Zscaler (ZS) 10-Q 8 Dec 21 2021 Q1 Quarterly report Financial data

Cover Page

Cover Page - shares	3 Months Ended
	Oct. 31, 2021	Nov. 30, 2021
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Oct. 31, 2021
Document Transition Report	false
Entity File Number	001-38413
Entity Registrant Name	ZSCALER, INC.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	26-1173892
Entity Address, Address Line One	120 Holger Way
Entity Address, City or Town	San Jose
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	95134
City Area Code	408
Local Phone Number	533-0288
Title of 12(b) Security	Common Stock, $0.001 Par Value
Trading Symbol	ZS
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Shares Outstanding		140,081,679
Entity Central Index Key	0001713683
Current Fiscal Year End Date	--07-31
Document Fiscal Year Focus	2021
Document Fiscal Period Focus	Q1
Amendment Flag	false

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Oct. 31, 2021	Jul. 31, 2021
Current assets:
Cash and cash equivalents	$ 371,696	$ 275,898
Short-term investments	1,212,946	1,226,654
Accounts receivable, net	172,028	257,109
Deferred contract acquisition costs	62,067	57,373
Prepaid expenses and other current assets	36,699	31,269
Total current assets	1,855,436	1,848,303
Property and equipment, net	112,999	108,576
Operating lease right-of-use assets	44,153	44,339
Deferred contract acquisition costs, noncurrent	154,036	149,657
Acquired intangible assets, net	29,903	32,129
Goodwill	58,977	58,977
Other noncurrent assets	15,614	15,650
Total assets	2,271,118	2,257,631
Current liabilities:
Accounts payable	14,961	12,547
Accrued expenses and other current liabilities	22,859	22,908
Accrued compensation	72,667	93,622
Deferred revenue	584,325	571,286
Operating lease liabilities	20,488	19,842
Total current liabilities	715,300	720,205
Convertible senior notes, net	927,014	913,538
Deferred revenue, noncurrent	63,491	59,315
Operating lease liabilities, noncurrent	30,534	31,225
Other noncurrent liabilities	4,580	4,453
Total liabilities	1,740,919	1,728,736
Commitments and contingencies (Note 9)
Stockholders’ Equity
Common stock; $0.001 par value; 1,000,000 shares authorized as of October 31, 2021 and July 31, 2021; 140,032 and 138,662 shares issued and outstanding as of October 31, 2021 and July 31, 2021, respectively	140	139
Additional paid-in capital	1,225,224	1,131,006
Accumulated other comprehensive loss	(2,764)	(650)
Accumulated deficit	(692,401)	(601,600)
Total stockholders’ equity	530,199	528,895
Total liabilities and stockholders’ equity	$ 2,271,118	$ 2,257,631

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Oct. 31, 2021	Jul. 31, 2021
Statement of Financial Position [Abstract]
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized (in shares)	1,000,000,000	1,000,000,000
Common stock, shares issued (in shares)	140,032,000	138,662,000
Common stock, shares outstanding (in shares)	140,032,000	138,662,000

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Oct. 31, 2021	Oct. 31, 2020
Income Statement [Abstract]
Revenue	$ 230,517	$ 142,578
Cost of revenue	52,169	31,727
Gross profit	178,348	110,851
Operating expenses:
Sales and marketing	153,786	96,889
Research and development	65,216	35,770
General and administrative	33,717	20,859
Total operating expenses	252,719	153,518
Loss from operations	(74,371)	(42,667)
Interest income	473	940
Interest expense	(13,835)	(13,049)
Other income (expense), net	(589)	268
Loss before income taxes	(88,322)	(54,508)
Provision for income taxes	2,479	498
Net loss	$ (90,801)	$ (55,006)
Net loss per share, basic (in dollars per share)	$ (0.65)	$ (0.41)
Net loss per share, diluted (in dollars per share)	$ (0.65)	$ (0.41)
Weighted-average shares used in computing net loss per share, basic (in shares)	139,296	133,452
Weighted-average shares used in computing net loss per share, diluted (in shares)	139,296	133,452

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Comprehensive Loss - USD ($) $ in Thousands	3 Months Ended
	Oct. 31, 2021	Oct. 31, 2020
Statement of Comprehensive Income [Abstract]
Net loss	$ (90,801)	$ (55,006)
Available-for-sale securities:
Change in net unrealized gains (losses) on available-for-sale securities	(1,164)	(730)
Cash flow hedging instruments:
Change in net unrealized gains and (losses)	(1,304)	0
Net realized losses (gains) reclassified into net loss	354	0
Net change on cash flow hedges	(950)	0
Other comprehensive loss	(2,114)	(730)
Comprehensive loss	$ (92,915)	$ (55,736)

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-In Capital	Accumulated Other Comprehensive Loss	Accumulated Deficit
Common stock, beginning balance (in shares) at Jul. 31, 2020		132,817,000
Beginning balance at Jul. 31, 2020	$ 484,829	$ 133	$ 823,804	$ 463	$ (339,571)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock upon exercise of stock options (in shares)		690,000
Issuance of common stock upon exercise of stock options	4,519	$ 1	4,518
Vesting of restricted stock units and other stock issuances (in shares)		656,000
Vesting of early exercised stock options	70		70
Stock-based compensation	58,423		58,423
Other comprehensive loss	(730)			(730)
Net loss	(55,006)				(55,006)
Common stock, ending balance (in shares) at Oct. 31, 2020		134,163,000
Ending balance at Oct. 31, 2020	$ 492,105	$ 134	886,815	(267)	(394,577)
Common stock, beginning balance (in shares) at Jul. 31, 2021	138,662,000	138,662,000
Beginning balance at Jul. 31, 2021	$ 528,895	$ 139	1,131,006	(650)	(601,600)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock upon exercise of stock options (in shares)	387,000	387,000
Issuance of common stock upon exercise of stock options	$ 2,644		2,644
Vesting of restricted stock units and other stock issuances (in shares)		983,000
Vesting of restricted stock units and other stock issuances	0	$ 1	(1)
Stock-based compensation	91,575		91,575
Other comprehensive loss	(2,114)			(2,114)
Net loss	$ (90,801)				(90,801)
Common stock, ending balance (in shares) at Oct. 31, 2021	140,032,000	140,032,000
Ending balance at Oct. 31, 2021	$ 530,199	$ 140	$ 1,225,224	$ (2,764)	$ (692,401)

Condensed Consolidated Statem_4

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands		3 Months Ended
		Oct. 31, 2021	Oct. 31, 2020
Cash Flows From Operating Activities
Net loss		$ (90,801)	$ (55,006)
Adjustments to reconcile net loss to cash provided by operating activities:
Depreciation and amortization expense		9,017	6,092
Amortization expense of acquired intangible assets		2,226	1,577
Amortization of deferred contract acquisition costs		14,912	8,678
Amortization of debt discount and issuance costs		13,476	12,690
Non-cash operating lease costs		6,031	4,513
Stock-based compensation expense		89,903	57,185
Amortization of investment premiums, net of accretion of purchase discounts		2,671	2,605
Deferred income taxes		(223)	(520)
Impairment of assets		0	416
Other		(13)	29
Changes in operating assets and liabilities
Accounts receivable		84,927	41,634
Deferred contract acquisition costs		(23,985)	(18,042)
Prepaid expenses, other current and noncurrent assets		(4,126)	7,883
Accounts payable		(1,088)	76
Accrued expenses, other current and noncurrent liabilities		(192)	(1,243)
Accrued compensation		(20,955)	(12,347)
Deferred revenue		17,381	2,133
Operating lease liabilities		(5,890)	(4,821)
Net cash provided by operating activities		93,271	53,532
Cash Flows From Investing Activities
Purchases of property, equipment and other assets		(6,454)	(8,904)
Capitalized internal-use software		(3,450)	(2,401)
Purchases of short-term investments		(312,840)	(174,663)
Proceeds from maturities of short-term investments		322,677	76,582
Proceeds from sale of short-term investments		0	11,500
Net cash used in investing activities		(67)	(97,886)
Cash Flows From Financing Activities
Proceeds from issuance of common stock upon exercise of stock options		2,644	4,519
Payment of deferred consideration related to a business acquisition		(50)	0
Net cash provided by financing activities		2,594	4,519
Net increase (decrease) in cash and cash equivalents	[1]	95,798	(39,835)
Cash and cash equivalents at beginning of period	[1]	275,898	141,851
Cash and cash equivalents at end of period	[1]	371,696	102,016
Supplemental Disclosure of Cash Flow Information:
Cash paid for income taxes, net of tax refunds		2,479	1,496
Non-Cash Activities
Net change in purchased equipment included in accounts payable and accrued expenses		2,906	1,884
Operating lease right-of-use assets obtained in exchange for operating lease obligations, net of terminations		$ 5,426	$ 13,787
[1]	We did not hold restricted cash for any periods presented.

