Goodwill and Intangible Assets, net

9 Months Ended

Oct. 31, 2017

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill

During the three months ended April 30, 2017, the Company recorded $3.7 million of goodwill related to its transaction with Stormpath (see Note 3). As of October 31, 2017 and January 31, 2017, goodwill was $6.3 million and $2.6 million, respectively. No goodwill impairments were recorded during the three and nine months ended October 31, 2017 and 2016, respectively.

Intangible Assets, net

Intangible assets consisted of the following (in thousands):



	As of October 31, 2017
	(unaudited)
	Gross		Accumulated Amortization			Net
Capitalized internal-use software costs	$	15,344	$	(4,446	)	$	10,898
Software licenses	1,023		(466		)	557
Purchased developed technology	570		(570		)	—
	$	16,937	$	(5,482	)	$	11,455



	As of January 31, 2017
	Gross		Accumulated Amortization			Net
Capitalized internal-use software costs	$	10,859	$	(2,487	)	$	8,372
Software licenses	1,093		(314		)	779
Purchased developed technology	570		(566		)	4
	$	12,522	$	(3,367	)	$	9,155

The Company capitalized $1.7 million and $1.9 million of internal-use software costs in the three months ended October 31, 2017 and 2016, respectively, and $5.0 million and $4.4 million in the nine months ended October 31, 2017 and 2016, respectively. Included in the total amounts capitalized are stock-based compensation expense of $0.3 million and $0.2 million in the three months ended October 31, 2017 and 2016, respectively, and $0.9 million and $0.4 million in the nine months ended October 31, 2017 and 2016, respectively. The Company reversed $0.5 million of previously capitalized costs in the three months ended October 31, 2017 as they were not realizable. The charge was recognized in research and development in the condensed consolidated statements of operations.

Amortization expense was $0.8 million and $0.5 million for the three months ended October 31, 2017 and 2016, respectively, and $2.1 million and $1.3 million for the nine months ended October 31, 2017 and 2016, respectively.

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

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