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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 10-Q

 

(Mark One)

 

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

For the quarterly period ended April 30, 2024

OR

 

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

For the transition period from to

Commission File Number: 001-37883

 

NUTANIX, INC.

(Exact name of registrant as specified in its charter)

 

Delaware

 

27-0989767

(State or other jurisdiction of

incorporation or organization)

 

(I.R.S. Employer

Identification No.)

 

1740 Technology Drive, Suite 150

San Jose, CA 95110

(Address of principal executive offices, including zip code)

 

(408) 216-8360

(Registrant's telephone number, including area code)

 

Securities registered pursuant to Section 12(b) of the Act:

 

Title of each class

 

Trading symbol(s)

 

Name of each exchange on which registered

Class A Common Stock, $0.000025 par value per share

 

NTNX

 

Nasdaq Global Select Market

 

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act.

Large Accelerated Filer

 

Accelerated Filer

 

Non-accelerated Filer

 

Smaller Reporting Company

 

 

 

 

Emerging Growth Company

 

 

 


 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No

As of May 31, 2024, the registrant had 246,640,821 shares of Class A common stock, $0.000025 par value per share, outstanding.

 


 

 

TABLE OF CONTENTS

 

 

 

PAGE

PART I.

 

FINANCIAL INFORMATION

 

 

 

 

 

 

Item 1

Financial Statements (Unaudited)

6

 

 

 

 

 

Item 2

Management’s Discussion and Analysis of Financial Condition and Results of Operations

34

 

 

 

 

 

Item 3

Quantitative and Qualitative Disclosures About Market Risk

52

 

 

 

 

 

Item 4

Controls and Procedures

52

 

 

 

 

PART II.

 

OTHER INFORMATION

 

 

 

 

 

 

Item 1

Legal Proceedings

55

 

 

 

 

 

Item 1A

Risk Factors

55

 

 

 

 

 

Item 2

Unregistered Sales of Equity Securities and Use of Proceeds

56

 

 

 

 

 

Item 3

Defaults Upon Senior Securities

56

 

 

 

 

 

Item 4

Mine Safety Disclosures

56

 

 

 

 

 

Item 5

Other Information

56

 

 

 

 

 

Item 6

Exhibits

56

 

 

 

 

EXHIBIT INDEX

57

SIGNATURES

58

 

3


Table of Contents

 

SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS

This Quarterly Report on Form 10-Q contains express and implied forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), which statements involve substantial risks and uncertainties. Other than statements of historical fact, all statements contained in this Quarterly Report on Form 10-Q, including statements regarding our future results of operations and financial position, our business strategy and plans and our objectives for future operations, are forward-looking statements. The words "believe," "may," "will," "potentially," "estimate," "continue," "anticipate," "plan," "intend," "could," "would," "expect," or words or expressions of similar substance or the negative thereof, that convey uncertainty of future events or outcomes are intended to identify forward-looking statements. Forward-looking statements included in this Quarterly Report on Form 10-Q include, but are not limited to, statements regarding:

our investment in our growth over the long-run, including the development of our solutions and investing in sales and marketing;
improving our operating cash flow performance, including by focusing on go-to-market efficiencies and taking steps to manage our expense;
our intent and measures to reduce our overall sales and marketing spend as a percentage of revenue;
sustaining profitable growth;
fluctuations in our overall spending, including sales and marketing, research and development, and general and administrative expenses;
expected sales productivity;
the recent evolution of our sales pipeline and its expected effect on our new and expansion business;
fluctuations in hardware revenue and cost of product revenue;
fluctuations in our operating and free cash flow during the next 12 months;
sufficiency of our cash, cash equivalents and short-term investments and net cash provided by operating activities to meet anticipated cash needs;
our expectations that neither our operating results nor cash flows would be materially affected by any sudden change in interest rates;
anticipated trends, opportunities and challenges in our business and in the markets in which we operate; and
our plans and expectations concerning the remediation of the material weakness previously identified by management.

