Cover
Cover - shares | 3 Months Ended | |
Apr. 30, 2022 | May 27, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Apr. 30, 2022 | |
Document Transition Report | false | |
Entity File Number | 0-14338 | |
Entity Registrant Name | AUTODESK, INC. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 94-2819853 | |
Entity Address, Address Line One | 111 McInnis Parkway, | |
Entity Address, City or Town | San Rafael, | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 94903 | |
City Area Code | 415 | |
Local Phone Number | 507-5000 | |
Title of 12(b) Security | Common Stock, par value $0.01 per share | |
Trading Symbol | ADSK | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 217,272,205 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q1 | |
Entity Central Index Key | 0000769397 | |
Current Fiscal Year End Date | --01-31 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Millions, $ in Millions | 3 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Net revenue: | ||
Total net revenue | $ 1,170 | $ 989 |
Cost of revenue: | ||
Amortization of developed technologies | 14 | 10 |
Total cost of revenue | 117 | 92 |
Gross profit | 1,053 | 897 |
Operating expenses: | ||
Marketing and sales | 419 | 377 |
Research and development | 289 | 266 |
General and administrative | 120 | 112 |
Amortization of purchased intangibles | 11 | 8 |
Total operating expenses | 839 | 763 |
Income from operations | 214 | 134 |
Interest and other expense, net | (19) | (3) |
Income before income taxes | 195 | 131 |
(Provision) benefit for income taxes | (49) | 25 |
Net income | $ 146 | $ 156 |
Basic net income per share (in dollars per share) | $ 0.67 | $ 0.71 |
Diluted net income per share (in dollars per share) | $ 0.67 | $ 0.70 |
Weighted average shares used in computing basic net income per share (in shares) | 217 | 220 |
Weighted average shares used in computing diluted net income per share (in shares) | 219 | 222 |
Subscription and Maintenance | ||
Net revenue: | ||
Total net revenue | $ 1,107 | $ 946 |
Cost of revenue: | ||
Cost of goods and services sold | 84 | 68 |
Subscription | ||
Net revenue: | ||
Total net revenue | 1,089 | 927 |
Maintenance | ||
Net revenue: | ||
Total net revenue | 18 | 19 |
Other | ||
Net revenue: | ||
Total net revenue | 63 | 43 |
Cost of revenue: | ||
Cost of goods and services sold | $ 19 | $ 14 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Millions | 3 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Statement of Comprehensive Income [Abstract] | ||
Net income | $ 146 | $ 156 |
Other comprehensive (loss) income, net of reclassifications: | ||
Net gain on derivative instruments (net of tax effect of $(8) and $(2), respectively) | 55 | 10 |
Change in net unrealized (loss) gain on available-for-sale debt securities (net of tax effect of zero for all periods presented) | (1) | 4 |
Change in defined benefit pension items (net of tax effect of zero for all periods presented) | (3) | 0 |
Net change in cumulative foreign currency translation (loss) gain (net of tax effect of zero and $(2), respectively) | (75) | 10 |
Total other comprehensive (loss) income | (24) | 24 |
Total comprehensive income | $ 122 | $ 180 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Statement of Comprehensive Income [Abstract] | ||
Net (loss) gain on derivative instruments, tax (benefit) | $ (8) | $ (2) |
Change in net unrealized gain on available-for-sale securities, tax expense (benefit) | 0 | 0 |
Change in defined benefit pension items, tax effect | 0 | 0 |
Net change in cumulative foreign currency translation (loss) gain, tax expense (benefit) | $ 0 | $ (2) |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions | Apr. 30, 2022 | Jan. 31, 2022 |
Current assets: | ||
Cash and cash equivalents | $ 1,518 | $ 1,528 |
Marketable securities | 67 | 236 |
Accounts receivable, net | 384 | 716 |
Prepaid expenses and other current assets | 389 | 284 |
Total current assets | 2,358 | 2,764 |
Long-term marketable securities | 39 | 45 |
Computer equipment, software, furniture and leasehold improvements, net | 162 | 162 |
Operating lease right-of-use assets | 303 | 305 |
Intangible assets, net | 479 | 494 |
Goodwill | 3,642 | 3,604 |
Deferred income taxes, net | 759 | 741 |
Long-term other assets | 519 | 492 |
Total assets | 8,261 | 8,607 |
Current liabilities: | ||
Accounts payable | 135 | 121 |
Accrued compensation | 220 | 341 |
Accrued income taxes | 50 | 30 |
Deferred revenue | 2,809 | 2,863 |
Operating lease liabilities | 77 | 87 |
Current portion of long-term notes payable, net | 350 | 350 |
Other accrued liabilities | 160 | 217 |
Total current liabilities | 3,801 | 4,009 |
Long-term deferred revenue | 940 | 927 |
Long-term operating lease liabilities | 347 | 346 |
Long-term income taxes payable | 37 | 20 |
Long-term deferred income taxes | 34 | 29 |
Long-term notes payable, net | 2,279 | 2,278 |
Long-term other liabilities | 142 | 149 |
Stockholders’ equity: | ||
Common stock and additional paid-in capital | 2,972 | 2,923 |
Accumulated other comprehensive loss | (148) | (124) |
Accumulated deficit | (2,143) | (1,950) |
Total stockholders’ equity | 681 | 849 |
Total liabilities and stockholders’ equity | $ 8,261 | $ 8,607 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | Jan. 31, 2022 | |
Operating activities: | |||
Net income | $ 146 | $ 156 | |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation, amortization and accretion | 38 | 33 | |
Stock-based compensation expense | 152 | 116 | |
Deferred income taxes | (22) | 19 | |
Lease-related asset impairments | 2 | 0 | |
Other | 27 | 19 | |
Changes in operating assets and liabilities, net of business combinations: | |||
Accounts receivable | 332 | 324 | |
Prepaid expenses and other assets | (23) | (126) | |
Accounts payable and other liabilities | (218) | (182) | |
Deferred revenue | (38) | (28) | |
Accrued income taxes | 38 | 5 | |
Net cash provided by operating activities | 434 | 336 | |
Investing activities: | |||
Purchases of marketable securities | (29) | 0 | |
Sales and maturities of marketable securities | 202 | 4 | |
Capital expenditures | (12) | (20) | |
Purchases of developed technologies | (4) | (1) | |
Business combinations, net of cash acquired | (96) | (1,032) | |
Other investing activities | (30) | 9 | |
Net cash provided by (used in) investing activities | 31 | (1,040) | |
Financing activities: | |||
Proceeds from issuance of common stock, net of issuance costs | 67 | 64 | |
Taxes paid related to net share settlement of equity awards | (70) | (55) | |
Repurchases of common stock | (457) | (151) | |
Net cash used in financing activities | (460) | (142) | |
Effect of exchange rate changes on cash and cash equivalents | (15) | (3) | |
Net decrease in cash and cash equivalents | (10) | (849) | |
Cash and cash equivalents at beginning of period | 1,528 | 1,772 | $ 1,772 |
Cash and cash equivalents at end of period | 1,518 | 923 | $ 1,528 |
Non-cash financing activities: | |||
Fair value of common stock issued related to business combination | $ 10 | $ 3 |
Basis of Presentation
Basis of Presentation | 3 Months Ended |
Apr. 30, 2022 | |
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 April 30, 2022, and for the three months ended April 30, 2022 and 2021, 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 months ended April 30, 2022, are not necessarily indicative of the results for the entire fiscal year ending January 31, 2023, or for any other period. Further, the balance sheet as of January 31, 2022, 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, 2022. 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, 2022, filed on March 14, 2022. Change in presentation During the quarter ended April 30, 2022, the Company changed its presentation of certain subscription plan offerings in our Condensed Consolidated Statements of Operations. Revenue from subscription plan offerings in which the customer does not utilize the cloud functionality or that do not incorporate substantial cloud functionality, previously recorded in “Subscription” have been reclassified to “Other” and “Maintenance,” as applicable. Accordingly, prior period amounts have been reclassified to conform to the current period presentation, in all material respects. These reclassifications did not impact total net revenue . The effect of the change on the Condensed Consolidated Statements of Operations for the three months ended April 30, 2021, was as follows: As Reported Three Months Ended April 30, 2021 Effect of Change in Presentation As Adjusted Three Months Ended April 30, 2021 Net revenue: Subscription $ 948 $ (21) $ 927 Other 22 21 43 Total net revenue 989 — 989 In the current fiscal year, the Company changed its rounding presentation to the nearest whole number in millions of reported amounts, except per share data or as otherwise noted. The current year rounding presentation has been applied to all prior year amounts presented and, in certain circumstances, this change may adjust previously reported balances. |
Recently Issued Accounting Stan
Recently Issued Accounting Standards | 3 Months Ended |
Apr. 30, 2022 | |
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 three months ended April 30, 2022, that are applicable to the Company. Accounting Standards Adopted In March 2020, FASB issued Accounting Standards Update (“ASU”) No. 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting” (“ASU No. 2020-04”), which provides optional |
Revenue Recognition
Revenue Recognition | 3 Months Ended |
Apr. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition | Revenue Recognition Revenue Disaggregation Autodesk recognizes revenue from the sale of (1) product subscriptions, cloud service offerings, and enterprise business agreements (“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 Condensed Consolidated Statements of Operations. Information regarding the components of Autodesk's net revenue from contracts with customers by product family, geographic location, sales channel, and product type is as follows: Three Months Ended April 30, 2022 2021 Net revenue by product family: Architecture, Engineering and Construction $ 518 $ 443 AutoCAD and AutoCAD LT 346 285 Manufacturing 225 197 Media and Entertainment 68 55 Other 13 9 Total net revenue $ 1,170 $ 989 Net revenue by geographic area: Americas U.S. $ 398 $ 324 Other Americas 86 67 Total Americas 484 391 Europe, Middle East and Africa 449 383 Asia Pacific 237 215 Total net revenue $ 1,170 $ 989 Net revenue by sales channel: Indirect $ 769 $ 661 Direct 401 328 Total net revenue $ 1,170 $ 989 Net revenue by product type: Design $ 1,004 $ 865 Make 103 81 Other 63 43 Total net revenue $ 1,170 $ 989 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 60 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. Remaining performance obligations consist of tota l short-term, long-term, a nd unbilled deferred revenue. As of April 30, 2022, Autodesk had remaining performance obligations of $4.68 billion, which represents the total contract price allocated to remaining performance obligations, which are generally recognized over the next three years. We expect to recognize $3.14 billion or 67% of our remaining performance obligations as revenue during the next 12 months. We expect to recognize the remaining $1.54 billion or 33% of our remaining performance obligations as revenue thereafter. The amount of remaining performance obligations may be impacted by the specific timing, duration, and size of customer subscription and support 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 April 30, 2022. Deferred revenue relates to billings 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 three months ended April 30, 2022 and 2021, that was included in the deferred revenue balances at January 31, 2022 and 2021, was $987 million and $838 million, respectively. The satisfaction of performance obligations typically lags behind payments received under revenue contracts from customers. |
Concentration of Credit Risk
Concentration of Credit Risk | 3 Months Ended |
Apr. 30, 2022 | |
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, multiple 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 $1.5 billion revolving credit facility. See Note 14, “Borrowing Arrangements,” in the Notes to Condensed Consolidated Financial Statements for further discussion. Total sales to the Company's largest distributor Tech Data Corporation and its global affiliates (“Tech Data”) accounted for 36% of Autodesk’s total net revenue during both the three months ended April 30, 2022 and 2021. The majority of the net revenue from sales to Tech Data is for sales outside of the United States. In addition, Tech Data accounted for 28% and 24% of trade accounts receivable at April 30, 2022, and January 31, 2022, respectively. Ingram Micro Inc. (“Ingram Micro”) accounted for 9% and 10% of Autodesk's total net revenue during the three months ended April 30, 2022 and 2021, respectively. No other customer accounted for more than 10% of Autodesk's total net revenue or trade accounts receivable for each of the respective periods. |
Financial Instruments
Financial Instruments | 3 Months Ended |
Apr. 30, 2022 | |
Investments, All Other Investments [Abstract] | |
Financial Instruments | Financial Instruments The following tables summarize the Company's financial instruments' by significant investment category as of April 30, 2022, and January 31, 2022: April 30, 2022 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Cash equivalents (1): Money market funds $ 531 $ — $ — $ 531 Commercial paper 117 — — 117 U.S. government securities 20 — — 20 Agency discount notes 8 — — 8 Other (2) 8 — — 8 Marketable securities: Short-term Corporate debt securities 28 — — 28 Asset backed securities 20 — — 20 Certificates of deposit 10 — — 10 Commercial paper 6 — — 6 Other (3) 1 2 — 3 Long-term Corporate debt securities 39 — — 39 Mutual funds (4) (5) 78 8 (1) 85 Convertible debt securities (5) 3 — — 3 Total $ 869 $ 10 $ (1) $ 878 ___________________ (1) Included in “Cash and cash equivalents” in the accompanying Condensed Consolidated Balance Sheets. These investments are classified as debt securities. (2) Consists of custody cash deposits, sovereign bonds, asset backed securities, and certificates of deposit. (3) Consists of common stock and municipal bonds. (4) See Note 12, “Deferred Compensation” for more information. (5) Included in “Prepaid expenses and other current assets” or “Long-term other assets” in the accompanying Condensed Consolidated Balance Sheets. January 31, 2022 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Cash equivalents (1): Money market funds $ 302 $ — $ — $ 302 Commercial paper 55 — — 55 U.S government securities 25 — — 25 Custody cash deposit 18 — — 18 Corporate debt securities 18 — — 18 Certificates of deposit 6 — — 6 Other (2) 4 — — 4 Marketable securities: Short-term Commercial paper 103 — — 103 Corporate debt securities 61 — — 61 Asset backed securities 26 — — 26 Certificate of deposit 14 — — 14 U.S. government securities 13 — — 13 Municipal bonds 11 — — 11 Common Stock — 4 — 4 Other (3) 4 — — 4 Long-term Corporate debt securities 44 — — 44 Other (4) 1 — — 1 Mutual funds (5) (6) 74 16 (1) 89 Total $ 779 $ 20 $ (1) $ 798 ____________________ (1) Included in “Cash and cash equivalents” in the accompanying Condensed Consolidated Balance Sheets. These investments are classified as debt securities. (2) Consists of sovereign bonds and municipal bonds. (3) Consists of sovereign bonds and supranational bonds. (4) Consists of asset backed securities. (5) See Note 12, “Deferred Compensation” for more information. (6) Included in “Prepaid expenses and other current assets,” or “Long-term other assets,” in the accompanying Condensed Consolidated Balance Sheets. The following table summarizes the fair values of investments classified as marketable debt securities by contractual maturity date as of April 30, 2022: Fair Value Due within 1 year $ 33 Due in 1 year through 5 years 71 Total $ 104 As of both April 30, 2022, and January 31, 2022, Autodesk had no material unrealized losses, individually and in the aggregate, for marketable debt securities that are in a continuous unrealized loss position for greater than 12 months. Total unrealized gains for securities with net gains in accumulated other comprehensive income were not material for the three months ended April 30, 2022. Autodesk monitors all marketable debt securities for potential credit losses by reviewing indicators such as, but not limited to, current credit rating, change in credit rating, credit outlook, and default risk. There were no allowances for credit losses as of both April 30, 2022, and January 31, 2022. There were no write offs of accrued interest receivables for both the three months ended April 30, 2022 and 2021. There was no realized gain or loss for the sales or redemptions of marketable debt securities during both the three months ended April 30, 2022 and 2021. Realized gains and losses from the sales or redemptions of marketable debt securities are recorded in “Interest and other expense, net” on the Company's Condensed Consolidated Statements of Operations. Proceeds from the sale and maturity of marketable debt securities were as follows: Three Months Ended April 30, 2022 2021 Marketable debt securities $ 202 $ 4 Strategic investment equity securities As of April 30, 2022, and January 31, 2022, Autodesk had $157 million and $134 million, respectively, in direct investments in privately held companies. These strategic investment equity securities do not have readily determined fair values, and Autodesk uses the measurement alternative to account for the adjustment to these investments in a given quarter. If Autodesk determines that an impairment has occurred, Autodesk writes down the investment to its fair value. Adjustments to the carrying value of our strategic investment equity securities with no readily determined fair values measured using the measurement alternative