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Condensed Consolidated Statements of Cash Flows - USD ($)
$ in Millions
3 Months Ended 6 Months Ended
Jul. 31, 2019
Jul. 31, 2018
Jul. 31, 2019
Jul. 31, 2018
Operating activities:        
Net income $ 91 $ 299 $ 483 $ 643
Adjustments to reconcile net income to net cash provided by operating activities:        
Depreciation and amortization 457 253 894 450
Amortization of costs capitalized to obtain revenue contracts, net 217 183 426 371
Expenses related to employee stock plans 388 351 731 603
Loss on settlement of Salesforce.org reseller agreement (Note 6) [1],[2] 166 0 166 0
Gains on strategic investments, net (109) (143) (390) (354)
Changes in assets and liabilities, net of business combinations:        
Accounts receivable, net (146) (149) 2,628 2,013
Costs capitalized to obtain revenue contracts, net (173) (146) (297) (264)
Prepaid expenses and other current assets and other assets 28 4 (69) (86)
Accounts payable 26 71 41 121
Accrued expenses and other liabilities 267 108 (293) (398)
Operating lease liabilities (182) 0 (346) 0
Unearned revenue (594) (373) (1,573) (1,175)
Net cash provided by operating activities 436 458 2,401 1,924
Investing activities:        
Business combinations, net of cash acquired (423) (4,803) (433) (4,985)
Purchases of strategic investments (62) (37) (221) (184)
Sales of strategic investments 71 2 265 6
Purchases of marketable securities (772) (28) (1,506) (291)
Sales of marketable securities 375 335 461 1,273
Maturities of marketable securities 137 40 193 88
Capital expenditures (178) (170) (337) (292)
Net cash used in investing activities (852) (4,661) (1,578) (4,385)
Financing activities:        
Proceeds from issuance of debt, net 0 496 0 2,966
Proceeds from employee stock plans 152 182 371 383
Principal payments on financing obligations [3] (134) (89) (145) (108)
Repayments of debt (201) 0 (202) (1,027)
Net cash provided by (used in) financing activities (183) 589 24 2,214
Effect of exchange rate changes (1) 11 (6) 23
Net increase (decrease) in cash and cash equivalents (600) (3,603) 841 (224)
Cash and cash equivalents, beginning of period 4,110 5,922 2,669 2,543
Cash and cash equivalents, end of period 3,510 2,319 3,510 2,319
Cash paid during the period for:        
Interest 6 22 56 29
Income taxes, net of tax refunds 37 18 55 37
Non-cash investing and financing activities:        
Fair value of equity awards assumed 0 387 0 387
Fair value of common stock issued as consideration for business combinations $ 0 $ 1,178 $ 0 $ 1,178
[1]
Amounts include amortization of intangible assets acquired through business combinations, as follows:
 
Three Months Ended July 31,
 
Six Months Ended July 31,
 
2019
 
2018
 
2019
 
2018
Cost of revenues
$
62

 
$
52

 
$
123

 
$
91

Marketing and sales
65

 
67

 
133

 
97


[2]
Amounts include stock-based expense, as follows:
 
Three Months Ended July 31,
 
Six Months Ended July 31,
 
2019
 
2018
 
2019
 
2018
Cost of revenues
$
46

 
$
43

 
$
89

 
$
77

Research and development
98

 
81

 
179

 
147

Marketing and sales
199

 
174

 
376

 
294

General and administrative
45

 
53

 
87

 
85


[3] Previously referred to as principal payments on capital lease obligations.