Net Loss per Share

3 Months Ended

Apr. 30, 2021

Earnings Per Share [Abstract]

Net Loss per Share

Net Loss per Share Basic net loss per share is calculated by dividing the net loss by the weighted-average number of shares of common stock outstanding during the period, without consideration for potentially dilutive securities as they do not share in losses. During periods when the Company is in a net loss position, basic net loss per share is the same as diluted net loss per share as the effects of potentially dilutive securities are antidilutive given the net loss of the Company. During the quarter ended April 30, 2021, the Company entered into a joint venture and the share of earnings in the joint venture attributable to the non-controlling interests was not material. Refer to Note 2, "Significant Accounting Policies" for further information on the Company's redeemable non-controlling interests.

The following table sets forth the computation of the basic and diluted net loss per share (in thousands, except per share amounts):

	Three Months Ended April 30,
	2021		2020
Numerator:
Net loss	$	(100,357)	$	(14,816)
Denominator:
Weighted-average common shares outstanding	72,865		65,468
Net loss per share, basic and diluted	$	(1.38)	$	(0.23)

Since the Company was in a loss position for all periods presented, basic net loss per share is the same as diluted net loss per share for all periods as the inclusion of all potential common shares outstanding would have been anti-dilutive. Potentially dilutive securities that were not included in the diluted per share calculations because they would be anti-dilutive were as follows:

	As of April 30,
	2021	2020
Options to purchase common stock	2,405,728	3,824,566
RSUs	2,785,000	3,399,474
Unvested common shares subject to repurchase	241,526	66,450
Shares committed under the ESPP	22,844	30,751
Contingent stock consideration for DCR acquisition	171,073	377,138
Total	5,626,171	7,698,379

Additionally, approximately 4.7 million, 5.0 million and 0.1 million shares underlying the conversion option in the 2026 Notes, 2025 Notes and 2023 Notes, respectively, are not considered in the calculation of diluted net loss per share as the effect would be anti-dilutive. These numbers of shares are subject to adjustment up to approximately 6.2 million, 6.8 million and 0.2 million shares for the 2026 Notes, 2025 Notes and 2023 Notes, respectively, if certain corporate events occur prior to the maturity date or if the Company issues a notice of redemption. The Company uses the treasury stock method for calculating any potential dilutive effect of the conversion option on diluted net income per share, if applicable. During the three months ended April 30, 2021, the average market price of the Company’s common stock exceeded the conversion price of the 2023 Notes and 2025 Notes of $44.51 per share and $159.60 per share, respectively, and did not exceed the conversion price of the 2026 Notes of $296.45 per share.