Fair Value Measurements

9 Months Ended

Oct. 31, 2025

Fair Value Disclosures [Abstract]

Fair Value Measurements

Fair Value Measurements

Assets Measured at Fair Value on a Recurring Basis

Financial instruments recorded at fair value in the financial statements are categorized as follows:

•Level 1: Observable inputs that reflect quoted prices for identical assets or liabilities in active markets.

•Level 2: Observable inputs, other than Level 1 prices, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.

•Level 3: Unobservable inputs reflecting management's assumptions incorporated in valuation techniques used to determine fair value. These assumptions are required to be consistent with market participant assumptions that are reasonably available.

The following tables summarize the assets measured at fair value on a recurring basis as of January 31, 2025 and October 31, 2025 by level within the fair value hierarchy (in thousands):

	January 31, 2025
	Level 1		Level 2		Level 3		Total
Cash equivalents:
Money market funds	$	15,056	$	—	$	—	$	15,056
Financial liability:
Warrant liability	$	—	$	—	$	11,208	$	11,208

	October 31, 2025
	Level 1		Level 2		Level 3		Total
Cash equivalents:
Money market funds	$	12,445	$	—	$	—	$	12,445
Financial liability:
Warrant liability	$	—	$	—	$	18,786	$	18,786

Level 3 instruments consisted of a liability related to warrants to purchase Class B common stock, which were issued in connection with the credit facility. See Note 11 "Debt" for further details surrounding this issuance. The warrant liability was recorded at fair value upon issuance and is remeasured at each subsequent quarterly period end date as long as the warrants are outstanding. Generally, increases (decreases) in the fair value of the underlying stock and estimated term would result in a directionally similar impact to the fair value measurement, and are recognized in other income (expense), net in the condensed consolidated statements of operations.

The changes in the fair value of the warrant liability were as follows (in thousands):

Balance as of January 31, 2025	$	11,208
Change in fair value of Class B common stock warrants	(1,158)
Balance as of April 30, 2025	10,050
Change in fair value of Class B common stock warrants	10,441
Balance as of July 31, 2025	20,491
Change in fair value of Class B common stock warrants	(1,704)
Balance as of October 31, 2025	$	18,787

The value of the warrant liabilities are estimated using the Black-Scholes option-pricing model with the following assumptions:

	Nine Months Ended October 31,
	2025
Expected stock price volatility	63% - 72%
Expected term	2.3 - 3.6 years
Risk-free interest rate	3.58% - 4.32%
Expected dividend yield	—

During the three and nine months ended October 31, 2024 and 2025, the Company had no transfers between levels of the fair value hierarchy of its assets and liabilities measured at fair value.

Fair Value of Other Financial Instruments

The carrying amounts of certain financial instruments, including cash held in banks, accounts receivable, accounts payable, accrued liabilities, and other liabilities approximate fair value due to their short-term maturities and are excluded from the fair value tables above.