Cover
Cover - shares | 9 Months Ended | |
Jan. 31, 2024 | Feb. 26, 2024 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jan. 31, 2024 | |
Document Transition Report | false | |
Entity File Number | 001-38675 | |
Entity Registrant Name | Elastic N.V. | |
Entity Incorporation, State or Country Code | P7 | |
Entity Tax Identification Number | 98-1756035 | |
Title of 12(b) Security | Ordinary shares, Par Value €0.01 Per Share | |
Trading Symbol | ESTC | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 100,807,523 | |
Entity Central Index Key | 0001707753 | |
Current Fiscal Year End Date | --04-30 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q3 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jan. 31, 2024 | Apr. 30, 2023 |
Current assets: | ||
Cash and cash equivalents | $ 526,893 | $ 644,167 |
Restricted cash | 2,774 | 2,473 |
Marketable securities | 488,133 | 271,041 |
Accounts receivable, net of allowance for credit losses of $3,865 and $3,409 as of January 31, 2024 and April 30, 2023, respectively | 229,946 | 260,919 |
Deferred contract acquisition costs | 68,937 | 55,813 |
Prepaid expenses and other current assets | 45,440 | 39,867 |
Total current assets | 1,362,123 | 1,274,280 |
Property and equipment, net | 5,512 | 5,092 |
Goodwill | 319,546 | 303,642 |
Operating lease right-of-use assets | 23,088 | 19,997 |
Intangible assets, net | 23,822 | 29,104 |
Deferred contract acquisition costs, non-current | 100,389 | 95,879 |
Deferred tax assets | 218,693 | 7,412 |
Other assets | 5,749 | 8,076 |
Total assets | 2,058,922 | 1,743,482 |
Current liabilities: | ||
Accounts payable | 10,935 | 35,151 |
Accrued expenses and other liabilities | 64,835 | 63,532 |
Accrued compensation and benefits | 78,049 | 76,483 |
Operating lease liabilities | 12,788 | 12,749 |
Deferred revenue | 561,665 | 528,704 |
Total current liabilities | 728,272 | 716,619 |
Deferred revenue, non-current | 23,521 | 34,248 |
Long-term debt, net | 568,341 | 567,543 |
Operating lease liabilities, non-current | 15,297 | 13,942 |
Other liabilities, non-current | 15,654 | 12,233 |
Total liabilities | 1,351,085 | 1,344,585 |
Commitments and contingencies (Notes 8 and 9) | ||
Shareholders’ equity: | ||
Preference shares, €0.01 par value; 165,000,000 shares authorized, 0 shares issued and outstanding as of January 31, 2024 and April 30, 2023 | 0 | 0 |
Ordinary shares, par value €0.01 per share: 165,000,000 shares authorized; 100,792,010 shares issued and outstanding as of January 31, 2024 and 97,366,947 shares issued and outstanding as of April 30, 2023 | 1,060 | 1,024 |
Treasury stock | (369) | (369) |
Additional paid-in capital | 1,676,493 | 1,471,584 |
Accumulated other comprehensive loss | (18,840) | (20,015) |
Accumulated deficit | (950,507) | (1,053,327) |
Total shareholders’ equity | 707,837 | 398,897 |
Total liabilities and shareholders’ equity | $ 2,058,922 | $ 1,743,482 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) $ in Thousands | Jan. 31, 2024 USD ($) shares | Jan. 31, 2024 € / shares | Apr. 30, 2023 USD ($) shares | Apr. 30, 2023 € / shares |
Allowance for doubtful accounts | $ | $ 3,865 | $ 3,409 | ||
Ordinary shares, shares authorized (in shares) | 165,000,000 | |||
Convertible Preference Shares | ||||
Preference shares, par value ( in € / shares) | € / shares | € 0.01 | € 0.01 | ||
Preference shares, shares authorized (in shares) | 165,000,000 | 165,000,000 | ||
Preference shares, shares issued (in shares) | 0 | 0 | ||
Preference shares, shares outstanding (in shares) | 0 | 0 | ||
Ordinary Shares, Par Value of €0.01 | ||||
Ordinary shares, par value (in € / shares) | € / shares | € 0.01 | € 0.01 | ||
Ordinary shares, shares authorized (in shares) | 165,000,000 | 165,000,000 | ||
Ordinary shares, shares issued (in shares) | 100,792,010 | 97,366,947 | ||
Ordinary shares, shares outstanding (in shares) | 100,792,010 | 97,366,947 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Revenue | ||||
Total revenue | $ 327,957 | $ 274,566 | $ 932,322 | $ 789,048 |
Cost of revenue | ||||
Total cost of revenue | 84,642 | 75,208 | 242,208 | 222,944 |
Gross profit | 243,315 | 199,358 | 690,114 | 566,104 |
Operating expenses | ||||
Research and development | 87,202 | 77,472 | 248,000 | 231,689 |
Sales and marketing | 141,621 | 126,717 | 408,020 | 379,902 |
General and administrative | 40,896 | 34,711 | 117,530 | 103,724 |
Restructuring and other related charges | 0 | 29,805 | 754 | 29,805 |
Total operating expenses | 269,719 | 268,705 | 774,304 | 745,120 |
Operating loss | (26,404) | (69,347) | (84,190) | (179,016) |
Interest Expense | (6,368) | (6,265) | (19,023) | (18,875) |
Other Nonoperating Income (Expense) | 8,568 | 5,460 | 24,107 | 20,774 |
Loss before income taxes | (24,204) | (70,152) | (79,106) | (177,117) |
(Benefit from) provision for income taxes | (200,328) | 2,422 | (181,926) | 12,313 |
Net income (loss) | $ 176,124 | $ (72,574) | $ 102,820 | $ (189,430) |
Net earnings (loss) per share attributable to ordinary shareholders | ||||
Basic (in dollars per share) | $ 1.76 | $ (0.76) | $ 1.04 | $ (1.99) |
Diluted (in dollars per share) | $ 1.69 | $ (0.76) | $ 1 | $ (1.99) |
Weighted-average shares used to compute net earnings (loss) per share attributable to ordinary shareholders | ||||
Basic (in shares) | 100,282,179 | 96,052,025 | 99,099,210 | 95,327,131 |
Diluted (in shares) | 104,503,290 | 96,052,025 | 103,149,384 | 95,327,131 |
Total subscription | ||||
Revenue | ||||
Total revenue | $ 307,632 | $ 255,613 | $ 865,622 | $ 728,638 |
Cost of revenue | ||||
Total cost of revenue | 63,976 | 56,146 | 181,238 | 164,798 |
Professional services | ||||
Revenue | ||||
Total revenue | 20,325 | 18,953 | 66,700 | 60,410 |
Cost of revenue | ||||
Total cost of revenue | $ 20,666 | $ 19,062 | $ 60,970 | $ 58,146 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income (loss) | $ 176,124 | $ (72,574) | $ 102,820 | $ (189,430) |
Other comprehensive income (loss): | ||||
Unrealized gain on available-for-sale securities | 2,606 | 0 | 999 | 0 |
Foreign currency translation adjustments | 2,362 | 7,032 | 176 | (1,874) |
Other comprehensive income (loss) | 4,968 | 7,032 | 1,175 | (1,874) |
Total comprehensive income (loss) | $ 181,092 | $ (65,542) | $ 103,995 | $ (191,304) |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Shareholders’ Equity - USD ($) $ in Thousands | Total | Ordinary Shares | Treasury Shares | Additional Paid-in Capital | Accumulated Other Comprehensive Loss | Accumulated Deficit |
Beginning balance (in shares) at Apr. 30, 2022 | 94,174,914 | |||||
Beginning balance at Apr. 30, 2022 | $ 415,433 | $ 990 | $ (369) | $ 1,250,108 | $ (18,130) | $ (817,166) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of ordinary shares upon exercise of stock options (in shares) | 773,174 | |||||
Issuance of ordinary shares upon exercise of stock options | 12,234 | $ 9 | 12,225 | |||
Conversion of redeemable convertible preference shares to ordinary shares upon initial public offering (in shares) | 1,487,188 | |||||
Issuance of ordinary shares upon release of restricted stock units | 0 | $ 15 | (15) | |||
Stock-based compensation | 148,626 | 148,626 | ||||
Net income (loss) | (189,430) | (189,430) | ||||
Foreign currency translation | (1,874) | (1,874) | ||||
Ending balance (in shares) at Jan. 31, 2023 | 96,435,276 | |||||
Ending balance at Jan. 31, 2023 | 384,989 | $ 1,014 | (369) | 1,410,944 | (20,004) | (1,006,596) |
Beginning balance (in shares) at Oct. 31, 2022 | 95,575,775 | |||||
Beginning balance at Oct. 31, 2022 | 391,565 | $ 1,005 | (369) | 1,351,987 | (27,036) | (934,022) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of ordinary shares upon exercise of stock options (in shares) | 289,098 | |||||
Issuance of ordinary shares upon exercise of stock options | 4,510 | $ 3 | 4,507 | |||
Conversion of redeemable convertible preference shares to ordinary shares upon initial public offering (in shares) | 570,403 | |||||
Issuance of ordinary shares upon release of restricted stock units | 0 | $ 6 | (6) | |||
Stock-based compensation | 54,456 | 54,456 | ||||
Net income (loss) | (72,574) | (72,574) | ||||
Foreign currency translation | 7,032 | 7,032 | ||||
Ending balance (in shares) at Jan. 31, 2023 | 96,435,276 | |||||
Ending balance at Jan. 31, 2023 | 384,989 | $ 1,014 | (369) | 1,410,944 | (20,004) | (1,006,596) |
Beginning balance (in shares) at Apr. 30, 2023 | 97,366,947 | |||||
Beginning balance at Apr. 30, 2023 | 398,897 | $ 1,024 | (369) | 1,471,584 | (20,015) | (1,053,327) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of ordinary shares upon exercise of stock options (in shares) | 1,200,589 | |||||
Issuance of ordinary shares upon exercise of stock options | 19,490 | $ 13 | 19,477 | |||
Conversion of redeemable convertible preference shares to ordinary shares upon initial public offering (in shares) | 2,030,369 | |||||
Issuance of ordinary shares upon release of restricted stock units | 0 | $ 21 | (21) | |||
Issuance of ordinary shares under employee stock purchase plan (in shares) | 194,105 | |||||
Issuance of ordinary shares under employee stock purchase plan | 9,111 | $ 2 | 9,109 | |||
Stock-based compensation | 176,344 | 176,344 | ||||
Net income (loss) | 102,820 | 102,820 | ||||
Foreign currency translation | 1,175 | 1,175 | ||||
Ending balance (in shares) at Jan. 31, 2024 | 100,792,010 | |||||
Ending balance at Jan. 31, 2024 | 707,837 | $ 1,060 | (369) | 1,676,493 | (18,840) | (950,507) |
Beginning balance (in shares) at Oct. 31, 2023 | 99,599,262 | |||||
Beginning balance at Oct. 31, 2023 | 455,136 | $ 1,048 | (369) | 1,604,896 | (23,808) | (1,126,631) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of ordinary shares upon exercise of stock options (in shares) | 485,203 | |||||
Issuance of ordinary shares upon exercise of stock options | 8,847 | $ 6 | 8,841 | |||
Conversion of redeemable convertible preference shares to ordinary shares upon initial public offering (in shares) | 707,545 | |||||
Issuance of ordinary shares upon release of restricted stock units | 0 | $ 6 | (6) | |||
Stock-based compensation | 62,762 | 62,762 | ||||
Net income (loss) | 176,124 | 176,124 | ||||
Foreign currency translation | 4,968 | 4,968 | ||||
Ending balance (in shares) at Jan. 31, 2024 | 100,792,010 | |||||
Ending balance at Jan. 31, 2024 | $ 707,837 | $ 1,060 | $ (369) | $ 1,676,493 | $ (18,840) | $ (950,507) |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows $ in Thousands | 9 Months Ended | |
Jan. 31, 2024 USD ($) | Jan. 31, 2023 USD ($) | |
Cash flows from operating activities | ||
Net income (loss) | $ 102,820 | $ (189,430) |
Adjustments to reconcile net income (loss) to cash provided by operating activities: | ||
Depreciation and amortization | 13,853 | 15,475 |
Amortization of premium and accretion of discount on marketable securities, net | (6,396) | 0 |
Amortization of deferred contract acquisition costs | 56,392 | 51,495 |
Amortization of debt issuance costs | 798 | 763 |
Non-cash operating lease cost | 8,148 | 8,354 |
Asset impairment charges | 0 | 6,242 |
Stock-based compensation expense | 176,344 | 148,626 |
Deferred income taxes | (210,278) | 68 |
Foreign currency transaction loss | (2,267) | (2,261) |
Other | (34) | 67 |
Changes in operating assets and liabilities, net of impact of business acquisitions: | ||
Accounts receivable, net | 31,044 | 14,050 |
Deferred contract acquisition costs | (74,089) | (68,184) |
Prepaid expenses and other current assets | (5,512) | 7,671 |
Other assets | 639 | 7,106 |
Accounts payable | (25,212) | 511 |
Accrued expenses and other liabilities | 1,428 | (6,272) |
Accrued compensation and benefits | 1,509 | (161) |
Operating lease liabilities | (9,096) | (8,404) |
Deferred revenue | 23,189 | 17,869 |
Net cash provided by operating activities | 87,814 | 8,107 |
Cash flows from investing activities | ||
Purchases of property and equipment | (2,605) | (1,019) |
Business acquisitions, net of cash acquired | (18,951) | 0 |
Purchases of marketable securities | 358,273 | 0 |
Maturities of marketable securities | 150,223 | 0 |
Net cash used in investing activities | (229,606) | (1,019) |
Cash flows from financing activities | ||
Proceeds from issuance of ordinary shares under employee stock purchase plan | 9,111 | 0 |
Proceeds from issuance of ordinary shares upon exercise of stock options | 19,490 | 12,234 |
Net cash provided by financing activities | 28,601 | 12,234 |
Effect of exchange rate changes on cash, cash equivalents, and restricted cash | (3,782) | (2,914) |
Net (decrease) increase in cash, cash equivalents, and restricted cash | (116,973) | 16,408 |
Cash, cash equivalents, and restricted cash, beginning of period | 646,640 | |
Cash, cash equivalents, and restricted cash, end of period | 529,667 | |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Including Disposal Group and Discontinued Operations | 880,045 | |
Supplemental disclosures of cash flow information | ||
Cash paid for interest | 24,156 | 24,041 |
Cash paid for income taxes, net | 19,764 | 6,536 |
Cash paid for operating lease liabilities | 10,510 | 9,814 |
Supplemental disclosures of non-cash investing and financing information | ||
Changes in property and equipment included in accounts payable | 359 | 25 |
Operating lease right-of-use assets for new lease obligations | 11,235 | 10,901 |
Acquisition-related indemnity holdback | $ 3,125 | $ 0 |
Organization and Description of
Organization and Description of Business | 9 Months Ended |