are included in “Interest and other expense, net” on the Company's Condensed Consolidated Statements of Operations. These adjustments were as follows: Three Months Ended April 30, Cumulative Amount as of 2022 2021 April 30, 2022 Upward adjustments $ — $ 1 $ 23 Negative adjustments, including impairments (2) (4) (79) Net adjustments $ (2) $ (3) $ (56) During the three months ended April 30, 2022, Autodesk recognized no gains on the disposition of strategic investment equity securities. During the three months ended April 30, 2021, Autodesk recognized gains of $8 million on the disposition of strategic investment equity securities. Fair Value Autodesk applies fair value accounting for certain financial assets and liabilities, which consist of cash equivalents, marketable securities, and other financial instruments, 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. The following tables summarize the Company's financial instruments measured at fair value on a recurring basis by significant investment category as of April 30, 2022, and January 31, 2022: April 30, 2022 Level 1 Level 2 Level 3 Total Assets: Cash equivalents (1): Money market funds $ 531 $ — $ — $ 531 Commercial paper — 117 — 117 U.S. government securities — 20 — 20 Agency discount notes — 8 — 8 Other (2) 3 5 — 8 Marketable securities: Short-term Corporate debt securities — 28 — 28 Asset backed securities — 20 — 20 Certificates of deposit — 10 — 10 Commercial paper — 6 — 6 Other (3) 2 1 — 3 Long-term Corporate debt securities — 39 — 39 Long-term other assets: Mutual funds (4) (5) 85 — — 85 Convertible debt securities — — 3 3 Derivative assets (5): Derivative contract assets — 94 — 94 Strategic investments derivative assets — — 2 2 Derivative liabilities (6): Derivative contract liabilities — (20) — (20) Total $ 621 $ 328 $ 5 $ 954 ____________________ (1) Included in “Cash and cash equivalents” in the accompanying Condensed Consolidated Balance Sheets. These investments are classified as debt securities. (2) Consists of custody cash deposits, sovereign bonds, asset backed securities, and certificates of deposit. (3) Consists of common stock and municipal bonds. (4) See Note 12, “Deferred Compensation” for more information. (5) Included in “Prepaid expenses and other current assets” or “Long-term other assets” in the accompanying Condensed Consolidated Balance Sheets. (6) Included in “Other accrued liabilities” in the accompanying Condensed Consolidated Balance Sheets. January 31, 2022 Level 1 Level 2 Level 3 Total Assets: Cash equivalents (1): Money market funds $ 302 $ — $ — $ 302 Commercial paper — 55 — 55 U.S government securities — 25 — 25 Custody cash deposit 18 — — 18 Corporate debt securities — 18 — 18 Certificates of deposit — 6 — 6 Other (2) — 4 — 4 Marketable securities: Short-term Commercial paper — 103 — 103 Corporate debt securities — 61 — 61 Asset backed securities — 26 — 26 Certificate of deposit — 14 — 14 U.S. government securities — 13 — 13 Municipal bonds — 11 — 11 Common Stock 4 — — 4 Other (3) — 4 — 4 Long-term Corporate debt securities — 44 — 44 Other (4) — 1 — 1 Long-term other assets: Mutual funds (5) (6) 89 — — 89 Derivative assets: Derivative contract assets (6) — 18 — 18 Derivative liabilities: Derivative contract liabilities (7) — (11) — (11) Total $ 413 $ 392 $ — $ 805 ____________________ (1) Included in “Cash and cash equivalents” in the accompanying Condensed Consolidated Balance Sheets. These investments are classified as debt securities. (2) Consists of sovereign bonds and municipal bonds. (3) Consists of sovereign bonds and supranational bonds. (4) Consists of asset backed securities. (5) See Note 12, “Deferred Compensation” for more information. (6) Included in “Prepaid expenses and other current assets,” or “Long-term other assets,” in the accompanying Condensed Consolidated Balance Sheets. (7) Included in “Other accrued liabilities” in the accompanying Condensed Consolidated Balance Sheets. A reconciliation of the change in Autodesk’s Level 3 items for the three months ended April 30, 2022, is as follows: Fair Value Measurements Using Derivative Contract Convertible Debt Securities Total Balances, January 31, 2022 $ — $ — $ — Purchases 2 3 5 Balances, April 30, 2022 $ 2 $ 3 $ 5 |
Equity Compensation
Equity Compensation | 3 Months Ended |
Apr. 30, 2022 | |
Share-based Payment Arrangement [Abstract] | |
Equity Compensation | Equity Compensation Restricted Stock Units A summary of restricted stock activity for the three months ended April 30, 2022, is as follows: Unvested Weighted (in thousands) Unvested restricted stock units at January 31, 2022 4,033 $ 251.17 Granted 2,738 199.16 Vested (1,018) 256.17 Canceled/Forfeited (161) 242.48 Performance Adjustment (1) (2) 299.07 Unvested restricted stock units at April 30, 2022 5,590 $ 225.12 _______________ (1) Based on Autodesk's financial results and relative total stockholder return for the fiscal 2022 performance period. The performance stock units were attained at rates ranging from 87% to 113% of the target award. The fair value of the shares vested during the three months ended April 30, 2022 and 2021, was $214 million and $149 million, respectively. During the three months ended April 30, 2022, Autodesk granted 2,392 thousand restricted stock units. Restricted 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 recorded stock-based compensation expense related to restricted stock units of $117 million and $90 million during the three months ended April 30, 2022 and 2021, respectively. During the three months ended April 30, 2022, Autodesk granted 231 thousand 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 revenue and free cash flow goals adopted by the Compensation and Human Resource Committee and total stockholder return compared against companies in the S&P North American Technology Software Index with a market capitalization over $2.0 billion (“Relative TSR”). The fair value of the performance stock units is expensed using the accelerated attribution method over the three-year vesting 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 2023 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). The performance criteria for the performance stock units vested during the three months ended April 30, 2022, was based on revenue and free cash flow goals adopted by the Compensation and Human Resource Committee. Additionally, during the three months ended April 30, 2022, Autodesk granted 115 thousand performance stock units, as part of a program offering certain employees the option to receive equity in lieu of the opportunity to receive an annual cash incentive award. 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 revenue and Non-GAAP income from operations targets adopted by the Compensation and Human Resource Committee. The fair value of these performance stock units is expensed using the accelerated attribution method over the one-year vesting period. 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 recorded stock-based compensation expense related to performance stock units of $15 million and $12 million for the three months ended April 30, 2022 and 2021, respectively. Common Stock Autodesk agreed to issue a fixed amount of $5 million in common stock at a future date to certain employees in connection with a fiscal 2021 acquisition. Issuance of the common stock is dependent on the respective employees’ continued employment through the vesting period. The number of shares to be issued will be determined based on the closing price of Autodesk’s common stock at the issuance date. During fiscal 2022, Autodesk issued 8,300 shares at an aggregate fair value of $3 million. Remaining shares to be issued are estimated to be 11 thousand based on the closing price of Autodesk’s common stock on April 29, 2022, the last trading day of the fiscal quarter. The awards are accounted for as liability-classified awards and are recognized as compensation expense using the straight-line method over the vesting period. Autodesk issued 73,632 shares of restricted common stock to certain employees in connection with a fiscal 2021 acquisition. These shares of restricted common stock are subject to forfeiture by the employee if employment terminates prior to the three-year employment period. The fair value of the restricted common stock is recorded as compensation for post-acquisition services and recognized as expense using the straight-line method over the three-year repurchase period. Autodesk issued 9,277 shares of restricted common stock to certain employees in connection with a fiscal 2022 acquisition. These shares of restricted common stock were recorded as “Prepaid expenses and other current assets” and “Long-term other assets” on our Condensed Consolidated Balance Sheets and will be amortized to stock-based compensation expense for post-acquisition services using the straight-line method over the two-year vesting period. Autodesk agreed to issue a fixed amount of $13 million in shares of common stock to certain employees in connection with a fiscal 2022 acquisition. Issuance of the common stock is dependent on the respective employees’ continued employment through the vesting period. The number of shares to be issued will be determined based on the volume weighted average closing price (“VWAP”) of Autodesk’s common stock for the ninety consecutive trading day period ending on the release date. Shares to be issued are estimated to be 58 thousand based on the VWAP of Autodesk’s common stock for the ninety consecutive trading day period ending on April 29, 2022, the last trading day of the fiscal quarter. The awards are accrued as liability-classified awards and are recognized as compensation expense using the straight-line method over the vesting period. Autodesk agreed to issue a fixed amount of $11 million in common stock at a future date to certain employees in connection with other fiscal 2022 acquisitions. Issuance of the common stock is dependent on the respective employees’ continued employment through the vesting period. The number of shares to be issued will be determined based on the VWAP of Autodesk’s common stock at the issuance date. Shares to be issued are estimated to be 48 thousand based on the closing price of Autodesk’s common stock on April 29, 2022, the last trading day of the fiscal quarter. The awards are accounted for as liability-classified awards and are recognized as compensation expense using the straight-line method over the vesting period. Additionally, Autodesk issued 12,782 shares of restricted common stock to certain employees in connection with these fiscal 2022 acquisitions. These shares of restricted common stock were recorded as “Prepaid expenses and other current assets” and “Long-term other assets” on our Condensed Consolidated Balance Sheets and will be amortized to stock-based compensation expense for post-acquisition services using the straight-line method over the vesting period. Autodesk issued 40,289 shares of restricted common stock to certain employees in connection with a fiscal 2023 acquisition. These shares of restricted common stock were recorded as “Prepaid expenses and other current assets” and “Long-term other assets” on our Condensed Consolidated Balance Sheets and will be amortized to stock-based compensation expense for post-acquisition services using the straight-line method over the two-year vesting period. Additionally, Autodesk agreed to issue a fixed amount of $5 million in common stock at a future date to certain employees in connection with a fiscal 2023 acquisition. Issuance of the common stock is dependent on the respective employees’ continued employment through the vesting period. The number of shares to be issued will be determined based on the VWAP of Autodesk’s common stock at the issuance date. Shares to be issued are estimated to be 22 thousand based on the closing price of Autodesk’s common stock on April 29, 2022, the last trading day of the fiscal quarter. The awards are accounted for as liability-classified awards and are recognized as compensation expense using the straight-line method over the vesting period. See Note 8, “Acquisitions,” for further information. Autodesk recorded stock-based compensation expense related to common stock shares of $10 million and $3 million for the three months ended April 30, 2022 and 2021, respectively. 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 three months ended April 30, 2022 and 2021, is as follows: Three Months Ended April 30, 2022 2021 Issued shares (in thousands) 377 490 Average price of issued shares $ 173.83 $ 128.02 Weighted average grant date fair value of shares granted under the ESPP (1) $ 69.19 $ 91.17 _______________ (1) Calculated as of the award grant date using the Black-Scholes Merton (“BSM”) option pricing model. During the three months ended April 30, 2022, Autodesk reset the price for certain offering dates in connection with Autodesk’s ESPP as Autodesk’s closing stock price for the respective offering dates was above the closing stock price on March 31, 2022, which triggered a new 24-month offering period through March 31, 2024, resulting in modification expense of approximately $18 million to be recognized over the new offering period. Stock-based Compensation Expense The following table summarizes stock-based compensation expense for the three months ended April 30, 2022 and 2021, respectively, as follows: Three Months Ended April 30, 2022 2021 Cost of subscription and maintenance revenue $ 8 $ 5 Cost of other revenue 3 2 Marketing and sales 62 48 Research and development 59 47 General and administrative 23 14 Stock-based compensation expense related to stock awards and ESPP purchases 155 116 Tax expense (benefit) 6 (16) Stock-based compensation expense related to stock awards and ESPP purchases, net of tax $ 161 $ 100 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 the 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 April 30, 2022 Three Months Ended April 30, 2021 Performance Stock Units ESPP Performance Stock Units ESPP Range of expected volatility 39.4 - 40.7% 38.3 - 42.7% 36.9% 36.5 - 41.8% 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 1.2 - 1.6% 0.9 - 1.9% 0.1% 0.1 - 0.2% 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 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. Autodesk recognizes expense only for the stock-based awards that ultimately vest. Autodesk accounts for forfeitures of our stock-based awards as those forfeitures occur. |
Income Tax
Income Tax | 3 Months Ended |
Apr. 30, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Tax | Income Tax Autodesk had income tax expense of $49 million, relative to pre-tax income of $195 million for the three months ended April 30, 2022, and income tax benefit of $25 million, relative to pre-tax income of $131 million for the three months ended April 30, 2021. Income tax expense for the three months ended April 30, 2022, reflects an increase in tax expense relating to stock-based compensation and final U.S. foreign tax credit regulations enacted in fiscal 2023, offset by a U.S. foreign derived intangible income benefit driven by the capitalization of research and development expenditures starting in fiscal 2023 as required by the U.S. Tax Cuts and Jobs Act (“Tax Act”). In addition, fiscal 2022 included a non-recurring discrete tax benefit relating to the Supreme Court decision in India on the taxability of software license payments to nonresidents. 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. We have maintained a valuation allowance on our Netherlands, Canada, Australia, California, Michigan, and U.S. capital loss deferred tax assets as it is more likely than not that some or all of the deferred tax assets will not be realized. As of April 30, 2022, the Company had $212 million of gross unrecognized tax benefits, of which $34 million would reduce our valuation allowance, if recognized. The remaining $178 million would impact the effective tax rate, if recognized. It is possible that the amount of unrecognized tax benefits will decrease in the next 12 months for an audit settlement of approximately $7 million. |
Acquisitions
Acquisitions | 3 Months Ended |
Apr. 30, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
Acquisitions | Acquisitions The results of operations for the following acquisitions are included in the accompanying Condensed Consolidated Statements of Operations since the acquisition date. Pro forma results of operations have not been presented because the effects of the acquisition are not material to Autodesk’s Condensed Consolidated Financial Statements. During the three months ended April 30, 2022, Autodesk completed two business combinations. The acquisition-date fair value of the consideration transferred totaled $114 million, which consisted of $96 million of cash, 40,289 shares of Autodesk’s restricted common stock at an aggregate fair value of $10 million, and Autodesk will issue a fixed amount of $5 million in common stock at future dates to certain employees. Of the total consideration transferred, $97 million is considered purchase consideration. Of the remaining amount, $10 million was recorded in “Prepaid expenses and other current assets” and “Long-term other assets” on our Condensed Consolidated Balance Sheets and will be amortized to stock-based compensation expense using the straight-line method over the vesting period, $5 million was accounted for as liability-classified awards and will be recognized as compensation expense using the straight-line method over the vesting period and $2 million was recorded as stock-based compensation expense during the fiscal quarter ended April 30, 2022. The 40,289 shares of restricted common stock are subject to forfeiture until the second anniversary of the acquisition closing date. The shares are released on the first and second anniversaries, 40% and 60%, respectively, subject to continued employment. Issuance of the $5 million fixed value in common stock is dependent on the respective employees’ continued employment and vests 40% and 60% on the first and second anniversaries of the closing date, respectively. The number of shares will be determined based on the VWAP of Autodesk’s common stock for the ninety consecutive trading day period ending on the release date. The number of shares is estimated to be 22,000 based on the VWAP of Autodesk’s common stock for the ninety consecutive trading day period ending April 29, 2022, the last trading day of the fiscal quarter. See also Note 6, “Equity Compensation”. Purchase Price Allocation The acquisitions were accounted for as business combinations, and Autodesk recorded the tangible and intangible assets acquired and liabilities assumed based on their estimated fair values at the date of each respective 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 was primarily attributable to synergies expected to arise after the respective acquisition. Goodwill of $43 million is deductible for U.S. income tax purposes. The transaction costs related to the acquisitions were not material. The following table summarizes the fair value of the assets acquired and liabilities assumed by major class for the business combinations that were completed during the three months ended April 30, 2022: Aggregated Total Developed technologies $ 8 Customer relationships 4 Goodwill 85 Deferred revenue and long-term deferred revenue (2) Long-term deferred income taxes 1 Net tangible assets 1 Total $ 97 |
