusted for any accrued or unpaid interest. A holder who converts their Notes in connection with certain corporate events that constitute a "make-whole fundamental change" per the indenture governing the Notes are, under certain circumstances, entitled to an increase in the conversion rate. In addition, if we undergo a fundamental change prior to the maturity date, holders may require us to repurchase for cash all or a portion of their Notes at a repurchase price equal to 100% of the principal amount of the repurchased Notes, plus accrued and unpaid interest. We may not redeem the Notes prior to the maturity date, and no sinking fund is provided for the Notes. In accounting for the issuance of the Notes, we separated the Notes into liability and equity components. The carrying amount of the liability component of approximately $423.4 million was calculated by measuring the fair value of a similar liability that does not have an associated convertible feature. The carrying amount of the equity component of approximately $151.6 million , representing the conversion option, was determined by deducting the fair value of the liability component from the par value of the Notes. The difference between the principal amount of the Notes and the liability component (the "debt discount") is amortized to interest expense using the effective interest method over the term of the Notes. The equity component of the Notes is included in additional paid-in capital in the condensed consolidated balance sheets and is not remeasured as long as it continues to meet the conditions for equity classification. We incurred transaction costs related to the issuance of the Notes of approximately $11.5 million , consisting of an initial purchasers' discount of $10.8 million and other issuance costs of approximately $0.7 million . In accounting for the transaction costs, we allocated the total amount incurred to the liability and equity components using the same proportions as the proceeds from the Notes. Transaction costs attributable to the liability component were approximately $8.5 million , recorded as debt issuance costs (presented as contra debt in the condensed consolidated balance sheets), and are being amortized to interest expense over the term of the Notes. The transaction costs attributable to the equity component were approximately $3.0 million and were net with the equity component within stockholders’ equity. The Notes consisted of the following: As of July 31, October 31, (in thousands) Principal amounts: Principal $ 575,000 $ 575,000 Unamortized debt discount (1) (109,956 ) (102,724 ) Unamortized debt issuance costs (1) (6,134 ) (5,731 ) Net carrying amount $ 458,910 $ 466,545 Carrying amount of equity component (2) $ 148,598 $ 148,598 (1) Included in the condensed consolidated balance sheets within convertible senior notes, net and amortized over the remaining life of the Notes using the effective interest rate method. The effective interest rate is 6.62% . (2) Included in the condensed consolidated balance sheets within additional paid-in capital, net of $3.0 million in equity issuance costs. As of October 31, 2019 , the remaining life of the Notes was approximately 38 months. The following table sets forth the total interest expense recognized related to the Notes: Three Months Ended 2018 2019 (in thousands) Interest expense related to amortization of debt discount $ 6,770 $ 7,232 Interest expense related to amortization of debt issuance costs 378 403 Total interest expense $ 7,148 $ 7,635 Note Hedges and Warrants Concurrently with the offering of the 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. Taken together, the purchase of the convertible note hedges and the sale of warrants are intended to offset any actual dilution from the conversion of the Notes and to effectively increase the overall conversion price from $48.85 to $73.46 per share. As these transactions meet certain accounting criteria, the convertible note hedges and warrants are recorded within stockholders’ equity and are not accounted for as derivatives. The net cost incurred in connection with the convertible note hedge and warrant transactions of approximately $55.2 million was recorded as a reduction to additional paid-in capital in the condensed consolidated balance sheets as of July 31, 2019 and October 31, 2019 . The fair value of the note hedges and warrants are not remeasured each reporting period. The amounts paid for the note hedges were tax deductible expenses, while the proceeds received from the warrants were not taxable. Impact to Earnings per Share The Notes will have no impact to diluted earnings per share ("EPS") until they meet the criteria for conversion, as discussed above, as we intend to settle the principal amount of the Notes in cash upon conversion. Under the treasury stock method, in periods when we report net income, we are required to include the effect of additional shares that may be issued under the Notes when the price of our Class A common stock exceeds the conversion price. Under this method, the cumulative dilutive effect of the Notes would be approximately 3.9 million shares if the average price of our Class A common stock was $73.46 . However, upon conversion, there will be no economic dilution from the Notes, as exercise of the note hedges eliminate any dilution that would have otherwise occurred. The note hedges are required to be excluded from the calculation of diluted earnings per share, as they would be antidilutive under the treasury stock method. The warrants will have a dilutive effect when the average share price exceeds the warrant strike price of $73.46 per share. As the price of our Class A common stock continues to increase above the warrant strike price, additional dilution would occur at a declining rate so that a $10 increase from the warrant strike price would yield a cumulative dilution of approximately 4.9 million diluted shares for EPS purposes. However, upon conversion, the note hedges would neutralize the dilution from the Notes so that there would only be dilution from the warrants, which would result in an actual dilution of approximately 1.4 million shares at a common stock price of $83.46 .

LEASES

LEASES	3 Months Ended
	Oct. 31, 2019
Leases [Abstract]
LEASES	LEASES We have operating leases for offices, research and development facilities and datacenters. 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 $8.7 million for the three months ended October 31, 2019 , excluding short-term leases and variable lease costs, which are not material. Variable lease costs primarily include common area maintenance charges. Total lease expense recognized prior to our adoption of ASC 842 was $7.2 million for the three months ended October 31, 2018 . Supplemental balance sheet information related to leases is as follows: As of October 31, 2019 (in thousands) Operating leases: Operating lease right-of-use assets, gross $ 129,673 Accumulated amortization (6,671 ) Operating lease right-of-use assets, net $ 123,002 Operating lease liabilities—current $ 29,968 Operating lease liabilities—non-current 118,410 Total operating lease liabilities $ 148,378 Weighted average remaining lease term (in years): 4.3 Weighted average discount rate: 5.6 % Supplemental cash flow and other information related to leases is as follows: Three Months Ended October 31, 2019 (in thousands) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 8,750 Lease liabilities arising from obtaining right-of-use assets: Operating leases $ 12,969 The undiscounted cash flows for our operating lease liabilities as of October 31, 2019 were as follows: Fiscal Year Ending July 31: Amount (in thousands) 2020 (remaining nine months) $ 27,473 2021 38,901 2022 37,903 2023 36,083 2024 25,177 Thereafter 3,227 Total lease payments 168,764 Less: imputed interest (20,386 ) Total lease obligation 148,378 Less: current lease obligations 29,968 Long-term lease obligations $ 118,410 As of October 31, 2019 , we have additional operating lease commitments of approximately $32.7 million on an undiscounted basis for certain office leases that have not yet commenced. The majority of these operating leases will commence during the remainder of fiscal 2020, fiscal 2021 and fiscal 2022, with lease terms of two to nine years . As previously disclosed in our Annual Report on Form 10-K for the fiscal year ended July 31, 2019, the following table summarizes the future minimum payments due under our operating leases as of July 31, 2019 , reported under ASC 840: Fiscal Year Ending July 31: Amount (in thousands) 2020 $ 39,540 2021 41,909 2022 41,332 2023 40,695 2024 30,240 Thereafter 3,511 Total $ 197,227