Business and Summary of Signifi

Business and Summary of Significant Accounting Policies	3 Months Ended
	Oct. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Business and Summary of Significant Accounting Policies	Business and Summary of Significant Accounting Policies Description of the Business Zscaler, Inc. ("Zscaler," the "Company," "we," "us," or "our") is a cloud security company that developed a platform incorporating core security functionalities needed to enable fast and secure access to cloud resources based on identity, context and organization’s policies. Our solution is a purpose-built, multi-tenant, distributed cloud platform that secures user-to-app, app-to-app, and machine-to-machine communications over any network and any location. We deliver our solutions using a software-as-a-service ("SaaS") business model and sell subscriptions to customers to access our cloud platform, together with related support services. We were incorporated in Delaware in September 2007 and conduct business worldwide, with presence in North America, Europe and Asia. Our headquarters are in San Jose, California. Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States ("U.S. GAAP") and applicable regulations of the Securities and Exchange Commission ("SEC") regarding interim financial reporting, and include the accounts of the Company and its wholly owned subsidiaries. All intercompany balances and transactions 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 required disclosures and regulations of the SEC. Therefore, these unaudited condensed consolidated financial statements and accompanying notes should be read in conjunction with the Company's audited consolidated financial statements and related notes in its Annual Report on Form 10-K for the fiscal year ended July 31, 2021 (the "Fiscal 2021 Form 10-K"), as filed with the SEC on September 16, 2021. Interim Unaudited Condensed Consolidated Financial Statements The accompanying condensed consolidated balance sheet as of July 31, 2021 was derived from the audited consolidated financial statements as of that date. The accompanying interim condensed consolidated financial statements, including the condensed consolidated balance sheet as of October 31, 2021, the condensed consolidated statements of operations for the three months ended October 31, 2021 and 2020, the condensed consolidated statements of comprehensive loss for the three months ended October 31, 2021 and 2020, the condensed consolidated statements of stockholders’ equity for the three months ended October 31, 2021 and 2020 and the condensed consolidated statements of cash flows for the three months ended October 31, 2021 and 2020 are unaudited. The related financial data and the other financial information disclosed in the accompanying notes to these condensed consolidated financial statements are also unaudited. These interim unaudited condensed consolidated financial statements have been prepared on a basis consistent with our annual consolidated financial statements and, in our opinion, include all normal recurring adjustments necessary to state fairly our quarterly results. The results of operations for the three months ended October 31, 2021 are not necessarily indicative of the results to be expected for our fiscal year ending July 31, 2022 or for any other future fiscal year or interim period. Use of Estimates The preparation of condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates, judgments and assumptions that affect the amounts reported and disclosed in the financial statements and accompanying notes. Such estimates include, but are not limited to, the determination of revenue recognition, deferred revenue, deferred contract acquisition costs, valuation of acquired intangible assets, period of benefit generated from our deferred contract acquisition costs, allowance for doubtful accounts, valuation of common stock options and stock-based awards, useful lives of property and equipment, useful lives of acquired intangible assets, recoverability of goodwill, valuation of deferred tax assets and liabilities, loss contingencies related to litigation, fair value and effective interest rate of convertible senior notes, valuation of non-marketable equity investments and the discount rate used for operating leases. Management determines these estimates and assumptions based on historical experience and on various other assumptions that are believed to be reasonable. Actual results could differ significantly from these estimates, and such differences may be material to the condensed consolidated financial statements. Due to the COVID-19 pandemic, there is ongoing uncertainty and significant disruption in the global economy and financial markets. We are not aware of any specific event or circumstances that would require an update to our estimates, judgments or assumptions or a revision to the carrying value of our assets or liabilities as of the date of issuance of these condensed consolidated financial statements. These estimates, judgments and assumptions may change in the future, as new events occur or additional information is obtained . Fiscal Year Our fiscal year ends on July 31. References to fiscal 2022, for example, refer to our fiscal year ending July 31, 2022. Significant Accounting Policies Our significant accounting policies are described in the Fiscal 2021 Form 10-K. There have been no significant changes to these policies that have had a material impact on the condensed consolidated financial statements and related notes for the three months ended October 31, 2021. Recently Adopted Accounting Pronouncements In October 2021, the Financial Accounting Standards Board ("FASB") issued ASU No. 2021-08, Business Combinations (Topic 805) on Accounting for Contract Assets and Contract Liabilities from Contracts with Customers. This standard requires contract assets and contract liabilities from contracts with customers that are acquired in a business combination to be recognized and measured as if the acquirer had originated the original contract. Previously, acquired contract assets and liabilities were measured at fair value. This standard is effective for us in the first quarter of fiscal 2024, though early adoption is permitted. We early adopted this standard in the first quarter of fiscal 2022 and it did not have a material impact to the condensed consolidated financial statements. Recently Issued Accounting Pronouncements Not Yet Adopted In June 2020, the FASB issued ASU No. 2020-06, Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging - Contracts in Entity’s Own Equity (Subtopic 815-40). This standard eliminates the beneficial conversion and cash conversion accounting models for convertible instruments. It also amends the accounting for certain contracts in an entity’s own equity that are currently accounted for as derivatives because of specific settlement provisions. In addition, the new guidance modifies how particular convertible instruments and certain contracts that may be settled in cash or shares impact the diluted earnings per share computation. This standard is effective for us in the first quarter of fiscal 2023, using the fully retrospective or modified retrospective method, though early adoption is permitted. We are currently evaluating the potential impact of this standard on the condensed consolidated financial statements.

Revenue Recognition

Revenue Recognition	3 Months Ended
	Oct. 31, 2021
Revenue from Contract with Customer [Abstract]
Revenue Recognition	Revenue Recognition Disaggregation of Revenue Subscription and support revenue is recognized over time and accounted for approximately 97% of our revenue for the three months ended October 31, 2021 and 2020, respectively. The following table summarizes the revenue by region based on the shipping address of customers who have contracted to use our cloud platform: Three Months Ended October 31, 2021 2020 Amount % Revenue Amount % Revenue (in thousands, except per percentage data) United States $ 113,413 49 % $ 70,159 49 % Europe, Middle East and Africa 80,549 35 % 55,205 39 % Asia Pacific 31,052 14 % 14,280 10 % Other 5,503 2 % 2,934 2 % Total $ 230,517 100 % $ 142,578 100 % The following table summarizes the revenue from contracts by type of customer: Three Months Ended October 31, 2021 2020 Amount % Revenue Amount % Revenue (in thousands, except per percentage data) Channel partners $ 215,073 93 % $ 133,440 94 % Direct customers 15,444 7 % 9,138 6 % Total $ 230,517 100 % $ 142,578 100 % Significant Customers No single customer accounted for 10% or more of the total revenue in the periods presented. The following table summarizes the concentration of 10% or more of the total balance of accounts receivable, net: October 31, 2021 July 31, 2021 Channel partner A 14% * (*) Represents less than 10%. Contract Balances Contract liabilities consist of deferred revenue and include payments received in advance of performance under the contract. Such amounts are recognized as revenue over the contractual period. Deferred revenue, including current and noncurrent balances as of October 31, 2021 and July 31, 2021 was $647.8 million and $630.6 million, respectively. In the three months ended October 31, 2021 and 2020, we recognized revenue of $206.4 million and $127.6 million, respectively, that was included in the corresponding contract liability balance at the beginning of these periods. Remaining Performance Obligations The typical subscription and support term is one Costs to Obtain and Fulfill a Contract We capitalize sales commission and associated payroll taxes paid to internal sales personnel that are incremental to the acquisition of channel partner and direct customer contracts. These costs are recorded as deferred contract acquisition costs in the condensed consolidated balance sheets. The activity of the deferred contract acquisition costs consisted of the following: Three Months Ended October 31, 2021 2020 (in thousands) Beginning balance $ 207,030 $ 109,915 Capitalization of contract acquisition costs 23,985 18,042 Amortization of deferred contract acquisition costs (14,912) (8,678) Ending balance $ 216,103 $ 119,279 The outstanding balance of the deferred contract acquisition costs consisted of the following: October 31, 2021 July 31, 2021 (in thousands) Deferred contract acquisition costs, current $ 62,067 $ 57,373 Deferred contract acquisition costs, noncurrent 154,036 149,657 Total $ 216,103 $ 207,030 Sales commissions accrued but not paid as of October 31, 2021 and July 31, 2021, totaled $16.3 million and $46.7 million, respectively, which are included within accrued compensation in the condensed consolidated balance sheets.

Cash Equivalents and Short-Term

Cash Equivalents and Short-Term Investments	3 Months Ended
	Oct. 31, 2021
Cash and Cash Equivalents [Abstract]
Cash Equivalents and Short-Term Investments	Cash Equivalents and Short-Term Investments Cash equivalents and short-term investments consisted of the following as of October 31, 2021: Amortized Unrealized Unrealized Fair Value (in thousands) Cash equivalents: Money market funds $ 183,556 $ — $ — $ 183,556 U.S. treasury securities 94,998 — (2) 94,996 Total $ 278,554 $ — $ (2) $ 278,552 Short-term investments: U.S. treasury securities $ 414,326 $ 1 $ (49) $ 414,278 U.S. government agency securities 473,738 47 (496) 473,289 Corporate debt securities 325,952 21 (594) 325,379 Total $ 1,214,016 $ 69 $ (1,139) $ 1,212,946 Total cash equivalents and short-term investments $ 1,492,570 $ 69 $ (1,141) $ 1,491,498 Cash equivalents and short-term investments consisted of the following as of July 31, 2021: Amortized Unrealized Unrealized Fair Value Cash equivalents: (in thousands) Money market funds $ 167,337 $ — $ — $ 167,337 U.S. government agency securities 10,999 — — 10,999 Total $ 178,336 $ — $ — $ 178,336 Short-term investments: U.S. treasury securities $ 387,428 $ 9 $ (17) $ 387,420 U.S. government agency securities 511,622 144 (34) 511,732 Corporate debt securities 327,512 102 (112) 327,502 Total $ 1,226,562 $ 255 $ (163) $ 1,226,654 Total cash equivalents and short-term investments $ 1,404,898 $ 255 $ (163) $ 1,404,990 The amortized cost and fair value of our short-term investments based on their stated maturities consisted of the following as of October 31, 2021: Amortized Fair Value (in thousands) Due within one year $ 757,847 $ 757,830 Due between one to three years 456,169 455,116 Total $ 1,214,016 $ 1,212,946 Short-term investments that were in an unrealized loss position as of October 31, 2021, consisted of the following: Less than 12 Months Greater than 12 Months Total Fair Unrealized Fair Unrealized Fair Unrealized (in thousands) U.S. treasury securities $ 320,337 $ (49) $ — $ — $ 320,337 $ (49) U.S. government agency securities 252,257 (486) 4,995 (11) 257,252 (497) Corporate debt securities 249,483 (592) 2,225 (1) 251,708 (593) Total $ 822,077 $ (1,127) $ 7,220 $ (12) $ 829,297 $ (1,139) Short-term investments that were in an unrealized loss position as of July 31, 2021, consisted of the following: Less than 12 Months Greater than 12 Months Total Fair Unrealized Fair Unrealized Fair Unrealized (in thousands) U.S. treasury securities $ 306,908 $ (17) $ — $ — $ 306,908 $ (17) U.S. government agency securities 104,782 (34) — — 104,782 (34) Corporate debt securities 157,208 (112) — — 157,208 (112) Total $ 568,898 $ (163) $ — $ — $ 568,898 $ (163) We review the individual securities that have unrealized losses in our short-term investment portfolio on a regular basis. We evaluate, among others, whether we have the intention to sell any of these investments and whether it is not more likely than not that we will be required to sell any of them before recovery of the amortized cost basis. Neither of these criteria were met in any period presented. We additionally evaluate whether the decline in fair value of the corporate debt securities below the amortized cost basis is related to credit losses or other factors. Based on this evaluation, we determined that unrealized losses of the above securities were primarily attributable to changes in interest rates and non credit-related factors. Accordingly, we determined that an allowance for credit losses was unnecessary for our short-term investments as of October 31, 2021 and July 31, 2021. We recorded $3.0 million and $3.9 million of accrued interest receivable within prepaid expenses and other current assets in the condensed consolidated balance sheets as of October 31, 2021 and July 31, 2021, respectively. Strategic Investments The carrying amount of our strategic investments, which consist of non-marketable investments, was $5.1 million as of October 31, 2021 and July 31, 2021, which are included within other noncurrent assets in the condensed consolidated balance sheets. There were no material events or circumstances impacting the carrying amount of our strategic investments during the periods presented.

