Document and Entity Information - USD ($) $ in Thousands	12 Months Ended
Document and Entity Information - USD ($) $ in Thousands	Jan. 31, 2018	Mar. 15, 2018	Jul. 31, 2017
Document And Entity Information
Entity Registrant Name	VERINT SYSTEMS INC
Entity Central Index Key	0001166388
Current Fiscal Year End Date	--01-31
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Document Type	10-K
Document Period End Date	Jan. 31, 2018
Document Fiscal Year Focus	2018
Document Fiscal Period Focus	FY
Amendment Flag	false
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Public Float			$ 2,502,717
Entity Common Stock, Shares Outstanding		63,836,109

Consolidated Balance Sheets - USD ($) $ in Thousands	Jan. 31, 2018	Jan. 31, 2017
Current Assets:
Cash and cash equivalents	$ 337,942	$ 307,363
Restricted cash and bank time deposits	33,303	9,198
Short-term investments	6,566	3,184
Accounts receivable, net of allowance for doubtful accounts of $2.2 million and $1.8 million, respectively	296,324	266,590
Inventories	19,871	17,537
Deferred cost of revenue	6,096	3,621
Prepaid expenses and other current assets	82,090	64,561
Total current assets	782,192	672,054
Property and equipment, net	89,089	77,551
Goodwill	1,388,299	1,264,818
Intangible assets, net	226,093	235,259
Capitalized software development costs, net	9,228	9,509
Long-term deferred cost of revenue	2,804	5,463
Deferred income taxes	30,878	21,510
Other assets	52,037	76,620
Total assets	2,580,620	2,362,784
Current Liabilities:
Accounts payable	84,639	62,049
Accrued expenses and other current liabilities	220,265	213,224
Current maturities of long-term debt	4,500	4,611
Deferred revenue	196,107	182,515
Total current liabilities	505,511	462,399
Long-term debt	768,484	744,260
Long-term deferred revenue	24,519	20,912
Deferred income taxes	35,305	25,814
Other liabilities	114,465	94,359
Total liabilities	1,448,284	1,347,744
Commitments and Contingencies
Stockholders' Equity:
Preferred Stock - $0.001 par value; authorized 2,207,000 shares at January 31, 2018 and 2017, respectively; none issued.	0	0
Common stock - $0.001 par value; authorized 120,000,000 shares. Issued 65,497,000 and 64,073,000 shares; outstanding 63,836,000 and 62,419000 shares at January 31, 2018 and 2017, respectively.	65	64
Additional paid-in capital	1,519,724	1,449,335
Treasury stock, at cost - 1,661,000 and 1,654,000 shares at January 31, 2018 and 2017, respectively.	(57,425)	(57,147)
Accumulated deficit	(238,312)	(230,816)
Accumulated other comprehensive loss	(103,460)	(154,856)
Total Verint Systems Inc. stockholders' equity	1,120,592	1,006,580
Noncontrolling interests	11,744	8,460
Total stockholders' equity	1,132,336	1,015,040
Total liabilities and stockholders' equity	$ 2,580,620	$ 2,362,784

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Jan. 31, 2018	Jan. 31, 2017
Statement of Financial Position [Abstract]
Allowance for Doubtful Accounts	$ 2,200	$ 1,800
Preferred stock, par value (in dollars per share)	$ 0.001	$ 0.001
Preferred stock, authorized (in shares)	2,207,000	2,207,000
Preferred stock, issued (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, authorized (in shares)	120,000,000	120,000,000
Common stock, issued (in shares)	65,497,000	64,073,000
Common stock, outstanding (in shares)	63,836,000	62,419,000
Treasury stock, (in shares)	1,661,000	1,654,000

Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Revenue:
Product	$ 399,662	$ 378,504	$ 455,406
Service and support	735,567	683,602	674,860
Total revenue	1,135,229	1,062,106	1,130,266
Cost of revenue:
Product	131,989	123,279	145,071
Service and support	276,582	261,978	248,061
Amortization of acquired technology	38,216	37,372	35,774
Total cost of revenue	446,787	422,629	428,906
Gross profit	688,442	639,477	701,360
Operating expenses:
Research and development, net	190,643	171,070	177,650
Selling, general and administrative	414,960	406,952	412,728
Amortization of other acquired intangible assets	34,209	44,089	43,130
Total operating expenses	639,812	622,111	633,508
Operating income	48,630	17,366	67,852
Other income (expense), net:
Interest income	2,477	1,048	1,490
Interest expense	(35,959)	(34,962)	(33,885)
Losses on early retirements of debt	(2,150)	0	0
Other income (expense), net	5,902	(6,926)	(12,277)
Total other expense, net	(29,730)	(40,840)	(44,672)
Income (loss) before provision (benefit) for income taxes	18,900	(23,474)	23,180
Provision for income taxes	22,354	2,772	952
Net (loss) income	(3,454)	(26,246)	22,228
Net income attributable to noncontrolling interest	3,173	3,134	4,590
Net (loss) income attributable to Verint Systems Inc.	$ (6,627)	$ (29,380)	$ 17,638
Net (loss) income per common share attributable to Verint Systems Inc.
Basic (in dollars per share)	$ (0.10)	$ (0.47)	$ 0.29
Diluted (in dollars per share)	$ (0.10)	$ (0.47)	$ 0.28
Weighted-average common shares outstanding
Basic (in shares)	63,312	62,593	61,813
Diluted (in shares)	63,312	62,593	62,921

Consolidated Statements of Comprehensive Loss - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Net (loss) income	$ (3,454)	$ (26,246)	$ 22,228
Other comprehensive income(loss), net of reclassification adjustments:
Foreign currency translation adjustments	49,810	(42,130)	(28,180)
Net increase (decrease) from available-for-sale securities	0	110	(211)
Benefit (provision) for income taxes on net increase (decrease) from foreign exchange contracts and interest rate swap designated as hedges	85	(693)	(798)
Other comprehensive income (loss)	51,916	(38,942)	(22,270)
Comprehensive income (loss)	48,462	(65,188)	(42)
Comprehensive income attributable to noncontrolling interest	3,693	2,854	4,179
Comprehensive income (loss) attributable to Verint Systems Inc.	44,769	(68,042)	(4,221)
Foreign currency forward contracts
Other comprehensive income(loss), net of reclassification adjustments:
Net increase (decrease) from derivative financial instruments designated as hedges	3,042	2,750	6,919
Interest Rate Swap
Other comprehensive income(loss), net of reclassification adjustments:
Net increase (decrease) from derivative financial instruments designated as hedges	$ (1,021)	$ 1,021	$ 0

Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands	Total	Total Verint Systems Inc. Stockholders' Equity	Common Stock	Additional Paid-in Capital	Treasury Stock	Accumulated Deficit	Accumulated Other Comprehensive Loss	Noncontrolling Interest
Increase (Decrease) in Stockholders' Equity
Net (loss) income	$ 22,228	$ 17,638	$ 0	$ 0	$ 0	$ 17,638	$ 0	$ 4,590
Other comprehensive (loss) income	(22,270)	(21,859)	0	0	0	0	(21,859)	(411)
Stock-based compensation - equity portion	58,028	58,028	0	58,028	0	0	0	0
Exercises of stock options	232	232	$ 0	232	0	0	0	0
Exercises of stock options (in shares)			6,000
Common stock issued for stock awards and stock bonuses	7,745	7,745	$ 2	7,743	0	0	0	0
Common stock issued for stock awards and stock bonuses (in shares)			1,355,000
Dividends to noncontrolling interest	(3,199)	0	$ 0	0	0	0	0	(3,199)
Tax effects from stock award plans	497	497	0	497	0	0	0	0
Balances at Jan. 31, 2015	1,004,903	997,856	$ 61	1,321,455	(10,251)	(219,074)	(94,335)	7,047
Balances (in shares) at Jan. 31, 2015			60,905,000
Balances at Jan. 31, 2016	1,068,164	1,060,137	$ 63	1,387,955	(10,251)	(201,436)	(116,194)	8,027
Balances (in shares) at Jan. 31, 2016			62,266,000
Increase (Decrease) in Stockholders' Equity
Net (loss) income	(26,246)	(29,380)	$ 0	0	0	(29,380)	0	3,134
Other comprehensive (loss) income	(38,942)	(38,662)	0	0	0	0	(38,662)	(280)
Stock-based compensation - equity portion	55,123	55,123	0	55,123	0	0	0	0
Exercises of stock options	7	7	$ 0	7	0	0	0	0
Exercises of stock options (in shares)			1,000
Common stock issued for stock awards and stock bonuses	6,953	6,953	$ 1	6,952	0	0	0	0
Common stock issued for stock awards and stock bonuses (in shares)			1,458,000
Treasury stock acquired	$ (46,896)	(46,896)	$ 0	0	46,896	0	0	0
Treasury stock acquired (in shares)	(1,306,000)		(1,306,000)
Dividends to noncontrolling interest	$ (2,421)	0	$ 0	0	0	0	0	(2,421)
Tax effects from stock award plans	(702)	(702)	0	(702)	0	0	0	0
Balances at Jan. 31, 2017	1,015,040	1,006,580	$ 64	1,449,335	(57,147)	(230,816)	(154,856)	8,460
Balances (in shares) at Jan. 31, 2017			62,419,000
Increase (Decrease) in Stockholders' Equity
Net (loss) income	(3,454)	(6,627)	$ 0	0	0	(6,627)	0	3,173
Other comprehensive (loss) income	51,916	51,396	0	0	0	0	51,396	520
Stock-based compensation - equity portion	57,414	57,414	0	57,414	0	0	0	0
Common stock issued for stock awards and stock bonuses	12,976	12,976	$ 1	12,975	0	0	0	0
Common stock issued for stock awards and stock bonuses (in shares)			1,424,000
Treasury stock acquired	(278)	(278)	$ 0	0	278	0	0	0
Treasury stock acquired (in shares)			(7,000)
Initial noncontrolling interest related to business combination	2,300	0	$ 0	0	0	0	0	2,300
Capital contributions by noncontrolling interests	595	0	0	0	0	0	0	595
Dividends to noncontrolling interest	(3,304)	0	0		0	0	0	(3,304)
Cumulative effect of adopting ASU No. 2016-16	(869)	(869)	0	0	0	(869)	0	0
Balances at Jan. 31, 2018	$ 1,132,336	$ 1,120,592	$ 65	$ 1,519,724	$ (57,425)	$ (238,312)	$ (103,460)	$ 11,744
Balances (in shares) at Jan. 31, 2018			63,836,000

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Cash flows from operating activities:
Net (loss) income	$ (3,454)	$ (26,246)	$ 22,228
Adjustments to reconcile net (loss) income to net cash provided by operating activities:
Depreciation and amortization	105,730	114,257	106,300
Provision for doubtful accounts	559	1,791	669
Stock-based compensation, excluding cash-settled awards	69,296	65,421	64,387
Amortization of discount on convertible notes	11,243	10,668	10,123
Benefit for deferred income taxes	(7,533)	(16,941)	(5,640)
Excess tax benefits from stock award plans	0	(6)	(523)
Non-cash losses (gains) on derivative financial instruments, net	17	323	(394)
Losses on early retirements of debt	2,150	0	0
Other non-cash items, net	(428)	7,666	12,343
Changes in operating assets and liabilities, net of effects of business combinations:
Accounts receivable	(23,512)	(353)	3,433
Inventories	(2,865)	(286)	(3,258)
Deferred cost of revenue	282	7,124	6,187
Prepaid expenses and other assets	(2,030)	4,941	(2,886)
Accounts payable and accrued expenses	10,158	(9,521)	(15,260)
Deferred revenue	9,686	8,705	(12,364)
Other liabilities	8,599	4,987	(28,515)
Other, net	(1,571)	(115)	73
Net cash provided by operating activities	176,327	172,415	156,903
Cash flows from investing activities:
Cash paid for business combinations, including adjustments, net of cash acquired	(102,978)	(141,803)	(31,358)
Purchases of property and equipment	(35,530)	(27,540)	(25,265)
Purchases of investments	(11,875)	(36,761)	(92,808)
Maturities and sales of investments	8,721	89,342	71,457
Settlements of derivative financial instruments not designated as hedges	(1,558)	(349)	766
Cash paid for capitalized software development costs	(3,126)	(2,338)	(5,027)
Change in restricted cash and bank time deposits, including long-term portion	2,075	(36,579)	11,133
Other investing activities	(210)	0	(4,498)
Net cash used in investing activities	(144,481)	(156,028)	(75,600)
Cash flows from financing activities:
Proceeds from borrowings, net of original issuance discount	444,341	0	0
Repayments of borrowings and other financing obligations	(431,888)	(3,308)	(309)
Payments of equity issuance, debt issuance and other debt-related costs	(7,137)	(249)	(239)
Proceeds from exercises of stock options	0	7	232
Dividends paid to noncontrolling interest	(3,304)	(2,421)	(3,199)
Purchases of treasury stock	0	(46,896)	0
Excess tax benefits from stock award plans	0	6	523
Payments of contingent consideration for business combinations (financing portion) and other financing activities	(7,515)	(4,058)	(7,212)
Net cash used in financing activities	(5,503)	(56,919)	(10,204)
Effect of exchange rate changes on cash and cash equivalents	4,236	(4,210)	(4,066)
Net increase (decrease) in cash and cash equivalents	30,579	(44,742)	67,033
Cash and cash equivalents, beginning of year	307,363	352,105	285,072
Cash and cash equivalents, end of year	$ 337,942	$ 307,363	$ 352,105

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

12 Months Ended

Jan. 31, 2018

Accounting Policies [Abstract]

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Description of Business

Unless the context otherwise requires, the terms “Verint”, “we”, “us”, and “our” in these notes to consolidated financial statements refer to Verint Systems Inc. and its consolidated subsidiaries.

Verint is a global leader in Actionable Intelligence solutions. Actionable Intelligence is a necessity in a dynamic world of massive information growth because it empowers organizations with crucial insights and enables decision makers to anticipate, respond, and take action. With Verint solutions and value-added services, organizations of all sizes and across many industries can make more informed, timely, and effective decisions. Today, over 10,000 organizations in more than 180 countries, including over 85 percent of the Fortune 100, use Verint solutions to optimize customer engagement and make the world a safer place.

Verint delivers its Actionable Intelligence solutions through two operating segments: Customer Engagement Solutions (“Customer Engagement”) and Cyber Intelligence Solutions (“Cyber Intelligence”).

We have established leadership positions in Actionable Intelligence by developing highly-scalable, enterprise-class software and services with advanced, integrated analytics for both unstructured and structured information. Our innovative solutions are developed by a large research and development (“R&D”) team comprised of approximately 1,400 professionals and backed by more than 850 patents and patent applications worldwide.

To help our customers maximize the benefits of our technology over the solution lifecycle and provide a high degree of flexibility, we offer a broad range of services, such as strategic consulting, managed services, implementation services, training, maintenance, and 24x7 support. Additionally, we offer a broad range of deployment options, including cloud, on-premises, and hybrid, and software licensing and delivery models that include perpetual licenses and software as a service (“SaaS”).

Headquartered in Melville, New York, we support our customers around the globe directly and with an extensive network of selling and support partners.

Principles of Consolidation

The accompanying consolidated financial statements include the accounts of Verint Systems Inc., our wholly owned or otherwise controlled subsidiaries, and a joint venture in which we hold a 50% equity interest. The joint venture is a variable interest entity in which we are the primary beneficiary. Noncontrolling interests in less than wholly owned subsidiaries are reflected within stockholders’ equity on our consolidated balance sheet, but separately from our stockholders’ equity. We hold an option to acquire the noncontrolling interests in two majority owned subsidiaries and we account for the option as an in-substance investment in the noncontrolling common stock of each such subsidiary. We include the fair value of the option within other liabilities and do not recognize noncontrolling interests in these subsidiaries.

We include the results of operations of acquired companies from the date of acquisition. All significant intercompany transactions and balances are eliminated.

Investments in companies in which we have less than a 20% ownership interest and cannot exercise significant influence are accounted for at cost.

Use of Estimates

The preparation of financial statements in conformity with U.S. generally accepted accounting principles (“GAAP”) requires our management to make estimates and assumptions, which may affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.

Restricted Cash and Restricted Bank Time Deposits

Restricted cash and restricted bank time deposits are pledged as collateral or otherwise restricted as to use for vendor payables, general liability insurance, workers’ compensation insurance, warranty programs, and other obligations.

Investments

Our investments generally consist of bank time deposits, and marketable debt securities of corporations, the U.S. government, and agencies of the U.S. government, all with remaining maturities in excess of 90 days at the time of purchase. As of January 31, 2018, we held $2.0 million of marketable debt securities. As of January 31, 2017, we held no marketable debt securities. Investments with maturities in excess of one year are included in other assets.

Accounts Receivable, Net

Trade accounts receivable are recorded at the invoiced amount and are not interest-bearing.

Accounts receivable, net, includes unbilled accounts receivable on arrangements recognized under contract accounting methods, representing revenue recognized on contracts for which billing will occur in subsequent periods, in accordance with the terms of the contracts. Unbilled accounts receivable on such contracts were $65.9 million and $39.7 million at January 31, 2018 and 2017, respectively.

Under most contracts, unbilled accounts receivable are typically billed and collected within one year of revenue recognition. However, as of January 31 2018, we had unbilled accounts receivable on certain complex projects for which the underlying billing milestones are still in progress and have remained unbilled for periods in excess of one year, and in some cases, for several years. Unbilled accounts receivable on these projects have declined significantly over the past year. We have no history of uncollectible accounts on such projects and believe that collection of all unbilled amounts is reasonably assured. We expect billing and collection of all unbilled accounts receivable to occur within the next year.

The application of our revenue recognition policies sometimes results in circumstances for which we are unable to recognize revenue relating to sales transactions that have been billed, but the related account receivable has not been collected. For consolidated balance sheet presentation purposes, we do not recognize the deferred revenue or the related account receivable and no amounts appear in our consolidated balance sheets for such transactions. Only to the extent that we have received cash for a given deferred revenue transaction is the amount included in deferred revenue on the consolidated balance sheets.

Concentrations of Credit Risk

Financial instruments that potentially subject us to concentrations of credit risk consist principally of cash and cash equivalents, bank time deposits, short-term investments, and trade accounts receivable. We invest our cash in bank accounts, certificates of deposit, and money market accounts with major financial institutions, in U.S. government and agency obligations, and in debt securities of corporations. By policy, we seek to limit credit exposure on investments through diversification and by restricting our investments to highly rated securities.

We grant credit terms to our customers in the ordinary course of business. Concentrations of credit risk with respect to trade accounts receivable are generally limited due to the large number of customers comprising our customer base and their dispersion across different industries and geographic areas. There are two customers in our Cyber Intelligence segment that accounted for a combined $99.7 million and $99.3 million of our accounts receivable (including both billed and unbilled amounts), at January 31, 2018 and 2017, respectively. These customers are governmental agencies outside of the U.S. which we believe present insignificant credit risk.

Allowance for Doubtful Accounts

We estimate the collectability of our accounts receivable balances each accounting period and adjust our allowance for doubtful

accounts accordingly. Considerable judgment is required in assessing the collectability of accounts receivable, including consideration of the creditworthiness of each customer, their collection history, and the related aging of past due accounts receivable balances. We evaluate specific accounts when we learn that a customer may be experiencing a deteriorating financial condition due to lower credit ratings, bankruptcy, or other factors that may affect its ability to render payment. We write-off an account receivable and charge it against its recorded allowance at the point when it is considered uncollectible.

The following table summarizes the activity in our allowance for doubtful accounts for the years ended January 31, 2018, 2017, and 2016:



	Year Ended January 31,
(in thousands)	2018			2017			2016
Allowance for doubtful accounts, beginning of year	$	1,842		$	1,170		$	1,099
Provisions charged to expense	559			1,791			669
Amounts written off	(482		)	(1,484		)	(933		)
Other, including fluctuations in foreign exchange rates	298			365			335
Allowance for doubtful accounts, end of year	$	2,217		$	1,842		$	1,170

Inventories

Inventories are stated at the lower of cost or market. Cost is determined using the weighted-average method of inventory accounting. The valuation of our inventories requires us to make estimates regarding excess or obsolete inventories, including making estimates of the future demand for our products. Although we make every effort to ensure the accuracy of our forecasts of future product demand, any significant unanticipated changes in demand, price, or technological developments could have a significant impact on the value of our inventory and reported operating results. Charges for excess and obsolete inventories are included within cost of revenue.

Property and Equipment, net

Property and equipment are stated at cost, net of accumulated depreciation and amortization. Depreciation is computed using the straight-line method based over the estimated useful lives of the assets. The vast majority of equipment, furniture and other is depreciated over periods ranging from three to seven years. Software is depreciated over periods ranging from three to four years. Buildings are depreciated over periods ranging from ten to twenty-five years. Leasehold improvements are amortized over the shorter of their estimated useful lives or the related lease term. Capital leased assets are amortized over the related lease term.

The cost of maintenance and repairs of property and equipment is charged to operations as incurred. When assets are retired or

disposed of, the cost and accumulated depreciation or amortization thereon are removed from the consolidated balance sheet and any resulting gain or loss is recognized in the consolidated statement of operations.

Segment Reporting

Operating segments are defined as components of an enterprise about which separate financial information is available that is regularly evaluated by the enterprise’s chief operating decision maker (“CODM”), or decision making group, in deciding how to allocate resources and in assessing performance.

We conduct our business through two operating segments, which are also our reportable segments, Customer Engagement and Cyber Intelligence. Organizing our business through two operating segments allows us to align our resources and domain expertise to effectively address the Actionable Intelligence market. We determine our reportable segments based on a number of factors our management uses to evaluate and run our business operations, including similarities of customers, products, and technology. Our Chief Executive Officer is our CODM, who regularly reviews segment revenue and segment operating contribution when assessing financial results of segments and allocating resources.

We measure the performance of our operating segments based upon segment revenue and segment contribution.

Segment revenue includes adjustments associated with revenue of acquired companies which are not recognizable within GAAP revenue. These adjustments primarily relate to the acquisition-date excess of the historical carrying value over the fair value of acquired companies’ future maintenance and service performance obligations. As the obligations are satisfied, we report our segment revenue using the historical carrying values of these obligations, which we believe better reflects our ongoing maintenance and service revenue streams, whereas GAAP revenue is reported using the obligations’ acquisition-date fair values. Segment revenue adjustments can also result from aligning an acquired company’s historical revenue recognition policies to our policies.

Segment contribution includes segment revenue and expenses incurred directly by the segment, including material costs, service costs, research and development and selling, marketing, and administrative expenses. When determining segment contribution, we do not allocate certain operating expenses, which are provided by shared resources or are otherwise generally not controlled by segment management. These expenses are reported as “Shared support expenses” in our table of segment operating results, the majority of which are expenses for administrative support functions, such as information technology, human resources, finance, legal, and other general corporate support, and for occupancy expenses. These unallocated expenses also include procurement, manufacturing support, and logistics expenses.

In addition, segment contribution does not include amortization of acquired intangible assets, stock-based compensation, and other expenses that either can vary significantly in amount and frequency, are based upon subjective assumptions, or in certain cases are unplanned for or difficult to forecast, such as restructuring expenses and business combination transaction and integration expenses, all of which are not considered when evaluating segment performance.

Revenue from transactions between our operating segments is not material.

Goodwill, Other Acquired Intangible Assets, and Long-Lived Assets

For business combinations, the purchase prices are allocated to the tangible assets and intangible assets acquired and liabilities assumed based on their estimated fair values on the acquisition dates, with the remaining unallocated purchase prices recorded as goodwill. Goodwill is assigned, at the acquisition date, to those reporting units expected to benefit from the synergies of the combination.

We test goodwill for impairment at the reporting unit level, which can be an operating segment or one level below an operating segment, on an annual basis as of November 1, or more frequently if changes in facts and circumstances indicate that impairment in the value of goodwill may exist. As of January 31, 2018, our reporting units are Customer Engagement, Cyber Intelligence (excluding situational intelligence solutions), and Situational Intelligence, which is a component of our Cyber Intelligence operating segment.

In testing for goodwill impairment, we may elect to utilize a qualitative assessment to evaluate whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If our qualitative assessment indicates that goodwill impairment is more likely than not, we perform a two-step impairment test. We test goodwill for impairment under the two-step impairment test by first comparing the book value of net assets to the fair value of the reporting units. If the fair value is determined to be less than the book value or qualitative factors indicate that it is more likely than not that goodwill is impaired, a second step is performed to compute the amount of impairment as the difference.

For reporting units where we perform the two-step process, we utilize some or all of three primary approaches to assess fair value: (a) an income-based approach, using projected discounted cash flows, (b) a market-based approach, using valuation multiples of comparable companies, and (c) a transaction-based approach, using valuation multiples for recent acquisitions of similar businesses made in the marketplace. Our estimate of fair value of each reporting unit is based on a number of subjective factors, including: (a) appropriate consideration of valuation approaches (income approach, comparable public company approach, and comparable transaction approach), (b) estimates of future growth rates, (c) estimates of our future cost structure, (d) discount rates for our estimated cash flows, (e) selection of peer group companies for the public company and the market transaction approaches, (f) required levels of working capital, (g) assumed terminal value, and (h) time horizon of cash flow forecasts.

Acquired identifiable intangible assets include identifiable acquired technologies, customer relationships, trade names, distribution networks, non-competition agreements, sales backlog, and in-process research and development. We amortize the cost of finite-lived identifiable intangible assets over their estimated useful lives, which are periods of ten years or less. Amortization is based on the pattern in which the economic benefits of the intangible asset are expected to be realized, which typically is on a straight-line basis. The fair values assigned to identifiable intangible assets acquired in business combinations are determined primarily by using the income approach, which discounts expected future cash flows attributable to these assets to present value using estimates and assumptions determined by management. The acquired identifiable finite-lived intangible assets are being amortized primarily on a straight-line basis, which we believe approximates the pattern in which the assets are utilized, over their estimated useful lives.

Fair Value Measurements

Accounting guidance establishes a fair value hierarchy that requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. An instrument’s categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. This fair value hierarchy consists of three levels of inputs that may be used to measure fair value:


•	Level 1: quoted prices in active markets for identical assets or liabilities;

•

Level 2: inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices in active markets for similar assets or liabilities, quoted prices for identical or similar assets or liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; or


•	Level 3: unobservable inputs that are supported by little or no market activity.

We review the fair value hierarchy classification of our applicable assets and liabilities at each reporting period. Changes in the observability of valuation inputs may result in transfers within the fair value measurement hierarchy. We did not identify any transfers between levels of the fair value measurement hierarchy during the years ended January 31, 2018 and 2017.

Fair Values of Financial Instruments

Our recorded amounts of cash and cash equivalents, restricted cash and restricted bank time deposits, accounts receivable, investments, and accounts payable approximate fair value, due to the short-term nature of these instruments. We measure certain financial assets and liabilities at fair value based on the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants.

Derivative Financial Instruments

As part of our risk management strategy, when considered appropriate, we use derivative financial instruments including foreign currency forward contracts and interest rate swap agreements to hedge against certain foreign currency and interest rate exposures. Our intent is to mitigate gains and losses caused by the underlying exposures with offsetting gains and losses on the derivative contracts. By policy, we do not enter into speculative positions with derivative instruments.

We record all derivatives as assets or liabilities on our consolidated balance sheets at their fair values. Gains and losses from the changes in values of these derivatives are accounted for based on the use of the derivative and whether it qualifies for hedge accounting.

The counterparties to our derivative financial instruments consist of several major international financial institutions. We regularly monitor the financial strength of these institutions. While the counterparties to these contracts expose us to credit-related losses in the event of a counterparty’s non-performance, the risk would be limited to the unrealized gains on such affected contracts. We do not anticipate any such losses.

Revenue Recognition

We derive and report our revenue in two categories: (a) product revenue, including licensing of software products and sale of hardware products (which include software that works together with the hardware to deliver the product’s essential functionality) and (b) service and support revenue, including revenue from installation services, post-contract customer support (“PCS”), project management, hosting services, cloud deployments, SaaS, application managed services, product warranties, business advisory consulting and training services.

Our revenue recognition policy is a critical component of determining our operating results and is based on a complex set of accounting rules that require us to make significant judgments and estimates. Our customer arrangements typically include several elements, including products, services, and support. Revenue recognition for a particular arrangement is dependent upon such factors as the level of customization within the solution and the contractual delivery, acceptance, payment, and support terms with the customer. Significant judgment is often required to conclude whether collectability of fees is reasonably assured and whether fees are fixed or determinable.

For arrangements that do not require significant modification or customization of the underlying products, we recognize revenue when we have persuasive evidence of an arrangement, the product has been delivered or the services have been provided to the customer, the sales price is fixed or determinable and collectability is reasonably assured. In addition, our multiple-element arrangements must be carefully reviewed to determine the selling price of each element.

Our multiple-element arrangements consist of a combination of our product and service offerings that may be delivered at various points in time. For arrangements within the scope of the multiple-deliverable accounting guidance, a deliverable constitutes a separate unit of accounting when it has stand-alone value and there are no customer-negotiated refunds or return rights for the delivered elements. For multiple-element arrangements comprised only of hardware products containing software components and non-software components and related services, we allocate revenue to each element in an arrangement based on a selling price hierarchy. The selling price for a deliverable is based on its vendor-specific objective evidence (“VSOE”) if available, third-party evidence (“TPE”) if VSOE is not available, or estimated selling price (“ESP”) if neither VSOE nor TPE is available. The total transaction revenue is allocated to the multiple elements based on each element’s relative selling price compared to the total selling price. We limit the amount of revenue recognized for delivered elements to an amount that is not contingent upon future delivery of additional products or services or meeting of any specified performance conditions.

Our policy for establishing VSOE for installation, consulting, and training is based upon an analysis of separate sales of services. We utilize either the substantive renewal rate approach or the bell-shaped curve approach to establish VSOE for our PCS offerings, depending upon the business segment, geographical region, or product line.

TPE of selling price is established by evaluating largely similar and interchangeable competitor products or services in stand-alone sales to similarly situated customers. However, as most of our products contain a significant element of proprietary technology offering substantially different features and functionality, the comparable pricing of products with similar functionality typically cannot be obtained. Additionally, as we are unable to reliably determine what competitors products’ selling prices are on a stand-alone basis, we are typically not able to determine TPE.

If we are unable to determine the selling price because VSOE or TPE does not exist, we determine ESP for the purposes of allocating the arrangement’s revenue by considering several external and internal factors including, but not limited to, pricing practices, similar product offerings, margin objectives, geographies in which we offer our products and services, internal costs, competition, and product life cycle. The determination of ESP is made through consultation with and approval by our management, taking into consideration our go-to-market strategies. We have established processes to update ESP for each element, when appropriate, to ensure that it reflects recent pricing experience.

For multiple-element arrangements comprised only of software products and related services, a portion of the total purchase price is allocated to the undelivered elements, primarily installation services, PCS, application managed services, business advisory consulting and training services, using VSOE of fair value of the undelivered elements. The remaining portion of the total transaction value is allocated to the delivered software, referred to as the residual method. If we are unable to establish VSOE for the undelivered elements of the arrangement, revenue recognition is deferred for the entire arrangement until all elements of the arrangement are delivered, unless the only undelivered element is PCS, in which case, we recognize the arrangement fee ratably over the PCS period.

For multiple-element arrangements that contain software and software-related elements for which we are unable to establish VSOE of one or more elements, we use various available indicators of fair value and apply our best judgment to reasonably classify the arrangement’s revenue into product revenue and service revenue for financial reporting purposes.

For multiple-element arrangements that are comprised of a combination of software and non-software deliverables, the total transaction value is bifurcated between the software deliverables and non-software deliverables based on the relative selling prices of the software and non-software deliverables as a group. Revenue is then recognized for the software and software-related services following the residual method or ratably over the PCS period if VSOE for PCS does not exist, and for the non-software deliverables following the revenue recognition methodology outlined above for multiple-element arrangements that contain tangible products and other non-software related services.

PCS revenue is derived from providing technical software support services and unspecified software updates and upgrades to customers on a when-and-if-available basis. PCS revenue is recognized ratably over the term of the maintenance period, which in most cases is one year.

Under the substantive renewal rate approach, we believe it is necessary to evaluate whether both the support renewal rate and term are substantive and whether the renewal rate is being consistently applied to subsequent renewals for a particular customer. We establish VSOE under this approach through analyzing the renewal rate stated in the customer agreement and determining whether that rate is above the minimum substantive VSOE renewal rate established for that particular PCS offering. The minimum substantive VSOE rate is determined based upon an analysis of renewal rates associated with historical PCS contracts. For multiple-element software arrangements that do not contain a stated renewal rate, revenue associated with the entire bundled arrangement is recognized ratably over the PCS term. Multiple-element software arrangements that have a renewal rate below the minimum substantive VSOE rate are deemed to contain a more than insignificant discount element, for which VSOE cannot be established. We recognize aggregate contractual revenue for these arrangements over the period that the customer is entitled to renew its PCS at the discounted rate, but not to exceed the estimated economic life of the product. We evaluate many factors in determining the estimated economic life of our products, including the support period of the product, technological obsolescence, and customer expectations. We have concluded that our software products have estimated economic lives ranging from five to seven years.

Under the bell-shaped curve approach of establishing VSOE, we perform VSOE compliance tests to ensure that a substantial majority of our actual PCS renewals are within a narrow range of pricing.

Some of our arrangements require significant customization of the product to meet the particular requirements of the customer. For these arrangements, revenue is recognized under contract accounting principles, typically using the percentage-of-completion (“POC”) method. Under the POC method, revenue recognition is generally based upon the ratio of hours incurred to date to the total estimated hours required to complete the contract. Profit estimates on long-term contracts are revised periodically based on changes in circumstances, and any losses on contracts are recognized in the period that such losses become evident. If the range of profitability cannot be estimated, but some level of profit is assured, revenue is recognized to the extent of costs incurred, until such time that the project’s profitability can be estimated or the services have been completed. In the event some level of profitability on a contract cannot be assured, the completed-contract method of revenue recognition is applied.

Our SaaS multiple-element arrangements are typically comprised of subscription and support fees from customers accessing our software, set-up fees, and fees for consultation services. We do not provide the customer the contractual right to take possession of the software at any time during the hosting period under these arrangements. We recognize revenue for subscription and support services over the contract period originating when the subscription service is made available to the customer and the contractual hosting period has commenced. The initial set-up fees are recognized over the longer of the initial contract period or the period the customer is expected to benefit from payment of the up-front fees. Revenue from consultation services is generally recognized as services are completed.

Our application managed services revenue is derived from providing services that enhance our customers IT processes and maximize the business benefits of our solutions. Application managed services revenue is recognized ratably over the applicable term which, in most cases, is at least one year. When application managed services is included within a multiple-element arrangement, we utilize the substantive renewal rate approach to establish VSOE. In addition, we perform a budget versus actual time analysis to support our initial estimate of effort required to provide these services.

If an arrangement includes customer acceptance criteria, revenue is not recognized until we can objectively demonstrate that the software or services meet the acceptance criteria, or the acceptance period lapses, whichever occurs earlier. If an arrangement containing software elements obligates us to deliver specified future software products or upgrades, revenue related to the software elements under the arrangement is initially deferred and is recognized only when the specified future software products or upgrades are delivered, or when the obligation to deliver specified future software products expires, whichever occurs earlier.

We record provisions for estimated product returns in the same period in which the associated revenue is recognized. We base these estimates of product returns upon historical levels of sales returns and other known factors. Actual product returns could be different from our estimates, and current or future provisions for product returns may differ from historical provisions. Concessions granted to customers are recorded as reductions to revenue in the period in which they were granted. The vast majority of our contracts are successfully completed, and concessions granted to customers are minimal in both dollar value and frequency.

Product revenue derived from shipments to resellers and original equipment manufacturers (“OEMs”) who purchase our products for resale are generally recognized when such products are shipped (on a “sell-in” basis) since we do not expect our resellers or OEMs to carry inventory of our products. We have historically experienced insignificant product returns from resellers and OEMs, and our payment terms for these customers are similar to those granted to our end-users. If a reseller or OEM develops a pattern of payment delinquency, or seeks payment terms longer than generally accepted, we defer the recognition of revenue until the receipt of cash. Our arrangements with resellers and OEMs are periodically reviewed as our business and products change.

In instances where revenue is derived from sale of third-party vendor services and we are a principal in the transaction, we record revenue on a gross basis and record costs related to a sale within cost of revenue. Though uncommon, in cases where we act as an agent between the customer and the vendor, revenue is recorded net of costs.

Multiple contracts with a single counterparty executed within close proximity of each other are evaluated to determine if the contracts should be combined and accounted for as a single arrangement. We record reimbursements from customers for out-of-pocket expenses as revenue. Shipping and handling fees and expenses that are billed to customers are recognized in revenue and the costs associated with such fees and expenses are recorded in cost of revenue. Historically, these fees and expenses have not been material. Taxes collected from customers and remitted to government authorities are excluded from revenue.

Cost of Revenue

Our cost of revenue includes costs of materials, compensation and benefit costs for operations and service personnel, subcontractor costs, royalties and license fees, depreciation of equipment used in operations and service, amortization of capitalized software development costs and certain purchased intangible assets, and related overhead costs.

Where revenue is recognized over multiple periods in accordance with our revenue recognition policies, we have made an accounting policy election whereby cost of product revenue, including hardware and third-party software license fees, are capitalized and recognized in the same period that product revenue is recognized, while installation and other service costs are generally expensed as incurred, except for certain contracts that are accounted for using contract accounting principles. Deferred cost of revenue is classified in its entirety as current or long-term based on whether the related revenue will be recognized within twelve months of the origination date of the arrangement.

