0001535527-20-000025 | 10-Q | XBRL Viewer

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Cover - shares	9 Months Ended
Cover - shares	Oct. 31, 2020	Nov. 30, 2020
Document Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Oct. 31, 2020
Document Transition Report	false
Entity File Number	001-38933
Entity Registrant Name	CROWDSTRIKE HOLDINGS, INC.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	45-3788918
Entity Address, Address Line One	150 Mathilda Place
Entity Address, Address Line Two	Suite 300
Entity Address, City or Town	Sunnyvale
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	94086
Title of 12(b) Security	Class A common stock, par value $0.0005 per share
Trading Symbol	CRWD
Security Exchange Name	NASDAQ
City Area Code	888
Local Phone Number	512-8906
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Shell Company	false
Entity Central Index Key	0001535527
Current Fiscal Year End Date	--01-31
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q3
Amendment Flag	false
Class A common stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		188,279,983
Class B common stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		32,983,756

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Oct. 31, 2020	Jan. 31, 2020
Current assets:
Cash and cash equivalents	$ 1,059,926	$ 264,798
Marketable securities	0	647,266
Accounts receivable, net of allowance for doubtful accounts of $1.1 million as of October 31, 2020 and January 31, 2020	172,775	164,987
Deferred contract acquisition costs, current	62,422	42,971
Prepaid expenses and other current assets	45,673	51,614
Total current assets	1,340,796	1,171,636
Strategic investments	2,500	1,000
Property and equipment, net	162,371	136,078
Operating lease right-of-use assets	38,376	0
Deferred contract acquisition costs, noncurrent	91,585	71,235
Goodwill	83,132	7,722
Total amortization expense	16,356	527
Other assets	14,393	16,708
Total assets	1,749,509	1,404,906
Current liabilities:
Accounts payable	7,494	1,345
Accrued expenses	39,975	30,355
Accrued payroll and benefits	56,468	36,810
Operating lease liabilities, current	8,646	0
Deferred revenue	579,671	412,985
Other current liabilities	9,785	11,601
Total current liabilities	702,039	493,096
Deferred revenue, noncurrent	183,003	158,183
Operating lease liabilities, noncurrent	34,006	0
Other liabilities, noncurrent	15,676	11,020
Total liabilities	934,724	662,299
Commitments and contingencies (Note 11)
Stockholders’ Equity
Preferred stock, $0.0005 par value; 100,000 shares authorized as of October 31, 2020 and January 31, 2020; no shares issued and outstanding as of October 31, 2020 and January 31, 2020	0	0
Additional paid-in capital	1,523,873	1,378,479
Accumulated deficit	(711,114)	(637,487)
Accumulated other comprehensive income	615	1,009
Total CrowdStrike Holdings, Inc. stockholders’ equity	813,485	742,107
Non-controlling interest	1,300	500
Total stockholders’ equity	814,785	742,607
Total liabilities and stockholders’ equity	1,749,509	1,404,906
Class A and Class B common stock
Stockholders’ Equity
Class A common stock, $0.0005 par value; 2,000,000 shares authorized as of October 31, 2020 and January 31, 2020, respectively; 187,701 shares and 107,666 shares issued and outstanding as of October 31, 2020 and January 31, 2020, respectively; Class B common stock, $0.0005 par value; 300,000 shares authorized as of October 31, 2020 and January 31, 2020, respectively; 33,253 shares and 105,282 shares issued and outstanding as of October 31, 2020 and January 31, 2020, respectively	$ 111	$ 106

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions	Oct. 31, 2020	Jan. 31, 2020
Accounts receivable, allowance for doubtful accounts	$ 1.1	$ 1.1
Preferred stock, par value (in usd per share)	$ 0.0005	$ 0.0005
Preferred stock, shares authorized (in shares)	100,000,000	100,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Class A common stock
Common stock, par value (in usd per share)	$ 0.0005	$ 0.0005
Common stock, shares authorized (in shares)	2,000,000,000	2,000,000,000
Common stock, shares issued (in shares)	187,701,000	107,666,000
Common stock, shares outstanding (in shares)	187,701,000	107,666,000
Class B common stock
Common stock, par value (in usd per share)	$ 0.0005	$ 0.0005
Common stock, shares authorized (in shares)	300,000,000	300,000,000
Common stock, shares issued (in shares)	33,253,000	105,282,000
Common stock, shares outstanding (in shares)	33,253,000	105,282,000

Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 31, 2020	Oct. 31, 2019	Oct. 31, 2020	Oct. 31, 2019
Revenue
Total revenue	$ 232,460	$ 125,119	$ 609,509	$ 329,304
Cost of revenue
Total cost of revenue	61,527	37,355	162,813	98,211
Gross profit	170,933	87,764	446,696	231,093
Operating expenses
Sales and marketing	105,602	68,675	288,867	190,792
Research and development	57,539	35,992	148,600	91,497
General and administrative	31,951	21,615	85,955	63,737
Total operating expenses	195,092	126,282	523,422	346,026
Loss from operations	(24,159)	(38,518)	(76,726)	(114,933)
Interest expense	(193)	(132)	(510)	(297)
Other income, net	272	3,579	5,537	3,523
Loss before provision for income taxes	(24,080)	(35,071)	(71,699)	(111,707)
Provision for income taxes	(451)	(434)	(1,928)	(1,664)
Net loss	$ (24,531)	$ (35,505)	$ (73,627)	$ (113,371)
Net loss per share attributable to Class A and Class B common stockholders, basic and diluted (in usd per share)	$ (0.11)	$ (0.17)	$ (0.34)	$ (0.89)
Weighted-average shares used in computing net loss per share attributable to Class A and Class B common stockholders, basic and diluted (in shares)	219,401	204,096	216,432	128,009
Subscription
Revenue
Total revenue	$ 213,530	$ 114,221	$ 560,008	$ 297,787
Cost of revenue
Total cost of revenue	49,583	29,221	130,864	77,858
Professional services
Revenue
Total revenue	18,930	10,898	49,501	31,517
Cost of revenue
Total cost of revenue	$ 11,944	$ 8,134	$ 31,949	$ 20,353

Condensed Consolidated Statements of Comprehensive Loss - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 31, 2020	Oct. 31, 2019	Oct. 31, 2020	Oct. 31, 2019
Statement of Comprehensive Income [Abstract]
Net loss	$ (24,531)	$ (35,505)	$ (73,627)	$ (113,371)
Other comprehensive income (loss):
Foreign currency translation adjustments	(500)	410	926	(213)
Reversal of unrealized gain upon sale of debt securities	0	0	(1,320)	0
Unrealized loss on available-for-sale securities, net of tax	0	22	0	17
Other comprehensive income (loss)	(500)	432	(394)	(196)
Total comprehensive loss	$ (25,031)	$ (35,073)	$ (74,021)	$ (113,567)

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References + Details

Condensed Consolidated Statements of Redeemable Convertible Preferred Stock and Stockholders' Equity - USD ($) $ in Thousands	Total	Cumulative Effect, Period of Adoption, Adjustment	Common Stock	Additional Paid-in Capital	Accumulated Deficit	Accumulated Deficit Cumulative Effect, Period of Adoption, Adjustment	Accumulated Other Comprehensive Income (Loss)	Non-controlling Interest	Redeemable Convertible Preferred Stock
Beginning balance (in shares) at Jan. 31, 2019									131,268,000
Beginning balance at Jan. 31, 2019									$ 557,912
Increase (Decrease) in Temporary Equity [Roll Forward]
Conversion of redeemable convertible preferred stock to common stock upon initial public offering (in shares)									(131,268,000)
Conversion of redeemable convertible preferred stock to common stock upon initial public offering									$ (557,912)
Ending balance (in shares) at Oct. 31, 2019									0
Ending balance at Oct. 31, 2019									$ 0
Beginning balance (in shares) at Jan. 31, 2019			47,421,000
Beginning balance at Jan. 31, 2019	$ (487,793)	$ 23,418	$ 24	$ 31,211	$ (519,126)	$ 23,418	$ 98
Stockholders' Deficit
Common stock issued (in shares)			20,700,000
Issuance of common stock upon initial public offering, net of underwriting discounts and issuance costs (in shares)	659,218		$ 11	659,207
Conversion of redeemable convertible preferred stock to common stock upon initial public offering (in shares)			131,268,000
Conversion of redeemable convertible preferred stock to common stock upon initial public offering	557,912		$ 66	557,846
Reclassification of redeemable convertible preferred stock warrant liability to additional paid-in capital upon initial public offering	10,559			10,559
Net exercise of common stock warrants (in shares)			322,000
Issuance of common stock upon exercise of options (in shares)			4,731,000
Issuance of common stock upon exercise of options	9,391		$ 2	9,389
Issuance of common stock upon exercise of options (in shares)			1,037,356
Vesting of early exercised stock options	1,816			1,816
Stock-based compensation expense	55,577			55,577
Capitalized stock-based compensation	511			511
Net loss	(113,371)				(113,371)
Other comprehensive income (loss)	(196)						(196)
Ending balance (in shares) at Oct. 31, 2019			205,479,000
Ending balance at Oct. 31, 2019	717,042		$ 103	1,326,116	(609,079)		(98)
Beginning balance (in shares) at Jul. 31, 2019									0
Beginning balance at Jul. 31, 2019									$ 0
Ending balance (in shares) at Oct. 31, 2019									0
Ending balance at Oct. 31, 2019									$ 0
Beginning balance (in shares) at Jul. 31, 2019			205,193,000
Beginning balance at Jul. 31, 2019	728,097		$ 103	1,302,098	(573,574)		(530)
Stockholders' Deficit
Issuance of common stock upon exercise of options (in shares)			286,000
Issuance of common stock upon exercise of options	824			824
Issuance of common stock upon exercise of options (in shares)			0
Vesting of early exercised stock options	962			962
Stock-based compensation expense	21,966			21,966
Capitalized stock-based compensation	266			266
Net loss	(35,505)				(35,505)
Other comprehensive income (loss)	432						432
Ending balance (in shares) at Oct. 31, 2019			205,479,000
Ending balance at Oct. 31, 2019	717,042		$ 103	1,326,116	(609,079)		(98)
Beginning balance (in shares) at Jan. 31, 2020									0
Beginning balance at Jan. 31, 2020									$ 0
Ending balance (in shares) at Oct. 31, 2020									0
Ending balance at Oct. 31, 2020									$ 0
Beginning balance (in shares) at Jan. 31, 2020			212,948,000
Beginning balance at Jan. 31, 2020	742,607		$ 106	1,378,479	(637,487)		1,009	$ 500
Beginning balance at Jan. 31, 2020	742,107
Stockholders' Deficit
Issuance of common stock upon exercise of options (in shares)			5,966,000
Issuance of common stock upon exercise of options	21,522		$ 5	21,517
Issuance of common stock under RSU release (in shares)			1,475,000
Issuance of common stock under RSU release	0		$ 0
Issuance of common stock under employee stock purchase plan (in shares)			565,000
Issuance of common stock under employee stock purchase plan	17,284			17,284
Vesting of early exercised stock options	2,521			2,521
Stock-based compensation expense	101,883			101,883
Capitalized stock-based compensation	1,876			1,876
Fair value of replacement equity awards attributable to pre-acquisition service	313			313
Net loss	(73,627)				(73,627)
Non-controlling interest	800							800
Other comprehensive income (loss)	(394)						(394)
Ending balance (in shares) at Oct. 31, 2020			220,954,000
Ending balance at Oct. 31, 2020	814,785		$ 111	1,523,873	(711,114)		615	1,300
Ending balance at Oct. 31, 2020	813,485
Beginning balance (in shares) at Jul. 31, 2020									0
Beginning balance at Jul. 31, 2020									$ 0
Ending balance (in shares) at Oct. 31, 2020									0
Ending balance at Oct. 31, 2020									$ 0
Beginning balance (in shares) at Jul. 31, 2020			219,194,000
Beginning balance at Jul. 31, 2020	792,015		$ 110	1,476,323	(686,583)		1,115	1,050
Stockholders' Deficit
Issuance of common stock upon exercise of options (in shares)			1,277,000
Issuance of common stock upon exercise of options	4,921		$ 1	4,920
Issuance of common stock under RSU release (in shares)			483,000
Issuance of common stock under RSU release	0		$ 0
Vesting of early exercised stock options	799			799
Stock-based compensation expense	40,532			40,532
Capitalized stock-based compensation	986			986
Fair value of replacement equity awards attributable to pre-acquisition service	313			313
Net loss	(24,531)				(24,531)
Non-controlling interest	250							250
Other comprehensive income (loss)	(500)						(500)
Ending balance (in shares) at Oct. 31, 2020			220,954,000
Ending balance at Oct. 31, 2020	814,785		$ 111	$ 1,523,873	$ (711,114)		$ 615	$ 1,300
Ending balance at Oct. 31, 2020	$ 813,485

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Oct. 31, 2020	Oct. 31, 2019
Operating activities
Net loss	$ (73,627)	$ (113,371)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Depreciation and amortization	27,728	16,023
Amortization of intangible assets	579	385
Amortization of deferred contract acquisition costs	44,940	24,125
Non-cash operating lease cost	7,666	0
Change in fair value of redeemable convertible preferred stock warrant liability	0	6,022
Provision for bad debts	(448)	413
Stock-based compensation expense	101,961	55,577
Gain on sale of debt securities, net	(1,347)	0
Accretion (amortization) of marketable securities purchased at a discount	578	(1,313)
Non-cash interest expense	506	293
Changes in operating assets and liabilities
Accounts receivable	(6,155)	(53,631)
Deferred contract acquisition costs	(84,741)	(55,238)
Prepaid expenses and other assets	1,487	(19,883)
Accounts payable	6,556	(3,773)
Accrued expenses and other current liabilities	1,643	3,405
Accrued payroll and benefits	18,712	17,621
Operating lease liabilities	(1,434)	0
Deferred revenue	189,582	157,239
Other liabilities	7,917	(58)
Net cash provided by operating activities	242,103	33,836
Investing activities
Purchases of property and equipment	(40,245)	(66,848)
Capitalized internal-use software	(6,345)	(5,208)
Business acquisition, net of cash acquired	(85,469)	0
Purchase of strategic investments	(1,500)	0
Purchases of marketable securities	(84,904)	(187,697)
Proceeds from sales of marketable securities	639,586	4,473
Maturities of marketable securities	91,605	197,764
Net cash provided by (used in) investing activities	512,728	(57,516)
Financing activities
Proceeds from the issuance of common stock upon initial public offering, net of underwriting discounts	0	665,092
Payments of deferred offering costs	0	(5,872)
Proceeds from issuance of common stock upon exercise of stock options	21,522	9,350
Proceeds from the issuance of common stock upon exercise of early exercisable stock options	0	10,264
Proceeds from issuance of common stock under the employee stock purchase plan	17,284	0
Capital contributions from non-controlling interest holders	800	0
Net cash provided by financing activities	39,606	678,834
Effect of foreign exchange rates on cash and cash equivalents	691	43
Net increase in cash and cash equivalents	795,128	655,197
Cash and cash equivalents, beginning of period	264,798	88,408
Cash and cash equivalents, end of period	1,059,926	743,605
Supplemental disclosure of cash flow information:
Interest paid	4	3
Income taxes paid, net of refunds received	1,563	1,054
Supplemental disclosure of non-cash investing and financing activities:
Conversion of redeemable convertible preferred stock to common stock	0	557,912
Conversion of redeemable convertible preferred stock warrant liabilities reclassified to additional paid-in capital	0	10,559
Net increase (decrease) in deferred offering costs, accrued but not paid	0	(2,858)
Net increase (decrease) in property and equipment included in accounts payable and accrued expenses	4,755	(715)
Vesting of early exercised stock options	2,521	1,816
Equity consideration for acquisitions	$ 3,842	$ 0

Description of Business and Basis of Presentation	9 Months Ended
Description of Business and Basis of Presentation	Oct. 31, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Description of Business and Basis of Presentation	Description of Business and Basis of Presentation Business CrowdStrike Holdings, Inc. (the “Company”) was formed on November 7, 2011. The Company provides a leading cloud-delivered solution for next-generation endpoint and cloud workload protection that offers 16 cloud modules on its Falcon platform via a software as a service (“SaaS”) subscription-based model that spans multiple large security markets, including corporate workload security, security and vulnerability management, managed security services, IT operations management, and threat intelligence services. Additionally, with the recent acquisition of Preempt Security, the Company entered the identity protection market. The Company is headquartered in Sunnyvale, California. The Company conducts its business in the United States, as well as locations internationally, including in Australia, Germany, India, Romania, Israel and the United Kingdom. Initial Public Offering On June 14, 2019, the Company closed its initial public offering (“IPO”), in which it sold 20,700,000 shares of Class A common stock. The shares were sold at a public offering price of $34.00 per share for net proceeds of $659.2 million, after deducting underwriters’ discounts and commissions and offering expenses of $44.8 million. Immediately prior to the closing of the IPO, all outstanding shares of redeemable convertible preferred stock automatically converted into 131,267,586 shares of Class B common stock on a one-to-one basis. Additionally, in connection with the IPO, all of the Company’s outstanding common stock was reclassified into shares of Class B common stock on a one-for-one basis. Redeemable convertible preferred stock warrants also converted into 336,386 warrants to purchase Class B common stock on a one-to-one basis. Basis of Presentation The accompanying condensed consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”) and applicable rules and regulations of the Securities and Exchange Commission (“SEC”) regarding interim financial reporting. As permitted under those rules, certain footnotes or other financial information that are normally required by U.S. GAAP have been condensed or omitted, and accordingly the balance sheet as of January 31, 2020, and related disclosures, have been derived from the audited consolidated financial statements at that date but do not include all of the information required by U.S. GAAP for complete consolidated financial statements. These unaudited condensed consolidated financial statements have been prepared on the same basis as the Company’s annual consolidated financial statements and, in the opinion of management, reflect all normal recurring adjustments that are necessary for the fair statement of the Company’s condensed consolidated financial information. The results of operations for the three and nine months ended October 31, 2020 are not necessarily indicative of the results to be expected for the year ending January 31, 2021 or for any other interim period or for any other future year.

