Leases

6 Months Ended

Jul. 31, 2019

7. Leases

The Company has entered into operating leases for its worldwide office buildings and research and development facilities. The leases expire at various dates through fiscal year 2028, some of which include options to extend the lease for up to 3 years. For the three and six months ended July 31, 2019, the Company recorded approximately $0.7 million and $1.5 million of operating lease expense, respectively. The Company's short-term leases and finance leases are immaterial.

The cumulative effect of the changes made to the condensed consolidated balance sheet as of February 1, 2019 for the adoption of ASC 842 was as follows:

	Balance as of					Opening Balance as of
	January 31, 2019		Adjustment			February 1, 2019
	(in thousands)
Operating lease right-of-use assets	$	—	$	8,581		$	8,581
Prepaid expenses and other current assets	$	6,206	$	(174	)	$	6,032
Accrued and other current liabilities	$	24,700	$	(279	)	$	24,421
Operating lease liabilities, current	$	—	$	2,534		$	2,534
Operating lease liabilities, non-current	$	—	$	6,152		$	6,152

Supplemental cash flow information related to leases is as follows:

	Three Months Ended		Six Months Ended
	July 31, 2019		July 31, 2019
	(in thousands)
Cash paid for operating leases included in operating cash flows	$	727	$	1,454
Supplemental non-cash information related to lease liabilities arising from obtaining right-of-use assets	$	63	$	128

As of July 31, 2019, the weighted average remaining lease term is 4.15 years, and the weighted average discount rate is 5.00 percent. Future minimum lease payments for the operating lease liabilities are as follows:

	As of
	July 31, 2019
Fiscal Year	(in thousands)
2020 (6 months remaining)	$	1,346
2021		2,143
2022		1,783
2023		1,566
2024		491
Thereafter		514
Total future annual minimum lease payments		7,843
Less: interest		(483	)
Total lease liabilities	$	7,360

Prior to the adoption of the new leases guidance, future minimum undiscounted lease payments as of January 31, 2019 were as follows:

	As of
	January 31, 2019
Fiscal Year	(in thousands)
2020	$	2,592
2021		1,040
2022		356
2023		143
2024		147
Thereafter		576
Total future annual minimum lease payments	$	4,854

The increased liabilities as a result of the adoption of ASC 842 were attributable to a renewal option reasonably certain to be exercised.

In August 2019, the Company entered into several lease agreements for its office facilities. See Note 15, "Subsequent Events" in the Notes to Condensed Consolidated Financial Statements for more details about the lease liabilities.