Intangible Assets, Net
Intangible Assets, Net | 3 Months Ended |
Apr. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets, Net | Intangible Assets, Net The following tables summarize the Company's intangible assets, net, as of April 30, 2022, and January 31, 2022: April 30, 2022 Gross Carrying Amount (1) Accumulated Amortization Net Customer relationships $ 661 $ (378) $ 283 Developed technologies 855 (674) 181 Trade names and patents 116 (101) 15 Total intangible assets $ 1,632 $ (1,153) $ 479 _______________ (1) Includes the effects of foreign currency translation. January 31, 2022 Gross Carrying Amount (1) Accumulated Amortization Net Customer relationships $ 667 $ (375) $ 292 Developed technologies 847 (661) 186 Trade names and patents 116 (100) 16 Total intangible assets $ 1,630 $ (1,136) $ 494 _______________ (1) Includes the effects of foreign currency translation. |
Cloud Computing Arrangements
Cloud Computing Arrangements | 3 Months Ended |
Apr. 30, 2022 | |
Capitalized Contract Cost [Abstract] | |
Cloud Computing Arrangements | Revenue Recognition Revenue Disaggregation Autodesk recognizes revenue from the sale of (1) product subscriptions, cloud service offerings, and enterprise business agreements (“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 Condensed Consolidated Statements of Operations. Information regarding the components of Autodesk's net revenue from contracts with customers by product family, geographic location, sales channel, and product type is as follows: Three Months Ended April 30, 2022 2021 Net revenue by product family: Architecture, Engineering and Construction $ 518 $ 443 AutoCAD and AutoCAD LT 346 285 Manufacturing 225 197 Media and Entertainment 68 55 Other 13 9 Total net revenue $ 1,170 $ 989 Net revenue by geographic area: Americas U.S. $ 398 $ 324 Other Americas 86 67 Total Americas 484 391 Europe, Middle East and Africa 449 383 Asia Pacific 237 215 Total net revenue $ 1,170 $ 989 Net revenue by sales channel: Indirect $ 769 $ 661 Direct 401 328 Total net revenue $ 1,170 $ 989 Net revenue by product type: Design $ 1,004 $ 865 Make 103 81 Other 63 43 Total net revenue $ 1,170 $ 989 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 60 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. Remaining performance obligations consist of tota l short-term, long-term, a nd unbilled deferred revenue. As of April 30, 2022, Autodesk had remaining performance obligations of $4.68 billion, which represents the total contract price allocated to remaining performance obligations, which are generally recognized over the next three years. We expect to recognize $3.14 billion or 67% of our remaining performance obligations as revenue during the next 12 months. We expect to recognize the remaining $1.54 billion or 33% of our remaining performance obligations as revenue thereafter. The amount of remaining performance obligations may be impacted by the specific timing, duration, and size of customer subscription and support 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 April 30, 2022. Deferred revenue relates to billings 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 three months ended April 30, 2022 and 2021, that was included in the deferred revenue balances at January 31, 2022 and 2021, was $987 million and $838 million, respectively. The satisfaction of performance obligations typically lags behind payments received under revenue contracts from customers. |
Goodwill
Goodwill | 3 Months Ended |
Apr. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill | Goodwill Goodwill consists of the excess of the 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 three months ended April 30, 2022, (in millions): Balance as of January 31, 2022 $ 3,753 Less: accumulated impairment losses as of January 31, 2022 (149) Net balance as of January 31, 2022 3,604 Additions arising from acquisitions during the period 85 Effect of foreign currency translation and measurement period adjustments (1) (47) Balance as of April 30, 2022 $ 3,642 _______________ |
Deferred Compensation
Deferred Compensation | 3 Months Ended |
Apr. 30, 2022 | |
Deferred Compensation Arrangements [Abstract] | |
Deferred Compensation | Deferred Compensation At April 30, 2022, Autodesk had investments in debt and equity securities that are held in a rabbi trust under non-qualified deferred compensation plans and a corresponding deferred compensation liability totaling $85 million. Of this amount, $7 million was classified as current and $78 million was classified as non-current in the Condensed Consolidated Balance Sheets. Of the $89 million related to the investments in a rabbi trust as of January 31, 2022, $7 million was classified as current and $82 million was classified as non-current. The current and non-current asset portions of the investments in debt and equity securities that are held in a rabbi trust under non-qualified deferred compensation plans are recorded in the Condensed Consolidated Balance Sheets under “Prepaid expenses and other current assets” and “Long-term other assets,” respectively. The current and non-current portions of the liability are recorded in the Condensed Consolidated Balance Sheets under “Accrued compensation” and “Long-term other liabilities,” respectively. Costs to obtain a contract with a customer |
Computer Equipment, Software, L
Computer Equipment, Software, Leasehold Improvements, and Furniture, Net | 3 Months Ended |
Apr. 30, 2022 | |
Property, Plant and Equipment [Abstract] | |
Computer Equipment, Software, Leasehold Improvements, and Furniture, Net | Computer Equipment, Software, Leasehold Improvements, and Furniture, Net Computer equipment, software, leasehold improvements, and furniture and equipment and the related accumulated depreciation were as follows: April 30, 2022 January 31, 2022 Computer hardware, at cost $ 138 $ 137 Computer software, at cost 55 55 Leasehold improvements, land and buildings, at cost 356 351 Furniture and equipment, at cost 93 93 642 636 Less: Accumulated depreciation (480) (474) Computer hardware, software, leasehold improvements, and furniture and equipment, net $ 162 $ 162 |
Borrowing Arrangements
Borrowing Arrangements | 3 Months Ended |
Apr. 30, 2022 | |
Debt Disclosure [Abstract] | |
Borrowing Arrangements | Borrowing Arrangements In October 2021, Autodesk issued $1.0 billion aggregate principal amount of 2.4% notes due December 15, 2031 (“2021 Notes”). Net of a discount of $3 million and issuance costs of $9 million, Autodesk received net proceeds of $988 million from issuance of the 2021 Notes. Both the discount and issuance costs are being amortized to interest expense over the term of the 2021 Notes using the effective interest method. The 2021 Notes were designated as sustainability bonds, the net proceeds of which are used to fund environmentally and socially responsible projects in the following areas: eco-efficient products, production technologies, and processes, sustainable water and wastewater management, renewable energy & energy efficiency, green buildings, pollution prevention and control, and socioeconomic advancement and empowerment. In September 2021, the Company entered into an Amended and Restated Credit Agreement (the “Credit Agreement”) by and among the Company, the lenders party thereto and Citibank, N.A. (“Citibank”), as administrative agent, which provides for an unsecured revolving loan facility in the aggregate principal amount of $1.5 billion, with an option to be increased up to $2.0 billion. The revolving credit facility is available for working capital or other business needs. The Credit Agreement contains customary covenants that could, among other things, restrict the imposition of liens on Autodesk’s assets, and restrict Autodesk’s ability to incur additional indebtedness or make dispositions of assets if Autodesk fails to maintain compliance with the financial covenants. The Credit Agreement requires the Company to maintain a maximum leverage ratio of Consolidated Covenant Debt to Consolidated EBITDA (each as defined in the Credit Agreement) no greater than 3.50:1.00 during the term of the credit facility, subject to adjustment following the consummation of certain acquisitions up to 4.00:1.00 for up to four consecutive fiscal quarters. At April 30, 2022, Autodesk was in compliance with the Credit Agreement covenants. Revolving loans under the Credit Agreement will bear interest, at the Company’s option, at either (i) a per annum rate equal to the Base Rate (as defined in the Credit Agreement) plus a margin of between 0.000% and 0.375%, depending on the Company’s Public Debt Rating (as defined in the Credit Agreement), or (ii) a per annum rate equal to the rate at which dollar deposits are offered in the London interbank market, plus a margin of between 0.785% and 1.375%, depending on Company’s Public Debt Rating. The Credit Agreement includes customary provisions to provide for the eventual replacement of LIBOR as a benchmark interest rate. The interest rates for the revolving credit facility are subject to upward or downward adjustments, on an annual basis, if the Company achieves, or fails to achieve, certain sustainability-linked targets based on two key performance indicator metrics: (i) the amount of scope 1 and 2 greenhouse gas emissions from the global operations of the Company and its subsidiaries during a fiscal year less qualified emissions reduction instruments and (ii) the percentage of employees of the Company and its subsidiaries identifying as female working in technical roles. The maturity date on the Credit Agreement is September 30, 2026. At April 30, 2022, Autodesk had no outstanding borrowings under the Credit Agreement. In January 2020, Autodesk issued $500 million aggregate principal amount of 2.85% notes due January 15, 2030 (“2020 Notes”). Net of a discount of $1 million and issuance costs of $5 million, Autodesk received net proceeds of $494 million from issuance of the 2020 Notes. Both the discount and issuance costs are being amortized to interest expense over the term of the 2020 Notes using the effective interest method. The proceeds of the 2020 Notes were used for the repayment of $450 million of debt due June 15, 2020 , and the remainder is available for general corporate purposes. In June 2017, Autodesk issued $500 million aggregate principal amount of 3.5% notes due June 15, 2027 (the “2017 Notes”). Net of a discount of $3 million and issuance costs of $5 million, Autodesk received net proceeds of $492 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 million of debt due December 15, 2017, and the remainder is available for general corporate purposes. In June 2015, Autodesk issued $300 million aggregate principal amount of 4.375% notes due June 15, 2025 (“2015 Notes”). Net of a discount of $1 million, and issuance costs of $3 million, Autodesk received net proceeds of $296 million from issuance of the 2015 Notes. Both the discount and issuance costs are being amortized to interest expense over the respective term of the 2015 Notes using the effective interest method. The proceeds of the 2015 Notes are available for general corporate purposes. In December 2012, Autodesk issued $350 million aggregate principal amount of 3.6% notes due December 15, 2022 (“2012 Notes”). Autodesk received net proceeds of $347 million from issuance of the 2012 Notes, net of aggregate total discount and issuance costs of $3 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. The 2021 Notes, 2020 Notes, 2017 Notes, 2015 Notes and the 2012 Notes may all be redeemed 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 all the aforementioned notes, at a price equal to 101% of their principal amount, plus accrued and unpaid interest to the date of repurchase. All 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 the quoted market prices, the approximate fair value of the notes as of April 30, 2022, were as follows: Aggregate Principal Amount Fair value 2012 Notes $ 350 $ 350 2015 Notes 300 305 2017 Notes 500 486 2020 Notes 500 443 2021 Notes 1,000 836 The expected future principal payments for all borrowings as of April 30, 2022, were as follows (in millions): Fiscal year ending 2023 (remainder) $ 350 2024 — 2025 — 2026 300 2027 — Thereafter 2,000 Total principal outstanding $ 2,650 |
Leases
Leases | 3 Months Ended |
Apr. 30, 2022 | |
Leases [Abstract] | |
Leases | Leases Autodesk has operating leases for real estate, vehicles, and certain equipment. Leases have remaining lease terms of less than 1 year to 68 years, some of which include options to extend the lease with renewal terms from 1 year to 10 years and some of which include options to terminate the leases from less than 1 year to 8 years. Options to extend or terminate the lease are considered in determining the lease term when it is reasonably certain that the option will be exercised. Payments under our lease arrangements are primarily fixed; however, certain lease agreements contain variable payments, which are expensed as incurred and not included in the operating lease assets and liabilities. These amounts include payments affected by the Consumer Price Index, payments for common area maintenance that are subject to annual reconciliation, and payments for maintenance and utilities. The Company’s leases do not contain residual value guarantees or material restrictive covenants. Short-term leases are recognized in the Condensed Consolidated Statements of Operations on a straight-line basis over the lease term. Short-term lease expense was not material for the periods presented. Changes in operating lease right-of-use assets and operating lease liabilities are presented net in the “accounts payable and other liabilities” line in the Condensed Consolidated Statements of Cash Flows with the exception of “Lease-related asset impairments” which is presented in “Adjustments to reconcile net income to net cash provided by operating activities”. During the three months ended April 30, 2022, Autodesk recorded total operating lease right-of-use assets impairment charges of $2 million. Autodesk did not recognize any charges during the three months ended April 30, 2021. Autodesk assessed the asset groupings for disaggregation based on the proposed changes in use of the facilities. For asset groups where impairment was triggered, Autodesk utilized an income approach to value the asset groups by developing discounted cash flow models. The significant assumptions used in the discounted cash flow models for each of the asset groups included projected sublease income over the remaining lease terms, expected downtime prior to the commencement of future subleases, expected lease incentives offered to future tenants, and discount rates that reflected the level of risk associated with these future cash flows. These significant assumptions are considered Level 1 and Level 2 inputs in accordance with the fair value hierarchy described in Note 1, “Business and Summary of Significant Accounting Policies” in the Notes to Consolidated Financial Statements in our Form 10-K for the fiscal year ended January 31, 2022. The operating lease right-of-use asset charges are included in “general and administrative” in the Company’s Condensed Consolidated Statements of Operations. The components of lease cost were as follows: Three Months Ended April 30, 2022 Cost of subscription and maintenance revenue Cost of other revenue Marketing and sales Research and development General and administrative Total Operating lease cost $ 2 $ 1 $ 10 $ 7 $ 3 $ 23 Variable lease cost — — 2 2 1 5 Three Months Ended April 30, 2021 Cost of subscription and maintenance revenue Cost of other revenue Marketing and sales Research and development General and administrative Total Operating lease cost $ 2 $ — $ 11 $ 8 $ 4 $ 25 Variable lease cost — — 2 2 1 5 Supplemental operating cash flow information related to leases is as follows: Three Months Ended April 30, 2022 2021 Cash paid for operating leases included in operating cash flows (1) $ 34 $ 30 Non-cash operating lease liabilities arising from obtaining operating lease right-of-use assets 23 5 _______________ (1) Includes $5 million in variable lease payments for both the three months ended April 30, 2022 and 2021, not included in “Operating lease liabilities” and “Long-term operating lease liabilities” on the Condensed Consolidated Balance Sheets. The weighted average remaining lease term for operating leases is 6.7 and 6.9 years at April 30, 2022, and January 31, 2022, respectively. The weighted average discount rate was 2.37% and 2.46% at April 30, 2022, and January 31, 2022, respectively. Maturities of operating lease liabilities were as follows: Fiscal year ending 2023 (remainder) $ 65 2024 92 2025 72 2026 60 2027 42 Thereafter 126 457 Less imputed interest 33 Present value of operating lease liabilities $ 424 As of April 30, 2022, Autodesk had additional operating lease minimum lease payments of $2 million for executed leases that have not yet commenced, primarily for office locations. |