For certain contracts accounted for using contract accounting principles, revisions in estimates of costs and profits are reflected in the accounting period in which the facts that require the revision become known, if such facts become known subsequent to the issuance of the consolidated financial statements. If such facts become known before the issuance of the consolidated financial statements, the requisite revisions in estimates of costs and profits are reflected in the consolidated financial statements. At the time a loss on a contract becomes evident, the entire amount of the estimated loss is accrued. Related contract costs include all direct material and labor costs and those indirect costs related to contract performance.

Customer acquisition and origination costs, including sales commissions, are recorded in selling, general and administrative expenses. These costs are expensed as incurred, with the exception of certain sales referral fees in our Cyber Intelligence segment which are capitalized and amortized ratably over the revenue recognition period.

Research and Development, net

With the exception of certain software development costs, all research and development costs are expensed as incurred, and consist primarily of personnel and consulting costs, travel, depreciation of research and development equipment, and related overhead and other costs associated with research and development activities.

We receive non-refundable grants from the Israeli Innovation Authority (“IIA”), formerly the Israel Office of the Chief Scientist (“OCS”), that fund a portion of our research and development expenditures. We currently only enter into non-royalty-bearing arrangements with the IIA which do not require us to pay royalties. Funds received from the IIA are recorded as a reduction to research and development expense. Royalties, to the extent paid, are recorded as part of our cost of revenue.

We also periodically derive benefits from participation in certain government-sponsored programs in other jurisdictions, for the support of research and development activities conducted in those locations.

Software Development Costs

Costs incurred to acquire or develop software to be sold, leased or otherwise marketed are capitalized after technological feasibility is established, and continue to be capitalized through the general release of the related software product. Amortization of capitalized costs begins in the period in which the related product is available for general release to customers and is recorded on a straight-line basis, which approximates the pattern in which the economic benefits of the capitalized costs are expected to be realized, over the estimated economic lives of the related software products, generally four years.

Internal-Use Software

We capitalize costs associated with software that is acquired, internally developed or modified solely to meet our internal needs. Capitalization begins when the preliminary project stage has been completed and management with the relevant authority authorizes and commits to the funding of the project. These capitalized costs include external direct costs utilized in developing or obtaining the applications and expenses for employees who are directly associated with the development of the applications. Capitalization of such costs continues until the project is substantially complete and is ready for its intended purpose. Capitalized costs of computer software developed for internal use are generally amortized over estimates useful lives of four years on a straight-line basis, which best represents the pattern of the software’s use.

Income Taxes

We account for income taxes under the asset and liability method which includes the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in our consolidated financial statements. Under this approach, deferred taxes are recorded for the future tax consequences expected to occur when the reported amounts of assets and liabilities are recovered or paid. The provision for income taxes represents income taxes paid or payable for the current year plus deferred taxes. Deferred taxes result from differences between the financial statement and tax bases of our assets and liabilities, and are adjusted for changes in tax rates and tax laws when changes are enacted. The effects of future changes in income tax laws or rates are not anticipated.

We are subject to income taxes in the United States and numerous foreign jurisdictions. The calculation of our income tax provision involves the application of complex tax laws and requires significant judgment and estimates. On December 22, 2017, the Tax Cuts and Jobs Act (the “2017 Tax Act”) was enacted in the United States. The 2017 Tax Act significantly revises the Internal Revenue Code of 1986, as amended, and it includes fundamental changes to taxation of U.S. multinationals. Compliance with the 2017 Tax Act will require significant complex computations not previously required by U.S. tax law. It is unclear how certain provisions of the 2017 Tax Act will be applied absent further legislative, regulatory, or accounting clarification and guidance. In addition, it is uncertain if and to what extent various states will enact legislation to conform to the 2017 Tax Act. It is also uncertain if and to what extent foreign governments may enact tax legislation in response to the 2017 Tax Act. Also, on December 22, 2017, the staff of the Securities and Exchange Commission issued Staff Accounting Bulletin No. 118 (“SAB No. 118”). SAB No. 118 provides guidance on accounting for the tax effects of the 2017 Tax Act and allows registrants to record provisional amounts for a period of up to one year from the date of enactment of the 2017 Tax Act. We consider amounts related to the 2017 Tax Act to be reasonably estimated as of January 31, 2018. We expect to refine and complete the accounting for the 2017 Tax Act during the year ending January 31, 2019 as we obtain, prepare, and analyze additional information and as additional legislative, regulatory, and accounting guidance and interpretations become available.

We evaluate the realizability of our deferred tax assets for each jurisdiction in which we operate at each reporting date, and establish valuation allowances when it is more likely than not that all or a portion of our deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income of the same character and in the same jurisdiction. We consider all available positive and negative evidence in making this assessment, including, but not limited to, the scheduled reversal of deferred tax liabilities, projected future taxable income, and tax planning strategies. In circumstances where there is sufficient negative evidence indicating that our deferred tax assets are not more-likely-than-not realizable, we establish a valuation allowance.

We use a two-step approach to recognizing and measuring uncertain tax positions. The first step is to evaluate tax positions taken or expected to be taken in a tax return by assessing whether they are more-likely-than-not sustainable, based solely on their technical merits, upon examination and including resolution of any related appeals or litigation process. The second step is to measure the associated tax benefit of each position as the largest amount that we believe is more-likely-than-not realizable. Differences between the amount of tax benefits taken or expected to be taken in our income tax returns and the amount of tax benefits recognized in our financial statements represent our unrecognized income tax benefits, which we either record as a liability or as a reduction of deferred tax assets. Our policy is to include interest (expense and/or income) and penalties related to unrecognized income tax benefits as a component of income tax expense.

Functional Currencies and Foreign Currency Transaction Gains and Losses

The functional currency for most of our foreign subsidiaries is the applicable local currency, although we have several subsidiaries with functional currencies that differ from their local currency, of which the most notable exceptions are our subsidiaries in Israel, whose functional currencies are the U.S. dollar.

Transactions denominated in currencies other than a functional currency are converted to the functional currency on the transaction date, and any resulting assets or liabilities are further translated at each reporting date and at settlement. Gains and losses recognized upon such translations are included within other income (expense), net in the consolidated statements of operations. We recorded net foreign currency gains of $6.8 million for the year ended January 31, 2018, and net foreign currency losses of $2.7 million and $8.0 million, for the years ended January 31, 2017 and 2016, respectively.

For consolidated reporting purposes, in those instances where a foreign subsidiary has a functional currency other than the U.S. dollar, revenue and expenses are translated into U.S. dollars using average exchange rates for the reporting period, while assets and liabilities are translated into U.S. dollars using period-end rates. The effects of foreign currency translation adjustments are included in stockholders’ equity as a component of accumulated other comprehensive (loss) income in the accompanying consolidated balance sheets.

Stock-Based Compensation

We recognize the cost of employee services received in exchange for awards of equity instruments based on the grant-date fair value of the award. We recognize the fair value of the award as compensation expense over the period during which an employee is required to provide service in exchange for the award.

For performance stock units for which vesting is in part dependent on total shareholder return, the fair value of the award is estimated on the date of grant using a Monte Carlo Simulation. Expected volatility and expected term are input factors for that model and may require significant management judgment. Expected volatility is estimated utilizing daily historical volatility for Verint common stock price and the constituents of the specific comparator index over a period commensurate with the remaining award performance period. The risk-free interest rate used is equal to the implied daily yield of the zero-coupon U.S. Treasury bill that corresponds with the remaining performance period of the award as of the valuation date.

Net (Loss) Income Per Common Share Attributable to Verint Systems Inc.

Shares used in the calculation of basic net (loss) income per common share are based on the weighted-average number of common shares outstanding during the accounting period. Shares used in the calculation of basic net income per common share include vested but unissued shares underlying awards of restricted stock units when all necessary conditions for earning those shares have been satisfied at the award’s vesting date, but exclude unvested shares of restricted stock because they are contingent upon future service conditions.

We have the option to pay cash, issue shares of common stock, or any combination thereof for the aggregate amount due upon conversion of our 1.50% convertible senior notes due June 1, 2021 (the “Notes”), further details for which appear in Note 6, “Long-Term Debt”. We currently intend to settle the principal amount of the Notes in cash upon conversion and as a result, only the amounts payable in excess of the principal amounts of the Notes, if any, are assumed to be settled with shares of common stock for purposes of computing diluted net income per share.

In periods for which we report a net loss, basic net loss per common share and diluted net loss per common share are identical since the effect of potential common shares is anti-dilutive and therefore excluded.

Recent Accounting Pronouncements

New Accounting Pronouncements Recently Adopted

In March 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-09, Compensation—Stock Compensation (Topic 718), which amends the accounting for stock-based compensation and requires excess tax benefits and deficiencies to be recognized as a component of income tax expense rather than stockholders’ equity. This guidance also requires excess tax benefits to be presented as an operating activity on the consolidated statements of cash flows and allows an entity to make an accounting policy election to either estimate expected forfeitures or to account for them as they occur. ASU No. 2016-09 was effective for us on February 1, 2017. The adoption did not result in a cumulative-effect adjustment to retained earnings, and in accordance with the new guidance, we recorded certain tax effects from stock-based compensation awards as components of the provision for income taxes for the year ended January 31, 2018, whereas such tax effects were previously recognized in stockholders’ equity. These tax effects were not material for the year ended January 31, 2018. Our accounting for forfeitures of stock-based compensation awards has not changed because we have elected to continue our current policy of estimating expected forfeitures. The effects of adopting the other provisions of ASU No. 2016-09 were not material to our consolidated financial statements.

In October 2016, the FASB issued ASU No. 2016-16, Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory, which requires entities to recognize the income tax consequences of an intra-entity transfer of an asset other than inventory when the transfer occurs. The new guidance is effective for annual reporting periods beginning after December 15, 2017, with early adoption permitted as of the beginning of an annual reporting period. The new standard must be adopted using a modified retrospective transition method, with the cumulative effect recognized as of the date of initial adoption. We elected to early adopt this standard as of February 1, 2017, resulting in a $0.9 million cumulative charge to accumulated deficit, a $1.3 million reduction to other current assets, and a $0.4 million increase in other assets.

New Accounting Pronouncements Not Yet Effective

In August 2017, the FASB issued ASU No. 2017-12, Derivatives and Hedging (Topic 815) - Targeted Improvements to Accounting for Hedging Activities. This update better aligns risk management activities and financial reporting for hedging relationships, simplifies hedge accounting requirements, and improves disclosures of hedging arrangements. ASU No. 2017-12 is effective for fiscal years beginning after December 15, 2018, with early adoption permitted. We are currently reviewing this standard to assess the impact on our consolidated financial statements.

In January 2017, the FASB issued ASU No. 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business, and ASU No. 2017-04, Intangibles—Goodwill and Other (Topic 350) - Simplifying the Test for Goodwill Impairment.

ASU No. 2017-01 clarifies the definition of a business with the objective of adding guidance to assist entities with evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. The definition of a business affects many areas of accounting including acquisitions, disposals, goodwill, and consolidation. The guidance is effective for annual periods beginning after December 15, 2017, including interim periods within those periods. While we are still assessing the impact of this standard, we do not believe that the adoption of this guidance will have a material impact on our consolidated financial statements.

ASU No. 2017-04 eliminates Step 2 of the goodwill impairment test and requires a goodwill impairment to be measured as the amount by which a reporting unit’s carrying amount exceeds its fair value, not to exceed the carrying amount of its goodwill. The ASU is effective for annual or any interim goodwill impairment tests in fiscal years beginning after December 15, 2019. While we are still assessing the impact of this standard, we do not believe that the adoption of this guidance will have a material impact on our consolidated financial statements.

In November 2016, the FASB issued ASU No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash. This update requires that a statement of cash flows explain the change during the period in the total of cash, cash equivalents, and amounts generally described as restricted cash or restricted cash equivalents. Therefore, amounts generally described as restricted cash and restricted cash equivalents should be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. This update also requires an entity to disclose the nature of restrictions on its cash, cash equivalents, and amounts generally described as restricted cash or restricted cash equivalents. ASU No. 2016-18 is effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years with early adoption permitted, including adoption in an interim period. We typically have restrictions on certain amounts of cash and cash equivalents, primarily consisting of amounts used to secure bank guarantees in connection with sales contract performance obligations, and expect to continue to have similar restrictions in the future. We currently report changes in such restricted amounts as cash flows from investing activities on our consolidated statement of cash flows. This standard will change that presentation. We are currently reviewing this standard to assess other potential impacts on our consolidated financial statements.

In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments, which provides guidance with the intent of reducing diversity in practice in how certain cash receipts and cash payments are presented and classified in the statement of cash flows. ASU No. 2016-15 is effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years with early adoption permitted, including adoption in an interim period. We do not expect this standard to materially impact our consolidated financial statements.

In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments—Credit Losses (Topic 326). This new standard changes the impairment model for most financial assets and certain other instruments. Entities will be required to use a model that will result in the earlier recognition of allowances for losses for trade and other receivables, held-to-maturity debt securities, loans, and other instruments. For available-for-sale debt securities with unrealized losses, the losses will be recognized as allowances rather than as reductions in the amortized cost of the securities. The new standard is effective for annual periods, and for interim periods within those annual periods, beginning after December 15, 2019, with early adoption permitted. We are currently reviewing this standard to assess the impact on our consolidated financial statements.

In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842), which will require lessees to recognize assets and liabilities for leases with lease terms of more than 12 months. Consistent with current GAAP, the recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee primarily will depend on its classification as a finance or operating lease. However, unlike current GAAP, which requires only capital leases to be recognized on the balance sheet, the new guidance will require both types of leases to be recognized on the balance sheet. The new guidance is effective for all periods beginning after December 15, 2018 and we are currently evaluating the effects that the adoption of ASU No. 2016-02 will have on our consolidated financial statements, but anticipate that the new guidance will significantly impact our consolidated financial statements given our considerable lease obligations.

In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606). ASU No. 2014-09 supersedes the revenue recognition requirements in Topic 605, Revenue Recognition, and most industry-specific revenue recognition guidance throughout the Industry Topics of the Accounting Standards Codification. Additionally, this update supersedes some cost guidance included in Subtopic 605-35, Revenue Recognition-Construction-Type and Production-Type Contracts. The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. As originally issued, this guidance was effective for interim and annual reporting periods beginning after December 15, 2016, and early adoption was not permitted. In July 2015, the FASB deferred the effective date by one year, to interim and annual reporting periods beginning after December 15, 2017. Early adoption was permitted, but not before the original effective date of December 15, 2016. The standard allows entities to apply the standard retrospectively to each prior reporting period presented (“full retrospective adoption”) or retrospectively with the cumulative effect of initially applying the standard recognized at the date of initial application (“modified retrospective adoption”). We adopted ASU No. 2014-09 under the modified retrospective option effective February 1, 2018.

We have completed several key accounting assessments related to the standard and are in the process of finalizing our remaining assessments and quantifying the required cumulative effect adjustments upon adoption. We continue to evaluate and implement changes to related processes, systems, and internal controls. Our evaluation has included determining whether the unit of account (performance obligations) will change as compared to current GAAP, as well as determining the standalone selling price of each of our performance obligations. We believe our performance obligations will remain substantially unchanged from current guidance.

We currently allocate revenue to our software licenses under the residual method when VSOE exists for the remaining undelivered elements. The residual method allocates any future credits or significant discounts entirely to the software license. The adoption of ASU No. 2014-09 will result in future credits, significant discounts, and material rights under this guidance to be allocated to all performance obligations based upon their relative standalone selling prices. Under the new standard, additional software license revenue from the reallocation of such arrangement considerations will be recognized when control is transferred to the customer, which is generally upon delivery of the license. We have not been required to defer a significant amount of revenue due to insufficient VSOE and do not anticipate the updated standard’s requirement to establish or estimate a standalone selling price, rather than defer revenues in the absence of VSOE, will have a significant impact on our consolidated financial statements. We do not expect the new standard to materially impact the amount or timing of the majority of revenue recognized in our consolidated financial statements.

However, we have identified certain arrangements where revenue may be recognized earlier than under current GAAP, in particular term licenses and sales- or usage-based license arrangements that include minimum guaranteed amounts. We expect to recognize license revenue from term licenses upon delivery of the software, rather than over the term of the arrangement and the minimum guaranteed amount related to sales- or usage-based arrangements when the customer obtains control of the license. Further, under current rules, the amount of revenue recognized is limited to the amount that is not contingent upon the delivery of additional items or meeting other specified performance conditions (i.e. the non-contingent amount). Under the new standard, the amounts allocated to delivered items and recognized upfront could be higher if it is probable that a significant reversal in the amount of revenue recognized will not occur in future periods upon the delivery of additional items or meeting other specified performance conditions. Due to the complexity of certain Cyber Intelligence arrangements with governmental entities, the actual revenue recognition treatment required under the new standard will depend on contract-specific terms and in some instances may vary from recognition under current guidance. We are still in the process of quantifying the impact of the new standard on these arrangements.

In addition, the timing of cost of revenue recognition for certain customer contracts requiring significant customization will change, because unlike current guidance, the new guidance precludes the deferral of costs simply to obtain an even profit margin over the contract term. Upon adoption of the new standard, we also expect to begin deferring commissions earned by our internal sales force and subsequently amortizing these deferred commissions over the expected benefit period, which may be the estimated life of the customer relationship, if renewals are expected, and the renewal commission is not commensurate with the initial commission. We are still in the process of quantifying the impact of the new standard on these costs related to our customer contracts.

For sales transactions that have been billed, but for which the recognition of revenue has been deferred and the related account receivable has not been collected, we currently do not recognize deferred revenue or the related accounts receivable on our consolidated balance sheet. Under the new standard, we will record accounts receivable and related contract liabilities for noncancelable contracts with customers when the right to consideration is unconditional, which will result in increases in accounts receivable and contract liabilities (currently presented as deferred revenue) on our consolidated balance sheet, compared to our current presentation. As of January 31, 2018, our accounts receivable and deferred revenue were offset by approximately $124.0 million for unpaid amounts. Historically, this adjustment to offset unpaid deferred revenue against accounts receivable was highest in the fourth quarter, due to the seasonality of our business. The right to consideration in exchange for goods or services that we have transferred to a customer when that right is conditional on something other than the passage of time will be reclassified from accounts receivable to contract assets under the new standard. Our unbilled accounts receivable at January 31, 2018 was $65.9 million. Billings in excess of costs and estimated earnings on uncompleted contracts and deferred revenue will be combined and reclassified as contract liabilities under the new standard. Billings in excess of costs and estimated earnings on uncompleted contracts at January 31, 2018 was $46.1 million.

There will be a corresponding tax effect in relation to the above noted impacts, which is still being evaluated.

NET (LOSS) INCOME PER COMMON SHARE ATTRIBUTABLE TO VERINT SYSTEMS INC.

12 Months Ended

Jan. 31, 2018

Earnings Per Share [Abstract]

NET (LOSS) INCOME PER COMMON SHARE ATTRIBUTABLE TO VERINT SYSTEMS INC.

The following table summarizes the calculation of basic and diluted net (loss) income per common share attributable to Verint Systems Inc. for the years ended January 31, 2018, 2017, and 2016:



	Year Ended January 31,
(in thousands, except per share amounts)	2018			2017			2016
Net (loss) income	$	(3,454	)	$	(26,246	)	$	22,228
Net income attributable to noncontrolling interests	3,173			3,134			4,590
Net (loss) income attributable to Verint Systems Inc.	$	(6,627	)	$	(29,380	)	$	17,638
Weighted-average shares outstanding:
Basic	63,312			62,593			61,813
Dilutive effect of employee equity award plans	—			—			1,108
Dilutive effect of 1.50% convertible senior notes	—			—			—
Dilutive effect of warrants	—			—			—
Diluted	63,312			62,593			62,921
Net (loss) income per common share attributable to Verint Systems Inc.:
Basic	$	(0.10	)	$	(0.47	)	$	0.29
Diluted	$	(0.10	)	$	(0.47	)	$	0.28

We excluded the following weighted-average potential common shares from the calculations of diluted net (loss) income per common share during the applicable periods because their inclusion would have been anti-dilutive:



	Year Ended January 31,
(in thousands)	2018	2017	2016
Stock options and restricted stock-based awards	1,187	1,097	596
1.50% convertible senior notes	6,205	6,205	6,205
Warrants	6,205	6,205	6,205

In periods for which we report a net loss attributable to Verint Systems Inc., basic net loss per common share and diluted net loss per common share are identical since the effect of all potential common shares is anti-dilutive and therefore excluded.

Our 1.50% convertible senior notes will not impact the calculation of diluted net income per share unless the average price of our common stock, as calculated in accordance with the terms of the indenture governing the Notes, exceeds the conversion price of $64.46 per share. Likewise, diluted net income per share will not include any effect from the Warrants (as defined in Note 6, “Long-Term Debt”) unless the average price of our common stock, as calculated under the terms of the Warrants, exceeds the exercise price of $75.00 per share.

Our Note Hedges (as defined in Note 6, “Long-Term Debt”) do not impact the calculation of diluted net (loss) income per share under the treasury stock method, because their effect would be anti-dilutive. However, in the event of an actual conversion of any or all of the Notes, the common shares that would be delivered to us under the Note Hedges would neutralize the dilutive effect of the common shares that we would issue under the Notes. As a result, actual conversion of any or all of the Notes would not increase our outstanding common stock. Up to 6,205,000 common shares could, however, be issued upon exercise of the Warrants. Further details regarding the Notes, Note Hedges, and the Warrants appear in Note 6, “Long-Term Debt”.

CASH, CASH EQUIVALENTS, AND SHORT-TERM INVESTMENTS CASH, CASH EQUIVALENTS, AND SHORT-TERM INVESTMENTS

12 Months Ended

Jan. 31, 2018

Cash, Cash Equivalents, and Short-term Investments [Abstract]

Cash, Cash Equivalents and Short-term Investments

CASH, CASH EQUIVALENTS, AND SHORT-TERM INVESTMENTS

The following tables summarize our cash, cash equivalents, and short-term investments as of January 31, 2018 and 2017:



	January 31, 2018
(in thousands)	Cost Basis		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
Cash and cash equivalents:
Cash and bank time deposits	$	337,756	$	—	$	—	$	337,756
Money market funds	186		—		—		186
Total cash and cash equivalents	$	337,942	$	—	$	—	$	337,942

Short-term investments:
Corporate debt securities (available-for-sale)	$	2,002	$	—	$	—	$	2,002
Bank time deposits	4,564		—		—		4,564
Total short-term investments	$	6,566	$	—	$	—	$	6,566



	January 31, 2017
(in thousands)	Cost Basis		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
Cash and cash equivalents:
Cash and bank time deposits	$	307,188	$	—	$	—	$	307,188
Money market funds	175		—		—		175
Total cash and cash equivalents	$	307,363	$	—	$	—	$	307,363

Short-term investments:
Bank time deposits	$	3,184	$	—	$	—	$	3,184
Total short-term investments	$	3,184	$	—	$	—	$	3,184

Bank time deposits which are reported within short-term investments consist of deposits held outside of the U.S. with maturities of greater than 90 days, or without specified maturity dates which we intend to hold for periods in excess of 90 days. All other bank deposits are included within cash and cash equivalents.

As of January 31, 2018, all of our available-for-sale investments had contractual maturities of less than one year. Gains and losses on sales of available-for-sale securities during the years ended January 31, 2018, 2017, and 2016 were not significant.

During the years ended January 31, 2018, 2017, and 2016, proceeds from maturities and sales of available-for-sale securities were $8.7 million, $52.8 million, and $71.5 million, respectively.

BUSINESS COMBINATIONS

12 Months Ended

Jan. 31, 2018

Business Combinations [Abstract]

BUSINESS COMBINATIONS

Year Ended January 31, 2018

During the year ended January 31, 2018, we completed seven business combinations:


•	On February 1, March 20, October 3, November 3, December 19, and December 21, 2017, we completed acquisitions of businesses in our Customer Engagement operating segment. One of the transactions was an asset acquisition that qualified as a business combination, and another of which retained a noncontrolling interest.


•	On July 1, 2017, we completed the acquisition of a business in our Cyber Intelligence operating segment.

These business combinations were not individually material to our consolidated financial statements.

The combined consideration for these business combinations was approximately $136.0 million, including $106.0 million of combined cash paid at the closings. For five of these business combinations, we also agreed to make potential additional cash payments to the respective former shareholders aggregating up to approximately $47.7 million, contingent upon the achievement of certain performance targets over periods extending through January 2022. The fair value of these contingent consideration obligations was estimated to be $27.6 million at the applicable acquisition dates. Cash paid for these business combinations was funded by cash on hand.

The purchase prices for these business combinations were allocated to the tangible and intangible assets acquired and liabilities assumed based on their estimated fair values on the acquisition dates, with the remaining unallocated purchase prices recorded as goodwill. The fair value assigned to identifiable intangible assets acquired were determined primarily by using the income approach, which discounts expected future cash flows to present value using estimates and assumptions determined by management.

Included among the factors contributing to the recognition of goodwill in these transactions were synergies in products and technologies, and the addition of skilled, assembled workforces. Of the $81.8 million of goodwill associated with these business combinations, $78.0 million and $3.8 million was assigned to our Customer Engagement and Cyber Intelligence segments, respectively. For income tax purposes, $14.5 million of this goodwill is deductible and $67.3 million is not deductible.

Revenue and the impact on net loss attributable to these acquisitions for the year ended January 31, 2018 were not significant.

Transaction and related costs, consisting primarily of professional fees and integration expenses, directly related to these acquisitions, totaled $4.9 million for the year ended January 31, 2018. All transaction and related costs were expensed as incurred and are included in selling, general and administrative expenses.

The purchase price allocations for the business combinations completed during the year ended January 31, 2018 have been prepared on a preliminary basis and changes to those allocations may occur as additional information becomes available during the respective measurement periods (up to one year from the respective acquisition dates). Fair values still under review include values assigned to identifiable intangible assets, contingent consideration, deferred income taxes and reserves for uncertain income tax positions.

The following table sets forth the components and the allocations of the combined purchase prices for the business combinations completed during the year ended January 31, 2018, including adjustments identified subsequent to the respective valuation dates, none of which were material:



(in thousands)	Amount
Components of Purchase Prices:
Cash	$	106,049
Fair value of contingent consideration	27,605
Other purchase price adjustments	2,380
Total purchase prices	$	136,034

Allocation of Purchase Prices:
Net tangible assets (liabilities):
Accounts receivable	$	4,184
Other current assets, including cash acquired	15,108
Other assets	2,765
Current and other liabilities	(12,462		)
Deferred revenue - current and long-term	(4,424		)
Deferred income taxes	(8,660		)
Net tangible liabilities	(3,489		)
Identifiable intangible assets:
Customer relationships	24,444
Developed technology	30,952
Trademarks and trade names	2,322
Total identifiable intangible assets	57,718
Goodwill	81,805
Total purchase price allocations	$	136,034

For these acquisitions, customer relationships, developed technology, and trademarks and trade names were assigned estimated useful lives of from three years to ten years, from three years to eight years, and from one year to seven years, respectively, the weighted average of which is approximately 6.8 years.

Year Ended January 31, 2017

Contact Solutions, LLC

On February 19, 2016, we completed the acquisition of Contact Solutions, LLC (“Contact Solutions”), a provider of real-time, contextual self-service solutions, based in Reston, Virginia. The purchase price consisted of $66.9 million of cash paid at closing, and a $2.5 million post-closing purchase price adjustment based upon a determination of Contact Solutions’ acquisition-date working capital, which was paid during the three months ended July 31, 2016. The cash paid for this acquisition was funded with cash on hand.

The purchase price for Contact Solutions was allocated to the tangible and intangible assets acquired and liabilities assumed based on their estimated fair values on the acquisition date, with the remaining unallocated purchase price recorded as goodwill. The fair value assigned to identifiable intangible assets acquired were determined primarily by using the income approach, which discounts expected future cash flows to present value using estimates and assumptions determined by management.

Among the factors contributing to the recognition of goodwill as a component of the Contact Solutions purchase price allocation were synergies in products and technologies, and the addition of a skilled, assembled workforce. This goodwill was assigned to our Customer Engagement segment and is deductible for income tax purposes.

In connection with the purchase price allocation for Contact Solutions, the estimated fair value of undelivered performance obligations under customer contracts assumed in the acquisition was determined utilizing a cost build-up approach. The cost build-up approach calculates fair value by estimating the costs required to fulfill the obligations plus a reasonable profit margin, which approximates the amount that we believe would be required to pay a third party to assume the performance obligations. The estimated costs to fulfill the performance obligations were based on the historical direct costs for delivering similar services. As a result, in allocating the purchase price, we recorded $0.6 million of current and long-term deferred revenue, representing the estimated fair value of undelivered performance obligations for which payment had been received, which is being recognized as revenue as the underlying performance obligations are delivered. For undelivered performance obligations for which payment had not yet been received, we recorded a $2.9 million asset as a component of the purchase price allocation, representing the estimated fair value of these obligations, $1.2 million of which was included within prepaid expenses and other current assets, and $1.7 million of which was included in other assets. We are amortizing this asset over the underlying delivery periods, which adjusts the revenue we recognize for providing these services to its estimated fair value.

Transaction and related costs directly related to the acquisition of Contact Solutions, consisting primarily of professional fees and integration expenses, were $0.2 million, $1.4 million and $0.1 million for the years ended January 31, 2018, 2017 and 2016, respectively, and were expensed as incurred and are included in selling, general and administrative expenses.

OpinionLab, Inc.

On November 16, 2016, we completed the acquisition of all of the outstanding shares of OpinionLab, Inc. (“OpinionLab”), a leading SaaS provider of omnichannel Voice of Customer (“VoC”) feedback solutions which help organizations collect, understand, and leverage customer insights, helping drive smarter, real-time business action. OpinionLab is based in Chicago, Illinois.

The purchase price consisted of $56.4 million of cash paid at the closing, funded from cash on hand, partially offset by $6.4 million of OpinionLab’s cash received in the acquisition, resulting in net cash consideration at closing of $50.0 million. We also agreed to pay potential additional future cash consideration of up to $28.0 million, contingent upon the achievement of certain performance targets over the period from closing through January 31, 2021, the acquisition date fair value of which was estimated to be $15.0 million. The purchase price was subject to customary purchase price adjustments related to the final determination of OpinionLab’s cash, net working capital, transaction expenses, and taxes as of November 16, 2016. The acquired business has been integrated into our Customer Engagement operating segment.

The purchase price for OpinionLab was allocated to the tangible and intangible assets acquired and liabilities assumed based on their estimated fair values on the acquisition date, with the remaining unallocated purchase price recorded as goodwill. The fair value assigned to identifiable intangible assets acquired were determined primarily by using the income approach, which discounts expected future cash flows to present value using estimates and assumptions determined by management.

Among the factors contributing to the recognition of goodwill as a component of the OpinionLab purchase price allocation were synergies in products and technologies, and the addition of a skilled, assembled workforce. This goodwill was assigned to our Customer Engagement segment and is not deductible for income tax purposes.

In connection with the purchase price allocation for OpinionLab, the estimated fair value of undelivered performance obligations under customer contracts assumed in the acquisition was determined utilizing a cost build-up approach. The cost build-up approach calculates fair value by estimating the costs required to fulfill the obligations plus a reasonable profit margin, which approximates the amount that we believe would be required to pay a third party to assume the performance obligations. The estimated costs to fulfill the performance obligations were based on the historical direct costs for delivering similar services. As a result, in allocating the purchase price, we recorded $3.1 million of current and long-term deferred revenue, representing the estimated fair value of undelivered performance obligations for which payment had been received, which is being recognized as revenue as the underlying performance obligations are delivered. For undelivered performance obligations for which payment had not yet been received, we recorded a $5.4 million asset as a component of the purchase price allocation, representing the estimated fair value of these obligations, $3.4 million of which was included within prepaid expenses and other current assets, and $2.0 million of which was included in other assets. We are amortizing this asset over the underlying delivery periods, which adjusts the revenue we recognize for providing these services to its estimated fair value.

Transaction and related costs directly related to the acquisition of OpinionLab, consisting primarily of professional fees and integration expenses, were $0.9 million and $0.6 million for the years ended January 31, 2018 and 2017, respectively, and were expensed as incurred and are included in selling, general and administrative expenses.

The following table sets forth the components and the allocation of the purchase price for our acquisitions of Contact Solutions and OpinionLab. During the year ended January 31, 2018, there were immaterial adjustments recorded to the OpinionLab purchase price allocation.



(in thousands)	Contact Solutions			OpinionLab
Components of Purchase Price:
Cash paid at closing	$	66,915		$	56,355
Fair value of contingent consideration	—			15,000
Other purchase price adjustments	2,518			—
Total purchase price	$	69,433		$	71,355

Allocation of Purchase Price:
Net tangible assets (liabilities):
Accounts receivable	$	8,102		$	748
Other current assets, including cash acquired	2,392			10,625
Property and equipment, net	7,007			298
Other assets	1,904			2,036
Current and other liabilities	(4,943		)	(1,600		)
Deferred revenue - current and long-term	(642		)	(3,082		)
Deferred income taxes	—			(9,877		)
Net tangible assets (liabilities)	13,820			(852		)
Identifiable intangible assets:
Customer relationships	18,000			19,100
Developed technology	13,100			10,400
Trademarks and trade names	2,400			1,800
Total identifiable intangible assets	33,500			31,300
Goodwill	22,113			40,907
Total purchase price allocation	$	69,433		$	71,355

For the acquisition of Contact Solutions, the acquired customer relationships, developed technology, and trademarks and trade names were assigned estimated useful lives of ten years, four years, and five years, respectively, the weighted average of which was approximately 7.3 years.

For the acquisition of OpinionLab, the acquired customer relationships, developed technology, and trademarks and trade names were assigned estimated useful lives of ten years, six years, and four years, respectively, the weighted average of which was approximately 8.3 years.

The weighted-average estimated useful life of all finite-lived identifiable intangible assets acquired during the year ended January 31, 2017 was 7.8 years.

The acquired identifiable intangible assets are being amortized on a straight-line basis, which we believe approximates the pattern in which the assets are utilized, over their estimated useful lives.

The purchase price allocations for business combinations completed during the year ended January 31, 2017 are final.

Revenue and the impact on net loss attributable to the acquisitions of Contact Solutions and OpinionLab for the year ended January 31, 2017 were not significant.

Other Business Combinations

During the year ended January 31, 2017, we completed two transactions that qualified as business combinations in our Customer Engagement segment. These business combinations were not material to our consolidated financial statements individually or in the aggregate.

Year Ended January 31, 2016

During the year ended January 31, 2016, we completed three business combinations:


•	On February 12, 2015, we completed the acquisition of a business that has been integrated into our Customer Engagement operating segment.


•	On May 1, 2015, we completed the acquisition of a business that has been integrated into our Cyber Intelligence operating segment.


•	On August 11, 2015, we acquired certain technology and other assets for use in our Customer Engagement operating segment in a transaction that qualified as a business combination.

These business combinations were not individually material to our consolidated financial statements.

The combined consideration for these business combinations was approximately $49.5 million, including $33.2 million of combined cash paid at the closings. For one of these business combinations, we also agreed to make potential additional cash payments to the respective former shareholders aggregating up to approximately $30.5 million, contingent upon the achievement of certain performance targets over periods extending through April 2020. The fair value of these contingent consideration obligations was estimated to be $16.2 million at the applicable acquisition date.

Included among the factors contributing to the recognition of goodwill in these transactions were synergies in products and technologies, and the addition of skilled, assembled workforces. Of the $28.7 million of goodwill associated with these business combinations, $7.7 million and $21.0 million was assigned to our Customer Engagement and Cyber Intelligence segments, respectively. For income tax purposes, $5.1 million of this goodwill is deductible and $23.6 million is not deductible.

Revenue and the impact on net income attributable to these acquisitions for the year ended January 31, 2016 were not significant.

Transaction and related costs, consisting primarily of professional fees and integration expenses, directly related to these acquisitions, totaled $0.7 million, $0.6 million, and $1.4 million for the years ended January 31, 2018, 2017 and 2016, respectively. All transaction and related costs were expensed as incurred and are included in selling, general and administrative expenses.

The following table sets forth the components and the allocations of the combined purchase prices for the business combinations completed during the year ended January 31, 2016, including adjustments identified subsequent to the respective valuation dates, none of which were material:



(in thousands)	Amount
Components of Purchase Prices:
Cash	$	33,222
Fair value of contingent consideration	16,237
Total purchase prices	$	49,459

Allocation of Purchase Prices:
Net tangible assets (liabilities):
Accounts receivable	$	992
Other current assets, including cash acquired	4,274
Other assets	395
Current and other liabilities	(3,037		)
Deferred revenue - current and long-term	(1,872		)
Deferred income taxes	(2,922		)
Net tangible liabilities	(2,170		)
Identifiable intangible assets:
Customer relationships	1,212
Developed technology	20,300
Trademarks and trade names	300
In-process research and development	1,100
Total identifiable intangible assets	22,912
Goodwill	28,717
Total purchase price allocations	$	49,459

For these acquisitions, customer relationships, developed technology, and trademarks and trade names were assigned estimated useful lives of from five years to ten years, from four years to five years, and three years, respectively, the weighted average of which was approximately 4.4 years.

Other Business Combination Information

The pro forma impact of all business combinations completed during the three years ended January 31, 2018 was not material to our historical consolidated operating results and is therefore not presented.

The acquisition date fair values of contingent consideration obligations associated with business combinations are estimated based on probability adjusted present values of the consideration expected to be transferred using significant inputs that are not observable in the market. Key assumptions used in these estimates include probability assessments with respect to the likelihood of achieving the performance targets and discount rates consistent with the level of risk of achievement. At each reporting date, we revalue the contingent consideration obligations to their fair values and record increases and decreases in fair value within selling, general and administrative expenses in our consolidated statements of operations. Changes in the fair value of the contingent consideration obligations result from changes in discount periods and rates, and changes in probability assumptions with respect to the likelihood of achieving the performance targets.

For the years ended January 31, 2018, 2017, and 2016, we recorded a benefit of $8.3 million, a charge of $7.3 million, and a benefit of $0.9 million, respectively, within selling, general and administrative expenses for changes in the fair values of contingent consideration obligations associated with business combinations. The aggregate fair value of the remaining contingent consideration obligations associated with business combinations was $62.8 million at January 31, 2018, of which $13.7 million was recorded within accrued expenses and other current liabilities, and $49.1 million was recorded within other liabilities.

Payments of contingent consideration earned under these agreements were $9.4 million, $3.3 million, and $7.4 million for the years ended January 31, 2018, 2017, and 2016, respectively.

INTANGIBLE ASSETS AND GOODWILL

12 Months Ended

Jan. 31, 2018

Goodwill and Intangible Assets Disclosure [Abstract]

INTANGIBLE ASSETS AND GOODWILL

Acquisition-related intangible assets consisted of the following as of January 31, 2018 and 2017:



	January 31, 2018
(in thousands)	Cost		Accumulated Amortization			Net
Intangible assets with finite lives:
Customer relationships	$	438,664	$	(281,592	)	$	157,072
Acquired technology	273,156		(212,571		)	60,585
Trade names	26,820		(18,570		)	8,250
Non-competition agreements	3,047		(2,861		)	186
Distribution network	4,440		(4,440		)	—
Total intangible assets	$	746,127	$	(520,034	)	$	226,093



	January 31, 2017
(in thousands)	Cost		Accumulated Amortization			Net
Intangible assets, all with finite lives:
Customer relationships	$	403,657	$	(244,792	)	$	158,865
Acquired technology	233,982		(168,653		)	65,329
Trade names	23,493		(14,187		)	9,306
Non-competition agreements	3,047		(2,499		)	548
Distribution network	4,440		(4,329		)	111
Total intangible assets with finite lives	668,619		(434,460		)	234,159
In-process research and development, with indefinite lives	1,100		—			1,100
Total intangible assets	$	669,719	$	(434,460	)	$	235,259

The following table presents net acquisition-related intangible assets by reportable segment as of January 31, 2018 and 2017:



	January 31,
(in thousands)	2018		2017
Customer Engagement	$	213,963	$	207,436
Cyber Intelligence	12,130		27,823
Total	$	226,093	$	235,259

Total amortization expense recorded for acquisition-related intangible assets was $72.4 million, $81.5 million, and $78.9 million for the years ended January 31, 2018, 2017, and 2016, respectively. The reported amount of net acquisition-related intangible assets can fluctuate from the impact of changes in foreign currency exchange rates on intangible assets not denominated in U.S. dollars.

Estimated future amortization expense on finite-lived acquisition-related intangible assets is as follows:



(in thousands)
Years Ending January 31,	Amount
2019	$	53,733
2020	42,265
2021	34,434
2022	30,578
2023	24,795
Thereafter	40,288
Total	$	226,093

During the year ended January 31, 2018, we recorded $3.3 million of impairments for certain acquired customer-related intangible assets, which is included within selling, general and administrative expenses. During the year ended January 31, 2016, we recorded a $3.2 million impairment of an acquired technology asset, which is included within cost of product revenue. No impairments of acquired intangible assets were recorded during the year ended January 31, 2017.

As discussed in Note 15, “Segment Information”, effective in August 2016, we reorganized into two businesses and now present our results in two reportable segments. We reallocated $51.8 million of goodwill, net of $25.3 million of accumulated impairment losses, from our former Video Intelligence segment to our Customer Engagement segment, and $22.2 million of goodwill, net of $10.8 million of accumulated impairment losses, to our Cyber Intelligence segment, using a relative fair value approach. In addition, we completed an assessment for potential impairment of the goodwill previously allocated to our former Video Intelligence segment immediately prior to the reallocation and determined that no impairment existed.

Goodwill activity for the years ended January 31, 2018, and 2017, in total and by reportable segment, was as follows:



				Reportable Segment
(in thousands)	Total			Customer Engagement			Cyber Intelligence
Year Ended January 31, 2017:
Goodwill, gross, at January 31, 2016	$	1,274,041		$	1,131,249		$	142,792
Accumulated impairment losses through January 31, 2016	(66,865		)	(56,043		)	(10,822		)
Goodwill, net, at January 31, 2016	1,207,176			1,075,206			131,970
Business combinations	91,209			91,209			—
Foreign currency translation and other	(33,567		)	(34,436		)	869
Goodwill, net, at January 31, 2017	$	1,264,818		$	1,131,979		$	132,839

Year Ended January 31, 2018:
Goodwill, gross, at January 31, 2017	$	1,331,683		$	1,188,022		$	143,661
Accumulated impairment losses through January 31, 2017	(66,865		)	(56,043		)	(10,822		)
Goodwill, net, at January 31, 2017	1,264,818			1,131,979			132,839
Business combinations, including prior year adjustments	81,180			77,345			3,835
Foreign currency translation and other	42,301			41,769			532
Goodwill, net, at January 31, 2018	$	1,388,299		$	1,251,093		$	137,206

Balance at January 31, 2018:
Goodwill, gross, at January 31, 2018	$	1,455,164		$	1,307,136		$	148,028
Accumulated impairment losses through January 31, 2018	(66,865		)	(56,043		)	(10,822		)
Goodwill, net, at January 31, 2018	$	1,388,299		$	1,251,093		$	137,206

As a result of the segment reorganization discussed above, we concluded that, for purposes of reviewing for potential goodwill impairment, we have three reporting units, consisting of Customer Engagement, Cyber Intelligence (excluding situational intelligence solutions), and Situational Intelligence, which is a component of our Cyber Intelligence operating segment. Based upon our November 1, 2017 goodwill impairment reviews, we concluded that the estimated fair values of all of our reporting units significantly exceeded their carrying values.

No changes in circumstances or indicators of potential impairment were identified between November 1 and January 31 in each of the years ended January 31, 2018 and 2017.

No goodwill impairment was identified for the years ended January 31, 2018, 2017, and 2016.

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

+ References + Details

LONG-TERM DEBT

12 Months Ended

Jan. 31, 2018

Long-term Debt, Unclassified [Abstract]

LONG-TERM DEBT

The following table summarizes our long-term debt at January 31, 2018 and 2017:



	January 31,
(in thousands)	2018			2017

1.50% Convertible Senior Notes	$	400,000		$	400,000
February 2014 Term Loans	—			130,060
March 2014 Term Loans	—			278,978
June 2017 Term Loan	422,875			—
Other debt	250			404
Less: Unamortized debt discounts and issuance costs	(50,141		)	(60,571		)
Total debt	772,984			748,871
Less: current maturities	4,500			4,611
Long-term debt	$	768,484		$	744,260

Current maturities of long-term debt are reported within accrued expenses and other current liabilities on our consolidated balance sheets.

1.50% Convertible Senior Notes

On June 18, 2014, we issued $400.0 million in aggregate principal amount of 1.50% convertible senior notes due June 1, 2021, unless earlier converted by the holders pursuant to their terms. Net proceeds from the Notes after underwriting discounts were $391.9 million. The Notes pay interest in cash semiannually in arrears at a rate of 1.50% per annum.

The Notes were issued concurrently with our public issuance of 5,750,000 shares of common stock, the majority of the combined net proceeds of which were used to partially repay certain indebtedness under our Prior Credit Agreement, as defined and further described below.

The Notes are unsecured and rank senior in right of payment to our indebtedness that is expressly subordinated in right of payment to the Notes; equal in right of payment to our indebtedness that is not so subordinated; effectively subordinated in right of payment to any of our secured indebtedness to the extent of the value of the assets securing such indebtedness; and structurally subordinated to indebtedness and other liabilities of our subsidiaries.

The Notes are convertible into, at our election, cash, shares of common stock, or a combination of both, subject to satisfaction of specified conditions and during specified periods, as described below. If converted, we currently intend to pay cash in respect of the principal amount of the Notes.

The Notes have a conversion rate of 15.5129 shares of common stock per $1,000 principal amount of Notes, which represents an effective conversion price of approximately $64.46 per share of common stock and would result in the issuance of approximately 6,205,000 shares if all of the Notes were converted. The conversion rate has not changed since issuance of the Notes, although throughout the term of the Notes, the conversion rate may be adjusted upon the occurrence of certain events.

Holders may surrender their Notes for conversion at any time prior to the close of business on the business day immediately preceding December 1, 2020, only under the following circumstances:

•

during any calendar quarter commencing after the calendar quarter which ended on September 30, 2014, if the closing sale price of our common stock, for at least 20 trading days (whether or not consecutive) in the period of 30 consecutive trading days ending on the last trading day of the immediately preceding calendar quarter, is more than 130% of the conversion price of the Notes in effect on each applicable trading day;


•	during the ten consecutive trading-day period following any 5 consecutive trading-day period in which the trading price for the Notes for each such trading day was less than 98% of the closing sale price of our common stock on such date multiplied by the then-current conversion rate; or


•	upon the occurrence of specified corporate events, as described in the indenture governing the Notes, such as a consolidation, merger, or binding share exchange.

On or after December 1, 2020 until the close of business on the second scheduled trading day immediately preceding the maturity date, holders may surrender their Notes for conversion regardless of whether any of the foregoing conditions have been satisfied. Holders of the Notes may require us to purchase for cash all or any portion of their Notes upon the occurrence of a “fundamental change” at a price equal to 100% of the principal amount of the Notes being purchased, plus accrued and unpaid interest.

As of January 31, 2018, the Notes were not convertible.

In accordance with accounting guidance for convertible debt with a cash conversion option, we separately accounted for the debt and equity components of the Notes in a manner that reflected our estimated nonconvertible debt borrowing rate. We estimated the debt and equity components of the Notes to be $319.9 million and $80.1 million respectively, at the issuance date assuming a 5.00% non-convertible borrowing rate. The equity component was recorded as an increase to additional paid-in capital. The excess of the principal amount of the debt component over its carrying amount (the “debt discount”) is being amortized as interest expense over the term of the Notes using the effective interest method. The equity component is not remeasured as long as it continues to meet the conditions for equity classification.

We allocated transaction costs related to the issuance of the Notes, including underwriting discounts, of $7.6 million and $1.9 million to the debt and equity components, respectively. Issuance costs attributable to the debt component of the Notes are presented as a reduction of long-term debt and are being amortized as interest expense over the term of the Notes, and issuance costs attributable to the equity component were netted with the equity component in additional paid-in capital. The carrying amount of the equity component, net of issuance costs, was $78.2 million at January 31, 2018.

As of January 31, 2018, the carrying value of the debt component was $354.0 million, which is net of unamortized debt discount and issuance costs of $42.1 million and $4.0 million, respectively. Including the impact of the debt discount and related deferred debt issuance costs, the effective interest rate on the Notes was approximately 5.29% for each of the years ended January 31, 2018, 2017, and 2016.

Based on the closing market price of our common stock on January 31, 2018, the if-converted value of the Notes was less than the aggregate principal amount of the Notes.

Note Hedges and Warrants

Concurrently with the issuance of the Notes, we entered into convertible note hedge transactions (the “Note Hedges”) and sold warrants (the “Warrants”). The combination of the Note Hedges and the Warrants serves to increase the effective initial conversion price for the Notes to $75.00 per share. The Note Hedges and Warrants are each separate instruments from the Notes.

Note Hedges

Pursuant to the Note Hedges, we purchased call options on our common stock, under which we have the right to acquire from the counterparties up to approximately 6,205,000 shares of our common stock, subject to customary anti-dilution adjustments, at a price of $64.46, which equals the initial conversion price of the Notes. Our exercise rights under the Note Hedges generally trigger upon conversion of the Notes and the Note Hedges terminate upon maturity of the Notes, or the first day the Notes are no longer outstanding. The Note Hedges may be settled in cash, shares of our common stock, or a combination thereof, at our option, and are intended to reduce our exposure to potential dilution upon conversion of the Notes. We paid $60.8 million for the Note Hedges, which was recorded as a reduction to additional paid-in capital. As of January 31, 2018, we had not purchased any shares of our common stock under the Note Hedges.

Warrants

We sold the Warrants to several counterparties. The Warrants provide the counterparties rights to acquire from us up to approximately 6,205,000 shares of our common stock at a price of $75.00 per share. The Warrants expire incrementally on a series of expiration dates beginning in August 2021. At expiration, if the market price per share of our common stock exceeds the strike price of the Warrants, we will be obligated to issue shares of our common stock having a value equal to such excess. The Warrants could have a dilutive effect on net income per share to the extent that the market value of our common stock exceeds the strike price of the Warrants. Proceeds from the sale of the Warrants were $45.2 million and were recorded as additional paid-in capital. As of January 31, 2018, no Warrants had been exercised and all Warrants remained outstanding.

The Note Hedges and Warrants both meet the requirements for classification within stockholders’ equity, and their respective fair values are not remeasured and adjusted as long as these instruments continue to qualify for stockholders’ equity classification.

Credit Agreements

Prior Credit Agreement

In April 2011, we entered into a credit agreement with certain lenders, which was amended and restated in March 2013, and further amended in February, March, and June 2014 (as amended, the “Prior Credit Agreement”). The Prior Credit Agreement provided for senior secured credit facilities, comprised of $943.5 million of term loans, of which $300.0 million was borrowed in February 2014 and $643.5 million was borrowed in March 2014 (together, the “2014 Term Loans”), the outstanding portion of which was scheduled to mature in September 2019, and a $300.0 million revolving credit facility (the “Prior Revolving Credit Facility”), scheduled to mature in September 2018, subject to increase and reduction from time to time, in accordance with the terms of the Prior Credit Agreement.

In June 2014, we utilized the majority of the combined net proceeds from the issuance of the Notes and the concurrent issuance of 5,750,000 shares of common stock to retire $530.0 million of the 2014 Term Loans, and all $106.0 million of then-outstanding borrowings under the Prior Revolving Credit Facility.

The 2014 Term Loans incurred interest at our option at either a base rate plus a margin of 1.75% or an Adjusted LIBOR Rate, as defined in the Prior Credit Agreement, plus a margin of 2.75%.

2017 Credit Agreement

On June 29, 2017, we entered into a new credit agreement (the “2017 Credit Agreement”) with certain lenders and terminated the Prior Credit Agreement.

The 2017 Credit Agreement provides for $725.0 million of senior secured credit facilities, comprised of a $425.0 million term loan maturing on June 29, 2024 (the “2017 Term Loan”) and a $300.0 million revolving credit facility maturing on June 29, 2022 (the “2017 Revolving Credit Facility”), subject to increase and reduction from time to time according to the terms of the 2017 Credit Agreement. The maturity dates of the 2017 Term Loan and 2017 Revolving Credit Facility will be accelerated to March 1, 2021 if on such date any Notes remain outstanding.

The majority of the proceeds from the 2017 Term Loan were used to repay all $406.9 million that remained outstanding under the 2014 Term Loans at June 29, 2017 upon termination of the Prior Credit Agreement. There were no borrowings under the Prior Revolving Credit Facility at June 29, 2017.

The 2017 Term Loan was subject to an original issuance discount of approximately $0.5 million. This discount is being amortized as interest expense over the term of the 2017 Term Loan using the effective interest method.

Interest rates on loans under the 2017 Credit Agreement are periodically reset, at our option, at either a Eurodollar Rate or an ABR rate (each as defined in the 2017 Credit Agreement), plus in each case a margin.

On January 31, 2018, we entered into an amendment to the 2017 Credit Agreement (the “2018 Amendment”) providing for, among other things, a reduction of the interest rate margins on the 2017 Term Loan from 2.25% to 2.00% for Eurodollar loans, and from 1.25% to 1.00% for ABR loans. The vast majority of the impact of the 2018 Amendment was accounted for as a debt modification. For the portion of the 2017 Term Loan which was considered extinguished and replaced by new loans, we wrote off $0.2 million of unamortized deferred debt issuance costs as a loss on early retirement of debt during the three months ended January 31, 2018. The remaining unamortized deferred debt issuance costs and discount will continue to be amortized over the remaining term of the 2017 Term Loan.

For loans under the 2017 Revolving Credit Facility, the margin is determined by reference to our Consolidated Total Debt to Consolidated EBITDA (each as defined in the 2017 Credit Agreement) leverage ratio (the “Leverage Ratio”).

As of January 31, 2018, the interest rate on the 2017 Term Loan was 3.58%. Taking into account the impact of the original issuance discount and related deferred debt issuance costs, the effective interest rate on the 2017 Term Loan was approximately 3.80% at January 31, 2018.

We are required to pay a commitment fee with respect to unused availability under the 2017 Revolving Credit Facility at a rate per annum determined by reference to our Leverage Ratio.

The 2017 Term Loan requires quarterly principal payments of approximately $1.1 million, which commenced on August 1, 2017, with the remaining balance due on June 29, 2024. Optional prepayments of loans under the 2017 Credit Agreement are generally permitted without premium or penalty.

Our obligations under the 2017 Credit Agreement are guaranteed by each of our direct and indirect existing and future material domestic wholly owned restricted subsidiaries, and are secured by a security interest in substantially all of our assets and the assets of the guarantor subsidiaries, subject to certain exceptions.

The 2017 Credit Agreement contains certain customary affirmative and negative covenants for credit facilities of this type. The 2017 Credit Agreement also contains a financial covenant that, solely with respect to the 2017 Revolving Credit Facility, requires us to maintain a Leverage Ratio of no greater than 4.50 to 1. The limitations imposed by the covenants are subject to certain exceptions as detailed in the 2017 Credit Agreement.

The 2017 Credit Agreement provides for events of default with corresponding grace periods that we believe are customary for credit facilities of this type. Upon an event of default, all of our obligations owed under the 2017 Credit Agreement may be declared immediately due and payable, and the lenders’ commitments to make loans under the 2017 Credit Agreement may be terminated.

Loss on Early Retirement of 2014 Term Loans

At the June 29, 2017 closing date of the 2017 Credit Agreement, there were $3.2 million of unamortized deferred debt issuance costs and a $0.1 million unamortized term loan discount associated with the 2014 Term Loans and the Prior Revolving Credit Facility. Of the $3.2 million of unamortized deferred debt issuance costs, $1.4 million was associated with commitments under the Prior Revolving Credit Facility provided by lenders that are continuing to provide commitments under the 2017 Revolving Credit Facility and therefore continued to be deferred, and are being amortized on a straight-line basis over the term of the 2017 Revolving Credit Facility. The remaining $1.8 million of unamortized deferred debt issuance costs and the $0.1 million unamortized discount, all of which related to the 2014 Term Loans, were written off as a $1.9 million loss on early retirement of debt during the three months ended July 31, 2017.

2017 Credit Agreement Issuance Costs

We incurred debt issuance costs of approximately $6.8 million in connection with the 2017 Credit Agreement, of which $4.1 million were associated with the 2017 Term Loan and $2.7 million were associated with the 2017 Revolving Credit Facility, which were deferred and are being amortized as interest expense over the terms of the facilities under the 2017 Credit Agreement. As noted previously, during the three months ended January 31, 2018, we wrote off $0.2 million of deferred debt issuance costs associated with the 2017 Term Loan as a result of the 2018 Amendment. Deferred debt issuance costs associated with the 2017 Term Loan are being amortized using the effective interest rate method, and deferred debt issuance costs associated with the 2017 Revolving Credit Facility are being amortized on a straight-line basis.

Future Principal Payments on Term Loans

As of January 31, 2018, future scheduled principal payments on the 2017 Term Loan were as follows:



(in thousands)
Years Ending January 31,	Amount
2019	$	4,250
2020	4,250
2021	4,250
2022	4,250
2023	4,250
2024 and thereafter	401,625
Total	$	422,875

Interest Expense

The following table presents the components of interest expense incurred on the Notes and on borrowings under our respective Credit Agreements for the years ended January 31, 2018, 2017, and 2016:



	Year Ended January 31,
(in thousands)	2018		2017		2016
1.50% Convertible Senior Notes:
Interest expense at 1.50% coupon rate	$	6,000	$	6,000	$	6,000
Amortization of debt discount	11,244		10,669		10,123
Amortization of deferred debt issuance costs	1,060		1,007		955
Total - 1.50% Convertible Senior Notes	$	18,304	$	17,676	$	17,078

Borrowings under Credit Agreements:
Interest expense at contractual rates	$	15,412	$	14,682	$	14,590
Impact of interest rate swap agreement	254		259		—
Amortization of debt discounts	65		58		56
Amortization of deferred debt issuance costs	1,839		2,211		2,166
Total - Borrowings under Credit Agreements	$	17,570	$	17,210	$	16,812

SUPPLEMENTAL CONSOLIDATED FINANCIAL STATEMENT INFORMATION

12 Months Ended

Jan. 31, 2018

Organization, Consolidation and Presentation of Financial Statements [Abstract]

SUPPLEMENTAL CONSOLIDATED FINANCIAL STATEMENT INFORMATION

Consolidated Balance Sheets

Inventories consisted of the following as of January 31, 2018 and 2017:



	January 31,
(in thousands)	2018		2017
Raw materials	$	9,870	$	9,074
Work-in-process	6,269		4,355
Finished goods	3,732		4,108
Total inventories	$	19,871	$	17,537

Property and equipment, net consisted of the following as of January 31, 2018 and 2017:



	January 31,
(in thousands)	2018			2017
Land and buildings	$	10,276		$	9,543
Leasehold improvements	29,793			29,247
Software	54,032			61,810
Equipment, furniture, and other	135,548			93,968
	229,649			194,568
Less: accumulated depreciation and amortization	(140,560		)	(117,017		)
Total property and equipment, net	$	89,089		$	77,551

Depreciation expense on property and equipment was $26.0 million, $25.2 million, and $20.3 million in the years ended January 31, 2018, 2017, and 2016, respectively.

Other assets consisted of the following as of January 31, 2018 and 2017:



	January 31,
(in thousands)	2018		2017
Long-term restricted cash and time deposits	$	28,402	$	54,566
Deferred debt issuance costs, net	3,668		1,929
Long-term security deposits	4,139		4,123
Other	15,828		16,002
Total other assets	$	52,037	$	76,620

Accrued expenses and other current liabilities consisted of the following as of January 31, 2018 and 2017:



	January 31,
(in thousands)	2018		2017
Compensation and benefits	$	83,216	$	73,998
Billings in excess of costs and estimated earnings on uncompleted contracts	46,062		59,810
Income taxes	14,464		11,410
Contingent consideration - current portion	13,187		9,725
Distributor and agent commissions	12,255		10,384
Taxes other than income taxes	11,424		8,564
Professional and consulting fees	8,752		8,020
Other	30,905		31,313
Total accrued expenses and other current liabilities	$	220,265	$	213,224

Other liabilities consisted of the following as of January 31, 2018 and 2017:



	January 31,
(in thousands)	2018		2017
Unrecognized tax benefits, including interest and penalties	$	41,014	$	28,204
Contingent consideration - long-term portion	49,149		42,708
Deferred rent expense	12,168		13,805
Obligations for severance compensation	3,028		2,880
Capital lease obligations - long-term portion	3,315		68
Other	5,791		6,694
Total other liabilities	$	114,465	$	94,359

Consolidated Statements of Operations

Other income (expense), net consisted of the following for the years ended January 31, 2018, 2017, and 2016:



	Year Ended January 31,
(in thousands)	2018			2017			2016
Foreign currency gains (losses), net	$	6,760		$	(2,743	)	$	(8,037	)
(Losses) gains on derivative financial instruments, net	(17		)	(322		)	394
Other, net	(841		)	(3,861		)	(4,634		)
Total other income (expense), net	$	5,902		$	(6,926	)	$	(12,277	)

Consolidated Statements of Cash Flows

The following table provides supplemental information regarding our consolidated cash flows for the years ended January 31, 2018, 2017, and 2016:



	Year Ended January 31,
(in thousands)	2018		2017		2016
Cash paid for interest	$	24,402	$	21,892	$	20,734
Cash payments of income taxes, net	$	23,450	$	29,582	$	17,165
Non-cash investing and financing transactions:
Liabilities for contingent consideration in business combinations	$	27,605	$	26,400	$	16,238
Capital leases of property and equipment	$	4,350	$	151	$	—
Accrued but unpaid purchases of property and equipment	$	2,367	$	2,868	$	4,562
Inventory transfers to property and equipment	$	437	$	552	$	1,142
Leasehold improvements funded by lease incentives	$	—	$	82	$	1,721

STOCKHOLDERS' EQUITY

12 Months Ended

Jan. 31, 2018

Stockholders' Equity Note [Abstract]

STOCKHOLDERS' EQUITY

STOCKHOLDERS’ EQUITY

Common Stock Dividends

We did not declare or pay any dividends on our common stock during the years ended January 31, 2018, 2017, and 2016. Under the terms of our 2017 Credit Agreement, we are subject to certain restrictions on declaring and paying dividends on our common stock.

Share Repurchase Program

On March 29, 2016, we announced that our board of directors had authorized a common stock repurchase program of up to $150 million over two years. This program expires on March 29, 2018.

Treasury Stock

Repurchased shares of common stock are recorded as treasury stock, at cost, but may from time to time be retired. At January 31, 2018, we held approximately 1,661,000 shares of treasury stock with a cost of $57.4 million. At January 31, 2017, we held approximately 1,654,000 and shares of treasury stock with a cost of $57.1 million.

During the year ended January 31, 2018 we received approximately 7,000 shares of treasury stock in a nonmonetary transaction valued at $0.3 million. During the year ended January 31, 2017 we acquired approximately 1,306,000 shares of treasury stock with a cost of $46.9 million under the aforementioned share repurchase program. We did not acquire any shares of treasury stock during the year ended January 31, 2016.

From time to time, our board of directors has approved limited programs to repurchase shares of our common stock from directors or officers in connection with the vesting of restricted stock or restricted stock units to facilitate required income tax withholding by us or the payment of required income taxes by such holders. In addition, the terms of some of our equity award agreements with all grantees provide for automatic repurchases by us for the same purpose if a vesting-related or delivery-related tax event occurs at a time when the holder is not permitted to sell shares in the market. Our stock bonus program contains similar terms. Any such repurchases of common stock occur at prevailing market prices and are recorded as treasury stock.

Accumulated Other Comprehensive Income (Loss)

Accumulated other comprehensive income (loss) includes items such as foreign currency translation adjustments and unrealized gains and losses on certain marketable securities and derivative financial instruments designated as hedges. Accumulated other comprehensive income (loss) is presented as a separate line item in the stockholders’ equity section of our consolidated balance sheets. Accumulated other comprehensive income (loss) items have no impact on our net income (loss) as presented in our consolidated statements of operations.

The following table summarizes changes in the components of our accumulated other comprehensive income (loss) by component for the years ended January 31, 2018 and 2017:



(in thousands)	Unrealized Gains (Losses) on Derivative Financial Instruments Designated as Hedges			Unrealized Gain on Interest Rate Swap Designated as Hedge			Unrealized Gains (Losses) on Available-for-Sale Investments			Foreign Currency Translation Adjustments			Total
Accumulated other comprehensive loss at January 31, 2016	$	(1,871	)	$	—		$	(110	)	$	(114,213	)	$	(116,194	)
Other comprehensive loss before reclassifications	3,585			632			110			(41,850		)	(37,523		)
Amounts reclassified out of accumulated other comprehensive income (loss)	1,139			—			—			—			1,139
Net other comprehensive income (loss)	2,446			632			110			(41,850		)	(38,662		)
Accumulated other comprehensive loss at January 31, 2017	575			632			—			(156,063		)	(154,856		)
Other comprehensive income (loss) before reclassifications	8,867			(341		)	—			49,291			57,817
Amounts reclassified out of accumulated other comprehensive income (loss)	6,130			291			—			—			6,421
Net other comprehensive income (loss)	2,737			(632		)	—			49,291			51,396
Accumulated other comprehensive income (loss) at January 31, 2018	$	3,312		$	—		$	—		$	(106,772	)	$	(103,460	)

All amounts presented in the table above are net of income taxes, if applicable. The accumulated net losses in foreign currency translation adjustments primarily reflect the strengthening of the U.S. dollar against the British pound sterling, which has resulted in lower U.S. dollar-translated balances of British pound sterling-denominated goodwill and intangible assets.

The amounts reclassified out of accumulated other comprehensive income (loss) into the consolidated statement of operations, with presentation location, for the years ended January 31, 2018, 2017, and 2016 were as follows:



	Year Ended January 31,									Financial Statement Location
(in thousands)	2018			2017			2016			Financial Statement Location
Unrealized gains (losses) on derivative financial instruments:
Foreign currency forward contracts	$	621		$	108		$	(718	)	Cost of product revenue
	599			115			(672		)	Cost of service and support revenue
	3,577			651			(4,556		)	Research and development, net
	2,016			383			(2,205		)	Selling, general and administrative
	6,813			1,257			(8,151		)	Total, before income taxes
	(683		)	(118		)	1,038			(Provision) benefit for income taxes
	$	6,130		$	1,139		$	(7,113	)	Total, net of income taxes

Interest rate swap agreement	$	(254	)	$	—		$	—		Interest expense
	934			—			—			Other income (expense), net
	680			—			—			Total, before income taxes
	(389		)	—			—			Provision for income taxes
	$	291		$	—		$	—		Total, net of income taxes

RESEARCH AND DEVELOPMENT, NET

12 Months Ended

Jan. 31, 2018

Research and Development [Abstract]

RESEARCH AND DEVELOPMENT, NET

Our gross research and development expenses for the years ended January 31, 2018, 2017, and 2016, were $192.6 million, $174.6 million, and $181.7 million, respectively. Reimbursements from the IIA and other government grant programs amounted to $2.0 million, $3.5 million, and $4.0 million for the years ended January 31, 2018, 2017, and 2016, respectively, which were recorded as reductions of gross research and development expenses.

We capitalize certain costs incurred to develop our commercial software products, and we then recognize those costs within cost of product revenue as the products are sold. Activity for our capitalized software development costs for the years ended January 31, 2018, 2017, and 2016 was as follows:



	Year Ended January 31,
(in thousands)	2018			2017			2016
Capitalized software development costs, net, beginning of year	$	9,509		$	11,992		$	10,112
Software development costs capitalized during the year	3,126			2,338			5,027
Amortization of capitalized software development costs	(3,338		)	(3,341		)	(2,976		)
Impairments, foreign currency translation and other	(69		)	(1,480		)	(171		)
Capitalized software development costs, net, end of year	$	9,228		$	9,509		$	11,992

During the year ended January 31, 2017, we recorded impairment of capitalized software development costs of $1.3 million reflecting strategy changes in certain product development initiatives, due in part to acquisition of technology associated with business combinations. There were no material impairments of such costs during the years ended January 31, 2018 and 2016.

INCOME TAXES

12 Months Ended

Jan. 31, 2018

Income Tax Disclosure [Abstract]

INCOME TAXES

On December 22, 2017, the Tax Cuts and Jobs Act was enacted in the United States. The 2017 Tax Act significantly revises the Internal Revenue Code of 1986, as amended, and it includes fundamental changes to taxation of U.S. multinational corporations.

The key provisions impacting our January 31, 2018 year include a reduction of the corporate tax rate from a top marginal rate of 35% to a flat rate of 21% and the Transition Tax, which is a one-time tax on previously untaxed earnings of foreign subsidiaries at reduced rates regardless of whether the earnings are actually repatriated. As a result of the reduction of the corporate tax rate we recorded a benefit of $5.4 million related to the estimated revaluation of U.S. deferred tax items. The Transition Tax results in an estimated increase to taxable income of $230.5 million, but no impact to the tax provision. We expect to utilize a portion of our net operating loss carryforward and release the valuation allowance on the deferred tax asset for that net operating loss carryforward for a net impact of $0. Foreign earnings subject to the Transition Tax will not be subject to further U.S. taxation upon repatriation. Therefore, we may repatriate certain foreign cash, a portion of which will be subject to a withholding tax estimated to be $15 million.

Additional provisions effective beginning after January 31, 2018 which may significantly impact our effective tax rate include new limitations on the tax deductions for interest expense and executive compensation, elimination of the alternative minimum tax (“AMT”) and the ability to refund unused AMT credits over a four year periods, and new rules related to uses and limitations of net operating loss carryforwards. New international provisions add a new category of deemed income from our foreign operations, eliminates U.S. tax on foreign dividends (subject to certain restrictions), and adds a minimum tax on certain payments made to foreign related parties. We are still assessing the impact of these changes.

On December 22, 2017, the staff of the Securities and Exchange Commission issued SAB No. 118, which provides guidance on accounting for the tax effects of the 2017 Tax Act. SAB No. 118 allows registrants to record provisional amounts for a period of up to one year from the date of enactment of the 2017 Tax Act when the registrant does not have the necessary information available, prepared, or analyzed (including computations) in reasonable detail to complete the accounting for certain income tax effects of the 2017 Tax Act. Compliance with the 2017 Tax Act will require significant complex computations not previously required by U.S. tax law. In addition, it is uncertain if and to what extent various states will enact legislation to conform to the 2017 Tax Act. Because the 2017 Tax Act was passed late in the fourth quarter of our year ended January 31, 2018, and because legislative guidance and accounting interpretations are expected in the future, we consider the accounting of the Transition Tax, deferred tax remeasurement, deferred taxes on earnings of foreign subsidiaries that may be repatriated in the future, unrecognized tax benefits related to the 2017 Tax Act, and additional provisions under the 2017 Tax Act that are effective beginning after January 31, 2018 to be incomplete and therefore only consider amounts related to these items to be reasonably estimated as of January 31, 2018. We expect to refine and complete the accounting for the 2017 Tax Act during the year ending January 31, 2019 as we obtain, prepare, and analyze additional information and as additional legislative, regulatory, and accounting guidance and interpretations become available.

The components of income (loss) before provision for income taxes for the years ended January 31, 2018, 2017, and 2016 were as follows:



	Year Ended January 31,
(in thousands)	2018			2017			2016
Domestic	$	(44,502	)	$	(60,722	)	$	(43,471	)
Foreign	63,402			37,248			66,651
Total income (loss) before provision for income taxes	$	18,900		$	(23,474	)	$	23,180

The provision for income taxes for the years ended January 31, 2018, 2017, and 2016 consisted of the following:



	Year Ended January 31,
(in thousands)	2018			2017			2016
Current provision (benefit) for income taxes:
Federal	$	4,364		$	604		$	(2,997	)
State	1,215			989			1,300
Foreign	24,308			18,120			8,289
Total current provision for income taxes	29,887			19,713			6,592
Deferred provision (benefit) for income taxes:
Federal	4,734			(8,179		)	2,244
State	(58		)	(842		)	12
Foreign	(12,209		)	(7,920		)	(7,896		)
Total deferred benefit for income taxes	(7,533		)	(16,941		)	(5,640		)
Total provision for income taxes	$	22,354		$	2,772		$	952

The reconciliation of the U.S. federal statutory rate to our effective tax rate on income (loss) before provision for income taxes for the years ended January 31, 2018, 2017, and 2016 was as follows:



	Year Ended January 31,
(in thousands)	2018			2017			2016
U.S. federal statutory income tax rate	33.8		%	35.0		%	35.0		%

Income tax provision (benefit) at the U.S. federal statutory rate	$	6,394		$	(8,215	)	$	8,115
State income tax provision (benefit)	1,792			(312		)	(79		)
Foreign tax rate differential	(9,434		)	(5,794		)	(3,068		)
Tax incentives	(3,891		)	(3,507		)	(12,293		)
Valuation allowances	14,539			(3,640		)	(7,767		)
Stock-based and other compensation	(8,656		)	2,522			3,562
Non-deductible expenses	(2,091		)	5,315			6,061
Tax credits	(307		)	(112		)	(482		)
Tax contingencies	5,017			5,566			(6,281		)
Tax effects of reorganizations and liquidations	—			975			6,136
U.S. tax effects of foreign operations	8,591			9,542			7,574
Impact of the 2017 Tax Act	9,641			—			—
Other, net	759			432			(526		)
Total provision for income taxes	$	22,354		$	2,772		$	952
Effective income tax rate	118.3		%	(11.8		)%	4.1		%

The table above reflects a January 31, 2018 U.S. federal statutory income tax rate of 33.8% due to the 2017 Tax Act. The 2017 Tax Act includes a reduction of the corporate tax rate from a top marginal rate of 35% to a flat rate of 21%. Section 15 of the Internal Revenue Code stipulates that our fiscal year ending January 31, 2018 will have a blended corporate tax rate of 33.8% which is based on the applicable tax rates before and after the 2017 Tax Act and the number of days in the year.

Our operations in Israel have been granted “Approved Enterprise” (“AE”) status by the Investment Center of the Israeli Ministry of Industry, Trade and Labor, which makes us eligible for tax benefits under the Israeli Law for Encouragement of Capital Investments, 1959. Under the terms of the program, income attributable to an approved enterprise is exempt from income tax for a period of two years and is subject to a reduced income tax rate for the subsequent five to eight years (generally 10% - 25%, depending on the percentage of foreign investment in the company). In addition, certain operations in Cyprus qualify for favorable tax treatment under the Cypriot Intellectual Property Regime (“IP Regime”). This legislation exempts 80% of income and gains derived from patents, copyrights, and trademarks from taxation. These tax incentives decreased our effective tax rate by 17.8%, 12.4%, and 51.0% for the years ended January 31, 2018, 2017, and 2016, respectively. The current and prior year benefits are lower than the January 2016 benefit as a result of the Company’s taxable loss position in our Cyprus entity in the last two years. At the lower IP Regime tax rate, the deferred tax benefit of the net operating losses generated by those companies is less than it would be under the higher statutory tax rate.