Summary of Significant Accounting Policies

9 Months Ended

Oct. 31, 2020

Accounting Policies [Abstract]

Summary of Significant Accounting Policies

Principles of Consolidation

The condensed consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation.

Certain information and footnote disclosures normally included in the financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to the applicable required disclosures and regulations of the SEC. Therefore, the accompanying interim unaudited condensed consolidated financial statements and related financial information should be read in conjunction with Item 8, “Financial Statements and Supplementary Data” included in the Company’s Annual Report on Form 10-K for the fiscal year ended January 31, 2020, filed with the SEC on March 23, 2020.

JOBS Act Accounting Election

The Company will be an “emerging growth company” (“EGC”) as defined in the Jumpstart Our Business Startups Act of 2012 (“JOBS Act”) until January 31, 2021. An EGC may take advantage of specified reduced reporting requirements that are otherwise applicable generally to public companies, including, but not limited to, delayed adoption of new or revised accounting pronouncements applicable to public companies until such pronouncements are made applicable to private companies, not being required to comply with the auditor attestation requirements of Section 404 of the Sarbanes-Oxley Act of 2002 (“Sarbanes-Oxley Act”), reduced disclosure obligations regarding executive compensation in the Company’s periodic reports and proxy statements, and exemptions from the requirements of holding a nonbinding advisory vote on executive compensation and stockholder approval of any golden parachute payments not previously approved. The Company may take advantage of these exemptions until it is no longer an EGC.

Use of Estimates

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported and disclosed in the Company’s condensed consolidated financial statements and accompanying notes. These estimates are based on information available as of the date of the condensed consolidated financial statements. On a regular basis, management evaluates these estimates and assumptions. Actual results may differ from these estimates and such difference could be material to the Company’s condensed consolidated financial statements.

Estimates and assumptions used by management include, but are not limited to, revenue recognition, the allowance for doubtful accounts, the carrying value and the useful lives of long-lived assets, the fair values of financial instruments and strategic investments, the period of benefit for deferred contract acquisition costs, the discount rate used for operating leases, the recognition and disclosure of contingent liabilities, income taxes, stock-based compensation, and the fair value of assets acquired and liabilities assumed for business combinations.

Due to the Coronavirus (“COVID-19”) pandemic, there has been uncertainty and disruption in the global economy and financial markets. The Company is not aware of any specific event or circumstance that would require a material update to its estimates or judgments or an adjustment of the carrying value of its assets or liabilities as of October 31, 2020. While there was not a material impact to the Company’s condensed consolidated financial statements as of and for the three and nine months ended October 31, 2020, these estimates may change, as new events occur and additional information is obtained, as well as other factors related to COVID-19 that could result in material impacts to the Company’s condensed consolidated financial statements in future reporting periods.

Concentration of Credit Risk and Geographic Information

The Company generates revenue from the sale of subscriptions to access its cloud platform and professional services. The Company’s sales team, along with its channel partner network of system integrators and value-added resellers (collectively, “channel partners”), sells the Company’s services worldwide to organizations of all sizes.

Financial instruments that potentially subject the Company to concentrations of credit risk consist of cash, cash equivalents, marketable securities, accounts receivable, and strategic investments. The Company’s cash is placed with high-credit-quality financial institutions and issuers, and at times exceed federally insured limits. The Company limits its concentration of risk in cash equivalents and marketable securities by diversifying its investments among a variety of industries and issuers. The Company has not experienced any credit loss relating to its cash equivalents, marketable securities, and strategic investments. The Company performs periodic credit evaluations of its customers and generally does not require collateral. As of October 31, 2020, the Company did not have any cash equivalents or marketable securities.

Channel partners or direct customers who represented 10% or more of the Company’s accounts receivable were as follows:


	October 31,		January 31,
	2020		2020
Channel partner A	7	%	11	%
Channel partner B	6	%	10	%

Customer B	8	%	20	%

Channel partners who represented 10% or more of the Company’s total revenue were as follows:


	Three Months Ended October 31,			Nine Months Ended October 31,
	2020		2019	2020		2019
Channel partner A	8	%	10 %	8	%	11	%

There were no direct customers who represented 10% or more of the Company’s total revenue during the three and nine months ended October 31, 2020 and October 31, 2019.

Significant Accounting Policies

Other than the policies described below, there have been no changes to the Company’s significant accounting policies described in its Annual Report on Form 10-K that have had a material impact on its consolidated financial statements and related notes.

Leases

The Company enters into operating lease arrangements for real estate assets related to office space. The Company determines if an arrangement is or contains a lease at inception by evaluating various factors, including whether a vendor’s right to substitute an identified asset is substantive. Lease classification is determined at the lease commencement date, which is the date the leased assets are made available for use. Operating leases are included in “Operating lease right-of-use assets”, “Operating lease liabilities, current”, and “Operating lease liabilities, noncurrent” in the condensed consolidated balance sheet. The Company did not have any financing leases in any of the periods presented.

Operating lease right-of-use assets and lease liabilities are recognized at the lease commencement date based on the present value of lease payments over the lease term. Lease payments consist of the fixed payments under the arrangement, less any lease incentives, such as tenant improvement allowances. Variable costs, such as maintenance and utilities based on actual usage, are not included in the measurement of right-to-use assets and lease liabilities but are expensed when the event determining the amount of variable consideration to be paid occurs. As the implicit rate of the leases is not determinable, the Company uses an incremental borrowing rate (“IBR”) based on the information available at the lease commencement date in determining the present value of lease payments. Lease expenses are recognized on a straight-line basis over the lease term.

The Company uses the non-cancelable lease term when recognizing the right-of-use (“ROU”) assets and lease liabilities, unless it is reasonably certain that a renewal or termination option will be exercised. The Company accounts for lease components and non-lease components as a single lease component.

Leases with a term of twelve months or less are not recognized on the condensed consolidated balance sheet but are recognized as expense on a straight-line basis over the term of the lease.

Available-for-sale debt securities

The Company evaluates investments with unrealized loss positions by assessing if they are related to deterioration in credit risk and whether the Company expects to recover the entire amortized cost basis of the security, the Company’s intent to sell and whether it is more likely than not that the Company will be required to sell the securities before the recovery of its cost basis. Credit-related impairment losses, not to exceed fair value less the amortized cost basis, are recognized through an allowance for credit losses with changes in the allowance for credit losses recorded in “Other income, net” in the condensed consolidated statements of operations. Impairment that has not been recorded through an allowance for credit losses will be recorded in the condensed consolidated statements of comprehensive income (loss). As of October 31, 2020, there were no marketable securities held by the Company, and thus there were no securities that had been in continuous unrealized loss position.

Accounts Receivable

Accounts receivable are recorded at the invoiced amount and are non-interest bearing. Accounts receivable are stated at their net realizable value, net of allowance for doubtful accounts. The Company has a well-established collections history from its customers. Credit is extended to customers based on an evaluation of their financial condition and other factors. The Company generally does not require collateral from its customers; however, the Company may require payment prior to commencing service in certain instances to limit credit risk. The Company regularly reviews the adequacy of the allowance for doubtful accounts by considering various factors including the age of each outstanding invoice, each customer’s expected ability to pay, historical loss rates and expectations of forward-looking loss estimates to determine whether the allowance is appropriate. Amounts deemed uncollectible are written off against the allowance for doubtful accounts. Allowance for doubtful accounts was $1.1 million as of both October 31, 2020 and January 31, 2020.

Software Implementation Costs

The Company contracts with third party information technology providers for various service arrangements including software, platform, and information technology infrastructure. The Company capitalizes the implementation cost incurred to develop or obtain internal-use software in such arrangements. All capitalized implementation costs are amortized over the term of the arrangement which includes reasonably certain renewals. Costs incurred during the preliminary project and post implementation stage are expensed as the activities are performed. Capitalized implementation costs were not material for the three and nine months ended October 31, 2020.

Recently Adopted Accounting Pronouncements

In February 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2016-02, “Leases (Topic 842),” which requires lessees to generally recognize on the balance sheet operating and financing lease liabilities and corresponding ROU assets, and to recognize on the income statement the expenses in a manner similar to prior practice. The Company adopted Topic 842 using the modified retrospective method on February 1, 2020.

The Company elected the following practical expedients:

•The package of practical expedients which allows for not reassessing 1) whether existing contracts contain leases, 2) the lease classification of existing leases, and 3) whether existing initial direct costs meet the new definition.

•The practical expedient in ASC Subtopic 842-10 to not separate non-lease components from lease components and instead account for each separate lease component and non-lease components associated with that lease component as a single lease component by class of the underlying assets.

•Not to recognize right of use assets and lease liabilities for short-term leases, which have a lease term of twelve months or less and do not include an option to purchase the underlying asset that the Company is reasonably certain to exercise.

The Company did not elect the hindsight practical expedient.

Lease payments consist primarily of the fixed payments under the arrangement, less any lease incentives such as tenant improvement allowance. The Company uses an estimate of its IBR based on the information available at the lease commencement date in determining the present value of lease payments, unless the implicit rate is readily determinable. In determining the appropriate IBR, management considers information including, but not limited to, the Company’s credit rating, the lease term, and the currency in which the arrangement is denominated. For leases which commenced prior to the adoption of Topic 842, the Company used the IBR on January 31, 2020.

The adoption of this new standard on February 1, 2020, and the application of the modified retrospective transition approach resulted in the following changes:

a.Assets increased by $37.4 million, primarily representing the recognition of ROU asset for operating leases; and

b.Liabilities increased by $37.4 million, primarily representing the recognition of lease liabilities for operating leases partially offset by derecognition of liabilities for deferred rent previously designated under ASC Topic 840

In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. This ASU requires a financial asset measured at amortized cost basis to be presented at the net amount expected to be collected, with further clarifications made more recently regarding the treatment of accrued interest, transfers between classifications for loans and debt securities, recoveries and the option to irrevocably elect the fair value option (on an instrument-by-instrument basis) for eligible financial assets at amortized costs. For trade receivables, loans, and other financial assets, the Company will be required to use a forward-looking expected loss model rather than the incurred loss model for recognizing credit losses which reflects losses that are probable. Credit losses relating to available-for-sale debt securities are required to be recorded through an allowance for credit losses in the condensed consolidated statements of operation rather than as a reduction in the amortized cost basis of the securities. The Company adopted this guidance on February 1, 2020, which did not have a material effect on its condensed consolidated financial statements.

In January 2017, the FASB issued ASU No. 2017-04, Intangibles—Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment. This ASU simplifies the measurement of goodwill by eliminating step two of the two-step impairment test. Step two measures a goodwill impairment loss by comparing the implied fair value of a reporting unit’s goodwill with the carrying amount of that goodwill. This ASU requires an entity to compare the fair value of a reporting unit with its carrying amount and recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value. Additionally, an entity should consider income tax effects from any tax-deductible goodwill on the carrying amount of the reporting unit when measuring the goodwill impairment loss, if applicable. The Company adopted this guidance on February 1, 2020 which did not have a material effect on its condensed consolidated financial statements.

In August 2018, the FASB issued ASU No. 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement. This ASU modifies the disclosure requirements on fair value measurements in Topic 820, Fair Value Measurement. The Company adopted this guidance on February 1, 2020 which did not have a material effect on its condensed consolidated financial statements.

In August 2018, the FASB issued ASU No. 2018-15, Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract (a consensus of the FASB Emerging Issues Task Force). This ASU aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal use software. The Company adopted this guidance on February 1, 2020 which did not have a material effect on its condensed consolidated financial statements.

In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting. The ASU provides optional expedients and exceptions for applying generally accepted accounting principles to contract modifications and hedging relationships, subject to meeting certain criteria, that reference LIBOR or another reference rate expected to be discontinued. This ASU may be applied prospectively through December 31, 2022. The Company adopted this guidance on May 1, 2020 which did not have a material effect on its condensed consolidated financial statements. Per the terms of the Company’s secured revolving credit facility (see Note 5), outstanding Eurodollar Loans incur interest at the Eurodollar Rate, which is defined in the Credit Agreement as LIBOR (or any successor thereto), plus a margin. The Company’s lender is currently preparing to use the Secured Overnight Funding Rate if LIBOR becomes unavailable. No amounts were outstanding under the Credit Agreement as of October 31, 2020.

Recently Issued Accounting Pronouncements

In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes, which enhances and simplifies various aspects of the income tax accounting guidance, including requirements such as tax basis step-up in goodwill obtained in a transaction that is not a business combination, ownership changes in investments, and interim-period accounting for enacted changes in tax law. For public business entities, this ASU is effective for fiscal years beginning after December 15, 2020, and interim periods within those fiscal years. The Company does not anticipate that the adoption of this guidance will have a material impact on its condensed consolidated financial statements.

Fair Value Measurements and Marketable Securities

9 Months Ended

Oct. 31, 2020

Fair Value Disclosures [Abstract]

Fair Value Measurements and Marketable Securities

The Company follows ASC 820, Fair Value Measurements, with respect to marketable securities that are measured at fair value on a recurring basis. Under the standard, fair value is defined as the exit price, or the amount that would be received to sell an asset or a liability in an orderly transaction between market participants as of the measurement date. The standard also establishes a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are inputs market participants would use in valuing the asset or liability developed based on market data obtained from sources independent of the Company. Unobservable inputs are inputs that reflect the Company’s assumptions about the factors market participants would use in valuing the asset or liability developed based upon the best information available in the circumstances.

The hierarchy is broken down into three levels as follows:

Level 1 Assets and liabilities whose values are based on unadjusted quoted market prices for identical assets and liabilities in active markets

Level 2 Assets and liabilities whose values are based on quoted prices in markets that are not active or inputs that are observable for substantially the full term of the asset or liability

Level 3 Assets and liabilities whose values are based on prices or valuation techniques that require inputs that are both unobservable and significant to the overall fair value measurement

Categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement.

The Company’s fair value hierarchy for its financial assets and liabilities that are measured at fair value on a recurring basis are as follows:


	October 31, 2020								January 31, 2020
	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
	(in thousands)								(in thousands)
Assets
Cash equivalents (1)
Money market funds	$	—	$	—	$	—	$	—	$	205,379	$	—	$	—	$	205,379
Corporate debt securities	—		—		—		—		—		39,940		—		39,940
Total cash equivalents	—		—		—		—		205,379		39,940		—		245,319
Marketable securities
Corporate debt securities	—		—		—		—		—		495,022		—		495,022
U.S. treasury securities	—		—		—		—		84,431		—		—		84,431
Asset backed securities	—		—		—		—		—		67,813				67,813
Total marketable securities	—		—		—		—		84,431		562,835		—		647,266
Total assets	$	—	$	—	$	—	$	—	$	289,810	$	602,775	$	—	$	892,585

__________________________________

(1)Included in “Cash and cash equivalents” on the condensed consolidated balance sheets.

There were no transfers between the levels of the fair value hierarchy during the three and nine months ended October 31, 2020 or October 31, 2019.

As of October 31, 2020, there were no marketable securities held by the Company. As of January 31, 2020, the amortized cost of the Company’s cash equivalents and marketable securities approximated their fair value and there were no material realized or unrealized gains or losses, either individually or in the aggregate. In addition, the securities that had been in continuous unrealized loss position per security type and in aggregate are not material as of January 31, 2020. There were no impairments considered “other-than-temporary” as it is more likely than not the Company will hold the securities until maturity or a recovery of the cost basis as of January 31, 2020.

The following table presents the contractual maturities of marketable securities as of January 31, 2020:


	Amortized cost		Fair value
	(in thousands)
Due in one year or less	$	377,722	$	378,408
Due after one year through five years	266,670		267,728
Due after five years through nineteen years	1,127		1,130
	$	645,519	$	647,266

The following summarizes the changes in strategic investments:


	October 31,		January 31,
	2020		2020
	(in thousands)
Total initial cost	$	2,500	$	1,000
Cumulative gain	—		—
Carrying value	$	2,500	$	1,000

There was no unrealized gain and loss included as an adjustment related to the carrying value of non-marketable securities as of October 31, 2020 and January 31, 2020.

