Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jul. 31, 2018 | Aug. 24, 2018 | |
Document and Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jul. 31, 2018 | |
Document Fiscal Year Focus | 2,019 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | ADSK | |
Entity Registrant Name | AUTODESK INC | |
Entity Central Index Key | 769,397 | |
Current Fiscal Year End Date | --01-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 218,616,633 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jul. 31, 2018 | Jul. 31, 2017 | Jul. 31, 2018 | Jul. 31, 2017 | ||
Net revenue: | |||||
Total net revenue | $ 611.7 | $ 501.8 | $ 1,171.6 | $ 987.5 | |
Cost of revenue: | |||||
Amortization of developed technology | 3.4 | 4 | 7 | 8.7 | |
Total cost of revenue | 69.8 | 74.6 | 136.6 | 152.8 | |
Gross profit | 541.9 | 427.2 | 1,035 | 834.7 | |
Operating expenses: | |||||
Marketing and sales | 289.1 | 257.6 | 565.5 | 513.3 | |
Research and development | 180.8 | 193.8 | 353.6 | 381.5 | |
General and administrative | 79.1 | 78 | 152 | 156.3 | |
Amortization of purchased intangibles | 3.8 | 4.9 | 7.6 | 10.6 | |
Restructuring and other exit costs, net | 13.8 | 0.5 | 36.3 | 0.2 | |
Total operating expenses | 566.6 | 534.8 | 1,115 | 1,061.9 | |
Loss from operations | (24.7) | (107.6) | (80) | (227.2) | |
Interest and other income (expense), net | 1.3 | (18.8) | (7.2) | (20.6) | |
Loss before income taxes | (23.4) | (126.4) | (87.2) | (247.8) | |
Provision for income taxes | (16) | (17.6) | (34.6) | (25.8) | |
Net loss | $ (39.4) | $ (144) | $ (121.8) | $ (273.6) | |
Basic net loss per share (in usd per share) | $ (0.18) | $ (0.66) | $ (0.56) | $ (1.25) | |
Diluted net loss per share (in usd per share) | $ (0.18) | $ (0.66) | $ (0.56) | $ (1.25) | |
Weighted average shares used in computing basic net loss per share (shares) | 219 | 219.5 | 218.8 | 219.7 | |
Weighted average shares used in computing diluted net loss per share (shares) | 219 | 219.5 | 218.8 | 219.7 | |
Subscription and Maintenance | |||||
Net revenue: | |||||
Total net revenue | $ 587 | $ 457.9 | $ 1,118.6 | $ 894.9 | |
Cost of revenue: | |||||
Cost of revenue | 54.1 | 52.8 | 104.5 | 107.7 | |
Subscription | |||||
Net revenue: | |||||
Total net revenue | 420.6 | 196.1 | 771 | 369.5 | |
Maintenance | |||||
Net revenue: | |||||
Total net revenue | 166.4 | 261.8 | 347.6 | 525.4 | |
Other | |||||
Net revenue: | |||||
Total net revenue | [1] | 24.7 | 43.9 | 53 | 92.6 |
Cost of revenue: | |||||
Cost of revenue | [2] | $ 12.3 | $ 17.8 | $ 25.1 | $ 36.4 |
[1] | Previously labeled as "License and other" in prior periods. | ||||
[2] | Previously labeled as "Cost of license and other revenue" in prior periods. |
CONDENSED CONSOLIDATED STATEME3
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2018 | Jul. 31, 2017 | Jul. 31, 2018 | Jul. 31, 2017 | |
Statement of Comprehensive Income [Abstract] | ||||
Net loss | $ (39.4) | $ (144) | $ (121.8) | $ (273.6) |
Other comprehensive (loss) income, net of reclassifications: | ||||
Net gain (loss) on derivative instruments (net of tax effect of ($1.1), $0.9, ($1.8), and $1.4, respectively) | 11.6 | (11.6) | 17.6 | (13) |
Change in net unrealized (loss) gain on available-for-sale debt securities (net of tax effect of $(0.1), $0.4, $0.0 and $0.1, respectively) | (1.3) | (0.5) | (0.7) | 0.2 |
Change in defined benefit pension items (net of tax effect of ($0.1), $0.0, ($1.5) and $0.0, respectively) | 2.3 | 0.3 | 10 | (0.2) |
Net change in cumulative foreign currency translation (loss) gain (net of tax effect of $0.2, ($0.6), $0.5 and ($0.9), respectively) | (29.7) | 25.2 | (54) | 38.6 |
Total other comprehensive (loss) income | (17.1) | 13.4 | (27.1) | 25.6 |
Total comprehensive loss | $ (56.5) | $ (130.6) | $ (148.9) | $ (248) |
CONDENSED CONSOLIDATED STATEME4
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2018 | Jul. 31, 2017 | Jul. 31, 2018 | Jul. 31, 2017 | |
Statement of Comprehensive Income [Abstract] | ||||
Net gain (loss) on derivative instruments, tax effect | $ (1.1) | $ 0.9 | $ (1.8) | $ 1.4 |
Change in net unrealized (loss) gain on available-for-sale debt securities, tax effect | (0.1) | 0.4 | 0 | 0.1 |
Change in defined benefit pension items, tax effect | (0.1) | 0 | (1.5) | 0 |
Net change in cumulative foreign currency translation (loss) gain, tax effect | $ 0.2 | $ (0.6) | $ 0.5 | $ (0.9) |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions | Jul. 31, 2018 | Jan. 31, 2018 |
Current assets: | ||
Cash and cash equivalents | $ 895.4 | $ 1,078 |
Marketable securities | 274.4 | 245.2 |
Accounts receivable, net | 234.4 | 438.2 |
Prepaid expenses and other current assets | 194.6 | 116.5 |
Total current assets | 1,598.8 | 1,877.9 |
Marketable securities | 128.1 | 190.8 |
Computer equipment, software, furniture and leasehold improvements, net | 146.8 | 145 |
Developed technologies, net | 23.7 | 27.1 |
Goodwill | 1,658.7 | 1,620.2 |
Deferred income taxes, net | 81.5 | 81.7 |
Other assets | 195.4 | 170.9 |
Total assets | 3,833 | 4,113.6 |
Current liabilities: | ||
Accounts payable | 82.2 | 94.7 |
Accrued compensation | 163.2 | 250.9 |
Accrued income taxes | 38.8 | 28 |
Deferred revenue | 1,491.5 | 1,551.6 |
Other accrued liabilities | 139.4 | 198 |
Total current liabilities | 1,915.1 | 2,123.2 |
Long-term deferred revenue | 308 | 403.5 |
Long-term income taxes payable | 41.5 | 41.6 |
Long-term deferred income taxes | 88.2 | 66.6 |
Long-term notes payable, net | 1,587.2 | 1,586 |
Other liabilities | 134.6 | 148.7 |
Stockholders’ deficit: | ||
Common stock and additional paid-in capital | 2,012.5 | 1,952.7 |
Accumulated other comprehensive loss | (150.9) | (123.8) |
Accumulated deficit | (2,103.2) | (2,084.9) |
Total stockholders’ deficit | (241.6) | (256) |
Total liabilities and stockholders' deficit | $ 3,833 | $ 4,113.6 |
CONDENSED CONSOLIDATED STATEME6
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions | 6 Months Ended | |
Jul. 31, 2018 | Jul. 31, 2017 | |
Operating activities: | ||
Net loss | $ (121.8) | $ (273.6) |
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: | ||
Depreciation, amortization and accretion | 46.3 | 56.8 |
Stock-based compensation expense | 111.3 | 134.4 |
Deferred income taxes | (0.3) | 8.6 |
Restructuring and other exit costs, net | 36.6 | 0.2 |
Other operating activities | (1.3) | 7.7 |
Changes in operating assets and liabilities | ||
Accounts receivable | 204.2 | 185.5 |
Prepaid expenses and other current assets | 7.9 | (2.4) |
Accounts payable and accrued liabilities | (201.3) | (98.6) |
Deferred revenue | (66.7) | (9.9) |
Accrued income taxes | 11.5 | (36) |
Net cash provided by (used in) operating activities | 26.4 | (27.3) |
Investing activities: | ||
Purchases of marketable securities | (110.1) | (299.7) |
Sales of marketable securities | 27 | 110.8 |
Maturities of marketable securities | 119.6 | 420.3 |
Capital expenditures | (36.7) | (26.4) |
Acquisitions, net of cash acquired | (34.1) | 0 |
Other investing activities | (6) | (4.3) |
Net cash (used in) provided by investing activities | (40.3) | 200.7 |
Financing activities: | ||
Proceeds from issuance of common stock, net of issuance costs | 50.4 | 55.9 |
Taxes paid related to net share settlement of equity awards | (53) | (49.8) |
Repurchases of common stock | (154.7) | (315.2) |
Proceeds from debt, net of discount | 0 | 496.9 |
Repayment of debt | 0 | (400) |
Other financing activities | 0 | (5.8) |
Net cash used in financing activities | (157.3) | (218) |
Effect of exchange rate changes on cash and cash equivalents | (11.4) | 5.6 |
Net decrease in cash and cash equivalents | (182.6) | (39) |
Cash and cash equivalents at beginning of period | 1,078 | 1,213.1 |
Cash and cash equivalents at end of period | 895.4 | 1,174.1 |
Non-cash investing activities: | ||
Fair value of common stock issued as consideration for business combination (See Note 8) | $ 44.8 | $ 0 |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Jul. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited Condensed Consolidated Financial Statements of Autodesk, Inc. (“Autodesk,” “we,” “us,” “our,” or the “Company”) as of July 31, 2018 , and for the three and six months ended July 31, 2018 and 2017 , have been prepared in accordance with U.S. generally accepted accounting principles ("GAAP") for interim financial information along with the instructions to Form 10-Q and Article 10 of Securities and Exchange Commission (“SEC”) Regulation S-X. Accordingly, they do not include all of the information and notes required by GAAP for annual financial statements. In management’s opinion, Autodesk made all adjustments (consisting of normal, recurring and non-recurring adjustments) during the quarter that were considered necessary for the fair statement of the financial position and operating results of the Company. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect reported amounts in the financial statements and accompanying notes. Actual results could differ from those estimates. In addition, the results of operations for the three and six months ended July 31, 2018 are not necessarily indicative of the results for the entire fiscal year ending January 31, 2019 , or for any other period. Further, the balance sheet as of January 31, 2018 has been derived from the audited Consolidated Balance Sheet as of this date. There have been no material changes, other than what is discussed herein, to Autodesk's significant accounting policies as compared to the significant accounting policies disclosed in the Annual Report on Form 10-K for the fiscal year ended January 31, 2018 . These unaudited Condensed Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and related notes, together with management’s discussion and analysis of financial position and results of operations contained in Autodesk’s Annual Report on Form 10-K for the fiscal year ended January 31, 2018 |
Recently Issued Accounting Stan
Recently Issued Accounting Standards | 6 Months Ended |
Jul. 31, 2018 | |
Accounting Changes and Error Corrections [Abstract] | |
Recently Issued Accounting Standards | Recently Issued Accounting Standards With the exception of those discussed below, there have been no recent changes in accounting pronouncements issued by the Financial Accounting Standards Board (“FASB”) or adopted by the Company during the six months ended July 31, 2018 , that are of significance, or potential significance, to the Company. Accounting standards adopted Effective in the first quarter of fiscal 2019, Autodesk adopted FASB Accounting Standards Update ("ASU") No. 2017-05, "Other Income– Gains and Losses from the Derecognition of Nonfinancial Assets (Subtopic 610-20): Clarifying the Scope of Asset Derecognition Guidance and Accounting for Partial Sales of Nonfinancial Assets." The ASU, among other things, clarifies the scope of the derecognition of nonfinancial assets, the definition of in-substance financial assets, and impacts the accounting for partial sales of nonfinancial assets by requiring full gain recognition upon the sale. The new guidance was adopted prospectively as there was no impact on the Company's prior periods consolidated statements of financial position and results of operations which would be reflected in either the full or modified retrospective transition approach. The future effect of the adoption will depend upon the nature of the Company's future dispositions, if any. Effective in the first quarter of fiscal 2019, Autodesk adopted FASB ASU No. 2017-01, "Business Combinations: Clarifying the Definition of a Business" which provides a more robust framework to use in determining when a set of assets and activities is considered a business. The new guidance was applied on a prospective basis and the adoption did not have any impact on Autodesk's consolidated financial statements. Any future effect of the adoption will depend upon the nature of the Company's future acquisitions, if any. Effective in the first quarter of fiscal 2019, Autodesk adopted FASB ASU No. 2016-16, “Income Taxes: Intra-Entity Transfers of Assets Other than Inventory” which requires that entities recognize the income tax consequences of an intra-entity transfer of an asset, other than inventory, when the transfer occurs. The new guidance was applied on a modified retrospective basis with a cumulative increase of $1.9 million to the opening balance of "Accumulated deficit" at February 1, 2018. The ASU did not have any other material impacts on Autodesk's Condensed Consolidated Financial Statements. Effective in the first quarter of fiscal 2019, Autodesk adopted FASB ASU No. 2016-01 regarding Accounting Standards Codification ("ASC") Topic 825-10, "Financial Instruments - Overall." The amendments address certain aspects of recognition, measurement, presentation, and disclosure of financial instruments, and require equity securities to be measured at fair value, unless the measurement alternative method has been elected for equity investments without readily determinable fair values ("non-marketable equity securities"), with changes in fair value recognized through net income. The amendments also simplify the impairment assessment of equity investments without readily determinable fair values by requiring a qualitative assessment for impairment quarterly at each reporting period. Under the measurement alternative method, the non-marketable equity securities will be measured at cost, less any impairment, plus or minus adjustments resulting from observable price changes in orderly transactions for the identical or a similar investment of the same issuer, which will be recorded within the Condensed Consolidated Statement of Operations. The determination of whether a transaction is for a similar investment will require significant management judgment including consideration of the rights and obligations between the investments and the extent to which those differences would affect the fair values of those investments with additional consideration for the stage of development of the investee company. Autodesk prospectively adopted the amendments related to non-marketable equity securities existing as of the date of adoption. The new standard may add volatility to the Company's statements of operations in future periods, due to changes in market prices of the Company's investments in publicly held equity investments and the valuation and timing of observable price changes and impairments of its investments in non-marketable securities. See Note 5 , " Financial Instruments " for more information. Revenue from contracts with customers Effective in the first quarter of fiscal 2019, Autodesk adopted ASU No. 2014-09, “Revenue from Contracts with Customers (Topic 606)” and the subsequent and related ASU No. 2015-14, ASU No. 2016-08, ASU No. 2016-10, ASU No. 2016-12, and ASU No. 2016-20. Under ASC Topic 606, the Company has concluded that the desktop software and related substantial cloud functionality that are included in the majority of its product subscription offerings and enterprise arrangements are not distinct in the context of the contract as they are considered highly interrelated and represent a single combined performance obligation that should be recognized over time. Therefore, the adoption of ASC Topic 606 has not resulted in a material change in the timing and amount of the recognition of revenue for the majority of the Company's product subscription offerings and enterprise arrangements. One impact of the new standard relates to product subscriptions that do not incorporate substantial cloud functionality. A limited number of Autodesk's product subscriptions do not incorporate substantial cloud functionality, and therefore are not considered highly interrelated. Under ASU 2014-09, these limited number of product subscriptions are recognized as separate and distinct license and service performance obligations. Under ASC Topic 605, licenses sold with undelivered elements without vendor-specific objective evidence ("VSOE") are recognized ratably over the term of the undelivered elements. Under ASC Topic 606, Autodesk is no longer required to establish VSOE to recognize software license revenue separately from the other elements and recognizes software licenses once the customer obtains control of the license, which is generally upon delivery of the license. Therefore, revenue allocated to the licenses in these offerings under ASC Topic 606 is recognized at a point in time instead of over the contract term. Autodesk adopted ASC Topic 606 using the modified retrospective method, with a cumulative decrease of $89.0 million to the opening balance of "Accumulated deficit" at February 1, 2018. Autodesk applied the standard only to contracts that are not completed as of the date of initial application. The comparative information has not been adjusted and continues to be reported under ASC Topic 605. The details of the quantitative impact of the adoption on the three and six months ended July 31, 2018 , are shown below. See Note 3 , " Revenue Recognition " for disclosures under the new standard. Costs to acquire a contract from a customer With the adoption of ASC Topic 606, Autodesk also adopted ASC Topic 340-40, "Other Assets and Deferred Costs—Contracts with Customers." Prior to the adoption of ASC Topic 340-40, Autodesk previously recognized compensation paid to sales employees and certain resellers related to obtaining customer contracts in marketing and sales expense in the Consolidated Statements of Operations when incurred. Under ASC Topic 340-40, Autodesk capitalizes this sales compensation as contract costs when they are incremental, directly incurred to obtain a contract with a customer and expected to be recoverable. The contract costs are amortized based on the transfer of goods or services to which the contract costs relate. Under the modified retrospective method, Autodesk booked a cumulative decrease of $90.4 million to the opening balance of "Accumulated deficit" at February 1, 2018. The comparative information has not been adjusted and continues to be reported as incurred. The details of the quantitative impact of the adoption on the three and six months ended July 31, 2018 , are shown below. See Note 11 , " Deferred Compensation " for disclosures under the new standard. Quantitative effect of ASC Topic 606 and 340-40 adoption The following table shows select line items that were materially impacted by the adoption of ASC Topics 606 and 340-40 on Autodesk’s unaudited Condensed Consolidated Statements of Operations for the three and six months ended July 31, 2018 : For the Three Months Ended July 31, 2018 For the Six Months Ended July 31, 2018 As Reported Impact from the adoption of ASC 606 and 340-40 As Adjusted As Reported Impact from the adoption of ASC 606 and 340-40 As Adjusted Net revenue (1) Subscription $ 420.6 $ (4.6 ) $ 416.0 $ 771.0 $ 1.7 $ 772.7 Maintenance 166.4 (1.1 ) 165.3 347.6 4.3 351.9 Other 24.7 4.5 29.2 53.0 6.4 59.4 Cost of revenue (1) Cost of subscription and maintenance revenue 54.1 — 54.1 104.5 (0.1 ) 104.4 Cost of other revenue 12.3 0.4 12.7 25.1 0.7 25.8 Operating expenses (1): Marketing and sales 289.1 (10.8 ) 278.3 565.5 (24.4 ) 541.1 Provision for income taxes (16.0 ) 3.1 (12.9 ) (34.6 ) (1.5 ) (36.1 ) Net loss (2) $ (39.4 ) $ 12.3 $ (27.1 ) $ (121.8 ) $ 34.7 $ (87.1 ) Basic net loss per share $ (0.18 ) $ 0.06 $ (0.12 ) $ (0.56 ) $ 0.16 $ (0.40 ) Diluted net loss per share $ (0.18 ) $ 0.06 $ (0.12 ) $ (0.56 ) $ 0.16 $ (0.40 ) ____________________ (1) While not shown here, gross margin, loss from operations, and loss before income taxes have consequently been affected as a result of the net effect of the adjustments noted above. (2) The impact on the unaudited Condensed Consolidated Statements of Comprehensive Loss is limited to the net effects of the impacts noted above on the Condensed Consolidated Statements of Operations, specifically on the line item "Net loss." The following table shows select line items that were materially impacted by the adoption of ASC Topics 606 and 340-40 on Autodesk’s unaudited Condensed Consolidated Balance Sheet as of July 31, 2018 : As reported Impact from the adoption of ASC 606 and 340-40 As Adjusted ASSETS Current assets: Accounts receivable, net $ 234.4 $ 53.0 $ 287.4 Prepaid expenses and other current assets (1) 194.6 (70.1 ) 124.5 Deferred income taxes, net 81.5 11.0 92.5 Other assets (1) 195.4 (18.0 ) 177.4 LIABILITIES AND STOCKHOLDERS’ DEFICIT Current liabilities: Accrued income taxes 38.8 (1.4 ) 37.4 Deferred revenue 1,491.5 99.1 1,590.6 Other accrued liabilities 139.4 2.4 141.8 Long-term deferred revenue 308.0 25.3 333.3 Long-term income taxes payable 41.5 (0.2 ) 41.3 Long-term deferred income taxes 88.2 (4.6 ) 83.6 Accumulated deficit (2) (2,103.2 ) (144.7 ) (2,247.9 ) ____________________ (1) Short term and long term "contract assets" under ASC Topic 606 are included within "Prepaid expenses and other current assets" and "Other assets", respectively, on the unaudited Condensed Consolidated Balance Sheet. (2) Included in the "Accumulated deficit" adjustment is $179.4 million for the cumulative effect adjustment of adopting ASC Topic 606 and 340-40 on the opening balance as of February 1, 2018. Adoption of the standard had no impact to net cash provided by or (used in) operating, financing, or investing activities on the Company’s unaudited Condensed Consolidated Statements of Cash Flows. Recently issued accounting standards not yet adopted In February 2018, FASB issued ASU No. 2018-02, “Income Statement-Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income.” The amendment allows entities to reclassify stranded tax effects resulting from the Tax Cuts and Jobs Act from accumulated other comprehensive income to retained earnings. The amendment only impacts the income tax effect of the passage of the Tax Cuts and Jobs Act but does not affect the underlying guidance that requires that the effect of a change in tax laws or rates be included in income from continuing operations. The amendment is effective for Autodesk's fiscal year beginning February 1, 2019, unless Autodesk elects early adoption, which Autodesk is still evaluating. Autodesk is currently evaluating the accounting, transition, and disclosure requirements of the standard and cannot currently estimate the financial statement impact of adoption. In August 2017, FASB issued ASU No. 2017-12, "Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities." The targeted amendments help simplify certain aspects of hedge accounting and result in a more accurate portrayal of the economics of an entity’s risk management activities in its financial statements. For cash flow and net investment hedges as of the adoption date, the guidance requires a modified retrospective approach. The amended presentation and disclosure guidance is required only prospectively. The amendments are effective for Autodesk's fiscal year beginning February 1, 2019. Autodesk will not early adopt. Autodesk is currently evaluating the accounting, transition, and disclosure requirements of the standard and cannot currently estimate the financial statement impact of adoption. In June 2016, FASB issued ASU No. 2016-13 regarding ASC Topic 326, "Financial Instruments - Credit Losses," which modifies the measurement of expected credit losses of certain financial instruments. Autodesk plans to adopt ASU 2016-13 as of the effective date which represents Autodesk’s fiscal year beginning February 1, 2020. Autodesk does not believe the ASU will have a material impact on its consolidated financial statements. In February 2016, FASB issued ASU No. 2016-02, Leases (ASC Topic 842) to increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing transactions. The new standard requires entities to reflect the net present value of all future fixed lease payments for both operating and finance leases. It also requires entities to disclose fixed and variable lease payments separately and by lease type (operating vs. finance leases). ASU 2016-02 requires a modified retrospective approach with optional practical expedients. Autodesk has elected to not reassess the lease classification of existing leases and to combine lease and non-lease components for new leases post adoption. Autodesk is currently in the process of evaluating if it will elect any of the other remaining practical expedient options. In addition, FASB issued ASU No. 2018-10 and 2018-11 in July 2018, to help provide interpretive clarifications on various issues raised by stakeholders. ASU 2018-10 clarifies ambiguous or potentially conflicting guidance in ASU 2016-02 but is not expected to have a material impact on Autodesk. ASU 2018-11 provides an additional transition option to apply ASU 2016-02 upon adoption of the new standard. Autodesk will use this option and apply ASU 2016-02 to leases active as of the adoption date of the new standard, February 1, 2019. |
