0001166388-21-000115 | 10-Q | XBRL Viewer

Print Document View Excel Document

Cover Page - shares	6 Months Ended
Cover Page - shares	Jul. 31, 2021	Aug. 16, 2021
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jul. 31, 2021
Document Transition Report	false
Entity File Number	001-34807
Entity Registrant Name	Verint Systems Inc
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	11-3200514
Entity Address, Address Line One	175 Broadhollow Road
Entity Address, City or Town	Melville,
Entity Address, State or Province	NY
Entity Address, Postal Zip Code	11747
City Area Code	(631)
Local Phone Number	962-9600
Title of 12(b) Security	Common Stock, $.001 par value per share
Trading Symbol	VRNT
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		65,411,883
Entity Central Index Key	0001166388
Current Fiscal Year End Date	--01-31
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q2
Amendment Flag	false

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Jul. 31, 2021	Jan. 31, 2021
Current Assets:
Cash and cash equivalents	$ 320,439	$ 585,273
Restricted cash and cash equivalents, and restricted bank time deposits	14	15
Short-term investments	666	46,300
Accounts receivable, net of allowance for doubtful accounts of $1.2 million and $1.6 million, respectively	150,242	206,157
Contract assets, net	38,081	36,716
Inventories	5,425	5,541
Prepaid expenses and other current assets	57,628	42,814
Current assets of discontinued operations	0	354,926
Total current assets	572,495	1,277,742
Property and equipment, net	67,722	69,090
Operating lease right-of-use assets	48,303	57,849
Goodwill	1,335,816	1,327,407
Intangible assets, net	123,534	143,744
Other assets	130,149	104,511
Long-term assets of discontinued operations	0	280,952
Total assets	2,278,019	3,261,295
Current Liabilities:
Accounts payable	31,518	35,463
Accrued expenses and other current liabilities	132,059	211,517
Current maturities of long-term debt	0	386,713
Contract liabilities	228,040	261,033
Current liabilities of discontinued operations	0	268,713
Total current liabilities	391,617	1,163,439
Long-term debt	405,873	402,781
Long-term contract liabilities	16,571	16,502
Operating lease liabilities	46,738	56,712
Other liabilities	36,231	75,710
Long-term liabilities of discontinued operations	0	58,118
Total liabilities	897,030	1,773,262
Commitments and Contingencies
Temporary Equity:
Equity component of currently redeemable convertible notes	0	4,841
Total temporary equity	436,321	205,469
Stockholders' Equity:
Common stock - $0.001 par value; authorized 120,000,000 shares. Issued 70,402,000 and 70,177,000 shares; outstanding 65,412,000 and 65,773,000 shares at July 31, 2021 and January 31, 2021, respectively.	70	70
Additional paid-in capital	1,342,130	1,726,166
Treasury stock, at cost - 4,990,000 and 4,404,000 shares at July 31, 2021 and January 31, 2021, respectively.	(234,524)	(208,124)
Accumulated deficit	(63,123)	(113,797)
Accumulated other comprehensive loss	(102,508)	(136,878)
Total Verint Systems Inc. stockholders' equity	942,045	1,267,437
Noncontrolling interests	2,623	15,127
Total stockholders' equity	944,668	1,282,564
Total liabilities, temporary equity, and stockholders' equity	2,278,019	3,261,295
Series A Preferred Stock
Temporary Equity:
Preferred Stock - $0.0001 par value; authorized 2,207,000 shares	200,628	200,628
Series B Preferred Stock
Temporary Equity:
Preferred Stock - $0.0001 par value; authorized 2,207,000 shares	$ 235,693	$ 0

Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($) $ in Thousands	Jul. 31, 2021	Jan. 31, 2021
Allowance for doubtful accounts	$ 1,200	$ 1,600
Preferred stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Preferred stock, authorized (in shares)	2,207,000	2,207,000
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)	70,402,000	70,177,000
Common Stock, outstanding (in shares)	65,412,000	65,773,000
Treasury stock, at cost (in shares)	4,990,000	4,404,000
Series A Preferred Stock
Preferred stock, issued (in shares)	200,000	200,000
Preferred stock, outstanding (in shares)	200,000	200,000
Preferred stock, liquidation preference value	$ 200,867	$ 206,067
Preferred stock, redemption value	$ 200,867	$ 206,067
Series B Preferred Stock
Preferred stock, issued (in shares)	200,000	0
Preferred stock, outstanding (in shares)	200,000	0
Preferred stock, liquidation preference value	$ 200,867
Preferred stock, redemption value	$ 200,867

Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 31, 2021	Jul. 31, 2020	Jul. 31, 2021	Jul. 31, 2020
Revenue:
Revenue	$ 214,617	$ 204,080	$ 415,521	$ 389,945
Cost of revenue:
Amortization of acquired technology	4,426	4,189	8,810	8,545
Total cost of revenue	72,567	66,901	144,907	137,804
Gross profit	142,050	137,179	270,614	252,141
Operating expenses:
Research and development, net	31,792	30,148	60,940	62,560
Selling, general and administrative	91,376	77,739	179,022	154,566
Amortization of other acquired intangible assets	7,345	7,719	14,673	15,483
Total operating expenses	130,513	115,606	254,635	232,609
Operating income	11,537	21,573	15,979	19,532
Other income (expense), net:
Interest income	23	422	46	903
Interest expense	(2,199)	(10,123)	(7,218)	(20,812)
Losses on early retirements of debt	0	(143)	(2,474)	(143)
Other income (expense), net	156	(12,754)	4,206	(14,576)
Total other expense, net	(2,020)	(22,598)	(5,440)	(34,628)
Income (loss) from continuing operations before provision for income taxes	9,517	(1,025)	10,539	(15,096)
Provision for income taxes	4,201	8,345	4,129	8,692
Net income (loss) from continuing operations	5,316	(9,370)	6,410	(23,788)
Net income from discontinued operations	0	19,957	0	30,400
Net income	5,316	10,587	6,410	6,612
Net income attributable to Verint Systems Inc.	5,000	8,494	5,799	2,480
Dividends on preferred stock	(5,200)	(2,484)	(8,522)	(2,484)
Net (loss) income attributable to Verint Systems Inc. common shares	(200)	6,010	(2,723)	(4)
Net (loss) income attributable to Verint Systems Inc. common shares
Net loss from continuing operations attributable to Verint Systems Inc. common shares	(200)	(12,181)	(2,723)	(26,839)
Net income from discontinued operations attributable to Verint Systems Inc. common shares	$ 0	$ 18,191	$ 0	$ 26,835
Basic net (loss) income per common share attributable to Verint Systems Inc.:
Continuing operations (in dollars per share)	$ 0	$ (0.19)	$ (0.04)	$ (0.42)
Discontinued operations (in dollars per share)	0	0.28	0	0.42
Total basic net (loss) income per common share attributable to Verint Systems Inc. (in dollars per share)	0	0.09	(0.04)	0
Diluted net (loss) income per common share attributable to Verint Systems Inc.:
Continuing operations (in dollars per share)	0	(0.18)	(0.04)	(0.42)
Discontinued operations (in dollars per share)	0	0.27	0	0.42
Total diluted net (loss) income per common share attributable to Verint Systems Inc. (in dollars per share)	$ 0	$ 0.09	$ (0.04)	$ 0
Weighted-average common shares outstanding:
Basic (in shares)	65,194	64,954	65,417	64,670
Diluted (in shares)	65,194	65,849	65,417	64,670
Continuing Operations
Other income (expense), net:
Net income attributable to noncontrolling interests	$ 316	$ 327	$ 611	$ 567
Discontinued Operations
Other income (expense), net:
Net income attributable to noncontrolling interests	0	1,766	0	3,565
Recurring
Revenue:
Revenue	156,178	139,267	300,631	268,337
Cost of revenue:
Cost of revenue	37,636	32,936	75,712	67,864
Nonrecurring
Revenue:
Revenue	58,439	64,813	114,890	121,608
Cost of revenue:
Cost of revenue	$ 30,505	$ 29,776	$ 60,385	$ 61,395

Condensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 31, 2021	Jul. 31, 2020	Jul. 31, 2021	Jul. 31, 2020
Statement of Comprehensive Income [Abstract]
Net income	$ 5,316	$ 10,587	$ 6,410	$ 6,612
Other comprehensive income (loss), net of reclassification adjustments:
Foreign currency translation adjustments	1,653	18,624	4,261	(2,375)
Distribution of Cognyte Software Ltd.	0	0	17,123	0
Net increase (decrease) from foreign exchange contracts designated as hedges	12	1,480	(54)	607
Net increase (decrease) from interest rate swap prior to dedesignation as a hedge	0	1,120	1,014	(5,824)
Net increase from settlement of interest rate swap due to partial early retirement of 2017 Term Loan	0	0	12,017	0
(Provision for) benefit from income taxes on net increase (decrease) from foreign exchange contracts and interest rate swap designated as hedges	(2)	(425)	9	1,123
Other comprehensive income (loss)	1,663	20,799	34,370	(6,469)
Comprehensive income	6,979	31,386	40,780	143
Comprehensive income attributable to noncontrolling interests	316	2,413	611	4,093
Comprehensive income (loss) attributable to Verint Systems Inc.	$ 6,663	$ 28,973	$ 40,169	$ (3,950)

Condensed Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) $ in Thousands	Total	Total Verint Systems Inc. Stockholders’ Equity	Common Stock	Additional Paid-in Capital	Treasury Stock	Accumulated Deficit	Accumulated Other Comprehensive Loss	Non-controlling Interests	Cumulative Effect, Period of Adoption, Adjustment	Cumulative Effect, Period of Adoption, Adjustment Total Verint Systems Inc. Stockholders’ Equity	Cumulative Effect, Period of Adoption, Adjustment Additional Paid-in Capital	Cumulative Effect, Period of Adoption, Adjustment Accumulated Deficit
Beginning balances (in shares) at Jan. 31, 2020			64,738,000
Beginning balances at Jan. 31, 2020	$ 1,242,437	$ 1,229,368	$ 68	$ 1,660,889	$ (174,134)	$ (105,590)	$ (151,865)	$ 13,069	$ (940)	$ (940)		$ (940)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net (loss) income	(3,975)	(6,014)				(6,014)		2,039
Other comprehensive income (loss)	(27,268)	(26,909)					(26,909)	(359)
Stock-based compensation - equity-classified awards	15,029	15,029		15,029
Common stock issued, or to be issued, for stock awards and stock bonuses (in shares)			399,000
Common stock issued for stock awards and stock bonuses	1,846	1,846	$ 1	1,845
Exercises of stock options (in shares)			2,000
Exercises of stock options	12	12		12
Treasury stock acquired (in shares)			(613,000)
Treasury stock acquired	(33,990)	(33,990)			(33,990)
Distribution to noncontrolling interest	(245)							(245)
Ending balances (in shares) at Apr. 30, 2020			64,526,000
Ending balances at Apr. 30, 2020	1,192,906	1,178,402	$ 69	1,677,775	(208,124)	(112,544)	(178,774)	14,504
Beginning balances (in shares) at Jan. 31, 2020			64,738,000
Beginning balances at Jan. 31, 2020	1,242,437	1,229,368	$ 68	1,660,889	(174,134)	(105,590)	(151,865)	13,069	(940)	(940)		(940)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net (loss) income	6,612
Other comprehensive income (loss)	$ (6,469)
Treasury stock acquired (in shares)	(613,000)
Treasury stock acquired	$ (34,000)
Ending balances (in shares) at Jul. 31, 2020			65,400,000
Ending balances at Jul. 31, 2020	1,235,502	1,218,989	$ 70	1,689,388	(208,124)	(104,050)	(158,295)	16,513
Beginning balances (in shares) at Jan. 31, 2020			64,738,000
Beginning balances at Jan. 31, 2020	$ 1,242,437	1,229,368	$ 68	1,660,889	(174,134)	(105,590)	(151,865)	13,069	(940)	(940)		(940)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Accounting Standards Update [Extensible Enumeration]	us-gaap:AccountingStandardsUpdate202006Member
Ending balances (in shares) at Jan. 31, 2021			65,773,000
Ending balances at Jan. 31, 2021	$ 1,282,564	1,267,437	$ 70	1,726,166	(208,124)	(113,797)	(136,878)	15,127	1,430	1,430	$ (43,445)	44,875
Beginning balances (in shares) at Apr. 30, 2020			64,526,000
Beginning balances at Apr. 30, 2020	1,192,906	1,178,402	$ 69	1,677,775	(208,124)	(112,544)	(178,774)	14,504
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net (loss) income	10,587	8,494				8,494		2,093
Other comprehensive income (loss)	20,799	20,479					20,479	320
Stock-based compensation - equity-classified awards	13,420	13,420		13,420
Common stock issued, or to be issued, for stock awards and stock bonuses (in shares)			874,000
Common stock issued for stock awards and stock bonuses	1	1	$ 1
Preferred stock dividends	(1,589)	(1,589)		(1,589)
Reacquisition of equity component from convertible notes repurchases, net of taxes	(218)	(218)		(218)
Distribution to noncontrolling interest	(404)							(404)
Ending balances (in shares) at Jul. 31, 2020			65,400,000
Ending balances at Jul. 31, 2020	1,235,502	1,218,989	$ 70	1,689,388	(208,124)	(104,050)	(158,295)	16,513
Beginning balances (in shares) at Jan. 31, 2021			65,773,000
Beginning balances at Jan. 31, 2021	1,282,564	1,267,437	$ 70	1,726,166	(208,124)	(113,797)	(136,878)	15,127	1,430	1,430	(43,445)	44,875
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net (loss) income	1,094	799				799		295
Other comprehensive income, excluding the distribution of Cognyte Software Ltd.	15,584	15,584					15,584
Distribution of Cognyte Software Ltd.	(277,412)	(264,542)		(281,665)			17,123	(12,870)
Stock-based compensation - equity-classified awards	14,253	14,253		14,253
Common stock issued, or to be issued, for stock awards and stock bonuses (in shares)			827,000
Common stock issued for stock awards and stock bonuses	0		$ 1	(1)
Common stock repurchased and retired (in shares)			(1,058,000)
Common stock repurchased and retired	(49,581)	(49,581)	$ (1)	(49,580)
Treasury stock acquired (in shares)			(543,000)
Treasury stock acquired	(25,868)	(25,868)			(25,868)
Purchases of capped calls, net of taxes	(32,416)	(32,416)		(32,416)
Ending balances (in shares) at Apr. 30, 2021			64,999,000
Ending balances at Apr. 30, 2021	929,648	927,096	$ 70	1,333,312	(233,992)	(68,123)	(104,171)	2,552
Beginning balances (in shares) at Jan. 31, 2021			65,773,000
Beginning balances at Jan. 31, 2021	1,282,564	1,267,437	$ 70	1,726,166	(208,124)	(113,797)	(136,878)	15,127	$ 1,430	$ 1,430	$ (43,445)	$ 44,875
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net (loss) income	6,410
Distribution of Cognyte Software Ltd.							17,123
Other comprehensive income (loss)	$ 34,370						34,370
Common stock repurchased and retired (in shares)	(1,058,300)
Common stock repurchased and retired	$ (49,600)
Ending balances (in shares) at Jul. 31, 2021			65,412,000
Ending balances at Jul. 31, 2021	944,668	942,045	$ 70	1,342,130	(234,524)	(63,123)	(102,508)	2,623
Beginning balances (in shares) at Apr. 30, 2021			64,999,000
Beginning balances at Apr. 30, 2021	929,648	927,096	$ 70	1,333,312	(233,992)	(68,123)	(104,171)	2,552
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net (loss) income	5,316	5,000				5,000		316
Other comprehensive income (loss)	1,663	1,663					1,663
Stock-based compensation - equity-classified awards	15,984	15,984		15,984
Common stock issued, or to be issued, for stock awards and stock bonuses (in shares)			456,000
Settlement of conversion premium upon maturity of 2014 Notes (in shares)			1,250,000
Settlement of conversion premium upon maturity of 2014 Notes	(8)	(8)		(59,139)	59,131
Common stock received from exercise of Note Hedges (in shares)			(1,250,000)
Common stock received from exercise of Note Hedges	3	3		57,695	(57,692)
Common stock received from exercise of Note Hedges related to repurchased 2014 Notes (in shares)			(42,000)
Common stock received from exercise of Note Hedges related to repurchased 2014 Notes	0			1,959	(1,959)
Treasury stock acquired (in shares)			(1,000)
Treasury stock acquired	(12)	(12)			(12)
Purchases of capped calls, net of taxes	(25)	(25)		(25)
Preferred stock dividends	(7,656)	(7,656)		(7,656)
Distribution to noncontrolling interest	(245)							(245)
Ending balances (in shares) at Jul. 31, 2021			65,412,000
Ending balances at Jul. 31, 2021	$ 944,668	$ 942,045	$ 70	$ 1,342,130	$ (234,524)	$ (63,123)	$ (102,508)	$ 2,623

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jul. 31, 2021	Jul. 31, 2020
Cash flows from operating activities:
Net income	$ 6,410	$ 6,612
(Income) from discontinued operations, net of income taxes	0	(30,400)
Adjustments to reconcile net income from continuing operations to net cash provided by operating activities:
Depreciation and amortization	37,669	41,750
Stock-based compensation, excluding cash-settled awards	34,489	23,998
Change in fair value of future tranche right	(15,810)	13,610
Amortization of discount on convertible notes	0	6,400
Non-cash losses (gains) on derivative financial instruments, net	14,374	(137)
Losses on early retirements of debt	2,474	143
Other, net	(878)	(266)
Changes in operating assets and liabilities:
Accounts receivable	55,664	57,746
Contract assets	(1,334)	5,957
Inventories	(206)	(1,195)
Prepaid expenses and other assets	(27,926)	(10,428)
Accounts payable and accrued expenses	(27,271)	12,483
Contract liabilities	(33,466)	(34,777)
Deferred income taxes	(16,521)	628
Other, net	(815)	5,999
Net cash provided by operating activities - continuing operations	26,853	98,123
Net cash (used in) provided by operating activities - discontinued operations	(12,294)	38,608
Net cash provided by operating activities	14,559	136,731
Cash flows from investing activities:
Cash paid for business combinations, including adjustments, net of cash acquired	(7,000)	0
Purchases of property and equipment	(7,575)	(7,388)
Purchases of investments	0	(59,800)
Maturities and sales of investments	45,640	9,000
Cash paid for capitalized software development costs	(3,697)	(4,574)
Change in restricted bank time deposits, and other investing activities, net	22	(27)
Net cash provided by (used in) investing activities - continuing operations	27,390	(62,789)
Net cash used in investing activities - discontinued operations	0	(5,699)
Net cash provided by (used in) investing activities	27,390	(68,488)
Cash flows from financing activities:
Proceeds from issuance of preferred stock	198,731	197,254
Proceeds from borrowings	315,000	155,000
Repayments of borrowings and other financing obligations	(311,335)	(3,794)
Settlement of 2014 Notes	(386,887)	0
Purchases of capped calls	(41,060)	0
Payments of debt-related costs	(10,531)	(2,207)
Purchases of treasury stock and common stock for retirement	(75,460)	(36,836)
Payments to repurchase convertible notes	0	(13,032)
Preferred stock dividend payments	(12,856)	0
Distributions paid to noncontrolling interest	(245)	(649)
Payment for termination of interest rate swap	(16,502)	0
Net cash transferred to Cognyte Software Ltd.	(114,657)	0
Dividend and other settlements received from Cognyte Software Ltd.	38,280	0
Payments of contingent consideration for business combinations (financing portion) and other financing activities	(4,390)	(8,452)
Net cash (used in) provided by financing activities - continuing operations	(421,912)	287,284
Net cash used in financing activities - discontinued operations	0	(3,382)
Net cash (used in) provided by financing activities	(421,912)	283,902
Foreign currency effects on cash, cash equivalents, restricted cash, and restricted cash equivalents	340	(796)
Net (decrease) increase in cash, cash equivalents, restricted cash, and restricted cash equivalents	(379,623)	351,349
Cash, cash equivalents, restricted cash, and restricted cash equivalents, beginning of period	700,133	411,657
Cash, cash equivalents, restricted cash, and restricted cash equivalents, end of period	$ 320,510	$ 763,006

Condensed Consolidated Statements of Cash Flows (Unaudited) (Parenthetical) - USD ($) $ in Thousands	Jul. 31, 2021	Jul. 31, 2020
Reconciliation of cash, cash equivalents, restricted cash, and restricted cash equivalents at end of period to the condensed consolidated balance sheets:
Cash and cash equivalents	$ 320,439	$ 731,101
Restricted cash and cash equivalents included in restricted cash and cash equivalents, and restricted bank time deposits	14	22,890
Restricted cash and cash equivalents included in other assets	57	9,015
Total cash, cash equivalents, restricted cash, and restricted cash equivalents	$ 320,510	$ 763,006

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES	6 Months Ended
	Jul. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES	Description of Business Unless the context otherwise requires, the terms “Verint”, “we”, “us”, and “our” in these notes to condensed consolidated financial statements refer to Verint Systems Inc. and its consolidated subsidiaries. Verint helps brands provide Boundless Customer Engagement™. For more than two decades, the world’s most iconic brands – including more than 85 of the Fortune 100 companies – have trusted Verint to provide the technology and domain expertise they require to effectively build enduring customer relationships. Through the Verint Cloud Platform, we offer our customers and partners solutions that are based on artificial intelligence (“AI”) and analytics to automate workflows across enterprise silos to optimize workforce expense and drive an elevated consumer experience. These solutions are used by approximately 10,000 organizations in 175 countries across a diverse set of verticals, including financial services, healthcare, utilities, technology, and government. Our customers include large enterprises with thousands of employees, as well as small to medium sized business (“SMB”) organizations. Verint is headquartered in Melville, New York, and has more than 40 offices worldwide. We have approximately 4,300 professionals around the globe exclusively focused on helping brands provide Boundless Customer Engagement™. Recent Developments Spin-Off of Cognyte Software Ltd. On February 1, 2021, we completed the previously announced spin-off (the “Spin-Off”) of Cognyte Software Ltd. (“Cognyte”), a company limited by shares incorporated under the laws of the State of Israel whose business and operations consist of our former Cyber Intelligence Solutions business (the “Cognyte Business”). The Spin-Off of Cognyte was completed by way of a pro rata distribution in which holders of Verint’s common stock, par value $0.001 per share, received one ordinary share of Cognyte, no par value, for every share of common stock of Verint held of record as of the close of business on January 25, 2021 (the “Record Date”). After the distribution, we do not beneficially own any ordinary shares of Cognyte and no longer consolidate Cognyte into our financial results for periods ending after January 31, 2021. The Spin-Off was intended to be generally tax-free to our stockholders for U.S. federal income tax purposes. The financial results of Cognyte for the three and six months ended July 31, 2020 are presented as income from discontinued operations, net of taxes on the condensed consolidated statements of operations and its assets and liabilities as of January 31, 2021 are presented as assets and liabilities of discontinued operations on the condensed consolidated balance sheets. The historical condensed consolidated statement of cash flows has also been revised to reflect the effect of the Spin-Off. The historical statements of comprehensive income (loss) and the balances related to stockholders' equity have not been revised to reflect the effect of the Spin-Off. For further information on discontinued operations, see Note 2, “Discontinued Operations”. Unless noted otherwise, discussion in the notes to the condensed consolidated financial statements pertain to continuing operations. Apax Convertible Preferred Stock Investment On December 4, 2019, we announced that an affiliate (the “Apax Investor”) of Apax Partners (“Apax”) would make an investment in us in an amount of up to $400.0 million. Under the terms of the Investment Agreement, dated as of December 4, 2019 (the “Investment Agreement”), the Apax Investor purchased $200.0 million of our Series A convertible preferred stock (“Series A Preferred Stock”) in an issuance that closed on May 7, 2020. In connection with the completion of the Spin-Off, the Apax Investor purchased $200.0 million of our Series B convertible preferred stock (the “Series B Preferred Stock” and together with the Series A Preferred Stock, the “Preferred Stock”) in an issuance that closed on April 6, 2021. As of July 31, 2021, Apax’s ownership in us on an as-converted basis is approximately 12.7%. Please refer to Note 9, “Convertible Preferred Stock” for a more detailed discussion of the Apax investment. Impact of COVID-19 Pandemic On March 11, 2020, the World Health Organization declared the COVID-19 outbreak a global pandemic. The outbreak has reached all of the regions in which we do business, and governmental authorities around the world have implemented numerous measures attempting to contain and mitigate the effects of the virus, including travel bans and restrictions, border closings, quarantines, shelter-in-place orders, shutdowns, limitations or closures of non-essential businesses, and social distancing requirements. Companies around the world, including our customers, partners, and vendors, have also implemented actions in response to the pandemic, including among others, office closings, site restrictions, and employee travel restrictions. In response to these challenges, we quickly established remote working arrangements for our employees, limited non-essential business travel, and canceled or shifted our customer, employee, and industry events to a virtual-only format and we believe our business continuity plan is working well. Preparation of Condensed Consolidated Financial Statements The condensed consolidated financial statements included herein have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and on the same basis as the audited consolidated financial statements included in our Annual Report on Form 10-K for the year ended January 31, 2021 filed with the U.S. Securities and Exchange Commission (“SEC”), except for the recently adopted accounting pronouncements described below. The condensed consolidated statements of operations, comprehensive income (loss), stockholders’ equity, and cash flows for the periods ended July 31, 2021 and 2020, and the condensed consolidated balance sheet as of July 31, 2021, are not audited but reflect all adjustments that are of a normal recurring nature and that are considered necessary for a fair presentation of the results for the periods shown. The condensed consolidated balance sheet as of January 31, 2021 is derived from the audited consolidated financial statements presented in our Annual Report on Form 10-K for the year ended January 31, 2021. Certain information and disclosures normally included in annual consolidated financial statements have been omitted pursuant to the rules and regulations of the SEC. Because the condensed consolidated interim financial statements do not include all of the information and disclosures required by GAAP for a complete set of financial statements, they should be read in conjunction with the audited consolidated financial statements and notes included in our Annual Report on Form 10-K for the year ended January 31, 2021 filed with the SEC. The results for interim periods are not necessarily indicative of a full year’s results. Principles of Consolidation The accompanying condensed consolidated financial statements include the accounts of Verint Systems Inc., and our wholly owned or otherwise controlled subsidiaries. Noncontrolling interests in less than wholly owned subsidiaries are reflected within stockholders’ equity on our condensed 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 accrued expenses and other current liabilities and do not recognize noncontrolling interests in these subsidiaries. Equity investments in companies in which we have less than a 20% ownership interest and cannot exercise significant influence, and which do not have readily determinable fair values, are accounted for at cost, adjusted for changes resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer, less any impairment. We include the results of operations of acquired companies from the date of acquisition. All significant intercompany transactions and balances are eliminated in consolidation. Use of Estimates The preparation of financial statements in conformity with 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 condensed consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. In light of the currently unknown extent and duration of the COVID-19 pandemic, we face a greater degree of uncertainty than normal in making the judgments and estimates needed to apply to certain of our significant accounting policies. We assessed certain accounting matters that generally require consideration of forecasted financial information in context with the information reasonably available to us and the unknown future impacts COVID-19 as of July 31, 2021 and through the date of this report. These estimates may change, as new events occur and additional information is obtained. Actual results could differ materially from these estimates under different assumptions or conditions. Reclassifications Following the Spin-Off, we began to operate as a pure-play customer engagement company and determined that presenting our revenue and cost of revenue as recurring and nonrecurring would be a more meaningful representation of the nature of our offerings, provide greater transparency and clarity to users of the financial statements, and is more consistent with industry practice and internal reporting. Accordingly, prior period amounts have been reclassified to conform to the current period presentation in our condensed consolidated financial statements and the accompanying notes. For a description of the types of revenue included in each category, see Note 3, “Revenue Recognition”. Business Segment Information Prior to the Spin-Off, we had two reportable segments—Customer Engagement and Cyber Intelligence. Upon completion of the Spin-Off, we are a pure-play customer engagement company that operates as a single reporting segment as our Chief Executive Officer, who is our chief operating decision maker, or CODM, reviews the financial information presented on a consolidated basis for purposes of allocating resources and evaluating financial performance. Significant Accounting Policies There have been no material changes in our significant accounting policies during the six months ended July 31, 2021, as compared to the significant accounting policies described in Note 1 to the consolidated financial statements included in our Annual Report on Form 10-K for the year ended January 31, 2021, other than the recently adopted accounting pronouncements described below. Recently Adopted Accounting Pronouncements In December 2019, the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes, which affects general principles within Topic 740, Income Taxes. The new guidance simplifies the accounting for income taxes by eliminating certain exceptions related to the approach for intraperiod tax allocation, the tax basis of goodwill after a business combination, and the recognition of deferred tax liabilities for outside basis differences. The new guidance also changes the calculation of the income tax impact of hybrid taxes and the methodology for calculating income taxes in an interim period. We adopted this standard as of February 1, 2021 on either a prospective basis, or through a modified retrospective approach, as required by the standard. There was no cumulative effect adjustment recorded to accumulated deficit as the amount was not material. The effects of this standard on our financial position, results of operations and cash flows were not material. In August 2020, the FASB issued ASU No. 2020-06, Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity, which simplifies the accounting for certain financial instruments with characteristics of liabilities and equity, including convertible instruments and contracts in an entity’s own equity. Among other changes, ASU No. 2020-06 removes from GAAP the liability and equity separation model for convertible instruments with a cash conversion feature, and as a result, after adoption, entities will no longer separately present in equity an embedded conversion feature for such debt. ASU No. 2020-06 also eliminates the treasury stock method to calculate diluted earnings per share and requires the if-converted method for convertible instruments. We early adopted ASU No. 2020-06 as of February 1, 2021 using the modified retrospective transition method. Prior period financial statements have not been restated upon adoption. Upon adoption of ASU No. 2020-06, we no longer presented the conversion feature of our 2014 convertible senior notes, which matured on June 1, 2021, in equity. Instead, we combined the previously separated equity component with the liability component, which prior to maturity of the 2014 convertible senior notes, was classified as debt, thereby eliminating the subsequent amortization of the debt discount as interest expense. Similarly, the portion of issuance costs previously allocated to equity was reclassified to debt and amortized as interest expense until the notes matured. Accordingly, we recorded a decrease to accumulated deficit of approximately $44.9 million, a decrease to additional paid-in capital of $43.4 million, a decrease to temporary equity of $4.8 million, an increase to current maturities of long-term debt of $4.4 million, a decrease to deferred tax liabilities of $0.9 million, and an increase in debt issuance costs of $0.1 million. There was no impact to earnings per share as a result of the adoption. New Accounting Pronouncements Not Yet Effective There are no new accounting pronouncements not yet effective that are expected to have a material impact on our condensed consolidated financial statements.

