Asana Inc

Previous wording

Asana is a leading work management software platform with an enterprise focus that helps organizations drive strategic initiatives and automate work in one place. Customers use Asana to automate complex operational workflows like product launches and employee onboarding, resource planning, tracking company-wide strategic initiatives and more. Our secure and scalable platform with AI-powered features adds structure to unstructured work, creating clarity, accountability, and impact for everyone within an organization—executives, department heads, team leads, and individuals—so everyone understands exactly who is doing what, by when, and why.

Current wording

Asana is a leading work management software platform with an enterprise focus that helps organizations set and track goals, drive strategic initiatives, and automate work in one place. Customers use Asana to automate complex operational workflows like product launches and employee onboarding, resource planning, tracking company-wide strategic initiatives and more. Our secure and scalable platform with AI-powered features adds structure to unstructured work, creating clarity, accountability, and impact for everyone within an organization—executives, department heads, team leads, and individuals—so everyone understands exactly who is doing what, by when, and why.

Previous wording

As of July 31, 2024, we had 22,948 Core customers contributing approximately 75% and 75% of revenues for the three and six months then ended, respectively. As of July 31, 2023, we had 20,782 Core customers who contributed approximately 74% and 73% of revenues for the three and six months then ended, respectively.

Current wording

As of October 31, 2024, we had 23,609 Core customers contributing approximately 75% and 73% of revenues for the three and nine months then ended, respectively. As of October 31, 2023, we had 21,346 Core customers who contributed approximately 74% and 72% of revenues for the three and nine months then ended, respectively.

Previous wording

As of July 31, 2024 and 2023, we had 649 and 553 customers spending over $100,000, on an annualized basis, respectively.

Current wording

As of October 31, 2024 and 2023, we had 683 and 580 customers spending over $100,000, on an annualized basis, respectively.

Previous wording

As of July 31, 2024 and 2023, our dollar-based net retention rate was 98% and over 105%, respectively.

Current wording

As of October 31, 2024 and 2023, our dollar-based net retention rate was 96% and over 100%, respectively.

Previous wording

As of July 31, 2024 and 2023, our dollar-based net retention rate for our Core customers was 99% and over 110%, respectively. Our dollar-based net retention rate for customers spending over $100,000 on an annualized basis for the same periods was 103% and over 125%, respectively.

Current wording

As of October 31, 2024 and 2023, our dollar-based net retention rate for our Core customers was 98% and over 105%, respectively. Our dollar-based net retention rate for customers spending over $100,000 on an annualized basis for the same periods was 99% and over 120%, respectively.

Previous wording

Global macroeconomic events including inflation, elevated interest rates, bank failures, supply chain disruptions, fluctuations in currency exchange rates, and geopolitical unrest have led to economic uncertainty. These macroeconomic conditions have and are likely to continue to have adverse effects on the rate of global IT spending, including the buying patterns of our customers and prospective customers, and the length of our sales cycles. While the current macroenvironment is challenging and may continue for the near term, we are encouraged by the future of work that we are building at Asana, where every organization can work from a shared system driving clarity and accountability powered by the Asana platform.

Current wording

Global macroeconomic events including inflation, elevated interest rates, bank failures, supply chain disruptions, fluctuations in currency exchange rates, and geopolitical unrest have led to economic uncertainty. These macroeconomic conditions have and are likely to continue to have adverse effects on the rate of global IT spending, including the buying patterns of our customers and prospective customers, and the length of our sales cycles.

Previous wording

Gross profit, or revenues less cost of revenues, and gross margin, or gross profit as a percentage of revenues, has been and will continue to be affected by various factors, including the timing of our acquisition of new customers, renewals of and follow-on sales to existing customers, costs associated with operating our cloud-based platform, and the extent to which we expand our operations and customer support organizations. We expect our gross profit to increase in dollar amount and our subscription gross margin to remain relatively consistent over the long term.

Current wording

Gross profit, or revenues less cost of revenues, and gross margin, or gross profit as a percentage of revenues, has been and will continue to be affected by various factors, including the timing of our acquisition of new customers, renewals of and follow-on sales to existing customers, costs associated with operating our cloud-based platform, and the extent to which we expand our operations and customer support organizations. We expect our gross profit to increase in dollar amount and our gross margin to remain relatively consistent over the long term.