Derivative Instruments
Derivative Instruments | 3 Months Ended |
Apr. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments | Derivative Instruments The fair values of derivative instruments in Autodesk’s Condensed Consolidated Balance Sheets were as follows as of April 30, 2022, and January 31, 2022: Balance Sheet Location Fair Value at April 30, 2022 January 31, 2022 Derivative Assets Foreign currency contracts designated as cash flow hedges Prepaid expenses and other current assets $ 75 $ 12 Derivatives not designated as hedging instruments Prepaid expenses and other current assets and long-term other assets 21 6 Total derivative assets $ 96 $ 18 Derivative Liabilities Foreign currency contracts designated as cash flow hedges Other accrued liabilities $ 15 $ 7 Derivatives not designated as hedging instruments Other accrued liabilities 5 4 Total derivative liabilities $ 20 $ 11 The effects of derivatives designated as hedging instruments on Autodesk’s Condensed Consolidated Statements of Operations were as follows for the three months ended April 30, 2022 and 2021 (amounts presented include any income tax effects): Three Months Ended April 30, 2022 2021 Amount of gain (loss) recognized in accumulated other comprehensive income, net of tax, (effective portion) $ 55 $ 6 Amount and location of gain (loss) reclassified from accumulated other comprehensive loss into income (effective portion) Net revenue $ 6 $ (5) Cost of revenue (1) — Operating expenses (3) 1 Total $ 2 $ (4) The amount and location of gain recognized in net income of derivatives not designated as hedging instruments on Autodesk’s Condensed Consolidated Statements of Operations were as follows for the three months ended April 30, 2022 and 2021, (amounts presented include any income tax effects): Three Months Ended April 30, 2022 2021 Interest and other expense, net $ 24 $ 7 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 currency collars and forward contracts are designated and documented as cash flow hedges. The notional amounts of these contracts are presented net settled and were $896 million at April 30, 2022, and $1.08 billion at January 31, 2022. Outstanding contracts are recognized as either assets or liabilities on the Company's Condensed Consolidated Balance Sheet at fair value. The majority of the net gain of $79 million remaining in “Accumulated other comprehensive loss” as of April 30, 2022, is expected to be recognized into earnings within the next 24 months. The location and amount of gain or loss recognized in income on cash flow hedges together with the total amount of income or expense presented in the Company's Condensed Consolidated Statements of Operations where the effects of the hedge are recorded were as follows for the three months ended April 30, 2022 and 2021: Three Months Ended April 30, 2022 Net revenue Cost of revenue Operating expenses Subscription revenue Maintenance revenue Cost of subscription and maintenance revenue Marketing and sales Research and development General and administrative Total amounts of income and expense line items presented in the condensed consolidated statements of operations $ 1,089 $ 18 $ 84 $ 419 $ 289 $ 120 (Loss) on cash flow hedging relationships in Subtopic ASC 815-20 Foreign exchange contracts Amount of gain (loss) reclassified from accumulated other comprehensive income into income $ 6 $ — $ (1) $ (2) $ — $ (1) Three Months Ended April 30, 2021 Net Revenue Cost of revenue Operating expenses Subscription Revenue (1) Maintenance Revenue Cost of subscription and maintenance revenue Marketing and sales Research and development General and administrative Total amounts of income and expense line items presented in the condensed consolidated statements of operations $ 927 $ 19 $ 68 $ 377 $ 266 $ 112 Gain (loss) on cash flow hedging relationships in Subtopic ASC 815-20 Foreign exchange contracts Amount of (loss) gain reclassified from accumulated other comprehensive income into income $ (5) $ — $ — $ 1 $ — $ — ____________________ (1) During the quarter ended April 30, 2022, the Company changed its presentation of certain subscription plan offerings in our Condensed Consolidated Statement of Operations. Accordingly, prior period amounts have been reclassified to conform to the current period presentation in all material respects. See Note 1, “Basis of Presentation,” for further information. Derivatives not designated as hedging instruments |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Apr. 30, 2022 | |
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 Autodesk is involved in a variety of claims, suits, investigations, inquiries, and proceedings in the normal course of business including claims of alleged infringement of intellectual property rights, commercial, employment, tax, prosecution of unauthorized use, business practices, and other matters. Autodesk routinely reviews the status of each significant matter and assesses its potential financial exposure. If the potential loss from any matter is considered probable and the amount can be |
Stockholders' Equity
Stockholders' Equity | 3 Months Ended |
Apr. 30, 2022 | |
Equity [Abstract] | |
Stockholders' Equity | Stockholders' Equity Changes in stockholders' equity by component, net of tax, as of April 30, 2022, are as follows: Common stock and additional paid-in capital Accumulated other comprehensive loss Accumulated deficit Total stockholders' equity Shares Amount Balances, January 31, 2022 218 $ 2,923 $ (124) $ (1,950) $ 849 Common shares issued under stock plans 1 (10) (10) Stock-based compensation expense 146 146 Shares issued related to business combination 10 10 Net income 146 146 Other comprehensive loss (24) (24) Repurchase and retirement of common shares (1) (2) (97) (339) (436) Balances, April 30, 2022 217 $ 2,972 $ (148) $ (2,143) $ 681 ________________ (1) During the three months ended April 30, 2022, Autodesk repurchased 2,058 thousand shares at an average repurchase price of $211.71 per share. At April 30, 2022, 6 million shares remained available for repurchase under the repurchase program approved by the Board of Directors. Changes in stockholders' equity by component, net of tax, as of April 30, 2021, are as follows: Common stock and additional paid-in capital Accumulated other comprehensive loss Accumulated deficit Total stockholders' equity Shares Amount Balances, January 31, 2021 220 $ 2,579 $ (126) $ (1,488) $ 965 Common shares issued under stock plans 1 9 9 Stock-based compensation expense 114 114 Shares issued related to business combination — 3 — — 3 Net income 156 156 Other comprehensive income 24 24 Repurchase and retirement of common shares (1) (1) (66) (77) (143) Balances, April 30, 2021 220 $ 2,639 $ (102) $ (1,409) $ 1,128 ________________ |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 3 Months Ended |
Apr. 30, 2022 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss Accumulated other comprehensive loss, net of taxes, consisted of the following at April 30, 2022: 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, 2022 $ 24 $ 18 $ (16) $ (150) $ (124) Other comprehensive income (loss) before reclassifications 65 (1) — (75) (11) Pre-tax gains reclassified from accumulated other comprehensive loss (2) — (3) — (5) Tax effects (8) — — — (8) Net current period other comprehensive income (loss) 55 (1) (3) (75) (24) Balances, April 30, 2022 $ 79 $ 17 $ (19) $ (225) $ (148) Accumulated other comprehensive loss, net of taxes, consisted of the following at April 30, 2021: Net Unrealized Gains (Losses) on Derivative Instruments Net Unrealized Gains on Available-for-Sale Debt Securities Defined Benefit Pension Components Foreign Currency Translation Adjustments Total Balances, January 31, 2021 $ (24) $ 6 $ (21) $ (87) $ (126) Other comprehensive income before reclassifications 8 4 — 12 24 Pre-tax losses reclassified from accumulated other comprehensive loss 4 — — — 4 Tax effects (2) — — (2) (4) Net current period other comprehensive income 10 4 — 10 24 Balances, April 30, 2021 $ (14) $ 10 $ (21) $ (77) $ (102) Reclassifications related to gains and losses on available-for-sale debt securities are included in “Interest and other 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 of net periodic benefit cost are included in “Interest and other expense, net.” |
Net Income Per Share
Net Income Per Share | 3 Months Ended |
Apr. 30, 2022 | |
Earnings Per Share [Abstract] | |
Net Income Per Share | Net Income Per Share Basic net income per share is computed using the weighted average number of shares of common stock outstanding for the period. Diluted net income per share is computed using the weighted average number of shares of common stock outstanding for the period and potentially dilutive common shares, including the effect of restricted stock units, performance share awards, and stock options using the treasury stock method. The following table sets forth the computation of the numerators and denominators used in the basic and diluted net income per share amounts: Three Months Ended April 30, 2022 2021 Numerator: Net income $ 146 $ 156 Denominator: Denominator for basic net income per share—weighted average shares 217 220 Effect of dilutive securities 2 2 Denominator for dilutive net income per share 219 222 Basic net income per share $ 0.67 $ 0.71 Diluted net income per share $ 0.67 $ 0.70 The computation of diluted net income 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 periods. For the three months ended April 30, 2022 and 2021, there were 531 thousand and 410 thousand potentially anti-dilutive shares excluded from the computation of diluted net income per share, respectively. |
Segments
Segments | 3 Months Ended |
Apr. 30, 2022 | |
Segment Reporting [Abstract] | |
Segments | Segments Autodesk operates in one operating segment and accordingly, all required financial segment information is included in the condensed consolidated financial statements. Operating segments are defined as components of an enterprise for which separate financial information is evaluated regularly by the chief operating decision makers (“CODM”) in deciding how to allocate resources and assess performance. 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 CODM allocates resources and assesses the operating performance of the Company as a whole. Information regarding Autodesk’s long-lived assets by geographic area is as follows: April 30, 2022 January 31, 2022 Long-lived assets (1): Americas U.S. $ 336 $ 323 Other Americas 18 20 Total Americas 354 343 Europe, Middle East, and Africa 83 92 Asia Pacific 28 32 Total long-lived assets $ 465 $ 467 ____________________ |
Recently Issued Accounting St_2
Recently Issued Accounting Standards (Policies) | 3 Months Ended |
Apr. 30, 2022 | |
Accounting Changes and Error Corrections [Abstract] | |
Basis of Presentation | The accompanying unaudited Condensed Consolidated Financial Statements of Autodesk, Inc. (“Autodesk,” “we,” “us,” “our,” or the “Company”) as of April 30, 2022, and for the three months ended April 30, 2022 and 2021, 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 months ended April 30, 2022, are not necessarily indicative of the results for the entire fiscal year ending January 31, 2023, or for any other period. Further, the balance sheet as of January 31, 2022, 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, 2022. 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, 2022, filed on March 14, 2022. |
Recently Issued Accounting Standards and Standards not yet Adopted | 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 three months ended April 30, 2022, that are applicable to the Company. Accounting Standards Adopted In March 2020, FASB issued Accounting Standards Update (“ASU”) No. 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting” (“ASU No. 2020-04”), which provides optional |
Revenue Recognition | Revenue DisaggregationAutodesk recognizes revenue from the sale of (1) product subscriptions, cloud service offerings, and enterprise business agreements (“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 Condensed Consolidated Statements of Operations. |
Basis of Presentation (Tables)
Basis of Presentation (Tables) | 3 Months Ended |
Apr. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Error Corrections and Prior Period Adjustments | The effect of the change on the Condensed Consolidated Statements of Operations for the three months ended April 30, 2021, was as follows: As Reported Three Months Ended April 30, 2021 Effect of Change in Presentation As Adjusted Three Months Ended April 30, 2021 Net revenue: Subscription $ 948 $ (21) $ 927 Other 22 21 43 Total net revenue 989 — 989 |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 3 Months Ended |
Apr. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | Information regarding the components of Autodesk's net revenue from contracts with customers by product family, geographic location, sales channel, and product type is as follows: Three Months Ended April 30, 2022 2021 Net revenue by product family: Architecture, Engineering and Construction $ 518 $ 443 AutoCAD and AutoCAD LT 346 285 Manufacturing 225 197 Media and Entertainment 68 55 Other 13 9 Total net revenue $ 1,170 $ 989 Net revenue by geographic area: Americas U.S. $ 398 $ 324 Other Americas 86 67 Total Americas 484 391 Europe, Middle East and Africa 449 383 Asia Pacific 237 215 Total net revenue $ 1,170 $ 989 Net revenue by sales channel: Indirect $ 769 $ 661 Direct 401 328 Total net revenue $ 1,170 $ 989 Net revenue by product type: Design $ 1,004 $ 865 Make 103 81 Other 63 43 Total net revenue $ 1,170 $ 989 |
Financial Instruments (Tables)
Financial Instruments (Tables) | 3 Months Ended |
Apr. 30, 2022 | |
Investments, All Other Investments [Abstract] | |
Schedule of Cost and Fair Value of Financial Instruments Disclosure | The following tables summarize the Company's financial instruments' by significant investment category as of April 30, 2022, and January 31, 2022: April 30, 2022 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Cash equivalents (1): Money market funds $ 531 $ — $ — $ 531 Commercial paper 117 — — 117 U.S. government securities 20 — — 20 Agency discount notes 8 — — 8 Other (2) 8 — — 8 Marketable securities: Short-term Corporate debt securities 28 — — 28 Asset backed securities 20 — — 20 Certificates of deposit 10 — — 10 Commercial paper 6 — — 6 Other (3) 1 2 — 3 Long-term Corporate debt securities 39 — — 39 Mutual funds (4) (5) 78 8 (1) 85 Convertible debt securities (5) 3 — — 3 Total $ 869 $ 10 $ (1) $ 878 ___________________ (1) Included in “Cash and cash equivalents” in the accompanying Condensed Consolidated Balance Sheets. These investments are classified as debt securities. (2) Consists of custody cash deposits, sovereign bonds, asset backed securities, and certificates of deposit. (3) Consists of common stock and municipal bonds. (4) See Note 12, “Deferred Compensation” for more information. (5) Included in “Prepaid expenses and other current assets” or “Long-term other assets” in the accompanying Condensed Consolidated Balance Sheets. January 31, 2022 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Cash equivalents (1): Money market funds $ 302 $ — $ — $ 302 Commercial paper 55 — — 55 U.S government securities 25 — — 25 Custody cash deposit 18 — — 18 Corporate debt securities 18 — — 18 Certificates of deposit 6 — — 6 Other (2) 4 — — 4 Marketable securities: Short-term Commercial paper 103 — — 103 Corporate debt securities 61 — — 61 Asset backed securities 26 — — 26 Certificate of deposit 14 — — 14 U.S. government securities 13 — — 13 Municipal bonds 11 — — 11 Common Stock — 4 — 4 Other (3) 4 — — 4 Long-term Corporate debt securities 44 — — 44 Other (4) 1 — — 1 Mutual funds (5) (6) 74 16 (1) 89 Total $ 779 $ 20 $ (1) $ 798 ____________________ (1) Included in “Cash and cash equivalents” in the accompanying Condensed Consolidated Balance Sheets. These investments are classified as debt securities. (2) Consists of sovereign bonds and municipal bonds. (3) Consists of sovereign bonds and supranational bonds. (4) Consists of asset backed securities. (5) See Note 12, “Deferred Compensation” for more information. (6) Included in “Prepaid expenses and other current assets,” or “Long-term other assets,” in the accompanying Condensed Consolidated Balance Sheets. The following tables summarize the Company's financial instruments measured at fair value on a recurring basis by significant investment category as of April 30, 2022, and January 31, 2022: April 30, 2022 Level 1 Level 2 Level 3 Total Assets: Cash equivalents (1): Money market funds $ 531 $ — $ — $ 531 Commercial paper — 117 — 117 U.S. government securities — 20 — 20 Agency discount notes — 8 — 8 Other (2) 3 5 — 8 Marketable securities: Short-term Corporate debt securities — 28 — 28 Asset backed securities — 20 — 20 Certificates of deposit — 10 — 10 Commercial paper — 6 — 6 Other (3) 2 1 — 3 Long-term Corporate debt securities — 39 — 39 Long-term other assets: Mutual funds (4) (5) 85 — — 85 Convertible debt securities — — 3 3 Derivative assets (5): Derivative contract assets — 94 — 94 Strategic investments derivative assets — — 2 2 Derivative liabilities (6): Derivative contract liabilities — (20) — (20) Total $ 621 $ 328 $ 5 $ 954 ____________________ (1) Included in “Cash and cash equivalents” in the accompanying Condensed Consolidated Balance Sheets. These investments are classified as debt securities. (2) Consists of custody cash deposits, sovereign bonds, asset backed securities, and certificates of deposit. (3) Consists of common stock and municipal bonds. (4) See Note 12, “Deferred Compensation” for more information. (5) Included in “Prepaid expenses and other current assets” or “Long-term other assets” in the accompanying Condensed Consolidated Balance Sheets. (6) Included in “Other accrued liabilities” in the accompanying Condensed Consolidated Balance Sheets. January 31, 2022 Level 1 Level 2 Level 3 Total Assets: Cash equivalents (1): Money market funds $ 302 $ — $ — $ 302 Commercial paper — 55 — 55 U.S government securities — 25 — 25 Custody cash deposit 18 — — 18 Corporate debt securities — 18 — 18 Certificates of deposit — 6 — 6 Other (2) — 4 — 4 Marketable securities: Short-term Commercial paper — 103 — 103 Corporate debt securities — 61 — 61 Asset backed securities — 26 — 26 Certificate of deposit — 14 — 14 U.S. government securities — 13 — 13 Municipal bonds — 11 — 11 Common Stock 4 — — 4 Other (3) — 4 — 4 Long-term Corporate debt securities — 44 — 44 Other (4) — 1 — 1 Long-term other assets: Mutual funds (5) (6) 89 — — 89 Derivative assets: Derivative contract assets (6) — 18 — 18 Derivative liabilities: Derivative contract liabilities (7) — (11) — (11) Total $ 413 $ 392 $ — $ 805 ____________________ (1) Included in “Cash and cash equivalents” in the accompanying Condensed Consolidated Balance Sheets. These investments are classified as debt securities. (2) Consists of sovereign bonds and municipal bonds. (3) Consists of sovereign bonds and supranational bonds. (4) Consists of asset backed securities. (5) See Note 12, “Deferred Compensation” for more information. (6) Included in “Prepaid expenses and other current assets,” or “Long-term other assets,” in the accompanying Condensed Consolidated Balance Sheets. (7) Included in “Other accrued liabilities” in the accompanying Condensed Consolidated Balance Sheets. |
