Revenue

12 Months Ended

Jan. 31, 2022

Revenue from Contract with Customer [Abstract]

Revenue

Revenue

Disaggregation of Revenue

Based on the information provided to and reviewed by the Company’s Chief Executive Officer, the Company believes that the nature, amount, timing and uncertainty of its revenue and cash flows and how they are affected by economic factors is most appropriately depicted through the Company’s primary geographical markets and subscription product categories. The Company’s primary geographical markets are North and South America (“Americas”); Europe, Middle East and Africa (“EMEA”); and Asia Pacific. The Company also disaggregates its subscription products between its MongoDB Atlas-related offerings and other subscription products, which include MongoDB Enterprise Advanced.

The following table presents the Company’s revenues disaggregated by primary geographical markets, subscription product categories and services (in thousands):

	Years Ended January 31,
	2022		2021		2020
Primary geographical markets:
Americas	$	527,081	$	361,351	$	272,358
EMEA	257,846		177,448		118,660
Asia Pacific	88,855		51,581		30,702
Total	$	873,782	$	590,380	$	421,720
Subscription product categories and services:
MongoDB Atlas-related	$	492,287	$	270,805	$	162,510
Other subscription	349,760		294,544		237,316
Services	31,735		25,031		21,894
Total	$	873,782	$	590,380	$	421,720

Customers located in the United States accounted for 54%, 56% and 59% of total revenue for the years ended January 31, 2022, 2021 and 2020, respectively. Customers located in the United Kingdom accounted for 10% of total revenue for both of the years ended January 31, 2021 and 2020. No other country accounted for 10% or more of revenue for the periods presented.

As of January 31, 2022 and 2021, substantially all of the Company’s long-lived assets were located in the United States.

Contract Liabilities

The Company’s contract liabilities are recorded as deferred revenue in the Company’s consolidated balance sheet and consist of customer invoices issued or payments received in advance of revenues being recognized from the Company’s subscription and services contracts. Deferred revenue, including current and non-current balances as of January 31, 2022, 2021 and 2020 was $375.2 million, $238.0 million and $190.8 million, respectively. Approximately 23% and 28% of the total revenue recognized in the years ended January 31, 2022 and 2021 was from deferred revenue at the beginning of each respective period.

Remaining Performance Obligations

Remaining performance obligations represent the aggregate amount of the transaction price in contracts allocated to performance obligations not delivered, or partially undelivered, as of the end of the reporting period. Remaining performance obligations include unearned revenue, multi-year contracts with future installment payments and certain unfulfilled orders against accepted customer contracts at the end of any given period. As of January 31, 2022, the aggregate transaction price allocated to remaining performance obligations was $387.0 million. Approximately 56% is expected to be recognized as revenue over the next 12 months and the remainder thereafter. The Company applies the practical expedient to omit disclosure with respect to the amount of the transaction price allocated to remaining performance obligations if the related contract has a total duration of 12 months or less.

Unbilled Receivables

Revenue recognized in excess of invoiced amounts creates an unbilled receivable, which represents the Company’s unconditional right to consideration in exchange for goods or services that the Company has transferred to the customer. Unbilled receivables are recorded as part of accounts receivable, net in the Company’s consolidated balance sheets. As of January 31, 2022, 2021 and 2020, unbilled receivables were $6.1 million, $5.7 million and $6.7 million, respectively.

Allowance for Doubtful Accounts

The adoption of ASU 2016-13 on February 1, 2020 required the Company to shift from an incurred loss impairment model to an expected credit loss model. Accordingly, the Company considers expectations of forward-looking losses, in addition to historical loss rates, to estimate its allowance for doubtful accounts on its accounts receivable. The following is a summary of the changes in the Company’s allowance for doubtful accounts (in thousands):

	Allowance for Doubtful Accounts
Balance at January 31, 2021	$	6,024
Provision	4,749
Recoveries/write-offs	(5,807)
Balance at January 31, 2022	$	4,966

The allowance for doubtful accounts as of January 31, 2021 reflected uncertainty around collections due to potential financial difficulties by the Company's customers as a result of the COVID-19 pandemic and associated global economic uncertainty. Based on collections during the year ended January 31, 2022, the Company has adjusted its estimates, which resulted in a lower allowance for doubtful accounts as of January 31, 2022.

Costs Capitalized to Obtain Contracts with Customers

Deferred commissions were $203.3 million and $118.6 million as of January 31, 2022 and 2021, respectively. Amortization expense with respect to deferred commissions, which is included in sales and marketing expense in the Company’s consolidated statement of operations, was $49.1 million, $28.6 million and $19.4 million for years ended January 31, 2022, 2021 and 2020, respectively. There was no impairment loss in relation to the costs capitalized for the periods presented.