Fair Value Measurements

Fair Value Measurements	3 Months Ended
	Oct. 31, 2021
Fair Value Disclosures [Abstract]
Fair Value Measurements	Fair Value Measurements We measure our financial assets and liabilities at fair value at each reporting period using a fair value hierarchy which requires us to maximize the use of observable inputs and minimize 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. Our money market funds are classified within Level I due to the highly liquid nature of these assets and have quoted prices in active markets. Certain of our investments in available-for-sale securities (i.e., U.S. treasury securities, U.S. government agency securities and corporate debt securities), as well as our assets and liabilities arising from our foreign currency forward contracts, are classified within Level II. The fair value of our Level II financial assets and liabilities is determined by using inputs based on non-binding market consensus prices that are primarily corroborated by observable market data or quoted market prices for similar instruments, for substantially the full term of the financial assets and liabilities. Assets and liabilities that are measured at fair value on a recurring basis consisted of the following as of October 31, 2021: Level I Level II Level III Fair Value Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Cash equivalents: (in thousands) Money market funds $ 183,556 $ 183,556 $ — $ — U.S. treasury securities 94,996 — 94,996 — Total $ 278,552 $ 183,556 $ 94,996 $ — Short-term investments: U.S. treasury securities $ 414,278 $ — $ 414,278 $ — U.S. government agency securities 473,289 — 473,289 — Corporate debt securities 325,379 — 325,379 — Total $ 1,212,946 $ — $ 1,212,946 $ — Total cash equivalents and short-term investments $ 1,491,498 $ 183,556 $ 1,307,942 $ — Designated derivative instruments: Foreign currency contracts assets-current (1) $ 300 $ — $ 300 $ — Foreign currency contract assets-noncurrent (2) $ 38 $ — $ 38 $ — Foreign currency contracts liabilities-current (3) $ 1,743 $ — $ 1,743 $ — Foreign currency contracts liabilities-noncurrent (4) $ 79 $ — $ 79 $ — Non-designated derivative instruments: Foreign currency contracts assets-current (1) $ 159 $ — $ 159 $ — Foreign currency contracts liabilities-current (3) $ 383 $ — $ 383 $ — (1) Reported as prepaid expenses and other current assets in the condensed consolidated balance sheets. (2) Reported as other noncurrent assets in the condensed consolidated balance sheets. (3) Reported as accrued expenses and other current liabilities in the condensed consolidated balance sheets. (4) Reported as other noncurrent liabilities in the condensed consolidated balance sheets. Assets that are measured at fair value on a recurring basis consisted of the following as of July 31, 2021: Level I Level II Level III Fair Value Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Cash equivalents: (in thousands) Money market funds $ 167,337 $ 167,337 $ — $ — U.S. treasury securities 10,999 — 10,999 — Total $ 178,336 $ 167,337 $ 10,999 $ — Short-term investments: U.S. treasury securities $ 387,420 $ — $ 387,420 $ — U.S. government agency securities 511,732 — 511,732 — Corporate debt securities 327,502 — 327,502 — Total $ 1,226,654 $ — $ 1,226,654 $ — Total cash equivalents and short-term investments $ 1,404,990 $ 167,337 $ 1,237,653 $ — Designated derivative instruments: Foreign currency contracts assets-current (1) $ 459 $ — $ 459 $ — Foreign currency contract assets-noncurrent (2) $ 26 $ — $ 26 $ — Foreign currency contracts liabilities-current (3) $ 1,083 $ — $ 1,083 $ — Foreign currency contracts liabilities-noncurrent (4) $ 42 $ — $ 42 $ — Non-designated derivative instruments: Foreign currency contracts assets-current (1) $ 83 $ — $ 83 $ — Foreign currency contracts liabilities-current (3) $ 240 $ — $ 240 $ — (1) Reported as prepaid expenses and other current assets in the consolidated balance sheets. (2) Reported as other noncurrent assets in the consolidated balance sheets. (3) Reported as accrued expenses and other current liabilities in the consolidated balance sheets. (4) Reported as other noncurrent liabilities in the consolidated balance sheets. We did not have transfers between levels of the fair value hierarchy of assets measured at fair value during the periods presented. Refer to Note 8, Convertible Senior Notes, for the carrying amount and estimated fair value of our convertible senior notes as of October 31, 2021 and July 31, 2021.

Property and Equipment and Purc

Property and Equipment and Purchased Intangible Assets	3 Months Ended
	Oct. 31, 2021
Property, Plant and Equipment [Abstract]
Property and Equipment and Purchased Intangible Assets	Property and Equipment and Purchased Intangible Assets Property and equipment consisted of the following: October 31, 2021 July 31, 2021 (in thousands) Hosting equipment $ 137,752 $ 130,981 Computers and equipment 6,113 5,599 Purchased software 1,311 1,311 Capitalized internal-use software 45,487 39,542 Furniture and fixtures 1,022 1,021 Leasehold improvements 7,340 7,339 Total property and equipment, gross 199,025 185,793 Less: Accumulated depreciation and amortization (86,026) (77,217) Total property and equipment, net $ 112,999 $ 108,576 Purchased intangible assets consist of internet protocol (IP) addresses, which are amortized on a straight-line basis over an estimated useful life of 10 years. As of October 31, 2021, the historical cost and accumulated amortization was $3.0 million and $0.5 million, respectively. As of July 31, 2021, the historical cost and accumulated amortization was $3.0 million and $0.4 million, respectively. Purchased intangible assets are included within other noncurrent assets in the condensed consolidated balance sheets.
Property and Equipment and Purchased Intangible Assets	Property and Equipment and Purchased Intangible Assets Property and equipment consisted of the following: October 31, 2021 July 31, 2021 (in thousands) Hosting equipment $ 137,752 $ 130,981 Computers and equipment 6,113 5,599 Purchased software 1,311 1,311 Capitalized internal-use software 45,487 39,542 Furniture and fixtures 1,022 1,021 Leasehold improvements 7,340 7,339 Total property and equipment, gross 199,025 185,793 Less: Accumulated depreciation and amortization (86,026) (77,217) Total property and equipment, net $ 112,999 $ 108,576 Purchased intangible assets consist of internet protocol (IP) addresses, which are amortized on a straight-line basis over an estimated useful life of 10 years. As of October 31, 2021, the historical cost and accumulated amortization was $3.0 million and $0.5 million, respectively. As of July 31, 2021, the historical cost and accumulated amortization was $3.0 million and $0.4 million, respectively. Purchased intangible assets are included within other noncurrent assets in the condensed consolidated balance sheets. We recognized depreciation and amortization expense on property and equipment and purchased intangible assets of $9.0 million and $6.1 million for the three months ended October 31, 2021 and 2020, respectively.

Derivative Instruments

Derivative Instruments	3 Months Ended
	Oct. 31, 2021
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Instruments	Derivative Instruments We implemented a foreign currency risk management program during the three months ended January 31, 2021. As a global business, we are exposed to foreign currency exchange rate risk. Substantially all of our revenue is transacted in U.S. dollars; however, a portion of our cost of revenues and operating expenditures are incurred outside of the United States and are denominated in foreign currencies, making them subject to fluctuations in foreign currency exchange rates. In order to mitigate the impact of foreign currency fluctuations on our future cash flows and earnings, we enter into foreign currency forward contracts, which we designate as cash flow hedges. All cash flow hedges were considered effective during the three months ended October 31, 2021. During the three months ended October 31, 2021, we began to use foreign currency forward contracts to mitigate variability in gains and losses generated from the remeasurement of certain monetary assets and liabilities denominated in foreign currencies. The outstanding non-designated derivative instruments are carried at fair value with changes recorded in other income (expense), net in the condensed consolidated statement of operations in the same period as the changes in fair value from the remeasurement of the underlying assets and liabilities. Cash flows from such derivatives are classified as operating activities. These foreign exchange contracts typically have maturities of approximately one As of October 31, 2021 and July 31, 2021, the total notional amount of our outstanding foreign currency forward contracts was $123.4 million and $118.9 million, respectively for designated and $47.7 million and $28.2 million, respectively for non-designated foreign currency forward contracts. The maximum length of time over which forecasted foreign currency denominated operating expenses are hedged is 18 months. Substantially all of the unrealized gains and losses related to our cash flow hedges are expected to be released into earnings over the next 12 months. Refer to Note 4, Fair Value Measurements, for the fair value of our derivative instruments as reported on the condensed consolidated balance sheet as of October 31, 2021 and July 31, 2021. During the three months ended October 31, 2021, the unrealized gains and losses related to our cash flow hedges that were recognized in accumulated other comprehensive income (loss) ("AOCI") and the gains and losses reclassified into the condensed consolidated statement of operations were not material. During the three months ended October 31, 2021, changes in the fair value of our non-designated derivative instruments recorded in other income (expense), net within the condensed consolidated statements of operations were not material. Our derivative contracts expose us to credit risk to the extent that the counterparties may be unable to meet the terms of the underlying contracts. We mitigate this credit risk by transacting with major financial institutions with high credit ratings and standards. We periodically assess the creditworthiness of our counterparties to ensure they continue to meet our credit quality requirements. We also enter into master netting arrangements, which permit net settlement of transactions with the same counterparty. The potential impact of these rights of set-off associated with our derivative instruments was not material as of October 31, 2021 and July 31, 2021. We are not required to pledge, and are not entitled to receive, cash collateral related to these derivative instruments. We do not enter into derivative contracts for trading or speculative purposes.

Goodwill and Acquired Intangibl

Goodwill and Acquired Intangible Assets	3 Months Ended
	Oct. 31, 2021
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and Acquired Intangible Assets	Goodwill and Acquired Intangible Assets Goodwill The carrying amount of goodwill was $59.0 million as of October 31, 2021 and July 31, 2021. Acquired Intangible Assets Acquired intangible assets consist of developed technology and customer relationships acquired through our business combinations and asset acquisitions. Acquired intangible assets are amortized using the straight-line method over their estimated useful lives. Acquired intangible assets subject to amortization consisted of the following as of October 31, 2021 and July 31, 2021: Gross Carrying Amount Accumulated Amortization Net Carrying Amount July 31, 2021 Additions October 31, 2021 July 31, 2021 Amortization Expense October 31, 2021 October 31, 2021 July 31, 2021 (in thousands) Developed technology $ 39,656 $ — $ 39,656 $ (10,674) $ (2,048) $ (12,722) $ 26,934 $ 28,982 Customer relationships 3,560 — 3,560 (413) (178) (591) 2,969 3,147 Total $ 43,216 $ — $ 43,216 $ (11,087) $ (2,226) $ (13,313) $ 29,903 $ 32,129 Amortization expense of acquired intangible assets for the three months ended October 31, 2021 and 2020 was $2.2 million and $1.6 million, respectively. Amortization expense of developed technology and customer relationships is recorded primarily within cost of revenue and sales and marketing expenses, respectively, in the condensed consolidated statements of operations. Future amortization expense of acquired intangible assets consisted of the following as of October 31, 2021: Amount Year ending July 31, (in thousands) 2022 (remaining nine months) $ 6,452 2023 8,181 2024 6,741 2025 6,038 2026 2,491 Total $ 29,903