Revenue Recognition
Revenue Recognition | 6 Months Ended |
Jul. 31, 2018 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition | Revenue Recognition Revenue Recognition Autodesk’s revenue is divided into three categories: subscription revenue, maintenance revenue, and other revenue. Revenue is recognized when control for these offerings is transferred to our customers, in an amount that reflects the consideration we expect to be entitled to in exchange for products and services. Our contracts with customers may include promises to transfer multiple products and services to a customer. Determining whether the products and services are considered distinct performance obligations that should be accounted for separately or as one combined performance obligation may require significant judgment. Judgment is required to determine the level of integration and interdependency between individual components of software and cloud functionality. This determination influences whether the software is considered distinct and accounted for separately as a license performance obligation, or not distinct and accounted for together with the cloud functionality as a single subscription performance obligation recognized over time. For product subscriptions, industry collections, and enterprise business agreement ("EBA") subscriptions in which the desktop software and related cloud functionality are highly interrelated, the combined performance obligation is recognized ratably over the contract term as the obligation is delivered. For contracts involving distinct software licenses, the license performance obligation is satisfied at a point in time when control is transferred to the customer. For standalone maintenance subscriptions, cloud subscriptions, and technical support services, the performance obligation is satisfied ratably over the contract term as those services are delivered. For consulting services, the performance obligation is satisfied over a period of time as those services are delivered. When an arrangement includes multiple performance obligations which are concurrently delivered and have the same pattern of transfer to the customer (the services transfer to the customer over the contract period), we account for those performance obligations as a single performance obligation. For contracts with more than one performance obligation, the transaction price is allocated among the performance obligations in an amount that depicts the relative standalone selling price ("SSP") of each obligation. Judgment is required to determine the SSP for each distinct performance obligation. We use a range of amounts to estimate SSP when we sell each of the products and services separately and need to determine whether there is a discount that should be allocated based on the relative SSP of the various products and services. In instances where SSP is not directly observable, such as when we do not sell the product or service separately, we determine the SSP using information that includes market conditions and other observable inputs. We typically have more than one SSP for individual products and services due to the stratification of those products and services by customer and circumstance. In these instances, we use relevant information such as the sales channel and geographic region to determine the SSP. Our indirect channel model includes both a two-tiered distribution structure, where Autodesk sells to distributors that subsequently sell to resellers, and a one-tiered structure where Autodesk sells directly to resellers. For these arrangements, transfer of control begins at the time access to our subscriptions is made available electronically to our customer, provided all other criteria for revenue recognition are met. Judgment is required to determine whether our distributors and resellers have the ability to honor their commitment to pay, regardless of whether they collect payment from their customers. If we were to change this assessment, it could cause a material increase or decrease in the amount of revenue that we report in a particular period. As part of the indirect channel model, we have a partner incentive program that uses quarterly attainment of monetary rewards to motivate distributors and resellers to achieve mutually agreed upon business goals in a specified time period. Incentives related to our subscription program are recorded as a reduction to deferred revenue in the period the subscription transaction is billed, and are subsequently recognized as a reduction to subscription revenue over the contract period. A small portion of partner incentives reduce other revenue in the current period. These incentive balances do not require significant assumptions or judgments. Depending on how the payments are made, the reserves associated with the partner incentive program are recorded on the balance sheet as either contra accounts receivable or accounts payable. Revenue Disaggregation Autodesk recognizes revenue from the sale of (1) product subscriptions, cloud service offerings, and flexible enterprise business arrangements ("EBAs"), (2) renewal fees for existing maintenance plan agreements that were initially purchased with a perpetual software license, and (3) consulting, training and other goods and services. The three categories are presented as line items on Autodesk's unaudited Condensed Consolidated Statements of Operations. Information regarding the components of Autodesk's net revenue from contracts with customers by geographic location, product family, and sales channel is as follows: Three Months Ended July 31, Six Months Ended July 31, 2018 2017 2018 2017 Net revenue by product family (1): Architecture, Engineering and Construction $ 243.1 $ 189.6 $ 464.9 $ 375.5 Manufacturing 146.1 132.3 281.5 260.6 AutoCAD and AutoCAD LT 176.6 135.6 332.2 264.6 Media and Entertainment 41.7 38.0 83.5 74.5 Other 4.2 6.3 9.5 12.3 Total net revenue $ 611.7 $ 501.8 $ 1,171.6 $ 987.5 Net revenue by geographic area: Americas U.S. $ 205.2 $ 184.6 $ 401.1 $ 364.4 Other Americas 42.3 29.4 79.9 59.7 Total Americas 247.5 214.0 481.0 424.1 Europe, Middle East and Africa 248.3 199.3 469.2 389.0 Asia Pacific 115.9 88.5 221.4 174.4 Total net revenue $ 611.7 $ 501.8 $ 1,171.6 $ 987.5 Net revenue by sales channel: Indirect $ 440.2 $ 354.7 $ 838.5 $ 694.8 Direct 171.5 147.1 333.1 292.7 Total net revenue $ 611.7 $ 501.8 $ 1,171.6 $ 987.5 ____________________ (1) Due to changes in the go-to-market offerings of our AutoCAD product subscription, prior period balances have been adjusted to conform to current period presentation. Payments for product subscriptions, industry collections, cloud subscriptions, and maintenance subscriptions are typically due up front with payment terms of 30 to 45 days. Payments on EBAs are typically due in annual installments over the contract term, with payment terms of 30 to 45 days. Autodesk does not have any material variable consideration, such as obligations for returns, refunds, warranties or amounts due to customers for which significant estimation or judgment is required as of the reporting date. As of July 31, 2018 , Autodesk had total billed and unbilled deferred revenue of $2.2 billion , which represents the total contract price allocated to undelivered performance obligations, which are generally recognized over the next three years. We expect to recognize $1.6 billion or 74% of this revenue during the next 12 months. We expect to recognize the remaining $0.6 billion or 26% of this revenue thereafter. We expect that the amount of billed and unbilled deferred revenue will change from quarter to quarter for several reasons, including the specific timing, duration and size of customer subscription and support agreements, varying billing cycles of such agreements, the specific timing of customer renewals, and foreign currency fluctuations. Contract Balances We receive payments from customers based on a billing schedule as established in our contracts. Contract assets relate to performance completed in advance of scheduled billings. Contract assets were not material as of July 31, 2018 . Deferred revenue relates to payments received in advance of performance under the contract. The primary changes in our contract assets and deferred revenues are due to our performance under the contracts and billings. Revenue recognized during the six months ended July 31, 2018 , that was included in the deferred revenue balances at January 31, 2018, was $922.5 million |
Concentration of Credit Risk
Concentration of Credit Risk | 6 Months Ended |
Jul. 31, 2018 | |
Risks and Uncertainties [Abstract] | |
Concentration of Credit Risk | Concentration of Credit Risk Autodesk places its cash, cash equivalents and marketable securities in highly liquid instruments with, and in the custody of, diversified financial institutions globally with high credit ratings and limits the amounts invested with any one institution, type of security and issuer. Autodesk’s primary commercial banking relationship is with Citigroup Inc. and its global affiliates. Citibank, N.A., an affiliate of Citigroup, is one of the lead lenders and an agent in the syndicate of Autodesk’s $400.0 million line of credit facility. Total sales to the distributor Tech Data Corporation and its global affiliates (“Tech Data”) accounted for 35% of Autodesk’s total net revenue for both the three and six months ended July 31, 2018 and 31% and 30% for the three and six months ended July 31, 2017 , respectively. The majority of the net revenue from sales to Tech Data is for sales made outside of the United States. In addition, Tech Data accounted for 32% and 31% of trade accounts receivable at July 31, 2018 and January 31, 2018 |
Financial Instruments
Financial Instruments | 6 Months Ended |
Jul. 31, 2018 | |
Investments, All Other Investments [Abstract] | |
Financial Instruments | Financial Instruments The following tables summarize the Company's financial instruments' amortized cost, gross unrealized gains, gross unrealized losses, and fair value by significant investment category as of July 31, 2018 and January 31, 2018 : July 31, 2018 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Level 1 Level 2 Level 3 Cash equivalents (1): Agency bonds $ 5.0 $ — $ — $ 5.0 $ — $ 5.0 $ — Certificates of deposit 11.5 — — 11.5 — 11.5 — Commercial paper 269.5 — — 269.5 — 269.5 — Custody cash deposit 1.7 — — 1.7 1.7 — — Municipal bonds 5.0 — — 5.0 — 5.0 — Money market funds 122.9 — — 122.9 122.9 — — Sovereign debt 5.0 — — 5.0 — 5.0 — U.S. government securities 11.5 — — 11.5 — 11.5 — Marketable securities: Short-term Agency bonds 12.5 — — 12.5 — 12.5 — Asset backed securities 12.1 — — 12.1 — 12.1 — Certificates of deposit 7.7 — — 7.7 — 7.7 — Commercial paper 62.7 — — 62.7 — 62.7 — Corporate debt securities 64.9 — (0.2 ) 64.7 — 64.7 — Municipal bonds 5.0 — — 5.0 — 5.0 — Sovereign debt 6.5 — — 6.5 — 6.5 — U.S. government securities 41.4 — (0.2 ) 41.2 — 41.2 — Short-term trading securities Mutual funds 53.9 8.1 — 62.0 62.0 — — Long-term Agency bonds 12.5 — (0.1 ) 12.4 — 12.4 — Asset backed securities 27.1 — (0.3 ) 26.8 — 26.8 — Corporate debt securities 74.0 0.1 (0.5 ) 73.6 — 73.6 — Municipal bonds 7.7 — (0.1 ) 7.6 — 7.6 — U.S. government securities 5.0 — — 5.0 — 5.0 — Sovereign debt 2.7 — — 2.7 — 2.7 — Convertible debt securities (2) 7.5 1.4 (2.3 ) 6.6 — — 6.6 Derivative contract assets (3) 1.7 12.8 (1.6 ) 12.9 — 12.0 0.9 Derivative contract liabilities (4) — — (6.9 ) (6.9 ) — (6.9 ) — Total $ 837.0 $ 22.4 $ (12.2 ) $ 847.2 $ 186.6 $ 653.1 $ 7.5 ____________________ (1) Included in “ Cash and cash equivalents ” in the accompanying Condensed Consolidated Balance Sheets. (2) Included in “ Other assets ” in the accompanying Condensed Consolidated Balance Sheets. (3) Included in “ Prepaid expenses and other current assets ” or “ Other assets ” in the accompanying Condensed Consolidated Balance Sheets. (4) Included in “ Other accrued liabilities ” in the accompanying Condensed Consolidated Balance Sheets. January 31, 2018 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Level 1 Level 2 Level 3 Cash equivalents (1): Agency bonds $ 5.0 $ — $ — $ 5.0 $ 5.0 $ — $ — Certificates of deposit 17.4 — — 17.4 17.4 — — Commercial paper 324.2 — — 324.2 — 324.2 — Corporate debt securities 5.0 — — 5.0 5.0 — — Custody cash deposit 5.2 — — 5.2 5.2 — — Money market funds 278.8 — — 278.8 — 278.8 — Municipal bonds 5.0 — — 5.0 5.0 — — Sovereign debt 2.0 — — 2.0 — 2.0 — Marketable securities: Short-term Asset backed securities 13.1 — — 13.1 — 13.1 — Commercial paper 27.5 — — 27.5 — 27.5 — Corporate debt securities 99.4 — (0.1 ) 99.3 99.3 — — Other (2) 9.2 — — 9.2 7.7 1.5 — U.S. government securities 37.1 — — 37.1 37.1 — — Short-term trading securities Mutual funds 50.1 8.9 — 59.0 59.0 — — Long-term Agency bonds 13.7 — (0.1 ) 13.6 13.6 — — Asset backed securities 36.8 — (0.2 ) 36.6 — 36.6 — Corporate debt securities 100.2 0.1 (0.4 ) 99.9 99.9 — — Municipal bonds 12.7 — (0.1 ) 12.6 12.6 — — Sovereign debt 2.8 — — 2.8 — 2.8 — U.S. government securities 25.5 — (0.2 ) 25.3 25.3 — — Convertible debt securities (3) 7.5 0.5 (0.2 ) 7.8 — — 7.8 Derivative contract assets (4) 2.0 7.5 (1.3 ) 8.2 — 7.2 1.0 Derivative contract liabilities (5) — — (26.6 ) (26.6 ) — (26.6 ) — Total $ 1,080.2 $ 17.0 $ (29.2 ) $ 1,068.0 $ 392.1 $ 667.1 $ 8.8 ____________________ (1) Included in “ Cash and cash equivalents ” in the accompanying Condensed Consolidated Balance Sheets. (2) Consists of agency bonds, certificates of deposit, sovereign debt, and municipal bonds. (3) Included in “ Other assets ” in the accompanying Condensed Consolidated Balance Sheets. (4) Included in “ Prepaid expenses and other current assets ,” “ Other assets ,” or “ Other accrued liabilities ” in the accompanying Condensed Consolidated Balance Sheets. (5) Included in “ Other accrued liabilities ” in the accompanying Condensed Consolidated Balance Sheets. Autodesk classifies its marketable securities as either short-term or long-term based on each instrument’s underlying contractual maturity date. Marketable securities with remaining maturities of up to 12 months are classified as short-term and marketable securities with remaining maturities greater than 12 months are classified as long-term. Autodesk may sell certain of its marketable securities prior to their stated maturities for strategic purposes or in anticipation of credit deterioration. Autodesk applies fair value accounting for certain financial assets and liabilities, which consist of cash equivalents, marketable securities and other financial instruments, that are recognized or disclosed at fair value in the financial statements on a recurring basis. The Company defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value is estimated by applying the following hierarchy, which prioritizes the inputs used to measure fair value into three levels and bases the categorization within the hierarchy upon the lowest level of input that is available and significant to the fair value measurement: (Level 1) observable inputs such as quoted prices in active markets; (Level 2) inputs other than quoted prices in active markets for identical assets and liabilities, quoted prices for identical or similar assets or liabilities in inactive markets, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and (Level 3) unobservable inputs for which there is little or no market data, which require Autodesk to develop its own assumptions. When determining fair value, Autodesk uses observable market data and relies on unobservable inputs only when observable market data is not available. Autodesk reviews its leveling classifications for any potential changes on a quarterly basis, in conjunction with our fiscal quarter-end close. As part of this assessment, Autodesk transferred the fair value measurement of $245.2 million between Level 1 to Level 2 and $122.9 million between Level 2 to Level 1 during the six months ended July 31, 2018 . It is Autodesk's assessment that the leveling best reflects current market activity when observing the pricing information for these assets. Autodesk's cash equivalents, marketable securities and financial instruments are primarily classified within Level 1 or Level 2 of the fair value hierarchy. Autodesk values its securities on pricing from pricing vendors, who may use quoted prices in active markets for identical assets (Level 1) or inputs other than quoted prices that are observable either directly or indirectly in determining fair value (Level 2). Autodesk's Level 2 securities are valued primarily using observable inputs other than quoted prices in active markets for identical assets and liabilities. Autodesk's Level 3 securities consist of investments held in convertible debt securities and derivative contracts which are valued using probability weighted discounted cash flow models as some of the inputs to the models are unobservable in the market. A reconciliation of the change in Autodesk’s Level 3 items for the six months ended July 31, 2018 follows: Fair Value Measurements Using Significant Unobservable Inputs (Level 3) Derivative Contracts Convertible Debt Securities Total Balances, January 31, 2018 $ 1.0 $ 7.8 $ 8.8 Purchases — — — Loss included in earnings (0.1 ) — (0.1 ) Loss included in OCI — (1.2 ) (1.2 ) Balances, July 31, 2018 $ 0.9 $ 6.6 $ 7.5 The following table summarizes the estimated fair value of Autodesk's securities classified by the contractual maturity date of the security: July 31, 2018 Cost Fair Value Due within 1 year $ 220.3 $ 219.0 Due in 1 year through 5 years 124.3 123.4 Due in 5 years through 10 years 3.7 3.7 Due after 10 years 1.0 1.0 Total $ 349.3 $ 347.1 As of July 31, 2018 , and January 31, 2018 , Autodesk had no material securities, individually and in the aggregate, in a continuous unrealized loss position for greater than twelve months. There was no loss or gain for the sales or redemptions of securities during the six months ended July 31, 2018 . Gains and losses resulting from the sale or redemption of securities are recorded in “ Interest and other income (expense), net ” on the Company's Condensed Consolidated Statements of Operations. Proceeds from the sale and maturity of marketable securities for the six months ended July 31, 2018 and 2017 , were $146.6 million and $531.1 million , respectively. Non-marketable equity securities As of July 31, 2018 , and January 31, 2018 , Autodesk had $113.1 million and $112.3 million , respectively, in direct investments in privately held companies. These non-marketable equity securities investments do not have readily determined fair value and with the adoption of ASU 2016-01 during the first quarter of fiscal 2019, Autodesk elected to use the measurement