The following summarizes the changes in the redeemable convertible preferred stock warrant liability, which is classified as a Level 3 instrument:


	Three Months Ended October 31,				Nine Months Ended October 31,
	2020		2019		2020		2019
	(in thousands)				(in thousands)
Balance at beginning of period	$	—	$	—	$	—	$	4,537
Adjustment resulting from change in fair value recognized in the condensed consolidated statements of operations	—		—		—		6,022
Reclassification of liability for redeemable convertible preferred stock warrants to additional paid-in capital upon initial public offering	—		—		—		(10,559)
Balance at end of period	$	—	$	—	$	—	$	—

The fair value of the redeemable convertible preferred stock warrant liability was estimated using the Black-Scholes option-pricing model and was based on significant inputs not observable in the market, and therefore was classified as a Level 3 instrument. The inputs include the Company’s preferred stock price, expected stock price volatility, risk-free interest rate, and contractual term. No loss and a loss of $6.0 million was recorded as a component of “Other income, net”, because of the remeasurement of the redeemable convertible preferred stock warrant liability during the three and nine months ended October 31, 2019, respectively. Immediately prior to the closing of the IPO on June 14, 2019, the redeemable convertible preferred stock warrants converted into 336,386 warrants to purchase Class B common stock on a one-to-one basis. The redeemable convertible preferred stock warrant liability was reclassified to additional paid-in capital upon the closing of the IPO.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Balance Sheet Components

9 Months Ended

Oct. 31, 2020

Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]

Balance Sheet Components

Prepaid Expenses and Other Current Assets

Prepaid expenses and other current assets consisted of the following:


	October 31, 2020		January 31, 2020
	(in thousands)
Prepaid expenses	$	19,467	$	20,390
Prepaid software licenses	16,190		16,645
Prepaid hosting services	5,711		8,056
Other current assets	4,305		6,523
Prepaid expenses and other current assets	$	45,673	$	51,614

Property and Equipment, Net

Property and equipment, net consisted of the following:


	October 31, 2020		January 31, 2020
	(in thousands)
Data center and other computer equipment	$	140,457	$	87,166
Capitalized internal-use software	38,575		30,354
Leasehold improvements	18,209		13,157
Purchased software	3,170		2,604
Furniture and equipment	5,822		4,835
Construction in process	33,583		47,626
	239,816		185,742
Less: Accumulated depreciation and amortization	(77,445)		(49,664)
Property and equipment, net	$	162,371	$	136,078

Construction in process mainly includes data center equipment purchased that has not yet been placed in service. As of October 31, 2020, $28.3 million of data center equipment was purchased but not yet been placed into service.

Depreciation and amortization expense of property and equipment was $10.1 million and $5.8 million during the three months ended October 31, 2020 and October 31, 2019, respectively, and $27.7 million and $16.0 million during the nine months ended October 31, 2020 and October 31, 2019, respectively.

There was no impairment of internal-use software during the three and nine months ended October 31, 2020 and October 31, 2019. The Company capitalized $3.5 million and $2.2 million in internal-use software during the three months ended October 31, 2020 and October 31, 2019, and $8.2 million and $5.7 million during the nine months ended October 31, 2020 and October 31, 2019, respectively. Amortization expense associated with internal-use software totaled $1.9 million and $1.6 million during the three months ended October 31, 2020 and October 31, 2019, respectively, and $5.6 million and $4.6 million during the nine months ended October 31, 2020 and October 31, 2019, respectively. The net book value of capitalized internal-use software was $15.9 million and $13.4 million as of October 31, 2020 and January 31, 2020, respectively.

Intangible Assets, Net

Total intangible assets, net consisted of the following:


	October 31, 2020						Weighted-Average Remaining Useful Life
	Gross Carrying Amount		Accumulated Amortization		Net Amount
	(in thousands)						(in months)
Developed technology	$	14,481	$	1,501	$	12,980	59
Customer relationships	3,742		444		3,298		57
Other acquired intangible assets	213		135		78		11
Total	$	18,436	$	2,080	$	16,356


	January 31, 2020						Weighted-Average Remaining Useful Life
	Gross Carrying Amount		Accumulated Amortization		Net Amount
	(in thousands)						(in months)
Developed technology	$	1,238	$	1,067	$	171	9
Customer relationships	607		280		327		33
Other acquired intangible assets	121		92		29		9
Total	$	1,966	$	1,439	$	527

Amortization of developed technology, customer relationships, and other acquired intangible assets are recorded within cost of revenue, sales and marketing expense, and research and development expense, respectively, in the condensed consolidated statements of operations. Amortization expense of intangible assets was $0.4 million and $0.1 million during the three months ended October 31, 2020 and October 31, 2019 and $0.6 million and $0.4 million during the nine months ended October 31, 2020 and October 31, 2019, respectively.

The estimated aggregate future amortization expense of intangible assets as of October 31, 2020 is as follows:


	Total
	(in thousands)
Fiscal 2021 (remaining three months)	$	869
Fiscal 2022	3,445
Fiscal 2023	3,350
Fiscal 2024	3,260
Fiscal 2025	3,260
Thereafter	2,172
Total amortization expense	$	16,356

The developed technology, customer relationships, and other acquired intangible assets are generally being amortized over 5 years, 5 years, and 1 year, respectively.

Goodwill

Goodwill during the nine months ended October 31, 2020 consisted of the following:


	Amounts
	(in thousands)
Goodwill as of January 31, 2020	$	7,722
Goodwill acquired	75,182
Foreign currency translation	228
Goodwill as of October 31, 2020	$	83,132

Accrued Expenses

Accrued expenses consisted of the following:


	October 31, 2020		January 31, 2020
	(in thousands)
Web hosting services	$	14,815	$	16,367
Other accrued expenses	8,632		7,459
Accrued purchases of property and equipment	8,020		2,789
Accrued marketing	6,003		1,970
Accrued legal and accounting	2,505		1,770
Accrued expenses	$	39,975	$	30,355

Accrued Payroll and Benefits

Accrued payroll and benefits consisted of the following:


	October 31, 2020		January 31, 2020
	(in thousands)
Accrued commissions	$	17,794	$	15,399
Employee Stock Purchase Plan	14,889		6,560
Accrued payroll and related expenses	13,998		6,680
Accrued bonuses	9,787		8,171
Accrued payroll and benefits	$	56,468	$	36,810

In April 2020, the Company began deferring payment on its share of payroll taxes owed, as permitted by the CARES Act through December 31, 2020. As of October 31, 2020, the Company had deferred approximately $8.5 million of payroll taxes. These amounts are reflected in “other liabilities, noncurrent ” on the condensed consolidated balance sheet.

Secured Revolving Credit Facility	9 Months Ended
Secured Revolving Credit Facility	Oct. 31, 2020
Debt Disclosure [Abstract]
Secured Revolving Credit Facility	Secured Revolving Credit Facility In April 2019, the Company entered into a Credit Agreement with Silicon Valley Bank and other lenders, to provide a revolving line of credit of up to $150.0 million, including a letter of credit sub-facility in the aggregate amount of $10.0 million, and a swingline sub-facility in the aggregate amount of $10.0 million. The Company also has the option to request an incremental facility of up to an additional $75.0 million from one or more of the lenders under the Credit Agreement. The amount the Company may borrow under the Credit Agreement may not exceed the lesser of $150.0 million or the Company’s ordinary course recurring subscription revenue for the most recent month, as determined under the Credit Agreement, multiplied by a number that is (i) 6, for the first year after entry into the Credit Agreement; (ii) 5, for the second year after entry into the Credit Agreement; and (iii) 4, thereafter. Under the terms of the Credit Agreement, revolving loans may be either Eurodollar Loans or ABR Loans. Outstanding Eurodollar Loans incur interest at the Eurodollar Rate, which is defined in the Credit Agreement as LIBOR (or any successor thereto), plus a margin between 2.50% and 3.00%, depending on usage. Outstanding ABR Loans incur interest at the highest of (a) the Prime Rate, as published by the Wall Street Journal, (b) the federal funds rate in effect for such day plus 0.50%, and (c) the Eurodollar Rate plus 1.00%, in each case plus a margin between 1.50% and 2.00%, depending on usage. The Company will be charged a commitment fee of 0.20% to 0.30% per year for committed but unused amounts. The Credit Agreement will terminate on April 19, 2022. The Credit Agreement is collateralized by substantially all of the Company’s current and future property, rights, and assets, including, but not limited to, cash, goods, equipment, contractual rights, financial assets, and intangible assets of the Company and its subsidiaries. The Credit Agreement contains covenants limiting the ability to, among other things, dispose of assets, undergo a change in control, merge or consolidate, make acquisitions, incur debt, incur liens, pay dividends, repurchase stock, and make investments, in each case subject to certain exceptions. The Credit Agreement also contains financial covenants requiring the Company to maintain the year-over-year growth rate of its ordinary course recurring subscription revenue above specified rates and to maintain minimum liquidity at specified levels. The Company was in compliance with the financial covenants as of October 31, 2020. The Credit Agreement contains events of default that include, among others, non-payment of principal, interest, or fees, breach of covenants, inaccuracy of representations and warranties, cross defaults to certain other indebtedness, bankruptcy and insolvency events, and material judgments. No amounts were outstanding under the Credit Agreement as of October 31, 2020 and January 31, 2020.

Income Taxes	9 Months Ended
Income Taxes	Oct. 31, 2020
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes The Company recognized an income tax expense of $0.5 million and $0.4 million for the three months ended October 31, 2020 and October 31, 2019, respectively, and $1.9 million and $1.7 million for the nine months ended October 31, 2020 and October 31, 2019, respectively. The tax expense for the three and nine months ended October 31, 2020 was primarily attributable to pre-tax foreign earnings. The Company’s effective tax rates of (1.9)% and (1.2)% for the three months ended October 31, 2020 and October 31, 2019, respectively, and (2.7)% and (1.5)% for the nine months ended October 31, 2020 and October 31, 2019, respectively, differ from the U.S. statutory tax rate primarily due to U.S. losses for which there is no benefit and the tax rate differences between the United States and foreign countries. The Company has a full valuation allowance on its U.S. federal and state and its U.K. deferred tax assets. As a result, consistent with the prior year, the Company does not record a tax benefit on these losses because it is more likely than not that the benefit will not be realized. The Company recognized $0.7 million of benefit as a result of the acquisition of Preempt Security (see Note 14) during the three months ended October 31, 2020. On March 27, 2020, the United States enacted the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”), as a response to the economic uncertainty resulting from the global COVID-19 pandemic. The CARES Act did not have a material impact on the Company’s condensed consolidated financial statements for the three and nine months ended October 31, 2020. The Company continues to monitor any effects that may result from the CARES Act.

Leases

9 Months Ended

Oct. 31, 2020

Leases [Abstract]

Leases

Operating Leases

The Company has entered into non-cancelable operating lease agreements with various expiration dates through 2026. Certain lease agreements include options to renew or terminate the lease, which are not reasonably certain to be exercised and therefore are not factored into the determination of lease payments.

Total operating lease costs were $2.7 million and $7.6 million, excluding short-term leases costs and variable lease costs for the three and nine months ended October 31, 2020, respectively. There was no sublease income for the three and nine months ended October 31, 2020. Total lease expense recognized prior to the adoption of Topic 842 were $3.1 million and $7.1 million for the three and nine months ended October 31, 2019, respectively.

For the three and nine months ended October 31, 2020, cash paid for amounts included in the measurement of operating lease liabilities were $2.7 million and $8.1 million, respectively. There were no operating lease liabilities arising from obtaining operating right-of-use assets for the three months ended October 31, 2020. Operating lease liabilities arising from obtaining operating right of-use assets was $6.2 million for the nine months ended October 31, 2020.

As of October 31, 2020, the weighted-average remaining lease term is 4.4 years, and the weighted-average discount rate is 5.9%.

The component of lease costs was as follows:


	Three Months Ended October 31, 2020		Nine Months Ended October 31, 2020
	(in thousands)
Lease cost
Operating lease cost	$	2,677	$	7,631
Short-term lease cost	492		1,477
Variable lease cost	774		2,128
Total lease cost	$	3,943	$	11,236

As of October 31, 2020, the Company has not entered into any non-cancelable operating leases with a term greater than 12 months that have not yet commenced.

The maturities of the Company’s non-cancelable operating lease liabilities are as follows:


	October 31, 2020
	(in thousands)
Fiscal 2021 (remaining three months)	$	1,494
Fiscal 2022	11,380
Fiscal 2023	10,838
Fiscal 2024	10,785
Fiscal 2025	9,950
Thereafter	4,158
Total operating lease payments	48,605
Less: imputed interest	(5,953)
Present value of operating lease liabilities	$	42,652

Future minimum payments under non-cancelable operating leases determined using the prior accounting guidance consisted of the following as of January 31, 2020:


	Real Estate Arrangements
	(in thousands)
Fiscal 2021	$	9,958
Fiscal 2022	9,869
Fiscal 2023	9,377
Fiscal 2024	9,370
Fiscal 2025	8,441
Thereafter	3,671
Total	$	50,686

Equity Transactions	9 Months Ended
Equity Transactions	Oct. 31, 2020
Equity [Abstract]
Equity Transactions	Equity Transactions Common Stock In connection with the IPO, on June 14, 2019, the Company filed an Amended and Restated Certificate of Incorporation which authorizes the issuance of 2,000,000,000 shares of Class A common stock with a par value of $0.0005 per share, 300,000,000 shares of Class B common stock with a par value of $0.0005 per share, and 100,000,000 shares of undesignated preferred stock with a par value of $0.0005 per share. The rights of the holders of Class A common stock and Class B common stock are identical, except with respect to voting and conversion rights. Each share of Class A common stock is entitled to one vote per share. Each share of Class B common stock is entitled to ten votes per share and is convertible into one share of Class A common stock. Class A and Class B common stockholders are not entitled to receive dividends unless declared by the Company’s board of directors.

Stock-Based Compensation

9 Months Ended

Oct. 31, 2020

Share-based Payment Arrangement [Abstract]

Stock-Based Compensation

Stock Incentive Plan

In May 2019, the Company’s board of directors adopted, and the stockholders approved the CrowdStrike Holdings, Inc. 2019 Equity Incentive Plan (the “2019 Plan”) with the purpose of granting stock-based awards to employees, directors, officers and consultants, including stock options, restricted stock awards, restricted stock units and performance-based restricted stock units. A total of 8,750,000 shares of Class A common stock were initially available for issuance under the 2019 Plan. The Company’s compensation committee administers the 2019 Plan. The number of shares of the Company’s common stock available for issuance under the 2019 Plan is subject to an annual increase on the first day of each fiscal year beginning on February 1, 2020, equal to the lesser of: (i) two percent (2.0%) of outstanding shares of the Company’s capital stock as of the last day of the immediately preceding fiscal year or (ii) such other amount as the Company’s board of directors may determine.

The 2011 Plan was terminated on June 10, 2019, which was the business day prior to the effectiveness of the Company’s registration statement on Form S-1 used in connection with the Company’s IPO, and stock-based awards are no longer granted under the 2011 Plan. Any shares underlying stock options that expire or terminate or are forfeited or repurchased under the 2011 Plan will be automatically transferred to the 2019 Plan.

Stock Options

The Company records compensation expense for employee stock options based on the estimated fair value of the options on the date of grant using the Black-Scholes option-pricing model with the assumptions included in the table below. The expected term represents the period that the Company’s share-based awards are expected to be outstanding. The expected term assumptions were determined based on the vesting terms, exercise terms, and contractual lives of the options. The expected stock price volatility is based upon comparable public company data. The risk-free rate is based on the U.S. Treasury yield curve in effect at the time of grant for the estimated option life.

The fair value of each option was estimated on the date of grant using the following assumptions during the period:


	Nine Months Ended October 31,
	2020		2019
Expected term (in years)	3.17 - 6.05		6.05
Risk-free interest rate	0.2% - 0.4%		2.0% - 2.4%
Expected stock price volatility	35.8% - 37.3%		37.7% - 37.9%
Dividend yield	—	%	—	%

The following table is a summary of stock option activity for the nine months ended October 31, 2020:


	Number of Shares	Weighted-Average Exercise Price Per Share
	(in thousands)
Options outstanding at January 31, 2020	14,689	$	5.52
Granted	97	$	64.64
Exercised	(5,965)	$	3.61
Canceled	(300)	$	9.09
Options outstanding at October 31, 2020	8,521	$	7.41
Options vested and expected to vest at October 31, 2020	8,521	$	7.41
Options exercisable at October 31, 2020	4,421	$	4.49

Options outstanding include 482,200 options that were unvested as of October 31, 2020.

The aggregate intrinsic value of options vested and exercisable was $527.6 million and $469.6 million as of October 31, 2020 and January 31, 2020, respectively. The weighted-average remaining contractual term of options vested and exercisable was 6.6 years and 6.7 years as of October 31, 2020 and January 31, 2020, respectively.

