Cover Page
Cover Page - shares | 9 Months Ended | |
Apr. 30, 2022 | May 12, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Apr. 30, 2022 | |
Document Transition Report | false | |
Entity File Number | 001-35594 | |
Entity Registrant Name | PALO ALTO NETWORKS, INC | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 20-2530195 | |
Entity Address, Address Line One | 3000 Tannery Way | |
Entity Address, City or Town | Santa Clara | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 95054 | |
City Area Code | 408 | |
Local Phone Number | 753-4000 | |
Title of 12(b) Security | Common stock, $0.0001 par value per share | |
Trading Symbol | PANW | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Small Business | false | |
Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 99,635,390 | |
Entity Central Index Key | 0001327567 | |
Document Fiscal Year End Date | --07-31 | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | false |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions | Apr. 30, 2022 | Jul. 31, 2021 |
Current assets: | ||
Cash and cash equivalents | $ 2,419.9 | $ 1,874.2 |
Short-term investments | 1,454.7 | 1,026.9 |
Accounts receivable, net of allowance for credit losses of $9.6 and $11.2 at April 30, 2022 and July 31, 2021, respectively | 1,240.6 | 1,240.4 |
Short-term deferred contract costs | 286.8 | 276.5 |
Prepaid expenses and other current assets | 295.6 | 229.3 |
Total current assets | 5,697.6 | 4,647.3 |
Property and equipment, net | 355.6 | 318.4 |
Operating lease right-of-use assets | 239.9 | 262.9 |
Long-term investments | 714.7 | 888.3 |
Long-term deferred contract costs | 480.3 | 494.6 |
Goodwill | 2,731.3 | 2,710.1 |
Intangible assets, net | 412.1 | 498.6 |
Other assets | 468.5 | 421.4 |
Total assets | 11,100 | 10,241.6 |
Current liabilities: | ||
Accounts payable | 108 | 56.9 |
Accrued compensation | 365.2 | 430.6 |
Accrued and other liabilities | 375.4 | 329.4 |
Deferred revenue | 3,152.9 | 2,741.9 |
Convertible senior notes, net | 3,675.7 | 1,557.9 |
Total current liabilities | 7,677.2 | 5,116.7 |
Convertible senior notes, net | 0 | 1,668.1 |
Long-term deferred revenue | 2,706.5 | 2,282.1 |
Long-term operating lease liabilities | 275.7 | 313.4 |
Other long-term liabilities | 103 | 97.7 |
Commitments and contingencies (Note 10) | ||
Temporary equity | 0 | 129.1 |
Stockholders’ equity: | ||
Preferred stock; $0.0001 par value; 100.0 shares authorized; none issued and outstanding at April 30, 2022 and July 31, 2021 | 0 | 0 |
Common stock and additional paid-in capital; $0.0001 par value; 1,000.0 shares authorized; 99.6 and 97.3 shares issued and outstanding at April 30, 2022 and July 31, 2021, respectively | 2,066.3 | 2,311.2 |
Accumulated other comprehensive loss | (58.3) | (9.9) |
Accumulated deficit | (1,670.4) | (1,666.8) |
Total stockholders’ equity | 337.6 | 634.5 |
Total liabilities, temporary equity and stockholders’ equity | $ 11,100 | $ 10,241.6 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Millions | Apr. 30, 2022 | Jul. 31, 2021 |
Current assets: | ||
Allowance for doubtful accounts | $ 9.6 | $ 11.2 |
Stockholders’ equity: | ||
Preferred stock, par value (in usd per share) | $ 0.0001 | $ 0.0001 |
Preferred stock, shares authorized (in shares) | 100,000,000 | 100,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in usd per share) | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized (in shares) | 1,000,000,000 | 1,000,000,000 |
Common stock, shares issued (in shares) | 99,600,000 | 97,300,000 |
Common stock, shares outstanding (in shares) | 99,600,000 | 97,300,000 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Apr. 30, 2022 | Apr. 30, 2021 | Apr. 30, 2022 | Apr. 30, 2021 | |
Revenue: | ||||
Revenue: | $ 1,386.7 | $ 1,073.9 | $ 3,951 | $ 3,036.8 |
Cost of revenue: | ||||
Cost of revenue: | 440.5 | 330.6 | 1,226.4 | 916 |
Total gross profit | 946.2 | 743.3 | 2,724.6 | 2,120.8 |
Operating expenses: | ||||
Research and development | 355.4 | 311 | 1,053.9 | 815.1 |
Sales and marketing | 543.6 | 448 | 1,578.3 | 1,264 |
General and administrative | 94.8 | 94.7 | 296.6 | 285.4 |
Total operating expenses | 993.8 | 853.7 | 2,928.8 | 2,364.5 |
Operating loss | (47.6) | (110.4) | (204.2) | (243.7) |
Interest expense | (6.8) | (41) | (20.5) | (121.9) |
Other income, net | 1.9 | 1 | 0.2 | 2.9 |
Loss before income taxes | (52.5) | (150.4) | (224.5) | (362.7) |
Provision for (benefit from) income taxes | 20.7 | (5.3) | 45.8 | 16.9 |
Net loss | $ (73.2) | $ (145.1) | $ (270.3) | $ (379.6) |
Net loss per share, basic (in usd per share) | $ (0.74) | $ (1.50) | $ (2.75) | $ (3.95) |
Net loss per share, diluted (in usd per share) | $ (0.74) | $ (1.50) | $ (2.75) | $ (3.95) |
Weighted-average shares used to compute net loss per share, basic (in shares) | 98.9 | 96.9 | 98.2 | 96.1 |
Weighted-average shares used to compute net loss per share, diluted (in shares) | 98.9 | 96.9 | 98.2 | 96.1 |
Product | ||||
Revenue: | ||||
Revenue: | $ 351.5 | $ 288.9 | $ 955 | $ 780.9 |
Cost of revenue: | ||||
Cost of revenue: | 126 | 81.9 | 312.7 | 219.7 |
Subscription and support | ||||
Revenue: | ||||
Revenue: | 1,035.2 | 785 | 2,996 | 2,255.9 |
Cost of revenue: | ||||
Cost of revenue: | $ 314.5 | $ 248.7 | $ 913.7 | $ 696.3 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Apr. 30, 2022 | Apr. 30, 2021 | Apr. 30, 2022 | Apr. 30, 2021 | |
Statement of Comprehensive Income [Abstract] | ||||
Net loss | $ (73.2) | $ (145.1) | $ (270.3) | $ (379.6) |
Other comprehensive income (loss), net of tax: | ||||
Change in unrealized gains (losses) on investments | (14.6) | (0.8) | (25.6) | (2.4) |
Change in unrealized gains (losses) on cash flow hedges | (13.5) | (5.5) | (22.8) | (4.5) |
Other comprehensive income (loss) | (28.1) | (6.3) | (48.4) | (6.9) |
Comprehensive loss | $ (101.3) | $ (151.4) | $ (318.7) | $ (386.5) |
CONSOLIDATED STATEMENTS OF STOC
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Millions | Total | Cumulative-effect adjustment from adoption of new accounting pronouncement | Common stock | Common stock and additional paid in capital | Common stock and additional paid in capitalCumulative-effect adjustment from adoption of new accounting pronouncement | Accumulated other comprehensive income (loss) | Accumulated deficit | Accumulated deficitCumulative-effect adjustment from adoption of new accounting pronouncement |
Common stock, beginning balance (in shares) at Jul. 31, 2020 | 96,300,000 | |||||||
Beginning balance at Jul. 31, 2020 | $ 1,101.8 | $ 2,259.2 | $ 10.5 | $ (1,167.9) | ||||
Increase (Decrease) in Stockholders' Equity | ||||||||
Net loss | (379.6) | (379.6) | ||||||
Other comprehensive loss | (6.9) | (6.9) | ||||||
Issuance of common stock in connection with employee equity incentive plans (in shares) | 2,900,000 | |||||||
Issuance of common stock in connection with employee equity incentive plans | 103.7 | 103.7 | ||||||
Taxes paid related to net share settlement of equity awards | (22) | (22) | ||||||
Share-based compensation for equity-based awards | 709.5 | 709.5 | ||||||
Repurchase and retirement of common stock (in shares) | (3,100,000) | |||||||
Repurchase and retirement of common stock | (850) | (850) | ||||||
Issuance of common and restricted common stock in connection with acquisition (in shares) | 1,300,000 | |||||||
Issuance of common and restricted common stock in connection with acquisition | 340.7 | 340.7 | ||||||
Common stock, ending balance (in shares) at Apr. 30, 2021 | 97,400,000 | |||||||
Ending balance at Apr. 30, 2021 | 997.2 | 2,541.1 | 3.6 | (1,547.5) | ||||
Common stock, beginning balance (in shares) at Jan. 31, 2021 | 97,200,000 | |||||||
Beginning balance at Jan. 31, 2021 | 1,037.3 | 2,429.8 | 9.9 | (1,402.4) | ||||
Increase (Decrease) in Stockholders' Equity | ||||||||
Net loss | (145.1) | (145.1) | ||||||
Other comprehensive loss | (6.3) | (6.3) | ||||||
Issuance of common stock in connection with employee equity incentive plans (in shares) | 1,200,000 | |||||||
Issuance of common stock in connection with employee equity incentive plans | 58 | 58 | ||||||
Taxes paid related to net share settlement of equity awards | (6.6) | (6.6) | ||||||
Share-based compensation for equity-based awards | 248.7 | 248.7 | ||||||
Repurchase and retirement of common stock (in shares) | (1,000,000) | |||||||
Repurchase and retirement of common stock | (350) | (350) | ||||||
Temporary equity reclassification | 161.2 | 161.2 | ||||||
Common stock, ending balance (in shares) at Apr. 30, 2021 | 97,400,000 | |||||||
Ending balance at Apr. 30, 2021 | $ 997.2 | 2,541.1 | 3.6 | (1,547.5) | ||||
Common stock, beginning balance (in shares) at Jul. 31, 2021 | 97,300,000 | 97,300,000 | ||||||
Beginning balance at Jul. 31, 2021 | $ 634.5 | $ (315.2) | 2,311.2 | $ (581.9) | (9.9) | (1,666.8) | $ 266.7 | |
Increase (Decrease) in Stockholders' Equity | ||||||||
Net loss | (270.3) | (270.3) | ||||||
Other comprehensive loss | (48.4) | (48.4) | ||||||
Issuance of common stock in connection with employee equity incentive plans (in shares) | 3,300,000 | |||||||
Issuance of common stock in connection with employee equity incentive plans | 137 | 137 | ||||||
Taxes paid related to net share settlement of equity awards | (39.8) | (39.8) | ||||||
Share-based compensation for equity-based awards | 789.8 | 789.8 | ||||||
Repurchase and retirement of common stock (in shares) | (1,000,000) | |||||||
Repurchase and retirement of common stock | $ (550) | (550) | ||||||
Common stock, ending balance (in shares) at Apr. 30, 2022 | 99,600,000 | 99,600,000 | ||||||
Ending balance at Apr. 30, 2022 | $ 337.6 | 2,066.3 | (58.3) | (1,670.4) | ||||
Common stock, beginning balance (in shares) at Jan. 31, 2022 | 98,500,000 | |||||||
Beginning balance at Jan. 31, 2022 | 117.8 | 1,745.2 | (30.2) | (1,597.2) | ||||
Increase (Decrease) in Stockholders' Equity | ||||||||
Net loss | (73.2) | (73.2) | ||||||
Other comprehensive loss | (28.1) | (28.1) | ||||||
Issuance of common stock in connection with employee equity incentive plans (in shares) | 1,100,000 | |||||||
Issuance of common stock in connection with employee equity incentive plans | 77.8 | 77.8 | ||||||
Taxes paid related to net share settlement of equity awards | (11.2) | (11.2) | ||||||
Share-based compensation for equity-based awards | $ 254.5 | 254.5 | ||||||
Common stock, ending balance (in shares) at Apr. 30, 2022 | 99,600,000 | 99,600,000 | ||||||
Ending balance at Apr. 30, 2022 | $ 337.6 | $ 2,066.3 | $ (58.3) | $ (1,670.4) |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions | 9 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Cash flows from operating activities | ||
Net loss | $ (270.3) | $ (379.6) |
Adjustments to reconcile net loss to net cash provided by operating activities: | ||
Share-based compensation | 771.5 | 664.5 |
Depreciation and amortization | 210.1 | 191.6 |
Amortization of deferred contract costs | 261.1 | 208.3 |
Amortization of debt discount and debt issuance costs | 5.4 | 106.5 |
Amortization of operating lease right-of-use assets | 37.5 | 32.6 |
Amortization of investment premiums, net of accretion of purchase discounts | 10.5 | 9.2 |
Changes in operating assets and liabilities, net of effects of acquisitions: | ||
Accounts receivable, net | (0.1) | 301.3 |
Deferred contract costs | (257.1) | (235.1) |
Prepaid expenses and other assets | (98.9) | (135.5) |
Accounts payable | 51.6 | 3.4 |
Accrued compensation | (65.4) | (72.7) |
Accrued and other liabilities | (30.3) | (64.4) |
Deferred revenue | 835.4 | 547.1 |
Net cash provided by operating activities | 1,461 | 1,177.2 |
Cash flows from investing activities | ||
Purchases of investments | (1,296.4) | (1,494.1) |
Proceeds from sales of investments | 289.2 | 36.7 |
Proceeds from maturities of investments | 716.9 | 845.1 |
Business acquisitions, net of cash acquired | (17.4) | (777.3) |
Purchases of property, equipment, and other assets | (153.6) | (88.6) |
Net cash used in investing activities | (461.3) | (1,478.2) |
Cash flows from financing activities | ||
Repurchases of common stock | (550) | (850) |
Proceeds from sales of shares through employee equity incentive plans | 136.3 | 103.7 |
Payments for taxes related to net settlement of equity awards | (39.8) | (21.9) |
Payments for debt issuance costs | 0 | (0.2) |
Net cash used in financing activities | (453.5) | (768.4) |
Net increase (decrease) in cash, cash equivalents, and restricted cash | 546.2 | (1,069.4) |
Cash, cash equivalents, and restricted cash - beginning of period | 1,880.1 | 2,961.7 |
Cash, cash equivalents, and restricted cash - end of period | 2,426.3 | 1,892.3 |
Non-cash investing and financing activities | ||
Equity consideration for business acquisitions | $ (2.5) | $ (365.4) |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS Reconciliation of cash, cash equivalents, and restricted cash to the consolidated balance sheets - USD ($) $ in Millions | Apr. 30, 2022 | Apr. 30, 2021 |
Reconciliation of cash, cash equivalents, and restricted cash | ||
Cash and cash equivalents | $ 2,419.9 | $ 1,886.1 |
Total cash, cash equivalents, and restricted cash | 2,426.3 | 1,892.3 |
Prepaid expenses and other current assets | ||
Reconciliation of cash, cash equivalents, and restricted cash | ||
Restricted cash | 6.4 | 5.2 |
Other assets | ||
Reconciliation of cash, cash equivalents, and restricted cash | ||
Restricted cash | $ 0 | $ 1 |
Description of Business and Sum
Description of Business and Summary of Significant Accounting Policies (Notes) | 9 Months Ended |
