Goodwill and Intangible Assets

12 Months Ended

Jan. 31, 2023

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets

Goodwill and Intangible Assets

Goodwill

The following table summarizes the changes in carrying amounts of goodwill:

	(in thousands)
Balance as of January 31, 2021	$	1,215
Goodwill acquired with ViriCiti acquisition	62,839
Goodwill acquired with HTB acquisition	158,997
Foreign exchange fluctuations	(4,567)
Balance as of January 31, 2022	$	218,484
Foreign exchange fluctuations	(4,768)
Balance as of January 31, 2023	$	213,716

There was no impairment recognized for the years ended January 31, 2023, 2022, and 2021.

Intangible Assets

The following table presents the details of intangible assets:

	January 31, 2023
	Cost (1)		Accumulated Amortization (1)		Net (1)		Useful Life
	(amounts in thousands, useful lives in years)
Customer relationships	$	90,738	$	(12,223)	$	78,515	10
Developed technology	18,355		(4,197)		14,158		6
	$	109,093	$	(16,420)	$	92,673

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(1) Values are translated into U.S. Dollars at period-end foreign exchange rates.

	January 31, 2022
	Cost (1)		Accumulated Amortization (1)		Net (1)		Useful Life
	(amounts in thousands, useful lives in years)
Customer relationships	$	93,065	$	(3,223)	$	89,842	10
Developed technology	18,731		(1,364)		17,367		6
	$	111,796	$	(4,587)	$	107,209

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(1) Values are translated into U.S. Dollars at period-end foreign exchange rates.

Amortization expense for customer relationships and developed technology is shown as sales and marketing and cost of revenue, respectively, in the consolidated statements of operations. The acquired intangible assets and goodwill are subject to impairment review at least annually on December 31st. Based on the annual impairment analysis completed during the years ended January 31, 2023 and 2022, the Company determined that there was no impairment of intangible assets.

Acquisition-related intangible assets included in the above table are finite-lived and are carried at cost less accumulated amortization. Intangible assets are being amortized on a straight-line basis over their estimated lives, which approximates the pattern in which the economic benefits of the intangible assets are expected to be realized.

The following table presents the amortization expense related to intangible assets:

	Year ended January 31,
	2023		2022		2021
	(in thousands)
Amortization Expense	$	11,646	$	4,617	$	—

The following table presents the estimated aggregate amortization expense related to intangible assets:

Years Ending January 31,	(in thousands)
2024	$	12,133
2025	12,133
2026	12,133
2027	12,133
2028	10,995
Thereafter	33,146
Total amortization expense	$	92,673

The expected amortization expense is an estimate. Actual amounts of amortization may differ from estimated amounts due to additional intangible assets acquisitions, changes in foreign currency exchange rates, impairment of intangible assets, future changes to expected useful lives of intangible assets, and other events.