DISCONTINUED OPERATIONS

6 Months Ended

Jul. 31, 2021

Discontinued Operations and Disposal Groups [Abstract]

DISCONTINUED OPERATIONS

On February 1, 2021 (the “Spin-Off Date”), we completed the previously announced Spin-Off of Cognyte by way of a pro rata and generally tax-free distribution of all of the then-issued and outstanding ordinary shares of Cognyte to holders of record of our common stock as of the close of business on January 25, 2021.

To effect the Spin-Off and provide a framework for our relationship with Cognyte post Spin-Off we entered into several agreements with Cognyte, including the following:

•a Separation and Distribution Agreement;

•a Tax Matters Agreement;

•an Employee Matters Agreement;

•a Transition Services Agreement;

•an Intellectual Property Cross License Agreement; and

•a Trademark Cross License Agreement.

These agreements provide for the allocation of assets, employees, liabilities, and obligations (including property, employee benefits, litigation, and tax-related assets and liabilities) between us and Cognyte attributable to periods prior to, at and after the Spin-Off.

Under the Transition Services Agreement (“TSA”) with Cognyte, we and Cognyte will provide and/or make available various administrative services and assets to each other for a given period based on each individual service, with an option to extend certain services after the first year. In no case will services be provided for more than 24 months after the Spin-Off Date. In consideration for such services, we and Cognyte will each pay fees to the other for the services provided, and those fees will generally be in amounts intended to allow the party providing services to recover all of its direct and indirect costs incurred in providing those services, plus a standard markup, and subject to a mutually agreed-upon increase following an extension of the initial service term. The fees charged for the first year of services are fixed. Fees for services provided by third-party suppliers will be on a straight pass-through basis. During the three and six months ended July 31, 2021, we invoiced Cognyte $1.4 million and $2.9 million, respectively, and Cognyte invoiced us $0.2 million and $0.5 million, respectively, for transition services provided under the TSA.

Under the Tax Matters Agreement with Cognyte, we and Cognyte each agreed to share the obligation to pay any taxes as shown on tax returns filed by Cognyte (or any member of its group), on one hand, and us (or any member of our group), on the other hand, such that we will be primarily responsible for any taxes related to, or arising in connection with our business and Cognyte will be responsible for any taxes related to, or arising in connection with, the Cognyte Business, regardless of which party prepares and files any such tax return and whether such taxes arise prior to or after the Spin-Off. We and Cognyte also agreed to share responsibility for preparing relevant tax returns, which responsibility will depend on the type of a tax return and the period for which such tax return is being filed. We and Cognyte agreed to indemnify each other under the Tax Matters Agreement for certain actions or inactions.

The Spin-Off met the criteria for classification as “discontinued operations” in accordance with the accounting guidance upon completion of the separation, and as such, the results of our former Cognyte Business have been classified as discontinued operations in our condensed consolidated balance sheets, condensed consolidated statements of operations and condensed consolidated statements of cash flows for all periods presented. As of July 31, 2021, there were no assets from discontinued operations associated with Cognyte and remaining accrued liabilities related to unpaid transaction costs were immaterial. There were no revenues earned or costs and expenses incurred by discontinued operations during the three and six months ended July 31, 2021.

The following table summarizes the major classes of line items included within discontinued operations in our condensed consolidated statements of operations for the three and six months ended July 31, 2020:


(in thousands)	Three Months Ended July 31, 2020		Six Months Ended July 31, 2020
Revenue	$	105,029	$	206,459
Cost of revenue	31,198		62,621
Operating expenses	53,087		114,879
Other income, net	963		1,082
Income from discontinued operations before benefit from income taxes	21,707		30,041
Provision for (benefit from) income taxes	1,750		(359)
Net income from discontinued operations	19,957		30,400
Net income from discontinued operations attributable to noncontrolling interests	1,766		3,565
Net income from discontinued operations attributable to Verint Systems Inc. common shares	$	18,191	$	26,835

The following table summarizes the assets and liabilities that were transferred to Cognyte on February 1, 2021 and presented as discontinued operations in our condensed consolidated balance sheet as of January 31, 2021:


(in thousands)	January 31, 2021
Assets
Current Assets:
Cash and cash equivalents	$	78,570
Restricted cash and cash equivalents, and restricted bank time deposits	27,042
Short-term investments	4,713
Accounts receivable, net	175,001
Contract assets, net	20,317
Inventories	14,542
Prepaid expenses and other current assets	34,741
Total current assets of discontinued operations	354,926
Property and equipment, net	37,152
Operating lease right-of-use assets	31,040
Goodwill	158,183
Intangible assets, net	5,299
Other assets	49,278
Total long-term assets of discontinued operations	280,952
Total assets of discontinued operations	$	635,878

Liabilities
Current Liabilities:
Accounts payable	$	41,512
Accrued expenses and other current liabilities	100,189
Contract liabilities	127,012
Total current liabilities of discontinued operations	268,713
Long-term contract liabilities	22,037
Operating lease liabilities	23,174
Other liabilities	12,907
Total long-term liabilities of discontinued operations	58,118
Total liabilities of discontinued operations	$	326,831

In connection with the Spin-Off, $17.1 million of accumulated other comprehensive income, net of income taxes, related to foreign currency translation adjustments and foreign exchange contracts designated as cash flow hedges were transferred to Cognyte on the Spin-Off Date. Additionally, Verint transferred its interests in Cognyte Technologies Israel Ltd. (formerly Verint Systems Limited) (“CTIL”) on the Spin-Off Date. Prior to the transfer, CTIL was a wholly owned subsidiary of Verint and the CTIL board of directors declared a cash dividend in the aggregate amount of $35.0 million payable to Verint, as its sole

holder of record of ordinary shares, on January 29, 2021. In April 2021, we received the dividend from Cognyte less applicable withholding taxes. The $78.6 million of cash and cash equivalents shown in the table above does not reflect the payment of the dividend, which occurred after the completion of the Spin-Off.

REVENUE RECOGNITION

6 Months Ended

Jul. 31, 2021

Revenue from Contract with Customer [Abstract]

REVENUE RECOGNITION

We derive our revenue primarily from providing customers the right to access our cloud-based solutions, the right to use our software for an indefinite or specified period of time, and related services and support based on when access or control of the software passes to our customers or the services are provided, in an amount that reflects the consideration we expect to be entitled to in exchange for such goods or services. Revenue is reported net of applicable sales and use tax, value-added tax and other transaction taxes imposed on the related transactions, including mandatory government charges that are passed through to our customers.

We determine revenue recognition through the following five steps:

•Identification of the contract, or contracts, with a customer

•Identification of the performance obligations in the contract

•Determination of the transaction price

•Allocation of the transaction price to the performance obligations in the contract

•Recognition of revenue when, or as, performance obligations are satisfied.

We account for a contract when it has approval and commitment from both parties, the rights of the parties are identified, payment terms are identified, the contract has commercial substance, and collectability of consideration is probable.

Disaggregation of Revenue

The following table provides a disaggregation of our recurring and nonrecurring revenue. Recurring revenue is the portion of our revenue that we believe is likely to be renewed in the future. The recurrence of these revenue streams in future periods depends on a number of factors including contractual periods and customers' renewal decisions.

•Recurring revenue primarily consists of cloud revenue and initial and renewal support revenue.

◦Cloud revenue primarily consists of software as a service (“SaaS”) revenue and some optional managed services revenue.

◦SaaS revenue primarily consists of bundled SaaS (software with standard managed services) and unbundled SaaS (software licensing rights accounted for as term-based licenses whereby customers use our software with related support for a specified period of time). Unbundled SaaS can be deployed in the cloud either by us or a cloud partner.

◦Bundled SaaS revenue is recognized over time and unbundled SaaS revenue is recognized at a point in time, except for the related support which is recognized over time. Unbundled SaaS contracts are eligible for renewal after the initial fixed term, which in most cases is between a one- and three-year time frame.

•Nonrecurring revenue primarily consists of our perpetual licenses, hardware, installation services, and business advisory consulting and training services.

In order to conform with the presentation described above, unbundled SaaS revenue for the three and six months ended July 31, 2020 has been revised to reflect $2.3 million and $4.3 million, respectively, of unbundled SaaS support revenue which had previously been presented within support revenue.


	Three Months Ended July 31,				Six Months Ended July 31,
(in thousands)	2021		2020		2021		2020
Recurring revenue:
Bundled SaaS revenue	$	42,940	$	35,818	$	82,249	$	69,211
Unbundled SaaS revenue	33,444		12,411		57,727		19,906
Optional managed services revenue	16,872		14,328		33,330		28,460
Total cloud revenue	93,256		62,557		173,306		117,577
Support revenue	62,922		76,710		127,325		150,760
Total recurring revenue	156,178		139,267		300,631		268,337
Nonrecurring revenue:
Perpetual revenue	32,349		35,829		61,672		64,354
Professional services revenue	26,090		28,984		53,218		57,254
Total nonrecurring revenue	58,439		64,813		114,890		121,608
Total revenue	$	214,617	$	204,080	$	415,521	$	389,945

Contract Balances

The following table provides information about accounts receivable, contract assets, and contract liabilities from contracts with customers:


(in thousands)	July 31, 2021		January 31, 2021
Accounts receivable, net	$	150,242	$	206,157
Contract assets, net	$	38,081	$	36,716
Long-term contract assets, net (included in other assets)	$	27,817	$	17,210
Contract liabilities	$	228,040	$	261,033
Long-term contract liabilities	$	16,571	$	16,502

We receive payments from customers based upon contractual billing schedules, and accounts receivable are recorded when the right to consideration becomes unconditional. Contract assets are rights 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. The majority of our contract assets represent unbilled amounts related to multi-year unbundled SaaS contracts and arrangements where our right to consideration is subject to the contractually agreed upon billing schedule. We expect billing and collection of a majority of our contract assets to occur within the next twelve months and asset impairment charges related to contract assets were immaterial in the three and six months ended July 31, 2021 and 2020. There was one customer, an authorized global reseller of our solutions, that accounted for approximately 17% and 14% of our aggregated accounts receivable and contract assets at July 31, 2021 and January 31, 2021, respectively. Credit losses relating to this reseller have historically been immaterial.

Contract liabilities represent consideration received or consideration which is unconditionally due from customers prior to transferring goods or services to the customer under the terms of the contract. Revenue recognized during the six months ended July 31, 2021 and 2020 from amounts included in contract liabilities at the beginning of each period was $171.0 million and $161.9 million, respectively.

Remaining Performance Obligations

Transaction price allocated to remaining performance obligations (“RPO”) represents contracted revenue that has not yet been recognized, which includes contract liabilities and non-cancelable amounts that will be invoiced and recognized as revenue in future periods. The majority of our arrangements are for periods of up to three years, with a significant portion being one year or less.

We elected to exclude amounts of variable consideration attributable to sales- or usage-based royalties in exchange for a license of our IP from the remaining performance obligations. The timing and amount of revenue recognition for our remaining performance obligations is influenced by several factors, including seasonality, the timing of support renewals, the timing of delivery of software licenses, the average length of the contract terms, and foreign currency exchange rates.

The following table provides information about when we expect to recognize our remaining performance obligations:


(in thousands)	July 31, 2021		January 31, 2021
RPO:
Expected to be recognized within 1 year	$	378,422	$	405,714
Expected to be recognized in more than 1 year	248,400		229,951
Total RPO	$	626,822	$	635,665

- Definition

The entire disclosure of revenue from contract with customer to transfer good or service and to transfer nonfinancial asset. Includes, but is not limited to, disaggregation of revenue, credit loss recognized from contract with customer, judgment and change in judgment related to contract with customer, and asset recognized from cost incurred to obtain or fulfill contract with customer. Excludes insurance and lease contracts.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-URI http://asc.fasb.org/topic&trid=49130388

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 10
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130551-203045

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 13
-Subparagraph (b)(2)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130556-203045

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130554-203045

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 9
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130550-203045

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (e)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130554-203045

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130554-203045

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (d)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130554-203045

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 15
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130558-203045

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130554-203045

+ Details

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

6 Months Ended

Jul. 31, 2021

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 three and six months ended July 31, 2021 and 2020:


	Three Months Ended July 31,				Six Months Ended July 31,
(in thousands, except per share amounts)	2021		2020		2021		2020
Net income (loss) from continuing operations	$	5,316	$	(9,370)	$	6,410	$	(23,788)
Net income from discontinued operations, net of tax	—		19,957		—		30,400
Net income	5,316		10,587		6,410		6,612
Net income attributable to noncontrolling interests from continuing operations	316		327		611		567
Net income attributable to noncontrolling interests from discontinued operations	—		1,766		—		3,565
Net income attributable to Verint Systems Inc.	5,000		8,494		5,799		2,480
Dividends on preferred stock	(5,200)		(2,484)		(8,522)		(2,484)
Net (loss) income attributable to Verint Systems Inc. for basic net income per common share	(200)		6,010		(2,723)		(4)
Dilutive effect of dividends on preferred stock	—		—		—		—
Net (loss) income attributable to Verint Systems Inc. for diluted net income per common share	$	(200)	$	6,010	$	(2,723)	$	(4)

Net (loss) income attributable to Verint Systems Inc. common shares
Net (loss) income from continuing operations attributable to Verint Systems Inc. common shares	(200)		(12,181)		(2,723)		(26,839)
Net income from discontinued operations attributable to Verint Systems Inc. common shares	—		18,191		—		26,835

Weighted-average shares outstanding:
Basic	65,194		64,954		65,417		64,670
Dilutive effect of employee equity award plans	—		895		—		—
Dilutive effect of 2021 Notes	—		—		—		—
Dilutive effect of 2014 Notes	—		—		—		—
Dilutive effect of warrants	—		—		—		—
Dilutive effect of assumed conversion of preferred stock	—		—		—		—
Diluted	65,194		65,849		65,417		64,670

Basic (loss) net income per common share attributable to Verint Systems Inc.:
Continuing operations	$	—	$	(0.19)	$	(0.04)	$	(0.42)
Discontinued operations	—		0.28		—		0.42
Total basic net (loss) income per common share attributable to Verint Systems Inc.	$	—	$	0.09	$	(0.04)	$	—

Diluted net (loss) income per common share attributable to Verint Systems Inc.:
Continuing operations	$	—	$	(0.18)	$	(0.04)	$	(0.42)


	Three Months Ended July 31,				Six Months Ended July 31,
(in thousands, except per share amounts)	2021		2020		2021		2020
Discontinued operations	—		0.27		—		0.42
Total diluted net (loss) income per common share attributable to Verint Systems Inc.	$	—	$	0.09	$	(0.04)	$	—

We excluded the following weighted-average potential common shares from our diluted per share calculations during the applicable periods because their inclusion would have been anti-dilutive:


	Three Months Ended July 31,		Six Months Ended July 31,
(in thousands)	2021	2020	2021	2020
Common shares excluded from calculation:
Stock options and restricted stock-based awards	2,209	392	2,034	1,329
2021 Notes	5,074	—	3,196	—
2014 Notes	9,541	6,137	9,541	6,171
Warrants	9,865	6,205	9,865	6,205
Series A Preferred Stock	5,498	3,495	5,498	1,747
Series B Preferred Stock	3,980	—	2,573	—

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.

Upon our adoption of ASU No. 2020-06 on February 1, 2021, use of the if-converted method is required for calculating any potential dilutive effect of convertible instruments. For the three months ended July 31, 2021, the average price of our common stock, did not exceed the $62.08 per share conversion price of our 2021 Notes (as defined in Note 7, “Long-Term Debt”), and other requirements for the 2021 Notes to be convertible were not met. The 2021 Notes will have a dilutive impact on net income per common share at any time when the average market price of our common stock for a quarterly reporting period exceeds the conversion price.

The Capped Calls (as defined in Note 7, “Long-Term Debt”) do not impact our diluted earnings per common share calculations as their effect would be anti-dilutive. The Capped Calls are intended generally to reduce the potential dilution to our common stock upon any conversion of the 2021 Notes and/or offset any cash payments we are required to make in excess of the principal amount of converted 2021 Notes, in the event that at the time of conversion our common stock price exceeds the $62.08 conversion price, with such reduction and/or offset subject to a cap of $100.00.

There is no impact on our calculation of the dilutive effect of our 2014 Notes (as defined in Note 7, “Long-Term Debt”) upon adoption of ASU No. 2020-06 as we were obligated to settle the principal amount of our 2014 Notes in cash and settled the conversion spread with shares of our common stock in connection with the maturity of the 2014 Notes. Following the completion of the Spin-Off on February 1, 2021, the strike prices of the conversion features of our 2014 Notes and Warrants (as defined in Note 7, “Long-Term Debt”) were reduced to $40.55 per share and $47.18 per share, respectively, which increased the equivalent number of underlying common shares to 9,541,000 and 9,865,000, respectively.

Our Note Hedges (as defined in Note 7, “Long-Term Debt”) did not impact our diluted earnings per common share calculations because their effect would be anti-dilutive. However, in connection with the maturity of the 2014 Notes, the common shares delivered to us under the Note Hedges neutralized the dilutive effect of the common shares that we issued under the 2014 Notes to settle the conversion premium. As a result, the settlement of the outstanding 2014 Notes did not increase our outstanding common stock.

Our Warrants (as defined in Note 7, “Long-Term Debt”) would have a dilutive effect on our diluted per common share calculations to the extent that we earned income for the applicable period and the average market value of our common stock exceeds the strike price of the Warrants. As of July 31, 2021, up to 9,865,000 common shares could be issued upon exercise of the Warrants.

Further details regarding the 2021 Notes, Capped Calls, 2014 Notes, Note Hedges, and the Warrants appear in Note 7, “Long-Term Debt”.

On December 4, 2019, we announced that the Apax Investor would invest up to $400.0 million in us, in the form of convertible preferred stock. On May 7, 2020, the purchase of $200.0 million of our Series A Preferred Stock closed. On April 6, 2021, in connection with the completion of the Spin-Off, the Apax Investor purchased $200.0 million of our Series B Preferred Stock. The weighted-average common shares underlying the assumed conversion of the Series A Preferred Stock and Series B Preferred Stock, on an as-converted basis, were excluded from the calculation of diluted net (loss) income per common share for the three and six months ended July 31, 2021 as their effect would have been anti-dilutive. Further details regarding the Preferred Stock investment appear in Note 9, “Convertible Preferred Stock”.

CASH, CASH EQUIVALENTS, AND SHORT-TERM INVESTMENTS

6 Months Ended

Jul. 31, 2021

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

CASH, CASH EQUIVALENTS, AND SHORT-TERM INVESTMENTS

The following tables summarize our cash, cash equivalents, and short-term investments as of July 31, 2021 and January 31, 2021:


	July 31, 2021
(in thousands)	Cost Basis		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
Cash and cash equivalents:
Cash and bank time deposits	$	208,412	$	—	$	—	$	208,412
Money market funds	112,027		—		—		112,027
Total cash and cash equivalents	$	320,439	$	—	$	—	$	320,439

Short-term investments:
Bank time deposits	$	666	$	—	$	—	$	666
Total short-term investments	$	666	$	—	$	—	$	666


	January 31, 2021
(in thousands)	Cost Basis		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
Cash and cash equivalents:
Cash and bank time deposits	$	243,183	$	—	$	—	$	243,183
Money market funds	342,090		—		—		342,090
Total cash and cash equivalents	$	585,273	$	—	$	—	$	585,273

Short-term investments:
Bank time deposits	$	46,300	$	—	$	—	$	46,300
Total short-term investments	$	46,300	$	—	$	—	$	46,300

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.

During the six months ended July 31, 2021 and 2020, proceeds from maturities and sales of short-term investments were $45.6 million and $9.0 million, respectively.

INTANGIBLE ASSETS AND GOODWILL

6 Months Ended

Jul. 31, 2021

Goodwill and Intangible Assets Disclosure [Abstract]

INTANGIBLE ASSETS AND GOODWILL

During the three months ended July 31, 2021, we completed an acquisition of certain assets from a leader in contact center hiring automation that qualified as a business combination. This transaction resulted in increases to goodwill, customer relationships, and acquired technology intangible assets, but was not material to our condensed consolidated financial statements, and as a result, additional business combination disclosures for this acquisition have been omitted.

Acquisition-related intangible assets consisted of the following as of July 31, 2021 and January 31, 2021:


	July 31, 2021
(in thousands)	Cost		Accumulated Amortization		Net
Intangible assets with finite lives:
Customer relationships	$	467,597	$	(371,197)	$	96,400
Acquired technology	222,373		(197,325)		25,048
Trade names	7,034		(4,948)		2,086
Distribution network	2,440		(2,440)		—
Total intangible assets	$	699,444	$	(575,910)	$	123,534


	January 31, 2021
(in thousands)	Cost		Accumulated Amortization		Net
Intangible assets with finite lives:
Customer relationships	$	464,586	$	(356,064)	$	108,522
Acquired technology	222,040		(189,687)		32,353
Trade names	9,424		(6,555)		2,869
Distribution network	2,440		(2,440)		—
Total intangible assets	$	698,490	$	(554,746)	$	143,744

We considered the current and expected future economic and market conditions surrounding the COVID-19 pandemic to assess whether a triggering event had occurred that would result in a potential impairment of our indefinite-lived intangible assets. Based on this assessment, we concluded that a triggering event has not occurred which would require further impairment testing to be performed.

Total amortization expense recorded for acquisition-related intangible assets was $11.8 million and $11.9 million for the three months ended July 31, 2021 and 2020, respectively, and $23.5 million and $24.0 million for the six months ended July 31, 2021 and 2020, 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
2022 (remainder of year)	$	21,918
2023	37,665
2024	28,572
2025	11,741
2026	10,409
2027 and thereafter	13,229
Total	$	123,534

Goodwill activity for the six months ended July 31, 2021 was as follows:


(in thousands)	Amount
Six Months Ended July 31, 2021:
Goodwill, gross, at January 31, 2021	$	1,383,450
Accumulated impairment losses through January 31, 2021	(56,043)
Goodwill, net, at January 31, 2021	1,327,407
Business combination	4,432
Foreign currency translation and other	3,977
Goodwill, net, at July 31, 2021	$	1,335,816

Balance at July 31, 2021
Goodwill, gross, at July 31, 2021	$	1,391,859
Accumulated impairment losses through July 31, 2021	(56,043)
Goodwill, net, at July 31, 2021	$	1,335,816

We evaluated whether there has been a change in circumstances as of July 31, 2021 and as of the date of this filing in response to the economic impacts seen globally from COVID-19. The valuation methodology to determine the fair value of our reporting unit is sensitive to management's forecasts of future revenue, profitability and market conditions. At this time, the impact of COVID-19 on our forecasts is uncertain and increases the subjectivity that is involved in evaluating goodwill for potential impairment. Our reporting unit fair value may decline as a result of delayed or reduced demand for our products and services, driving lower revenue and operating income across our business. However, given the significant difference between the reporting unit fair value and its carrying value in the most recent quantitative analyses completed as of November 1, 2020, as well as expected long-term recovery, management does not believe that these events were severe enough to result in an impairment trigger. We will continue to monitor the environment to determine whether impacts to our reporting unit represent events or changes in circumstances that may trigger a need to assess for impairment.

LONG-TERM DEBT

6 Months Ended

Jul. 31, 2021

Debt Disclosure [Abstract]

LONG-TERM DEBT

The following table summarizes our long-term debt at July 31, 2021 and January 31, 2021:


	July 31,		January 31,
(in thousands)	2021		2021
2021 Notes	$	315,000	$	—
2014 Notes	—		386,887
2017 Term Loan	100,000		410,125
Less: unamortized debt discounts and issuance costs	(9,127)		(7,518)
Total debt	405,873		789,494
Less: current maturities	—		386,713
Long-term debt	$	405,873	$	402,781

2021 Notes

On April 9, 2021, we issued $315.0 million in aggregate principal amount of 0.25% convertible senior notes due April 15, 2026 (the “2021 Notes”), unless earlier converted by the holders pursuant to their terms. The 2021 Notes are unsecured and pay interest in cash semiannually in arrears at a rate of 0.25% per annum.

We used a portion of the net proceeds from the issuance of the 2021 Notes to pay the costs of the capped call transactions described below. We also used a portion of the net proceeds from the issuance of the 2021 Notes, together with the net proceeds from the April 6, 2021 issuance of $200.0 million of Series B Preferred Stock, to repay a portion of the outstanding indebtedness under our 2017 Credit Agreement described below, to terminate an interest rate swap agreement, and to repurchase shares of our common stock. The remainder is being used for working capital and other general corporate purposes.

The 2021 Notes are convertible into shares of our common stock at an initial conversion rate of 16.1092 shares per $1,000 principal amount of 2021 Notes, which represents an initial conversion price of approximately $62.08 per share, subject to adjustment upon the occurrence of certain events, and subject to customary anti-dilution adjustments. Prior to January 15, 2026, the 2021 Notes will be convertible only upon the occurrence of certain events and during certain periods, and will be

convertible thereafter at any time until the close of business on the second scheduled trading day immediately preceding the maturity date of the 2021 Notes. Upon conversion of the 2021 Notes, holders will receive cash up to the aggregate principal amount, with any remainder to settled with cash or common stock, or a combination thereof, at our election. As of July 31, 2021, the 2021 Notes were not convertible.

We incurred approximately $8.9 million of issuance costs in connection with the 2021 Notes, which have been deferred and are presented as a reduction of long-term debt, and which are being amortized as interest expense over the term of the 2021 Notes. Including the impact of the deferred debt issuance costs, the effective interest rate on the 2021 Notes was approximately 0.83% at July 31, 2021.

Based on the closing market price of our common stock on July 31, 2021, the if-converted value of the 2021 Notes was less than their aggregate principal amount.