alternative to account for the adjustment to these investments in a given quarter. See "Note 2 . Recently Issued Accounting Standards " for more details on the adoption. Under the measurement alternative method, these investments are measured at cost, less any impairments, plus or minus changes resulting from observable price changes in orderly transactions for the identical or similar investment of the same issuer in the current period. To determine if a transaction is for a similar investment, Autodesk considers the rights and obligations between the investments and the extent to which those differences would affect the fair values of those investments with additional consideration for the stage of development of the investee company. The fair value would then be adjusted positively or negatively based on available information such as pricing in recent rounds of financing. During the six months ended July 31, 2018 and cumulative since the adoption of ASU 2016-01 in the first quarter of fiscal 2019, Autodesk recorded $6.2 million as a positive adjustment on certain of its privately held investments, reflected as a gain in " Interest and other income (expense), net " on the Company's Condensed Consolidated Statement of Operations. Non-marketable equity securities investments are periodically assessed for impairment based on available information such as current cash positions, earnings and cash flow positions, earnings and cash flow forecasts, recent operational performance and any other readily available market data. Autodesk does not intend to sell these investments and it is not more likely than not that Autodesk will be required to sell the investment before recovery of the amortized cost basis. If Autodesk determines that an impairment has occurred, Autodesk writes down the investment to its fair value. During the three and six months ended July 31, 2018 , Autodesk recorded $2.8 million and $4.8 million , respectively, in impairments on its privately held investments. Therefore, Autodesk does not consider the remaining investments to be impaired at July 31, 2018 . During the three and six months ended July 31, 2017 , Autodesk recorded $3.6 million and $4.1 million , respectively, in impairments on its privately held investments. Derivative Financial Instruments Under its risk management strategy, Autodesk uses derivative instruments to manage its short-term exposures to fluctuations in foreign currency exchange rates which exist as part of ongoing business operations. Autodesk's general practice is to hedge a portion of transaction exposures primarily denominated in euros, Japanese yen, Swiss francs, British pounds, Canadian dollars, and Australian dollars. These instruments have maturities between one and twelve months in the future. Autodesk does not enter into derivative instrument transactions for trading or speculative purposes. The bank counterparties to the derivative contracts potentially expose Autodesk to credit-related losses in the event of their nonperformance. However, to mitigate that risk, Autodesk only contracts with counterparties who meet the Company's minimum requirements under its counterparty risk assessment process. Autodesk monitors ratings, credit spreads and potential downgrades on at least a quarterly basis. Based on Autodesk's ongoing assessment of counterparty risk, the Company will adjust its exposure to various counterparties. Autodesk generally enters into master netting arrangements, which reduce credit risk by permitting net settlement of transactions with the same counterparty. However, Autodesk does not have any master netting arrangements in place with collateral features. Foreign currency contracts designated as cash flow hedges Autodesk uses foreign currency contracts to reduce the exchange rate impact on a portion of the net revenue or operating expense of certain anticipated transactions. These contracts are designated and documented as cash flow hedges. The effectiveness of the cash flow hedge contracts is assessed quarterly using regression analysis as well as other timing and probability criteria. To receive cash flow hedge accounting treatment, all hedging relationships are formally documented at the inception of the hedge and the hedges are expected to be highly effective in offsetting changes to future cash flows on hedged transactions. The gross gains and losses on these hedges are included in “ Accumulated other comprehensive loss ” and are reclassified into earnings at the time the forecasted revenue or expense is recognized. In the event the underlying forecasted transaction does not occur, or it becomes probable that it will not occur, Autodesk reclassifies the gain or loss on the related cash flow hedge from “ Accumulated other comprehensive loss ” to “ Interest and other income (expense), net ” in the Company's Condensed Consolidated Financial Statements at that time. The net notional amounts of these contracts are presented net settled and were $639.3 million at July 31, 2018 , and $619.9 million at January 31, 2018 . Outstanding contracts are recognized as either assets or liabilities on the balance sheet at fair value. The majority of the net gain of $1.0 million remaining in “ Accumulated other comprehensive loss ” as of July 31, 2018 , is expected to be recognized into earnings within the next twelve months. Derivatives not designated as hedging instruments Autodesk uses foreign currency contracts that are not designated as hedging instruments to reduce the exchange rate risk associated primarily with foreign currency denominated receivables and payables. These forward contracts are marked-to-market at the end of each fiscal quarter with gains and losses recognized in “ Interest and other income (expense), net .” These derivative instruments do not subject the Company to material balance sheet risk due to exchange rate movements because gains and losses on these derivative instruments are intended to offset the gains or losses resulting from the settlement of the underlying foreign currency denominated receivables and payables. The net notional amounts of these foreign currency contracts are presented net settled and were $339.0 million at July 31, 2018 , and $329.6 million at January 31, 2018 . In addition to these foreign currency contracts, Autodesk holds derivative instruments issued by privately held companies, which are not designated as hedging instruments. These derivatives consist of certain conversion options on the convertible debt securities held by Autodesk and an option to acquire a privately held company. These derivatives are recorded at fair value as of each balance sheet date and are recorded in “ Other assets .” Changes in the fair values of these instruments are recognized in “ Interest and other income (expense), net .” Fair Value of Derivative Instruments The fair values of derivative instruments in Autodesk’s Condensed Consolidated Balance Sheets were as follows as of July 31, 2018 and January 31, 2018 : Balance Sheet Location Fair Value at July 31, 2018 January 31, 2018 Derivative Assets Foreign currency contracts designated as cash flow hedges Prepaid expenses and other current assets $ 10.4 $ 6.2 Derivatives not designated as hedging instruments Prepaid expenses and other current assets and Other assets 2.5 2.0 Total derivative assets $ 12.9 $ 8.2 Derivative Liabilities Foreign currency contracts designated as cash flow hedges Other accrued liabilities $ 4.6 $ 18.7 Derivatives not designated as hedging instruments Other accrued liabilities 2.3 7.9 Total derivative liabilities $ 6.9 $ 26.6 The effects of derivatives designated as hedging instruments on Autodesk’s Condensed Consolidated Statements of Operations were as follows for the three and six months ended July 31, 2018 and 2017 (amounts presented include any income tax effects): Foreign Currency Contracts Three Months Ended July 31, Six Months Ended July 31, 2018 2017 2018 2017 Am ount of gain (loss) recognized in accumulated other comprehensive loss on derivatives (effective portion) $ 6.4 $ (9.3 ) $ 13.3 $ (11.4 ) Amount and location of (loss) gain reclassified from accumulated other comprehensive loss into (loss) income (effective portion) Net revenue $ (3.5 ) $ 2.8 $ (6.0 ) $ 4.8 Operating expenses (1.6 ) (0.5 ) 1.7 (3.2 ) Total $ (5.1 ) $ 2.3 $ (4.3 ) $ 1.6 Amount and location of gain (loss) recognized in (loss) income on derivatives (ineffective portion and amount excluded from effectiveness testing) Interest and other income (expense), net $ 0.7 $ 0.1 $ 0.5 $ (0.1 ) The effects of derivatives not designated as hedging instruments on Autodesk’s Condensed Consolidated Statements of Operations were as follows for the three and six months ended July 31, 2018 and 2017 (amounts presented include any income tax effects): Three Months Ended July 31, Six Months Ended July 31, 2018 2017 2018 2017 Amount and location of gain (loss) recognized on derivatives in net (loss) Interest and other income (expense), net $ 1.4 $ (6.5 ) $ 6.0 $ (8.3 ) |
Stock-based Compensation Expens
Stock-based Compensation Expense | 6 Months Ended |
Jul. 31, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-based Compensation Expense | Stock-based Compensation Expense Restricted Stock Units: A summary of restricted stock activity for the six months ended July 31, 2018 , is as follows: Unvested Restricted Stock Units Weighted average grant date fair value per share (in thousands) Unvested restricted stock units at January 31, 2018 5,670.7 $ 82.94 Granted 476.7 142.47 Vested (989.6 ) 79.10 Canceled/Forfeited (411.0 ) 85.49 Performance Adjustment (1) 29.9 96.04 Unvested restricted stock units at July 31, 2018 4,776.7 $ 90.34 _______________ (1) Based on Autodesk's financial results and relative total stockholder return for the fiscal 2018 performance period. The performance stock units were attained at rates ranging from 90.0% to 117.6% of the target award. The fair value of the shares vested during the six months ended July 31, 2018 and 2017 was $133.7 million and $116.9 million , respectively. During the six months ended July 31, 2018 , Autodesk granted 0.3 million restricted stock units. Autodesk recorded stock-based compensation expense related to restricted stock units of $44.1 million and $52.0 million during the three months ended July 31, 2018 and 2017 , respectively. Autodesk recorded stock-based compensation expense related to restricted stock units of $85.8 million and $102.0 million during the six months ended July 31, 2018 and 2017 , respectively. The $52.0 million and $102.0 million of stock-based compensation expense for the three and six months ended July 31, 2017 , respectively, includes $5.9 million and $9.1 million , respectively, related to the acceleration of eligible restricted stock awards in conjunction with the Company's former CEO's transition agreement. During the six months ended July 31, 2018 , Autodesk granted 0.2 million performance stock units for which the ultimate number of shares earned is determined based on the achievement of performance criteria at the end of the stated service and performance period. The performance criteria for the performance stock units are based on Annualized Recurring Revenue ("ARR") and free cash flow per share goals adopted by the Compensation and Human Resource Committee, as well as total stockholder return compared against companies in the S&P Computer Software Select Index or the S&P North American Technology Software Index (“Relative TSR”). These performance stock units vest over a three -year period and have the following vesting schedule: • Up to one third of the performance stock units may vest following year one, depending upon the achievement of the performance criteria for fiscal 2019 as well as 1-year Relative TSR (covering year one). • Up to one third of the performance stock units may vest following year two, depending upon the achievement of the performance criteria for year two as well as 2-year Relative TSR (covering years one and two). • Up to one third of the performance stock units may vest following year three, depending upon the achievement of the performance criteria for year three as well as 3-year Relative TSR (covering years one, two and three). Performance stock units are not considered outstanding stock at the time of grant, as the holders of these units are not entitled to any of the rights of a stockholder, including voting rights. Autodesk has determined the grant date fair value for these awards using the stock price on the date of grant or if the awards are also subject to a market condition, a Monte Carlo simulation model. The fair value of the performance stock units is expensed using the accelerated attribution over the vesting period. Autodesk recorded stock-based compensation expense related to performance stock units of $5.9 million and $9.7 million for the three months ended July 31, 2018 and 2017 , respectively. Autodesk recorded stock-based compensation expense related to performance stock units of $12.4 million and $20.6 million for the six months ended July 31, 2018 and 2017 , respectively. The $9.7 million and $20.6 million of stock-based compensation expense for the three and six months ended July 31, 2017 , respectively, includes $2.8 million and $7.5 million , respectively, related to the acceleration of eligible performance stock awards in conjunction with the Company's former CEO's transition agreement. 1998 Employee Qualified Stock Purchase Plan (“ESPP”) Under Autodesk’s ESPP, which was approved by stockholders in 1998, eligible employees may purchase shares of Autodesk’s common stock at their discretion using up to 15% of their eligible compensation, subject to certain limitations, at 85% of the lower of Autodesk's closing price (fair market value) on the offering date or the exercise date. The offering period for ESPP awards consists of four , six -month exercise periods within a 24 -month offering period. A summary of the ESPP activity for the six months ended July 31, 2018 and 2017 , is as follows: Six Months Ended July 31, 2018 2017 Issued shares 0.5 1.1 Average price of issued shares $ 88.45 $ 38.34 Weighted average grant date fair value of awards granted under the ESPP (1) $ 37.64 $ 25.13 _______________ (1) Calculated as of the award grant date using the Black-Scholes Merton (“BSM") option pricing model. Stock-based Compensation Expense The following table summarizes stock-based compensation expense for the three and six months ended July 31, 2018 and 2017 , respectively, as follows: Three Months Ended July 31, Six Months Ended July 31, 2018 2017 2018 2017 Cost of subscription and maintenance revenue $ 3.1 $ 2.9 $ 5.8 $ 5.7 Cost of other revenue 0.9 1.0 1.7 2.1 Marketing and sales 25.9 26.0 49.9 52.4 Research and development 18.7 20.4 36.5 41.6 General and administrative 8.3 17.3 17.4 32.6 Stock-based compensation expense related to stock awards and ESPP purchases 56.9 67.6 111.3 134.4 Tax benefit (0.2 ) (0.3 ) (0.6 ) (0.3 ) Stock-based compensation expense related to stock awards and ESPP purchases, net of tax $ 56.7 $ 67.3 $ 110.7 $ 134.1 Stock-based Compensation Expense Assumptions Autodesk determines the grant date fair value of its share-based payment awards using a BSM option pricing model or the quoted stock price on the date of grant, unless the awards are subject to market conditions, in which case Autodesk uses a binomial-lattice model (e.g., Monte Carlo simulation model). The Monte Carlo simulation model uses multiple input variables to estimate the probability that market conditions will be achieved. Autodesk uses the following assumptions to estimate the fair value of stock-based awards: Three Months Ended July 31, 2018 Three Months Ended July 31, 2017 Performance Stock Unit ESPP Performance Stock Unit ESPP Range of expected volatilities —% N/A 31.8% N/A Range of expected lives (in years) N/A N/A N/A N/A Expected dividends —% N/A —% N/A Range of risk-free interest rates —% N/A 1.2% N/A Six Months Ended July 31, 2018 Six Months Ended July 31, 2017 Performance Stock Unit ESPP Performance Stock Unit ESPP Range of expected volatilities 35.7% 33.5 - 37.5% 31.8% 31.4 - 33.7% Range of expected lives (in years) N/A 0.5 - 2.0 N/A 0.5 - 2.0 Expected dividends —% —% —% —% Range of risk-free interest rates 2.0% 1.9 - 2.3% 1.0 - 1.2% 0.9 - 1.3% Autodesk estimates expected volatility for stock-based awards based on the average of the following two measures: (1) a measure of historical volatility in the trading market for the Company’s common stock, and (2) the implied volatility of traded forward call options to purchase shares of the Company’s common stock. The expected volatility for performance stock units subject to market conditions includes the expected volatility of Autodesk's peer companies within the S&P Computer Software Select Index or S&P North American Technology Software Index with a market capitalization over $2.0 billion , depending on the award type. The range of expected lives of ESPP awards are based upon the four , six -month exercise periods within a 24 -month offering period. Autodesk does not currently pay, and does not anticipate paying in the foreseeable future, any cash dividends. Consequently, an expected dividend yield of zero is used in the BSM option pricing model and the Monte Carlo simulation model. The risk-free interest rate used in the BSM option pricing model and the Monte Carlo simulation model for stock-based awards is the historical yield on U.S. Treasury securities with equivalent remaining lives. |
Income Tax
Income Tax | 6 Months Ended |
Jul. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Tax | Income Tax Autodesk had income tax expense of $16.0 million , relative to pre-tax losses of $23.4 million for the three months ended July 31, 2018 , and income tax expense of $17.6 million , relative to pre-tax losses of $126.4 million for the three months ended July 31, 2017 . Autodesk had income tax expense of $34.6 million , relative to pre-tax losses of $87.2 million for the six months ended July 31, 2018 , and income tax expense of $25.8 million , relative to pre-tax losses of $247.8 million for the six months ended July 31, 2017 . The variance between the three months ended July 31, 2017 and July 31, 2018 was mainly due to a net tax benefit from an internal structure realignment in connection with the closure of our Switzerland operations. The tax benefit was partially offset with income taxes in profitable jurisdictions and withholdings taxes. Income tax expense for the six months ended July 31, 2018 increased primarily due to increased worldwide earnings, foreign taxes, and withholding taxes. Autodesk regularly assesses the need for a valuation allowance against its deferred tax assets. In making that assessment, Autodesk considers both positive and negative evidence related to the likelihood of realization of the deferred tax assets to determine, based on the weight of available evidence, whether it is more likely than not that some or all of the deferred tax assets will not be realized. In evaluating the need for a valuation allowance, Autodesk considered cumulative losses in the United States arising from the Company's business model transition as a significant piece of negative evidence and established a valuation allowance against the Company’s U.S. deferred tax assets in fiscal 2016. Based on the positive and negative evidence as of July 31, 2018 , the Company continues to maintain a valuation allowance for the U.S. deferred tax assets. As of July 31, 2018 , the Company had $343.1 million of gross unrecognized tax benefits, of which $310.0 million would reduce our valuation allowance, if recognized. The remaining $33.1 million would impact the effective tax rate, if recognized. It is possible that the amount of unrecognized tax benefits will change in the next twelve months; however, an estimate of the range of the possible change cannot be made at this time. The Internal Revenue Service is examining the Company's U.S. consolidated federal income tax returns for fiscal years 2014 and 2015. While it is possible that the Company's tax positions may be challenged, the Company believes its positions are consistent with the tax law, and the balance sheet reflects appropriate liabilities for uncertain federal tax positions for the years being examined. The U.S. Tax Cuts and Jobs Act (the “Tax Act”) was signed into law on December 22, 2017, and provides broad and significant changes to the U.S. corporate income tax regime. As of July 31, 2018 |
Acquisitions
Acquisitions | 6 Months Ended |
Jul. 31, 2018 | |
Business Combinations [Abstract] | |
