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Equity Incentive Plan (Tables)
12 Months Ended
Sep. 30, 2020
Share Based Compensation Allocation And Classification In Financial Statements [Abstract]  
Schedule of Classification of Compensation Expense

The following table shows total stock-based compensation expense recorded from our stock-based awards as reflected in our Consolidated Statements of Operations:

 

(in thousands)

 

Year ended September 30,

 

 

 

2020

 

 

2019

 

 

2018

 

Cost of license revenue

 

$

47

 

 

$

509

 

 

$

144

 

Cost of support and cloud services revenue

 

 

6,910

 

 

 

5,004

 

 

 

4,302

 

Cost of professional services revenue

 

 

7,012

 

 

 

6,426

 

 

 

7,079

 

Sales and marketing

 

 

37,351

 

 

 

32,026

 

 

 

24,893

 

Research and development

 

 

27,005

 

 

 

22,019

 

 

 

13,488

 

General and administrative

 

 

36,824

 

 

 

20,416

 

 

 

33,033

 

Total stock-based compensation expense

 

$

115,149

 

 

$

86,400

 

 

$

82,939

 

 

Schedule of Restricted Stock Unit Activity and Grants for the Period

Restricted stock unit activity for the year ended September 30, 2020

(in thousands, except grant date fair value data)

 

Shares

 

 

Weighted

Average

Grant Date

Fair Value

 

 

Aggregate

Intrinsic Value

 

Balance of outstanding restricted stock units, October 1, 2019

 

 

3,232

 

 

$

80.52

 

 

 

 

 

Granted

 

 

2,770

 

 

$

77.57

 

 

 

 

 

Vested

 

 

(1,391

)

 

$

71.55

 

 

 

 

 

Forfeited or not earned

 

 

(1,102

)

 

$

89.09

 

 

 

 

 

Balance of outstanding restricted stock units, September 30, 2020

 

 

3,509

 

 

$

79.13

 

 

$

290,227

 

 

(in thousands)

 

Restricted Stock Units

 

Grant period

 

Performance-

based RSUs(1)

 

 

Service-based

RSUs(2)

 

 

Total Shareholder Return RSUs(3)

 

Year ended September 30, 2020

 

 

501

 

 

 

2,168

 

 

 

101

 

 

(1)

The performance-based RSUs were granted to our executive officers and are eligible to vest based upon annual increasing performance measures, measured over a three-year period. To the extent earned, those performance-based RSUs will vest in three substantially equal installments. Approximately 101 thousand RSUs are eligible to vest on November 15, 2020, 2021 and 2022, or the date the Compensation Committee determines the extent to which the applicable performance criteria have been achieved for each performance period. Up to a maximum of two times the number of RSUs can be earned (a maximum aggregate of 202 thousand RSUs). An additional 400 thousand RSUs are eligible to vest on November 15, 2021, 2022 and 2023, or the date the Compensation Committee determines the extent to which the applicable performance criteria have been achieved for each performance period. Up to a maximum of 110% of the number of RSUs can be earned (a maximum aggregate of 440 thousand RSUs).

(2)

The service-based RSUs were granted to employees, including our executive officers. Substantially all service-based RSUs will vest in three substantially equal annual installments on or about the anniversary of the date of grant.

(3)

The Total Shareholder Return RSUs (TSR RSUs) were granted to our executives pursuant to the terms described below.

 

Schedule of Valuation Assumptions

The significant assumptions used in the Monte Carlo simulation model were as follows:

 

Average volatility of peer group

 

 

28.0

%

Risk-free interest rate

 

 

1.59

%

Dividend yield

 

 

%

Schedule of Total Fair Value of RSUs Vested

 

Total fair value of RSUs vested are as follows:

 

(in thousands)

 

Year ended September 30,

 

Value of stock option and stock-based award activity

 

2020

 

 

2019

 

 

2018

 

Total fair value of restricted stock unit awards vested

 

$

103,265

 

 

$

131,659

 

 

$

127,525