2014 Notes

On June 18, 2014, we issued $400.0 million in aggregate principal amount of 1.50% convertible senior notes, with a maturity date of June 1, 2021 (the “2014 Notes”). Net proceeds from the 2014 Notes after underwriting discounts were $391.9 million. The 2014 Notes were unsecured and paid interest in cash semiannually in arrears at a rate of 1.50% per annum.

Effective December 1, 2020 until the close of business on the second scheduled trading day immediately preceding the June 1, 2021 maturity date, holders could have surrendered their 2014 Notes for conversion regardless of whether any of the other specified conditions for conversion had been satisfied. On February 26, 2021, we deposited approximately $390.0 million of cash, representing the full principal amount of the 2014 Notes then outstanding as well as the final interest payment on the 2014 Notes due at maturity, into an escrow account to cash collateralize the 2014 Notes.

In connection with the maturity of the 2014 Notes on June 1, 2021, we paid an aggregate of $389.8 million in cash for the settlement of the 2014 Notes, which included $386.9 million in satisfaction of the outstanding principal of the 2014 Notes and $2.9 million related to the final interest payment on the 2014 Notes. We funded the repayment of the outstanding principal amount of the 2014 Notes and accrued interest thereon using the cash we had placed in escrow. Additionally, the 2014 Notes had an incremental conversion value of $57.7 million, as the market value per share of our common stock, as measured under the terms of the 2014 Notes, was greater than the conversion price of the 2014 Notes. We issued approximately 1,250,000 shares of common stock to the holders of the 2014 Notes as payment of the conversion premium, which we issued from treasury stock.

As of January 31, 2021, the 2014 Notes had a conversion rate of 15.5129 shares of common stock per $1,000 principal amount of 2014 Notes, which represented an effective conversion price of approximately $64.46 per share of common stock and would have resulted in the issuance of approximately 6,002,000 shares if all of the 2014 Notes had been converted. As a result of the Spin-Off, the conversion rate was adjusted to 24.6622 shares of common stock per $1,000 principal amount of 2014 Notes, which represented an effective conversion price of $40.55 per share of common stock and would have resulted in the issuance of approximately 9,541,000 shares if all of the 2014 Notes had been converted prior to maturity.

At issuance, in accordance with then-applicable accounting guidance for convertible debt with a cash conversion option, we separately accounted for the debt and equity components of the 2014 Notes in a manner that reflected our estimated nonconvertible debt borrowing rate. We estimated the debt and equity components of the 2014 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. Through January 31, 2021, the excess of the principal amount of the debt component over its carrying amount (the “debt discount”) was being amortized as interest expense over the term of the 2014 Notes using the effective interest method. The equity component was not remeasured as long as it continued to meet the conditions for equity classification.

We allocated transaction costs related to the issuance of the 2014 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 2014 Notes were presented as a reduction of long-term debt and were amortized as interest expense over the term of the 2014 Notes, and issuance costs attributable to the equity component were netted with the equity component in additional paid-in capital.

During the three months ended July 31, 2020, we repurchased $13.1 million principal amount of the 2014 Notes (the “Repurchased 2014 Notes”) in open market transactions for an aggregate of $13.0 million in cash, resulting in a debt extinguishment loss of $0.1 million, and a $0.2 million charge to additional paid-in-capital.

At January 31, 2021, because the 2014 notes were convertible, $4.8 million of the 2014 Notes’ equity component was classified as temporary equity on our consolidated balance sheet, representing the difference between the principal amount and the net carrying amount of the 2014 Notes that could be requested for conversion.

In August 2020, the FASB issued ASU No. 2020-06, Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity, which simplifies the accounting for certain financial instruments with characteristics of liabilities and equity, including convertible instruments and contracts in an entity’s own equity. Among other changes, ASU No. 2020-06 eliminates the liability and equity separation model for convertible instruments with a cash conversion feature, such as the 2014 Notes.

As permitted, on February 1, 2021, we early adopted ASU No. 2020-06, which otherwise would have been effective for us on February 1, 2022. As a result, effective February 1, 2021, we no longer presented separate liability and equity components for the 2014 Notes on our condensed consolidated balance sheet. We implemented the provisions of ASU No. 2020-06 using the modified retrospective approach, such that comparative information has not been restated and continues to be reported under accounting standards in effect for those periods.

The adoption of ASU No. 2020-06 resulted in the $78.0 million carrying value of the 2014 Notes’ equity component at January 31, 2021, which included applicable issuance costs and the portion classified within temporary equity, being reclassified and combined with the liability component of the 2014 Notes. This resulted in a $43.4 million decrease to additional paid-in capital, a $4.8 million decrease to temporary equity, a $4.4 million increase to current maturities of long-term debt, a $0.9 million decrease to deferred tax liabilities, a $0.1 million increase in unamortized debt issuance costs (a component of long-term debt), and a $44.9 million decrease to our accumulated deficit.

As the 2014 Notes were due June 1, 2021, they are classified within current maturities of long-term debt on our condensed consolidated balance sheets as of January 31, 2021.

Capped Calls, Note Hedges and Warrants

Capped Calls

In connection with the issuance of the 2021 Notes, on April 6, 2021 and April 8, 2021, we entered into capped call transactions (the “Capped Calls”) with certain counterparties. The Capped Calls are intended generally to reduce the potential dilution to our common stock upon any conversion of the 2021 Notes and/or offset any cash payments we are required to make in excess of the principal amount of converted 2021 Notes, in the event that at the time of conversion our common stock price exceeds the conversion price, with such reduction and/or offset subject to a cap.

The Capped Calls exercise price is equal to the $62.08 initial conversion price of each of the 2021 Notes, and the cap price is $100.00, each subject to certain adjustments under the terms of the Capped Calls. Our exercise rights under the Capped Calls generally trigger upon conversion of the 2021 Notes, and the Capped Calls terminate upon maturity of the 2021 Notes, or the first day the 2021 Notes are no longer outstanding. As of July 31, 2021, no Capped Calls have been exercised.

Pursuant to their terms, the Capped Calls qualify for classification within stockholders’ equity, and their fair value is not remeasured and adjusted as long as they continue to qualify for stockholders’ equity classification. We paid approximately $41.1 million for the Capped Calls, including applicable transaction costs, which was recorded as a reduction to additional paid-in capital.

Note Hedges and Warrants

Concurrently with the issuance of the 2014 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 served to increase the effective initial conversion price for the 2014 Notes to $75.00 per share. Subsequent to the Spin-Off, as a result of conversion rate adjustments, the Note Hedges and the Warrants served to increase the effective conversion price for the 2014 Notes to $47.18 per share. The Note Hedges were, and Warrants are, each separate instruments from the 2014 Notes.

Note Hedges

Pursuant to the Note Hedges, we purchased call options on our common stock, under which we had 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 equaled the initial conversion price of the 2014 Notes. As a result of the Spin-Off, on February 1, 2021, the call options on our stock were adjusted to allow us to purchase up to 9,865,000 shares of our common stock at a price of

$40.55, which was equal to the adjusted conversion price of the 2014 Notes. We were permitted to settle the Note Hedges in cash, shares of our common stock, or a combination thereof, at our option, and were intended to reduce our exposure to potential dilution upon conversion of the 2014 Notes. We paid $60.8 million for the Note Hedges, which was recorded as a charge to additional paid-in capital. Our exercise rights under the Note Hedges were automatically triggered upon conversion of any 2014 Notes and the Note Hedges otherwise terminated upon maturity of the 2014 Notes on June 1, 2021. In connection with the maturity of the 2014 Notes on June 1, 2021, we received approximately 1,250,000 shares of our common stock from the counterparties under the Note Hedges, which offset the dilution resulting from the stock settlement of the conversion premium on the 2014 Notes as the market value per share of our common stock, as measured under the terms of the Note Hedges, was greater than the strike price of the Note Hedges.

The Repurchased 2014 Notes acquired during the three months ended July 31, 2020 as described above did not change the number of common shares subject to the Note Hedges as the counterparties agreed that the options under the Note Hedges remained outstanding notwithstanding such repurchase. Upon maturity of the 2014 Notes, we received approximately 42,000 shares of our common stock from the counterparties to the Note Hedges as reimbursement for the in-the-money portion of the Repurchased 2014 Notes.

Warrants

We sold the Warrants to several counterparties. The Warrants initially provided 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. As a result of the Spin-Off, the Warrants now provide the counterparties rights to acquire from us up to approximately 9,865,000 shares of our common stock at a price of $47.18 per share. Proceeds from the sale of the Warrants were $45.2 million and were recorded as additional paid-in capital. The Warrants expire incrementally on a series of expiration dates between August 30, 2021 and January 21, 2022. 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 have a dilutive effect on net income per share to the extent that the average market value of our common stock, as measured under the terms of the Warrants, exceeds the strike price of the Warrants. Through September 9, 2021, no Warrants had been exercised, 789,000 Warrants had expired, and 9,076,000 Warrants remained outstanding.

The Note Hedges and Warrants both qualified for classification within stockholders’ equity, and their respective fair values were not remeasured and adjusted as long as these instruments continued to qualify for stockholders’ equity classification.

Credit Agreements

2017 Credit Agreement

On June 29, 2017, we entered into a credit agreement with certain lenders and terminated a prior credit agreement. The credit agreement was amended in 2018, 2020, and 2021, as further described below (as amended, the “2017 Credit Agreement”).

The 2017 Credit Agreement currently 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”), of which $100.0 million and $410.1 million was outstanding at July 31, 2021 and January 31, 2021, respectively, and a $300.0 million revolving credit facility maturing on April 9, 2026 (the “2021 Revolving Credit Facility”), subject to increase and reduction from time to time according to the terms of the 2017 Credit Agreement.

The 2017 Term Loan was subject to an original issuance discount of approximately $0.5 million, which 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.

During the three months ended April 30, 2021, in addition to our regular quarterly $1.1 million principal payment, we repaid $309.0 million of our 2017 Term Loan, reducing the outstanding balance to $100.0 million. As a result, $1.8 million of deferred debt issuance costs and $0.2 million of unamortized discount associated with the 2017 Term Loan were written off, and are included within losses on early retirements of debt on our condensed consolidated statement of operations for the six months ended July 31, 2021. Optional prepayments of loans under the 2017 Credit Agreement are generally permitted without premium or penalty.

On April 9, 2021, we amended the 2017 Credit Agreement (the “2021 Amendment”), pursuant to which we refinanced our $300.0 million 2017 Revolving Credit Facility, which would otherwise have matured on June 29, 2022, with the $300.0 million 2021 Revolving Credit Facility. The 2021 Amendment also provides that for purposes of the acceleration of the maturity of the 2017 Term Loan and 2021 Revolving Credit Facility, neither the 2014 Notes nor the 2021 Notes will be deemed to be outstanding if such notes are cash collateralized prior to their respective maturity dates in accordance with the 2017 Credit Agreement. As noted above, we cash collateralized the 2014 Notes prior to settlement on June 1, 2021, and we currently intend to cash collateralize, or otherwise refinance or repurchase, the 2021 Notes prior to their maturity in 2026.

The maturity dates of the 2017 Term Loan and 2017 Revolving Credit Facility would have been accelerated to March 1, 2021 if on such date any 2014 Notes remained outstanding, unless such outstanding 2014 Notes were cash collateralized pursuant to a second amendment to the 2017 Credit Agreement (the “2020 Amendment”), entered into on June 8, 2020. Pursuant to the 2020 Amendment, we were permitted to effect the Spin-Off of our Cyber Intelligence business within the parameters set forth in the 2017 Credit Agreement, as amended, and our 2014 Notes would not be deemed to be outstanding if such 2014 Notes were cash collateralized in accordance with the 2017 Credit Agreement for purposes of the determination of the maturity dates of the 2017 Term Loan and the 2017 Revolving Credit Facility discussed above. On February 26, 2021, as noted above, we cash collateralized the 2014 Notes in satisfaction of the cash collateralization provisions of the 2020 Amendment. Accordingly, the maturity dates of the 2017 Term Loan and 2017 Revolving Credit Facility were not accelerated to March 1, 2021.

As of July 31, 2021, the interest rate on the 2017 Term Loan was 2.10%. 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 2.30% at July 31, 2021. As of January 31, 2021, the interest rate on the 2017 Term Loan was 2.14%.

For borrowings under the 2021 Revolving Credit Facility, and previously 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"). In addition, we are required to pay a commitment fee with respect to unused availability under the 2017 Revolving Credit Facility at rates per annum determined by reference to our Leverage Ratio.

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 2021 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.

2017 Credit Agreement Issuance and Amendment 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. During the year 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. We incurred $2.1 million of debt modification costs related to the 2020 Amendment, $1.2 million of which were expensed, and $0.9 million of which were deferred (comprised of $0.5 million associated with the 2017 Term Loan, and $0.4 million associated with the 2017 Revolving Credit Facility), and which are being amortized along with the previously deferred debt issuance costs.

At the time of the 2021 Amendment, there were $1.3 million of unamortized deferred debt issuance costs associated with the 2017 Revolving Credit Facility, of which $0.8 million were associated with commitments under the 2017 Revolving Credit Facility provided by lenders that are continuing to provide commitments under the 2021 Revolving Credit Facility and therefore continued to be deferred, and which are now being amortized over the term of the 2021 Revolving Credit Facility. The remaining $0.5 million of unamortized deferred debt issuance costs associated with the 2017 Revolving Credit Facility were written off and are included within losses on early retirements of debt on our condensed consolidated statement of operations for the six months ended July 31, 2021. We incurred $1.5 million of debt modification costs related to the 2021 Amendment, all

of which are associated with the 2021 Revolving Credit Facility, which have been deferred and are being amortized along with the previously deferred debt issuance costs over the term of the 2021 Revolving Credit Facility.

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 2021 Revolving Credit Facility are being amortized on a straight-line basis.

Future Principal Payments on the Term Loan

As a result of the significant 2017 Term Loan principal payments made during the three months ended April 30, 2021, no further principal payments are required prior to the maturity of the 2017 Term Loan on June 29, 2024.

Interest Expense

The following table presents the components of interest expense incurred on the 2021 Notes, the 2014 Notes, and on borrowings under our 2017 Credit Agreement, for the three and six months ended July 31, 2021 and 2020:


	Three Months Ended July 31,				Six Months Ended July 31,
(in thousands)	2021		2020		2021		2020
2021 Notes:
Interest expense at 0.25% coupon rate	$	197	$	—	$	245	$	—
Amortization of deferred debt issuance costs	437		—		542		—
Total Interest Expense - 2021 Notes	$	634	$	—	$	787	$	—

2014 Notes:
Interest expense at 1.50% coupon rate	$	482	$	1,486	$	1,933	$	2,986
Amortization of debt discount	—		3,174		—		6,400
Amortization of deferred debt issuance costs	131		300		522		604
Total Interest Expense - 2014 Notes	$	613	$	4,960	$	2,455	$	9,990

Borrowings under 2017 Credit Agreement:
Interest expense at contractual rates	$	537	$	3,463	$	2,297	$	7,976
Impact of interest rate swap reclassified from accumulated other comprehensive loss	—		1,121		1,014		1,712
Amortization of debt discounts	5		19		8		37
Amortization of deferred debt issuance costs	223		439		495		830
Total Interest Expense - Borrowings under Credit Agreements	$	765	$	5,042	$	3,814	$	10,555

On May 1, 2020, our interest rate swap agreement no longer qualified as a cash flow hedge for accounting purposes and as such, accumulated deferred losses on our interest rate swap that were previously recorded as a component of accumulated other comprehensive loss were being reclassified to the condensed consolidated statement of operations as interest expense over the remaining term of the interest rate swap, as the previously hedged interest payments occurred. On April 13, 2021, we paid $16.5 million to the counterparty to settle the interest rate swap agreement prior to its June 2024 maturity, and reclassified the remaining $15.7 million of pretax accumulated deferred losses from accumulated other comprehensive loss within stockholders’ equity to other income (expense) on our condensed consolidated statement of operations for the six months ended July 31, 2021. The associated $3.7 million deferred tax asset was reclassified from accumulated other comprehensive loss and netted against income taxes payable, which are included within other liabilities on our condensed consolidated balance sheet as of July 31, 2021.

Please refer to Note 13, “Derivative Financial Instruments” for further information regarding our interest rate swap agreement.

SUPPLEMENTAL CONDENSED CONSOLIDATED FINANCIAL STATEMENT INFORMATION

6 Months Ended

Jul. 31, 2021

Condensed Financial Information Disclosure [Abstract]

SUPPLEMENTAL CONDENSED CONSOLIDATED FINANCIAL STATEMENT INFORMATION

Condensed Consolidated Balance Sheets

Inventories consisted of the following as of July 31, 2021 and January 31, 2021:


	July 31,		January 31,
(in thousands)	2021		2021
Raw materials	$	1,733	$	2,768
Work-in-process	91		26
Finished goods	3,601		2,747
Total inventories	$	5,425	$	5,541

Condensed Consolidated Statements of Operations

Other income (expense), net consisted of the following for the three and six months ended July 31, 2021 and 2020:


	Three Months Ended July 31,				Six Months Ended July 31,
(in thousands)	2021		2020		2021		2020
Foreign currency (losses) gains, net	$	(463)	$	1,951	$	(1,004)	$	153
Gains (losses) on derivative financial instruments, net	—		137		(14,374)		137
Change in fair value of future tranche right	—		(13,610)		15,810		(13,610)
Other, net	619		(1,232)		3,774		(1,256)
Total other income (expense), net	$	156	$	(12,754)	$	4,206	$	(14,576)

Please refer to Note 9, “Convertible Preferred Stock” and Note 12, “Fair Value Measurements” for additional information regarding the future tranche right.

Condensed Consolidated Statements of Cash Flows

The following table provides supplemental information regarding our condensed consolidated cash flows for the six months ended July 31, 2021 and 2020:


	Six Months Ended July 31,
(in thousands)	2021		2020
Cash paid for interest	$	8,190	$	14,006
Cash payments of income taxes, net	$	30,157	$	13,153
Cash payments for operating leases	$	10,236	$	10,453
Non-cash investing and financing transactions:
Series A Preferred Stock dividends declared	$	—	$	1,589
Finance leases of property and equipment	$	2,150	$	841
Liabilities for contingent consideration in business combinations	$	900	$	—
Accrued but unpaid purchases of property and equipment	$	2,297	$	247
Settlement of Future Tranche Right upon issuance of Series B Preferred Stock	$	36,962	$	—
Settlement of convertible note premium in common stock	$	59,131	$	—
Receipt of common stock from the counterparties under the Note Hedges	$	59,651	$	—

CONVERTIBLE PREFERRED STOCK	6 Months Ended
CONVERTIBLE PREFERRED STOCK	Jul. 31, 2021
Equity [Abstract]
CONVERTIBLE PREFERRED STOCK	On December 4, 2019, we entered into an Investment Agreement with the Apax Investor, whereby, subject to certain closing conditions, the Apax Investor agreed to make an investment in us in an amount up to $400.0 million as follows: •On May 7, 2020 (the “Series A Closing Date”), we issued a total of 200,000 shares of our Series A Preferred Stock for an aggregate purchase price of $200.0 million, or $1,000 per share to the Apax Investor. In connection therewith, we incurred direct and incremental costs of $2.7 million, including financial advisory fees, closing costs, legal fees, and other offering-related costs. These direct and incremental costs reduced the carrying amount of the Series A Preferred Stock. •In connection with the completion of the Spin-Off, on April 6, 2021, (the “Series B Closing Date” and together with the Series A Closing Date, as applicable, the “Applicable Closing Date”) we issued a total of 200,000 shares of our Series B Preferred Stock for an aggregate purchase price of $200.0 million, or $1,000 per share, to the Apax Investor. In connection therewith, we incurred direct and incremental costs of $1.3 million, including financial advisory fees, closing costs, legal fees, and other offering-related costs. These direct and incremental costs reduced the carrying amount of the Series B Preferred Stock. Each of the rights, preferences and privileges of the Series A Preferred Stock and Series B Preferred Stock are set forth in separate certificates of designation filed with the Secretary of State of the State of Delaware on the Applicable Closing Date. Voting Rights Holders of the Preferred Stock have the right to vote on matters submitted to a vote of the holders of our common stock, on an as-converted basis; however, in no event will the holders of Preferred Stock have the right to vote shares of the Preferred Stock on an as-converted basis in excess of 19.9% of the voting power of the common stock outstanding immediately prior to December 4, 2019. Dividends and Liquidation Rights The Preferred Stock ranks senior to the shares of our common stock, with respect to dividend rights and rights on the distribution of assets on any voluntary or involuntary liquidation, dissolution or winding up of our affairs. Shares of Preferred Stock have a liquidation preference of the greater of $1,000 per share or the amount that would be received if the shares are converted at the then applicable conversion price at the time of such liquidation. Holders of the Preferred Stock are entitled to a cumulative dividend at a rate of 5.2% per annum until the 48-month anniversary of the Series A Closing Date and thereafter at a rate of 4.0% per annum. Dividends on the Preferred Stock are cumulative and payable semi-annually in arrears in cash. All dividends that are not paid in cash will remain accumulated dividends with respect to each share of Preferred Stock. The dividend rate is subject to increase (i) to 6.0% per annum in the event the number of shares of common stock into which the Preferred Stock could be converted exceeds 19.9% of the voting power of outstanding common stock on the Series A Closing Date (unless we obtain shareholder approval of the issuance of common stock upon conversion of the Preferred Stock) and (ii) by 1.0% each year, up to a maximum dividend rate of 10.0% per annum, in the event we fail to satisfy our obligations to redeem the Preferred Stock in specified circumstances. For the three and six months ended July 31, 2021, we paid $7.7 million and $12.9 million of preferred stock dividends, of which $5.2 million were accrued as of January 31, 2021, and there were $1.7 million of cumulative undeclared and unpaid preferred stock dividends at July 31, 2021. We had no accrued dividends as of July 31, 2021. We reflected $5.2 million and $8.5 million of preferred stock dividends in our condensed consolidated results of operations, for purposes of computing net (loss) income attributable to Verint Systems Inc. common shares, for the three and six months ended July 31, 2021, respectively. There were $2.5 million of preferred stock dividends recorded in our condensed consolidated results of operations for the three and six months ended July 31, 2020. Conversion The Series A Preferred Stock was convertible into common stock at the election of the holder, subject to certain conditions, at an initial conversion price of $53.50 per share. The initial conversion price represented a conversion premium of 17.1% over the volume-weighted average price per share of our common stock over the 45 consecutive trading days immediately prior to the date of the Investment Agreement. In accordance with the Investment Agreement, the Series A Preferred Stock did not participate in the Spin-Off distribution of the Cognyte shares, which occurred on February 1, 2021, and the Series A conversion price was instead adjusted to $36.38 per share based on the ratio of the relative trading prices of Verint and Cognyte following the Spin-Off. The Series B Preferred Stock is convertible at a conversion price of $50.25, based in part on our trading price over the 20 day trading period following the Spin-Off. As of July 31, 2021, the maximum number of shares of common stock that could be required to be issued upon conversion of the outstanding shares of Preferred Stock was approximately 9.5 million shares and Apax’s ownership in us on an as-converted basis was approximately 12.7%. At any time after 36 months following the Applicable Closing Date, we will have the option to require that all (but not less than all) of the then-outstanding shares of Preferred Stock of the series convert into common stock if the volume-weighted average price per share of the common stock for at least 30 trading days in any 45 consecutive trading day period exceeds 175% of the then-applicable conversion price of such series (a “Mandatory Conversion”). We may redeem any or all of the Preferred Stock of a series for cash at any time after the 72-month anniversary of the Applicable Closing Date at a redemption price equal to 100% of the liquidation preference of the shares of the Preferred Stock, plus any accrued and unpaid dividends to, but excluding, the redemption date, plus a make-whole amount designed to allow the Apax Investor to earn a total 8.0% internal rate of return on such shares. The Apax Investor has agreed to restrictions on its ability to dispose of shares of the Series A Preferred Stock until the earlier of (1) the 36-month anniversary of the Series A Closing Date or (2) the 24-month anniversary of the consummation of the Spin-Off (the “Preferred Stock Restricted Period”). Following the Preferred Stock Restricted Period, the Preferred Stock may not be sold or transferred without the prior written consent of the Company. The Apax Investor has also agreed to restrictions on its ability to dispose of the common stock issued upon conversion of the Preferred Stock. The common stock may not be disposed of until the earlier of (1) the 12-month anniversary of consummation of the Spin-Off or (2) the 24-month anniversary of the Series A Closing Date. These restrictions do not apply to certain transfers to one or more permitted co-investors or transfers or pledges of the Preferred Stock or common stock pursuant to the terms of specified margin loans to be entered into by the Apax Investor as well as transfers effected pursuant to a merger, consolidation, or similar transaction consummated by us and transfers that are approved by our board of directors. At any time after the 102-month anniversary of the Applicable Closing Date or upon the occurrence of a change of control triggering event (as defined in the Certificates of Designation), the holders of the applicable series of Preferred Stock will have the right to cause us to redeem all of the outstanding shares of Preferred Stock for cash at a redemption price equal to 100% of the liquidation preference of the shares of such series, plus any accrued and unpaid dividends to, but excluding, the redemption date. Therefore, the Preferred Stock has been classified as temporary equity on our condensed consolidated balance sheet as of July 31, 2021, separate from permanent equity, as the potential required repurchase of the Preferred Stock, however remote in likelihood, is not solely under our control. As of July 31, 2021, the Preferred Stock was not redeemable, and we have concluded that it is currently not probable of becoming redeemable, including from the occurrence of a change in control triggering event. The holders’ redemption rights which occur at the 102-month anniversary of the Applicable Closing Date are not considered probable because there is a more than remote likelihood that the Mandatory Conversion may occur prior to such redemption rights. We therefore did not adjust the carrying amount of the Preferred Stock to its current redemption amount, which was its liquidation preference, at July 31, 2021 plus accrued and unpaid dividends. As of July 31, 2021, the stated value of the liquidation preference for each series of Preferred Stock was $200.0 million and cumulative, unpaid dividends on the Series A Preferred Stock and the Series B Preferred Stock were $0.9 million and $0.9 million, respectively. Future Tranche Right We determined that our obligation to issue and the Apax Investor’s obligation to purchase 200,000 shares of the Series B Preferred Stock in connection with the completion of the Spin-Off and the satisfaction of other customary closing conditions (the “Future Tranche Right”) met the definition of a freestanding financial instrument as the Future Tranche Right is legally detachable and separately exercisable from the Series A Preferred Stock. At issuance, we allocated a portion of the proceeds from the issuance of the Series A Preferred Stock to the Future Tranche Right based upon its fair value at such time, with the remaining proceeds being allocated to the Series A Preferred Stock. The Future Tranche Right was remeasured at fair value each reporting period until the settlement of the right (at the time of the issuance of the Series B Preferred Stock), and changes in its fair value have been recognized as a non-cash charge or benefit within other income (expense), net on the condensed consolidated statement of operations. At the Series A Closing Date, the Future Tranche Right was recorded as an asset of $3.4 million, as the purchase price of the Series B Preferred Stock was greater than its estimated fair value at the expected settlement date. This resulted in a $203.4 million carrying value, before direct and incremental issuance costs, for the Series A Preferred Stock. Immediately prior to the issuance of the Series B Preferred Stock the Future Tranche Right was remeasured to fair value and as a result we recorded a non-cash benefit of $15.8 million related to the change in fair value of the Future Tranche Right for the three months ended April 30, 2021, within other income (expense), net. Upon the issuance of the Series B Preferred Stock in April 2021, the Future Tranche Right was settled, resulting in a reclassification of the $37.0 million fair value of the Future Tranche Right liability at that time to the carrying value of the Series B Preferred Stock. This resulted in a $237.0 million carrying value, before direct and incremental issuance costs, for the Series B Preferred Stock. As a result of the issuance of the Series B Preferred Stock, we no longer recognize changes in the fair value of the Future Tranche Right in our condensed consolidated statements of operations. For the six months ended July 31, 2020, we recognized a loss of $13.6 million in the condensed consolidated statement of operations for the change in the fair value of the Future Tranche Right. Please refer to Note 12, “Fair Value Measurements” for additional information regarding valuations of the Future Tranche Right.

STOCKHOLDERS' EQUITY

6 Months Ended

Jul. 31, 2021

Equity [Abstract]

STOCKHOLDERS' EQUITY

STOCKHOLDERS’ EQUITY

Common Stock Dividends

We did not declare or pay any cash dividends on our common stock during the six months ended July 31, 2021 and 2020. Under the terms of our 2017 Credit Agreement, we are subject to certain restrictions on declaring and paying dividends on our common stock.