Jan. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and Description of Business | Organization and Description of Business Elastic N.V. (individually and together with its consolidated subsidiaries, “Elastic” or the “Company”) was incorporated under the laws of the Netherlands in 2012. The Company created the Elastic Stack, a powerful set of software products that ingest and store data from any source and in any format, and perform search, analysis, and visualization on that data. Developers build on top of the Elastic Stack to apply the power of search to their data and solve business problems. The Company offers three software solutions built into the Elastic Stack: Search, Observability, and Security. The Elastic Stack and the Company’s solutions are designed to run across hybrid clouds, public or private clouds, and multi-cloud environments. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 9 Months Ended |
Jan. 31, 2024 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Basis of Presentation The accompanying interim condensed consolidated balance sheet as of January 31, 2024, interim condensed consolidated statements of operations, comprehensive income (loss), and shareholders’ equity for the three and nine months ended January 31, 2024 and 2023, and interim condensed consolidated statements of cash flows for the nine months ended January 31, 2024 and 2023 are unaudited. These interim condensed consolidated financial statements have been prepared on a basis consistent with the annual consolidated financial statements and, in the opinion of management, include all normal recurring adjustments necessary to fairly state the Company’s financial position as of January 31, 2024; results of the Company’s operations for the three and nine months ended January 31, 2024 and 2023; statements of shareholders’ equity for the three and nine months ended January 31, 2024 and 2023; and statements of cash flows for the nine months ended January 31, 2024 and 2023. The financial data and other financial information disclosed in the notes to these interim condensed consolidated financial statements related to the three and nine month periods are also unaudited. The results for the three and nine months ended January 31, 2024 are not necessarily indicative of the operating results expected for the fiscal year ending April 30, 2024, or any other future period. The unaudited interim condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and include the financial statements of the Company and its wholly-owned subsidiaries. All intercompany transactions and accounts have been eliminated in consolidation. Certain information and note disclosures normally included in the financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to the applicable rules and regulations of the Securities and Exchange Commission (“SEC”). The condensed balance sheet data as of April 30, 2023 was derived from the Company’s audited financial statements, but does not include all disclosures required by U.S. GAAP. Therefore, these unaudited interim condensed consolidated financial statements and accompanying footnotes should be read in conjunction with the Company’s annual consolidated financial statements and related footnotes included in the Company’s Annual Report on Form 10-K for the fiscal year ended April 30, 2023 filed with the SEC on June 16, 2023 (the “Company’s Annual Report on Form 10-K”). Fiscal Year The Company’s fiscal year ends on April 30. References to fiscal 2024, for example, refer to the fiscal year ended April 30, 2024. Use of Estimates and Judgments The preparation of the condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenue and expenses during the reporting period. Such estimates and assumptions include, but are not limited to, allocation of revenue between recognized and deferred amounts, deferred contract acquisition costs, allowance for credit losses, valuation of stock-based compensation, fair value of ordinary shares in periods prior to the Company’s initial public offering, fair value of acquired intangible assets and goodwill, useful lives of acquired intangible assets and property and equipment, whether an arrangement is or contains a lease, discount rate used for operating leases, and valuation allowance for deferred income taxes. The Company bases these estimates on historical and anticipated results, trends and various other assumptions that it believes are reasonable under the circumstances, including assumptions as to future events. Estimates and assumptions about future events and their effects cannot be determined with certainty and therefore require the exercise of judgment. As of the date of issuance of these financial statements, the Company is not aware of any specific event or circumstance that would require the Company to update its estimates, judgments or revise the carrying value of the Company’s assets or liabilities. These estimates may change, as new events occur and additional information is obtained, and are recognized in the condensed consolidated financial statements as soon as they become known. Actual results could differ from those estimates and any such differences may be material to the Company’s financial statements. Significant Accounting Policies There have been no changes to the Company’s significant accounting policies described in the Company’s Annual Report on Form 10-K that have had a material impact on its condensed consolidated financial statements and related notes. Recently Adopted Accounting Pronouncements Acquisitions: In October 2021, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2021-08, Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers, improving consistency in accounting for acquired revenue contracts with customers in a business combination by requiring that acquirers apply ASC 606 to recognize contract assets and contract liabilities as if they had originated the contracts. If the acquiree prepared its financial statements in accordance with U.S. GAAP, the resulting acquired contract assets and liabilities should generally be consistent with the acquiree’s financial statements. The Company adopted ASU No. 2021-08 on May 1, 2023. The Company’s adoption of this ASU did not have a material impact on its condensed consolidated financial statements. New Accounting Pronouncements Not Yet Adopted Income Taxes: In December 2023, the FASB issued ASU No. 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, requiring enhancements and further transparency to certain income tax disclosures. The new guidance requires consistent categories and greater disaggregation of information in the tax rate reconciliation and information about income taxes paid disaggregated by jurisdiction. The guidance becomes effective for the Company for the fiscal year ending April 30, 2026. Early adoption is permitted. Upon adoption, the guidance may be applied prospectively or retrospectively. The Company is currently evaluating the impact of adopting this standard on its condensed consolidated financial statements. |
Revenue
Revenue | 9 Months Ended |
Jan. 31, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | Revenue Disaggregation of Revenue The following table presents revenue by category (in thousands): Three Months Ended January 31, Nine Months Ended January 31, 2024 2023 2024 2023 Amount % of Amount % of Amount % of Amount % of Elastic Cloud $ 143,379 44 % $ 110,743 40 % $ 399,540 43 % $ 311,709 40 % Other subscription 164,253 50 % 144,870 53 % 466,082 50 % 416,929 52 % Total subscription 307,632 94 % 255,613 93 % 865,622 93 % 728,638 92 % Services 20,325 6 % 18,953 7 % 66,700 7 % 60,410 8 % Total revenue $ 327,957 100 % $ 274,566 100 % $ 932,322 100 % $ 789,048 100 % Concentration of Credit Risk No customer accounted for 10% or more of the Company’s net accounts receivable as of January 31, 2024. One customer, a channel partner, accounted for 12% of net accounts receivable as of April 30, 2023. The same customer accounted for 11% of total revenue during the three and nine months ended January 31, 2024. No customer accounted for 10% or more of the Company’s total revenue for the three and nine months ended January 31, 2023. Deferred Revenue Unbilled Accounts Receivable Remaining Performance Obligations As of January 31, 2024, the Company had $1.176 billion of remaining performance obligations. As of January 31, 2024, the Company expects to recognize approximately 91% of its remaining performance obligations as revenue over the next 24 months and the remainder thereafter. Deferred Contract Acquisition Costs Amortization expense with respect to deferred contract acquisition costs was $20.4 million and $56.4 million for the three and nine months ended January 31, 2024, respectively, and $15.8 million and $51.5 million for the three and nine months ended January 31, 2023, respectively. The Company did not recognize any impairment of deferred contract acquisition costs for the periods presented. |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Jan. 31, 2024 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements Financial Assets The Company measures financial assets and liabilities that are measured at fair value on a recurring basis at each reporting period using a fair value hierarchy that prioritizes the use of observable inputs and minimizes the use of unobservable inputs when measuring fair value. A financial instrument’s classification within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The Company considers all highly liquid investments, including money market funds with an original maturity of three months or less at the date of purchase, to be cash equivalents. The Company’s marketable securities are classified as available for sale and considered to be available for use in current operations and, therefore, the Company classifies them within current assets on the condensed consolidated balance sheet. The Company uses quoted prices in active markets for identical assets to determine the fair value of its Level 1 investments. For Level 2 investments, the Company uses inputs other than quoted prices that are directly or indirectly observable in the market, including readily available pricing sources for the identical underlying security which may not be actively traded. The following table summarizes assets that are measured at fair value on a recurring basis as of January 31, 2024 (in thousands): Level 1 Level 2 Level 3 Total Financial Assets: Cash and cash equivalents: Money market funds $ 189,846 $ — $ — $ 189,846 U.S. treasury securities 14,993 — — 14,993 Certificates of deposit — 2,230 — 2,230 Total included in cash and cash equivalents 204,839 2,230 — 207,069 Marketable securities: Certificates of deposit — 33,177 — 33,177 Commercial paper — 38,757 — 38,757 Municipal securities — 25,894 — 25,894 U.S. treasury securities 109,777 — — 109,777 International treasuries — 7,188 — 7,188 Corporate debt securities — 232,030 — 232,030 U.S. agency bonds — 41,310 — 41,310 Total marketable securities 109,777 378,356 — 488,133 Total financial assets $ 314,616 $ 380,586 $ — $ 695,202 The following table summarizes assets that are measured at fair value on a recurring basis as of April 30, 2023 (in thousands): Level 1 Level 2 Level 3 Total Financial Assets: Cash and cash equivalents: Money market funds $ 194,261 $ — $ — $ 194,261 U.S. agency securities — 27,406 — 27,406 Certificates of deposit — 21,750 — 21,750 Commercial paper — 60,750 — 60,750 Total included in cash and cash equivalents 194,261 109,906 — 304,167 Marketable securities: Certificates of deposit — 31,645 — 31,645 Commercial paper — 33,735 — 33,735 U.S. treasury securities 47,627 — — 47,627 Corporate debt securities — 118,228 — 118,228 U.S. agency bonds — 39,806 — 39,806 Total marketable securities 47,627 223,414 — 271,041 Total financial assets $ 241,888 $ 333,320 $ — $ 575,208 Interest income from the Company’s cash, cash equivalents and marketable securities was $7.8 million and $20.9 million for the three and nine months ended January 31, 2024, respectively, and $6.2 million and $10.9 million for the three and nine months ended January 31, 2023, respectively, and is included in other income, net in the condensed consolidated statements of operations. As of January 31, 2024 and April 30, 2023, unrealized gains and losses on the marketable securities were immaterial. The fluctuations in market interest rates impact the unrealized losses or gains on these securities. The fair value of available-for-sale securities, by remaining contractual maturity, are as follows (in thousands): As of As of Due within 1 year $ 252,415 $ 168,264 Due between 1 year and 3 years 235,718 102,777 Total marketable securities $ 488,133 $ 271,041 Financial Liabilities In July 2021, the Company issued $575.0 million aggregate principal amount of 4.125% Senior Notes due July 15, 2029 (the “Senior Notes”) in a private placement. Based on the trading prices of the Senior Notes, the fair value of the Senior Notes as of January 31, 2024 was approximately $523.0 million. While the Senior Notes are recorded at cost, the fair value of the Senior Notes was determined based on quoted prices in markets that are not active; accordingly, the Senior Notes are categorized as Level 2 for purposes of the fair value measurement hierarchy. |
Acquisitions
Acquisitions | 9 Months Ended |
Jan. 31, 2024 | |
Business Combinations [Abstract] | |
Acquisitions | Acquisitions Opster Ltd. On November 30, 2023, the Company acquired 100% of the share capital of Opster Ltd. (“Opster”) for a total purchase consideration of $22.8 million. The purchase consideration includes $3.1 million held back by the Company for indemnity obligations which will be released upon the 18-month anniversary of the acquisition. The acquisition was accounted for as a business combination in accordance with ASC 805, Business Combinations, and, accordingly, the total purchase consideration was allocated to the tangible and intangible assets acquired and liabilities assumed based on their estimated fair values on the acquisition date. The total purchase price allocated to developed technology and goodwill was $6.0 million and $15.9 million, respectively. The fair value assigned to developed technology was determined using the cost to recreate approach. The developed technology asset is being amortized on a straight-line basis over the useful life of 5 years, which approximates the pattern in which the developed technology is utilized. Goodwill resulted primarily from the expectation of enhancing the efficiency and management of the Elastic Stack and is not deductible for income tax purposes. |