We have based these forward-looking statements largely on our current expectations and projections about future events and trends that we believe may affect our financial condition, results of operations, business strategy, short-term and long-term business operations and objectives and financial needs in light of the information currently available to us. These forward-looking statements are subject to a number of risks, uncertainties and assumptions, including those described under the heading "Risk Factors" in Part I, Item 1A of our Annual Report on Form 10-K for the fiscal year ended July 31, 2023. Moreover, we operate in a very competitive and rapidly changing environment and new risks emerge from time to time. It is not possible for us to predict all risks, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained or implied in any forward-looking statements we may make. In light of these risks, uncertainties and assumptions, the forward-looking events and trends discussed in this Quarterly Report on Form 10-Q may not occur and actual results could differ materially and adversely from those anticipated or implied in the forward-looking statements.

4


Table of Contents

 

You should not rely upon forward-looking statements as predictions of future events. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee that the future results, performance, or events and circumstances reflected in the forward-looking statements will be achieved or will occur. The forward-looking statements in this Quarterly Report on Form 10-Q relate only to events as of the date on which the statements are made. We undertake no obligation, and expressly disclaim any obligation, to update, alter or otherwise revise or publicly release the results of any revision to these forward-looking statements to reflect new information or the occurrence of unanticipated or subsequent events, except as required by law. We may not actually achieve the plans, intentions or expectations disclosed in our forward-looking statements and you should not place undue reliance on our forward-looking statements.

5


Table of Contents

 

PART I. FINANCIAL INFORMATION

Item 1. Financial Statements (Unaudited)

 

 

Page

 

 

Condensed Consolidated Balance Sheets as of July 31, 2023 and April 30, 2024

7

 

 

Condensed Consolidated Statements of Operations for the Three and Nine Months Ended April 30, 2023 and 2024

8

 

 

Condensed Consolidated Statements of Comprehensive Income (Loss) for the Three and Nine Months Ended April 30, 2023 and 2024

9

 

 

Condensed Consolidated Statements of Stockholders' Deficit for the Three and Nine Months Ended April 30, 2023 and 2024

10

 

 

Condensed Consolidated Statements of Cash Flows for the Nine Months Ended April 30, 2023 and 2024

12

 

 

Notes to Condensed Consolidated Financial Statements

13

 

 

Note 1: Overview and Basis of Presentation

13

Note 2: Revenue, Deferred Revenue and Deferred Commissions

15

Note 3: Fair Value Measurements

17

Note 4: Balance Sheet Components

19

Note 5: Convertible Senior Notes

22

Note 6: Leases

26

Note 7: Commitments and Contingencies

28

Note 8: Stockholders' Equity

28

Note 9: Equity Incentive Plans

29

Note 10: Income Taxes

31

Note 11: Restructuring Charges

32

Note 12: Net Income (Loss) Per Share

32

Note 13: Segment Information

33

Note 14: Subsequent Event

33

 

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NUTANIX, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

 

 

 

As of

 

 

 

July 31,
2023

 

 

April 30,
2024

 

 

 

(in thousands, except per share data)

 

Assets

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

Cash and cash equivalents

 

$

512,929

 

 

$

598,027

 

Short-term investments

 

 

924,466

 

 

 

1,053,354

 

Accounts receivable, net of allowances of $733 and $1,619, respectively

 

 

157,251

 

 

 

225,301

 

Deferred commissions—current

 

 

120,001

 

 

 

148,435

 

Prepaid expenses and other current assets

 

 

147,087

 

 

 

114,123

 

Total current assets

 

 

1,861,734

 

 

 

2,139,240

 

Property and equipment, net

 

 

111,865

 

 

 

114,785

 

Operating lease right-of-use assets

 

 

93,554

 

 

 

96,895

 

Deferred commissions—non-current

 

 

237,990

 

 

 

204,357

 

Intangible assets, net

 

 

4,893

 

 

 

6,019

 

Goodwill

 

 

184,938

 

 

 

185,235

 

Other assets—non-current

 

 

31,941

 

 

 

28,393

 

Total assets

 

$

2,526,915

 

 

$

2,774,924

 

Liabilities and Stockholders’ Deficit

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

Accounts payable

 

