UiPath, Inc.

Previous wording

Business Highlights for the Three and Six Months Ended July 31, 2025:

Current wording

Business Highlights for the Three and Nine Months Ended October 31, 2025:

Previous wording

•Quarter-to-date revenue of $361.7 million increased 14% year-over-year.

Current wording

•Quarter-to-date revenue of $411.1 million increased 16% year-over-year.

Previous wording

•Year-to-date revenue of $718.4 million increased 10% year-over-year.

Current wording

•Year-to-date revenue of $1,129.5 million increased 12% year-over-year.

Previous wording

•Annualized renewal run-rate ("ARR") at July 31, 2025 of $1,723.4 million increased 11% year-over-year.

Current wording

•Annualized renewal run-rate ("ARR") at October 31, 2025 of $1,782.4 million increased 11% year-over-year.

Previous wording

•Cash flow from operations was $160.6 million for the six months ended July 31, 2025, compared to $146.4 million for the six months ended July 31, 2024.

Current wording

•Cash flow from operations was $188.9 million for the nine months ended October 31, 2025, compared to $174.5 million for the nine months ended October 31, 2024.

Previous wording

•Cash and cash equivalents, restricted cash, and marketable securities were $1,523.1 million as of July 31, 2025, compared to $1,724.1 million as of January 31, 2025.

Current wording

•Cash and cash equivalents, restricted cash, and marketable securities were $1,520.2 million as of October 31, 2025, compared to $1,724.1 million as of January 31, 2025.

Previous wording

ARR is the key performance metric we use in managing our business because it illustrates our ability to acquire new subscription customers and to maintain and expand our relationships with existing subscription customers. We define ARR as annualized invoiced amounts per solution SKU from subscription licenses and maintenance and support obligations assuming no increases or reductions in customers' subscriptions. ARR does not include the costs we may incur to obtain such subscription licenses or provide such maintenance and support. ARR also does not reflect nonrecurring rebates payable to partners (upon establishing sufficient history of their nonrecurring nature), the impact of nonrecurring incentives (such as one-time discounts provided under sales promotional programs), and any actual or anticipated reductions in invoiced value due to contract non-renewals or service cancellations other than for certain reserves (for example those for credit losses or disputed amounts). At July 31, 2025 and 2024, our ARR was $1,723.4 million and $1,550.6 million, respectively, representing a growth rate of 11%. Approximately 26% of this growth rate was due to new customers and 74% of this growth rate was due to existing customers. Our dollar-based net retention rate, which represents the net expansion of ARR from existing customers over the preceding 12 months, was 108% and 115% as of July 31, 2025 and 2024, respectively. We calculate dollar-based net retention rate as of a period end by starting with the ARR from the cohort of all customers as of 12 months prior to such period end ("Prior Period ARR"). We then calculate the ARR from these same customers as of the current period end ("Current Period ARR"). Current Period ARR includes any expansion and is net of contraction or attrition over the last 12 months, but does not include ARR from new customers in the current period. We then divide the total Current Period ARR by the total Prior Period ARR to arrive at the point-in-time dollar-based net retention rate.

Current wording

ARR is the key performance metric we use in managing our business because it illustrates our ability to acquire new subscription customers and to maintain and expand our relationships with existing subscription customers. We define ARR as annualized invoiced amounts per solution SKU from subscription licenses and maintenance and support obligations assuming no increases or reductions in customers' subscriptions. ARR does not include the costs we may incur to obtain such subscription licenses or provide such maintenance and support. ARR also does not reflect nonrecurring rebates payable to partners (upon establishing sufficient history of their nonrecurring nature), the impact of nonrecurring incentives (such as one-time discounts provided under sales promotional programs), and any actual or anticipated reductions in invoiced value due to contract non-renewals or service cancellations other than for certain reserves (for example those for credit losses or disputed amounts). At October 31, 2025 and 2024, our ARR was $1,782.4 million and $1,606.6 million, respectively, representing a growth rate of 11%. Approximately 28% of this growth rate was due to new customers and 72% of this growth rate was due to existing customers. Our dollar-based net retention rate, which represents the net expansion of ARR from existing customers over the preceding 12 months, was 107% and 113% as of October 31, 2025 and 2024, respectively. We calculate dollar-based net retention rate as of a period end by starting with the ARR from the cohort of all customers as of 12 months prior to such period end ("Prior Period ARR"). We then calculate the ARR from these same customers as of the current period end ("Current Period ARR"). Current Period ARR includes any expansion and is net of contraction or attrition over the last 12 months, but does not include ARR from new customers in the current period. We then divide the total Current Period ARR by the total Prior Period ARR to arrive at the point-in-time dollar-based net retention rate.