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	3 Months Ended
	Oct. 31, 2019
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	COMMITMENTS AND CONTINGENCIES Purchase Commitments In the normal course of business, we make commitments with our contract manufacturers and OEMs to ensure them a minimum level of financial consideration for their investment in our joint solutions. These commitments are based on revenue 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 October 31, 2019 , we had up to approximately $78.6 million of non-cancelable purchase obligations and other commitments pertaining to our daily business operations, and up to approximately $152.7 million in the form of guarantees to certain of our contract manufacturers and OEMs. Legal Proceedings 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, per the court-approved schedule, filed a consolidated amended complaint on September 9, 2019. The action is brought on behalf of those who purchased or otherwise acquired our stock between November 30, 2017 and May 30, 2019, inclusive. The consolidated amended complaint seeks monetary damages in an unspecified amount. On October 24, 2019, the defendants filed a motion to dismiss. This case is in the very early stages and we are not able to determine what, if any, liabilities will attach to these complaints. Beginning on July 1, 2019, several shareholder derivative complaints were filed in each of the U.S. District Court for the Northern District of California, the Superior Court of California for the County of San Mateo and the Superior Court of California for the County of Santa Clara, naming (i) fourteen of Nutanix’s current and former officer and directors as defendants and (ii) the Company as a nominal defendant. The complaints generally allege claims for breach of fiduciary duty, waste of corporate assets and unjust enrichment, all based on the same general underlying allegations that are contained in the securities class actions described above. The Superior Court complaints additionally allege insider trading and violation of California Corporations Code Section 25402 and the Santa Clara County Superior Court complaints further include additional claims for "abuse of control" and "gross mismanagement." In August 2019, the court consolidated the Santa Clara derivative actions into a single action, and on September 3, 2019, the court appointed a lead plaintiff pursuant to a stipulation filed by the plaintiffs. On September 17, 2019, the San Mateo court granted the plaintiff’s request for voluntary dismissal without prejudice. The defendants have not responded to any of the derivative actions to date. These cases are in the 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	3 Months Ended
	Oct. 31, 2019
Equity [Abstract]
STOCKHOLDERS’ EQUITY	STOCKHOLDERS’ EQUITY We have two classes of authorized common stock, Class A common stock and Class B common stock. As of October 31, 2019 , we had one billion shares of Class A common stock authorized, with a par value of $0.000025 per share, and 200 million shares of Class B common stock authorized, with a par value of $0.000025 per share. As of October 31, 2019 , we had 175.1 million shares of Class A common stock issued and outstanding and 17.1 million shares of Class B 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. Holders of Class B common stock are entitled to 10

EQUITY AWARD PLANS

EQUITY AWARD PLANS	3 Months Ended
	Oct. 31, 2019
Share-based Payment Arrangement [Abstract]
EQUITY AWARD PLANS	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 will 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 will also include 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, 2019, the number of shares of Class A common stock available for issuance under the 2016 Plan increased by 9.4 million shares pursuant to these provisions. As of October 31, 2019 , we had reserved a total of 50.3 million shares for the issuance of equity awards under the Stock Plans, of which 20.7 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 October 2018, the Compensation Committee of our Board of Directors approved the grant of 100,000 RSUs subject to certain market conditions ("MSUs") to our Chief Executive Officer, with a weighted average grant date fair value per unit of $25.16 . The MSUs will vest based upon the achievement of an average stock price of $80 over a performance period of approximately 4.5 years (the "Performance Period"), subject to his continuous service on each vesting date. The average stock price is calculated based on the average closing price of one share of our Class A common stock, as reported on the Nasdaq Stock Market during the 180-day period ending on the last trading day prior to each measurement date (as applicable, the "Average Stock Price"). The Average Stock Price is measured once per quarter during the Performance Period, and: • If the Average Stock Price on any given quarterly measurement date does not equal or exceed $80 , then none of the MSUs will vest that quarter, and any unvested MSUs will carry over to the next quarter (the "Carryover MSUs"); • If the Average Stock Price on any given quarterly measurement date equals or exceeds $80 , then 1/18th of the MSUs plus the applicable Carryover MSUs, if any, would vest; and/or • If the Average Stock Price never equals or exceeds $80 during the Performance Period, the MSUs would terminate at the end of the Performance Period. We used a Monte Carlo simulation to calculate the fair value of the award on the grant date. 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 Performance Period. As of October 31, 2019 , 100,000 MSUs remained outstanding. Below is a summary of RSU activity, including MSUs, under the Stock Plans: Number of Grant Date Fair Value per Share (in thousands) Outstanding at July 31, 2019 22,136 $ 36.72 Granted 3,525 $ 21.41 Released (2,145 ) $ 33.96 Forfeited (2,238 ) $ 32.00 Outstanding at October 31, 2019 21,278 $ 34.95 Stock Options We did not grant any stock options during the three months ended October 31, 2019 . A total of 0.5 million stock options were exercised during the three months ended October 31, 2019 , with an average exercise price per share of $5.35 . As of October 31, 2019 , 8.3 million stock options, with a weighted average exercise price of $5.19 per share, a weighted average remaining contractual life of 4.4 years and an aggregate intrinsic value of $198.7 million , remained outstanding. Employee Stock Purchase Plan In December 2015, the Board adopted the 2016 Employee Stock Purchase Plan ("2016 ESPP"), which was subsequently amended in January 2016 and September 2016 and approved by our stockholders in March 2016. The 2016 ESPP became effective in connection with our IPO. A total of 3.8 million shares of Class A common stock were initially reserved for issuance under the 2016 ESPP. The number of shares of Class A common stock available for sale under the 2016 ESPP also includes an annual increase on the first day of each fiscal year, beginning in fiscal 2018, equal to the lesser of: 3.8 million shares, 1% 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, 2019, the number of shares of Class A common stock available for issuance under 2016 ESPP increased by 1.9 million shares pursuant to these provisions. 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 three months ended October 31, 2019 , 1.0 million shares of common stock were purchased under the 2016 ESPP for an aggregate amount of $21.3 million . As of October 31, 2019 , 2.3 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: Three Months Ended 2018 2019 Expected term (in years) 0.79 0.92 Risk-free interest rate 2.5 % 1.9 % Volatility 49.5 % 68.7 % Dividend yield — % — % Stock-Based Compensation Total stock-based compensation expense recognized in the condensed consolidated statements of operations is as follows: Three Months Ended 2018 2019 (in thousands) Cost of revenue: Product $ 698 $ 1,112 Support, entitlements and other services 3,157 4,751 Sales and marketing 22,606 27,775 Research and development 31,009 37,563 General and administrative 8,455 10,225 Total stock-based compensation expense $ 65,925 $ 81,426 As of October 31, 2019 , unrecognized stock-based compensation expense related to outstanding stock awards was approximately $720.1 million and is expected to be recognized over a weighted average period of approximately 2.5 years

INCOME TAXES

INCOME TAXES	3 Months Ended
	Oct. 31, 2019
Income Tax Disclosure [Abstract]
INCOME TAXES	INCOME TAXES The income tax benefit of $3.6 million for the three months ended October 31, 2018 primarily consisted of a $5.9 million valuation allowance release in connection with an acquisition, partially offset by foreign taxes on our international operations and U.S. state income taxes. The net deferred tax liability recorded in connection with this acquisition provided an additional source of taxable income to support the realizability of the pre-existing deferred tax assets and as a result, we released a portion of our U.S. valuation allowance. The income tax provision of $3.9 million for the three months ended October 31, 2019 primarily consisted of foreign taxes on our international operations and U.S. state income taxes. We continue to maintain a valuation allowance for our U.S. Federal and state deferred tax assets.