Previous wording

Revenues increased $16.8 million, or 10%, during the three months ended July 31, 2024 compared to the three months ended July 31, 2023. The increase in revenues was primarily due to the addition of new paying customers and a continued shift in our sales mix toward our higher priced subscription plans, such as Advanced, Enterprise and Enterprise+ plans.

Current wording

Revenues increased $17.4 million, or 10%, during the three months ended October 31, 2024 compared to the three months ended October 31, 2023. The increase in revenues was primarily due to the addition of new paying customers and a continued shift in our sales mix toward our higher priced subscription plans, such as Advanced, Enterprise and Enterprise+ plans.

Previous wording

Cost of revenues increased $3.8 million, or 23%, during the three months ended July 31, 2024 compared to the three months ended July 31, 2023. The increase was primarily due toan increase of $1.8 million in third-party hosting costs as we continued to increase capacity to support customer usage and growth of our customer base, an increase of $1.4 million in infrastructure and application performance monitoring costs, and an increase of $0.6 million in amortization of capitalized software development costs.

Current wording

Cost of revenues increased $3.7 million, or 23%, during the three months ended October 31, 2024 compared to the three months ended October 31, 2023. The increase was primarily due toan increase of $2.3 million in third-party hosting costs aswe continued to increase capacity to support customer usage and growth of our customer base, an increase of $0.7 million in infrastructure and application performance monitoring costs, and an increase of $0.7 million in amortization of capitalized software development costs.

Previous wording

In the three months ended July 31, 2024, we realized a $3.1 million property tax credit related to our corporate headquarters. The property tax credit is included in allocated overhead costs for each of the operating expense categories below.

Current wording

In the three months ended October 31, 2024, we realized a $1.1 million property tax credit related to our corporate headquarters. The property tax credit is included in allocated overhead costs for each of the operating expense categories below.

Previous wording

Sales and marketing expenses increased $12.2 million, or 13%, during the three months ended July 31, 2024 compared to the three months ended July 31, 2023. Theincrease was primarily due to an increase of $7.8 million in personnel-related costs driven by higher headcount, an increase of $3.5 million in fees to marketing vendors, an increase of $1.1 million in travel and entertainment costs, and an increase of $1.1 million in equipment and related costs, partially offset by a decrease of $1.4 million in allocated overhead costs.

Current wording

Sales and marketing expenses increased $6.4 million, or 6%, during the three months ended October 31, 2024 compared to the three months ended October 31, 2023. Theincrease was primarily due to an increase of $5.5 million in personnel-related costs driven by higher headcount, an increase of $1.0 million in professional services, an increase of $0.8 million in depreciation and allocated overhead costs, an increase of $0.4 million in travel and entertainment costs, and an increase of $0.4 million in equipment and related costs, partially offset by a decrease of $1.9 million in fees to marketing vendors.

Previous wording

General and administrative expenses decreased $2.6 million, or 7%, during thethree months ended July 31, 2024 compared to thethree months ended July 31, 2023. Thedecreasewas primarily due to a decrease of $5.0 million for impairment of lease-related assets, a decrease of $0.8 million in allocated overhead costs, and a decrease of $0.5 million in insurance expenses, partially offset an increase of $1.5 million in value-added tax and other tax expenses, an increase of $1.3 million in professional services, an increase of $0.7 million in personnel-related costs driven by higher headcount, and an increase of $0.2 million in equipment and related costs.

Current wording

General and administrative expenses increased $1.8 million, or 5%, during thethree months ended October 31, 2024 compared to thethree months ended October 31, 2023. Theincreasewas primarily due to an increase of $1.2 million in personnel-related costs driven by higher headcount, an increase of $0.5 million in professional services, an increase of $0.2 million in other operating expenses primarily comprised of value-added taxes and local taxes, an increase of $0.1 million in travel and entertainment costs, and an increase of $0.1 million in allocated overhead costs, partially offset by a decrease of $0.5 million in insurance expenses.

