v3.26.1
Segment Information
 6 Months Ended
Jul. 31, 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 July 31,Six months ended July 31,
2026202520262025
Revenues
$927,963 $789,081 $1,810,911 $1,548,124 
Cost of revenues - adjusted:
Cost of subscription revenues102,381 90,843 199,049 166,462 
Cost of professional services and other revenues
110,396 86,480 218,066 169,055 
Operating expenses - adjusted:
Research and development
160,428 139,289 317,188 275,373 
Sales and marketing
96,095 81,157 180,287 154,669 
General and administrative
42,780 38,736 85,062 80,106 
Operating income - adjusted
415,883 352,576 811,259 702,459 
Other segment items (1)
140,865 156,668 263,129 272,819 
Other income, net
74,512 69,456 148,930 134,545 
Income tax provision76,101 65,055 162,695 135,686 
Consolidated net income
$273,429 $200,309 $534,365 $428,499 
(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.