The weighted-average grant date fair values of all options granted was $121.00 per share during the three months ended October 31, 2020. No options were granted during the three months ended October 31, 2019. The weighted-average grant date fair values of all options granted was $66.31 and $9.51 per share during the nine months ended October 31, 2020 and October 31, 2019, respectively. The total intrinsic value of all options exercised was $162.4 million and $17.3 million during the three months ended October 31, 2020 and October 31, 2019, respectively, and $516.4 million and $107.0 million during the nine months ended October 31, 2020 and October 31, 2019, respectively.

The aggregate intrinsic value of stock options outstanding as of October 31, 2020 and January 31, 2020 was $992.1 million and $816.3 million, respectively, which represents the excess of the fair value of the Company’s common stock over the exercise price of the options multiplied by the number of options outstanding. The weighted-average remaining contractual term of stock options outstanding was 7.1 years and 7.4 years as of October 31, 2020 and January 31, 2020, respectively.

Total unrecognized stock-based compensation expense related to unvested options was $28.5 million as of October 31, 2020. This expense is expected to be amortized on a straight-line basis over a weighted-average vesting period of 1.8 years.

Early Exercise of Employee Options

The 2011 Stock Plan allows for the early exercise of stock options for certain individuals as determined by the Board of Directors. The consideration received for an early exercise of an option is a deposit of the exercise price and the related dollar amount is recorded as a liability for early exercise of unvested stock options in the condensed consolidated balance sheets. This liability is reclassified to additional paid-in capital as the awards vest. If a stock option is early exercised, the unvested shares may be repurchased by the Company in case of employment termination or for any reason, including death and disability, at the price paid by the purchaser for such shares. There were no issued shares of common stock related to early exercised stock options for the three and nine months ended October 31, 2020. There were no issued shares of common stock related to early exercised stock options for the three months ended October 31, 2019. During the nine months ended October 31, 2019, the Company issued 1,037,356 shares of common stock related to early exercised stock options. As of October 31, 2020, the number of shares of

common stock related to early exercised stock options subject to repurchase was 637,776 shares for $6.2 million. As of January 31, 2020, the number of shares of common stock related to early exercised stock options subject to repurchase was 984,417 shares for $8.7 million. Common stock purchased pursuant to an early exercise of stock options is not deemed to be outstanding for accounting purposes until those shares vest. The Company includes unvested shares subject to repurchase in the number of shares outstanding in the condensed consolidated statement of redeemable convertible preferred stock and stockholders’ equity.

Restricted Stock Units

Beginning in September 2018, the Company began issuing RSUs to certain employees. These RSUs include a service-based vesting condition and a performance-based vesting condition. The service-based vesting condition is generally satisfied based on one of three vesting schedules: (i) vesting of one-fourth of the RSUs on the first “Company vest date” (defined as March 20, June 20, September 20, or December 20) on or following the one-year anniversary of the vesting commencement date with the remainder of the RSUs vesting in twelve equal quarterly installments thereafter, subject to continued service, (ii) vesting in sixteen equal quarterly installments beginning on December 20, 2018, subject to continued service, or (iii) vesting in eight equal quarterly installments beginning on December 20, 2022, subject to continued service. The performance-based vesting condition is satisfied on the earlier of (i) a change in control, in which the consideration paid to holders of shares is either cash, publicly traded securities, or a combination thereof, or (ii) the first Company vest date to occur following the expiration of the lock-up period upon an IPO, subject to continued service through such change in control or lock-up expiration, as applicable. None of the RSUs vest unless the performance-based vesting condition is satisfied. Upon the completion of the IPO, the performance-based vesting condition was met and the Company recognized $17.3 million of deferred expense related to RSUs as of that date in its condensed consolidated statement of operations. Upon its IPO, the Company began issuing RSUs to its employees that generally have only a service-based vesting condition. The valuation of such RSUs is based solely on the fair value of the Company’s stock price on the date of grant.

Expense for RSUs that have a service-based vesting condition only are being amortized on a straight-line basis. Expense for RSUs that have both a service-based and a performance-based vesting condition are being amortized under the accelerated attribution method. Total unrecognized stock-based compensation expense related to unvested RSUs was $379.2 million as of October 31, 2020. This expense is expected to be amortized (subject to acceleration or straight-line basis) over a weighted-average vesting period of 2.7 years.

Performance-based Stock Units

Performance-based stock units (“PSUs”) granted under the 2019 Plan are subject to both a service-based vesting condition and a performance-based vesting condition. PSUs will vest upon the achievement of specified performance targets and subject to continued service through the applicable vesting dates. The compensation cost is recognized over the requisite service period when it is probable that the performance condition will be satisfied. During the first quarter of the fiscal year, the Company’s compensation committee approved PSUs for certain employees. The performance goal for the grants primarily related to the revenue growth percentage for the fiscal year ended January 31, 2021. The number of PSUs earned corresponds to the performance period of fiscal year 2021, which can range between 0% and 130% of the target number of shares granted depending on the Company’s actual performance.

Expense for PSUs are being amortized under the accelerated attribution method and may be adjusted over the vesting period based on interim estimates of performance against pre-set objectives. Total unrecognized stock-based compensation expense related to unvested PSUs was $31.8 million as of October 31, 2020. This expense is expected to be amortized over a weighted-average vesting period of 1.6 years.

The following table is a summary of RSU and PSU activities for the nine months ended October 31, 2020:


	Number of Shares	Weighted- Average Grant Date Fair Value Per Share
	(in thousands)
RSUs and PSUs outstanding at January 31, 2020	6,063	$	29.82
Granted	4,456	$	79.00
Vested	(1,475)	$	31.52
Forfeited	(297)	$	38.43
RSUs and PSUs outstanding at October 31, 2020	8,747	$	54.30
RSUs and PSUs expected to vest at October 31, 2020	8,747	$	54.30

Employee Stock Purchase Plan

In May 2019, the board of directors adopted, and the stockholders approved the CrowdStrike Holdings, Inc. 2019 Employee Stock Purchase Plan (“ESPP”), which became effective on June 10, 2019, which was the business day prior to the effectiveness of the Company’s registration statement on Form S-1 used in connection with the Company’s IPO. A total of 3,500,000 shares of Class A common stock were initially reserved for issuance under the ESPP. The Company’s compensation committee administers the ESPP. The number of shares of common stock available for issuance under the ESPP is subject to an annual increase on the first day of each fiscal year beginning on February 1, 2020, equal to the lesser of: (i) one percent (1%) of outstanding shares of the Company’s capital stock as of the last day of the immediately preceding fiscal year or (ii) such other amount as its board of directors may determine.

The ESPP provides for consecutive offering periods that will typically have a duration of approximately 24 months in length and is comprised of four purchase periods of approximately six months in length. The offering periods are scheduled to start on the first trading day on or after June 11 and December 11 of each year. The first offering period commenced on June 11, 2019 and is scheduled to end on the first trading day on or before June 10, 2021.

The ESPP provides eligible employees with an opportunity to purchase shares of the Company’s Class A common stock through payroll deductions of up to 15% of their eligible compensation. A participant may purchase a maximum of 2,500 shares of common stock during a purchase period. Amounts deducted and accumulated by the participant are used to purchase shares of common stock at the end of each six-month purchase period. The purchase price of the shares shall be 85% of the lower of the fair market value of the Class A common stock on (i) the first trading day of the applicable offering period and (ii) the last trading day of each purchase period in the related offering period. Participants may end their participation at any time during an offering period and will be paid their accrued contributions that have not yet been used to purchase shares of common stock. Participation ends automatically upon termination of employment. The ESPP allows for up to one increase in contribution during each purchase period. If an employee elects to increase his or her contribution, the Company treats this as an accounting modification. The pre- and post-modification fair values are calculated on the date of the modification, and the incremental expense is then amortized over the remaining purchase period. Incremental expense as a result of such modification was $0.8 million and $1.6 million for the three and nine months ended October 31, 2020.

Employee payroll contributions ultimately used to purchase shares are reclassified to stockholders’ equity on the purchase date. ESPP employee payroll contributions accrued at October 31, 2020 and January 31, 2020 totaled $14.9 million and $6.6 million are included within accrued payroll and benefits in the condensed consolidated balance sheets.

The following table summarizes the assumptions used in the Black-Scholes option-pricing model to determine fair value of the Company’s common shares to be issued under the ESPP for the offering periods beginning in June 2019:


	Nine Months Ended October 31,
	2020		2019
Expected term (in years)	0.5 - 2.0		0.5 - 2.0
Risk-free interest rate	0.2% - 2.0%		1.9 % - 2.2%
Expected stock price volatility	30.1% - 54.3%		33.0 % - 35.7%
Dividend yield	—	%	—	%

Stock-Based Compensation Expense

Stock-based compensation expense included in the condensed consolidated statements of operations is as follows:


	Three Months Ended October 31,				Nine Months Ended October 31,
	2020		2019		2020		2019
	(in thousands)				(in thousands)
Subscription cost of revenue	$	3,226	$	1,666	$	7,856	$	3,164
Professional services cost of revenue	1,551		784		3,947		1,531
Sales and marketing	12,811		7,355		35,101		15,511
Research and development	11,771		4,696		25,700		10,353
General and administrative	11,251		7,465		29,357		25,018
Total stock-based compensation expense	$	40,610	$	21,966	$	101,961	$	55,577

Revenue, Deferred Revenue and Remaining Performance Obligations

9 Months Ended

Oct. 31, 2020

Revenue from Contract with Customer [Abstract]

Revenue, Deferred Revenue and Remaining Performance Obligations

The following table summarizes the revenue from contracts by type of customer:


	Three Months Ended October 31,								Nine Months Ended October 31,
	2020				2019				2020				2019
	Amount		% Revenue		Amount		% Revenue		Amount		% Revenue		Amount		% Revenue
	(in thousands, except percentages)								(in thousands, except percentages)
Channel Partners	$	175,837	76	%	$	88,255	71	%	$	459,529	75	%	$	223,152	68	%
Direct Customers	56,623		24	%	36,864		29	%	149,980		25	%	106,152		32	%
Total revenue	$	232,460	100	%	$	125,119	100	%	$	609,509	100	%	$	329,304	100	%

The Company uses channel partners to complement direct sales and marketing efforts. The partners place an order with the Company after negotiating the order directly with an end customer. The partners negotiate pricing with the end customer and in some rare instances are responsible for certain support levels directly with the end customer. The Company’s contract is with the partner and payment to the Company is not contingent on the receipt of payment from the end customer. The Company recognizes the contractual amount charged to the partners as revenue ratably over the term of the arrangement once access to the Company’s solution has been provided to the end customer.

The Company also uses referral partners who refer customers in exchange for a referral fee. The Company negotiates pricing and contracts directly with the end customer. The Company recognizes revenue from the sales to the end customers, ratably over the term of the contract, once access to the Company’s solution has been provided to the end customer.

The following table summarizes the revenue by region based on the shipping address of customers who have contracted to use the Company’s platform or service:


	Three Months Ended October 31,								Nine Months Ended October 31,
	2020				2019				2020				2019
	Amount		% Revenue		Amount		% Revenue		Amount		% Revenue		Amount		% Revenue
	(in thousands, except percentages)								(in thousands, except percentages)
United States	$	167,741	72	%	$	92,602	74	%	$	438,955	72	%	$	245,055	74	%
Europe, Middle East, and Africa	33,192		14	%	17,609		14	%	86,785		14	%	46,029		14	%
Asia Pacific	20,551		9	%	9,985		8	%	53,186		9	%	24,828		8	%
Other	10,976		5	%	4,923		4	%	30,583		5	%	13,392		4	%
Total revenue	$	232,460	100	%	$	125,119	100	%	$	609,509	100	%	$	329,304	100	%

No single country other than the United States represented 10% or more of the Company’s total revenue during the three and nine months ended October 31, 2020 and October 31, 2019.

Contract Balances

Contract liabilities consist of deferred revenue and include payments received in advance of performance under the contract. Such amounts are recognized as revenue over the contractual period. The Company recognized revenue of $185.7 million and $103.3 million for the three months ended October 31, 2020 and October 31, 2019, respectively, and $354.5 million and $203.7 million for the nine months ended October 31, 2020 and October 31, 2019, respectively, that were included in the corresponding contract liability balance at the beginning of the period.

The Company receives payments from customers based upon contractual billing schedules. Accounts receivable are recorded when the right to consideration becomes unconditional. Payment terms on invoiced amounts are typically 30 - 60 days. Contract assets include amounts related to the contractual right to consideration for both completed and partially completed performance obligations that may not have been invoiced.

Changes in deferred revenue were as follows:


	Three Months Ended October 31,				Nine Months Ended October 31,
	2020		2019		2020		2019
	Carrying Amount
	(in thousands)
Beginning Balance	$	689,840	$	369,762	$	571,168	$	290,067
Additions to deferred revenue	305,294		202,996		801,015		486,876
Recognition of deferred revenue	(232,460)		(125,119)		(609,509)		(329,304)
Ending Balance	$	762,674	$	447,639	$	762,674	$	447,639

Remaining Performance Obligations

The Company’s subscription contracts with its customers have a typical term of one to three years and most subscription contracts are non-cancelable. Customers typically have the right to terminate their contracts for cause as a result of the Company’s failure to perform. As of October 31, 2020, the aggregate amount of the transaction price allocated to remaining performance obligations was $1.07 billion. The Company expects to recognize 73% of the remaining performance obligations in the 12 months following October 31, 2020, with the remainder to be recognized thereafter.

Costs to Obtain and Fulfill a Contract

The Company capitalizes referral fees paid to partners and sales commission and associated payroll taxes paid to internal sales personnel that are incremental to the acquisition of channel partner and direct customer contracts and would not have occurred absent the customer contract. These costs are recorded as deferred contract acquisition costs, current and deferred contract acquisition costs, noncurrent on the condensed consolidated balance sheets.

Sales commissions for renewal of a contract are not considered commensurate with the commissions paid for the acquisition of the initial contract or follow-on upsell given the substantive difference in commission rates in proportion to their respective contract values. Commissions, including referral fees paid to channel partners, paid upon the initial acquisition of a contract or subsequent upsell are amortized over an estimated period of benefit of 4 years while commissions paid for renewal contracts are amortized over the contractual term of the renewals. Sales commissions associated with professional service contracts are amortized ratably over an estimated period of benefit of six months and included in sales and marketing expense in the condensed consolidated statements of operations. In determining the period of benefit for commissions paid for the acquisition of the initial contract, the Company took into consideration the expected subscription term and expected renewals of customer contracts, the historical duration of relationships with customers, customer retention data, and the life of the developed technology. The Company periodically reviews the carrying amount of deferred contract acquisition costs to determine whether events or changes in circumstances have occurred that could impact the period of benefit of these deferred costs. The Company did not recognize any material impairment losses of deferred contract acquisition costs during the three and nine months ended October 31, 2020 and October 31, 2019, respectively.

The following table summarizes the activity of deferred contract acquisition costs:


	Three Months Ended October 31,				Nine Months Ended October 31,
	2020		2019		2020		2019
	(in thousands)
Beginning balance	$	135,023	$	75,783	$	114,206	$	38,765
Adjustment due to adoption of ASU 606	—		—		—		24,306
Capitalization of contract acquisition costs	35,753		27,450		84,741		55,238
Amortization of deferred contract acquisition costs	(16,769)		(9,049)		(44,940)		(24,125)
Ending balance	$	154,007	$	94,184	$	154,007	$	94,184

Deferred contract acquisition costs, current	$	62,422	$	35,924	$	62,422	$	35,924
Deferred contract acquisition costs, noncurrent	91,585		58,260		91,585		58,260
Total deferred contract acquisition costs	$	154,007	$	94,184	$	154,007	$	94,184

Commitments and Contingencies

9 Months Ended

Oct. 31, 2020

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

Purchase Obligations

The Company enters into long-term non-cancelable agreements with providers to purchase data center capacity, such as bandwidth and colocation space, for the Company’s cloud platform. As of October 31, 2020, the Company is committed to spend $117.6 million on such agreements through 2027. These obligations are included in purchase obligations below.

In the normal course of business, the Company enters into non-cancelable purchase commitments with various parties to purchase products and services such as technology, equipment, office renovations, corporate events, and consulting services. A summary of noncancelable purchase obligations as of October 31, 2020 with expected date of payment is as follows:


	Total Commitments
	(in thousands)
Fiscal 2021 (remaining three months)	$	35,855
Fiscal 2022	81,599
Fiscal 2023	13,929
Fiscal 2024	10,814
Fiscal 2025	3,679
Thereafter	3,741
Total purchase commitments	$	149,617

The above table does not reflect additional commitments of $88.4 million of non-cancelable purchase obligations from fiscal year 2022 through fiscal year 2025 in connection with the extension of an existing agreement, which extension was entered into in November 2020 and will be included in the table above in subsequent periods.

Letters of Credit

As of October 31, 2020 and January 31, 2020, the Company had an unused standby letter of credit for $0.4 million and $0.6 million, respectively, securing its headquarters facility in Sunnyvale, California. As of both October 31, 2020 and January 31, 2020, the Company had an unused standby letter of credit for $1.0 million, securing its facility in Austin, Texas.