Balance Sheet Components
Balance Sheet Components | 9 Months Ended |
Jan. 31, 2024 | |
Balance Sheet Components [Abstract] | |
Balance Sheet Components | Balance Sheet Components Property and Equipment, Net The cost and accumulated depreciation of property and equipment were as follows (in thousands): Useful Life (in years) As of As of Leasehold improvements Lesser of estimated useful life or remaining lease term $ 12,281 $ 10,081 Computer hardware and software 3 3,310 2,220 Furniture and fixtures 3-5 6,898 6,093 Assets under construction 651 1,734 Total property and equipment 23,140 20,128 Less: accumulated depreciation (17,628) (15,036) Property and equipment, net $ 5,512 $ 5,092 Depreciation expense related to property and equipment was $0.9 million and $2.6 million for the three and nine months ended January 31, 2024, respectively, and $0.8 million and $2.9 million for the three and nine months ended January 31, 2023, respectively. During the three and nine months ended January 31, 2023, the Company recorded asset impairment charges related to the exit from leased office space, which included $1.1 million of furniture, equipment, and leasehold improvements. See Note 16 for further details. Intangible Assets, Net Intangible assets consisted of the following as of January 31, 2024 (in thousands): Gross Fair Value Accumulated Amortization Net Book Value Weighted Average Developed technology $ 76,130 $ 52,275 $ 23,855 2.8 Customer relationships 19,598 19,598 — 0.0 Trade names 2,872 2,872 — 0.0 Total $ 98,600 $ 74,745 $ 23,855 2.8 Foreign currency translation adjustment (33) Total $ 23,822 Intangible assets consisted of the following as of April 30, 2023 (in thousands): Gross Fair Value Accumulated Amortization Net Book Value Weighted Average Developed technology $ 70,130 $ 43,136 $ 26,994 2.7 Customer relationships 19,598 17,641 1,957 0.4 Trade names 2,872 2,686 186 0.4 Total $ 92,600 $ 63,463 $ 29,137 2.5 Foreign currency translation adjustment (33) Total $ 29,104 Amortization expense for the intangible assets for the three and nine months ended January 31, 2024 and 2023 was as follows (in thousands): Three Months Ended January 31, Nine Months Ended January 31, 2024 2023 2024 2023 Cost of revenue – subscription $ 3,186 $ 2,977 $ 9,139 $ 8,902 Sales and marketing — 1,232 2,143 3,695 Total amortization of acquired intangible assets $ 3,186 $ 4,209 $ 11,282 $ 12,597 The expected future amortization expense related to the intangible assets as of January 31, 2024 was as follows (in thousands, by fiscal year): Remainder of 2024 $ 3,098 2025 9,239 2026 6,278 2027 3,267 2028 1,224 Thereafter 716 Total $ 23,822 Goodwill The following table represents the changes to goodwill (in thousands): Carrying Amount Balance as of April 30, 2023 $ 303,642 Addition from acquisition 15,830 Foreign currency translation adjustment 74 Balance as of January 31, 2024 $ 319,546 There was no impairment of goodwill during the nine months ended January 31, 2024 and 2023. Accrued Expenses and Other Liabilities Accrued expenses and other liabilities consisted of the following (in thousands): As of As of Accrued expenses $ 30,697 $ 24,163 Income taxes payable 14,628 9,738 Value added taxes payable 5,360 9,403 Accrued interest 988 6,918 Other 13,162 13,310 Total accrued expenses and other liabilities $ 64,835 $ 63,532 Accrued Compensation and Benefits Accrued compensation and benefits consisted of the following (in thousands): As of As of Accrued vacation $ 31,346 $ 30,026 Accrued commissions 18,946 26,175 Accrued payroll and withholding taxes 13,495 6,586 Other 14,262 13,696 Total accrued compensation and benefits $ 78,049 $ 76,483 Allowance for Credit Losses The following is a summary of the changes in the Company’s allowance for credit losses (in thousands): Nine Months Ended January 31, 2024 2023 Beginning balance $ 3,409 $ 2,700 Bad debt expense 2,189 1,276 Accounts written off (1,733) (1,781) Ending balance $ 3,865 $ 2,195 |
Senior Notes
Senior Notes | 9 Months Ended |
Jan. 31, 2024 | |
Debt Disclosure [Abstract] | |
Senior Notes | Senior Notes In July 2021, the Company issued $575.0 million aggregate principal amount of 4.125% Senior Notes due July 15, 2029 in a private placement. Interest on the Senior Notes is payable semi-annually in arrears on January 15 and July 15 of each year. The Company received net proceeds from the offering of the Senior Notes of $565.7 million after deducting underwriting commissions of $7.2 million and incurred additional issuance costs of $2.1 million. Total debt issuance costs of $9.3 million are being amortized to interest expense using the effective interest method over the term of the Senior Notes. The Company may redeem the Senior Notes, in whole or in part, at any time prior to July 15, 2024 at a price equal to 100% of the principal amount thereof plus a “make-whole” premium and accrued and unpaid interest, if any. The Company may at its election redeem all or a part of the Senior Notes on or after July 15, 2024, on any one or more occasions, at the redemption prices set forth in the indenture governing the Senior Notes (the “Indenture”), plus, in each case, accrued and unpaid interest thereon, if any, to, but excluding, the applicable redemption date. In addition, at any time prior to July 15, 2024, the Company may on any one or more occasions redeem up to 40% of the aggregate principal amount of the Senior Notes outstanding under the Indenture with the net cash proceeds of one or more equity offerings at a redemption price equal to 104.125% of the principal amount of the Senior Notes then outstanding, plus accrued and unpaid interest thereon, if any, to, but excluding, the applicable redemption date. The Company may also at its election redeem the Senior Notes in whole, but not in part, at a price equal to 100% of the principal amount thereof plus accrued and unpaid interest, if any, if certain changes in tax law occur as set forth in the Indenture. If the Company experiences a change of control triggering event (as defined in the Indenture), the Company must offer to repurchase the Senior Notes at a repurchase price equal to 101% of the principal amount of the Senior Notes to be repurchased, plus accrued and unpaid interest, if any, to the repurchase date. The Indenture contains covenants limiting the Company’s ability and the ability of certain subsidiaries to create liens on certain assets to secure debt; grant a subsidiary guarantee of certain debt without also providing a guarantee of the Senior Notes; and consolidate or merge with or into, or sell or otherwise dispose of all or substantially all of its assets to, another person. These covenants are subject to a number of limitations and exceptions. Certain of these covenants will not apply during any period in which the Senior Notes are rated investment grade by Moody’s Investors Service, Inc. and Standard & Poor’s Ratings Services. The net carrying amount of the Senior Notes was as follows (in thousands): As of As of Principal $ 575,000 $ 575,000 Unamortized debt issuance costs (6,659) (7,457) Net carrying amount $ 568,341 $ 567,543 The following table sets forth the interest expense recognized related to the Senior Notes (in thousands): Three Months Ended January 31, Nine Months Ended January 31, 2024 2023 2024 2023 Contractual interest expense $ 5,930 $ 5,930 $ 17,789 $ 17,789 Amortization of debt issuance costs 269 257 798 763 Total interest expense related to the Senior Notes $ 6,199 $ 6,187 $ 18,587 $ 18,552 |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Jan. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Cloud Hosting Commitments During the nine months ended January 31, 2024, there were no material changes, outside the ordinary course of business, to the Company’s contractual obligations and commitments reported in the Company's Annual Report on Form 10-K. Letters of Credit The Company had a total of $2.3 million in letters of credit outstanding in favor of certain landlords for office space as of January 31, 2024. Legal Matters From time to time, the Company has become involved in claims and other legal matters arising in the ordinary course of business. The Company investigates these claims as they arise. Although claims are inherently unpredictable, the Company is currently not aware of any matters that, if determined adversely to the Company, would individually or taken together have a material adverse effect on its business, results of operations, financial position or cash flows. The Company accrues estimates for resolution of legal and other contingencies when losses are probable and reasonably estimable. Indemnification The Company enters into indemnification provisions under its agreements with other companies in the ordinary course of business, including business partners, landlords, contractors and parties performing its research and development. Pursuant to these arrangements, the Company agrees to indemnify, hold harmless, and reimburse the indemnified party for certain losses suffered or incurred by the indemnified party as a result of the Company’s activities. The maximum potential amount of future payments the Company could be required to make under these agreements is not determinable. The Company has never incurred costs to defend lawsuits or settle claims related to these indemnification agreements. As a result, the Company believes the fair value of these agreements is not material. The Company maintains commercial general liability insurance and product liability insurance to offset certain of the Company’s potential liabilities under these indemnification provisions. In addition, the Company indemnifies its officers, directors and certain key employees against certain liabilities that may arise as a result of their affiliation with the Company. To date, there have been no claims under any indemnification provisions. |
Leases
Leases | 9 Months Ended |
Jan. 31, 2024 | |
Leases [Abstract] | |
Leases | Leases The Company’s leases provide for rental of corporate office space under non-cancelable operating lease agreements that expire at various dates through fiscal 2030. The Company does not have any finance leases. Lease Costs Components of lease costs included in the condensed consolidated statements of operations were as follows (in thousands): Three Months Ended January 31, Nine Months Ended January 31, 2024 2023 2024 2023 Operating lease cost $ 3,120 $ 3,088 $ 8,960 $ 9,539 Short-term lease cost 334 381 1,308 1,729 Variable lease cost 527 219 1,049 446 Total lease cost $ 3,981 $ 3,688 $ 11,317 $ 11,714 Lease term and discount rate information are summarized as follows: As of Weighted average remaining lease term (in years) 2.85 Weighted average discount rate 5.10 % Future minimum lease payments under non-cancelable operating leases on an undiscounted cash flow basis as of January 31, 2024 were as follows (in thousands, by fiscal year): Remainder of 2024 $ 3,603 2025 12,955 2026 7,398 2027 2,704 2028 2,359 Thereafter 1,101 Total minimum lease payments 30,120 Less imputed interest (2,035) Present value of future minimum lease payments 28,085 Less current lease liabilities (12,788) Operating lease liabilities, non-current $ 15,297 Future minimum lease payments as of January 31, 2024 include future cash payments on leases with corresponding right-of-use assets which were written down for impairment due to facilities-related cost optimization actions during the three and nine months ended January 31, 2023. During the three and nine months ended January 31, 2023, the Company recorded an impairment charge of $5.1 million related to the exit from leased office space. See Note 16 for further details. |
Ordinary Shares
Ordinary Shares | 9 Months Ended |
Jan. 31, 2024 | |
Equity [Abstract] | |
Ordinary Shares | Ordinary Shares The Company’s authorized ordinary share capital pursuant to its articles of association amounts to 165 million ordinary shares at a par value per ordinary share of €0.01. Each holder of ordinary shares has the right to one vote per ordinary share. The holders of ordinary shares are also entitled to receive dividends whenever funds are legally available and when proposed by the Company’s board of directors and adopted by the general meeting of shareholders, subject to the prior rights of holders of all classes of shares outstanding having priority rights to dividends. No dividends have been declared from the Company’s inception through January 31, 2024. The board of directors has been authorized by the general meeting of shareholders, on the Company’s behalf, to issue the Company’s ordinary shares and grant rights to acquire the Company’s ordinary shares in an amount up to 20% of the issued share capital of the Company as of August 21, 2023. This authorization is valid for a period of 18 months from October 5, 2023. Ordinary Shares Reserved for Issuance The Company has reserved ordinary shares for issuance as follows: As of As of Stock options issued and outstanding 2,732,289 4,038,238 RSUs issued and outstanding (1) 7,895,146 7,494,399 Available for future grants 20,105,501 17,564,133 Available for employee stock purchases 5,805,895 6,000,000 Total ordinary shares reserved 36,538,831 35,096,770 (1) Includes 116,523 PSUs issued and outstanding as of January 31, 2024. Preference Shares The Company’s authorized preference share capital pursuant to its articles of association amounts to 165 million preference shares at a par value per preference share of €0.01. Each holder of preference shares has rights and preferences, including the right to one vote per preference share. As of January 31, 2024, there were no preference shares issued or outstanding. Preference shares in the capital of the Company may currently only be issued pursuant to a resolution adopted by the general meeting of shareholders at the proposal of the board of directors. |