Schedule of Investments Classified by Contractual Maturity Date | The following table summarizes the fair values of investments classified as marketable debt securities by contractual maturity date as of April 30, 2022: Fair Value Due within 1 year $ 33 Due in 1 year through 5 years 71 Total $ 104 |
Schedule of marketable securities | Proceeds from the sale and maturity of marketable debt securities were as follows: Three Months Ended April 30, 2022 2021 Marketable debt securities $ 202 $ 4 |
Schedule of Equity Securities Without Readily Determinable Fair Value | Adjustments to the carrying value of our strategic investment equity securities with no readily determined fair values measured using the measurement alternative are included in “Interest and other expense, net” on the Company's Condensed Consolidated Statements of Operations. These adjustments were as follows: Three Months Ended April 30, Cumulative Amount as of 2022 2021 April 30, 2022 Upward adjustments $ — $ 1 $ 23 Negative adjustments, including impairments (2) (4) (79) Net adjustments $ (2) $ (3) $ (56) |
Schedule of Available-for-sale Securities Reconciliation | A reconciliation of the change in Autodesk’s Level 3 items for the three months ended April 30, 2022, is as follows: Fair Value Measurements Using Derivative Contract Convertible Debt Securities Total Balances, January 31, 2022 $ — $ — $ — Purchases 2 3 5 Balances, April 30, 2022 $ 2 $ 3 $ 5 |
Equity Compensation (Tables)
Equity Compensation (Tables) | 3 Months Ended |
Apr. 30, 2022 | |
Share-based Payment Arrangement [Abstract] | |
Schedule of Summary of Restricted Stock Activity | A summary of restricted stock activity for the three months ended April 30, 2022, is as follows: Unvested Weighted (in thousands) Unvested restricted stock units at January 31, 2022 4,033 $ 251.17 Granted 2,738 199.16 Vested (1,018) 256.17 Canceled/Forfeited (161) 242.48 Performance Adjustment (1) (2) 299.07 Unvested restricted stock units at April 30, 2022 5,590 $ 225.12 _______________ |
Schedule of Summary of the ESPP Activity | A summary of the ESPP activity for the three months ended April 30, 2022 and 2021, is as follows: Three Months Ended April 30, 2022 2021 Issued shares (in thousands) 377 490 Average price of issued shares $ 173.83 $ 128.02 Weighted average grant date fair value of shares granted under the ESPP (1) $ 69.19 $ 91.17 _______________ |
Schedule of Stock-based Compensation Expense | The following table summarizes stock-based compensation expense for the three months ended April 30, 2022 and 2021, respectively, as follows: Three Months Ended April 30, 2022 2021 Cost of subscription and maintenance revenue $ 8 $ 5 Cost of other revenue 3 2 Marketing and sales 62 48 Research and development 59 47 General and administrative 23 14 Stock-based compensation expense related to stock awards and ESPP purchases 155 116 Tax expense (benefit) 6 (16) Stock-based compensation expense related to stock awards and ESPP purchases, net of tax $ 161 $ 100 |
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 April 30, 2022 Three Months Ended April 30, 2021 Performance Stock Units ESPP Performance Stock Units ESPP Range of expected volatility 39.4 - 40.7% 38.3 - 42.7% 36.9% 36.5 - 41.8% 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 1.2 - 1.6% 0.9 - 1.9% 0.1% 0.1 - 0.2% |
Acquisitions (Tables)
Acquisitions (Tables) | 3 Months Ended |
Apr. 30, 2022 | |
Business Combination and Asset Acquisition [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 business combinations that were completed during the three months ended April 30, 2022: Aggregated Total Developed technologies $ 8 Customer relationships 4 Goodwill 85 Deferred revenue and long-term deferred revenue (2) Long-term deferred income taxes 1 Net tangible assets 1 Total $ 97 |
Intangible Assets, Net (Tables)
Intangible Assets, Net (Tables) | 3 Months Ended |
Apr. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Finite-lived Intangible Assets | The following tables summarize the Company's intangible assets, net, as of April 30, 2022, and January 31, 2022: April 30, 2022 Gross Carrying Amount (1) Accumulated Amortization Net Customer relationships $ 661 $ (378) $ 283 Developed technologies 855 (674) 181 Trade names and patents 116 (101) 15 Total intangible assets $ 1,632 $ (1,153) $ 479 _______________ (1) Includes the effects of foreign currency translation. January 31, 2022 Gross Carrying Amount (1) Accumulated Amortization Net Customer relationships $ 667 $ (375) $ 292 Developed technologies 847 (661) 186 Trade names and patents 116 (100) 16 Total intangible assets $ 1,630 $ (1,136) $ 494 _______________ (1) Includes the effects of foreign currency translation. |
Goodwill (Tables)
Goodwill (Tables) | 3 Months Ended |
Apr. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | The following table summarizes the changes in the carrying amount of goodwill for the three months ended April 30, 2022, (in millions): Balance as of January 31, 2022 $ 3,753 Less: accumulated impairment losses as of January 31, 2022 (149) Net balance as of January 31, 2022 3,604 Additions arising from acquisitions during the period 85 Effect of foreign currency translation and measurement period adjustments (1) (47) Balance as of April 30, 2022 $ 3,642 _______________ |
Computer Equipment, Software,_2
Computer Equipment, Software, Leasehold Improvements, and Furniture, Net (Tables) | 3 Months Ended |
Apr. 30, 2022 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Computer Equipment, Software, Furniture, Leasehold Improvements and the Related Accumulated Depreciation | Computer equipment, software, leasehold improvements, and furniture and equipment and the related accumulated depreciation were as follows: April 30, 2022 January 31, 2022 Computer hardware, at cost $ 138 $ 137 Computer software, at cost 55 55 Leasehold improvements, land and buildings, at cost 356 351 Furniture and equipment, at cost 93 93 642 636 Less: Accumulated depreciation (480) (474) Computer hardware, software, leasehold improvements, and furniture and equipment, net $ 162 $ 162 |
Borrowing Arrangements (Tables)
Borrowing Arrangements (Tables) | 3 Months Ended |
Apr. 30, 2022 | |
Debt Disclosure [Abstract] | |
Fair Value of Market Price | Based on the quoted market prices, the approximate fair value of the notes as of April 30, 2022, were as follows: Aggregate Principal Amount Fair value 2012 Notes $ 350 $ 350 2015 Notes 300 305 2017 Notes 500 486 2020 Notes 500 443 2021 Notes 1,000 836 |
Future Minimum Payments For Borrowings | The expected future principal payments for all borrowings as of April 30, 2022, were as follows (in millions): Fiscal year ending 2023 (remainder) $ 350 2024 — 2025 — 2026 300 2027 — Thereafter 2,000 Total principal outstanding $ 2,650 |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
Apr. 30, 2022 | |
Leases [Abstract] | |
Lease Cost and Cash Flow Information | The components of lease cost were as follows: Three Months Ended April 30, 2022 Cost of subscription and maintenance revenue Cost of other revenue Marketing and sales Research and development General and administrative Total Operating lease cost $ 2 $ 1 $ 10 $ 7 $ 3 $ 23 Variable lease cost — — 2 2 1 5 Three Months Ended April 30, 2021 Cost of subscription and maintenance revenue Cost of other revenue Marketing and sales Research and development General and administrative Total Operating lease cost $ 2 $ — $ 11 $ 8 $ 4 $ 25 Variable lease cost — — 2 2 1 5 Supplemental operating cash flow information related to leases is as follows: Three Months Ended April 30, 2022 2021 Cash paid for operating leases included in operating cash flows (1) $ 34 $ 30 Non-cash operating lease liabilities arising from obtaining operating lease right-of-use assets 23 5 _______________ (1) Includes $5 million in variable lease payments for both the three months ended April 30, 2022 and 2021, not included in “Operating lease liabilities” and “Long-term operating lease liabilities” on the Condensed Consolidated Balance Sheets. |
Future Minimum Lease Payments | Maturities of operating lease liabilities were as follows: Fiscal year ending 2023 (remainder) $ 65 2024 92 2025 72 2026 60 2027 42 Thereafter 126 457 Less imputed interest 33 Present value of operating lease liabilities $ 424 |
Derivative Instruments (Tables)
Derivative Instruments (Tables) | 3 Months Ended |
Apr. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Fair Values of Derivative Instruments in Autodesk’s Condensed Consolidated Balance Sheets | The fair values of derivative instruments in Autodesk’s Condensed Consolidated Balance Sheets were as follows as of April 30, 2022, and January 31, 2022: Balance Sheet Location Fair Value at April 30, 2022 January 31, 2022 Derivative Assets Foreign currency contracts designated as cash flow hedges Prepaid expenses and other current assets $ 75 $ 12 Derivatives not designated as hedging instruments Prepaid expenses and other current assets and long-term other assets 21 6 Total derivative assets $ 96 $ 18 Derivative Liabilities Foreign currency contracts designated as cash flow hedges Other accrued liabilities $ 15 $ 7 Derivatives not designated as hedging instruments Other accrued liabilities 5 4 Total derivative liabilities $ 20 $ 11 |
Schedule of Derivatives Designated as Hedging Instruments on Autodesk’s Condensed Consolidated Statements of Operations | The effects of derivatives designated as hedging instruments on Autodesk’s Condensed Consolidated Statements of Operations were as follows for the three months ended April 30, 2022 and 2021 (amounts presented include any income tax effects): Three Months Ended April 30, 2022 2021 Amount of gain (loss) recognized in accumulated other comprehensive income, net of tax, (effective portion) $ 55 $ 6 Amount and location of gain (loss) reclassified from accumulated other comprehensive loss into income (effective portion) Net revenue $ 6 $ (5) Cost of revenue (1) — Operating expenses (3) 1 Total $ 2 $ (4) The amount and location of gain recognized in net income of derivatives not designated as hedging instruments on Autodesk’s Condensed Consolidated Statements of Operations were as follows for the three months ended April 30, 2022 and 2021, (amounts presented include any income tax effects): Three Months Ended April 30, 2022 2021 Interest and other expense, net $ 24 $ 7 |
Schedule of Location and Amount of Gain or (Loss) Recognized | The location and amount of gain or loss recognized in income on cash flow hedges together with the total amount of income or expense presented in the Company's Condensed Consolidated Statements of Operations where the effects of the hedge are recorded were as follows for the three months ended April 30, 2022 and 2021: Three Months Ended April 30, 2022 Net revenue Cost of revenue Operating expenses Subscription revenue Maintenance revenue Cost of subscription and maintenance revenue Marketing and sales Research and development General and administrative Total amounts of income and expense line items presented in the condensed consolidated statements of operations $ 1,089 $ 18 $ 84 $ 419 $ 289 $ 120 (Loss) on cash flow hedging relationships in Subtopic ASC 815-20 Foreign exchange contracts Amount of gain (loss) reclassified from accumulated other comprehensive income into income $ 6 $ — $ (1) $ (2) $ — $ (1) Three Months Ended April 30, 2021 Net Revenue Cost of revenue Operating expenses Subscription Revenue (1) Maintenance Revenue Cost of subscription and maintenance revenue Marketing and sales Research and development General and administrative Total amounts of income and expense line items presented in the condensed consolidated statements of operations $ 927 $ 19 $ 68 $ 377 $ 266 $ 112 Gain (loss) on cash flow hedging relationships in Subtopic ASC 815-20 Foreign exchange contracts Amount of (loss) gain reclassified from accumulated other comprehensive income into income $ (5) $ — $ — $ 1 $ — $ — ____________________ |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 3 Months Ended |
Apr. 30, 2022 | |
Equity [Abstract] | |
Schedule of Changes in Stockholders' Deficit by Component, Net of Tax | Changes in stockholders' equity by component, net of tax, as of April 30, 2022, are as follows: Common stock and additional paid-in capital Accumulated other comprehensive loss Accumulated deficit Total stockholders' equity Shares Amount Balances, January 31, 2022 218 $ 2,923 $ (124) $ (1,950) $ 849 Common shares issued under stock plans 1 (10) (10) Stock-based compensation expense 146 146 Shares issued related to business combination 10 10 Net income 146 146 Other comprehensive loss (24) (24) Repurchase and retirement of common shares (1) (2) (97) (339) (436) Balances, April 30, 2022 217 $ 2,972 $ (148) $ (2,143) $ 681 ________________ (1) During the three months ended April 30, 2022, Autodesk repurchased 2,058 thousand shares at an average repurchase price of $211.71 per share. At April 30, 2022, 6 million shares remained available for repurchase under the repurchase program approved by the Board of Directors. Changes in stockholders' equity by component, net of tax, as of April 30, 2021, are as follows: Common stock and additional paid-in capital Accumulated other comprehensive loss Accumulated deficit Total stockholders' equity Shares Amount Balances, January 31, 2021 220 $ 2,579 $ (126) $ (1,488) $ 965 Common shares issued under stock plans 1 9 9 Stock-based compensation expense 114 114 Shares issued related to business combination — 3 — — 3 Net income 156 156 Other comprehensive income 24 24 Repurchase and retirement of common shares (1) (1) (66) (77) (143) Balances, April 30, 2021 220 $ 2,639 $ (102) $ (1,409) $ 1,128 ________________ |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 3 Months Ended |
Apr. 30, 2022 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Loss, Net of Taxes | Accumulated other comprehensive loss, net of taxes, consisted of the following at April 30, 2022: 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, 2022 $ 24 $ 18 $ (16) $ (150) $ (124) Other comprehensive income (loss) before reclassifications 65 (1) — (75) (11) Pre-tax gains reclassified from accumulated other comprehensive loss (2) — (3) — (5) Tax effects (8) — — — (8) Net current period other comprehensive income (loss) 55 (1) (3) (75) (24) Balances, April 30, 2022 $ 79 $ 17 $ (19) $ (225) $ (148) Accumulated other comprehensive loss, net of taxes, consisted of the following at April 30, 2021: Net Unrealized Gains (Losses) on Derivative Instruments Net Unrealized Gains on Available-for-Sale Debt Securities Defined Benefit Pension Components Foreign Currency Translation Adjustments Total Balances, January 31, 2021 $ (24) $ 6 $ (21) $ (87) $ (126) Other comprehensive income before reclassifications 8 4 — 12 24 Pre-tax losses reclassified from accumulated other comprehensive loss 4 — — — 4 Tax effects (2) — — (2) (4) Net current period other comprehensive income 10 4 — 10 24 Balances, April 30, 2021 $ (14) $ 10 $ (21) $ (77) $ (102) |
Net Income Per Share (Tables)
Net Income Per Share (Tables) | 3 Months Ended |
Apr. 30, 2022 | |
Earnings Per Share [Abstract] | |
Schedule of Calculation of Numerator and Denominator in Net Loss Per Share | The following table sets forth the computation of the numerators and denominators used in the basic and diluted net income per share amounts: Three Months Ended April 30, 2022 2021 Numerator: Net income $ 146 $ 156 Denominator: Denominator for basic net income per share—weighted average shares 217 220 Effect of dilutive securities 2 2 Denominator for dilutive net income per share 219 222 Basic net income per share $ 0.67 $ 0.71 Diluted net income per share $ 0.67 $ 0.70 |
Segments (Tables)
Segments (Tables) | 3 Months Ended |
Apr. 30, 2022 | |
Segment Reporting [Abstract] | |
Long-lived Assets by Geographic Areas | Information regarding Autodesk’s long-lived assets by geographic area is as follows: April 30, 2022 January 31, 2022 Long-lived assets (1): Americas U.S. $ 336 $ 323 Other Americas 18 20 Total Americas 354 343 Europe, Middle East, and Africa 83 92 Asia Pacific 28 32 Total long-lived assets $ 465 $ 467 ____________________ |
Basis of Presentation (Details)
Basis of Presentation (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Total net revenue | $ 1,170 | $ 989 |
Subscription | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Total net revenue | 1,089 | 927 |
Other | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Total net revenue | $ 63 | 43 |
Previously Reported | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Total net revenue | 989 | |
Previously Reported | Subscription | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Total net revenue | 948 | |
Previously Reported | Other | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Total net revenue | 22 | |
Effect of Change in Presentation | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Total net revenue | 0 | |
Effect of Change in Presentation | Subscription | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Total net revenue | (21) | |
Effect of Change in Presentation | Other | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Total net revenue | $ 21 |
Revenue Recognition - Narrative
Revenue Recognition - Narrative (Details) $ in Millions | 3 Months Ended | |
Apr. 30, 2022USD ($)category | Apr. 30, 2021USD ($) | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Number of revenue categories | category | 3 | |
Contract with customer, liability, revenue recognized | $ 987 | $ 838 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-05-01 | Period One | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Remaining performance obligation | $ 4,680 | |
Performance obligation, expected timing of satisfaction | 3 years | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-05-01 | Period Two | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Remaining performance obligation | $ 3,140 | |
Performance obligation, expected timing of satisfaction | 12 months | |
Remaining performance obligation percentage | 67.00% | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-05-01 | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Remaining performance obligation | $ 1,540 | |
Performance obligation, expected timing of satisfaction | ||
Remaining performance obligation percentage | 33.00% | |
Minimum | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Subscription payment terms | 30 days | |
EBA payment terms | 30 days | |
Maximum | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Subscription payment terms | 45 days | |
EBA payment terms | 60 days |
Revenue Recognition - Contract
Revenue Recognition - Contract Revenue (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Disaggregation of Revenue [Line Items] | ||
Net revenue | $ 1,170 | $ 989 |
Design | ||
Disaggregation of Revenue [Line Items] | ||
Net revenue | 1,004 | 865 |
Make | ||
Disaggregation of Revenue [Line Items] | ||
Net revenue | 103 | 81 |
Other | ||
Disaggregation of Revenue [Line Items] | ||
Net revenue | 63 | 43 |
Indirect | ||
Disaggregation of Revenue [Line Items] | ||
Net revenue | 769 | 661 |
Direct | ||
Disaggregation of Revenue [Line Items] | ||
Net revenue | 401 | 328 |
Americas | ||
Disaggregation of Revenue [Line Items] | ||
Net revenue | 484 | 391 |
U.S. | ||
Disaggregation of Revenue [Line Items] | ||
Net revenue | 398 | 324 |
Other Americas | ||
Disaggregation of Revenue [Line Items] | ||
Net revenue | 86 | 67 |
Europe, Middle East, and Africa | ||
Disaggregation of Revenue [Line Items] | ||
Net revenue | 449 | 383 |
Asia Pacific | ||
Disaggregation of Revenue [Line Items] | ||
Net revenue | 237 | 215 |
Architecture, Engineering and Construction | ||
Disaggregation of Revenue [Line Items] | ||
Net revenue | 518 | 443 |
AutoCAD and AutoCAD LT | ||
Disaggregation of Revenue [Line Items] | ||
Net revenue | 346 | 285 |
Manufacturing | ||
Disaggregation of Revenue [Line Items] | ||
Net revenue | 225 | 197 |
Media and Entertainment | ||
Disaggregation of Revenue [Line Items] | ||
Net revenue | 68 | 55 |
Other | ||
Disaggregation of Revenue [Line Items] | ||
Net revenue | $ 13 | $ 9 |
Concentration of Credit Risk (D
Concentration of Credit Risk (Details) - USD ($) $ in Billions | 3 Months Ended | 12 Months Ended | ||
Apr. 30, 2022 | Apr. 30, 2021 | Jan. 31, 2022 | Sep. 30, 2021 | |
Tech Data | Net Revenue | Customer Concentration Risk | ||||
Concentration Risk [Line Items] | ||||
Concentration risk (in percentage) | 36.00% | 36.00% | ||
Tech Data | Accounts Receivable | Customer Concentration Risk | Trade Accounts Receivable | ||||
Concentration Risk [Line Items] | ||||
Concentration risk (in percentage) | 28.00% | 24.00% | ||
Ingram Micro | Net Revenue | Customer Concentration Risk | ||||
Concentration Risk [Line Items] | ||||
Concentration risk (in percentage) | 9.00% | 10.00% | ||
Revolving Credit Facility | The Credit Agreement | ||||
Concentration Risk [Line Items] | ||||
Maximum borrowing capacity | $ 1.5 | $ 1.5 |
Financial Instruments - Cost an
Financial Instruments - Cost and Fair Value of Financial Instruments (Details) - USD ($) $ in Millions | Apr. 30, 2022 | Jan. 31, 2022 | Jan. 31, 2021 |
Debt Securities, Trading and Available-for-sale [Abstract] | |||
Amortized Cost | $ 869 | $ 779 | |
Gross unrealized gains | 10 | 20 | |
Gross unrealized losses | (1) | (1) | |
Fair value | 878 | 798 | |
Money market funds | Cash and Cash Equivalents | |||
Marketable securities: | |||
Amortized Cost | 531 | 302 | |
Gross Unrealized Gains | 0 | 0 | |
Gross Unrealized Losses | 0 | 0 | |
Convertible debt securities | 531 | 302 | |
Commercial paper | Cash and Cash Equivalents | |||
Marketable securities: | |||
Amortized Cost | 117 | 55 | |
Gross Unrealized Gains | 0 | 0 | |
Gross Unrealized Losses | 0 | 0 | |
Convertible debt securities | 117 | 55 | |
Commercial paper | Short-term Marketable Securities | |||
Marketable securities: | |||
Amortized Cost | 6 | 103 | |
Gross Unrealized Gains | 0 | 0 | |
Gross Unrealized Losses | 0 | 0 | |
Convertible debt securities | 6 | 103 | |
U.S. government securities | Cash and Cash Equivalents | |||
Marketable securities: | |||
Amortized Cost | 20 | 25 | |
Gross Unrealized Gains | 0 | 0 | |
Gross Unrealized Losses | 0 | 0 | |
Convertible debt securities | 20 | 25 | |
U.S. government securities | Short-term Marketable Securities | |||
Marketable securities: | |||
Amortized Cost | 13 | ||
Gross Unrealized Gains | 0 | ||
Gross Unrealized Losses | 0 | ||
Convertible debt securities | 13 | ||
Agency discount notes | Cash and Cash Equivalents | |||
Marketable securities: | |||
Amortized Cost | 8 | 18 | |
Gross Unrealized Gains | 0 | 0 | |
Gross Unrealized Losses | 0 | 0 | |
Convertible debt securities | 8 | 18 | |
Other | Cash and Cash Equivalents | |||
Marketable securities: | |||
Amortized Cost | 8 | 4 | |
Gross Unrealized Gains | 0 | 0 | |
Gross Unrealized Losses | 0 | 0 | |
Convertible debt securities | 8 | 4 | |
Other | Short-term Marketable Securities | |||
Marketable securities: | |||
Amortized Cost | 1 | 4 | |
Gross Unrealized Gains | 2 | 0 | |
Gross Unrealized Losses | 0 | 0 | |
Convertible debt securities | 3 | 4 | |
Other | Long-term Marketable Securities | |||
Marketable securities: | |||
Amortized Cost | 1 | ||
Gross Unrealized Gains | 0 | ||
Gross Unrealized Losses | 0 | ||
Convertible debt securities | 1 | ||
Corporate debt securities | Cash and Cash Equivalents | |||
Marketable securities: | |||
Amortized Cost | 18 | ||
Gross Unrealized Gains | 0 | ||
Gross Unrealized Losses | 0 | ||
Convertible debt securities | 18 | ||
Corporate debt securities | Short-term Marketable Securities | |||
Marketable securities: | |||
Amortized Cost | 28 | 61 | |
Gross Unrealized Gains | 0 | 0 | |
Gross Unrealized Losses | 0 | 0 | |
Convertible debt securities | 28 | 61 | |
Corporate debt securities | Long-term Marketable Securities | |||
Marketable securities: | |||
Amortized Cost | 39 | 44 | |
Gross Unrealized Gains | 0 | 0 | |
Gross Unrealized Losses | 0 | 0 | |
Convertible debt securities | 39 | 44 | |
Asset backed securities | Short-term Marketable Securities | |||
Marketable securities: | |||
Amortized Cost | 20 | 26 | |
Gross Unrealized Gains | 0 | 0 | |
Gross Unrealized Losses | 0 | 0 | |
Convertible debt securities | 20 | 26 | |
Certificates of deposit | Cash and Cash Equivalents | |||
Marketable securities: | |||
Amortized Cost | 6 | ||
Gross Unrealized Gains | 0 | ||
Gross Unrealized Losses | 0 | ||
Convertible debt securities | 6 | ||
Certificates of deposit | Short-term Marketable Securities | |||
Marketable securities: | |||
Amortized Cost | 10 | 14 | |
Gross Unrealized Gains | 0 | 0 | |
Gross Unrealized Losses | 0 | 0 | |
Convertible debt securities | 10 | 14 | |
Mutual funds | |||
Debt Securities, Trading and Available-for-sale [Abstract] | |||
Amortized Cost | 78 | 74 | |
Gross Unrealized Gains | 8 | 16 | |
Gross Unrealized Losses | (1) | (1) | |
Fair Value | 85 | 89 | $ 89 |
Convertible debt securities | |||
Marketable securities: | |||
Amortized Cost | 3 | ||
Gross Unrealized Gains | 0 | ||
Gross Unrealized Losses | 0 | ||
Convertible debt securities | 3 | ||
Debt Securities, Trading and Available-for-sale [Abstract] | |||
Fair Value | $ 3 | ||
Municipal bonds | Short-term Marketable Securities | |||
Marketable securities: | |||
Amortized Cost | 11 | ||
Gross Unrealized Gains | 0 | ||
Gross Unrealized Losses | 0 | ||
Convertible debt securities | 11 | ||
Common stock | Short-term Marketable Securities | |||
Marketable securities: | |||
Amortized Cost | 0 | ||
Gross Unrealized Gains | 4 | ||
Gross Unrealized Losses | 0 | ||
Convertible debt securities | $ 4 |
Financial Instruments - Schedul
Financial Instruments - Schedule of Investments Classified by Contractual Maturity Date (Details) $ in Millions | Apr. 30, 2022USD ($) |
Investments, All Other Investments [Abstract] | |
Due within 1 year | $ 33 |
Due in 1 year through 5 years | 71 |
Total | $ 104 |
Financial Instruments - Narrati
Financial Instruments - Narrative (Details) - USD ($) | 3 Months Ended | ||
Apr. 30, 2022 | Apr. 30, 2021 | Jan. 31, 2022 | |
Investments, All Other Investments [Abstract] | |||
Direct investments in privately held companies | $ 157,000,000 | $ 134,000,000 | |
Equity method investment, realized gain (loss) on disposal | $ 0 | $ 8,000,000 |
Financial Instruments - Sched_2
Financial Instruments - Schedule of marketable securities (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Investments, All Other Investments [Abstract] | ||
Marketable debt securities | $ 202 | $ 4 |
Financial Instruments - Non-Mar
Financial Instruments - Non-Marketable Equity Securities (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Equity Securities without Readily Determinable Fair Value, Annual Amount [Abstract] | ||
Upward adjustments | $ 0 | $ 1 |
Negative adjustments, including impairments | (2) | (4) |
Net adjustments | (2) | $ (3) |
Equity Securities without Readily Determinable Fair Value, Impairment Loss, Cumulative Amount [Abstract] | ||
Upward adjustments | 23 | |
Negative adjustments, including impairments | (79) | |
Net adjustments | $ (56) |
Financial Instruments - Measure
Financial Instruments - Measured At Fair Value On A Recurring Basis (Details) - USD ($) $ in Millions | Apr. 30, 2022 | Jan. 31, 2022 | Jan. 31, 2021 |
Short-term | |||
Derivative contract assets, fair value | $ 2 | ||
Total | 954 | $ 805 | |
Foreign Exchange Contract | |||
Short-term | |||
Derivative contract assets, fair value | 94 | 18 | |
Derivative contract liabilities | (20) | (11) | |
Money market funds | |||
Cash equivalents | |||
Cash equivalents | 531 | 302 | |
Commercial paper | |||
Cash equivalents | |||
Cash equivalents | 117 | 55 | |
Commercial paper | Short-term | |||
Short-term | |||
Debt securities, fair value | 6 | 103 | |
U.S. government securities | |||
Cash equivalents | |||
Cash equivalents | 20 | 25 | |
U.S. government securities | Short-term | |||
Short-term | |||
Debt securities, fair value | 13 | ||
Custody cash deposit | |||
Cash equivalents | |||
Cash equivalents | 18 | ||
Agency discount notes | |||
Cash equivalents | |||
Cash equivalents | 8 | ||
Asset backed securities | Short-term | |||
Short-term | |||
Debt securities, fair value | 20 | 26 | |
Corporate debt securities | |||
Cash equivalents | |||
Cash equivalents | 18 | ||
Corporate debt securities | Short-term | |||
Short-term | |||
Debt securities, fair value | 28 | 61 | |
Corporate debt securities | Long-term | |||
Short-term | |||
Debt securities, fair value | 39 | 44 | |
Certificates of deposit | |||
Cash equivalents | |||
Cash equivalents | 6 | ||
Certificates of deposit | Short-term | |||
Short-term | |||
Debt securities, fair value | 10 | 14 | |
Municipal bonds | Short-term | |||
Short-term | |||
Debt securities, fair value | 11 | ||
Other | |||
Cash equivalents | |||
Cash equivalents | 8 | 4 | |
Other | Short-term | |||
Short-term | |||
Debt securities, fair value | 3 | 4 | |
Other | Long-term | |||
Short-term | |||
Debt securities, fair value | 1 | ||
Common stock | Short-term | |||
Short-term | |||
Debt securities, fair value | 4 | ||
Mutual funds | |||
Short-term | |||
Mutual funds | 85 | $ 89 | 89 |
Convertible debt securities | |||
Short-term | |||
Debt securities, fair value | 3 | ||
Mutual funds | 3 | ||
Level 1 | |||
Short-term | |||
Derivative contract assets, fair value | 0 | ||
Total | 621 | 413 | |
Level 1 | Foreign Exchange Contract | |||
Short-term | |||
Derivative contract assets, fair value | 0 | 0 | |
Derivative contract liabilities | 0 | 0 | |
Level 1 | Money market funds | |||
Cash equivalents | |||
Cash equivalents | 531 | 302 | |
Level 1 | Commercial paper | |||
Cash equivalents | |||
Cash equivalents | 0 | 0 | |
Level 1 | Commercial paper | Short-term | |||
Short-term | |||
Debt securities, fair value | 0 | 0 | |
Level 1 | U.S. government securities | |||
Cash equivalents | |||
Cash equivalents | 0 | 0 | |
Level 1 | U.S. government securities | Short-term | |||
Short-term | |||
Debt securities, fair value | 0 | ||
Level 1 | Custody cash deposit | |||
Cash equivalents | |||
Cash equivalents | 18 | ||
Level 1 | Agency discount notes | |||
Cash equivalents | |||
Cash equivalents | 0 | ||
Level 1 | Asset backed securities | Short-term | |||
Short-term | |||
Debt securities, fair value | 0 | 0 | |
Level 1 | Corporate debt securities | |||
Cash equivalents | |||
Cash equivalents | 0 | ||
Level 1 | Corporate debt securities | Short-term | |||
Short-term | |||
Debt securities, fair value | 0 | 0 | |
Level 1 | Corporate debt securities | Long-term | |||
Short-term | |||
Debt securities, fair value | 0 | 0 | |
Level 1 | Certificates of deposit | |||
Cash equivalents | |||
Cash equivalents | 0 | ||
Level 1 | Certificates of deposit | Short-term | |||
Short-term | |||
Debt securities, fair value | 0 | 0 | |
Level 1 | Municipal bonds | Short-term | |||
Short-term | |||
Debt securities, fair value | 0 | ||
Level 1 | Other | |||
Cash equivalents | |||
Cash equivalents | 3 | 0 | |
Level 1 | Other | Short-term | |||
Short-term | |||
Debt securities, fair value | 2 | 0 | |
Level 1 | Other | Long-term | |||
Short-term | |||
Debt securities, fair value | 0 | ||
Level 1 | Common stock | Short-term | |||
Short-term | |||
Debt securities, fair value | 4 | ||
Level 1 | Mutual funds | |||
Short-term | |||
Mutual funds | 85 | 89 | |
Level 1 | Convertible debt securities | |||
Short-term | |||
Mutual funds | 0 | ||
Level 2 | |||
Short-term | |||
Derivative contract assets, fair value | 0 | ||
Total | 328 | 392 | |
Level 2 | Foreign Exchange Contract | |||
Short-term | |||
Derivative contract assets, fair value | 94 | 18 | |
Derivative contract liabilities | (20) | (11) | |
Level 2 | Money market funds | |||
Cash equivalents | |||
Cash equivalents | 0 | 0 | |
Level 2 | Commercial paper | |||
Cash equivalents | |||
Cash equivalents | 117 | 55 | |
Level 2 | Commercial paper | Short-term | |||
Short-term | |||
Debt securities, fair value | 6 | 103 | |
Level 2 | U.S. government securities | |||
Cash equivalents | |||
Cash equivalents | 20 | 25 | |
Level 2 | U.S. government securities | Short-term | |||
Short-term | |||
Debt securities, fair value | 13 | ||
Level 2 | Custody cash deposit | |||
Cash equivalents | |||
Cash equivalents | 0 | ||
Level 2 | Agency discount notes | |||
Cash equivalents | |||
Cash equivalents | 8 | ||
Level 2 | Asset backed securities | Short-term | |||
Short-term | |||
Debt securities, fair value | 20 | 26 | |
Level 2 | Corporate debt securities | |||
Cash equivalents | |||
Cash equivalents | 18 | ||
Level 2 | Corporate debt securities | Short-term | |||
Short-term | |||
Debt securities, fair value | 28 | 61 | |
Level 2 | Corporate debt securities | Long-term | |||
Short-term | |||
Debt securities, fair value | 39 | 44 | |
Level 2 | Certificates of deposit | |||
Cash equivalents | |||
Cash equivalents | 6 | ||
Level 2 | Certificates of deposit | Short-term | |||
Short-term | |||
Debt securities, fair value | 10 | 14 | |
Level 2 | Municipal bonds | Short-term | |||
Short-term | |||
Debt securities, fair value | 11 | ||
Level 2 | Other | |||
Cash equivalents | |||
Cash equivalents | 5 | 4 | |
Level 2 | Other | Short-term | |||
Short-term | |||
Debt securities, fair value | 1 | 4 | |
Level 2 | Other | Long-term | |||
Short-term | |||
Debt securities, fair value | 1 | ||
Level 2 | Common stock | Short-term | |||
Short-term | |||
Debt securities, fair value | 0 | ||
Level 2 | Mutual funds | |||
Short-term | |||
Mutual funds | 0 | 0 | |
Level 2 | Convertible debt securities | |||
Short-term | |||
Mutual funds | 0 | ||
Level 3 | |||
Short-term | |||
Derivative contract assets, fair value | 2 | ||
Total | 5 | 0 | |
Level 3 | Foreign Exchange Contract | |||
Short-term | |||
Derivative contract assets, fair value | 0 | 0 | |
Derivative contract liabilities | 0 | 0 | |
Level 3 | Money market funds | |||
Cash equivalents | |||
Cash equivalents | 0 | 0 | |
Level 3 | Commercial paper | |||
Cash equivalents | |||
Cash equivalents | 0 | 0 | |
Level 3 | Commercial paper | Short-term | |||
Short-term | |||
Debt securities, fair value | 0 | 0 | |
Level 3 | U.S. government securities | |||
Cash equivalents | |||
Cash equivalents | 0 | 0 | |
Level 3 | U.S. government securities | Short-term | |||
Short-term | |||
Debt securities, fair value | 0 | ||
Level 3 | Custody cash deposit | |||
Cash equivalents | |||
Cash equivalents | 0 | ||
Level 3 | Agency discount notes | |||
Cash equivalents | |||
Cash equivalents | 0 | ||
Level 3 | Asset backed securities | Short-term | |||
Short-term | |||
Debt securities, fair value | 0 | 0 | |
Level 3 | Corporate debt securities | |||
Cash equivalents | |||
Cash equivalents | 0 | ||
Level 3 | Corporate debt securities | Short-term | |||
Short-term | |||
Debt securities, fair value | 0 | 0 | |
Level 3 | Corporate debt securities | Long-term | |||
Short-term | |||
Debt securities, fair value | 0 | 0 | |
Level 3 | Certificates of deposit | |||
Cash equivalents | |||
Cash equivalents | 0 | ||
Level 3 | Certificates of deposit | Short-term | |||
Short-term | |||
Debt securities, fair value | 0 | 0 | |
Level 3 | Municipal bonds | Short-term | |||
Short-term | |||
Debt securities, fair value | 0 | ||
Level 3 | Other | |||
Cash equivalents | |||
Cash equivalents | 0 | 0 | |
Level 3 | Other | Short-term | |||
Short-term | |||
Debt securities, fair value | 0 | 0 | |
Level 3 | Other | Long-term | |||
Short-term | |||
Debt securities, fair value | 0 | ||
Level 3 | Common stock | Short-term | |||
Short-term | |||
Debt securities, fair value | 0 | ||
Level 3 | Mutual funds | |||
Short-term | |||
Mutual funds | 0 | $ 0 | |
Level 3 | Convertible debt securities | |||
Short-term | |||
Mutual funds | $ 3 |
Financial Instruments - Reconci
Financial Instruments - Reconciliation of the Change in Level 3 Items (Details) - Level 3 $ in Millions | 3 Months Ended |
Apr. 30, 2022USD ($) | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |
Balances, January 31, 2022 | $ 0 |
Purchases | 5 |
Balances, April 30, 2022 | 5 |
Derivative Contracts | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |
Balances, January 31, 2022 | 0 |
Purchases | 2 |
Balances, April 30, 2022 | 2 |
Convertible debt securities | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |
Balances, January 31, 2022 | 0 |
Purchases | 3 |
Balances, April 30, 2022 | $ 3 |
Equity Compensation - Summary o
Equity Compensation - Summary of Restricted Stock Award and Restricted Stock Unit Activity (Details) shares in Thousands | 3 Months Ended |
Apr. 30, 2022$ / sharesshares | |
Restricted Stock Units (RSUs) and Performance Shares | |
Unvested restricted stock units | |
Unvested restricted stock units, beginning balance (in shares) | 4,033 |
Granted (in shares) | 2,738 |
Vested (in shares) | (1,018) |
Canceled/Forfeited (in shares) | (161) |
Unvested restricted stock units, ending balance (in shares) | 5,590 |
Weighted average grant date fair value per share | |
Unvested restricted stock units, beginning balance (in usd per share) | $ / shares | $ 251.17 |
Granted (in usd per share) | $ / shares | 199.16 |
Vested (in usd per share) | $ / shares | 256.17 |
Canceled/Forfeited (in usd per share) | $ / shares | 242.48 |
Unvested restricted stock units, ending balance (in usd per share) | $ / shares | $ 225.12 |
Performance Stock Units | |
Unvested restricted stock units | |
Granted (in shares) | 231 |
Performance Adjustment (in shares) | (2) |
Weighted average grant date fair value per share | |
Performance Adjustment (in usd per share) | $ / shares | $ 299.07 |
Performance Stock Units | Minimum | |
Weighted average grant date fair value per share | |
Performance shares units payout (in percentage) | 87.00% |
Performance Stock Units | Maximum | |
Weighted average grant date fair value per share | |
Performance shares units payout (in percentage) | 113.00% |
Equity Compensation - Narrative
Equity Compensation - Narrative (Details) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Apr. 30, 2022USD ($)tradingDayperiodshares | Apr. 30, 2021USD ($) | Jan. 31, 2022USD ($)tradingDayshares | Jan. 31, 2021shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Market capitalization | $ | $ 2,000 | |||
Award vesting period | 1 year | |||
Fair value of common stock issued related to business combination | $ | $ 10 | $ 3 | ||
Consecutive trading days | tradingDay | 90 | 90 | ||
Allocated share-based compensation expense | $ | $ 155 | 116 | ||
Share-based compensation arrangement by share-based payment award, plan modification, description and terms | 24 months | |||
Share-based compensation arrangement by share-based payment award, plan modification | $ | $ 18 | |||
Expected dividend yield (in percentage) | 0.00% | |||
1998 Employee Qualified Stock Purchase Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Percentage of compensation that eligible employees can use to purchase common stock, maximum | 15.00% | |||
Percentage of fair market value eligible employees can purchase common stock, minimum | 85.00% | |||
Number of exercise period | period | 4 | |||
Term of exercise period | 6 months | |||
Term of offering period | 24 months | |||
Upchain | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Fair value of common stock issued related to business combination | $ | $ 13 | |||
Business acquisition, equity interest issued or issuable, number of shares (in shares) | shares | 58,000 | |||
Fiscal 2022 Acquisitions | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Fair value of common stock issued related to business combination | $ | $ 11 | |||
Business acquisition, equity interest issued or issuable, number of shares (in shares) | shares | 48,000 | |||
Fiscal 2023 Acquisitions | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Fair value of common stock issued related to business combination | $ | $ 5 | |||
Business acquisition, equity interest issued or issuable, number of shares (in shares) | shares | 22,000 | |||
Restricted Stock Units (RSUs) and Performance Shares | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Awards vested in period, fair value | $ | $ 214 | 149 | ||
Awards granted in period (in shares) | shares | 2,738,000 | |||
Restricted Stock Units (RSUs) | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Awards granted in period (in shares) | shares | 2,392,000 | |||
Share based compensation expense | $ | $ 117 | 90 | ||
Performance Stock Units | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Awards granted in period (in shares) | shares | 231,000 | |||
Share based compensation expense | $ | $ 15 | $ 12 | ||
Award vesting period | 3 years | |||
Expected dividend yield (in percentage) | 0.00% | 0.00% | ||
Performance Stock Units | Certain Employees | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Awards granted in period (in shares) | shares | 115,000 | |||
Performance Stock Units | Share-based Compensation Award, Tranche One | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
PSU annual vesting percentage (in percentage) | 33.33% | |||
Performance Stock Units | Share-based Compensation Award, Tranche Two | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
PSU annual vesting percentage (in percentage) | 33.33% | |||
Performance Stock Units | Share-based Compensation Award, Tranche Three | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
PSU annual vesting percentage (in percentage) | 33.33% | |||
Common stock | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Value of shares authorized | $ | $ 5 | |||
Shares issued in period (in shares) | shares | 8,300 | |||
Value of shares issued | $ | $ 3 | |||
Shares of common stock reserved for issuance (in shares) | shares | 11,000 | |||
Allocated share-based compensation expense | $ | $ 10 | $ 3 | ||
Restricted Stock | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Award vesting period | 2 years | |||
Restricted Stock | Spacemaker | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Award vesting period | 3 years | |||
Shares issued in period (in shares) | shares | 73,632 | |||
Restricted Stock | Innovyze, Inc. | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares issued in period (in shares) | shares | 9,277 | |||
Restricted Stock | Fiscal 2022 Acquisitions | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares issued in period (in shares) | shares | 12,782 | |||
Restricted Stock | Fiscal 2023 Acquisitions | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Award vesting period | 2 years | |||
Shares issued in period (in shares) | shares | 40,289 |
Equity Compensation - Summary_2
Equity Compensation - Summary of ESPP Activity (Details) - ESPP - 1998 Employee Qualified Stock Purchase Plan - $ / shares shares in Thousands | 3 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Issued shares (in shares) | 377 | 490 |
Average price of issued shares (in usd per share) | $ 173.83 | $ 128.02 |
Weighted average grant date fair value of shares granted under the ESPP (in usd per share) | $ 69.19 | $ 91.17 |
Equity Compensation - Stock Bas
Equity Compensation - Stock Based Compensation Expense (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Stock-based compensation expense related to stock awards and ESPP purchases | $ 155 | $ 116 |
Tax expense (benefit) | 6 | (16) |
Stock-based compensation expense related to stock awards and ESPP purchases, net of tax | 161 | 100 |
Subscription and Maintenance | ||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Stock-based compensation expense related to stock awards and ESPP purchases | 8 | 5 |
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 | 3 | 2 |
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 | 62 | 48 |
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 | 59 | 47 |
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 | $ 23 | $ 14 |
Equity Compensation - Assumptio
Equity Compensation - Assumption Used to Estimate the Fair Value of Stock-Based Awards (Details) | 3 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Expected dividends | 0.00% | |
Performance Stock Units | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Range of expected volatility | 36.90% | |
Expected dividends | 0.00% | 0.00% |
Range of risk-free interest rates | 0.10% | |
Performance Stock Units | Minimum | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Range of expected volatility | 39.40% | |
Range of risk-free interest rates | 1.20% | |
Performance Stock Units | Maximum | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Range of expected volatility | 40.70% | |
Range of risk-free interest rates | 1.60% | |
ESPP | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Expected dividends | 0.00% | 0.00% |
ESPP | Minimum | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Range of expected volatility | 38.30% | 36.50% |
Range of expected lives (in years) | 6 months | 6 months |
Range of risk-free interest rates | 0.90% | 0.10% |
ESPP | Maximum | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Range of expected volatility | 42.70% | 41.80% |
Range of expected lives (in years) | 2 years | 2 years |
Range of risk-free interest rates | 1.90% | 0.20% |
Income Tax (Details)
Income Tax (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Tax Credit Carryforward [Line Items] | ||
Provision for income taxes | $ 49 | $ (25) |
(Loss) income before income taxes | 195 | $ 131 |
Unrecognized tax benefits | 212 | |
Unrecognized tax benefits that would reduce the valuation allowance if recognized | 34 | |
Effect of change in unrecognized tax benefits | 7 | |
SEC Schedule, 12-09, Valuation Allowance, Tax Credit Carryforward | ||
Tax Credit Carryforward [Line Items] | ||
Amount of gross unrecognized tax benefits that would impact the effective tax rate, if recognized | $ 178 |
Acquisitions - Narrative (Detai
Acquisitions - Narrative (Details) $ in Millions | 3 Months Ended | 12 Months Ended | |
Apr. 30, 2022USD ($)tradingDaybusinessCombinationshares | Apr. 30, 2021USD ($) | Jan. 31, 2022tradingDay | |
Business Acquisition [Line Items] | |||
Fair value of common stock issued related to business combination | $ 10 | $ 3 | |
Allocated share-based compensation expense | $ 155 | $ 116 | |
Consecutive trading days | tradingDay | 90 | 90 | |
Other | |||
Business Acquisition [Line Items] | |||
Number of businesses combinations | businessCombination | 2 | ||
Consideration transferred | $ 114 | ||
Payments to acquire businesses | 96 | ||
Fair value of common stock issued related to business combination | 10 | ||
Business combination, consideration transferred, other | 97 | ||
Allocated share-based compensation expense | 5 | ||
Employee benefits and share-based compensation | 2 | ||
Goodwill | 43 | ||
Other | Certain Employees of Acquiree | |||
Business Acquisition [Line Items] | |||
Fair value of common stock issued related to business combination | 5 | ||
Other | Prepaid expenses and other current assets | |||
Business Acquisition [Line Items] | |||
Business combination, contingent consideration, liability | $ 10 | ||
Other | Restricted Stock | |||
Business Acquisition [Line Items] | |||
Shares issued in period (in shares) | shares | 40,289 | ||
Other | Share-based Compensation Award, Tranche One | |||
Business Acquisition [Line Items] | |||
PSU annual vesting percentage (in percentage) | 40.00% | ||
Other | Share-based Compensation Award, Tranche Two | |||
Business Acquisition [Line Items] | |||
PSU annual vesting percentage (in percentage) | 60.00% |
Acquisitions - Summary of Fair
Acquisitions - Summary of Fair Value of Assets Acquired and Liabilities Assumed by Major Class (Details) - USD ($) $ in Millions | Apr. 30, 2022 | Jan. 31, 2022 |
Business Acquisition [Line Items] | ||
Goodwill | $ 3,642 | $ 3,604 |
Series of Individually Immaterial Business Acquisitions | ||
Business Acquisition [Line Items] | ||
Goodwill | 85 | |
Deferred revenue and long-term deferred revenue | (2) | |
Long-term deferred income taxes | 1 | |
Net tangible assets | 1 | |
Total | 97 | |
Developed technologies | Series of Individually Immaterial Business Acquisitions | ||
Business Acquisition [Line Items] | ||
Finite-lived intangibles | 8 | |
Customer relationships | Series of Individually Immaterial Business Acquisitions | ||
Business Acquisition [Line Items] | ||
Finite-lived intangibles | $ 4 |
Intangible Assets, Net (Details
Intangible Assets, Net (Details) - USD ($) $ in Millions | Apr. 30, 2022 | Jan. 31, 2022 |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 1,632 | $ 1,630 |
Accumulated Amortization | (1,153) | (1,136) |
Net | 479 | 494 |
Customer relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 661 | 667 |
Accumulated Amortization | (378) | (375) |
Net | 283 | 292 |
Developed technologies | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 855 | 847 |
Accumulated Amortization | (674) | (661) |
Net | 181 | 186 |
Trade names and patents | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 116 | 116 |
Accumulated Amortization | (101) | (100) |
Net | $ 15 | $ 16 |
Cloud Computing Arrangements (D
Cloud Computing Arrangements (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Apr. 30, 2022 | Apr. 30, 2021 | Jan. 31, 2022 | |
Capitalized Contract Cost [Line Items] | |||
Capitalized software development costs | $ 143 | $ 128 | |
Amortization | 4 | $ 1 | |
Cloud-based Software Hosting Arrangements | |||
Capitalized Contract Cost [Line Items] | |||
Accumulated amortization | $ 21 | $ 17 |
Goodwill - Changes in the Carry
Goodwill - Changes in the Carrying Amount of Goodwill (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 30, 2022 | Jan. 31, 2022 | |
Goodwill [Roll Forward] | ||
Goodwill gross, beginning of the period | $ 3,753 | |
Less: accumulated impairment losses, beginning of the period | $ (149) | |
Goodwill net, beginning of the period | 3,604 | |
Additions arising from acquisitions during the period | 85 | |
Effect of foreign currency translation and measurement period adjustments | (47) | |
Goodwill net, end of the period | $ 3,642 |
Deferred Compensation (Details)
Deferred Compensation (Details) - USD ($) | 3 Months Ended | ||
Apr. 30, 2022 | Apr. 30, 2021 | Jan. 31, 2022 | |
Deferred Compensation Arrangement with Individual, Excluding Share-based Payments and Postretirement Benefits [Line Items] | |||
Costs to obtain a contract | $ 125,000,000 | $ 139,000,000 | |
Amortization of costs to obtain a contract | 34,000,000 | $ 26,000,000 | |
Impairment loss | 0 | $ 0 | |
Rabbi Trust | |||
Deferred Compensation Arrangement with Individual, Excluding Share-based Payments and Postretirement Benefits [Line Items] | |||
Deferred compensation liability | 85,000,000 | 89,000,000 | |
Deferred compensation liability, current | 7,000,000 | 7,000,000 | |
Deferred compensation liability, non-current | $ 78,000,000 | $ 82,000,000 |
Computer Equipment, Software,_3
Computer Equipment, Software, Leasehold Improvements, and Furniture, Net (Details) - USD ($) $ in Millions | Apr. 30, 2022 | Jan. 31, 2022 |
Property, Plant and Equipment [Line Items] | ||
Computer software, hardware, leasehold improvements, furniture and equipment, gross | $ 642 | $ 636 |
Less: Accumulated depreciation | (480) | (474) |
Computer hardware, software, leasehold improvements, and furniture and equipment, net | 162 | 162 |
Computer hardware, at cost | ||
Property, Plant and Equipment [Line Items] | ||
Computer software, hardware, leasehold improvements, furniture and equipment, gross | 138 | 137 |
Computer software, at cost | ||
Property, Plant and Equipment [Line Items] | ||
Computer software, hardware, leasehold improvements, furniture and equipment, gross | 55 | 55 |
Leasehold improvements, land and buildings, at cost | ||
Property, Plant and Equipment [Line Items] | ||
Computer software, hardware, leasehold improvements, furniture and equipment, gross | 356 | 351 |
Furniture and equipment, at cost | ||
Property, Plant and Equipment [Line Items] | ||
Computer software, hardware, leasehold improvements, furniture and equipment, gross | $ 93 | $ 93 |
Borrowing Arrangements - Narrat