Litigation

The Company is currently involved in proceedings before the Trademark Trial and Appeal Board (“TTAB”) at the U.S. Patent and Trademark Office (the “USPTO”) regarding its U.S. trademark registrations for “CrowdStrike Falcon” and its U.S. application to register its “Falcon OverWatch” trademark. On November 23, 2016, Fair Isaac Corporation (“FICO”) filed a Petition for Cancellation of the Company’s “CrowdStrike Falcon” trademark registrations and a Notice of Opposition against the Company’s “Falcon OverWatch” trademark application before the USPTO, TTAB. On January 3, 2017, the Company filed answers to both the cancellation and opposition proceedings, and the proceedings thereafter were consolidated. On November 21, 2018, the Company filed a Petition for Partial Cancellation or Amendment of one of FICO’s “Falcon” trademark registrations, and on December 10, 2018, the parties filed a joint request to consolidate the proceedings and adjust the schedule. On January 16, 2019, FICO moved to dismiss the Company’s petition. On July 2, 2019, the TTAB consolidated the proceedings and granted FICO’s motion to dismiss with leave to amend. On July 22, 2019, the Company filed its Amended Petition for Cancellation or Amendment and on August 12, 2019, FICO moved to dismiss the Company’s Amended Petition for Cancellation or Amendment. On January 31, 2020, the TTAB denied the motion to dismiss as to two grounds for partial cancellation and as to the request for amendment, and granted the motion as to a third ground for partial cancellation of one of FICO’s “Falcon” registrations and the claim for abandonment of both of FICO’s “Falcon” trademark registrations, with the right to reassert both claims for relief. On March 18, 2020, the Company filed a motion for leave to file a Second Amended Petition to include a claim for abandonment for two of FICO’s “Falcon” trademark registrations. On August 3, 2020, the TTAB granted the motion for leave to file in part, and set a new schedule for the consolidated proceedings, with trial periods set to begin in May 2021. On August 13, 2020, the Company filed a separate petition to cancel one of FICO’s Falcon trademark registrations, and on August 24, 2020, the Company filed a Second Amended petition for Cancellation or Amendment as to the other FICO Falcon trademark registrations. FICO moved to dismiss these petitions on September 28, 2020. The proceedings are suspended while the TTAB considers the motion. The Company is vigorously defending the case, but given the early stage, although a loss may reasonably be possible, the Company is unable to predict the likelihood of success of FICO’s claims or estimate a loss or a range of loss. As a result, no liability has been recorded as of October 31, 2020 or January 31, 2020.

In addition, from time to time the Company is a party to various litigation matters and subject to claims that arise in the ordinary course of business. In addition, third parties may from time to time assert claims against the Company in the form of letters and other communications. For any claims for which the Company believes a liability is both probable and reasonably estimable, the Company records a liability in the period for which it makes this determination. There is no pending or threatened legal proceeding to which the Company is a party that, in the Company’s opinion, is likely to have a material adverse effect on its condensed consolidated financial statements; however, the results of litigation and claims are inherently unpredictable. Regardless of the outcome, litigation can have an adverse impact on the Company’s business because of defense and settlement costs, diversion of management resources, and other factors. In addition, the expense of litigation and the timing of this expense from period to period are difficult to estimate, subject to change and could adversely affect the Company’s condensed consolidated financial statements.

Warranties and Indemnification

The Company’s cloud computing services are typically warranted to perform in a manner consistent with general industry standards that are reasonably applicable and materially in accordance with the Company’s online help documentation under normal use and circumstances.

The Company’s arrangements generally include certain provisions for indemnifying customers against liabilities if its products or services infringe a third party’s intellectual property rights. In addition, for its Falcon Complete customers, the Company offers a limited warranty, subject to certain conditions, to cover certain costs incurred by the customer in case of a cybersecurity breach. The Company has entered into an insurance policy to cover its potential liability arising from this limited warranty arrangement. To date, the Company has not incurred any material costs because of such obligations and has not accrued any liabilities related to such obligations in the condensed consolidated financial statements.

The Company has also agreed to indemnify its directors and certain executive officers for costs associated with any fees, expenses, judgments, fines and settlement amounts incurred by any of these persons in any action or proceeding to which any of those persons is, or is threatened to be, made a party by reason of the person’s service as a director or officer, including any action by the Company, arising out of that person’s services as the Company’s director or officer or that person’s services provided to any other company or enterprise at the Company’s request. The Company maintains director and officer insurance coverage that would generally enable the Company to recover a portion of any future amounts paid. The Company may also be subject to indemnification obligations by law with respect to the actions of its employees under certain circumstances and in certain jurisdictions. No liabilities have been accrued associated with this indemnification provision as of October 31, 2020 or January 31, 2020.

Geographic Information

9 Months Ended

Oct. 31, 2020

Geographic Areas, Long-Lived Assets [Abstract]

Geographic Information

The Company’s long-lived assets are composed of property and equipment, net, and operating lease right-of-use assets, are summarized by geographic area as follows:


	October 31, 2020		January 31, 2020
	(in thousands)
United States	$	172,610	$	125,409
International	28,137		10,669
Total property and equipment, net and operating lease right-of-use assets	$	200,747	$	136,078

No single country other than the United States represented 10% or more of the Company’s total long-lived assets as of October 31, 2020 or January 31, 2020.

Related Party Transactions	9 Months Ended
Related Party Transactions	Oct. 31, 2020
Related Party Transactions [Abstract]
Related Party Transactions	Related Party Transactions Subscription and Professional Services Revenue from Related Parties During the three and nine months ended October 31, 2020 and 2019, certain investors and companies with whom the Company’s Board of Directors are affiliated with purchased subscriptions and professional services. The Company recorded revenue from subscriptions and professional services from related parties of $1.1 million and $2.2 million during the three months ended October 31, 2020 and October 31, 2019, respectively, and $3.0 million and $6.8 million during the nine months ended October 31, 2020 and October 31, 2019, respectively. Accounts receivable associated with these related parties were both $0.2 million as of October 31, 2020 and January 31, 2020. Accounts Payable to Related Parties The Company purchased goods and services totaling $6.0 million and $0.9 million, respectively, from certain investors and companies with whom its Board of Directors are affiliated with during the three months ended October 31, 2020 and 2019, respectively, and $6.2 million and $2.4 million during the nine months ended October 31, 2020 and 2019, respectively. The accounts payable to such vendors were immaterial as of October 31, 2020 and January 31, 2020.

Acquisitions

9 Months Ended

Oct. 31, 2020

Business Combinations [Abstract]

Acquisitions

On September 30, 2020, the Company acquired 100% of the equity interest of Preempt Security, Inc. (“Preempt Security”), a privately-held Delaware corporation that developed real-time access control and threat prevention (the “Acquisition”). The Acquisition has been accounted for a business combination. The total consideration transferred was $91.2 million which consisted of $87.4 million in cash and $3.8 million representing the fair value of replacement equity awards attributable to pre-acquisition service. The purchase price was allocated, on a preliminary basis, to identified intangible assets, which include developed technology, customer relationships and trade names, of $16.4 million, net tangible assets acquired of $(0.4) million and goodwill of $75.2 million allocated to the Company’s one reporting segment, representing the excess of the purchase price over the fair value of net tangible and intangible assets acquired. The goodwill was primarily attributable to the assembled workforce of Preempt Security, planned growth in new markets and synergies expected to be achieved from the integration of Preempt Security. Goodwill is not deductible for income tax purposes.

Per the terms of the merger agreement with Preempt Security, certain unvested stock options held by Preempt Security employees were canceled and exchanged for replacement stock options under the 2019 Plan. Additionally, certain shares of stock issued pursuant to share-based compensation awards to key employees of Preempt Security were canceled and exchanged for replacement RSUs of the Company, which are subject to future vesting. The portion of the fair value of the replacement equity awards associated with pre-acquisition service of Preempt Security’s employees represented a component of the total purchase consideration. The remaining fair value of these issued awards is subject to the recipients’ continued service with the Company and the achievement of specified performance targets, and thus were excluded from the purchase price. The awards which are subject to continued service will be recognized ratably as stock-based compensation expense over the requisite service period. The awards which are based on specified performance targets will be recognized under the accelerated attribution method. The Company is still finalizing the allocation of the purchase price, which may be subject to change as additional information becomes available.

The following table sets forth the components of identifiable intangible assets acquired and their estimated useful lives as of the date of acquisition:


	Fair Value		Useful Life
	(in thousands)		(in months)
Developed technology	$	13,200	60
Customer relationships	3,100		60
Trade names	85		12
Total intangible assets acquired	$	16,385

The Company incurred non-consideration acquisition expense of $2.1 million during both the three and nine months ended October 31, 2020. The acquisition costs are recorded in general and administrative expenses on the Company’s condensed consolidated statement of operations.

The results of operations of Preempt Security have been included in the Company’s consolidated financial statements from the date of acquisition. The acquisition of Preempt Security did not have a material impact on the Company’s consolidated financial statements, and therefore historical and pro forma disclosures have not been presented.

Net Loss Per Share Attributable to Common Stockholders

9 Months Ended

Oct. 31, 2020

Earnings Per Share [Abstract]

Net Loss Per Share Attributable to Common Stockholders

. Net Loss Per Share Attributable to Common Stockholders

The following table sets forth the computation of basic and diluted net loss per share attributable to common stockholders (in thousands, except per share data):


	Three Months Ended October 31,				Nine Months Ended October 31,
	2020		2019		2020		2019








Class A Common Stock

Net loss attributable to common stockholders	$	(20,750)	$	(3,602)	$	(54,227)	$	(9,402)

Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted	185,579		20,703		159,402		10,616

Net loss per share attributable to common stockholders, basic and diluted	$	(0.11)	$	(0.17)	$	(0.34)	$	(0.89)

Class B Common Stock

Net loss attributable to common stockholders	$	(3,781)	$	(31,903)	$	(19,400)	$	(103,969)

Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted	33,822		183,393		57,030		117,393

Net loss per share attributable to common stockholders, basic and diluted	$	(0.11)	$	(0.17)	$	(0.34)	$	(0.89)

Since the Company was in a net loss position for all periods presented, basic net loss per share is the same as diluted net loss per share as the inclusion of all potential common shares outstanding would have been antidilutive. The potential shares of common stock that were excluded from the computation of diluted net loss per share attributable to common stockholders for the periods presented because including them would have been antidilutive are as follows:


	October 31, 2020	October 31, 2019
	(in thousands)


Shares of common stock subject to repurchase from outstanding stock options	638	1,128
RSUs and PSUs subject to future vesting	8,747	6,909
Shares of common stock issuable from stock options	8,521	20,701
Share purchase rights under the employee stock purchase plan	1,131	1,599
Potential common shares excluded from diluted net loss per share	19,037	30,337

Summary of Significant Accounting Policies (Policies)

9 Months Ended

Oct. 31, 2020

Accounting Policies [Abstract]

Basis of presentation

Basis of Presentation

The accompanying condensed consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”) and applicable rules and regulations of the Securities and Exchange Commission (“SEC”) regarding interim financial reporting. As permitted under those rules, certain footnotes or other financial information that are normally required by U.S. GAAP have been condensed or omitted, and accordingly the balance sheet as of January 31, 2020, and related disclosures, have been derived from the audited consolidated financial statements at that date but do not include all of the information required by U.S. GAAP for complete consolidated financial statements. These unaudited condensed consolidated financial statements have been prepared on the same basis as the Company’s annual consolidated financial statements and, in the opinion of management, reflect all normal recurring adjustments that are necessary for the fair statement of the Company’s condensed consolidated financial information. The results of operations for the three and nine months ended October 31, 2020 are not necessarily indicative of the results to be expected for the year ending January 31, 2021 or for any other interim period or for any other future year.

Principles of consolidation

Principles of Consolidation

JOBS act accounting election

JOBS Act Accounting Election

Use of estimates

Use of Estimates

Concentration of credit risk and geographic information

Concentration of Credit Risk and Geographic Information

Channel partners or direct customers who represented 10% or more of the Company’s accounts receivable were as follows:


	October 31,		January 31,
	2020		2020
Channel partner A	7	%	11	%
Channel partner B	6	%	10	%

Customer B	8	%	20	%

Channel partners who represented 10% or more of the Company’s total revenue were as follows:


	Three Months Ended October 31,			Nine Months Ended October 31,
	2020		2019	2020		2019
Channel partner A	8	%	10 %	8	%	11	%

There were no direct customers who represented 10% or more of the Company’s total revenue during the three and nine months ended October 31, 2020 and October 31, 2019.

Leases

Leases with a term of twelve months or less are not recognized on the condensed consolidated balance sheet but are recognized as expense on a straight-line basis over the term of the lease.

Available-for-sale debt securities

Accounts receivable

Accounts ReceivableAccounts receivable are recorded at the invoiced amount and are non-interest bearing. Accounts receivable are stated at their net realizable value, net of allowance for doubtful accounts. The Company has a well-established collections history from its customers. Credit is extended to customers based on an evaluation of their financial condition and other factors. The Company generally does not require collateral from its customers; however, the Company may require payment prior to commencing service in certain instances to limit credit risk. The Company regularly reviews the adequacy of the allowance for doubtful accounts by considering various factors including the age of each outstanding invoice, each customer’s expected ability to pay, historical loss rates and expectations of forward-looking loss estimates to determine whether the allowance is appropriate. Amounts deemed uncollectible are written off against the allowance for doubtful accounts.

Software implementation costs

Software Implementation Costs

Recently issued and recently adopted accounting pronouncements

Recently Adopted Accounting Pronouncements

The Company elected the following practical expedients:

The Company did not elect the hindsight practical expedient.

The adoption of this new standard on February 1, 2020, and the application of the modified retrospective transition approach resulted in the following changes:

a.Assets increased by $37.4 million, primarily representing the recognition of ROU asset for operating leases; and

Recently Issued Accounting Pronouncements

Summary of Significant Accounting Policies (Tables)

9 Months Ended

Oct. 31, 2020

Accounting Policies [Abstract]

Schedule of concentration of credit risk

Channel partners or direct customers who represented 10% or more of the Company’s accounts receivable were as follows:


	October 31,		January 31,
	2020		2020
Channel partner A	7	%	11	%
Channel partner B	6	%	10	%

Customer B	8	%	20	%

Channel partners who represented 10% or more of the Company’s total revenue were as follows:


	Three Months Ended October 31,			Nine Months Ended October 31,
	2020		2019	2020		2019
Channel partner A	8	%	10 %	8	%	11	%

Fair Value Measurements and Marketable Securities (Tables)

9 Months Ended

Oct. 31, 2020

Fair Value Disclosures [Abstract]

Schedule of company's fair value hierarchy for its financial assets and liabilities that are measured at fair value on a recurring basis

The Company’s fair value hierarchy for its financial assets and liabilities that are measured at fair value on a recurring basis are as follows:


	October 31, 2020								January 31, 2020
	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
	(in thousands)								(in thousands)
Assets
Cash equivalents (1)
Money market funds	$	—	$	—	$	—	$	—	$	205,379	$	—	$	—	$	205,379
Corporate debt securities	—		—		—		—		—		39,940		—		39,940
Total cash equivalents	—		—		—		—		205,379		39,940		—		245,319
Marketable securities
Corporate debt securities	—		—		—		—		—		495,022		—		495,022
U.S. treasury securities	—		—		—		—		84,431		—		—		84,431
Asset backed securities	—		—		—		—		—		67,813				67,813
Total marketable securities	—		—		—		—		84,431		562,835		—		647,266
Total assets	$	—	$	—	$	—	$	—	$	289,810	$	602,775	$	—	$	892,585

__________________________________

(1)Included in “Cash and cash equivalents” on the condensed consolidated balance sheets.