$

29,928

 

 

$

40,286

 

Accrued compensation and benefits

 

 

143,679

 

 

 

173,339

 

Accrued expenses and other current liabilities

 

 

109,269

 

 

 

22,486

 

Deferred revenue—current

 

 

823,665

 

 

 

923,559

 

Operating lease liabilities—current

 

 

29,567

 

 

 

23,884

 

Total current liabilities

 

 

1,136,108

 

 

 

1,183,554

 

Deferred revenue—non-current

 

 

771,367

 

 

 

823,891

 

Operating lease liabilities—non-current

 

 

68,940

 

 

 

79,028

 

Convertible senior notes, net

 

 

1,218,165

 

 

 

1,271,966

 

Other liabilities—non-current

 

 

39,754

 

 

 

35,945

 

Total liabilities

 

 

3,234,334

 

 

 

3,394,384

 

Commitments and contingencies (Note 7)

 

 

 

 

 

 

Stockholders’ deficit:

 

 

 

 

 

 

Preferred stock, par value of $0.000025 per share— 200,000 shares
   authorized as of July 31, 2023 and April 30, 2024;
no shares
   issued and outstanding as of July 31, 2023 and April 30, 2024

 

 

 

 

 

 

Common stock, par value of $0.000025 per share—1,000,000 Class
   A shares authorized as of July 31, 2023 and April 30, 2024;
   
239,607 and 246,932 Class A shares issued and outstanding as
   of July 31, 2023 and April 30, 2024, respectively

 

 

6

 

 

 

6

 

Additional paid-in capital

 

 

3,930,668

 

 

 

4,086,671

 

Accumulated other comprehensive loss

 

 

(5,171

)

 

 

(3,703

)

Accumulated deficit

 

 

(4,632,922

)

 

 

(4,702,434

)

Total stockholders’ deficit

 

 

(707,419

)

 

 

(619,460

)

Total liabilities and stockholders’ deficit

 

$

2,526,915

 

 

$

2,774,924

 

 

 

See the accompanying notes to condensed consolidated financial statements.

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NUTANIX, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

 

 

 

Three Months Ended
April 30,

 

 

Nine Months Ended
April 30,

 

 

 

2023

 

 

2024

 

 

2023

 

 

2024

 

 

 

(in thousands, except per share data)

 

Revenue:

 

 

 

 

 

 

 

 

 

 

 

 

Product

 

$

212,507

 

 

$

255,465

 

 

$

671,619

 

 

$

802,047

 

Support, entitlements and other services

 

 

236,074

 

 

 

269,112

 

 

 

697,066

 

 

 

798,817

 

Total revenue

 

 

448,581

 

 

 

524,577

 

 

 

1,368,685

 

 

 

1,600,864

 

Cost of revenue:

 

 

 

 

 

 

 

 

 

 

 

 

Product

 

 

12,430

 

 

 

8,469

 

 

 

40,452

 

 

 

28,105

 

Support, entitlements and other services

 

 

69,999

 

 

 

71,150

 

 

 

211,277

 

 

 

215,029

 

Total cost of revenue

 

 

82,429

 

 

 

79,619

 

 

 

251,729

 

 

 

243,134

 

Gross profit

 

 

366,152

 

 

 

444,958

 

 

 

1,116,956

 

 

 

1,357,730

 

Operating expenses:

 

 

 

 

 

 

 

 

 

 

 

 

Sales and marketing

 

 

229,261

 

 

 

245,901

 

 

 

695,271

 

 

 

717,926

 

Research and development

 

 

143,016

 

 

 

159,220

 

 

 

434,760

 

 

 

471,596

 

General and administrative

 

 

52,515

 

 

 

51,425

 

 

 

182,728

 

 

 

148,457

 

Total operating expenses

 

 

424,792

 

 

 

456,546

 

 

 

1,312,759

 

 

 

1,337,979

 

(Loss) income from operations

 

 

(58,640

)

 

 

(11,588

)

 

 

(195,803

)

 

 

19,751

 

Other (expense) income, net

 

 