Acquisitions | Acquisitions During the six months ended July 31, 2018 , Autodesk completed one business combination as described below. The results of operations for the following acquisition is included in the accompanying Condensed Consolidated Statement of Operations. Pro forma results of operations have not been presented because the effects of the following acquisition were not material to Autodesk's Condensed Consolidated Financial Statements. The adoption of ASU 2017-01 in the first quarter of fiscal 2019 did not impact the accounting for this acquisition. On July 3, 2018, Autodesk acquired Assemble Systems, Inc. ("Assemble"). Assemble is a provider of software solutions that enable construction professionals to influence, query and connect BIM data to key workflows across bid management, estimating, scheduling, site management and finance. Over time, Assemble's software solution will be integrated with Autodesk's BIM 360 project management platform. The acquisition-date fair value of the consideration transferred totaled $93.6 million , which consisted of $38.2 million of cash, $44.8 million of Autodesk common stock ( 340,769 shares) and ascribed a value of $10.6 million to Autodesk's existing equity interest in Assemble. Prior to the acquisition date, Autodesk accounted for its approximate 14% equity interest in Assemble as a cost-method investment. The acquisition-date fair value of Autodesk's existing equity interest was $10.6 million and is included in the measurement of the consideration transferred. Autodesk recognized a gain of $4.6 million as a result of remeasuring its prior equity interest in Assemble held before the business combination using a control premium to calculate a discount for lack of control. The gain is included in “Interest and other expense, net” in the Condensed Consolidated Statements of Operations. For the Assemble acquisition that was accounted for as business combination, Autodesk recorded the tangible and intangible assets acquired and liabilities assumed based on their estimated fair values at the date of acquisition. The fair values assigned to the identifiable intangible assets acquired were based on estimates and assumptions determined by management. Autodesk recorded the excess of consideration transferred over the aggregate fair values as goodwill. The goodwill recorded is primarily attributable to synergies expected to arise after the acquisition. There is no amount of goodwill that is deductible for U.S. income tax purposes. The following table summarizes the fair value of the assets acquired and liabilities assumed by major class for the Assemble business combination that was completed during the six months ended July 31, 2018 : July 31, 2018 Developed technologies $ 4.4 Customer relationships and other non-current intangible assets 12.0 Trade name 2.8 Goodwill 71.9 Deferred revenue (current and non-current) (1.7 ) Net tangible assets 4.2 Total $ 93.6 |
Other Intangible Assets, Net
Other Intangible Assets, Net | 6 Months Ended |
Jul. 31, 2018 | |
Finite-Lived Intangible Assets, Net [Abstract] | |
Other Intangible Assets, Net | Other Intangible Assets, Net Other intangible assets including developed technologies, customer relationships, trade names, patents, user lists and the related accumulated amortization were as follows: July 31, 2018 January 31, 2018 Developed technologies, at cost $ 580.0 $ 578.5 Customer relationships, trade names, patents, and user lists, at cost (1) 381.7 372.5 Other intangible assets, at cost (2) 961.7 951.0 Less: Accumulated amortization (903.8 ) (895.8 ) Other intangible assets, net $ 57.9 $ 55.2 _______________ (1) Included in “Other assets” in the accompanying Condensed Consolidated Balance Sheets. (2) |
Goodwill
Goodwill | 6 Months Ended |
Jul. 31, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill | Goodwill Goodwill consists of the excess of consideration transferred over the fair value of net assets acquired in business combinations. The following table summarizes the changes in the carrying amount of goodwill for the six months ended July 31, 2018 : Balance as of January 31, 2018 $ 1,769.4 Less: accumulated impairment losses as of January 31, 2018 (149.2 ) Net balance as of January 31, 2018 1,620.2 Additions arising from acquisitions during the period 71.9 Effect of foreign currency translation (33.4 ) Balance as of July 31, 2018 $ 1,658.7 Autodesk operates as a single operating segment and single reporting unit. As such, when Autodesk tests goodwill for impairment annually in its fourth fiscal quarter, it is performed on the Company's single reporting unit. Autodesk performs impairment testing more often if circumstances indicate a potential impairment may exist, or if events have affected the composition of reporting units. When goodwill is assessed for impairment, Autodesk has the option to perform an assessment of qualitative factors of impairment (“optional assessment”) prior to necessitating a quantitative impairment test. Should the optional assessment be used for any given fiscal year, qualitative factors to consider include cost factors; financial performance; legal, regulatory, contractual, political, business, or other factors; entity specific factors; industry and market considerations, macroeconomic conditions, and other relevant events and factors affecting the reporting unit. If, after assessing the totality of events or circumstances, it is more likely than not that the fair value of the reporting unit is greater than its carrying value, then performing the quantitative impairment test is unnecessary. The quantitative impairment test is necessary when either Autodesk does not use the optional assessment or, as a result of the optional assessment, it is not more likely than not that the fair value of the reporting unit is greater than its carrying value. In situations in which an entity's reporting unit is publicly traded, the fair value of the Company may be approximated by its market capitalization, in performing the quantitative impairment test. Goodwill impairment exists when the estimated fair value of goodwill is less than its carrying value. If impairment exists, the carrying value of the goodwill is reduced to fair value through an impairment charge recorded in our Condensed Consolidated Statements of Operations. The process of evaluating the potential impairment of goodwill is subjective and requires significant judgment at many points during the analysis. The value of Autodesk’s goodwill could also be impacted by future adverse changes such as: (i) declines in Autodesk’s actual financial results, (ii) a sustained decline in Autodesk’s market capitalization, (iii) a significant slowdown in the worldwide economy or the industries Autodesk serves, or (iv) changes in Autodesk’s business strategy. There was no goodwill impairment during the three and six months ended July 31, 2018 |
Deferred Compensation
Deferred Compensation | 6 Months Ended |
Jul. 31, 2018 | |
Deferred Compensation Arrangements [Abstract] | |
Deferred Compensation | Deferred Compensation At July 31, 2018 , Autodesk had marketable securities totaling $402.5 million , of which $62.0 million related to investments in debt and equity securities that are held in a rabbi trust under non-qualified deferred compensation plans. The total related deferred compensation liability was $62.0 million at July 31, 2018 , of which $ 3.0 million was classified as current and $59.0 million was classified as non-current liabilities. The total related deferred compensation liability at January 31, 2018 , was $59.0 million , of which $3.4 million was classified as current and $55.6 million was classified as non-current liabilities. The securities are recorded in the Condensed Consolidated Balance Sheets under the current portion of "Marketable securities." The current and non-current portions of the liability are recorded in the Condensed Consolidated Balance Sheets under “Accrued compensation” and “Other liabilities,” respectively. Costs to obtain a contract with a customer Sales commissions earned by our internal sales personnel and our reseller partners are considered incremental and recoverable costs of obtaining a contract with a customer. The commission costs are capitalized and included in prepaid expenses and other current assets on our Condensed Consolidated Balance Sheets. The deferred costs are then amortized over the period of benefit. Autodesk determined that sales commissions earned by internal sales personnel that are related to contract renewals are commensurate with sales commissions earned on the initial contracts, and we determined the period of benefit to be the term of the respective customer contract. Commissions paid to our reseller partners that are related to contract renewals are not commensurate with commissions earned on the initial contract, and we determined the estimated period of benefit by taking into consideration customer retention data, customer contracts, our technology and other factors. Deferred costs are periodically reviewed for impairment. Amortization expense is included in sales and marketing expenses in the Condensed Consolidated Statements of Operations. The ending balance of assets recognized from costs to obtain a contract with a customer was $82.5 million as of July 31, 2018 . Amortization expense related to assets recognized from costs to obtain a contract with a customer was $26.9 million and $53.1 million during the three and six months ended July 31, 2018 , respectively. Autodesk did not recognize any contract cost impairment losses during the six months ended July 31, 2018 |
Computer Equipment, Software, F
Computer Equipment, Software, Furniture and Leasehold Improvements, Net | 6 Months Ended |
Jul. 31, 2018 | |
Property, Plant and Equipment [Abstract] | |
Computer Equipment, Software, Furniture and Leasehold Improvements, Net | Computer Equipment, Software, Furniture and Leasehold Improvements, Net Computer equipment, software, furniture, leasehold improvements and the related accumulated depreciation were as follows: July 31, 2018 January 31, 2018 Computer hardware, at cost $ 213.9 $ 217.1 Computer software, at cost 74.6 72.6 Leasehold improvements, land and buildings, at cost 235.9 228.9 Furniture and equipment, at cost 64.0 63.4 588.4 582.0 Less: Accumulated depreciation (441.6 ) (437.0 ) Computer software, hardware, leasehold improvements, furniture and equipment, net $ 146.8 $ 145.0 |
Borrowing Arrangements
Borrowing Arrangements | 6 Months Ended |
Jul. 31, 2018 | |
Line of Credit Facility [Abstract] | |
Borrowing Arrangements | Borrowing Arrangements In June 2017, Autodesk issued $500.0 million aggregate principal amount of 3.5% notes due June 15, 2027 (collectively, the “2017 Notes”). Net of a discount of $3.1 million and issuance costs of $4.9 million , Autodesk received net proceeds of $492.0 million from issuance of the 2017 Notes. Both the discount and issuance costs are being amortized to interest expense over the term of the 2017 Notes using the effective interest method. The proceeds of the 2017 Notes have been used for the repayment of $400.0 million of debt due December 15, 2017 , and the remainder is available for general corporate purposes. Autodesk may redeem the 2017 Notes at any time, subject to a make whole premium. In addition, upon the occurrence of certain change of control triggering events, Autodesk may be required to repurchase the 2017 Notes at a price equal to 101% of their principal amount, plus accrued and unpaid interest to the date of repurchase. The 2017 Notes contain restrictive covenants that limit Autodesk's ability to create certain liens, to enter into certain sale and leaseback transactions and to consolidate or merge with, or convey, transfer or lease all or substantially all of its assets, subject to important qualifications and exceptions. Based on quoted market prices, the fair value of the 2017 Notes was approximately $467.5 million as of July 31, 2018 . In June 2015, Autodesk issued $ 450.0 million aggregate principal amount of 3.125% notes due June 15, 2020 and $ 300.0 million aggregate principal amount of 4.375% notes due June 15, 2025 (collectively, the “2015 Notes”). Net of a discount of $ 1.7 million and issuance costs of $ 6.3 million , Autodesk received net proceeds of $ 742.0 million from issuance of the 2015 Notes. Both the discount and issuance costs are being amortized to interest expense over the respective terms of the 2015 Notes using the effective interest method. The proceeds of the 2015 Notes are available for general corporate purposes. Autodesk may redeem the 2015 Notes at any time, subject to a make whole premium. In addition, upon the occurrence of certain change of control triggering events, Autodesk may be required to repurchase the 2015 Notes at a price equal to 101% of their principal amount, plus accrued and unpaid interest to the date of repurchase. The 2015 Notes contain restrictive covenants that limit Autodesk's ability to create certain liens, to enter into certain sale and leaseback transactions and to consolidate or merge with, or convey, transfer or lease all or substantially all of its assets, subject to important qualifications and exceptions. Based on quoted market prices, the fair value of the 2015 Notes was approximately $ 754.1 million as of July 31, 2018 . In December 2012, Autodesk issued $ 400.0 million aggregate principal amount of 1.95% notes due December 15, 2017 ("$ 400.0 million 2012 Notes") and $ 350.0 million aggregate principal amount of 3.6% notes due December 15, 2022 ("$ 350.0 million 2012 Notes" and collectively with the $ 400.0 million 2012 Notes, the “2012 Notes”). Autodesk received net proceeds of $ 739.3 million from issuance of the 2012 Notes, net of a discount of $ 4.5 million and issuance costs of $ 6.1 million . Both the discount and issuance costs are being amortized to interest expense over the respective terms of the 2012 Notes using the effective interest method. The proceeds of the 2012 Notes are available for general corporate purposes. On July 27, 2017, Autodesk redeemed in full the $400.0 million 2012 Notes. The redemption was completed pursuant to the optional redemption provisions of the first supplemental indenture dated December 13, 2012. To redeem the notes, Autodesk used the proceeds of the 2017 Notes to pay a redemption price of approximately $400.9 million , plus accrued and unpaid interest. Total cash repayment was $401.8 million . The Company did not incur any additional early termination penalties in connection with such redemption. Based on the quoted market price, the fair value of the $ 350.0 million 2012 Notes was approximately $ 347.8 million as of July 31, 2018 . Autodesk’s line of credit facility permits unsecured short-term borrowings of up to $400.0 million , with an option to request an increase in the amount of the credit facility by up to an additional $100.0 million , and is available for working capital or other business needs. This credit agreement contains customary covenants that could restrict the imposition of liens on our assets, and restrict the Company’s ability to incur additional indebtedness or make dispositions of assets if we fail to maintain the financial covenants. As the result of a forecasted inability to comply with the credit agreement's minimum interest coverage ratio in the second quarter of fiscal 2019, the Company renegotiated the credit agreement financial covenants in June 2018. The amended financial covenants now consist of a maximum debt to total cash ratio, a fixed charge coverage ratio extending through October 31, 2018, and after October 31, 2018, a minimum interest coverage ratio. The line of credit is syndicated with various financial institutions, including Citibank, N.A., an affiliate of Citigroup, which is one of the lead lenders and an agent. The maturity date on the line of credit is May 2020 . At July 31, 2018 , Autodesk was in compliance with the credit facility's covenants and had no |
Restructuring and other exit co
Restructuring and other exit costs, net | 6 Months Ended |
Jul. 31, 2018 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and other exit costs, net | Restructuring and other exit costs, net During the fourth quarter of fiscal 2018, the Board of Directors approved a world-wide restructuring plan (“Fiscal 2018 Plan”) to support the Company's strategic priorities of completing the subscription transition, digitizing the Company, and re-imagining manufacturing, construction, and production. Through the restructuring, Autodesk seeks to reduce its investments in areas not aligned with its strategic priorities, including in areas related to research and development and go-to-market activities. At the same time, Autodesk plans to further invest in strategic priority areas related to digital infrastructure, customer success, and construction. By re-balancing resources to better align with the Company’s strategic priorities, Autodesk is positioning itself to meet its long-term goals. This world-wide restructuring plan includes a reduction in force that will result in the termination of approximately 13% of the Company’s workforce, or approximately 1,150 employees, and the consolidation of certain leased facilities. The Company expects to substantially complete the reduction in force and the facilities consolidation by the end of fiscal 2019. The following table sets forth the restructuring charges and other lease termination exit costs during the six months ended July 31, 2018 : Balances, January 31, 2018 Additions Payments Adjustments (1) Balances, July 31, 2018 Fiscal 2018 Plan Employee termination costs $ 53.0 $ 33.5 $ (66.3 ) $ (0.7 ) $ 19.5 Lease termination and other exit costs 2.5 2.8 (3.7 ) 0.4 2.0 Total $ 55.5 $ 36.3 $ (70.0 ) $ (0.3 ) $ 21.5 Current portion (2) $ 55.5 $ 21.5 Total $ 55.5 $ 21.5 ____________________ (1) Adjustments primarily relate to the impact of foreign exchange rate changes and certain write offs related to fixed assets. (2) The current portion of the reserve are recorded in the Condensed Consolidated Balance Sheets under “ Other accrued liabilities ." There was no non-current portion as of July 31, 2018 |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jul. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Guarantees and Indemnifications In the normal course of business, Autodesk provides indemnifications of varying scopes, including limited product warranties and indemnification of customers against claims of intellectual property infringement made by third parties arising from the use of its products or services. Autodesk accrues for known indemnification issues if a loss is probable and can be reasonably estimated. Historically, costs related to these indemnifications have not been significant, and because potential future costs are highly variable, Autodesk is unable to estimate the maximum potential impact of these indemnifications on its future results of operations. In connection with the purchase, sale or license of assets or businesses with third parties, Autodesk has entered into or assumed customary indemnification agreements related to the assets or businesses purchased, sold or licensed. Historically, costs related to these indemnifications have not been significant, and because potential future costs are highly variable, Autodesk is unable to estimate the maximum potential impact of these indemnifications on its future results of operations. As permitted under Delaware law, Autodesk has agreements whereby it indemnifies its officers and directors for certain events or occurrences while the officer or director is, or was, serving at Autodesk’s request in such capacity. The maximum potential amount of future payments Autodesk could be required to make under these indemnification agreements is unlimited; however, Autodesk has directors’ and officers’ liability insurance coverage that is intended to reduce its financial exposure and may enable Autodesk to recover a portion of any future amounts paid. Autodesk believes the estimated fair value of these indemnification agreements in excess of applicable insurance coverage is minimal. Legal Proceedings |
Common Stock Repurchase Program
Common Stock Repurchase Program | 6 Months Ended |
Jul. 31, 2018 | |
Class of Stock Disclosures [Abstract] | |
Common Stock Repurchase Program | Common Stock Repurchase Program Autodesk has a stock repurchase program that is used to offset dilution from the issuance of stock under the Company’s employee stock plans and for such other purposes as may be in the interests of Autodesk and its stockholders. Stock repurchases have the effect of returning excess cash generated from the Company’s business to stockholders. During the three and six months ended July 31, 2018 , Autodesk repurchased and retired 1.1 million shares and 1.3 million shares at an average repurchase price of $131.52 and $128.92 per share, respectively. Common stock and additional paid-in capital and accumulated deficit were reduced by $77.3 million and $69.4 million , respectively, during the three months ended July 31, 2018 . Common stock and additional paid-in capital and accumulated deficit were reduced by $93.7 million and $74.0 million , respectively, during the six months ended July 31, 2018 . At July 31, 2018 , 18.4 million shares remained available for repurchase under the repurchase program approved by the Board of Directors. During the six months ended July 31, 2018 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 6 Months Ended |
Jul. 31, 2018 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss Accumulated other comprehensive loss , net of taxes, consisted of the following at July 31, 2018 : Net Unrealized Gains (Losses) on Derivative Instruments Net Unrealized Gains (Losses) on Available-for-Sale Debt Securities Defined Benefit Pension Components Foreign Currency Translation Adjustments Total Balances, January 31, 2018 $ (16.6 ) $ 1.3 $ (29.3 ) $ (79.2 ) $ (123.8 ) Other comprehensive income (loss) before reclassifications 15.1 (0.7 ) 11.3 (54.5 ) (28.8 ) Pre-tax losses reclassified from accumulated other comprehensive loss 4.3 — 0.2 — 4.5 Tax effects (1.8 ) — (1.5 ) 0.5 (2.8 ) Net current period other comprehensive income (loss) 17.6 (0.7 ) 10.0 (54.0 ) (27.1 ) Balances, July 31, 2018 $ 1.0 $ 0.6 $ (19.3 ) $ (133.2 ) $ (150.9 ) Reclassifications related to gains and losses on available-for-sale debt securities are included in " Interest and other income (expense), net ." Refer to Note 5 , " Financial Instruments ," for the amount and location of reclassifications related to derivative instruments. Reclassifications of the defined benefit pension components are included in the computation of net periodic benefit cost. For further information, see the "Retirement Benefit Plans" note in Part II, Item 8 of our Annual Report on Form 10-K for the fiscal year ended January 31, 2018 |
Net Loss Per Share
Net Loss Per Share | 6 Months Ended |