Schedule of marketable securities

The following table presents the contractual maturities of marketable securities as of January 31, 2020:


	Amortized cost		Fair value
	(in thousands)
Due in one year or less	$	377,722	$	378,408
Due after one year through five years	266,670		267,728
Due after five years through nineteen years	1,127		1,130
	$	645,519	$	647,266

Summary of changes in strategic investments

The following summarizes the changes in strategic investments:


	October 31,		January 31,
	2020		2020
	(in thousands)
Total initial cost	$	2,500	$	1,000
Cumulative gain	—		—
Carrying value	$	2,500	$	1,000

Summary of changes in the redeemable convertible preferred stock warrant liability

The following summarizes the changes in the redeemable convertible preferred stock warrant liability, which is classified as a Level 3 instrument:


	Three Months Ended October 31,				Nine Months Ended October 31,
	2020		2019		2020		2019
	(in thousands)				(in thousands)
Balance at beginning of period	$	—	$	—	$	—	$	4,537
Adjustment resulting from change in fair value recognized in the condensed consolidated statements of operations	—		—		—		6,022
Reclassification of liability for redeemable convertible preferred stock warrants to additional paid-in capital upon initial public offering	—		—		—		(10,559)
Balance at end of period	$	—	$	—	$	—	$	—

Balance Sheet Components (Tables)

9 Months Ended

Oct. 31, 2020

Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]

Summary of prepaid expenses and other current assets

Prepaid expenses and other current assets consisted of the following:


	October 31, 2020		January 31, 2020
	(in thousands)
Prepaid expenses	$	19,467	$	20,390
Prepaid software licenses	16,190		16,645
Prepaid hosting services	5,711		8,056
Other current assets	4,305		6,523
Prepaid expenses and other current assets	$	45,673	$	51,614

Property, plant and equipment

Property and equipment, net consisted of the following:


	October 31, 2020		January 31, 2020
	(in thousands)
Data center and other computer equipment	$	140,457	$	87,166
Capitalized internal-use software	38,575		30,354
Leasehold improvements	18,209		13,157
Purchased software	3,170		2,604
Furniture and equipment	5,822		4,835
Construction in process	33,583		47,626
	239,816		185,742
Less: Accumulated depreciation and amortization	(77,445)		(49,664)
Property and equipment, net	$	162,371	$	136,078

Schedule of total intangible assets, net

Intangible Assets, Net

Total intangible assets, net consisted of the following:


	October 31, 2020						Weighted-Average Remaining Useful Life
	Gross Carrying Amount		Accumulated Amortization		Net Amount
	(in thousands)						(in months)
Developed technology	$	14,481	$	1,501	$	12,980	59
Customer relationships	3,742		444		3,298		57
Other acquired intangible assets	213		135		78		11
Total	$	18,436	$	2,080	$	16,356


	January 31, 2020						Weighted-Average Remaining Useful Life
	Gross Carrying Amount		Accumulated Amortization		Net Amount
	(in thousands)						(in months)
Developed technology	$	1,238	$	1,067	$	171	9
Customer relationships	607		280		327		33
Other acquired intangible assets	121		92		29		9
Total	$	1,966	$	1,439	$	527

Schedule of estimated aggregate future amortization expense of intangible assets

The estimated aggregate future amortization expense of intangible assets as of October 31, 2020 is as follows:


	Total
	(in thousands)
Fiscal 2021 (remaining three months)	$	869
Fiscal 2022	3,445
Fiscal 2023	3,350
Fiscal 2024	3,260
Fiscal 2025	3,260
Thereafter	2,172
Total amortization expense	$	16,356

Schedule of goodwill

Goodwill during the nine months ended October 31, 2020 consisted of the following:


	Amounts
	(in thousands)
Goodwill as of January 31, 2020	$	7,722
Goodwill acquired	75,182
Foreign currency translation	228
Goodwill as of October 31, 2020	$	83,132

Summary of accrued expenses

Accrued expenses consisted of the following:


	October 31, 2020		January 31, 2020
	(in thousands)
Web hosting services	$	14,815	$	16,367
Other accrued expenses	8,632		7,459
Accrued purchases of property and equipment	8,020		2,789
Accrued marketing	6,003		1,970
Accrued legal and accounting	2,505		1,770
Accrued expenses	$	39,975	$	30,355

Summary of accrued payroll and benefits

Accrued payroll and benefits consisted of the following:


	October 31, 2020		January 31, 2020
	(in thousands)
Accrued commissions	$	17,794	$	15,399
Employee Stock Purchase Plan	14,889		6,560
Accrued payroll and related expenses	13,998		6,680
Accrued bonuses	9,787		8,171
Accrued payroll and benefits	$	56,468	$	36,810

Leases (Tables)

9 Months Ended

Oct. 31, 2020

Leases [Abstract]

Schedule of Component of Lease Costs

The component of lease costs was as follows:


	Three Months Ended October 31, 2020		Nine Months Ended October 31, 2020
	(in thousands)
Lease cost
Operating lease cost	$	2,677	$	7,631
Short-term lease cost	492		1,477
Variable lease cost	774		2,128
Total lease cost	$	3,943	$	11,236

Summary of future minimum payments under noncancelable operating leases

The maturities of the Company’s non-cancelable operating lease liabilities are as follows:


	October 31, 2020
	(in thousands)
Fiscal 2021 (remaining three months)	$	1,494
Fiscal 2022	11,380
Fiscal 2023	10,838
Fiscal 2024	10,785
Fiscal 2025	9,950
Thereafter	4,158
Total operating lease payments	48,605
Less: imputed interest	(5,953)
Present value of operating lease liabilities	$	42,652

Future minimum payments under non-cancelable operating leases determined using the prior accounting guidance consisted of the following as of January 31, 2020:


	Real Estate Arrangements
	(in thousands)
Fiscal 2021	$	9,958
Fiscal 2022	9,869
Fiscal 2023	9,377
Fiscal 2024	9,370
Fiscal 2025	8,441
Thereafter	3,671
Total	$	50,686

Stock-Based Compensation (Tables)

9 Months Ended

Oct. 31, 2020

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Schedule of stock option activity

The following table is a summary of stock option activity for the nine months ended October 31, 2020:


	Number of Shares	Weighted-Average Exercise Price Per Share
	(in thousands)
Options outstanding at January 31, 2020	14,689	$	5.52
Granted	97	$	64.64
Exercised	(5,965)	$	3.61
Canceled	(300)	$	9.09
Options outstanding at October 31, 2020	8,521	$	7.41
Options vested and expected to vest at October 31, 2020	8,521	$	7.41
Options exercisable at October 31, 2020	4,421	$	4.49

Schedule of restricted stock units

The following table is a summary of RSU and PSU activities for the nine months ended October 31, 2020:


	Number of Shares	Weighted- Average Grant Date Fair Value Per Share
	(in thousands)
RSUs and PSUs outstanding at January 31, 2020	6,063	$	29.82
Granted	4,456	$	79.00
Vested	(1,475)	$	31.52
Forfeited	(297)	$	38.43
RSUs and PSUs outstanding at October 31, 2020	8,747	$	54.30
RSUs and PSUs expected to vest at October 31, 2020	8,747	$	54.30

Schedule of stock-based compensation expense

Stock-based compensation expense included in the condensed consolidated statements of operations is as follows:


	Three Months Ended October 31,				Nine Months Ended October 31,
	2020		2019		2020		2019
	(in thousands)				(in thousands)
Subscription cost of revenue	$	3,226	$	1,666	$	7,856	$	3,164
Professional services cost of revenue	1,551		784		3,947		1,531
Sales and marketing	12,811		7,355		35,101		15,511
Research and development	11,771		4,696		25,700		10,353
General and administrative	11,251		7,465		29,357		25,018
Total stock-based compensation expense	$	40,610	$	21,966	$	101,961	$	55,577

Employee Stock Purchase Plan

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Schedule of assumptions used to estimate fair value on date of grant


	Nine Months Ended October 31,
	2020		2019
Expected term (in years)	0.5 - 2.0		0.5 - 2.0
Risk-free interest rate	0.2% - 2.0%		1.9 % - 2.2%
Expected stock price volatility	30.1% - 54.3%		33.0 % - 35.7%
Dividend yield	—	%	—	%

Stock options

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Schedule of assumptions used to estimate fair value on date of grant

The fair value of each option was estimated on the date of grant using the following assumptions during the period:


	Nine Months Ended October 31,
	2020		2019
Expected term (in years)	3.17 - 6.05		6.05
Risk-free interest rate	0.2% - 0.4%		2.0% - 2.4%
Expected stock price volatility	35.8% - 37.3%		37.7% - 37.9%
Dividend yield	—	%	—	%

Revenue, Deferred Revenue and Remaining Performance Obligations (Tables)

9 Months Ended

Oct. 31, 2020

Revenue from Contract with Customer [Abstract]

Summary of revenue from contracts by type of customer

The following table summarizes the revenue from contracts by type of customer:


	Three Months Ended October 31,								Nine Months Ended October 31,
	2020				2019				2020				2019
	Amount		% Revenue		Amount		% Revenue		Amount		% Revenue		Amount		% Revenue
	(in thousands, except percentages)								(in thousands, except percentages)
Channel Partners	$	175,837	76	%	$	88,255	71	%	$	459,529	75	%	$	223,152	68	%
Direct Customers	56,623		24	%	36,864		29	%	149,980		25	%	106,152		32	%
Total revenue	$	232,460	100	%	$	125,119	100	%	$	609,509	100	%	$	329,304	100	%

Summary of revenue by region based on the shipping address of customers

The following table summarizes the revenue by region based on the shipping address of customers who have contracted to use the Company’s platform or service:


	Three Months Ended October 31,								Nine Months Ended October 31,
	2020				2019				2020				2019
	Amount		% Revenue		Amount		% Revenue		Amount		% Revenue		Amount		% Revenue
	(in thousands, except percentages)								(in thousands, except percentages)
United States	$	167,741	72	%	$	92,602	74	%	$	438,955	72	%	$	245,055	74	%
Europe, Middle East, and Africa	33,192		14	%	17,609		14	%	86,785		14	%	46,029		14	%
Asia Pacific	20,551		9	%	9,985		8	%	53,186		9	%	24,828		8	%
Other	10,976		5	%	4,923		4	%	30,583		5	%	13,392		4	%
Total revenue	$	232,460	100	%	$	125,119	100	%	$	609,509	100	%	$	329,304	100	%

Summary of changes in deferred revenue

Changes in deferred revenue were as follows:


	Three Months Ended October 31,				Nine Months Ended October 31,
	2020		2019		2020		2019
	Carrying Amount
	(in thousands)
Beginning Balance	$	689,840	$	369,762	$	571,168	$	290,067
Additions to deferred revenue	305,294		202,996		801,015		486,876
Recognition of deferred revenue	(232,460)		(125,119)		(609,509)		(329,304)
Ending Balance	$	762,674	$	447,639	$	762,674	$	447,639

Summary of the activity of deferred contract acquisition costs

The following table summarizes the activity of deferred contract acquisition costs:


	Three Months Ended October 31,				Nine Months Ended October 31,
	2020		2019		2020		2019
	(in thousands)
Beginning balance	$	135,023	$	75,783	$	114,206	$	38,765
Adjustment due to adoption of ASU 606	—		—		—		24,306
Capitalization of contract acquisition costs	35,753		27,450		84,741		55,238
Amortization of deferred contract acquisition costs	(16,769)		(9,049)		(44,940)		(24,125)
Ending balance	$	154,007	$	94,184	$	154,007	$	94,184

Deferred contract acquisition costs, current	$	62,422	$	35,924	$	62,422	$	35,924
Deferred contract acquisition costs, noncurrent	91,585		58,260		91,585		58,260
Total deferred contract acquisition costs	$	154,007	$	94,184	$	154,007	$	94,184

Commitments and Contingencies (Tables)

9 Months Ended

Oct. 31, 2020

Commitments and Contingencies Disclosure [Abstract]

Summary of noncancelable purchase obligations

A summary of noncancelable purchase obligations as of October 31, 2020 with expected date of payment is as follows:


	Total Commitments
	(in thousands)
Fiscal 2021 (remaining three months)	$	35,855
Fiscal 2022	81,599
Fiscal 2023	13,929
Fiscal 2024	10,814
Fiscal 2025	3,679
Thereafter	3,741
Total purchase commitments	$	149,617

Geographic Information (Tables)

9 Months Ended

Oct. 31, 2020

Geographic Areas, Long-Lived Assets [Abstract]

Summary by geographic area of company's long lived assets

The Company’s long-lived assets are composed of property and equipment, net, and operating lease right-of-use assets, are summarized by geographic area as follows:


	October 31, 2020		January 31, 2020
	(in thousands)
United States	$	172,610	$	125,409
International	28,137		10,669
Total property and equipment, net and operating lease right-of-use assets	$	200,747	$	136,078

Acquisitions (Tables)

9 Months Ended

Oct. 31, 2020

Business Combinations [Abstract]

Schedule of Recognized Identified Assets Acquired and Liabilities Assumed

The following table sets forth the components of identifiable intangible assets acquired and their estimated useful lives as of the date of acquisition:


	Fair Value		Useful Life
	(in thousands)		(in months)
Developed technology	$	13,200	60
Customer relationships	3,100		60
Trade names	85		12
Total intangible assets acquired	$	16,385

Net Loss Per Share Attributable to Common Stockholders (Tables)

9 Months Ended

Oct. 31, 2020

Earnings Per Share [Abstract]

Schedule of computation of basic and diluted net loss per share attributable to common stockholders"

The following table sets forth the computation of basic and diluted net loss per share attributable to common stockholders (in thousands, except per share data):


	Three Months Ended October 31,				Nine Months Ended October 31,
	2020		2019		2020		2019








Class A Common Stock

Net loss attributable to common stockholders	$	(20,750)	$	(3,602)	$	(54,227)	$	(9,402)

Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted	185,579		20,703		159,402		10,616

Net loss per share attributable to common stockholders, basic and diluted	$	(0.11)	$	(0.17)	$	(0.34)	$	(0.89)

Class B Common Stock

Net loss attributable to common stockholders	$	(3,781)	$	(31,903)	$	(19,400)	$	(103,969)

Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted	33,822		183,393		57,030		117,393

Net loss per share attributable to common stockholders, basic and diluted	$	(0.11)	$	(0.17)	$	(0.34)	$	(0.89)

Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share

The potential shares of common stock that were excluded from the computation of diluted net loss per share attributable to common stockholders for the periods presented because including them would have been antidilutive are as follows:


	October 31, 2020	October 31, 2019
	(in thousands)


Shares of common stock subject to repurchase from outstanding stock options	638	1,128
RSUs and PSUs subject to future vesting	8,747	6,909
Shares of common stock issuable from stock options	8,521	20,701
Share purchase rights under the employee stock purchase plan	1,131	1,599
Potential common shares excluded from diluted net loss per share	19,037	30,337

Description of Business and Basis of Presentation (Details) $ / shares in Units, $ in Thousands		9 Months Ended
	Jun. 14, 2019 USD ($) $ / shares shares	Oct. 31, 2020 USD ($) module	Oct. 31, 2019 USD ($)
Description of Business and Basis of Presentation
Number of cloud modules \| module		16
Proceeds from the issuance of common stock upon initial public offering, net of underwriting discounts \| $		$ 0	$ 665,092
Class A common stock \| IPO
Description of Business and Basis of Presentation
Common stock issued (in shares) \| shares	20,700,000
Public offering price (in usd per share) \| $ / shares	$ 34.00
Proceeds from the issuance of common stock upon initial public offering, net of underwriting discounts \| $	$ 659,200
Underwriters' discounts and commissions and estimated offering expenses \| $	$ 44,800
Common stock conversion ratio	1
Class B common stock
Description of Business and Basis of Presentation
Common stock conversion ratio	1
Class B common stock \| IPO
Description of Business and Basis of Presentation
Number of shares issued in conversion of common stock (in shares) \| shares	131,267,586
Common stock conversion ratio	1
Conversion of warrants, warrants issued (in shares) \| shares	336,386
Warrant conversion ratio	1

Summary of Significant Accounting Policies - Narrative (Details)	Oct. 31, 2020 USD ($) marketableSecurity	Feb. 01, 2020 USD ($)	Jan. 31, 2020 USD ($)
Concentration Risk [Line Items]
Number of marketable securities held \| marketableSecurity	0
Number of securities in continuous unrealized loss position \| marketableSecurity	0
Accounts receivable, allowance for doubtful accounts	$ 1,100,000		$ 1,100,000
Operating lease right-of-use assets	38,376,000		$ 0
Present value of operating lease liabilities	42,652,000
Revolving line of credit
Concentration Risk [Line Items]
Amount outstanding under credit agreement	$ 0
Accounting standards update 2016-02 \| Cumulative Effect, Period of Adoption, Adjustment
Concentration Risk [Line Items]
Operating lease right-of-use assets		$ 37,400,000
Liabilities \| Accounting standards update 2016-02 \| Cumulative Effect, Period of Adoption, Adjustment
Concentration Risk [Line Items]
Present value of operating lease liabilities		$ 37,400,000

Summary of Significant Accounting Policies - Concentration of Credit Risk (Details)	3 Months Ended		9 Months Ended		12 Months Ended
	Oct. 31, 2020	Oct. 31, 2019	Oct. 31, 2020	Oct. 31, 2019	Jan. 31, 2020
Channel partner A \| Customers \| Accounts receivable
Concentration Risk [Line Items]
Concentration risk, percentage			7.00%		11.00%
Channel partner A \| Channel partner A \| Revenue
Concentration Risk [Line Items]
Concentration risk, percentage	8.00%	10.00%	8.00%	11.00%
Channel partner B \| Customers \| Accounts receivable
Concentration Risk [Line Items]
Concentration risk, percentage			6.00%		10.00%
Customer B \| Customers \| Accounts receivable
Concentration Risk [Line Items]
Concentration risk, percentage			8.00%		20.00%