Previous wording

Cost of subscription services revenue primarily consists of personnel-related expenses of our customer support and technical support teams, including salaries and bonuses, stock-based compensation expense, and employee benefit costs. Cost of subscription services revenue also includes third-party consulting services, hosting costs related to our SaaS products, amortization of acquired developed technology and capitalized software development costs related to SaaS products, depreciation, and allocated overhead. Overhead is allocated based on applicable headcount. We recognize these expenses as they are incurred. We expect cost of subscription services revenue to continue to increase in absolute dollars for the foreseeable future as our SaaS business grows. In the future, we expect further expansion of our cloud-based deployments. As more of our customer base deploys our products via SaaS, we expect our gross margin to be impacted by increased hosting fees and cloud infrastructure costs.

Current wording

Cost of subscription services revenue primarily consists of personnel-related expenses of our customer support and technical support teams, including salaries and bonuses, stock-based compensation expense, and employee benefit costs. Cost of subscription services revenue also includes third-party consulting services, hosting costs related to our SaaS products, amortization of acquired developed technology and capitalized software development costs related to SaaS products, depreciation, and allocated overhead. Overhead is allocated based on applicable headcount. We recognize these expenses as they are incurred. We expect cost of subscription services revenue to increase in absolute dollars in the longer term, particularly with regard to hosting and cloud infrastructure costs as our SaaS business grows. In the future, we expect further expansion of our cloud-based deployments, and as more of our customer base deploys our products via SaaS, we expect our gross margin to be impacted by these costs.

Previous wording

Other income (expense), net primarily consists of foreign exchange gains and losses. Other income (expense), net also includes accretion of discounts and premiums on marketable securities.

Current wording

Other (expense) income, net primarily consists of foreign exchange gains and losses. Other (expense) income, net also includes accretion of discounts and premiums on marketable securities.

Previous wording

Provision for income taxes consists of U.S. federal and state income taxes and income taxes in foreign jurisdictions in which we conduct business. Our effective tax rate is impacted by tax rates in foreign jurisdictions and the relative amounts of income we earn in those jurisdictions, as well as by non-deductible expenses as permanent differences, and by changes in our valuation allowances. We currently maintain a full valuation allowance on our U.S. federal and state and Romania DTAs, as we have concluded as of July 31, 2025 that it is more likely than not that these DTAs will not be realized. However, given our current earnings and anticipated future earnings, we believe that there is a reasonable possibility that sufficient positive evidence may become available to allow us to conclude that a valuation allowance is no longer needed for our U.S. DTA within the next six months, and for our Romania DTA, or a portion thereof, within the next 18 months, which would result in income tax benefit in the period of the respective release.

Current wording

Benefit from income taxes consists of U.S. federal and state income taxes and income taxes in foreign jurisdictions in which we conduct business. Our effective tax rate is impacted by tax rates in foreign jurisdictions and the relative amounts of income we earn in those jurisdictions, as well as by non-deductible expenses as permanent differences, and by changes in our valuation allowances. We currently maintain a partial valuation allowance on our U.S. state DTAs and a full valuation allowance on our Romania DTAs, as we have concluded as of October 31, 2025 that it is more likely than not that these DTAs will not be fully realized. However, given our current earnings and anticipated future earnings, we believe that there is a reasonable possibility that sufficient positive evidence may become available to allow us to conclude that a valuation allowance is no longer needed for our U.S. state DTAs within the next 12 months, and for our Romania DTA, or a portion thereof, within the next 24 months, which would result in income tax benefit in the period of the respective release.