Deferred tax assets and liabilities consisted of the following at January 31, 2018 and 2017:



	January 31,
(in thousands)	2018			2017
Deferred tax assets:
Accrued expenses	$	7,637		$	10,627
Deferred revenue	2,421			3,953
Loss carryforwards	47,009			125,986
Tax credits	11,935			7,972
Stock-based and other compensation	17,568			20,187
Capitalized research and development expenses	10,316			4,146
Other, net	3,749			2,672
Total deferred tax assets	100,635			175,543
Deferred tax liabilities:
Goodwill and other intangible assets	(36,977		)	(50,679		)
Unremitted earnings of foreign subsidiaries	(12,257		)	(18,215		)
Other, net	(712		)	(2,344		)
Total deferred tax liabilities	(49,946		)	(71,238		)
Valuation allowance	(55,116		)	(108,609		)
Net deferred tax liabilities	$	(4,427	)	$	(4,304	)

Recorded as:
Deferred tax assets	$	30,878		$	21,510
Deferred tax liabilities	(35,305		)	(25,814		)
Net deferred tax liabilities	$	(4,427	)	$	(4,304	)

As of January 31, 2018 we remeasured our U.S. federal deferred tax assets and liabilities, and related valuation allowances, using a rate of 21% in accordance with the 2017 Tax Act. The January 31, 2018 deferred tax asset for loss carryforward reflects the use of U.S. federal NOL carryforwards to offset the Transition Tax imposed under the 2017 Tax Act. The reduction of the corporate rate caused an estimated reduction in net deferred tax assets of $65.4 million and a reduction to valuation allowance of $70.8 million. As of January 31, 2018 we continue to record U.S. federal alternative minimum tax credit carryforwards as deferred tax assets

At January 31, 2018, we had U.S. federal NOL carryforwards of approximately $428.0 million. This amount reflects a reduction for the utilization of U.S. federal NOL carryforwards of $230.5 million to offset the Transition Tax imposed under the 2017 Tax Act. These loss carryforwards expire in various years ending from January 31, 2028 to January 31, 2037. We had state NOL carryforwards of approximately $242.5 million, expiring in years ending from January 31, 2019 to January 31, 2036. We had foreign NOL carryforwards of approximately $68.0 million. At January 31, 2018, all but $11.0 million of these foreign loss carryforwards had indefinite carryforward periods. Certain of these federal, state, and foreign loss carryforwards and credits are subject to Internal Revenue Code Section 382 or similar provisions, which impose limitations on their utilization following certain changes in ownership of the entity generating the loss carryforward. As a result of the adoption of ASU No. 2016-09, which amends the accounting for stock-based compensation, as of January 31, 2018 there is an increase of the recorded NOL of $49.7 million. We had U.S. federal, state, and foreign tax credit carryforwards of approximately $16.2 million at January 31, 2018, the utilization of which is subject to limitation. At January 31, 2018, approximately $8.0 million of these tax credit carryforwards may be carried forward indefinitely. The balance of $8.2 million expires in various years ending from January 31, 2019 to January 31, 2034.

We currently intend to indefinitely reinvest a portion of the earnings of our foreign subsidiaries to finance foreign activities. Except to the extent of the U.S. tax provided under the 2017 Tax Act and withholding taxes of $15.0 million accrued on certain identified cash that may be repatriated to the U.S., we have not provided tax on the outside basis difference of foreign subsidiaries nor have we provided for any additional withholding or other tax that may be applicable should a future distribution be made from any unremitted earnings of foreign subsidiaries. Due to complexities in the laws of the foreign jurisdictions and the assumptions that would have to be made, it is not practicable to estimate the total amount of income and withholding taxes that would have to be provided on such earnings.

As required by the authoritative guidance on accounting for income taxes, we evaluate the realizability of deferred tax assets on a jurisdictional basis at each reporting date. Accounting for income taxes guidance requires that a valuation allowance be established when it is more likely than not that all or a portion of the deferred tax assets will not be realized. In circumstances where there is sufficient negative evidence indicating that the deferred tax assets are not more likely than not realizable, we establish a valuation allowance. We have recorded valuation allowances in the amounts of $55.1 million and $108.6 million at January 31, 2018 and 2017, respectively.

Activity in the recorded valuation allowance consisted of the following for the years ended January 31, 2018 and 2017:



	Year Ended January 31,
(in thousands)	2018			2017
Valuation allowance, beginning of year	$	(108,609	)	$	(115,756	)
(Benefit from) provision for income taxes	2,868			3,640
Adoption of ASU No. 2016-09	(17,407		)	—
Impact of 2017 Tax Act	70,832			—
Additional paid-in capital	—			3,204
Business combinations	(2,061		)	—
Currency translation adjustment	(739		)	303
Valuation allowance, end of year	$	(55,116	)	$	(108,609	)

In accordance with the authoritative guidance on accounting for uncertainty in income taxes, differences between the amount of tax benefits taken or expected to be taken in our income tax returns and the amount of tax benefits recognized in our financial statements, determined by applying the prescribed methodologies of accounting for uncertainty in income taxes, represent our unrecognized income tax benefits, which we either record as a liability or as a reduction of deferred tax assets.

For the years ended January 31, 2018, 2017, and 2016, the aggregate changes in the balance of gross unrecognized tax benefits were as follows:



	Year Ended January 31,
(in thousands)	2018			2017			2016
Gross unrecognized tax benefits, beginning of year	$	148,639		$	142,271		$	159,648
Increases related to tax positions taken during the current year	12,260			11,034			9,465
Increases as a result of business combinations	43			—			985
Increases related to tax positions taken during prior years	9,226			585			2,514
Increases (decreases) related to foreign currency exchange rates	2,449			648			(741		)
Reductions for tax positions of prior years	(8,266		)	(5,094		)	(13,613		)
Reductions for settlements with tax authorities	(140		)	(145		)	(13,811		)
Reduction for rate change due to the 2017 Tax Act	(48,004		)	—			—
Lapses of statutes of limitations	(498		)	(660		)	(2,176		)
Gross unrecognized tax benefits, end of year	$	115,709		$	148,639		$	142,271

As of January 31, 2018, we had $115.7 million of unrecognized tax benefits, of which $105.4 million represents the amount that, if recognized, would impact the effective income tax rate in future periods. We recorded $1.5 million of tax expense, $0.5 million of tax expense, and $4.4 million of tax benefit for interest and penalties related to uncertain tax positions in our provision for income taxes for the years ended January 31, 2018, 2017, and 2016, respectively. Accrued liabilities for interest and penalties were $5.6 million and $3.9 million at January 31, 2018 and 2017, respectively. Interest and penalties (expense and/or benefit) are recorded as a component of the provision (benefit) for income taxes in the consolidated financial statements.

Our income tax returns are subject to ongoing tax examinations in several jurisdictions in which we operate. In Israel, we are no longer subject to income tax examination for years prior to January 31, 2014. In the United Kingdom, with the exception of years which are currently under examination, we are no longer subject to income tax examination for years prior to January 31, 2016. In the U.S., our federal returns are no longer subject to income tax examination for years prior to January 31, 2015. However, to the extent we generated NOLs or tax credits in closed tax years, future use of the NOL or tax credit carry forward balance would be subject to examination within the relevant statute of limitations for the year in which utilized.

As of January 31, 2018, income tax returns are under examination in the following significant tax jurisdictions:



Jurisdiction		Tax Years
Canada		January 31, 2011 - January 31, 2012
United Kingdom		December 31, 2006; January 31, 2008
India		March 31, 2007 - March 31, 2008; March 31, 2010 - March 31, 2013
Israel		January 31, 2014 - January 31, 2016

We regularly assess the adequacy of our provisions for income tax contingencies. As a result, we may adjust the reserves for unrecognized tax benefits for the impact of new facts and developments, such as changes to interpretations of relevant tax law, assessments from taxing authorities, settlements with taxing authorities, and lapses of statutes of expiration. We believe that it is reasonably possible that the total amount of unrecognized tax benefits at January 31, 2018 could decrease by approximately $6.9 million in the next twelve months as a result of settlement of certain tax audits or lapses of statutes of limitation. Such decreases may involve the payment of additional taxes, the adjustment of certain deferred taxes including the need for additional valuation allowances and the recognition of tax benefits.

FAIR VALUE MEASUREMENTS

12 Months Ended

Jan. 31, 2018

Fair Value Disclosures [Abstract]

FAIR VALUE MEASUREMENTS

Assets and Liabilities Measured at Fair Value on a Recurring Basis

Our assets and liabilities measured at fair value on a recurring basis consisted of the following as of January 31, 2018 and 2017:



	January 31, 2018
	Fair Value Hierarchy Category
(in thousands)	Level 1		Level 2		Level 3
Assets:
Money market funds	$	186	$	—	$	—
Short-term investments, classified as available-for-sale	—		2,002		—
Foreign currency forward contracts	—		3,682		—
Interest rate swap agreement	—		2,580		—
Total assets	$	186	$	8,264	$	—
Liabilities:
Foreign currency forward contracts	$	—	$	1,308	$	—
Contingent consideration - business combinations	—		—		62,829
Option to acquire noncontrolling interests of consolidated subsidiaries	—		—		2,950
Total liabilities	$	—	$	1,308	$	65,779



	January 31, 2017
	Fair Value Hierarchy Category
(in thousands)	Level 1		Level 2		Level 3
Assets:
Money market funds	$	175	$	—	$	—
Foreign currency forward contracts	—		1,646		—
Interest rate swap agreement	—		1,429		—
Total assets	$	175	$	3,075	$	—
Liabilities:
Foreign currency forward contracts	$	—	$	1,246	$	—
Interest rate swap agreement	—		408		—
Contingent consideration - business combinations	—		—		52,733
Option to acquire noncontrolling interests of consolidated subsidiaries	—		—		3,550
Total liabilities	$	—	$	1,654	$	56,283

The following table presents the changes in the estimated fair values of our liabilities for contingent consideration measured using significant unobservable inputs (Level 3) for the years ended January 31, 2018 and 2017:



	Year Ended January 31,
(in thousands)	2018			2017
Fair value measurement, beginning of year	$	52,733		$	22,391
Contingent consideration liabilities recorded for business combinations	27,604			26,400
Changes in fair values, recorded in operating expenses	(8,324		)	7,255
Payments of contingent consideration	(9,412		)	(3,313		)
Foreign currency translation and other	228			—
Fair value measurement, end of year	$	62,829		$	52,733

Our estimated liability for contingent consideration represents potential payments of additional consideration for business combinations, payable if certain defined performance goals are achieved. Changes in fair value of contingent consideration are recorded in the consolidated statements of operations within selling, general and administrative expenses.

During the year ended January 31, 2017, we acquired two majority owned subsidiaries for which we hold an option to acquire the noncontrolling interests. We account for the option as an in-substance investment in the noncontrolling common stock of each such subsidiary. We include the fair value of the option within other liabilities and do not recognize noncontrolling interests in these subsidiaries. The following table presents the change in the estimated fair value of this liability, which is measured using Level 3 inputs, for the years ended January 31, 2018 and 2017:



	Year Ended January 31,
(in thousands)	2018			2017
Fair value measurement, beginning of year	$	3,550		$	—
Acquisition of option to acquire noncontrolling interests of consolidated subsidiaries	—			3,134
Change in fair value, recorded in operating expenses	(600		)	416
Fair value measurement, end of year	$	2,950		$	3,550

There were no transfers between levels of the fair value measurement hierarchy during the years ended January 31, 2018 and 2017.

Fair Value Measurements

Money Market Funds - We value our money market funds using quoted active market prices for such funds.

Short-term Investments, Corporate Debt Securities, and Commercial Paper - The fair values of short-term investments, as well as corporate debt securities and commercial paper classified as cash equivalents, are estimated using observable market prices for identical securities that are traded in less-active markets, if available. When observable market prices for identical securities are not available, we value these short-term investments using non-binding market price quotes from brokers which we review for reasonableness using observable market data; quoted market prices for similar instruments; or pricing models, such as a discounted cash flow model.

Foreign Currency Forward Contracts - The estimated fair value of foreign currency forward contracts is based on quotes received from the counterparties thereto. These quotes are reviewed for reasonableness by discounting the future estimated cash flows under the contracts, considering the terms and maturities of the contracts and market foreign currency exchange rates using readily observable market prices for similar contracts.

Interest Rate Swap Agreement - The fair value of our interest rate swap agreement is based in part on data received from the counterparty, and represents the estimated amount we would receive or pay to settle the agreement, taking into consideration current and projected future interest rates as well as the creditworthiness of the parties, all of which can be validated through readily observable data from external sources.

Contingent Consideration - Business Combinations - The fair value of the contingent consideration related to business combinations is estimated using a probability-adjusted discounted cash flow model. These fair value measurements are based on significant inputs not observable in the market. The key internally developed assumptions used in these models are discount rates and the probabilities assigned to the milestones to be achieved. We remeasure the fair value of the contingent consideration at each reporting period, and any changes in fair value resulting from either the passage of time or events occurring after the acquisition date, such as changes in discount rates, or in the expectations of achieving the performance targets, are recorded within selling, general, and administrative expenses. Increases or decreases in discount rates would have inverse impacts on the related fair value measurements, while favorable or unfavorable changes in expectations of achieving performance targets would result in corresponding increases or decreases in the related fair value measurements. We utilized discount rates ranging from 3.0% to 5.0% in our calculations of the estimated fair values of our contingent consideration liabilities as of January 31, 2018. We utilized discount rates ranging from 3.0% to 20.0% in our calculations of the estimated fair values of our contingent consideration liabilities as of January 31, 2017.

Option to Acquire Noncontrolling Interests of Consolidated Subsidiaries - The fair value of the option is determined primarily by using the income approach, which discounts expected future cash flows to present value using estimates and assumptions determined by management. This fair value measurement is based upon significant inputs not observable in the market. We remeasure the fair value of the option at each reporting period, and any changes in fair value are recorded within selling, general, and administrative expenses. We utilized discount rates of 13.5% and 14.0% in our calculation of the estimated fair value of the option as of January 31, 2018 and 2017, respectively.

Other Financial Instruments

The carrying amounts of accounts receivable, accounts payable, and accrued liabilities and other current liabilities approximate fair value due to their short maturities.

The estimated fair values of our term loan borrowings were $425 million and $410 million at January 31, 2018 and 2017, respectively. The estimated fair values of the term loans are based upon indicative bid and ask prices as determined by the agent responsible for the syndication of our term loans. We consider these inputs to be within Level 3 of the fair value hierarchy because we cannot reasonably observe activity in the limited market in which participations in our term loans are traded. The indicative prices provided to us as at each of January 31, 2018 and 2017 did not significantly differ from par value. The estimated fair value of our revolving credit borrowings, if any, is based upon indicative market values provided by one of our lenders. We had no revolving credit borrowings at January 31, 2018 and 2017.

The estimated fair values of our Notes were approximately $389 million and $381 million at January 31, 2018 and 2017, respectively. The estimated fair value of the Notes is determined based on quoted bid and ask prices in the over-the-counter market in which the Notes trade. We consider these inputs to be within Level 2 of the fair value hierarchy.

Assets and Liabilities Not Measured at Fair Value on a Recurring Basis

In addition to assets and liabilities that are measured at fair value on a recurring basis, we also measure certain assets and liabilities at fair value on a nonrecurring basis. Our non-financial assets, including goodwill, intangible assets and property, plant and equipment, are measured at fair value when there is an indication of impairment and the carrying amount exceeds the asset’s projected undiscounted cash flows. These assets are recorded at fair value only when an impairment charge is recognized. Further details regarding our regular impairment reviews appear in Note 1, “Summary of Significant Accounting Policies”.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

DERIVATIVE FINANCIAL INSTRUMENTS

12 Months Ended

Jan. 31, 2018

Derivative Instruments and Hedging Activities Disclosure [Abstract]

DERIVATIVE FINANCIAL INSTRUMENTS

Our primary objective for holding derivative financial instruments is to manage foreign currency exchange rate risk and interest rate risk, when deemed appropriate. We enter into these contracts in the normal course of business to mitigate risks and not for speculative purposes.

Foreign Currency Forward Contracts

Under our risk management strategy, we periodically use foreign currency forward contracts to manage our short-term exposures to fluctuations in operational cash flows resulting from changes in foreign currency exchange rates. These cash flow exposures result from portions of our forecasted operating expenses, primarily compensation and related expenses, which are transacted in currencies other than the U.S. dollar, most notably the Israeli shekel. We also periodically utilize foreign currency forward contracts to manage exposures resulting from forecasted customer collections to be remitted in currencies other than the applicable functional currency, and exposures from cash, cash equivalents and short-term investments denominated in currencies other than the applicable functional currency. These foreign currency forward contracts generally have maturities of no longer than twelve months, although occasionally we will execute a contract that extends beyond twelve months, depending upon the nature of the underlying risk.

We held outstanding foreign currency forward contracts with notional amounts of $153.5 million and $144.0 million as of January 31, 2018 and 2017, respectively.

Interest Rate Swap Agreement

To partially mitigate risks associated with the variable interest rates on the term loan borrowings under the Prior Credit Agreement, in February 2016, we executed a pay-fixed, receive-variable interest rate swap agreement with a multinational financial institution under which we pay interest at a fixed rate of 4.143% and receive variable interest of three-month LIBOR (subject to a minimum of 0.75%), plus a spread of 2.75%, on a notional amount of $200.0 million. Although the Prior Credit Agreement was terminated on June 29, 2017, the interest rate swap agreement remains in effect, and serves as an economic hedge to partially mitigate the risk of higher borrowing costs under the 2017 Credit Agreement resulting from increases in market interest rates. The effective date of the agreement was November 1, 2016, and settlements with the counterparty began on February 1, 2017 and occur on a quarterly basis. The agreement will terminate on September 6, 2019.

Prior to June 29, 2017, the interest rate swap agreement was designated as a cash flow hedge and as such, changes in its fair value were recognized in accumulated other comprehensive income (loss) in the consolidated balance sheet and were reclassified into the statement of operations within interest expense in the period in which the hedged transaction affected earnings. Hedge ineffectiveness, if any, was recognized currently in the consolidated statement of operations.

On June 29, 2017, concurrent with the execution of the 2017 Credit Agreement and termination of the Prior Credit Agreement, the interest rate swap agreement was no longer designated as a cash flow hedge for accounting purposes, and because future occurrence of the specific forecasted variable cash flows which had been hedged by the interest rate swap agreement was no longer probable, the $0.9 million fair value of the interest rate swap at that date was reclassified from accumulated other comprehensive income (loss) into the consolidated statement of operations as income within other income (expense), net. Ongoing changes in the fair value of the interest rate swap agreement are now recognized within other income (expense), net in the consolidated statement of operations.

Fair Values of Derivative Financial Instruments

The fair values of our derivative financial instruments and their classifications in our consolidated balance sheets as of January 31, 2018 and 2017 were as follows:



		January 31,
(in thousands)	Balance Sheet Classification	2018		2017
Derivative assets:
Foreign currency forward contracts:
Designated as cash flow hedges	Prepaid expenses and other current assets	$	3,682	$	927
Not designated as hedging instruments	Prepaid expenses and other current assets	—		719
Interest rate swap agreement:
Designated as a cash flow hedge	Other assets	—		1,429
Not designated as a hedging instrument	Prepaid expenses and other current assets	1,330		—
	Other assets	1,250		—
Total derivative assets		$	5,012	$	3,075

Derivative liabilities:
Foreign currency forward contracts:
Designated as cash flow hedges	Accrued expenses and other current liabilities	$	—	$	288
Not designated as hedging instruments	Accrued expenses and other current liabilities	1,061		958
	Other liabilities	247		—
Interest rate swap agreement:
Designated as a cash flow hedge	Accrued expenses and other current liabilities	—		408
Total derivative liabilities		$	1,308	$	1,654

Derivative Financial Instruments in Cash Flow Hedging Relationships

The effects of derivative financial instruments designated as cash flow hedges on accumulated other comprehensive loss (“AOCL”) and on the consolidated statement of operations for the years ended January 31, 2018, 2017, and 2016 were as follows:



	Year Ended January 31,
(in thousands)	2018			2017		2016
Net gains (losses) recognized in Other comprehensive (loss) income:
Foreign currency forward contracts	$	3,312		$	575	$	(1,871	)
Interest rate swap agreement	(341		)	632		—
	$	2,971		$	1,207	$	(1,871	)
Net gains (losses) reclassified from Other comprehensive (loss) income to the consolidated statements of operations:
Foreign currency forward contracts	$	6,813		$	1,257	$	(8,151	)
Interest rate swap agreement	(254		)	—		—
	$	6,559		$	1,257	$	(8,151	)

For information regarding the line item locations of the net gains (losses) on derivative financial instruments reclassified out of AOCL into the consolidated statements of operations, see Note 8, “Stockholders’ Equity”.

There were no gains or losses from ineffectiveness of these cash flow hedges recorded for the years ended January 31, 2018, 2017, and 2016. All of the foreign currency forward contracts underlying the $3.3 million of net unrealized gains recorded in our accumulated other comprehensive loss at January 31, 2018 mature within twelve months, and therefore we expect all such gains to be reclassified into earnings within the next twelve months.

Derivative Financial Instruments Not Designated as Hedging Instruments

(Losses) gains recognized on derivative financial instruments not designated as hedging instruments in our consolidated statements of operations for the years ended January 31, 2018, 2017, and 2016 were as follows:



	Classification in Consolidated Statements of Operations	Year Ended January 31,
(in thousands)	Classification in Consolidated Statements of Operations	2018			2017			2016
Foreign currency forward contracts	Other (expense) income, net	$	(2,546	)	$	(323	)	$	394
Interest rate swap	Other (expense) income, net	2,529			—			—
		$	(17	)	$	(323	)	$	394

STOCK-BASED COMPENSATION AND OTHER BENEFIT PLANS

12 Months Ended

Jan. 31, 2018

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

STOCK-BASED COMPENSATION AND OTHER BENEFIT PLANS

Stock-Based Compensation Plans

Plan Summaries

We issue stock-based incentive awards to eligible employees, directors and consultants, including restricted stock units (“RSUs”), performance stock units (“PSUs”), stock options (both incentive and non-qualified), and other awards, under the terms of our outstanding stock benefit plans (the “Plans” or “Stock Plans”) and/or forms of equity award agreements approved by our board of directors.

Awards are generally subject to multi-year vesting periods. We recognize compensation expense for awards on a straight-line basis over the requisite service periods of the awards, which are generally the vesting periods, reduced by estimated forfeitures. Upon issuance of restricted stock, exercise of stock options, or issuance of shares under the Plans, we generally issue new shares of common stock, but occasionally may issue treasury shares.

Amended and Restated Stock-Based Compensation Plan

On June 22, 2017, our stockholders approved the Verint Systems Inc. Amended and Restated 2015 Long-Term Stock Incentive Plan (the “2017 Amended Plan”), which amended and restated the Verint Systems Inc. 2015 Long-Term Stock Incentive Plan (the “2015 Plan”). As with the 2015 Plan, the 2017 Amended Plan authorizes our board of directors to provide equity-based compensation in the form of stock options, stock appreciation rights, restricted stock, restricted stock units, performance awards, other stock-based awards, and performance compensation awards.

The 2017 Amended Plan amends and restates the 2015 Plan to, among other things, increase the number of shares available for issuance under the 2017 Amended Plan. Subject to adjustment as provided in the 2017 Amended Plan, up to an aggregate of (i) 7,975,000 shares of our common stock (on an option-equivalent basis), plus (ii) the number of shares of our common stock available for issuance under the 2015 Plan as of June 22, 2017, plus (iii) the number of shares of our common stock that become available for issuance as a result of awards made under the 2015 Plan or the 2017 Amended Plan that are forfeited, cancelled, exchanged, withheld or surrendered or terminate or expire, may be issued or transferred in connection with awards under the 2017 Amended Plan. Each stock option or stock-settled stock appreciation right granted under the 2017 Amended Plan will reduce the available plan capacity by one share and each other award will reduce the available plan capacity by 2.47 shares.

The 2017 Amended Plan expires on June 22, 2027.

Stock-Based Compensation Expense

We recognized stock-based compensation expense in the following line items on the consolidated statements of operations for the years ended January 31, 2018, 2017, and 2016:



	Year Ended January 31,
(in thousands)	2018		2017		2016
Component of (loss) income before provision (benefit) for income taxes:
Cost of revenue - product	$	1,561	$	1,290	$	1,466
Cost of revenue - service and support	6,904		7,297		5,719
Research and development, net	13,144		11,637		9,195
Selling, general and administrative	47,757		45,384		48,169
Total stock-based compensation expense	69,366		65,608		64,549
Income tax benefits related to stock-based compensation (before consideration of valuation allowances)	16,504		15,752		14,385
Total stock-based compensation, net of taxes	$	52,862	$	49,856	$	50,164

Total stock-based compensation expense by type of award was as follows for the years ended January 31, 2018, 2017, and 2016:



	Year Ended January 31,
(in thousands)	2018		2017		2016
Restricted stock units and restricted stock awards	$	57,188	$	55,123	$	58,028
Stock bonus program and bonus share program	12,108		10,298		6,359
Total equity-settled awards	69,296		65,421		64,387
Phantom stock units (cash-settled awards)	70		187		162
Total stock-based compensation expense	$	69,366	$	65,608	$	64,549

Awards under our stock bonus and bonus share programs are accounted for as liability-classified awards, because the obligations are based predominantly on fixed monetary amounts that are generally known at inception of the obligation, to be settled with a variable number of shares of our common stock.

Effective with our adoption of ASU No. 2016-09 effective February 1, 2017, we recorded $0.5 million of net excess tax deficiencies resulting from our Stock Plans as a component of income tax expense for the year ended January 31, 2018. Net excess tax deficiencies of $0.7 million and net excess tax benefits of $0.5 million resulting from our Stock Plans were recorded as a decrease or increase to additional paid-in capital for the years ended January 31, 2017 and 2016, respectively.

Restricted Stock Units and Performance Stock Units

We periodically award RSUs to our directors, officers, and other employees. The fair value of these awards is equivalent to the market value of our common stock on the grant date. RSUs are not shares of our common stock and do not have any of the rights or privileges thereof, including voting or dividend rights. On the applicable vesting date, the holder of an RSU becomes entitled to a share of our common stock. RSUs are subject to certain restrictions and forfeiture provisions prior to vesting.

We periodically award PSUs to executive officers and certain employees that vest upon the achievement of specified performance goals or market conditions. We separately recognize compensation expense for each tranche of a PSU award as if it were a separate award with its own vesting date. For certain PSUs, an accounting grant date may be established prior to the requisite service period.

Once a performance vesting condition has been defined and communicated, and the requisite service period has begun, our estimate of the fair value of PSUs requires an assessment of the probability that the specified performance criteria will be achieved, which we update at each reporting date and adjust our estimate of the fair value of the PSUs, if necessary. All compensation expense for PSUs with market conditions is recognized if the requisite service period is fulfilled, even if the market condition is not satisfied.

RSUs and PSUs that are expected to settle with cash payments upon vesting, if any, are reflected as liabilities on our consolidated balance sheets. Such RSUs and PSUs were insignificant at January 31, 2018 and 2017.

The following table (“Award Activity Table”) summarizes activity for RSUs, PSUs, and other stock awards that reduce available Plan capacity under the Plans for the years ended January 31, 2018, 2017, and 2016:



	Year Ended January 31,
	2018				2017				2016
(in thousands, except grant date fair values)	Shares or Units		Weighted-Average Grant-Date Fair Value		Shares or Units		Weighted-Average Grant-Date Fair Value		Shares or Units		Weighted-Average Grant-Date Fair Value
Beginning balance	2,742		$	45.20	2,649		$	54.57	2,545		$	40.96
Granted	1,804		$	40.19	1,870		$	35.33	1,729		$	62.62
Released	(1,403	)	$	45.96	(1,433	)	$	47.98	(1,312	)	$	39.75
Forfeited	(335	)	$	48.92	(344	)	$	52.20	(313	)	$	50.56
Ending balance	2,808		$	41.18	2,742		$	45.20	2,649		$	54.57

With respect to our stock bonus program, activity presented in the table above only includes shares earned and released in consideration of the discount provided under that program. Consistent with the provisions of the Plans under which such shares are issued, other shares issued under the stock bonus program are not included in the table above because they do not reduce available plan capacity (since such shares are deemed to be purchased by the grantee at fair value in lieu of receiving an earned cash bonus). Activity presented in the table above includes all shares awarded and released under the bonus share program. Further details appear below under “Stock Bonus Program” and “Bonus Share Program”.

The following table summarizes PSU activity in isolation under the Plans for the years ended January 31, 2018, 2017, and 2016 (these amounts are already included in the Award Activity Table above):



	Year Ended January 31,
(in thousands)	2018		2017		2016
Beginning balance	438		332		497
Granted	204		312		195
Released	(50	)	(159	)	(239	)
Forfeited	(86	)	(47	)	(121	)
Ending balance	506		438		332

Excluding PSUs, we granted 1,600,000 RSUs during the year ended January 31, 2018.

As of January 31, 2018, unrecognized compensation expense related to unvested RSUs and PSUs expected to vest subsequent to January 31, 2018 was approximately $63.6 million, with remaining weighted-average vesting periods of approximately 1.6 years, over which such expense is expected to be recognized. The unrecognized compensation expense does not include compensation expense of up to $1.1 million, related to shares for which a grant date has been established but the requisite service period has not begun. The total fair values of RSUs and PSUs vested during the years ended January 31, 2018, 2017, and 2016 were $64.5 million, $68.7 million, and $52.2 million, respectively.

Stock Options

We did not grant stock options during the years ended January 31, 2018, 2017, and 2016, and activity from stock options awarded in prior periods was not material during these years.

Phantom Stock Units

We have periodically issued phantom stock units to certain employees that settle, or are expected to settle, with cash payments upon vesting. Like equity-settled awards, phantom stock units are awarded with vesting conditions and are subject to certain forfeiture provisions prior to vesting.

Phantom stock unit activity for the years ended January 31, 2018, 2017, and 2016 was not significant.

Stock Bonus Program

Our stock bonus program permits eligible employees to receive a portion of their earned bonuses, otherwise payable in cash, in the form of discounted shares of our common stock. Executive officers are eligible to participate in this program to the extent that shares remained available for awards following the enrollment of all other participants. Shares awarded to executive officers with respect to the discount feature of the program are subject to a one-year vesting period. This program is subject to annual funding approval by our board of directors and an annual cap on the number of shares that can be issued. Subject to these limitations, the number of shares to be issued under the program for a given year is determined using a five-day trailing average price of our common stock when the awards are calculated, reduced by a discount to be determined by the board of directors each year (the “discount”). To the extent that this program is not funded in a given year or the number of shares of common stock needed to fully satisfy employee enrollment exceeds the annual cap, the applicable portion of the employee bonuses will generally revert to being paid in cash. Obligations under this program are accounted for as liabilities, because the obligations are based predominantly on fixed monetary amounts that are generally known at inception of the obligation, to be settled with a variable number of shares of common stock determined using a discounted average price of our common stock.

The following table summarizes activity under the stock bonus program for the years ended January 31, 2018, 2017, and 2016 in isolation. As noted above, shares issued in respect of the discount feature under the program reduce available plan capacity and are included in the Award Activity Table above. Other shares issued under the program do not reduce available plan capacity and are therefore excluded from the Award Activity Table above.



	Year Ended January 31,
(in thousands)	2018	2017	2016
Shares in lieu of earned cash bonus - granted and released	21	25	43
Shares in respect of discount:
Granted	—	—	7
Released	—	—	5

Awards under the stock bonus program for the performance period ended January 31, 2018 will consist of shares earned in respect of executive officer incentive plans and will be awarded without a discount, and are expected to be issued during the first half of the year ending January 31, 2019.

In March 2018, our board of directors approved up to 125,000 shares of common stock, and a discount of 15%, for awards under our stock bonus program for the year ending January 31, 2019. Executive officers will be permitted to participate in this program for the year ending January 31, 2019, but only to the extent that shares remain available for awards following the enrollment of all other participants. Shares awarded to executive officers with respect to the 15% discount will be subject to a one-year vesting period.

Bonus Share Program

Under our bonus share program, we may provide discretionary year-end bonuses to employees or pay earned bonuses that are outside the stock bonus program in the form of shares of common stock. Unlike the stock bonus program, there is no enrollment for this program and no discount feature. Similar to the accounting for the stock bonus program, obligations for these bonuses are accounted for as liabilities, because the obligations are based predominantly on fixed monetary amounts that are generally known, to be settled with a variable number of shares of common stock.

During the year ended January 31, 2017, approximately 171,000 shares of common stock were awarded and released under the bonus share program in respect of the performance period ended January 31, 2016.

During the year ended January 31, 2018, approximately 293,000 shares of common stock were awarded and released under the bonus share program in respect of the performance period ended January 31, 2017.

For bonuses in respect of the year ended January 31, 2018, our board of directors has approved the use of up to 300,000 shares of common stock under this program, reduced by any shares used under the stock bonus program in respect of the performance period ended January 31, 2018.

For bonuses in respect of the year ending January 31, 2019, our board of directors has approved the use of up to 300,000 shares of common stock under this program, reduced by any shares used under the stock bonus program in respect of the performance period ending January 31, 2019.

The combined accrued liabilities for the stock bonus program and the bonus share program were $9.2 million and $10.0 million at January 31, 2018 and 2017, respectively.

Other Benefit Plans

401(k) Plan and Other Retirement Plans

We maintain a 401(k) Plan for our full-time employees in the United States. The plan allows eligible employees who attain the age of 21 beginning with the first of the month following their date of hire to elect to contribute up to 60% of their annual compensation, subject to the prescribed maximum amount. We match employee contributions at a rate of 50%, up to a maximum annual matched contribution of $2,000 per employee.

Employee contributions are always fully vested, while our matching contributions for each year vest on the last day of the calendar year provided the employee remains employed with us on that day.

Our matching contribution expenses for our 401(k) Plan were $2.5 million, $2.6 million, and $2.2 million for the years ended January 31, 2018, 2017, and 2016, respectively.

We provide retirement benefits for non-U.S. employees as required by local laws or to a greater extent as we deem appropriate through plans that function similar to 401(k) plans. Funding requirements for programs required by local laws are determined on an individual country and plan basis and are subject to local country practices and market circumstances.

Severance Pay

We are obligated to make severance payments for the benefit of certain employees of our foreign subsidiaries. Severance payments made to Israeli employees are considered significant compared to all other subsidiaries with severance payment arrangements. Under Israeli law, we are obligated to make severance payments to employees of our Israeli subsidiaries, subject to certain conditions. In most cases, our liability for these severance payments is fully provided for by regular deposits to funds administered by insurance providers and by an accrual for the amount of our liability which has not yet been deposited.

Severance expenses for the years ended January 31, 2018, 2017, and 2016 were $7.1 million, $6.4 million, and $7.2 million, respectively.

COMMITMENTS AND CONTINGENCIES

12 Months Ended

Jan. 31, 2018

Commitments and Contingencies Disclosure [Abstract]

COMMITMENTS AND CONTINGENCIES

Operating and Capital Leases

We lease office, manufacturing, and warehouse space, as well as certain equipment, under non-cancelable operating lease agreements. We have also periodically entered into capital leases. Terms of the leases, including renewal options and escalation clauses, vary by lease.

Rent expense incurred under all operating leases was $26.1 million, $25.6 million, and $19.4 million for the years ended January 31, 2018, 2017, and 2016, respectively.

As of January 31, 2018, our minimum future rent obligations under non-cancelable operating and capital leases with initial or remaining terms in excess of one year were as follows:



(in thousands)	Operating		Capital
Years Ending January 31,	Leases		Leases
2019	$	21,497	$	1,171
2020	16,788		1,081
2021	15,435		972
2022	13,583		875
2023	12,203		600
Thereafter	37,126		—
Total	$	116,632	4,699
Less: amount representing interest			(349		)
Present value of minimum lease payments			$	4,350

We sublease certain space in our facilities to third parties. As of January 31, 2018, total expected future sublease income was $0.4 million and will range from $0.1 million to $0.3 million on an annual basis through May 2019.

Unconditional Purchase Obligations

In the ordinary course of business, we enter into certain unconditional purchase obligations, which are agreements to purchase goods or services that are enforceable, legally binding, and that specify all significant terms, including: fixed or minimum quantities to be purchased; fixed, minimum, or variable price provisions; and the approximate timing of the transaction. Our purchase orders are based on current needs and are typically fulfilled by our vendors within a relatively short time horizon.

As of January 31, 2018, our unconditional purchase obligations totaled approximately $109.4 million, the majority of which were scheduled to occur within the subsequent twelve months. Due to the relatively short life of the obligations, the carrying value approximates the fair value of these obligations at January 31, 2018.

Warranty Liability

The following table summarizes the activity in our warranty liability, which is included in accrued expenses and other current liabilities in the consolidated balance sheets, for the years ended January 31, 2018, 2017, and 2016:



	Year Ended January 31,
(in thousands)	2018			2017			2016
Warranty liability, beginning of year	$	962		$	826		$	633
Provision (credited against) charged to expenses	(165		)	797			473
Warranty charges	(260		)	(658		)	(278		)
Foreign currency translation and other	14			(3		)	(2		)
Warranty liability, end of year	$	551		$	962		$	826

We accrue for warranty costs as part of our cost of revenue based on associated product costs, labor costs, and associated overhead. Our Customer Engagement solutions are sold with a warranty of generally one year on hardware and 90 days for software. Our Cyber Intelligence solutions are sold with warranties that typically range in duration from 90 days to three years, and in some cases longer.

Licenses and Royalties

We license certain technology and pay royalties under such licenses and other agreements entered into in connection with research and development activities.