Fair Value Measurements and Marketable Securities - Financial Assets and Liabilities (Details) - USD ($) $ in Thousands	Oct. 31, 2020	Jan. 31, 2020
Assets
Marketable securities	$ 0	$ 647,266
Recurring
Assets
Cash equivalents	0	245,319
Marketable securities	0	647,266
Total assets	0	892,585
Recurring \| Money market funds
Assets
Cash equivalents	0	205,379
Recurring \| Corporate debt securities
Assets
Cash equivalents	0	39,940
Marketable securities	0	495,022
Recurring \| U.S. treasury securities
Assets
Marketable securities	0	84,431
Recurring \| Asset backed securities
Assets
Marketable securities	0	67,813
Level 1 \| Recurring
Assets
Cash equivalents	0	205,379
Marketable securities	0	84,431
Total assets	0	289,810
Level 1 \| Recurring \| Money market funds
Assets
Cash equivalents	0	205,379
Level 1 \| Recurring \| Corporate debt securities
Assets
Cash equivalents	0	0
Marketable securities	0	0
Level 1 \| Recurring \| U.S. treasury securities
Assets
Marketable securities	0	84,431
Level 1 \| Recurring \| Asset backed securities
Assets
Marketable securities	0	0
Level 2 \| Recurring
Assets
Cash equivalents	0	39,940
Marketable securities	0	562,835
Total assets	0	602,775
Level 2 \| Recurring \| Money market funds
Assets
Cash equivalents	0	0
Level 2 \| Recurring \| Corporate debt securities
Assets
Cash equivalents	0	39,940
Marketable securities	0	495,022
Level 2 \| Recurring \| U.S. treasury securities
Assets
Marketable securities	0	0
Level 2 \| Recurring \| Asset backed securities
Assets
Marketable securities	0	67,813
Level 3 \| Recurring
Assets
Cash equivalents	0	0
Marketable securities	0	0
Total assets	0	0
Level 3 \| Recurring \| Money market funds
Assets
Cash equivalents	0	0
Level 3 \| Recurring \| Corporate debt securities
Assets
Cash equivalents	0	0
Marketable securities	0	0
Level 3 \| Recurring \| U.S. treasury securities
Assets
Marketable securities	0	0
Level 3 \| Recurring \| Asset backed securities
Assets
Marketable securities	$ 0

Fair Value Measurements and Marketable Securities - Additional Information (Details)		3 Months Ended	9 Months Ended		12 Months Ended
	Jun. 14, 2019 shares	Oct. 31, 2019 USD ($)	Oct. 31, 2020 USD ($)	Oct. 31, 2019 USD ($)	Jan. 31, 2020 USD ($)
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Other-than-temporary impairments					$ 0
Unrealized gain (loss), adjustment related to carrying value of non-marketable securities			$ 0		$ 0
Loss due to remeasurement of redeemable convertible preferred stock warrant liability		$ 0		$ 6,000,000.0
IPO \| Class B common stock
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Conversion of warrants, warrants issued (in shares) \| shares	336,386
Warrant conversion ratio	1

Fair Value Measures and Marketable Securities - Maturities (Details) $ in Thousands	Jan. 31, 2020 USD ($)
Amortized cost
Due in one year or less	$ 377,722
Due after one year through five years	266,670
Due after five years through nineteen years	1,127
Total amortized cost	645,519
Fair value
Due in one year or less	378,408
Due after one year through five years	267,728
Due after five years through nineteen years	1,130
Total fair value	$ 647,266

Fair Value Measures and Marketable Securities - Strategic Investments (Details) - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
	Oct. 31, 2020	Jan. 31, 2020
Fair Value Disclosure, Asset and Liability, Not Measured at Fair Value [Line Items]
Total initial cost	$ 2,500	$ 1,000
Carrying value	2,500	1,000
Cumulative gain
Fair Value Disclosure, Asset and Liability, Not Measured at Fair Value [Line Items]
Cumulative gain	$ 0	$ 0

Fair Value Measurements and Marketable Securities - Redeemable convertible preferred stock warrant liability (Details) - USD ($)	3 Months Ended		9 Months Ended
	Oct. 31, 2020	Oct. 31, 2019	Oct. 31, 2020	Oct. 31, 2019
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Adjustment resulting from change in fair value recognized in the condensed consolidated statements of operations		$ 0		$ (6,000,000.0)
Level 3 \| Redeemable convertible preferred stock warrant
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Balance at beginning of period	$ 0	0	$ 0	4,537,000
Adjustment resulting from change in fair value recognized in the condensed consolidated statements of operations	0	0	0	6,022,000
Reclassification of liability for redeemable convertible preferred stock warrants to additional paid-in capital upon initial public offering	0	0	0	10,559,000
Balance at end of period	$ 0	$ 0	$ 0	$ 0

Balance Sheet Components - Prepaid Expenses and Other Current Assets (Details) - USD ($) $ in Thousands	Oct. 31, 2020	Jan. 31, 2020
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Prepaid expenses	$ 19,467	$ 20,390
Prepaid software licenses	16,190	16,645
Prepaid hosting services	5,711	8,056
Other current assets	4,305	6,523
Prepaid expenses and other current assets	$ 45,673	$ 51,614

Balance Sheet Components - Property and Equipment, Net (Details) - USD ($) $ in Thousands	Oct. 31, 2020	Jan. 31, 2020
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	$ 239,816	$ 185,742
Less: Accumulated depreciation and amortization	(77,445)	(49,664)
Property and equipment, net	162,371	136,078
Data center and other computer equipment
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	140,457	87,166
Capitalized internal-use software
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	38,575	30,354
Leasehold improvements
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	18,209	13,157
Purchased software
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	3,170	2,604
Furniture and equipment
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	5,822	4,835
Construction in process
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	$ 33,583	$ 47,626

Balance Sheet Components - Additional Information (Details) - USD ($)	3 Months Ended		9 Months Ended
	Oct. 31, 2020	Oct. 31, 2019	Oct. 31, 2020	Oct. 31, 2019	Jan. 31, 2020
Finite-Lived Intangible Assets [Line Items]
Depreciation and amortization	$ 10,100,000	$ 5,800,000	$ 27,728,000	$ 16,023,000
Impairments of internal use software	0	0	0	0
Capitalized amount of internal use software	3,500,000	2,200,000	8,200,000	5,700,000
Amortization expense associated with internal use software	1,900,000	1,600,000	5,600,000	4,600,000
Net book value of capitalized internal use software	15,900,000		15,900,000		$ 13,400,000
Amortization of intangible assets	400,000	$ 100,000	579,000	$ 385,000
Deferred payroll taxes	8,500,000		8,500,000
Data center and other computer equipment
Finite-Lived Intangible Assets [Line Items]
Equipment purchased but not yet placed into service	$ 28,300,000		$ 28,300,000
Developed technology
Finite-Lived Intangible Assets [Line Items]
Useful lives			5 years
Customer relationships
Finite-Lived Intangible Assets [Line Items]
Useful lives			5 years
Other acquired intangible assets
Finite-Lived Intangible Assets [Line Items]
Useful lives			1 year

Balance Sheet Components - Intangible Assets, Net (Details) - USD ($) $ in Thousands		9 Months Ended	12 Months Ended
	Sep. 30, 2020	Oct. 31, 2020	Jan. 31, 2020
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount		$ 18,436	$ 1,966
Accumulated Amortization		2,080	1,439
Net Amount		16,356	527
Developed technology
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount		14,481	1,238
Accumulated Amortization		1,501	1,067
Net Amount		$ 12,980	$ 171
Weighted-Average Remaining Useful Life	60 months	59 months	9 months
Customer relationships
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount		$ 3,742	$ 607
Accumulated Amortization		444	280
Net Amount		$ 3,298	$ 327
Weighted-Average Remaining Useful Life	60 months	57 months	33 months
Other acquired intangible assets
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount		$ 213	$ 121
Accumulated Amortization		135	92
Net Amount		$ 78	$ 29
Weighted-Average Remaining Useful Life		11 months	9 months

Balance Sheet Components - Future Amortization Expense (Details) - USD ($) $ in Thousands	Oct. 31, 2020	Jan. 31, 2020
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Fiscal 2021 (remaining three months)	$ 869
2022	3,445
2023	3,350
2024	3,260
2025	3,260
Thereafter	2,172
Net Amount	$ 16,356	$ 527

Balance Sheet Components - Goodwill Rollforward (Details) $ in Thousands	9 Months Ended
	Oct. 31, 2020 USD ($)
Goodwill [Roll Forward]
Goodwill as of January 31, 2020	$ 7,722
Goodwill acquired	75,182
Foreign currency translation	228
Goodwill as of October 31, 2020	$ 83,132

Balance Sheet Components - Accrued Expenses (Details) - USD ($) $ in Thousands	Oct. 31, 2020	Jan. 31, 2020
Accrued Expenses
Web hosting services	$ 14,815	$ 16,367
Other accrued expenses	8,632	7,459
Accrued purchases of property and equipment	8,020	2,789
Accrued marketing	6,003	1,970
Accrued legal and accounting	2,505	1,770
Accrued expenses	39,975	30,355
Accrued Payroll and Benefits
Accrued commissions	17,794	15,399
Employee Stock Purchase Plan	14,889	6,560
Accrued payroll and related expenses	13,998	6,680
Accrued bonuses	9,787	8,171
Accrued payroll and benefits	$ 56,468	$ 36,810

Secured Revolving Credit Facility (Details)	1 Months Ended
Secured Revolving Credit Facility (Details)	Apr. 30, 2019 USD ($) module	Oct. 31, 2020 USD ($)	Jan. 31, 2020 USD ($)
Line of Credit Facility [Line Items]
Amount outstanding		$ 0	$ 0
Minimum
Line of Credit Facility [Line Items]
Commitment fee (as a percent)	0.20%
Maximum
Line of Credit Facility [Line Items]
Commitment fee (as a percent)	0.30%
Revolving line of credit
Line of Credit Facility [Line Items]
Maximum borrowing capacity	$ 150,000,000.0
Incremental borrowing facility	$ 75,000,000.0
Borrowing facility multiple factor - first year \| module	6
Borrowing facility multiple factor - second year \| module	5
Borrowing facility multiple factor - thereafter \| module	4
Letter of credit
Line of Credit Facility [Line Items]
Maximum borrowing capacity	$ 10,000,000.0
Swingline
Line of Credit Facility [Line Items]
Maximum borrowing capacity	$ 10,000,000.0
Eurodollar Loans \| LIBOR \| Minimum
Line of Credit Facility [Line Items]
Margin (as a percent)	2.50%
Eurodollar Loans \| LIBOR \| Maximum
Line of Credit Facility [Line Items]
Margin (as a percent)	3.00%
ABR Loans \| Federal funds rate
Line of Credit Facility [Line Items]
Margin (as a percent)	0.50%
ABR Loans \| Eurodollar rate
Line of Credit Facility [Line Items]
Margin (as a percent)	1.00%
ABR Loans \| Eurodollar rate \| Minimum
Line of Credit Facility [Line Items]
Margin (as a percent)	1.50%
ABR Loans \| Eurodollar rate \| Maximum
Line of Credit Facility [Line Items]
Margin (as a percent)	2.00%

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
Income Taxes (Details) - USD ($) $ in Thousands	Oct. 31, 2020	Oct. 31, 2019	Oct. 31, 2020	Oct. 31, 2019
Income Tax Contingency [Line Items]
Income tax expense	$ 451	$ 434	$ 1,928	$ 1,664
Effective tax rate (as a percent)	(1.90%)	(1.20%)	(2.70%)	(1.50%)
Preempt
Income Tax Contingency [Line Items]
Income tax expense	$ (700)

Leases - Additional Information (Details) - USD ($)	3 Months Ended		9 Months Ended
Leases - Additional Information (Details) - USD ($)	Oct. 31, 2020	Oct. 31, 2019	Oct. 31, 2020	Oct. 31, 2019
Operating Leased Assets [Line Items]
Operating lease cost	$ 2,677,000		$ 7,631,000
Sublease Income	0		0
Rent expense		$ 3,100,000		$ 7,100,000
Cash payments	2,700,000		8,100,000
Operating lease liabilities arising from obtaining operating right of-use assets	$ 0		$ 6,200,000
Weighted average remaining lease term	4 years 4 months 24 days		4 years 4 months 24 days
Weighted average discount rate	5.90%		5.90%

Leases - Lease Cost (Details) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
Leases - Lease Cost (Details) - USD ($) $ in Thousands	Oct. 31, 2020	Oct. 31, 2020
Leases [Abstract]
Operating lease cost	$ 2,677	$ 7,631
Short-term lease cost	492	1,477
Variable lease cost	774	2,128
Total lease cost	$ 3,943	$ 11,236

Leases - Maturities of Operating Lease Liabilities (Details) $ in Thousands	Oct. 31, 2020 USD ($)
Property, Plant and Equipment [Line Items]
Fiscal 2021 (remaining three months)	$ 1,494
Fiscal 2022	11,380
Fiscal 2023	10,838
Fiscal 2024	10,785
Fiscal 2025	9,950
Thereafter	4,158
Total operating lease payments	48,605
Less: imputed interest	(5,953)
Present value of operating lease liabilities	42,652
Real Estate Arrangements
Property, Plant and Equipment [Line Items]
Fiscal 2021 (remaining three months)	9,958
Fiscal 2022	9,869
Fiscal 2023	9,377
Fiscal 2024	9,370
Fiscal 2025	8,441
Thereafter	3,671
Present value of operating lease liabilities	$ 50,686

Equity Transactions (Details)	Jun. 14, 2019 module $ / shares shares	Oct. 31, 2020 $ / shares shares	Jan. 31, 2020 $ / shares shares
Class of Stock [Line Items]
Preferred stock, shares authorized (in shares) \| shares		100,000,000	100,000,000
Preferred stock, par value (in usd per share) \| $ / shares		$ 0.0005	$ 0.0005
Class A common stock
Class of Stock [Line Items]
Common stock, shares authorized (in shares) \| shares		2,000,000,000	2,000,000,000
Common stock, par value (in usd per share) \| $ / shares		$ 0.0005	$ 0.0005
Class B common stock
Class of Stock [Line Items]
Common stock, shares authorized (in shares) \| shares		300,000,000	300,000,000
Common stock, par value (in usd per share) \| $ / shares		$ 0.0005	$ 0.0005
Common stock conversion ratio	1
IPO
Class of Stock [Line Items]
Preferred stock, shares authorized (in shares) \| shares	100,000,000
Preferred stock, par value (in usd per share) \| $ / shares	$ 0.0005
IPO \| Class A common stock
Class of Stock [Line Items]
Common stock, shares authorized (in shares) \| shares	2,000,000,000
Common stock, par value (in usd per share) \| $ / shares	$ 0.0005
Number of votes per share \| module	1
Common stock conversion ratio	1
IPO \| Class B common stock
Class of Stock [Line Items]
Common stock, shares authorized (in shares) \| shares	300,000,000
Common stock, par value (in usd per share) \| $ / shares	$ 0.0005
Number of votes per share \| module	10
Common stock conversion ratio	1

Stock-Based Compensation (Details) $ / shares in Units, $ in Thousands	1 Months Ended		3 Months Ended		9 Months Ended		12 Months Ended
	May 31, 2019 purchasePeriod shares	Sep. 30, 2018 unit_Standard_tranche unit_Standard_installment	Oct. 31, 2020 USD ($) $ / shares shares	Oct. 31, 2019 USD ($) shares	Oct. 31, 2020 USD ($) changeInContribution $ / shares shares	Oct. 31, 2019 USD ($) $ / shares shares	Jan. 31, 2020 USD ($) shares	Jun. 14, 2019 USD ($)
Stock Based Compensation
Employee payroll contributions accrued			$ 56,468		$ 56,468		$ 36,810
Number of increases in contribution \| changeInContribution					1
Common Stock
Stock Based Compensation
Stock Issued During Period Shares Early Stock Options Exercised \| shares				0		1,037,356
2019 Plan \| Class A common stock
Stock Based Compensation
Maximum number of shares of common stock that may be issued (in shares) \| shares	8,750,000
Threshold percentage of outstanding shares	2.00%
Employee Stock Purchase Plan
Stock Based Compensation
Threshold percentage of outstanding shares	1.00%
Offering period	24 months
Number of purchase periods \| purchasePeriod	4
Duration of purchase periods	6 months
Percentage of eligible compensation	15.00%
Maximum number of shares each participant can purchase during purchase period (in shares) \| shares	2,500
Purchase price, threshold percentage of fair market value	85.00%
Employee payroll contributions accrued			14,900		$ 14,900		6,600
Plan modification, incremental cost			$ 800		$ 1,600
Employee Stock Purchase Plan \| Class A common stock
Stock Based Compensation
Maximum number of shares of common stock that may be issued (in shares) \| shares	3,500,000
Service-based vesting
Stock Based Compensation
Number of vesting schedules \| unit_Standard_tranche		3
Stock options
Stock Based Compensation
Options unvested (in shares) \| shares			482,200		482,200
Aggregate intrinsic value of options vested and exercisable			$ 527,600		$ 527,600		$ 469,600
Weighted-average remaining contractual term of options vested and exercisable (in years)					6 years 7 months 6 days		6 years 8 months 12 days
Weighted-average grant date fair value of options granted (in usd per share) \| $ / shares			$ 121.00		$ 66.31	$ 9.51
Options granted (in shares) \| shares				0	97,000
Total intrinsic value of options exercised			$ 162,400	$ 17,300	$ 516,400	$ 107,000
Aggregate intrinsic value of stock options outstanding			992,100		$ 992,100		$ 816,300
Weighted-average remaining contractual term of stock options outstanding (in years)					7 years 1 month 6 days		7 years 4 months 24 days
Total unrecognized stock-based compensation expenses related to unvested options			$ 28,500		$ 28,500
Expected to be amortized over weighted-average vesting period (in years)					1 year 9 months 18 days
Shares issued for exercise of stock options (in shares) \| shares			0		0
Number of shares of common stock related to early exercised stock options subject to repurchase (in shares) \| shares			637,776		637,776		984,417
Value of common stock related to early exercised stock options subject to repurchase			$ 6,200		$ 6,200		$ 8,700
Performance-based vesting
Stock Based Compensation
Stock-based compensation expense deferred								$ 17,300
RSUs
Stock Based Compensation
Expected to be amortized over weighted-average vesting period (in years)					2 years 8 months 12 days
Total unrecognized stock-based compensation expenses related to unvested RSUs			379,200		$ 379,200
PSUs
Stock Based Compensation
Expected to be amortized over weighted-average vesting period (in years)					1 year 7 months 6 days
Total unrecognized stock-based compensation expenses related to unvested RSUs			$ 31,800		$ 31,800
PSUs \| Minimum
Stock Based Compensation
Threshold percentage of outstanding shares					0.00%
PSUs \| Maximum
Stock Based Compensation
Threshold percentage of outstanding shares					130.00%
Vesting one \| Service-based vesting
Stock Based Compensation
Vesting percentage					25.00%
Number of quarterly installments \| unit_Standard_installment		12
Vesting two \| Service-based vesting
Stock Based Compensation
Number of quarterly installments \| unit_Standard_installment		16
Vesting three \| Service-based vesting
Stock Based Compensation
Number of quarterly installments \| unit_Standard_installment		8