In connection with the Spin-Off, each holder of Verint’s common stock received one ordinary share of Cognyte for every share of common stock of Verint held of record as of the close of business on the Record Date.

Stock Repurchase Programs

On December 4, 2019, we announced that our board of directors had authorized a stock repurchase program whereby we were authorized to repurchase up to $300.0 million of common stock over the period ending on February 1, 2021. We made $34.0 million and $116.1 million in repurchases under the program during the years ended January 31, 2021 and January 31, 2020, respectively. This program expired on February 1, 2021.

On March 31, 2021, we announced that our board of directors had authorized a new stock repurchase program whereby we were authorized to repurchase up to a number of shares of common stock approximately equal to the number of shares to be issued as equity compensation during the fiscal year ending January 31, 2022. During the three months ended April 30, 2021, we repurchased 1,600,000 shares of our common stock at a cost of $75.4 million under this program. There were no repurchases under this program during the three months ended July 31, 2021, and no further repurchases are expected under this program for the year ending January 31, 2022.

Treasury Stock

Repurchased shares of common stock are typically recorded as treasury stock, at cost, but may from time to time be retired. We periodically purchase common stock from directors, officers, and other employees to facilitate income tax withholding by us or the payment of required income taxes by such holders in connection with the vesting of equity awards. When treasury shares are reissued, they are recorded at the average cost of the treasury shares acquired.

During the six months ended July 31, 2021, we repurchased approximately 1,602,000 shares of our common stock for a cost of $75.5 million, which includes $75.4 million of share repurchases under the 2021 share repurchase program described above, and other repurchases to facilitate income tax withholding upon vesting of equity awards. On March 30, 2021, our board of directors approved the retirement of such repurchased shares of common stock and any other shares held as treasury stock, at management’s discretion. During the six months ended July 31, 2021, we retired 1,058,300 shares with a cost of $49.6 million that had been repurchased under the 2021 share repurchase program described above, which was recorded as a reduction of common stock and additional paid-in capital. These shares were returned to the status of authorized and unissued shares.

During the three months ended July 31, 2021, in connection with the maturity of our 2014 Notes, we issued approximately 1,250,000 treasury shares with an average cost of $47.30 per share to the holders of the 2014 Notes in satisfaction of the conversion premium, which was recorded as a $59.1 million reduction of treasury stock and additional paid-in capital. Additionally, we received approximately 1,250,000 shares of our common stock having a value of $57.7 million from the counterparties under the Note Hedges, as well as approximately 42,000 shares of our common stock having a value of $2.0 million from the counterparties related to the reimbursement for the in-the-money portion of the Repurchased 2014 Notes under the Note Hedge agreements, which was recorded as an increase to treasury stock and additional paid-in capital.

During the six months ended July 31, 2020, we repurchased approximately 613,000 shares of our common stock for a cost of $34.0 million under the 2019 share repurchase program described above.

At July 31, 2021, we held approximately 4,990,000 shares of treasury stock with a cost of $234.5 million. At January 31, 2021, we held approximately 4,404,000 shares of treasury stock with a cost of $208.1 million.

Issuance of Convertible Preferred Stock

On December 4, 2019, in conjunction with the planned separation of our businesses into two independent publicly traded companies, we announced that an affiliate of Apax Partners would invest up to $400.0 million in us, in the form of convertible preferred stock. Under the terms of the Investment Agreement, the Apax Investor purchased $200.0 million of our Series A Preferred Stock, which closed on May 7, 2020. In connection with the completion of the Spin-Off, the Apax Investor purchased $200.0 million of our Series B Preferred Stock, which closed on April 6, 2021. As of July 31, 2021, Apax’s ownership in us on an as-converted basis is approximately 12.7%. Please refer to Note 9, “Convertible Preferred Stock” for a more detailed discussion of the Apax investment.

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 condensed consolidated balance sheets. Accumulated other comprehensive income (loss) items have no impact on our net income (loss) as presented in our condensed consolidated statements of operations.

The following table summarizes changes to our accumulated other comprehensive income (loss) by component for the six months ended July 31, 2021:


(in thousands)	Unrealized Gains (Losses) on Foreign Exchange Contracts Designated as Hedges		Unrealized Loss on Interest Rate Swap Designated as Hedge		Foreign Currency Translation Adjustments		Total
Accumulated other comprehensive income (loss) at January 31, 2021	$	634	$	(13,031)	$	(124,481)	$	(136,878)
Distribution of Cognyte Software Ltd.	(559)		—		17,682		17,123
Other comprehensive income before reclassifications	51		—		4,261		4,312
Amounts reclassified out of accumulated other comprehensive income (loss)	96		(1,014)		—		(918)
Amounts reclassified upon partial early retirement of the 2017 Term Loan	—		(12,017)		—		(12,017)
Net other comprehensive (loss) income	(604)		13,031		21,943		34,370
Accumulated other comprehensive income (loss) at July 31, 2021	$	30	$	—	$	(102,538)	$	(102,508)

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.

On May 1, 2020, our interest rate swap agreement no longer qualified as a cash flow hedge for accounting purposes and as such, accumulated deferred losses on our interest rate swap that were previously recorded as a component of accumulated other comprehensive loss were being reclassified to the condensed consolidated statement of operations as interest expense over the remaining term of the interest rate swap, as the previously hedged interest payments occurred. On April 13, 2021, we paid $16.5 million to the counterparty to settle the interest rate swap agreement prior to its June 2024 maturity, and reclassified the remaining $15.7 million of pretax accumulated deferred losses from accumulated other comprehensive loss within stockholders’ equity to other income (expense) on our consolidated statement of operations for the six months ended July 31, 2021. The associated $3.7 million deferred tax asset was reclassified from accumulated other comprehensive loss and netted against income taxes payable, which are included within other liabilities on our condensed consolidated balance sheet as of July 31, 2021. Please refer to Note 13, “Derivative Financial Instruments” for further information regarding our interest rate swap agreement.

The amounts reclassified out of accumulated other comprehensive income (loss) into the condensed consolidated statements of operations, with presentation location, for the three and six months ended July 31, 2021 and 2020 were as follows:


	Three Months Ended July 31,				Six Months Ended July 31,
(in thousands)	2021		2020		2021		2020		Location
Unrealized gains (losses) on derivative financial instruments:
Foreign currency forward contracts	$	—	$	—	$	1	$	—	Cost of recurring revenue
	1		—		13		—		Cost of nonrecurring revenue
	7		—		72		—		Research and development, net
	3		—		31		—		Selling, general and administrative
	11		—		117		—		Total, before income taxes
	(2)		—		(21)		—		Provision for income taxes
	$	9	$	—	$	96	$	—	Total, net of income taxes

Interest rate swap agreement	$	—	$	(1,120)	$	(1,014)	$	(1,711)	Interest expense
	—		—		(15,655)		—		Other income (expense), net
	—		(1,120)		(16,669)		(1,711)		Total, before income taxes
	—		244		3,638		372		Benefit from income taxes
	$	—	$	(876)	$	(13,031)	$	(1,339)	Total, net of income taxes

- Definition

The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 13
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=123467817&loc=SL123496158-112644

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 13
-URI http://asc.fasb.org/extlink&oid=123467817&loc=SL123496158-112644

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 14
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=123467817&loc=SL123496171-112644

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 14
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=123467817&loc=SL123496171-112644

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.3-04)
-URI http://asc.fasb.org/extlink&oid=120397183&loc=d3e187085-122770

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 18
-Subparagraph (d)
-URI http://asc.fasb.org/extlink&oid=123467817&loc=SL123496189-112644

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 13
-Subparagraph (g)
-URI http://asc.fasb.org/extlink&oid=123467817&loc=SL123496158-112644

Reference 8: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-URI http://asc.fasb.org/topic&trid=2208762

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 18
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=123467817&loc=SL123496189-112644

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 13
-Subparagraph (h)
-URI http://asc.fasb.org/extlink&oid=123467817&loc=SL123496158-112644

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 14
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=123467817&loc=SL123496171-112644

Reference 12: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 18
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=123467817&loc=SL123496189-112644

Reference 13: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 16
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=123467817&loc=SL123496180-112644

Reference 14: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 13
-Subparagraph (i)
-URI http://asc.fasb.org/extlink&oid=123467817&loc=SL123496158-112644

Reference 15: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(e)(1))
-URI http://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690

+ Details

INCOME TAXES	6 Months Ended
INCOME TAXES	Jul. 31, 2021
Income Tax Disclosure [Abstract]
INCOME TAXES	INCOME TAXES Our interim (benefit from) provision for income taxes is measured using an estimated annual effective income tax rate, adjusted for discrete items that occur within the periods presented. For the three months ended July 31, 2021, we recorded an income tax provision of $4.2 million on pretax income of $9.5 million, which represented an effective income tax rate of 44.1%. The effective tax rate differs from the U.S. federal statutory rate of 21% primarily due to the impact of U.S. taxation of certain foreign activities and the impact of a tax rate change in a foreign jurisdiction, offset by a change in the fair value of the Future Tranche Right associated with the Preferred Stock issuance and by lower statutory rates in several foreign jurisdictions. For the three months ended July 31, 2020, we recorded an income tax provision of $8.3 million on a pretax loss of $1.0 million, which represented a negative effective income tax rate of 814.1%. The effective tax rate differs from the U.S. federal statutory rate of 21% primarily due to the impact of U.S. taxation of certain foreign activities and a change in the fair value of the Future Tranche Right associated with the Series A Preferred stock, offset by lower statutory rates in several foreign jurisdictions. For the six months ended July 31, 2021, we recorded an income tax provision of $4.1 million on pre-tax income of $10.5 million, which represented an effective income tax rate of 39.2%. The effective tax rate differs from the U.S. federal statutory rate of 21% primarily due to the impact of U.S. taxation of certain foreign activities and the impact of a tax rate change in a foreign jurisdiction, offset by a change in the fair value of the Future Tranche Right associated with the Series A Preferred Stock and by lower statutory rates in several foreign jurisdictions. For the six months ended July 31, 2020, we recorded an income tax provision of $8.7 million on a pre-tax loss of $15.1 million, which represented a negative effective income tax rate of 57.6%. The effective tax rate differs from the U.S. federal statutory rate of 21% primarily due to the impact of U.S. taxation of certain foreign activities and a change in the fair value of the Future Tranche Right associated with the Series A Preferred Stock, offset by lower statutory rates in several foreign jurisdictions. As required by the authoritative guidance on accounting for income taxes, we evaluate the realizability of deferred income tax assets on a jurisdictional basis at each reporting date. Accounting guidance for income taxes requires that a valuation allowance be established when it is more-likely-than-not that all or a portion of the deferred income tax assets will not be realized. In circumstances where there is sufficient negative evidence indicating that the deferred income tax assets are not more-likely-than-not realizable, we establish a valuation allowance. We determined that there is sufficient negative evidence to maintain the valuation allowances against certain state and foreign deferred income tax assets as a result of historical losses in the most recent three-year period in certain state and foreign jurisdictions. We intend to maintain valuation allowances until sufficient positive evidence exists to support a reversal. We had unrecognized income tax benefits of $85.4 million and $84.8 million (excluding interest and penalties) as of July 31, 2021 and January 31, 2021, respectively, that if recognized, would impact our effective income tax rate. The accrued liability for interest and penalties was $3.2 million and $3.0 million at July 31, 2021 and January 31, 2021, respectively. Interest and penalties are recorded as a component of the provision for income taxes in our condensed consolidated statements of operations. We regularly assess the adequacy of our provisions for income tax contingencies in accordance with the applicable authoritative guidance on accounting for income taxes. As a result, we may adjust the reserves for unrecognized income 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 limitation. Further, we believe that it is reasonably possible that the total amount of unrecognized income tax benefits at July 31, 2021 could decrease by approximately $1.6 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 income taxes, the adjustment of deferred income taxes including the need for additional valuation allowances, and the recognition of income tax benefits. Our income tax returns are subject to ongoing tax examinations in several jurisdictions in which we operate. We also believe that it is reasonably possible that new issues may be raised by tax authorities or developments in tax audits may occur, which would require increases or decreases to the balance of reserves for unrecognized income tax benefits; however, an estimate of such changes cannot reasonably be made. See Note 2, “Discontinued Operations” for discussion related to the Tax Matters agreement entered into between and us and Cognyte as result of the Spin-Off. On March 27, 2020, the Coronavirus Aid, Relief and Economic Security (“CARES”) Act was enacted and signed into U.S. law to provide economic relief to individuals and businesses facing economic hardship as a result of the COVID-19 pandemic. The income tax provisions of the CARES Act do not have a significant impact on our current taxes, deferred taxes, or uncertain tax positions. However, we have deferred the timing of employer payroll taxes and accelerated the refund of AMT credits as permitted by the CARES Act.

- Definition

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 21
-URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32857-109319

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section S99
-Paragraph 2
-Subparagraph (SAB Topic 11.C)
-URI http://asc.fasb.org/extlink&oid=122134291&loc=d3e330215-122817

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 17
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32809-109319

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SAB TOPIC 6.I.5.Q1)
-URI http://asc.fasb.org/extlink&oid=122134291&loc=d3e330036-122817

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 14
-URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32705-109319

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 270
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6424409&loc=d3e44925-109338

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-URI http://asc.fasb.org/topic&trid=2144680

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 30
-Section 50
-Paragraph 2
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=6424122&loc=d3e41874-109331

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(h)(2))
-URI http://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690

+ Details

FAIR VALUE MEASUREMENTS

6 Months Ended

Jul. 31, 2021

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 July 31, 2021 and January 31, 2021:


	July 31, 2021
	Fair Value Hierarchy Category
(in thousands)	Level 1		Level 2		Level 3
Assets:
Money market funds	$	112,027	$	—	$	—
Foreign currency forward contracts	—		37		—
Contingent consideration receivable	—		—		398
Total assets	$	112,027	$	37	$	398
Liabilities:
Foreign currency forward contracts	$	—	$	2	$	—
Contingent consideration - business combinations	—		—		7,632
Option to acquire noncontrolling interests of consolidated subsidiaries	—		—		3,500
Total liabilities	$	—	$	2	$	11,132


	January 31, 2021
	Fair Value Hierarchy Category
(in thousands)	Level 1		Level 2		Level 3
Assets:
Money market funds	$	342,090	$	—	$	—
Foreign currency forward contracts	—		136		—
Contingent consideration receivable	—		—		565
Total assets	$	342,090	$	136	$	565
Liabilities:
Foreign currency forward contracts	$	—	$	48	$	—
Interest rate swap agreements	—		17,881		—
Future tranche right	—		—		52,772
Contingent consideration - business combinations	—		—		15,704
Option to acquire noncontrolling interests of consolidated subsidiaries	—		—		3,250
Total liabilities	$	—	$	17,929	$	71,726

We evaluated the Future Tranche Right associated with the Series A Preferred Stock issued on May 7, 2020 and determined that the Future Tranche Right was a freestanding financial instrument. The Future Tranche Right was initially recorded as an asset and was re-measured at each reporting period until the redemption feature was exercised in connection with the sale and issuance of the Series B Preferred Stock on April 6, 2021. Immediately prior to the issuance of the Series B Preferred Stock the Future Tranche Right was remeasured to fair value with the change in fair value recognized as a component of other income (expense). Upon the issuance of the Series B Preferred Stock, the Future Tranche Right liability was settled, resulting in a reclassification of the $37.0 million fair value of the Future Tranche Right liability at that time to the carrying value of the Series B Preferred Stock. Please refer to Note 9, “Convertible Preferred Stock” for additional information regarding the Future Tranche Right and preferred stock investment.

The following table presents the changes in the estimated fair value of the Future Tranche Right measured using significant unobservable inputs (Level 3) for the six months ended July 31, 2021 and 2020.



	Six Months Ended July 31,
(in thousands)	2021		2020
Fair value measurement at beginning of period	$	(52,772)	$	—
Fair value of future tranche right upon issuance of the Series A Preferred Stock	—		3,374
Change in fair value, recorded in other income (expense), net	15,810		(13,610)
Reclassification of future tranche right liability upon settlement	36,962		—
Fair value measurement at end of period	$	—	$	(10,236)

In January 2020, we completed the sale of an insignificant subsidiary. In accordance with the terms of the sale agreement, 100% of the aggregate purchase price is contingent in nature based on a percentage of net sales of the former subsidiary’s products during the thirty-six month period following the transaction closing. We include the fair value of the contingent consideration receivable within prepaid expenses and other current assets and other assets on our condensed consolidated balance sheet. The estimated fair value of this asset as of July 31, 2021, which is measured using Level 3 inputs, was $0.4 million. We received payments of $0.1 million, and the change in the estimated fair value of this contingent receivable was not material, during the six months ended July 31, 2021. The estimated fair value of this asset as of July 31, 2020 was $0.7 million. We did not receive any payments, and the change in the estimated fair value of this contingent receivable was not material, during the six months ended July 31, 2020.

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 six months ended July 31, 2021 and 2020:



	Six Months Ended July 31,
(in thousands)	2021		2020
Fair value measurement at beginning of period	$	15,704	$	31,367
Contingent consideration liabilities recorded for business combinations	900		—
Changes in fair values, recorded in operating expenses	636		(2,449)
Payments of contingent consideration	(9,560)		(13,980)
Foreign currency translation and other	(48)		226
Fair value measurement at end of period	$	7,632	$	15,164

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 condensed 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 and the option expires on January 31, 2022. As of July 31, 2021, we included the fair value of the option within accrued expenses and other current liabilities and did not recognize noncontrolling interests in these subsidiaries. As of January 31, 2021, we included the fair value of the option within other liabilities on our condensed consolidated balance sheet. The following table presents the change in the estimated fair value of this liability, which is measured using Level 3 inputs, for the six months ended July 31, 2021 and 2020:



	Six Months Ended July 31,
(in thousands)	2021		2020
Fair value measurement at beginning of period	$	3,250	$	2,900
Change in fair value, recorded in operating expenses	250		150
Fair value measurement at end of period	$	3,500	$	3,050

On April 13, 2021, we paid $16.5 million to the counterparty to settle the interest rate swap agreement prior to its June 2024 maturity, and reclassified the remaining $15.7 million of pretax accumulated deferred losses from accumulated other comprehensive loss within stockholders’ equity to other income (expense), net on our consolidated statement of operations for the six months ended July 31, 2021. The associated $3.7 million deferred tax asset was reclassified from accumulated other comprehensive loss and netted against income taxes payable, which are included within other liabilities on our condensed consolidated balance sheet as of July 31, 2021. Please refer to Note 13, “Derivative Financial Instruments” for further information regarding our interest rate swap agreement.

There were no transfers between levels of the fair value measurement hierarchy during the six months ended July 31, 2021 and 2020.

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.

Future Tranche Right - The fair value of the Future Tranche Right was classified within Level 3 of the fair value hierarchy because it was valued using pricing models that incorporate management assumptions that cannot be corroborated with observable market data. The fair value of the Future Tranche Right was estimated using a binomial tree model to estimate the value of the Series B Preferred Stock and a Monte Carlo simulation to estimate our stock price post-Spin-Off, which we believe was reflective of all significant assumptions that market participants would likely consider in negotiating the transfer of the Future Tranche Right. The fair value of the Future Tranche Right also reflected the likelihood of the Series B Preferred Stock being issued, which management considered to be highly probable for all periods the Future Tranche Right was outstanding.

Significant inputs and assumptions used in the valuation model as of the issuance date, May 7, 2020, and immediately prior to the settlement date, April 6, 2021, are as follows:


	April 6,			May 7,
	2021			2020
Risk-free interest rate for preferred stock	2.35		%	1.31		%
Implied credit spread	6.78		%	10.78		%
Expected volatility	30.00		%	30.00		%
Verint common stock price	$	45.91		$	45.44

Interest Rate Swap Agreements - The fair value of our interest rate swap agreements were based in part on data received from the counterparty, and represented the estimated amount we would receive or pay to settle the agreements, 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 Asset or Liability - Business Combinations and Divestitures - The fair value of the contingent consideration related to business combinations and divestitures 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 2.4% to 2.6%, with a weighted average discount rate of 2.5%, in our calculations of the estimated fair values of our contingent consideration liabilities as of July 31, 2021. We utilized discount rates ranging from 3.3% to 3.8%, with a weighted average discount rate of 3.5% in our calculations of the estimated fair values of our contingent consideration liabilities as of January 31, 2021. We utilized discount rates ranging from 2.2% to 2.8%, with a weighted average discount rate of 2.5%, in our calculation of the estimated fair value of our contingent consideration asset as of July 31, 2021. We utilized discount rates ranging from 3.3% to 4.0%, with a weighted average discount rate of 3.7% in our calculation of the estimated fair value of our contingent consideration asset as of January 31, 2021.

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 a discount rate of 9.0% in our calculation of the estimated fair value of the option as of July 31, 2021 and January 31, 2021.

Other Financial Instruments

The carrying amounts of accounts receivable, contract assets, 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 $99 million and $409 million at July 31, 2021 and January 31, 2021, 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 participation in our term loans are traded. The indicative prices provided to us as at each of July 31, 2021 and January 31, 2021 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.

The estimated fair value of our 2014 Notes, which matured in June 2021, was approximately $440 million at January 31, 2021. The estimated fair value of our 2021 Notes was approximately $304 million at July 31, 2021. The estimated fair values of the 2014 Notes and 2021 Notes were determined based on quoted bid and ask prices in the over-the-counter market in which the 2014 Notes and 2021 Notes traded. 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, operating lease right-of-use 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.

As of July 31, 2021, the carrying amount of our noncontrolling equity investments in privately-held companies without readily determinable fair values was $5.1 million, of which $4.4 million was remeasured to fair value based on an observable transaction during the six months ended July 31, 2021. These investments are included within other assets on the condensed consolidated balance sheets. An unrealized gain of $3.1 million, which adjusted the carrying value of a noncontrolling equity investment based on an observable transaction was recorded in other income (expense), net on the condensed consolidated statement of operations for the six months ended July 31, 2021. As of January 31, 2021, the carrying amount of our noncontrolling equity investments in privately-held companies without readily determinable fair values was $2.0 million. There were no observable price changes in our investments in privately-held companies during the year ended January 31, 2021. We did not recognize any impairments during the three and six months ended July 31, 2021 and 2020.

- 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

6 Months Ended

Jul. 31, 2021

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 $6.6 million as of July 31, 2021 and January 31, 2021.

Interest Rate Swap Agreement

In April 2018, we executed a pay-fixed, receive-variable interest rate swap agreement with a multinational financial institution to partially mitigate risks associated with the variable interest rate on our 2017 Term Loan for periods following the termination of our prior interest rate swap in September 2019, under which we paid interest at a fixed rate of 2.949% and received variable interest of three-month LIBOR (subject to a minimum of 0.00%), on a notional amount of $200.0 million (the “2018 Swap”). The effective date of the 2018 Swap was September 6, 2019, and settlements with the counterparty began on November 1, 2019, and occurred on a quarterly basis. The 2018 Swap had a termination date of June 29, 2024.

Prior to May 1, 2020, the 2018 Swap was designated as a cash flow hedge for accounting purposes and as such, changes in its fair value were recognized in accumulated other comprehensive income (loss) in the condensed consolidated balance sheet and

were reclassified into the condensed consolidated statement of operations within interest expense in the periods in which the hedged transactions affected earnings.

On May 1, 2020, which was an interest rate reset date on our 2017 Term Loan, we selected an interest rate other than three-month LIBOR. As a result, the 2018 Swap, which was designated specifically to hedge three-month LIBOR interest payments, no longer qualified as a cash flow hedge. Subsequent to May 1, 2020, changes in fair value of the 2018 Swap were accounted for as a component of other income (expense), net. Accumulated deferred losses on the 2018 Swap of $20.4 million, or $16.0 million after taxes, at May 1, 2020 that were previously recorded as a component of accumulated other comprehensive loss, were being reclassified to the condensed consolidated statement of operations as interest expense over the remaining term of the 2018 Swap, as the previously hedged interest payments occurred.

On April 13, 2021, we paid $16.5 million to the counterparty to settle the 2018 Swap agreement prior to its June 2024 maturity. Upon settlement, we recorded an unrealized gain of $1.3 million in other income (expense) to adjust the 2018 Swap to its fair value at settlement date and reclassified the remaining $15.7 million of pretax accumulated deferred losses from accumulated other comprehensive loss within stockholders’ equity to other income (expense), net on our condensed consolidated statement of operations for the six months ended July 31, 2021. The associated $3.7 million deferred tax asset was reclassified from accumulated other comprehensive loss and netted against income taxes payable, which are included within other liabilities on our condensed consolidated balance sheet as of July 31, 2021.

Fair Values of Derivative Financial Instruments

The fair values of our derivative financial instruments and their classifications in our condensed consolidated balance sheets as of July 31, 2021 and January 31, 2021 were as follows:


		Fair Value at
		July 31,		January 31,
(in thousands)	Balance Sheet Classification	2021		2021
Derivative assets:
Foreign currency forward contracts:
Designated as cash flow hedges	Prepaid expenses and other current assets	$	37	$	136
Total derivative assets		$	37	$	136

Derivative liabilities:
Foreign currency forward contracts:
Designated as cash flow hedges	Accrued expenses and other current liabilities	$	2	$	47
Not designated as hedging instruments	Accrued expenses and other current liabilities	—		1
Interest rate swap agreement:
Not designated as a hedging instrument	Accrued expenses and other current liabilities	—		4,316
Not designated as a hedging instrument	Other liabilities	—		13,565
Total derivative liabilities		$	2	$	17,929

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 condensed consolidated statements of operations for the three and six months ended July 31, 2021 and 2020 were as follows:


	Three Months Ended July 31,				Six Months Ended July 31,
(in thousands)	2021		2020		2021		2020
Net gains (losses) recognized in AOCL:
Foreign currency forward contracts	$	22	$	16	$	62	$	8
Interest rate swap agreement	—		—		—		(7,535)
	$	22	$	16	$	62	$	(7,527)

Net gains (losses) reclassified from AOCL to the condensed consolidated statements of operations:
Foreign currency forward contracts	$	11	$	—	$	117	$	—
Interest rate swap agreement	—		(1,120)		(16,669)		(1,711)
	$	11	$	(1,120)	$	(16,552)	$	(1,711)

For information regarding the line item locations of the net gains (losses) on derivative financial instruments reclassified out of AOCL into the condensed consolidated statements of operations, see Note 10, “Stockholders’ Equity”.

All of the foreign currency forward contracts underlying the net unrealized gains recorded in our accumulated other comprehensive loss at July 31, 2021 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 recognized on derivative financial instruments not designated as hedging instruments in our condensed consolidated statements of operations for the three and six months ended July 31, 2021 and 2020 were as follows:


	Classification in Condensed Consolidated Statements of Operations	Three Months Ended July 31,				Six Months Ended July 31,
(in thousands)		2021		2020		2021		2020
Interest rate swap agreement	Other income (expense), net	$	—	$	137	$	(14,374)	$	137

STOCK-BASED COMPENSATION

6 Months Ended

Jul. 31, 2021

Share-based Payment Arrangement [Abstract]

STOCK-BASED COMPENSATION

Stock-Based Compensation Plan

On June 20, 2019, our stockholders approved the Verint Systems Inc. 2019 Long-Term Stock Incentive Plan (the “2019 Plan”). Upon approval of the 2019 Plan, new awards are no longer permitted under our prior stock-based compensation plan (the “2017 Amended Plan”). Awards outstanding at June 20, 2019 under the 2017 Amended Plan or other previous stock-based compensation plans were not impacted by the approval of the 2019 Plan. Collectively, our stock-based compensation plans are referred to herein as the “Plans”.

The 2019 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 (“RSUs”), performance awards, other stock-based awards, and performance compensation awards. Subject to adjustment as provided in the 2019 Plan, up to an aggregate of (i) 9,475,000 shares of our common stock plus (ii) the number of shares of our common stock available for issuance under the 2017 Amended Plan as of June 20, 2019, plus (iii) the number of shares of our common stock that become available for issuance as a result of awards made under the 2017 Amended Plan or the 2019 Plan that are forfeited, cancelled, exchanged, or that terminate or expire, may be issued or transferred in connection with awards under the 2019 Plan. Each stock option or stock-settled stock appreciation right granted under the 2019 Plan will reduce the available plan capacity by one share and each other award denominated in shares that is granted under the 2019 Plan will reduce the available plan capacity by 2.38 shares.