Equity Incentive Plans
Equity Incentive Plans | 9 Months Ended |
Jan. 31, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
Equity Incentive Plans | Equity Incentive Plans 2022 Employee Stock Purchase Plan In August 2022, the Company’s board of directors adopted and, in October 2022, the Company’s shareholders approved the 2022 Employee Stock Purchase Plan (“2022 ESPP”). The Company reserved 6.0 million of the Company’s ordinary shares for future purchase and issuance under the 2022 ESPP in January 2023. The 2022 ESPP allows eligible employees to acquire ordinary shares of the Company at a discount at periodic intervals through accumulated payroll deductions. Eligible employees purchase ordinary shares of the Company during a purchase period at 85% of the market value of the Company’s ordinary shares at either the beginning or end of an offering period, whichever is lower. Offering periods under the 2022 ESPP are approximately six months long and begin on each of March 16 or September 16 or the next trading day thereafter. For the nine months ended January 31, 2024, 194,105 ordinary shares were purchased under the 2022 ESPP. No ordinary shares were purchased under the 2022 ESPP during the three months ended January 31, 2024. Stock-based compensation expense recognized related to the 2022 ESPP was $1.7 million and $5.3 million for the three and nine months ended January 31, 2024, respectively. 2012 Stock Option Plan In September 2012, the Company’s board of directors adopted and the Company’s shareholders approved the 2012 Stock Option Plan, which was amended and restated in September 2018 and further amended in December 2021 (as amended and restated, the “2012 Plan”). Under the 2012 Plan, the board of directors, the compensation committee, as administrator of the 2012 Plan, and any other duly authorized committee may grant stock options and other equity-based awards, such as Restricted Stock Awards (“RSAs”), Restricted Stock Units (“RSUs”), and performance-based RSUs (“PSUs”), to eligible employees, directors, and consultants to attract and retain the best available personnel for positions of substantial responsibility, to provide additional incentive to employees, directors and consultants, and to promote the success of the Company’s business. The Company’s board of directors, compensation committee, or other duly authorized committee determines the vesting schedule for all equity-based awards. Stock options and RSUs granted to employees generally vest over four years, subject to the employees’ continued service to the Company. During the nine months ended January 31, 2024, the Company granted PSUs that vest over three years with a one-year performance period. The Company’s compensation committee may explicitly deviate from the general vesting schedules in its approval of an equity-based award, as it may deem appropriate. Stock options expire ten years after the date of grant. Stock options, RSAs and RSUs (including PSUs) that are canceled under certain conditions become available for future grant or sale under the 2012 Plan unless the 2012 Plan is terminated. The equity awards available for grant were as follows: Nine Months Ended January 31, 2024 Available at beginning of fiscal year 17,564,133 Awards authorized 4,868,347 Options canceled 104,137 RSUs granted (1) (3,261,660) RSUs canceled (2) 830,544 Available at end of period 20,105,501 (1) Includes 132,960 PSUs granted during the nine months ended January 31, 2024. (2) Includes 16,437 PSUs canceled during the nine months ended January 31, 2024. Stock Options The following table summarizes stock option activity: Stock Options Outstanding Number of Stock Options Outstanding Weighted- Average Exercise Price Remaining Contractual Term (in years) Aggregate Intrinsic Value (in thousands) Balance as of April 30, 2023 4,038,238 $ 32.74 5.35 $ 134,778 Stock options exercised (1,200,589) $ 16.23 Stock options canceled (104,137) $ 98.35 Stock options assumed in acquisition canceled (1,223) $ 75.42 Balance as of January 31, 2024 2,732,289 $ 37.47 4.89 $ 223,029 Exercisable as of January 31, 2024 2,439,399 $ 30.88 4.57 $ 214,206 Aggregate intrinsic value represents the difference between the exercise price of the stock options to purchase the Company’s ordinary shares and the fair value of the Company’s ordinary shares. The weighted-average grant-date fair value per share of stock options granted was $48.56 for the nine months ended January 31, 2023. No stock options were granted during the three months ended January 31, 2023. As of January 31, 2024, the Company had unrecognized stock-based compensation expense of $15.8 million related to unvested stock options that the Company expects to recognize over a weighted-average period of 1.83 years. RSUs The following table summarizes RSU activity under the 2012 Plan: Number of Awards Weighted-Average Grant Date Fair Value Outstanding and unvested at April 30, 2023 7,494,399 $ 74.52 RSUs granted (1) 3,261,660 $ 102.08 RSUs released (2,030,369) $ 79.51 RSUs canceled (2) (830,544) $ 74.41 Outstanding and unvested at January 31, 2024 7,895,146 $ 84.64 (1) Includes 132,960 PSUs granted during the nine months ended January 31, 2024. (2) Includes 16,437 PSUs canceled during the nine months ended January 31, 2024. During the nine months ended January 31, 2024, the Company granted 132,960 PSUs subject to performance and service conditions, with a grant-date fair value of $9.1 million, to certain executives. The PSUs become eligible to vest based on the level of the Company’s achievement against a revenue-based performance goal for fiscal 2024. The amount that may be earned ranges from 0% to 200% of the eligible PSUs. Subject to the executives’ continued service to the Company through the applicable vesting date, one-third of the eligible PSUs will vest following the end of fiscal 2024 and, thereafter, one-eighth of the remaining eligible PSUs will vest on a quarterly basis over two years. Compensation expense related to PSUs is measured at the fair value on the date of grant and recognized over the requisite service period. In the event that an executive’s continuous service to the Company ceases, any associated unvested PSUs will immediately terminate and be forfeited. The Company recognizes forfeitures as they occur. As of January 31, 2024, the Company had unrecognized stock-based compensation expense of $624.8 million related to RSUs (including PSUs) that the Company expects to recognize over a weighted-average period of 2.97 years. Stock-Based Compensation Expense Total stock-based compensation expense recognized in the Company’s condensed consolidated statements of operations was as follows (in thousands): Three Months Ended January 31, Nine Months Ended January 31, 2024 2023 2024 2023 Cost of revenue Subscription $ 2,253 $ 2,163 $ 6,553 $ 6,352 Services 3,331 2,529 8,980 7,067 Research and development 24,443 20,905 68,843 58,378 Sales and marketing 20,238 19,096 57,252 50,756 General and administrative 12,497 9,763 34,716 26,073 Total stock-based compensation expense $ 62,762 $ 54,456 $ 176,344 $ 148,626 |
Net Earnings (Loss) Per Share A
Net Earnings (Loss) Per Share Attributable to Ordinary Shareholders | 9 Months Ended |
Jan. 31, 2024 | |
Earnings Per Share [Abstract] | |
Net Earnings (Loss) Per Share Attributable to Ordinary Shareholders | Net Earnings (Loss) Per Share Attributable to Ordinary Shareholders The following table sets forth the computation of basic and diluted net earnings (loss) per share attributable to ordinary shareholders (in thousands, except share and per share data): Three Months Ended January 31, Nine Months Ended January 31, 2024 2023 2024 2023 Numerator: Net income (loss) $ 176,124 $ (72,574) $ 102,820 $ (189,430) Denominator: Weighted-average shares used in computing net earnings (loss) per share attributable to ordinary shareholders Basic 100,282,179 96,052,025 99,099,210 95,327,131 Diluted 104,503,290 96,052,025 103,149,384 95,327,131 Net earnings (loss) per share attributable to ordinary shareholders, basic and diluted Basic $ 1.76 $ (0.76) $ 1.04 $ (1.99) Diluted $ 1.69 $ (0.76) $ 1.00 $ (1.99) The following outstanding potentially dilutive ordinary shares were excluded from the computation of diluted net earnings (loss) per share attributable to ordinary shareholders for the periods presented because the impact of including them would have been antidilutive: Three Months Ended January 31, Nine Months Ended January 31, 2024 2023 2024 2023 Stock options 344,995 4,419,457 780,199 4,419,457 RSUs 1,858,725 8,021,408 1,467,263 8,021,408 2022 ESPP — — 641 — Total 2,203,720 12,440,865 2,248,103 12,440,865 |
Income Taxes
Income Taxes | 9 Months Ended |
Jan. 31, 2024 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The Company is incorporated in the Netherlands but operates in various countries with differing tax laws and rates. The Company recorded a benefit from income taxes of $200.3 million and a provision for tax expense of $2.4 million for the three months ended January 31, 2024 and 2023, respectively, and a benefit of $181.9 million and expense of $12.3 million for the nine months ended January 31, 2024 and 2023, respectively. The calculation of income taxes is based upon the estimated annual effective tax rates for the year applied to the current period income before tax plus the tax effect of any significant unusual items, discrete events, or changes in tax law. The income tax benefit for the three and nine months ended January 31, 2024 was primarily due to the release of the valuation allowance against U.S. federal and certain states’ deferred tax assets of $250.7 million during the three and nine months ended January 31, 2024. The Company regularly assesses the need for a valuation allowance against its deferred tax assets. In making that assessment, the Company considers both positive and negative evidence related to the likelihood of realization of the deferred tax assets to determine, based on the weight of available evidence, whether it is more likely than not that some or all of the deferred tax assets will not be realized. As of January 31, 2024, based on all available positive and negative evidence, having demonstrated sustained profitability which is objective and verifiable, and taking into account anticipated future earnings, the Company has determined that it is more likely than not that its U.S. federal and certain states’ deferred tax assets will be realizable. The Company continues to maintain a valuation allowance against California and certain other states’ deferred tax assets due to the uncertainty regarding the realizability as they have not met the “more likely than not” realization criteria. When a change in valuation allowance is recognized during an interim period, the change in valuation allowance resulting from current year income is included in the annual effective tax rate, and the release of valuation allowance, supported by projections of future taxable income, is recorded as a discrete tax benefit in the interim period. The Company released $207.5 million of its valuation allowance as a discrete tax benefit during the three months ended January 31, 2024. The Company will continue to regularly assess the need for a valuation allowance against its deferred tax assets. The Company assesses uncertain tax positions in accordance with ASC 740-10, Accounting for Uncertainties in Tax. The Company anticipates that the amount of reasonably possible unrecognized tax benefits that could decrease over the next twelve months due to the expiration of certain statutes of limitations and settlement of tax audits is not material to the Company’s condensed consolidated financial statements. |
Employee Benefit Plans
Employee Benefit Plans | 9 Months Ended |
Jan. 31, 2024 | |
Retirement Benefits [Abstract] | |
Employee Benefit Plans | Employee Benefit Plans The Company has a defined-contribution plan in the United States intended to qualify under Section 401 of the Internal Revenue Code (the “401(k) Plan”). The Company has contracted with a third-party provider to act as a custodian and trustee, and to process and maintain the records of participant data. Substantially all the expenses incurred for administering the 401(k) Plan are paid by the Company. The 401(k) Plan covers substantially all U.S. employees who meet minimum age and service requirements and allows participants to defer a portion of their annual compensation on a pre-tax basis. The Company makes contributions to the 401(k) Plan up to 6% of the participating employee’s W-2 earnings and wages. The Company recorded $4.2 million and $4.4 million of expense related to the 401(k) Plan for the three months ended January 31, 2024 and 2023, respectively, and $13.3 million and $13.4 million for the nine months ended January 31, 2024 and 2023, respectively. |
Segment Information
Segment Information | 9 Months Ended |
Jan. 31, 2024 | |
Segment Reporting [Abstract] | |