Previous wording

Total revenue increased by $45.5 million, or 14%, for the three months ended July 31, 2025 compared to the three months ended July 31, 2024, primarily due to a $43.7 million increase in subscription services revenue and a $1.9 million increase in professional services and other revenue. Total revenue grew across all geographical regions. Of the growth in total revenue, 29% was attributable to new customers and 71% was attributable to existing customers. Subscription services revenue is recognized ratably over the subscription term; therefore, the increase in subscription services revenue is driven both by sales in prior periods for which we continue to provide maintenance and support and SaaS and by new sales in the current period.

Current wording

Total revenue increased by $56.5 million, or 16%, for the three months ended October 31, 2025 compared to the three months ended October 31, 2024, primarily due to a $40.7 million increase in subscription services revenue and a $12.9 million increase in licenses revenue. Total revenue grew across all geographical regions. Of the growth in total revenue, 14% was attributable to new customers and 86% was attributable to existing customers. Subscription services revenue is recognized ratably over the subscription term; therefore, the increase in subscription services revenue is driven both by sales in prior periods for which we continue to provide maintenance and support and SaaS and by new sales in the current period.

Previous wording

Total cost of revenue increased by $1.1 million, or 2%, for the three months ended July 31, 2025 compared to the three months ended July 31, 2024, driven by a $7.6 million increase in cost of professional services and other revenue, partially offset by a $5.3 million decrease in cost of subscription services revenue and a$1.2 million decrease in cost of licenses revenue. The increase in cost of professional services and other revenue was primarily driven by an $8.1 million increase in costs associated with the use of third-party subcontractors to deliver professional services to our customers, partially offset by a $0.8 million decrease in personnel-related expenses, which included a $0.7 million decrease in stock-based compensation expense. The decrease in cost of subscription services revenue was primarily driven by a $7.4 million decrease in personnel-related expenses, which included a $4.8 million decrease in salary-related and bonus expenses associated with reduced headcount and a $1.6 million decrease in stock-based compensation expense, partially offset by a $2.3 million increase in third-party hosting and software services costs as a result of increased usage of our subscription services. Cost of subscription revenue was also impacted by a $0.9 million decrease in costs associated with the use of third-party vendors. The decrease in cost of licenses revenue was primarily attributable to lower depreciation and amortization expense.

Current wording

Total cost of revenue increased by $5.0 million, or 8%, for the three months ended October 31, 2025 compared to the three months ended October 31, 2024, driven by a $9.4 million increase in cost of professional services and other revenue, partially offset by a $3.4 million decrease in cost of subscription services revenue and a$1.0 million decrease in cost of licenses revenue. The increase in cost of professional services and other revenue was primarily driven by an $8.3 million increase in costs associated with the use of third-party subcontractors to deliver professional services to our customers and a $0.6 million increase in personnel-related expenses. The decrease in cost of subscription services revenue was primarily driven by a $5.9 million decrease in personnel-related expenses, which included a $3.1 million decrease in salary-related and bonus expenses associated with reduced headcount and a $1.7 million decrease in stock-based compensation expense, partially offset by a $1.2 million increase in third-party hosting and software services costs as a result of increased usage of our subscription services and a $0.3 million aggregate increase in depreciation and amortization and rent expense.

Previous wording

Our gross margin increased to 82% for the three months ended July 31, 2025 compared to 80% for the three months ended July 31, 2024, primarily driven by increased subscription services revenue and subscription services revenue margin.

Current wording

Our gross margin increased to 83% for the three months ended October 31, 2025 compared to 82% for the three months ended October 31, 2024, reflecting increased subscription services revenue and subscription services revenue margin.