In March 2021, our board of directors approved an adjustment of the available plan capacity to the 2019 Plan to 14,239,656 shares based on an adjustment ratio of approximately 1.45 as a result of the Spin-Off.

Stock-Based Compensation Expense

We recognized stock-based compensation expense in the following line items on the condensed consolidated statements of operations for the three and six months ended July 31, 2021 and 2020:


	Three Months Ended July 31,				Six Months Ended July 31,
(in thousands)	2021		2020		2021		2020
Cost of revenue - recurring	$	562	$	472	$	991	$	737
Cost of revenue - nonrecurring	864		685		1,697		957
Research and development, net	2,027		1,496		3,800		2,669
Selling, general and administrative	14,640		10,676		28,006		19,644
Total stock-based compensation expense	$	18,093	$	13,329	$	34,494	$	24,007

The following table summarizes stock-based compensation expense by type of award for the three and six months ended July 31, 2021 and 2020:


	Three Months Ended July 31,				Six Months Ended July 31,
(in thousands)	2021		2020		2021		2020
Restricted stock units and restricted stock awards	$	15,984	$	10,040	$	30,237	$	21,296
Stock bonus program and bonus share program	2,100		3,285		4,252		2,712
Total equity-settled awards	18,084		13,325		34,489		24,008
Phantom stock units (cash-settled awards)	9		4		5		(1)
Total stock-based compensation expense	$	18,093	$	13,329	$	34,494	$	24,007

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, which for awards under our stock bonus program is determined using a discounted average price of our common stock.

Restricted Stock Units and Performance Stock Units

We periodically award RSUs to our directors, officers, and other employees. These awards contain various vesting conditions and are subject to certain restrictions and forfeiture provisions prior to vesting. Some of these awards to executive officers and certain employees vest upon the achievement of specified performance goals or market conditions (performance stock units or “PSUs”).

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 six months ended July 31, 2021 and 2020:


	Six Months Ended July 31,
	2021			2020
(in thousands, except per share data)	Shares or Units	Weighted-Average Grant Date Fair Value		Shares or Units	Weighted-Average Grant Date Fair Value
Beginning balance	2,950	$	35.97	1,879	$	52.96
Granted	1,316	$	48.51	98	$	49.47
Released	(1,283)	$	35.52	(889)	$	47.78
Forfeited	(110)	$	39.00	(90)	$	52.59
Ending balance	2,873	$	41.81	998	$	57.26

The beginning balance of the outstanding shares for the six months ended July 31, 2021 reflects the adjusted shares based on an adjustment ratio of approximately 1.45 as a result of the Spin-Off on February 1, 2021. The related weighted-average grant date fair value for the beginning outstanding shares reflects the adjusted fair value of the awards on the Spin-Off Date. The adjusted shares preserve the same terms and conditions and vesting schedules as the original awards.

The beginning balance of the shares and the respective weighted-average grant date fair values for the six months ended July 31, 2020 reflect the shares and fair values on the original date of grant without adjustment.

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”.

Our RSU awards may include a provision which allows the awards to be settled with cash payments upon vesting, rather than with delivery of common stock, at the discretion of our board of directors. As of July 31, 2021, for such awards that are outstanding, settlement with cash payments was not considered probable, and therefore these awards have been accounted for as equity-classified awards and are included in the table above.

In order to achieve an equitable modification of the existing awards following the Spin-Off, we converted unvested awards as of February 1, 2021 by a factor of approximately 1.45, resulting in additional awards being granted to remaining employees denominated solely in Verint common stock. As noted above, a corresponding adjustment was also made to the available capacity under the 2019 Plan.

The following table summarizes PSU activity in isolation under the Plans for the six months ended July 31, 2021 and 2020 (these amounts are already included in the Award Activity Table above for 2021 and 2020):


	Six Months Ended July 31,
(in thousands)	2021	2020
Beginning balance	635	423
Granted	212	90
Released	(270)	(180)
Forfeited	(9)	(20)
Ending balance	568	313

Consistent with the table above, the beginning balance of the outstanding shares for the six months ended July 31, 2021 reflects the adjusted shares based on an adjustment ratio of approximately 1.45 as a result of the Spin-Off on February 1, 2021. The beginning balance of the outstanding shares of the six months ended July 31, 2020 reflects the number of shares on the date of grant without adjustment.

Excluding PSUs, we granted 1,104,000 RSUs during the six months ended July 31, 2021.

As of July 31, 2021, there was approximately $87.3 million of total unrecognized compensation expense, net of estimated forfeitures, related to unvested restricted stock units, which is expected to be recognized over a weighted-average period of 1.8 years.

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 remain 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 generally determined using a 5-day trailing average price of our common stock when the awards are calculated, reduced by a discount 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.

For bonuses in respect of the year ended January 31, 2021, our board of directors approved the use of up to 200,000 shares of common stock, and a discount of 15%, for awards under this program. However, the program was not used and no shares were issued in respect of the performance period ended January 31, 2021.

In March 2021, our board of directors approved the use of up to 300,000 shares of common stock, and a discount of 15%, for awards under our stock bonus program for the performance period ending January 31, 2022.

Bonus Share Program

Under our bonus share program, we may provide discretionary 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.

For bonuses in respect of the year ended January 31, 2021, our board of directors approved the use of up to 300,000 shares of common stock under the bonus share program, reduced by any shares issued under the stock bonus program in respect of the same performance period. The program was not used, however, and no shares were issued in respect of the performance period ended January 31, 2021.

For bonuses in respect of the year ending January 31, 2022, 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 same performance period (the maximum number of shares issuable under the stock bonus program and the bonus share program collectively for the performance period ending January 31, 2022 will not exceed 300,000).

The combined accrued liabilities for the stock bonus program and the bonus share program was $4.2 million at July 31, 2021. As noted above, no awards were made under the stock bonus program or the bonus share program for the performance period ended January 31, 2021 and bonuses for such period were paid in cash.

COMMITMENTS AND CONTINGENCIES	6 Months Ended
COMMITMENTS AND CONTINGENCIES	Jul. 31, 2021
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	COMMITMENTS AND CONTINGENCIES Legal Proceedings In March 2009, one of our former employees, Ms. Orit Deutsch, commenced legal actions in Israel against our primary Israeli subsidiary, Verint Systems Limited (“VSL”) (Case Number 4186/09) and against our affiliate CTI (Case Number 1335/09). Also, in March 2009, a former employee of Comverse Limited (CTI’s primary Israeli subsidiary at the time), Ms. Roni Katriel, commenced similar legal actions in Israel against Comverse Limited (Case Number 3444/09). In these actions, the plaintiffs generally sought to certify class action suits against the defendants on behalf of current and former employees of VSL and Comverse Limited who had been granted stock options in Verint and/or CTI and who were allegedly damaged as a result of a suspension on option exercises during an extended filing delay period that is discussed in our and CTI’s historical public filings. On June 7, 2012, the Tel Aviv District Court, where the cases had been filed or transferred, allowed the plaintiffs to consolidate and amend their complaints against the three defendants: VSL, CTI, and Comverse Limited. On October 31, 2012, CTI distributed all of the outstanding shares of common stock of Comverse, Inc., its principal operating subsidiary and parent company of Comverse Limited, to CTI’s shareholders (the “Comverse Share Distribution”). In the period leading up to the Comverse Share Distribution, CTI either sold or transferred substantially all of its business operations and assets (other than its equity ownership interests in Verint and in its then-subsidiary, Comverse, Inc.) to Comverse, Inc. or to unaffiliated third parties. As the result of these transactions, Comverse, Inc. became an independent company and ceased to be affiliated with CTI, and CTI ceased to have any material assets other than its equity interests in Verint. Prior to the completion of the Comverse Share Distribution, the plaintiffs sought to compel CTI to set aside up to $150.0 million in assets to secure any future judgment, but the District Court did not rule on this motion. In February 2017, Mavenir Inc. became successor-in-interest to Comverse, Inc. On February 4, 2013, Verint acquired the remaining CTI shell company in a merger transaction (the “CTI Merger”). As a result of the CTI Merger, Verint assumed certain rights and liabilities of CTI, including any liability of CTI arising out of the foregoing legal actions. However, under the terms of a Distribution Agreement entered into in connection with the Comverse Share Distribution, we, as successor to CTI, are entitled to indemnification from Comverse, Inc. (now Mavenir) for any losses we may suffer in our capacity as successor to CTI related to the foregoing legal actions. Following an unsuccessful mediation process, 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 part of Mavenir) or of VSL who held unexercised CTI stock options at the time CTI suspended option exercises. The court also ruled that the merits of the case would be evaluated under New York law. As a result of this ruling (which excluded claims related to Verint stock options from the case), one of the original plaintiffs in the case, Ms. Deutsch, was replaced by a new representative plaintiff, Mr. David Vaaknin. CTI appealed portions of the District Court’s ruling to the Israeli Supreme Court. On August 8, 2017, the Israeli 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 under New York law based on the parties’ expert opinions. Following two unsuccessful rounds of mediation in mid to late 2018 and in mid-2019, the proceedings resumed. On April 16, 2020, the District Court accepted plaintiffs’ application to amend the motion to certify a class action and set deadlines for filing amended pleadings by the parties. CTI submitted a motion to appeal the District Court’s decision to the Supreme Court, as well as a motion to stay the proceedings in the District Court pending the resolution of the appeal. On July 6, 2020, the Supreme Court granted the motion for a stay. On July 27, 2020, the plaintiffs filed their response on the merits of the motion for leave to appeal, and the parties are waiting for further instructions or decisions from the Supreme Court. On February 1, 2021, we completed the Spin-Off. As a result of the Spin-Off, Cognyte is now an independent, publicly traded company. Under the terms of the Separation and Distribution Agreement entered into between Verint and Cognyte, Cognyte has agreed to indemnify Verint for Cognyte’s share of any losses that Verint may suffer related to the foregoing legal actions either in its capacity as successor to CTI, to the extent not indemnified by Mavenir, or due to its former ownership of Cognyte and VSL. We are a party to various litigation matters and claims that arise from time to time in the ordinary course of our business. While we believe that the ultimate outcome of any such current matters will not have a material adverse effect on us, their outcomes are not determinable and negative outcomes may adversely affect our financial position, liquidity, or results of operations.

SUBSEQUENT EVENT	6 Months Ended
SUBSEQUENT EVENT	Jul. 31, 2021
Subsequent Events [Abstract]
SUBSEQUENT EVENT	SUBSEQUENT EVENT Business Combination On August 23, 2021, we completed the acquisition of all of the outstanding shares of Conversocial Limited (together with its subsidiaries, “Conversocial”), a leading messaging platform that enables brands to deliver superior customer experiences. Conversocial has offices in London, United Kingdom and New York, New York. The purchase price consisted of approximately $48.4 million in cash, net of cash on the target’s balance sheet, paid at the closing. The purchase price was paid with available cash and is subject to customary purchase price adjustments related to the final determination of Conversocial’s cash, net working capital, transaction expenses, and taxes as of August 23, 2021. We incurred transaction and related costs, consisting primarily of professional fees directly related to the acquisition of approximately $1.1 million for the three months ended July 31, 2021. All transaction and related costs were expensed as incurred and are included in selling, general and administrative expenses. We are currently in the process of completing the purchase price accounting and related allocations associated with the acquisition. Although this work is still in process, at this time we anticipate that a significant portion of the purchase price will be allocated to goodwill and acquired identifiable intangible assets, including technology and customer assets. We expect the preliminary purchase price accounting to be completed during the three months ending October 31, 2021. Additionally, we are still determining the pro forma impact of this acquisition on our operating results for the applicable historical reporting periods.

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Policies)	6 Months Ended
	Jul. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Preparation of Condensed Consolidated Financial Statements	Preparation of Condensed Consolidated Financial Statements The condensed consolidated financial statements included herein have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and on the same basis as the audited consolidated financial statements included in our Annual Report on Form 10-K for the year ended January 31, 2021 filed with the U.S. Securities and Exchange Commission (“SEC”), except for the recently adopted accounting pronouncements described below. The condensed consolidated statements of operations, comprehensive income (loss), stockholders’ equity, and cash flows for the periods ended July 31, 2021 and 2020, and the condensed consolidated balance sheet as of July 31, 2021, are not audited but reflect all adjustments that are of a normal recurring nature and that are considered necessary for a fair presentation of the results for the periods shown. The condensed consolidated balance sheet as of January 31, 2021 is derived from the audited consolidated financial statements presented in our Annual Report on Form 10-K for the year ended January 31, 2021. Certain information and disclosures normally included in annual consolidated financial statements have been omitted pursuant to the rules and regulations of the SEC. Because the condensed consolidated interim financial statements do not include all of the information and disclosures required by GAAP for a complete set of financial statements, they should be read in conjunction with the audited consolidated financial statements and notes included in our Annual Report on Form 10-K for the year ended January 31, 2021 filed with the SEC. The results for interim periods are not necessarily indicative of a full year’s results.
Principles of Consolidation	Principles of Consolidation The accompanying condensed consolidated financial statements include the accounts of Verint Systems Inc., and our wholly owned or otherwise controlled subsidiaries. Noncontrolling interests in less than wholly owned subsidiaries are reflected within stockholders’ equity on our condensed 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 accrued expenses and other current liabilities and do not recognize noncontrolling interests in these subsidiaries. Equity investments in companies in which we have less than a 20% ownership interest and cannot exercise significant influence, and which do not have readily determinable fair values, are accounted for at cost, adjusted for changes resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer, less any impairment. We include the results of operations of acquired companies from the date of acquisition. All significant intercompany transactions and balances are eliminated in consolidation.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with 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 condensed consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. In light of the currently unknown extent and duration of the COVID-19 pandemic, we face a greater degree of uncertainty than normal in making the judgments and estimates needed to apply to certain of our significant accounting policies. We assessed certain accounting matters that generally require consideration of forecasted financial information in context with the information reasonably available to us and the unknown future impacts COVID-19 as of July 31, 2021 and through the date of this report. These estimates may change, as new events occur and additional information is obtained. Actual results could differ materially from these estimates under different assumptions or conditions.
Reclassifications	ReclassificationsFollowing the Spin-Off, we began to operate as a pure-play customer engagement company and determined that presenting our revenue and cost of revenue as recurring and nonrecurring would be a more meaningful representation of the nature of our offerings, provide greater transparency and clarity to users of the financial statements, and is more consistent with industry practice and internal reporting. Accordingly, prior period amounts have been reclassified to conform to the current period presentation in our condensed consolidated financial statements and the accompanying notes. For a description of the types of revenue included in each category, see Note 3, “Revenue Recognition”.
Business Segment Information	Business Segment Information Prior to the Spin-Off, we had two reportable segments—Customer Engagement and Cyber Intelligence. Upon completion of the Spin-Off, we are a pure-play customer engagement company that operates as a single reporting segment as our Chief Executive Officer, who is our chief operating decision maker, or CODM, reviews the financial information presented on a consolidated basis for purposes of allocating resources and evaluating financial performance.
Recently Adopted Accounting Pronouncements	Recently Adopted Accounting Pronouncements In December 2019, the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes, which affects general principles within Topic 740, Income Taxes. The new guidance simplifies the accounting for income taxes by eliminating certain exceptions related to the approach for intraperiod tax allocation, the tax basis of goodwill after a business combination, and the recognition of deferred tax liabilities for outside basis differences. The new guidance also changes the calculation of the income tax impact of hybrid taxes and the methodology for calculating income taxes in an interim period. We adopted this standard as of February 1, 2021 on either a prospective basis, or through a modified retrospective approach, as required by the standard. There was no cumulative effect adjustment recorded to accumulated deficit as the amount was not material. The effects of this standard on our financial position, results of operations and cash flows were not material. In August 2020, the FASB issued ASU No. 2020-06, Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity, which simplifies the accounting for certain financial instruments with characteristics of liabilities and equity, including convertible instruments and contracts in an entity’s own equity. Among other changes, ASU No. 2020-06 removes from GAAP the liability and equity separation model for convertible instruments with a cash conversion feature, and as a result, after adoption, entities will no longer separately present in equity an embedded conversion feature for such debt. ASU No. 2020-06 also eliminates the treasury stock method to calculate diluted earnings per share and requires the if-converted method for convertible instruments. We early adopted ASU No. 2020-06 as of February 1, 2021 using the modified retrospective transition method. Prior period financial statements have not been restated upon adoption. Upon adoption of ASU No. 2020-06, we no longer presented the conversion feature of our 2014 convertible senior notes, which matured on June 1, 2021, in equity. Instead, we combined the previously separated equity component with the liability component, which prior to maturity of the 2014 convertible senior notes, was classified as debt, thereby eliminating the subsequent amortization of the debt discount as interest expense. Similarly, the portion of issuance costs previously allocated to equity was reclassified to debt and amortized as interest expense until the notes matured. Accordingly, we recorded a decrease to accumulated deficit of approximately $44.9 million, a decrease to additional paid-in capital of $43.4 million, a decrease to temporary equity of $4.8 million, an increase to current maturities of long-term debt of $4.4 million, a decrease to deferred tax liabilities of $0.9 million, and an increase in debt issuance costs of $0.1 million. There was no impact to earnings per share as a result of the adoption.
Revenue Recognition	We derive our revenue primarily from providing customers the right to access our cloud-based solutions, the right to use our software for an indefinite or specified period of time, and related services and support based on when access or control of the software passes to our customers or the services are provided, in an amount that reflects the consideration we expect to be entitled to in exchange for such goods or services. Revenue is reported net of applicable sales and use tax, value-added tax and other transaction taxes imposed on the related transactions, including mandatory government charges that are passed through to our customers. We determine revenue recognition through the following five steps: •Identification of the contract, or contracts, with a customer •Identification of the performance obligations in the contract •Determination of the transaction price •Allocation of the transaction price to the performance obligations in the contract •Recognition of revenue when, or as, performance obligations are satisfied. We account for a contract when it has approval and commitment from both parties, the rights of the parties are identified, payment terms are identified, the contract has commercial substance, and collectability of consideration is probable.

DISCONTINUED OPERATIONS (Tables)

6 Months Ended

Jul. 31, 2021

Discontinued Operations and Disposal Groups [Abstract]

Schedule of Discontinued Operations


(in thousands)	Three Months Ended July 31, 2020		Six Months Ended July 31, 2020
Revenue	$	105,029	$	206,459
Cost of revenue	31,198		62,621
Operating expenses	53,087		114,879
Other income, net	963		1,082
Income from discontinued operations before benefit from income taxes	21,707		30,041
Provision for (benefit from) income taxes	1,750		(359)
Net income from discontinued operations	19,957		30,400
Net income from discontinued operations attributable to noncontrolling interests	1,766		3,565
Net income from discontinued operations attributable to Verint Systems Inc. common shares	$	18,191	$	26,835


(in thousands)	January 31, 2021
Assets
Current Assets:
Cash and cash equivalents	$	78,570
Restricted cash and cash equivalents, and restricted bank time deposits	27,042
Short-term investments	4,713
Accounts receivable, net	175,001
Contract assets, net	20,317
Inventories	14,542
Prepaid expenses and other current assets	34,741
Total current assets of discontinued operations	354,926
Property and equipment, net	37,152
Operating lease right-of-use assets	31,040
Goodwill	158,183
Intangible assets, net	5,299
Other assets	49,278
Total long-term assets of discontinued operations	280,952
Total assets of discontinued operations	$	635,878

Liabilities
Current Liabilities:
Accounts payable	$	41,512
Accrued expenses and other current liabilities	100,189
Contract liabilities	127,012
Total current liabilities of discontinued operations	268,713
Long-term contract liabilities	22,037
Operating lease liabilities	23,174
Other liabilities	12,907
Total long-term liabilities of discontinued operations	58,118
Total liabilities of discontinued operations	$	326,831

- Definition

Tabular disclosure of information related to a disposal group. Includes, but is not limited to, a discontinued operation, disposal classified as held-for-sale or disposed of by means other than sale or disposal of an individually significant component.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 360
-SubTopic 10
-Section 50
-Paragraph 3A
-URI http://asc.fasb.org/extlink&oid=109226691&loc=SL51724579-110230

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=109222650&loc=d3e1474-107760

Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 5D
-URI http://asc.fasb.org/extlink&oid=109222650&loc=SL51721677-107760

Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 45
-Paragraph 11
-URI http://asc.fasb.org/extlink&oid=109222160&loc=SL51721533-107759

Reference 5: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 3A
-URI http://asc.fasb.org/extlink&oid=109222650&loc=SL51721659-107760

Reference 6: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 4B
-URI http://asc.fasb.org/extlink&oid=109222650&loc=SL51721665-107760

Reference 7: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 360
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=109226691&loc=d3e2941-110230

Reference 8: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 5C
-URI http://asc.fasb.org/extlink&oid=109222650&loc=SL51721675-107760

Reference 9: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 7
-URI http://asc.fasb.org/extlink&oid=109222650&loc=SL51721683-107760

Reference 10: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=109222650&loc=d3e1361-107760

Reference 11: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 5A
-URI http://asc.fasb.org/extlink&oid=109222650&loc=SL51721671-107760

Reference 12: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 5B
-URI http://asc.fasb.org/extlink&oid=109222650&loc=SL51721673-107760

Reference 13: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 4A
-URI http://asc.fasb.org/extlink&oid=109222650&loc=SL51721663-107760

+ Details

REVENUE RECOGNITION (Tables)

6 Months Ended

Jul. 31, 2021

Revenue from Contract with Customer [Abstract]

Schedule of Disaggregation of Revenue

•Recurring revenue primarily consists of cloud revenue and initial and renewal support revenue.

◦Cloud revenue primarily consists of software as a service (“SaaS”) revenue and some optional managed services revenue.

•Nonrecurring revenue primarily consists of our perpetual licenses, hardware, installation services, and business advisory consulting and training services.


	Three Months Ended July 31,				Six Months Ended July 31,
(in thousands)	2021		2020		2021		2020
Recurring revenue:
Bundled SaaS revenue	$	42,940	$	35,818	$	82,249	$	69,211
Unbundled SaaS revenue	33,444		12,411		57,727		19,906
Optional managed services revenue	16,872		14,328		33,330		28,460
Total cloud revenue	93,256		62,557		173,306		117,577
Support revenue	62,922		76,710		127,325		150,760
Total recurring revenue	156,178		139,267		300,631		268,337
Nonrecurring revenue:
Perpetual revenue	32,349		35,829		61,672		64,354
Professional services revenue	26,090		28,984		53,218		57,254
Total nonrecurring revenue	58,439		64,813		114,890		121,608
Total revenue	$	214,617	$	204,080	$	415,521	$	389,945

Schedule of Contracts with Customers - Assets and Liabilities

The following table provides information about accounts receivable, contract assets, and contract liabilities from contracts with customers:


(in thousands)	July 31, 2021		January 31, 2021
Accounts receivable, net	$	150,242	$	206,157
Contract assets, net	$	38,081	$	36,716
Long-term contract assets, net (included in other assets)	$	27,817	$	17,210
Contract liabilities	$	228,040	$	261,033
Long-term contract liabilities	$	16,571	$	16,502

Schedule of Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction

The following table provides information about when we expect to recognize our remaining performance obligations:


(in thousands)	July 31, 2021		January 31, 2021
RPO:
Expected to be recognized within 1 year	$	378,422	$	405,714
Expected to be recognized in more than 1 year	248,400		229,951
Total RPO	$	626,822	$	635,665

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

6 Months Ended

Jul. 31, 2021

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 three and six months ended July 31, 2021 and 2020:


	Three Months Ended July 31,				Six Months Ended July 31,
(in thousands, except per share amounts)	2021		2020		2021		2020
Net income (loss) from continuing operations	$	5,316	$	(9,370)	$	6,410	$	(23,788)
Net income from discontinued operations, net of tax	—		19,957		—		30,400
Net income	5,316		10,587		6,410		6,612
Net income attributable to noncontrolling interests from continuing operations	316		327		611		567
Net income attributable to noncontrolling interests from discontinued operations	—		1,766		—		3,565
Net income attributable to Verint Systems Inc.	5,000		8,494		5,799		2,480
Dividends on preferred stock	(5,200)		(2,484)		(8,522)		(2,484)
Net (loss) income attributable to Verint Systems Inc. for basic net income per common share	(200)		6,010		(2,723)		(4)
Dilutive effect of dividends on preferred stock	—		—		—		—
Net (loss) income attributable to Verint Systems Inc. for diluted net income per common share	$	(200)	$	6,010	$	(2,723)	$	(4)

Net (loss) income attributable to Verint Systems Inc. common shares
Net (loss) income from continuing operations attributable to Verint Systems Inc. common shares	(200)		(12,181)		(2,723)		(26,839)
Net income from discontinued operations attributable to Verint Systems Inc. common shares	—		18,191		—		26,835

Weighted-average shares outstanding:
Basic	65,194		64,954		65,417		64,670
Dilutive effect of employee equity award plans	—		895		—		—
Dilutive effect of 2021 Notes	—		—		—		—
Dilutive effect of 2014 Notes	—		—		—		—
Dilutive effect of warrants	—		—		—		—
Dilutive effect of assumed conversion of preferred stock	—		—		—		—
Diluted	65,194		65,849		65,417		64,670

Basic (loss) net income per common share attributable to Verint Systems Inc.:
Continuing operations	$	—	$	(0.19)	$	(0.04)	$	(0.42)
Discontinued operations	—		0.28		—		0.42
Total basic net (loss) income per common share attributable to Verint Systems Inc.	$	—	$	0.09	$	(0.04)	$	—

Diluted net (loss) income per common share attributable to Verint Systems Inc.:
Continuing operations	$	—	$	(0.18)	$	(0.04)	$	(0.42)


	Three Months Ended July 31,				Six Months Ended July 31,
(in thousands, except per share amounts)	2021		2020		2021		2020
Discontinued operations	—		0.27		—		0.42
Total diluted net (loss) income per common share attributable to Verint Systems Inc.	$	—	$	0.09	$	(0.04)	$	—

Schedule of Anti-dilutive Securities

We excluded the following weighted-average potential common shares from our diluted per share calculations during the applicable periods because their inclusion would have been anti-dilutive:


	Three Months Ended July 31,		Six Months Ended July 31,
(in thousands)	2021	2020	2021	2020
Common shares excluded from calculation:
Stock options and restricted stock-based awards	2,209	392	2,034	1,329
2021 Notes	5,074	—	3,196	—
2014 Notes	9,541	6,137	9,541	6,171
Warrants	9,865	6,205	9,865	6,205
Series A Preferred Stock	5,498	3,495	5,498	1,747
Series B Preferred Stock	3,980	—	2,573	—

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

6 Months Ended

Jul. 31, 2021

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

Schedule of Cash, Cash Equivalents and Short-term Investments

The following tables summarize our cash, cash equivalents, and short-term investments as of July 31, 2021 and January 31, 2021:


	July 31, 2021
(in thousands)	Cost Basis		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
Cash and cash equivalents:
Cash and bank time deposits	$	208,412	$	—	$	—	$	208,412
Money market funds	112,027		—		—		112,027
Total cash and cash equivalents	$	320,439	$	—	$	—	$	320,439

Short-term investments:
Bank time deposits	$	666	$	—	$	—	$	666
Total short-term investments	$	666	$	—	$	—	$	666


	January 31, 2021
(in thousands)	Cost Basis		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
Cash and cash equivalents:
Cash and bank time deposits	$	243,183	$	—	$	—	$	243,183
Money market funds	342,090		—		—		342,090
Total cash and cash equivalents	$	585,273	$	—	$	—	$	585,273

Short-term investments:
Bank time deposits	$	46,300	$	—	$	—	$	46,300
Total short-term investments	$	46,300	$	—	$	—	$	46,300

INTANGIBLE ASSETS AND GOODWILL (Tables)

6 Months Ended

Jul. 31, 2021

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of Acquisition-Related Intangible Assets

Acquisition-related intangible assets consisted of the following as of July 31, 2021 and January 31, 2021:


	July 31, 2021
(in thousands)	Cost		Accumulated Amortization		Net
Intangible assets with finite lives:
Customer relationships	$	467,597	$	(371,197)	$	96,400
Acquired technology	222,373		(197,325)		25,048
Trade names	7,034		(4,948)		2,086
Distribution network	2,440		(2,440)		—
Total intangible assets	$	699,444	$	(575,910)	$	123,534


	January 31, 2021
(in thousands)	Cost		Accumulated Amortization		Net
Intangible assets with finite lives:
Customer relationships	$	464,586	$	(356,064)	$	108,522
Acquired technology	222,040		(189,687)		32,353
Trade names	9,424		(6,555)		2,869
Distribution network	2,440		(2,440)		—
Total intangible assets	$	698,490	$	(554,746)	$	143,744

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
2022 (remainder of year)	$	21,918
2023	37,665
2024	28,572
2025	11,741
2026	10,409
2027 and thereafter	13,229
Total	$	123,534

Schedule of Goodwill Activity

Goodwill activity for the six months ended July 31, 2021 was as follows:


(in thousands)	Amount
Six Months Ended July 31, 2021:
Goodwill, gross, at January 31, 2021	$	1,383,450
Accumulated impairment losses through January 31, 2021	(56,043)
Goodwill, net, at January 31, 2021	1,327,407
Business combination	4,432
Foreign currency translation and other	3,977
Goodwill, net, at July 31, 2021	$	1,335,816

Balance at July 31, 2021
Goodwill, gross, at July 31, 2021	$	1,391,859
Accumulated impairment losses through July 31, 2021	(56,043)
Goodwill, net, at July 31, 2021	$	1,335,816

LONG-TERM DEBT (Tables)

6 Months Ended

Jul. 31, 2021

Debt Disclosure [Abstract]

Schedule of Long-Term Debt

The following table summarizes our long-term debt at July 31, 2021 and January 31, 2021:


	July 31,		January 31,
(in thousands)	2021		2021
2021 Notes	$	315,000	$	—
2014 Notes	—		386,887
2017 Term Loan	100,000		410,125
Less: unamortized debt discounts and issuance costs	(9,127)		(7,518)
Total debt	405,873		789,494
Less: current maturities	—		386,713
Long-term debt	$	405,873	$	402,781

Schedule of Components of Interest Expense


	Three Months Ended July 31,				Six Months Ended July 31,
(in thousands)	2021		2020		2021		2020
2021 Notes:
Interest expense at 0.25% coupon rate	$	197	$	—	$	245	$	—
Amortization of deferred debt issuance costs	437		—		542		—
Total Interest Expense - 2021 Notes	$	634	$	—	$	787	$	—

2014 Notes:
Interest expense at 1.50% coupon rate	$	482	$	1,486	$	1,933	$	2,986
Amortization of debt discount	—		3,174		—		6,400
Amortization of deferred debt issuance costs	131		300		522		604
Total Interest Expense - 2014 Notes	$	613	$	4,960	$	2,455	$	9,990

Borrowings under 2017 Credit Agreement:
Interest expense at contractual rates	$	537	$	3,463	$	2,297	$	7,976
Impact of interest rate swap reclassified from accumulated other comprehensive loss	—		1,121		1,014		1,712
Amortization of debt discounts	5		19		8		37
Amortization of deferred debt issuance costs	223		439		495		830
Total Interest Expense - Borrowings under Credit Agreements	$	765	$	5,042	$	3,814	$	10,555

- 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://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02.22)
-URI http://asc.fasb.org/extlink&oid=120391452&loc=d3e13212-122682

Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 3
-Subparagraph (SX 210.12-04(a))
-URI http://asc.fasb.org/extlink&oid=120395691&loc=d3e24072-122690

Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 45
-Paragraph 1A
-URI http://asc.fasb.org/extlink&oid=124435984&loc=d3e28541-108399

Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=123467817&loc=d3e21506-112644

Reference 5: http://www.xbrl.org/2003/role/exampleRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 20
-Section 55
-Paragraph 69B
-URI http://asc.fasb.org/extlink&oid=123466577&loc=SL123495735-112612

Reference 6: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 45
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=124435984&loc=d3e28551-108399

Reference 7: http://www.xbrl.org/2003/role/exampleRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 20
-Section 55
-Paragraph 69E
-URI http://asc.fasb.org/extlink&oid=123466577&loc=SL123495743-112612

Reference 8: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 7
-URI http://asc.fasb.org/extlink&oid=123467817&loc=d3e21521-112644

Reference 9: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=123467817&loc=d3e21538-112644

Reference 10: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 942
-SubTopic 470
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=123599511&loc=d3e64711-112823

Reference 11: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 55
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=114775985&loc=d3e28878-108400

Reference 12: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=123467817&loc=d3e21475-112644

+ Details

SUPPLEMENTAL CONDENSED CONSOLIDATED FINANCIAL STATEMENT INFORMATION (Tables)

6 Months Ended

Jul. 31, 2021

Condensed Financial Information Disclosure [Abstract]

Schedule of Inventories

Inventories consisted of the following as of July 31, 2021 and January 31, 2021:


	July 31,		January 31,
(in thousands)	2021		2021
Raw materials	$	1,733	$	2,768
Work-in-process	91		26
Finished goods	3,601		2,747
Total inventories	$	5,425	$	5,541

Schedule of Other (Expense) Income, Net

Other income (expense), net consisted of the following for the three and six months ended July 31, 2021 and 2020:


	Three Months Ended July 31,				Six Months Ended July 31,
(in thousands)	2021		2020		2021		2020
Foreign currency (losses) gains, net	$	(463)	$	1,951	$	(1,004)	$	153
Gains (losses) on derivative financial instruments, net	—		137		(14,374)		137
Change in fair value of future tranche right	—		(13,610)		15,810		(13,610)
Other, net	619		(1,232)		3,774		(1,256)
Total other income (expense), net	$	156	$	(12,754)	$	4,206	$	(14,576)

Schedule of Supplemental Information Regarding Condensed Consolidated Cash Flows

The following table provides supplemental information regarding our condensed consolidated cash flows for the six months ended July 31, 2021 and 2020:


	Six Months Ended July 31,
(in thousands)	2021		2020
Cash paid for interest	$	8,190	$	14,006
Cash payments of income taxes, net	$	30,157	$	13,153
Cash payments for operating leases	$	10,236	$	10,453
Non-cash investing and financing transactions:
Series A Preferred Stock dividends declared	$	—	$	1,589
Finance leases of property and equipment	$	2,150	$	841
Liabilities for contingent consideration in business combinations	$	900	$	—
Accrued but unpaid purchases of property and equipment	$	2,297	$	247
Settlement of Future Tranche Right upon issuance of Series B Preferred Stock	$	36,962	$	—
Settlement of convertible note premium in common stock	$	59,131	$	—
Receipt of common stock from the counterparties under the Note Hedges	$	59,651	$	—

STOCKHOLDERS' EQUITY (Tables)

6 Months Ended

Jul. 31, 2021

Equity [Abstract]

Summary of Components of Accumulated Other Comprehensive Income (Loss)

The following table summarizes changes to our accumulated other comprehensive income (loss) by component for the six months ended July 31, 2021:


(in thousands)	Unrealized Gains (Losses) on Foreign Exchange Contracts Designated as Hedges		Unrealized Loss on Interest Rate Swap Designated as Hedge		Foreign Currency Translation Adjustments		Total
Accumulated other comprehensive income (loss) at January 31, 2021	$	634	$	(13,031)	$	(124,481)	$	(136,878)
Distribution of Cognyte Software Ltd.	(559)		—		17,682		17,123
Other comprehensive income before reclassifications	51		—		4,261		4,312
Amounts reclassified out of accumulated other comprehensive income (loss)	96		(1,014)		—		(918)
Amounts reclassified upon partial early retirement of the 2017 Term Loan	—		(12,017)		—		(12,017)
Net other comprehensive (loss) income	(604)		13,031		21,943		34,370
Accumulated other comprehensive income (loss) at July 31, 2021	$	30	$	—	$	(102,538)	$	(102,508)

Schedule of Amounts Reclassified Out of Accumulated Other Comprehensive Income (Loss)


	Three Months Ended July 31,				Six Months Ended July 31,
(in thousands)	2021		2020		2021		2020		Location
Unrealized gains (losses) on derivative financial instruments:
Foreign currency forward contracts	$	—	$	—	$	1	$	—	Cost of recurring revenue
	1		—		13		—		Cost of nonrecurring revenue
	7		—		72		—		Research and development, net
	3		—		31		—		Selling, general and administrative
	11		—		117		—		Total, before income taxes
	(2)		—		(21)		—		Provision for income taxes
	$	9	$	—	$	96	$	—	Total, net of income taxes

Interest rate swap agreement	$	—	$	(1,120)	$	(1,014)	$	(1,711)	Interest expense
	—		—		(15,655)		—		Other income (expense), net
	—		(1,120)		(16,669)		(1,711)		Total, before income taxes
	—		244		3,638		372		Benefit from income taxes
	$	—	$	(876)	$	(13,031)	$	(1,339)	Total, net of income taxes

FAIR VALUE MEASUREMENTS (Tables)

6 Months Ended

Jul. 31, 2021

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 July 31, 2021 and January 31, 2021:


	July 31, 2021
	Fair Value Hierarchy Category
(in thousands)	Level 1		Level 2		Level 3
Assets:
Money market funds	$	112,027	$	—	$	—
Foreign currency forward contracts	—		37		—
Contingent consideration receivable	—		—		398
Total assets	$	112,027	$	37	$	398
Liabilities:
Foreign currency forward contracts	$	—	$	2	$	—
Contingent consideration - business combinations	—		—		7,632
Option to acquire noncontrolling interests of consolidated subsidiaries	—		—		3,500
Total liabilities	$	—	$	2	$	11,132


	January 31, 2021
	Fair Value Hierarchy Category
(in thousands)	Level 1		Level 2		Level 3
Assets:
Money market funds	$	342,090	$	—	$	—
Foreign currency forward contracts	—		136		—
Contingent consideration receivable	—		—		565
Total assets	$	342,090	$	136	$	565
Liabilities:
Foreign currency forward contracts	$	—	$	48	$	—
Interest rate swap agreements	—		17,881		—
Future tranche right	—		—		52,772
Contingent consideration - business combinations	—		—		15,704
Option to acquire noncontrolling interests of consolidated subsidiaries	—		—		3,250
Total liabilities	$	—	$	17,929	$	71,726

Schedule of Changes in the Estimated Fair Value Using Significant Unobservable Inputs (Level 3)



	Six Months Ended July 31,
(in thousands)	2021		2020
Fair value measurement at beginning of period	$	(52,772)	$	—
Fair value of future tranche right upon issuance of the Series A Preferred Stock	—		3,374
Change in fair value, recorded in other income (expense), net	15,810		(13,610)
Reclassification of future tranche right liability upon settlement	36,962		—
Fair value measurement at end of period	$	—	$	(10,236)



	Six Months Ended July 31,
(in thousands)	2021		2020
Fair value measurement at beginning of period	$	15,704	$	31,367
Contingent consideration liabilities recorded for business combinations	900		—
Changes in fair values, recorded in operating expenses	636		(2,449)
Payments of contingent consideration	(9,560)		(13,980)
Foreign currency translation and other	(48)		226
Fair value measurement at end of period	$	7,632	$	15,164

The following table presents the change in the estimated fair value of this liability, which is measured using Level 3 inputs, for the six months ended July 31, 2021 and 2020:



	Six Months Ended July 31,
(in thousands)	2021		2020
Fair value measurement at beginning of period	$	3,250	$	2,900
Change in fair value, recorded in operating expenses	250		150
Fair value measurement at end of period	$	3,500	$	3,050

Fair Value Measurement Inputs and Valuation Techniques

Significant inputs and assumptions used in the valuation model as of the issuance date, May 7, 2020, and immediately prior to the settlement date, April 6, 2021, are as follows:


	April 6,			May 7,
	2021			2020
Risk-free interest rate for preferred stock	2.35		%	1.31		%
Implied credit spread	6.78		%	10.78		%
Expected volatility	30.00		%	30.00		%
Verint common stock price	$	45.91		$	45.44

DERIVATIVE FINANCIAL INSTRUMENTS (Tables)

6 Months Ended

Jul. 31, 2021

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 condensed consolidated balance sheets as of July 31, 2021 and January 31, 2021 were as follows:


		Fair Value at
		July 31,		January 31,
(in thousands)	Balance Sheet Classification	2021		2021
Derivative assets:
Foreign currency forward contracts:
Designated as cash flow hedges	Prepaid expenses and other current assets	$	37	$	136
Total derivative assets		$	37	$	136

Derivative liabilities:
Foreign currency forward contracts:
Designated as cash flow hedges	Accrued expenses and other current liabilities	$	2	$	47
Not designated as hedging instruments	Accrued expenses and other current liabilities	—		1
Interest rate swap agreement:
Not designated as a hedging instrument	Accrued expenses and other current liabilities	—		4,316
Not designated as a hedging instrument	Other liabilities	—		13,565
Total derivative liabilities		$	2	$	17,929

Schedule of the Effects of Derivative Financial Instruments Designated as Cash Flow Hedging Instruments


	Three Months Ended July 31,				Six Months Ended July 31,
(in thousands)	2021		2020		2021		2020
Net gains (losses) recognized in AOCL:
Foreign currency forward contracts	$	22	$	16	$	62	$	8
Interest rate swap agreement	—		—		—		(7,535)
	$	22	$	16	$	62	$	(7,527)

Net gains (losses) reclassified from AOCL to the condensed consolidated statements of operations:
Foreign currency forward contracts	$	11	$	—	$	117	$	—
Interest rate swap agreement	—		(1,120)		(16,669)		(1,711)
	$	11	$	(1,120)	$	(16,552)	$	(1,711)

Schedule of Gains (Losses) Recognized on Derivative Financial Instruments Not Designated As Hedging Instruments


	Classification in Condensed Consolidated Statements of Operations	Three Months Ended July 31,				Six Months Ended July 31,
(in thousands)		2021		2020		2021		2020
Interest rate swap agreement	Other income (expense), net	$	—	$	137	$	(14,374)	$	137

STOCK-BASED COMPENSATION (Tables)

6 Months Ended

Jul. 31, 2021

Share-based Payment Arrangement [Abstract]

Schedule of Stock-Based Compensation Expense

We recognized stock-based compensation expense in the following line items on the condensed consolidated statements of operations for the three and six months ended July 31, 2021 and 2020:


	Three Months Ended July 31,				Six Months Ended July 31,
(in thousands)	2021		2020		2021		2020
Cost of revenue - recurring	$	562	$	472	$	991	$	737
Cost of revenue - nonrecurring	864		685		1,697		957
Research and development, net	2,027		1,496		3,800		2,669
Selling, general and administrative	14,640		10,676		28,006		19,644
Total stock-based compensation expense	$	18,093	$	13,329	$	34,494	$	24,007

Schedule of Stock-Based Compensation Expense by Type of Award

The following table summarizes stock-based compensation expense by type of award for the three and six months ended July 31, 2021 and 2020:


	Three Months Ended July 31,				Six Months Ended July 31,
(in thousands)	2021		2020		2021		2020
Restricted stock units and restricted stock awards	$	15,984	$	10,040	$	30,237	$	21,296
Stock bonus program and bonus share program	2,100		3,285		4,252		2,712
Total equity-settled awards	18,084		13,325		34,489		24,008
Phantom stock units (cash-settled awards)	9		4		5		(1)
Total stock-based compensation expense	$	18,093	$	13,329	$	34,494	$	24,007

Schedule of RSU Activity


	Six Months Ended July 31,
	2021			2020
(in thousands, except per share data)	Shares or Units	Weighted-Average Grant Date Fair Value		Shares or Units	Weighted-Average Grant Date Fair Value
Beginning balance	2,950	$	35.97	1,879	$	52.96
Granted	1,316	$	48.51	98	$	49.47
Released	(1,283)	$	35.52	(889)	$	47.78
Forfeited	(110)	$	39.00	(90)	$	52.59
Ending balance	2,873	$	41.81	998	$	57.26

Schedule of Performance Share Activity


	Six Months Ended July 31,
(in thousands)	2021	2020
Beginning balance	635	423
Granted	212	90
Released	(270)	(180)
Forfeited	(9)	(20)
Ending balance	568	313

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES - Additional Information (Details) $ / shares in Units, organization in Thousands						6 Months Ended
	Apr. 06, 2021 USD ($)	Feb. 01, 2021 $ / shares shares	May 07, 2020 USD ($)	Feb. 01, 2020 shares	Dec. 04, 2019 USD ($)	Jul. 31, 2021 organization country office professional subsidiary segment $ / shares	Jan. 31, 2021 $ / shares
Description of Business [Line Items]
Percentage of fortune 100 companies as customers						85.00%
Number of organizations as customer \| organization						10
Number of countries customers located \| country						175
Number of offices (more than) \| office						40
Number of passionate professionals \| professional						4,300
Common stock, par value (in dollars per share) \| $ / shares		$ 0.001				$ 0.001	$ 0.001
Spin-off transaction, number of shares received (in shares) \| shares		1		1
Number of majority owned subsidiaries acquired \| subsidiary						2
Number of reportable segments \| segment						2
Apax
Description of Business [Line Items]
Percentage ownership of outstanding shares						12.70%
Convertible Preferred Stock
Description of Business [Line Items]
Sale of stock, consideration received on transaction					$ 400,000,000
Series A Preferred Stock \| Series A Private Placement
Description of Business [Line Items]
Sale of stock, consideration received on transaction			$ 200,000,000
Series B Preferred Stock \| Series B Private Placement
Description of Business [Line Items]
Sale of stock, consideration received on transaction	$ 200,000,000

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES - Recently Adopted Accounting Pronouncements (Details) - USD ($) $ in Thousands	Jul. 31, 2021	Apr. 30, 2021	Feb. 01, 2021	Jan. 31, 2021	Jul. 31, 2020	Apr. 30, 2020	Jan. 31, 2020
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Increase (decrease) to stockholders' equity	$ 944,668	$ 929,648		$ 1,282,564	$ 1,235,502	$ 1,192,906	$ 1,242,437
Decrease to temporary equity	(436,321)			(205,469)
Increase to current maturities of long-term debt	0			386,713
Accumulated Deficit
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Increase (decrease) to stockholders' equity	(63,123)	(68,123)		(113,797)	(104,050)	(112,544)	(105,590)
Additional Paid-in Capital
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Increase (decrease) to stockholders' equity	$ 1,342,130	$ 1,333,312		1,726,166	$ 1,689,388	$ 1,677,775	1,660,889
Cumulative Effect, Period of Adoption, Adjustment
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Increase (decrease) to stockholders' equity				1,430			(940)
Decrease to temporary equity			$ 4,800
Increase to current maturities of long-term debt			4,400
Decrease to deferred tax liabilities			900
Increase to debt issuance costs			100
Cumulative Effect, Period of Adoption, Adjustment \| Accumulated Deficit
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Increase (decrease) to stockholders' equity			44,900	44,875			$ (940)
Cumulative Effect, Period of Adoption, Adjustment \| Additional Paid-in Capital
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Increase (decrease) to stockholders' equity			$ (43,400)	$ (43,445)

- Definition

Amount of stockholders' equity (deficit), net of receivables from officers, directors, owners, and affiliates of the entity, attributable to both the parent and noncontrolling interests. Amount excludes temporary equity. Alternate caption for the concept is permanent equity.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section 45
-Paragraph 24
-URI http://asc.fasb.org/extlink&oid=124436220&loc=d3e21930-107793

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.3-04)
-URI http://asc.fasb.org/extlink&oid=120397183&loc=d3e187085-122770

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section 45
-Paragraph 23
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=124436220&loc=d3e21914-107793

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section 50
-Paragraph 7
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=124431687&loc=d3e22644-107794

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 50
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=124431353&loc=SL124442411-227067

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 326
-SubTopic 10
-Section 65
-Paragraph 4
-Subparagraph (d)
-URI http://asc.fasb.org/extlink&oid=122640432&loc=SL121648383-210437

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 105
-SubTopic 10
-Section 65
-Paragraph 6
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=124434974&loc=SL124442142-165695

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 105
-SubTopic 10
-Section 65
-Paragraph 6
-Subparagraph (d)
-URI http://asc.fasb.org/extlink&oid=124434974&loc=SL124442142-165695

Reference 9: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 810
-SubTopic 10
-Section 45
-Paragraph 16
-URI http://asc.fasb.org/extlink&oid=123454820&loc=SL4568740-111683

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 40
-Section 65
-Paragraph 1
-Subparagraph (e)(3)
-URI http://asc.fasb.org/extlink&oid=123482062&loc=SL123482106-238011

Reference 11: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 50
-Paragraph 28
-Subparagraph (f)
-URI http://asc.fasb.org/extlink&oid=123596393&loc=d3e14064-108612

Reference 12: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section 45
-Paragraph 5
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=124436220&loc=d3e21711-107793

Reference 13: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 323
-SubTopic 10
-Section 50
-Paragraph 3
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=114001798&loc=d3e33918-111571

Reference 14: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(g)(1)(ii))
-URI http://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690

Reference 15: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 830
-SubTopic 30
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6450520&loc=d3e32583-110901

Reference 16: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 65
-Paragraph 8
-Subparagraph (d)(2)
-URI http://asc.fasb.org/extlink&oid=123459177&loc=SL121830611-158277

Reference 17: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 830
-SubTopic 30
-Section 45
-Paragraph 17
-URI http://asc.fasb.org/extlink&oid=118261656&loc=d3e32136-110900

Reference 18: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 65
-Paragraph 8
-Subparagraph (d)(3)
-URI http://asc.fasb.org/extlink&oid=123459177&loc=SL121830611-158277

Reference 19: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 40
-Section 65
-Paragraph 2
-Subparagraph (f)(2)
-URI http://asc.fasb.org/extlink&oid=124501264&loc=SL117420844-207641

Reference 20: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 718
-SubTopic 10
-Section 65
-Paragraph 15
-Subparagraph (f)(2)
-URI http://asc.fasb.org/extlink&oid=121322162&loc=SL121327923-165333

Reference 21: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 810
-SubTopic 10
-Section 55
-Paragraph 4I
-URI http://asc.fasb.org/extlink&oid=120409616&loc=SL4590271-111686

Reference 22: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 40
-Section 65
-Paragraph 2
-Subparagraph (f)(1)
-URI http://asc.fasb.org/extlink&oid=124501264&loc=SL117420844-207641

Reference 23: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 830
-SubTopic 30
-Section 45
-Paragraph 20
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=118261656&loc=d3e32211-110900

Reference 24: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 810
-SubTopic 10
-Section 45
-Paragraph 15
-URI http://asc.fasb.org/extlink&oid=123454820&loc=SL4568447-111683

Reference 25: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 718
-SubTopic 10
-Section 65
-Paragraph 15
-Subparagraph (f)(1)
-URI http://asc.fasb.org/extlink&oid=121322162&loc=SL121327923-165333

Reference 26: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section 50
-Paragraph 1
-Subparagraph (b)(3)
-URI http://asc.fasb.org/extlink&oid=124431687&loc=d3e22499-107794

Reference 27: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 718
-SubTopic 10
-Section 65
-Paragraph 15
-Subparagraph (e)
-URI http://asc.fasb.org/extlink&oid=121322162&loc=SL121327923-165333

Reference 28: http://www.xbrl.org/2003/role/disclosureRef
-Topic 848
-SubTopic 10
-Name Accounting Standards Codification
-Section 65
-Paragraph 2
-Publisher FASB
-Subparagraph (a)(3)(iii)(03)

+ Details

- Definition

Carrying amount, attributable to parent and noncontrolling interests, of an entity's issued and outstanding stock which is not included within permanent equity. Temporary equity is a security with redemption features that are outside the control of the issuer, is not classified as an asset or liability in conformity with GAAP, and is not mandatorily redeemable. Includes any type of security that is redeemable at a fixed or determinable price or on a fixed or determinable date or dates, is redeemable at the option of the holder, or has conditions for redemption which are not solely within the control of the issuer. Includes stock with a put option held by an ESOP and stock redeemable by a holder only in the event of a change in control of the issuer.