As discussed in Note 1, “Summary of Significant Accounting Policies”, we receive non-refundable grants from the IIA that fund a portion of our research and development expenditures. The Israeli law under which the IIA grants are made limits our ability to manufacture products, or transfer technologies, developed using these grants outside of Israel. If we were to seek approval to manufacture products, or transfer technologies, developed using these grants outside of Israel, we could be subject to additional royalty requirements or be required to pay certain redemption fees. If we were to violate these restrictions, we could be required to refund any grants previously received, together with interest and penalties, and may be subject to criminal penalties.

Off-Balance Sheet Risk

In the normal course of business, we provide certain customers with financial performance guarantees, which are generally backed by standby letters of credit or surety bonds. In general, we would only be liable for the amounts of these guarantees in the event that our nonperformance permits termination of the related contract by our customer, which we believe is remote. At January 31, 2018, we had approximately $92.5 million of outstanding letters of credit and surety bonds relating primarily to these performance guarantees. As of January 31, 2018, we believe we were in compliance with our performance obligations under all contracts for which there is a financial performance guarantee, and the ultimate liability, if any, incurred in connection with these guarantees will not have a material adverse effect on our consolidated results of operations, financial position, or cash flows. Our historical non-compliance with our performance obligations has been insignificant.

Indemnifications

In the normal course of business, we provide indemnifications of varying scopes to customers against claims of intellectual property infringement made by third parties arising from the use of our products. Historically, costs related to these indemnification provisions have not been significant and we are unable to estimate the maximum potential impact of these indemnification provisions on our future results of operations.

To the extent permitted under Delaware law or other applicable law, we indemnify our directors, officers, employees, and agents against claims they may become subject to by virtue of serving in such capacities for us. We also have contractual indemnification agreements with our directors, officers, and certain senior executives. The maximum amount of future payments we could be required to make under these indemnification arrangements and agreements is potentially unlimited; however, we have insurance coverage that limits our exposure and enables us to recover a portion of any future amounts paid. We are not able to estimate the fair value of these indemnification arrangements and agreements in excess of applicable insurance coverage, if any.

Legal Proceedings

On March 26, 2009, legal actions were commenced by Ms. Orit Deutsch, a former employee of our subsidiary, Verint Systems Limited (“VSL”), against VSL in the Tel Aviv Regional Labor Court (Case Number 4186/09) (the “Deutsch Labor Action”) and against Comverse Technology, Inc. (“CTI”) in the Tel Aviv District Court (Case Number 1335/09) (the “Deutsch District Action”). In the Deutsch Labor Action, Ms. Deutsch filed a motion to approve a class action lawsuit on the grounds that she purported to represent a class of our employees and former employees who were granted Verint and CTI stock options and were allegedly damaged as a result of the suspension of option exercises during the period from March 2006 through March 2010, during which we did not make periodic filings with the Securities and Exchange Commission (“SEC”) as a result of certain internal and external investigations and reviews of accounting matters discussed in our prior public filings. In the Deutsch District Action, in addition to a small amount of individual damages, Ms. Deutsch was seeking to certify a class of plaintiffs who were allegedly damaged due to their inability to exercise Verint and CTI stock options as a result of alleged negligence by CTI in its financial reporting. The class certification motions did not specify an amount of damages. On February 8, 2010, the Deutsch Labor Action was dismissed for lack of material jurisdiction and was transferred to the Tel Aviv District Court and consolidated with the Deutsch District Action.

On March 16, 2009 and March 26, 2009, respectively, legal actions were commenced by Ms. Roni Katriel, a former employee of CTI’s former subsidiary, Comverse Limited, against Comverse Limited in the Tel Aviv Regional Labor Court (Case Number 3444/09) (the “Katriel Labor Action”) and against CTI in the Tel Aviv District Court (Case Number 1334/09) (the “Katriel District Action”). In the Katriel Labor Action, Ms. Katriel was seeking to certify a class of plaintiffs who were granted CTI stock options and were allegedly damaged as a result of the suspension of option exercises during an extended filing delay period affecting CTI’s periodic reporting discussed in CTI’s historical SEC filings. In the Katriel District Action, in addition to a small amount of individual damages, Ms. Katriel was seeking to certify a class of plaintiffs who were allegedly damaged due to their inability to exercise CTI stock options as a result of alleged negligence by CTI in its financial reporting. The class certification motions did not specify an amount of damages. On March 2, 2010, the Katriel Labor Action was transferred to the Tel Aviv District Court, based on an agreed motion filed by the parties requesting such transfer.

On April 4, 2012, Ms. Deutsch and Ms. Katriel filed an uncontested motion to consolidate and amend their claims and on June 7, 2012, the District Court allowed Ms. Deutsch and Ms. Katriel to file the consolidated class certification motion and an amended consolidated complaint against VSL, CTI, and Comverse Limited. Following CTI’s announcement of its intention to effect the Comverse Share Distribution, on July 12, 2012, the plaintiffs filed a motion requesting that the District Court order CTI to set aside up to $150.0 million in assets to secure any future judgment. The District Court ruled at such time that it would not decide this motion until the Deutsch and Katriel class certification motion was heard. Plaintiffs initially filed a motion to appeal this ruling in August 2012, but subsequently withdrew it in July 2014.

Prior to the consummation of the Comverse Share Distribution, CTI either sold or transferred substantially all of its business operations and assets (other than its equity ownership interests in us and its then-subsidiary, Comverse, Inc.) to Comverse, Inc. or unaffiliated third parties. On October 31, 2012, CTI completed the Comverse Share Distribution, in which it distributed all of the outstanding shares of common stock of Comverse, Inc. to CTI’s shareholders. As a result of the Comverse Share Distribution, Comverse, Inc. became an independent company and ceased to be a wholly owned subsidiary of CTI, and CTI ceased to have any material assets other than its equity interest in us. As of February 28, 2017, Mavenir Inc. became successor-in-interest to Comverse, Inc.

On February 4, 2013, we merged with CTI. As a result of the merger, we have assumed certain rights and liabilities of CTI, including any liability of CTI arising out of the Deutsch District Action and the Katriel District Action. However, under the terms of the Distribution Agreement between CTI and Comverse, Inc. relating to the Comverse Share Distribution, we, as successor to CTI, are entitled to indemnification from Comverse, Inc. (now Mavenir) for any losses we suffer in our capacity as successor-in-interest to CTI in connection with the Deutsch District Action and the Katriel District Action.

Following an unsuccessful mediation process, the proceeding before the District Court resumed. On August 28, 2016, the District Court (i) denied the plaintiffs’ motion to certify the suit as a class action with respect to all claims relating to Verint stock options and (ii) approved the plaintiffs’ motion to certify the suit as a class action with respect to claims of current or former employees of Comverse Limited (now Mavenir) or VSL who held unexercised CTI stock options at the time CTI suspended option exercises. The court also ruled that the merits of the case and any calculation of damages would be evaluated under New York law.

On December 15, 2016, CTI filed with the Supreme Court a motion for leave to appeal the District Court’s August 28, 2016 ruling. The plaintiffs did not file an appeal of the District Court’s August 28, 2016 ruling. On February 5, 2017, the District Court approved the plaintiffs’ motion to appoint a new representative plaintiff, Mr. David Vaaknin, for the current or former employees of VSL who held unexercised CTI stock options at the time CTI suspended option exercises, in replacement of Ms. Deutsch.

On August 8, 2017, the Supreme Court partially allowed CTI’s appeal and ordered the case to be returned to the District Court to determine whether a cause of action exists in this case under New York law, based on CTI’s previously submitted expert opinion and the opinion of any expert the plaintiffs elect to introduce.

On November 28, 2017, the plaintiffs submitted an expert opinion regarding New York law. On January 3, 2018, CTI filed a motion to dismiss the motion to certify the class action on the basis that the New York law opinion submitted by the plaintiffs does not directly address the causes of action in question, or alternatively, to dismiss the portions of the opinion that do not specifically relate to CTI’s expert opinion. On January 22, 2018, the court ruled that the plaintiffs should submit a motion to amend their class certification motion and that CTI’s motion to dismiss would remain pending. Based on input from the court, the parties have agreed to enter into a further round of mediation in an effort to settle the matter.

From time to time we or our subsidiaries may be involved in legal proceedings and/or litigation arising in the ordinary course of our business. While the outcome of these matters cannot be predicted with certainty, we do not believe that the outcome of any current claims will have a material effect on our consolidated financial position, results of operations, or cash flows.

SEGMENT, GEOGRAPHIC, AND SIGNIFICANT CUSTOMER INFORMATION

12 Months Ended

Jan. 31, 2018

Segment Reporting [Abstract]

SEGMENT, GEOGRAPHIC, AND SIGNIFICANT CUSTOMER INFORMATION

Segment Information

Operating segments are defined as components of an enterprise about which separate financial information is available that is evaluated regularly by the enterprise’s CODM, or decision making group, in deciding how to allocate resources and in assessing performance. Our Chief Executive Officer is our CODM.

In August 2016, we reorganized into two businesses and now report our results in two operating segments, Customer Engagement and Cyber Intelligence. Comparative segment financial information provided for prior periods has been recast to conform to this revised segment structure.

We measure the performance of our operating segments based upon segment revenue and segment contribution.

Segment contribution includes segment revenue and expenses incurred directly by the segment, including material costs, service costs, research and development, selling, marketing, and certain administrative expenses. When determining segment contribution, we do not allocate certain operating expenses which are provided by shared resources or are otherwise generally not controlled by segment management. These expenses are reported as “Shared support expenses” in our table of segment operating results, the majority of which are expenses for administrative support functions, such as information technology, human resources, finance, legal, and other general corporate support, and for occupancy expenses. These unallocated expenses also include procurement, manufacturing support, and logistics expenses.

Revenue from transactions between our operating segments is not material.

Operating results by segment for the years ended January 31, 2018, 2017, and 2016 were as follows:



	Year Ended January 31,
(in thousands)	2018			2017			2016
Revenue:
Customer Engagement:
Segment revenue	$	755,038		$	716,163		$	698,298
Revenue adjustments	(14,971		)	(10,266		)	(3,441		)
	740,067			705,897			694,857
Cyber Intelligence:
Segment revenue	395,420			356,533			436,343
Revenue adjustments	(258		)	(324		)	(934		)
	395,162			356,209			435,409
Total revenue	$	1,135,229		$	1,062,106		$	1,130,266

Segment contribution:
Customer Engagement	$	286,236		$	269,017		$	264,378
Cyber Intelligence	94,585			85,777			133,186
Total segment contribution	380,821			354,794			397,564

Reconciliation of segment contribution to operating income:
Revenue adjustments	15,229			10,590			4,375
Shared support expenses	154,673			150,170			153,350
Amortization of acquired intangible assets	72,425			81,461			78,904
Stock-based compensation	69,366			65,608			64,549
Acquisition, integration, restructuring, and other unallocated expenses	20,498			29,599			28,534
Total reconciling items, net	332,191			337,428			329,712
Operating income	$	48,630		$	17,366		$	67,852

With the exception of goodwill and acquired intangible assets, we do not identify or allocate our assets by operating segment. Consequently, it is not practical to present assets by operating segment. In connection with our August 2016 change in segmentation, we reallocated goodwill previously assigned to our former Video Intelligence operating segment to the Customer Engagement and Cyber Intelligence operating segments. There were no other material changes in the allocations of goodwill and acquired intangible assets by operating segment during the years ended January 31, 2018, 2017, and 2016. Further details regarding the allocations of goodwill and acquired intangible assets by operating segment appear in Note 5, “Intangible Assets and Goodwill”.

Geographic Information

Revenue by major geographic region is based upon the geographic location of the customers who purchase our products and services. The geographic locations of distributors, resellers, and systems integrators who purchase and resell our products may be different from the geographic locations of end customers.

Revenue in the Americas includes the United States, Canada, Mexico, Brazil, and other countries in the Americas. Revenue in Europe, the Middle East and Africa (“EMEA”) includes the United Kingdom, Germany, Israel, and other countries in EMEA. Revenue in the Asia-Pacific (“APAC”) region includes Australia, India, Singapore, and other Asia-Pacific countries.

The information below summarizes revenue from unaffiliated customers by geographic area for the years ended January 31, 2018, 2017, and 2016:



	Year Ended January 31,
(in thousands)	2018		2017		2016
Americas:
United States	$	445,406	$	438,034	$	430,626
Other	150,993		134,111		150,435
Total Americas	596,399		572,145		581,061
EMEA	354,495		322,130		350,217
APAC	184,335		167,831		198,988
Total revenue	$	1,135,229	$	1,062,106	$	1,130,266

Our long-lived assets primarily consist of net property and equipment, goodwill and other intangible assets, capitalized software development costs, deferred cost of revenue, and deferred income taxes. We believe that our tangible long-lived assets, which consist of our net property and equipment, are exposed to greater geographic area risks and uncertainties than intangible assets and long-term cost deferrals, because these tangible assets are difficult to move and are relatively illiquid.

Property and equipment, net by geographic area consisted of the following as of January 31, 2018 and 2017:



	January 31,
(in thousands)	2018		2017
United States	$	45,942	$	37,751
Israel	27,089		25,421
Other countries	16,058		14,379
Total property and equipment, net	$	89,089	$	77,551

Significant Customers

No single customer accounted for more than 10% of our revenue during the years ended January 31, 2018, 2017, and 2016.

SELECTED QUARTERLY FINANCIAL INFORMATION (UNAUDITED) SELECTED QUARTERLY FINANCIAL INFORMATION (UNAUDITED)

12 Months Ended

Jan. 31, 2018

Selected Quarterly Financial Information [Abstract]

SELECTED QUARTERLY FINANCIAL INFORMATION (UNAUDITED)

Summarized condensed quarterly financial information for the years ended January 31, 2018 and 2017 appears in the following tables:



	Three Months Ended
	April 30,			July 31,			October 31,		January 31,
(in thousands, except per share data)	2017			2017			2017		2018
Revenue	$	260,995		$	274,777		$	280,726	$	318,731
Gross profit	$	150,192		$	164,103		$	169,321	$	204,826
(Loss) income before (benefit) provision for income taxes	$	(19,932	)	$	(1,314	)	$	9,010	$	31,136
Net (loss) income	$	(19,040	)	$	(5,766	)	$	3,066	$	18,286
Net (loss) income attributable to Verint Systems Inc.	$	(19,786	)	$	(6,427	)	$	2,489	$	17,097

Net (loss) income per common share attributable to Verint Systems Inc.
Basic	$	(0.32	)	$	(0.10	)	$	0.04	$	0.27
Diluted	$	(0.32	)	$	(0.10	)	$	0.04	$	0.26



	Three Months Ended
	April 30,			July 31,			October 31,			January 31,
(in thousands, except per share data)	2016			2016			2016			2017
Revenue	$	245,424		$	261,921		$	258,902		$	295,859
Gross profit	$	144,730		$	159,460		$	155,696		$	179,591
(Loss) income before provision for income taxes	$	(15,863	)	$	(10,020	)	$	(4,075	)	$	6,484
Net (loss) income	$	(16,193	)	$	(11,078	)	$	(7,434	)	$	8,459
Net (loss) income attributable to Verint Systems Inc.	$	(17,456	)	$	(11,705	)	$	(8,237	)	$	8,018

Net (loss) income per common share attributable to Verint Systems Inc.
Basic	$	(0.28	)	$	(0.19	)	$	(0.13	)	$	0.13
Diluted	$	(0.28	)	$	(0.19	)	$	(0.13	)	$	0.13

Net (loss) income per common share attributable to Verint Systems Inc. is computed independently for each quarterly period and for the year. Therefore, the sum of quarterly net (loss) income per common share amounts may not equal the amounts reported for the years.

During the three months ended January 31, 2018, we recognized provisional deferred income tax withholding expense of $15.0 million on foreign earnings that may be repatriated to the U.S., in connection with the 2017 Tax Act, which was enacted into law in December 2017. The quarterly operating results for the year ended January 31, 2017 did not include any material unusual or infrequently occurring items.

As is typical for many software and technology companies, our business is subject to seasonal and cyclical factors. In most years, our revenue and operating income are typically highest in the fourth quarter and lowest in the first quarter (prior to the impact of unusual or nonrecurring items). Moreover, revenue and operating income in the first quarter of a new year may be lower than in the fourth quarter of the preceding year, in some years, potentially by a significant margin. In addition, we generally receive a higher volume of orders in the last month of a quarter, with orders concentrated in the later part of that month. We believe that these seasonal and cyclical factors primarily reflects customer spending patterns and budget cycles, as well as the impact of compensation incentive plans for our sales personnel. While seasonal and cyclical factors such as these are common in the software and technology industry, this pattern should not be considered a reliable indicator of our future revenue or financial performance. Many other factors, including general economic conditions, also have an impact on our business and financial results. See “Risk Factors” under Item 1A of this report for a more detailed discussion of factors which may affect our business and financial results.

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)

12 Months Ended

Jan. 31, 2018

Accounting Policies [Abstract]

Principles of Consolidation

We include the results of operations of acquired companies from the date of acquisition. All significant intercompany transactions and balances are eliminated.

Investments in companies in which we have less than a 20% ownership interest and cannot exercise significant influence are accounted for at cost.

Use of Estimates

Restricted Cash and Bank Time Deposits

Restricted Cash and Restricted Bank Time Deposits

Investments

Accounts Receivable, Net

Trade accounts receivable are recorded at the invoiced amount and are not interest-bearing.

Concentrations of Credit Risk

Allowance for Doubtful Accounts

We estimate the collectability of our accounts receivable balances each accounting period and adjust our allowance for doubtful

The following table summarizes the activity in our allowance for doubtful accounts for the years ended January 31, 2018, 2017, and 2016:



	Year Ended January 31,
(in thousands)	2018			2017			2016
Allowance for doubtful accounts, beginning of year	$	1,842		$	1,170		$	1,099
Provisions charged to expense	559			1,791			669
Amounts written off	(482		)	(1,484		)	(933		)
Other, including fluctuations in foreign exchange rates	298			365			335
Allowance for doubtful accounts, end of year	$	2,217		$	1,842		$	1,170

Inventories

Property and Equipment, net

The cost of maintenance and repairs of property and equipment is charged to operations as incurred. When assets are retired or

Segment Reporting

We measure the performance of our operating segments based upon segment revenue and segment contribution.

Revenue from transactions between our operating segments is not material.

Goodwill, Other Acquired Intangible Assets, and Long-Lived Assets

Fair Value Measurements


•	Level 1: quoted prices in active markets for identical assets or liabilities;

•


•	Level 3: unobservable inputs that are supported by little or no market activity.

Fair Values of Financial Instruments

Derivative Financial Instruments

Revenue Recognition

Under the bell-shaped curve approach of establishing VSOE, we perform VSOE compliance tests to ensure that a substantial majority of our actual PCS renewals are within a narrow range of pricing.

Cost of Revenue

Research and Development, net

Software Development Costs

Internal-Use Software

Income Taxes

Functional Currencies and Foreign Currency Transaction Gains and Losses

Stock-Based Compensation

Net (Loss) Income Per Common Share Attributable to Verint Systems Inc.

Recent Accounting Pronouncements

New Accounting Pronouncements Recently Adopted

New Accounting Pronouncements Not Yet Effective

There will be a corresponding tax effect in relation to the above noted impacts, which is still being evaluated.

NET (LOSS) INCOME PER COMMON SHARE ATTRIBUTABLE TO VERINT SYSTEMS INC. (Tables)

12 Months Ended

Jan. 31, 2018

Earnings Per Share [Abstract]

Schedule of calculation of basic and diluted net (loss) income per common share attributable to Verint Systems Inc.

The following table summarizes the calculation of basic and diluted net (loss) income per common share attributable to Verint Systems Inc. for the years ended January 31, 2018, 2017, and 2016:



	Year Ended January 31,
(in thousands, except per share amounts)	2018			2017			2016
Net (loss) income	$	(3,454	)	$	(26,246	)	$	22,228
Net income attributable to noncontrolling interests	3,173			3,134			4,590
Net (loss) income attributable to Verint Systems Inc.	$	(6,627	)	$	(29,380	)	$	17,638
Weighted-average shares outstanding:
Basic	63,312			62,593			61,813
Dilutive effect of employee equity award plans	—			—			1,108
Dilutive effect of 1.50% convertible senior notes	—			—			—
Dilutive effect of warrants	—			—			—
Diluted	63,312			62,593			62,921
Net (loss) income per common share attributable to Verint Systems Inc.:
Basic	$	(0.10	)	$	(0.47	)	$	0.29
Diluted	$	(0.10	)	$	(0.47	)	$	0.28

Schedule of anti-dilutive securities



	Year Ended January 31,
(in thousands)	2018	2017	2016
Stock options and restricted stock-based awards	1,187	1,097	596
1.50% convertible senior notes	6,205	6,205	6,205
Warrants	6,205	6,205	6,205

CASH, CASH EQUIVALENTS, AND SHORT-TERM INVESTMENTS CASH, CASH EQUIVALENTS, AND SHORT-TERM INVESTMENTS (Tables)

12 Months Ended

Jan. 31, 2018

Cash, Cash Equivalents, and Short-term Investments [Abstract]

Schedule of Cash, Cash Equivalents and Short-term Investments [Table Text Block]

The following tables summarize our cash, cash equivalents, and short-term investments as of January 31, 2018 and 2017:



	January 31, 2018
(in thousands)	Cost Basis		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
Cash and cash equivalents:
Cash and bank time deposits	$	337,756	$	—	$	—	$	337,756
Money market funds	186		—		—		186
Total cash and cash equivalents	$	337,942	$	—	$	—	$	337,942

Short-term investments:
Corporate debt securities (available-for-sale)	$	2,002	$	—	$	—	$	2,002
Bank time deposits	4,564		—		—		4,564
Total short-term investments	$	6,566	$	—	$	—	$	6,566



	January 31, 2017
(in thousands)	Cost Basis		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
Cash and cash equivalents:
Cash and bank time deposits	$	307,188	$	—	$	—	$	307,188
Money market funds	175		—		—		175
Total cash and cash equivalents	$	307,363	$	—	$	—	$	307,363

Short-term investments:
Bank time deposits	$	3,184	$	—	$	—	$	3,184
Total short-term investments	$	3,184	$	—	$	—	$	3,184

BUSINESS COMBINATIONS (Tables)

12 Months Ended

Jan. 31, 2018

Business Combinations [Abstract]

Schedule of Purchase Price Allocations for the Year Ended January 31, 2018



(in thousands)	Amount
Components of Purchase Prices:
Cash	$	106,049
Fair value of contingent consideration	27,605
Other purchase price adjustments	2,380
Total purchase prices	$	136,034

Allocation of Purchase Prices:
Net tangible assets (liabilities):
Accounts receivable	$	4,184
Other current assets, including cash acquired	15,108
Other assets	2,765
Current and other liabilities	(12,462		)
Deferred revenue - current and long-term	(4,424		)
Deferred income taxes	(8,660		)
Net tangible liabilities	(3,489		)
Identifiable intangible assets:
Customer relationships	24,444
Developed technology	30,952
Trademarks and trade names	2,322
Total identifiable intangible assets	57,718
Goodwill	81,805
Total purchase price allocations	$	136,034

Schedule of Purchase Price Allocations for the Year Ended January 31, 2017



(in thousands)	Contact Solutions			OpinionLab
Components of Purchase Price:
Cash paid at closing	$	66,915		$	56,355
Fair value of contingent consideration	—			15,000
Other purchase price adjustments	2,518			—
Total purchase price	$	69,433		$	71,355

Allocation of Purchase Price:
Net tangible assets (liabilities):
Accounts receivable	$	8,102		$	748
Other current assets, including cash acquired	2,392			10,625
Property and equipment, net	7,007			298
Other assets	1,904			2,036
Current and other liabilities	(4,943		)	(1,600		)
Deferred revenue - current and long-term	(642		)	(3,082		)
Deferred income taxes	—			(9,877		)
Net tangible assets (liabilities)	13,820			(852		)
Identifiable intangible assets:
Customer relationships	18,000			19,100
Developed technology	13,100			10,400
Trademarks and trade names	2,400			1,800
Total identifiable intangible assets	33,500			31,300
Goodwill	22,113			40,907
Total purchase price allocation	$	69,433		$	71,355

Schedule of Purchase Price Allocations - Acquisitions for the Year Ended January 31, 2016



(in thousands)	Amount
Components of Purchase Prices:
Cash	$	33,222
Fair value of contingent consideration	16,237
Total purchase prices	$	49,459

Allocation of Purchase Prices:
Net tangible assets (liabilities):
Accounts receivable	$	992
Other current assets, including cash acquired	4,274
Other assets	395
Current and other liabilities	(3,037		)
Deferred revenue - current and long-term	(1,872		)
Deferred income taxes	(2,922		)
Net tangible liabilities	(2,170		)
Identifiable intangible assets:
Customer relationships	1,212
Developed technology	20,300
Trademarks and trade names	300
In-process research and development	1,100
Total identifiable intangible assets	22,912
Goodwill	28,717
Total purchase price allocations	$	49,459

INTANGIBLE ASSETS AND GOODWILL (Tables)

12 Months Ended

Jan. 31, 2018

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of acquisition-related intangible assets

Acquisition-related intangible assets consisted of the following as of January 31, 2018 and 2017:



	January 31, 2018
(in thousands)	Cost		Accumulated Amortization			Net
Intangible assets with finite lives:
Customer relationships	$	438,664	$	(281,592	)	$	157,072
Acquired technology	273,156		(212,571		)	60,585
Trade names	26,820		(18,570		)	8,250
Non-competition agreements	3,047		(2,861		)	186
Distribution network	4,440		(4,440		)	—
Total intangible assets	$	746,127	$	(520,034	)	$	226,093



	January 31, 2017
(in thousands)	Cost		Accumulated Amortization			Net
Intangible assets, all with finite lives:
Customer relationships	$	403,657	$	(244,792	)	$	158,865
Acquired technology	233,982		(168,653		)	65,329
Trade names	23,493		(14,187		)	9,306
Non-competition agreements	3,047		(2,499		)	548
Distribution network	4,440		(4,329		)	111
Total intangible assets with finite lives	668,619		(434,460		)	234,159
In-process research and development, with indefinite lives	1,100		—			1,100
Total intangible assets	$	669,719	$	(434,460	)	$	235,259

Schedule of net acquisition-related intangible assets by reportable segment

The following table presents net acquisition-related intangible assets by reportable segment as of January 31, 2018 and 2017:



	January 31,
(in thousands)	2018		2017
Customer Engagement	$	213,963	$	207,436
Cyber Intelligence	12,130		27,823
Total	$	226,093	$	235,259

Schedule of estimated future amortization expense on finite-lived acquisition-related intangible assets

Estimated future amortization expense on finite-lived acquisition-related intangible assets is as follows:



(in thousands)
Years Ending January 31,	Amount
2019	$	53,733
2020	42,265
2021	34,434
2022	30,578
2023	24,795
Thereafter	40,288
Total	$	226,093

Schedule of goodwill activity

Goodwill activity for the years ended January 31, 2018, and 2017, in total and by reportable segment, was as follows:



				Reportable Segment
(in thousands)	Total			Customer Engagement			Cyber Intelligence
Year Ended January 31, 2017:
Goodwill, gross, at January 31, 2016	$	1,274,041		$	1,131,249		$	142,792
Accumulated impairment losses through January 31, 2016	(66,865		)	(56,043		)	(10,822		)
Goodwill, net, at January 31, 2016	1,207,176			1,075,206			131,970
Business combinations	91,209			91,209			—
Foreign currency translation and other	(33,567		)	(34,436		)	869
Goodwill, net, at January 31, 2017	$	1,264,818		$	1,131,979		$	132,839

Year Ended January 31, 2018:
Goodwill, gross, at January 31, 2017	$	1,331,683		$	1,188,022		$	143,661
Accumulated impairment losses through January 31, 2017	(66,865		)	(56,043		)	(10,822		)
Goodwill, net, at January 31, 2017	1,264,818			1,131,979			132,839
Business combinations, including prior year adjustments	81,180			77,345			3,835
Foreign currency translation and other	42,301			41,769			532
Goodwill, net, at January 31, 2018	$	1,388,299		$	1,251,093		$	137,206

Balance at January 31, 2018:
Goodwill, gross, at January 31, 2018	$	1,455,164		$	1,307,136		$	148,028
Accumulated impairment losses through January 31, 2018	(66,865		)	(56,043		)	(10,822		)
Goodwill, net, at January 31, 2018	$	1,388,299		$	1,251,093		$	137,206

LONG-TERM DEBT (Tables)

12 Months Ended

Jan. 31, 2018

Long-term Debt, Unclassified [Abstract]

Summary of long-term debt

The following table summarizes our long-term debt at January 31, 2018 and 2017:



	January 31,
(in thousands)	2018			2017

1.50% Convertible Senior Notes	$	400,000		$	400,000
February 2014 Term Loans	—			130,060
March 2014 Term Loans	—			278,978
June 2017 Term Loan	422,875			—
Other debt	250			404
Less: Unamortized debt discounts and issuance costs	(50,141		)	(60,571		)
Total debt	772,984			748,871
Less: current maturities	4,500			4,611
Long-term debt	$	768,484		$	744,260

Summary of future scheduled principal payments on term loans

As of January 31, 2018, future scheduled principal payments on the 2017 Term Loan were as follows:



(in thousands)
Years Ending January 31,	Amount
2019	$	4,250
2020	4,250
2021	4,250
2022	4,250
2023	4,250
2024 and thereafter	401,625
Total	$	422,875

Schedule of components of interest expense

The following table presents the components of interest expense incurred on the Notes and on borrowings under our respective Credit Agreements for the years ended January 31, 2018, 2017, and 2016:



	Year Ended January 31,
(in thousands)	2018		2017		2016
1.50% Convertible Senior Notes:
Interest expense at 1.50% coupon rate	$	6,000	$	6,000	$	6,000
Amortization of debt discount	11,244		10,669		10,123
Amortization of deferred debt issuance costs	1,060		1,007		955
Total - 1.50% Convertible Senior Notes	$	18,304	$	17,676	$	17,078

Borrowings under Credit Agreements:
Interest expense at contractual rates	$	15,412	$	14,682	$	14,590
Impact of interest rate swap agreement	254		259		—
Amortization of debt discounts	65		58		56
Amortization of deferred debt issuance costs	1,839		2,211		2,166
Total - Borrowings under Credit Agreements	$	17,570	$	17,210	$	16,812

- Definition

Tabular disclosure of long-debt instruments or arrangements, including identification, terms, features, collateral requirements and other information necessary to a fair presentation. These are debt arrangements that originally required repayment more than twelve months after issuance or greater than the normal operating cycle of the entity, if longer.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
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Reference 2: http://www.xbrl.org/2003/role/presentationRef
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Reference 3: http://www.xbrl.org/2003/role/presentationRef
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Reference 4: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
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-Paragraph 1
-Subparagraph (SX 210.4-08.(e),(f))
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-Name Accounting Standards Codification
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Reference 7: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
-Topic 505
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Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
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-Paragraph 1A
-URI http://asc.fasb.org/extlink&oid=64930785&loc=d3e28541-108399

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 45
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=64930785&loc=d3e28551-108399

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
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-Paragraph 7
-URI http://asc.fasb.org/extlink&oid=84159872&loc=d3e21521-112644

+ Details

SUPPLEMENTAL CONSOLIDATED FINANCIAL STATEMENT INFORMATION (Tables)

12 Months Ended

Jan. 31, 2018

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Schedule of Inventories

Inventories consisted of the following as of January 31, 2018 and 2017:



	January 31,
(in thousands)	2018		2017
Raw materials	$	9,870	$	9,074
Work-in-process	6,269		4,355
Finished goods	3,732		4,108
Total inventories	$	19,871	$	17,537

Schedule of Property and Equipment, net

Property and equipment, net consisted of the following as of January 31, 2018 and 2017:



	January 31,
(in thousands)	2018			2017
Land and buildings	$	10,276		$	9,543
Leasehold improvements	29,793			29,247
Software	54,032			61,810
Equipment, furniture, and other	135,548			93,968
	229,649			194,568
Less: accumulated depreciation and amortization	(140,560		)	(117,017		)
Total property and equipment, net	$	89,089		$	77,551

Schedule of Other Assets

Other assets consisted of the following as of January 31, 2018 and 2017:



	January 31,
(in thousands)	2018		2017
Long-term restricted cash and time deposits	$	28,402	$	54,566
Deferred debt issuance costs, net	3,668		1,929
Long-term security deposits	4,139		4,123
Other	15,828		16,002
Total other assets	$	52,037	$	76,620

Schedule of Accrued Expenses and Other Current Liabilities

Accrued expenses and other current liabilities consisted of the following as of January 31, 2018 and 2017:



	January 31,
(in thousands)	2018		2017
Compensation and benefits	$	83,216	$	73,998
Billings in excess of costs and estimated earnings on uncompleted contracts	46,062		59,810
Income taxes	14,464		11,410
Contingent consideration - current portion	13,187		9,725
Distributor and agent commissions	12,255		10,384
Taxes other than income taxes	11,424		8,564
Professional and consulting fees	8,752		8,020
Other	30,905		31,313
Total accrued expenses and other current liabilities	$	220,265	$	213,224

Schedule of Other Liabilities

Other liabilities consisted of the following as of January 31, 2018 and 2017:



	January 31,
(in thousands)	2018		2017
Unrecognized tax benefits, including interest and penalties	$	41,014	$	28,204
Contingent consideration - long-term portion	49,149		42,708
Deferred rent expense	12,168		13,805
Obligations for severance compensation	3,028		2,880
Capital lease obligations - long-term portion	3,315		68
Other	5,791		6,694
Total other liabilities	$	114,465	$	94,359

Schedule of Other Income (Expense), Net

Other income (expense), net consisted of the following for the years ended January 31, 2018, 2017, and 2016:



	Year Ended January 31,
(in thousands)	2018			2017			2016
Foreign currency gains (losses), net	$	6,760		$	(2,743	)	$	(8,037	)
(Losses) gains on derivative financial instruments, net	(17		)	(322		)	394
Other, net	(841		)	(3,861		)	(4,634		)
Total other income (expense), net	$	5,902		$	(6,926	)	$	(12,277	)

Schedule of Supplemental Information Regarding Consolidated Cash Flows

The following table provides supplemental information regarding our consolidated cash flows for the years ended January 31, 2018, 2017, and 2016:



	Year Ended January 31,
(in thousands)	2018		2017		2016
Cash paid for interest	$	24,402	$	21,892	$	20,734
Cash payments of income taxes, net	$	23,450	$	29,582	$	17,165
Non-cash investing and financing transactions:
Liabilities for contingent consideration in business combinations	$	27,605	$	26,400	$	16,238
Capital leases of property and equipment	$	4,350	$	151	$	—
Accrued but unpaid purchases of property and equipment	$	2,367	$	2,868	$	4,562
Inventory transfers to property and equipment	$	437	$	552	$	1,142
Leasehold improvements funded by lease incentives	$	—	$	82	$	1,721

STOCKHOLDERS' EQUITY (Tables)

12 Months Ended

Jan. 31, 2018

Stockholders' Equity Note [Abstract]

Summary of components of accumulated other comprehensive (income) loss

The following table summarizes changes in the components of our accumulated other comprehensive income (loss) by component for the years ended January 31, 2018 and 2017:



(in thousands)	Unrealized Gains (Losses) on Derivative Financial Instruments Designated as Hedges			Unrealized Gain on Interest Rate Swap Designated as Hedge			Unrealized Gains (Losses) on Available-for-Sale Investments			Foreign Currency Translation Adjustments			Total
Accumulated other comprehensive loss at January 31, 2016	$	(1,871	)	$	—		$	(110	)	$	(114,213	)	$	(116,194	)
Other comprehensive loss before reclassifications	3,585			632			110			(41,850		)	(37,523		)
Amounts reclassified out of accumulated other comprehensive income (loss)	1,139			—			—			—			1,139
Net other comprehensive income (loss)	2,446			632			110			(41,850		)	(38,662		)
Accumulated other comprehensive loss at January 31, 2017	575			632			—			(156,063		)	(154,856		)
Other comprehensive income (loss) before reclassifications	8,867			(341		)	—			49,291			57,817
Amounts reclassified out of accumulated other comprehensive income (loss)	6,130			291			—			—			6,421
Net other comprehensive income (loss)	2,737			(632		)	—			49,291			51,396
Accumulated other comprehensive income (loss) at January 31, 2018	$	3,312		$	—		$	—		$	(106,772	)	$	(103,460	)

Schedule of amounts reclassified out of AOCI into the statement of operations by presentation location



	Year Ended January 31,									Financial Statement Location
(in thousands)	2018			2017			2016			Financial Statement Location
Unrealized gains (losses) on derivative financial instruments:
Foreign currency forward contracts	$	621		$	108		$	(718	)	Cost of product revenue
	599			115			(672		)	Cost of service and support revenue
	3,577			651			(4,556		)	Research and development, net
	2,016			383			(2,205		)	Selling, general and administrative
	6,813			1,257			(8,151		)	Total, before income taxes
	(683		)	(118		)	1,038			(Provision) benefit for income taxes
	$	6,130		$	1,139		$	(7,113	)	Total, net of income taxes

Interest rate swap agreement	$	(254	)	$	—		$	—		Interest expense
	934			—			—			Other income (expense), net
	680			—			—			Total, before income taxes
	(389		)	—			—			Provision for income taxes
	$	291		$	—		$	—		Total, net of income taxes

RESEARCH AND DEVELOPMENT, NET RESEARCH AND DEVELOPMENT, NET (Tables)

12 Months Ended

Jan. 31, 2018

Research and Development [Abstract]

Activity of capitalized software development costs

Activity for our capitalized software development costs for the years ended January 31, 2018, 2017, and 2016 was as follows:



	Year Ended January 31,
(in thousands)	2018			2017			2016
Capitalized software development costs, net, beginning of year	$	9,509		$	11,992		$	10,112
Software development costs capitalized during the year	3,126			2,338			5,027
Amortization of capitalized software development costs	(3,338		)	(3,341		)	(2,976		)
Impairments, foreign currency translation and other	(69		)	(1,480		)	(171		)
Capitalized software development costs, net, end of year	$	9,228		$	9,509		$	11,992

INCOME TAXES INCOME TAXES (Tables)

12 Months Ended

Jan. 31, 2018

Income Tax Disclosure [Abstract]

Schedule of components of income (loss) before provision for income taxes

The components of income (loss) before provision for income taxes for the years ended January 31, 2018, 2017, and 2016 were as follows:



	Year Ended January 31,
(in thousands)	2018			2017			2016
Domestic	$	(44,502	)	$	(60,722	)	$	(43,471	)
Foreign	63,402			37,248			66,651
Total income (loss) before provision for income taxes	$	18,900		$	(23,474	)	$	23,180

Schedule of provision for income taxes

The provision for income taxes for the years ended January 31, 2018, 2017, and 2016 consisted of the following:



	Year Ended January 31,
(in thousands)	2018			2017			2016
Current provision (benefit) for income taxes:
Federal	$	4,364		$	604		$	(2,997	)
State	1,215			989			1,300
Foreign	24,308			18,120			8,289
Total current provision for income taxes	29,887			19,713			6,592
Deferred provision (benefit) for income taxes:
Federal	4,734			(8,179		)	2,244
State	(58		)	(842		)	12
Foreign	(12,209		)	(7,920		)	(7,896		)
Total deferred benefit for income taxes	(7,533		)	(16,941		)	(5,640		)
Total provision for income taxes	$	22,354		$	2,772		$	952

Reconciliation of the U.S. federal statutory rate to the entity's effective tax rate on income (loss) before income taxes

The reconciliation of the U.S. federal statutory rate to our effective tax rate on income (loss) before provision for income taxes for the years ended January 31, 2018, 2017, and 2016 was as follows:



	Year Ended January 31,
(in thousands)	2018			2017			2016
U.S. federal statutory income tax rate	33.8		%	35.0		%	35.0		%

Income tax provision (benefit) at the U.S. federal statutory rate	$	6,394		$	(8,215	)	$	8,115
State income tax provision (benefit)	1,792			(312		)	(79		)
Foreign tax rate differential	(9,434		)	(5,794		)	(3,068		)
Tax incentives	(3,891		)	(3,507		)	(12,293		)
Valuation allowances	14,539			(3,640		)	(7,767		)
Stock-based and other compensation	(8,656		)	2,522			3,562
Non-deductible expenses	(2,091		)	5,315			6,061
Tax credits	(307		)	(112		)	(482		)
Tax contingencies	5,017			5,566			(6,281		)
Tax effects of reorganizations and liquidations	—			975			6,136
U.S. tax effects of foreign operations	8,591			9,542			7,574
Impact of the 2017 Tax Act	9,641			—			—
Other, net	759			432			(526		)
Total provision for income taxes	$	22,354		$	2,772		$	952
Effective income tax rate	118.3		%	(11.8		)%	4.1		%

Schedule of deferred tax assets and liabilities

Deferred tax assets and liabilities consisted of the following at January 31, 2018 and 2017:



	January 31,
(in thousands)	2018			2017
Deferred tax assets:
Accrued expenses	$	7,637		$	10,627
Deferred revenue	2,421			3,953
Loss carryforwards	47,009			125,986
Tax credits	11,935			7,972
Stock-based and other compensation	17,568			20,187
Capitalized research and development expenses	10,316			4,146
Other, net	3,749			2,672
Total deferred tax assets	100,635			175,543
Deferred tax liabilities:
Goodwill and other intangible assets	(36,977		)	(50,679		)
Unremitted earnings of foreign subsidiaries	(12,257		)	(18,215		)
Other, net	(712		)	(2,344		)
Total deferred tax liabilities	(49,946		)	(71,238		)
Valuation allowance	(55,116		)	(108,609		)
Net deferred tax liabilities	$	(4,427	)	$	(4,304	)

Recorded as:
Deferred tax assets	$	30,878		$	21,510
Deferred tax liabilities	(35,305		)	(25,814		)
Net deferred tax liabilities	$	(4,427	)	$	(4,304	)

Schedule of valuation allowance

Activity in the recorded valuation allowance consisted of the following for the years ended January 31, 2018 and 2017:



	Year Ended January 31,
(in thousands)	2018			2017
Valuation allowance, beginning of year	$	(108,609	)	$	(115,756	)
(Benefit from) provision for income taxes	2,868			3,640
Adoption of ASU No. 2016-09	(17,407		)	—
Impact of 2017 Tax Act	70,832			—
Additional paid-in capital	—			3,204
Business combinations	(2,061		)	—
Currency translation adjustment	(739		)	303
Valuation allowance, end of year	$	(55,116	)	$	(108,609	)

Schedule of aggregate changes in the balance of gross unrecognized tax benefits

For the years ended January 31, 2018, 2017, and 2016, the aggregate changes in the balance of gross unrecognized tax benefits were as follows:



	Year Ended January 31,
(in thousands)	2018			2017			2016
Gross unrecognized tax benefits, beginning of year	$	148,639		$	142,271		$	159,648
Increases related to tax positions taken during the current year	12,260			11,034			9,465
Increases as a result of business combinations	43			—			985
Increases related to tax positions taken during prior years	9,226			585			2,514
Increases (decreases) related to foreign currency exchange rates	2,449			648			(741		)
Reductions for tax positions of prior years	(8,266		)	(5,094		)	(13,613		)
Reductions for settlements with tax authorities	(140		)	(145		)	(13,811		)
Reduction for rate change due to the 2017 Tax Act	(48,004		)	—			—
Lapses of statutes of limitations	(498		)	(660		)	(2,176		)
Gross unrecognized tax benefits, end of year	$	115,709		$	148,639		$	142,271

Schedule of income tax returns under examination in major tax jurisdictions

As of January 31, 2018, income tax returns are under examination in the following significant tax jurisdictions:



Jurisdiction		Tax Years
Canada		January 31, 2011 - January 31, 2012
United Kingdom		December 31, 2006; January 31, 2008
India		March 31, 2007 - March 31, 2008; March 31, 2010 - March 31, 2013
Israel		January 31, 2014 - January 31, 2016

FAIR VALUE MEASUREMENTS (Tables)

12 Months Ended

Jan. 31, 2018

Fair Value Disclosures [Abstract]

Schedule of assets and liabilities measured at fair value on recurring basis

Our assets and liabilities measured at fair value on a recurring basis consisted of the following as of January 31, 2018 and 2017:



	January 31, 2018
	Fair Value Hierarchy Category
(in thousands)	Level 1		Level 2		Level 3
Assets:
Money market funds	$	186	$	—	$	—
Short-term investments, classified as available-for-sale	—		2,002		—
Foreign currency forward contracts	—		3,682		—
Interest rate swap agreement	—		2,580		—
Total assets	$	186	$	8,264	$	—
Liabilities:
Foreign currency forward contracts	$	—	$	1,308	$	—
Contingent consideration - business combinations	—		—		62,829
Option to acquire noncontrolling interests of consolidated subsidiaries	—		—		2,950
Total liabilities	$	—	$	1,308	$	65,779



	January 31, 2017
	Fair Value Hierarchy Category
(in thousands)	Level 1		Level 2		Level 3
Assets:
Money market funds	$	175	$	—	$	—
Foreign currency forward contracts	—		1,646		—
Interest rate swap agreement	—		1,429		—
Total assets	$	175	$	3,075	$	—
Liabilities:
Foreign currency forward contracts	$	—	$	1,246	$	—
Interest rate swap agreement	—		408		—
Contingent consideration - business combinations	—		—		52,733
Option to acquire noncontrolling interests of consolidated subsidiaries	—		—		3,550
Total liabilities	$	—	$	1,654	$	56,283

Liability for contingent consideration

Assets and Liabilities Measured at Fair Value on Recurring Basis

Schedule of changes in the estimated fair value using significant unobservable inputs (Level 3)



	Year Ended January 31,
(in thousands)	2018			2017
Fair value measurement, beginning of year	$	52,733		$	22,391
Contingent consideration liabilities recorded for business combinations	27,604			26,400
Changes in fair values, recorded in operating expenses	(8,324		)	7,255
Payments of contingent consideration	(9,412		)	(3,313		)
Foreign currency translation and other	228			—
Fair value measurement, end of year	$	62,829		$	52,733

Option to acquire noncontrolling interests

Assets and Liabilities Measured at Fair Value on Recurring Basis

Schedule of changes in the estimated fair value using significant unobservable inputs (Level 3)



	Year Ended January 31,
(in thousands)	2018			2017
Fair value measurement, beginning of year	$	3,550		$	—
Acquisition of option to acquire noncontrolling interests of consolidated subsidiaries	—			3,134
Change in fair value, recorded in operating expenses	(600		)	416
Fair value measurement, end of year	$	2,950		$	3,550

DERIVATIVE FINANCIAL INSTRUMENTS (Tables)

12 Months Ended

Jan. 31, 2018

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of fair values of derivative financial instruments

The fair values of our derivative financial instruments and their classifications in our consolidated balance sheets as of January 31, 2018 and 2017 were as follows:



		January 31,
(in thousands)	Balance Sheet Classification	2018		2017
Derivative assets:
Foreign currency forward contracts:
Designated as cash flow hedges	Prepaid expenses and other current assets	$	3,682	$	927
Not designated as hedging instruments	Prepaid expenses and other current assets	—		719
Interest rate swap agreement:
Designated as a cash flow hedge	Other assets	—		1,429
Not designated as a hedging instrument	Prepaid expenses and other current assets	1,330		—
	Other assets	1,250		—
Total derivative assets		$	5,012	$	3,075

Derivative liabilities:
Foreign currency forward contracts:
Designated as cash flow hedges	Accrued expenses and other current liabilities	$	—	$	288
Not designated as hedging instruments	Accrued expenses and other current liabilities	1,061		958
	Other liabilities	247		—
Interest rate swap agreement:
Designated as a cash flow hedge	Accrued expenses and other current liabilities	—		408
Total derivative liabilities		$	1,308	$	1,654

Schedule of the effects of derivative financial instruments designated as cash flow hedging instruments



	Year Ended January 31,
(in thousands)	2018			2017		2016
Net gains (losses) recognized in Other comprehensive (loss) income:
Foreign currency forward contracts	$	3,312		$	575	$	(1,871	)
Interest rate swap agreement	(341		)	632		—
	$	2,971		$	1,207	$	(1,871	)
Net gains (losses) reclassified from Other comprehensive (loss) income to the consolidated statements of operations:
Foreign currency forward contracts	$	6,813		$	1,257	$	(8,151	)
Interest rate swap agreement	(254		)	—		—
	$	6,559		$	1,257	$	(8,151	)

Schedule of (losses) gains recognized on derivative financial instruments not designated as hedging instruments



	Classification in Consolidated Statements of Operations	Year Ended January 31,
(in thousands)	Classification in Consolidated Statements of Operations	2018			2017			2016
Foreign currency forward contracts	Other (expense) income, net	$	(2,546	)	$	(323	)	$	394
Interest rate swap	Other (expense) income, net	2,529			—			—
		$	(17	)	$	(323	)	$	394

STOCK-BASED COMPENSATION AND OTHER BENEFIT PLANS (Tables)

12 Months Ended

Jan. 31, 2018

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Schedule of recognized stock-based compensation expense on the consolidated statements of operations

We recognized stock-based compensation expense in the following line items on the consolidated statements of operations for the years ended January 31, 2018, 2017, and 2016:



	Year Ended January 31,
(in thousands)	2018		2017		2016
Component of (loss) income before provision (benefit) for income taxes:
Cost of revenue - product	$	1,561	$	1,290	$	1,466
Cost of revenue - service and support	6,904		7,297		5,719
Research and development, net	13,144		11,637		9,195
Selling, general and administrative	47,757		45,384		48,169
Total stock-based compensation expense	69,366		65,608		64,549
Income tax benefits related to stock-based compensation (before consideration of valuation allowances)	16,504		15,752		14,385
Total stock-based compensation, net of taxes	$	52,862	$	49,856	$	50,164

Summary of stock-based compensation expense by type of award

Total stock-based compensation expense by type of award was as follows for the years ended January 31, 2018, 2017, and 2016:



	Year Ended January 31,
(in thousands)	2018		2017		2016
Restricted stock units and restricted stock awards	$	57,188	$	55,123	$	58,028
Stock bonus program and bonus share program	12,108		10,298		6,359
Total equity-settled awards	69,296		65,421		64,387
Phantom stock units (cash-settled awards)	70		187		162
Total stock-based compensation expense	$	69,366	$	65,608	$	64,549

Summary of RSU and RSA activity under the Plans



	Year Ended January 31,
	2018				2017				2016
(in thousands, except grant date fair values)	Shares or Units		Weighted-Average Grant-Date Fair Value		Shares or Units		Weighted-Average Grant-Date Fair Value		Shares or Units		Weighted-Average Grant-Date Fair Value
Beginning balance	2,742		$	45.20	2,649		$	54.57	2,545		$	40.96
Granted	1,804		$	40.19	1,870		$	35.33	1,729		$	62.62
Released	(1,403	)	$	45.96	(1,433	)	$	47.98	(1,312	)	$	39.75
Forfeited	(335	)	$	48.92	(344	)	$	52.20	(313	)	$	50.56
Ending balance	2,808		$	41.18	2,742		$	45.20	2,649		$	54.57

Summary of performance RSU activity under the Plans

The following table summarizes PSU activity in isolation under the Plans for the years ended January 31, 2018, 2017, and 2016 (these amounts are already included in the Award Activity Table above):



	Year Ended January 31,
(in thousands)	2018		2017		2016
Beginning balance	438		332		497
Granted	204		312		195
Released	(50	)	(159	)	(239	)
Forfeited	(86	)	(47	)	(121	)
Ending balance	506		438		332

Summary of Key Data for Stock Bonus Program



	Year Ended January 31,
(in thousands)	2018	2017	2016
Shares in lieu of earned cash bonus - granted and released	21	25	43
Shares in respect of discount:
Granted	—	—	7
Released	—	—	5

COMMITMENTS AND CONTINGENCIES COMMITMENTS AND CONTINGENCIES (Tables)

12 Months Ended

Jan. 31, 2018

Commitments and Contingencies Disclosure [Abstract]

Schedule of Future Minimum Rental Payments for Operating and Capital Leases

As of January 31, 2018, our minimum future rent obligations under non-cancelable operating and capital leases with initial or remaining terms in excess of one year were as follows:



(in thousands)	Operating		Capital
Years Ending January 31,	Leases		Leases
2019	$	21,497	$	1,171
2020	16,788		1,081
2021	15,435		972
2022	13,583		875
2023	12,203		600
Thereafter	37,126		—
Total	$	116,632	4,699
Less: amount representing interest			(349		)
Present value of minimum lease payments			$	4,350

Schedule of Warranty Liability



	Year Ended January 31,
(in thousands)	2018			2017			2016
Warranty liability, beginning of year	$	962		$	826		$	633
Provision (credited against) charged to expenses	(165		)	797			473
Warranty charges	(260		)	(658		)	(278		)
Foreign currency translation and other	14			(3		)	(2		)
Warranty liability, end of year	$	551		$	962		$	826

SEGMENT, GEOGRAPHIC, AND SIGNIFICANT CUSTOMER INFORMATION (Tables)

12 Months Ended

Jan. 31, 2018

Segment Reporting [Abstract]

Operating Results by Segment

Operating results by segment for the years ended January 31, 2018, 2017, and 2016 were as follows:



	Year Ended January 31,
(in thousands)	2018			2017			2016
Revenue:
Customer Engagement:
Segment revenue	$	755,038		$	716,163		$	698,298
Revenue adjustments	(14,971		)	(10,266		)	(3,441		)
	740,067			705,897			694,857
Cyber Intelligence:
Segment revenue	395,420			356,533			436,343
Revenue adjustments	(258		)	(324		)	(934		)
	395,162			356,209			435,409
Total revenue	$	1,135,229		$	1,062,106		$	1,130,266

Segment contribution:
Customer Engagement	$	286,236		$	269,017		$	264,378
Cyber Intelligence	94,585			85,777			133,186
Total segment contribution	380,821			354,794			397,564

Reconciliation of segment contribution to operating income:
Revenue adjustments	15,229			10,590			4,375
Shared support expenses	154,673			150,170			153,350
Amortization of acquired intangible assets	72,425			81,461			78,904
Stock-based compensation	69,366			65,608			64,549
Acquisition, integration, restructuring, and other unallocated expenses	20,498			29,599			28,534
Total reconciling items, net	332,191			337,428			329,712
Operating income	$	48,630		$	17,366		$	67,852

Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas

The information below summarizes revenue from unaffiliated customers by geographic area for the years ended January 31, 2018, 2017, and 2016:



	Year Ended January 31,
(in thousands)	2018		2017		2016
Americas:
United States	$	445,406	$	438,034	$	430,626
Other	150,993		134,111		150,435
Total Americas	596,399		572,145		581,061
EMEA	354,495		322,130		350,217
APAC	184,335		167,831		198,988
Total revenue	$	1,135,229	$	1,062,106	$	1,130,266

Property and equipment, net by geographic area consisted of the following as of January 31, 2018 and 2017:



	January 31,
(in thousands)	2018		2017
United States	$	45,942	$	37,751
Israel	27,089		25,421
Other countries	16,058		14,379
Total property and equipment, net	$	89,089	$	77,551

SELECTED QUARTERLY FINANCIAL INFORMATION (UNAUDITED) SELECTED QUARTERLY FINANCIAL INFORMATION (UNAUDITED) (Tables)

12 Months Ended

Jan. 31, 2018

Selected Quarterly Financial Information [Abstract]

Quarterly Financial Information [Table Text Block]

Summarized condensed quarterly financial information for the years ended January 31, 2018 and 2017 appears in the following tables:



	Three Months Ended
	April 30,			July 31,			October 31,		January 31,
(in thousands, except per share data)	2017			2017			2017		2018
Revenue	$	260,995		$	274,777		$	280,726	$	318,731
Gross profit	$	150,192		$	164,103		$	169,321	$	204,826
(Loss) income before (benefit) provision for income taxes	$	(19,932	)	$	(1,314	)	$	9,010	$	31,136
Net (loss) income	$	(19,040	)	$	(5,766	)	$	3,066	$	18,286
Net (loss) income attributable to Verint Systems Inc.	$	(19,786	)	$	(6,427	)	$	2,489	$	17,097

Net (loss) income per common share attributable to Verint Systems Inc.
Basic	$	(0.32	)	$	(0.10	)	$	0.04	$	0.27
Diluted	$	(0.32	)	$	(0.10	)	$	0.04	$	0.26



	Three Months Ended
	April 30,			July 31,			October 31,			January 31,
(in thousands, except per share data)	2016			2016			2016			2017
Revenue	$	245,424		$	261,921		$	258,902		$	295,859
Gross profit	$	144,730		$	159,460		$	155,696		$	179,591
(Loss) income before provision for income taxes	$	(15,863	)	$	(10,020	)	$	(4,075	)	$	6,484
Net (loss) income	$	(16,193	)	$	(11,078	)	$	(7,434	)	$	8,459
Net (loss) income attributable to Verint Systems Inc.	$	(17,456	)	$	(11,705	)	$	(8,237	)	$	8,018

Net (loss) income per common share attributable to Verint Systems Inc.
Basic	$	(0.28	)	$	(0.19	)	$	(0.13	)	$	0.13
Diluted	$	(0.28	)	$	(0.19	)	$	(0.13	)	$	0.13

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - CONSOLIDATION (Details)	12 Months Ended
	Jan. 31, 2018
Less than
Basis of Presentation
Maximum ownership interest in cost method investments (as a percent)	20.00%
Joint venture, variable interest entity in which entity is primary beneficiary
Basis of Presentation
Equity interest in a joint venture (as a percent)	50.00%

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - INVESTMENTS (Details) $ in Thousands	12 Months Ended
	Jan. 31, 2018 USD ($)
Investments [Abstract]
Minimum maturity period of short term investments in time deposits (in days)	90 days
Commercial paper and corporate debt securities (available-for-sale)
Schedule of Available-for-sale Securities [Line Items]
Marketable debt securities	$ 2,002

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - CONCENTRATIONS OF CREDIT RISK (Details) - Credit Concentration Risk - USD ($) $ in Millions	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017
Concentration Risk [Line Items]
Accounts Receivable, Net	$ 99.7	$ 99.3
Concentration Risk, Customer	.

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - ALLOWANCE FOR DOUBTFUL ACCOUNTS (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Recorded valuation allowance
Balance at beginning of year	$ 1,842	$ 1,170	$ 1,099
Provisions charged to expense	559	1,791	669
Amounts written off	(482)	(1,484)	(933)
Other, including fluctuations in foreign exchange rates	298	365	335
Balance at end of year	$ 2,217	$ 1,842	$ 1,170

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - USEFUL LIVES; IMPAIRMENTS (Details)	12 Months Ended
	Jan. 31, 2018
Goodwill and Intangible Assets [Abstract]
Number of primary approaches to assess fair value	3
Estimated useful lives of finite-lived intangible assets (in years)	10 years
Equipment, Furniture and Other \| Minimum
Property, Plant and Equipment
Estimated useful lives, (in years)	3 years
Equipment, Furniture and Other \| Maximum
Property, Plant and Equipment
Estimated useful lives, (in years)	7 years
Software \| Minimum
Property, Plant and Equipment
Estimated useful lives, (in years)	3 years
Software \| Maximum
Property, Plant and Equipment
Estimated useful lives, (in years)	4 years
Buildings \| Minimum
Property, Plant and Equipment
Estimated useful lives, (in years)	10 years
Buildings \| Maximum
Property, Plant and Equipment
Estimated useful lives, (in years)	25 years

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - REVENUE RECOGNITION (Details)	12 Months Ended
	Jan. 31, 2018 Category Element
Revenue Recognition [Abstract]
Number of Categories in which Revenue is Derived and Reported \| Category	2
Number of elements for multiple-element software arrangements for which various available indicators of fair value and judgment are used to classify the arrangement's revenue into product revenue and service revenue, VSOE cannot be established and where such arrangements are recognized ratably, minimum \| Element	1
Term of software maintenance period over which PCS revenue is recognized (in years)	1 year
Estimated economic lives of software products, low end of range (in years)	5 years
Estimated economic lives of software products, high end of range (in years)	7 years

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - COST OF REVENUE; CAPITALIZED SOFTWARE DEVELOPMENT (Details)	12 Months Ended
	Jan. 31, 2018 mo
Cost of Revenue [Abstract]
Maximum period of time for recognizing revenue for deferred cost of revenue classified as current (in months)	12
Software Development Costs
Software Development Costs
Estimated useful lives, (in years)	4 years
Internal-Use Software
Software Development Costs
Estimated useful lives, (in years)	4 years

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - IMPACT OF ASU NO. 2016-16 (Details) - USD ($) $ in Thousands	Jan. 31, 2018	Feb. 01, 2017	Jan. 31, 2017
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Accumulated deficit	$ (238,312)		$ (230,816)
Prepaid expenses and other current assets	82,090		64,561
Other assets	$ 52,037		$ 76,620
Accounting Standards Update 2016-16
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Accumulated deficit		$ (900)
Prepaid expenses and other current assets		(1,300)
Other assets		$ 400

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - IMPACT OF ASU NO. 2014-09 (Details) - USD ($) $ in Thousands	Jan. 31, 2018	Jan. 31, 2017
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Unpaid Deferred Revenue	$ 124,000
Unbilled Receivables, Not Billable, Amount Expected to be Collected in Next Twelve Months	65,900	$ 39,700
Billings in excess of costs and estimated earnings on uncompleted contracts	$ 46,062	$ 59,810

NET (LOSS) INCOME PER COMMON SHARE ATTRIBUTABLE TO VERINT SYSTEMS INC. NET (LOSS) INCOME PER COMMON SHARE ATTRIBUTABLE TO VERINT SYSTEMS INC. - CALCULATION (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended								12 Months Ended
	Jan. 31, 2018	Oct. 31, 2017	Jul. 31, 2017	Apr. 30, 2017	Jan. 31, 2017	Oct. 31, 2016	Jul. 31, 2016	Apr. 30, 2016	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Net (Loss) Income Attributable to Verint Systems Inc. [Abstract]
Net (loss) income	$ 18,286	$ 3,066	$ (5,766)	$ (19,040)	$ 8,459	$ (7,434)	$ (11,078)	$ (16,193)	$ (3,454)	$ (26,246)	$ 22,228
Net income attributable to noncontrolling interest									3,173	3,134	4,590
Net (loss) income attributable to Verint Systems Inc.	$ 17,097	$ 2,489	$ (6,427)	$ (19,786)	$ 8,018	$ (8,237)	$ (11,705)	$ (17,456)	$ (6,627)	$ (29,380)	$ 17,638
Weighted Average Number of Shares Outstanding Reconciliation [Abstract]
Basic (in shares)									63,312,000	62,593,000	61,813,000
Dilutive effect of employee equity award plans (in shares)									0	0	1,108,000
Dilutive effect of 1.50% convertible senior notes (in shares)									0	0	0
Dilutive effect of warrants (in shares)									0	0	0
Diluted (in shares)									63,312,000	62,593,000	62,921,000
Net (Loss) Income Per Share Attributable to Verint Systems Inc. [Abstract]
Basic (in dollars per share)	$ 0.27	$ 0.04	$ (0.10)	$ (0.32)	$ 0.13	$ (0.13)	$ (0.19)	$ (0.28)	$ (0.10)	$ (0.47)	$ 0.29
Diluted (in dollars per share)	$ 0.26	$ 0.04	$ (0.10)	$ (0.32)	$ 0.13	$ (0.13)	$ (0.19)	$ (0.28)	$ (0.10)	$ (0.47)	$ 0.28

NET (LOSS) INCOME PER COMMON SHARE ATTRIBUTABLE TO VERINT SYSTEMS INC. NET (LOSS) INCOME PER COMMON SHARE ATTRIBUTABLE TO VERINT SYSTEMS INC. - ANTIDILUTIVE SECURITIES (Details) - shares shares in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Stock options and restricted stock-based awards
Antidilutive Securities Excluded from Computation of Earnings Per Share
Antidilutive Securities Excluded from Computation of Earnings Per Share, (in shares)	1,187	1,097	596
1.50% convertible senior notes
Antidilutive Securities Excluded from Computation of Earnings Per Share
Antidilutive Securities Excluded from Computation of Earnings Per Share, (in shares)	6,205	6,205	6,205
Warrants
Antidilutive Securities Excluded from Computation of Earnings Per Share
Antidilutive Securities Excluded from Computation of Earnings Per Share, (in shares)	6,205	6,205	6,205

NET (LOSS) INCOME PER COMMON SHARE ATTRIBUTABLE TO VERINT SYSTEMS INC. NET (LOSS) INCOME PER COMMON SHARE ATTRIBUTABLE TO VERINT SYSTEMS INC. - OTHER DETAILS (Details)	Jan. 31, 2018 $ / shares shares
Exercise Price of Warrants (in dollars per share)	$ 75.00
Warrants (in shares) \| shares	6,205,000
1.50% Convertible Senior Notes
1.50% Convertible Notes - Conversion Price (in dollars per share)	$ 64.46

CASH, CASH EQUIVALENTS, AND SHORT-TERM INVESTMENTS CASH, CASH EQUIVALENTS, AND SHORT-TERM INVESTMENTS (Details) - USD ($)	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Schedule of Available-for-sale Securities [Line Items]
Gains (losses) on sales of available-for-sale securities	$ 0	$ 0	$ 0
Proceeds from sales and maturities of available-for-sale securities	8,700,000	52,800,000	$ 71,500,000
Commercial paper and corporate debt securities (available-for-sale)
Schedule of Available-for-sale Securities [Line Items]
Marketable debt securities	2,002,000
Gross unrealized gains	0
Gross unrealized losses	0
Estimated Fair Value	2,002,000
Bank time deposits
Schedule of Available-for-sale Securities [Line Items]
Marketable debt securities	4,564,000	3,184,000
Gross unrealized gains	0	0
Gross unrealized losses	0	0
Estimated Fair Value	4,564,000	3,184,000
Total short-term investments
Schedule of Available-for-sale Securities [Line Items]
Marketable debt securities	6,566,000	3,184,000
Gross unrealized gains	0	0
Gross unrealized losses	0	0
Estimated Fair Value	6,566,000	3,184,000
Cash and bank time deposits
Schedule of Available-for-sale Securities [Line Items]
Marketable debt securities	337,756,000	307,188,000
Gross unrealized gains	0	0
Gross unrealized losses	0	0
Estimated Fair Value	337,756,000	307,188,000
Money market funds
Schedule of Available-for-sale Securities [Line Items]
Marketable debt securities	186,000	175,000
Gross unrealized gains	0	0
Gross unrealized losses	0	0
Estimated Fair Value	186,000	175,000
Total cash and cash equivalents
Schedule of Available-for-sale Securities [Line Items]
Marketable debt securities	337,942,000	307,363,000
Gross unrealized gains	0	0
Gross unrealized losses	0	0
Estimated Fair Value	$ 337,942,000	$ 307,363,000

BUSINESS COMBINATIONS BUSINESS COMBINATIONS - YEAR ENDED JANUARY 31, 2018 - SUMMARY (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Business Acquisition
Goodwill	$ 1,388,299	$ 1,264,818	$ 1,207,176
Individually Insignificant Business Combinations - Year Ended January 31, 2018
Business Acquisition
Payments to Acquire Businesses, Gross	136,000
Payment Made At Closing To Acquire Businesses	106,049
Business Acquisition Contingent Consideration Fair Value Disclosure	47,700
Fair value of contingent obligation	27,605
Goodwill	81,805
Business Acquisition, Goodwill, Expected Tax Deductible Amount	14,500
Business Acquisition, Purchase Price Allocation, Goodwill, Tax Not Deductible Amount	67,300
Transaction and Related Costs, Including Integration Costs	4,900
Enterprise Intelligence \| Individually Insignificant Business Combinations - Year Ended January 31, 2018
Business Acquisition
Goodwill	78,000
Cyber Intelligence
Business Acquisition
Goodwill	137,206	$ 132,839	$ 131,970
Cyber Intelligence \| Individually Insignificant Business Combinations - Year Ended January 31, 2018
Business Acquisition
Goodwill	$ 3,800

BUSINESS COMBINATIONS BUSINESS COMBINATIONS - YEAR ENDED JANUARY 31, 2018 - PURCHASE PRICE ALLOCATIONS (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Schedule of Purchase Price Allocations for the Year Ended January 31, 2018 [Line Items]
Goodwill	$ 1,388,299	$ 1,264,818	$ 1,207,176
Individually Insignificant Business Combinations - Year Ended January 31, 2018
Schedule of Purchase Price Allocations for the Year Ended January 31, 2018 [Line Items]
Payment Made At Closing To Acquire Businesses	106,049
Fair value of contingent obligation	27,605
Post-closing purchase price adjustment	2,380
Business Combination, Consideration Transferred	136,034
Accounts receivable	4,184
Other current assets, including cash acquired	15,108
Other assets	2,765
Current and other liabilities	(12,462)
Deferred Revenue - Current and Long-Term	4,424
Deferred Income Taxes	8,660
Net Tangible Assets (Liabilities)	(3,489)
Identifiable intangible assets	57,718
Goodwill	81,805
Total Purchase Price Allocations	136,034
Customer Relationships \| Individually Insignificant Business Combinations - Year Ended January 31, 2018
Schedule of Purchase Price Allocations for the Year Ended January 31, 2018 [Line Items]
Identifiable intangible assets	24,444
Acquired Technology \| Individually Insignificant Business Combinations - Year Ended January 31, 2018
Schedule of Purchase Price Allocations for the Year Ended January 31, 2018 [Line Items]
Identifiable intangible assets	30,952
Trademarks and Trade Names \| Individually Insignificant Business Combinations - Year Ended January 31, 2018
Schedule of Purchase Price Allocations for the Year Ended January 31, 2018 [Line Items]
Identifiable intangible assets	$ 2,322

BUSINESS COMBINATIONS BUSINESS COMBINATIONS - YEAR ENDED JANUARY 31, 2018 - INTANGIBLE ASSETS USEFUL LIVES (Details)	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017
Business Acquisition
Estimated useful lives of finite-lived intangible assets (in years)	10 years
Weighted-average estimated useful life of all finite-lived identifiable intangible assets (in years)		7 years 9 months 17 days
Individually Insignificant Business Combinations - Year Ended January 31, 2018
Business Acquisition
Weighted-average estimated useful life of all finite-lived identifiable intangible assets (in years)	6 years 10 months
Minimum \| Customer Relationships \| Individually Insignificant Business Combinations - Year Ended January 31, 2018
Business Acquisition
Estimated useful lives of finite-lived intangible assets (in years)	3 years
Minimum \| Acquired Technology \| Individually Insignificant Business Combinations - Year Ended January 31, 2018
Business Acquisition
Estimated useful lives of finite-lived intangible assets (in years)	3 years
Minimum \| Trademarks and Trade Names \| Individually Insignificant Business Combinations - Year Ended January 31, 2018
Business Acquisition
Estimated useful lives of finite-lived intangible assets (in years)	1 year
Maximum \| Customer Relationships \| Individually Insignificant Business Combinations - Year Ended January 31, 2018
Business Acquisition
Estimated useful lives of finite-lived intangible assets (in years)	10 years
Maximum \| Acquired Technology \| Individually Insignificant Business Combinations - Year Ended January 31, 2018
Business Acquisition
Estimated useful lives of finite-lived intangible assets (in years)	8 years
Maximum \| Trademarks and Trade Names \| Individually Insignificant Business Combinations - Year Ended January 31, 2018
Business Acquisition
Estimated useful lives of finite-lived intangible assets (in years)	7 years

BUSINESS COMBINATIONS BUSINESS COMBINATIONS - YEAR ENDED JANUARY 31, 2017 - CONTACT SOLUTIONS (Details) - Customer Engagement - Contact Solutions, LLC - USD ($) $ in Thousands		12 Months Ended
	Feb. 19, 2016	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Business Acquisition
Payment Made At Closing To Acquire Businesses	$ 66,915
Post-closing purchase price adjustment	2,518
Business Combination, Consideration Transferred	69,433
Deferred Revenue - Current and Long-Term	642
Intangible Asset - Undelivered Performance Obligations	2,900
Transaction and Related Costs, Including Integration Costs		$ 200	$ 1,400	$ 100
Prepaid expenses and other current assets
Business Acquisition
Intangible Asset - Undelivered Performance Obligations	1,200
Other assets
Business Acquisition
Intangible Asset - Undelivered Performance Obligations	$ 1,700

BUSINESS COMBINATIONS BUSINESS COMBINATIONS - YEAR ENDED JANUARY 31, 2017 - OPINIONLAB (Details) - USD ($) $ in Thousands		12 Months Ended
	Nov. 16, 2016	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Business Acquisition
Payments to Acquire Businesses, Net of Cash Acquired		$ 102,978	$ 141,803	$ 31,358
Customer Engagement \| OpinionLab Inc.
Business Acquisition
Payment Made At Closing To Acquire Businesses	$ 56,355
Cash Acquired from Acquisition	6,400
Payments to Acquire Businesses, Net of Cash Acquired	50,000
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, High	28,000
Business Acquisition Contingent Consideration Fair Value Disclosure	15,000
Deferred Revenue - Current and Long-Term	3,082
Intangible Asset - Undelivered Performance Obligations	5,400
Transaction and Related Costs, Including Integration Costs		$ 900	$ 600
Prepaid expenses and other current assets \| Customer Engagement \| OpinionLab Inc.
Business Acquisition
Intangible Asset - Undelivered Performance Obligations	3,400
Other assets \| Customer Engagement \| OpinionLab Inc.
Business Acquisition
Intangible Asset - Undelivered Performance Obligations	$ 2,000

BUSINESS COMBINATIONS BUSINESS COMBINATIONS - YEAR ENDED JANUARY 31, 2017 - PURCHASE PRICE ALLOCATIONS (Details) - USD ($) $ in Thousands	Nov. 16, 2016	Feb. 19, 2016	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Business Acquisition
Goodwill			$ 1,388,299	$ 1,264,818	$ 1,207,176
Customer Engagement
Business Acquisition
Goodwill			$ 1,251,093	$ 1,131,979	$ 1,075,206
Customer Engagement \| Contact Solutions, LLC
Business Acquisition
Payment Made At Closing To Acquire Businesses		$ 66,915
Fair value of contingent obligation		0
Post-closing purchase price adjustment		2,518
Business Combination, Consideration Transferred		69,433
Accounts receivable		8,102
Other current assets, including cash acquired		2,392
Property and equipment, net		7,007
Other assets		1,904
Current and other liabilities		(4,943)
Deferred Revenue - Current and Long-Term		642
Deferred Income Taxes		0
Net Tangible Assets (Liabilities)		13,820
Identifiable intangible assets		33,500
Goodwill		22,113
Total Purchase Price Allocations		69,433
Customer Engagement \| OpinionLab Inc.
Business Acquisition
Payment Made At Closing To Acquire Businesses	$ 56,355
Fair value of contingent obligation	15,000
Post-closing purchase price adjustment	0
Business Combination, Consideration Transferred	71,355
Accounts receivable	748
Other current assets, including cash acquired	10,625
Property and equipment, net	298
Other assets	2,036
Current and other liabilities	(1,600)
Deferred Revenue - Current and Long-Term	3,082
Deferred Income Taxes	(9,877)
Net Tangible Assets (Liabilities)	(852)
Identifiable intangible assets	31,300
Goodwill	40,907
Total Purchase Price Allocations	71,355
Customer Relationships \| Customer Engagement \| Contact Solutions, LLC
Business Acquisition
Identifiable intangible assets		18,000
Customer Relationships \| Customer Engagement \| OpinionLab Inc.
Business Acquisition
Identifiable intangible assets	19,100
Acquired Technology \| Customer Engagement \| Contact Solutions, LLC
Business Acquisition
Identifiable intangible assets		13,100
Acquired Technology \| Customer Engagement \| OpinionLab Inc.
Business Acquisition
Identifiable intangible assets	10,400
Trademarks and Trade Names \| Customer Engagement \| Contact Solutions, LLC
Business Acquisition
Identifiable intangible assets		$ 2,400
Trademarks and Trade Names \| Customer Engagement \| OpinionLab Inc.
Business Acquisition
Identifiable intangible assets	$ 1,800

