Revenue, Accounts Receivable, Deferred Revenue and Remaining Performance Obligations

12 Months Ended

Jan. 31, 2022

Revenue Recognition and Deferred Revenue [Abstract]

Revenue, Accounts Receivable, Deferred Revenue and Remaining Performance Obligations

Revenue, Accounts Receivable, Deferred Revenue and Remaining Performance Obligations

Disaggregation of Revenue

Revenue consists of the following (in thousands):

	Fiscal Year Ended January 31,
	2022		2021		2020
Product revenue	$	1,140,469	$	553,794	$	252,229
Professional services and other revenue	78,858		38,255		12,519
Total	$	1,219,327	$	592,049	$	264,748

Revenue by geographic area, based on the location of the Company’s customers (or end-customers under reseller arrangements), was as follows (in thousands):

	Fiscal Year Ended January 31,
	2022		2021		2020
Americas:
United States	$	977,077	$	499,590	$	233,828
Other Americas(1)	26,324		9,480		2,537
EMEA(1)(2)	169,268		66,813		22,388
Asia-Pacific and Japan(1)	46,658		16,166		5,995
Total	$	1,219,327	$	592,049	$	264,748

________________

(1)No individual country in these areas represented more than 10% of the Company’s revenue for all periods presented.

(2)Europe, the Middle East and Africa

Accounts Receivable, Net

As of January 31, 2022 and 2021, allowance for credit losses of $1.3 million and $2.6 million, was included in the Company’s accounts receivable, net balance, respectively.

Significant Customers

For purposes of assessing the concentration of credit risk and significant customers, a group of customers under common control or customers that are affiliates of each other are regarded as a single customer. The Company’s significant customers that represented 10% or more of revenue for the periods presented were as follows:

	Fiscal Year Ended January 31,
	2022	2021	2020
Customer A	*	*	11	%

________________

*Less than 10%

As of January 31, 2022 and 2021, there were no customers that represented 10% or more of the Company’s accounts receivable, net balance.

Deferred Revenue

The Company recognized $535.8 million, $257.9 million, and $89.1 million of revenue for the fiscal years ended January 31, 2022, 2021, and 2020, respectively, from the deferred revenue balances as of January 31, 2021, 2020, and 2019, respectively.

Remaining Performance Obligations

Remaining performance obligations (RPO) represent the amount of contracted future revenue that has not yet been recognized, including (i) deferred revenue, and (ii) non-cancelable contracted amounts that will be invoiced and recognized as revenue in future periods. The Company’s RPO excludes performance obligations from on-demand arrangements as there are no minimum purchase commitments associated with these arrangements, and certain time and materials contracts that are billed in arrears. Portions of RPO that are not yet invoiced and are denominated in foreign currencies are revalued into USD each period based on the applicable period-end exchange rates.

As of January 31, 2022, the Company’s RPO was $2.6 billion, of which approximately 77% was related to contracts with original terms that exceed one year. The weighted-average remaining life of the Company’s contracts with original terms that exceed one year was 2.5 years as of January 31, 2022. However, the amount and timing of revenue recognition are generally driven by customers’ consumption, which can extend beyond the original contract term in cases where customers are permitted to roll over unused capacity to future periods, generally on the purchase of additional capacity at renewal.