(7,168

)

 

 

659

 

 

 

(30,696

)

 

 

(2,520

)

(Loss) income before provision for income taxes

 

 

(65,808

)

 

 

(10,929

)

 

 

(226,499

)

 

 

17,231

 

Provision for income taxes

 

 

5,161

 

 

 

4,687

 

 

 

14,774

 

 

 

15,905

 

Net (loss) income

 

$

(70,969

)

 

$

(15,616

)

 

$

(241,273

)

 

$

1,326

 

Net (loss) income per share attributable to Class A
   common stockholders, basic

 

$

(0.30

)

 

$

(0.06

)

 

$

(1.04

)

 

$

0.01

 

Net (loss) income per share attributable to Class A
   common stockholders, diluted

 

$

(0.30

)

 

$

(0.06

)

 

$

(1.04

)

 

$

0.05

 

Weighted average shares used in computing net
   (loss) income per share attributable to Class A
   common stockholders, basic

 

 

234,735

 

 

 

245,766

 

 

 

231,702

 

 

 

243,688

 

Weighted average shares used in computing net
   (loss) income per share attributable to Class A
   common stockholders, diluted

 

 

234,735

 

 

 

245,766

 

 

 

231,702

 

 

 

297,055

 

 

 

See the accompanying notes to condensed consolidated financial statements.

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Table of Contents

 

NUTANIX, INC.

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

(Unaudited)

 

 

 

Three Months Ended
April 30,

 

 

Nine Months Ended
April 30,

 

 

 

2023

 

 

2024

 

 

2023

 

 

2024

 

 

 

(in thousands)

 

Net (loss) income

 

$

(70,969

)

 

$

(15,616

)

 

$

(241,273

)

 

$

1,326

 

Other comprehensive income (loss), net of tax:

 

 

 

 

 

 

 

 

 

 

 

 

Change in unrealized loss on available-for-sale
   securities, net of tax

 

 

1,518

 

 

 

(4,582

)

 

 

1,793

 

 

 

1,468

 

Comprehensive (loss) income

 

$

(69,451

)

 

$

(20,198

)

 

$

(239,480

)

 

$

2,794

 

 

 

See the accompanying notes to condensed consolidated financial statements.

9


Table of Contents

 

NUTANIX, INC.

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ DEFICIT

(Unaudited)

 

 

 

Nine Months Ended April 30, 2023

 

 

 

Common Stock

 

 

Additional
Paid-In

 

 

Accumulated
Other
Comprehensive

 

 

Accumulated

 

 

Total
Stockholders’

 

 

 

Shares

 

 

Amount

 

 

Capital

 

 

Loss

 

 

Deficit

 

 

Deficit

 

 

 

(in thousands)

 

Balance - July 31, 2022

 

 

226,938

 

 

$

6

 

 

$

3,583,928

 

 

$

(6,076

)

 

$

(4,378,362

)

 

$

(800,504

)

Issuance of common stock through employee equity
   incentive plans

 

 

2,172

 

 

 

 

 

 

1,975

 

 

 

 

 

 

 

 

 

1,975

 

Issuance of common stock from ESPP purchase

 

 

998

 

 

 

 

 

 

18,947

 

 

 

 

 

 

 

 

 

18,947

 

Stock-based compensation

 

 

 

 

 

 

 

 

80,955

 

 

 

 

 

 

 

 

 

80,955

 

Other comprehensive loss

 

 

 

 

 

 

 

 

 

 

 

(3,642

)

 

 

 

 

 

(3,642

)

Net loss

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(99,514

)

 

 

(99,514

)

Balance - October 31, 2022

 

 

230,108

 

 

 

6

 

 

 

3,685,805

 

 

 

(9,718

)

 

 

(4,477,876

)

 

 

(801,783

)

Issuance of common stock through employee equity
   incentive plans

 

 

3,483

 

 

 

 

 

 

684

 

 

 

 

 

 

 

 

 

684

 

Stock-based compensation

 

 

 

 

 

 

 

 

85,290

 

 

 

 

 

 

 

 

 

85,290

 