Previous wording

Interest income and other income (expense), net increased by $2.6 million during the three months ended July 31, 2024 compared to thethree months ended July 31, 2023, primarily due to an increase of $1.7 million for the impact of foreign currency transaction gains and losses associated with monetary assets and liabilities and an increase of $0.8 million in interest income on marketable securities. Interest expense decreased during thethree months ended July 31, 2024 compared to thethree months ended July 31, 2023, primarily due to a decrease in average loan balance.

Current wording

Interest income and other income (expense), net increased by $1.5 million during the three months ended October 31, 2024 compared to thethree months ended October 31, 2023, primarily due to an increase of $2.7 million for the impact of foreign currency transaction gains and losses associated with monetary assets and liabilities, partially offset by a decrease of $1.3 million in interest income on marketable securities. Interest expense decreased during thethree months ended October 31, 2024 compared to thethree months ended October 31, 2023, primarily due to a decrease in interest rates.

Previous wording

Revenues increased $36.8 million, or 12%, during the six months ended July 31, 2024 compared to the six months ended July 31, 2023. The increase in revenues was primarily due to the addition of new paying customers, a continued shift in our sales mix toward our higher priced subscription plans, such as Advanced, Enterprise and Enterprise+ plans.

Current wording

Revenues increased $54.2 million, or 11%, during the nine months ended October 31, 2024 compared to the nine months ended October 31, 2023. The increase in revenues was primarily due to the addition of new paying customers, a continued shift in our sales mix toward our higher priced subscription plans, such as Advanced, Enterprise and Enterprise+ plans.

Previous wording

Cost of revenues increased $6.7 million, or 22%, during the six months ended July 31, 2024 compared to the six months ended July 31, 2023. The increase was primarily due toan increase of $2.9 million in third-party hosting costs as we continued to increase capacity to support customer usage and growth of our customer base, an increase of $2.8 million in infrastructure and application performance monitoring costs, and an increase of $1.2 million in amortization of capitalized software development costs, partially offset by a decrease of $0.6 million in allocated overhead costs.

Current wording

Cost of revenues increased $10.5 million, or 22%, during the nine months ended October 31, 2024 compared to the nine months ended October 31, 2023. The increase was primarily due toan increase of $5.3 million in third-party hosting costs as we continued to increase capacity to support customer usage and growth of our customer base, an increase of $3.5 million in infrastructure and application performance monitoring costs, an increase of $1.8 million in amortization of capitalized software development costs, an increase of $0.8 million in partner delivered services, and an increase of $0.4 million in credit card processing fees, partially offset by a decrease of $0.7 million in allocated overhead costs and a decrease of $0.6 million inpersonnel-related costs.

Previous wording

Our gross margin decreased during the six months ended July 31, 2024 compared to the six months ended July 31, 2023 primarily due to increased third-party hosting costs and infrastructure and application performance monitoring costs.

Current wording

Our gross margin decreased during the nine months ended October 31, 2024 compared to the nine months ended October 31, 2023 primarily due to increased third-party hosting costs and infrastructure and application performance monitoring costs.

Previous wording

In the six months ended July 31, 2024, we realized a $3.1 million property tax credit related to our corporate headquarters. The property tax credit is included in allocated overhead costs for each of the operating expense categories below.

Current wording

In the nine months ended October 31, 2024, we realized a $4.2 million property tax credit related to our corporate headquarters. The property tax credit is included in allocated overhead costs for each of the operating expense categories below.

Previous wording

Research and development expenses increased $13.3 million, or 8%, during the six months ended July 31, 2024 compared to the six months ended July 31, 2023. Theincrease was primarily due to an increase of $16.5 million in personnel-related costs due to increased headcount, partially offset by a decrease of $2.1 million in allocated overhead costs, an increase of $0.7 million in capitalized software development costs, and a decrease of $0.6 million in equipment and related costs.

Current wording

Research and development expenses increased $15.5 million, or 6%, during the nine months ended October 31, 2024 compared to the nine months ended October 31, 2023. Theincrease was primarily due to an increase of $19.1 million in personnel-related costs due to increased headcount and an increase of $0.4 million in travel and entertainment costs, partially offset by a decrease of $1.9 million in allocated overhead costs, a decrease of $0.7 million in professional services, an increase of $0.6 million in capitalized software development costs, a decrease of $0.5 million inengineering and cloud computing costs, and a decrease of $0.3 million in equipment and related costs.