NET LOSS PER SHARE

NET LOSS PER SHARE	3 Months Ended
	Oct. 31, 2019
Earnings Per Share [Abstract]
NET LOSS PER SHARE	NET LOSS 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 treasury stock 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. The rights, including the liquidation and dividend rights, of the holders of our Class A and Class B common stock are identical, except with respect to voting. As the liquidation and dividend rights are identical, our undistributed earnings or losses are 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 will, therefore, be 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 Class A and Class B common stockholders is as follows: Three Months Ended 2018 2019 (in thousands, except per share data) Numerator: Net loss $ (94,265 ) $ (229,300 ) Denominator: Weighted average shares—basic and diluted 175,446 189,671 Net loss per share attributable to common stockholders—basic and diluted $ (0.54 ) $ (1.21 ) 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: Three Months Ended 2018 2019 (in thousands) Outstanding stock options and RSUs 33,697 29,544 Employee stock purchase plan 1,596 2,845 Contingently issuable shares pursuant to business combinations 920 611 Common stock subject to repurchase 30 — Common stock warrants 34 34 Total 36,277 33,034

SEGMENT INFORMATION

SEGMENT INFORMATION	3 Months Ended
	Oct. 31, 2019
Segment Reporting [Abstract]
SEGMENT INFORMATION	SEGMENT 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 2018 2019 (in thousands) U.S. $ 181,006 $ 184,767 Asia Pacific 67,238 60,321 Europe, the Middle East and Africa 54,776 56,713 Other Americas 10,263 12,967 Total revenue $ 313,283 $ 314,768 As of July 31, 2019 and October 31, 2019 , $161.9 million and $156.3 million , respectively, of our long-lived assets, net were located in the United States.

OVERVIEW AND BASIS OF PRESENT_2

OVERVIEW AND BASIS OF PRESENTATION (Policies)	3 Months Ended
	Oct. 31, 2019
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, 2019 , filed with the Securities and Exchange Commission ("SEC") on September 24, 2019. 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. 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, 2019 .
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 doubtful accounts; 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 and OEMs; 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 operating right-of-use assets and lease liabilities; 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 months ended October 31, 2018 and 2019 , no end customer accounted for more than 10% of total revenue or accounts receivable.
Recently Issued and Adopted Accounting Pronouncements	Recently Adopted Accounting Pronouncements In February 2016, the Financial Accounting Standards Board (the "FASB") issued Accounting Standards Update ("ASU") 2016-02, Leases ("ASC 842"), which requires the recognition of ROU assets and lease liabilities on the condensed consolidated balance sheets and additional disclosures around key information about leasing arrangements. We adopted the standard effective August 1, 2019, using a modified retrospective transition method. As a result, our consolidated balance sheet as of July 31, 2019 was not restated and continues to be reported under the previous lease standard ("ASC 840"), and is therefore not comparative. We elected the package of practical expedients permitted under the transition guidance, which allowed us to not reassess whether existing arrangements contain leases, not reassess lease classification and not reassess initial direct costs. The standard had a material impact on our condensed consolidated balance sheet, but did not have an impact on our condensed consolidated statement of operations or cash flows. The most significant impact was the recognition of ROU assets and lease liabilities for operating leases. We recognized ROU assets and lease liabilities of $120.2 million and $142.1 million , respectively, on our condensed consolidated balance sheet on August 1, 2019, which included reclassifying lease incentives, prepaid rent and deferred rent as components of the ROU asset. Refer to Note 6 for additional details. We determine if an arrangement is or contains a lease at inception by evaluating various factors, including whether a vendor’s right to substitute an identified asset is substantive. Lease classification is determined at the lease commencement date when the leased assets are made available for our use. Operating leases are included in operating lease right-of-use assets, operating lease liabilities—current and operating lease liabilities—non-current in our condensed consolidated balance sheet as of October 31, 2019. We did not have any material financing leases in the periods presented. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make payments arising from the lease. Operating lease ROU assets and liabilities are recognized at the lease commencement date based on the present value of lease payments over the lease term. The difference between the total ROU assets and total lease liabilities recorded as of August 1, 2019 is due primarily to the derecognition of deferred rent liabilities that were included in accrued expenses and other current liabilities and other liabilities—non-current in our consolidated balance sheet as of July 31, 2019. The operating lease ROU asset also includes any lease payments made prior to commencement date and excludes lease incentives. Lease payments consist primarily of fixed payments under the arrangement, less any lease incentives, such as rent holidays. Variable lease payments not dependent on an index or a rate are expensed as incurred and are not included within the ROU asset and lease liability calculation. Variable lease payments primarily include reimbursements of costs incurred by lessors for common area maintenance, property taxes and utilities. We use an estimate of our incremental borrowing rate ("IBR") based on the information available at the lease commencement date in determining the present value of lease payments, unless the implicit rate is readily determinable. In determining the appropriate IBR, we consider information including, but not limited to, our credit rating, the lease term and the currency in which the arrangement is denominated. For leases which commenced prior to our adoption of ASC 842, we used the IBR as of August 1, 2019. Our lease terms may include renewal options, which are not included 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. Lease costs are recognized on a straight-line basis as operating expenses within our condensed consolidated statements of operations. We present lease payments within cash flows from operations within the condensed consolidated statements of cash flows. For our operating leases, we elected to account for lease and non-lease components as a single lease component. Additionally, we do not record leases on the condensed consolidated balance sheet that have a lease term of 12 months or less at the lease commencement date. In February 2018, the FASB issued ASU 2018-02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income, which provides companies with an option to reclassify stranded tax effects resulting from the enactment of the Tax Cuts and Jobs Act ("TCJA") from accumulated other comprehensive income to retained earnings. We adopted the new standard effective August 1, 2019 and the adoption had no impact on our condensed consolidated financial statements. Recently Issued and Not Yet Adopted Accounting Pronouncements In June 2016, the FASB issued ASU 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which requires the measurement and recognition of expected credit losses for financial assets held at amortized cost, including trade receivables. ASU 2016-13 replaces the existing incurred loss impairment model with an expected loss model that requires the use of forward-looking information to calculate credit loss estimates. It also eliminates the concept of other-than-temporary impairment and requires credit losses related to available-for-sale debt securities to be recorded through an allowance for credit losses rather than as a reduction in the amortized cost basis of the securities. The new standard is effective for fiscal years beginning after December 15, 2019, with early adoption permitted, including interim reporting periods within those fiscal years. ASU 2016-13 is effective for us in the first quarter of fiscal 2021. We do not expect the adoption of this new standard to have a material impact on our consolidated financial statements and related disclosures. In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework-Changes to the Disclosure Requirements for Fair Value Measurement, which eliminates, adds and modifies certain disclosure requirements for fair value measurements as part of the FASB's disclosure framework project. The new standard is effective for fiscal years beginning after December 15, 2019, with early adoption permitted, including interim reporting periods within those fiscal years. ASU 2018-13 is effective for us in the first quarter of fiscal 2021. We do not expect the adoption of this new standard to have a material impact on our quarterly or annual disclosures.
Revenue Recognition	one to five years

OVERVIEW AND BASIS OF PRESENT_3

OVERVIEW AND BASIS OF PRESENTATION (Tables)	3 Months Ended
	Oct. 31, 2019
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 Partners 2018 2019 July 31, October 31, 2019 Partner A 22 % 27 % 27 % 27 % Partner B 12 % 12 % (1) 16 % Partner C 12 % 12 % 18 % 11 % Partner D (1) (1) (1) 10 % Partner E 11 % (1) (1) (1) (1) Less than 10%

