REVISION TO PRIOR PERIOD FINANCIAL STATEMENT

6 Months Ended

Jan. 31, 2023

Prior Period Adjustment [Abstract]

CORRECTION TO PRIOR PERIOD FINANCIAL STATEMENT

NOTE 2. CORRECTION TO PRIOR PERIOD FINANCIAL STATEMENTS

In connection with the Audit Committee investigation and subsequent to the issuance of the condensed consolidated financial statements for the fiscal quarter ended October 31, 2022, we discovered an error in the reporting of expenses for software licenses and support for each prior period beginning in August 2014, resulting in an immaterial understatement of operating expenses and accrued expenses and other current liabilities for these prior periods. We have evaluated the materiality of this error and determined that the impact is not material to our previously issued financial statements. We have determined to prospectively correct our previously issued financial statements to reflect the correction of this error rather than record a cumulative out-of-period adjustment for this error in the current period. As a result, we have corrected the accompanying condensed consolidated financial statements as of July 31, 2022 and for the three and six months ended January 31, 2022, from amounts previously reported to reflect the correction of this error. The correction reflects our estimates of future payments for past non-compliant use of third-party software. Actual amounts may vary materially from these estimates.

The following tables summarize the effects of the correction:

	As of July 31, 2022
	As Previously Reported			Adjustments			As Corrected
	(in thousands)
Condensed Consolidated Balance Sheet:
Accrued expenses and other current liabilities	$	49,232		$	10,336		$	59,568
Total current liabilities	$	1,150,224		$	10,336		$	1,160,560
Total liabilities	$	3,155,917		$	10,336		$	3,166,253
Accumulated deficit	$	(4,368,026	)	$	(10,336	)	$	(4,378,362	)
Total stockholders’ deficit	$	(790,168	)	$	(10,336	)	$	(800,504	)

	Three Months Ended January 31, 2022
	As Previously Reported			Adjustments			As Corrected
	(in thousands)
Condensed Consolidated Statement of Operations:
Sales and marketing	$	241,633		$	93		$	241,726
Research and development	$	141,608		$	262		$	141,870
Total operating expenses	$	427,532		$	355		$	427,887
Loss from operations	$	(94,420	)	$	(355	)	$	(94,775	)
Loss before provision for income taxes	$	(109,752	)	$	(355	)	$	(110,107	)
Net loss	$	(115,061	)	$	(355	)	$	(115,416	)
Net loss per share attributable to Class A and Class    B common stockholders—basic and diluted	$	(0.53	)	$	(0.00	)	$	(0.53	)

	Six Months Ended January 31, 2022
	As Previously Reported			Adjustments			As Corrected
	(in thousands)
Condensed Consolidated Statement of Operations:
Sales and marketing	$	491,666		$	186		$	491,852
Research and development	$	285,874		$	523		$	286,397
Total operating expenses	$	861,859		$	709		$	862,568
Loss from operations	$	(231,676	)	$	(709	)	$	(232,385	)
Loss before provision for income taxes	$	(525,557	)	$	(709	)	$	(526,266	)
Net loss	$	(534,913	)	$	(709	)	$	(535,622	)
Net loss per share attributable to Class A and Class    B common stockholders—basic and diluted	$	(2.46	)	$	(0.01	)	$	(2.47	)

	Three Months Ended January 31, 2022
	As Previously Reported			Adjustments			As Corrected
	(in thousands)
Condensed Consolidated Statement of Comprehensive Loss:
Net loss	$	(115,061	)	$	(355	)	$	(115,416	)
Comprehensive loss	$	(116,837	)	$	(355	)	$	(117,192	)

	Six Months Ended January 31, 2022
	As Previously Reported			Adjustments			As Corrected
	(in thousands)
Condensed Consolidated Statement of Comprehensive Loss:
Net loss	$	(534,913	)	$	(709	)	$	(535,622	)
Comprehensive loss	$	(537,340	)	$	(709	)	$	(538,049	)

	As Previously Reported			Adjustments			As Corrected
	(in thousands)
Condensed Consolidated Statement of Stockholders' Deficit:
Accumulated Deficit as of:
July 31, 2021	$	(3,627,355	)	$	(8,928	)	$	(3,636,283	)
October 31, 2021	$	(3,990,340	)	$	(9,282	)	$	(3,999,622	)
January 31, 2022	$	(4,105,401	)	$	(9,637	)	$	(4,115,038	)
July 31, 2022	$	(4,368,026	)	$	(10,336	)	$	(4,378,362	)
October 31, 2022	$	(4,467,142	)	$	(10,734	)	$	(4,477,876	)
Total Stockholders' Deficit as of:
July 31, 2021	$	(1,012,041	)	$	(8,928	)	$	(1,020,969	)
October 31, 2021	$	(698,739	)	$	(9,282	)	$	(708,021	)
January 31, 2022	$	(725,617	)	$	(9,637	)	$	(735,254	)
July 31, 2022	$	(790,168	)	$	(10,336	)	$	(800,504	)
October 31, 2022	$	(791,049	)	$	(10,734	)	$	(801,783	)
Net Loss for the Three Months Ended:
October 31, 2021	$	(419,852	)	$	(354	)	$	(420,206	)
January 31, 2022	$	(115,061	)	$	(355	)	$	(115,416	)
October 31, 2022	$	(99,116	)	$	(398	)	$	(99,514	)

	Six Months Ended January 31, 2022
	As Previously Reported			Adjustments			As Corrected
	(in thousands)
Condensed Consolidated Statement of Cash Flows:
Net loss	$	(534,913	)	$	(709	)	$	(535,622	)
Accrued expenses and other liabilities	$	(3,371	)	$	709		$	(2,662	)