Jul. 31, 2018 | |
Earnings Per Share [Abstract] | |
Net Loss Per Share | Net Loss Per Share Basic net loss per share is computed using the weighted average number of shares of common stock outstanding for the period, excluding stock options and restricted stock units. Diluted net loss per share is based upon the weighted average number of shares of common stock outstanding for the period and potentially dilutive common shares, including the effect of stock options and restricted stock units under the treasury stock method. The following table sets forth the computation of the numerators and denominators used in the basic and diluted net loss per share amounts: Three Months Ended July 31, Six Months Ended July 31, 2018 2017 2018 2017 Numerator: Net loss $ (39.4 ) $ (144.0 ) $ (121.8 ) $ (273.6 ) Denominator: Denominator for basic net loss per share—weighted average shares 219.0 219.5 218.8 219.7 Effect of dilutive securities (1) — — — — Denominator for dilutive net loss per share 219.0 219.5 218.8 219.7 Basic net loss per share $ (0.18 ) $ (0.66 ) $ (0.56 ) $ (1.25 ) Diluted net loss per share $ (0.18 ) $ (0.66 ) $ (0.56 ) $ (1.25 ) ____________________ (1) The effect of dilutive securities of 3.2 million and 4.8 million shares in the three months ended July 31, 2018 and 2017 , respectively, have been excluded from the calculation of diluted net loss per share as those shares would have been anti-dilutive due to the net loss incurred during those periods. The effect of dilutive securities of 3.3 million and 4.7 million shares in the six months ended July 31, 2018 and 2017 , respectively, has been excluded from the calculation of diluted net loss per share as those shares would have been anti-dilutive due to the net loss incurred during those periods. The computation of diluted net loss per share does not include shares that are anti-dilutive under the treasury stock method because their exercise prices are higher than the average market value of Autodesk’s stock during the period. For the three months ended July 31, 2018 and 2017 , zero potentially anti-dilutive shares were excluded from the computation of diluted net loss per share, respectively. For the six months ended July 31, 2018 and 2017 , zero and 0.1 million |
Segments
Segments | 6 Months Ended |
Jul. 31, 2018 | |
Segment Reporting [Abstract] | |
Segments | Segments Autodesk reports segment information based on the “management” approach. The management approach designates the internal reporting used by management for making decisions, allocating resources and assessing performance as the source of the Company’s reportable segments. The Company's chief operating decision maker ("CODM") allocates resources and assesses the operating performance of the Company as a whole. As such, Autodesk has one segment manager (the CODM), and one |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 6 Months Ended |
Jul. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | The accompanying unaudited Condensed Consolidated Financial Statements of Autodesk, Inc. (“Autodesk,” “we,” “us,” “our,” or the “Company”) as of July 31, 2018 , and for the three and six months ended July 31, 2018 and 2017 , have been prepared in accordance with U.S. generally accepted accounting principles ("GAAP") for interim financial information along with the instructions to Form 10-Q and Article 10 of Securities and Exchange Commission (“SEC”) Regulation S-X. Accordingly, they do not include all of the information and notes required by GAAP for annual financial statements. In management’s opinion, Autodesk made all adjustments (consisting of normal, recurring and non-recurring adjustments) during the quarter that were considered necessary for the fair statement of the financial position and operating results of the Company. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect reported amounts in the financial statements and accompanying notes. Actual results could differ from those estimates. In addition, the results of operations for the three and six months ended July 31, 2018 are not necessarily indicative of the results for the entire fiscal year ending January 31, 2019 , or for any other period. Further, the balance sheet as of January 31, 2018 has been derived from the audited Consolidated Balance Sheet as of this date. There have been no material changes, other than what is discussed herein, to Autodesk's significant accounting policies as compared to the significant accounting policies disclosed in the Annual Report on Form 10-K for the fiscal year ended January 31, 2018 . These unaudited Condensed Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and related notes, together with management’s discussion and analysis of financial position and results of operations contained in Autodesk’s Annual Report on Form 10-K for the fiscal year ended January 31, 2018 |
Recently Issued Accounting Standards | Recently issued accounting standards not yet adopted In February 2018, FASB issued ASU No. 2018-02, “Income Statement-Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income.” The amendment allows entities to reclassify stranded tax effects resulting from the Tax Cuts and Jobs Act from accumulated other comprehensive income to retained earnings. The amendment only impacts the income tax effect of the passage of the Tax Cuts and Jobs Act but does not affect the underlying guidance that requires that the effect of a change in tax laws or rates be included in income from continuing operations. The amendment is effective for Autodesk's fiscal year beginning February 1, 2019, unless Autodesk elects early adoption, which Autodesk is still evaluating. Autodesk is currently evaluating the accounting, transition, and disclosure requirements of the standard and cannot currently estimate the financial statement impact of adoption. In August 2017, FASB issued ASU No. 2017-12, "Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities." The targeted amendments help simplify certain aspects of hedge accounting and result in a more accurate portrayal of the economics of an entity’s risk management activities in its financial statements. For cash flow and net investment hedges as of the adoption date, the guidance requires a modified retrospective approach. The amended presentation and disclosure guidance is required only prospectively. The amendments are effective for Autodesk's fiscal year beginning February 1, 2019. Autodesk will not early adopt. Autodesk is currently evaluating the accounting, transition, and disclosure requirements of the standard and cannot currently estimate the financial statement impact of adoption. In June 2016, FASB issued ASU No. 2016-13 regarding ASC Topic 326, "Financial Instruments - Credit Losses," which modifies the measurement of expected credit losses of certain financial instruments. Autodesk plans to adopt ASU 2016-13 as of the effective date which represents Autodesk’s fiscal year beginning February 1, 2020. Autodesk does not believe the ASU will have a material impact on its consolidated financial statements. In February 2016, FASB issued ASU No. 2016-02, Leases (ASC Topic 842) to increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing transactions. The new standard requires entities to reflect the net present value of all future fixed lease payments for both operating and finance leases. It also requires entities to disclose fixed and variable lease payments separately and by lease type (operating vs. finance leases). ASU 2016-02 requires a modified retrospective approach with optional practical expedients. Autodesk has elected to not reassess the lease classification of existing leases and to combine lease and non-lease components for new leases post adoption. Autodesk is currently in the process of evaluating if it will elect any of the other remaining practical expedient options. In addition, FASB issued ASU No. 2018-10 and 2018-11 in July 2018, to help provide interpretive clarifications on various issues raised by stakeholders. ASU 2018-10 clarifies ambiguous or potentially conflicting guidance in ASU 2016-02 but is not expected to have a material impact on Autodesk. ASU 2018-11 provides an additional transition option to apply ASU 2016-02 upon adoption of the new standard. Autodesk will use this option and apply ASU 2016-02 to leases active as of the adoption date of the new standard, February 1, 2019. Recently Issued Accounting Standards With the exception of those discussed below, there have been no recent changes in accounting pronouncements issued by the Financial Accounting Standards Board (“FASB”) or adopted by the Company during the six months ended July 31, 2018 , that are of significance, or potential significance, to the Company. Accounting standards adopted Effective in the first quarter of fiscal 2019, Autodesk adopted FASB Accounting Standards Update ("ASU") No. 2017-05, "Other Income– Gains and Losses from the Derecognition of Nonfinancial Assets (Subtopic 610-20): Clarifying the Scope of Asset Derecognition Guidance and Accounting for Partial Sales of Nonfinancial Assets." The ASU, among other things, clarifies the scope of the derecognition of nonfinancial assets, the definition of in-substance financial assets, and impacts the accounting for partial sales of nonfinancial assets by requiring full gain recognition upon the sale. The new guidance was adopted prospectively as there was no impact on the Company's prior periods consolidated statements of financial position and results of operations which would be reflected in either the full or modified retrospective transition approach. The future effect of the adoption will depend upon the nature of the Company's future dispositions, if any. Effective in the first quarter of fiscal 2019, Autodesk adopted FASB ASU No. 2017-01, "Business Combinations: Clarifying the Definition of a Business" which provides a more robust framework to use in determining when a set of assets and activities is considered a business. The new guidance was applied on a prospective basis and the adoption did not have any impact on Autodesk's consolidated financial statements. Any future effect of the adoption will depend upon the nature of the Company's future acquisitions, if any. Effective in the first quarter of fiscal 2019, Autodesk adopted FASB ASU No. 2016-16, “Income Taxes: Intra-Entity Transfers of Assets Other than Inventory” which requires that entities recognize the income tax consequences of an intra-entity transfer of an asset, other than inventory, when the transfer occurs. The new guidance was applied on a modified retrospective basis with a cumulative increase of $1.9 million to the opening balance of "Accumulated deficit" at February 1, 2018. The ASU did not have any other material impacts on Autodesk's Condensed Consolidated Financial Statements. Effective in the first quarter of fiscal 2019, Autodesk adopted FASB ASU No. 2016-01 regarding Accounting Standards Codification ("ASC") Topic 825-10, "Financial Instruments - Overall." The amendments address certain aspects of recognition, measurement, presentation, and disclosure of financial instruments, and require equity securities to be measured at fair value, unless the measurement alternative method has been elected for equity investments without readily determinable fair values ("non-marketable equity securities"), with changes in fair value recognized through net income. The amendments also simplify the impairment assessment of equity investments without readily determinable fair values by requiring a qualitative assessment for impairment quarterly at each reporting period. Under the measurement alternative method, the non-marketable equity securities will be measured at cost, less any impairment, plus or minus adjustments resulting from observable price changes in orderly transactions for the identical or a similar investment of the same issuer, which will be recorded within the Condensed Consolidated Statement of Operations. The determination of whether a transaction is for a similar investment will require significant management judgment including consideration of the rights and obligations between the investments and the extent to which those differences would affect the fair values of those investments with additional consideration for the stage of development of the investee company. Autodesk prospectively adopted the amendments related to non-marketable equity securities existing as of the date of adoption. The new standard may add volatility to the Company's statements of operations in future periods, due to changes in market prices of the Company's investments in publicly held equity investments and the valuation and timing of observable price changes and impairments of its investments in non-marketable securities. See Note 5 , " Financial Instruments " for more information. Revenue from contracts with customers Effective in the first quarter of fiscal 2019, Autodesk adopted ASU No. 2014-09, “Revenue from Contracts with Customers (Topic 606)” and the subsequent and related ASU No. 2015-14, ASU No. 2016-08, ASU No. 2016-10, ASU No. 2016-12, and ASU No. 2016-20. Under ASC Topic 606, the Company has concluded that the desktop software and related substantial cloud functionality that are included in the majority of its product subscription offerings and enterprise arrangements are not distinct in the context of the contract as they are considered highly interrelated and represent a single combined performance obligation that should be recognized over time. Therefore, the adoption of ASC Topic 606 has not resulted in a material change in the timing and amount of the recognition of revenue for the majority of the Company's product subscription offerings and enterprise arrangements. One impact of the new standard relates to product subscriptions that do not incorporate substantial cloud functionality. A limited number of Autodesk's product subscriptions do not incorporate substantial cloud functionality, and therefore are not considered highly interrelated. Under ASU 2014-09, these limited number of product subscriptions are recognized as separate and distinct license and service performance obligations. Under ASC Topic 605, licenses sold with undelivered elements without vendor-specific objective evidence ("VSOE") are recognized ratably over the term of the undelivered elements. Under ASC Topic 606, Autodesk is no longer required to establish VSOE to recognize software license revenue separately from the other elements and recognizes software licenses once the customer obtains control of the license, which is generally upon delivery of the license. Therefore, revenue allocated to the licenses in these offerings under ASC Topic 606 is recognized at a point in time instead of over the contract term. Autodesk adopted ASC Topic 606 using the modified retrospective method, with a cumulative decrease of $89.0 million to the opening balance of "Accumulated deficit" at February 1, 2018. Autodesk applied the standard only to contracts that are not completed as of the date of initial application. The comparative information has not been adjusted and continues to be reported under ASC Topic 605. The details of the quantitative impact of the adoption on the three and six months ended July 31, 2018 , are shown below. See Note 3 , " Revenue Recognition " for disclosures under the new standard. Costs to acquire a contract from a customer With the adoption of ASC Topic 606, Autodesk also adopted ASC Topic 340-40, "Other Assets and Deferred Costs—Contracts with Customers." Prior to the adoption of ASC Topic 340-40, Autodesk previously recognized compensation paid to sales employees and certain resellers related to obtaining customer contracts in marketing and sales expense in the Consolidated Statements of Operations when incurred. Under ASC Topic 340-40, Autodesk capitalizes this sales compensation as contract costs when they are incremental, directly incurred to obtain a contract with a customer and expected to be recoverable. The contract costs are amortized based on the transfer of goods or services to which the contract costs relate. |
Recently Issued Accounting St27
Recently Issued Accounting Standards (Tables) | 6 Months Ended |
Jul. 31, 2018 | |
Accounting Changes and Error Corrections [Abstract] | |
Material Impacts of New Accounting Pronouncements | The following table shows select line items that were materially impacted by the adoption of ASC Topics 606 and 340-40 on Autodesk’s unaudited Condensed Consolidated Statements of Operations for the three and six months ended July 31, 2018 : For the Three Months Ended July 31, 2018 For the Six Months Ended July 31, 2018 As Reported Impact from the adoption of ASC 606 and 340-40 As Adjusted As Reported Impact from the adoption of ASC 606 and 340-40 As Adjusted Net revenue (1) Subscription $ 420.6 $ (4.6 ) $ 416.0 $ 771.0 $ 1.7 $ 772.7 Maintenance 166.4 (1.1 ) 165.3 347.6 4.3 351.9 Other 24.7 4.5 29.2 53.0 6.4 59.4 Cost of revenue (1) Cost of subscription and maintenance revenue 54.1 — 54.1 104.5 (0.1 ) 104.4 Cost of other revenue 12.3 0.4 12.7 25.1 0.7 25.8 Operating expenses (1): Marketing and sales 289.1 (10.8 ) 278.3 565.5 (24.4 ) 541.1 Provision for income taxes (16.0 ) 3.1 (12.9 ) (34.6 ) (1.5 ) (36.1 ) Net loss (2) $ (39.4 ) $ 12.3 $ (27.1 ) $ (121.8 ) $ 34.7 $ (87.1 ) Basic net loss per share $ (0.18 ) $ 0.06 $ (0.12 ) $ (0.56 ) $ 0.16 $ (0.40 ) Diluted net loss per share $ (0.18 ) $ 0.06 $ (0.12 ) $ (0.56 ) $ 0.16 $ (0.40 ) ____________________ (1) While not shown here, gross margin, loss from operations, and loss before income taxes have consequently been affected as a result of the net effect of the adjustments noted above. (2) The impact on the unaudited Condensed Consolidated Statements of Comprehensive Loss is limited to the net effects of the impacts noted above on the Condensed Consolidated Statements of Operations, specifically on the line item "Net loss." The following table shows select line items that were materially impacted by the adoption of ASC Topics 606 and 340-40 on Autodesk’s unaudited Condensed Consolidated Balance Sheet as of July 31, 2018 : As reported Impact from the adoption of ASC 606 and 340-40 As Adjusted ASSETS Current assets: Accounts receivable, net $ 234.4 $ 53.0 $ 287.4 Prepaid expenses and other current assets (1) 194.6 (70.1 ) 124.5 Deferred income taxes, net 81.5 11.0 92.5 Other assets (1) 195.4 (18.0 ) 177.4 LIABILITIES AND STOCKHOLDERS’ DEFICIT Current liabilities: Accrued income taxes 38.8 (1.4 ) 37.4 Deferred revenue 1,491.5 99.1 1,590.6 Other accrued liabilities 139.4 2.4 141.8 Long-term deferred revenue 308.0 25.3 333.3 Long-term income taxes payable 41.5 (0.2 ) 41.3 Long-term deferred income taxes 88.2 (4.6 ) 83.6 Accumulated deficit (2) (2,103.2 ) (144.7 ) (2,247.9 ) ____________________ (1) Short term and long term "contract assets" under ASC Topic 606 are included within "Prepaid expenses and other current assets" and "Other assets", respectively, on the unaudited Condensed Consolidated Balance Sheet. (2) Included in the "Accumulated deficit" adjustment is $179.4 million |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 6 Months Ended |
Jul. 31, 2018 | |
Revenue from Contract with Customer [Abstract] | |
Net revenue from contracts with customers by geographic location, product family, and sales channel | Information regarding the components of Autodesk's net revenue from contracts with customers by geographic location, product family, and sales channel is as follows: Three Months Ended July 31, Six Months Ended July 31, 2018 2017 2018 2017 Net revenue by product family (1): Architecture, Engineering and Construction $ 243.1 $ 189.6 $ 464.9 $ 375.5 Manufacturing 146.1 132.3 281.5 260.6 AutoCAD and AutoCAD LT 176.6 135.6 332.2 264.6 Media and Entertainment 41.7 38.0 83.5 74.5 Other 4.2 6.3 9.5 12.3 Total net revenue $ 611.7 $ 501.8 $ 1,171.6 $ 987.5 Net revenue by geographic area: Americas U.S. $ 205.2 $ 184.6 $ 401.1 $ 364.4 Other Americas 42.3 29.4 79.9 59.7 Total Americas 247.5 214.0 481.0 424.1 Europe, Middle East and Africa 248.3 199.3 469.2 389.0 Asia Pacific 115.9 88.5 221.4 174.4 Total net revenue $ 611.7 $ 501.8 $ 1,171.6 $ 987.5 Net revenue by sales channel: Indirect $ 440.2 $ 354.7 $ 838.5 $ 694.8 Direct 171.5 147.1 333.1 292.7 Total net revenue $ 611.7 $ 501.8 $ 1,171.6 $ 987.5 ____________________ (1) Due to changes in the go-to-market offerings of our AutoCAD product subscription, prior period balances have been adjusted to conform to current period presentation. |
Financial Instruments (Tables)
Financial Instruments (Tables) | 6 Months Ended |
Jul. 31, 2018 | |
Investments, All Other Investments [Abstract] | |
