v3.26.1
Revenue and contract costs
6 Months Ended
Jul. 31, 2026
Revenue from Contract with Customer [Abstract]  
Revenue and contract costs Revenue and contract costs
The Company generates revenue primarily from providing integrated SaaS-based software and payment solutions for the healthcare industry. The Company derives revenue from subscription fees and related services generated from the Company’s healthcare services clients for access to the Company's solutions, payment processing fees based on patient payment volume and financing fees based on a portfolio of cardholder receivables, and fees from life sciences companies and other organizations for delivering qualified direct communications to patients who consent to receive this type of engagement using the Company's solutions.
The amount of subscription and related services revenue recorded pursuant to ASC 842, Leases for the leasing of the Company’s PhreesiaPads and Arrivals Kiosks was $1,712 and $1,832 for the three months ended July 31, 2026 and 2025, respectively, and $3,786 and $4,251 for the six months ended July 31, 2026 and 2025, respectively.
Contract balances
The following table represents a roll-forward of contract assets:
Balance, January 31, 2026
$5,680 
Amount transferred to receivables from beginning balance of contract assets(5,680)
Contract asset additions, net of reclassification to receivables7,693 
Balance, July 31, 2026
$7,693 
The following table represents a roll-forward of deferred revenue:
Balance, January 31, 2026
$49,766 
Revenue recognized that was included in deferred revenue at the beginning of the period(41,090)
Deferred revenue from measurement period adjustments on acquisitions1,335 
Current period activity in deferred revenue
27,249 
Balance, July 31, 2026
$37,260 
Cost to obtain a contract
The Company capitalizes certain incremental costs to obtain customer contracts and amortizes these costs over a period of benefit that the Company has estimated to be three to five years. The Company determined the period of benefit by taking into consideration its customer contracts, its technology and other factors. Amortization expense is included in sales and marketing expenses in the accompanying consolidated statements of operations and totaled $108 and $242 for the three months ended July 31, 2026 and 2025, respectively, and $224 and $352 for the six months ended July 31, 2026 and 2025, respectively. The Company periodically reviews these deferred contract acquisition costs to determine whether events or changes in circumstances have occurred that could impact the period of benefit. During fiscal 2025, the Company updated its estimate of the period of benefit from five years to three years for certain deferred contract acquisition costs. There were no impairment losses recorded during the periods presented.

The following table represents a roll-forward of deferred contract acquisition costs:
Balance, January 31, 2026
$748 
Additions to deferred contract acquisition costs— 
Amortization of deferred contract acquisition costs(224)
Balance, July 31, 2026
$524 
Deferred contract acquisition costs, current (to be amortized in next 12 months)$394 
Deferred contract acquisition costs, non-current130 
Total deferred contract acquisition costs$524