Apr. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Description of Business and Summary of Significant Accounting Policies | Description of Business and Summary of Significant Accounting Policies Description of Business Palo Alto Networks, Inc. (the “Company,” “we,” “us,” or “our”), headquartered in Santa Clara, California, was incorporated in March 2005 under the laws of the State of Delaware and commenced operations in April 2005. We empower enterprises, service providers, and government entities to secure all users, applications, data, networks, clouds and devices with comprehensive visibility and context, continuously across all locations. Basis of Presentation and Principles of Consolidation The accompanying condensed consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“GAAP”), consistent in all material respects with those applied in our Annual Report on Form 10-K for the fiscal year ended July 31, 2021, filed with the Securities and Exchange Commission (“SEC”) on September 3, 2021. Our condensed consolidated financial statements include our accounts and our wholly owned subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation. Our condensed consolidated financial statements are unaudited but include all adjustments of a normal recurring nature necessary for a fair presentation of our quarterly results. Certain prior period amounts have been reclassified to conform to our current period presentation. Our condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and related notes in our Annual Report on Form 10-K for the fiscal year ended July 31, 2021. Use of Estimates The preparation of condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. We base our estimates on historical experience and also on assumptions that we believe are reasonable. Actual results could differ materially from those estimates due to risks and uncertainties, including uncertainty in the economic environment such as the global impact of the coronavirus disease discovered in 2019 (“COVID-19”). Summary of Significant Accounting Policies There have been no material changes to our significant accounting policies as of and for the nine months ended April 30, 2022, as compared to the significant accounting policies described in our Annual Report on Form 10-K for the fiscal year ended July 31, 2021, except for the change in our accounting policies due to our adoption of recently issued guidance. Refer to “Recently Adopted Accounting Pronouncements” below. Recently Adopted Accounting Pronouncements Acquired Contract Assets and Contract Liabilities In October 2021, the Financial Accounting Standards Board (“FASB”) issued authoritative guidance that requires companies to apply revenue guidance to recognize and measure contract assets and contract liabilities from contracts with customers acquired in a business combination on the acquisition date, instead of measuring them at fair value. We early adopted this guidance in our first quarter of fiscal 2022 on a prospective basis. The adoption of this standard did not have a material impact on our condensed consolidated financial statements. Debt with Conversion Options In August 2020, the FASB issued authoritative guidance that simplifies the accounting for certain financial instruments with characteristics of liabilities and equity, including convertible instrument. The standard reduces the number of models used to account for convertible instruments and simplifies the classification of debt on the balance sheet. We adopted this standard in our first quarter of fiscal 2022 using the modified-retrospective approach, under which financial results reported in periods prior to fiscal 2022 were not adjusted. The adoption of this standard resulted in an increase to convertible senior notes, net of $444.3 million, a decrease to accumulated deficit of $266.7 million, and a decrease to additional paid-in capital and temporary equity of $711.0 million upon adoption. Below is the update to our Summary of Significant Accounting Policies in our Annual Report on Form 10-K for the fiscal year ended July 31, 2021 as a result of the adoption of the above guidance. Business Combinations We include the results of operations of the businesses that we acquire as of the respective dates of acquisition. We generally allocate the fair value of the purchase price of our acquisitions to the assets acquired and liabilities assumed based on their estimated fair values. The excess of the purchase price over the values of these identifiable assets and liabilities is recorded as goodwill. Additional information existing as of the acquisition date but unknown to us may become known during the remainder of the measurement period, not to exceed 12 months from the acquisition date, which may result in changes to the amounts and allocations recorded. Convertible Senior Notes Prior to August 1, 2021, our convertible senior notes were separated into a liability and an equity component. The carrying amount of the liability component was calculated by measuring the fair value of a similar liability that did not have an associated convertible feature, using a discounted cash flow model with a risk-adjusted yield. The carrying amount of the equity component representing the conversion option was determined by deducting the fair value of the liability component from the par value of the notes as a whole. This difference represented a debt discount that was amortized to interest expense using the effective interest method over the term of the notes. The equity component was not remeasured as it continued to meet the conditions for equity classification. Transaction costs related to the issuance of the notes were allocated to the liability and equity components using the same proportions as the proceeds from the notes. Transaction costs attributable to the liability component were netted with the liability component and amortized to interest expense using the effective interest method over the term of the notes. Transaction costs attributable to the equity component were netted with the equity component of the notes in additional paid-in capital. Upon the notes becoming convertible, the net carrying amount of the liability component was classified as a current liability and a portion of the equity component representing the conversion option was reclassified to temporary equity. The portion of the equity component classified as temporary equity was measured as the difference between the principal and net carrying amount of the notes, excluding debt issuance costs. Upon adoption of the new debt guidance on August 1, 2021, our convertible senior notes are accounted for entirely as a liability and measured at their amortized cost. Transaction costs related to the issuance of the notes are netted with the liability and are amortized on a straight-line basis, which approximates the effective interest rate method, to interest expense over the term of the notes. Refer to Note 9. Debt |
Revenue (Notes)
Revenue (Notes) | 9 Months Ended |
Apr. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | Revenue Disaggregation of Revenue The following table presents revenue by geographic theater (in millions): Three Months Ended April 30, Nine Months Ended April 30, 2022 2021 2022 2021 Revenue: Americas United States $ 887.2 $ 683.1 $ 2,557.5 $ 1,950.3 Other Americas 61.5 49.3 173.8 138.4 Total Americas 948.7 732.4 2,731.3 2,088.7 Europe, the Middle East, and Africa (“EMEA”) 269.5 211.0 755.5 590.6 Asia Pacific and Japan (“APAC”) 168.5 130.5 464.2 357.5 Total revenue $ 1,386.7 $ 1,073.9 $ 3,951.0 $ 3,036.8 The following table presents revenue for groups of similar products and services (in millions): Three Months Ended April 30, Nine Months Ended April 30, 2022 2021 2022 2021 Revenue: Product $ 351.5 $ 288.9 $ 955.0 $ 780.9 Subscription and support Subscription 639.8 473.8 1,836.6 1,363.5 Support 395.4 311.2 1,159.4 892.4 Total subscription and support 1,035.2 785.0 2,996.0 2,255.9 Total revenue $ 1,386.7 $ 1,073.9 $ 3,951.0 $ 3,036.8 Deferred Revenue During the nine months ended April 30, 2022 and 2021, we recognized approximately $2.2 billion and $1.6 billion of revenue pertaining to amounts that were deferred as of July 31, 2021 and 2020, respectively. Remaining Performance Obligations Revenue expected to be recognized from remaining performance obligations was $6.9 billion as of April 30, 2022, of which we expect to recognize approximately $3.6 billion over the next 12 months and the remainder thereafter. |
Fair Value Measurements (Notes)
Fair Value Measurements (Notes) | 9 Months Ended |
Apr. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements We categorize assets and liabilities recorded or disclosed at fair value on our condensed consolidated balance sheets based upon the level of judgment associated with inputs used to measure their fair value. The categories are as follows: • Level 1—Inputs are unadjusted quoted prices in active markets for identical assets or liabilities. • Level 2—Inputs are quoted prices for similar assets and liabilities in active markets or inputs that are observable for the assets or liabilities, either directly or indirectly through market corroboration, for substantially the full term of the financial instruments. • Level 3—Inputs are unobservable inputs based on our own assumptions used to measure assets and liabilities at fair value. The inputs require significant management judgment or estimation. The following table presents the fair value of our financial assets and liabilities measured at fair value on a recurring basis as of April 30, 2022 and July 31, 2021 (in millions): April 30, 2022 July 31, 2021 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Cash equivalents: Money market funds $ 923.0 $ — $ — $ 923.0 $ 124.2 $ — $ — $ 124.2 Certificates of deposit — 50.0 — 50.0 — 150.4 — 150.4 Commercial paper — 17.9 — 17.9 — — — — Corporate debt securities — 3.9 — 3.9 — 1.0 — 1.0 U.S. government and agency securities — — — — — 116.3 — 116.3 Total cash equivalents 923.0 71.8 — 994.8 124.2 267.7 — 391.9 Short-term investments: Certificates of deposit — 205.5 — 205.5 — 12.4 — 12.4 Commercial paper — 11.0 — 11.0 — — — — Corporate debt securities — 351.4 — 351.4 — 208.9 — 208.9 U.S. government and agency securities — 826.7 — 826.7 — 762.1 — 762.1 Non-U.S. government and agency securities 60.1 60.1 43.5 43.5 Total short-term investments — 1,454.7 — 1,454.7 — 1,026.9 — 1,026.9 Long-term investments: Certificates of deposit — — — — — 5.0 — 5.0 Corporate debt securities — 393.2 — 393.2 — 180.7 — 180.7 U.S. government and agency securities — 242.9 — 242.9 — 674.1 — 674.1 Non-U.S. government and agency securities — — — — — 28.5 — 28.5 Asset-backed securities — 78.6 — 78.6 — — — — Total long-term investments — 714.7 — 714.7 — 888.3 — 888.3 Prepaid expenses and other current assets: Foreign currency forward contracts — 0.3 — 0.3 — 4.1 — 4.1 Total prepaid expenses and other current assets — 0.3 — 0.3 — 4.1 — 4.1 Other assets: Foreign currency forward contracts — — — — — 0.1 — 0.1 Total other assets: — — — — — 0.1 — 0.1 Total assets measured at fair value $ 923.0 $ 2,241.5 $ — $ 3,164.5 $ 124.2 $ 2,187.1 $ — $ 2,311.3 Accrued and other liabilities: Foreign currency forward contracts $ — $ 31.6 $ — $ 31.6 $ — $ 6.4 $ — $ 6.4 Total accrued and other liabilities — 31.6 — 31.6 — 6.4 — 6.4 Other long-term liabilities: Foreign currency forward contracts — 1.0 — 1.0 — 0.5 — 0.5 Total other long-term liabilities — 1.0 — 1.0 — 0.5 — 0.5 Total liabilities measured at fair value $ — $ 32.6 $ — $ 32.6 $ — $ 6.9 $ — $ 6.9 |
Cash Equivalents and Investment
Cash Equivalents and Investments (Notes) | 9 Months Ended |
Apr. 30, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Cash Equivalents and Investments | Cash Equivalents and Investments Available-for-sale Debt Securities The following tables summarize the amortized cost, unrealized gains and losses, and fair value of our available-for-sale debt securities as of April 30, 2022 and July 31, 2021 (in millions): April 30, 2022 Amortized Cost Unrealized Gains Unrealized Losses Fair Value Cash equivalents: Certificates of deposit $ 50.0 $ — $ — $ 50.0 Commercial paper 17.9 — — 17.9 Corporate debt securities 3.9 — — 3.9 Total available-for-sale cash equivalents $ 71.8 $ — $ — $ 71.8 Investments: Certificates of deposit $ 205.5 $ — $ — $ 205.5 Commercial paper 11.0 — — 11.0 Corporate debt securities 755.7 — (11.1) 744.6 U.S. government and agency securities 1,081.6 — (12.0) 1,069.6 Non-U.S. government and agency securities 60.4 — (0.3) 60.1 Asset-backed securities 79.3 — (0.7) 78.6 Total available-for-sale investments $ 2,193.5 $ — $ (24.1) $ 2,169.4 July 31, 2021 Amortized Cost Unrealized Gains Unrealized Losses Fair Value Cash equivalents: Certificates of deposit $ 150.4 $ — $ — $ 150.4 Corporate debt securities 1.0 — — 1.0 U.S. government and agency securities 116.3 — — 116.3 Total available-for-sale cash equivalents $ 267.7 $ — $ — $ 267.7 Investments: Certificates of deposit $ 17.4 $ — $ — $ 17.4 Corporate debt securities 389.2 0.5 (0.1) 389.6 U.S. government and agency securities 1,435.1 1.1 — 1,436.2 Non-U.S. government and agency securities 72.0 — — 72.0 Total available-for-sale investments $ 1,913.7 $ 1.6 $ (0.1) $ 1,915.2 We do not intend to sell any of the securities in an unrealized loss position and it is not likely that we would be required to sell these securities before recovery of their amortized cost basis, which may be at maturity. We did not recognize any credit losses related to our available-for-sale debt securities during the three and nine months ended April 30, 2022 and 2021. The following table summarizes the amortized cost and fair value of our available-for-sale debt securities as of April 30, 2022, by contractual years-to-maturity (in millions): Amortized Cost Fair Value Due within one year $ 1,536.2 $ 1,526.5 Due between one and three years 675.2 661.3 Due between three to five years 49.6 49.1 Due between five to ten years 4.3 4.3 Total $ 2,265.3 $ 2,241.2 Marketable Equity Securities Marketable equity securities consist of money market funds and are included in cash and cash equivalents on our condensed consolidated balance sheets. As of April 30, 2022 and July 31, 2021, the carrying values of our marketable equity securities were $923.0 million and $124.2 million, respectively. There were no unrealized gains or losses recognized for these securities during the three and nine months ended April 30, 2022 and 2021. |
Financing Receivables (Notes)
Financing Receivables (Notes) | 9 Months Ended |
Apr. 30, 2022 | |
Receivables [Abstract] | |
Financing Receivables | Financing Receivables We provide financing arrangements, primarily loans, to qualified end-user customers to purchase our products and services. The following table summarizes our short-term and long-term financing receivables as of April 30, 2022 and July 31, 2021 (in millions): April 30, 2022 July 31, 2021 Short-term financing receivables, gross $ 118.1 $ 80.0 Allowance for credit losses (1.3) (1.0) Short-term financing receivables, net $ 116.8 $ 79.0 Long-term financing receivables, gross $ 180.0 $ 198.6 Allowance for credit losses (2.7) (4.3) Long-term financing receivables, net $ 177.3 $ 194.3 |
Derivative Instruments (Notes)
Derivative Instruments (Notes) | 9 Months Ended |