Convertible Senior Notes

Convertible Senior Notes	3 Months Ended
	Oct. 31, 2021
Debt Disclosure [Abstract]
Convertible Senior Notes	Convertible Senior Notes On June 25, 2020, we issued $1,150.0 million in aggregate principal amount of 0.125% Convertible Senior Notes due 2025 (the “Notes”), including the exercise in full by the initial purchasers of the Notes of their option to purchase an additional $150.0 million principal amount of the Notes. The Notes are unsecured obligations and bear interest at a rate of 0.125% per year and interest is payable semiannually in arrears on January 1 and July 1 of each year, beginning on January 1, 2021. The Notes mature on July 1, 2025, unless earlier converted, redeemed or repurchased. The total net proceeds from the offering, after deducting initial purchase discounts and other debt issuance costs, was $1,130.5 million. Refer to Note 9, Convertible Senior Notes, in the Notes to Consolidated Financial Statements included in our Fiscal 2021 Form 10-K for further information on the Notes. During the three months ended October 31, 2021, the conditional conversion feature of the Notes was triggered as the last reported sale price of our common stock was greater than or equal to 130% of the conversion price of the Notes for at least 20 trading days during the period of 30 consecutive trading days ending on October 29, 2021 (the last trading day of the fiscal quarter). Accordingly, the Notes are currently convertible, in whole or in part, at the option of the holders from November 1, 2021 through January 31, 2022. Whether the Notes will be convertible following such period will depend on the continued satisfaction of this condition or another conversion condition in the future. Conversion notices received through October 31, 2021 have not been material. The net carrying amount of the liability component of the Notes consisted of the following: October 31, 2021 July 31, 2021 (in thousands) Principal amount $ 1,150,000 $ 1,150,000 Less: Unamortized debt discount 211,731 224,527 Unamortized debt issuance costs 11,255 11,935 Net carrying amount $ 927,014 $ 913,538 The following table sets forth total interest expense recognized related to the Notes: Three Months Ended October 31, 2021 2020 (in thousands) Contractual interest expense $ 359 $ 359 Amortization of debt discount 12,796 12,049 Amortization of debt issuance costs 680 641 Total $ 13,835 $ 13,049 The total fair value of the Notes was $2,449.5 million and $1,931.7 million as of October 31, 2021 and July 31, 2021, respectively. The fair value was determined based on the closing trading price per $1,000 of the Notes as of the last day of trading for the period. We consider the fair value of the Notes as of October 31, 2021 to be a Level II measurement as they are not actively traded. The fair value of the Notes is primarily affected by the trading price of our common stock and market interest rates. In connection with the pricing of the Notes, we entered into capped call transactions with the option counterparties (the "Capped Calls"). The Capped Calls each have an initial strike price of $150.80 per share, subject to certain adjustments, which corresponds to the initial conversion price of the Notes. The Capped Calls have an initial cap price of $246.76 per share, subject to certain adjustments. The Capped Calls are generally expected to reduce potential dilution to our common stock upon any conversion of the Notes and/or offset any cash payments we are required to make in excess of the principal amount of the converted Notes, as the case may be, with such reduction and/or offset subject to a cap. During the three months ended October 31, 2021 and 2020, we have not exercised any Capped Call options. Refer to Note 9, Convertible Senior Notes, in the Notes to Consolidated Financial Statements included in our Fiscal 2021 Form 10-K for further information on the Capped Calls.

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Oct. 31, 2021
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Non-cancelable Purchase Obligations In the normal course of business, we enter into non-cancelable purchase commitments with various third parties to purchase products and services such as technology equipment, subscription-based cloud service arrangements, corporate and marketing events and consulting services. During the three months ended October 31, 2021, there have been no material changes outside the ordinary course of business to our non-cancelable purchase commitments from those disclosed in our Fiscal 2021 Form 10-K. Legal Matters Litigation and Claims We are a party to various litigation matters from time to time and subject to claims that arise in the ordinary course of business, including patent, commercial, product liability, employment, class action, whistleblower and other litigation and claims, as well as governmental and other regulatory investigations and proceedings. In addition, third parties may from time to time assert claims against us in the form of letters and other communications. There is no pending or threatened legal proceeding to which we are a party that, in our opinion, is likely to have a material adverse effect on our future financial results or operations; however, the results of litigation and claims are inherently unpredictable. Regardless of the outcome, litigation can have an adverse impact on us because of defense and settlement costs, diversion of management resources and other factors. The expense of litigation and the timing of this expense from period to period are difficult to estimate, subject to change and could adversely affect our results of operations.

Stock-Based Compensation

Stock-Based Compensation	3 Months Ended
	Oct. 31, 2021
Share-based Payment Arrangement [Abstract]
Stock-Based Compensation	Stock-Based Compensation Equity Incentive Plan Equity incentive awards which may be granted to eligible participants under our Fiscal Year 2018 Equity Incentive Plan (the "Plan") include restricted stock units, restricted stock, stock options, nonstatutory stock options, stock appreciation rights, performance units and performance shares. Stock Options The stock option activity consisted of the following: Outstanding Weighted-Average Weighted-Average Aggregate (in thousands, except per share amounts) Balance as of July 31, 2021 2,597 $ 10.37 3.2 $ 585,829 Exercised (387) 6.83 100,737 Canceled, forfeited or expired (4) 10.41 Balance as of October 31, 2021 2,206 $ 10.99 3.1 $ 679,266 Exercisable and expected to vest as of July 31, 2021 1,777 $ 8.53 2.9 $ 404,151 Exercisable and expected to vest as of October 31, 2021 1,636 $ 9.33 2.8 $ 506,449 The aggregate intrinsic value of the options exercised represents the difference between the fair value of our common stock on the date of exercise and their exercise price. The total intrinsic value of options exercised for the three months ended October 31, 2021 and 2020 was $100.7 million and $91.4 million, respectively. There were no stock options granted during the periods presented. Restricted Stock Units and Performance Stock Awards The activity of restricted stock units ("RSUs") and performance stock awards ("PSAs") consisted of the following: Underlying Shares Weighted-Average Grant Date Fair Value Aggregate (in thousands, except per share data) Balance as of July 31, 2021 7,763 $ 100.84 $ 1,831,376 Granted 1,027 264.06 Vested (972) 102.19 265,802 Canceled or forfeited (185) 108.57 Balance as of October 31, 2021 7,633 $ 122.44 $ 2,433,826 As of October 31, 2021, there were 0.2 million outstanding PSAs for which the performance metrics have not been defined as of such date. As a result, such awards are not considered granted for accounting purposes as of October 31, 2021 and accordingly, they have been excluded from the above table. Employee Stock Purchase Plan In fiscal 2018, we adopted the Fiscal Year 2018 Employee Stock Purchase Plan (the "ESPP"). ESPP employee payroll contributions accrued as of October 31, 2021 and July 31, 2021 were $13.3 million and $5.2 million, respectively, and are included within accrued compensation in the condensed consolidated balance sheets. Payroll contributions accrued as of October 31, 2021 will be used to purchase shares at the end of the current ESPP purchase period ending on December 15, 2021. There were no shares issued under the ESPP during the periods presented. Stock-based Compensation Expense The components of stock-based compensation expense, net of amounts capitalized in the development of software for internal-use, recognized in the condensed consolidated statements of operations consisted of the following: Three Months Ended October 31, 2021 2020 (in thousands) Cost of revenue $ 4,986 $ 3,009 Sales and marketing 40,720 31,316 Research and development 27,259 14,123 General and administrative 16,938 8,737 Total $ 89,903 $ 57,185 During the three months ended October 31, 2021 and 2020, we capitalized $2.5 million and $1.5 million, respectively, of stock-based compensation associated with the development of software for internal-use.

Income Taxes

Income Taxes	3 Months Ended
	Oct. 31, 2021
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes Our tax provision for interim periods is determined using an estimate of our annual effective tax rate, adjusted for discrete items, if any, that arise during the period. Each quarter, we update our estimate of the annual effective tax rate, and if the estimated annual effective tax rate changes, we make a cumulative adjustment in such period. Our quarterly tax provision, and estimate of our annual effective tax rate, is subject to variation due to several factors, including variability in pre-tax income (or loss), the mix of jurisdictions to which such income relates, changes in how we do business, and tax law developments. Our estimated annual effective tax rate for the year differs from the U.S. statutory rate of 21% as a result of our U.S. losses for which no benefit will be realized, as well as our foreign operations which are subject to tax rates that differ from those in the United States. We recorded a provision for income taxes of $2.5 million and $0.5 million for the three months ended October 31, 2021 and 2020, respectively. We are subject to income tax in the United States as well as other tax jurisdictions in which we conduct business. Earnings from our non-U.S. operations are subject to income taxes in the countries in which we operate. Our provision for income taxes consists primarily of both income and withholding taxes in the foreign jurisdictions in which we conduct business. The realization of deferred tax assets is dependent upon the generation of sufficient taxable income of the appropriate character in future periods. We assess our ability to realize the deferred tax assets on a quarterly basis and we establish a valuation allowance if it is more-likely-than-not that some portion of the deferred tax assets will not be realized. We weigh all available positive and negative evidence, including our earnings history and results of recent operations, scheduled reversals of deferred tax liabilities, projected future taxable income and tax planning strategies. Due to the weight of objectively verifiable negative evidence, including our history of losses in certain jurisdictions, we believe that it is more likely than not that our U.S. federal, state, and U.K. deferred tax assets will not be realized. Accordingly, we have maintained a valuation allowance on our U.S. federal, state and U.K. deferred tax assets.

Net Loss Per Share

Net Loss Per Share	3 Months Ended
	Oct. 31, 2021
Earnings Per Share [Abstract]
Net Loss Per Share	Net Loss Per Share The following table sets forth the computation of basic and diluted net loss per share: Three Months Ended 2021 2020 (in thousands) Net loss $ (90,801) $ (55,006) Weighted-average shares used in computing net loss per share, basic and diluted 139,296 133,452 Net loss per share, basic and diluted $ (0.65) $ (0.41) Since we have reported net losses for all periods presented, we have excluded all potentially dilutive securities from the calculation of the diluted net loss per share as their effect is antidilutive and accordingly, the basic and diluted net loss per share is the same for all periods presented. The following table summarizes the potentially dilutive securities outstanding as of October 31, 2021 and 2020 that were excluded from the computation of diluted net loss per share as their effect would be antidilutive: October 31, 2021 2020 (in thousands) Unvested RSUs and shares of common stock 7,085 8,161 Stock options 2,206 4,475 Unvested PSAs (1) 676 577 Share purchase rights under the ESPP 697 547 Convertible senior notes (2) 7,626 — Total 18,290 13,760 (1) The number of unvested PSAs is estimated at 100% of the target number of shares granted and excludes unvested PSAs for which performance conditions have not been established as of October 31, 2021 and 2020, as they are not considered outstanding for accounting purposes. Refer to Note 10, Stock-Based Compensation, for further information. (2)

Business and Summary of Signi_2

Business and Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Oct. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States ("U.S. GAAP") and applicable regulations of the Securities and Exchange Commission ("SEC") regarding interim financial reporting, and include the accounts of the Company and its wholly owned subsidiaries. All intercompany balances and transactions 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 required disclosures and regulations of the SEC. Therefore, these unaudited condensed consolidated financial statements and accompanying notes should be read in conjunction with the Company's audited consolidated financial statements and related notes in its Annual Report on Form 10-K for the fiscal year ended July 31, 2021 (the "Fiscal 2021 Form 10-K"), as filed with the SEC on September 16, 2021.
Use of Estimates	Use of Estimates The preparation of condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates, judgments and assumptions that affect the amounts reported and disclosed in the financial statements and accompanying notes. Such estimates include, but are not limited to, the determination of revenue recognition, deferred revenue, deferred contract acquisition costs, valuation of acquired intangible assets, period of benefit generated from our deferred contract acquisition costs, allowance for doubtful accounts, valuation of common stock options and stock-based awards, useful lives of property and equipment, useful lives of acquired intangible assets, recoverability of goodwill, valuation of deferred tax assets and liabilities, loss contingencies related to litigation, fair value and effective interest rate of convertible senior notes, valuation of non-marketable equity investments and the discount rate used for operating leases. Management determines these estimates and assumptions based on historical experience and on various other assumptions that are believed to be reasonable. Actual results could differ significantly from these estimates, and such differences may be material to the condensed consolidated financial statements. Due to the COVID-19 pandemic, there is ongoing uncertainty and significant disruption in the global economy and financial markets. We are not aware of any specific event or circumstances that would require an update to our estimates, judgments or assumptions or a revision to the carrying value of our assets or liabilities as of the date of issuance of these condensed consolidated financial statements. These estimates, judgments and assumptions may change in the future, as new events occur or additional information is obtained .
Fiscal Year	Fiscal Year Our fiscal year ends on July 31. References to fiscal 2022, for example, refer to our fiscal year ending July 31, 2022.
Recently Adopted Accounting Pronouncements; Recently Issued Accounting Pronouncements Not Yet Adopted	Recently Adopted Accounting Pronouncements In October 2021, the Financial Accounting Standards Board ("FASB") issued ASU No. 2021-08, Business Combinations (Topic 805) on Accounting for Contract Assets and Contract Liabilities from Contracts with Customers. This standard requires contract assets and contract liabilities from contracts with customers that are acquired in a business combination to be recognized and measured as if the acquirer had originated the original contract. Previously, acquired contract assets and liabilities were measured at fair value. This standard is effective for us in the first quarter of fiscal 2024, though early adoption is permitted. We early adopted this standard in the first quarter of fiscal 2022 and it did not have a material impact to the condensed consolidated financial statements. Recently Issued Accounting Pronouncements Not Yet Adopted In June 2020, the FASB issued ASU No. 2020-06, Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging - Contracts in Entity’s Own Equity (Subtopic 815-40). This standard eliminates the beneficial conversion and cash conversion accounting models for convertible instruments. It also amends the accounting for certain contracts in an entity’s own equity that are currently accounted for as derivatives because of specific settlement provisions. In addition, the new guidance modifies how particular convertible instruments and certain contracts that may be settled in cash or shares impact the diluted earnings per share computation. This standard is effective for us in the first quarter of fiscal 2023, using the fully retrospective or modified retrospective method, though early adoption is permitted. We are currently evaluating the potential impact of this standard on the condensed consolidated financial statements.