Previous wording

Research and development expense remained relatively constant for the three months ended July 31, 2025 compared to the three months ended July 31, 2024. A $3.8 million increase in personnel-related expenses was driven by a $3.4 million increase in stock-based compensation expense, a $0.9 million increase in salary-related and bonus expenses associated with higher headcount and merit increases, and a $0.5 million aggregate increase in employee insurance costs and employer payroll taxes, partially offset by a $1.4 million decrease in employee termination benefits due to reduced activity under our Fiscal Year 2025 Workforce Restructuring. This increase was offset by a $3.8 million decrease in hosting and software services costs.

Current wording

Research and development expense remained relatively constant for the three months ended October 31, 2025 compared to the three months ended October 31, 2024. Hosting and software services costs decreased $3.8 million. This decrease was offset by a $2.9 million increase in personnel-related expenses, which was driven by a $4.6 million increase in salary-related and bonus expenses associated with higher headcount and merit increases partially offset by a $2.0 million decrease in stock-based compensation expense.

Previous wording

Other income, net increased by $3.8 million, or 49%, for the three months ended July 31, 2025 compared to the three months ended July 31, 2024, primarily due to a $9.5 million increase in gains from foreign currency transactions partially offset by a $5.9 million decrease in accretion of net discounts on marketable securities.

Current wording

Other expense, net increased by $8.0 million, or 102%, for the three months ended October 31, 2025 compared to the three months ended October 31, 2024, primarily due to a $2.0 million increase in losses from foreign currency transactions and a $5.9 million decrease in accretion of net discounts on marketable securities.

Previous wording

Provision for income taxes decreased by $2.1 million, or 54%, for the three months ended July 31, 2025 compared to the three months ended July 31, 2024, mainly driven by period-over-period change in the proportion of operating profits realized across jurisdictions.

Current wording

Benefit from income taxes increased by $159.4 million for the three months ended October 31, 2025 compared to the three months ended October 31, 2024, driven by release of valuation allowance associated with our U.S. federal and New York City and State DTAs, as well period-over-period change in the proportion of operating profits realized across jurisdictions.

Previous wording

Comparison of the Six Months Ended July 31, 2025 and July 31, 2024

Current wording

Comparison of the Nine Months Ended October 31, 2025 and October 31, 2024

Previous wording

Total revenue increased by $67.0 million, or 10%, for the six months ended July 31, 2025 compared to the six months ended July 31, 2024, due to a $75.9 million increase in subscription services revenue and a $3.1 million increase in professional services and other revenue, partially offset by an $11.9 million decrease in licenses revenue related in part to the transition to our Flex Offerings. Total revenue grew across all geographical regions. Of the growth in total revenue, 30% was attributable to new customers and 70% was attributable to existing customers. Subscription services revenue is recognized ratably over the subscription term; therefore, the increase in subscription services revenue is driven by both sales in prior periods for which we continue to provide maintenance and support and SaaS, and by new sales in the current period.

Current wording

Total revenue increased by $123.4 million, or 12%, for the nine months ended October 31, 2025 compared to the nine months ended October 31, 2024, primarily due to a $116.5 million increase in subscription services revenue and a $6.0 million increase in professional services and other revenue. Total revenue grew across all geographical regions. Of the growth in total revenue, 19% was attributable to new customers and 81% was attributable to existing customers. Subscription services revenue is recognized ratably over the subscription term; therefore, the increase in subscription services revenue is driven by both sales in prior periods for which we continue to provide maintenance and support and SaaS, and by new sales in the current period.

