Income Taxes (Tables)

12 Months Ended

Jul. 31, 2024

Income Tax Disclosure [Abstract]

Company's income (loss) before provision for income taxes

The Company’s income (loss) before provision for (benefit from) income taxes is as follows (in thousands):

	Fiscal years ended July 31,
	2024		2023		2022
Domestic	$	(44,280)	$	(150,628)	$	(239,601)
International	17,442		16,534		9,886
Income (loss) before provision for (benefit from) income taxes	$	(26,838)	$	(134,094)	$	(229,715)

Schedule of Components of Income Tax Expense

The provision for (benefit from) income taxes consisted of the following (in thousands):

	Fiscal years ended July 31,
	2024		2023		2022
Current:
U.S. Federal	$	738	$	555	$	1,937
State	1,710		564		43
Foreign	3,563		3,904		1,852
Total current	6,011		5,023		3,832
Deferred:
U.S. Federal	(22,856)		(23,372)		(48,775)
State	(3,396)		(3,808)		(5,656)
Foreign	(494)		(82)		1,315
Total deferred	(26,746)		(27,262)		(53,116)
Total provision for (benefit from) income taxes	$	(20,735)	$	(22,239)	$	(49,284)

Effective Income Tax Rate Reconciliation

Differences between income taxes calculated using the statutory federal income tax rate of 21% and the provision for income taxes are as follows (in thousands):

	Fiscal years ended July 31,
	2024		2023		2022
Statutory federal income tax	$	(5,634)	$	(28,159)	$	(48,240)
State taxes, net of federal benefit	(1,702)		(3,253)		(5,613)
Stock-based compensation	(4,415)		9,902		2,912
Non-deductible officers' compensation	4,996		2,783		4,484
Foreign income taxed at different rates	(960)		(55)		(365)
Research tax credits	(12,067)		(7,817)		(6,820)
Base erosion and anti-abuse tax	(3,091)		(935)		349
Foreign earnings taxed in the U.S.	2,390		2,199		1,201
Non-deductible acquisition costs	30		617		744
Permanent differences and others	1,254		1,576		476
Change in valuation allowance	491		903		1,588
Foreign derived intangible income	(2,027)		—		—
Total provision for (benefit from) income taxes	$	(20,735)	$	(22,239)	$	(49,284)

Tax effects of temporary differences

The tax effects of temporary differences that gave rise to significant portions of deferred tax assets and liabilities are as follows (in thousands):

	As of July 31,
	2024		2023
Accruals and reserves	$	27,636	$	24,899
Stock-based compensation	9,077		8,389
Deferred revenue	711		1,188
Capitalized research and development	110,502		59,332
Lease liabilities	9,908		11,555
Convertible debt	919		2,344
Net operating loss carryforwards	49,864		85,573
Tax credits	145,934		127,209
Total deferred tax assets	354,551		320,489
Less valuation allowance	65,791		59,356
Net deferred tax assets	288,760		261,133
Less deferred tax liabilities:
Intangible assets	12,682		10,915
Operating lease assets	9,130		10,927
Property and equipment	184		576
Unremitted foreign earnings	851		931
Capitalized commissions	15,022		13,084
Total deferred tax liabilities	37,869		36,433
Total net deferred tax assets	$	250,891	$	224,700

Net operating loss carryforwards

As of July 31, 2024, the Company had research and development tax credit (“R&D credit”) carryforwards of the following (in thousands):

U.S. Federal	$	82,470
California	62,878
Total R&D credit carryforwards	$	145,348

Summary of activity related to unrecognized tax benefits

Activity related to unrecognized tax benefits is as follows (in thousands):

	Fiscal years ended July 31,
	2024		2023		2022
Unrecognized tax benefits - beginning of period	$	20,518	$	18,786	$	17,138
Gross increases - prior period tax positions	231		1		147
Gross decreases - prior period tax positions	(2,664)		(982)		—
Gross increases - current period tax positions	3,435		2,713		1,501
Unrecognized tax benefits - end of period	$	21,520	$	20,518	$	18,786