Segment Reporting

12 Months Ended

Jan. 31, 2025

Segment Reporting [Abstract]

Segment Reporting

Note 14 – Segment Reporting

The Company has one reportable segment which is software and services. The software and services segment provides unified data security solutions to customers primarily under SaaS arrangements. The Company manages the business activities on a consolidated basis. The technology used in the customer arrangements is primarily based on a single software platform that is deployed to and implemented by customers in a similar manner. The types of software and services from which the Company generates revenue are described under the “Revenue Recognition” policy within the “Note 2, Basis of Presentation and Significant Accounting Policies”.

The Company’s chief operating decision maker is its chief executive officer. The chief operating decision maker assesses performance for the software and services segment and decides how to allocate resources based on net loss that is also reported on the consolidated statements of operations as consolidated net loss. The chief operating decision maker does not use any segment assets measure to assess performance and decide how to allocate resources.

The chief operating decision maker uses net loss and the functional areas as a percentage of revenue to evaluate and decide where to invest within the software and services segment. Net loss is used to monitor budget versus actual results. The chief operating decision maker also uses net loss in competitive analysis by benchmarking to the Company’s competitors. The competitive analysis along with the monitoring of budgeted versus actual results are used in assessing the performance of the segment.

The Company does not have intra-entity sales or transfers.

The following table presents the segment information (in thousands):

	Year Ended January 31,
	2025		2024		2023
Total revenue	$	886,544	$	627,892	$	599,819
Less:
Adjusted subscription cost of revenue (1)	161,576		96,053		61,132
Remaining cost of revenue	24,593		40,235		112,567
Remaining research and development expenses	226,235		194,639		163,450
Remaining sales and marketing expenses	531,154		475,687		411,702
Remaining general and administrative expenses	131,462		95,431		82,060
Stock-based compensation expense (2)	913,913		5,715		6,954
Depreciation and amortization	27,970		24,962		22,680
Amortization of acquired intangibles	3,673		1,676		822
Interest expense	41,253		30,295		11,709
Income tax expense	6,368		26,689		8,596
Other items (3)	(1,480)		1,884		1,033
Plus:
Interest income	25,353		11,216		5,140
Segment net loss	(1,154,820)		(354,158)		(277,746)
Consolidated net loss	$	(1,154,820)	$	(354,158)	$	(277,746)

(1) Adjusted subscription cost of revenue is subscription cost of revenue adjusted for stock-based compensation expense, amortization of acquired intangibles, and stock-based compensation from amortization of capitalized internal-use software as follows (in thousands):

	Year Ended January 31,
	2025		2024		2023
Subscription cost of revenue	$	215,036	$	97,927	$	62,294
Less:
Stock-based compensation expense	49,514		45		53
Amortization of acquired intangibles	3,673		1,676		822
Stock-based compensation from amortization of capitalized internal-use software	273		153		287
Adjusted subscription cost of revenue	$	161,576	$	96,053	$	61,132

(2) See Note 11 for stock-based compensation expense by captions.

(3) Other items include foreign currency exchange gains and losses.

The following table presents the Company’s long-lived assets, including property and equipment, net and ROU assets, by geographic region (in thousands):

	January 31,
	2025		2024
United States	$	62,455	$	61,402
India	10,453		10,633
Rest of world	6,192		5,671
Total long-lived assets	$	79,100	$	77,706