Summary of financial instruments' amortized cost, gross unrealized gains, gross unrealized losses, and fair value by significant investment category | The following tables summarize the Company's financial instruments' amortized cost, gross unrealized gains, gross unrealized losses, and fair value by significant investment category as of July 31, 2018 and January 31, 2018 : July 31, 2018 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Level 1 Level 2 Level 3 Cash equivalents (1): Agency bonds $ 5.0 $ — $ — $ 5.0 $ — $ 5.0 $ — Certificates of deposit 11.5 — — 11.5 — 11.5 — Commercial paper 269.5 — — 269.5 — 269.5 — Custody cash deposit 1.7 — — 1.7 1.7 — — Municipal bonds 5.0 — — 5.0 — 5.0 — Money market funds 122.9 — — 122.9 122.9 — — Sovereign debt 5.0 — — 5.0 — 5.0 — U.S. government securities 11.5 — — 11.5 — 11.5 — Marketable securities: Short-term Agency bonds 12.5 — — 12.5 — 12.5 — Asset backed securities 12.1 — — 12.1 — 12.1 — Certificates of deposit 7.7 — — 7.7 — 7.7 — Commercial paper 62.7 — — 62.7 — 62.7 — Corporate debt securities 64.9 — (0.2 ) 64.7 — 64.7 — Municipal bonds 5.0 — — 5.0 — 5.0 — Sovereign debt 6.5 — — 6.5 — 6.5 — U.S. government securities 41.4 — (0.2 ) 41.2 — 41.2 — Short-term trading securities Mutual funds 53.9 8.1 — 62.0 62.0 — — Long-term Agency bonds 12.5 — (0.1 ) 12.4 — 12.4 — Asset backed securities 27.1 — (0.3 ) 26.8 — 26.8 — Corporate debt securities 74.0 0.1 (0.5 ) 73.6 — 73.6 — Municipal bonds 7.7 — (0.1 ) 7.6 — 7.6 — U.S. government securities 5.0 — — 5.0 — 5.0 — Sovereign debt 2.7 — — 2.7 — 2.7 — Convertible debt securities (2) 7.5 1.4 (2.3 ) 6.6 — — 6.6 Derivative contract assets (3) 1.7 12.8 (1.6 ) 12.9 — 12.0 0.9 Derivative contract liabilities (4) — — (6.9 ) (6.9 ) — (6.9 ) — Total $ 837.0 $ 22.4 $ (12.2 ) $ 847.2 $ 186.6 $ 653.1 $ 7.5 ____________________ (1) Included in “ Cash and cash equivalents ” in the accompanying Condensed Consolidated Balance Sheets. (2) Included in “ Other assets ” in the accompanying Condensed Consolidated Balance Sheets. (3) Included in “ Prepaid expenses and other current assets ” or “ Other assets ” in the accompanying Condensed Consolidated Balance Sheets. (4) Included in “ Other accrued liabilities ” in the accompanying Condensed Consolidated Balance Sheets. January 31, 2018 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Level 1 Level 2 Level 3 Cash equivalents (1): Agency bonds $ 5.0 $ — $ — $ 5.0 $ 5.0 $ — $ — Certificates of deposit 17.4 — — 17.4 17.4 — — Commercial paper 324.2 — — 324.2 — 324.2 — Corporate debt securities 5.0 — — 5.0 5.0 — — Custody cash deposit 5.2 — — 5.2 5.2 — — Money market funds 278.8 — — 278.8 — 278.8 — Municipal bonds 5.0 — — 5.0 5.0 — — Sovereign debt 2.0 — — 2.0 — 2.0 — Marketable securities: Short-term Asset backed securities 13.1 — — 13.1 — 13.1 — Commercial paper 27.5 — — 27.5 — 27.5 — Corporate debt securities 99.4 — (0.1 ) 99.3 99.3 — — Other (2) 9.2 — — 9.2 7.7 1.5 — U.S. government securities 37.1 — — 37.1 37.1 — — Short-term trading securities Mutual funds 50.1 8.9 — 59.0 59.0 — — Long-term Agency bonds 13.7 — (0.1 ) 13.6 13.6 — — Asset backed securities 36.8 — (0.2 ) 36.6 — 36.6 — Corporate debt securities 100.2 0.1 (0.4 ) 99.9 99.9 — — Municipal bonds 12.7 — (0.1 ) 12.6 12.6 — — Sovereign debt 2.8 — — 2.8 — 2.8 — U.S. government securities 25.5 — (0.2 ) 25.3 25.3 — — Convertible debt securities (3) 7.5 0.5 (0.2 ) 7.8 — — 7.8 Derivative contract assets (4) 2.0 7.5 (1.3 ) 8.2 — 7.2 1.0 Derivative contract liabilities (5) — — (26.6 ) (26.6 ) — (26.6 ) — Total $ 1,080.2 $ 17.0 $ (29.2 ) $ 1,068.0 $ 392.1 $ 667.1 $ 8.8 ____________________ (1) Included in “ Cash and cash equivalents ” in the accompanying Condensed Consolidated Balance Sheets. (2) Consists of agency bonds, certificates of deposit, sovereign debt, and municipal bonds. (3) Included in “ Other assets ” in the accompanying Condensed Consolidated Balance Sheets. (4) Included in “ Prepaid expenses and other current assets ,” “ Other assets ,” or “ Other accrued liabilities ” in the accompanying Condensed Consolidated Balance Sheets. (5) Included in “ Other accrued liabilities |
Reconciliation of the change in Autodesk’s Level 3 items | A reconciliation of the change in Autodesk’s Level 3 items for the six months ended July 31, 2018 follows: Fair Value Measurements Using Significant Unobservable Inputs (Level 3) Derivative Contracts Convertible Debt Securities Total Balances, January 31, 2018 $ 1.0 $ 7.8 $ 8.8 Purchases — — — Loss included in earnings (0.1 ) — (0.1 ) Loss included in OCI — (1.2 ) (1.2 ) Balances, July 31, 2018 $ 0.9 $ 6.6 $ 7.5 |
Securities classified by contractual maturity | The following table summarizes the estimated fair value of Autodesk's securities classified by the contractual maturity date of the security: July 31, 2018 Cost Fair Value Due within 1 year $ 220.3 $ 219.0 Due in 1 year through 5 years 124.3 123.4 Due in 5 years through 10 years 3.7 3.7 Due after 10 years 1.0 1.0 Total $ 349.3 $ 347.1 |
Schedule of fair values of derivative instruments | The fair values of derivative instruments in Autodesk’s Condensed Consolidated Balance Sheets were as follows as of July 31, 2018 and January 31, 2018 : Balance Sheet Location Fair Value at July 31, 2018 January 31, 2018 Derivative Assets Foreign currency contracts designated as cash flow hedges Prepaid expenses and other current assets $ 10.4 $ 6.2 Derivatives not designated as hedging instruments Prepaid expenses and other current assets and Other assets 2.5 2.0 Total derivative assets $ 12.9 $ 8.2 Derivative Liabilities Foreign currency contracts designated as cash flow hedges Other accrued liabilities $ 4.6 $ 18.7 Derivatives not designated as hedging instruments Other accrued liabilities 2.3 7.9 Total derivative liabilities $ 6.9 $ 26.6 |
The effects of derivatives designated as hedging instruments | The effects of derivatives designated as hedging instruments on Autodesk’s Condensed Consolidated Statements of Operations were as follows for the three and six months ended July 31, 2018 and 2017 (amounts presented include any income tax effects): Foreign Currency Contracts Three Months Ended July 31, Six Months Ended July 31, 2018 2017 2018 2017 Am ount of gain (loss) recognized in accumulated other comprehensive loss on derivatives (effective portion) $ 6.4 $ (9.3 ) $ 13.3 $ (11.4 ) Amount and location of (loss) gain reclassified from accumulated other comprehensive loss into (loss) income (effective portion) Net revenue $ (3.5 ) $ 2.8 $ (6.0 ) $ 4.8 Operating expenses (1.6 ) (0.5 ) 1.7 (3.2 ) Total $ (5.1 ) $ 2.3 $ (4.3 ) $ 1.6 Amount and location of gain (loss) recognized in (loss) income on derivatives (ineffective portion and amount excluded from effectiveness testing) Interest and other income (expense), net $ 0.7 $ 0.1 $ 0.5 $ (0.1 ) The effects of derivatives not designated as hedging instruments on Autodesk’s Condensed Consolidated Statements of Operations were as follows for the three and six months ended July 31, 2018 and 2017 (amounts presented include any income tax effects): Three Months Ended July 31, Six Months Ended July 31, 2018 2017 2018 2017 Amount and location of gain (loss) recognized on derivatives in net (loss) Interest and other income (expense), net $ 1.4 $ (6.5 ) $ 6.0 $ (8.3 ) |
Stock-based Compensation Expe30
Stock-based Compensation Expense (Tables) | 6 Months Ended |
Jul. 31, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of summary of restricted stock activity | A summary of restricted stock activity for the six months ended July 31, 2018 , is as follows: Unvested Restricted Stock Units Weighted average grant date fair value per share (in thousands) Unvested restricted stock units at January 31, 2018 5,670.7 $ 82.94 Granted 476.7 142.47 Vested (989.6 ) 79.10 Canceled/Forfeited (411.0 ) 85.49 Performance Adjustment (1) 29.9 96.04 Unvested restricted stock units at July 31, 2018 4,776.7 $ 90.34 _______________ (1) Based on Autodesk's financial results and relative total stockholder return for the fiscal 2018 performance period. The performance stock units were attained at rates ranging from 90.0% to 117.6% of the target award. |
Schedule of summary of the ESPP activity | A summary of the ESPP activity for the six months ended July 31, 2018 and 2017 , is as follows: Six Months Ended July 31, 2018 2017 Issued shares 0.5 1.1 Average price of issued shares $ 88.45 $ 38.34 Weighted average grant date fair value of awards granted under the ESPP (1) $ 37.64 $ 25.13 _______________ (1) |
Schedule of stock-based compensation expense | The following table summarizes stock-based compensation expense for the three and six months ended July 31, 2018 and 2017 , respectively, as follows: Three Months Ended July 31, Six Months Ended July 31, 2018 2017 2018 2017 Cost of subscription and maintenance revenue $ 3.1 $ 2.9 $ 5.8 $ 5.7 Cost of other revenue 0.9 1.0 1.7 2.1 Marketing and sales 25.9 26.0 49.9 52.4 Research and development 18.7 20.4 36.5 41.6 General and administrative 8.3 17.3 17.4 32.6 Stock-based compensation expense related to stock awards and ESPP purchases 56.9 67.6 111.3 134.4 Tax benefit (0.2 ) (0.3 ) (0.6 ) (0.3 ) Stock-based compensation expense related to stock awards and ESPP purchases, net of tax $ 56.7 $ 67.3 $ 110.7 $ 134.1 |
Schedule of assumptions to estimate the fair value of stock-based awards | Autodesk uses the following assumptions to estimate the fair value of stock-based awards: Three Months Ended July 31, 2018 Three Months Ended July 31, 2017 Performance Stock Unit ESPP Performance Stock Unit ESPP Range of expected volatilities —% N/A 31.8% N/A Range of expected lives (in years) N/A N/A N/A N/A Expected dividends —% N/A —% N/A Range of risk-free interest rates —% N/A 1.2% N/A Six Months Ended July 31, 2018 Six Months Ended July 31, 2017 Performance Stock Unit ESPP Performance Stock Unit ESPP Range of expected volatilities 35.7% 33.5 - 37.5% 31.8% 31.4 - 33.7% Range of expected lives (in years) N/A 0.5 - 2.0 N/A 0.5 - 2.0 Expected dividends —% —% —% —% Range of risk-free interest rates 2.0% 1.9 - 2.3% 1.0 - 1.2% 0.9 - 1.3% |
Acquisitions (Tables)
Acquisitions (Tables) | 6 Months Ended |
Jul. 31, 2018 | |
Business Combinations [Abstract] | |
Schedule of fair value of the assets acquired and liabilities assumed | The following table summarizes the fair value of the assets acquired and liabilities assumed by major class for the Assemble business combination that was completed during the six months ended July 31, 2018 : July 31, 2018 Developed technologies $ 4.4 Customer relationships and other non-current intangible assets 12.0 Trade name 2.8 Goodwill 71.9 Deferred revenue (current and non-current) (1.7 ) Net tangible assets 4.2 Total $ 93.6 |
Other Intangible Assets, Net (T
Other Intangible Assets, Net (Tables) | 6 Months Ended |
Jul. 31, 2018 | |
Finite-Lived Intangible Assets, Net [Abstract] | |
Schedule of finite-lived intangible assets | Other intangible assets including developed technologies, customer relationships, trade names, patents, user lists and the related accumulated amortization were as follows: July 31, 2018 January 31, 2018 Developed technologies, at cost $ 580.0 $ 578.5 Customer relationships, trade names, patents, and user lists, at cost (1) 381.7 372.5 Other intangible assets, at cost (2) 961.7 951.0 Less: Accumulated amortization (903.8 ) (895.8 ) Other intangible assets, net $ 57.9 $ 55.2 _______________ (1) Included in “Other assets” in the accompanying Condensed Consolidated Balance Sheets. (2) Includes the effects of foreign currency translation. |
Goodwill (Tables)
Goodwill (Tables) | 6 Months Ended |
Jul. 31, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of goodwill | The following table summarizes the changes in the carrying amount of goodwill for the six months ended July 31, 2018 : Balance as of January 31, 2018 $ 1,769.4 Less: accumulated impairment losses as of January 31, 2018 (149.2 ) Net balance as of January 31, 2018 1,620.2 Additions arising from acquisitions during the period 71.9 Effect of foreign currency translation (33.4 ) Balance as of July 31, 2018 $ 1,658.7 |
Computer Equipment, Software,34
Computer Equipment, Software, Furniture and Leasehold Improvements, Net (Tables) | 6 Months Ended |
Jul. 31, 2018 | |
Property, Plant and Equipment [Abstract] | |
Computer equipment, software, furniture, leasehold improvements and the related accumulated depreciation | Computer equipment, software, furniture, leasehold improvements and the related accumulated depreciation were as follows: July 31, 2018 January 31, 2018 Computer hardware, at cost $ 213.9 $ 217.1 Computer software, at cost 74.6 72.6 Leasehold improvements, land and buildings, at cost 235.9 228.9 Furniture and equipment, at cost 64.0 63.4 588.4 582.0 Less: Accumulated depreciation (441.6 ) (437.0 ) Computer software, hardware, leasehold improvements, furniture and equipment, net $ 146.8 $ 145.0 |
Restructuring and other exit 35
Restructuring and other exit costs, net (Tables) | 6 Months Ended |
Jul. 31, 2018 | |
Restructuring and Related Activities [Abstract] | |
Schedule of restructuring charges and other lease termination exit costs | The following table sets forth the restructuring charges and other lease termination exit costs during the six months ended July 31, 2018 : Balances, January 31, 2018 Additions Payments Adjustments (1) Balances, July 31, 2018 Fiscal 2018 Plan Employee termination costs $ 53.0 $ 33.5 $ (66.3 ) $ (0.7 ) $ 19.5 Lease termination and other exit costs 2.5 2.8 (3.7 ) 0.4 2.0 Total $ 55.5 $ 36.3 $ (70.0 ) $ (0.3 ) $ 21.5 Current portion (2) $ 55.5 $ 21.5 Total $ 55.5 $ 21.5 ____________________ (1) Adjustments primarily relate to the impact of foreign exchange rate changes and certain write offs related to fixed assets. (2) The current portion of the reserve are recorded in the Condensed Consolidated Balance Sheets under “ Other accrued liabilities ." There was no non-current portion as of July 31, 2018 . |
Accumulated Other Comprehensi36
Accumulated Other Comprehensive Loss (Tables) | 6 Months Ended |
Jul. 31, 2018 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Schedule of Accumulated other comprehensive loss, net of taxes | Accumulated other comprehensive loss , net of taxes, consisted of the following at July 31, 2018 : Net Unrealized Gains (Losses) on Derivative Instruments Net Unrealized Gains (Losses) on Available-for-Sale Debt Securities Defined Benefit Pension Components Foreign Currency Translation Adjustments Total Balances, January 31, 2018 $ (16.6 ) $ 1.3 $ (29.3 ) $ (79.2 ) $ (123.8 ) Other comprehensive income (loss) before reclassifications 15.1 (0.7 ) 11.3 (54.5 ) (28.8 ) Pre-tax losses reclassified from accumulated other comprehensive loss 4.3 — 0.2 — 4.5 Tax effects (1.8 ) — (1.5 ) 0.5 (2.8 ) Net current period other comprehensive income (loss) 17.6 (0.7 ) 10.0 (54.0 ) (27.1 ) Balances, July 31, 2018 $ 1.0 $ 0.6 $ (19.3 ) $ (133.2 ) $ (150.9 ) |
Net Loss Per Share (Tables)
Net Loss Per Share (Tables) | 6 Months Ended |
Jul. 31, 2018 | |
Earnings Per Share [Abstract] | |
Schedule of computation of the numerators and denominators used in the basic and diluted net loss per share amounts | The following table sets forth the computation of the numerators and denominators used in the basic and diluted net loss per share amounts: Three Months Ended July 31, Six Months Ended July 31, 2018 2017 2018 2017 Numerator: Net loss $ (39.4 ) $ (144.0 ) $ (121.8 ) $ (273.6 ) Denominator: Denominator for basic net loss per share—weighted average shares 219.0 219.5 218.8 219.7 Effect of dilutive securities (1) — — — — Denominator for dilutive net loss per share 219.0 219.5 218.8 219.7 Basic net loss per share $ (0.18 ) $ (0.66 ) $ (0.56 ) $ (1.25 ) Diluted net loss per share $ (0.18 ) $ (0.66 ) $ (0.56 ) $ (1.25 ) ____________________ (1) The effect of dilutive securities of 3.2 million and 4.8 million shares in the three months ended July 31, 2018 and 2017 , respectively, have been excluded from the calculation of diluted net loss per share as those shares would have been anti-dilutive due to the net loss incurred during those periods. The effect of dilutive securities of 3.3 million and 4.7 million shares in the six months ended July 31, 2018 and 2017 , respectively, has been excluded from the calculation of diluted net loss per share as those shares would have been anti-dilutive due to the net loss incurred during those periods. |
Recently Issued Accounting St38
Recently Issued Accounting Standards (Narrative) (Details) - USD ($) $ in Millions | Feb. 01, 2018 | Jul. 31, 2018 | Jul. 31, 2017 | Jul. 31, 2018 | Jul. 31, 2017 | Jan. 31, 2018 |
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||||
Net revenue | $ 611.7 | $ 501.8 | $ 1,171.6 | $ 987.5 | ||
Capitalized contract cost | 82.5 | 82.5 | ||||
Accumulated deficit | (2,103.2) | (2,103.2) | $ (2,084.9) | |||
Accounting Standards Update 2014-09 | Impact from the adoption of ASC 606 and 340-40 | ||||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||||
Net revenue | $ (89) | |||||
Capitalized contract cost | 90.4 | |||||
Accumulated deficit | $ 179.4 | $ (144.7) | $ (144.7) | |||
Retained Earnings | Accounting Standards Update 2016-16 | ||||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||||
Cumulative increase to accumulated deficit | $ 1.9 |
Recently Issued Accounting St39
Recently Issued Accounting Standards (Adoption of New Accounting Standard - Income Statement) (Details) - USD ($) $ / shares in Units, $ in Millions | Feb. 01, 2018 | Jul. 31, 2018 | Jul. 31, 2017 | Jul. 31, 2018 | Jul. 31, 2017 | |
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||
Net revenue | $ 611.7 | $ 501.8 | $ 1,171.6 | $ 987.5 | ||
Marketing and sales | 289.1 | 257.6 | 565.5 | 513.3 | ||
Provision for income taxes | (16) | (17.6) | (34.6) | (25.8) | ||
Net loss | $ (39.4) | $ (144) | $ (121.8) | $ (273.6) | ||
Basic net loss per share (in usd per share) | $ (0.18) | $ (0.66) | $ (0.56) | $ (1.25) | ||
Diluted net loss per share (in usd per share) | $ (0.18) | $ (0.66) | $ (0.56) | $ (1.25) | ||
As Adjusted | ||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||
Marketing and sales | $ 278.3 | $ 541.1 | ||||
Provision for income taxes | (12.9) | (36.1) | ||||
Net loss | $ (27.1) | $ (87.1) | ||||
Basic net loss per share (in usd per share) | $ (0.12) | $ (0.40) | ||||
Diluted net loss per share (in usd per share) | $ (0.12) | $ (0.40) | ||||
Accounting Standards Update 2014-09 | Impact from the adoption of ASC 606 and 340-40 | ||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||
Net revenue | $ (89) | |||||
Marketing and sales | $ (10.8) | $ (24.4) | ||||
Provision for income taxes | (3.1) | 1.5 | ||||
Net loss | $ 12.3 | $ 34.7 | ||||
Basic net loss per share (in usd per share) | $ 0.06 | $ 0.16 | ||||
Diluted net loss per share (in usd per share) | $ 0.06 | $ 0.16 | ||||
Maintenance and subscription | ||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||
Net revenue | $ 587 | $ 457.9 | $ 1,118.6 | $ 894.9 | ||
Cost of revenue | 54.1 | 52.8 | 104.5 | 107.7 | ||
Maintenance and subscription | As Adjusted | ||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||
Cost of revenue | 54.1 | 104.4 | ||||
Maintenance and subscription | Accounting Standards Update 2014-09 | Impact from the adoption of ASC 606 and 340-40 | ||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||
Cost of revenue | 0 | (0.1) | ||||
Subscription | ||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||
Net revenue | 420.6 | 196.1 | 771 | 369.5 | ||
Subscription | As Adjusted | ||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||
Net revenue | 416 | 772.7 | ||||
Subscription | Accounting Standards Update 2014-09 | Impact from the adoption of ASC 606 and 340-40 | ||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||
Net revenue | (4.6) | 1.7 | ||||
Maintenance | ||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||
Net revenue | 166.4 | 261.8 | 347.6 | 525.4 | ||
Maintenance | As Adjusted | ||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||
Net revenue | 165.3 | 351.9 | ||||
Maintenance | Accounting Standards Update 2014-09 | Impact from the adoption of ASC 606 and 340-40 | ||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||
Net revenue | (1.1) | 4.3 | ||||
Other | ||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||
Net revenue | [1] | 24.7 | 43.9 | 53 | 92.6 | |
Cost of revenue | [2] | 12.3 | $ 17.8 | 25.1 | $ 36.4 | |
Other | As Adjusted | ||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||
Net revenue | 29.2 | 59.4 | ||||
Cost of revenue | 12.7 | 25.8 | ||||
Other | Accounting Standards Update 2014-09 | Impact from the adoption of ASC 606 and 340-40 | ||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||
Net revenue | 4.5 | 6.4 | ||||
Cost of revenue | $ 0.4 | $ 0.7 | ||||
[1] | Previously labeled as "License and other" in prior periods. | |||||
[2] | Previously labeled as "Cost of license and other revenue" in prior periods. |
Recently Issued Accounting St40
Recently Issued Accounting Standards (Adoption of New Accounting Standard - Balance Sheet) (Details) - USD ($) $ in Millions | Jul. 31, 2018 | Feb. 01, 2018 | Jan. 31, 2018 |
Current assets: | |||
Accounts receivable, net | $ 234.4 | $ 438.2 | |
Prepaid expenses and other current assets | 194.6 | 116.5 | |
Deferred income taxes, net | 81.5 | 81.7 | |
Other assets | 195.4 | 170.9 | |
Current liabilities: | |||
Accrued income taxes | 38.8 | 28 | |
Deferred revenue | 1,491.5 | 1,551.6 | |
Other accrued liabilities | 139.4 | 198 | |
Long-term deferred revenue | 308 | 403.5 | |
Long-term income taxes payable | 41.5 | 41.6 | |
Long-term deferred income taxes | 88.2 | 66.6 | |
Accumulated deficit | (2,103.2) | $ (2,084.9) | |
Impact from the adoption of ASC 606 and 340-40 | Accounting Standards Update 2014-09 | |||
Current assets: | |||
Accounts receivable, net | 53 | ||
Prepaid expenses and other current assets | (70.1) | ||
Deferred income taxes, net | 11 | ||
Other assets | (18) | ||
Current liabilities: | |||
Accrued income taxes | (1.4) | ||
Deferred revenue | 99.1 | ||
Other accrued liabilities | 2.4 | ||
Long-term deferred revenue | 25.3 | ||
Long-term income taxes payable | (0.2) | ||
Long-term deferred income taxes | (4.6) | ||
Accumulated deficit | (144.7) | $ 179.4 | |
As Adjusted | |||
Current assets: | |||
Accounts receivable, net | 287.4 | ||
Prepaid expenses and other current assets | 124.5 | ||
Deferred income taxes, net | 92.5 | ||
Other assets | 177.4 | ||
Current liabilities: | |||
Accrued income taxes | 37.4 | ||
Deferred revenue | 1,590.6 | ||
Other accrued liabilities | 141.8 | ||
Long-term deferred revenue | 333.3 | ||
Long-term income taxes payable | 41.3 | ||
Long-term deferred income taxes | 83.6 | ||
Accumulated deficit | $ (2,247.9) |
Revenue Recognition (Contract R
Revenue Recognition (Contract Revenue) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2018 | Jul. 31, 2017 | Jul. 31, 2018 | Jul. 31, 2017 | |