BUSINESS COMBINATIONS BUSINESS COMBINATIONS - YEAR ENDED JANUARY 31, 2017 - INTANGIBLE ASSETS USEFUL LIVES (Details)			12 Months Ended
	Nov. 16, 2016	Feb. 19, 2016	Jan. 31, 2018	Jan. 31, 2017
Business Acquisition
Estimated useful lives of finite-lived intangible assets (in years)			10 years
Weighted-average estimated useful life of all finite-lived identifiable intangible assets (in years)				7 years 9 months 17 days
Customer Engagement \| Contact Solutions, LLC
Business Acquisition
Weighted-average estimated useful life of all finite-lived identifiable intangible assets (in years)		7 years 3 months 20 days
Customer Engagement \| OpinionLab Inc.
Business Acquisition
Weighted-average estimated useful life of all finite-lived identifiable intangible assets (in years)	8 years 3 months 20 days
Customer Relationships \| Customer Engagement \| Contact Solutions, LLC
Business Acquisition
Estimated useful lives of finite-lived intangible assets (in years)		10 years
Customer Relationships \| Customer Engagement \| OpinionLab Inc.
Business Acquisition
Estimated useful lives of finite-lived intangible assets (in years)	10 years
Acquired Technology \| Customer Engagement \| Contact Solutions, LLC
Business Acquisition
Estimated useful lives of finite-lived intangible assets (in years)		4 years
Acquired Technology \| Customer Engagement \| OpinionLab Inc.
Business Acquisition
Estimated useful lives of finite-lived intangible assets (in years)	6 years
Trademarks and Trade Names \| Customer Engagement \| Contact Solutions, LLC
Business Acquisition
Estimated useful lives of finite-lived intangible assets (in years)		5 years
Trademarks and Trade Names \| Customer Engagement \| OpinionLab Inc.
Business Acquisition
Estimated useful lives of finite-lived intangible assets (in years)	4 years

BUSINESS COMBINATIONS BUSINESS COMBINATIONS - YEAR ENDED JANUARY 31, 2016 - SUMMARY (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Business Acquisition
Goodwill	$ 1,388,299	$ 1,264,818	$ 1,207,176
Individually Insignificant Business Combinations - Year Ended January 31, 2016
Business Acquisition
Payments to Acquire Businesses, Gross			49,500
Payment Made At Closing To Acquire Businesses			33,222
Business Acquisition Contingent Consideration Fair Value Disclosure			30,500
Fair value of contingent obligation			16,237
Goodwill			28,717
Business Acquisition, Goodwill, Expected Tax Deductible Amount			5,100
Business Acquisition, Purchase Price Allocation, Goodwill, Tax Not Deductible Amount			23,600
Transaction and Related Costs, Including Integration Costs	700	600	1,400
Enterprise Intelligence \| Individually Insignificant Business Combinations - Year Ended January 31, 2016
Business Acquisition
Goodwill			7,700
Cyber Intelligence
Business Acquisition
Goodwill	$ 137,206	$ 132,839	131,970
Cyber Intelligence \| Individually Insignificant Business Combinations - Year Ended January 31, 2016
Business Acquisition
Goodwill			$ 21,000

BUSINESS COMBINATIONS BUSINESS COMBINATIONS - YEAR ENDED JANUARY 31, 2016 - PURCHASE PRICE ALLOCATIONS (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2016	Jan. 31, 2018	Jan. 31, 2017
Business Acquisition
Goodwill	$ 1,207,176	$ 1,388,299	$ 1,264,818
Individually Insignificant Business Combinations - Year Ended January 31, 2016
Business Acquisition
Payment Made At Closing To Acquire Businesses	33,222
Fair value of contingent obligation	16,237
Business Combination, Consideration Transferred	49,459
Accounts receivable	992
Other current assets, including cash acquired	4,274
Other assets	395
Current and other liabilities	(3,037)
Deferred Revenue - Current and Long-Term	(1,872)
Deferred Income Taxes	(2,922)
Net Tangible Assets (Liabilities)	(2,170)
Identifiable intangible assets	22,912
Goodwill	28,717
Total Purchase Price Allocations	49,459
Customer Relationships \| Individually Insignificant Business Combinations - Year Ended January 31, 2016
Business Acquisition
Identifiable intangible assets	1,212
Acquired Technology \| Individually Insignificant Business Combinations - Year Ended January 31, 2016
Business Acquisition
Identifiable intangible assets	20,300
Trademarks and Trade Names \| Individually Insignificant Business Combinations - Year Ended January 31, 2016
Business Acquisition
Identifiable intangible assets	300
In Process Research and Development \| Individually Insignificant Business Combinations - Year Ended January 31, 2016
Business Acquisition
Identifiable intangible assets	$ 1,100

BUSINESS COMBINATIONS BUSINESS COMBINATIONS - YEAR ENDED JANUARY 31, 2016 - INTANGIBLE ASSET USEFUL LIVES (Details)	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Business Acquisition
Estimated useful lives of finite-lived intangible assets (in years)	10 years
Weighted-average estimated useful life of all finite-lived identifiable intangible assets (in years)		7 years 9 months 17 days
Individually Insignificant Business Combinations - Year Ended January 31, 2016
Business Acquisition
Weighted-average estimated useful life of all finite-lived identifiable intangible assets (in years)			4 years 5 months
Customer Relationships \| Minimum \| Individually Insignificant Business Combinations - Year Ended January 31, 2016
Business Acquisition
Estimated useful lives of finite-lived intangible assets (in years)			5 years
Customer Relationships \| Maximum \| Individually Insignificant Business Combinations - Year Ended January 31, 2016
Business Acquisition
Estimated useful lives of finite-lived intangible assets (in years)			10 years
Acquired Technology \| Minimum \| Individually Insignificant Business Combinations - Year Ended January 31, 2016
Business Acquisition
Estimated useful lives of finite-lived intangible assets (in years)			4 years
Acquired Technology \| Maximum \| Individually Insignificant Business Combinations - Year Ended January 31, 2016
Business Acquisition
Estimated useful lives of finite-lived intangible assets (in years)			5 years
Trademarks and Trade Names \| Individually Insignificant Business Combinations - Year Ended January 31, 2016
Business Acquisition
Estimated useful lives of finite-lived intangible assets (in years)			3 years

BUSINESS COMBINATIONS BUSINESS COMBINATIONS - OTHER BUSINESS COMBINATION INFORMATION (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Business Acquisition
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Gain (Loss) Included in Earnings	$ 8,300	$ (7,300)	$ 900
Payments of contingent consideration	(9,400)	(3,300)	$ (7,400)
Recurring \| Level 3
Business Acquisition
Business Acquisition Contingent Consideration Fair Value Disclosure	62,829	$ 52,733
Accrued expenses and other current liabilities \| Recurring \| Level 3
Business Acquisition
Business Acquisition Contingent Consideration Fair Value Disclosure	13,700
Other liabilities \| Recurring \| Level 3
Business Acquisition
Business Acquisition Contingent Consideration Fair Value Disclosure	$ 49,100

INTANGIBLE ASSETS AND GOODWILL - INTANGIBLE ASSETS (Details) - USD ($) $ in Thousands	Jan. 31, 2018	Jan. 31, 2017
Acquired Finite-Lived Intangible Assets [Line Items]
Finite-Lived Intangible Assets, Gross		$ 668,619
Finite-Lived Intangible Assets, Accumulated Amortization	$ (520,034)	(434,460)
Finite-Lived Intangible Assets, Net	226,093	234,159
Finite and Indefinite-Lived Intangible Assets Gross	746,127	669,719
Intangible assets, net	226,093	235,259
Customer Relationships
Acquired Finite-Lived Intangible Assets [Line Items]
Finite-Lived Intangible Assets, Gross	438,664	403,657
Finite-Lived Intangible Assets, Accumulated Amortization	(281,592)	(244,792)
Finite-Lived Intangible Assets, Net	157,072	158,865
Acquired Technology
Acquired Finite-Lived Intangible Assets [Line Items]
Finite-Lived Intangible Assets, Gross	273,156	233,982
Finite-Lived Intangible Assets, Accumulated Amortization	(212,571)	(168,653)
Finite-Lived Intangible Assets, Net	60,585	65,329
Trade Names
Acquired Finite-Lived Intangible Assets [Line Items]
Finite-Lived Intangible Assets, Gross	26,820	23,493
Finite-Lived Intangible Assets, Accumulated Amortization	(18,570)	(14,187)
Finite-Lived Intangible Assets, Net	8,250	9,306
Non-competition Agreements
Acquired Finite-Lived Intangible Assets [Line Items]
Finite-Lived Intangible Assets, Gross	3,047	3,047
Finite-Lived Intangible Assets, Accumulated Amortization	(2,861)	(2,499)
Finite-Lived Intangible Assets, Net	186	548
Distribution network
Acquired Finite-Lived Intangible Assets [Line Items]
Finite-Lived Intangible Assets, Gross	4,440	4,440
Finite-Lived Intangible Assets, Accumulated Amortization	(4,440)	(4,329)
Finite-Lived Intangible Assets, Net	$ 0	111
In Process Research and Development
Acquired Finite-Lived Intangible Assets [Line Items]
Finite-Lived Intangible Assets, Accumulated Amortization		0
Indefinite-Lived Intangible Assets (Excluding Goodwill)		$ 1,100

INTANGIBLE ASSETS AND GOODWILL INTANGIBLE ASSETS AND GOODWILL - INTANGIBLE ASSETS BY REPORTABLE SEGMENT (Details) - USD ($) $ in Thousands	Jan. 31, 2018	Jan. 31, 2017
Finite-Lived Intangible Assets [Line Items]
Intangible assets, net	$ 226,093	$ 235,259
Customer Engagement
Finite-Lived Intangible Assets [Line Items]
Intangible assets, net	213,963	207,436
Cyber Intelligence
Finite-Lived Intangible Assets [Line Items]
Intangible assets, net	$ 12,130	$ 27,823

INTANGIBLE ASSETS AND GOODWILL INTANGIBLE ASSETS AND GOODWILL - AMORTIZATION AND IMPAIRMENT (Details) - USD ($) $ in Millions	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Finite-Lived Intangible Assets [Line Items]
Impairment of Intangible Assets, Finite-lived		$ 0.0
Amortization of Intangible Assets	$ 72.4	$ 81.5	$ 78.9
Customer Relationships
Finite-Lived Intangible Assets [Line Items]
Impairment of Intangible Assets, Finite-lived	$ 3.3
Acquired Technology
Finite-Lived Intangible Assets [Line Items]
Impairment of Intangible Assets, Finite-lived			$ 3.2

INTANGIBLE ASSETS AND GOODWILL INTANGIBLE ASSETS AND GOODWILL - FUTURE AMORTIZATION OF INTANGIBLE ASSETS (Details) - USD ($) $ in Thousands	Jan. 31, 2018	Jan. 31, 2017
Intangible Assets - Future Amortization [Abstract]
2019	$ 53,733
2020	42,265
2021	34,434
2022	30,578
2023	24,795
Thereafter	40,288
Intangible assets with finite lives, Net	$ 226,093	$ 234,159

INTANGIBLE ASSETS AND GOODWILL INTANGIBLE ASSETS AND GOODWILL - GOODWILL REALLOCATION (Details) $ in Millions	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2018 segment	Jan. 31, 2017 USD ($)
Goodwill activity
Number of Reportable Segments	2	2
Number of Reporting Units	3
Gross Goodwill \| Customer Engagement
Goodwill activity
Goodwill - Reallocated in Response to Change in Segmentation			$ 51.8
Gross Goodwill \| Cyber Intelligence
Goodwill activity
Goodwill - Reallocated in Response to Change in Segmentation			22.2
Goodwill - Accumulated Impairment Losses \| Customer Engagement
Goodwill activity
Goodwill - Reallocated in Response to Change in Segmentation			(25.3)
Goodwill - Accumulated Impairment Losses \| Cyber Intelligence
Goodwill activity
Goodwill - Reallocated in Response to Change in Segmentation			$ (10.8)

INTANGIBLE ASSETS AND GOODWILL - GOODWILL (Details) - USD ($)	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Goodwill activity
Goodwill, gross at the beginning of the period	$ 1,455,164,000	$ 1,331,683,000	$ 1,274,041,000
Accumulated impairment losses	(66,865,000)	(66,865,000)	(66,865,000)
Goodwill, net at the beginning of the period	1,264,818,000	1,207,176,000
Business combinations, including prior year adjustments	81,180,000	91,209,000
Foreign currency translation and other	42,301,000	(33,567,000)
Goodwill, net, at the end of the period	1,388,299,000	1,264,818,000	1,207,176,000
Goodwill Impairments
Impairments of goodwill	0	0	0
Customer Engagement
Goodwill activity
Goodwill, gross at the beginning of the period	1,307,136,000	1,188,022,000	1,131,249,000
Accumulated impairment losses	(56,043,000)	(56,043,000)	(56,043,000)
Goodwill, net at the beginning of the period	1,131,979,000	1,075,206,000
Business combinations, including prior year adjustments	77,345,000	91,209,000
Foreign currency translation and other	41,769,000	(34,436,000)
Goodwill, net, at the end of the period	1,251,093,000	1,131,979,000	1,075,206,000
Cyber Intelligence
Goodwill activity
Goodwill, gross at the beginning of the period	148,028,000	143,661,000	142,792,000
Accumulated impairment losses	(10,822,000)	(10,822,000)	(10,822,000)
Goodwill, net at the beginning of the period	132,839,000	131,970,000
Business combinations, including prior year adjustments	3,835,000	0
Foreign currency translation and other	532,000	869,000
Goodwill, net, at the end of the period	$ 137,206,000	$ 132,839,000	$ 131,970,000

LONG-TERM DEBT - SUMMARY (Details) - USD ($) $ in Thousands	Jan. 31, 2018	Jun. 29, 2017	Jan. 31, 2017	Jun. 18, 2014	Mar. 07, 2014	Feb. 03, 2014
Debt Instrument [Line Items]
Unamortized debt discounts and issuance costs	$ (50,141)		$ (60,571)
Total debt	772,984		748,871
Current maturities of long-term debt	4,500		4,611
Long-term debt	768,484		744,260
1.50% Convertible Senior Notes
Debt Instrument [Line Items]
Principal Amount - 1.50% Convertible Senior Notes	400,000		400,000	$ 400,000
February 2014 Term Loans
Debt Instrument [Line Items]
Gross term loan borrowings	0		130,060			$ 300,000
March 2014 Term Loans
Debt Instrument [Line Items]
Gross term loan borrowings	0		278,978		$ 643,500
2017 Term Loan
Debt Instrument [Line Items]
Gross term loan borrowings	422,875	$ 425,000	0
Other debt
Debt Instrument [Line Items]
Other Debt	$ 250		$ 404

LONG-TERM DEBT - 1.50% CONVERTIBLE SENIOR NOTES (Details)	Jun. 18, 2014 USD ($) shares	Jan. 31, 2018 USD ($) $ / shares	Jan. 31, 2017 USD ($)	Jan. 31, 2016
Debt Instrument [Line Items]
Convertible Notes Payable, Noncurrent		$ 354,000,000
Unamortized debt discount		42,100,000
Unamortized Debt Issuance Expense		4,000,000
Common Stock, Number of Shares and Other Disclosures
Common stock issued in public offering (in shares) \| shares	5,750,000
1.50% Convertible Senior Notes
Debt Instrument [Line Items]
Principal Amount - 1.50% Convertible Senior Notes	$ 400,000,000	$ 400,000,000	$ 400,000,000
Coupon Interest Rate	1.50%
Proceeds from issuance of convertible notes, net of issuance costs	$ 391,900,000
1.50% Convertible Notes - Conversion Ratio	15.5129
1.50% Convertible Notes - Base Principal Amount For Conversion Rate	$ 1,000
1.50% Convertible Notes - Conversion Price (in dollars per share) \| $ / shares		$ 64.46
1.50% Convertible Notes - Number of Common Shares (in shares)	6,205,000
1.50% Convertible Notes - Carrying Value	$ 319,900,000
1.50% Convertible Notes - Carrying Value of Equity Component	$ 80,100,000		$ 78,200,000
Assumed Noncovertible Debt Interest Rate	5.00%
Debt Issuance Costs	$ 7,600,000
Common stock issuance costs	1,900,000
Effective Interest Rate		5.29%	5.29%	5.29%
Common Stock, Number of Shares and Other Disclosures
Common stock issuance costs	$ 1,900,000
Conversion Scenario One \| 1.50% Convertible Senior Notes
Debt Instrument [Line Items]
1.50% Convertible Notes - Threshold Trading Days	20
1.50% Convertible Notes - Window of Consecutive Trading Days	30
1.50% Convertible Notes - Threshold Percentage for Conversion Trigger	130.00%
Conversion Scenario Two \| 1.50% Convertible Senior Notes
Debt Instrument [Line Items]
1.50% Convertible Notes - Window of Consecutive Trading Days	5
1.50% Convertible Notes - Threshold Percentage for Conversion Trigger	98.00%

LONG-TERM DEBT - NOTE HEDGES AND WARRANTS (Details) - USD ($) $ / shares in Units, $ in Millions		12 Months Ended
	Jun. 18, 2014	Jan. 31, 2018
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Exercise Price of Warrants (in dollars per share)		$ 75.00
Note Hedges - Shares (in shares)		6,205,000
Note Hedges - Strike Price (in dollars per share)		$ 64.46
Payments for convertible note hedges	$ 60.8
Warrants (in shares)		6,205,000
Proceeds from issuance of warrants	$ 45.2

LONG-TERM DEBT LONG-TERM DEBT - PRIOR CREDIT AGREEMENT - SUMMARY (Details) - USD ($)	Jun. 29, 2017	Jun. 18, 2014	Jan. 31, 2018	Jan. 31, 2017	Mar. 07, 2014	Feb. 03, 2014
Debt Instrument [Line Items]
Common stock issued in public offering (in shares)		5,750,000
Prior Credit Agreement (as amended)
Debt Instrument [Line Items]
Line of Credit Facility, Maximum Borrowing Capacity			$ 943,500,000
February 2014 Term Loans
Debt Instrument [Line Items]
Long-term Debt, Gross			0	$ 130,060,000		$ 300,000,000
March 2014 Term Loans
Debt Instrument [Line Items]
Long-term Debt, Gross			0	$ 278,978,000	$ 643,500,000
Prior Revolving Credit Facility
Debt Instrument [Line Items]
Line of Credit Facility, Maximum Borrowing Capacity			$ 300,000,000
Proceeds from (Repayments of) Secured Debt		$ 106,000,000
2014 Term Loans
Debt Instrument [Line Items]
Proceeds from (Repayments of) Secured Debt	$ 406,900,000	$ 530,000,000

LONG-TERM DEBT LONG-TERM DEBT - PRIOR CREDIT AGREEMENT - INTEREST RATE DETAILS (Details) - Prior Credit Agreement (as amended)	12 Months Ended
	Jan. 31, 2018
Base Rate \| Base Rate loans
Debt Instrument [Line Items]
Debt Instrument, Description of Variable Rate Basis	base rate
Debt Instrument, Basis Spread on Variable Rate	1.75%
Adjusted LIBO Rate \| Eurodollar loans
Debt Instrument [Line Items]
Debt Instrument, Description of Variable Rate Basis	Adjusted LIBOR Rate
Debt Instrument, Basis Spread on Variable Rate	2.75%

LONG-TERM DEBT LONG-TERM DEBT - 2017 CREDIT AGREEMENT - SUMMARY (Details) - USD ($)	Jun. 29, 2017	Jun. 18, 2014	Jan. 31, 2018	Jan. 31, 2017
Debt Instrument [Line Items]
Unamortized debt discount			$ 42,100,000
2017 Credit Agreement
Debt Instrument [Line Items]
Line of Credit Facility, Maximum Borrowing Capacity			725,000,000
2017 Term Loan
Debt Instrument [Line Items]
Long-term Debt, Gross	$ 425,000,000		422,875,000	$ 0
Unamortized debt discount	500,000
2017 Revolving Credit Facility
Debt Instrument [Line Items]
Line of Credit Facility, Maximum Borrowing Capacity			$ 300,000,000
2014 Term Loans
Debt Instrument [Line Items]
Proceeds from (Repayments of) Secured Debt	406,900,000	$ 530,000,000
Unamortized debt discount	$ 100,000

LONG-TERM DEBT LONG-TERM DEBT - 2017 CREDIT AGREEMENT - INTEREST RATE DETAILS (Details)	12 Months Ended
	Jan. 31, 2018
Variable Rate Based on Eurodollar Rate \| 2017 Credit Agreement \| Eurodollar loans
Debt Instrument [Line Items]
Debt Instrument, Description of Variable Rate Basis	Eurodollar Rate
Variable Rate Based on Eurodollar Rate \| 2017 Term Loan \| Eurodollar loans
Debt Instrument [Line Items]
Debt Instrument, Basis Spread on Variable Rate	2.25%
Variable Rate Based on Eurodollar Rate \| 2017 Term Loan - Following January 2018 Amendment \| Eurodollar loans
Debt Instrument [Line Items]
Debt Instrument, Basis Spread on Variable Rate	2.00%
Variable Rate Based on ABR Rate \| 2017 Credit Agreement \| ABR Rate Loans
Debt Instrument [Line Items]
Debt Instrument, Description of Variable Rate Basis	ABR rate
Variable Rate Based on ABR Rate \| 2017 Term Loan \| ABR Rate Loans
Debt Instrument [Line Items]
Debt Instrument, Basis Spread on Variable Rate	1.25%
Variable Rate Based on ABR Rate \| 2017 Term Loan - Following January 2018 Amendment \| ABR Rate Loans
Debt Instrument [Line Items]
Debt Instrument, Basis Spread on Variable Rate	1.00%

LONG-TERM DEBT LONG-TERM DEBT - LOSS ON PARTIAL EARLY RETIREMENT OF 2017 TERM LOANS (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Debt Instrument [Line Items]
Losses on early retirements of debt		$ 2,150	$ 0	$ 0
2017 Term Loan
Debt Instrument [Line Items]
Losses on early retirements of debt	$ (200)

LONG-TERM DEBT LONG-TERM DEBT - INTEREST RATES (Details) - 2017 Term Loan	Jan. 31, 2018
Debt Instrument [Line Items]
Interest Rate at end of period (as a percent)	3.58%
Effective Interest Rate	3.80%

LONG-TERM DEBT LONG-TERM DEBT - LOSS ON EARLY RETIREMENT OF 2014 TERM LOANS (Details) - USD ($) $ in Thousands		12 Months Ended
	Jun. 29, 2017	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Debt Instrument [Line Items]
Unamortized Debt Issuance Expense		$ 4,000
Unamortized debt discount		42,100
Losses on early retirements of debt		$ 2,150	$ 0	$ 0
Prior Credit Agreement (as amended)
Debt Instrument [Line Items]
Unamortized Debt Issuance Expense	$ 3,200
Prior Revolving Credit Facility
Debt Instrument [Line Items]
Unamortized Debt Issuance Expense	1,400
2014 Term Loans
Debt Instrument [Line Items]
Write off of Deferred Debt Issuance Cost	1,800
Unamortized debt discount	100
Losses on early retirements of debt	$ (1,900)

LONG-TERM DEBT LONG-TERM DEBT - 2017 CREDIT AGREEMENT ISSUANCE COSTS (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Debt Instrument [Line Items]
Payments of Debt Issuance Costs	$ 7,137	$ 249	$ 239
2017 Credit Agreement
Debt Instrument [Line Items]
Payments of Debt Issuance Costs	6,800
2017 Term Loan
Debt Instrument [Line Items]
Payments of Debt Issuance Costs	4,100
2017 Revolving Credit Facility
Debt Instrument [Line Items]
Payments of Debt Issuance Costs	$ 2,700

LONG-TERM DEBT - FUTURE AMORTIZATION (Details) - 2017 Term Loan - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jun. 29, 2017	Jan. 31, 2017
Debt Instrument [Line Items]
2019	$ 4,250
2020	4,250
2021	4,250
2022	4,250
2023	4,250
Thereafter	401,625
Total	422,875	$ 425,000	$ 0
Debt Instrument, Periodic Payment [Abstract]
Debt Instrument, Periodic Payment, Principal	$ 1,100

LONG-TERM DEBT LONG-TERM DEBT - INTEREST EXPENSE (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
1.50% Convertible Senior Notes
Debt Instrument [Line Items]
Interest Expense, Debt, Excluding Amortization	$ 6,000	$ 6,000	$ 6,000
Amortization of Debt Discount (Premium)	11,244	10,669	10,123
Amortization of Debt Issuance Costs	1,060	1,007	955
Interest Expense, Debt	18,304	17,676	17,078
Credit Agreements
Debt Instrument [Line Items]
Interest Expense, Debt, Excluding Amortization	15,412	14,682	14,590
Amortization of Debt Discount (Premium)	65	58	56
Amortization of Debt Issuance Costs	1,839	2,211	2,166
Interest Expense, Debt	17,570	17,210	16,812
Interest Rate Swap
Debt Instrument [Line Items]
Derivative Instruments, (Gain) Loss Reclassified from Accumulated OCI into Income, Effective Portion, Net	680	0	0
Interest Rate Swap \| Credit Agreements
Debt Instrument [Line Items]
Derivative Instruments, (Gain) Loss Reclassified from Accumulated OCI into Income, Effective Portion, Net	$ 254	$ 259	$ 0

SUPPLEMENTAL CONSOLIDATED FINANCIAL STATEMENT INFORMATION (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Inventories
Raw materials	$ 9,870	$ 9,074
Work-in-process	6,269	4,355
Finished goods	3,732	4,108
Total inventories	19,871	17,537
Property, Plant and Equipment
Property and Equipment, gross	229,649	194,568
Accumulated Depreciation and Amortization	(140,560)	(117,017)
Property and Equipment, net	89,089	77,551
Depreciation [Abstract]
Depreciation Expense	26,000	25,200	$ 20,300
Other Assets [Abstract]
Long-term restricted cash and time deposits	28,402	54,566
Deferred debt issuance costs, net	3,668	1,929
Long-term security deposits	4,139	4,123
Other	15,828	16,002
Total other assets	52,037	76,620
Accounts Payable and Accrued Liabilities, Current [Abstract]
Compensation and benefits	83,216	73,998
Billings in excess of costs and estimated earnings on uncompleted contracts	46,062	59,810
Income taxes	14,464	11,410
Contingent consideration - current portion	13,187	9,725
Distributor and agent commissions	12,255	10,384
Taxes other than income taxes	11,424	8,564
Professional and consulting fees	8,752	8,020
Other	30,905	31,313
Total accrued expenses and other current liabilities	220,265	213,224
Other Liabilities [Abstract]
Unrecognized tax benefits, including interest and penalties	41,014	28,204
Contingent consideration - long-term portion	49,149	42,708
Deferred rent expense	12,168	13,805
Obligations for severance compensation	3,028	2,880
Capital lease obligations - long-term portion	3,315	68
Other	5,791	6,694
Total other liabilities	114,465	94,359
Other income (expense), net:
Foreign currency gains (losses), net	6,760	(2,743)	(8,037)
(Losses) gains on derivative financial instruments, net	(17)	(322)	394
Other, net	(841)	(3,861)	(4,634)
Total other income (expense), net	5,902	(6,926)	(12,277)
Supplemental information regarding consolidated cash flows
Cash paid for interest	24,402	21,892	20,734
Cash payments of income taxes, net	23,450	29,582	17,165
Non-cash investing and financing transactions:
Liabilities for contingent consideration in business combinations	27,605	26,400	16,238
Capital leases of property and equipment	4,350	151	0
Accrued but unpaid purchases of property and equipment	2,367	2,868	4,562
Inventory transfers to property and equipment	437	552	1,142
Leasehold improvements funded by lease incentives	0	82	$ 1,721
Land and buildings
Property, Plant and Equipment
Property and Equipment, gross	10,276	9,543
Leasehold Improvements
Property, Plant and Equipment
Property and Equipment, gross	29,793	29,247
Software
Property, Plant and Equipment
Property and Equipment, gross	54,032	61,810
Equipment, Furniture and Other
Property, Plant and Equipment
Property and Equipment, gross	$ 135,548	$ 93,968

STOCKHOLDERS' EQUITY - TREASURY STOCK (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017
Class of Stock [Line Items]
Treasury shares acquired (in shares)		1,306,000
Cost of treasury stock acquired	$ 278	$ 46,896
Treasury stock, (in shares)	1,661,000	1,654,000
Treasury stock, cost	$ 57,425	$ 57,147
Number of shares of common stock repurchased (in shares)	7,000
Cost of shares of common stock repurchased	$ 300

STOCKHOLDERS' EQUITY STOCKHOLDERS' EQUITY - SCHEDULE OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Class of Stock [Line Items]
Accumulated other comprehensive income (loss) - beginning balance	$ (154,856)	$ (116,194)
Other comprehensive (loss) income before reclassifications	57,817	(37,523)
Amounts reclassified out of accumulated other comprehensive income (loss)	6,421	1,139
Net other comprehensive income (loss)	51,396	(38,662)
Accumulated other comprehensive income (loss) - ending balance	(103,460)	(154,856)	$ (116,194)
Unrealized gains (losses) on available-for-sale investments
Class of Stock [Line Items]
Accumulated other comprehensive income (loss) - beginning balance	0	(110)
Other comprehensive (loss) income before reclassifications	0	110
Amounts reclassified out of accumulated other comprehensive income (loss)	0	0
Net other comprehensive income (loss)	0	110
Accumulated other comprehensive income (loss) - ending balance	0	0	(110)
Foreign currency translation adjustments
Class of Stock [Line Items]
Accumulated other comprehensive income (loss) - beginning balance	(156,063)	(114,213)
Other comprehensive (loss) income before reclassifications	49,291	(41,850)
Amounts reclassified out of accumulated other comprehensive income (loss)	0	0
Net other comprehensive income (loss)	49,291	(41,850)
Accumulated other comprehensive income (loss) - ending balance	(106,772)	(156,063)	(114,213)
Foreign Exchange Contract
Class of Stock [Line Items]
Amounts reclassified out of accumulated other comprehensive income (loss)	6,130	1,139	(7,113)
Foreign Exchange Contract \| Unrealized gains (losses) on derivative financial instruments designated as hedges
Class of Stock [Line Items]
Accumulated other comprehensive income (loss) - beginning balance	575	(1,871)
Other comprehensive (loss) income before reclassifications	8,867	3,585
Amounts reclassified out of accumulated other comprehensive income (loss)	6,130	1,139
Net other comprehensive income (loss)	2,737	2,446
Accumulated other comprehensive income (loss) - ending balance	3,312	575	(1,871)
Interest Rate Swap
Class of Stock [Line Items]
Amounts reclassified out of accumulated other comprehensive income (loss)	291	0	0
Interest Rate Swap \| Unrealized gains (losses) on derivative financial instruments designated as hedges
Class of Stock [Line Items]
Accumulated other comprehensive income (loss) - beginning balance	632	0
Other comprehensive (loss) income before reclassifications	(341)	632
Amounts reclassified out of accumulated other comprehensive income (loss)	291	0
Net other comprehensive income (loss)	(632)	632
Accumulated other comprehensive income (loss) - ending balance	$ 0	$ 632	$ 0

STOCKHOLDERS' EQUITY STOCKHOLDERS' EQUITY - AMOUNTS RECLASSIFIED OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Reclassifications Out of Accumulated Other Comprehensive Income (Loss)
Amounts reclassified out of accumulated other comprehensive income (loss)	$ 6,421	$ 1,139
Foreign Exchange Contract
Reclassifications Out of Accumulated Other Comprehensive Income (Loss)
Derivative Instruments, (Gain) Loss Reclassified from Accumulated OCI into Income, Effective Portion, Net	6,813	1,257	$ (8,151)
(Provision) benefit for income taxes	683	118	(1,038)
Amounts reclassified out of accumulated other comprehensive income (loss)	6,130	1,139	(7,113)
Foreign Exchange Contract \| Cost of revenue - product
Reclassifications Out of Accumulated Other Comprehensive Income (Loss)
Derivative Instruments, (Gain) Loss Reclassified from Accumulated OCI into Income, Effective Portion, Net	621	108	(718)
Foreign Exchange Contract \| Cost of revenue - service and support
Reclassifications Out of Accumulated Other Comprehensive Income (Loss)
Derivative Instruments, (Gain) Loss Reclassified from Accumulated OCI into Income, Effective Portion, Net	599	115	(672)
Foreign Exchange Contract \| Research and development, net
Reclassifications Out of Accumulated Other Comprehensive Income (Loss)
Derivative Instruments, (Gain) Loss Reclassified from Accumulated OCI into Income, Effective Portion, Net	3,577	651	(4,556)
Foreign Exchange Contract \| Selling, general and administrative
Reclassifications Out of Accumulated Other Comprehensive Income (Loss)
Derivative Instruments, (Gain) Loss Reclassified from Accumulated OCI into Income, Effective Portion, Net	2,016	383	(2,205)
Interest Rate Swap
Reclassifications Out of Accumulated Other Comprehensive Income (Loss)
Derivative Instruments, (Gain) Loss Reclassified from Accumulated OCI into Income, Effective Portion, Net	680	0	0
(Provision) benefit for income taxes	389	0	0
Amounts reclassified out of accumulated other comprehensive income (loss)	291	0	0
Interest Rate Swap \| Interest expense
Reclassifications Out of Accumulated Other Comprehensive Income (Loss)
Derivative Instruments, (Gain) Loss Reclassified from Accumulated OCI into Income, Effective Portion, Net	(254)	0	0
Interest Rate Swap \| Other income (expense), net
Reclassifications Out of Accumulated Other Comprehensive Income (Loss)
Derivative Instruments, (Gain) Loss Reclassified from Accumulated OCI into Income, Effective Portion, Net	$ 934	$ 0	$ 0

RESEARCH AND DEVELOPMENT, NET RESEARCH AND DEVELOPMENT, NET - R&D EXPENSES AND GRANTS (Details) - USD ($) $ in Millions	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Research and Development Expense [Abstract]
Gross research and development expenses	$ 192.6	$ 174.6	$ 181.7
Grants from IIA and other government programs recorded as a reduction in gross research and development expenses	$ 2.0	$ 3.5	$ 4.0

RESEARCH AND DEVELOPMENT, NET RESEARCH AND DEVELOPMENT, NET - CAPITALIZED SOFTWARE DEVELOPMENT COSTS (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Movement in Capitalized Computer Software, Net [Roll Forward]
Capitalized software development costs, net - beginning of the period	$ 9,509	$ 11,992	$ 10,112
Software development costs capitalized during the year	3,126	2,338	5,027
Amortization of capitalized software development costs	(3,338)	(3,341)	(2,976)
Impairments, foreign currency translation and other	(69)	(1,480)	(171)
Capitalized software development costs, net - end of the period	9,228	9,509	11,992
Capitalized Computer Software, Impairments
Capitalized Computer Software, Impairments	$ 0	$ 1,300	$ 0

INCOME TAXES INCOME TAXES - IMPACT OF 2017 TAX ACT (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
U.S. federal statutory income tax rate (as a percent)		33.80%	35.00%	35.00%
Federal Tax Benefit		$ 4,734	$ (8,179)	$ 2,244
Income Tax Expense (Benefit)		$ 22,354	$ 2,772	$ 952
Provisional Deferred Income Taxes	$ 15,000
Prior to Enactment of 2017 Tax Act
U.S. federal statutory income tax rate (as a percent)		35.00%
Subsequent to Enactment of 2017 Tax Act
U.S. federal statutory income tax rate (as a percent)		21.00%
Impact of 2017 Tax Act
Federal Tax Benefit		$ 5,400
Transition Tax from 2017 Tax Act		230,500
Provisional Deferred Income Taxes		15,000
Net Impact of Transition Tax
Income Tax Expense (Benefit)		$ 0

INCOME TAXES INCOME TAXES - INCOME (LOSS) BEFORE TAXES (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Noncontrolling Interest [Abstract]
Domestic	$ (44,502)	$ (60,722)	$ (43,471)
Foreign	63,402	37,248	66,651
Total income (loss) before provision for income taxes	$ 18,900	$ (23,474)	$ 23,180

INCOME TAXES INCOME TAXES - PROVISION FOR INCOME TAXES (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Current provision (benefit) for income taxes
Federal	$ 4,364	$ 604	$ (2,997)
State	1,215	989	1,300
Foreign	24,308	18,120	8,289
Total current provision for income taxes	29,887	19,713	6,592
Deferred provision (benefit) for income taxes
Federal	4,734	(8,179)	2,244
State	(58)	(842)	12
Foreign	(12,209)	(7,920)	(7,896)
Total deferred benefit for income taxes	(7,533)	(16,941)	(5,640)
Total provision for income taxes	$ 22,354	$ 2,772	$ 952

