Income Taxes (Tables)

12 Months Ended

Apr. 30, 2016

U.S. and international components of loss before income taxes were as follows (in thousands):



	Year Ended April 30,
	2016			2015			2014
U.S.	$	(27,239	)	$	(35,174	)	$	(55,508	)
International	1,938			2,064			2,162
Loss from continuing operations before income taxes	$	(25,301	)	$	(33,110	)	$	(53,346	)

Income Tax Expense (Benefit)

Income tax expense (benefit) is composed of the following (in thousands):



	Year Ended April 30,
	2016			2015			2014
Current:
Federal	$	—		$	(38	)	$	—
State	(77		)	182			294
International	556			951			567
Total	479			1,095			861
Deferred:
Federal	(6,635		)	(12,491		)	(13,930		)
State	(1,070		)	(2,308		)	(2,091		)
International	(94		)	44			203
Total	(7,799		)	(14,755		)	(15,818		)
Change in valuation allowance	7,358			13,714			14,457
Provision for (benefit from) income taxes	$	38		$	54		$	(500	)

Schedule of Effective Income Tax Rate Reconciliation

The difference between the tax expense (benefit) derived by applying the Federal statutory income tax rate to net losses and the expense recognized in the financial statements is as follows (in thousands):



	Year Ended April 30,
	2016			2015			2014
U.S. federal taxes at statutory rate	$	(8,603	)	$	(11,257	)	$	(18,138	)
State tax provision	(625		)	(923		)	(1,510		)
Foreign tax rate differentials	(108		)	(206		)	(123		)
Research and development credit	(1,473		)	(1,972		)	(1,201		)
Stock options	3,480			506			1,608
Nondeductible legal expenses	—			200			5,796
Permanent differences and other	—			(8		)	(1,389		)
Return to provision adjustments	9			—			—
Change in valuation allowance	7,358			13,714			14,457
Provision for (benefit from) income taxes	$	38		$	54		$	(500	)

Schedule of Deferred Tax Assets and Liabilities

Significant components of the Company’s deferred tax liabilities and assets as of April 30, 2016 and 2015 are as follows (in thousands):



	Year Ended April 30,
	2016			2015
Deferred tax asset:
Bad debts	$	872		$	1,493
Other accruals	1,138			1,317
Charitable contributions	509			352
Stock options	5,832			5,412
State tax credit	2,347			496
Net operating losses	64,998			58,822
Research and development credit	6,290			6,485
Deferred rent	2,513			273
Deferred revenue	1,969			1,816
FTC	128			—
Total deferred tax asset	86,596			76,466
Less valuation allowance	(73,806		)	(66,448		)
Net deferred tax assets	12,790			10,018
Deferred tax liability:
Amortization of intangible assets	(3,564		)	(4,300		)
Depreciation	(7,476		)	(4,374		)
Total deferred tax liability	(11,040		)	(8,674		)
Total net deferred tax assets	$	1,750		$	1,344

Schedule of Unrecognized Tax Benefits Roll Forward

The aggregate changes in the balance of unrecognized tax benefits were as follows (in thousands):



	Year Ended April 30,
	2016			2015		2014
Unrecognized tax benefits as of May 1,	$	3,619		$	2,157	$	1,729
Tax positions taken in prior periods:
Gross increases	88			883		—
Gross decreases	(42		)	—		(14		)
Tax positions taken in current period:
Gross increases	528			579		442
Gross decreases	—			—		—
Lapse of statute of limitations	—			—		—
Balance as of April 30,	$	4,193		$	3,619	$	2,157