Segment Information | Segment Information The following table summarizes the Company’s total revenue by geographic area based on the location of customers (in thousands): Three Months Ended January 31, Nine Months Ended January 31, 2024 2023 2024 2023 United States $ 186,177 $ 159,125 $ 537,392 $ 464,186 Rest of world 141,780 115,441 394,930 324,862 Total revenue $ 327,957 $ 274,566 $ 932,322 $ 789,048 Other than the United States, no individual country exceeded 10% or more of total revenue during the periods presented. The following table presents the Company’s long-lived assets, including property and equipment, net, and operating lease right-of-use assets, by geographic region (in thousands): As of As of United States $ 11,983 $ 13,476 The Netherlands 3,959 4,597 United Kingdom 4,030 2,797 India 2,679 1,803 Rest of world 5,949 2,416 Total long-lived assets $ 28,600 $ 25,089 |
Restructuring and Other Related
Restructuring and Other Related Charges | 9 Months Ended |
Jan. 31, 2024 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and Other Related Charges | Restructuring and Other Related Charges On November 30, 2022, the Company announced and began implementing a plan to align its investments more closely with its strategic priorities by reducing the Company’s workforce by approximately 13% and implementing certain facilities-related cost optimization actions. For the nine months ended January 31, 2024, the Company recorded $0.8 million of employee-related severance and other termination benefits. The Company did not record employee-related severance and other termination benefits for the three months ended January 31, 2024. For the three and nine months ended January 31, 2023, the Company recorded employee-related severance and other termination benefits of approximately $22.0 million and facilities-related charges of approximately $6.2 million. The facilities-related charges included impairment of operating lease right-of-use assets and the associated furniture, equipment, and leasehold improvements of $5.1 million and $1.1 million, respectively, for the exited leased office spaces. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Pay vs Performance Disclosure | ||||
Net income (loss) | $ 176,124 | $ (72,574) | $ 102,820 | $ (189,430) |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Jan. 31, 2024 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Jan. 31, 2024 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying interim condensed consolidated balance sheet as of January 31, 2024, interim condensed consolidated statements of operations, comprehensive income (loss), and shareholders’ equity for the three and nine months ended January 31, 2024 and 2023, and interim condensed consolidated statements of cash flows for the nine months ended January 31, 2024 and 2023 are unaudited. These interim condensed consolidated financial statements have been prepared on a basis consistent with the annual consolidated financial statements and, in the opinion of management, include all normal recurring adjustments necessary to fairly state the Company’s financial position as of January 31, 2024; results of the Company’s operations for the three and nine months ended January 31, 2024 and 2023; statements of shareholders’ equity for the three and nine months ended January 31, 2024 and 2023; and statements of cash flows for the nine months ended January 31, 2024 and 2023. The financial data and other financial information disclosed in the notes to these interim condensed consolidated financial statements related to the three and nine month periods are also unaudited. The results for the three and nine months ended January 31, 2024 are not necessarily indicative of the operating results expected for the fiscal year ending April 30, 2024, or any other future period. The unaudited interim condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and include the financial statements of the Company and its wholly-owned subsidiaries. All intercompany transactions and accounts have been eliminated in consolidation. Certain information and note disclosures normally included in the financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to the applicable rules and regulations of the Securities and Exchange Commission (“SEC”). The condensed balance sheet data as of April 30, 2023 was derived from the Company’s audited financial statements, but does not include all disclosures required by U.S. GAAP. Therefore, these unaudited interim condensed consolidated financial statements and accompanying footnotes should be read in conjunction with the Company’s annual consolidated financial statements and related footnotes included in the Company’s Annual Report on Form 10-K for the fiscal year ended April 30, 2023 filed with the SEC on June 16, 2023 (the “Company’s Annual Report on Form 10-K”). |
Fiscal Year | Fiscal Year The Company’s fiscal year ends on April 30. References to fiscal 2024, for example, refer to the fiscal year ended April 30, 2024. |
Use of Estimates and Judgments | Use of Estimates and Judgments The preparation of the condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenue and expenses during the reporting period. Such estimates and assumptions include, but are not limited to, allocation of revenue between recognized and deferred amounts, deferred contract acquisition costs, allowance for credit losses, valuation of stock-based compensation, fair value of ordinary shares in periods prior to the Company’s initial public offering, fair value of acquired intangible assets and goodwill, useful lives of acquired intangible assets and property and equipment, whether an arrangement is or contains a lease, discount rate used for operating leases, and valuation allowance for deferred income taxes. The Company bases these estimates on historical and anticipated results, trends and various other assumptions that it believes are reasonable under the circumstances, including assumptions as to future events. Estimates and assumptions about future events and their effects cannot be determined with certainty and therefore require the exercise of judgment. As of the date of issuance of these financial statements, the Company is not aware of any specific event or circumstance that would require the Company to update its estimates, judgments or revise the carrying value of the Company’s assets or liabilities. These estimates may change, as new events occur and additional information is obtained, and are recognized in the condensed consolidated financial statements as soon as they become known. Actual results could differ from those estimates and any such differences may be material to the Company’s financial statements. |
Recently Adopted Accounting Pronouncements And New Accounting Pronouncements Not Yet Adopted | Recently Adopted Accounting Pronouncements Acquisitions: In October 2021, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2021-08, Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers, improving consistency in accounting for acquired revenue contracts with customers in a business combination by requiring that acquirers apply ASC 606 to recognize contract assets and contract liabilities as if they had originated the contracts. If the acquiree prepared its financial statements in accordance with U.S. GAAP, the resulting acquired contract assets and liabilities should generally be consistent with the acquiree’s financial statements. The Company adopted ASU No. 2021-08 on May 1, 2023. The Company’s adoption of this ASU did not have a material impact on its condensed consolidated financial statements. New Accounting Pronouncements Not Yet Adopted Income Taxes: In December 2023, the FASB issued ASU No. 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, requiring enhancements and further transparency to certain income tax disclosures. The new guidance requires consistent categories and greater disaggregation of information in the tax rate reconciliation and information about income taxes paid disaggregated by jurisdiction. The guidance becomes effective for the Company for the fiscal year ending April 30, 2026. Early adoption is permitted. Upon adoption, the guidance may be applied prospectively or retrospectively. The Company is currently evaluating the impact of adopting this standard on its condensed consolidated financial statements. |
Revenue and Performance Obligat
Revenue and Performance Obligations (Tables) | 9 Months Ended |
Jan. 31, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from External Customers by Products and Services | The following table presents revenue by category (in thousands): Three Months Ended January 31, Nine Months Ended January 31, 2024 2023 2024 2023 Amount % of Amount % of Amount % of Amount % of Elastic Cloud $ 143,379 44 % $ 110,743 40 % $ 399,540 43 % $ 311,709 40 % Other subscription 164,253 50 % 144,870 53 % 466,082 50 % 416,929 52 % Total subscription 307,632 94 % 255,613 93 % 865,622 93 % 728,638 92 % Services 20,325 6 % 18,953 7 % 66,700 7 % 60,410 8 % Total revenue $ 327,957 100 % $ 274,566 100 % $ 932,322 100 % $ 789,048 100 % |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Jan. 31, 2024 | |
Fair Value Disclosures [Abstract] | |
Schedule of Assets Measured at Fair Value on Recurring Basis | The following table summarizes assets that are measured at fair value on a recurring basis as of January 31, 2024 (in thousands): Level 1 Level 2 Level 3 Total Financial Assets: Cash and cash equivalents: Money market funds $ 189,846 $ — $ — $ 189,846 U.S. treasury securities 14,993 — — 14,993 Certificates of deposit — 2,230 — 2,230 Total included in cash and cash equivalents 204,839 2,230 — 207,069 Marketable securities: Certificates of deposit — 33,177 — 33,177 Commercial paper — 38,757 — 38,757 Municipal securities — 25,894 — 25,894 U.S. treasury securities 109,777 — — 109,777 International treasuries — 7,188 — 7,188 Corporate debt securities — 232,030 — 232,030 U.S. agency bonds — 41,310 — 41,310 Total marketable securities 109,777 378,356 — 488,133 Total financial assets $ 314,616 $ 380,586 $ — $ 695,202 The following table summarizes assets that are measured at fair value on a recurring basis as of April 30, 2023 (in thousands): Level 1 Level 2 Level 3 Total Financial Assets: Cash and cash equivalents: Money market funds $ 194,261 $ — $ — $ 194,261 U.S. agency securities — 27,406 — 27,406 Certificates of deposit — 21,750 — 21,750 Commercial paper — 60,750 — 60,750 Total included in cash and cash equivalents 194,261 109,906 — 304,167 Marketable securities: Certificates of deposit — 31,645 — 31,645 Commercial paper — 33,735 — 33,735 U.S. treasury securities 47,627 — — 47,627 Corporate debt securities — 118,228 — 118,228 U.S. agency bonds — 39,806 — 39,806 Total marketable securities 47,627 223,414 — 271,041 Total financial assets $ 241,888 $ 333,320 $ — $ 575,208 The fair value of available-for-sale securities, by remaining contractual maturity, are as follows (in thousands): As of As of Due within 1 year $ 252,415 $ 168,264 Due between 1 year and 3 years 235,718 102,777 Total marketable securities $ 488,133 $ 271,041 |
Balance Sheet Components (Table
Balance Sheet Components (Tables) | 9 Months Ended |
Jan. 31, 2024 | |
Balance Sheet Components [Abstract] | |
Schedule of Cost and Accumulated Depreciation of Property and Equipment | The cost and accumulated depreciation of property and equipment were as follows (in thousands): Useful Life (in years) As of As of Leasehold improvements Lesser of estimated useful life or remaining lease term $ 12,281 $ 10,081 Computer hardware and software 3 3,310 2,220 Furniture and fixtures 3-5 6,898 6,093 Assets under construction 651 1,734 Total property and equipment 23,140 20,128 Less: accumulated depreciation (17,628) (15,036) Property and equipment, net $ 5,512 $ 5,092 |
Schedule of Intangible Assets | Intangible assets consisted of the following as of January 31, 2024 (in thousands): Gross Fair Value Accumulated Amortization Net Book Value Weighted Average Developed technology $ 76,130 $ 52,275 $ 23,855 2.8 Customer relationships 19,598 19,598 — 0.0 Trade names 2,872 2,872 — 0.0 Total $ 98,600 $ 74,745 $ 23,855 2.8 Foreign currency translation adjustment (33) Total $ 23,822 Intangible assets consisted of the following as of April 30, 2023 (in thousands): Gross Fair Value Accumulated Amortization Net Book Value Weighted Average Developed technology $ 70,130 $ 43,136 $ 26,994 2.7 Customer relationships 19,598 17,641 1,957 0.4 Trade names 2,872 2,686 186 0.4 Total $ 92,600 $ 63,463 $ 29,137 2.5 Foreign currency translation adjustment (33) Total $ 29,104 |
Schedule of Amortization Expense for Intangible Assets | Amortization expense for the intangible assets for the three and nine months ended January 31, 2024 and 2023 was as follows (in thousands): Three Months Ended January 31, Nine Months Ended January 31, 2024 2023 2024 2023 Cost of revenue – subscription $ 3,186 $ 2,977 $ 9,139 $ 8,902 Sales and marketing — 1,232 2,143 3,695 Total amortization of acquired intangible assets $ 3,186 $ 4,209 $ 11,282 $ 12,597 |
Schedule of Expected Future Amortization Expense of Intangible Assets | The expected future amortization expense related to the intangible assets as of January 31, 2024 was as follows (in thousands, by fiscal year): Remainder of 2024 $ 3,098 2025 9,239 2026 6,278 2027 3,267 2028 1,224 Thereafter 716 Total $ 23,822 |
Schedule of Changes to Goodwill | The following table represents the changes to goodwill (in thousands): Carrying Amount Balance as of April 30, 2023 $ 303,642 Addition from acquisition 15,830 Foreign currency translation adjustment 74 Balance as of January 31, 2024 $ 319,546 |
Schedule of Accrued Expenses and Other Liabilities | Accrued expenses and other liabilities consisted of the following (in thousands): As of As of Accrued expenses $ 30,697 $ 24,163 Income taxes payable 14,628 9,738 Value added taxes payable 5,360 9,403 Accrued interest 988 6,918 Other 13,162 13,310 Total accrued expenses and other liabilities $ 64,835 $ 63,532 |
Schedule of Accrued Compensation and Benefits | Accrued compensation and benefits consisted of the following (in thousands): As of As of Accrued vacation $ 31,346 $ 30,026 Accrued commissions 18,946 26,175 Accrued payroll and withholding taxes 13,495 6,586 Other 14,262 13,696 Total accrued compensation and benefits $ 78,049 $ 76,483 |