Disaggregation of Revenue [Line Items] | ||||
Net revenue | $ 611.7 | $ 501.8 | $ 1,171.6 | $ 987.5 |
Contract with customer, liability, revenue recognized | 922.5 | |||
Indirect | ||||
Disaggregation of Revenue [Line Items] | ||||
Net revenue | 440.2 | 354.7 | 838.5 | 694.8 |
Direct | ||||
Disaggregation of Revenue [Line Items] | ||||
Net revenue | 171.5 | 147.1 | 333.1 | 292.7 |
Americas | ||||
Disaggregation of Revenue [Line Items] | ||||
Net revenue | 247.5 | 214 | 481 | 424.1 |
U.S. | ||||
Disaggregation of Revenue [Line Items] | ||||
Net revenue | 205.2 | 184.6 | 401.1 | 364.4 |
Other Americas | ||||
Disaggregation of Revenue [Line Items] | ||||
Net revenue | 42.3 | 29.4 | 79.9 | 59.7 |
Europe, Middle East and Africa | ||||
Disaggregation of Revenue [Line Items] | ||||
Net revenue | 248.3 | 199.3 | 469.2 | 389 |
Asia Pacific | ||||
Disaggregation of Revenue [Line Items] | ||||
Net revenue | 115.9 | 88.5 | 221.4 | 174.4 |
Architecture, Engineering and Construction | ||||
Disaggregation of Revenue [Line Items] | ||||
Net revenue | 243.1 | 189.6 | 464.9 | 375.5 |
Manufacturing | ||||
Disaggregation of Revenue [Line Items] | ||||
Net revenue | 146.1 | 132.3 | 281.5 | 260.6 |
AutoCAD and AutoCAD LT | ||||
Disaggregation of Revenue [Line Items] | ||||
Net revenue | 176.6 | 135.6 | 332.2 | 264.6 |
Media and Entertainment | ||||
Disaggregation of Revenue [Line Items] | ||||
Net revenue | 41.7 | 38 | 83.5 | 74.5 |
Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Net revenue | $ 4.2 | $ 6.3 | $ 9.5 | $ 12.3 |
Revenue Recognition (Narrative)
Revenue Recognition (Narrative) (Details) $ in Billions | Jul. 31, 2018USD ($) |
Revenue from Contract with Customer [Abstract] | |
Remaining performance obligation | $ 2.2 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2018-08-01 | |
Revenue from Contract with Customer [Abstract] | |
Remaining performance obligation | $ 1.6 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining performance obligation percentage | 74.00% |
Performance obligation, expected timing of satisfaction | 12 months |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2019-08-01 | |
Revenue from Contract with Customer [Abstract] | |
Remaining performance obligation | $ 0.6 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining performance obligation percentage | 26.00% |
Performance obligation, expected timing of satisfaction |
Concentration of Credit Risk (A
Concentration of Credit Risk (Additional Information) (Details) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jul. 31, 2018 | Jul. 31, 2017 | Jul. 31, 2018 | Jul. 31, 2017 | Jan. 31, 2018 | |
Concentration Risk [Line Items] | |||||
Unsecured revolving credit facility | $ 400,000,000 | $ 400,000,000 | |||
Tech Data | Net Revenue | |||||
Concentration Risk [Line Items] | |||||
Concentration risk | 35.00% | 31.00% | 35.00% | 30.00% | |
Tech Data | Accounts Receivable | |||||
Concentration Risk [Line Items] | |||||
Concentration risk | 32.00% | 31.00% |
Financial Instruments (Cost and
Financial Instruments (Cost and Fair Value of Financial Instruments) (Details) - USD ($) $ in Millions | Jul. 31, 2018 | Jan. 31, 2018 | Jul. 31, 2017 | Jan. 31, 2017 |
Cash equivalents | ||||
Amortized Cost | $ 895.4 | $ 1,078 | $ 1,174.1 | $ 1,213.1 |
Marketable securities: | ||||
Amortized Cost | 349.3 | |||
Short-term trading securities | ||||
Derivative contract assets, Amortized Cost | 1.7 | 2 | ||
Derivative contract assets, Gross unrealized gains | 12.8 | 7.5 | ||
Derivative contract assets, Gross unrealized losses | (1.6) | (1.3) | ||
Derivative contract assets | 12.9 | 8.2 | ||
Derivative contract liabilities, Amortized Cost | 0 | 0 | ||
Derivative contract liabilities, Gross unrealized gains | 0 | 0 | ||
Derivative contract liabilities, Gross unrealized losses | (6.9) | (26.6) | ||
Derivative contract liabilities | (6.9) | (26.6) | ||
Amortized Cost | 837 | 1,080.2 | ||
Gross unrealized gains | 22.4 | 17 | ||
Gross unrealized losses | (12.2) | (29.2) | ||
Fair Value | 847.2 | 1,068 | ||
Other Assets | ||||
Short-term trading securities | ||||
Convertible debt securities, Amortized Cost | 7.5 | 7.5 | ||
Convertible debt securities, Gross unrealized gains | 1.4 | 0.5 | ||
Convertible debt securities, Gross unrealized losses | (2.3) | (0.2) | ||
Convertible debt securities, Fair Value | 6.6 | 7.8 | ||
Level 1 | ||||
Short-term trading securities | ||||
Derivative contract assets | 0 | 0 | ||
Derivative contract liabilities | 0 | 0 | ||
Fair Value | 186.6 | 392.1 | ||
Level 1 | Other Assets | ||||
Short-term trading securities | ||||
Convertible debt securities, Fair Value | 0 | 0 | ||
Level 2 | ||||
Short-term trading securities | ||||
Derivative contract assets | 12 | 7.2 | ||
Derivative contract liabilities | (6.9) | (26.6) | ||
Fair Value | 653.1 | 667.1 | ||
Level 2 | Other Assets | ||||
Short-term trading securities | ||||
Convertible debt securities, Fair Value | 0 | 0 | ||
Level 3 | ||||
Short-term trading securities | ||||
Derivative contract assets | 0.9 | 1 | ||
Derivative contract liabilities | 0 | 0 | ||
Fair Value | 7.5 | 8.8 | ||
Level 3 | Other Assets | ||||
Short-term trading securities | ||||
Convertible debt securities, Fair Value | 6.6 | 7.8 | ||
Agency bonds | ||||
Cash equivalents | ||||
Amortized Cost | 5 | 5 | ||
Fair Value | 5 | 5 | ||
Agency bonds | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Amortized Cost | 12.5 | |||
Gross Unrealized Gains | 0 | |||
Gross Unrealized Losses | 0 | |||
Fair Value | 12.5 | |||
Agency bonds | Marketable Securities, Long-term | ||||
Marketable securities: | ||||
Amortized Cost | 12.5 | 13.7 | ||
Gross Unrealized Gains | 0 | 0 | ||
Gross Unrealized Losses | (0.1) | (0.1) | ||
Fair Value | 12.4 | 13.6 | ||
Agency bonds | Level 1 | ||||
Cash equivalents | ||||
Fair Value | 0 | 5 | ||
Agency bonds | Level 1 | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Fair Value | 0 | |||
Agency bonds | Level 1 | Marketable Securities, Long-term | ||||
Marketable securities: | ||||
Fair Value | 0 | 13.6 | ||
Agency bonds | Level 2 | ||||
Cash equivalents | ||||
Fair Value | 5 | 0 | ||
Agency bonds | Level 2 | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Fair Value | 12.5 | |||
Agency bonds | Level 2 | Marketable Securities, Long-term | ||||
Marketable securities: | ||||
Fair Value | 12.4 | 0 | ||
Agency bonds | Level 3 | ||||
Cash equivalents | ||||
Fair Value | 0 | 0 | ||
Agency bonds | Level 3 | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Fair Value | 0 | |||
Agency bonds | Level 3 | Marketable Securities, Long-term | ||||
Marketable securities: | ||||
Fair Value | 0 | 0 | ||
Asset backed securities | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Amortized Cost | 12.1 | 13.1 | ||
Gross Unrealized Gains | 0 | 0 | ||
Gross Unrealized Losses | 0 | 0 | ||
Fair Value | 12.1 | 13.1 | ||
Asset backed securities | Marketable Securities, Long-term | ||||
Marketable securities: | ||||
Amortized Cost | 27.1 | 36.8 | ||
Gross Unrealized Gains | 0 | 0 | ||
Gross Unrealized Losses | (0.3) | (0.2) | ||
Fair Value | 26.8 | 36.6 | ||
Asset backed securities | Level 1 | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Fair Value | 0 | 0 | ||
Asset backed securities | Level 1 | Marketable Securities, Long-term | ||||
Marketable securities: | ||||
Fair Value | 0 | 0 | ||
Asset backed securities | Level 2 | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Fair Value | 12.1 | 13.1 | ||
Asset backed securities | Level 2 | Marketable Securities, Long-term | ||||
Marketable securities: | ||||
Fair Value | 26.8 | 36.6 | ||
Asset backed securities | Level 3 | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Fair Value | 0 | 0 | ||
Asset backed securities | Level 3 | Marketable Securities, Long-term | ||||
Marketable securities: | ||||
Fair Value | 0 | 0 | ||
Certificates of deposit | ||||
Cash equivalents | ||||
Amortized Cost | 11.5 | 17.4 | ||
Fair Value | 11.5 | 17.4 | ||
Certificates of deposit | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Amortized Cost | 7.7 | |||
Gross Unrealized Gains | 0 | |||
Gross Unrealized Losses | 0 | |||
Fair Value | 7.7 | |||
Certificates of deposit | Level 1 | ||||
Cash equivalents | ||||
Fair Value | 0 | 17.4 | ||
Certificates of deposit | Level 1 | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Fair Value | 0 | |||
Certificates of deposit | Level 2 | ||||
Cash equivalents | ||||
Fair Value | 11.5 | 0 | ||
Certificates of deposit | Level 2 | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Fair Value | 7.7 | |||
Certificates of deposit | Level 3 | ||||
Cash equivalents | ||||
Fair Value | 0 | 0 | ||
Certificates of deposit | Level 3 | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Fair Value | 0 | |||
Commercial paper | ||||
Cash equivalents | ||||
Amortized Cost | 269.5 | 324.2 | ||
Fair Value | 269.5 | 324.2 | ||
Commercial paper | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Amortized Cost | 62.7 | 27.5 | ||
Gross Unrealized Gains | 0 | 0 | ||
Gross Unrealized Losses | 0 | 0 | ||
Fair Value | 62.7 | 27.5 | ||
Commercial paper | Level 1 | ||||
Cash equivalents | ||||
Fair Value | 0 | 0 | ||
Commercial paper | Level 1 | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Fair Value | 0 | 0 | ||
Commercial paper | Level 2 | ||||
Cash equivalents | ||||
Fair Value | 269.5 | 324.2 | ||
Commercial paper | Level 2 | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Fair Value | 62.7 | 27.5 | ||
Commercial paper | Level 3 | ||||
Cash equivalents | ||||
Fair Value | 0 | 0 | ||
Commercial paper | Level 3 | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Fair Value | 0 | 0 | ||
Corporate debt securities | ||||
Cash equivalents | ||||
Amortized Cost | 5 | |||
Fair Value | 5 | |||
Corporate debt securities | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Amortized Cost | 64.9 | 99.4 | ||
Gross Unrealized Gains | 0 | 0 | ||
Gross Unrealized Losses | (0.2) | (0.1) | ||
Fair Value | 64.7 | 99.3 | ||
Corporate debt securities | Marketable Securities, Long-term | ||||
Marketable securities: | ||||
Amortized Cost | 74 | 100.2 | ||
Gross Unrealized Gains | 0.1 | 0.1 | ||
Gross Unrealized Losses | (0.5) | (0.4) | ||
Fair Value | 73.6 | 99.9 | ||
Corporate debt securities | Level 1 | ||||
Cash equivalents | ||||
Fair Value | 5 | |||
Corporate debt securities | Level 1 | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Fair Value | 0 | 99.3 | ||
Corporate debt securities | Level 1 | Marketable Securities, Long-term | ||||
Marketable securities: | ||||
Fair Value | 0 | 99.9 | ||
Corporate debt securities | Level 2 | ||||
Cash equivalents | ||||
Fair Value | 0 | |||
Corporate debt securities | Level 2 | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Fair Value | 64.7 | 0 | ||
Corporate debt securities | Level 2 | Marketable Securities, Long-term | ||||
Marketable securities: | ||||
Fair Value | 73.6 | 0 | ||
Corporate debt securities | Level 3 | ||||
Cash equivalents | ||||
Fair Value | 0 | |||
Corporate debt securities | Level 3 | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Fair Value | 0 | 0 | ||
Corporate debt securities | Level 3 | Marketable Securities, Long-term | ||||
Marketable securities: | ||||
Fair Value | 0 | 0 | ||
Custody cash deposit | ||||
Cash equivalents | ||||
Amortized Cost | 1.7 | 5.2 | ||
Fair Value | 1.7 | 5.2 | ||
Custody cash deposit | Level 1 | ||||
Cash equivalents | ||||
Fair Value | 1.7 | 5.2 | ||
Custody cash deposit | Level 2 | ||||
Cash equivalents | ||||
Fair Value | 0 | 0 | ||
Custody cash deposit | Level 3 | ||||
Cash equivalents | ||||
Fair Value | 0 | 0 | ||
Municipal bonds | ||||
Cash equivalents | ||||
Amortized Cost | 5 | 5 | ||
Fair Value | 5 | 5 | ||
Municipal bonds | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Amortized Cost | 5 | 9.2 | ||
Gross Unrealized Gains | 0 | 0 | ||
Gross Unrealized Losses | 0 | 0 | ||
Fair Value | 5 | 9.2 | ||
Municipal bonds | Marketable Securities, Long-term | ||||
Marketable securities: | ||||
Amortized Cost | 7.7 | 12.7 | ||
Gross Unrealized Gains | 0 | 0 | ||
Gross Unrealized Losses | (0.1) | (0.1) | ||
Fair Value | 7.6 | 12.6 | ||
Municipal bonds | Level 1 | ||||
Cash equivalents | ||||
Fair Value | 0 | 5 | ||
Municipal bonds | Level 1 | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Fair Value | 0 | 7.7 | ||
Municipal bonds | Level 1 | Marketable Securities, Long-term | ||||
Marketable securities: | ||||
Fair Value | 0 | 12.6 | ||
Municipal bonds | Level 2 | ||||
Cash equivalents | ||||
Fair Value | 5 | 0 | ||
Municipal bonds | Level 2 | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Fair Value | 5 | 1.5 | ||
Municipal bonds | Level 2 | Marketable Securities, Long-term | ||||
Marketable securities: | ||||
Fair Value | 7.6 | 0 | ||
Municipal bonds | Level 3 | ||||
Cash equivalents | ||||
Fair Value | 0 | 0 | ||
Municipal bonds | Level 3 | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Fair Value | 0 | 0 | ||
Municipal bonds | Level 3 | Marketable Securities, Long-term | ||||
Marketable securities: | ||||
Fair Value | 0 | 0 | ||
Money market funds | ||||
Cash equivalents | ||||
Amortized Cost | 122.9 | 278.8 | ||
Fair Value | 122.9 | 278.8 | ||
Money market funds | Level 1 | ||||
Cash equivalents | ||||
Fair Value | 122.9 | 0 | ||
Money market funds | Level 2 | ||||
Cash equivalents | ||||
Fair Value | 0 | 278.8 | ||
Money market funds | Level 3 | ||||
Cash equivalents | ||||
Fair Value | 0 | 0 | ||
Sovereign debt | ||||
Cash equivalents | ||||
Amortized Cost | 5 | 2 | ||
Fair Value | 5 | 2 | ||
Sovereign debt | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Amortized Cost | 6.5 | |||
Gross Unrealized Gains | 0 | |||
Gross Unrealized Losses | 0 | |||
Fair Value | 6.5 | |||
Sovereign debt | Marketable Securities, Long-term | ||||
Marketable securities: | ||||
Amortized Cost | 2.7 | 2.8 | ||
Gross Unrealized Gains | 0 | 0 | ||
Gross Unrealized Losses | 0 | 0 | ||
Fair Value | 2.7 | 2.8 | ||
Sovereign debt | Level 1 | ||||
Cash equivalents | ||||
Fair Value | 0 | 0 | ||
Sovereign debt | Level 1 | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Fair Value | 0 | |||
Sovereign debt | Level 1 | Marketable Securities, Long-term | ||||
Marketable securities: | ||||
Fair Value | 0 | 0 | ||
Sovereign debt | Level 2 | ||||
Cash equivalents | ||||
Fair Value | 5 | 2 | ||
Sovereign debt | Level 2 | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Fair Value | 6.5 | |||
Sovereign debt | Level 2 | Marketable Securities, Long-term | ||||
Marketable securities: | ||||
Fair Value | 2.7 | 2.8 | ||
Sovereign debt | Level 3 | ||||
Cash equivalents | ||||
Fair Value | 0 | 0 | ||
Sovereign debt | Level 3 | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Fair Value | 0 | |||
Sovereign debt | Level 3 | Marketable Securities, Long-term | ||||
Marketable securities: | ||||
Fair Value | 0 | 0 | ||
U.S. government securities | ||||
Cash equivalents | ||||
Amortized Cost | 11.5 | |||
Fair Value | 11.5 | |||
U.S. government securities | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Amortized Cost | 41.4 | 37.1 | ||
Gross Unrealized Gains | 0 | 0 | ||
Gross Unrealized Losses | (0.2) | 0 | ||
Fair Value | 41.2 | 37.1 | ||
U.S. government securities | Marketable Securities, Long-term | ||||
Marketable securities: | ||||
Amortized Cost | 5 | 25.5 | ||
Gross Unrealized Gains | 0 | 0 | ||
Gross Unrealized Losses | 0 | (0.2) | ||
Fair Value | 5 | 25.3 | ||
U.S. government securities | Level 1 | ||||
Cash equivalents | ||||
Fair Value | 0 | |||
U.S. government securities | Level 1 | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Fair Value | 0 | 37.1 | ||
U.S. government securities | Level 1 | Marketable Securities, Long-term | ||||
Marketable securities: | ||||
Fair Value | 0 | 25.3 | ||
U.S. government securities | Level 2 | ||||
Cash equivalents | ||||
Fair Value | 11.5 | |||
U.S. government securities | Level 2 | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Fair Value | 41.2 | 0 | ||
U.S. government securities | Level 2 | Marketable Securities, Long-term | ||||
Marketable securities: | ||||
Fair Value | 5 | 0 | ||
U.S. government securities | Level 3 | ||||
Cash equivalents | ||||
Fair Value | 0 | |||
U.S. government securities | Level 3 | Marketable Securities, Short-term | ||||
Marketable securities: | ||||
Fair Value | 0 | 0 | ||
U.S. government securities | Level 3 | Marketable Securities, Long-term | ||||
Marketable securities: | ||||
Fair Value | 0 | 0 | ||
Mutual funds | ||||
Short-term trading securities | ||||
Amortized Cost | 53.9 | 50.1 | ||
Gross Unrealized Gains | 8.1 | 8.9 | ||
Gross Unrealized Losses | 0 | 0 | ||
Fair Value | 62 | 59 | ||
Mutual funds | Level 1 | ||||
Short-term trading securities | ||||
Fair Value | 62 | 59 | ||
Mutual funds | Level 2 | ||||
Short-term trading securities | ||||
Fair Value | 0 | 0 | ||
Mutual funds | Level 3 | ||||
Short-term trading securities | ||||
Fair Value | $ 0 | $ 0 |
Financial Instruments (Reconcil
Financial Instruments (Reconciliation of the Change in Level 3 Items) (Details) - Level 3 $ in Millions | 6 Months Ended |
Jul. 31, 2018USD ($) | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |
Balances, January 31, 2018 | $ 8.8 |
Purchases | 0 |
Loss included in earnings | (0.1) |
Loss included in OCI | (1.2) |
Balances, July 31, 2018 | 7.5 |
Derivative Contracts | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |
Balances, January 31, 2018 | 1 |
Purchases | 0 |
Loss included in earnings | (0.1) |
Loss included in OCI | 0 |
Balances, July 31, 2018 | 0.9 |
Convertible Debt Securities | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |
Balances, January 31, 2018 | 7.8 |
Purchases | 0 |
Loss included in earnings | 0 |
Loss included in OCI | (1.2) |
Balances, July 31, 2018 | $ 6.6 |
Financial Instruments (Contract
Financial Instruments (Contractual Maturities of Types of Securities) (Details) $ in Millions | Jul. 31, 2018USD ($) |
Cost | |
Due within 1 year | $ 220.3 |
Due in 1 year through 5 years | 124.3 |
Due in 5 years through 10 years | 3.7 |
Due after 10 years | 1 |
Amortized Cost | 349.3 |
Fair Value | |
Due within 1 year | 219 |
Due in 1 year through 5 years | 123.4 |
Due in 5 years through 10 years | 3.7 |
Due after 10 years | 1 |
Total | $ 347.1 |
Financial Instruments (Narrativ
Financial Instruments (Narrative) (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jul. 31, 2018 | Jul. 31, 2017 | Jul. 31, 2018 | Jul. 31, 2017 | Jan. 31, 2018 | |
Investments, All Other Investments [Abstract] | |||||
Transfer from Level 1 to Level 2 | $ 245,200,000 | $ 245,200,000 | |||
Transfer from Level 2 to Level 1 | 122,900,000 | 122,900,000 | |||
Securities in a continuous unrealized loss position for more than 12 months | 0 | 0 | $ 0 | ||
Gain (loss) from sale or redemption of available for sale securities | 0 | ||||
Proceeds from sale and maturity of marketable securities | 146,600,000 | $ 531,100,000 | |||
Equity securities | 113,100,000 | 113,100,000 | $ 112,300,000 | ||
Positive adjustment on certain of its privately held investments | 6,200,000 | ||||
Other than temporary impairment losses, investments | $ 2,800,000 | $ 3,600,000 | $ 4,800,000 | $ 4,100,000 |
Financial Instruments (Fair Val
Financial Instruments (Fair Value of Derivative Instruments) (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jul. 31, 2018 | Jan. 31, 2018 | |
Derivatives, Fair Value [Line Items] | ||
Net gain expected to be recognized in next 12 months | $ 1 | |
Derivative Assets | 12.9 | $ 8.2 |
Derivative Liabilities | 6.9 | 26.6 |
Designated as hedging instrument | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, notional amount | 639.3 | 619.9 |
Foreign currency contracts | Designated as hedging instrument | Prepaid expenses and other current assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Assets | 10.4 | 6.2 |
Foreign currency contracts | Designated as hedging instrument | Other accrued liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liabilities | 4.6 | 18.7 |
Foreign currency contracts | Derivatives not designated as hedging instruments | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, notional amount | 339 | 329.6 |
Foreign currency contracts | Derivatives not designated as hedging instruments | Prepaid expenses and other current assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Assets | 2.5 | 2 |
Foreign currency contracts | Derivatives not designated as hedging instruments | Other accrued liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liabilities | $ 2.3 | $ 7.9 |
Minimum | Foreign currency contracts | ||
Derivatives, Fair Value [Line Items] | ||
Derivative instrument, term | 1 month | |
Maximum | Foreign currency contracts | ||
Derivatives, Fair Value [Line Items] | ||
Derivative instrument, term | 12 months |
Financial Instruments (Effects
Financial Instruments (Effects of Derivative Instruments on Condensed Consolidated Statements of Operations) (Details) - Foreign currency contracts - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2018 | Jul. 31, 2017 | Jul. 31, 2018 | Jul. 31, 2017 | |
Designated as hedging instrument | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of gain (loss) recognized in accumulated other comprehensive loss on derivatives (effective portion) | $ 6.4 | $ (9.3) | $ 13.3 | $ (11.4) |
Amount and location of (loss) gain reclassified from accumulated other comprehensive loss into (loss) income (effective portion) | (5.1) | 2.3 | (4.3) | 1.6 |
Designated as hedging instrument | Net revenue | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount and location of (loss) gain reclassified from accumulated other comprehensive loss into (loss) income (effective portion) | (3.5) | 2.8 | (6) | 4.8 |
Designated as hedging instrument | Operating expenses | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount and location of (loss) gain reclassified from accumulated other comprehensive loss into (loss) income (effective portion) | (1.6) | (0.5) | 1.7 | (3.2) |