Apr. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments | Derivative Instruments As a global business, we are exposed to currency exchange rate risk. Substantially all of our revenue is transacted in U.S. dollars, however, a portion of our operating expenditures are incurred outside of the United States and are denominated in foreign currencies, making them subject to fluctuations in foreign currency exchange rates. We enter into foreign currency derivative contracts with maturities of 16 months or less, which we designate as cash flow hedges, to manage the foreign currency exchange rate risk associated with these expenditures. As of April 30, 2022 and July 31, 2021, the total notional amount of our outstanding foreign currency forward contracts including designated and non-designated derivative instruments was $886.7 million and $531.9 million, respectively. Refer to Note 3. Fair Value Measurements for the fair value of our foreign currency derivative instruments as reported on our condensed consolidated balance sheets as of April 30, 2022 and July 31, 2021. During the three and nine months ended April 30, 2022 and 2021, both unrealized gains and losses recognized in accumulated other comprehensive income (loss) (“AOCI”) related to our cash flow hedges and amounts reclassified into earnings were not material. Unrealized gains and losses in AOCI related to our cash flow hedges as of April 30, 2022 and July 31, 2021 were not material. |
Acquisitions (Notes)
Acquisitions (Notes) | 9 Months Ended |
Apr. 30, 2022 | |
Business Combinations [Abstract] | |
Acquisitions | AcquisitionOn August 11, 2021, we completed our acquisition of Gamma Networks, Inc. (“Gamma”), a privately-held AI powered company, for total consideration of $20.4 million, primarily in cash. We expect the acquisition will enhance and expand our data loss prevention offerings. We have accounted for this transaction as a business combination. We allocated the purchase consideration to the assets acquired and liabilities assumed, with the remainder of $21.2 million recorded as goodwill. The goodwill is primarily attributable to the assembled workforce and expected post-acquisition synergies from integrating Gamma technology into our platforms. The goodwill is not deductible for income tax purposes. |
Goodwill, Intangible Assets and
Goodwill, Intangible Assets and Other Long-lived Assets (Notes) | 9 Months Ended |
Apr. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill, Intangible Assets and Other Long-lived Assets | Goodwill, Intangible Assets and Other Long-lived Assets Goodwill The following table presents details of our goodwill during the nine months ended April 30, 2022 (in millions): Amount Balance as of July 31, 2021 $ 2,710.1 Goodwill acquired 21.2 Balance as of April 30, 2022 $ 2,731.3 Purchased Intangible Assets The following table presents details of our purchased intangible assets as of April 30, 2022 and July 31, 2021 (in millions): April 30, 2022 July 31, 2021 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Intangible assets subject to amortization: Developed technology $ 600.7 $ (322.2) $ 278.5 $ 596.2 $ (243.8) $ 352.4 Customer relationships 172.7 (46.8) 125.9 172.7 (30.6) 142.1 Acquired intellectual property 11.3 (4.5) 6.8 7.9 (3.8) 4.1 Trade name and trademarks 9.4 (9.4) — 9.4 (9.4) — Other 0.9 — 0.9 1.8 (1.8) — Total purchased intangible assets $ 795.0 $ (382.9) $ 412.1 $ 788.0 $ (289.4) $ 498.6 We recognized amortization expense of $31.8 million and $95.3 million for the three and nine months ended April 30, 2022, respectively, and $32.8 million and $86.1 million for the three and nine months ended April 30, 2021, respectively. The following table summarizes estimated future amortization expense of our intangible assets as of April 30, 2022 (in millions): Fiscal years ending July 31, Total Remaining 2022 2023 2024 2025 2026 2027 and thereafter Future amortization expense $ 412.1 $ 31.6 $ 101.1 $ 91.1 $ 77.4 $ 55.6 $ 55.3 Other Long-lived Assets During the nine months ended April 30, 2022, we purchased 4.6 acres of land adjacent to our headquarters in Santa Clara, California, along with the associated buildings, for $39.5 million to accommodate future expansion of our headquarters. This amount was recorded in property and equipment, net on our condensed consolidated balance sheet as of April 30, 2022. |
Debt (Notes)
Debt (Notes) | 9 Months Ended |
Apr. 30, 2022 | |
Debt Disclosure [Abstract] | |
Debt | Debt Convertible Senior Notes In July 2018, we issued $1.7 billion aggregate principal amount of 0.75% Convertible Senior Notes due 2023 (the “2023 Notes”) and in June 2020, we issued $2.0 billion aggregate principal amount of 0.375% Convertible Senior Notes due 2025 (the “2025 Notes,” and together with the 2023 Notes, the “Notes”). The 2023 Notes bear interest at a fixed rate of 0.75% per year, payable semi-annually in arrears on January 1 and July 1 of each year, beginning on January 1, 2019. The 2025 Notes bear interest at a fixed rate of 0.375% per year, payable semi-annually in arrears on June 1 and December 1 of each year, beginning on December 1, 2020. Each series of the convertible notes is governed by an indenture between us, as the issuer, and U.S. Bank National Association, as Trustee (individually, each an “Indenture,” and together, the “Indentures”). The Notes of each series are unsecured, unsubordinated obligations and the applicable Indenture governing each series of Notes does not contain any financial covenants or restrictions on the payments of dividends, the incurrence of indebtedness, or the issuance or repurchase of securities by us or any of our subsidiaries. The 2023 Notes and the 2025 Notes mature on July 1, 2023 and June 1, 2025, respectively. We cannot redeem the 2023 Notes prior to maturity. We may redeem for cash all or any portion of the 2025 Notes, at our option, on or after June 5, 2023, and prior to the 31st scheduled trading day immediately preceding the maturity date if the last reported sale price of our common stock has been at least 130% of the conversion price then in effect for at least 20 trading days during any 30 consecutive trading day period ending on and including the trading day preceding the date on which we provide notice of redemption. The redemption will be at a price equal to 100% of the principal amount of the 2025 Notes and adjusted for interest. If we call any or all of the 2025 Notes for redemption, holders may convert such 2025 Notes called for redemption at any time prior to the close of business on the second scheduled trading day immediately preceding the redemption date. The following table presents details of our Notes (number of shares in millions): Conversion Rate per $1,000 Principal Initial Conversion Price Convertible Date Initial Number of Shares 2023 Notes 3.7545 $ 266.35 April 1, 2023 6.4 2025 Notes 3.3602 $ 297.60 March 1, 2025 6.7 Holders of the Notes may surrender their Notes for conversion at their option at any time prior to the close of business on the business day immediately preceding their respective convertible dates only under the following circumstances: • during any fiscal quarter commencing after the fiscal quarters ending on October 31, 2018 and October 31, 2020 for the 2023 Notes and the 2025 Notes, respectively (and only during such fiscal quarter), if the last reported sale price of our common stock for at least 20 trading days (whether or not consecutive) during a period of 30 consecutive trading days ending on the last trading day of the immediately preceding fiscal quarter is greater than or equal to 130% of the applicable conversion price for the respective Notes on each applicable trading day (the “sale price condition”); • during the five business day period after any five consecutive trading day period (the “measurement period”) in which the trading price per $1,000 principal amount of the applicable series of Notes for each trading day of the measurement period was less than 98% of the product of the last reported sale price of our common stock and the applicable conversion rate for the respective Notes on each such trading day; or • upon the occurrence of specified corporate events. On or after the respective convertible date, holders may surrender all or any portion of their Notes for conversion at any time prior to the close of business on the second scheduled trading day immediately preceding the applicable maturity date regardless of the foregoing conditions, and such conversions will be settled upon the applicable maturity date. Upon conversion, holders of the Notes of a series will receive cash equal to the aggregate principal amount of the Notes of such series to be converted, and, at our election, cash and/or shares of our common stock for any amounts in excess of the aggregate principal amount of the Notes of such series being converted. The conversion price will be subject to adjustment in some events. Holders of the Notes of a series who convert their Notes of such series in connection with certain corporate events that constitute a “make-whole fundamental change” under the applicable Indenture are, under certain circumstances, entitled to an increase in the conversion rate for such series of Notes. Additionally, upon the occurrence of a corporate event that constitutes a “fundamental change” under the applicable Indenture, holders of the Notes of such series may require us to repurchase for cash all or a portion of the Notes of such series at a repurchase price equal to 100% of the principal amount of the Notes of such series plus accrued and unpaid interest to, but excluding, the fundamental change repurchase date. The sale price condition for the Notes was met during the fiscal quarter ended April 30, 2022, and as a result, holders may convert their Notes at any time during the fiscal quarter ending July 31, 2022. Accordingly, the net carrying amount of the Notes was classified as a current liability on our condensed consolidated balance sheet as of April 30, 2022. The following table sets forth the components of the Notes as of April 30, 2022 and July 31, 2021 (in millions): April 30, 2022 (1) July 31, 2021 2023 Notes 2025 Notes Total 2023 Notes 2025 Notes Total Liability component: Principal $ 1,692.0 $ 2,000.0 $ 3,692.0 $ 1,692.0 $ 2,000.0 $ 3,692.0 Less: debt discount and debt issuance costs, net of amortization (3.3) (13.0) (16.3) (134.1) (331.9) (466.0) Net carrying amount $ 1,688.7 $ 1,987.0 $ 3,675.7 $ 1,557.9 $ 1,668.1 $ 3,226.0 Equity component (including amounts classified as temporary equity) $ — $ — $ — $ 315.0 $ 403.0 $ 718.0 ______________ (1) As described in Note 1. Description of Business and Summary of Significant Accounting Policies, we adopted new debt guidance effective August 1, 2021, using a modified retrospective method, under which financial results reported in prior periods were not adjusted. Upon adoption, our convertible senior notes are accounted for entirely as a liability and measured at their amortized cost. Transaction costs related to the issuance of the notes are netted with the liability and are amortized on a straight-line basis, which approximates the effective interest rate method, to interest expense over the term of the notes. The total estimated fair value of the 2023 Notes and 2025 Notes were $3.6 billion and $4.0 billion at April 30, 2022, respectively and $2.6 billion and $2.9 billion at July 31, 2021, respectively. The fair value was determined based on the closing trading price per $100 of the applicable series of the Notes as of the last day of trading for the period. We consider the fair value of the Notes at April 30, 2022 and July 31, 2021 to be a Level 2 measurement. The fair value of the Notes is primarily affected by the trading price of our common stock and market interest rates. The following table sets forth interest expense recognized related to the Notes (dollars in millions): Three Months Ended April 30, Nine Months Ended April 30, 2022 2021 2022 2021 2023 Notes 2025 Notes Total 2023 Notes 2025 Notes Total 2023 Notes 2025 Notes Total 2023 Notes 2025 Notes Total Contractual interest expense $ 3.2 $ 1.8 $ 5.0 $ 3.2 $ 1.8 $ 5.0 $ 9.5 $ 5.6 $ 15.1 $ 9.5 $ 5.6 $ 15.1 Amortization of debt discount (1) — — — 16.0 18.6 34.6 — — — 47.4 55.3 102.7 Amortization of debt issuance costs 0.7 1.1 1.8 0.6 0.7 1.3 2.1 3.3 5.4 1.7 2.1 3.8 Total interest expense $ 3.9 $ 2.9 $ 6.8 $ 19.8 $ 21.1 $ 40.9 $ 11.6 $ 8.9 $ 20.5 $ 58.6 $ 63.0 $ 121.6 Effective interest rate 0.9 % 0.6 % 5.2 % 5.4 % 0.9 % 0.6 % 5.2 % 5.4 % ______________ (1) Upon adoption of the new debt guidance, the conversion option is no longer separately accounted for as debt discount. Our convertible senior notes are accounted for entirely as a liability. Note Hedges To minimize the impact of potential economic dilution upon conversion of our Notes, we entered into separate convertible note hedge transactions (the “2023 Note Hedges,” with respect to the 2023 Notes, the “2025 Note Hedges,” with respect to the 2025 Notes, and the 2023 Notes Hedges together with 2025 Note Hedges, the “Note Hedges”) with respect to our common stock concurrent with the issuance of each series of the Notes. The following table presents details of our Note Hedges (in millions): Initial Number of Shares Aggregate Purchase 2023 Note Hedges 6.4 $ 332.0 2025 Note Hedges 6.7 $ 370.8 The Note Hedges cover shares of our common stock at a strike price per share that corresponds to the initial applicable conversion price of the applicable series of the Notes, which are also subject to adjustment, and are exercisable upon conversion of the applicable series of the Notes. The Note Hedges will expire upon maturity of the applicable series of the Notes. The Note Hedges are separate transactions and are not part of the terms of the applicable series of the Notes. Holders of the Notes of either series will not have any rights with respect to the Note Hedges. Any shares of our common stock receivable by us under the Note Hedges are excluded from the calculation of diluted earnings per share as they are antidilutive. The aggregate amounts paid for the Note Hedges are included in additional paid-in capital on our condensed consolidated balance sheets. Warrants Separately, but concurrently with the issuance of each series of our Notes, we entered into transactions whereby we sold warrants (the “2023 Warrants,” with respect to the 2023 Notes, the “2025 Warrants,” with respect to the 2025 Notes, and the 2023 Warrants together with the 2025 Warrants, the “Warrants”) to acquire shares of our common stock, subject to anti-dilution adjustments. The 2023 Warrants and 2025 Warrants are