Revenue Recognition (Tables)

Revenue Recognition (Tables)	3 Months Ended
	Oct. 31, 2021
Revenue from Contract with Customer [Abstract]
Disaggregation of Revenue	The following table summarizes the revenue by region based on the shipping address of customers who have contracted to use our cloud platform: Three Months Ended October 31, 2021 2020 Amount % Revenue Amount % Revenue (in thousands, except per percentage data) United States $ 113,413 49 % $ 70,159 49 % Europe, Middle East and Africa 80,549 35 % 55,205 39 % Asia Pacific 31,052 14 % 14,280 10 % Other 5,503 2 % 2,934 2 % Total $ 230,517 100 % $ 142,578 100 % The following table summarizes the revenue from contracts by type of customer: Three Months Ended October 31, 2021 2020 Amount % Revenue Amount % Revenue (in thousands, except per percentage data) Channel partners $ 215,073 93 % $ 133,440 94 % Direct customers 15,444 7 % 9,138 6 % Total $ 230,517 100 % $ 142,578 100 %
Schedule of Accounts Receivable	The following table summarizes the concentration of 10% or more of the total balance of accounts receivable, net: October 31, 2021 July 31, 2021 Channel partner A 14% * (*) Represents less than 10%.
Capitalized Contract Cost	The activity of the deferred contract acquisition costs consisted of the following: Three Months Ended October 31, 2021 2020 (in thousands) Beginning balance $ 207,030 $ 109,915 Capitalization of contract acquisition costs 23,985 18,042 Amortization of deferred contract acquisition costs (14,912) (8,678) Ending balance $ 216,103 $ 119,279 The outstanding balance of the deferred contract acquisition costs consisted of the following: October 31, 2021 July 31, 2021 (in thousands) Deferred contract acquisition costs, current $ 62,067 $ 57,373 Deferred contract acquisition costs, noncurrent 154,036 149,657 Total $ 216,103 $ 207,030

Cash Equivalents and Short-Te_2

Cash Equivalents and Short-Term Investments (Tables)	3 Months Ended
	Oct. 31, 2021
Cash and Cash Equivalents [Abstract]
Schedule of Cash Equivalents and Short-Term Investments	Cash equivalents and short-term investments consisted of the following as of October 31, 2021: Amortized Unrealized Unrealized Fair Value (in thousands) Cash equivalents: Money market funds $ 183,556 $ — $ — $ 183,556 U.S. treasury securities 94,998 — (2) 94,996 Total $ 278,554 $ — $ (2) $ 278,552 Short-term investments: U.S. treasury securities $ 414,326 $ 1 $ (49) $ 414,278 U.S. government agency securities 473,738 47 (496) 473,289 Corporate debt securities 325,952 21 (594) 325,379 Total $ 1,214,016 $ 69 $ (1,139) $ 1,212,946 Total cash equivalents and short-term investments $ 1,492,570 $ 69 $ (1,141) $ 1,491,498 Cash equivalents and short-term investments consisted of the following as of July 31, 2021: Amortized Unrealized Unrealized Fair Value Cash equivalents: (in thousands) Money market funds $ 167,337 $ — $ — $ 167,337 U.S. government agency securities 10,999 — — 10,999 Total $ 178,336 $ — $ — $ 178,336 Short-term investments: U.S. treasury securities $ 387,428 $ 9 $ (17) $ 387,420 U.S. government agency securities 511,622 144 (34) 511,732 Corporate debt securities 327,512 102 (112) 327,502 Total $ 1,226,562 $ 255 $ (163) $ 1,226,654 Total cash equivalents and short-term investments $ 1,404,898 $ 255 $ (163) $ 1,404,990
Schedule of Maturities	The amortized cost and fair value of our short-term investments based on their stated maturities consisted of the following as of October 31, 2021: Amortized Fair Value (in thousands) Due within one year $ 757,847 $ 757,830 Due between one to three years 456,169 455,116 Total $ 1,214,016 $ 1,212,946
Schedule of Unrealized Loss on Investments	Short-term investments that were in an unrealized loss position as of October 31, 2021, consisted of the following: Less than 12 Months Greater than 12 Months Total Fair Unrealized Fair Unrealized Fair Unrealized (in thousands) U.S. treasury securities $ 320,337 $ (49) $ — $ — $ 320,337 $ (49) U.S. government agency securities 252,257 (486) 4,995 (11) 257,252 (497) Corporate debt securities 249,483 (592) 2,225 (1) 251,708 (593) Total $ 822,077 $ (1,127) $ 7,220 $ (12) $ 829,297 $ (1,139) Short-term investments that were in an unrealized loss position as of July 31, 2021, consisted of the following: Less than 12 Months Greater than 12 Months Total Fair Unrealized Fair Unrealized Fair Unrealized (in thousands) U.S. treasury securities $ 306,908 $ (17) $ — $ — $ 306,908 $ (17) U.S. government agency securities 104,782 (34) — — 104,782 (34) Corporate debt securities 157,208 (112) — — 157,208 (112) Total $ 568,898 $ (163) $ — $ — $ 568,898 $ (163)

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	3 Months Ended
	Oct. 31, 2021
Fair Value Disclosures [Abstract]
Schedule of Fair Value, Assets Measured on Recurring Basis	Assets and liabilities that are measured at fair value on a recurring basis consisted of the following as of October 31, 2021: Level I Level II Level III Fair Value Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Cash equivalents: (in thousands) Money market funds $ 183,556 $ 183,556 $ — $ — U.S. treasury securities 94,996 — 94,996 — Total $ 278,552 $ 183,556 $ 94,996 $ — Short-term investments: U.S. treasury securities $ 414,278 $ — $ 414,278 $ — U.S. government agency securities 473,289 — 473,289 — Corporate debt securities 325,379 — 325,379 — Total $ 1,212,946 $ — $ 1,212,946 $ — Total cash equivalents and short-term investments $ 1,491,498 $ 183,556 $ 1,307,942 $ — Designated derivative instruments: Foreign currency contracts assets-current (1) $ 300 $ — $ 300 $ — Foreign currency contract assets-noncurrent (2) $ 38 $ — $ 38 $ — Foreign currency contracts liabilities-current (3) $ 1,743 $ — $ 1,743 $ — Foreign currency contracts liabilities-noncurrent (4) $ 79 $ — $ 79 $ — Non-designated derivative instruments: Foreign currency contracts assets-current (1) $ 159 $ — $ 159 $ — Foreign currency contracts liabilities-current (3) $ 383 $ — $ 383 $ — (1) Reported as prepaid expenses and other current assets in the condensed consolidated balance sheets. (2) Reported as other noncurrent assets in the condensed consolidated balance sheets. (3) Reported as accrued expenses and other current liabilities in the condensed consolidated balance sheets. (4) Reported as other noncurrent liabilities in the condensed consolidated balance sheets. Assets that are measured at fair value on a recurring basis consisted of the following as of July 31, 2021: Level I Level II Level III Fair Value Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Cash equivalents: (in thousands) Money market funds $ 167,337 $ 167,337 $ — $ — U.S. treasury securities 10,999 — 10,999 — Total $ 178,336 $ 167,337 $ 10,999 $ — Short-term investments: U.S. treasury securities $ 387,420 $ — $ 387,420 $ — U.S. government agency securities 511,732 — 511,732 — Corporate debt securities 327,502 — 327,502 — Total $ 1,226,654 $ — $ 1,226,654 $ — Total cash equivalents and short-term investments $ 1,404,990 $ 167,337 $ 1,237,653 $ — Designated derivative instruments: Foreign currency contracts assets-current (1) $ 459 $ — $ 459 $ — Foreign currency contract assets-noncurrent (2) $ 26 $ — $ 26 $ — Foreign currency contracts liabilities-current (3) $ 1,083 $ — $ 1,083 $ — Foreign currency contracts liabilities-noncurrent (4) $ 42 $ — $ 42 $ — Non-designated derivative instruments: Foreign currency contracts assets-current (1) $ 83 $ — $ 83 $ — Foreign currency contracts liabilities-current (3) $ 240 $ — $ 240 $ — (1) Reported as prepaid expenses and other current assets in the consolidated balance sheets. (2) Reported as other noncurrent assets in the consolidated balance sheets. (3) Reported as accrued expenses and other current liabilities in the consolidated balance sheets. (4) Reported as other noncurrent liabilities in the consolidated balance sheets.
Schedule of Fair Value, Liabilities Measured on Recurring Basis	Assets and liabilities that are measured at fair value on a recurring basis consisted of the following as of October 31, 2021: Level I Level II Level III Fair Value Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Cash equivalents: (in thousands) Money market funds $ 183,556 $ 183,556 $ — $ — U.S. treasury securities 94,996 — 94,996 — Total $ 278,552 $ 183,556 $ 94,996 $ — Short-term investments: U.S. treasury securities $ 414,278 $ — $ 414,278 $ — U.S. government agency securities 473,289 — 473,289 — Corporate debt securities 325,379 — 325,379 — Total $ 1,212,946 $ — $ 1,212,946 $ — Total cash equivalents and short-term investments $ 1,491,498 $ 183,556 $ 1,307,942 $ — Designated derivative instruments: Foreign currency contracts assets-current (1) $ 300 $ — $ 300 $ — Foreign currency contract assets-noncurrent (2) $ 38 $ — $ 38 $ — Foreign currency contracts liabilities-current (3) $ 1,743 $ — $ 1,743 $ — Foreign currency contracts liabilities-noncurrent (4) $ 79 $ — $ 79 $ — Non-designated derivative instruments: Foreign currency contracts assets-current (1) $ 159 $ — $ 159 $ — Foreign currency contracts liabilities-current (3) $ 383 $ — $ 383 $ — (1) Reported as prepaid expenses and other current assets in the condensed consolidated balance sheets. (2) Reported as other noncurrent assets in the condensed consolidated balance sheets. (3) Reported as accrued expenses and other current liabilities in the condensed consolidated balance sheets. (4) Reported as other noncurrent liabilities in the condensed consolidated balance sheets. Assets that are measured at fair value on a recurring basis consisted of the following as of July 31, 2021: Level I Level II Level III Fair Value Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Cash equivalents: (in thousands) Money market funds $ 167,337 $ 167,337 $ — $ — U.S. treasury securities 10,999 — 10,999 — Total $ 178,336 $ 167,337 $ 10,999 $ — Short-term investments: U.S. treasury securities $ 387,420 $ — $ 387,420 $ — U.S. government agency securities 511,732 — 511,732 — Corporate debt securities 327,502 — 327,502 — Total $ 1,226,654 $ — $ 1,226,654 $ — Total cash equivalents and short-term investments $ 1,404,990 $ 167,337 $ 1,237,653 $ — Designated derivative instruments: Foreign currency contracts assets-current (1) $ 459 $ — $ 459 $ — Foreign currency contract assets-noncurrent (2) $ 26 $ — $ 26 $ — Foreign currency contracts liabilities-current (3) $ 1,083 $ — $ 1,083 $ — Foreign currency contracts liabilities-noncurrent (4) $ 42 $ — $ 42 $ — Non-designated derivative instruments: Foreign currency contracts assets-current (1) $ 83 $ — $ 83 $ — Foreign currency contracts liabilities-current (3) $ 240 $ — $ 240 $ — (1) Reported as prepaid expenses and other current assets in the consolidated balance sheets. (2) Reported as other noncurrent assets in the consolidated balance sheets. (3) Reported as accrued expenses and other current liabilities in the consolidated balance sheets. (4) Reported as other noncurrent liabilities in the consolidated balance sheets.

Property and Equipment and Pu_2

Property and Equipment and Purchased Intangible Assets (Tables)	3 Months Ended
	Oct. 31, 2021
Property, Plant and Equipment [Abstract]
Schedule of Property and Equipment	Property and equipment consisted of the following: October 31, 2021 July 31, 2021 (in thousands) Hosting equipment $ 137,752 $ 130,981 Computers and equipment 6,113 5,599 Purchased software 1,311 1,311 Capitalized internal-use software 45,487 39,542 Furniture and fixtures 1,022 1,021 Leasehold improvements 7,340 7,339 Total property and equipment, gross 199,025 185,793 Less: Accumulated depreciation and amortization (86,026) (77,217) Total property and equipment, net $ 112,999 $ 108,576

Goodwill and Acquired Intangi_2

Goodwill and Acquired Intangible Assets (Tables)	3 Months Ended
	Oct. 31, 2021
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Acquired Intangible Assets	Acquired intangible assets subject to amortization consisted of the following as of October 31, 2021 and July 31, 2021: Gross Carrying Amount Accumulated Amortization Net Carrying Amount July 31, 2021 Additions October 31, 2021 July 31, 2021 Amortization Expense October 31, 2021 October 31, 2021 July 31, 2021 (in thousands) Developed technology $ 39,656 $ — $ 39,656 $ (10,674) $ (2,048) $ (12,722) $ 26,934 $ 28,982 Customer relationships 3,560 — 3,560 (413) (178) (591) 2,969 3,147 Total $ 43,216 $ — $ 43,216 $ (11,087) $ (2,226) $ (13,313) $ 29,903 $ 32,129
Schedule of Future Amortization Expense	Future amortization expense of acquired intangible assets consisted of the following as of October 31, 2021: Amount Year ending July 31, (in thousands) 2022 (remaining nine months) $ 6,452 2023 8,181 2024 6,741 2025 6,038 2026 2,491 Total $ 29,903

Convertible Senior Notes (Table

Convertible Senior Notes (Tables)	3 Months Ended
	Oct. 31, 2021
Debt Disclosure [Abstract]
Schedule of Convertible Senior Notes	The net carrying amount of the liability component of the Notes consisted of the following: October 31, 2021 July 31, 2021 (in thousands) Principal amount $ 1,150,000 $ 1,150,000 Less: Unamortized debt discount 211,731 224,527 Unamortized debt issuance costs 11,255 11,935 Net carrying amount $ 927,014 $ 913,538 The following table sets forth total interest expense recognized related to the Notes: Three Months Ended October 31, 2021 2020 (in thousands) Contractual interest expense $ 359 $ 359 Amortization of debt discount 12,796 12,049 Amortization of debt issuance costs 680 641 Total $ 13,835 $ 13,049

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	3 Months Ended
	Oct. 31, 2021
Share-based Payment Arrangement [Abstract]
Schedule of Stock Options	The stock option activity consisted of the following: Outstanding Weighted-Average Weighted-Average Aggregate (in thousands, except per share amounts) Balance as of July 31, 2021 2,597 $ 10.37 3.2 $ 585,829 Exercised (387) 6.83 100,737 Canceled, forfeited or expired (4) 10.41 Balance as of October 31, 2021 2,206 $ 10.99 3.1 $ 679,266 Exercisable and expected to vest as of July 31, 2021 1,777 $ 8.53 2.9 $ 404,151 Exercisable and expected to vest as of October 31, 2021 1,636 $ 9.33 2.8 $ 506,449
Schedule of Restricted Stock Units and Performance Stock Awards Activity	The activity of restricted stock units ("RSUs") and performance stock awards ("PSAs") consisted of the following: Underlying Shares Weighted-Average Grant Date Fair Value Aggregate (in thousands, except per share data) Balance as of July 31, 2021 7,763 $ 100.84 $ 1,831,376 Granted 1,027 264.06 Vested (972) 102.19 265,802 Canceled or forfeited (185) 108.57 Balance as of October 31, 2021 7,633 $ 122.44 $ 2,433,826
Schedule of Allocation of Stock-based Compensation Expense	The components of stock-based compensation expense, net of amounts capitalized in the development of software for internal-use, recognized in the condensed consolidated statements of operations consisted of the following: Three Months Ended October 31, 2021 2020 (in thousands) Cost of revenue $ 4,986 $ 3,009 Sales and marketing 40,720 31,316 Research and development 27,259 14,123 General and administrative 16,938 8,737 Total $ 89,903 $ 57,185

Net Loss Per Share (Tables)

Net Loss Per Share (Tables)	3 Months Ended
	Oct. 31, 2021
Earnings Per Share [Abstract]
Schedule of Net Loss Per Share, Basic and Diluted	The following table sets forth the computation of basic and diluted net loss per share: Three Months Ended 2021 2020 (in thousands) Net loss $ (90,801) $ (55,006) Weighted-average shares used in computing net loss per share, basic and diluted 139,296 133,452 Net loss per share, basic and diluted $ (0.65) $ (0.41)
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share	The following table summarizes the potentially dilutive securities outstanding as of October 31, 2021 and 2020 that were excluded from the computation of diluted net loss per share as their effect would be antidilutive: October 31, 2021 2020 (in thousands) Unvested RSUs and shares of common stock 7,085 8,161 Stock options 2,206 4,475 Unvested PSAs (1) 676 577 Share purchase rights under the ESPP 697 547 Convertible senior notes (2) 7,626 — Total 18,290 13,760 (1) The number of unvested PSAs is estimated at 100% of the target number of shares granted and excludes unvested PSAs for which performance conditions have not been established as of October 31, 2021 and 2020, as they are not considered outstanding for accounting purposes. Refer to Note 10, Stock-Based Compensation, for further information. (2)

Revenue Recognition - Narrative

Revenue Recognition - Narrative (Details) - USD ($) $ in Millions	3 Months Ended
	Oct. 31, 2021	Oct. 31, 2020	Jul. 31, 2021
Concentration Risk [Line Items]
Deferred revenue	$ 647.8		$ 630.6
Contract with customer, liability, revenue recognized	206.4	$ 127.6
Revenue, remaining performance obligation	1,705.7
Accrued sales commissions	$ 16.3		$ 46.7
Minimum
Concentration Risk [Line Items]
Contract with customer, term of contract	1 year
Maximum
Concentration Risk [Line Items]
Contract with customer, term of contract	3 years
Subscription and Support | Sales Revenue, Net | Product Concentration Risk | Transferred over Time
Concentration Risk [Line Items]
Revenue, percentage	97.00%	97.00%

Revenue Recognition - Disaggreg

Revenue Recognition - Disaggregation of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended
	Oct. 31, 2021	Oct. 31, 2020
Disaggregation of Revenue [Line Items]
Revenue	$ 230,517	$ 142,578
Sales Revenue, Net | Geographic Concentration Risk
Disaggregation of Revenue [Line Items]
Revenue	$ 230,517	$ 142,578
Revenue, percentage	100.00%	100.00%
Sales Revenue, Net | Customer Concentration Risk
Disaggregation of Revenue [Line Items]
Revenue	$ 230,517	$ 142,578
Revenue, percentage	100.00%	100.00%
Sales Revenue, Net | Customer Concentration Risk | Channel partners
Disaggregation of Revenue [Line Items]
Revenue	$ 215,073	$ 133,440
Revenue, percentage	93.00%	94.00%
Sales Revenue, Net | Customer Concentration Risk | Direct customers
Disaggregation of Revenue [Line Items]
Revenue	$ 15,444	$ 9,138
Revenue, percentage	7.00%	6.00%
United States | Sales Revenue, Net | Geographic Concentration Risk
Disaggregation of Revenue [Line Items]
Revenue	$ 113,413	$ 70,159
Revenue, percentage	49.00%	49.00%
Europe, Middle East and Africa | Sales Revenue, Net | Geographic Concentration Risk
Disaggregation of Revenue [Line Items]
Revenue	$ 80,549	$ 55,205
Revenue, percentage	35.00%	39.00%
Asia Pacific | Sales Revenue, Net | Geographic Concentration Risk
Disaggregation of Revenue [Line Items]
Revenue	$ 31,052	$ 14,280
Revenue, percentage	14.00%	10.00%
Other | Sales Revenue, Net | Geographic Concentration Risk
Disaggregation of Revenue [Line Items]
Revenue	$ 5,503	$ 2,934
Revenue, percentage	2.00%	2.00%

Revenue Recognition - Performan

Revenue Recognition - Performance Obligation (Details)	Oct. 31, 2021
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-11-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation, percentage	50.00%
Recognized transaction price period	12 months
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-11-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation, percentage	97.00%
Recognized transaction price period	3 years

Revenue Recognition - Significa

Revenue Recognition - Significant Customers (Details)	3 Months Ended
	Oct. 31, 2021
Channel partner A | Accounts Receivable | Customer Concentration Risk
Concentration Risk [Line Items]
Accounts receivable, net	14.00%

Revenue Recognition - Capitaliz

Revenue Recognition - Capitalized Contract Costs (Details) - USD ($) $ in Thousands	3 Months Ended
	Oct. 31, 2021	Oct. 31, 2020	Jul. 31, 2021
Changes in Capitalized Contract Cost [Roll Forward]
Beginning balance	$ 207,030	$ 109,915
Capitalization of contract acquisition costs	23,985	18,042
Amortization of deferred contract acquisition costs	(14,912)	(8,678)
Ending balance	216,103	119,279
Deferred contract acquisition costs, current	62,067		$ 57,373
Deferred contract acquisition costs, noncurrent	154,036		149,657
Total	$ 216,103	$ 119,279	$ 207,030