+ References + Details

DISCONTINUED OPERATIONS - Additional Information (Details) - Discontinued Operations - Cognyte - USD ($) $ in Thousands		3 Months Ended	6 Months Ended
	Feb. 01, 2021	Jul. 31, 2021	Jul. 31, 2021	Jan. 31, 2021	Jan. 29, 2021
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Transition Services Agreement term	24 months
Transition Services Agreement, amount invoiced to other party		$ 1,400	$ 2,900
Transition Services Agreement, amount invoiced from other party		$ 200	$ 500
Accumulated other comprehensive income, net of tax transferred	$ 17,100
Dividends receivable					$ 35,000
Cash and cash equivalents				$ 78,570

DISCONTINUED OPERATIONS - Summary of Discontinued Operations in Condensed Consolidated Statement of Operations (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 31, 2021	Jul. 31, 2020	Jul. 31, 2021	Jul. 31, 2020
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Net income from discontinued operations	$ 0	$ 19,957	$ 0	$ 30,400
Discontinued Operations \| Cognyte
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Revenue		105,029		206,459
Cost of revenue		31,198		62,621
Operating expenses		53,087		114,879
Other income, net		963		1,082
Income from discontinued operations before benefit from income taxes		21,707		30,041
Provision for (benefit from) income taxes		1,750		(359)
Net income from discontinued operations		19,957		30,400
Net income from discontinued operations attributable to noncontrolling interests		1,766		3,565
Net income from discontinued operations attributable to Verint Systems Inc. common shares		$ 18,191		$ 26,835

DISCONTINUED OPERATIONS - Summary of Assets and Liabilities Transferred (Details) - USD ($) $ in Thousands	Jul. 31, 2021	Jan. 31, 2021
Current Assets:
Total current assets of discontinued operations	$ 0	$ 354,926
Long-term Assets
Total long-term assets of discontinued operations	0	280,952
Current Liabilities:
Total current liabilities of discontinued operations	0	268,713
Long-term Liabilities
Total long-term liabilities of discontinued operations	$ 0	58,118
Discontinued Operations \| Cognyte
Current Assets:
Cash and cash equivalents		78,570
Restricted cash and cash equivalents, and restricted bank time deposits		27,042
Short-term investments		4,713
Accounts receivable, net		175,001
Contract assets, net		20,317
Inventories		14,542
Prepaid expenses and other current assets		34,741
Total current assets of discontinued operations		354,926
Long-term Assets
Property and equipment, net		37,152
Operating lease right-of-use assets		31,040
Goodwill		158,183
Intangible assets, net		5,299
Other assets		49,278
Total long-term assets of discontinued operations		280,952
Total assets of discontinued operations		635,878
Current Liabilities:
Accounts payable		41,512
Accrued expenses and other current liabilities		100,189
Contract liabilities		127,012
Total current liabilities of discontinued operations		268,713
Long-term Liabilities
Long-term contract liabilities		22,037
Operating lease liabilities		23,174
Other liabilities		12,907
Total long-term liabilities of discontinued operations		58,118
Total liabilities of discontinued operations		$ 326,831

REVENUE RECOGNITION - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 31, 2021	Jul. 31, 2020	Jul. 31, 2021	Jul. 31, 2020
Disaggregation of Revenue [Line Items]
Revenue	$ 214,617	$ 204,080	$ 415,521	$ 389,945
Current period revenue recognized from beginning balance of contract liabilities			$ 171,000	$ 161,900
Accounts Receivable \| Customer Concentration Risk \| Largest Customer
Disaggregation of Revenue [Line Items]
Concentration Risk, Percentage			17.00%	14.00%
Contract assets \| Customer Concentration Risk \| Largest Customer
Disaggregation of Revenue [Line Items]
Concentration Risk, Percentage			17.00%	14.00%
Unbundled SaaS revenue
Disaggregation of Revenue [Line Items]
Revenue	$ 33,444	12,411	$ 57,727	$ 19,906
Unbundled SaaS revenue \| Revision of Prior Period, Adjustment
Disaggregation of Revenue [Line Items]
Revenue		$ 2,300		$ 4,300
Minimum
Disaggregation of Revenue [Line Items]
Unbundled contracts renewal term			1 year
Maximum
Disaggregation of Revenue [Line Items]
Unbundled contracts renewal term			3 years

REVENUE RECOGNITION - Disaggregation of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 31, 2021	Jul. 31, 2020	Jul. 31, 2021	Jul. 31, 2020
Disaggregation of Revenue [Line Items]
Revenue	$ 214,617	$ 204,080	$ 415,521	$ 389,945
Bundled SaaS revenue
Disaggregation of Revenue [Line Items]
Revenue	42,940	35,818	82,249	69,211
Unbundled SaaS revenue
Disaggregation of Revenue [Line Items]
Revenue	33,444	12,411	57,727	19,906
Optional managed services revenue
Disaggregation of Revenue [Line Items]
Revenue	16,872	14,328	33,330	28,460
Total cloud revenue
Disaggregation of Revenue [Line Items]
Revenue	93,256	62,557	173,306	117,577
Support revenue
Disaggregation of Revenue [Line Items]
Revenue	62,922	76,710	127,325	150,760
Recurring
Disaggregation of Revenue [Line Items]
Revenue	156,178	139,267	300,631	268,337
Perpetual revenue
Disaggregation of Revenue [Line Items]
Revenue	32,349	35,829	61,672	64,354
Professional services revenue
Disaggregation of Revenue [Line Items]
Revenue	26,090	28,984	53,218	57,254
Nonrecurring
Disaggregation of Revenue [Line Items]
Revenue	$ 58,439	$ 64,813	$ 114,890	$ 121,608

REVENUE RECOGNITION - Contract Balances (Details) - USD ($) $ in Thousands	Jul. 31, 2021	Jan. 31, 2021
Revenue from Contract with Customer [Abstract]
Accounts receivable, net	$ 150,242	$ 206,157
Contract assets, net	38,081	36,716
Long-term contract assets, net (included in other assets)	27,817	17,210
Contract liabilities	228,040	261,033
Long-term contract liabilities	$ 16,571	$ 16,502

REVENUE RECOGNITION - Remaining Performance Obligations (Details) - USD ($) $ in Thousands	Jul. 31, 2021	Jan. 31, 2021
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations	$ 626,822	$ 635,665
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-02-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue performance obligation, period (up to)		1 year
Remaining performance obligations		$ 405,714
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-08-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue performance obligation, period (up to)	1 year
Remaining performance obligations	$ 378,422
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-08-01 \| Maximum
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue performance obligation, period (up to)	3 years
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-02-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue performance obligation, period (up to)
Remaining performance obligations		$ 229,951
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-08-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue performance obligation, period (up to)
Remaining performance obligations	$ 248,400

NET (LOSS) INCOME PER COMMON SHARE ATTRIBUTABLE TO VERINT SYSTEMS INC. - Calculation of Basic And Diluted Net Income Per Common Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended				6 Months Ended
	Jul. 31, 2021	Apr. 30, 2021	Jul. 31, 2020	Apr. 30, 2020	Jul. 31, 2021	Jul. 31, 2020
Net Income Attributable to Verint Systems Inc. [Abstract]
Net income (loss) from continuing operations	$ 5,316		$ (9,370)		$ 6,410	$ (23,788)
Net income from discontinued operations	0		19,957		0	30,400
Net income	5,316	$ 1,094	10,587	$ (3,975)	6,410	6,612
Net income attributable to Verint Systems Inc.	5,000		8,494		5,799	2,480
Dividends on preferred stock	(5,200)		(2,484)		(8,522)	(2,484)
Net (loss) income attributable to Verint Systems Inc. for basic net income per common share	(200)		6,010		(2,723)	(4)
Dilutive effect of dividends on preferred stock	0		0		0	0
Net (loss) income attributable to Verint Systems Inc. for diluted net income per common share	(200)		6,010		(2,723)	(4)
Net (loss) income attributable to Verint Systems Inc. common shares
Net loss from continuing operations attributable to Verint Systems Inc. common shares	(200)		(12,181)		(2,723)	(26,839)
Net income from discontinued operations attributable to Verint Systems Inc. common shares	$ 0		$ 18,191		$ 0	$ 26,835
Weighted-average shares outstanding:
Basic (in shares)	65,194		64,954		65,417	64,670
Dilutive effect of employee equity award plans (in shares)	0		895		0	0
Dilutive effect of warrants (in shares)	0		0		0	0
Dilutive effect of assumed conversion of preferred stock (in shares)	0		0		0	0
Diluted (in shares)	65,194		65,849		65,417	64,670
Basic net (loss) income per common share attributable to Verint Systems Inc.:
Continuing operations (in dollars per share)	$ 0		$ (0.19)		$ (0.04)	$ (0.42)
Discontinued operations (in dollars per share)	0		0.28		0	0.42
Total basic net (loss) income per common share attributable to Verint Systems Inc. (in dollars per share)	0		0.09		(0.04)	0
Diluted net (loss) income per common share attributable to Verint Systems Inc.:
Continuing operations (in dollars per share)	0		(0.18)		(0.04)	(0.42)
Discontinued operations (in dollars per share)	0		0.27		0	0.42
Total diluted net (loss) income per common share attributable to Verint Systems Inc. (in dollars per share)	$ 0		$ 0.09		$ (0.04)	$ 0
2021 Notes
Weighted-average shares outstanding:
Dilutive effect of convertible senior notes (in shares)	0		0		0	0
2014 Notes
Weighted-average shares outstanding:
Dilutive effect of convertible senior notes (in shares)	0		0		0	0
Continuing Operations
Net Income Attributable to Verint Systems Inc. [Abstract]
Net income attributable to noncontrolling interests	$ 316		$ 327		$ 611	$ 567
Discontinued Operations
Net Income Attributable to Verint Systems Inc. [Abstract]
Net income attributable to noncontrolling interests	$ 0		$ 1,766		$ 0	$ 3,565

NET (LOSS) INCOME PER COMMON SHARE ATTRIBUTABLE TO VERINT SYSTEMS INC. - Schedule of Anti-dilutive Securities (Details) - shares shares in Thousands	3 Months Ended		6 Months Ended
	Jul. 31, 2021	Jul. 31, 2020	Jul. 31, 2021	Jul. 31, 2020
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)	2,209	392	2,034	1,329
2021 Notes
Antidilutive Securities Excluded from Computation of Earnings Per Share
Antidilutive securities excluded from computation of earnings per share, (in shares)	5,074	0	3,196	0
2014 Notes
Antidilutive Securities Excluded from Computation of Earnings Per Share
Antidilutive securities excluded from computation of earnings per share, (in shares)	9,541	6,137	9,541	6,171
Warrants
Antidilutive Securities Excluded from Computation of Earnings Per Share
Antidilutive securities excluded from computation of earnings per share, (in shares)	9,865	6,205	9,865	6,205
Series A Preferred Stock
Antidilutive Securities Excluded from Computation of Earnings Per Share
Antidilutive securities excluded from computation of earnings per share, (in shares)	5,498	3,495	5,498	1,747
Series B Preferred Stock
Antidilutive Securities Excluded from Computation of Earnings Per Share
Antidilutive securities excluded from computation of earnings per share, (in shares)	3,980	0	2,573	0

NET (LOSS) INCOME PER COMMON SHARE ATTRIBUTABLE TO VERINT SYSTEMS INC. - Additional Information (Details) - USD ($) $ / shares in Units, shares in Thousands	Apr. 06, 2021	May 07, 2020	Dec. 04, 2019	Jul. 31, 2021	Apr. 09, 2021	Feb. 01, 2021	Jan. 31, 2021	Jun. 18, 2014
Class of Stock [Line Items]
Capped calls, initial cap price (in dollars per share)	$ 100.00
Convertible Preferred Stock
Class of Stock [Line Items]
Sale of stock, consideration received on transaction			$ 400,000,000
Series A Preferred Stock \| Series A Private Placement
Class of Stock [Line Items]
Sale of stock, consideration received on transaction		$ 200,000,000
Series B Preferred Stock \| Series B Private Placement
Class of Stock [Line Items]
Sale of stock, consideration received on transaction	$ 200,000,000
2021 Notes
Class of Stock [Line Items]
Convertible debt, conversion price (in dollars per share)					$ 62.08
Capped calls, initial cap price (in dollars per share)				$ 100.00
2014 Notes
Class of Stock [Line Items]
Convertible debt, conversion price (in dollars per share)						$ 40.55	$ 64.46
Exercise price of warrants (in dollars per share)						$ 47.18		$ 75.00
Number of shares of common stock upon conversion						9,541	6,002
Warrants, number of underlying common shares (in shares)						9,865		6,205

CASH, CASH EQUIVALENTS, AND SHORT-TERM INVESTMENTS (Details) - USD ($) $ in Thousands	6 Months Ended
	Jul. 31, 2021	Jul. 31, 2020	Jan. 31, 2021
Schedule of Available-for-sale Securities
Cash and cash equivalents, cost basis	$ 320,439	$ 731,101	$ 585,273
Cash and cash equivalents, fair value	320,439		585,273
Maturities and sales of investments	45,640	$ 9,000
Bank time deposits
Schedule of Available-for-sale Securities
Cost Basis	666		46,300
Gross Unrealized Gains	0		0
Gross Unrealized Losses	0		0
Estimated Fair Value	666		46,300
Total short-term investments
Schedule of Available-for-sale Securities
Cost Basis	666		46,300
Gross Unrealized Gains	0		0
Gross Unrealized Losses	0		0
Estimated Fair Value	666		46,300
Cash and bank time deposits
Schedule of Available-for-sale Securities
Cash and cash equivalents, cost basis	208,412		243,183
Cash and cash equivalents, fair value	208,412		243,183
Money market funds
Schedule of Available-for-sale Securities
Cash and cash equivalents, cost basis	112,027		342,090
Cash and cash equivalents, fair value	$ 112,027		$ 342,090

INTANGIBLE ASSETS AND GOODWILL - Schedule of Acquisition-Related Intangible Assets (Details) - USD ($) $ in Thousands	Jul. 31, 2021	Jan. 31, 2021
Acquired Finite-Lived Intangible Assets [Line Items]
Cost	$ 699,444	$ 698,490
Accumulated Amortization	(575,910)	(554,746)
Net	123,534	143,744
Customer relationships
Acquired Finite-Lived Intangible Assets [Line Items]
Cost	467,597	464,586
Accumulated Amortization	(371,197)	(356,064)
Net	96,400	108,522
Acquired technology
Acquired Finite-Lived Intangible Assets [Line Items]
Cost	222,373	222,040
Accumulated Amortization	(197,325)	(189,687)
Net	25,048	32,353
Trade names
Acquired Finite-Lived Intangible Assets [Line Items]
Cost	7,034	9,424
Accumulated Amortization	(4,948)	(6,555)
Net	2,086	2,869
Distribution network
Acquired Finite-Lived Intangible Assets [Line Items]
Cost	2,440	2,440
Accumulated Amortization	(2,440)	(2,440)
Net	$ 0	$ 0

INTANGIBLE ASSETS AND GOODWILL - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jul. 31, 2021	Jul. 31, 2020	Jul. 31, 2021	Jul. 31, 2020
Goodwill and Intangible Assets Disclosure [Abstract]
Amortization of intangible assets	$ 11.8	$ 11.9	$ 23.5	$ 24.0

INTANGIBLE ASSETS AND GOODWILL - Schedule of Estimated Future Amortization Expense on Finite-lived Acquisition-related Intangible Assets (Details) - USD ($) $ in Thousands	Jul. 31, 2021	Jan. 31, 2021
Goodwill and Intangible Assets Disclosure [Abstract]
2022 (remainder of year)	$ 21,918
2023	37,665
2024	28,572
2025	11,741
2026	10,409
2027 and thereafter	13,229
Net	$ 123,534	$ 143,744

INTANGIBLE ASSETS AND GOODWILL - Goodwill Activity (Details) - USD ($) $ in Thousands	6 Months Ended
	Jul. 31, 2021	Jan. 31, 2021
Goodwill [Roll Forward]
Goodwill, gross at the beginning of the period	$ 1,391,859	$ 1,383,450
Accumulated impairment losses	(56,043)	$ (56,043)
Goodwill, net at the beginning of the period	1,327,407
Business combination	4,432
Foreign currency translation and other	3,977
Goodwill, net, at the end of the period	$ 1,335,816

LONG-TERM DEBT - Schedule of Long-Term Debt (Details) - USD ($) $ in Thousands	Jul. 31, 2021	Apr. 30, 2021	Jan. 31, 2021
Debt Instrument [Line Items]
Less: unamortized debt discounts and issuance costs	$ (9,127)		$ (7,518)
Total debt	405,873		789,494
Less: current maturities	0		386,713
Long-term debt	405,873		402,781
2021 Notes
Debt Instrument [Line Items]
Long-term debt outstanding	315,000		0
2014 Notes
Debt Instrument [Line Items]
Long-term debt outstanding	0		386,887
2017 Term Loan
Debt Instrument [Line Items]
Long-term debt outstanding	$ 100,000	$ 100,000	$ 410,125

- Definition

Amount, after unamortized (discount) premium and debt issuance costs, of long-term debt. Includes, but not limited to, notes payable, bonds payable, debentures, mortgage loans and commercial paper. Excludes capital lease obligations.

+ References + Details

LONG-TERM DEBT - 2021 Notes (Details)		4 Months Ended	6 Months Ended
LONG-TERM DEBT - 2021 Notes (Details)	Apr. 06, 2021 USD ($)	Jul. 31, 2021 USD ($)	Jul. 31, 2021 USD ($)	Jul. 31, 2020 USD ($)	Apr. 09, 2021 USD ($) $ / shares
Debt Instrument [Line Items]
Payments of debt issuance costs			$ 10,531,000	$ 2,207,000
Series B Preferred Stock \| Series B Private Placement
Debt Instrument [Line Items]
Sale of stock, consideration received on transaction	$ 200,000,000
2021 Notes
Debt Instrument [Line Items]
Debt principal amount					$ 315,000,000
Coupon interest rate					0.25%
Convertible debt, conversion ratio	0.0161092
Convertible debt, conversion price (in dollars per share) \| $ / shares					$ 62.08
Payments of debt issuance costs		$ 8,900,000
Effective interest rate (as a percent)		0.83%	0.83%

LONG-TERM DEBT - 2014 Notes (Details) $ / shares in Units, shares in Thousands					3 Months Ended		6 Months Ended
	Jun. 01, 2021 USD ($)	Feb. 01, 2021 USD ($) $ / shares shares	Jan. 31, 2021 USD ($) $ / shares shares	Jun. 18, 2014 USD ($)	Jul. 31, 2021 USD ($)	Jul. 31, 2020 USD ($)	Jul. 31, 2021 USD ($)	Jul. 31, 2020 USD ($)	Apr. 30, 2021 USD ($)	Feb. 26, 2021 USD ($)	Apr. 30, 2020 USD ($)	Jan. 31, 2020 USD ($)
Debt Instrument [Line Items]
Payment for debt extinguishment, principal							$ 386,887,000	$ 0
Equity component of currently redeemable convertible notes			$ 4,841,000		$ 0		0
Losses on early retirements of debt					0	$ 143,000	2,474,000	143,000
Reacquisition of equity component from convertible notes repurchases, net of taxes						218,000
Increase (decrease) to stockholders' equity			1,282,564,000		944,668,000	1,235,502,000	944,668,000	1,235,502,000	$ 929,648,000		$ 1,192,906,000	$ 1,242,437,000
Decrease to temporary equity			(205,469,000)		(436,321,000)		(436,321,000)
Increase to current maturities of long-term debt			386,713,000		0		0
Additional Paid-in Capital
Debt Instrument [Line Items]
Reacquisition of equity component from convertible notes repurchases, net of taxes						218,000
Increase (decrease) to stockholders' equity			1,726,166,000		1,342,130,000	1,689,388,000	1,342,130,000	1,689,388,000	1,333,312,000		1,677,775,000	1,660,889,000
Accumulated Deficit
Debt Instrument [Line Items]
Increase (decrease) to stockholders' equity			(113,797,000)		$ (63,123,000)	(104,050,000)	$ (63,123,000)	(104,050,000)	$ (68,123,000)		$ (112,544,000)	(105,590,000)
Cumulative Effect, Period of Adoption, Adjustment
Debt Instrument [Line Items]
Increase (decrease) to stockholders' equity			1,430,000									(940,000)
Decrease to temporary equity		$ 4,800,000
Increase to current maturities of long-term debt		4,400,000
Decrease to deferred tax liabilities		900,000
Increase to debt issuance costs		100,000
Cumulative Effect, Period of Adoption, Adjustment \| Additional Paid-in Capital
Debt Instrument [Line Items]
Increase (decrease) to stockholders' equity		(43,400,000)	(43,445,000)
Cumulative Effect, Period of Adoption, Adjustment \| Accumulated Deficit
Debt Instrument [Line Items]
Increase (decrease) to stockholders' equity		$ 44,900,000	$ 44,875,000									$ (940,000)
2014 Notes
Debt Instrument [Line Items]
Debt principal amount				$ 400,000,000
Coupon interest rate				1.50%	1.50%		1.50%
Proceeds from issuance of convertible notes, net of underwriting discounts				$ 391,900,000
Escrow deposit										$ 390,000,000
Payment for debt extinguishment	$ 389,800,000
Payment for debt extinguishment, principal	386,900,000
Payment for debt extinguishment, interest	2,900,000
Incremental conversion value	$ 57,700,000
Convertible debt, conversion ratio		0.0246622	0.0155129
Convertible debt, conversion price (in dollars per share) \| $ / shares		$ 40.55	$ 64.46
Number of shares of common stock upon conversion \| shares		9,541	6,002
Carrying value of debt component				319,900,000
Equity component of currently redeemable convertible notes				$ 80,100,000
Assumed nonconvertible borrowing rate				5.00%
Debt component of convertible note issuance costs				$ 7,600,000
Adjustment to additional paid in capital debt issuance cost				$ 1,900,000
Repurchased amount in cash						13,100,000		13,100,000
Principal amount - repurchased notes						13,000,000		$ 13,000,000
Losses on early retirements of debt						100,000
Reacquisition of equity component from convertible notes repurchases, net of taxes						$ 200,000
Equity component of convertible debt classified as temporary equity			$ 4,800,000
2014 Notes \| Cumulative Effect, Period of Adoption, Adjustment
Debt Instrument [Line Items]
Equity component of currently redeemable convertible notes			$ 78,000,000

LONG-TERM DEBT - Capped Calls, Note Hedges and Warrants (Details) - USD ($) $ / shares in Units, $ in Thousands				6 Months Ended
	Jun. 01, 2021	May 28, 2021	Apr. 06, 2021	Jul. 31, 2021	Jul. 31, 2020	Sep. 02, 2021	Feb. 01, 2021	Jun. 18, 2014
Debt Instrument [Line Items]
Capped calls, initial conversion price (in dollars per share)			$ 62.08
Capped calls, initial cap price (in dollars per share)			$ 100.00
Purchases of capped calls, net of taxes			$ 41,100	$ 41,060	$ 0
Subsequent Event
Debt Instrument [Line Items]
Warrants exercised (in shares)						0
2014 Notes
Debt Instrument [Line Items]
Exercise price of warrants (in dollars per share)							$ 47.18	$ 75.00
Note Hedges, number of shares with right to acquire from counterparties							9,865,000	6,205,000
Note Hedges, shares with right to acquire from counterparties, price (in dollars per share)							$ 40.55	$ 64.46
Payment for note hedges		$ 60,800
Note hedges, shares received upon settlement (in shares)	1,250,000
Note hedges, number of shares received pertaining to reimbursement	42,000
Warrants, number of underlying common shares (in shares)							9,865,000	6,205,000
Proceeds from issuance of warrants				$ 45,200
2014 Notes \| Subsequent Event
Debt Instrument [Line Items]
Warrants expired (in shares)						789,000
Warrants outstanding (in shares)						9,076,000

LONG-TERM DEBT - 2017 Credit Agreement (Details)	3 Months Ended	6 Months Ended
LONG-TERM DEBT - 2017 Credit Agreement (Details)	Apr. 30, 2021 USD ($)	Jul. 31, 2021 USD ($)	Apr. 09, 2021 USD ($)	Jan. 31, 2021 USD ($)	Jun. 29, 2017 USD ($)
2017 Credit Agreement
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing capacity					$ 725,000,000
2017 Term Loan
Debt Instrument [Line Items]
Debt face amount					425,000,000
Long-term debt outstanding	$ 100,000,000	$ 100,000,000		$ 410,125,000
Unamortized debt discount		200,000			$ 500,000
Required quarterly principal payment	1,100,000
Repayments of lines of credit	$ 309,000,000
Deferred debt issuance costs		$ 1,800,000
Interest rate at end of period (as a percent)		2.10%		2.14%
Effective interest rate (as a percent)		2.30%
2021 Revolving Credit Facility
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing capacity			$ 300,000,000
Consolidated total debt to consolidated EBITDA ratio		4.50

LONG-TERM DEBT - 2017 Credit Agreement Issuance and Amendment Costs (Details) - USD ($) $ in Thousands		1 Months Ended	6 Months Ended		12 Months Ended
	Jun. 29, 2017	Apr. 30, 2021	Jul. 31, 2021	Jul. 31, 2020	Jan. 31, 2018	Apr. 09, 2021	Apr. 06, 2021
Debt Instrument [Line Items]
Payments of debt issuance costs			$ 10,531	$ 2,207
2017 Credit Agreement
Debt Instrument [Line Items]
Payments of debt issuance costs	$ 6,800
Debt restructuring costs incurred during period					$ 2,100
Payments of debt restructuring costs					1,200
Deferred debt restructuring costs					900
2017 Term Loan
Debt Instrument [Line Items]
Payments of debt issuance costs	4,100
Write off of deferred debt issuance cost					200
Deferred debt restructuring costs					500
Deferred debt issuance costs			1,800
2017 Revolving Credit Facility
Debt Instrument [Line Items]
Payments of debt issuance costs	$ 2,700
Write off of deferred debt issuance cost			$ 500
Deferred debt restructuring costs					$ 400
Deferred debt issuance costs						$ 1,300
Deferred debt issuance costs, associated with commitments							$ 800
2021 Revolving Credit Facility
Debt Instrument [Line Items]
Debt restructuring costs incurred during period		$ 1,500

LONG-TERM DEBT - Components of Interest Expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 31, 2021	Jul. 31, 2020	Jul. 31, 2021	Jul. 31, 2020	Apr. 09, 2021	Jun. 18, 2014
2021 Notes
Debt Instrument [Line Items]
Interest expense at coupon or contractual rate	$ 197	$ 0	$ 245	$ 0
Amortization of deferred debt issuance costs	437	0	542	0
Total interest expense	634	0	787	0
Coupon interest rate					0.25%
2014 Notes
Debt Instrument [Line Items]
Interest expense at coupon or contractual rate	482	1,486	1,933	2,986
Amortization of debt discounts	0	3,174	0	6,400
Amortization of deferred debt issuance costs	131	300	522	604
Total interest expense	$ 613	4,960	$ 2,455	9,990
Coupon interest rate	1.50%		1.50%			1.50%
2017 Credit Agreement
Debt Instrument [Line Items]
Interest expense at coupon or contractual rate	$ 537	3,463	$ 2,297	7,976
Impact of interest rate swap reclassified from accumulated other comprehensive loss	0	1,121	1,014	1,712
Amortization of debt discounts	5	19	8	37
Amortization of deferred debt issuance costs	223	439	495	830
Total interest expense	$ 765	$ 5,042	$ 3,814	$ 10,555

LONG-TERM DEBT - Additional Information (Details) - USD ($) $ in Thousands			6 Months Ended
	Apr. 13, 2021	May 01, 2020	Jul. 31, 2021	Jul. 31, 2020
Debt Instrument [Line Items]
Payments for derivative instrument			$ 16,502	$ 0
Deferred tax asset reclassified upon derivative settlement			$ 3,700
2018 Interest Rate Swap
Debt Instrument [Line Items]
Payments for derivative instrument	$ 16,500
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), Reclassification, before Tax	$ 15,700	$ 20,400

SUPPLEMENTAL CONDENSED CONSOLIDATED FINANCIAL STATEMENT INFORMATION - Inventories (Details) - USD ($) $ in Thousands	Jul. 31, 2021	Jan. 31, 2021
Condensed Financial Information Disclosure [Abstract]
Raw materials	$ 1,733	$ 2,768
Work-in-process	91	26
Finished goods	3,601	2,747
Total inventories	$ 5,425	$ 5,541

SUPPLEMENTAL CONDENSED CONSOLIDATED FINANCIAL STATEMENT INFORMATION - Other Income (Expense), net (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 31, 2021	Jul. 31, 2020	Jul. 31, 2021	Jul. 31, 2020
Condensed Financial Information Disclosure [Abstract]
Foreign currency (losses) gains, net	$ (463)	$ 1,951	$ (1,004)	$ 153
Gains (losses) on derivative financial instruments, net	0	137	(14,374)	137
Change in fair value of future tranche right	0	(13,610)	15,810	(13,610)
Other, net	619	(1,232)	3,774	(1,256)
Total other income (expense), net	$ 156	$ (12,754)	$ 4,206	$ (14,576)

SUPPLEMENTAL CONDENSED CONSOLIDATED FINANCIAL STATEMENT INFORMATION - Supplemental Information Regarding Condensed Consolidated Cash Flows (Details) - USD ($) $ in Thousands	6 Months Ended
	Jul. 31, 2021	Jul. 31, 2020
Condensed Financial Information Disclosure [Abstract]
Cash paid for interest	$ 8,190	$ 14,006
Cash payments of income taxes, net	30,157	13,153
Cash payments for operating leases	10,236	10,453
Series A Preferred Stock dividends declared	0	1,589
Finance leases of property and equipment	2,150	841
Liabilities for contingent consideration in business combinations	900	0
Accrued but unpaid purchases of property and equipment	2,297	247
Settlement of Future Tranche Right upon issuance of Series B Preferred Stock	36,962	0
Settlement of convertible note premium in common stock	59,131	0
Receipt of common stock from the counterparties under the Note Hedges	$ 59,651	$ 0

CONVERTIBLE PREFERRED STOCK - Additional Information (Details) - USD ($)	Apr. 06, 2021	May 07, 2020	Dec. 04, 2019
Convertible Preferred Stock
Subsidiary, Sale of Stock [Line Items]
Sale of stock, consideration received on transaction			$ 400,000,000
Series A Preferred Stock \| Series A Private Placement
Subsidiary, Sale of Stock [Line Items]
Sale of stock, consideration received on transaction		$ 200,000,000
Sale of stock, number of shares issued (in shares)		200,000
Sale of stock, price per share (in dollars per share)		$ 1,000
Sale of stock, direct and indirect costs		$ 2,700,000
Series B Preferred Stock \| Series B Private Placement
Subsidiary, Sale of Stock [Line Items]
Sale of stock, consideration received on transaction	$ 200,000,000
Sale of stock, number of shares issued (in shares)	200,000
Sale of stock, price per share (in dollars per share)	$ 1,000
Sale of stock, direct and indirect costs	$ 1,300,000

CONVERTIBLE PREFERRED STOCK - Voting Rights (Details)	Dec. 04, 2019
Equity [Abstract]
Holders of preferred stock voting rights, as percentage of voting power of common stock outstanding	19.90%

CONVERTIBLE PREFERRED STOCK - Dividends and Liquidation Rights (Details) - USD ($)		3 Months Ended		6 Months Ended		12 Months Ended
	May 07, 2020	Jul. 31, 2021	Jul. 31, 2020	Jul. 31, 2021	Jul. 31, 2020	Jan. 31, 2021	Dec. 04, 2019
Subsidiary, Sale of Stock [Line Items]
Holders of preferred stock voting rights, as percentage of voting power of common stock outstanding							19.90%
Payments of preferred stock dividends		$ 7,700,000		$ 12,856,000	$ 0	$ 5,200,000
Preferred stock dividends, unpaid and undeclared		1,700,000		1,700,000
Accrued dividends		0		0
Dividends on preferred stock		$ 5,200,000	$ 2,484,000	$ 8,522,000	$ 2,484,000
Preferred Stock
Subsidiary, Sale of Stock [Line Items]
Preferred stock, liquidation preference (in dollars per share)	$ 1,000
Preferred stock, dividend payment terms, period	48 months
Preferred Stock \| Minimum
Subsidiary, Sale of Stock [Line Items]
Preferred stock, dividend rate, increase percentage each year	1.00%
Preferred Stock \| Maximum
Subsidiary, Sale of Stock [Line Items]
Preferred stock, dividend rate, increase percentage each year	10.00%
Preferred Stock \| Dividend for the first 48-month anniversary of closing date
Subsidiary, Sale of Stock [Line Items]
Preferred stock, dividend rate	5.20%
Preferred Stock \| Dividend after the first 48-month anniversary of closing date
Subsidiary, Sale of Stock [Line Items]
Preferred stock, dividend rate	4.00%
Preferred Stock \| Dividend increase term in the event
Subsidiary, Sale of Stock [Line Items]
Preferred stock, dividend rate	6.00%