exercisable beginning October 2023 and September 2025, respectively. The following table presents details of the Warrants (in millions, except per share data): Initial Number Strike Price Aggregate 2023 Warrants 6.4 $ 417.80 $ 145.4 2025 Warrants 6.7 $ 408.47 $ 202.8 The shares issuable under the Warrants will be included in the calculation of diluted earnings per share when the average market value per share of our common stock for the reporting period exceeds the applicable strike price for such series of Warrants. The Warrants are separate transactions and are not part of either series of Notes or Note Hedges and are not remeasured through earnings each reporting period. Holders of the Notes of either series will not have any rights with respect to the Warrants. The aggregate proceeds received from the sale of the Warrants are included in additional paid-in capital on our condensed consolidated balance sheets. Revolving Credit Facility On September 4, 2018, we entered into a credit agreement (the “Credit Agreement”) with certain institutional lenders that provides for a $400.0 million unsecured revolving credit facility (the “Credit Facility”), with an option to increase the amount of the Credit Facility by up to an additional $350.0 million, subject to certain conditions. The Credit Facility matures on the earlier of (i) September 4, 2023 and (ii) the date that is 91 days prior to the stated maturity of our 2023 Notes if (a) any of the 2023 Notes are still outstanding and (b) our unrestricted cash and cash equivalents are less than the then outstanding principal amount of our 2023 Notes plus $400.0 million. The borrowings under the Credit Facility currently bear interest, at our option, at a base rate plus a spread of 0.00% to 0.75%, or an adjusted LIBO Rate plus a spread of 1.00% to 1.75%, in each case with such spread being determined based on our leverage ratio. We are obligated to pay an ongoing commitment fee on undrawn amounts at a rate of 0.125% to 0.250%, depending on our leverage ratio. In March 2021, the ICE Benchmark Administration, the administrator of LIBO Rate, announced that it will cease publication of LIBO rate by June 2023. Under the terms of our Credit Facility, in the event of the discontinuance of the LIBO Rate, a mutually agreed-upon alternative benchmark rate will be established to replace the LIBO Rate, which may include the Secured Overnight Financing Rate (“SOFR”). We do not anticipate that the discontinuance of the LIBO Rate will materially impact our liquidity or financial position. As of April 30, 2022, there were no amounts outstanding and we were in compliance with all covenants under the Credit Agreement. |
Commitments and Contingencies (
Commitments and Contingencies (Notes) | 9 Months Ended |
Apr. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Purchase Commitments Manufacturing Purchase Commitments In order to reduce manufacturing lead times and plan for adequate supply, we enter into agreements with manufacturing partners and component suppliers to procure inventory based on our demand forecasts. The following table presents details of the aggregate future purchase commitments under these arrangements, excluding obligations under contracts that we can cancel without a significant penalty as of April 30, 2022 (in millions): Fiscal years ending July 31, Total Remaining 2022 2023 2024 2025 2026 2027 and thereafter Manufacturing purchase commitments $ 360.6 $ 84.4 $ 171.2 $ 30.0 $ 35.0 $ 40.0 $ — Other Purchase Commitments We have entered into various non-cancelable agreements with certain service providers, under which we are committed to minimum or fixed purchases. The following table presents details of the aggregate future non-cancelable purchase commitments under these agreements as of April 30, 2022 (in millions): Fiscal years ending July 31, Total Remaining 2022 2023 2024 2025 2026 2027 and thereafter Other purchase commitments $ 1,962.9 $ 18.6 $ 146.2 $ 366.5 $ 415.3 $ 531.6 $ 484.7 Additionally, we have a $162.8 million minimum purchase commitment with a service provider through September 2027 with no specified annual commitments. Litigation We are subject to legal proceedings, claims, and litigation arising in the ordinary course of business, including intellectual property litigation. Such matters are subject to many uncertainties and outcomes are not predictable with assurance. We accrue for contingencies when we believe that a loss is probable and that we can reasonably estimate the amount of any such loss. To the extent there is a reasonable possibility that a loss exceeding amounts already recognized may be incurred and the amount of such additional loss would be material, we will either disclose the estimated additional loss or state that such an estimate cannot be made. As of April 30, 2022, we have not recorded any significant accruals for loss contingencies associated with such legal proceedings, determined that an unfavorable outcome is probable or reasonably possible, or determined that the amount or range of any possible loss is reasonably estimable. |
Stockholders' Equity (Notes)
Stockholders' Equity (Notes) | 9 Months Ended |
Apr. 30, 2022 | |
Equity [Abstract] | |
Stockholders’ Equity | Stockholders’ Equity Share Repurchase Program In February 2019, our board of directors authorized a $1.0 billion share repurchase program, which is funded from available working capital. In December 2020 and August 2021, our board of directors authorized additional $700.0 million and $676.1 million increases, respectively, bringing the total authorization under this share repurchase program to $2.4 billion. The expiration date of this repurchase authorization was extended to December 31, 2022, and our repurchase program may be suspended or discontinued at any time. Repurchases under our program are to be made at management’s discretion from time to time on the open market, through privately negotiated transactions, transactions structured through investment banking institutions, block purchase techniques, 10b5-1 trading plans, or a combination of the foregoing. The following table summarizes the share repurchase activity under our share repurchase program (in millions, except per share amounts): Three Months Ended April 30, Nine Months Ended April 30, 2022 2021 2022 2021 Number of shares repurchased — 1.0 1.0 3.1 Weighted average price per share (1) $ — $ 321.97 $ 533.80 $ 269.89 Aggregate purchase price (1) $ — $ 350.0 $ 550.0 $ 850.0 ______________ (1) Includes transaction costs As of April 30, 2022, $450.0 million remained available for future share repurchases under our current repurchase authorization. |
Equity Award Plans (Notes)
Equity Award Plans (Notes) | 9 Months Ended |
Apr. 30, 2022 | |
Share-based Payment Arrangement [Abstract] | |
Equity Award Plans | Equity Award Plans 2021 Equity Incentive Plan Our 2021 Equity Incentive Plan (our “2021 Plan”) became effective in December 2021 and replaced the 2012 Equity Incentive Plan (our “2012 Plan”). Our 2021 Plan provides for the granting of stock options, stock appreciation rights, restricted stock awards (“RSA”), restricted stock units (“RSU”), performance share awards (“PSAs”), performance stock units (“PSUs”) and performance stock options (“PSOs”) to our employees, directors, and consultants. Our 2012 Plan continues to govern the terms of outstanding equity awards that were granted thereunder prior to the adoption of the 2021 Plan. The majority of our equity awards are RSUs, which generally vest over a period of three We grant PSUs to certain employees, which vest over a period of one We have also granted PSOs with both a market condition and a service condition to certain executives. The market condition for PSOs granted in fiscal 2018 and fiscal 2019 requires the price of our common stock to equal or exceed $297.75, $397.00, $496.25, and $595.50 based on the average closing price for 30 consecutive trading days during the four five six A total of 4.7 million shares of our common stock are reserved for issuance pursuant to our 2021 Plan as of April 30, 2022. PSO Activities The following table summarizes the PSO activity under our stock plans during the reporting period (in millions, except per share amounts): PSOs Outstanding Number of Shares Weighted-Average Exercise Price Per Share Weighted-Average Remaining Contractual Term Aggregate Intrinsic Value Balance—July 31, 2021 2.8 $ 194.14 4.2 $ 566.8 Forfeited (0.1) $ 184.24 Balance—April 30, 2022 2.7 $ 194.55 3.4 $ 974.6 Exercisable—April 30, 2022 2.7 $ 194.55 3.4 $ 974.6 RSU and PSU Activities The following table summarizes the RSU and PSU activity under our stock plans during the reporting period (in millions, except per share amounts): RSUs Outstanding PSUs Outstanding Number of Shares Weighted-Average Grant-Date Fair Value Per Share Aggregate Intrinsic Value Number of Shares Weighted-Average Grant-Date Fair Value Per Share Aggregate Intrinsic Value Balance—July 31, 2021 6.9 $ 257.56 $ 2,760.2 1.3 $ 292.93 $ 498.4 Granted (1) 1.7 $ 495.98 0.3 $ 333.56 Vested (2.3) $ 251.42 (0.4) $ 249.70 Forfeited (0.7) $ 280.58 (0.1) $ 331.76 Balance—April 30, 2022 5.6 $ 328.61 $ 3,131.9 1.1 $ 313.09 $ 632.9 ______________ (1) For PSUs, shares granted represent the aggregate maximum number of shares that may be earned and issued with respect to these awards over their full terms. During the nine months ended April 30, 2022, we granted 0.1 million shares of PSUs, which contain service, performance and market conditions. The performance condition is based on revenue growth, whereas the market condition measures our total shareholder return (“TSR”) relative to the TSR of the companies listed in the Standard & Poor’s 500 index. In addition to this grant, we have also approved the future grant of 0.1 million shares of PSUs with similar terms, which will be considered granted at the time their related vesting conditions are established in the next two years. The fair value of the PSUs subject to the market condition is estimated on the grant date using a Monte Carlo simulation model. The following table summarizes the assumptions used and the grant-date fair value of our PSUs granted: Three Months Ended April 30, 2022 Nine Months Ended April 30, 2022 Volatility 39.1% - 41.1% 36.0% - 41.1% Expected term (in years) 1.4 - 2.4 1.4 - 3.0 Dividend yield 0.0 % 0.0 % Risk-free interest rate 1.5% - 2.0% 0.2% - 2.0% Grant-date fair value per share $770.84 - $782.13 $411.49 - $782.13 Share-Based Compensation The following table summarizes share-based compensation included in costs and expenses (in millions): Three Months Ended Nine Months Ended April 30, April 30, 2022 2021 2022 2021 Cost of product revenue $ 2.3 $ 1.6 $ 6.9 $ 4.7 Cost of subscription and support revenue 27.4 23.3 81.8 69.3 Research and development 112.7 118.2 361.9 317.2 Sales and marketing 75.7 69.2 228.8 203.8 General and administrative 29.2 30.6 93.3 101.9 Total share-based compensation $ 247.3 $ 242.9 $ 772.7 $ 696.9 As of April 30, 2022, total compensation cost related to unvested share-based awards not yet recognized was $2.0 billion. This cost is expected to be amortized over a weighted-average period of approximately 2.6 years . |
Income Taxes (Notes)
Income Taxes (Notes) | 9 Months Ended |
Apr. 30, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes For the three and nine months ended April 30, 2022, our provision for income taxes reflected an effective tax rate of negative 39.4% and negative 20.4% , respectively. For the three and nine months ended April 30, 2021, our provision for income taxes reflected an effective tax rate of 3.5% and negative 4.7%, respectively. Our taxes are primarily due to foreign income tax and withholding tax. Our effective tax rates differed from the U.S. statutory tax rate primarily due to changes in our valuation allowance. |
Net Loss Per Share (Notes)
Net Loss Per Share (Notes) | 9 Months Ended |
Apr. 30, 2022 | |
Earnings Per Share [Abstract] | |
Net Loss Per Share | Net Loss Per Share Basic net loss per share is computed by dividing net loss by basic weighted-average shares outstanding during the period. Diluted net loss per share is computed by dividing net loss by diluted weighted-average shares outstanding, including potentially dilutive securities. The following table presents the computation of basic and diluted net loss per share of common stock (in millions, except per share data): Three Months Ended Nine Months Ended April 30, April 30, 2022 2021 2022 2021 Net loss $ (73.2) $ (145.1) $ (270.3) $ (379.6) Weighted-average shares used to compute net loss per share, basic and diluted 98.9 96.9 98.2 96.1 Net loss per share, basic and diluted $ (0.74) $ (1.50) $ (2.75) $ (3.95) The following securities were excluded from the computation of diluted net loss per share of common stock for the periods presented as their effect would have been antidilutive (in millions): Three and Nine Months Ended April 30, 2022 2021 Convertible senior notes 13.1 13.1 Warrants related to the issuance of convertible senior notes 13.1 13.1 RSUs and PSUs 6.7 8.3 Options to purchase common stock, including PSOs 2.7 2.8 Restricted stock awards and performance-based stock awards 0.2 0.4 ESPP shares 0.1 0.1 Total 35.9 37.8 |
Description of Business and S_2
Description of Business and Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Apr. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation and Principles of Consolidation | Basis of Presentation and Principles of Consolidation The accompanying condensed consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“GAAP”), consistent in all material respects with those applied in our Annual Report on Form 10-K for the fiscal year ended July 31, 2021, filed with the Securities and Exchange Commission (“SEC”) on September 3, 2021. Our condensed consolidated financial statements include our accounts and our wholly owned subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation. Our condensed consolidated financial statements are unaudited but include all adjustments of a normal recurring nature necessary for a fair presentation of our quarterly results. Certain prior period amounts have been reclassified to conform to our current period presentation. Our condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and related notes in our Annual Report on Form 10-K for the fiscal year ended July 31, 2021. |
