Revenue Recognition

12 Months Ended

Jan. 31, 2023

Revenue from Contract with Customer [Abstract]

Revenue Recognition

3 Revenue Recognition

Disaggregation of Revenue

The following table summarizes revenue by geographical region (dollars in thousands):

	Year Ended January 31,
	2023				2022				2021
	Amount		Percentage of Revenue		Amount		Percentage of Revenue		Amount		Percentage of Revenue
Americas(1)	$	529,060	50	%	$	430,326	48	%	$	260,016	43	%
Europe, Middle East, and Africa	301,036		28	%	261,857		29	%	187,072		31	%
Asia-Pacific(2)	228,485		22	%	200,069		23	%	160,555		26	%
Total revenue	$	1,058,581	100	%	$	892,252	100	%	$	607,643	100	%

(1)Revenue from the U.S. represented 46%, 43% and 39% of our total revenues for fiscal years 2023, 2022, and 2021, respectively.

(2)Revenue from Japan represented 10%, 11% and 14% of our total revenues for fiscal years 2023, 2022, and 2021, respectively.

Contract Balances

Significant changes in our contract assets and deferred revenue balances during the periods presented were as follows (in thousands):

	Year Ended January 31,
Contract Assets	2023		2022
Beginning balance	$	77,561	$	36,306
Contract assets recognized during the year	74,265		77,714
Amounts transferred to accounts receivable from unbilled accounts receivable presented at the beginning of the year	(74,831)		(34,221)
Translation adjustments	(1,212)		(2,238)
Ending balance	$	75,783	$	77,561
Contract assets, current	$	69,260	$	74,831
Contract assets, non-current	6,523		2,730
Total contract assets	$	75,783	$	77,561

	Year Ended January 31,
Deferred Revenue	2023		2022
Beginning balance	$	366,020	$	272,403
Additions to deferred revenue during the year	1,145,584		952,177
Additions to deferred revenue from business acquisitions	173		3,640
Revenue recognized that was included in deferred revenue at the beginning of the period	(297,355)		(211,078)
Revenue recognized that was not included in deferred revenue at the beginning of the period	(687,603)		(636,418)
Translation adjustments	(6,788)		(14,704)
Ending balance	$	520,031	$	366,020
Deferred revenue, current	$	398,334	$	297,355
Deferred revenue, non-current	121,697		68,665
Total deferred revenue	$	520,031	$	366,020

Remaining Performance Obligations

Our remaining performance obligations are comprised of licenses, subscription services, and professional services and other revenue not yet delivered. As of January 31, 2023, the aggregate amount of the transaction price allocated to remaining performance obligations was $894.0 million, which consists of both billed consideration in the amount of $520.0 million and unbilled consideration in the amount of $374.0 million that we expect to recognize as revenue. We expect to recognize 63% of our remaining performance obligations as revenue in the next twelve months, and the remainder thereafter.

Deferred Contract Acquisition Costs

Our deferred contract acquisition costs are comprised of sales commissions that represent incremental costs to obtain customer contracts, and are determined based on sales compensation plans. The following table represents a rollforward of our deferred contract acquisition costs (in thousands):

	Year Ended January 31,
	2023		2022
Beginning balance	$	130,150	$	43,206
Additions to deferred contract acquisition costs	118,909		130,206
Amortization of deferred contract acquisition costs	(59,826)		(39,257)
Translation adjustments	(1,730)		(4,005)
Ending balance	$	187,503	$	130,150
Deferred contract acquisition costs, current	$	49,887	$	29,926
Deferred contract acquisition costs, non-current	137,616		100,224
Total deferred contract acquisition costs	$	187,503	$	130,150