Other comprehensive income

 

 

 

 

 

 

 

 

 

 

 

3,917

 

 

 

 

 

 

3,917

 

Net loss

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(70,790

)

 

 

(70,790

)

Balance - January 31, 2023

 

 

233,591

 

 

 

6

 

 

 

3,771,779

 

 

 

(5,801

)

 

 

(4,548,666

)

 

 

(782,682

)

Issuance of common stock through employee equity
   incentive plans

 

 

2,566

 

 

 

 

 

 

372

 

 

 

 

 

 

 

 

 

372

 

Shares withheld related to net share settlement of
  equity awards

 

 

(413

)

 

 

 

 

 

(10,214

)

 

 

 

 

 

 

 

 

(10,214

)

Stock-based compensation

 

 

 

 

 

 

 

 

72,908

 

 

 

 

 

 

 

 

 

72,908

 

Other comprehensive income

 

 

 

 

 

 

 

 

 

 

 

1,518

 

 

 

 

 

 

1,518

 

Net loss

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(70,969

)

 

 

(70,969

)

Balance - April 30, 2023

 

 

235,744

 

 

$

6

 

 

$

3,834,845

 

 

$

(4,283

)

 

$

(4,619,635

)

 

$

(789,067

)

 

10


Table of Contents

 

 

 

 

Nine Months Ended April 30, 2024

 

 

 

Common Stock

 

 

Additional
Paid-In

 

 

Accumulated
Other
Comprehensive

 

 

Accumulated

 

 

Total
Stockholders’

 

 

 

Shares

 

 

Amount

 

 

Capital

 

 

(Loss) Income

 

 

Deficit

 

 

Deficit

 

 

 

(in thousands)

 

Balance - July 31, 2023

 

 

239,607

 

 

$

6

 

 

$

3,930,668

 

 

$

(5,171

)

 

$

(4,632,922

)

 

$

(707,419

)

Issuance of common stock through employee equity
   incentive plans

 

 

3,274

 

 

 

 

 

 

547

 

 

 

 

 

 

 

 

 

547

 

Issuance of common stock from ESPP purchase

 

 

653

 

 

 

 

 

 

13,233

 

 

 

 

 

 

 

 

 

13,233

 

Repurchase and retirement of common stock

 

 

(482

)

 

 

 

 

 

(7,774

)

 

 

 

 

 

(9,739

)

 

 

(17,513

)

Stock-based compensation

 

 

 

 

 

 

 

 

83,998

 

 

 

 

 

 

 

 

 

83,998

 

Other comprehensive income

 

 

 

 

 

 

 

 

 

 

 

796

 

 

 

 

 

 

796

 

Net loss

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(15,853

)

 

 

(15,853

)

Balance - October 31, 2023

 

 

243,052

 

 

 

6

 

 

 

4,020,672

 

 

 

(4,375

)

 

 

(4,658,514

)

 

 

(642,211

)

Issuance of common stock through employee equity
   incentive plans

 

 

3,689

 

 

 

 

 

 

1,370

 

 

 

 

 

 

 

 

 

1,370

 

Shares withheld related to net share settlement of
  equity awards

 

 

(1,148

)

 

 

 

 

 

(53,180

)

 

 

 

 

 

 

 

 

(53,180

)

Repurchase and retirement of common stock

 

 

(934

)

 

 

 

 

 

(15,052

)

 

 

 

 

 

(26,627

)

 

 

(41,679

)

Stock-based compensation

 

 

 

 

 

 

 

 

85,969

 

 

 

 

 

 

 

 

 

85,969

 

Other comprehensive income

 

 

 

 

 

 

 

 

 

 

 

5,254

 

 

 

 

 

 

5,254

 

Net income

 

 

 

 

 

 

 

 

 

 

 

 

 

 

32,795

 

 

 

32,795

 

Balance - January 31, 2024

 

 

244,659

 

 

 

6

 

 

 

4,039,779

 

 

 

879

 

 

 

(4,652,346

)

 

 

(611,682

)

Issuance of common stock through employee equity
   incentive plans

 

 