Schedule of Unbilled Accounts Receivable, Deferred Contract Acquisition Costs, and Deferred Revenue from Contracts with Customers | The following is a summary of the changes in the Company’s allowance for credit losses (in thousands): Nine Months Ended January 31, 2024 2023 Beginning balance $ 3,409 $ 2,700 Bad debt expense 2,189 1,276 Accounts written off (1,733) (1,781) Ending balance $ 3,865 $ 2,195 |
Senior Notes (Tables)
Senior Notes (Tables) | 9 Months Ended |
Jan. 31, 2024 | |
Debt Disclosure [Abstract] | |
Schedule of Long-Term Debt Instruments | The net carrying amount of the Senior Notes was as follows (in thousands): As of As of Principal $ 575,000 $ 575,000 Unamortized debt issuance costs (6,659) (7,457) Net carrying amount $ 568,341 $ 567,543 The following table sets forth the interest expense recognized related to the Senior Notes (in thousands): Three Months Ended January 31, Nine Months Ended January 31, 2024 2023 2024 2023 Contractual interest expense $ 5,930 $ 5,930 $ 17,789 $ 17,789 Amortization of debt issuance costs 269 257 798 763 Total interest expense related to the Senior Notes $ 6,199 $ 6,187 $ 18,587 $ 18,552 |
Leases (Tables)
Leases (Tables) | 9 Months Ended |
Jan. 31, 2024 | |
Leases [Abstract] | |
Components of Lease Costs | Components of lease costs included in the condensed consolidated statements of operations were as follows (in thousands): Three Months Ended January 31, Nine Months Ended January 31, 2024 2023 2024 2023 Operating lease cost $ 3,120 $ 3,088 $ 8,960 $ 9,539 Short-term lease cost 334 381 1,308 1,729 Variable lease cost 527 219 1,049 446 Total lease cost $ 3,981 $ 3,688 $ 11,317 $ 11,714 |
Lease Term and Discount Rate Information | Lease term and discount rate information are summarized as follows: As of Weighted average remaining lease term (in years) 2.85 Weighted average discount rate 5.10 % |
Future Minimum Lease Payments Based on Current Lease Accounting Standard | Future minimum lease payments under non-cancelable operating leases on an undiscounted cash flow basis as of January 31, 2024 were as follows (in thousands, by fiscal year): Remainder of 2024 $ 3,603 2025 12,955 2026 7,398 2027 2,704 2028 2,359 Thereafter 1,101 Total minimum lease payments 30,120 Less imputed interest (2,035) Present value of future minimum lease payments 28,085 Less current lease liabilities (12,788) Operating lease liabilities, non-current $ 15,297 |
Ordinary Shares (Tables)
Ordinary Shares (Tables) | 9 Months Ended |
Jan. 31, 2024 | |
Equity [Abstract] | |
Summary of Ordinary Shares Reserved for Issuance | The Company has reserved ordinary shares for issuance as follows: As of As of Stock options issued and outstanding 2,732,289 4,038,238 RSUs issued and outstanding (1) 7,895,146 7,494,399 Available for future grants 20,105,501 17,564,133 Available for employee stock purchases 5,805,895 6,000,000 Total ordinary shares reserved 36,538,831 35,096,770 (1) Includes 116,523 PSUs issued and outstanding as of January 31, 2024. |
Equity Incentive Plans (Tables)
Equity Incentive Plans (Tables) | 9 Months Ended |
Jan. 31, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
Summary of Equity Awards Available for Grant | The equity awards available for grant were as follows: Nine Months Ended January 31, 2024 Available at beginning of fiscal year 17,564,133 Awards authorized 4,868,347 Options canceled 104,137 RSUs granted (1) (3,261,660) RSUs canceled (2) 830,544 Available at end of period 20,105,501 (1) Includes 132,960 PSUs granted during the nine months ended January 31, 2024. (2) Includes 16,437 PSUs canceled during the nine months ended January 31, 2024. |
Summary of Stock Option Activity | The following table summarizes stock option activity: Stock Options Outstanding Number of Stock Options Outstanding Weighted- Average Exercise Price Remaining Contractual Term (in years) Aggregate Intrinsic Value (in thousands) Balance as of April 30, 2023 4,038,238 $ 32.74 5.35 $ 134,778 Stock options exercised (1,200,589) $ 16.23 Stock options canceled (104,137) $ 98.35 Stock options assumed in acquisition canceled (1,223) $ 75.42 Balance as of January 31, 2024 2,732,289 $ 37.47 4.89 $ 223,029 Exercisable as of January 31, 2024 2,439,399 $ 30.88 4.57 $ 214,206 |
Summary of RSU Activity | The following table summarizes RSU activity under the 2012 Plan: Number of Awards Weighted-Average Grant Date Fair Value Outstanding and unvested at April 30, 2023 7,494,399 $ 74.52 RSUs granted (1) 3,261,660 $ 102.08 RSUs released (2,030,369) $ 79.51 RSUs canceled (2) (830,544) $ 74.41 Outstanding and unvested at January 31, 2024 7,895,146 $ 84.64 (1) Includes 132,960 PSUs granted during the nine months ended January 31, 2024. (2) Includes 16,437 PSUs canceled during the nine months ended January 31, 2024. |
Summary of Stock-based Compensation Expense Related to Tender Offer Included in Consolidated Statement of Operations | Total stock-based compensation expense recognized in the Company’s condensed consolidated statements of operations was as follows (in thousands): Three Months Ended January 31, Nine Months Ended January 31, 2024 2023 2024 2023 Cost of revenue Subscription $ 2,253 $ 2,163 $ 6,553 $ 6,352 Services 3,331 2,529 8,980 7,067 Research and development 24,443 20,905 68,843 58,378 Sales and marketing 20,238 19,096 57,252 50,756 General and administrative 12,497 9,763 34,716 26,073 Total stock-based compensation expense $ 62,762 $ 54,456 $ 176,344 $ 148,626 |
Net Earnings (Loss) Per Share_2
Net Earnings (Loss) Per Share Attributable to Ordinary Shareholders (Tables) | 9 Months Ended |
Jan. 31, 2024 | |
Earnings Per Share [Abstract] | |
Schedule of Computation of Basic and Diluted Net Loss Per Share Attributable to Ordinary Shareholders | The following table sets forth the computation of basic and diluted net earnings (loss) per share attributable to ordinary shareholders (in thousands, except share and per share data): Three Months Ended January 31, Nine Months Ended January 31, 2024 2023 2024 2023 Numerator: Net income (loss) $ 176,124 $ (72,574) $ 102,820 $ (189,430) Denominator: Weighted-average shares used in computing net earnings (loss) per share attributable to ordinary shareholders Basic 100,282,179 96,052,025 99,099,210 95,327,131 Diluted 104,503,290 96,052,025 103,149,384 95,327,131 Net earnings (loss) per share attributable to ordinary shareholders, basic and diluted Basic $ 1.76 $ (0.76) $ 1.04 $ (1.99) Diluted $ 1.69 $ (0.76) $ 1.00 $ (1.99) |
Schedule of Outstanding Potentially Dilutive Ordinary Shares Excluded from Computation of Diluted Net Loss Per Share Attributable to Ordinary Shareholders | The following outstanding potentially dilutive ordinary shares were excluded from the computation of diluted net earnings (loss) per share attributable to ordinary shareholders for the periods presented because the impact of including them would have been antidilutive: Three Months Ended January 31, Nine Months Ended January 31, 2024 2023 2024 2023 Stock options 344,995 4,419,457 780,199 4,419,457 RSUs 1,858,725 8,021,408 1,467,263 8,021,408 2022 ESPP — — 641 — Total 2,203,720 12,440,865 2,248,103 12,440,865 |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Jan. 31, 2024 | |
Segment Reporting [Abstract] | |
Schedule of Revenue by Geographic Area | The following table summarizes the Company’s total revenue by geographic area based on the location of customers (in thousands): Three Months Ended January 31, Nine Months Ended January 31, 2024 2023 2024 2023 United States $ 186,177 $ 159,125 $ 537,392 $ 464,186 Rest of world 141,780 115,441 394,930 324,862 Total revenue $ 327,957 $ 274,566 $ 932,322 $ 789,048 |
Schedule of Property and Equipment, Net of Depreciation | The following table presents the Company’s long-lived assets, including property and equipment, net, and operating lease right-of-use assets, by geographic region (in thousands): As of As of United States $ 11,983 $ 13,476 The Netherlands 3,959 4,597 United Kingdom 4,030 2,797 India 2,679 1,803 Rest of world 5,949 2,416 Total long-lived assets $ 28,600 $ 25,089 |
Revenue - Schedule of Revenue b
Revenue - Schedule of Revenue by Category (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Disaggregation of Revenue [Line Items] | ||||
Total revenue | $ 327,957 | $ 274,566 | $ 932,322 | $ 789,048 |
Revenue | Product | ||||
Disaggregation of Revenue [Line Items] | ||||
% of Total Revenue | 100% | 100% | 100% | 100% |
Total subscription | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | $ 307,632 | $ 255,613 | $ 865,622 | $ 728,638 |
Total subscription | Revenue | Product | ||||
Disaggregation of Revenue [Line Items] | ||||
% of Total Revenue | 94% | 93% | 93% | 92% |
SaaS | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | $ 143,379 | $ 110,743 | $ 399,540 | $ 311,709 |
SaaS | Revenue | Product | ||||
Disaggregation of Revenue [Line Items] | ||||
% of Total Revenue | 44% | 40% | 43% | 40% |
Self-managed subscription | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | $ 164,253 | $ 144,870 | $ 466,082 | $ 416,929 |
Self-managed subscription | Revenue | Product | ||||
Disaggregation of Revenue [Line Items] | ||||
% of Total Revenue | 50% | 53% | 50% | 52% |
Professional services | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | $ 20,325 | $ 18,953 | $ 66,700 | $ 60,410 |
Professional services | Revenue | Product | ||||
Disaggregation of Revenue [Line Items] | ||||
% of Total Revenue | 6% | 7% | 7% | 8% |
Revenue - Additional Informatio
Revenue - Additional Information (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Jan. 31, 2024 USD ($) | Jan. 31, 2023 USD ($) | Jan. 31, 2024 USD ($) | Jan. 31, 2023 USD ($) Customer | Jan. 31, 2022 Customer | Apr. 30, 2023 USD ($) | |
Revenue from Contract with Customer [Abstract] | ||||||
Revenue, remaining performance obligation, amount | $ 1,176,000 | $ 1,176,000 | ||||
Revenue, remaining performance obligation, percentage | 91% | 91% | ||||
Revenue, remaining performance obligation, remaining duration | 24 months | 24 months | ||||
Disaggregation of Revenue [Line Items] | ||||||
Deferred revenue, revenue recognized | $ 103,200 | $ 86,100 | $ 474,400 | $ 387,400 | ||
Revenue, remaining performance obligation, amount | $ 1,176,000 | $ 1,176,000 | ||||
Revenue, remaining performance obligation, percentage | 91% | 91% | ||||
Revenue, remaining performance obligation, remaining duration | 24 months | 24 months | ||||
Amortization of deferred contract acquisition costs | $ 20,400 | $ 15,800 | $ 56,392 | $ 51,495 | ||
Contracts with Customers | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Unbilled accounts receivable | $ 3,100 | $ 3,100 | $ 2,200 | |||
Net Accounts Receivable | Customer Concentration Risk | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Number of customers | Customer | 1 | 1 | ||||
Net Accounts Receivable | Customer Concentration Risk | Customer One | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Concentration risk percentage | 12% | |||||
Revenue, Product and Service Benchmark | Customer Concentration Risk | Customer One | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Concentration risk percentage | 11% |
Fair Value Measurements - Sched
Fair Value Measurements - Schedule of Assets are Measured at Fair Value on Recurring Basis (Details) - Recurring - USD ($) $ in Thousands | Jan. 31, 2024 | Apr. 30, 2023 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets | $ 207,069 | $ 304,167 |
Total marketable securities | 488,133 | 271,041 |
Total financial assets | 695,202 | 575,208 |
Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets | 204,839 | 194,261 |
Total marketable securities | 109,777 | 47,627 |
Total financial assets | 314,616 | 241,888 |
Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets | 2,230 | 109,906 |
Total marketable securities | 378,356 | 223,414 |
Total financial assets | 380,586 | 333,320 |
Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets | 0 | 0 |
Total marketable securities | 0 | 0 |
Total financial assets | 0 | 0 |
Money market funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets | 189,846 | 194,261 |
Total marketable securities | 33,177 | 31,645 |
Money market funds | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets | 189,846 | 194,261 |
Total marketable securities | 0 | 0 |
Money market funds | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets | 0 | 0 |
Total marketable securities | 33,177 | 31,645 |
Money market funds | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets | 0 | 0 |
Total marketable securities | 0 | 0 |
U.S. treasury securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets | 14,993 | |
Total marketable securities | 109,777 | 47,627 |
U.S. treasury securities | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets | 14,993 | |
Total marketable securities | 109,777 | 47,627 |
U.S. treasury securities | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets | 0 | |
Total marketable securities | 0 | 0 |
U.S. treasury securities | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets | 0 | |
Total marketable securities | 0 | 0 |
International treasuries | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total marketable securities | 7,188 | |
International treasuries | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total marketable securities | 0 | |
International treasuries | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total marketable securities | 7,188 | |
International treasuries | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total marketable securities | 0 | |
Certificates of deposit | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets | 2,230 | 21,750 |
Certificates of deposit | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets | 0 | 0 |