Previous wording

Total cost of revenue increased by $9.6 million, or 8%, for the six months ended July 31, 2025 compared to the six months ended July 31, 2024, due to a a $15.7 million increase in cost of professional services revenue, partially offset by a $3.6 million decrease in cost of subscription services revenue and a $2.5 million decrease in cost of licenses revenue. The increase in cost of professional services and other revenue was primarily driven by a $14.0 million increase in costs associated with the use of third-party subcontractors to deliver professional services to our customers. The decrease in cost of subscription services revenue was primarily driven by a $9.0 million decrease in personnel-related expenses, which included a $5.8 million decrease in salary-related and bonus expenses associated with reduced headcount, a $2.0 million decrease in stock-based compensation expense, and a $0.8 million aggregate decrease in employee insurance costs and employer payroll taxes. Cost of subscription services revenue was also impacted by a $1.0 million decrease in costs associated with the use of third-party vendors. These decreases were partially offset by a $5.7 million increase in third-party hosting and software services costs as a result of increased usage of our subscription services. The decrease in cost of licenses revenue was primarily driven by a $1.4 million decrease in depreciation and amortization expense and a $1.1 million decrease in software services costs.

Current wording

Total cost of revenue increased by $14.6 million, or 8%, for the nine months ended October 31, 2025 compared to the nine months ended October 31, 2024, due to a a $25.1 million increase in cost of professional services revenue, partially offset by a $7.0 million decrease in cost of subscription services revenue and a $3.6 million decrease in cost of licenses revenue. The increase in cost of professional services and other revenue was primarily driven by a $22.4 million increase in costs associated with the use of third-party subcontractors to deliver professional services to our customers. The decrease in cost of subscription services revenue was primarily driven by a $14.9 million decrease in personnel-related expenses, which included an $8.9 million decrease in salary-related and bonus expenses associated with reduced headcount, a $3.7 million decrease in stock-based compensation expense, and a $1.4 million aggregate decrease in employee insurance costs and employer payroll taxes. This decrease was partially offset by a $6.9 million increase in third-party hosting and software services costs as a result of increased usage of our subscription services and a $0.9 million aggregate increase in depreciation and amortization and rent expense. The decrease in cost of licenses revenue was primarily driven by a $2.1 million decrease in depreciation and amortization expense and a $1.4 million decrease in software services costs.

Previous wording

Our gross margin remained relatively constant at 82% for the six months ended July 31, 2025 compared to 82% for the six months ended July 31, 2024, reflecting increased subscription services revenue and margin offset by a decrease in the proportion of higher-margin licenses revenue.

Current wording

Our gross margin increased to 83% for the nine months ended October 31, 2025 compared to 82% for the nine months ended October 31, 2024, reflecting increased subscription services revenue and subscription services revenue margin.

Previous wording

Sales and marketing expense decreased by $28.0 million, or 14%, for the three months ended July 31, 2025 compared to the three months ended July 31, 2024. The decrease was primarily attributable to a $30.7 million decrease in personnel-related expenses, which included a $14.1 million decrease in stock-based compensation expense, a $6.8 million decrease in salary-related and bonus expenses associated with reduced headcount, a $7.4 million decrease in employee termination benefits due to reduced activity under our Fiscal Year 2025 Workforce Restructuring, and a $1.4 million decrease in general employee severance. This decrease was partially offset by a $2.1 million increase in third-party consulting fees and a $1.2 million increase in sales commissions expense.

Current wording

Sales and marketing expense decreased by $56.5 million, or 10%, for the nine months ended October 31, 2025 compared to the nine months ended October 31, 2024. This decrease was primarily attributable to a $67.5 million decrease in personnel-related expenses, which included a $37.8 million decrease in stock-based compensation expense, a $17.2 million decrease in salary-related and bonus expenses associated with reduced headcount, a $7.4 million decrease in employee termination benefits due to reduced activity under our Fiscal Year 2025 Workforce Restructuring, which was completed during the second quarter of fiscal year 2026, a $3.1 million aggregate decease in employee insurance costs and employer payroll taxes, and a $1.4 million decrease in general employee severance. This decrease was partially offset by a $9.2 million increase in third-party consulting fees.