Previous wording

Sales and marketing expenses increased $23.3 million, or 12%, during the six months ended July 31, 2024 compared to the six months ended July 31, 2023. Theincrease was primarily due to an increase of $16.7 million in personnel-related costs driven by higher headcount, an increase of $3.7 million in fees to marketing vendors, and an increase of $3.0 million in travel and entertainment costs, partially offset by a decrease of $1.9 million in allocated overhead costs.

Current wording

Sales and marketing expenses increased $29.7 million, or 10%, during the nine months ended October 31, 2024 compared to the nine months ended October 31, 2023. Theincrease was primarily due to an increase of $22.2 million in personnel-related costs driven by higher headcount, an increase of $3.4 million in travel and entertainment costs, an increase of $2.2 million in equipment and related costs, an increase of $1.8 million in fees to marketing vendors, and an increase of $0.6 million in professional services, partially offset by a decrease of $1.4 million in allocated overhead costs.

Previous wording

General and administrative expenses decreased $2.1 million, or 3%, during thesix months ended July 31, 2024 compared to thesix months ended July 31, 2023. Thedecrease was due to a decrease of $5.0 million for impairment of lease-related assets, a decrease of $1.0 million in allocated overhead costs, and a decrease of $0.9 million in insurance expenses, partially offset by an increase of $2.0 million in professional services, an increase of $1.5 million in value-added tax and other tax expenses, and an increase of $1.2 million in personnel-related costs driven by higher headcount.

Current wording

General and administrative expenses decreased $0.4 million, or less than 1%, during thenine months ended October 31, 2024 compared to thenine months ended October 31, 2023. Thedecrease was due to a decrease of $5.0 million in impairment charges related to subleased office space, a decrease of $1.4 million in insurance expenses, a decrease of $1.0 million in provision for credit losses, and a decrease of $0.9 million in allocated overhead costs, partially offset by an increase of $2.5 million in personnel-related costs driven by higher headcount, an increase of $2.5 million in professional services, an increase of $1.7 million in local taxes and other operating expenses, a decrease of $0.6 million incapitalized cloud computing software development costs, an increase of $0.4 million in travel and entertainment costs, an increase of $0.1 million in fees to third-party support, and an increase of $0.1 million in equipment and related costs.

Previous wording

Interest income and other income (expense), net increased by $1.3 million during the six months ended July 31, 2024 compared to thesix months ended July 31, 2023, primarily due to an increase in interest income on marketable securities. Interest expense decreased during thesix months ended July 31, 2024 compared to thesix months ended July 31, 2023, primarily due to a decrease in average loan balance.

Current wording

Interest income and other income (expense), net increased by $2.8 million during the nine months ended October 31, 2024 compared to thenine months ended October 31, 2023, primarily due to an increase of $2.8 million for the impact of foreign currency transaction gains and losses associated with monetary assets and liabilities. Interest expense decreased during thenine months ended October 31, 2024 compared to thenine months ended October 31, 2023, primarily due to a decrease in average loan balance.

Previous wording

We define free cash flow as net cash from operating activities less cash used for purchases of property and equipment and capitalized internal-use software costs, plus non-recurring expenditures such as capital expenditures from the purchases of property and equipment associated with the build-out of our corporate headquarters in San Francisco, and restructuring costs. We believe that free cash flow is a useful indicator of liquidity that provides information to management and investors, even if negative, about the amount of cash used in our operations other than that used for investments in property and equipment and capitalized internal-use software costs, adjusted for non-recurring expenditures.

Current wording

We define free cash flow as net cash from operating activities less cash used for purchases of property and equipment and capitalized internal-use software costs, plus non-recurring expenditures such as restructuring costs. We believe that free cash flow is a useful indicator of liquidity that provides information to management and investors, even if negative, about the amount of cash used in our operations other than that used for investments in property and equipment and capitalized internal-use software costs, adjusted for non-recurring expenditures.

