Contract Acquisition Costs

6 Months Ended

Sep. 30, 2020

Revenue from Contract with Customer [Abstract]

Contract Acquisition Costs

Contract Acquisition CostsThe Company capitalizes certain contract acquisition costs primarily consisting of commissions. The balances of deferred costs to obtain customer contracts were $61.3 million and $60.2 million as of September 30, 2020 and March 31, 2020, respectively. In the three months ended September 30, 2020 and 2019, amortization from amounts capitalized was $9.5 million and $8.1 million, respectively. In the six months ended September 30, 2020 and 2019, amortization from amounts capitalized was $18.5 million and $15.7 million, respectively. In the three months ended September 30, 2020 and 2019, amounts expensed as incurred were $2.8 million and $2.7 million, respectively. In the six months ended September 30, 2020 and 2019, amounts expensed as incurred were $6.2 million and $4.6 million, respectively. The Company had no impairment loss in relation to costs capitalized.Accounts Receivable, Deferred Revenue and Performance Obligations

In a response to the COVID-19 pandemic, the Company performed additional procedures to evaluate the creditworthiness of its customers and assess collectability of accounts. Using a current expected credit loss model, the Company determined that, while there may be a delay in collections due to the downturn in economic activity, there has not been a material impact to the risk of credit loss on accounts receivables as of September 30, 2020.

The following table presents the changes to the Company’s deferred revenue (in thousands):

	Three Months Ended September 30,				Six Months Ended September 30,
	2020		2019		2020		2019
Deferred revenue, beginning of period	$	299,854	$	255,386	$	316,327	$	271,597
Billings	141,798		123,644		287,910		248,443
Revenue recognized	(166,054)		(145,815)		(328,639)		(286,825)
Deferred revenue, end of period	$	275,598	$	233,215	$	275,598	$	233,215

For the three and six months ended September 30, 2020 and 2019, the majority of revenue recognized was from the deferred revenue balances at the beginning of each period.

The aggregate unrecognized transaction price of remaining performance obligations as of September 30, 2020 was $602.3 million. The Company expects to recognize more than 92% of the balance as revenue in the 24 months following September 30, 2020 and the remainder thereafter. The aggregate balance of remaining performance obligations represents contracted revenue that has not yet been recognized and does not include contract amounts which are cancellable by the customer and amounts associated with optional renewal periods.