2,756

 

 

 

 

 

 

1,413

 

 

 

 

 

 

 

 

 

1,413

 

Issuance of common stock from ESPP purchase

 

 

1,217

 

 

 

 

 

 

34,094

 

 

 

 

 

 

 

 

 

34,094

 

Shares withheld related to net share settlement of
  equity awards

 

 

(926

)

 

 

 

 

 

(58,440

)

 

 

 

 

 

 

 

 

(58,440

)

Repurchase and retirement of common stock

 

 

(774

)

 

 

 

 

 

(12,467

)

 

 

 

 

 

(34,472

)

 

 

(46,939

)

Stock-based compensation

 

 

 

 

 

 

 

 

82,292

 

 

 

 

 

 

 

 

 

82,292

 

Other comprehensive loss

 

 

 

 

 

 

 

 

 

 

 

(4,582

)

 

 

 

 

 

(4,582

)

Net loss

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(15,616

)

 

 

(15,616

)

Balance - April 30, 2024

 

 

246,932

 

 

$

6

 

 

$

4,086,671

 

 

$

(3,703

)

 

$

(4,702,434

)

 

$

(619,460

)

 

 

See the accompanying notes to condensed consolidated financial statements.

11


Table of Contents

 

NUTANIX, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

 

 

 

Nine Months Ended
April 30,

 

 

 

2023

 

 

2024

 

 

 

(in thousands)

 

Cash flows from operating activities:

 

 

 

 

 

 

Net (loss) income

 

$

(241,273

)

 

$

1,326

 

Adjustments to reconcile net loss to net cash provided by operating activities:

 

 

 

 

 

 

Depreciation and amortization

 

 

59,078

 

 

 

54,986

 

Stock-based compensation

 

 

239,153

 

 

 

252,259

 

Amortization of debt discount and issuance costs

 

 

31,767

 

 

 

33,738

 

Operating lease cost, net of accretion

 

 

27,065

 

 

 

24,009

 

Early exit of lease-related assets

 

 

(1,109

)

 

 

 

Non-cash interest expense

 

 

14,772

 

 

 

15,143

 

Other

 

 

(6,275

)

 

 

(14,117

)

Changes in operating assets and liabilities:

 

 

 

 

 

 

Accounts receivable, net

 

 

(4,768

)

 

 

(49,669

)

Deferred commissions

 

 

16,919

 

 

 

5,199

 

Prepaid expenses and other assets

 

 

(33,858

)

 

 

37,588

 

Accounts payable

 

 

(5,106

)

 

 

10,326

 

Accrued compensation and benefits

 

 

2,356

 

 

 

29,660

 

Accrued expenses and other liabilities

 

 

53,451

 

 

 

(83,857

)

Operating leases, net

 

 

(30,134

)

 

 

(22,394

)

Deferred revenue

 

 

92,056

 

 

 

134,037

 

Net cash provided by operating activities

 

 

214,094

 

 

 

428,234

 

Cash flows from investing activities:

 

 

 

 

 

 

Maturities of investments

 

 

722,983

 

 

 

625,519

 

Purchases of investments

 

 

(711,253

)

 

 

(740,034

)

Payments for acquisitions, net of cash acquired

 

 

 

 

 

(4,500

)

Purchases of property and equipment

 

 

(52,603

)

 

 

(54,813

)

Net cash used in investing activities

 

 

(40,873

)

 

 

(173,828

)

Cash flows from financing activities:

 

 

 

 

 

 

Repayment of convertible notes

 

 

(145,704

)

 

 

 

Proceeds from sales of shares through employee equity incentive plans

 

 

23,268

 

 

 

50,660

 

Taxes paid related to net share settlement of equity awards

 

 

(10,214

)

 

 

(111,620

)

Repurchases of common stock

 

 

 

 

 

(106,131

)

Payment of finance lease obligations

 

 

(3,711

)

 

 

(2,928

)

Net cash used in financing activities

 

 

(136,361

)

 

 

(170,019

)

Net increase in cash, cash equivalents and restricted cash

 

$

36,860

 

 

$