Previous wording

Since inception, we have financed operations primarily through the net proceeds we have received from the sales of our preferred stock and common stock, the issuance of senior mandatory convertible promissory notes in January and June 2020 to a trust affiliated with our CEO, cash generated from the sale of subscriptions to our platform, and financing activities including the private placement transaction with our CEO. We have generated losses from our operations as reflected in our accumulated deficit of $1,650.2 million as of July 31, 2024 and positive cash flows from operating activities for the six months ended July 31, 2024 and 2023.

Current wording

Since inception, we have financed operations primarily through the net proceeds we have received from the sales of our preferred stock and common stock, the issuance of senior mandatory convertible promissory notes in January and June 2020 to a trust affiliated with our CEO, cash generated from the sale of subscriptions to our platform, and financing activities including the private placement transaction with our CEO. We have generated losses from our operations as reflected in our accumulated deficit of $1,762.5 million as of October 31, 2024 and negative cash flows from operating activities for the nine months ended October 31, 2024 and 2023.

Previous wording

As of July 31, 2024, our principal sources of liquidity were cash, cash equivalents, and marketable securities of $521.6 million.

Current wording

As of October 31, 2024, our principal sources of liquidity were cash, cash equivalents, and marketable securities of $455.3 million.

Previous wording

As of July 31, 2024, under the November 2022 Senior Secured Credit Facility there was$50.0 million drawn and$45.6 million was outstanding under the term loan, no amounts outstanding under the revolving credit facility and an aggregate$21.6 million in letters of credit issued under the credit sub-facility. Our total available borrowing capacity under the revolving credit facility was $78.4 million as of July 31, 2024.

Current wording

As of October 31, 2024, under the November 2022 Senior Secured Credit Facility there was$50.0 million drawn and$45.0 million was outstanding under the term loan, no amounts outstanding under the revolving credit facility and an aggregate$21.6 million in letters of credit issued under the credit sub-facility. Our total available borrowing capacity under the revolving credit facility was $78.4 million as of October 31, 2024.

Previous wording

In June 2024, our board of directors authorized a stock repurchase program of up to $150 million of our outstanding Class A common stock. Repurchases are made on the open market, including via pre-set trading plans, in accordance with applicable securities laws. The program is funded using our working capital and will expire in June 2025. The program does not obligate us to acquire any particular amount of Class A common stock, and the repurchase program may be suspended or discontinued at any time at our discretion. During the three and six months ended July 31, 2024, we repurchased 1.4 million shares of our outstanding Class A common stock for an aggregate purchase price of$19.7 million. All shares of Class A common stock repurchased were retired. As of July 31, 2024,$130.3 million remained available for future repurchases under the stock repurchase program. See Note 10. Stockholders’ Equity to our condensed consolidated financial statements included in Part I, Item 1 of this Quarterly Report on Form 10-Q for more information regarding stock repurchases.

Current wording

In June 2024, our board of directors authorized a stock repurchase program of up to $150 million of our outstanding Class A common stock. Repurchases are made on the open market, including via pre-set trading plans, in accordance with applicable securities laws. The program is funded using our working capital and will expire in June 2025. The program does not obligate us to acquire any particular amount of Class A common stock, and the repurchase program may be suspended or discontinued at any time at our discretion. During the three and nine months ended October 31, 2024, we repurchased 4.5 million and 5.9 million shares, respectively, of our outstanding Class A common stock for an aggregate purchase price of$55.0 million and $74.7 million, respectively. All shares of Class A common stock repurchased were retired. As of October 31, 2024,$75.3 million remained available for future repurchases under the stock repurchase program. See Note 10. Stockholders’ Equity to our condensed consolidated financial statements included in Part I, Item 1 of this Quarterly Report on Form 10-Q for more information regarding stock repurchases.

Previous wording

A substantial source of our cash provided by operating activities is our customer billings for subscription to our platform. Deferred revenue consists of the unearned portion of billed fees for our subscriptions, which is included on our condensed consolidated balance sheets as a liability and is recorded as revenues over the term of the subscription agreement. As of July 31, 2024, we had $289.2 million of deferred revenue, of which $285.5 million was recorded as a current liability. This deferred revenue will be recognized as revenues when all of the revenue recognition criteria are met.

