v3.26.1
Segment Information
 3 Months Ended
Apr. 30, 2026
Segment Reporting [Abstract]  
Segment Information Segment Information
Operating segments are defined as components of an enterprise about which separate financial information is evaluated regularly by the chief operating decision maker in deciding how to allocate resources and assessing performance. We define the term “chief operating decision maker” to be our CEO. Our CEO reviews the financial information presented on a consolidated basis for purposes of allocating resources and evaluating our financial performance. Accordingly, the Company operates as a single operating and reportable segment that is focused on providing industry cloud solutions tailored to the global life sciences industry.
The CEO gauges the effectiveness of investment and resourcing decisions and trends in the overall efficiency of the business over time using multiple measures of performance, including consolidated net income and adjusted operating income, which is an additional measure of our segment profitability. The measure of segment assets is reported on the consolidated balance sheets as total assets.
The following table reconciles the Company’s revenues to consolidated net income and the specific items excluded from cost of revenues and operating expenses to calculate adjusted operating income (in thousands):
Three months ended April 30,
20262025
Revenues
$882,948 $759,043 
Cost of revenues - adjusted:
Cost of subscription revenues96,668 75,619 
Cost of professional services and other revenues
107,670 82,575 
Operating expenses - adjusted:
Research and development
156,760 136,084 
Sales and marketing
84,192 73,512 
General and administrative
42,282 41,370 
Operating income - adjusted
395,376 349,883 
Other segment items (1)
122,264 116,151 
Other income, net
74,418 65,089 
Income tax provision86,594 70,631 
Consolidated net income
$260,936 $228,190 
(1) Other segment items included in consolidated net income consist primarily of stock-based compensation, amortization of purchased intangibles, and litigation settlement-related charges.
Cost of revenues - adjusted, and operating expenses - adjusted, are segment expenses that are regularly provided to the CEO and do not include stock-based compensation, amortization of purchased intangibles, and litigation settlement-related charges, as we exclude them from our internal management reporting processes. We find it useful to exclude these expenses when we assess the appropriate level of various operating expenses and resource allocations when budgeting, planning, and forecasting future periods.