REVENUE, DEFERRED REVENUE AND_2

REVENUE, DEFERRED REVENUE AND DEFERRED COMMISSIONS (Tables)	3 Months Ended
	Oct. 31, 2019
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 2018 2019 (in thousands) Subscription $ 126,976 $ 217,896 Non-portable software 146,570 77,571 Hardware 32,547 9,724 Professional services 7,190 9,577 Total revenue $ 313,283 $ 314,768
Deferred Revenue, by Arrangement, Disclosure	Significant changes in the balance of deferred revenue (contract liability) and deferred commissions (contract asset) for the period presented are as follows: Deferred Revenue Deferred Commissions (in thousands) Balance as of July 31, 2019 $ 910,044 $ 153,712 Additions 187,554 57,846 Revenue/commissions recognized (122,324 ) (39,533 ) Balance as of October 31, 2019 $ 975,274 $ 172,025

FAIR VALUE MEASUREMENTS (Tables

FAIR VALUE MEASUREMENTS (Tables)	3 Months Ended
	Oct. 31, 2019
Fair Value Disclosures [Abstract]
Schedule of Financial Assets and Liabilities Measured on Recurring Basis	The carrying values and estimated fair values of financial instruments not recorded at fair value are as follows: As of July 31, 2019 As of October 31, 2019 Carrying Value Estimated Fair Value Carrying Value Estimated Fair Value (in thousands) Convertible senior notes, net $ 458,910 $ 527,275 $ 466,545 $ 555,013 The fair value of our financial assets and liabilities measured on a recurring basis is as follows: As of July 31, 2019 Level I Level II Level III Total (in thousands) Financial Assets: Cash equivalents: Money market funds $ 33,156 $ — $ — $ 33,156 Commercial paper — 103,029 — 103,029 U.S. government securities — 119,933 — 119,933 Corporate bonds — 9,996 — 9,996 Short-term investments: Corporate bonds — 354,549 — 354,549 Commercial paper — 92,851 — 92,851 U.S. government securities — 64,756 — 64,756 Total measured at fair value $ 33,156 $ 745,114 $ — $ 778,270 Cash 130,564 Total cash, cash equivalents and short-term investments $ 908,834 As of October 31, 2019 Level I Level II Level III Total (in thousands) Financial Assets: Cash equivalents: Money market funds $ 16,204 $ — $ — $ 16,204 Commercial paper — 24,939 — 24,939 Short-term investments: Corporate bonds — 402,213 — 402,213 Commercial paper — 147,667 — 147,667 U.S. government securities — 105,704 — 105,704 Total measured at fair value $ 16,204 $ 680,523 $ — $ 696,727 Cash 192,677 Total cash, cash equivalents and short-term investments $ 889,404

BALANCE SHEET COMPONENTS (Table

BALANCE SHEET COMPONENTS (Tables)	3 Months Ended
	Oct. 31, 2019
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 October 31, 2019 (in thousands) Due within one year $ 502,122 Due in one to two years 153,462 Total $ 655,584
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure	Prepaid expenses and other current assets consists of the following: As of July 31, October 31, (in thousands) Prepaid operating expenses $ 37,864 $ 33,126 Tenant improvement allowances — 7,354 VAT receivables 5,068 5,644 Prepaid income taxes 19,690 1,629 Other current assets 12,043 13,901 Total prepaid expenses and other current assets $ 74,665 $ 61,654
Schedule of Property, Plant and Equipment	Property and Equipment, Net Property and equipment, net consists of the following: Estimated As of July 31, October 31, (in months) (in thousands) Computer, production, engineering and other equipment 36 $ 200,762 $ 213,494 Demonstration units 12 59,981 62,519 Leasehold improvements (1) 46,520 49,856 Furniture and fixtures 60 12,868 13,601 Total property and equipment, gross 320,131 339,470 Less: accumulated depreciation (183,169 ) (199,000 ) Total property and equipment, net $ 136,962 $ 140,470 (1) Leasehold improvements are amortized over the shorter of the estimated useful lives of the improvements or the remaining lease term.
Schedule of Finite-Lived Intangible Assets	Intangible assets, net consists of the following: As of July 31, October 31, (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 (21,210 ) (24,904 ) Accumulated amortization of customer relationships (3,392 ) (3,782 ) Accumulated amortization of trade name (955 ) (1,216 ) Total accumulated amortization (25,557 ) (29,902 ) Total intangible assets, net $ 66,773 $ 62,428
Schedule of Indefinite-Lived Intangible Assets	Intangible assets, net consists of the following: As of July 31, October 31, (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 (21,210 ) (24,904 ) Accumulated amortization of customer relationships (3,392 ) (3,782 ) Accumulated amortization of trade name (955 ) (1,216 ) Total accumulated amortization (25,557 ) (29,902 ) Total intangible assets, net $ 66,773 $ 62,428
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) 2020 (remaining nine months) $ 13,035 2021 17,380 2022 16,183 2023 10,856 2024 3,210 Thereafter 1,764 Total $ 62,428
Schedule of Accrued Liabilities	Accrued Compensation and Benefits Accrued compensation and benefits consists of the following: As of July 31, October 31, (in thousands) Accrued commissions $ 31,703 $ 35,862 Accrued vacation 15,475 17,429 Payroll taxes payable 8,504 10,693 Contributions to ESPP withheld 20,778 10,515 Accrued bonus 11,413 7,486 Other 11,931 13,033 Total accrued compensation and benefits $ 99,804 $ 95,018

CONVERTIBLE SENIOR NOTES (Table

CONVERTIBLE SENIOR NOTES (Tables)	3 Months Ended
	Oct. 31, 2019
Debt Disclosure [Abstract]
Net Proceeds from Notes	The total net proceeds from the Notes are as follows: Amount (in thousands) Principal amount $ 575,000 Less: initial purchasers' discount (10,781 ) Less: cost of the bond hedges (143,175 ) Add: proceeds from the sale of warrants 87,975 Less: other issuance costs (707 ) Net proceeds $ 508,312
Components of Notes	The Notes consisted of the following: As of July 31, October 31, (in thousands) Principal amounts: Principal $ 575,000 $ 575,000 Unamortized debt discount (1) (109,956 ) (102,724 ) Unamortized debt issuance costs (1) (6,134 ) (5,731 ) Net carrying amount $ 458,910 $ 466,545 Carrying amount of equity component (2) $ 148,598 $ 148,598 (1) Included in the condensed consolidated balance sheets within convertible senior notes, net and amortized over the remaining life of the Notes using the effective interest rate method. The effective interest rate is 6.62% . (2) Included in the condensed consolidated balance sheets within additional paid-in capital, net of $3.0 million in equity issuance costs.
Interest Expense Recognized	The following table sets forth the total interest expense recognized related to the Notes: Three Months Ended 2018 2019 (in thousands) Interest expense related to amortization of debt discount $ 6,770 $ 7,232 Interest expense related to amortization of debt issuance costs 378 403 Total interest expense $ 7,148 $ 7,635

LEASES (Tables)