Previous wording

Research and development expense increased by $9.1 million, or 5%, for the six months ended July 31, 2025 compared to the six months ended July 31, 2024. The increase was primarily driven by a $15.1 million increase in personnel-related expenses, which included an $8.9 million increase in stock-based compensation expense, a $7.4 million increase in salary-related and bonus expenses associated with higher headcount and merit increases, and a $1.4 million aggregate increase in employee insurance costs and employer payroll taxes, partially offset by a $1.7 million decrease in employee termination benefits due to reduced activity under our Fiscal Year 2025 Workforce Restructuring and a $0.8 million decrease in general employee severance. This increase was partially offset by a $6.6 million decrease in hosting and software services costs.

Current wording

Research and development expense increased by $9.0 million, or 3%, for the nine months ended October 31, 2025 compared to the nine months ended October 31, 2024. The increase was primarily driven by an $18.0 million increase in personnel-related expenses, which included a $12.0 million increase in salary-related and bonus expenses associated with higher headcount and merit increases, a $6.9 million increase in stock-based compensation expense, and a $1.6 million aggregate increase in employee insurance costs and employer payroll costs, partially offset by a $1.9 million decrease in employee termination benefits due to reduced activity under our Fiscal Year 2025 Workforce Restructuring, which was completed during the second quarter of fiscal year 2026. This increase was partially offset by a $10.3 million decrease in hosting and software services costs.

Previous wording

General and administrative expense decreased by $19.5 million, or 15%, for the six months ended July 31, 2025 compared to the six months ended July 31, 2024. This decrease was primarily driven by an $11.4 million decrease in personnel-related expenses, which included an $8.4 million decrease in stock-based compensation expense, a $1.2 million decrease in employee termination benefits due to reduced activity under our Fiscal Year 2025 Workforce Restructuring, and a $1.0 million decrease in salary-related and bonus expenses associated with reduced headcount. General and administrative expense was also impacted by a $4.4 million decrease in other taxes in non-U.S. jurisdictions, a $2.4 million decrease in charitable donations mainly driven by the decreased fair value of our Class A common shares contributed to a donor-advised fund in the current year, and a $1.0 million decrease in software service and implementation costs. These decreases were partially offset by a $2.4 million increase in third-party advisory fees.

Current wording

General and administrative expense decreased by $16.4 million, or 9%, for the nine months ended October 31, 2025 compared to the nine months ended October 31, 2024. This decrease was primarily driven by an $11.9 million decrease in personnel-related expenses, which included a $9.1 million decrease in stock-based compensation expense, a $2.1 million decrease in employee termination benefits due to reduced activity under our Fiscal Year 2025 Workforce Restructuring, which was completed during the second quarter of fiscal year 2026, and a $1.2 million aggregate decrease in employee insurance costs and employer payroll taxes. General and administrative expense was also impacted by a $4.2 million decrease in other taxes in non-U.S. jurisdictions, a $2.8 million decrease in software service and implementation costs, a $2.4 million decrease in charitable donation expense due to reduced fair value of our Class A common shares contributed to a donor-advised fund in the current year, and a $1.4 million aggregate decrease in depreciation and amortization and rent expense. These decreases were partially offset by a $4.2 million increase in third-party advisory fees and a $2.8 million increase in credit loss expense.

Previous wording

Other expense, net increased by$22.8 million for the six months ended July 31, 2025 compared to the six months ended July 31, 2024, primarily due to an $11.6 million decrease in accretion of net discounts on marketable securities, a $6.5 million increase in losses from foreign currency transactions, and a $5.1 million increase in legal expense related to shareholder litigation.

Current wording

Other expense, net increased by$30.8 million, or 118%, for the nine months ended October 31, 2025 compared to the nine months ended October 31, 2024, primarily due to a $17.5 million decrease in accretion of net discounts on marketable securities, an $8.4 million increase in losses from foreign currency transactions, and a $5.2 million increase in legal expense related to shareholder litigation.