Cash Equivalents and Short-Te_3

Cash Equivalents and Short-Term Investments - Schedule of Cash Equivalents and Short-term Investments (Details) - USD ($) $ in Thousands	Oct. 31, 2021	Jul. 31, 2021
Cash and cash equivalents
Amortized Cost	$ 278,554	$ 178,336
Unrealized Gains	0	0
Unrealized Losses	(2)	0
Fair Value	278,552	178,336
Short-term investments:
Amortized Cost	1,214,016	1,226,562
Unrealized Gains	69	255
Unrealized Losses	(1,139)	(163)
Fair Value	1,212,946	1,226,654
Total cash equivalents and short-term investments, amortized cost	1,492,570	1,404,898
Total cash equivalents and short-term investments, unrealized gains	69	255
Total cash equivalents and short-term investments, unrealized losses	(1,141)	(163)
Total cash equivalents and short-term investments	1,491,498	1,404,990
Money market funds
Cash and cash equivalents
Amortized Cost	183,556	167,337
Unrealized Gains	0	0
Unrealized Losses	0	0
Fair Value	183,556	167,337
U.S. government agency securities
Cash and cash equivalents
Amortized Cost		10,999
Unrealized Gains		0
Unrealized Losses		0
Fair Value		10,999
U.S. treasury securities
Cash and cash equivalents
Amortized Cost	94,998
Unrealized Gains	0
Unrealized Losses	(2)
Fair Value	94,996
U.S. treasury securities
Short-term investments:
Amortized Cost	414,326	387,428
Unrealized Gains	1	9
Unrealized Losses	(49)	(17)
Fair Value	414,278	387,420
U.S. government agency securities
Short-term investments:
Amortized Cost	473,738	511,622
Unrealized Gains	47	144
Unrealized Losses	(496)	(34)
Fair Value	473,289	511,732
Corporate debt securities
Short-term investments:
Amortized Cost	325,952	327,512
Unrealized Gains	21	102
Unrealized Losses	(594)	(112)
Fair Value	$ 325,379	$ 327,502

Cash Equivalents and Short-Te_4

Cash Equivalents and Short-Term Investments - Schedule of Maturities (Details) - USD ($) $ in Thousands	Oct. 31, 2021	Jul. 31, 2021
Amortized Cost
Due within one year	$ 757,847
Due between one to three years	456,169
Amortized Cost	1,214,016	$ 1,226,562
Fair Value
Due within one year	757,830
Due between one to three years	455,116
Total	$ 1,212,946	$ 1,226,654

Cash Equivalents and Short-Te_5

Cash Equivalents and Short-Term Investments - Schedule of Unrealized Position (Details) - USD ($) $ in Thousands	Oct. 31, 2021	Jul. 31, 2021
Debt Securities, Available-for-sale [Line Items]
Less than 12 months, fair value	$ 822,077	$ 568,898
Less than 12 months, unrealized losses	(1,127)	(163)
Greater than 12 months, fair value	7,220	0
Greater than 12 months, unrealized losses	(12)	0
Total fair value	829,297	568,898
Total unrealized losses	(1,139)	(163)
U.S. treasury securities
Debt Securities, Available-for-sale [Line Items]
Less than 12 months, fair value	320,337	306,908
Less than 12 months, unrealized losses	(49)	(17)
Greater than 12 months, fair value	0	0
Greater than 12 months, unrealized losses	0	0
Total fair value	320,337	306,908
Total unrealized losses	(49)	(17)
U.S. government agency securities
Debt Securities, Available-for-sale [Line Items]
Less than 12 months, fair value	252,257	104,782
Less than 12 months, unrealized losses	(486)	(34)
Greater than 12 months, fair value	4,995	0
Greater than 12 months, unrealized losses	(11)	0
Total fair value	257,252	104,782
Total unrealized losses	(497)	(34)
Corporate debt securities
Debt Securities, Available-for-sale [Line Items]
Less than 12 months, fair value	249,483	157,208
Less than 12 months, unrealized losses	(592)	(112)
Greater than 12 months, fair value	2,225	0
Greater than 12 months, unrealized losses	(1)	0
Total fair value	251,708	157,208
Total unrealized losses	$ (593)	$ (112)

Cash Equivalents and Short-Te_6

Cash Equivalents and Short-Term Investments - Narrative (Details) - USD ($) $ in Millions	Oct. 31, 2021	Jul. 31, 2021
Cash and Cash Equivalents [Abstract]
Accrued interest receivable	$ 3	$ 3.9
Investment carrying value	$ 5.1	$ 5.1

Fair Value Measurements (Detail

Fair Value Measurements (Details) - USD ($) $ in Thousands	Oct. 31, 2021	Jul. 31, 2021
Cash equivalents:
Fair Value	$ 278,552	$ 178,336
Short-term investments:
Short-term investments	1,212,946	1,226,654
Total cash equivalents and short-term investments	1,491,498	1,404,990
Money market funds
Cash equivalents:
Fair Value	183,556	167,337
U.S. treasury securities
Cash equivalents:
Fair Value	94,996
Fair Value, Measurements, Recurring
Cash equivalents:
Fair Value	278,552	178,336
Short-term investments:
Short-term investments	1,212,946	1,226,654
Total cash equivalents and short-term investments	1,491,498	1,404,990
Fair Value, Measurements, Recurring | Money market funds
Cash equivalents:
Fair Value	183,556	167,337
Fair Value, Measurements, Recurring | U.S. treasury securities
Cash equivalents:
Fair Value	94,996	10,999
Fair Value, Measurements, Recurring | Foreign currency contracts | Designated as Hedging Instrument
Designated derivative instruments:
Foreign currency contract assets-current	300	459
Foreign currency contract assets-noncurrent	38	26
Foreign currency contracts liabilities-current	1,743	1,083
Foreign currency contracts liabilities-noncurrent	79	42
Non-designated derivative instruments:
Foreign currency contract assets-current	300	459
Foreign currency contracts liabilities-current	1,743	1,083
Fair Value, Measurements, Recurring | Foreign currency contracts | Not Designated as Hedging Instrument
Designated derivative instruments:
Foreign currency contract assets-current	159	83
Foreign currency contracts liabilities-current	383	240
Non-designated derivative instruments:
Foreign currency contract assets-current	159	83
Foreign currency contracts liabilities-current	383	240
Fair Value, Measurements, Recurring | Level I
Cash equivalents:
Fair Value	183,556	167,337
Short-term investments:
Short-term investments	0	0
Total cash equivalents and short-term investments	183,556	167,337
Fair Value, Measurements, Recurring | Level I | Money market funds
Cash equivalents:
Fair Value	183,556	167,337
Fair Value, Measurements, Recurring | Level I | U.S. treasury securities
Cash equivalents:
Fair Value	0	0
Fair Value, Measurements, Recurring | Level I | Foreign currency contracts | Designated as Hedging Instrument
Designated derivative instruments:
Foreign currency contract assets-current	0	0
Foreign currency contract assets-noncurrent	0	0
Foreign currency contracts liabilities-current	0	0
Foreign currency contracts liabilities-noncurrent	0	0
Non-designated derivative instruments:
Foreign currency contract assets-current	0	0
Foreign currency contracts liabilities-current	0	0
Fair Value, Measurements, Recurring | Level I | Foreign currency contracts | Not Designated as Hedging Instrument
Designated derivative instruments:
Foreign currency contract assets-current	0	0
Foreign currency contracts liabilities-current	0	0
Non-designated derivative instruments:
Foreign currency contract assets-current	0	0
Foreign currency contracts liabilities-current	0	0
Fair Value, Measurements, Recurring | Level II
Cash equivalents:
Fair Value	94,996	10,999
Short-term investments:
Short-term investments	1,212,946	1,226,654
Total cash equivalents and short-term investments	1,307,942	1,237,653
Fair Value, Measurements, Recurring | Level II | Money market funds
Cash equivalents:
Fair Value	0	0
Fair Value, Measurements, Recurring | Level II | U.S. treasury securities
Cash equivalents:
Fair Value	94,996	10,999
Fair Value, Measurements, Recurring | Level II | Foreign currency contracts | Designated as Hedging Instrument
Designated derivative instruments:
Foreign currency contract assets-current	300	459
Foreign currency contract assets-noncurrent	38	26
Foreign currency contracts liabilities-current	1,743	1,083
Foreign currency contracts liabilities-noncurrent	79	42
Non-designated derivative instruments:
Foreign currency contract assets-current	300	459
Foreign currency contracts liabilities-current	1,743	1,083
Fair Value, Measurements, Recurring | Level II | Foreign currency contracts | Not Designated as Hedging Instrument
Designated derivative instruments:
Foreign currency contract assets-current	159	83
Foreign currency contracts liabilities-current	383	240
Non-designated derivative instruments:
Foreign currency contract assets-current	159	83
Foreign currency contracts liabilities-current	383	240
Fair Value, Measurements, Recurring | Level III
Cash equivalents:
Fair Value	0	0
Short-term investments:
Short-term investments	0	0
Total cash equivalents and short-term investments	0	0
Fair Value, Measurements, Recurring | Level III | Money market funds
Cash equivalents:
Fair Value	0	0
Fair Value, Measurements, Recurring | Level III | U.S. treasury securities
Cash equivalents:
Fair Value	0	0
Fair Value, Measurements, Recurring | Level III | Foreign currency contracts | Designated as Hedging Instrument
Designated derivative instruments:
Foreign currency contract assets-current	0	0
Foreign currency contract assets-noncurrent	0	0
Foreign currency contracts liabilities-current	0	0
Foreign currency contracts liabilities-noncurrent	0	0
Non-designated derivative instruments:
Foreign currency contract assets-current	0	0
Foreign currency contracts liabilities-current	0	0
Fair Value, Measurements, Recurring | Level III | Foreign currency contracts | Not Designated as Hedging Instrument
Designated derivative instruments:
Foreign currency contract assets-current	0	0
Foreign currency contracts liabilities-current	0	0
Non-designated derivative instruments:
Foreign currency contract assets-current	0	0
Foreign currency contracts liabilities-current	0	0
U.S. treasury securities
Short-term investments:
Short-term investments	414,278	387,420
U.S. treasury securities | Fair Value, Measurements, Recurring
Short-term investments:
Short-term investments	414,278	387,420
U.S. treasury securities | Fair Value, Measurements, Recurring | Level I
Short-term investments:
Short-term investments	0	0
U.S. treasury securities | Fair Value, Measurements, Recurring | Level II
Short-term investments:
Short-term investments	414,278	387,420
U.S. treasury securities | Fair Value, Measurements, Recurring | Level III
Short-term investments:
Short-term investments	0	0
U.S. government agency securities
Short-term investments:
Short-term investments	473,289	511,732
U.S. government agency securities | Fair Value, Measurements, Recurring
Short-term investments:
Short-term investments	473,289	511,732
U.S. government agency securities | Fair Value, Measurements, Recurring | Level I
Short-term investments:
Short-term investments	0	0
U.S. government agency securities | Fair Value, Measurements, Recurring | Level II
Short-term investments:
Short-term investments	473,289	511,732
U.S. government agency securities | Fair Value, Measurements, Recurring | Level III
Short-term investments:
Short-term investments	0	0
Corporate debt securities
Short-term investments:
Short-term investments	325,379	327,502
Corporate debt securities | Fair Value, Measurements, Recurring
Short-term investments:
Short-term investments	325,379	327,502
Corporate debt securities | Fair Value, Measurements, Recurring | Level I
Short-term investments:
Short-term investments	0	0
Corporate debt securities | Fair Value, Measurements, Recurring | Level II
Short-term investments:
Short-term investments	325,379	327,502
Corporate debt securities | Fair Value, Measurements, Recurring | Level III
Short-term investments:
Short-term investments	$ 0	$ 0