Current wording

A substantial source of our cash provided by operating activities is our customer billings for subscription to our platform. Deferred revenue consists of the unearned portion of billed fees for our subscriptions, which is included on our condensed consolidated balance sheets as a liability and is recorded as revenues over the term of the subscription agreement. As of October 31, 2024, we had $282.1 million of deferred revenue, of which $279.6 million was recorded as a current liability. This deferred revenue will be recognized as revenues when all of the revenue recognition criteria are met.

Previous wording

Net cash provided by operating activities of $14.0 million for the six months ended July 31, 2024 reflects our net loss of $135.9 million, adjusted by non-cash items such as stock-based compensation expense of $108.7 million, amortization of deferred contract acquisition costs of $12.5 million, non-cash lease expense of $8.9 million, depreciation and amortization of $8.3 million, provision for expected credit losses of $0.4 million, partially offset by net accretion of discount on marketable securities of $3.6 million, and net cash inflows of $14.6 million from changes in our operating assets and liabilities. The net cash inflows from changes in operating assets and liabilities primarily consisted of a $22.9 million decrease in accounts receivable, a $18.0 million increase in deferred revenue resulting from increased billings for subscriptions, and a $6.4 million increase in accounts payable. These amounts were partially offset by a $13.6 million increase in prepaid expenses and other current assets related to an increase in deferred contract acquisition costs, a $9.6 million decrease in operating lease liabilities, a $6.4 million decrease in accrued expenses and other liabilities primarily from accrued advertising expenses and accrued payroll liability, and a $3.1 million increase in other assets.

Current wording

Net cash used in operating activities of $0.9 million for the nine months ended October 31, 2024 reflects our net loss of $193.2 million, adjusted by non-cash items such as stock-based compensation expense of $160.7 million, amortization of deferred contract acquisition costs of $19.2 million, non-cash lease expense of $13.5 million, depreciation and amortization of $12.7 million, and provision for expected credit losses of $1.0 million, partially offset by net accretion of discount on marketable securities of $4.6 million, and net cash outflows of $10.3 million from changes in our operating assets and liabilities. The net cash outflows from changes in operating assets and liabilities primarily consisted of a $15.9 million increase in prepaid expenses and other current assets related to an increase in deferred contract acquisition costs, a $14.6 million decrease in operating lease liabilities, a $11.4 million decrease in accrued expenses and other liabilities primarily from accrued advertising expenses and accrued payroll liability, and a $4.6 million increase in other assets. These amounts were partially offset by a $20.6 million decrease in accounts receivable, a $10.9 million increase in deferred revenue resulting from increased billings for subscriptions, and a $4.6 million increase in accounts payable.

Previous wording

Net cash provided by operating activities of $5.6 million for thesix months ended July 31, 2023 reflects ournet loss of $132.9 million, adjusted by non-cash items such asstock-based compensation expense of $97.7 million, amortization of deferred contract acquisition costs of $10.3 million, non-cash lease expense of $10.0 million, depreciation and amortization of $6.9 million, impairment of long-lived assets of $5.0 million, provision for expected credit losses of $1.4 million, andnet cash inflows of $8.1 million from changes in our operating assets and liabilities. The net cash inflows from changes in operating assets and liabilities primarily consisted of a $27.5 million increase indeferred revenue, resulting from increased billings for subscriptions, a $14.7 million decrease in accounts receivable, and a$1.3 million decrease in other assets. These amounts were partially offset bya $14.2 million decrease in accrued expenses and other liabilities primarily from accrued payroll liabilities and accrued advertising expenses, a$9.1 million increase inprepaid expenses and other current assets related to an increase in deferred contract acquisition costs, a $9.0 million decrease inoperating lease liabilities, and a $3.2 million decrease inaccounts payable.