LEASES (Tables)	3 Months Ended
	Oct. 31, 2019
Leases [Abstract]
Assets and Liabilities, Lessee	Supplemental balance sheet information related to leases is as follows: As of October 31, 2019 (in thousands) Operating leases: Operating lease right-of-use assets, gross $ 129,673 Accumulated amortization (6,671 ) Operating lease right-of-use assets, net $ 123,002 Operating lease liabilities—current $ 29,968 Operating lease liabilities—non-current 118,410 Total operating lease liabilities $ 148,378 Weighted average remaining lease term (in years): 4.3 Weighted average discount rate: 5.6 %
Lease, Cost	Supplemental cash flow and other information related to leases is as follows: Three Months Ended October 31, 2019 (in thousands) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 8,750 Lease liabilities arising from obtaining right-of-use assets: Operating leases $ 12,969
Lessee, Operating Lease, Liability, Maturity	The undiscounted cash flows for our operating lease liabilities as of October 31, 2019 were as follows: Fiscal Year Ending July 31: Amount (in thousands) 2020 (remaining nine months) $ 27,473 2021 38,901 2022 37,903 2023 36,083 2024 25,177 Thereafter 3,227 Total lease payments 168,764 Less: imputed interest (20,386 ) Total lease obligation 148,378 Less: current lease obligations 29,968 Long-term lease obligations $ 118,410
Schedule of Future Minimum Rental Payments for Operating Leases	As previously disclosed in our Annual Report on Form 10-K for the fiscal year ended July 31, 2019, the following table summarizes the future minimum payments due under our operating leases as of July 31, 2019 , reported under ASC 840: Fiscal Year Ending July 31: Amount (in thousands) 2020 $ 39,540 2021 41,909 2022 41,332 2023 40,695 2024 30,240 Thereafter 3,511 Total $ 197,227

EQUITY AWARD PLANS (Tables)

EQUITY AWARD PLANS (Tables)	3 Months Ended
	Oct. 31, 2019
Share-based Payment Arrangement [Abstract]
Schedule of RSUs Activity	Below is a summary of RSU activity, including MSUs, under the Stock Plans: Number of Grant Date Fair Value per Share (in thousands) Outstanding at July 31, 2019 22,136 $ 36.72 Granted 3,525 $ 21.41 Released (2,145 ) $ 33.96 Forfeited (2,238 ) $ 32.00 Outstanding at October 31, 2019 21,278 $ 34.95
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: Three Months Ended 2018 2019 Expected term (in years) 0.79 0.92 Risk-free interest rate 2.5 % 1.9 % Volatility 49.5 % 68.7 % 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 2018 2019 (in thousands) Cost of revenue: Product $ 698 $ 1,112 Support, entitlements and other services 3,157 4,751 Sales and marketing 22,606 27,775 Research and development 31,009 37,563 General and administrative 8,455 10,225 Total stock-based compensation expense $ 65,925 $ 81,426

NET LOSS PER SHARE (Tables)

NET LOSS PER SHARE (Tables)	3 Months Ended
	Oct. 31, 2019
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 Class A and Class B common stockholders is as follows: Three Months Ended 2018 2019 (in thousands, except per share data) Numerator: Net loss $ (94,265 ) $ (229,300 ) Denominator: Weighted average shares—basic and diluted 175,446 189,671 Net loss per share attributable to common stockholders—basic and diluted $ (0.54 ) $ (1.21 )
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: Three Months Ended 2018 2019 (in thousands) Outstanding stock options and RSUs 33,697 29,544 Employee stock purchase plan 1,596 2,845 Contingently issuable shares pursuant to business combinations 920 611 Common stock subject to repurchase 30 — Common stock warrants 34 34 Total 36,277 33,034

SEGMENT INFORMATION (Tables)

SEGMENT INFORMATION (Tables)	3 Months Ended
	Oct. 31, 2019
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 2018 2019 (in thousands) U.S. $ 181,006 $ 184,767 Asia Pacific 67,238 60,321 Europe, the Middle East and Africa 54,776 56,713 Other Americas 10,263 12,967 Total revenue $ 313,283 $ 314,768

OVERVIEW AND BASIS OF PRESENT_4

OVERVIEW AND BASIS OF PRESENTATION (Details) - USD ($) $ in Thousands		3 Months Ended		12 Months Ended
		Oct. 31, 2019	Oct. 31, 2018	Jul. 31, 2018	Aug. 01, 2019	Jul. 31, 2019
Concentration Risk [Line Items]
Operating lease right-of-use assets	[1]	$ 123,002				$ 0
Operating lease, liability		$ 148,378
Accounting Standards Update 2016-02
Concentration Risk [Line Items]
Operating lease right-of-use assets					$ 120,200
Operating lease, liability					$ 142,100
Partner Concentration Risk | Revenue | Partner A
Concentration Risk [Line Items]
Concentration risk percentage		27.00%	22.00%
Partner Concentration Risk | Revenue | Partner B
Concentration Risk [Line Items]
Concentration risk percentage		12.00%	12.00%
Partner Concentration Risk | Revenue | Partner C
Concentration Risk [Line Items]
Concentration risk percentage		12.00%	12.00%
Partner Concentration Risk | Revenue | Partner E
Concentration Risk [Line Items]
Concentration risk percentage			11.00%
Partner Concentration Risk | Accounts Receivable | Partner A
Concentration Risk [Line Items]
Concentration risk percentage		27.00%		27.00%
Partner Concentration Risk | Accounts Receivable | Partner B
Concentration Risk [Line Items]
Concentration risk percentage		16.00%
Partner Concentration Risk | Accounts Receivable | Partner C
Concentration Risk [Line Items]
Concentration risk percentage		11.00%		18.00%
Partner Concentration Risk | Accounts Receivable | Partner D
Concentration Risk [Line Items]
Concentration risk percentage		10.00%
[1]	During the first quarter of fiscal 2020, we adopted Accounting Standards Update ("ASU") No. 2016-02 using the modified retrospective method and elected the transition option that allows us not to restate the comparative periods in our condensed consolidated financial statements in the year of adoption. For additional details, refer to Note 1.

REVENUE, DEFERRED REVENUE AND_3

REVENUE, DEFERRED REVENUE AND DEFERRED COMMISSIONS - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended
	Oct. 31, 2019	Oct. 31, 2018	Apr. 30, 2018
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Total revenue	$ 314,768	$ 313,283
Subscription
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Total revenue	217,896	126,976
Subscription and Circulation, Software
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Total revenue	103,000	$ 44,000
Subscription and Circulation, Software Entitlement and Support Subscription [Member]
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Total revenue	$ 114,900		$ 83,000
Minimum
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Software, license term	1 year
Maximum
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Software, license term	5 years

REVENUE, DEFERRED REVENUE AND_4

REVENUE, DEFERRED REVENUE AND DEFERRED COMMISSIONS - Schedule of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended
	Oct. 31, 2019	Oct. 31, 2018
Condensed Income Statements, Captions [Line Items]
Total revenue	$ 314,768	$ 313,283
Subscription
Condensed Income Statements, Captions [Line Items]
Total revenue	217,896	126,976
Software
Condensed Income Statements, Captions [Line Items]
Total revenue	77,571	146,570
Hardware
Condensed Income Statements, Captions [Line Items]
Total revenue	9,724	32,547
Professional Services
Condensed Income Statements, Captions [Line Items]
Total revenue	9,577	7,190
Accounting Standards Update 2014-09
Condensed Income Statements, Captions [Line Items]
Total revenue	$ 314,768	$ 313,283

REVENUE, DEFERRED REVENUE AND_5

REVENUE, DEFERRED REVENUE AND DEFERRED COMMISSIONS - Deferred Revenue/Commissions (Details) - USD ($) $ in Thousands	3 Months Ended
	Oct. 31, 2019	Oct. 31, 2018
Movement in Deferred Revenue [Roll Forward]
Deferred revenue, beginning balance	$ 910,044
Additions	187,554
Revenue recognized	(122,324)
Deferred revenue, ending balance	975,274
Movement in Deferred Commissions [Roll Forward]
Deferred commissions, beginning balance	153,712
Additions	57,846
Commissions recognized	(39,533)
Deferred commissions, ending balance	172,025
Revenue recognized, amount deferred in prior period	109,000	$ 78,800
Contracted revenue not recognized	$ 1,005,600
Percent expected to be recognized in next year	45.00%