Designated as hedging instrument | Interest and other income (expense), net | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount and location of gain (loss) recognized in (loss) income on derivatives (ineffective portion and amount excluded from effectiveness testing) | 0.7 | 0.1 | 0.5 | (0.1) |
Derivatives not designated as hedging instruments | Interest and other income (expense), net | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount and location of gain (loss) recognized on derivatives in net (loss) | $ 1.4 | $ (6.5) | $ 6 | $ (8.3) |
Stock-based Compensation Expe50
Stock-based Compensation Expense (Summary of Restricted Stock Award and Restricted Stock Unit Activity) (Details) | 6 Months Ended |
Jul. 31, 2018$ / sharesshares | |
Restricted Stock Units (RSUs) and Performance Shares | |
Unvested Restricted Stock Units | |
Unvested restricted stock units, beginning balance (shares) | 5,670,700 |
Granted (shares) | 476,700 |
Vested (shares) | (989,600) |
Canceled/Forfeited (shares) | (411,000) |
Unvested restricted stock units, ending balance (shares) | 4,776,700 |
Weighted average grant date fair value per share | |
Unvested restricted stock units, beginning balance (usd per share) | $ / shares | $ 82.94 |
Granted (in usd per share) | $ / shares | 142.47 |
Vested (in usd per share) | $ / shares | 79.10 |
Canceled/Forfeited (in usd per share) | $ / shares | 85.49 |
Unvested restricted stock units, ending balance (usd per share) | $ / shares | $ 90.34 |
Performance Stock Unit | |
Unvested Restricted Stock Units | |
Granted (shares) | 200,000 |
Performance adjustment (shares) | 29,900 |
Weighted average grant date fair value per share | |
Performance adjustment (in usd per share) | $ / shares | $ 96.04 |
Minimum | Restricted Stock Units (RSUs) and Performance Shares | |
Weighted average grant date fair value per share | |
Performance shares units payout | 90.00% |
Maximum | Restricted Stock Units (RSUs) and Performance Shares | |
Weighted average grant date fair value per share | |
Performance shares units payout | 117.60% |
Stock-based Compensation Expe51
Stock-based Compensation Expense (Additional Information) (Details) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2018USD ($) | Jul. 31, 2017USD ($) | Jul. 31, 2018USD ($)periodshares | Jul. 31, 2017USD ($) | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Allocated share-based compensation expense | $ 56.9 | $ 67.6 | $ 111.3 | $ 134.4 |
Market capitalization | 2,000 | |||
Restricted Stock Units (RSUs) and Performance Shares | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Awards vested in period, fair value | $ 133.7 | 116.9 | ||
Awards granted in period (shares) | shares | 476,700 | |||
Restricted Stock Units (RSUs) | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Awards granted in period (shares) | shares | 300,000 | |||
Allocated share-based compensation expense | 44.1 | 52 | $ 85.8 | 102 |
Performance Stock Unit | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Awards granted in period (shares) | shares | 200,000 | |||
Allocated share-based compensation expense | $ 5.9 | 9.7 | $ 12.4 | 20.6 |
Award vesting period | 3 years | |||
Employee Qualified Stock Purchase Plan 1998 ESP Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Employee stock purchase plan maximum percentage of compensation to purchase shares by eligible participants | 15.00% | |||
Employee stock purchase plan minimum percentage of common stock fair value defined to purchase shares by eligible participants | 85.00% | |||
Employee stock purchase plan, number of exercise periods | period | 4 | |||
Employee stock purchase plan, term of exercise period | 6 months | |||
Employee stock purchase plan, term of offering period | 24 months | |||
Share-based Compensation Award, Tranche One | Performance Stock Unit | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
PSU annual vesting percentage | 33.33% | |||
Share-based Compensation Award, Tranche Two | Performance Stock Unit | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
PSU annual vesting percentage | 33.33% | |||
Share-based Compensation Award, Tranche Three | Performance Stock Unit | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
PSU annual vesting percentage | 33.33% | |||
Chief Executive Officer | Restricted Stock Units (RSUs) | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Allocated share-based compensation expense | 5.9 | 9.1 | ||
Chief Executive Officer | Performance Stock Unit | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Allocated share-based compensation expense | $ 2.8 | $ 7.5 |
Stock-based Compensation Expe52
Stock-based Compensation Expense (Summary of ESPP Activity) (Details) - Employee Stock - Employee Qualified Stock Purchase Plan 1998 ESP Plan - $ / shares shares in Millions | 6 Months Ended | |
Jul. 31, 2018 | Jul. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Issued shares (shares) | 0.5 | 1.1 |
Average price of issued shares (in dollars per share) | $ 88.45 | $ 38.34 |
Weighed average grant date fair value of awards granted under the ESPP (in dollars per share) | $ 37.64 | $ 25.13 |
Stock-based Compensation Expe53
Stock-based Compensation Expense (Stock Based Compensation Expense) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2018 | Jul. 31, 2017 | Jul. 31, 2018 | Jul. 31, 2017 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Stock-based compensation expense related to stock awards and ESPP purchases | $ 56.9 | $ 67.6 | $ 111.3 | $ 134.4 |
Tax benefit | (0.2) | (0.3) | (0.6) | (0.3) |
Stock-based compensation expense related to stock awards and ESPP purchases, net of tax | 56.7 | 67.3 | 110.7 | 134.1 |
Cost of maintenance and subscription revenue | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Stock-based compensation expense related to stock awards and ESPP purchases | 3.1 | 2.9 | 5.8 | 5.7 |
Cost of other revenue | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Stock-based compensation expense related to stock awards and ESPP purchases | 0.9 | 1 | 1.7 | 2.1 |
Marketing and sales | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Stock-based compensation expense related to stock awards and ESPP purchases | 25.9 | 26 | 49.9 | 52.4 |
Research and development | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Stock-based compensation expense related to stock awards and ESPP purchases | 18.7 | 20.4 | 36.5 | 41.6 |
General and administrative | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Stock-based compensation expense related to stock awards and ESPP purchases | $ 8.3 | $ 17.3 | $ 17.4 | $ 32.6 |
Stock-based Compensation Expe54
Stock-based Compensation Expense (Assumption Used to Estimate the Fair Value of Stock-Based Awards) (Details) | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2018 | Jul. 31, 2017 | Jul. 31, 2018 | Jul. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Expected dividends | 0.00% | |||
Performance Stock Unit | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Range of expected volatilities | 0.00% | 31.80% | 35.70% | 31.80% |
Expected dividends | 0.00% | 0.00% | 0.00% | 0.00% |
Range of risk-free interest rates | 0.00% | 1.20% | 2.00% | |
Performance Stock Unit | Minimum | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Range of risk-free interest rates | 1.00% | |||
Performance Stock Unit | Maximum | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Range of risk-free interest rates | 1.20% | |||
Employee Qualified Stock Purchase Plan 1998 ESP Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Expected dividends | 0.00% | 0.00% | ||
Employee Qualified Stock Purchase Plan 1998 ESP Plan | Minimum | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Range of expected volatilities | 33.50% | 31.40% | ||
Range of expected lives | 6 months | 6 months | ||
Range of risk-free interest rates | 1.90% | 0.90% | ||
Employee Qualified Stock Purchase Plan 1998 ESP Plan | Maximum | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Range of expected volatilities | 37.50% | 33.70% | ||
Range of expected lives | 2 years | 2 years | ||
Range of risk-free interest rates | 2.30% | 1.30% |
Income Tax (Narrative) (Details
Income Tax (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2018 | Jul. 31, 2017 | Jul. 31, 2018 | Jul. 31, 2017 | |
Income Tax Disclosure [Abstract] | ||||
Provision for income taxes | $ 16 | $ 17.6 | $ 34.6 | $ 25.8 |
(Loss) income before income taxes | (23.4) | $ (126.4) | (87.2) | $ (247.8) |
Unrecognized tax benefits | 343.1 | 343.1 | ||
Income Tax Contingency [Line Items] | ||||
Unrecognized tax benefits that would impact effective tax rate | 310 | 310 | ||
Valuation Allowance of Deferred Tax Assets | ||||
Income Tax Contingency [Line Items] | ||||
Unrecognized tax benefits that would impact effective tax rate | $ 33.1 | $ 33.1 |
Acquisitions (Narrative)(Detail
Acquisitions (Narrative)(Details) - USD ($) $ in Millions | Jul. 03, 2018 | Jul. 31, 2018 | Jul. 31, 2017 |
Business Acquisition [Line Items] | |||
Document Period End Date | Jul. 31, 2018 | ||
Stock issued | $ 44.8 | $ 0 | |
Assemble Systems Inc | |||
Business Acquisition [Line Items] | |||
Consideration | $ 93.6 | ||
Payments to acquire businesses | 38.2 | ||
Stock issued | $ 44.8 | ||
Stock issued (shares) | 340,769 | ||
Equity interest prior to acquisition | $ 10.6 | ||
Ownership percentage prior to acquisition | 14.00% | ||
Step acquisition remeasurement gain | $ 4.6 |
Acquisitions (Summary of Fair V
Acquisitions (Summary of Fair Value of Assets Acquired and Liabilities Assumed by Major Class) (Details) - USD ($) $ in Millions | Jul. 31, 2018 | Jan. 31, 2018 |
Business Acquisition [Line Items] | ||
Goodwill | $ 1,658.7 | $ 1,620.2 |
Assemble Systems Inc | ||
Business Acquisition [Line Items] | ||
Goodwill | 71.9 | |
Deferred revenue (current and non-current) | (1.7) | |
Net tangible assets | 4.2 | |
Total | 93.6 | |
Assemble Systems Inc | Developed technologies | ||
Business Acquisition [Line Items] | ||
Finite-lived intangibles | 4.4 | |
Assemble Systems Inc | Customer relationships and other non-current intangible assets | ||
Business Acquisition [Line Items] | ||
Finite-lived intangibles | 12 | |
Assemble Systems Inc | Trade name | ||
Business Acquisition [Line Items] | ||
Finite-lived intangibles | $ 2.8 |
Other Intangible Assets, Net (D
Other Intangible Assets, Net (Details) - USD ($) $ in Millions | Jul. 31, 2018 | Jan. 31, 2018 |
Finite-Lived Intangible Assets [Line Items] | ||
Other intangible assets, at cost | $ 961.7 | $ 951 |
Less: Accumulated amortization | (903.8) | (895.8) |
Other intangible assets, net | 57.9 | 55.2 |
Developed technologies | ||
Finite-Lived Intangible Assets [Line Items] | ||
Other intangible assets, at cost | 580 | 578.5 |
Customer relationships, trade names, patents, and user lists | ||
Finite-Lived Intangible Assets [Line Items] | ||
Other intangible assets, at cost | $ 381.7 | $ 372.5 |
Goodwill (Changes in the Carryi
Goodwill (Changes in the Carrying Amount of Goodwill) (Details) - USD ($) | 3 Months Ended | 6 Months Ended |
Jul. 31, 2018 | Jul. 31, 2018 | |
Goodwill [Roll Forward] | ||
Goodwill gross, beginning of the period | $ 1,769,400,000 | |
Less: accumulated impairment losses, beginning of the period | (149,200,000) | |
Goodwill net, beginning of the period | 1,620,200,000 | |
Additions arising from acquisitions during the period | 71,900,000 | |
Effect of foreign currency translation | (33,400,000) | |
Goodwill net, end of the period | $ 1,658,700,000 | 1,658,700,000 |
Goodwill impairment | $ 0 | $ 0 |
Deferred Compensation (Addition
Deferred Compensation (Additional Information) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |
Jul. 31, 2018 | Jul. 31, 2018 | Jan. 31, 2018 | |
Deferred Compensation Arrangement with Individual, Excluding Share-based Payments and Postretirement Benefits [Line Items] | |||
Marketable securities | $ 402.5 | $ 402.5 | |
Costs to obtain a contract | 82.5 | 82.5 | |
Amortization of costs to obtain a contract | 26.9 | 53.1 | |
Rabbi Trust Member | |||
Deferred Compensation Arrangement with Individual, Excluding Share-based Payments and Postretirement Benefits [Line Items] | |||
Deferred compensation liability | 62 | 62 | $ 59 |
Deferred compensation liability, current | 3 | 3 | 3.4 |
Deferred compensation liability, non-current | 59 | 59 | 55.6 |
Mutual funds | |||
Deferred Compensation Arrangement with Individual, Excluding Share-based Payments and Postretirement Benefits [Line Items] | |||
Trading securities | $ 62 | $ 62 | $ 59 |
Computer Equipment, Software,61
Computer Equipment, Software, Furniture and Leasehold Improvements, Net (Details) - USD ($) $ in Millions | Jul. 31, 2018 | Jan. 31, 2018 |
Property, Plant and Equipment [Line Items] | ||
Computer software, hardware, leasehold improvements, furniture and equipment, gross | $ 588.4 | $ 582 |
Less: Accumulated depreciation | (441.6) | (437) |
Computer software, hardware, leasehold improvements, furniture and equipment, net | 146.8 | 145 |
Computer hardware | ||
Property, Plant and Equipment [Line Items] | ||
Computer software, hardware, leasehold improvements, furniture and equipment, gross | 213.9 | 217.1 |
Computer software | ||
Property, Plant and Equipment [Line Items] | ||
Computer software, hardware, leasehold improvements, furniture and equipment, gross | 74.6 | 72.6 |
Leasehold improvements, land and buildings | ||
Property, Plant and Equipment [Line Items] | ||
Computer software, hardware, leasehold improvements, furniture and equipment, gross | 235.9 | 228.9 |
Furniture and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Computer software, hardware, leasehold improvements, furniture and equipment, gross | $ 64 | $ 63.4 |
Borrowing Arrangements (Additio
Borrowing Arrangements (Additional Information) (Details) - USD ($) | Jul. 27, 2017 | Jun. 30, 2017 | Jun. 30, 2015 | Dec. 31, 2012 | Jul. 31, 2018 |
Debt Instrument [Line Items] | |||||
Line of credit facility, maximum borrowing capacity | $ 400,000,000 | ||||
Line of credit facility, additional borrowings available | 100,000,000 | ||||
Line of credit facility, outstanding borrowings | $ 0 | ||||
Senior Notes | 3.5% Notes due June 15, 2027 | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, face amount | $ 500,000,000 | ||||
Debt instrument, stated interest rate | 3.50% | ||||
Debt instrument, unamortized discount | $ 3,100,000 | ||||
Debt issuance costs, gross | 4,900,000 | ||||
Proceeds from debt, net of issuance costs | $ 492,000,000 | ||||
Debt issuance redemption discount premium, percentage of principle amount | 101.00% | ||||
Debt fair value | $ 467,500,000 | ||||
Senior Notes | Senior Notes 2017 | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, face amount | $ 400,000,000 | ||||
Debt instrument, stated interest rate | 1.95% | ||||
Redemption price | $ 400,900,000 | ||||
Repayments of debt | $ 401,800,000 | ||||
Senior Notes | Senior Notes due 2020 | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, face amount | $ 450,000,000 | ||||
Debt instrument, stated interest rate | 3.125% | ||||
Senior Notes | Senior Notes due 2025 | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, face amount | $ 300,000,000 | ||||
Debt instrument, stated interest rate | 4.375% | ||||
Senior Notes | 2015 Senior Notes | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, unamortized discount | $ 1,700,000 | ||||
Debt issuance costs, gross | 6,300,000 | ||||
Proceeds from debt, net of issuance costs | $ 742,000,000 | ||||
Debt fair value | 754,100,000 | ||||
Senior Notes | Senior Notes 2022 | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, face amount | $ 350,000,000 | ||||
Debt instrument, stated interest rate | 3.60% | ||||
Senior Notes | 2012 Senior Notes | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, unamortized discount | $ 4,500,000 | ||||
Debt issuance costs, gross | 6,100,000 | ||||
Proceeds from debt, net of issuance costs | $ 739,300,000 | ||||
Debt fair value | $ 347,800,000 |
Restructuring and other exit 63
Restructuring and other exit costs, net (Narrative) (Details) - Scenario, Forecast - Fiscal 2018 Plan | 12 Months Ended |
Jan. 31, 2019Position | |
Restructuring Cost and Reserve [Line Items] | |
Expected termination of workforce, percent | 13.00% |
Restructuring, number of positions eliminated | 1,150 |
Restructuring and other exit 64
Restructuring and other exit costs, net (Roll-forward)(Details) - USD ($) $ in Millions | 6 Months Ended | ||
Jul. 31, 2018 | Jul. 31, 2018 | Jan. 31, 2018 | |
Restructuring Reserve [Roll Forward] | |||
Beginning Balance | $ 55.5 | ||
Additions | 36.3 | ||
Payments | (70) | ||
Adjustments | (0.3) | ||
Ending Balance | 21.5 | ||
Current portion | $ 21.5 | $ 55.5 | |
Total Restructuring Reserve | 55.5 | 21.5 | 55.5 |
Employee termination costs | |||
Restructuring Reserve [Roll Forward] | |||
Beginning Balance | 53 | ||
Additions | 33.5 | ||
Payments | (66.3) | ||
Adjustments | (0.7) | ||
Ending Balance | 19.5 | ||
Total Restructuring Reserve | 53 | 19.5 | 53 |
Lease termination and other exit costs | |||
Restructuring Reserve [Roll Forward] | |||
Beginning Balance | 2.5 | ||
Additions | 2.8 | ||
Payments | (3.7) | ||
Adjustments | 0.4 | ||
Ending Balance | 2 | ||
Total Restructuring Reserve | $ 2.5 | $ 2 | $ 2.5 |
Common Stock Repurchase Progr65
Common Stock Repurchase Program (Additional Information) (Details) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended |
Jul. 31, 2018USD ($)$ / sharesshares | Jul. 31, 2018USD ($)$ / sharesshares | |
Equity, Class of Treasury Stock [Line Items] | ||
Common stock repurchased and retired (in shares) | shares | 1.1 | 1.3 |
Repurchased shares of its common stock on the open market, average repurchase price per share (in usd per share) | $ / shares | $ 131.52 | $ 128.92 |
Common Stock | ||
Equity, Class of Treasury Stock [Line Items] | ||
Repurchased shares of its common stock on the open market, value | $ | $ 77.3 | $ 93.7 |
Retained Earnings | ||
Equity, Class of Treasury Stock [Line Items] | ||
Repurchased shares of its common stock on the open market, value | $ | $ 69.4 | $ 74 |
Common Stock Repurchase Program | ||
Equity, Class of Treasury Stock [Line Items] | ||
Common stock shares remained available for repurchase under repurchase plans (in shares) | shares | 18.4 | 18.4 |
Accumulated Other Comprehensi66
Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2018 | Jul. 31, 2017 | Jul. 31, 2018 | Jul. 31, 2017 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | $ (256) | |||
Other comprehensive income (loss) before reclassifications | (28.8) | |||
Pre-tax losses reclassified from accumulated other comprehensive loss | 4.5 | |||
Tax effects | (2.8) | |||
Total other comprehensive (loss) income | $ (17.1) | $ 13.4 | (27.1) | $ 25.6 |
Ending balance | (241.6) | (241.6) | ||
Net Unrealized Gains (Losses) on Derivative Instruments | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | (16.6) | |||
Other comprehensive income (loss) before reclassifications | 15.1 | |||
Pre-tax losses reclassified from accumulated other comprehensive loss | 4.3 | |||
Tax effects | (1.8) | |||
Total other comprehensive (loss) income | 17.6 | |||
Ending balance | 1 | 1 | ||
Net Unrealized Gains (Losses) on Available-for-Sale Debt Securities | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | 1.3 | |||
Other comprehensive income (loss) before reclassifications | (0.7) | |||
Pre-tax losses reclassified from accumulated other comprehensive loss | 0 | |||
Tax effects | 0 | |||
Total other comprehensive (loss) income | (0.7) | |||
Ending balance | 0.6 | 0.6 | ||
Defined Benefit Pension Components | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | (29.3) | |||
Other comprehensive income (loss) before reclassifications | 11.3 | |||
Pre-tax losses reclassified from accumulated other comprehensive loss | 0.2 | |||
Tax effects | (1.5) | |||
Total other comprehensive (loss) income | 10 | |||
Ending balance | (19.3) | (19.3) | ||
Foreign Currency Translation Adjustments | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | (79.2) | |||
Other comprehensive income (loss) before reclassifications | (54.5) | |||
Pre-tax losses reclassified from accumulated other comprehensive loss | 0 | |||
Tax effects | 0.5 | |||
Total other comprehensive (loss) income | (54) | |||
Ending balance | (133.2) | (133.2) | ||
AOCI Attributable to Parent | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | (123.8) | |||
Ending balance | $ (150.9) | $ (150.9) |
Net Loss Per Share (Details)
Net Loss Per Share (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2018 | Jul. 31, 2017 | Jul. 31, 2018 | Jul. 31, 2017 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Net loss | $ (39.4) | $ (144) | $ (121.8) | $ (273.6) |
Denominator: | ||||
Denominator for basic net loss per share—weighted average shares (shares) | 219,000,000 | 219,500,000 | 218,800,000 | 219,700,000 |
Effect of dilutive securities (shares) | 0 | 0 | 0 | 0 |
Denominator for dilutive net loss per share (shares) | 219,000,000 | 219,500,000 | 218,800,000 | 219,700,000 |
Basic net loss per share (in usd per share) | $ (0.18) | $ (0.66) | $ (0.56) | $ (1.25) |
Diluted net loss per share (in usd per share) | $ (0.18) | $ (0.66) | $ (0.56) | $ (1.25) |
Potentially dilutive shares excluded from the computation of diluted net income per share (shares) | 3,200,000 | 4,800,000 | 3,300,000 | 4,700,000 |
Treasury Stock | ||||
Denominator: | ||||
Potentially dilutive shares excluded from the computation of diluted net income per share (shares) | 0 | 0 | 0 | 100,000 |
Segments (Details)
Segments (Details) | 6 Months Ended |
Jul. 31, 2018managersegment | |
Segment Reporting [Abstract] | |
Number of segment managers | manager | 1 |
Number of operating segments | segment | 1 |