Certificates of deposit | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets | 2,230 | 21,750 |
Certificates of deposit | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets | 0 | 0 |
Municipal securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total marketable securities | 25,894 | |
Municipal securities | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total marketable securities | 0 | |
Municipal securities | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total marketable securities | 25,894 | |
Municipal securities | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total marketable securities | 0 | |
Commercial paper | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets | 60,750 | |
Total marketable securities | 38,757 | 33,735 |
Commercial paper | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets | 0 | |
Total marketable securities | 0 | 0 |
Commercial paper | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets | 60,750 | |
Total marketable securities | 38,757 | 33,735 |
Commercial paper | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets | 0 | |
Total marketable securities | 0 | 0 |
Corporate debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total marketable securities | 232,030 | 118,228 |
Corporate debt securities | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total marketable securities | 0 | 0 |
Corporate debt securities | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total marketable securities | 232,030 | 118,228 |
Corporate debt securities | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total marketable securities | 0 | 0 |
U.S. agency bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets | 27,406 | |
Total marketable securities | 41,310 | 39,806 |
U.S. agency bonds | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets | 0 | |
Total marketable securities | 0 | 0 |
U.S. agency bonds | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets | 27,406 | |
Total marketable securities | 41,310 | 39,806 |
U.S. agency bonds | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets | 0 | |
Total marketable securities | $ 0 | $ 0 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Details) - USD ($) | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||
Jul. 31, 2021 | Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Fair Value Disclosures [Abstract] | |||||
Interest Income, Interest-Earning Asset | $ 7,800,000 | $ 6,200,000 | $ 20,900,000 | $ 10,900,000 | |
Proceeds from Issuance of Senior Long-term Debt | $ 575,000,000 | ||||
Debt Instrument, Interest Rate, Stated Percentage | 4.125% | ||||
Long-term Debt, Fair Value | $ 523,000,000 | $ 523,000,000 |
Fair Value Measurements - Fair
Fair Value Measurements - Fair Value by Maturity Date (Details) - USD ($) $ in Thousands | Jan. 31, 2024 | Apr. 30, 2023 |
Fair Value Disclosures [Abstract] | ||
Due within 1 year | $ 252,415 | $ 168,264 |
Due between 1 year and 3 years | 235,718 | 102,777 |
Total marketable securities | $ 488,133 | $ 271,041 |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Details) - USD ($) $ in Thousands | 9 Months Ended | |||
Nov. 30, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | Apr. 30, 2023 | |
Business Acquisition [Line Items] | ||||
Goodwill | $ 319,546 | $ 303,642 | ||
Acquired identifiable intangible assets amortization period | 2 years 9 months 18 days | 2 years 6 months | ||
Developed technology | ||||
Business Acquisition [Line Items] | ||||
Acquired identifiable intangible assets amortization period | 2 years 9 months 18 days | 2 years 8 months 12 days | ||
Opster | ||||
Business Acquisition [Line Items] | ||||
Share capital acquired in business combination (in percentage) | 100% | |||
Purchase consideration | $ 22,800 | |||
Consideration held back for idemnity obligations | 3,100 | |||
Goodwill | 15,900 | |||
Opster | Developed technology | ||||
Business Acquisition [Line Items] | ||||
Intangible assets acquired | $ 6,000 | |||
Acquired identifiable intangible assets amortization period | 5 years |
Balance Sheet Components - Sche
Balance Sheet Components - Schedule of Cost and Accumulated Depreciation of Property and Equipment (Details) - USD ($) $ in Thousands | Jan. 31, 2024 | Apr. 30, 2023 |
Property, Plant and Equipment [Line Items] | ||
Total property and equipment | $ 23,140 | $ 20,128 |
Less: accumulated depreciation | (17,628) | (15,036) |
Property and equipment, net | 5,512 | 5,092 |
Leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment | $ 12,281 | 10,081 |
Computer hardware and software | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, estimated useful lives | 3 years | |
Total property and equipment | $ 3,310 | 2,220 |
Furniture and fixtures | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment | $ 6,898 | 6,093 |
Furniture and fixtures | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, estimated useful lives | 3 years | |
Furniture and fixtures | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, estimated useful lives | 5 years | |
Assets under construction | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment | $ 651 | $ 1,734 |
Balance Sheet Components - Addi
Balance Sheet Components - Additional Information (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Balance Sheet Components [Abstract] | ||||
Depreciation expense | $ 900,000 | $ 800,000 | $ 2,600,000 | $ 2,900,000 |
Goodwill impairment | 0 | 0 | ||
Property, Plant and Equipment [Line Items] | ||||
Depreciation expense | $ 900,000 | 800,000 | $ 2,600,000 | 2,900,000 |
Furniture, Equipment, And Leasehold Improvements | ||||
Property, Plant and Equipment [Line Items] | ||||
Impairment charges | $ 1,100,000 | $ 1,100,000 |
Balance Sheet Components - Sc_2
Balance Sheet Components - Schedule of Intangible Assets (Details) - USD ($) $ in Thousands | 9 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Apr. 30, 2023 | |
Finite-Lived Intangible Assets [Line Items] | |||
Gross Fair Value | $ 98,600 | $ 92,600 | |
Accumulated Amortization | 74,745 | 63,463 | |
Net Book Value | $ 23,855 | 29,137 | |
Weighted Average Remaining Useful Life (in years) | 2 years 9 months 18 days | 2 years 6 months | |
Foreign currency translation adjustment | $ (33) | (33) | |
Total | 23,822 | 29,104 | |
Developed technology | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Fair Value | 76,130 | 70,130 | |
Accumulated Amortization | 52,275 | 43,136 | |
Net Book Value | $ 23,855 | 26,994 | |
Weighted Average Remaining Useful Life (in years) | 2 years 9 months 18 days | 2 years 8 months 12 days | |
Customer relationships | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Fair Value | $ 19,598 | 19,598 | |
Accumulated Amortization | 19,598 | 17,641 | |
Net Book Value | $ 0 | 1,957 | |
Weighted Average Remaining Useful Life (in years) | 0 years | 4 months 24 days | |
Trade names | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Fair Value | $ 2,872 | 2,872 | |
Accumulated Amortization | 2,872 | 2,686 | |
Net Book Value | $ 0 | $ 186 | |
Weighted Average Remaining Useful Life (in years) | 0 years | 4 months 24 days |
Balance Sheet Components - Sc_3
Balance Sheet Components - Schedule of Amortization Expense For Intangible Assets (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | Apr. 30, 2023 | |
Finite-Lived Intangible Assets [Line Items] | |||||
Total amortization of acquired intangible assets | $ 3,186 | $ 4,209 | $ 11,282 | $ 12,597 | |
Foreign currency translation adjustment | (33) | (33) | $ (33) | ||
Total | 23,822 | 23,822 | $ 29,104 | ||
Cost of revenue | Subscription - self-managed and SaaS | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Total amortization of acquired intangible assets | 3,186 | 2,977 | 9,139 | 8,902 | |
Sales and marketing | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Total amortization of acquired intangible assets | $ 0 | $ 1,232 | $ 2,143 | $ 3,695 |
Balance Sheet Components - Sc_4
Balance Sheet Components - Schedule of Expected Future Amortization Expense of the Intangible Assets (Details) - USD ($) $ in Thousands | Jan. 31, 2024 | Apr. 30, 2023 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Remainder of 2024 | $ 3,098 | |
2025 | 9,239 | |
2026 | 6,278 | |
2027 | 3,267 | |
2028 | 1,224 | |
Thereafter | 716 | |
Total | $ 23,822 | $ 29,104 |
Balance Sheet Components - Sc_5
Balance Sheet Components - Schedule of Changes to Goodwill (Details) $ in Thousands | 9 Months Ended |
Jan. 31, 2024 USD ($) | |
Goodwill [Roll Forward] | |
Beginning balance | $ 303,642 |
Addition from acquisition | 15,830 |
Foreign currency translation adjustment | 74 |
Ending balance | $ 319,546 |
Balance Sheet Components - Sc_6
Balance Sheet Components - Schedule of Accrued Expenses and Other Liabilities (Details) - USD ($) $ in Thousands | Jan. 31, 2024 | Apr. 30, 2023 |
Balance Sheet Components [Abstract] | ||
Accrued expenses | $ 30,697 | $ 24,163 |
Income taxes payable | 14,628 | 9,738 |
Value added taxes payable | 5,360 | 9,403 |
Other | 13,162 | 13,310 |
Total accrued expenses and other liabilities | 64,835 | 63,532 |
Accrued interest on Senior Notes | $ 988 | $ 6,918 |
Balance Sheet Components - Sc_7
Balance Sheet Components - Schedule of Accrued Compensation and Benefits (Details) - USD ($) $ in Thousands | Jan. 31, 2024 | Apr. 30, 2023 |
Balance Sheet Components [Abstract] | ||
Accrued vacation | $ 31,346 | $ 30,026 |
Accrued commissions | 18,946 | 26,175 |
Accrued payroll and withholding taxes | 13,495 | 6,586 |
Other | 14,262 | 13,696 |
Total accrued compensation and benefits | $ 78,049 | $ 76,483 |
Balance Sheet Components - Liab
Balance Sheet Components - Liabilities (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Jan. 31, 2024 | Jan. 31, 2023 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||
Beginning balance | $ 3,409 | $ 2,700 |
Bad debt expense | 2,189 | 1,276 |
Accounts written off | (1,733) | (1,781) |
Ending balance | $ 3,865 | $ 2,195 |
Senior Notes - Additional Infor
Senior Notes - Additional Information (Details) - USD ($) | 1 Months Ended | ||
Jul. 31, 2021 | Jan. 31, 2024 | Apr. 30, 2023 | |
Debt Instrument [Line Items] | |||
Proceeds from Issuance of Senior Long-term Debt | $ 575,000,000 | ||
Debt Instrument, Interest Rate, Stated Percentage | 4.125% | ||
Long-term debt, net | $ 568,341,000 | $ 567,543,000 | |
Senior Notes | |||
Debt Instrument [Line Items] | |||
Proceeds from Issuance of Senior Long-term Debt | $ 575,000,000 | ||
Debt Instrument, Interest Rate, Stated Percentage | 4.125% | ||
Long-term debt, net | $ 565,700,000 | ||
underwriting commissions | 7,200,000 | ||
Other issuance cost | 2,100,000 | ||
Debt Issuance Costs, Gross | $ 9,300,000 | ||
Repurchase of debt (as a percent) | 101% | ||
Senior Notes | Debt Instrument, Redemption, Period One | |||
Debt Instrument [Line Items] | |||
Redemption price (as a percent) | 100% | ||
Redemption price of principal (as a percent) | 40% | ||
Senior Notes | Debt Instrument, Redemption, Period Two | |||
Debt Instrument [Line Items] | |||
Redemption price (as a percent) | 104.125% | ||
Senior Notes | Debt Instrument, Redemption, Period Three | |||
Debt Instrument [Line Items] | |||
Redemption price (as a percent) | 100% |
Senior Notes - Carrying Amount
Senior Notes - Carrying Amount of Senior Notes And Interest Expense Recognized (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | Apr. 30, 2023 | |
Debt Disclosure [Abstract] | |||||
Principal | $ 575,000 | $ 575,000 | $ 575,000 | ||
Unamortized debt issuance costs | (6,659) | (6,659) | (7,457) | ||
Long-term debt, net | 568,341 | 568,341 | $ 567,543 | ||
Contractual interest expense | 5,930 | $ 5,930 | 17,789 | $ 17,789 | |
Amortization of debt issuance costs | 269 | 257 | 798 | 763 | |
Total interest expense related to the Senior Notes | $ 6,199 | $ 6,187 | $ 18,587 | $ 18,552 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Details) | 9 Months Ended |
Jan. 31, 2024 USD ($) | |
Commitments and Contingencies Disclosure [Abstract] | |
Letters of credit outstanding amount | $ 2,300,000 |
Provision for indemnification claims | $ 0 |
Leases - Components of Lease Co
Leases - Components of Lease Costs (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Leases [Abstract] | ||||
Operating lease cost | $ 3,120 | $ 3,088 | $ 8,960 | $ 9,539 |
Short-term lease cost | 334 | 381 | 1,308 | 1,729 |
Variable lease cost | 527 | 219 | 1,049 | 446 |
Total lease cost | $ 3,981 | $ 3,688 | $ 11,317 | $ 11,714 |
Leases - Lease Term and Discoun
Leases - Lease Term and Discount Rate Information (Details) | Jan. 31, 2024 |
Leases [Abstract] | |
Weighted average remaining lease term (in years) | 2 years 10 months 6 days |
Weighted average discount rate | 5.10% |
Leases - Future Minimum Lease B
Leases - Future Minimum Lease Based on Current Lease Accounting Standard (Details) - USD ($) $ in Thousands | Jan. 31, 2024 | Apr. 30, 2023 |
Leases [Abstract] | ||
Remainder of 2024 | $ 3,603 | |
2025 | 12,955 | |
2026 | 7,398 | |
2027 | 2,704 | |
2028 | 2,359 | |
Thereafter | 1,101 | |
Total minimum lease payments | 30,120 | |
Less imputed interest | (2,035) | |
Present value of future minimum lease payments | 28,085 | |
Less current lease liabilities | (12,788) | $ (12,749) |
Operating lease liabilities, non-current | $ 15,297 | $ 13,942 |
Leases - Additional Information
Leases - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Jan. 31, 2024 | Jan. 31, 2024 | Jan. 31, 2023 | |
Property, Plant, and Equipment, Lessor Asset under Operating Lease [Line Items] | |||
Asset impairment charges | $ 0 | $ 6,242 | |
Leased Office Space | |||
Property, Plant, and Equipment, Lessor Asset under Operating Lease [Line Items] | |||
Asset impairment charges | $ 5,100 | $ 5,100 |
Ordinary Shares - Additional In
Ordinary Shares - Additional Information (Details) | 9 Months Ended | |||