Stock-Based Compensation - Stock options - Assumptions (Details)	9 Months Ended
	Oct. 31, 2020	Oct. 31, 2019
Stock options
Stock Based Compensation
Expected term (in years)		6 years 18 days
Dividend yield	0.00%	0.00%
Employee Stock Purchase Plan
Stock Based Compensation
Dividend yield	0.00%	0.00%
Minimum \| Stock options
Stock Based Compensation
Expected term (in years)	3 years 2 months 1 day
Risk-free interest rate	0.20%	2.00%
Expected stock price volatility	35.80%	37.70%
Minimum \| Employee Stock Purchase Plan
Stock Based Compensation
Expected term (in years)	6 months	6 months
Risk-free interest rate	0.20%	1.90%
Expected stock price volatility	30.10%	33.00%
Maximum \| Stock options
Stock Based Compensation
Expected term (in years)	6 years 18 days
Risk-free interest rate	0.40%	2.40%
Expected stock price volatility	37.30%	37.90%
Maximum \| Employee Stock Purchase Plan
Stock Based Compensation
Expected term (in years)	2 years	2 years
Risk-free interest rate	2.00%	2.20%
Expected stock price volatility	54.30%	35.70%

Stock-Based Compensation - Stock options - Summary (Details) - Stock options	3 Months Ended	9 Months Ended
	Oct. 31, 2019 shares	Oct. 31, 2020 $ / shares shares
Number of Shares
Options outstanding at beginning of period (in shares) \| shares		14,689,000
Options granted (in shares) \| shares	0	97,000
Exercised (in shares) \| shares		(5,965,000)
Canceled (in shares) \| shares		(300,000)
Options outstanding at end of period (in shares) \| shares		8,521,000
Options vested and expected to vest at end of period (in shares) \| shares		8,521,000
Options exercisable at end of period (in shares) \| shares		4,421,000
Weighted-Average Exercise Price Per Share
Options outstanding at beginning of period (in usd per share) \| $ / shares		$ 5.52
Granted (in usd per share) \| $ / shares		64.64
Exercised (in usd per share) \| $ / shares		3.61
Canceled (in usd per share) \| $ / shares		9.09
Options outstanding at end of period (in usd per share) \| $ / shares		7.41
Options vested and expected to vest at end of period (in usd per share) \| $ / shares		7.41
Options exercisable at end of period (in usd per share) \| $ / shares		$ 4.49

Stock-Based Compensation - RSU activity (Details) - RSU and PSU shares in Thousands	9 Months Ended
	Oct. 31, 2020 $ / shares shares
Number of Shares
RSUs and PSUs outstanding at beginning of period (in shares) \| shares	6,063
Granted (in shares) \| shares	4,456
Vested (in shares) \| shares	(1,475)
Forfeited (in shares) \| shares	(297)
RSUs and PSUs outstanding at end of period (in shares) \| shares	8,747
RSUs and PSUs expected to vest at end of period (in shares) \| shares	8,747
Weighted- Average Grant Date Fair Value Per Share
RSUs and PSUs outstanding at beginning of period (in usd per share) \| $ / shares	$ 29.82
Granted (in usd per share) \| $ / shares	79.00
Vested (in usd per share) \| $ / shares	31.52
Forfeited (in usd per share) \| $ / shares	38.43
RSUs and PSUs outstanding at end of period (in usd per share) \| $ / shares	54.30
RSUs and PSUs expected to vest at end of period (in usd per share) \| $ / shares	$ 54.30

Stock-Based Compensation - Expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 31, 2020	Oct. 31, 2019	Oct. 31, 2020	Oct. 31, 2019
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	$ 40,610	$ 21,966	$ 101,961	$ 55,577
Sales and marketing
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	12,811	7,355	35,101	15,511
Research and development
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	11,771	4,696	25,700	10,353
General and administrative
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	11,251	7,465	29,357	25,018
Subscription \| Cost of revenue
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	3,226	1,666	7,856	3,164
Professional services \| Cost of revenue
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	$ 1,551	$ 784	$ 3,947	$ 1,531

Revenue, Deferred Revenue and Remaining Performance Obligations - Revenue from Contracts by Type and Region (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 31, 2020	Oct. 31, 2019	Oct. 31, 2020	Oct. 31, 2019
Disaggregation of Revenue [Line Items]
Total revenue	$ 232,460	$ 125,119	$ 609,509	$ 329,304
Percentage of revenue	100.00%	100.00%	100.00%	100.00%
United States
Disaggregation of Revenue [Line Items]
Total revenue	$ 167,741	$ 92,602	$ 438,955	$ 245,055
Percentage of revenue	72.00%	74.00%	72.00%	74.00%
Europe, Middle East, and Africa
Disaggregation of Revenue [Line Items]
Total revenue	$ 33,192	$ 17,609	$ 86,785	$ 46,029
Percentage of revenue	14.00%	14.00%	14.00%	14.00%
Asia Pacific
Disaggregation of Revenue [Line Items]
Total revenue	$ 20,551	$ 9,985	$ 53,186	$ 24,828
Percentage of revenue	9.00%	8.00%	9.00%	8.00%
Other
Disaggregation of Revenue [Line Items]
Total revenue	$ 10,976	$ 4,923	$ 30,583	$ 13,392
Percentage of revenue	5.00%	4.00%	5.00%	4.00%
Channel Partners
Disaggregation of Revenue [Line Items]
Total revenue	$ 175,837	$ 88,255	$ 459,529	$ 223,152
Percentage of revenue	76.00%	71.00%	75.00%	68.00%
Direct Customers
Disaggregation of Revenue [Line Items]
Total revenue	$ 56,623	$ 36,864	$ 149,980	$ 106,152
Percentage of revenue	24.00%	29.00%	25.00%	32.00%

Revenue, Deferred Revenue and Remaining Performance Obligations - Additional Information (Details) - USD ($)	3 Months Ended		9 Months Ended
	Oct. 31, 2020	Oct. 31, 2019	Oct. 31, 2020	Oct. 31, 2019
Contract with Customer, Liability [Line Items]
Revenue included in the contract liability balance	$ 185,700,000	$ 103,300,000	$ 354,500,000	$ 203,700,000
Commission amortization period			4 years
Professional services contract amortization			6 months
Impairment loss	$ 0	$ 0	$ 0	$ 0
Minimum
Contract with Customer, Liability [Line Items]
Payment terms			30 days
Subscription term			1 year
Maximum
Contract with Customer, Liability [Line Items]
Payment terms			60 days
Subscription term			3 years

Revenue, Deferred Revenue and Remaining Performance Obligations - Changes in Deferred Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 31, 2020	Oct. 31, 2019	Oct. 31, 2020	Oct. 31, 2019
Movement in Deferred Revenue [Roll Forward]
Beginning Balance	$ 689,840	$ 369,762	$ 571,168	$ 290,067
Additions to deferred revenue	305,294	202,996	801,015	486,876
Recognition of deferred revenue	(232,460)	(125,119)	(609,509)	(329,304)
Ending Balance	$ 762,674	$ 447,639	$ 762,674	$ 447,639

Revenue, Deferred Revenue and Remaining Performance Obligations - Performance Obligations (Details) $ in Millions	Oct. 31, 2020 USD ($)
Revenue from Contract with Customer [Abstract]
Transaction price allocated to remaining performance obligations	$ 1,070
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-11-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation, percentage	73.00%
Remaining performance obligation, period	12 months

Revenue, Deferred Revenue and Remaining Performance Obligations - Deferred contract acquisition costs (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 31, 2020	Oct. 31, 2019	Oct. 31, 2020	Oct. 31, 2019	Oct. 31, 2020	Jan. 31, 2020	Oct. 31, 2019
Movement in Deferred Contract Acquisition Costs [Roll Forward]
Beginning balance	$ 135,023	$ 75,783	$ 114,206	$ 38,765
Adjustment due to adoption of ASU 606	154,007	94,184	154,007	94,184	$ 154,007	$ 114,206	$ 94,184
Capitalization of contract acquisition costs	35,753	27,450	84,741	55,238
Amortization of deferred contract acquisition costs	(16,769)	(9,049)	(44,940)	(24,125)
Ending balance	154,007	94,184	154,007	94,184
Deferred contract acquisition costs, current					62,422	42,971	35,924
Deferred contract acquisition costs, noncurrent					91,585	71,235	58,260
Total deferred contract acquisition costs	154,007	94,184	154,007	94,184	$ 154,007	114,206	$ 94,184
ASU 2014-09 \| Cumulative Effect, Period of Adoption, Adjustment
Movement in Deferred Contract Acquisition Costs [Roll Forward]
Beginning balance	0	0	0	24,306
Adjustment due to adoption of ASU 606	0	0	0	24,306		0
Total deferred contract acquisition costs	$ 0	$ 0	$ 0	$ 24,306		$ 0

Commitments and Contingencies (Details) - USD ($)	Nov. 30, 2020	Oct. 31, 2020	Jan. 31, 2020
Line of Credit Facility [Line Items]
Commitment to spend		$ 117,600,000
Unused standby letter of credit		0	$ 0
Liability recorded		0	0
Liabilities accrued		0	0
Subsequent Event
Line of Credit Facility [Line Items]
Commitment to spend	$ 88,400,000
Sunnyvale, California
Line of Credit Facility [Line Items]
Unused standby letter of credit		400,000	600,000
Austin, Texas
Line of Credit Facility [Line Items]
Unused standby letter of credit		$ 1,000,000.0	$ 1,000,000.0

- Definition

The carrying value as of the balance sheet date of the current and noncurrent portions of long-term obligations drawn from a line of credit, which is a bank's commitment to make loans up to a specific amount. Examples of items that might be included in the application of this element may consist of letters of credit, standby letters of credit, and revolving credit arrangements, under which borrowings can be made up to a maximum amount as of any point in time conditional on satisfaction of specified terms before, as of and after the date of drawdowns on the line. Includes short-term obligations that would normally be classified as current liabilities but for which (a) postbalance sheet date issuance of a long term obligation to refinance the short term obligation on a long term basis, or (b) the enterprise has entered into a financing agreement that clearly permits the enterprise to refinance the short-term obligation on a long term basis and the following conditions are met (1) the agreement does not expire within 1 year and is not cancelable by the lender except for violation of an objectively determinable provision, (2) no violation exists at the BS date, and (3) the lender has entered into the financing agreement is expected to be financially capable of honoring the agreement.

+ References + Details

Commitments and Contingencies - Purchase Obligations (Details) $ in Thousands	Oct. 31, 2020 USD ($)
Commitments and Contingencies Disclosure [Abstract]
Fiscal 2021 (remaining three months)	$ 35,855
Fiscal 2022	81,599
Fiscal 2023	13,929
Fiscal 2024	10,814
Fiscal 2025	3,679
Thereafter	3,741
Total purchase commitments	$ 149,617

Geographic Information (Details) - USD ($) $ in Thousands	Oct. 31, 2020	Jan. 31, 2020
Geographic Information
Total property and equipment, net and operating lease right-of-use assets	$ 200,747	$ 136,078
United States
Geographic Information
Total property and equipment, net and operating lease right-of-use assets	172,610	125,409
International
Geographic Information
Total property and equipment, net and operating lease right-of-use assets	$ 28,137	$ 10,669

Related Party Transactions (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Oct. 31, 2020	Oct. 31, 2019	Oct. 31, 2020	Oct. 31, 2019	Jan. 31, 2020
Related Party Transactions [Abstract]
Revenue from subscriptions and professional services from related parties	$ 1.1	$ 2.2	$ 3.0	$ 6.8
Accounts receivable associated with related parties	0.2		0.2		$ 0.2
Related party purchases	$ 6.0	$ 0.9	$ 6.2	$ 2.4

Acquisitions (Details) $ in Thousands		9 Months Ended
Acquisitions (Details) $ in Thousands	Sep. 30, 2020 USD ($)	Oct. 31, 2020 USD ($) segment	Jan. 31, 2020 USD ($)
Business Acquisition [Line Items]
Fair Value	$ 16,385
Goodwill		$ 83,132	$ 7,722
Number of reportable segments \| segment		1
Preempt
Business Acquisition [Line Items]
Voting equity interest acquired	100.00%
Total consideration transferred	$ 91,200
Payments to acquire businesses, gross	87,400
Fair value of replacement equity awards	3,800
Fair Value	16,400
Net tangible assets acquired	(400)
Goodwill	$ 75,200

Acquisitions- Identifiable Intangible Assets (Details) - USD ($) $ in Thousands		3 Months Ended	9 Months Ended	12 Months Ended
	Sep. 30, 2020	Oct. 31, 2020	Oct. 31, 2020	Jan. 31, 2020
Acquired Finite-Lived Intangible Assets [Line Items]
Fair Value	$ 16,385
Acquisition related costs		$ 2,100
Developed technology
Acquired Finite-Lived Intangible Assets [Line Items]
Fair Value	$ 13,200
Useful Life	60 months		59 months	9 months
Customer relationships
Acquired Finite-Lived Intangible Assets [Line Items]
Fair Value	$ 3,100
Useful Life	60 months		57 months	33 months
Trade names
Acquired Finite-Lived Intangible Assets [Line Items]
Fair Value	$ 85
Useful Life	12 months

Net Loss Per Share Attributable to Common Stockholders (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 31, 2020	Oct. 31, 2019	Oct. 31, 2020	Oct. 31, 2019
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Net loss attributable to common stockholders	$ (24,531)	$ (35,505)	$ (73,627)	$ (113,371)
Weighted-average shares used in computing net loss per share attributable to Class A and Class B common stockholders, basic and diluted (in shares)	219,401	204,096	216,432	128,009
Net loss per share attributable to Class A and Class B common stockholders, basic and diluted (in usd per share)	$ (0.11)	$ (0.17)	$ (0.34)	$ (0.89)
Class A common stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Net loss attributable to common stockholders	$ (20,750)	$ (3,602)	$ (54,227)	$ (9,402)
Weighted-average shares used in computing net loss per share attributable to Class A and Class B common stockholders, basic and diluted (in shares)	185,579	20,703	159,402	10,616
Net loss per share attributable to Class A and Class B common stockholders, basic and diluted (in usd per share)	$ (0.11)	$ (0.17)	$ (0.34)	$ (0.89)
Class B common stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Net loss attributable to common stockholders	$ (3,781)	$ (31,903)	$ (19,400)	$ (103,969)
Weighted-average shares used in computing net loss per share attributable to Class A and Class B common stockholders, basic and diluted (in shares)	33,822	183,393	57,030	117,393
Net loss per share attributable to Class A and Class B common stockholders, basic and diluted (in usd per share)	$ (0.11)	$ (0.17)	$ (0.34)	$ (0.89)

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References + Details

Net Loss Per Share Attributable to Common Stockholders - Antidilutive (Details) - shares shares in Thousands	9 Months Ended
	Oct. 31, 2020	Oct. 31, 2019
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Potential common shares excluded from diluted net loss per share (in shares)	19,037	30,337
Shares of common stock subject to repurchase from outstanding stock options
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Potential common shares excluded from diluted net loss per share (in shares)	638	1,128
RSUs and PSUs subject to future vesting
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Potential common shares excluded from diluted net loss per share (in shares)	8,747	6,909
Shares of common stock issuable from stock options
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Potential common shares excluded from diluted net loss per share (in shares)	8,521	20,701
Share purchase rights under the employee stock purchase plan
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Potential common shares excluded from diluted net loss per share (in shares)	1,131	1,599