Use of Estimates | Use of Estimates The preparation of condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. We base our estimates on historical experience and also on assumptions that we believe are reasonable. Actual results could differ materially from those estimates due to risks and uncertainties, including uncertainty in the economic environment such as the global impact of the coronavirus disease discovered in 2019 (“COVID-19”). |
Recently Adopted Accounting Pronouncements | Recently Adopted Accounting Pronouncements Acquired Contract Assets and Contract Liabilities In October 2021, the Financial Accounting Standards Board (“FASB”) issued authoritative guidance that requires companies to apply revenue guidance to recognize and measure contract assets and contract liabilities from contracts with customers acquired in a business combination on the acquisition date, instead of measuring them at fair value. We early adopted this guidance in our first quarter of fiscal 2022 on a prospective basis. The adoption of this standard did not have a material impact on our condensed consolidated financial statements. Debt with Conversion Options In August 2020, the FASB issued authoritative guidance that simplifies the accounting for certain financial instruments with characteristics of liabilities and equity, including convertible instrument. The standard reduces the number of models used to account for convertible instruments and simplifies the classification of debt on the balance sheet. We adopted this standard in our first quarter of fiscal 2022 using the modified-retrospective approach, under which financial results reported in periods prior to fiscal 2022 were not adjusted. The adoption of this standard resulted in an increase to convertible senior notes, net of $444.3 million, a decrease to accumulated deficit of $266.7 million, and a decrease to additional paid-in capital and temporary equity of $711.0 million upon adoption. Below is the update to our Summary of Significant Accounting Policies in our Annual Report on Form 10-K for the fiscal year ended July 31, 2021 as a result of the adoption of the above guidance. |
Business Combinations | Business Combinations We include the results of operations of the businesses that we acquire as of the respective dates of acquisition. We generally allocate the fair value of the purchase price of our acquisitions to the assets acquired and liabilities assumed based on their estimated |
Convertible Senior Notes | Convertible Senior Notes Prior to August 1, 2021, our convertible senior notes were separated into a liability and an equity component. The carrying amount of the liability component was calculated by measuring the fair value of a similar liability that did not have an associated convertible feature, using a discounted cash flow model with a risk-adjusted yield. The carrying amount of the equity component representing the conversion option was determined by deducting the fair value of the liability component from the par value of the notes as a whole. This difference represented a debt discount that was amortized to interest expense using the effective interest method over the term of the notes. The equity component was not remeasured as it continued to meet the conditions for equity classification. Transaction costs related to the issuance of the notes were allocated to the liability and equity components using the same proportions as the proceeds from the notes. Transaction costs attributable to the liability component were netted with the liability component and amortized to interest expense using the effective interest method over the term of the notes. Transaction costs attributable to the equity component were netted with the equity component of the notes in additional paid-in capital. Upon the notes becoming convertible, the net carrying amount of the liability component was classified as a current liability and a portion of the equity component representing the conversion option was reclassified to temporary equity. The portion of the equity component classified as temporary equity was measured as the difference between the principal and net carrying amount of the notes, excluding debt issuance costs. |
Fair value Measurements | Fair Value Measurements We categorize assets and liabilities recorded or disclosed at fair value on our condensed consolidated balance sheets based upon the level of judgment associated with inputs used to measure their fair value. The categories are as follows: • Level 1—Inputs are unadjusted quoted prices in active markets for identical assets or liabilities. • Level 2—Inputs are quoted prices for similar assets and liabilities in active markets or inputs that are observable for the assets or liabilities, either directly or indirectly through market corroboration, for substantially the full term of the financial instruments. • Level 3—Inputs are unobservable inputs based on our own assumptions used to measure assets and liabilities at fair value. The inputs require significant management judgment or estimation. |
Revenue (Tables)
Revenue (Tables) | 9 Months Ended |
Apr. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from external customers by geographic areas | The following table presents revenue by geographic theater (in millions): Three Months Ended April 30, Nine Months Ended April 30, 2022 2021 2022 2021 Revenue: Americas United States $ 887.2 $ 683.1 $ 2,557.5 $ 1,950.3 Other Americas 61.5 49.3 173.8 138.4 Total Americas 948.7 732.4 2,731.3 2,088.7 Europe, the Middle East, and Africa (“EMEA”) 269.5 211.0 755.5 590.6 Asia Pacific and Japan (“APAC”) 168.5 130.5 464.2 357.5 Total revenue $ 1,386.7 $ 1,073.9 $ 3,951.0 $ 3,036.8 |
Revenue from external customers by products and services | The following table presents revenue for groups of similar products and services (in millions): Three Months Ended April 30, Nine Months Ended April 30, 2022 2021 2022 2021 Revenue: Product $ 351.5 $ 288.9 $ 955.0 $ 780.9 Subscription and support Subscription 639.8 473.8 1,836.6 1,363.5 Support 395.4 311.2 1,159.4 892.4 Total subscription and support 1,035.2 785.0 2,996.0 2,255.9 Total revenue $ 1,386.7 $ 1,073.9 $ 3,951.0 $ 3,036.8 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Apr. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Schedule of fair value of financial assets and liabilities | The following table presents the fair value of our financial assets and liabilities measured at fair value on a recurring basis as of April 30, 2022 and July 31, 2021 (in millions): April 30, 2022 July 31, 2021 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Cash equivalents: Money market funds $ 923.0 $ — $ — $ 923.0 $ 124.2 $ — $ — $ 124.2 Certificates of deposit — 50.0 — 50.0 — 150.4 — 150.4 Commercial paper — 17.9 — 17.9 — — — — Corporate debt securities — 3.9 — 3.9 — 1.0 — 1.0 U.S. government and agency securities — — — — — 116.3 — 116.3 Total cash equivalents 923.0 71.8 — 994.8 124.2 267.7 — 391.9 Short-term investments: Certificates of deposit — 205.5 — 205.5 — 12.4 — 12.4 Commercial paper — 11.0 — 11.0 — — — — Corporate debt securities — 351.4 — 351.4 — 208.9 — 208.9 U.S. government and agency securities — 826.7 — 826.7 — 762.1 — 762.1 Non-U.S. government and agency securities 60.1 60.1 43.5 43.5 Total short-term investments — 1,454.7 — 1,454.7 — 1,026.9 — 1,026.9 Long-term investments: Certificates of deposit — — — — — 5.0 — 5.0 Corporate debt securities — 393.2 — 393.2 — 180.7 — 180.7 U.S. government and agency securities — 242.9 — 242.9 — 674.1 — 674.1 Non-U.S. government and agency securities — — — — — 28.5 — 28.5 Asset-backed securities — 78.6 — 78.6 — — — — Total long-term investments — 714.7 — 714.7 — 888.3 — 888.3 Prepaid expenses and other current assets: Foreign currency forward contracts — 0.3 — 0.3 — 4.1 — 4.1 Total prepaid expenses and other current assets — 0.3 — 0.3 — 4.1 — 4.1 Other assets: Foreign currency forward contracts — — — — — 0.1 — 0.1 Total other assets: — — — — — 0.1 — 0.1 Total assets measured at fair value $ 923.0 $ 2,241.5 $ — $ 3,164.5 $ 124.2 $ 2,187.1 $ — $ 2,311.3 Accrued and other liabilities: Foreign currency forward contracts $ — $ 31.6 $ — $ 31.6 $ — $ 6.4 $ — $ 6.4 Total accrued and other liabilities — 31.6 — 31.6 — 6.4 — 6.4 Other long-term liabilities: Foreign currency forward contracts — 1.0 — 1.0 — 0.5 — 0.5 Total other long-term liabilities — 1.0 — 1.0 — 0.5 — 0.5 Total liabilities measured at fair value $ — $ 32.6 $ — $ 32.6 $ — $ 6.9 $ — $ 6.9 |
Cash Equivalents and Investme_2
Cash Equivalents and Investments (Tables) | 9 Months Ended |
Apr. 30, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of available-for-sale debt securities | The following tables summarize the amortized cost, unrealized gains and losses, and fair value of our available-for-sale debt securities as of April 30, 2022 and July 31, 2021 (in millions): April 30, 2022 Amortized Cost Unrealized Gains Unrealized Losses Fair Value Cash equivalents: Certificates of deposit $ 50.0 $ — $ — $ 50.0 Commercial paper 17.9 — — 17.9 Corporate debt securities 3.9 — — 3.9 Total available-for-sale cash equivalents $ 71.8 $ — $ — $ 71.8 Investments: Certificates of deposit $ 205.5 $ — $ — $ 205.5 Commercial paper 11.0 — — 11.0 Corporate debt securities 755.7 — (11.1) 744.6 U.S. government and agency securities 1,081.6 — (12.0) 1,069.6 Non-U.S. government and agency securities 60.4 — (0.3) 60.1 Asset-backed securities 79.3 — (0.7) 78.6 Total available-for-sale investments $ 2,193.5 $ — $ (24.1) $ 2,169.4 July 31, 2021 Amortized Cost Unrealized Gains Unrealized Losses Fair Value Cash equivalents: Certificates of deposit $ 150.4 $ — $ — $ 150.4 Corporate debt securities 1.0 — — 1.0 U.S. government and agency securities 116.3 — — 116.3 Total available-for-sale cash equivalents $ 267.7 $ — $ — $ 267.7 Investments: Certificates of deposit $ 17.4 $ — $ — $ 17.4 Corporate debt securities 389.2 0.5 (0.1) 389.6 U.S. government and agency securities 1,435.1 1.1 — 1,436.2 Non-U.S. government and agency securities 72.0 — — 72.0 Total available-for-sale investments $ 1,913.7 $ 1.6 $ (0.1) $ 1,915.2 |
Schedule of contractual maturities of available-for-sale debt securities | The following table summarizes the amortized cost and fair value of our available-for-sale debt securities as of April 30, 2022, by contractual years-to-maturity (in millions): Amortized Cost Fair Value Due within one year $ 1,536.2 $ 1,526.5 Due between one and three years 675.2 661.3 Due between three to five years 49.6 49.1 Due between five to ten years 4.3 4.3 Total $ 2,265.3 $ 2,241.2 |
Financing Receivables (Tables)
Financing Receivables (Tables) | 9 Months Ended |
Apr. 30, 2022 | |
Receivables [Abstract] | |
Short- and long-term financing receivables | The following table summarizes our short-term and long-term financing receivables as of April 30, 2022 and July 31, 2021 (in millions): April 30, 2022 July 31, 2021 Short-term financing receivables, gross $ 118.1 $ 80.0 Allowance for credit losses (1.3) (1.0) Short-term financing receivables, net $ 116.8 $ 79.0 Long-term financing receivables, gross $ 180.0 $ 198.6 Allowance for credit losses (2.7) (4.3) Long-term financing receivables, net $ 177.3 $ 194.3 |
Goodwill, Intangible Assets a_2
Goodwill, Intangible Assets and Other Long-lived Assets (Tables) | 9 Months Ended |
Apr. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of goodwill | The following table presents details of our goodwill during the nine months ended April 30, 2022 (in millions): Amount Balance as of July 31, 2021 $ 2,710.1 Goodwill acquired 21.2 Balance as of April 30, 2022 $ 2,731.3 |
Schedule of purchased finite-lived intangible assets by major class | The following table presents details of our purchased intangible assets as of April 30, 2022 and July 31, 2021 (in millions): April 30, 2022 July 31, 2021 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Intangible assets subject to amortization: Developed technology $ 600.7 $ (322.2) $ 278.5 $ 596.2 $ (243.8) $ 352.4 Customer relationships 172.7 (46.8) 125.9 172.7 (30.6) 142.1 Acquired intellectual property 11.3 (4.5) 6.8 7.9 (3.8) 4.1 Trade name and trademarks 9.4 (9.4) — 9.4 (9.4) — Other 0.9 — 0.9 1.8 (1.8) — Total purchased intangible assets $ 795.0 $ (382.9) $ 412.1 $ 788.0 $ (289.4) $ 498.6 |
Future amortization expense of intangible assets | The following table summarizes estimated future amortization expense of our intangible assets as of April 30, 2022 (in millions): Fiscal years ending July 31, Total Remaining 2022 2023 2024 2025 2026 2027 and thereafter Future amortization expense $ 412.1 $ 31.6 $ 101.1 $ 91.1 $ 77.4 $ 55.6 $ 55.3 |
Debt (Tables)
Debt (Tables) | 9 Months Ended |
Apr. 30, 2022 | |
Debt Disclosure [Abstract] | |
Convertible senior notes details | The following table presents details of our Notes (number of shares in millions): Conversion Rate per $1,000 Principal Initial Conversion Price Convertible Date Initial Number of Shares 2023 Notes 3.7545 $ 266.35 April 1, 2023 6.4 2025 Notes 3.3602 $ 297.60 March 1, 2025 6.7 |
Components of convertible senior notes | The following table sets forth the components of the Notes as of April 30, 2022 and July 31, 2021 (in millions): April 30, 2022 (1) July 31, 2021 2023 Notes 2025 Notes Total 2023 Notes 2025 Notes Total Liability component: Principal $ 1,692.0 $ 2,000.0 $ 3,692.0 $ 1,692.0 $ 2,000.0 $ 3,692.0 Less: debt discount and debt issuance costs, net of amortization (3.3) (13.0) (16.3) (134.1) (331.9) (466.0) Net carrying amount $ 1,688.7 $ 1,987.0 $ 3,675.7 $ 1,557.9 $ 1,668.1 $ 3,226.0 Equity component (including amounts classified as temporary equity) $ — $ — $ — $ 315.0 $ 403.0 $ 718.0 ______________ (1) As described in Note 1. Description of Business and Summary of Significant Accounting Policies, we adopted new debt guidance effective August 1, 2021, using a modified retrospective method, under which financial results reported in prior periods were not adjusted. Upon adoption, our convertible senior notes are accounted for entirely as a liability and measured at their amortized cost. Transaction costs related to the issuance of the notes are netted with the liability and are amortized on a straight-line basis, which approximates the effective interest rate method, to interest expense over the term of the notes. |