Jan. 31, 2024 € / shares | Jan. 31, 2024 USD ($) shares | Apr. 30, 2023 shares | Oct. 10, 2018 shares | |
Class of Stock [Line Items] | ||||
Common Stock, Shares Authorized | 165,000,000 | |||
Ordinary shares, voting rights | one vote per ordinary share | |||
Dividends declared | $ | $ 0 | |||
Convertible Preference Shares | ||||
Class of Stock [Line Items] | ||||
Preferred Stock, Shares Authorized | 165,000,000 | 165,000,000 | 165,000,000 | |
Preferred Stock, Shares Issued | 0 | 0 | ||
Preferred Stock, Shares Outstanding | 0 | 0 | ||
Maximum | ||||
Class of Stock [Line Items] | ||||
Ordinary shares, par value (in € / shares) | € / shares | € 0.01 |
Ordinary Shares - Summary of Or
Ordinary Shares - Summary of Ordinary Shares Reserved for Issuance (Details) - shares | Jan. 31, 2024 | Apr. 30, 2023 |
Class of Stock [Line Items] | ||
Total ordinary shares reserved (in shares) | 36,538,831 | 35,096,770 |
Stock options | ||
Class of Stock [Line Items] | ||
Total ordinary shares reserved (in shares) | 2,732,289 | 4,038,238 |
RSUs | ||
Class of Stock [Line Items] | ||
Total ordinary shares reserved (in shares) | 7,895,146 | 7,494,399 |
Performance Shares | ||
Class of Stock [Line Items] | ||
Total ordinary shares reserved (in shares) | 116,523 | |
2012 Plan | ||
Class of Stock [Line Items] | ||
Total ordinary shares reserved (in shares) | 20,105,501 | 17,564,133 |
Employee Stock Purchase Plan 2022 | ||
Class of Stock [Line Items] | ||
Total ordinary shares reserved (in shares) | 5,805,895 | 6,000,000 |
Equity Incentive Plans - Additi
Equity Incentive Plans - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||
Aug. 31, 2022 | Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Stock-based compensation expense | $ 62,762 | $ 54,456 | $ 176,344 | $ 148,626 | |
Weighted-average grant-date fair value of options granted (in dollar per share) | $ 48.56 | ||||
Unrecognized stock-based compensation expense related to unvested stock options | $ 15,800 | $ 15,800 | |||
2012 Plan | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Options granted (in shares) | 0 | ||||
2012 Plan | New Employee | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Vesting term (in years) | 4 years | ||||
ESPP | Employee Stock Purchase Plan 2022 | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Value of shares reserved | $ 6,000 | ||||
Purchase price of common stock, percent of market price | 85% | ||||
Purchase period (in months) | 6 months | ||||
Issuance of ordinary shares under employee stock purchase plan (in shares) | 0 | 194,105 | |||
Stock-based compensation expense | $ 1,700 | $ 5,300 | |||
Stock options | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Unrecognized over a weighted-average period (in years) | 1 year 9 months 29 days | ||||
Performance Shares | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of Awards, RSUs granted (in shares) | 132,960 | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Aggregate Intrinsic Value, Outstanding | 9,100 | $ 9,100 | |||
Performance Shares | Minimum | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Earn rate, percent of shares granted | 0% | ||||
Performance Shares | Maximum | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Earn rate, percent of shares granted | 20,000% | ||||
RSUs | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Unrecognized over a weighted-average period (in years) | 2 years 11 months 19 days | ||||
Number of Awards, RSUs granted (in shares) | 3,261,660 | ||||
RSUs | 2012 Plan | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of Awards, RSUs granted (in shares) | 3,261,660 | ||||
Equity Settled RSUs | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Unrecognized stock-based compensation expense related to unvested stock options | $ 624,800 | $ 624,800 |
Equity Incentive Plans - Summar
Equity Incentive Plans - Summary of Equity Awards Available for Grant (Details) | 9 Months Ended |
Jan. 31, 2024 shares | |
Equity Awards, Outstanding [Roll Forward] | |
Available at beginning of fiscal year (in shares) | 17,564,133 |
Awards authorized (in shares) | 4,868,347 |
Options cancelled (in shares) | 104,137 |
Available at end of fiscal year (in shares) | 20,105,501 |
RSUs | |
Equity Awards, Outstanding [Roll Forward] | |
RSUs granted (in shares) | (3,261,660) |
RSUs cancelled (in shares) | 830,544 |
Performance Shares | |
Equity Awards, Outstanding [Roll Forward] | |
RSUs granted (in shares) | (132,960) |
RSUs cancelled (in shares) | 16,437 |
Equity Incentive Plans - Summ_2
Equity Incentive Plans - Summary of Stock Option Activity (Details) - 2012 Plan $ / shares in Units, $ in Thousands | 9 Months Ended | |
Jan. 31, 2024 USD ($) $ / shares shares | Jan. 31, 2023 | |
Options, Outstanding Number [Roll Forward] | ||
Beginning balance (in shares) | shares | 4,038,238 | |
Stock options assumed in acquisition (in shares) | shares | (1,200,589) | |
Stock options exercised (in shares) | shares | (104,137) | |
Stock options cancelled (in shares) | shares | (1,223) | |
Ending balance (in shares) | shares | 2,732,289 | |
Exercisable (in shares) | shares | 2,439,399 | |
Options Outstanding, Weighted Average Exercise Price [Abstract] | ||
Beginning balance (in dollars per share) | $ / shares | $ 32.74 | |
Stock options assumed in acquisition (in dollars per share) | $ / shares | 16.23 | |
Stock options exercised (in dollars per share) | $ / shares | 98.35 | |
Stock options cancelled (in dollars per share) | $ / shares | 75.42 | |
Ending balance (in dollars per share) | $ / shares | 37.47 | |
Exercisable (in dollars per share) | $ / shares | $ 30.88 | |
Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Weighted Average Remaining Contractual Term Rollforward | ||
Remaining Contractual Term (in years) | 4 years 10 months 20 days | 5 years 4 months 6 days |
Exercisable, Remaining Contractual Term (in years) | 4 years 6 months 25 days | |
Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Aggregate Intrinsic Value Rollforward | ||
Beginning balance | $ | $ 134,778 | |
Ending balance | $ | 223,029 | |
Exercisable | $ | $ 214,206 |
Equity Incentive Plans - Summ_3
Equity Incentive Plans - Summary of RSU Activity (Details) | 9 Months Ended |
Jan. 31, 2024 $ / shares shares | |
RSUs | |
Non-option Awards, Outstanding Number [Roll Forward] | |
Number of Awards, RSUs granted (in shares) | 3,261,660 |
Number of Awards, RSUs cancelled (in shares) | (830,544) |
Non-option Awards, Weighted Average Grant Date Fair Value [Roll Forward] | |
Unrecognized over a weighted-average period (in years) | 2 years 11 months 19 days |
Performance Shares | |
Non-option Awards, Outstanding Number [Roll Forward] | |
Number of Awards, RSUs granted (in shares) | 132,960 |
Number of Awards, RSUs cancelled (in shares) | (16,437) |
2012 Plan | RSUs | |
Non-option Awards, Outstanding Number [Roll Forward] | |
Number of Awards Outstanding and unvested at Beginning of Year ((in shares) | 7,494,399 |
Number of Awards, RSUs granted (in shares) | 3,261,660 |
Number of Awards, RSUs released (in shares) | (2,030,369) |
Number of Awards, RSUs cancelled (in shares) | (830,544) |
Number of Awards Outstanding and unvested at Year End (in shares) | 7,895,146 |
Non-option Awards, Weighted Average Grant Date Fair Value [Roll Forward] | |
Weighted-Average Grant Date Fair Value, Outstanding and unvested, Beginning of Year (in dollar per share) | $ / shares | $ 74.52 |
Weighted-Average Grant Date Fair Value, RSUs granted (in dollar per share) | $ / shares | 102.08 |
Weighted-Average Grant Date Fair Value, RSUs released (in dollar per share) | $ / shares | 79.51 |
Weighted-Average Grant Date Fair Value, RSUs cancelled (in dollar per share) | $ / shares | 74.41 |
Weighted-Average Grant Date Fair Value, Outstanding and unvested, End of Year (in dollar per share) | $ / shares | $ 84.64 |
Equity Incentive Plans - Summ_4
Equity Incentive Plans - Summary of Stock-based Compensation Expense Recognized in Consolidated Statements of Operations (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total stock-based compensation expense | $ 62,762 | $ 54,456 | $ 176,344 | $ 148,626 |
Subscription | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total stock-based compensation expense | 2,253 | 2,163 | 6,553 | 6,352 |
Services | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total stock-based compensation expense | 3,331 | 2,529 | 8,980 | 7,067 |
Research and development | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total stock-based compensation expense | 24,443 | 20,905 | 68,843 | 58,378 |
Sales and marketing | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total stock-based compensation expense | 20,238 | 19,096 | 57,252 | 50,756 |
General and administrative | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total stock-based compensation expense | $ 12,497 | $ 9,763 | $ 34,716 | $ 26,073 |
Net Earnings (Loss) Per Share_3
Net Earnings (Loss) Per Share Attributable to Ordinary Shareholders - Schedule of Computation of Basic and Diluted Net Loss Per Share Attributable to Ordinary Shareholders (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Numerator: | ||||
Net income (loss) | $ 176,124 | $ (72,574) | $ 102,820 | $ (189,430) |
Weighted-average shares used in computing net earnings (loss) per share attributable to ordinary shareholders | ||||
Basic (in shares) | 100,282,179 | 96,052,025 | 99,099,210 | 95,327,131 |
Diluted (in shares) | 104,503,290 | 96,052,025 | 103,149,384 | 95,327,131 |
Net earnings (loss) per share attributable to ordinary shareholders | ||||
Basic (in dollars per share) | $ 1.76 | $ (0.76) | $ 1.04 | $ (1.99) |
Diluted (in dollars per share) | $ 1.69 | $ (0.76) | $ 1 | $ (1.99) |
Net Earnings (Loss) Per Share_4
Net Earnings (Loss) Per Share Attributable to Ordinary Shareholders - Schedule of Outstanding Potentially Dilutive Ordinary Shares Excluded from Computation of Diluted Net Loss Per Share Attributable to Ordinary Shareholders (Details) - shares | 3 Months Ended | 9 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive securities excluded from computation of earnings per share (in shares) | 2,203,720 | 12,440,865 | 2,248,103 | 12,440,865 |
Stock options | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive securities excluded from computation of earnings per share (in shares) | 344,995 | 4,419,457 | 780,199 | 4,419,457 |
RSUs | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive securities excluded from computation of earnings per share (in shares) | 1,858,725 | 8,021,408 | 1,467,263 | 8,021,408 |
ESPP | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive securities excluded from computation of earnings per share (in shares) | 0 | 0 | 641 | 0 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Income Tax Disclosure [Abstract] | ||||
(Benefit from) provision for income taxes | $ (200,328) | $ 2,422 | $ (181,926) | $ 12,313 |
Valuation allowance, released amount | $ (250,700) |
Employee Benefit Plans - Additi
Employee Benefit Plans - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
United States | ||||
Defined Contribution Plan Disclosure [Line Items] | ||||
Defined contribution expense related to plan | $ 4.2 | $ 4.4 | $ 13.3 | $ 13.4 |
Other Countries | ||||
Defined Contribution Plan Disclosure [Line Items] | ||||
Defined contribution expense related to plan | $ 3.5 | $ 2.4 | $ 9.4 | $ 6.9 |
Maximum | United States | ||||
Defined Contribution Plan Disclosure [Line Items] | ||||
Percentage of defined contribution to participating employees | 6% |
Segment Information - Schedule
Segment Information - Schedule of Revenue by Geographic Area (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total revenue | $ 327,957 | $ 274,566 | $ 932,322 | $ 789,048 |
United States | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total revenue | 186,177 | 159,125 | 537,392 | 464,186 |
Rest of world | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total revenue | $ 141,780 | $ 115,441 | $ 394,930 | $ 324,862 |
Segment Information - Schedul_2
Segment Information - Schedule of Property and Equipment, Net of Depreciation (Details) - USD ($) $ in Thousands | Jan. 31, 2024 | Apr. 30, 2023 |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total long-lived assets | $ 28,600 | $ 25,089 |
United States | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total long-lived assets | 11,983 | 13,476 |
The Netherlands | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total long-lived assets | 3,959 | 4,597 |
United Kingdom | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total long-lived assets | 4,030 | 2,797 |
India | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total long-lived assets | 2,679 | 1,803 |
Rest of world | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total long-lived assets | $ 5,949 | $ 2,416 |
Restructuring and Other Relat_2
Restructuring and Other Related Charges - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Nov. 30, 2022 | Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring and other related charges | $ 0 | $ 29,805 | $ 754 | $ 29,805 | |
Asset impairment charges | 0 | 6,242 | |||
Leased Office Space | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Asset impairment charges | 5,100 | 5,100 | |||
Furniture, Equipment, And Leasehold Improvements | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Impairment charges | 1,100 | 1,100 | |||
Employee Severance | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Decrease in workforce (as a percent) | 13% | ||||
Restructuring and other related charges | $ 0 | 22,000 | $ 800 | 22,000 | |
Facilities-related charges | $ 6,200 | $ 6,200 |
Uncategorized Items - estc-2024
Label | Element | Value |
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents, Including Disposal Group and Discontinued Operations | us-gaap_CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsIncludingDisposalGroupAndDiscontinuedOperations | $ 863,637,000 |