Previous wording

Provision for income taxes decreased by $3.0 million, or 40%, for the six months ended July 31, 2025 compared to the six months ended July 31, 2024, mainly driven by period-over-period change in the proportion of operating profits realized across jurisdictions.

Current wording

Benefit from income taxes increased by $162.4 million for the nine months ended October 31, 2025 compared to the nine months ended October 31, 2024, mainly driven by release of valuation allowance associated with our U.S. federal and New York City and State DTAs, as well period-over-period change in the proportion of operating profits realized across jurisdictions.

Previous wording

As of July 31, 2025, our principal sources of liquidity were cash, cash equivalents, and marketable securities totaling $1,522.6 million, and we had an accumulated deficit of $2,008.8 million. For the six months ended July 31, 2025, we reported a net loss of $21.0 million and net cash provided by operating activities of $160.6 million. Cash generated by our operations in recent periods has principally been used to fund working capital requirements such as personnel and facilities costs, invest in capital expenditures, engage in various business acquisitions, and repurchase shares of our Class A common stock.

Current wording

As of October 31, 2025, our principal sources of liquidity were cash, cash equivalents, and marketable securities totaling $1,519.8 million, and we had an accumulated deficit of $1,810.0 million. For the nine months ended October 31, 2025, we reported net income of $177.9 million and net cash provided by operating activities of $188.9 million. Cash generated by our operations in recent periods has principally been used to fund working capital requirements such as personnel and facilities costs, invest in capital expenditures, engage in various business and asset acquisitions, and repurchase shares of our Class A common stock.

Previous wording

Net cash provided by operating activities for the six months ended July 31, 2025 of $160.6 million was driven by cash collections from our customers, with cash collections approximately 1% lower than during the six months ended July 31, 2024. These cash inflows were partially offset by cash payments for operating expenditures, primarily associated with the compensation of our teams, including fiscal year 2025 annual bonuses paid in the first quarter of fiscal year 2026. Other cash operating expenditures included payments related to our Fiscal Year 2025 Workforce Restructuring and payments for professional services, software, and office rent.

Current wording

Net cash provided by operating activities for the nine months ended October 31, 2025 of $188.9 million was driven by cash collections from our customers, with cash collections approximately 1% lower than during the nine months ended October 31, 2024. These cash inflows were partially offset by cash payments for operating expenditures, primarily associated with the compensation of our teams, including fiscal year 2025 annual bonuses paid in the first quarter of fiscal year 2026. Other cash operating expenditures included payments related to our Fiscal Year 2025 Workforce Restructuring and payments for professional services, software, and office rent.

Previous wording

Net cash provided by operating activities for the six months ended July 31, 2024 of $146.4 million was driven by cash collections from our customers, partially offset by cash payments for operating expenditures, primarily associated with the compensation of our teams, including fiscal year 2024 annual bonuses paid in the first quarter of fiscal year 2025. Other cash operating expenditures included payments for professional services, software, and office rent.

Current wording

Net cash provided by operating activities for the nine months ended October 31, 2024 of $174.5 million was driven by cash collections from our customers, partially offset by cash payments for operating expenditures, primarily associated with the compensation of our teams, including fiscal year 2024 annual bonuses paid in the first quarter of fiscal year 2025. Other cash operating expenditures included payments related to our Fiscal Year 2025 workforce restructuring, and payments for professional services, software, and office rent.

Previous wording

Net cash used in investing activities for the six months ended July 31, 2025 of $80.6 million was driven by $300.1 million in purchases of marketable securities, a net payment of $24.8 million in connection with the acquisition of Peak, and $12.8 million in capital expenditures primarily related to leasehold improvements, partially offset by $257.1 million in maturities of marketable securities.

Current wording

Net cash provided by investing activities for the nine months ended October 31, 2025 of $20.2 million was driven by $585.1 million in maturities of marketable securities, partially offset by $507.2 million in purchases of marketable securities, a net payment of $24.8 million in connection with the acquisition of Peak, $16.0 million in capital expenditures primarily related to leasehold improvements, and $16.8 million in other investing outflows.