Current wording

Net cash used in operating activities of $2.6 million for thenine months ended October 31, 2023 reflects ournet loss of $194.6 million, adjusted by non-cash items such asstock-based compensation expense of $150.6 million, amortization of deferred contract acquisition costs of $16.0 million, non-cash lease expense of $14.0 million, depreciation and amortization of $10.4 million, impairment of long-lived assets of $5.0 million, provision for expected credit losses of $2.1 million, andnet cash outflows of $4.5 million from changes in our operating assets and liabilities. The net cash outflows from changes in operating assets and liabilities primarily consisted of a $16.9 million decrease inaccrued expenses and other liabilities primarily from accrued payroll liabilities, a $13.8 million increase in prepaid expenses and other current assets related to an increase in deferred contract acquisition costs, and a$12.3 million decrease in operating lease liabilities. These amounts were partially offset bya $21.8 million increase in deferred revenue resulting from increased billings for subscriptions, a$12.3 million decrease inaccounts receivable, a $3.6 million increase inaccounts payable, and a $0.7 million decrease inother assets.

Previous wording

Net cash used in investing activities of $21.3 million for the six months ended July 31, 2024 consisted of $107.1 million in purchases of marketable securities, $2.8 million in capitalized internal-use software costs, and $2.7 million in purchases of property and equipment. This was partially offset by $91.3 million in maturities of marketable securities.

Current wording

Net cash provided by investing activities of $20.2 million for the nine months ended October 31, 2024 consisted of $195.6 million in maturities of marketable securities, partially offset by $166.6 million in purchases of marketable securities, $4.7 million in capitalized internal-use software costs, and $4.1 million in purchases of property and equipment.

Previous wording

Net cash used in investing activities of $129.5 million for thesix months ended July 31, 2023 consisted of $139.3 million inpurchases of marketable securities, $6.0 million inpurchases of property and equipment, and $2.3 million incapitalized internal-use software costs. This was partially offset by $18.1 million inmaturities of marketable securities.

Current wording

Net cash used in investing activities of $270.2 million for thenine months ended October 31, 2023 consisted of $284.3 million inpurchases of marketable securities, $7.2 million inpurchases of property and equipment, and $4.3 million incapitalized internal-use software costs. This was partially offset by $25.6 million inmaturities of marketable securities.

Previous wording

Net cash used in financing activities of $9.3 million for thesix months ended July 31, 2024 consisted of $19.0 million inrepurchases of Class A common stock and $1.3 million inrepayment of term loan. This was partially offset by $8.9 million inproceeds from employee stock purchase plan and$2.1 million inproceeds from exercise of stock options.

Current wording

Net cash used in financing activities of $58.2 million for thenine months ended October 31, 2024 consisted of $73.9 million inrepurchases of Class A common stock and $1.9 million inrepayment of term loan. This was partially offset by $13.7 million inproceeds from employee stock purchase plan and$3.9 million inproceeds from exercise of stock options.

Previous wording

Net cash provided by financing activities of $9.7 million for thesix months ended July 31, 2023 consisted of $8.6 million inproceeds from employee stock purchase plan and $3.1 million inproceeds from exercise of stock options, partially offset by $1.9 million for the repayment of our term loan.

Current wording

Net cash provided by financing activities of $16.4 million for thenine months ended October 31, 2023 consisted of $15.1 million inproceeds from employee stock purchase plan and $3.9 million inproceeds from exercise of stock options, partially offset by $2.5 million for the repayment of our term loan.

Previous wording

During the six months ended July 31, 2024, there were no material changes in our contractual obligations and other commitments, as disclosed in our Annual Report on Form 10-K filed with the SEC on March 14, 2024.

Current wording

During the nine months ended October 31, 2024, there were no material changes in our contractual obligations and other commitments, as disclosed in our Annual Report on Form 10-K filed with the SEC on March 14, 2024.

Previous wording

There have been no changes to our critical accounting policies and estimates during the six months ended July 31, 2024 as compared to those disclosed in our Management’s Discussion and Analysis of Financial Condition and Results of Operations set forth in our Annual Report on Form 10-K filed with the SEC on March 14, 2024.

Current wording

There have been no changes to our critical accounting policies and estimates during the nine months ended October 31, 2024 as compared to those disclosed in our Management’s Discussion and Analysis of Financial Condition and Results of Operations set forth in our Annual Report on Form 10-K filed with the SEC on March 14, 2024.