Interest expense recognized related to the convertible senior notes | The following table sets forth interest expense recognized related to the Notes (dollars in millions): Three Months Ended April 30, Nine Months Ended April 30, 2022 2021 2022 2021 2023 Notes 2025 Notes Total 2023 Notes 2025 Notes Total 2023 Notes 2025 Notes Total 2023 Notes 2025 Notes Total Contractual interest expense $ 3.2 $ 1.8 $ 5.0 $ 3.2 $ 1.8 $ 5.0 $ 9.5 $ 5.6 $ 15.1 $ 9.5 $ 5.6 $ 15.1 Amortization of debt discount (1) — — — 16.0 18.6 34.6 — — — 47.4 55.3 102.7 Amortization of debt issuance costs 0.7 1.1 1.8 0.6 0.7 1.3 2.1 3.3 5.4 1.7 2.1 3.8 Total interest expense $ 3.9 $ 2.9 $ 6.8 $ 19.8 $ 21.1 $ 40.9 $ 11.6 $ 8.9 $ 20.5 $ 58.6 $ 63.0 $ 121.6 Effective interest rate 0.9 % 0.6 % 5.2 % 5.4 % 0.9 % 0.6 % 5.2 % 5.4 % ______________ (1) Upon adoption of the new debt guidance, the conversion option is no longer separately accounted for as debt discount. Our convertible senior notes are accounted for entirely as a liability. |
Note hedges details | The following table presents details of our Note Hedges (in millions): Initial Number of Shares Aggregate Purchase 2023 Note Hedges 6.4 $ 332.0 2025 Note Hedges 6.7 $ 370.8 |
Warrants details | The following table presents details of the Warrants (in millions, except per share data): Initial Number Strike Price Aggregate 2023 Warrants 6.4 $ 417.80 $ 145.4 2025 Warrants 6.7 $ 408.47 $ 202.8 |
Commitments and Contingencies_2
Commitments and Contingencies (Tables) | 9 Months Ended |
Apr. 30, 2022 | |
Manufacturing products and components | |
Aggregate Future Purchase Commitments | |
Schedule of future non-cancelable purchase commitments for inventory and cloud services | The following table presents details of the aggregate future purchase commitments under these arrangements, excluding obligations under contracts that we can cancel without a significant penalty as of April 30, 2022 (in millions): Fiscal years ending July 31, Total Remaining 2022 2023 2024 2025 2026 2027 and thereafter Manufacturing purchase commitments $ 360.6 $ 84.4 $ 171.2 $ 30.0 $ 35.0 $ 40.0 $ — |
Cloud and other services | |
Aggregate Future Purchase Commitments | |
Schedule of future non-cancelable purchase commitments for inventory and cloud services | The following table presents details of the aggregate future non-cancelable purchase commitments under these agreements as of April 30, 2022 (in millions): Fiscal years ending July 31, Total Remaining 2022 2023 2024 2025 2026 2027 and thereafter Other purchase commitments $ 1,962.9 $ 18.6 $ 146.2 $ 366.5 $ 415.3 $ 531.6 $ 484.7 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 9 Months Ended |
Apr. 30, 2022 | |
Equity [Abstract] | |
Share repurchase program | The following table summarizes the share repurchase activity under our share repurchase program (in millions, except per share amounts): Three Months Ended April 30, Nine Months Ended April 30, 2022 2021 2022 2021 Number of shares repurchased — 1.0 1.0 3.1 Weighted average price per share (1) $ — $ 321.97 $ 533.80 $ 269.89 Aggregate purchase price (1) $ — $ 350.0 $ 550.0 $ 850.0 ______________ (1) Includes transaction costs |
Equity Award Plans (Tables)
Equity Award Plans (Tables) | 9 Months Ended |
Apr. 30, 2022 | |
Share-based Payment Arrangement [Abstract] | |
Schedule of performance stock option ("PSO") activity | The following table summarizes the PSO activity under our stock plans during the reporting period (in millions, except per share amounts): PSOs Outstanding Number of Shares Weighted-Average Exercise Price Per Share Weighted-Average Remaining Contractual Term Aggregate Intrinsic Value Balance—July 31, 2021 2.8 $ 194.14 4.2 $ 566.8 Forfeited (0.1) $ 184.24 Balance—April 30, 2022 2.7 $ 194.55 3.4 $ 974.6 Exercisable—April 30, 2022 2.7 $ 194.55 3.4 $ 974.6 |
Schedule of restricted stock unit (“RSU”) and performance-based stock unit (“PSU”) activities | The following table summarizes the RSU and PSU activity under our stock plans during the reporting period (in millions, except per share amounts): RSUs Outstanding PSUs Outstanding Number of Shares Weighted-Average Grant-Date Fair Value Per Share Aggregate Intrinsic Value Number of Shares Weighted-Average Grant-Date Fair Value Per Share Aggregate Intrinsic Value Balance—July 31, 2021 6.9 $ 257.56 $ 2,760.2 1.3 $ 292.93 $ 498.4 Granted (1) 1.7 $ 495.98 0.3 $ 333.56 Vested (2.3) $ 251.42 (0.4) $ 249.70 Forfeited (0.7) $ 280.58 (0.1) $ 331.76 Balance—April 30, 2022 5.6 $ 328.61 $ 3,131.9 1.1 $ 313.09 $ 632.9 ______________ (1) For PSUs, shares granted represent the aggregate maximum number of shares that may be earned and issued with respect to these awards over their full terms. |
Schedule of assumptions used and resulting grant-date fair values of our PSUs | The following table summarizes the assumptions used and the grant-date fair value of our PSUs granted: Three Months Ended April 30, 2022 Nine Months Ended April 30, 2022 Volatility 39.1% - 41.1% 36.0% - 41.1% Expected term (in years) 1.4 - 2.4 1.4 - 3.0 Dividend yield 0.0 % 0.0 % Risk-free interest rate 1.5% - 2.0% 0.2% - 2.0% Grant-date fair value per share $770.84 - $782.13 $411.49 - $782.13 |
Schedule of allocation of share-based compensation expense | The following table summarizes share-based compensation included in costs and expenses (in millions): Three Months Ended Nine Months Ended April 30, April 30, 2022 2021 2022 2021 Cost of product revenue $ 2.3 $ 1.6 $ 6.9 $ 4.7 Cost of subscription and support revenue 27.4 23.3 81.8 69.3 Research and development 112.7 118.2 361.9 317.2 Sales and marketing 75.7 69.2 228.8 203.8 General and administrative 29.2 30.6 93.3 101.9 Total share-based compensation $ 247.3 $ 242.9 $ 772.7 $ 696.9 |
Net Loss Per Share (Tables)
Net Loss Per Share (Tables) | 9 Months Ended |
Apr. 30, 2022 | |
Earnings Per Share [Abstract] | |
Computation of basic and diluted net loss per share of common stock | The following table presents the computation of basic and diluted net loss per share of common stock (in millions, except per share data): Three Months Ended Nine Months Ended April 30, April 30, 2022 2021 2022 2021 Net loss $ (73.2) $ (145.1) $ (270.3) $ (379.6) Weighted-average shares used to compute net loss per share, basic and diluted 98.9 96.9 98.2 96.1 Net loss per share, basic and diluted $ (0.74) $ (1.50) $ (2.75) $ (3.95) |
Schedule of antidilutive securities excluded from the computation of net loss per share | The following securities were excluded from the computation of diluted net loss per share of common stock for the periods presented as their effect would have been antidilutive (in millions): Three and Nine Months Ended April 30, 2022 2021 Convertible senior notes 13.1 13.1 Warrants related to the issuance of convertible senior notes 13.1 13.1 RSUs and PSUs 6.7 8.3 Options to purchase common stock, including PSOs 2.7 2.8 Restricted stock awards and performance-based stock awards 0.2 0.4 ESPP shares 0.1 0.1 Total 35.9 37.8 |
Description of Business and S_3
Description of Business and Summary of Significant Accounting Policies (Details) - USD ($) $ in Millions | Apr. 30, 2022 | Aug. 01, 2021 | Jul. 31, 2021 |
Debt Instruments | |||
Decrease to accumulated deficit | $ (1,670.4) | $ (1,666.8) | |
Accounting Standards Update 2020-06 | |||
Debt Instruments | |||
Decrease to accumulated deficit | $ 266.7 | ||
Decrease to additional paid in capital and temporary equity | 711 | ||
Increase to convertible senior notes, net | $ 444.3 |
Revenue (Disaggregation of Reve
Revenue (Disaggregation of Revenue - Geographic Theater) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Apr. 30, 2022 | Apr. 30, 2021 | Apr. 30, 2022 | Apr. 30, 2021 | |
Disaggregation of Revenue | ||||
Revenue: | $ 1,386.7 | $ 1,073.9 | $ 3,951 | $ 3,036.8 |
United States | ||||
Disaggregation of Revenue | ||||
Revenue: | 887.2 | 683.1 | 2,557.5 | 1,950.3 |
Other Americas | ||||
Disaggregation of Revenue | ||||
Revenue: | 61.5 | 49.3 | 173.8 | 138.4 |
Total Americas | ||||
Disaggregation of Revenue | ||||
Revenue: | 948.7 | 732.4 | 2,731.3 | 2,088.7 |
Europe, the Middle East, and Africa (“EMEA”) | ||||
Disaggregation of Revenue | ||||
Revenue: | 269.5 | 211 | 755.5 | 590.6 |
Asia Pacific and Japan (“APAC”) | ||||
Disaggregation of Revenue | ||||
Revenue: | $ 168.5 | $ 130.5 | $ 464.2 | $ 357.5 |
Revenue (Disaggregation of Re_2
Revenue (Disaggregation of Revenue - Type of Revenue) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Apr. 30, 2022 | Apr. 30, 2021 | Apr. 30, 2022 | Apr. 30, 2021 | |
Revenue: | ||||
Revenue: | $ 1,386.7 | $ 1,073.9 | $ 3,951 | $ 3,036.8 |
Product | ||||
Revenue: | ||||
Revenue: | 351.5 | 288.9 | 955 | 780.9 |
Subscription | ||||
Revenue: | ||||
Revenue: | 639.8 | 473.8 | 1,836.6 | 1,363.5 |
Support | ||||
Revenue: | ||||
Revenue: | 395.4 | 311.2 | 1,159.4 | 892.4 |
Subscription and support | ||||
Revenue: | ||||
Revenue: | $ 1,035.2 | $ 785 | $ 2,996 | $ 2,255.9 |
Revenue (Deferred Revenue) (Det
Revenue (Deferred Revenue) (Details) - USD ($) $ in Millions | 9 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Revenue from Contract with Customer [Abstract] | ||
Contract with customer, liability, revenue recognized | $ 2,200 | $ 1,600 |
Revenue (Remaining Performance
Revenue (Remaining Performance Obligations) (Details) $ in Billions | Apr. 30, 2022USD ($) |
Remaining Performance Obligations, Expected Timing of Satisfaction | |
Remaining performance obligations | $ 6.9 |
Remaining Performance Obligations, Expected Timing of Satisfaction, Start Date: 2023-04-01 | |
Remaining Performance Obligations, Expected Timing of Satisfaction | |
Remaining performance obligations | $ 3.6 |
Remaining performance obligations, expected timing of satisfaction, period | 12 months |
Fair Value Measurements (Detail
Fair Value Measurements (Details) - Fair value, measurements, recurring - USD ($) $ in Millions | Apr. 30, 2022 | Jul. 31, 2021 |
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Cash equivalents: | $ 994.8 | $ 391.9 |
Short-term investments: | 1,454.7 | 1,026.9 |
Long-term investments: | 714.7 | 888.3 |
Prepaid expenses and other current assets: | 0.3 | 4.1 |
Other assets: | 0 | 0.1 |
Total assets measured at fair value | 3,164.5 | 2,311.3 |
Total accrued and other liabilities | 31.6 | 6.4 |
Other long-term liabilities: | 1 | 0.5 |
Total liabilities measured at fair value | 32.6 | 6.9 |
Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Cash equivalents: | 923 | 124.2 |
Short-term investments: | 0 | 0 |
Long-term investments: | 0 | 0 |
Prepaid expenses and other current assets: | 0 | 0 |
Other assets: | 0 | 0 |
Total assets measured at fair value | 923 | 124.2 |
Total accrued and other liabilities | 0 | 0 |
Other long-term liabilities: | 0 | 0 |
Total liabilities measured at fair value | 0 | 0 |
Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Cash equivalents: | 71.8 | 267.7 |
Short-term investments: | 1,454.7 | 1,026.9 |
Long-term investments: | 714.7 | 888.3 |
Prepaid expenses and other current assets: | 0.3 | 4.1 |
Other assets: | 0 | 0.1 |
Total assets measured at fair value | 2,241.5 | 2,187.1 |
Total accrued and other liabilities | 31.6 | 6.4 |
Other long-term liabilities: | 1 | 0.5 |
Total liabilities measured at fair value | 32.6 | 6.9 |
Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Cash equivalents: | 0 | 0 |
Short-term investments: | 0 | 0 |
Long-term investments: | 0 | 0 |
Prepaid expenses and other current assets: | 0 | 0 |
Other assets: | 0 | 0 |
Total assets measured at fair value | 0 | 0 |
Total accrued and other liabilities | 0 | 0 |
Other long-term liabilities: | 0 | 0 |
Total liabilities measured at fair value | 0 | 0 |
Money market funds | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Cash equivalents: | 923 | 124.2 |
Money market funds | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Cash equivalents: | 923 | 124.2 |
Money market funds | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Cash equivalents: | 0 | 0 |
Money market funds | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Cash equivalents: | 0 | 0 |
Certificates of deposit | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Cash equivalents: | 50 | 150.4 |
Short-term investments: | 205.5 | 12.4 |
Long-term investments: | 0 | 5 |
Certificates of deposit | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Cash equivalents: | 0 | 0 |
Short-term investments: | 0 | 0 |
Long-term investments: | 0 | 0 |
Certificates of deposit | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Cash equivalents: | 50 | 150.4 |
Short-term investments: | 205.5 | 12.4 |
Long-term investments: | 0 | 5 |
Certificates of deposit | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Cash equivalents: | 0 | 0 |
Short-term investments: | 0 | 0 |
Long-term investments: | 0 | 0 |
Commercial paper | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Cash equivalents: | 17.9 | 0 |
Short-term investments: | 11 | 0 |
Commercial paper | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Cash equivalents: | 0 | 0 |
Short-term investments: | 0 | 0 |
Commercial paper | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Cash equivalents: | 17.9 | 0 |
Short-term investments: | 11 | 0 |
Commercial paper | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Cash equivalents: | 0 | 0 |
Short-term investments: | 0 | 0 |
Corporate debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Cash equivalents: | 3.9 | 1 |
Short-term investments: | 351.4 | 208.9 |
Long-term investments: | 393.2 | 180.7 |
Corporate debt securities | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Cash equivalents: | 0 | 0 |
Short-term investments: | 0 | 0 |
Long-term investments: | 0 | 0 |
Corporate debt securities | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Cash equivalents: | 3.9 | 1 |
Short-term investments: | 351.4 | 208.9 |
Long-term investments: | 393.2 | 180.7 |
Corporate debt securities | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Cash equivalents: | 0 | 0 |
Short-term investments: | 0 | 0 |
Long-term investments: | 0 | 0 |
U.S. government and agency securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Cash equivalents: | 0 | 116.3 |
Short-term investments: | 826.7 | 762.1 |
Long-term investments: | 242.9 | 674.1 |
U.S. government and agency securities | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Cash equivalents: | 0 | 0 |
Short-term investments: | 0 | 0 |
Long-term investments: | 0 | 0 |
U.S. government and agency securities | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Cash equivalents: | 0 | 116.3 |
Short-term investments: | 826.7 | 762.1 |
Long-term investments: | 242.9 | 674.1 |
U.S. government and agency securities | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Cash equivalents: | 0 | 0 |
Short-term investments: | 0 | 0 |