Previous wording

Net cash used in investing activities for the six months ended July 31, 2024 of $5.9 million was primarily driven by $697.8 million in purchases of marketable securities and a $35.8 million investment in the H Company, partially offset by$730.3 million in maturities of marketable securities.

Current wording

Net cash used in investing activities for the nine months ended October 31, 2024 of $28.8 million was driven by $1,162.2 million in purchases of marketable securities, a $35.8 million investment in the H Company, and$7.5 million in capital expenditures, partially offset by$1,176.8 million in maturities of marketable securities.

Previous wording

Net cash used in financing activities for the six months ended July 31, 2025 of $346.8 million was primarily driven by $329.1 million in repurchases of Class A common stock under our stock repurchase program and $26.3 million in payments of tax withholdings on net settlement of equity awards, partially offset by $8.1 million in proceeds from ESPP contributions.

Current wording

Net cash used in financing activities for the nine months ended October 31, 2025 of $358.0 million was driven by $329.1 million in repurchases of Class A common stock under our stock repurchase program and $41.7 million in payments of tax withholdings on settlement of equity awards, partially offset by $11.9 million in proceeds from ESPP contributions and $1.0 million in proceeds from exercise of stock options.

Previous wording

Net cash used in financing activities for the six months ended July 31, 2024 of $260.9 million was primarily driven by $218.8 million in repurchases of Class A common stock under our stock repurchase program, $45.9 million in payments of tax withholdings on net settlement of equity awards, and $5.6 million in deferred cash consideration paid on the second anniversary of the acquisition of Re:infer LTD, partially offset by $8.6 million in proceeds from ESPP contributions.

Current wording

Net cash used in financing activities for the nine months ended October 31, 2024 of $433.5 million was driven by $381.4 million in repurchases of Class A common stock under our stock repurchase program, $60.4 million in payments of tax withholdings on settlement of equity awards, and $5.6 million in deferred cash consideration paid on the second anniversary of the acquisition of Re:infer LTD, partially offset by $12.9 million in proceeds from ESPP contributions and $0.9 million in proceeds from exercise of stock options.

Previous wording

As of July 31, 2025, accrued compensation and benefits of $65.9 million are included in current liabilities on our condensed consolidated balance sheet. Refer to Note 9, Condensed Consolidated Balance Sheet Components—Accrued Expenses and Other Current Liabilities for details of additional short-term payroll-related obligations included in accrued expenses and other current liabilities.

Current wording

As of October 31, 2025, accrued compensation and benefits of $88.6 million are included in current liabilities on our condensed consolidated balance sheet. Refer to Note 9, Condensed Consolidated Balance Sheet Components—Accrued Expenses and Other Current Liabilities for details of additional short-term payroll-related obligations included in accrued expenses and other current liabilities.

Previous wording

Refer to Note 8, Operating Leases for more detailed information regarding timing of future lease payments, and Note 10, Commitments and Contingencies—Non-Cancelable Purchase Obligations for more detailed information regarding timing of purchase commitments with terms of 12 months or longer. During the six months ended July 31, 2025, we entered into a purchase commitment for hosting services for$199.8 million. There were no other significant changes from the contractual obligations disclosed in the section titled “Management’s Discussion and Analysis of Financial Condition and Results of Operations,” set forth in the 2025 Form 10-K.

Current wording

Refer to Note 8, Operating Leases for more detailed information regarding timing of future lease payments, and Note 10, Commitments and Contingencies—Non-Cancelable Purchase Obligations for more detailed information regarding timing of purchase commitments with terms of 12 months or longer. During the nine months ended October 31, 2025, we entered into a purchase commitment for hosting services for$199.8 million. There were no other significant changes from the contractual obligations disclosed in the section titled “Management’s Discussion and Analysis of Financial Condition and Results of Operations,” set forth in the 2025 Form 10-K.