FAIR VALUE MEASUREMENTS - Fair

FAIR VALUE MEASUREMENTS - Fair Value of Financial Assets and Liabilities (Details) - USD ($) $ in Thousands	Oct. 31, 2019	Jul. 31, 2019
Financial Assets:
Short-term investments:	$ 655,584	$ 512,156
Recurring
Financial Assets:
Total measured at fair value	696,727	778,270
Cash	192,677	130,564
Total cash, cash equivalents and short-term investments	889,404	908,834
Recurring | Corporate bonds
Financial Assets:
Short-term investments:	402,213	354,549
Recurring | Commercial paper
Financial Assets:
Short-term investments:	147,667	92,851
Recurring | U.S. government securities
Financial Assets:
Short-term investments:	105,704	64,756
Recurring | Money market funds
Financial Assets:
Cash equivalents:	16,204	33,156
Recurring | Commercial paper
Financial Assets:
Cash equivalents:	24,939	103,029
Recurring | U.S. government securities
Financial Assets:
Cash equivalents:		119,933
Recurring | Corporate bonds
Financial Assets:
Cash equivalents:		9,996
Recurring | Level I
Financial Assets:
Total measured at fair value	16,204	33,156
Recurring | Level I | Corporate bonds
Financial Assets:
Short-term investments:	0	0
Recurring | Level I | Commercial paper
Financial Assets:
Short-term investments:	0	0
Recurring | Level I | U.S. government securities
Financial Assets:
Short-term investments:	0	0
Recurring | Level I | Money market funds
Financial Assets:
Cash equivalents:	16,204	33,156
Recurring | Level I | Commercial paper
Financial Assets:
Cash equivalents:	0	0
Recurring | Level I | U.S. government securities
Financial Assets:
Cash equivalents:		0
Recurring | Level I | Corporate bonds
Financial Assets:
Cash equivalents:		0
Recurring | Level II
Financial Assets:
Total measured at fair value	680,523	745,114
Recurring | Level II | Corporate bonds
Financial Assets:
Short-term investments:	402,213	354,549
Recurring | Level II | Commercial paper
Financial Assets:
Short-term investments:	147,667	92,851
Recurring | Level II | U.S. government securities
Financial Assets:
Short-term investments:	105,704	64,756
Recurring | Level II | Money market funds
Financial Assets:
Cash equivalents:	0	0
Recurring | Level II | Commercial paper
Financial Assets:
Cash equivalents:	24,939	103,029
Recurring | Level II | U.S. government securities
Financial Assets:
Cash equivalents:		119,933
Recurring | Level II | Corporate bonds
Financial Assets:
Cash equivalents:		9,996
Recurring | Level III
Financial Assets:
Total measured at fair value	0	0
Recurring | Level III | Corporate bonds
Financial Assets:
Short-term investments:	0	0
Recurring | Level III | Commercial paper
Financial Assets:
Short-term investments:	0	0
Recurring | Level III | U.S. government securities
Financial Assets:
Short-term investments:	0	0
Recurring | Level III | Money market funds
Financial Assets:
Cash equivalents:	0	0
Recurring | Level III | Commercial paper
Financial Assets:
Cash equivalents:	$ 0	0
Recurring | Level III | U.S. government securities
Financial Assets:
Cash equivalents:		0
Recurring | Level III | Corporate bonds
Financial Assets:
Cash equivalents:		$ 0

FAIR VALUE MEASUREMENTS - Non-r

FAIR VALUE MEASUREMENTS - Non-recurring Basis (Details) - USD ($) $ in Thousands	Oct. 31, 2019	Jul. 31, 2019
Convertible Debt
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Unamortized discount	$ (102,724)	$ (109,956)
Unamortized debt issuance cost	(5,731)	(6,134)
Reported Value Measurement | Fair Value, Measurements, Nonrecurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Convertible senior notes, net	466,545	458,910
Estimate of Fair Value Measurement | Fair Value, Measurements, Nonrecurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Convertible senior notes, net	$ 555,013	$ 527,275

BALANCE SHEET COMPONENTS - Shor

BALANCE SHEET COMPONENTS - Short-Term Investments (Details) - USD ($) $ in Thousands	3 Months Ended
	Oct. 31, 2019	Jul. 31, 2019
Debt Securities, Available-for-sale, Maturity, Fair Value, Rolling Maturity [Abstract]
Refund term	12 months
Due within one year	$ 502,122
Due in one to two years	153,462
Total	$ 655,584	$ 512,156

BALANCE SHEET COMPONENTS - Prep

BALANCE SHEET COMPONENTS - Prepaid Expenses and Other Current Assets (Details) - USD ($) $ in Thousands	Oct. 31, 2019	Aug. 31, 2019	Jul. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Prepaid operating expenses	$ 33,126		$ 37,864
Tenant improvement allowances	7,354		0
VAT receivables	5,644		5,068
Prepaid income taxes	1,629		19,690
Other current assets	13,901		12,043
Total prepaid expenses and other current assets	$ 61,654		$ 74,665
Income taxes receivable		$ 18,000

BALANCE SHEET COMPONENTS - Prop

BALANCE SHEET COMPONENTS - Property, Plant and Equipment (Details) - USD ($) $ in Thousands	3 Months Ended
	Oct. 31, 2019	Oct. 31, 2018	Jul. 31, 2019
Property, Plant and Equipment [Line Items]
Total property and equipment, gross	$ 339,470		$ 320,131
Less: accumulated depreciation	(199,000)		(183,169)
Total property and equipment, net	140,470		136,962
Depreciation and amortization	22,462	$ 16,183
Property, Plant and Equipment
Property, Plant and Equipment [Line Items]
Depreciation and amortization	$ 18,100	$ 12,500
Computer, production, engineering and other equipment
Property, Plant and Equipment [Line Items]
Estimated Useful Life	36 months
Total property and equipment, gross	$ 213,494		200,762
Demonstration units
Property, Plant and Equipment [Line Items]
Estimated Useful Life	12 months
Total property and equipment, gross	$ 62,519		59,981
Leasehold improvements
Property, Plant and Equipment [Line Items]
Total property and equipment, gross	$ 49,856		46,520
Furniture and fixtures
Property, Plant and Equipment [Line Items]
Estimated Useful Life	60 months
Total property and equipment, gross	$ 13,601		$ 12,868

BALANCE SHEET COMPONENTS - Inta

BALANCE SHEET COMPONENTS - Intangible Assets (Details) - USD ($) $ in Thousands	Oct. 31, 2019	Jul. 31, 2019
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross	$ 92,330	$ 92,330
Less:
Accumulated amortization	(29,902)	(25,557)
Total intangible assets, net	62,428	66,773
Developed technology
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross	79,300	79,300
Less:
Accumulated amortization	(24,904)	(21,210)
Customer relationships
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross	8,860	8,860
Less:
Accumulated amortization	(3,782)	(3,392)
Trade Names
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross	4,170	4,170
Less:
Accumulated amortization	$ (1,216)	$ (955)

BALANCE SHEET COMPONENTS - Futu

BALANCE SHEET COMPONENTS - Future Amortization Expense (Details) $ in Thousands	Oct. 31, 2019USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
2020 (remaining nine months)	$ 13,035
2021	17,380
2022	16,183
2023	10,856
2024	3,210
Thereafter	1,764
Total	$ 62,428