INCOME TAXES INCOME TAXES - EFFECTIVE TAX RATE RECONCILIATION (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Income Tax Expense (Benefit), Continuing Operations, Income Tax Reconciliation [Abstract]
U.S. federal statutory income tax rate (as a percent)	33.80%	35.00%	35.00%
Income tax provision (benefit) at the U.S. federal statutory rate	$ 6,394	$ (8,215)	$ 8,115
State income tax provision (benefit)	1,792	(312)	(79)
Foreign tax rate differential	(9,434)	(5,794)	(3,068)
Tax incentives	(3,891)	(3,507)	(12,293)
Valuation allowances	14,539	(3,640)	(7,767)
Stock-based and other compensation	(8,656)	2,522	3,562
Non-deductible expenses	(2,091)	5,315	6,061
Tax credits	(307)	(112)	(482)
Tax contingencies	5,017	5,566	(6,281)
Tax effects of reorganizations and liquidations	0	975	6,136
U.S. tax effects of foreign operations	8,591	9,542	7,574
Impact of 2017 Tax Act	9,641	0	0
Other, net	759	432	(526)
Total provision for income taxes	$ 22,354	$ 2,772	$ 952
Effective income tax rate (as a percent)	118.30%	(11.80%)	4.10%

INCOME TAXES INCOME TAXES - U.S. TAX RATES (Details)	12 Months Ended
INCOME TAXES INCOME TAXES - U.S. TAX RATES (Details)	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
U.S. federal statutory income tax rate (as a percent)	33.80%	35.00%	35.00%
Prior to Enactment of 2017 Tax Act
U.S. federal statutory income tax rate (as a percent)	35.00%
Subsequent to Enactment of 2017 Tax Act
U.S. federal statutory income tax rate (as a percent)	21.00%

INCOME TAXES INCOME TAXES - SPECIAL TAX RATES (Details)	12 Months Ended
INCOME TAXES INCOME TAXES - SPECIAL TAX RATES (Details)	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Israel
Exemption Period for Income Taxes Attributable to Approved Enterprise	2 years
Israel \| Minimum
Period of Reduced Income Tax Rate for Income Attributable to Approved Enterprise	5 years
Reduced Income Tax Rate for Income Attributable to Approved Enterprise	10.00%
Israel \| Maximum
Period of Reduced Income Tax Rate for Income Attributable to Approved Enterprise	8 years
Reduced Income Tax Rate for Income Attributable to Approved Enterprise	25.00%
Cyprus
Effective Income Tax Rate Decrease Due to Tax Incentive	17.80%	12.40%	51.00%

INCOME TAXES INCOME TAXES - DEFERRED INCOME TAXES (Details) - USD ($) $ in Thousands	Jan. 31, 2018	Jan. 31, 2017
Components of Deferred Tax Assets [Abstract]
Accrued expenses	$ 7,637	$ 10,627
Deferred revenue	2,421	3,953
Loss carryforwards	47,009	125,986
Tax credits	11,935	7,972
Stock-based and other compensation	17,568	20,187
Capitalized research and development expenses	10,316	4,146
Other, net	3,749	2,672
Total deferred tax assets	100,635	175,543
Components of Deferred Tax Liabilities [Abstract]
Goodwill and other intangible assets	(36,977)	(50,679)
Unremitted earnings of foreign subsidiaries	(12,257)	(18,215)
Other, net	(712)	(2,344)
Total deferred tax liabilities	49,946	71,238
Valuation allowance	(55,116)	(108,609)
Deferred Tax Liabilities, Net	4,427	4,304
Deferred Tax Assets (Liabilities), Net [Abstract]
Deferred tax assets	30,878	21,510
Deferred tax liabilities	(35,305)	(25,814)
Deferred Tax Liabilities, Net	$ 4,427	$ 4,304

INCOME TAXES INCOME TAXES - DEFERRED INCOME TAX INFORMATION (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
U.S. federal statutory income tax rate (as a percent)	33.80%	35.00%	35.00%
Reduction in Deferred Tax Asset Valuation Allowance	$ 14,539	$ (3,640)	$ (7,767)
Subsequent to Enactment of 2017 Tax Act
U.S. federal statutory income tax rate (as a percent)	21.00%
Impact of 2017 Tax Act
Reduction in Deferred Tax Assets Resulting From Change in Enacted Tax Rates	$ (65,400)
Valuation Allowance of Deferred Tax Assets \| Impact of 2017 Tax Act
Reduction in Deferred Tax Asset Valuation Allowance	$ (70,832)	$ 0

INCOME TAXES INCOME TAXES - CARRYFORWARDS (Details) $ in Millions	12 Months Ended
	Jan. 31, 2018 USD ($)
Operating Loss Carryforwards [Line Items]
Tax Credit Carryforward, Amount	$ 16.2
Tax Credit Carryforward Amount Indefinite Carryforward	8.0
Tax Credit Carryforward Amount Subject to Expiration	8.2
Internal Revenue Service (IRS)
Operating Loss Carryforwards [Line Items]
Operating Loss Carryforwards	428.0
State and Local Jurisdictions
Operating Loss Carryforwards [Line Items]
Operating Loss Carryforwards	242.5
Foreign Countries
Operating Loss Carryforwards [Line Items]
Operating Loss Carryforwards	68.0
Operating Loss Carry Forwards Subject to Expiration	11.0
Impact of 2017 Tax Act
Operating Loss Carryforwards [Line Items]
Utilization of NOL Carryforwards	230.5
Accounting Standards Update 2016-09
Operating Loss Carryforwards [Line Items]
Increase in Net Operating Loss	$ 49.7

INCOME TAXES INCOME TAXES - VALUATION ALLOWANCES (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Recorded valuation allowance
Balance at beginning of year	$ (1,842)	$ (1,170)	$ (1,099)
Adjustments to Valuation Allowances	(298)	(365)	(335)
Reduction in Deferred Tax Asset Valuation Allowance	14,539	(3,640)	(7,767)
Balance at end of year	(2,217)	(1,842)	(1,170)
Valuation Allowance of Deferred Tax Assets
Recorded valuation allowance
Balance at beginning of year	(108,609)	(115,756)
Balance at end of year	(55,116)	(108,609)	$ (115,756)
Valuation Allowance of Deferred Tax Assets \| Accounting Standards Update 2016-09
Recorded valuation allowance
Adjustments to Valuation Allowances	(17,407)	0
Valuation Allowance of Deferred Tax Assets \| Impact of 2017 Tax Act
Recorded valuation allowance
Reduction in Deferred Tax Asset Valuation Allowance	(70,832)	0
Valuation Allowance of Deferred Tax Assets \| Impact from Business Combinations
Recorded valuation allowance
Adjustments to Valuation Allowances	(2,061)	0
Provision (benefit) for income taxes \| Valuation Allowance of Deferred Tax Assets
Recorded valuation allowance
Adjustments to Valuation Allowances	2,868	3,640
Additional Paid-in Capital \| Valuation Allowance of Deferred Tax Assets
Recorded valuation allowance
Adjustments to Valuation Allowances	0	3,204
Currency translation adjustment \| Valuation Allowance of Deferred Tax Assets
Recorded valuation allowance
Adjustments to Valuation Allowances	$ (739)	$ 303

INCOME TAXES INCOME TAXES - UNRECOGNIZED TAX BENEFITS (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Changes in the balance of gross unrecognized tax benefits
Gross unrecognized tax benefits, beginning of year	$ 148,639	$ 142,271	$ 159,648
Increases related to tax positions taken during the current year	12,260	11,034	9,465
Increases as a result of business combinations	43	0	985
Increases related to tax positions taken during prior years	9,226	585	2,514
Increases (decreases) related to foreign currency exchange rates	2,449	648	(741)
Reductions for tax positions of prior years	(8,266)	(5,094)	(13,613)
Reductions for settlements with tax authorities	(140)	(145)	(13,811)
Reduction for rate change due to 2017 Tax Act	(48,004)	0	0
Lapses of statutes of limitation	(498)	(660)	(2,176)
Gross unrecognized tax benefits, end of year	$ 115,709	$ 148,639	$ 142,271

INCOME TAXES INCOME TAXES - UNRECOGNIZED TAX BENEFITS - INFORMATION (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016	Jan. 31, 2015
Income Tax Contingency [Line Items]
Unrecognized Tax Benefits	$ 115,709	$ 148,639	$ 142,271	$ 159,648
Unrecognized Tax Benefits that Would Impact Effective Tax Rate	105,400
Unrecognized Tax Benefits, Income Tax Penalties and Interest Expense	1,500	500	$ 4,400
Unrecognized Tax Benefits, Income Tax Penalties and Interest Accrued	5,600	$ 3,900
Decrease in Unrecognized Tax Benefits is Reasonably Possible	$ 6,900

FAIR VALUE MEASUREMENTS - FAIR VALUE TABLE (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Liabilities:
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Gain (Loss) Included in Earnings	$ 8,300	$ (7,300)	$ 900
Recurring \| Level 1
Assets:
Money market funds	186	175
Short-term investments, classified as available-for-sale	0
Foreign currency forward contracts	0	0
Total assets	186	175
Liabilities:
Foreign currency forward contracts	0	0
Contingent consideration- business combinations	0	0
Option to acquire noncontrolling interests of consolidated subsidiaries	0	0
Total liabilities	0	0
Recurring \| Level 2
Assets:
Money market funds	0	0
Short-term investments, classified as available-for-sale	2,002
Foreign currency forward contracts	3,682	1,646
Total assets	8,264	3,075
Liabilities:
Foreign currency forward contracts	1,308	1,246
Contingent consideration- business combinations	0	0
Option to acquire noncontrolling interests of consolidated subsidiaries	0	0
Total liabilities	1,308	1,654
Recurring \| Level 3
Assets:
Money market funds	0	0
Short-term investments, classified as available-for-sale	0
Foreign currency forward contracts	0	0
Total assets	0	0
Liabilities:
Foreign currency forward contracts	0	0
Contingent consideration- business combinations	62,829	52,733
Option to acquire noncontrolling interests of consolidated subsidiaries	2,950	3,550
Total liabilities	65,779	56,283
Interest Rate Swap \| Recurring \| Level 1
Assets:
Interest rate swap agreement	0	0
Liabilities:
Interest rate swap agreement		0
Interest Rate Swap \| Recurring \| Level 2
Assets:
Interest rate swap agreement	2,580	1,429
Liabilities:
Interest rate swap agreement		408
Interest Rate Swap \| Recurring \| Level 3
Assets:
Interest rate swap agreement	$ 0	0
Liabilities:
Interest rate swap agreement		$ 0

FAIR VALUE MEASUREMENTS - CONTINGENT CONSIDERATION TABLE (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Changes in the estimated fair value of liability for contingent consideration measured using significant unobservable inputs (Level 3)
Change in fair value, recorded in operating expenses	$ 8,300	$ (7,300)	$ 900
Payments of contingent consideration	(9,400)	(3,300)	(7,400)
Liability for contingent consideration
Changes in the estimated fair value of liability for contingent consideration measured using significant unobservable inputs (Level 3)
Fair value measurement at the beginning of the period	52,733	22,391
Contingent consideration liabilities recorded for business combinations	27,604	26,400
Change in fair value, recorded in operating expenses	(8,324)	7,255
Payments of contingent consideration	(9,412)	(3,313)
Foreign currency translation and other	(228)	0
Fair value measurement at the end of the period	$ 62,829	$ 52,733	$ 22,391
Liability for contingent consideration \| Minimum
Changes in the estimated fair value of liability for contingent consideration measured using significant unobservable inputs (Level 3)
Discount rates (as a percent)	3.00%	3.00%
Liability for contingent consideration \| Maximum
Changes in the estimated fair value of liability for contingent consideration measured using significant unobservable inputs (Level 3)
Discount rates (as a percent)	5.00%	20.00%

FAIR VALUE MEASUREMENTS FAIR VALUE MEASUREMENTS - OPTION TO ACQUIRE NONCONTROLLING INTERESTS (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Changes in the estimated fair value of liability for contingent consideration measured using significant unobservable inputs (Level 3)
Change in fair value, recorded in operating expenses	$ 8,300	$ (7,300)	$ 900
Option to acquire noncontrolling interests
Changes in the estimated fair value of liability for contingent consideration measured using significant unobservable inputs (Level 3)
Fair value measurement at the beginning of the period	3,550	0
Acquisition of option to acquire noncontrolling interests of consolidated subsidiaries	0	3,134
Change in fair value, recorded in operating expenses	(600)	416
Fair value measurement at the end of the period	$ 2,950	$ 3,550	$ 0
Minimum \| Option to acquire noncontrolling interests
Changes in the estimated fair value of liability for contingent consideration measured using significant unobservable inputs (Level 3)
Discount rates (as a percent)	13.50%	13.50%
Maximum \| Option to acquire noncontrolling interests
Changes in the estimated fair value of liability for contingent consideration measured using significant unobservable inputs (Level 3)
Discount rates (as a percent)	14.00%	14.00%

FAIR VALUE MEASUREMENTS - OTHER FAIR VALUE DISCLOSURES (Details) - Estimate of Fair Value Measurement - USD ($) $ in Millions	Jan. 31, 2018	Jan. 31, 2017
Level 3 \| Term loans
Other Financial Instruments
Long-term debt	$ 425	$ 410
Level 2 \| 1.50% Convertible Senior Notes
Other Financial Instruments
Convertible Debt, Fair Value Disclosures	$ 389	$ 381

DERIVATIVE FINANCIAL INSTRUMENTS - ASSETS AND LIABILITIES (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017
Fair Values of Derivative Financial Instruments
Assets, Fair Value	$ 5,012	$ 3,075
Liabilities, Fair Value	$ 1,308	1,654
Foreign currency forward contracts
Fair Values of Derivative Financial Instruments
Term to maturity of derivative contracts is generally less than this period (in months)	12 months
Derivative, Notional Amount	$ 153,500	144,000
Interest Rate Swap
Fair Values of Derivative Financial Instruments
Derivative, Notional Amount	200,000
Prepaid expenses and other current assets \| Foreign currency forward contracts \| Derivative designated as hedging instruments
Fair Values of Derivative Financial Instruments
Assets, Fair Value	3,682	927
Prepaid expenses and other current assets \| Foreign currency forward contracts \| Derivative not designated as hedging instruments
Fair Values of Derivative Financial Instruments
Assets, Fair Value	0	719
Prepaid expenses and other current assets \| Interest Rate Swap \| Derivative not designated as hedging instruments
Fair Values of Derivative Financial Instruments
Assets, Fair Value	1,330	0
Other assets \| Interest Rate Swap \| Derivative designated as hedging instruments
Fair Values of Derivative Financial Instruments
Assets, Fair Value	0	1,429
Other assets \| Interest Rate Swap \| Derivative not designated as hedging instruments
Fair Values of Derivative Financial Instruments
Assets, Fair Value	1,250	0
Accrued expenses and other current liabilities \| Foreign currency forward contracts \| Derivative designated as hedging instruments
Fair Values of Derivative Financial Instruments
Liabilities, Fair Value	0	288
Accrued expenses and other current liabilities \| Foreign currency forward contracts \| Derivative not designated as hedging instruments
Fair Values of Derivative Financial Instruments
Liabilities, Fair Value	1,061	958
Accrued expenses and other current liabilities \| Interest Rate Swap \| Derivative designated as hedging instruments
Fair Values of Derivative Financial Instruments
Liabilities, Fair Value	0	408
Other liabilities \| Foreign currency forward contracts \| Derivative not designated as hedging instruments
Fair Values of Derivative Financial Instruments
Liabilities, Fair Value	$ 247	$ 0

DERIVATIVE FINANCIAL INSTRUMENTS DERIVATIVE FINANCIAL INSTRUMENTS - INTEREST RATE SWAP AGREEMENT (Details) - Interest Rate Swap $ in Millions	12 Months Ended
	Jan. 31, 2018 USD ($)
Derivative [Line Items]
Derivative, Fixed Interest Rate	4.143%
Derivative, Floor Interest Rate	0.75%
Derivative, Basis Spread on Variable Rate	2.75%
Derivative, Notional Amount	$ 200.0
Derivative, Inception Date	Nov. 01, 2016
Derivative, Maturity Date	Sep. 06, 2019

DERIVATIVE FINANCIAL INSTRUMENTS - GAINS AND LOSSES (Details) - USD ($)	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
DERIVATIVE FINANCIAL INSTRUMENTS
(Losses) gains on derivative financial instruments, net	$ (17,000)	$ (322,000)	$ 394,000
Derivative not designated as hedging instruments
DERIVATIVE FINANCIAL INSTRUMENTS
(Losses) gains on derivative financial instruments, net	(17,000)	(323,000)	394,000
Cash flow hedging \| Derivative designated as hedging instruments
DERIVATIVE FINANCIAL INSTRUMENTS
Net gains (losses) recognized in Other comprehensive (loss) income	2,971,000	1,207,000	(1,871,000)
Net gains (losses) reclassified from Other comprehensive (loss) income to the consolidated statements of operations	6,559,000	1,257,000	(8,151,000)
Gains (losses) from ineffectiveness	0	0	0
Foreign currency forward contracts \| Derivative designated as hedging instruments
DERIVATIVE FINANCIAL INSTRUMENTS
Foreign currency forward contracts underlying net gains recorded in accumulated other comprehensive loss expected to be reclassified into earnings within the next twelve months	(3,300,000)
Foreign currency forward contracts \| Derivative not designated as hedging instruments
DERIVATIVE FINANCIAL INSTRUMENTS
(Losses) gains on derivative financial instruments, net	(2,546,000)	(323,000)	394,000
Foreign currency forward contracts \| Cash flow hedging \| Derivative designated as hedging instruments
DERIVATIVE FINANCIAL INSTRUMENTS
Net gains (losses) recognized in Other comprehensive (loss) income	3,312,000	575,000	(1,871,000)
Net gains (losses) reclassified from Other comprehensive (loss) income to the consolidated statements of operations	6,813,000	1,257,000	(8,151,000)
Interest Rate Swap
DERIVATIVE FINANCIAL INSTRUMENTS
Net gains (losses) reclassified from Other comprehensive (loss) income to the consolidated statements of operations	680,000	0	0
Interest Rate Swap \| Derivative not designated as hedging instruments
DERIVATIVE FINANCIAL INSTRUMENTS
(Losses) gains on derivative financial instruments, net	2,529,000	0	0
Interest Rate Swap \| Cash flow hedging \| Derivative designated as hedging instruments
DERIVATIVE FINANCIAL INSTRUMENTS
Net gains (losses) recognized in Other comprehensive (loss) income	(341,000)	632,000	0
Net gains (losses) reclassified from Other comprehensive (loss) income to the consolidated statements of operations	$ (254,000)	$ 0	$ 0

STOCK-BASED COMPENSATION AND OTHER BENEFIT PLANS STOCK-BASED COMPENSATION AND OTHER BENEFIT PLANS - 2017 LONG-TERM STOCK INCENTIVE PLAN (Details) - 2017 Amended Plan	Jan. 31, 2018 shares
Stock-Based Compensation Plans
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized	7,975,000
Reduction in Amended 2015 Plan Capacity Stock Options and Stock-Settled SARs	1
Reduction in Amended 2015 Plan Capacity From Awards Other Than Options or SARs	2.47

STOCK-BASED COMPENSATION AND OTHER BENEFIT PLANS STOCK-BASED COMPENSATION AND OTHER BENEFIT PLANS - STOCK-BASED COMPENSATION - BY LINE ITEM (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Stock-Based Compensation Plans
Stock-based compensation expense	$ 69,366	$ 65,608	$ 64,549
Income tax benefits related to stock-based compensation (before consideration of valuation allowances)	16,504	15,752	14,385
Total stock-based compensation, net of taxes	52,862	49,856	50,164
Cost of revenue - product
Stock-Based Compensation Plans
Stock-based compensation expense	1,561	1,290	1,466
Cost of revenue - service and support
Stock-Based Compensation Plans
Stock-based compensation expense	6,904	7,297	5,719
Research and development, net
Stock-Based Compensation Plans
Stock-based compensation expense	13,144	11,637	9,195
Selling, general and administrative
Stock-Based Compensation Plans
Stock-based compensation expense	$ 47,757	$ 45,384	$ 48,169

STOCK-BASED COMPENSATION AND OTHER BENEFIT PLANS - STOCK-BASED COMPENSATION - BY CLASSIFICATION (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Stock-based compensation expense
Income Tax Expense (Benefit)	$ 22,354	$ 2,772	$ 952
Stock-based compensation expense	69,366	65,608	64,549
Adjustments to Additional Paid in Capital, Income Tax Benefit from Share-based Compensation		700	500
Equity-classified awards
Stock-based compensation expense
Stock-based compensation expense	57,188	55,123	58,028
Total equity-settled awards
Stock-based compensation expense
Stock-based compensation expense	69,296	65,421	64,387
Other liability-classified awards
Stock-based compensation expense
Stock-based compensation expense	70	187	162
Stock Bonus Program \| Equity-classified awards
Stock-based compensation expense
Stock-based compensation expense	12,108	$ 10,298	$ 6,359
Accounting Standards Update 2016-09
Stock-based compensation expense
Income Tax Expense (Benefit)	$ 500

STOCK-BASED COMPENSATION AND OTHER BENEFIT PLANS STOCK-BASED COMPENSATION AND OTHER BENEFIT PLANS - RESTRICTED STOCK UNITS (Details) - USD ($) $ / shares in Units, $ in Millions	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Restricted stock units and restricted stock awards
Summary of award activity
Beginning balance (in shares)	2,742,000	2,649,000	2,545,000
Granted (in shares)	1,804,000	1,870,000	1,729,000
Released (in shares)	(1,403,000)	(1,433,000)	(1,312,000)
Forfeited (in shares)	(335,000)	(344,000)	(313,000)
Ending balance (in shares)	2,808,000	2,742,000	2,649,000
Weighted-Average Grant-Date Fair Value
Beginning balance (in dollars per share)	$ 45.20	$ 54.57	$ 40.96
Granted (in dollars per share)	40.19	35.33	62.62
Released (in dollars per share)	45.96	47.98	39.75
Forfeited (in dollars per share)	48.92	52.20	50.56
Ending balance (in dollars per share)	$ 41.18	$ 45.20	$ 54.57
Performance based RSU's
Summary of award activity
Beginning balance (in shares)	438,000	332,000	497,000
Granted (in shares)	204,000	312,000	195,000
Released (in shares)	(50,000)	(159,000)	(239,000)
Forfeited (in shares)	(86,000)	(47,000)	(121,000)
Ending balance (in shares)	506,000	438,000	332,000
RSUs
Summary of award activity
Granted (in shares)	1,600,000
Additional disclosures
Unrecognized compensation expense	$ 63.6
Remaining weighted-average vesting period over which expense is expected to be recognized (in years)	1 year 7 months
Unrecognized compensation expense, requisite service period not begun	$ 1.1
Total fair value of units vested	$ 64.5	$ 68.7	$ 52.2

STOCK-BASED COMPENSATION AND OTHER BENEFIT PLANS STOCK-BASED COMPENSATION AND OTHER BENEFIT PLANS - PERFORMANCE RESTRICTED STOCK UNITS (Details) - Performance based RSU's - shares shares in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Stock-Based Compensation Plans
Beginning balance (in shares)	438	332	497
Granted (in shares)	204	312	195
Released (in shares)	(50)	(159)	(239)
Forfeited (in shares)	(86)	(47)	(121)
Ending balance (in shares)	506	438	332

STOCK-BASED COMPENSATION AND OTHER BENEFIT PLANS STOCK-BASED COMPENSATION AND OTHER BENEFIT PLANS - STOCK BONUS PROGRAM (Details) - USD ($) $ in Millions	12 Months Ended
	Jan. 31, 2019	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Combined Stock Bonus Program and Bonus Share Program
Stock-Based Compensation Plans
Total accrued liability		$ 9.2	$ 10.0
Stock Bonus Program
Stock-Based Compensation Plans
Vesting period for executive officers (in years)		1 year
Trailing period of average price of common stock to determine the number of shares to be issued (in days)		5 days
Shares in lieu of cash bonus - granted and released		21,000	25,000	43,000
Shares granted in respect of discount		0	0	7,000
Shares released in respect of discount		0	0	5,000
2018 Plan \| Combined Stock Bonus Program and Bonus Share Program
Stock-Based Compensation Plans
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized		300,000
Subsequent Event \| 2019 Plan \| Combined Stock Bonus Program and Bonus Share Program
Stock-Based Compensation Plans
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized	300,000
Subsequent Event \| 2019 Plan \| Stock Bonus Program
Stock-Based Compensation Plans
Discount from market price (as a percent)	15.00%
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized	125,000

STOCK-BASED COMPENSATION AND OTHER BENEFIT PLANS STOCK-BASED COMPENSATION AND OTHER BENEFIT PLANS - BONUS SHARE PROGRAM (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2019	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Stock-Based Compensation Plans
Stock-based compensation expense		$ 69,366	$ 65,608	$ 64,549
Stock Bonus Program
Stock-Based Compensation Plans
Shares in lieu of cash bonus - granted and released		21,000	25,000	43,000
Combined Stock Bonus Program and Bonus Share Program
Stock-Based Compensation Plans
Total accrued liability		$ 9,200	$ 10,000
2016 Plan \| Bonus Share Program
Stock-Based Compensation Plans
Shares in lieu of cash bonus - granted and released			171,000
2017 Plan \| Bonus Share Program
Stock-Based Compensation Plans
Shares in lieu of cash bonus - granted and released		293,000
2018 Plan \| Combined Stock Bonus Program and Bonus Share Program
Stock-Based Compensation Plans
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized		300,000
Subsequent Event \| 2019 Plan \| Stock Bonus Program
Stock-Based Compensation Plans
Discount from market price (as a percent)	15.00%
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized	125,000
Subsequent Event \| 2019 Plan \| Combined Stock Bonus Program and Bonus Share Program
Stock-Based Compensation Plans
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized	300,000

STOCK-BASED COMPENSATION AND OTHER BENEFIT PLANS STOCK-BASED COMPENSATION AND OTHER BENEFIT PLANS - OTHER BENEFIT PLANS (Details)	12 Months Ended
	Jan. 31, 2018 USD ($) yr	Jan. 31, 2017 USD ($)	Jan. 31, 2016 USD ($)
401(k) Plan and Other Retirement Plans
Minimum age required to participate in 401(k) plan (in years) \| yr	21
Employee contribution limit (as a percentage of compensation)	60.00%
Company's matching contribution as percentage of employee's annual compensation (as a percentage of compensation)	50.00%
Defined Contribution Plan Employer Matching Contribution Per Employee Maximum Amount	$ 2,000
Matching contribution expense	2,500,000	$ 2,600,000	$ 2,200,000
Liability for Severance Pay
Severance expenses	$ 7,100,000	$ 6,400,000	$ 7,200,000

COMMITMENTS AND CONTINGENCIES - RENT EXPENSE; PURCHASE OBLIGATIONS AND OFF-BALANCE SHEET RISK (Details) $ in Millions	12 Months Ended
	Jan. 31, 2018 USD ($) mo	Jan. 31, 2017 USD ($)	Jan. 31, 2016 USD ($)
Operating Leases, Rent Expense, Net [Abstract]
Rent expenses incurred under all operating leases	$ 26.1	$ 25.6	$ 19.4
Operating Leases, Future Minimum Payments Due, Future Minimum Sublease Rentals	0.4
Minimum annual sublease rental income	0.1
Maximum annual sublease rental income	0.3
Unconditional Purchase Obligations (Excluding Capital Stock Redemptions) [Abstract]
Unconditional purchase obligations	$ 109.4
Unconditional purchase obligations, subsequent fulfillment period (in months) \| mo	12
Concentration Risks, Types, No Concentration Percentage [Abstract]
Outstanding letters of credit and surety bonds	$ 92.5

COMMITMENTS AND CONTINGENCIES COMMITMENTS AND CONTINGENCIES - OPERATING AND CAPITAL LEASE COMMITMENTS (Details) $ in Thousands	Jan. 31, 2018 USD ($)
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract]
2019	$ 21,497
2020	16,788
2021	15,435
2022	13,583
2023	12,203
Thereafter	37,126
Operating Leases, Future Minimum Payments Due	116,632
Capital Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract]
2019	1,171
2020	1,081
2021	972
2022	875
2023	600
Thereafter	0
Capital Leases, Future Minimum Payments Due	4,699
Less: amount representing interest	(349)
Present value of minimum lease payments	$ 4,350

COMMITMENTS AND CONTINGENCIES COMMITMENTS AND CONTINGENCIES - WARRANTY OBLIGATIONS (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Movement in Standard Product Warranty Accrual
Warranty liability, beginning of year	$ 962	$ 826	$ 633
Provision charged to expenses		797	473
Provision credited against expenses	(165)
Warranty charges	(260)	(658)	(278)
Foreign currency translation and other	14	(3)	(2)
Warranty liability, end of year	$ 551	$ 962	$ 826
Customer Engagement \| Hardware
Product Liability Contingency
Warranty period (in days/years)	1 year
Customer Engagement \| Software
Product Liability Contingency
Warranty period (in days/years)	90 days
Cyber Intelligence \| Minimum
Product Liability Contingency
Warranty period (in days/years)	90 days
Cyber Intelligence \| Maximum
Product Liability Contingency
Warranty period (in days/years)	3 years

SEGMENT, GEOGRAPHIC, AND SIGNIFICANT CUSTOMER INFORMATION - SEGMENT REVENUE AND SEGMENT CONTRIBUTION (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Jan. 31, 2018	Oct. 31, 2017	Jul. 31, 2017	Apr. 30, 2017	Jan. 31, 2017	Oct. 31, 2016	Jul. 31, 2016	Apr. 30, 2016	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Segment Reporting Information [Line Items]
Revenues	$ 318,731	$ 280,726	$ 274,777	$ 260,995	$ 295,859	$ 258,902	$ 261,921	$ 245,424	$ 1,135,229	$ 1,062,106	$ 1,130,266
Operating Income (Loss)									48,630	17,366	67,852
Customer Engagement
Segment Reporting Information [Line Items]
Revenues									740,067	705,897	694,857
Cyber Intelligence
Segment Reporting Information [Line Items]
Revenues									395,162	356,209	435,409
Reconciling items \| Customer Engagement
Segment Reporting Information [Line Items]
Segment Revenue Adjustments									(14,971)	(10,266)	(3,441)
Reconciling items \| Cyber Intelligence
Segment Reporting Information [Line Items]
Segment Revenue Adjustments									(258)	(324)	(934)
Segment Amount \| Customer Engagement
Segment Reporting Information [Line Items]
Revenues									755,038	716,163	698,298
Operating Income (Loss)									286,236	269,017	264,378
Segment Amount \| Cyber Intelligence
Segment Reporting Information [Line Items]
Revenues									395,420	356,533	436,343
Operating Income (Loss)									$ 94,585	$ 85,777	$ 133,186

SEGMENT, GEOGRAPHIC, AND SIGNIFICANT CUSTOMER INFORMATION SEGMENT, GEOGRAPHIC, AND SIGNIFICANT CUSTOMER INFORMATION - RECONCILIATION OF SEGMENT CONTRIBUTION TO OPERATING INCOME (Details) - USD ($) $ in Thousands	12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Segment Reporting Information [Line Items]
Amortization of Intangible Assets	$ 72,400	$ 81,500	$ 78,900
Stock-based compensation expense	69,366	65,608	64,549
Total reconciling items	639,812	622,111	633,508
Operating Income (Loss)	48,630	17,366	67,852
Segment Amount
Segment Reporting Information [Line Items]
Operating Income (Loss)	380,821	354,794	397,564
Reconciling items
Segment Reporting Information [Line Items]
Segment Revenue Adjustments	15,229	10,590	4,375
Amortization of Intangible Assets	72,425	81,461	78,904
Stock-based compensation expense	69,366	65,608	64,549
Other Cost and Expense, Operating	20,498	29,599	28,534
Total reconciling items	332,191	337,428	329,712
Corporate, Non-Segment
Segment Reporting Information [Line Items]
Shared support expenses	$ 154,673	$ 150,170	$ 153,350

SEGMENT, GEOGRAPHIC, AND SIGNIFICANT CUSTOMER INFORMATION SEGMENT, GEOGRAPHIC, AND SIGNIFICANT CUSTOMER INFORMATION - REVENUE AND LONG-LIVED ASSETS BY GEOGRAPHY (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Jan. 31, 2018	Oct. 31, 2017	Jul. 31, 2017	Apr. 30, 2017	Jan. 31, 2017	Oct. 31, 2016	Jul. 31, 2016	Apr. 30, 2016	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Revenues from External Customers and Long-Lived Assets
Revenue	$ 318,731	$ 280,726	$ 274,777	$ 260,995	$ 295,859	$ 258,902	$ 261,921	$ 245,424	$ 1,135,229	$ 1,062,106	$ 1,130,266
Property and equipment, net	89,089				77,551				89,089	77,551
United States
Revenues from External Customers and Long-Lived Assets
Revenue									445,406	438,034	430,626
Property and equipment, net	45,942				37,751				45,942	37,751
Other Americas Regions
Revenues from External Customers and Long-Lived Assets
Revenue									150,993	134,111	150,435
Americas
Revenues from External Customers and Long-Lived Assets
Revenue									596,399	572,145	581,061
EMEA
Revenues from External Customers and Long-Lived Assets
Revenue									354,495	322,130	350,217
APAC
Revenues from External Customers and Long-Lived Assets
Revenue									184,335	167,831	$ 198,988
Israel
Revenues from External Customers and Long-Lived Assets
Property and equipment, net	27,089				25,421				27,089	25,421
Other countries
Revenues from External Customers and Long-Lived Assets
Property and equipment, net	$ 16,058				$ 14,379				$ 16,058	$ 14,379

SEGMENT, GEOGRAPHIC, AND SIGNIFICANT CUSTOMER INFORMATION SEGMENT, GEOGRAPHIC, AND SIGNIFICANT CUSTOMER INFORMATION - MAJOR CUSTOMERS (Details)	12 Months Ended
	Jan. 31, 2018
Revenue, Major Customer
Sales to an individual customer	No single customer accounted for more than 10% of our revenue during the years ended January 31, 2018, 2017, and 2016.

SELECTED QUARTERLY FINANCIAL INFORMATION (UNAUDITED) SELECTED QUARTERLY FINANCIAL INFORMATION (UNAUDITED) - QUARTERLY DATA (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended								12 Months Ended
	Jan. 31, 2018	Oct. 31, 2017	Jul. 31, 2017	Apr. 30, 2017	Jan. 31, 2017	Oct. 31, 2016	Jul. 31, 2016	Apr. 30, 2016	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2016
Selected Quarterly Financial Information [Abstract]
Revenue	$ 318,731	$ 280,726	$ 274,777	$ 260,995	$ 295,859	$ 258,902	$ 261,921	$ 245,424	$ 1,135,229	$ 1,062,106	$ 1,130,266
Gross Profit	204,826	169,321	164,103	150,192	179,591	155,696	159,460	144,730	688,442	639,477	701,360
(Loss) income before (benefit) provision for income taxes	31,136	9,010	(1,314)	(19,932)	6,484	(4,075)	(10,020)	(15,863)	18,900	(23,474)	23,180
Net (loss) income	18,286	3,066	(5,766)	(19,040)	8,459	(7,434)	(11,078)	(16,193)	(3,454)	(26,246)	22,228
Net (loss) income attributable to Verint Systems Inc.	$ 17,097	$ 2,489	$ (6,427)	$ (19,786)	$ 8,018	$ (8,237)	$ (11,705)	$ (17,456)	$ (6,627)	$ (29,380)	$ 17,638
Basic (in dollars per share)	$ 0.27	$ 0.04	$ (0.10)	$ (0.32)	$ 0.13	$ (0.13)	$ (0.19)	$ (0.28)	$ (0.10)	$ (0.47)	$ 0.29
Diluted (in dollars per share)	$ 0.26	$ 0.04	$ (0.10)	$ (0.32)	$ 0.13	$ (0.13)	$ (0.19)	$ (0.28)	$ (0.10)	$ (0.47)	$ 0.28

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - UNBILLED ACCOUNTS RECEIVABLE (Details) - USD ($) $ in Millions	Jan. 31, 2018	Jan. 31, 2017
Unbilled Receivables, Not Billable, Fiscal Year Maturity [Abstract]
Unbilled Receivables, Not Billable, Amount Expected to be Collected in Next Twelve Months	$ 65.9	$ 39.7

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - NET INCOME (LOSS) PER SHARE (Details)	Jun. 18, 2014
1.50% Convertible Senior Notes
Debt Conversion
Coupon Interest Rate	1.50%

LONG-TERM DEBT LONG-TERM DEBT - DEBT COVENANT (Details)	12 Months Ended
LONG-TERM DEBT LONG-TERM DEBT - DEBT COVENANT (Details)	Jan. 31, 2018 numerator
2017 Revolving Credit Facility
Debt Instrument [Line Items]
Consolidated Total Debt to Consolidated EBITDA Ratio	4.50

STOCKHOLDERS' EQUITY STOCKHOLDERS' EQUITY - SHARE REPURCHASE PROGRAM (Details) $ in Millions	Mar. 29, 2016 USD ($)
Equity [Abstract]
Stock Repurchase Program, Authorized Amount	$ 150

COMMITMENTS AND CONTINGENCIES COMMITMENTS AND CONTINGENCIES - LITIGATION (Details) $ in Millions	12 Months Ended
	Jan. 31, 2018 USD ($)
Loss Contingency, Information about Litigation Matters [Abstract]
Loss Contingency, Damages Sought, Value	$ 150.0

SELECTED QUARTERLY FINANCIAL INFORMATION (UNAUDITED) SELECTED QUARTERLY FINANCIAL INFORMATION (UNAUDITED) - UNUSUAL ITEMS (Details) $ in Millions	3 Months Ended
	Jan. 31, 2018 USD ($)
Quarterly Financial Information Disclosure [Abstract]
Provisional Deferred Income Taxes	$ 15.0