Note 2. Revenue

Impact of ASC Topic 606 on Condensed Consolidated Financial Statement Line Items

The adoption of ASC Topic 606 impacted revenue recognition and incremental costs of obtaining a contract on our condensed consolidated balance sheet and statement of operations for the three months ended April 30, 2018. In addition, there were offsetting shifts in cash flows throughout net loss and various changes in operating assets and liabilities, which resulted in no impact on the total cash provided by operating activities. Refer to Note 1 for a description of the primary impacts resulting from the adoption of ASC Topic 606.

The following tables present the amount by which each condensed consolidated financial statement line item is affected as of and for the three months ended April 30, 2018 by ASC Topic 606 (in thousands, except per share data):

	April 30, 2018
	As Reported			Balances without adoption of ASC Topic 606			Effect of Change Higher/(Lower)
ASSETS
Accounts receivable *	$	91,025		$	90,829		$	196
Deferred commissions		15,091			15,512			(421	)
Deferred commissions, non-current		41,275			7,208			34,067
LIABILITIES AND STOCKHOLDERS’ EQUITY
Deferred revenue		264,427			270,834			(6,407	)
Deferred revenue, non-current		22,522			23,569			(1,047	)
Accumulated deficit		(1,035,923	)		(1,077,219	)		41,296

* Contract assets are reported as part of accounts receivable upon our adoption of ASC Topic 606.

	Three Months Ended April 30, 2018
	As Reported			Balances without adoption of ASC Topic 606			Effect of Change Higher/(Lower)
Revenue	$	140,507		$	143,253		$	(2,746	)
Operating expenses:
Sales and marketing		76,998			81,238			(4,240	)
Loss from operations		(35,860	)		(37,354	)		1,494
Net loss		(36,637	)		(38,131	)		1,494
Net loss per common share, basic and diluted *	$	(0.26	)	$	(0.28	)	$	0.01
Weighted-average shares used to compute net loss per share, basic and diluted		138,524			138,524			138,524

* Due to rounding, numbers presented may not add up precisely to totals provided.

	Three Months Ended April 30, 2018
	As Reported			Balances without adoption of ASC Topic 606			Effect of Change Higher/(Lower)
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$	(36,637	)	$	(38,131	)	$	1,494
Adjustments to reconcile net loss to net cash provided by operating activities:
Amortization of deferred commissions		3,675			5,962			(2,287	)
Changes in operating assets and liabilities:
Accounts receivable, net		71,690			71,304			386
Deferred commissions		(4,716	)		(2,763	)		(1,953	)
Deferred revenue		(24,160	)		(26,520	)		2,360
Net cash provided by operating activities		18,440			18,440			—

Contract Assets

Contract assets, which are presented within accounts receivable, were $0.2 million as of April 30, 2018.

Deferred revenue was $286.9 million as of April 30, 2018. $110.9 million of revenue was recognized during the three months ended April 30, 2018, that was included in the deferred revenue balances at the beginning of the same period.

Transaction Price Allocated to the Remaining Performance Obligations

As of April 30, 2018, approximately $547.9 million of revenue is expected to be recognized from remaining performance obligations for subscription contracts. We expect to recognize revenue on 69% of these remaining performance obligations over the next 12 months, with the balance recognized thereafter.