BALANCE SHEET COMPONENTS - Accr

BALANCE SHEET COMPONENTS - Accrued Compensation Benefits (Details) - USD ($) $ in Thousands	Oct. 31, 2019	Jul. 31, 2019
Employee-related Liabilities, Current [Abstract]
Accrued commissions	$ 35,862	$ 31,703
Accrued vacation	17,429	15,475
Payroll taxes payable	10,693	8,504
Contributions to ESPP withheld	10,515	20,778
Accrued bonus	7,486	11,413
Other	13,033	11,931
Total accrued compensation and benefits	$ 95,018	$ 99,804

CONVERTIBLE SENIOR NOTES - Proc

CONVERTIBLE SENIOR NOTES - Proceeds from Notes (Details) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended
	Jan. 31, 2018	Oct. 31, 2019	Oct. 31, 2018	Jul. 31, 2019
Debt Instrument [Line Items]
Payments for convertible note hedges	$ (143,200)
Proceeds from issuance of warrants	88,000
Convertible Debt
Debt Instrument [Line Items]
Principal amount	575,000	$ 575,000		$ 575,000
Less: initial purchasers' discount	(10,781)
Payments for convertible note hedges	(143,175)
Proceeds from issuance of warrants	87,975
Debt issuance cost, gross, noncurrent	707
Less: other issuance costs		$ (403)	$ (378)
Net proceeds	$ 508,312

CONVERTIBLE SENIOR NOTES - Addi

CONVERTIBLE SENIOR NOTES - Additional Information (Details) $ / shares in Units, shares in Millions	1 Months Ended	3 Months Ended
	Jan. 31, 2018USD ($)day$ / sharesshares	Oct. 31, 2019USD ($)$ / sharesshares	Apr. 30, 2018
Debt Instrument [Line Items]
Number of securities called by warrants or rights (in shares) | shares	11.8
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
Transaction cost		$ (55,200,000)
Dilutive effect of convertible securities (in shares) | shares		3.9
Share price threshold for dilutive effect of convertible debt (in dollars per share) | $ / shares		$ 73.46
Dilutive effect of $10 increase in share price (in shares) | shares		4.9
Dilutive effect of warrants (in shares) | shares		1.4
Share price threshold for dilutive effect of warrants (in dollars per share) | $ / shares		$ 83.46
Common Class A
Debt Instrument [Line Items]
Share price (in dollars per share) | $ / shares		$ 29.22
Convertible Debt
Debt Instrument [Line Items]
Interest rate, stated percentage			0.00%
Face amount	575,000,000
Convertible debt	$ 75,000,000
Conversion ratio	20.4705
Conversion price (in dollars per share) | $ / shares	$ 48.85
Threshold trading days | day	20
Threshold consecutive trading days | day	30
Threshold percentage of stock price trigger	130.00%
Redemption price, percentage	100.00%
Carrying amount of liability component	$ 423,400,000
Carrying amount of equity component	151,600,000
Unamortized discount and debt issuance costs, net	11,500,000
Unamortized discount, net	10,781,000
Debt issuance cost, gross, noncurrent	707,000
Transaction costs attributable to liability component	8,500,000
Transaction costs attributable to equity component	3,000,000	$ 3,000,000
Debt instrument, term		38 months
Payments for convertible note hedges	143,175,000
Proceeds from issuance of warrants	$ 87,975,000
Convertible Debt | Common Class A
Debt Instrument [Line Items]
Threshold percentage of stock price trigger	98.00%

CONVERTIBLE SENIOR NOTES - Comp

CONVERTIBLE SENIOR NOTES - Components of Notes (Details) - USD ($) $ in Thousands	Oct. 31, 2019	Jul. 31, 2019	Jan. 31, 2018
Debt Instrument [Line Items]
Convertible senior notes, net	$ 466,545	$ 458,910
Convertible Debt
Debt Instrument [Line Items]
Principal amount	575,000	575,000	$ 575,000
Unamortized discount	(102,724)	(109,956)
Unamortized debt issuance cost	(5,731)	(6,134)
Carrying amount of the equity component	$ 148,598	$ 148,598
Effective interest rate	6.62%
Payments of offering costs	$ (3,000)		$ (3,000)

CONVERTIBLE SENIOR NOTES - Inte

CONVERTIBLE SENIOR NOTES - Interest Expense (Details) - Convertible Debt - USD ($) $ in Thousands	3 Months Ended
	Oct. 31, 2019	Oct. 31, 2018
Debt Instrument [Line Items]
Interest expense related to amortization of debt discount	$ 7,232	$ 6,770
Interest expense related to amortization of debt issuance costs	403	378
Total interest expense	$ 7,635	$ 7,148

LEASES - Additional Information

LEASES - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended
	Oct. 31, 2019	Oct. 31, 2018
Lessee, Lease, Description [Line Items]
Weighted average remaining lease term (in years):	4 years 3 months 18 days
Operating lease, cost	$ 8.7
Operating leases, expense under topic 840		$ 7.2
Lessee, Operating Lease, Lease Not Yet Commenced, Undiscounted Amount	$ 32.7
Minimum
Lessee, Lease, Description [Line Items]
Weighted average remaining lease term (in years):	1 year
Lessee, Operating Lease, Lease Not yet Commenced, Term of Contract	2 years
Maximum
Lessee, Lease, Description [Line Items]
Weighted average remaining lease term (in years):	7 years
Lessee, Operating Lease, Lease Not yet Commenced, Term of Contract	9 years

LEASES - Supplemental Balance S

LEASES - Supplemental Balance Sheet (Details) - USD ($) $ in Thousands		Oct. 31, 2019	Jul. 31, 2019
Leases [Abstract]
Operating lease right-of-use assets, gross		$ 129,673
Accumulated amortization		(6,671)
Operating lease right-of-use assets, net	[1]	123,002	$ 0
Operating lease liabilities—current	[1]	29,968	0
Operating lease liabilities—non-current	[1]	118,410	$ 0
Total operating lease liabilities		$ 148,378
Weighted average remaining lease term (in years):		4 years 3 months 18 days
Weighted average discount rate:		5.60%
[1]	During the first quarter of fiscal 2020, we adopted Accounting Standards Update ("ASU") No. 2016-02 using the modified retrospective method and elected the transition option that allows us not to restate the comparative periods in our condensed consolidated financial statements in the year of adoption. For additional details, refer to Note 1.

LEASES - Supplemental Cash Flow

LEASES - Supplemental Cash Flow and Other Information (Details) $ in Thousands	3 Months Ended
	Oct. 31, 2019USD ($)
Leases [Abstract]
Operating cash flows from operating leases	$ 8,750
Lease liabilities arising from obtaining right-of-use assets from operating leases	$ 12,969

LEASES - Remaining Maturity Und

LEASES - Remaining Maturity Under Topic 842 (Details) - USD ($) $ in Thousands		Oct. 31, 2019	Jul. 31, 2019
Leases [Abstract]
2020		$ 27,473
2021		38,901
2022		37,903
2023		36,083
2024		25,177
Thereafter		3,227
Total lease payments		168,764
Less: imputed interest		(20,386)
Total operating lease liabilities		148,378
Less: current lease obligations	[1]	29,968	$ 0
Long-term lease obligations	[1]	$ 118,410	$ 0
[1]	During the first quarter of fiscal 2020, we adopted Accounting Standards Update ("ASU") No. 2016-02 using the modified retrospective method and elected the transition option that allows us not to restate the comparative periods in our condensed consolidated financial statements in the year of adoption. For additional details, refer to Note 1.

LEASES - Remaining Maturity U_2

LEASES - Remaining Maturity Under Topic 840 (Details) $ in Thousands	Jul. 31, 2019USD ($)
Leases [Abstract]
2020	$ 39,540
2021	41,909
2022	41,332
2023	40,695
2024	30,240
Thereafter	3,511
Total	$ 197,227

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Details) $ in Millions	Oct. 31, 2019USD ($)
Non-contract Vendors
Loss Contingencies [Line Items]
Purchase obligation	$ 78.6
Contract Manufacturer
Loss Contingencies [Line Items]
Purchase obligation	$ 152.7

STOCKHOLDERS_ EQUITY (Details)

STOCKHOLDERS’ EQUITY (Details)	Oct. 31, 2019voteclass$ / sharesshares	Jul. 31, 2019$ / sharesshares
Class of Stock [Line Items]
Common stock, number of classes of stock | class	2
Common stock, shares authorized (in shares)	1,200,000,000	1,200,000,000
Common stock, par value (in dollars per share) | $ / shares	$ 0.000025	$ 0.000025
Common stock, shares issued (in shares)	192,174,000	188,595,000
Common stock, shares outstanding (in shares)	192,174,000	188,595,000
Common Class A
Class of Stock [Line Items]
Common stock, shares authorized (in shares)	1,000,000,000	1,000,000,000
Common stock, shares issued (in shares)	175,080,000	168,155,000
Common stock, shares outstanding (in shares)	175,080,000	168,155,000
Common stock number of votes per share | vote	1
Common Class B
Class of Stock [Line Items]
Common stock, shares authorized (in shares)	200,000,000	200,000,000
Common stock, shares issued (in shares)	17,094,000	20,440,000
Common stock, shares outstanding (in shares)	17,094,000	20,440,000
Common stock number of votes per share | vote	10

EQUITY AWARD PLANS - Additional

EQUITY AWARD PLANS - Additional Information (Details)	Aug. 01, 2019shares	Sep. 30, 2016USD ($)purchase_periodshares	Oct. 31, 2019USD ($)plan$ / sharesshares	Oct. 31, 2018USD ($)	Jul. 31, 2016shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of equity incentive plans | plan			3
Exercises in period (in shares)			500,000
Weighted average exercise price (in dollars per share) | $ / shares			$ 5.35
Options outstanding (in shares)			8,300,000
Outstanding options, weighted average exercise price (in dollars per share) | $ / shares			$ 5.19
Contractual term			4 years 4 months 24 days
Options outstanding, intrinsic value | $			$ 198,700,000
Compensation not yet recognized | $			$ 720,100,000
Period for recognition (in years)			2 years 6 months
Proceeds from stock plans | $			$ 23,973,000	$ 29,890,000
RSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in shares)			3,525,000
Granted (in dollars per share) | $ / shares			$ 21.41
Released (in dollars per share) | $ / shares			$ 33.96
Employee Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percent of eligible compensation (up to)		15.00%
Monetary cap | $		$ 25,000
Share cap (in shares)		1,000
Offering period duration (in months)		12 months
Number of six-month purchase periods | purchase_period		2
Purchase price of common stock, percent		85.00%
ESPP stock issued during period (in shares)			1,000,000
Proceeds from stock plans | $			$ 21,300,000
Common Class A | Employee Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares reserved for future issuance (in shares)		3,800,000
Annual increase (in shares)		3,800,000
Annual increase, percent of outstanding shares		1.00%
Number of additional shares authorized	1,900,000
Employee Stock Purchase Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares reserved for future issuance (in shares)			2,300,000
2016 Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares reserved for future issuance (in shares)			50,300,000
2016 Plan | Common Class A
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			5.00%
Number of additional shares authorized	9,400,000
Number of shares available for grant (in shares)			20,700,000
Market Stock Units | RSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in shares)			100,000
Granted (in dollars per share) | $ / shares			$ 25.16
Released (in dollars per share) | $ / shares			$ 80
Award vesting period			4 years 6 months
Equity instruments outstanding (in shares)			100,000

EQUITY AWARD PLANS - RSU (Detai

EQUITY AWARD PLANS - RSU (Details) - RSUs - $ / shares	3 Months Ended
	Oct. 31, 2019	Jul. 31, 2019
Number of Shares
Outstanding, beginning balance (in shares)	22,136,000
Granted (in shares)	3,525,000
Released (in shares)	(2,145,000)
Canceled/forfeited (in shares)	(2,238,000)
Outstanding, ending balance (in shares)	21,278,000
Grant Date Fair Value per Share
Outstanding (in dollars per share)	$ 34.95	$ 36.72
Granted (in dollars per share)	21.41
Released (in dollars per share)	33.96
Canceled/forfeited (in dollars per share)	$ 32

EQUITY AWARD PLANS - ESPP (Deta

EQUITY AWARD PLANS - ESPP (Details) - Employee Stock Purchase Plan	3 Months Ended
	Oct. 31, 2019	Oct. 31, 2018
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected term (in years)	28 days	24 days
Risk-free interest rate	1.90%	2.50%
Volatility	68.70%	49.50%
Dividend yield	0.00%	0.00%

EQUITY AWARD PLANS - Stock Base

EQUITY AWARD PLANS - Stock Based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended
	Oct. 31, 2019	Oct. 31, 2018
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	$ 81,426	$ 65,925
Cost of revenue, product
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	1,112	698
Cost of revenue, support and other services
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	4,751	3,157
Sales and marketing
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	27,775	22,606
Research and development
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	37,563	31,009
General and administrative
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	$ 10,225	$ 8,455

INCOME TAXES (Details)

INCOME TAXES (Details) - USD ($) $ in Thousands	3 Months Ended
	Oct. 31, 2019	Oct. 31, 2018
Income Tax Disclosure [Abstract]
(Benefit from) provision for income taxes	$ 3,923	$ (3,628)
Valuation allowance release		$ 5,900

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
	Oct. 31, 2019	Oct. 31, 2018
Earnings Per Share [Abstract]
Net loss	$ (229,300)	$ (94,265)
Weighted-average shares used in computing net loss per share attributable to common stockholders—basic and diluted (in shares)	189,671	175,446
Net loss per share attributable to common stockholders—basic and diluted (in dollars per share)	$ (1.21)	$ (0.54)

NET LOSS PER SHARE - Antidiluti

NET LOSS PER SHARE - Antidilutive Securities (Details) - shares	3 Months Ended
	Oct. 31, 2019	Oct. 31, 2018
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)	33,034,000	36,277,000
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)	29,544,000	33,697,000
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)	2,845,000	1,596,000
Contingently issuable shares pursuant to business combinations
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)	611,000	920,000
Common stock subject to repurchase
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)	0	30,000
Common stock warrants
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)	34,000	34,000

SEGMENT INFORMATION (Details)

SEGMENT INFORMATION (Details) $ in Thousands	3 Months Ended
	Oct. 31, 2019USD ($)segment	Oct. 31, 2018USD ($)	Jul. 31, 2019USD ($)
Revenues from External Customers and Long-Lived Assets [Line Items]
Number of reportable segments | segment	1
Total revenue	$ 314,768	$ 313,283
U.S.
Revenues from External Customers and Long-Lived Assets [Line Items]
Total revenue	184,767	181,006
Long-lived assets	156,300		$ 161,900
Asia Pacific
Revenues from External Customers and Long-Lived Assets [Line Items]
Total revenue	60,321	67,238
Europe, the Middle East and Africa
Revenues from External Customers and Long-Lived Assets [Line Items]
Total revenue	56,713	54,776
Other Americas
Revenues from External Customers and Long-Lived Assets [Line Items]
Total revenue	$ 12,967	$ 10,263