Borrowing Arrangements - Narrative (Details) | 1 Months Ended | 3 Months Ended | |||||
Oct. 31, 2021USD ($) | Sep. 30, 2021USD ($) | Jan. 31, 2020USD ($) | Jun. 30, 2017USD ($) | Jun. 30, 2015USD ($) | Dec. 31, 2012USD ($) | Apr. 30, 2022USD ($) | |
Revolving Credit Facility | The Credit Agreement | |||||||
Debt Instrument [Line Items] | |||||||
Maximum borrowing capacity | $ 1,500,000,000 | $ 1,500,000,000 | |||||
Line of credit facility, increase limit | $ 2,000,000,000 | ||||||
Debt covenant, interest coverage ratio, minimum | 3.50 | ||||||
Debt covenant, leverage ratio, maximum | 4 | ||||||
Line of credit facility, outstanding borrowings | $ 0 | ||||||
Revolving Credit Facility | The Credit Agreement | Minimum | Base Rate | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread on variable rate | 0.00% | ||||||
Revolving Credit Facility | The Credit Agreement | Minimum | London Interbank Offered Rate (LIBOR) | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread on variable rate | 0.785% | ||||||
Revolving Credit Facility | The Credit Agreement | Maximum | Base Rate | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread on variable rate | 0.375% | ||||||
Revolving Credit Facility | The Credit Agreement | Maximum | London Interbank Offered Rate (LIBOR) | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread on variable rate | 1.375% | ||||||
Senior Notes | |||||||
Debt Instrument [Line Items] | |||||||
Debt redemption percentage of principle amount | 101.00% | ||||||
Senior Notes | 2021 Notes | |||||||
Debt Instrument [Line Items] | |||||||
Aggregate principal amount | $ 1,000,000,000 | $ 1,000,000,000 | |||||
Stated interest rate | 2.40% | ||||||
Unamortized discount | $ 3,000,000 | ||||||
Debt issuance costs | 9,000,000 | ||||||
Proceeds from debt, net of issuance costs | $ 988,000,000 | ||||||
Senior Notes | 2020 Notes | |||||||
Debt Instrument [Line Items] | |||||||
Aggregate principal amount | $ 500,000,000 | 500,000,000 | |||||
Stated interest rate | 2.85% | ||||||
Unamortized discount | $ 1,000,000 | ||||||
Debt issuance costs | 5,000,000 | ||||||
Proceeds from debt, net of issuance costs | 494,000,000 | ||||||
Senior Notes | 2015 Notes | |||||||
Debt Instrument [Line Items] | |||||||
Repayments of debt | $ 450,000,000 | ||||||
Senior Notes | 2017 Notes due in 2027 | |||||||
Debt Instrument [Line Items] | |||||||
Aggregate principal amount | $ 500,000,000 | ||||||
Stated interest rate | 3.50% | ||||||
Unamortized discount | $ 3,000,000 | ||||||
Debt issuance costs | 5,000,000 | ||||||
Proceeds from debt, net of issuance costs | 492,000,000 | ||||||
Senior Notes | 2017 Notes | |||||||
Debt Instrument [Line Items] | |||||||
Aggregate principal amount | 500,000,000 | ||||||
Repayments of debt | $ 400,000,000 | ||||||
Senior Notes | 2015 Notes | |||||||
Debt Instrument [Line Items] | |||||||
Aggregate principal amount | $ 300,000,000 | 300,000,000 | |||||
Stated interest rate | 4.375% | ||||||
Unamortized discount | $ 1,000,000 | ||||||
Debt issuance costs | 3,000,000 | ||||||
Proceeds from debt, net of issuance costs | $ 296,000,000 | ||||||
Senior Notes | 2012 Notes | |||||||
Debt Instrument [Line Items] | |||||||
Aggregate principal amount | $ 350,000,000 | $ 350,000,000 | |||||
Stated interest rate | 3.60% | ||||||
Debt issuance costs | $ 3,000,000 | ||||||
Proceeds from debt, net of issuance costs | $ 347,000,000 |
Borrowing Arrangements - Fair V
Borrowing Arrangements - Fair Value of Market Price (Details) - Senior Notes - USD ($) $ in Millions | Apr. 30, 2022 | Oct. 31, 2021 | Jan. 31, 2020 | Jun. 30, 2015 | Dec. 31, 2012 |
2012 Notes | |||||
Debt Instrument [Line Items] | |||||
Aggregate Principal Amount | $ 350 | $ 350 | |||
Fair value | 350 | ||||
2015 Notes | |||||
Debt Instrument [Line Items] | |||||
Aggregate Principal Amount | 300 | $ 300 | |||
Fair value | 305 | ||||
2017 Notes | |||||
Debt Instrument [Line Items] | |||||
Aggregate Principal Amount | 500 | ||||
Fair value | 486 | ||||
2020 Notes | |||||
Debt Instrument [Line Items] | |||||
Aggregate Principal Amount | 500 | $ 500 | |||
Fair value | 443 | ||||
2021 Notes | |||||
Debt Instrument [Line Items] | |||||
Aggregate Principal Amount | 1,000 | $ 1,000 | |||
Fair value | $ 836 |
Borrowing Arrangements - Future
Borrowing Arrangements - Future Minimum Payments For Borrowings (Details) $ in Millions | Apr. 30, 2022USD ($) |
Debt Disclosure [Abstract] | |
2023 (remainder) | $ 350 |
2024 | 0 |
2025 | 0 |
2026 | 300 |
2027 | 0 |
Thereafter | 2,000 |
Total principal outstanding | $ 2,650 |
Leases - Narrative (Details)
Leases - Narrative (Details) - USD ($) | 3 Months Ended | ||
Apr. 30, 2022 | Apr. 30, 2021 | Jan. 31, 2022 | |
Lessee, Lease, Description [Line Items] | |||
Weighted average remaining lease term | 6 years 8 months 12 days | 6 years 10 months 24 days | |
Weighted average discount rate | 2.37% | 2.46% | |
Operating lease minimum payments, executed leases that have not commenced | $ 2,000,000 | ||
Public income remaining lease term | 9 years 6 months | ||
Facility Closure | |||
Lessee, Lease, Description [Line Items] | |||
Asset impairment charges | $ 2,000,000 | $ 0 | |
Minimum | |||
Lessee, Lease, Description [Line Items] | |||
Operating lease remaining lease term | 1 year | ||
Lease renewal term | 1 year | ||
Optional termination period | 1 year | ||
Maximum | |||
Lessee, Lease, Description [Line Items] | |||
Operating lease remaining lease term | 68 years | ||
Lease renewal term | 10 years | ||
Optional termination period | 8 years |
Leases - Lease Costs and Cash F
Leases - Lease Costs and Cash Flow Information (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Operating lease cost | $ 23 | $ 25 |
Variable lease cost | 5 | 5 |
Cash paid for operating leases included in operating cash flows | 34 | 30 |
Non-cash operating lease liabilities arising from obtaining operating lease right-of-use assets | 23 | 5 |
Variable lease payments | 5 | 5 |
Cost of subscription and maintenance revenue | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Operating lease cost | 2 | 2 |
Variable lease cost | 0 | 0 |
Cost of other revenue | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Operating lease cost | 1 | 0 |
Variable lease cost | 0 | 0 |
Marketing and sales | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Operating lease cost | 10 | 11 |
Variable lease cost | 2 | 2 |
Research and development | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Operating lease cost | 7 | 8 |
Variable lease cost | 2 | 2 |
General and administrative | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Operating lease cost | 3 | 4 |
Variable lease cost | $ 1 | $ 1 |
Leases - Maturities of Lease Li
Leases - Maturities of Lease Liabilities (Details) $ in Millions | Apr. 30, 2022USD ($) |
Leases [Abstract] | |
2023 (remainder) | $ 65 |
2024 | 92 |
2025 | 72 |
2026 | 60 |
2027 | 42 |
Thereafter | 126 |
Total lease payments | 457 |
Less imputed interest | 33 |
Present value of operating lease liabilities | $ 424 |
Derivative Instruments - Fair V
Derivative Instruments - Fair Value of Derivative Instruments (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Apr. 30, 2022 | Apr. 30, 2021 | Jan. 31, 2022 | |
Derivatives, Fair Value [Line Items] | |||
Total derivative assets | $ 96 | $ 18 | |
Total derivative liabilities | 20 | 11 | |
Amount of gain (loss) recognized in accumulated other comprehensive income, net of tax, (effective portion) | 55 | $ 6 | |
Amount and location of gain (loss) reclassified from accumulated other comprehensive loss into income (effective portion) | 2 | (4) | |
Net revenue | |||
Derivatives, Fair Value [Line Items] | |||
Amount and location of gain (loss) reclassified from accumulated other comprehensive loss into income (effective portion) | 6 | (5) | |
Cost of revenue | |||
Derivatives, Fair Value [Line Items] | |||
Amount and location of gain (loss) reclassified from accumulated other comprehensive loss into income (effective portion) | (1) | 0 | |
Operating expenses | |||
Derivatives, Fair Value [Line Items] | |||
Amount and location of gain (loss) reclassified from accumulated other comprehensive loss into income (effective portion) | (3) | 1 | |
Interest and other expense, net | |||
Derivatives, Fair Value [Line Items] | |||
Interest and other expense, net | 24 | $ 7 | |
Prepaid expenses and other current assets | Foreign Exchange Contract | Foreign currency contracts designated as cash flow hedges | |||
Derivatives, Fair Value [Line Items] | |||
Total derivative assets | 75 | 12 | |
Prepaid expenses and other current assets and long-term other assets | Foreign Exchange Contract | Derivatives not designated as hedging instruments | |||
Derivatives, Fair Value [Line Items] | |||
Total derivative assets | 21 | 6 | |
Other accrued liabilities | Foreign Exchange Contract | Foreign currency contracts designated as cash flow hedges | |||
Derivatives, Fair Value [Line Items] | |||
Total derivative liabilities | 15 | 7 | |
Other accrued liabilities | Foreign Exchange Contract | Derivatives not designated as hedging instruments | |||
Derivatives, Fair Value [Line Items] | |||
Total derivative liabilities | $ 5 | $ 4 |
Derivative Instruments - Narrat
Derivative Instruments - Narrative (Details) - USD ($) $ in Millions | Apr. 30, 2022 | Jan. 31, 2022 |
Derivatives, Fair Value [Line Items] | ||
Net gain expected to be recognized in next 24 months | $ 79 | |
Designated as Hedging Instrument | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, notional amount | 896 | $ 1,080 |
Derivatives not designated as hedging instruments | Foreign Exchange Contract | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, notional amount | $ 408 | $ 542 |
Derivative Instruments - Effect
Derivative Instruments - Effects of Derivative Instruments on Condensed Consolidated Statements of Operations (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Derivatives, Fair Value [Line Items] | ||
Total net revenue | $ 1,170 | $ 989 |
Selling and Marketing Expense | 419 | 377 |
Research and Development Expense | 289 | 266 |
General and Administrative Expense | 120 | 112 |
Amount and location of gain (loss) reclassified from accumulated other comprehensive loss into income (effective portion) | 2 | (4) |
Foreign Exchange Contract | Designated as Hedging Instrument | Subscription revenue | ||
Derivatives, Fair Value [Line Items] | ||
Amount and location of gain (loss) reclassified from accumulated other comprehensive loss into income (effective portion) | 6 | (5) |
Foreign Exchange Contract | Designated as Hedging Instrument | Maintenance revenue | ||
Derivatives, Fair Value [Line Items] | ||
Amount and location of gain (loss) reclassified from accumulated other comprehensive loss into income (effective portion) | 0 | 0 |
Foreign Exchange Contract | Designated as Hedging Instrument | Cost of subscription and maintenance revenue | ||
Derivatives, Fair Value [Line Items] | ||
Amount and location of gain (loss) reclassified from accumulated other comprehensive loss into income (effective portion) | (1) | 0 |
Foreign Exchange Contract | Designated as Hedging Instrument | Marketing and sales | ||
Derivatives, Fair Value [Line Items] | ||
Amount and location of gain (loss) reclassified from accumulated other comprehensive loss into income (effective portion) | (2) | 1 |
Foreign Exchange Contract | Designated as Hedging Instrument | Research and development | ||
Derivatives, Fair Value [Line Items] | ||
Amount and location of gain (loss) reclassified from accumulated other comprehensive loss into income (effective portion) | 0 | 0 |
Foreign Exchange Contract | Designated as Hedging Instrument | General and administrative | ||
Derivatives, Fair Value [Line Items] | ||
Amount and location of gain (loss) reclassified from accumulated other comprehensive loss into income (effective portion) | (1) | 0 |
Subscription revenue | ||
Derivatives, Fair Value [Line Items] | ||
Total net revenue | 1,089 | 927 |
Maintenance revenue | ||
Derivatives, Fair Value [Line Items] | ||
Total net revenue | 18 | 19 |
Cost of subscription and maintenance revenue | ||
Derivatives, Fair Value [Line Items] | ||
Total net revenue | 1,107 | 946 |
Cost of goods and services sold | $ 84 | $ 68 |
Stockholders' Equity - Schedule
Stockholders' Equity - Schedule of Changes in Stockholders' Deficit by Component, Net of Tax (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning balance | $ 849 | $ 965 |
Common shares issued under stock plans | (10) | 9 |
Stock-based compensation expense | 146 | 114 |
Shares issued related to business combination | 10 | 3 |
Net income (loss) | 146 | 156 |
Other comprehensive income (loss) | (24) | 24 |
Repurchase and retirement of common shares | (436) | (143) |
Ending balance | $ 681 | $ 1,128 |
Common Stock Repurchase Program | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Common stock repurchased and retired (in shares) | 2,058,000 | 515,000 |
Repurchased shares of its common stock on the open market, average repurchase price per share (in usd per share) | $ 211.71 | $ 276.96 |
Common stock shares remained available for repurchase under repurchase plans (in shares) | 6,000,000 | 12,000,000 |
Common stock and additional paid-in capital | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning balance (in shares) | 218,000,000 | 220,000,000 |
Beginning balance | $ 2,923 | $ 2,579 |
Common shares issued under stock plans (in shares) | 1,000,000 | 1,000,000 |
Common shares issued under stock plans | $ (10) | $ 9 |
Stock-based compensation expense | 146 | 114 |
Shares issued related to business combination | $ 10 | $ 3 |
Repurchase and retirement of common shares (in shares) | (2,000,000) | (1,000,000) |
Repurchase and retirement of common shares | $ (97) | $ (66) |
Ending balance (in shares) | 217,000,000 | 220,000,000 |
Ending balance | $ 2,972 | $ 2,639 |
Accumulated other comprehensive loss | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning balance | (124) | (126) |
Other comprehensive income (loss) | (24) | 24 |
Ending balance | (148) | (102) |
Accumulated deficit | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning balance | (1,950) | (1,488) |
Net income (loss) | 146 | 156 |
Repurchase and retirement of common shares | (339) | (77) |
Ending balance | $ (2,143) | $ (1,409) |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | $ 849 | $ 965 |
Other comprehensive income (loss) before reclassifications | (11) | 24 |
Pre-tax gains (loss) reclassified from accumulated other comprehensive loss | (5) | 4 |
Tax effects | (8) | (4) |
Total other comprehensive (loss) income | (24) | 24 |
Ending balance | 681 | 1,128 |
Accumulated other comprehensive loss | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | (124) | (126) |
Ending balance | (148) | (102) |
Net Unrealized Gains (Losses) on Derivative Instruments | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | 24 | (24) |
Other comprehensive income (loss) before reclassifications | 65 | 8 |
Pre-tax gains (loss) reclassified from accumulated other comprehensive loss | (2) | 4 |
Tax effects | (8) | (2) |
Total other comprehensive (loss) income | 55 | 10 |
Ending balance | 79 | (14) |
Net Unrealized Gains (Losses) on Available-for-Sale Debt Securities | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | 18 | 6 |
Other comprehensive income (loss) before reclassifications | (1) | 4 |
Pre-tax gains (loss) reclassified from accumulated other comprehensive loss | 0 | 0 |
Tax effects | 0 | 0 |
Total other comprehensive (loss) income | (1) | 4 |
Ending balance | 17 | 10 |
Defined Benefit Pension Components | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | (16) | (21) |
Other comprehensive income (loss) before reclassifications | 0 | 0 |
Pre-tax gains (loss) reclassified from accumulated other comprehensive loss | (3) | 0 |
Tax effects | 0 | 0 |
Total other comprehensive (loss) income | (3) | 0 |
Ending balance | (19) | (21) |
Foreign Currency Translation Adjustments | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | (150) | (87) |
Other comprehensive income (loss) before reclassifications | (75) | 12 |
Pre-tax gains (loss) reclassified from accumulated other comprehensive loss | 0 | 0 |
Tax effects | 0 | (2) |
Total other comprehensive (loss) income | (75) | 10 |
Ending balance | $ (225) | $ (77) |
Net Income Per Share - Computat
Net Income Per Share - Computation of Net Income Per Share Amounts (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Numerator: | ||
Net income | $ 146 | $ 156 |
Denominator: | ||
Denominator for basic net income per share—weighted average shares (in shares) | 217 | 220 |
Effect of dilutive securities (in shares) | 2 | 2 |
Denominator for dilutive net income per share (in shares) | 219 | 222 |
Basic net income per share (in dollars per share) | $ 0.67 | $ 0.71 |
Diluted net income per share (in dollars per share) | $ 0.67 | $ 0.70 |
Net Income Per Share - Narrativ
Net Income Per Share - Narrative (Details) - shares shares in Thousands | 3 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Earnings Per Share [Abstract] | ||
Potentially dilutive shares excluded from the computation of diluted net income per share (in shares) | 531 | 410 |
Segments (Details)
Segments (Details) $ in Millions | 3 Months Ended | |
Apr. 30, 2022USD ($)segment | Jan. 31, 2022USD ($) | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Number of operating segments | segment | 1 | |
Total long-lived assets | $ 465 | $ 467 |
Americas | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total long-lived assets | 354 | 343 |
U.S. | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total long-lived assets | 336 | 323 |
Other Americas | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total long-lived assets | 18 | 20 |
Europe, Middle East, and Africa | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total long-lived assets | 83 | 92 |
Asia Pacific | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total long-lived assets | $ 28 | $ 32 |