Cash, Cash Equivalents and Short-Term Investments

3 Months Ended

Apr. 30, 2023

Cash and Cash Equivalents [Abstract]

Cash, Cash Equivalents and Short-Term Investments

4. Cash, Cash Equivalents and Short-Term Investments

The following table summarizes the Company’s cash, cash equivalents and short-term investments by category (in thousands):

	As of April 30, 2023
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
Cash and cash equivalents:
Cash	$	225,794	$	—	$	—	$	225,794
Money market funds	86,665		—		—		86,665
Commercial paper	3,476		—		(2)		3,474
Total cash and cash equivalents	$	315,935	$	—	$	(2)	$	315,933
Short-term investments:
Commercial paper	107,285		—		(147)		107,138
Corporate debt securities	122,903		92		(583)		122,412
Municipal bonds	1,995		—		(9)		1,986
Foreign government bonds	2,222		—		(30)		2,192
U.S. Agency securities	72,842		1		(374)		72,469
U.S. Treasury securities	317,815		—		(2,306)		315,509
Total short-term investments	$	625,062	$	93	$	(3,449)	$	621,706

	As of January 31, 2023
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
Cash and cash equivalents:
Cash	$	232,332	$	—	$	—	$	232,332
Money market funds	60,073		—		—		60,073
U.S. Agency securities	2,997		—		—		2,997
Total cash and cash equivalents	$	295,402	$	—	$	—	$	295,402
Short-term investments:
Commercial paper	88,703		18		(112)		88,609
Corporate debt securities	95,805		33		(572)		95,266
Municipal bonds	1,989		—		(19)		1,970
Foreign government bonds	2,211		—		(41)		2,170
U.S. Agency securities	74,158		2		(435)		73,725
U.S. Treasury securities	383,238		—		(3,729)		379,509
Total short-term investments	$	646,104	$	53	$	(4,908)	$	641,249

The Company uses the specific-identification method to determine any realized gains or losses from the sale of the Company’s short-term investments classified as available-for-sale. For the three months ended April 30, 2023 and 2022, the Company did not have any material realized gains or losses as a result of maturities or sale of short-term investments.

During the three months ended April 30, 2023, the Company recorded $7.3 million of interest income on cash equivalents and short-term investments which includes $3.6 million of net amortization of premiums or discounts on short-term investments during the three months ended April 30, 2023. During the three months ended April 30, 2022, the Company recorded $0.5 million of interest income on cash equivalents and short-term investments. The Company did not record any amortization of premiums or discounts during the three months ended April 30, 2022.

As of April 30, 2023, the Company had $1.0 million of corporate debt securities that have been in a continuous unrealized loss position for more than 12 months with an immaterial amount of gross unrealized loss. As of January 31, 2023, the Company did not have any cash equivalents and short-term investments that have been in a continuous unrealized gain or loss position for more than 12 months.

The following table summarizes unrealized losses on the Company’s cash equivalents and short-term investments by category that have been in a continuous unrealized loss position for less than 12 months as of the periods presented (in thousands):

	Carrying Value		Gross Unrealized Losses
April 30, 2023
U.S. Agency securities	$	69,471	$	(374)
Commercial paper	110,613		(149)
Corporate debt securities	99,431		(565)
Municipal bonds	1,986		(9)
Foreign government bonds	2,192		(30)

U.S. Treasury securities	299,511		(2,306)
Total cash equivalents and short-term investments	$	583,204	$	(3,433)

	Carrying Value		Gross Unrealized Losses
January 31, 2023
U.S. Agency securities	$	73,724	$	(435)
Commercial paper	45,015		(112)
Corporate debt securities	75,203		(572)
Municipal bonds	1,970		(19)
Foreign government bonds	2,170		(41)
U.S. Treasury securities	379,509		(3,729)
Total cash equivalents and short-term investments	$	577,591	$	(4,908)

The following table classifies the Company’s short-term investments by contractual maturities (in thousands):

	April 30, 2023				January 31, 2023
	Amortized cost		Fair Value		Amortized cost		Fair Value
Due within 1 year	$	504,757	$	501,963	$	480,943	$	477,520
Due between 1 year to 2 years	120,305		119,743		165,161		163,729
Total	$	625,062	$	621,706	$	646,104	$	641,249

All available-for-sale securities have been classified as current, based on management’s ability to use the funds in current operations.