Property and Equipment and Pu_3

Property and Equipment and Purchased Intangible Assets - Schedule of Property and Equipment (Details) - USD ($) $ in Thousands	Oct. 31, 2021	Jul. 31, 2021
Property, Plant and Equipment [Line Items]
Total property and equipment, gross	$ 199,025	$ 185,793
Less: Accumulated depreciation and amortization	(86,026)	(77,217)
Total property and equipment, net	112,999	108,576
Hosting equipment
Property, Plant and Equipment [Line Items]
Total property and equipment, gross	137,752	130,981
Computers and equipment
Property, Plant and Equipment [Line Items]
Total property and equipment, gross	6,113	5,599
Purchased software
Property, Plant and Equipment [Line Items]
Total property and equipment, gross	1,311	1,311
Capitalized internal-use software
Property, Plant and Equipment [Line Items]
Total property and equipment, gross	45,487	39,542
Furniture and fixtures
Property, Plant and Equipment [Line Items]
Total property and equipment, gross	1,022	1,021
Leasehold improvements
Property, Plant and Equipment [Line Items]
Total property and equipment, gross	$ 7,340	$ 7,339

Property and Equipment - Narrat

Property and Equipment - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended
	Oct. 31, 2021	Oct. 31, 2020	Jul. 31, 2021
Acquired Finite-Lived Intangible Assets [Line Items]
Historical cost	$ 43,216		$ 43,216
Accumulated amortization	13,313		11,087
Depreciation and amortization expense	$ 9,017	$ 6,092
Internet Protocol Addresses
Acquired Finite-Lived Intangible Assets [Line Items]
Useful life	10 years
Historical cost	$ 3,000		3,000
Accumulated amortization	$ 500		$ 400

Derivative Instruments (Details

Derivative Instruments (Details) - USD ($) $ in Millions	3 Months Ended
	Oct. 31, 2021	Jul. 31, 2021
Maximum
Derivative [Line Items]
Term of derivative	18 months
Designated as Hedging Instrument
Derivative [Line Items]
Notional amount	$ 123.4	$ 118.9
Not Designated as Hedging Instrument
Derivative [Line Items]
Notional amount	$ 47.7	$ 28.2
Not Designated as Hedging Instrument | Minimum | Foreign currency contracts
Derivative [Line Items]
Term of derivative	1 month
Not Designated as Hedging Instrument | Maximum | Foreign currency contracts
Derivative [Line Items]
Term of derivative	4 months

Goodwill and Acquired Intangi_3

Goodwill and Acquired Intangible Assets - Goodwill (Details) - USD ($) $ in Thousands	Oct. 31, 2021	Jul. 31, 2021
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill	$ 58,977	$ 58,977

Goodwill and Acquired Intangi_4

Goodwill and Acquired Intangible Assets - Schedule of Acquired Intangible Assets (Details) - USD ($) $ in Thousands	3 Months Ended
	Oct. 31, 2021	Oct. 31, 2020	Jul. 31, 2021
Finite-lived Intangible Assets [Roll Forward]
Intangible Assets, Gross, beginning balance	$ 43,216
Additions	0
Intangible Assets, Gross, ending balance	43,216
Accumulated Amortization, beginning balance	(11,087)
Amortization Expense	(2,226)	$ (1,577)
Accumulated Amortization, ending balance	(13,313)
Total	29,903		$ 32,129
Developed technology
Finite-lived Intangible Assets [Roll Forward]
Intangible Assets, Gross, beginning balance	39,656
Additions	0
Intangible Assets, Gross, ending balance	39,656
Accumulated Amortization, beginning balance	(10,674)
Amortization Expense	(2,048)
Accumulated Amortization, ending balance	(12,722)
Total	26,934		28,982
Customer relationships
Finite-lived Intangible Assets [Roll Forward]
Intangible Assets, Gross, beginning balance	3,560
Additions	0
Intangible Assets, Gross, ending balance	3,560
Accumulated Amortization, beginning balance	(413)
Amortization Expense	(178)
Accumulated Amortization, ending balance	(591)
Total	$ 2,969		$ 3,147

Goodwill and Acquired Intangi_5

Goodwill and Acquired Intangible Assets - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended
	Oct. 31, 2021	Oct. 31, 2020
Goodwill and Intangible Assets Disclosure [Abstract]
Amortization expense of acquired intangible assets	$ 2,226	$ 1,577

Goodwill and Acquired Intangi_6

Goodwill and Acquired Intangible Assets - Schedule of Future Amortization Expense (Details) - USD ($) $ in Thousands	Oct. 31, 2021	Jul. 31, 2021
Goodwill and Intangible Assets Disclosure [Abstract]
2022 (remaining nine months)	$ 6,452
2023	8,181
2024	6,741
2025	6,038
2026	2,491
Total	$ 29,903	$ 32,129

Convertible Senior Notes - Narr

Convertible Senior Notes - Narrative (Details)	Jun. 25, 2020USD ($)$ / shares	Oct. 31, 2021USD ($)trading_day	Jul. 31, 2021USD ($)
Debt Instrument [Line Items]
Proceeds from debt issuance	$ 1,130,500,000
Threshold percentage of share price that triggers conversion		130.00%
Threshold trading days | trading_day		20
Threshold consecutive trading days | trading_day		30
Fair value of notes		$ 2,449,500,000	$ 1,931,700,000
Initial strike price (in dollars per share) | $ / shares	$ 150.80
Initial cap price (in shares) | $ / shares	$ 246.76
Convertible Senior Notes Due 2025
Debt Instrument [Line Items]
Principal amount	$ 1,150,000,000
Interest rate	0.125%
Convertible Senior Notes, $150 million
Debt Instrument [Line Items]
Principal amount	$ 150,000,000

Convertible Senior Notes - Carr

Convertible Senior Notes - Carrying Amounts (Details) - USD ($) $ in Thousands	Oct. 31, 2021	Jul. 31, 2021
Convertible Debt [Abstract]
Principal amount	$ 1,150,000	$ 1,150,000
Unamortized debt discount	211,731	224,527
Unamortized debt issuance costs	11,255	11,935
Net carrying amount	$ 927,014	$ 913,538

Convertible Senior Notes - Inte

Convertible Senior Notes - Interest Expense (Details) - USD ($) $ in Thousands	3 Months Ended
	Oct. 31, 2021	Oct. 31, 2020
Debt Disclosure [Abstract]
Contractual interest expense	$ 359	$ 359
Amortization of debt discount	12,796	12,049
Amortization of debt issuance costs	680	641
Total	$ 13,835	$ 13,049

Stock-Based Compensation - Narr

Stock-Based Compensation - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended
	Oct. 31, 2021	Oct. 31, 2020
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Exercised, aggregate intrinsic value	$ 100,737	$ 91,400
Granted (in shares)	0
Capitalized stock-based compensation	$ 2,500	1,500
Performance stock awards
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Performance shares outstanding (in shares)	200,000
Employee Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Accrued compensation	$ 13,300	$ 5,200
Shares issued (in shares)	0

Stock-Based Compensation - Sche

Stock-Based Compensation - Schedule of Stock Options (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		12 Months Ended
	Oct. 31, 2021	Oct. 31, 2020	Jul. 31, 2021
Outstanding Stock Options
Beginning balance (in shares)	2,597
Exercised (in shares)	(387)
Canceled, forfeited, or expired (in shares)	(4)
Ending balance (in shares)	2,206		2,597
Exercisable and expected to vest (in shares)	1,636		1,777
Weighted-Average Exercise Price
Beginning balance (in dollars per share)	$ 10.37
Exercised (in dollars per share)	6.83
Canceled, forfeited, or expired (in dollars per share)	10.41
Ending balance (in dollars per share)	10.99		$ 10.37
Exercisable and expected to vest (in dollars per share)	$ 9.33		$ 8.53
Additional Disclosures
Options outstanding, weighted average remaining contractual term	3 years 1 month 6 days		3 years 2 months 12 days
Exercisable and expected to vest, weighted average remaining contractual term	2 years 9 months 18 days		2 years 10 months 24 days
Options outstanding, aggregate intrinsic value	$ 679,266		$ 585,829
Exercised, aggregate intrinsic value	100,737	$ 91,400
Exercisable and expected to vest, aggregate intrinsic value	$ 506,449		$ 404,151

Stock-Based Compensation - Sc_2

Stock-Based Compensation - Schedule of RSU and PSA Activity (Details) - Restricted Stock Units and Performance Stock Awards - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Oct. 31, 2021	Jul. 31, 2021
Underlying Shares
Beginning balance (in shares)	7,763
Granted (in shares)	1,027
Vested (in shares)	(972)
Canceled or forfeited (in shares)	(185)
Ending balance (in shares)	7,633
Weighted-Average Grant Date Fair Value
Beginning balance (in dollars per share)	$ 100.84
Granted (in dollars per share)	264.06
Vested (in dollars per share)	102.19
Canceled or forfeited (in shares)	108.57
Ending balance (in dollars per share)	$ 122.44
Aggregate Intrinsic Value
Balance	$ 2,433,826	$ 1,831,376
Vested	$ 265,802

Stock-Based Compensation - Stoc

Stock-Based Compensation - Stock-based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended
	Oct. 31, 2021	Oct. 31, 2020
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Total stock-based compensation expense	$ 89,903	$ 57,185
Cost of revenue
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Total stock-based compensation expense	4,986	3,009
Sales and marketing
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Total stock-based compensation expense	40,720	31,316
Research and development
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Total stock-based compensation expense	27,259	14,123
General and administrative
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Total stock-based compensation expense	$ 16,938	$ 8,737

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended
	Oct. 31, 2021	Oct. 31, 2020
Income Tax Disclosure [Abstract]
Provision for income taxes	$ 2,479	$ 498

Net Loss Per Share - Net Loss P

Net Loss Per Share - Net Loss Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Oct. 31, 2021	Oct. 31, 2020
Earnings Per Share [Abstract]
Net loss	$ (90,801)	$ (55,006)
Weighted-average shares used in computing net loss per share, basic (in shares)	139,296	133,452
Weighted-average shares used in computing net loss per share, diluted (in shares)	139,296	133,452
Net loss per share, basic (in dollars per share)	$ (0.65)	$ (0.41)
Net loss per share, diluted (in dollars per share)	$ (0.65)	$ (0.41)

Net Loss Per Share - Antidiluti

Net Loss Per Share - Antidilutive Securities Excluded from Computation (Details) - $ / shares shares in Thousands	3 Months Ended
	Oct. 31, 2021	Oct. 31, 2020
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities (in shares)	18,290	13,760
Number of shares if notes converted (in shares)	7,600
Conversion price (in dollars per share)	$ 150.80
Unvested RSUs and shares of common stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities (in shares)	7,085	8,161
Stock options
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities (in shares)	2,206	4,475
Unvested PSAs
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities (in shares)	676	577
Number of unvested PSAs as a percentage of target	100.00%
Share purchase rights under the ESPP
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities (in shares)	697	547
Convertible senior notes
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities (in shares)	7,626	0