XML 30 R21.htm IDEA: XBRL DOCUMENT
v3.22.1

Leases | 3 Months Ended
--- | ---
Apr. 30, 2022
Leases [Abstract] |
Leases | Leases Autodesk has operating leases for real estate, vehicles, and certain equipment. Leases have remaining lease terms of less than 1 year to 68 years, some of which include options to extend the lease with renewal terms from 1 year to 10 years and some of which include options to terminate the leases from less than 1 year to 8 years. Options to extend or terminate the lease are considered in determining the lease term when it is reasonably certain that the option will be exercised. Payments under our lease arrangements are primarily fixed; however, certain lease agreements contain variable payments, which are expensed as incurred and not included in the operating lease assets and liabilities. These amounts include payments affected by the Consumer Price Index, payments for common area maintenance that are subject to annual reconciliation, and payments for maintenance and utilities. The Company’s leases do not contain residual value guarantees or material restrictive covenants. Short-term leases are recognized in the Condensed Consolidated Statements of Operations on a straight-line basis over the lease term. Short-term lease expense was not material for the periods presented. Changes in operating lease right-of-use assets and operating lease liabilities are presented net in the “accounts payable and other liabilities” line in the Condensed Consolidated Statements of Cash Flows with the exception of “Lease-related asset impairments” which is presented in “Adjustments to reconcile net income to net cash provided by operating activities”. During the three months ended April 30, 2022, Autodesk recorded total operating lease right-of-use assets impairment charges of $2 million. Autodesk did not recognize any charges during the three months ended April 30, 2021. Autodesk assessed the asset groupings for disaggregation based on the proposed changes in use of the facilities. For asset groups where impairment was triggered, Autodesk utilized an income approach to value the asset groups by developing discounted cash flow models. The significant assumptions used in the discounted cash flow models for each of the asset groups included projected sublease income over the remaining lease terms, expected downtime prior to the commencement of future subleases, expected lease incentives offered to future tenants, and discount rates that reflected the level of risk associated with these future cash flows. These significant assumptions are considered Level 1 and Level 2 inputs in accordance with the fair value hierarchy described in Note 1, “Business and Summary of Significant Accounting Policies” in the Notes to Consolidated Financial Statements in our Form 10-K for the fiscal year ended January 31, 2022. The operating lease right-of-use asset charges are included in “general and administrative” in the Company’s Condensed Consolidated Statements of Operations. The components of lease cost were as follows:
| Three Months Ended April 30, 2022 |  |  |  |
| Cost of subscription and maintenance revenue |  | Cost of other revenue |  | Marketing and sales |  | Research and development |  | General and administrative |  | Total |  |  |  |  |  |
Operating lease cost | $ | 2 |  |  | $ | 1 |  |  | $ | 10 |  |  | $ | 7 |  |  | $ | 3 |  |  | $ | 23 |  |  |  |  |  |  |
Variable lease cost | — |  |  | — |  |  | 2 |  |  | 2 |  |  | 1 |  |  | 5 |  |  |  |  |  |  |
| Three Months Ended April 30, 2021 |  |  |  |
| Cost of subscription and maintenance revenue |  | Cost of other revenue |  | Marketing and sales |  | Research and development |  | General and administrative |  | Total |  |  |  |  |  |
Operating lease cost | $ | 2 |  |  | $ | — |  |  | $ | 11 |  |  | $ | 8 |  |  | $ | 4 |  |  | $ | 25 |  |  |  |  |  |  |
Variable lease cost | — |  |  | — |  |  | 2 |  |  | 2 |  |  | 1 |  |  | 5 |  |  |  |  |  |  |
Supplemental operating cash flow information related to leases is as follows:
| Three Months Ended April 30,
| 2022 |  | 2021
Cash paid for operating leases included in operating cash flows (1) | $ | 34 |  |  | $ | 30 |
Non-cash operating lease liabilities arising from obtaining operating lease right-of-use assets | 23 |  |  | 5 |
_______________ (1) Includes $5 million in variable lease payments for both the three months ended April 30, 2022 and 2021, not included in “Operating lease liabilities” and “Long-term operating lease liabilities” on the Condensed Consolidated Balance Sheets. The weighted average remaining lease term for operating leases is 6.7 and 6.9 years at April 30, 2022, and January 31, 2022, respectively. The weighted average discount rate was 2.37% and 2.46% at April 30, 2022, and January 31, 2022, respectively. Maturities of operating lease liabilities were as follows:
Fiscal year ending |  |  |  |  |
2023 (remainder) | $ | 65 |  |  |  |  |  |  |
2024 | 92 |  |  |  |  |  |  |
2025 | 72 |  |  |  |  |  |  |
2026 | 60 |  |  |  |  |  |  |
2027 | 42 |  |  |  |  |  |  |
Thereafter | 126 |  |  |  |  |  |  |
| 457 |  |  |  |  |  |  |
Less imputed interest | 33 |  |  |  |  |  |  |
Present value of operating lease liabilities | $ | 424 |  |  |  |  |  |  |
As of April 30, 2022, Autodesk had additional operating lease minimum lease payments of $2 million for executed leases that have not yet commenced, primarily for office locations. As of April 30, 2022, Autodesk executed a sublease for certain office space to a third party, classified as an operating lease, that has not yet commenced. The sublease has a remaining lease terms of 9.5 years.

X
- References No definition available. + Details
Name: | us-gaap_LeasesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for operating leases of lessee. Includes, but is not limited to, description of operating lease and maturity analysis of operating lease liability. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 842 -SubTopic 20 -URI http://asc.fasb.org/subtopic&trid=77888251 + Details
Name: | us-gaap_LesseeOperatingLeasesTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration