On May 6, 2025, the Company announced a strategic plan (the “Plan”) to evolve its operations to yield greater efficiencies as the Company continues to scale its business with focus and discipline to meet its goals. The Plan resulted in a reduction of roles representing approximately 500 positions, or 5%, of the Company’s global workforce.

The actions associated with the Plan were substantially completed as of July 31, 2025. For the three months ended July 31, 2025, the Company recorded charges related to the Plan of $38.4 million, which consisted of $20.1 million related to severance payments and employee benefits, $17.9 million related to stock-based compensation expense, and $0.4 million for non-employee costs. For the six months ended July 31, 2025, the Company recorded charges related to the Plan of $45.0 million, which consisted of $20.1 million related to severance payments and employee benefits, $17.9 million related to stock-based compensation expense, and $7.0 million for non-employee costs.


	Three Months Ended July 31, 2025		Six Months Ended July 31, 2025
Subscription cost of revenue	$	3,563	$	3,563
Professional services cost of revenue	3,345		3,345
Sales and marketing	8,723		8,723
Research and development	16,696		16,696
General and administrative	6,057		12,678
Total	$	38,384	$	45,005


	Three Months Ended July 31, 2025						Six Months Ended July 31, 2025
	Severance and Related Costs		Non-Employee Costs		Total		Severance and Related Costs		Non-Employee Costs		Total
Liability, beginning of the period	$	—	$	3,382	$	3,382	$	—	$	—	$	—
Charges	37,983		401		38,384		37,983		7,022		45,005
Payments	(17,989)		(3,737)		(21,726)		(17,989)		(6,976)		(24,965)
Non-cash items	(17,901)		—		(17,901)		(17,901)		—		(17,901)
Liability, end of the period	$	2,093	$	46	$	2,139	$	2,093	$	46	$	2,139

As of July 31, 2025, the liability associated with the Plan is included in accrued payroll and benefits and accounts payable on the condensed consolidated balance sheet.