Long-term investments: | 0 | 0 |
Non-U.S. government and agency securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Short-term investments: | 60.1 | 43.5 |
Long-term investments: | 0 | 28.5 |
Non-U.S. government and agency securities | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Short-term investments: | ||
Long-term investments: | 0 | 0 |
Non-U.S. government and agency securities | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Short-term investments: | 60.1 | 43.5 |
Long-term investments: | 0 | 28.5 |
Non-U.S. government and agency securities | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Short-term investments: | ||
Long-term investments: | 0 | 0 |
Asset-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Long-term investments: | 78.6 | 0 |
Asset-backed securities | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Long-term investments: | 0 | 0 |
Asset-backed securities | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Long-term investments: | 78.6 | 0 |
Asset-backed securities | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Long-term investments: | 0 | 0 |
Foreign currency forward contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Prepaid expenses and other current assets: | 0.3 | 4.1 |
Other assets: | 0 | 0.1 |
Accrued and other liabilities: | 31.6 | 6.4 |
Other long-term liabilities: | 1 | 0.5 |
Foreign currency forward contracts | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Prepaid expenses and other current assets: | 0 | 0 |
Other assets: | 0 | 0 |
Accrued and other liabilities: | 0 | 0 |
Other long-term liabilities: | 0 | 0 |
Foreign currency forward contracts | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Prepaid expenses and other current assets: | 0.3 | 4.1 |
Other assets: | 0 | 0.1 |
Accrued and other liabilities: | 31.6 | 6.4 |
Other long-term liabilities: | 1 | 0.5 |
Foreign currency forward contracts | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis | ||
Prepaid expenses and other current assets: | 0 | 0 |
Other assets: | 0 | 0 |
Accrued and other liabilities: | 0 | 0 |
Other long-term liabilities: | $ 0 | $ 0 |
Cash Equivalents and Investme_3
Cash Equivalents and Investments (Available-for-Sale Securities) (Details) - USD ($) $ in Millions | Apr. 30, 2022 | Jul. 31, 2021 |
Debt Securities, Available-for-sale | ||
Amortized Cost | $ 2,265.3 | |
Fair Value | 2,241.2 | |
Cash equivalents: | ||
Debt Securities, Available-for-sale | ||
Amortized Cost | 71.8 | $ 267.7 |
Unrealized Gains | 0 | 0 |
Unrealized Losses | 0 | 0 |
Fair Value | 71.8 | 267.7 |
Cash equivalents: | Certificates of deposit | ||
Debt Securities, Available-for-sale | ||
Amortized Cost | 50 | 150.4 |
Unrealized Gains | 0 | 0 |
Unrealized Losses | 0 | 0 |
Fair Value | 50 | 150.4 |
Cash equivalents: | Commercial paper | ||
Debt Securities, Available-for-sale | ||
Amortized Cost | 17.9 | |
Unrealized Gains | 0 | |
Unrealized Losses | 0 | |
Fair Value | 17.9 | |
Cash equivalents: | Corporate debt securities | ||
Debt Securities, Available-for-sale | ||
Amortized Cost | 3.9 | 1 |
Unrealized Gains | 0 | 0 |
Unrealized Losses | 0 | 0 |
Fair Value | 3.9 | 1 |
Cash equivalents: | U.S. government and agency securities | ||
Debt Securities, Available-for-sale | ||
Amortized Cost | 116.3 | |
Unrealized Gains | 0 | |
Unrealized Losses | 0 | |
Fair Value | 116.3 | |
Investments: | ||
Debt Securities, Available-for-sale | ||
Amortized Cost | 2,193.5 | 1,913.7 |
Unrealized Gains | 0 | 1.6 |
Unrealized Losses | (24.1) | (0.1) |
Fair Value | 2,169.4 | 1,915.2 |
Investments: | Certificates of deposit | ||
Debt Securities, Available-for-sale | ||
Amortized Cost | 205.5 | 17.4 |
Unrealized Gains | 0 | 0 |
Unrealized Losses | 0 | 0 |
Fair Value | 205.5 | 17.4 |
Investments: | Commercial paper | ||
Debt Securities, Available-for-sale | ||
Amortized Cost | 11 | |
Unrealized Gains | 0 | |
Unrealized Losses | 0 | |
Fair Value | 11 | |
Investments: | Corporate debt securities | ||
Debt Securities, Available-for-sale | ||
Amortized Cost | 755.7 | 389.2 |
Unrealized Gains | 0 | 0.5 |
Unrealized Losses | (11.1) | (0.1) |
Fair Value | 744.6 | 389.6 |
Investments: | U.S. government and agency securities | ||
Debt Securities, Available-for-sale | ||
Amortized Cost | 1,081.6 | 1,435.1 |
Unrealized Gains | 0 | 1.1 |
Unrealized Losses | (12) | 0 |
Fair Value | 1,069.6 | 1,436.2 |
Investments: | Non-U.S. government and agency securities | ||
Debt Securities, Available-for-sale | ||
Amortized Cost | 60.4 | 72 |
Unrealized Gains | 0 | 0 |
Unrealized Losses | (0.3) | 0 |
Fair Value | 60.1 | $ 72 |
Investments: | Asset-backed securities | ||
Debt Securities, Available-for-sale | ||
Amortized Cost | 79.3 | |
Unrealized Gains | 0 | |
Unrealized Losses | (0.7) | |
Fair Value | $ 78.6 |
Cash Equivalents and Investme_4
Cash Equivalents and Investments (Available-for-Sale Securities, Contractual Maturities) (Details) $ in Millions | Apr. 30, 2022USD ($) |
Amortized Cost | |
Due within one year | $ 1,536.2 |
Due between one and three years | 675.2 |
Due between three to five years | 49.6 |
Due between five to ten years | 4.3 |
Amortized Cost | 2,265.3 |
Fair Value | |
Due within one year | 1,526.5 |
Due between one and three years | 661.3 |
Due between three to five years | 49.1 |
Due between five to ten years | 4.3 |
Fair Value | $ 2,241.2 |
Cash Equivalents and Investme_5
Cash Equivalents and Investments (Marketable Equity Securities) (Details) - Cash and cash equivalents - Marketable equity securities - Money market funds - USD ($) | 3 Months Ended | 9 Months Ended | |||
Apr. 30, 2022 | Apr. 30, 2021 | Apr. 30, 2022 | Apr. 30, 2021 | Jul. 31, 2021 | |
Marketable Equity Securities | |||||
Carrying value | $ 923,000,000 | $ 923,000,000 | $ 124,200,000 | ||
Unrealized gains or losses recognized | $ 0 | $ 0 | $ 0 | $ 0 |
Financing Receivables (Details)
Financing Receivables (Details) - USD ($) $ in Millions | Apr. 30, 2022 | Jul. 31, 2021 |
Receivables [Abstract] | ||
Short-term financing receivables, gross | $ 118.1 | $ 80 |
Allowance for credit losses | (1.3) | (1) |
Short-term financing receivables, net | 116.8 | 79 |
Long-term financing receivables, gross | 180 | 198.6 |
Allowance for credit losses | (2.7) | (4.3) |
Long-term financing receivables, net | $ 177.3 | $ 194.3 |
Derivative Instruments (Details
Derivative Instruments (Details) - USD ($) $ in Millions | 9 Months Ended | |
Apr. 30, 2022 | Jul. 31, 2021 | |
Derivative | ||
Notional amount | $ 886.7 | $ 531.9 |
Foreign Exchange Contract | ||
Derivative | ||
Maximum contract term of cash flow hedge | 16 months |
Acquisitions (Additional Inform
Acquisitions (Additional Information) (Details) - USD ($) $ in Millions | Aug. 11, 2021 | Apr. 30, 2022 | Jul. 31, 2021 |
Business Acquisition | |||
Goodwill | $ 2,731.3 | $ 2,710.1 | |
Gamma Networks, Inc. | |||
Business Acquisition | |||
Total purchase consideration | $ 20.4 | ||
Goodwill | $ 21.2 |
Goodwill, Intangible Assets a_3
Goodwill, Intangible Assets and Other Long-lived Assets (Goodwill) (Details) $ in Millions | 9 Months Ended |
Apr. 30, 2022USD ($) | |
Goodwill Rollforward | |
Balance as of July 31, 2021 | $ 2,710.1 |
Goodwill acquired | 21.2 |
Balance as of April 30, 2022 | $ 2,731.3 |
Goodwill, Intangible Assets a_4
Goodwill, Intangible Assets and Other Long-lived Assets (Purchased Intangible Assets by Major Class) (Details) - USD ($) $ in Millions | Apr. 30, 2022 | Jul. 31, 2021 |
Finite-Lived Intangible Assets | ||
Gross Carrying Amount | $ 795 | $ 788 |
Accumulated Amortization | (382.9) | (289.4) |
Net Carrying Amount | 412.1 | 498.6 |
Developed technology | ||
Finite-Lived Intangible Assets | ||
Gross Carrying Amount | 600.7 | 596.2 |
Accumulated Amortization | (322.2) | (243.8) |
Net Carrying Amount | 278.5 | 352.4 |
Customer relationships | ||
Finite-Lived Intangible Assets | ||
Gross Carrying Amount | 172.7 | 172.7 |
Accumulated Amortization | (46.8) | (30.6) |
Net Carrying Amount | 125.9 | 142.1 |
Acquired intellectual property | ||
Finite-Lived Intangible Assets | ||
Gross Carrying Amount | 11.3 | 7.9 |
Accumulated Amortization | (4.5) | (3.8) |
Net Carrying Amount | 6.8 | 4.1 |
Trade name and trademarks | ||
Finite-Lived Intangible Assets | ||
Gross Carrying Amount | 9.4 | 9.4 |
Accumulated Amortization | (9.4) | (9.4) |
Net Carrying Amount | 0 | 0 |
Other | ||
Finite-Lived Intangible Assets | ||
Gross Carrying Amount | 0.9 | 1.8 |
Accumulated Amortization | 0 | (1.8) |
Net Carrying Amount | $ 0.9 | $ 0 |
Goodwill, Intangible Assets a_5
Goodwill, Intangible Assets and Other Long-lived Assets (Amortization Expense) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Apr. 30, 2022 | Apr. 30, 2021 | Apr. 30, 2022 | Apr. 30, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||||
Amortization expense | $ 31.8 | $ 32.8 | $ 95.3 | $ 86.1 |
Goodwill, Intangible Assets a_6
Goodwill, Intangible Assets and Other Long-lived Assets (Future Amortization Expense of Intangible Assets) (Details) $ in Millions | Apr. 30, 2022USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Remaining 2022 | $ 31.6 |
2023 | 101.1 |
2024 | 91.1 |
2025 | 77.4 |
2026 | 55.6 |
2027 and thereafter | 55.3 |
Total | $ 412.1 |
Goodwill, Intangible Assets a_7
Goodwill, Intangible Assets and Other Long-lived Assets - Other Long-lived Assets (Details) $ in Millions | 9 Months Ended |
Apr. 30, 2022USD ($)a | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Number of acres of land to be purchased | a | 4.6 |
Payments to acquire land and building | $ | $ 39.5 |
Debt (Additional Details) (Deta
Debt (Additional Details) (Details) $ / shares in Units, shares in Millions, $ in Billions | Jun. 03, 2020USD ($)dayshares$ / shares | Jul. 31, 2018USD ($)dayshares$ / shares | Apr. 30, 2022USD ($) | Jul. 31, 2021USD ($) |
2023 Notes | ||||
Debt Instrument, Redemption | ||||
Aggregate principal amount | $ | $ 1.7 | |||
Contractual interest rate (in percentage) | 0.75% | |||
Debt instrument, redemption price, percentage | 100.00% | |||
Initial conversion rate (in shares per $1,000 principal amount) | 3.7545 | |||
Initial conversion price (in usd per share) | $ / shares | $ 266.35 | |||
Number of common stock convertible at initial conversion rate (in shares) | shares | 6.4 | |||
2023 Notes | Level 2 | ||||
Debt Instrument, Redemption | ||||
Fair value of convertible senior notes | $ | $ 3.6 | $ 2.6 | ||
2025 Notes | ||||
Debt Instrument, Redemption | ||||
Aggregate principal amount | $ | $ 2 | |||
Contractual interest rate (in percentage) | 0.375% | |||
Threshold percentage of notes price trigger, per $1,000 principal (in percentage) | 130.00% | |||
Threshold trading days (in days) | 20 | |||
Threshold consecutive trading days (in days) | 30 | |||
Debt instrument, redemption price, percentage | 100.00% | |||
Initial conversion rate (in shares per $1,000 principal amount) | 3.3602 | |||
Initial conversion price (in usd per share) | $ / shares | $ 297.60 | |||
Number of common stock convertible at initial conversion rate (in shares) | shares | 6.7 | |||
2025 Notes | Level 2 | ||||
Debt Instrument, Redemption | ||||
Fair value of convertible senior notes | $ | $ 4 | $ 2.9 | ||
2023 Notes, option to convert | ||||
Debt Instrument, Redemption | ||||
Threshold percentage of notes price trigger, per $1,000 principal (in percentage) | 98.00% | |||
Threshold trading days (in days) | 20 | |||
Threshold consecutive trading days (in days) | 30 | |||
Threshold percentage of stock price trigger (in percentage) | 130.00% | |||
Threshold business days, per $1,000 principal (in days) | 5 | |||
Threshold consecutive trading days, per $1,000 principal (in days) | 5 | |||
2025 Notes, option to convert | ||||
Debt Instrument, Redemption | ||||
Threshold percentage of notes price trigger, per $1,000 principal (in percentage) | 98.00% | |||
Threshold trading days (in days) | 20 | |||
Threshold consecutive trading days (in days) | 30 | |||
Threshold percentage of stock price trigger (in percentage) | 130.00% | |||
Threshold business days, per $1,000 principal (in days) | 5 | |||
Threshold consecutive trading days, per $1,000 principal (in days) | 5 |
Debt (Components of Convertible
Debt (Components of Convertible Senior Notes) (Details) - USD ($) $ in Millions | Apr. 30, 2022 | Jul. 31, 2021 |
Debt Instrument, Redemption | ||
Principal | $ 3,692 | $ 3,692 |
Less: debt discount and debt issuance costs, net of amortization | (16.3) | (466) |
Net carrying amount | 3,675.7 | 3,226 |
Equity component (including amounts classified as temporary equity) | 0 | 718 |
2023 Notes | ||
Debt Instrument, Redemption | ||
Principal | 1,692 | 1,692 |
Less: debt discount and debt issuance costs, net of amortization | (3.3) | (134.1) |
Net carrying amount | 1,688.7 | 1,557.9 |
Equity component (including amounts classified as temporary equity) | 0 | 315 |
2025 Notes | ||
Debt Instrument, Redemption | ||
Principal | 2,000 | 2,000 |
Less: debt discount and debt issuance costs, net of amortization | (13) | (331.9) |
Net carrying amount | 1,987 | 1,668.1 |
Equity component (including amounts classified as temporary equity) | $ 0 | $ 403 |
Debt (Schedule of Interest Expe
Debt (Schedule of Interest Expense Recognized) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Apr. 30, 2022 | Apr. 30, 2021 | Apr. 30, 2022 | Apr. 30, 2021 | |
Debt Instrument, Redemption | ||||
Contractual interest expense | $ 5 | $ 5 | $ 15.1 | $ 15.1 |
Amortization of debt discount | 0 | 34.6 | 0 | 102.7 |
Amortization of debt issuance costs | 1.8 | 1.3 | 5.4 | 3.8 |
Total interest expense | 6.8 | 40.9 | 20.5 | 121.6 |
2023 Notes | ||||
Debt Instrument, Redemption | ||||
Contractual interest expense | 3.2 | 3.2 | 9.5 | 9.5 |
Amortization of debt discount | 0 | 16 | 0 | 47.4 |
Amortization of debt issuance costs | 0.7 | 0.6 | 2.1 | 1.7 |
Total interest expense | $ 3.9 | $ 19.8 | $ 11.6 | $ 58.6 |
Effective interest rate | 0.90% | 5.20% | 0.90% | 5.20% |
2025 Notes | ||||
Debt Instrument, Redemption | ||||
Contractual interest expense | $ 1.8 | $ 1.8 | $ 5.6 | $ 5.6 |
Amortization of debt discount | 0 | 18.6 | 0 | 55.3 |
Amortization of debt issuance costs | 1.1 | 0.7 | 3.3 | 2.1 |
Total interest expense | $ 2.9 | $ 21.1 | $ 8.9 | $ 63 |
Effective interest rate | 0.60% | 5.40% | 0.60% | 5.40% |
Debt (Note Hedges) (Details)
Debt (Note Hedges) (Details) - USD ($) shares in Millions, $ in Millions | Jun. 03, 2020 | Jul. 31, 2018 |
2023 Note Hedges | ||
Schedule of Note Hedge Transactions | ||
Shares of common stock covered by note hedges (in shares) | 6.4 | |
Aggregate amount paid to purchase note hedges - additional paid-in capital | $ 332 | |
2025 Note Hedges | ||
Schedule of Note Hedge Transactions | ||
Shares of common stock covered by note hedges (in shares) | 6.7 | |
Aggregate amount paid to purchase note hedges - additional paid-in capital | $ 370.8 |
Debt (Warrants) (Details)
Debt (Warrants) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | Jun. 03, 2020 | Jul. 31, 2018 |
2023 Warrants | ||
Class of Warrant or Right | ||
Warrants sold, shares authorized to sell to counterparties (in shares) | 6.4 | |
Strike price of warrants (in usd per share) | $ 417.80 | |
Proceeds from issuance of warrants | $ 145.4 | |
2025 Warrants | ||
Class of Warrant or Right | ||
Warrants sold, shares authorized to sell to counterparties (in shares) | 6.7 | |
Strike price of warrants (in usd per share) | $ 408.47 | |
Proceeds from issuance of warrants | $ 202.8 |
Debt (Revolving Credit Facility
Debt (Revolving Credit Facility) (Details) - Revolving credit facility - USD ($) | Sep. 04, 2018 | Apr. 30, 2022 |
Line of Credit Facility | ||
Current borrowing capacity | $ 400,000,000 | |
Option for additional borrowing capacity | $ 350,000,000 | |
Revolving credit facility amount outstanding | $ 0 | |
Minimum maturity date term criteria | ||
Line of Credit Facility | ||
Number of days prior to maturity of 2023 Notes (in days) | 91 days | |
Minimum maturity date term, cash and cash equivalents balance criteria | ||
Line of Credit Facility | ||
Amount added to outstanding principal amount of 2023 Notes in minimum maturity date criteria | $ 400,000,000 | |
Minimum | ||
Line of Credit Facility | ||
Commitment fee rate on undrawn amounts (in percentage) | 0.125% | |
Maximum | ||
Line of Credit Facility | ||
Commitment fee rate on undrawn amounts (in percentage) | 0.25% | |
Base Rate | Minimum | ||
Line of Credit Facility | ||
Spread on variable rate | 0.00% | |
Base Rate | Maximum | ||
Line of Credit Facility | ||
Spread on variable rate | 0.75% | |
LIBOR | Minimum | ||
Line of Credit Facility | ||
Spread on variable rate | 1.00% | |
LIBOR | Maximum | ||
Line of Credit Facility | ||
Spread on variable rate | 1.75% |
Commitments and Contingencies_3
Commitments and Contingencies (Manufacturing Purchase Commitments) (Details) - Manufacturing products and components $ in Millions | Apr. 30, 2022USD ($) |
Aggregate Future Purchase Commitments | |
Total | $ 360.6 |
Remaining 2022 | 84.4 |
2023 | 171.2 |
2024 | 30 |
2025 | 35 |
2026 | 40 |
2027 and thereafter | $ 0 |
Commitments and Contingencies_4
Commitments and Contingencies (Other Purchase Commitments) (Details) $ in Millions | 9 Months Ended |
Apr. 30, 2022USD ($) | |
Cloud and other services | |
Aggregate Future Purchase Commitments | |
Total | $ 1,962.9 |
Remaining 2022 | 18.6 |
2023 | 146.2 |
2024 | 366.5 |
2025 | 415.3 |
2026 | 531.6 |
2027 and thereafter | 484.7 |
Cloud and other services, no specified annual commitments | |
Aggregate Future Purchase Commitments | |
Minimum purchase commitment | $ 162.8 |
Stockholders' Equity (Details)
Stockholders' Equity (Details) - USD ($) $ in Millions | 1 Months Ended | |||
Aug. 31, 2021 | Dec. 31, 2020 | Apr. 30, 2022 | Feb. 28, 2019 | |
Equity [Abstract] | ||||
Share repurchase, authorized amount | $ 2,400 | $ 1,000 | ||
Stock repurchase program, increase in authorized amount | $ 676.1 | $ 700 | ||
Stock repurchase, remaining authorized repurchase amount | $ 450 |
Stockholders' Equity (Schedule
Stockholders' Equity (Schedule Of Share Repurchases) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Apr. 30, 2022 | Apr. 30, 2021 | Apr. 30, 2022 | Apr. 30, 2021 | |
Equity [Abstract] | ||||
Number of shares repurchased (in shares) | 0 | 1 | 1 | 3.1 |
Weighted average price per share (in dollars per share) | $ 0 | $ 321.97 | $ 533.80 | $ 269.89 |
Aggregate purchase price | $ 0 | $ 350 | $ 550 | $ 850 |
Equity Award Plans (Performance
Equity Award Plans (Performance Stock Option (PSO) and Performance-Based Stock Unit (PSU) Activities) - Narrative (Details) shares in Millions | 9 Months Ended | 12 Months Ended | 24 Months Ended | |
Apr. 30, 2022shares | Jul. 31, 2019day$ / shares | Jul. 31, 2018day$ / shares | Mar. 31, 2024shares | |
2021 Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award | ||||
Threshold consecutive trading days (in days) | day | 30 | 30 | ||
Common stock, capital shares reserved for future issuance (in shares) | 4.7 | |||
RSUs | ||||
Share-based Compensation Arrangement by Share-based Payment Award | ||||
Granted subject to service, performance, and market conditions (in shares) | 1.7 | |||
RSUs | Minimum | ||||
Share-based Compensation Arrangement by Share-based Payment Award | ||||
Award vesting period | 3 years | |||
RSUs | Maximum | ||||
Share-based Compensation Arrangement by Share-based Payment Award | ||||
Award vesting period | 4 years | |||
PSOs | 2021 Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award | ||||
Performance stock options to vest on anniversary of grant date, subject to continued service | 25.00% | 25.00% | ||
PSOs | 2021 Plan | Maximum | ||||
Share-based Compensation Arrangement by Share-based Payment Award | ||||
Expiration period | 7 years 6 months | 7 years 6 months | ||
PSOs | Performance Period 1 | 2021 Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award | ||||
Target stock price (in usd per share) | $ / shares | $ 297.75 | $ 297.75 | ||
Award performance period | 4 years | 4 years | ||
PSOs | Performance Period 2 | 2021 Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award | ||||
Target stock price (in usd per share) | $ / shares | $ 397 | $ 397 | ||
Award performance period | 5 years | 5 years | ||
PSOs | Performance Period 3 | 2021 Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award | ||||
Target stock price (in usd per share) | $ / shares | $ 496.25 | $ 496.25 | ||
Award performance period | 6 years | 6 years | ||
PSOs | Performance Period 4 | 2021 Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award | ||||
Target stock price (in usd per share) | $ / shares | $ 595.50 | $ 595.50 | ||
Award performance period | 7 years 6 months | 7 years 6 months | ||
PSUs | ||||
Share-based Compensation Arrangement by Share-based Payment Award | ||||
Granted subject to service, performance, and market conditions (in shares) | 0.3 | |||
PSUs | Minimum | ||||
Share-based Compensation Arrangement by Share-based Payment Award | ||||
Award vesting period | 1 year | |||
PSUs | Maximum | ||||
Share-based Compensation Arrangement by Share-based Payment Award | ||||
Award vesting period | 4 years | |||
PSUs subject to service, performance, and market conditions | ||||
Share-based Compensation Arrangement by Share-based Payment Award | ||||
Granted subject to service, performance, and market conditions (in shares) | 0.1 | |||
PSUs subject to service, performance, and market conditions | Future grants | ||||
Share-based Compensation Arrangement by Share-based Payment Award | ||||
Granted subject to service, performance, and market conditions (in shares) | 0.1 |
Equity Award Plans - (Performan
Equity Award Plans - (Performance Stock Option (PSO) Activities) (Details) - PSOs - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 9 Months Ended | 12 Months Ended |
Apr. 30, 2022 | Jul. 31, 2021 | |
PSOs, Outstanding Roll Forward | ||
Balance, beginning (in shares) | 2.8 | |
Forfeited (in shares) | (0.1) | |
Balance, ending (in shares) | 2.7 | 2.8 |
PSOs, Outstanding, Weighted-Average Exercise Price Roll Forward | ||
Balance, beginning (in usd per share) | $ 194.14 | |
Forfeited (in usd per share) | 184.24 | |
Balance, ending (in usd per share) | $ 194.55 | $ 194.14 |
PSOs, Additional Disclosures | ||
Weighted-average remaining contractual life (in years) | 3 years 4 months 24 days | 4 years 2 months 12 days |
Aggregate intrinsic value | $ 974.6 | $ 566.8 |
Options exercisable (in shares) | 2.7 | |
Options exercisable, weighted-average exercise price (in usd per share) | $ 194.55 | |
Options exercisable, weighted-average remaining contractual term (in years) | 3 years 4 months 24 days | |
Options exercisable, aggregate intrinsic value | $ 974.6 |
Equity Award Plans (Restricted
Equity Award Plans (Restricted Stock Unit (RSU) and Performance-Based Stock Unit (PSU) Activities) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 9 Months Ended | |
Apr. 30, 2022 | Jul. 31, 2021 | |
RSUs | ||
RSUs and PSUs, Outstanding Roll Forward | ||
Balance, beginning (in shares) | 6.9 | |
Granted (in shares) | 1.7 | |
Vested (in shares) | (2.3) | |
Forfeited (in shares) | (0.7) | |
Balance, ending (in shares) | 5.6 | |
RSUs and PSUs, Outstanding, Weighted-Average Grant-Date Fair Value Per Share | ||
Balance, beginning (in usd per share) | $ 257.56 | |
Granted (in usd per share) | 495.98 | |
Vested (in usd per share) | 251.42 | |
Forfeited (in usd per share) | 280.58 | |
Balance, ending (in usd per share) | $ 328.61 | |
RSUs and PSUs, Additional Disclosures | ||
Aggregate intrinsic value | $ 3,131.9 | $ 2,760.2 |
PSUs | ||
RSUs and PSUs, Outstanding Roll Forward | ||
Balance, beginning (in shares) | 1.3 | |
Granted (in shares) | 0.3 | |
Vested (in shares) | (0.4) | |
Forfeited (in shares) | (0.1) | |
Balance, ending (in shares) | 1.1 | |
RSUs and PSUs, Outstanding, Weighted-Average Grant-Date Fair Value Per Share | ||
Balance, beginning (in usd per share) | $ 292.93 | |
Granted (in usd per share) | 333.56 | |
Vested (in usd per share) | 249.70 | |
Forfeited (in usd per share) | 331.76 | |
Balance, ending (in usd per share) | $ 313.09 | |
RSUs and PSUs, Additional Disclosures | ||
Aggregate intrinsic value | $ 632.9 | $ 498.4 |
Equity Award Plans - (Valuation
Equity Award Plans - (Valuation Assumptions) (Details) - PSUs subject to service, performance, and market conditions - $ / shares | 3 Months Ended | 9 Months Ended |
Apr. 30, 2022 | Apr. 30, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award | ||
Expected minimum volatility rate (in percentage) | 39.10% | 36.00% |
Expected maximum volatility rate (in percentage) | 41.10% | 41.10% |
Expected dividend rate (in percentage) | 0.00% | 0.00% |
Minimum risk-free interest rate (in percentage) | 1.50% | 0.20% |
Maximum risk-free interest rate (in percentage) | 2.00% | 2.00% |
Minimum | ||
Share-based Compensation Arrangement by Share-based Payment Award | ||
Expected term (in years) | 1 year 4 months 24 days | 1 year 4 months 24 days |
Share price | $ 770.84 | $ 411.49 |
Maximum | ||
Share-based Compensation Arrangement by Share-based Payment Award | ||
Expected term (in years) | 2 years 4 months 24 days | 3 years |
Share price | $ 782.13 | $ 782.13 |
Equity Award Plans (Allocation
Equity Award Plans (Allocation of Share-Based Compensation Expense) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Apr. 30, 2022 | Apr. 30, 2021 | Apr. 30, 2022 | Apr. 30, 2021 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs | ||||
Share-based compensation expense | $ 247.3 | $ 242.9 | $ 772.7 | $ 696.9 |
Cost of revenue | Product | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs | ||||
Share-based compensation expense | 2.3 | 1.6 | 6.9 | 4.7 |
Cost of revenue | Subscription and support | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs | ||||
Share-based compensation expense | 27.4 | 23.3 | 81.8 | 69.3 |
Research and development | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs | ||||
Share-based compensation expense | 112.7 | 118.2 | 361.9 | 317.2 |
Sales and marketing | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs | ||||
Share-based compensation expense | 75.7 | 69.2 | 228.8 | 203.8 |
General and administrative | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs | ||||
Share-based compensation expense | $ 29.2 | $ 30.6 | $ 93.3 | $ 101.9 |
Equity Award Plans (Allocatio_2
Equity Award Plans (Allocation of Share-based Compensation, Additional Information) - Narrative (Details) $ in Billions | 9 Months Ended |
Apr. 30, 2022USD ($) | |
Share-based Payment Arrangement [Abstract] | |
Total compensation cost not yet recognized, unvested awards | $ 2 |
Share based compensation, cost not yet recognized, amortization period | 2 years 7 months 6 days |
Income Taxes (Details)
Income Taxes (Details) | 3 Months Ended | 9 Months Ended | ||
Apr. 30, 2022 | Apr. 30, 2021 | Apr. 30, 2022 | Apr. 30, 2021 | |
Income Tax Disclosure [Abstract] | ||||
Effective income tax rate (in percentage) | (39.40%) | 3.50% | (20.40%) | (4.70%) |
Net Loss Per Share (Computation
Net Loss Per Share (Computation of Basic and Diluted Net Loss Per Share) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Apr. 30, 2022 | Apr. 30, 2021 | Apr. 30, 2022 | Apr. 30, 2021 | |
Earnings Per Share [Abstract] | ||||
Net loss | $ (73.2) | $ (145.1) | $ (270.3) | $ (379.6) |
Weighted-average shares used to compute net loss per share, basic (in shares) | 98.9 | 96.9 | 98.2 | 96.1 |
Weighted-average shares used to compute net loss per share, diluted (in shares) | 98.9 | 96.9 | 98.2 | 96.1 |
Net loss per share, basic (in usd per share) | $ (0.74) | $ (1.50) | $ (2.75) | $ (3.95) |
Net loss per share, diluted (in usd per share) | $ (0.74) | $ (1.50) | $ (2.75) | $ (3.95) |
Net Loss Per Share (Schedule of
Net Loss Per Share (Schedule of Antidilutive Securities Excluded from Computation) (Details) - shares shares in Millions | 3 Months Ended | 9 Months Ended | ||
Apr. 30, 2022 | Apr. 30, 2021 | Apr. 30, 2022 | Apr. 30, 2021 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share | ||||
Antidilutive securities (in shares) | 35.9 | 37.8 | 35.9 | 37.8 |
Convertible senior notes | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share | ||||
Antidilutive securities (in shares) | 13.1 | 13.1 | 13.1 | 13.1 |
Warrants related to the issuance of convertible senior notes | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share | ||||
Antidilutive securities (in shares) | 13.1 | 13.1 | 13.1 | 13.1 |
RSUs and PSUs | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share | ||||
Antidilutive securities (in shares) | 6.7 | 8.3 | 6.7 | 8.3 |
Options to purchase common stock, including PSOs | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share | ||||
Antidilutive securities (in shares) | 2.7 | 2.8 | 2.7 | 2.8 |
Restricted stock awards and performance-based stock awards | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share | ||||
Antidilutive securities (in shares) | 0.2 | 0.4 | 0.2 | 0.4 |
ESPP shares | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share | ||||
Antidilutive securities (in shares) | 0.1 | 0.1 | 0.1 | 0.1 |