CONVERTIBLE PREFERRED STOCK - Conversion (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions			6 Months Ended
	Apr. 06, 2021	May 07, 2020	Jul. 31, 2021	Feb. 01, 2021
Subsidiary, Sale of Stock [Line Items]
Common stock, consecutive trading days		45 days
Shares issuable upon conversion (in shares)			9.5
Convertible preferred stock, mandatory conversion term, period following close date with option to require all outstanding shares		36 months
Common stock, trading days		30 days
Convertible preferred stock, threshold percentage of conversion trigger		175.00%
Convertible preferred stock, period following closing date for redemption		72 months
Preferred stock, redemption price in percentage		100.00%
Internal rate of return		8.00%
Preferred stock dividends, unpaid and undeclared			$ 1.7
Apax
Subsidiary, Sale of Stock [Line Items]
Percentage ownership of outstanding shares			12.70%
Series A Preferred Stock
Subsidiary, Sale of Stock [Line Items]
Conversion price (in dollars per share)			$ 53.50	$ 36.38
Conversion premium			17.10%
Common stock, consecutive trading days		45 days
Convertible preferred stock, disposition term, number of months anniversary of consummation of Spin-Off		24 months
Preferred stock, liquidation preference			$ 200.0
Preferred stock dividends, unpaid and undeclared			0.9
Series A Preferred Stock \| Maximum
Subsidiary, Sale of Stock [Line Items]
Convertible preferred stock, disposition term, number of months anniversary of closing date		36 months
Series A Preferred Stock \| Minimum
Subsidiary, Sale of Stock [Line Items]
Convertible preferred stock, disposition term, number of months anniversary of closing date		12 months
Series B Preferred Stock
Subsidiary, Sale of Stock [Line Items]
Conversion price (in dollars per share)	$ 50.25
Conversion price, trading days	20 days
Preferred stock, liquidation preference			200.0
Preferred stock dividends, unpaid and undeclared			$ 0.9
Preferred Stock
Subsidiary, Sale of Stock [Line Items]
Preferred stock, redemption price in percentage		100.00%
Convertible preferred stock, redemption term		102 months

CONVERTIBLE PREFERRED STOCK - Future Tranche Right (Details) - USD ($) $ in Thousands		3 Months Ended			6 Months Ended
	Apr. 06, 2021	Jul. 31, 2021	Apr. 30, 2021	Jul. 31, 2020	Jul. 31, 2021	Jul. 31, 2020	Jan. 31, 2021	May 07, 2020
Subsidiary, Sale of Stock [Line Items]
Future tranche right, fair value								$ 3,400
Carrying value of preferred stock		$ 436,321			$ 436,321		$ 205,469
Change in fair value of future tranche right		$ 0		$ 13,610	$ (15,810)	$ 13,610
Series A Preferred Stock
Subsidiary, Sale of Stock [Line Items]
Carrying value of preferred stock								$ 203,400
Series B Preferred Stock
Subsidiary, Sale of Stock [Line Items]
Carrying value of preferred stock			$ 237,000
Change in fair value of future tranche right			15,800
Future tranche right			$ 37,000
Series B Preferred Stock \| Series B Private Placement
Subsidiary, Sale of Stock [Line Items]
Sale of stock, number of shares issued (in shares)	200,000

- Definition

+ References + Details

STOCKHOLDERS' EQUITY - Common Stock Dividends (Details) - USD ($)			6 Months Ended
	Feb. 01, 2021	Feb. 01, 2020	Jul. 31, 2021	Jul. 31, 2020
Equity [Abstract]
Dividends on common stock			$ 0	$ 0
Spin-off transaction, number of shares received (in shares)	1	1

STOCKHOLDERS' EQUITY - Stock Repurchase Programs (Details) - USD ($)	3 Months Ended			6 Months Ended		12 Months Ended
	Jul. 31, 2021	Apr. 30, 2021	Apr. 30, 2020	Jul. 31, 2021	Jul. 31, 2020	Jan. 31, 2021	Jan. 31, 2020	Dec. 04, 2019
Class of Stock [Line Items]
Treasury stock acquired	$ 12,000	$ 25,868,000	$ 33,990,000		$ 34,000,000
Number of common stock acquired (in shares)				1,602,000
Cost of common stock acquired				$ 75,500,000
2019 Share Repurchase Program
Class of Stock [Line Items]
Stock repurchase program, authorized amount								$ 300,000,000
Treasury stock acquired						$ 34,000,000	$ 116,100,000
2021 Share Repurchase Program
Class of Stock [Line Items]
Number of common stock acquired (in shares)	0			1,600,000
Cost of common stock acquired				$ 75,400,000

STOCKHOLDERS' EQUITY - Treasury Stock (Details) - USD ($) $ / shares in Units, $ in Thousands		3 Months Ended			6 Months Ended
	Jun. 01, 2021	Jul. 31, 2021	Apr. 30, 2021	Apr. 30, 2020	Jul. 31, 2021	Jul. 31, 2020	Feb. 01, 2021	Jan. 31, 2021
Class of Stock [Line Items]
Number of common stock acquired (in shares)					1,602,000
Cost of common stock acquired					$ 75,500
Common stock repurchased and retired (in shares)					1,058,300
Common stock repurchased and retired			$ 49,581		$ 49,600
Settlement of conversion premium upon maturity of 2014 Notes		$ (8)
Treasury stock acquired (in shares)						613,000
Treasury stock acquired		$ 12	$ 25,868	$ 33,990		$ 34,000
Treasury stock, at cost (in shares)		4,990,000			4,990,000			4,404,000
Treasury stock, at cost		$ 234,524			$ 234,524			$ 208,124
2014 Notes
Class of Stock [Line Items]
Treasury stock reissued (in shares)	1,250,000
Convertible debt, conversion price (in dollars per share)							$ 40.55	$ 64.46
Treasury stock reissued, average cost per share (in dollars per share)		$ 47.30
Settlement of conversion premium upon maturity of 2014 Notes		$ 59,100
Note hedges, shares received upon settlement (in shares)	1,250,000
Debt instrument common stock value	$ 57,700
Note hedges, number of shares received pertaining to reimbursement	42,000
Note hedges common stock value pertaining to reimbursement	$ 2,000

STOCKHOLDERS' EQUITY - Issuance of Convertible Preferred Stock (Details) - USD ($)	Apr. 06, 2021	May 07, 2020	Dec. 04, 2019	Jul. 31, 2021
Apax
Class of Stock [Line Items]
Percentage ownership of outstanding shares				12.70%
Convertible Preferred Stock
Class of Stock [Line Items]
Sale of stock, consideration received on transaction			$ 400,000,000
Series A Preferred Stock \| Series A Private Placement
Class of Stock [Line Items]
Sale of stock, consideration received on transaction		$ 200,000,000
Series B Preferred Stock \| Series B Private Placement
Class of Stock [Line Items]
Sale of stock, consideration received on transaction	$ 200,000,000

STOCKHOLDERS' EQUITY - Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands			6 Months Ended
	Apr. 13, 2021	May 01, 2020	Jul. 31, 2021	Jul. 31, 2020
Class of Stock [Line Items]
Payments for derivative instrument			$ 16,502	$ 0
Deferred tax asset reclassified upon derivative settlement			$ 3,700
2018 Interest Rate Swap
Class of Stock [Line Items]
Payments for derivative instrument	$ 16,500
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), Reclassification, before Tax	$ 15,700	$ 20,400

STOCKHOLDERS' EQUITY - Summary of Components of Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands	3 Months Ended				6 Months Ended
	Jul. 31, 2021	Apr. 30, 2021	Jul. 31, 2020	Apr. 30, 2020	Jul. 31, 2021	Jul. 31, 2020
Activity in Accumulated Other Comprehensive Loss
Beginning balances	$ 929,648	$ 1,282,564	$ 1,192,906	$ 1,242,437	$ 1,282,564	$ 1,242,437
Distribution of Cognyte Software Ltd.		(277,412)
Other comprehensive income (loss)	1,663		20,799	(27,268)	34,370	(6,469)
Ending balances	944,668	929,648	1,235,502	1,192,906	944,668	1,235,502
Foreign Currency Translation Adjustments
Activity in Accumulated Other Comprehensive Loss
Beginning balances		(124,481)			(124,481)
Distribution of Cognyte Software Ltd.					17,682
Other comprehensive income before reclassifications					4,261
Amounts reclassified out of accumulated other comprehensive income (loss)					0
Amounts reclassified upon partial early retirement of the 2017 Term Loan					0
Other comprehensive income (loss)					21,943
Ending balances	(102,538)				(102,538)
AOCI Attributable to Parent
Activity in Accumulated Other Comprehensive Loss
Beginning balances	(104,171)	(136,878)	(178,774)	(151,865)	(136,878)	(151,865)
Distribution of Cognyte Software Ltd.		17,123			17,123
Other comprehensive income before reclassifications					4,312
Amounts reclassified out of accumulated other comprehensive income (loss)					(918)
Amounts reclassified upon partial early retirement of the 2017 Term Loan					(12,017)
Other comprehensive income (loss)	1,663		20,479	(26,909)	34,370
Ending balances	(102,508)	(104,171)	$ (158,295)	$ (178,774)	(102,508)	$ (158,295)
Unrealized Gains (Losses) on Foreign Exchange Contracts Designated as Hedges \| Unrealized gains (losses) on derivative financial instruments designated as hedges
Activity in Accumulated Other Comprehensive Loss
Beginning balances		634			634
Distribution of Cognyte Software Ltd.					(559)
Other comprehensive income before reclassifications					51
Amounts reclassified out of accumulated other comprehensive income (loss)					96
Amounts reclassified upon partial early retirement of the 2017 Term Loan					0
Other comprehensive income (loss)					(604)
Ending balances	30				30
Unrealized Loss on Interest Rate Swap Designated as Hedge \| Unrealized gains (losses) on derivative financial instruments designated as hedges
Activity in Accumulated Other Comprehensive Loss
Beginning balances		$ (13,031)			(13,031)
Distribution of Cognyte Software Ltd.					0
Other comprehensive income before reclassifications					0
Amounts reclassified out of accumulated other comprehensive income (loss)					(1,014)
Amounts reclassified upon partial early retirement of the 2017 Term Loan					(12,017)
Other comprehensive income (loss)					13,031
Ending balances	$ 0				$ 0

STOCKHOLDERS' EQUITY - Schedule of Amounts Reclassified Out of Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands	3 Months Ended				6 Months Ended
	Jul. 31, 2021	Apr. 30, 2021	Jul. 31, 2020	Apr. 30, 2020	Jul. 31, 2021	Jul. 31, 2020
Reclassifications Out of Accumulated Other Comprehensive Income (Loss)
Research and development, net	$ (31,792)		$ (30,148)		$ (60,940)	$ (62,560)
Selling, general and administrative	(91,376)		(77,739)		(179,022)	(154,566)
Interest expense	(2,199)		(10,123)		(7,218)	(20,812)
Income (loss) before provision of income taxes	9,517		(1,025)		10,539	(15,096)
Provision for income taxes	(4,201)		(8,345)		(4,129)	(8,692)
Net income	5,316	$ 1,094	10,587	$ (3,975)	6,410	6,612
Recurring
Reclassifications Out of Accumulated Other Comprehensive Income (Loss)
Cost of revenue	(37,636)		(32,936)		(75,712)	(67,864)
Nonrecurring
Reclassifications Out of Accumulated Other Comprehensive Income (Loss)
Cost of revenue	(30,505)		(29,776)		(60,385)	(61,395)
Foreign currency forward contracts \| Reclassification out of Accumulated Other Comprehensive Income
Reclassifications Out of Accumulated Other Comprehensive Income (Loss)
Research and development, net	7		0		72	0
Selling, general and administrative	3		0		31	0
Income (loss) before provision of income taxes	11		0		117	0
Provision for income taxes	(2)		0		(21)	0
Net income	9		0		96	0
Foreign currency forward contracts \| Recurring \| Reclassification out of Accumulated Other Comprehensive Income
Reclassifications Out of Accumulated Other Comprehensive Income (Loss)
Cost of revenue	0		0		1	0
Foreign currency forward contracts \| Nonrecurring \| Reclassification out of Accumulated Other Comprehensive Income
Reclassifications Out of Accumulated Other Comprehensive Income (Loss)
Cost of revenue	1		0		13	0
Interest rate swap agreement \| Reclassification out of Accumulated Other Comprehensive Income
Reclassifications Out of Accumulated Other Comprehensive Income (Loss)
Interest expense	0		(1,120)		(1,014)	(1,711)
Other income (expense), net	0		0		(15,655)	0
Income (loss) before provision of income taxes	0		(1,120)		(16,669)	(1,711)
Provision for income taxes	0		244		3,638	372
Net income	$ 0		$ (876)		$ (13,031)	$ (1,339)

INCOME TAXES (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
INCOME TAXES (Details) - USD ($) $ in Thousands	Jul. 31, 2021	Jul. 31, 2020	Jul. 31, 2021	Jul. 31, 2020	Jan. 31, 2021
Income Tax Disclosure [Abstract]
(Benefit from) provision for income taxes	$ 4,201	$ 8,345	$ 4,129	$ 8,692
Income (loss) before provision of income taxes	$ 9,517	$ (1,025)	$ 10,539	$ (15,096)
Effective income tax rate (as a percent)	44.10%	(814.10%)	39.20%	(57.60%)
Unrecognized tax benefits (excluding interest and penalties)	$ 85,400		$ 85,400		$ 84,800
Unrecognized tax benefits, income tax penalties and interest accrued	3,200		3,200		$ 3,000
Significant change in unrecognized tax benefits is reasonably possible, amount of unrecorded benefit	$ 1,600		$ 1,600

- Definition

Amount of income (loss) from continuing operations, including income (loss) from equity method investments, before deduction of income tax expense (benefit), and income (loss) attributable to noncontrolling interest.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 32
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 30
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8906-108599

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 32
-Subparagraph (f)
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599

Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 940
-SubTopic 20
-Section 25
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=123384075&loc=d3e41242-110953

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 22
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8736-108599

Reference 6: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section S99
-Paragraph 2
-Subparagraph (SX 210.5-03(10))
-URI http://asc.fasb.org/extlink&oid=123367319&loc=SL114868664-224227

Reference 7: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 220
-Section S99
-Paragraph 1
-Subparagraph (SX 210.7-04(8))
-URI http://asc.fasb.org/extlink&oid=120400993&loc=SL114874131-224263

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 942
-SubTopic 235
-Section S99
-Paragraph 1
-Subparagraph (SX 210.9-05(b)(2))
-URI http://asc.fasb.org/extlink&oid=120399901&loc=d3e537907-122884

Reference 9: http://www.xbrl.org/2003/role/exampleRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 31
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8924-108599

Reference 10: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 942
-SubTopic 220
-Section S99
-Paragraph 1
-Subparagraph (SX 210.9-04(15))
-URI http://asc.fasb.org/extlink&oid=120399700&loc=SL114874048-224260

+ Details

- Definition

Amount of current income tax expense (benefit) and deferred income tax expense (benefit) pertaining to continuing operations.

+ References + Details

FAIR VALUE MEASUREMENTS - Schedule of Assets and Liabilities Measured at Fair Value on Recurring Basis (Details) - Recurring - USD ($) $ in Thousands	Jul. 31, 2021	Jan. 31, 2021	Jul. 31, 2020
Level 1
Assets:
Money market funds	$ 112,027	$ 342,090
Foreign currency forward contracts	0	0
Contingent consideration receivable	0	0
Total assets	112,027	342,090
Liabilities:
Foreign currency forward contracts	0	0
Interest rate swap agreements		0
Future tranche right		0
Contingent consideration - business combinations	0	0
Option to acquire noncontrolling interests of consolidated subsidiaries	0	0
Total liabilities	0	0
Level 2
Assets:
Money market funds	0	0
Foreign currency forward contracts	37	136
Contingent consideration receivable	0	0
Total assets	37	136
Liabilities:
Foreign currency forward contracts	2	48
Interest rate swap agreements		17,881
Future tranche right		0
Contingent consideration - business combinations	0	0
Option to acquire noncontrolling interests of consolidated subsidiaries	0	0
Total liabilities	2	17,929
Level 3
Assets:
Money market funds	0	0
Foreign currency forward contracts	0	0
Contingent consideration receivable	398	565	$ 700
Total assets	398	565
Liabilities:
Foreign currency forward contracts	0	0
Interest rate swap agreements		0
Future tranche right		52,772
Contingent consideration - business combinations	7,632	15,704
Option to acquire noncontrolling interests of consolidated subsidiaries	3,500	3,250
Total liabilities	$ 11,132	$ 71,726

FAIR VALUE MEASUREMENTS - Additional Information (Details) $ in Thousands			1 Months Ended	6 Months Ended
	Apr. 13, 2021 USD ($)	May 01, 2020 USD ($)	Jan. 31, 2020	Jul. 31, 2021 USD ($) subsidiary	Jul. 31, 2020 USD ($)	Jan. 31, 2021 USD ($)
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Contingent consideration, measurement period			36 months
Number of majority owned subsidiaries acquired \| subsidiary				2
Payments for derivative instrument				$ 16,502	$ 0
Deferred tax asset reclassified upon derivative settlement				3,700
Noncontrollling equity investment in privately-held companies without readily determinable fair values				5,100		$ 2,000
Remeasured to fair value				4,400
Unrealized gain on noncontrolling equity investment				$ 3,100
Minimum \| Discount Rate
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Contingent consideration, liability, measurement input				0.024		0.033
Contingent consideration, asset, measurement input				0.022		0.033
Maximum \| Discount Rate
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Contingent consideration, liability, measurement input				0.026		0.038
Contingent consideration, asset, measurement input				0.028		0.040
Weighted Average \| Discount Rate
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Contingent consideration, liability, measurement input				0.025		0.035
Contingent consideration, asset, measurement input				0.025		0.037
2018 Interest Rate Swap
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Payments for derivative instrument	$ 16,500
Reclassification of cash flow hedge loss, before tax	$ 15,700	$ 20,400
Level 3 \| 2017 Term Loan
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Fair value of term loans				$ 99,000		$ 409,000
Level 2 \| 2014 Notes
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Fair values of notes						440,000
Level 2 \| 2021 Notes
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Fair values of notes				304,000
Recurring \| Level 3
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Contingent consideration receivable				398	$ 700	565
Contingent consideration payments received				100
Recurring \| Level 2
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Contingent consideration receivable				$ 0		$ 0
Option to Acquire Noncontrolling Interests \| Discount Rate
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Rights outstanding, measurement input				0.090		0.090

FAIR VALUE MEASUREMENTS - Schedule of Changes in the Estimated Fair Value of Future Tranche Right (Details) - Future Tranche Right - USD ($) $ in Thousands	6 Months Ended
	Jul. 31, 2021	Jul. 31, 2020
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	$ (52,772)	$ 0
Fair value of future tranche right upon issuance of the Series A Preferred Stock	0	3,374
Change in fair value, recorded in other income (expense), net	15,810	(13,610)
Reclassification of future tranche right liability upon settlement	36,962	0
Fair value measurement at the end of the period	$ 0	$ (10,236)

FAIR VALUE MEASUREMENTS - Schedule of Changes in the Estimated Fair Value of Contingent Consideration (Details) - Contingent consideration - USD ($) $ in Thousands	6 Months Ended
	Jul. 31, 2021	Jul. 31, 2020
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	$ 15,704	$ 31,367
Contingent consideration liabilities recorded for business combinations	900	0
Changes in fair values, recorded in operating expenses	636	(2,449)
Payments of contingent consideration	(9,560)	(13,980)
Foreign currency translation and other	(48)	226
Fair value measurement at the end of the period	$ 7,632	$ 15,164

FAIR VALUE MEASUREMENTS - Schedule of Changes in the Estimated Fair Value of Option to Acquire Noncontrolling Interests (Details) - Option to Acquire Noncontrolling Interests - USD ($) $ in Thousands	6 Months Ended
	Jul. 31, 2021	Jul. 31, 2020
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	$ 3,250	$ 2,900
Changes in fair values, recorded in operating expenses	250	150
Fair value measurement at the end of the period	$ 3,500	$ 3,050

FAIR VALUE MEASUREMENTS - Fair Value Measurement Inputs and Valuation Techniques (Details) - Level 3 - Recurring - Future Tranche Right	Apr. 06, 2021 $ / shares	May 07, 2020 $ / shares
Risk-free interest rate for preferred stock
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Rights outstanding, measurement input	0.0235	0.0131
Implied credit spread
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Rights outstanding, measurement input	0.0678	0.1078
Expected volatility
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Rights outstanding, measurement input	0.3000	0.3000
Verint common stock price
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Rights outstanding, measurement input	45.91	45.44

DERIVATIVE FINANCIAL INSTRUMENTS - Additional Information (Details) - USD ($) $ in Thousands			6 Months Ended
	Apr. 13, 2021	May 01, 2020	Jul. 31, 2021	Jul. 31, 2020	Jan. 31, 2021	Sep. 06, 2019
DERIVATIVE FINANCIAL INSTRUMENTS
Payments for derivative instrument			$ 16,502	$ 0
Unrealized gain on derivatives			(14,374)	$ 137
Deferred tax asset reclassified upon derivative settlement			$ 3,700
Foreign currency forward contracts
DERIVATIVE FINANCIAL INSTRUMENTS
Derivative, remaining maturity			12 months
Derivative - notional amount			$ 6,600		$ 6,600
2018 Interest Rate Swap
DERIVATIVE FINANCIAL INSTRUMENTS
Derivative - notional amount						$ 200,000
Derivative - fixed interest rate						2.949%
Derivative - index interest rate floor						0.00%
Reclassification of cash flow hedge loss, before tax	$ 15,700	$ 20,400
Reclassification of cash flow hedge loss, after tax		$ 16,000
Payments for derivative instrument	16,500
Unrealized gain on derivatives	$ 1,300

DERIVATIVE FINANCIAL INSTRUMENTS - Schedule of Fair Values of Derivative Financial Instruments (Details) - USD ($) $ in Thousands	Jul. 31, 2021	Jan. 31, 2021
Fair Values of Derivative Financial Instruments
Assets, fair value	$ 37	$ 136
Liabilities, fair value	2	17,929
Prepaid expenses and other current assets \| Foreign currency forward contracts \| Designated as cash flow hedges
Fair Values of Derivative Financial Instruments
Assets, fair value	37	136
Accrued expenses and other current liabilities \| Foreign currency forward contracts \| Designated as cash flow hedges
Fair Values of Derivative Financial Instruments
Liabilities, fair value	2	47
Accrued expenses and other current liabilities \| Foreign currency forward contracts \| Not designated as hedging instruments
Fair Values of Derivative Financial Instruments
Liabilities, fair value	0	1
Accrued expenses and other current liabilities \| Unrealized Loss on Interest Rate Swap Designated as Hedge \| Not designated as hedging instruments
Fair Values of Derivative Financial Instruments
Liabilities, fair value	0	4,316
Other liabilities \| Unrealized Loss on Interest Rate Swap Designated as Hedge \| Not designated as hedging instruments
Fair Values of Derivative Financial Instruments
Liabilities, fair value	$ 0	$ 13,565

DERIVATIVE FINANCIAL INSTRUMENTS - Schedule of the Effects of Derivative Financial Instruments Designated as Cash Flow Hedging Instruments (Details) - Cash flow hedging - Designated as cash flow hedges - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 31, 2021	Jul. 31, 2020	Jul. 31, 2021	Jul. 31, 2020
DERIVATIVE FINANCIAL INSTRUMENTS
Net (losses) gains recognized in other comprehensive income (loss)	$ 22	$ 16	$ 62	$ (7,527)
Reclassification of cash flow hedge gain (loss), before tax	11	(1,120)	(16,552)	(1,711)
Foreign currency forward contracts
DERIVATIVE FINANCIAL INSTRUMENTS
Net (losses) gains recognized in other comprehensive income (loss)	22	16	62	8
Reclassification of cash flow hedge gain (loss), before tax	11	0	117	0
Unrealized Loss on Interest Rate Swap Designated as Hedge
DERIVATIVE FINANCIAL INSTRUMENTS
Net (losses) gains recognized in other comprehensive income (loss)	0	0	0	(7,535)
Reclassification of cash flow hedge gain (loss), before tax	$ 0	$ (1,120)	$ (16,669)	$ (1,711)

DERIVATIVE FINANCIAL INSTRUMENTS - Schedule of Gains (Losses) Recognized on Derivative Financial Instruments Not Designated As Hedging Instruments (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 31, 2021	Jul. 31, 2020	Jul. 31, 2021	Jul. 31, 2020
DERIVATIVE FINANCIAL INSTRUMENTS
Gains (losses) on derivative financial instruments, net	$ 0	$ 137	$ (14,374)	$ 137
Not designated as hedging instruments \| Unrealized Loss on Interest Rate Swap Designated as Hedge
DERIVATIVE FINANCIAL INSTRUMENTS
Gains (losses) on derivative financial instruments, net	$ 0	$ 137	$ (14,374)	$ 137

STOCK-BASED COMPENSATION - Stock-Based Compensation Plan (Details)	Jul. 31, 2021 shares	Mar. 31, 2021 shares
Stock-Based Compensation Plans
Unvested awards conversion factor	1.45
2019 Long-Term Stock Incentive Plan
Stock-Based Compensation Plans
Share-based compensation arrangement by share-based payment award, number of shares authorized	9,475,000	14,239,656
Reduction of available plan capacity for each stock option or stock-settled stock appreciation right (in shares)	1
Reduction of available plan capacity for each other award (in shares)	2.38
Unvested awards conversion factor	1.45

STOCK-BASED COMPENSATION - Schedule of Stock-Based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 31, 2021	Jul. 31, 2020	Jul. 31, 2021	Jul. 31, 2020
Stock-Based Compensation Plans
Stock-based compensation	$ 18,093	$ 13,329	$ 34,494	$ 24,007
Cost of revenue - recurring
Stock-Based Compensation Plans
Stock-based compensation	562	472	991	737
Cost of revenue - nonrecurring
Stock-Based Compensation Plans
Stock-based compensation	864	685	1,697	957
Research and development, net
Stock-Based Compensation Plans
Stock-based compensation	2,027	1,496	3,800	2,669
Selling, general and administrative
Stock-Based Compensation Plans
Stock-based compensation	$ 14,640	$ 10,676	$ 28,006	$ 19,644

STOCK-BASED COMPENSATION - Schedule of Stock-Based Compensation Expense by Type of Award (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 31, 2021	Jul. 31, 2020	Jul. 31, 2021	Jul. 31, 2020
Stock-Based Compensation Plans
Stock-based compensation	$ 18,093	$ 13,329	$ 34,494	$ 24,007
Equity Settled Awards
Stock-Based Compensation Plans
Stock-based compensation	18,084	13,325	34,489	24,008
Equity Settled Awards \| Restricted stock units and restricted stock awards
Stock-Based Compensation Plans
Stock-based compensation	15,984	10,040	30,237	21,296
Equity Settled Awards \| Stock bonus program and bonus share program
Stock-Based Compensation Plans
Stock-based compensation	2,100	3,285	4,252	2,712
Cash Settled Awards \| Phantom stock units (cash-settled awards)
Stock-Based Compensation Plans
Stock-based compensation	$ 9	$ 4	$ 5	$ (1)

STOCK-BASED COMPENSATION - Restricted Stock Units (Details) $ / shares in Units, shares in Thousands, $ in Millions	6 Months Ended
	Jul. 31, 2021 USD ($) $ / shares shares	Jul. 31, 2020 $ / shares shares
Summary of award activity
Beginning balance (in shares)	2,950	1,879
Granted (in shares)	1,316	98
Released (in shares)	(1,283)	(889)
Forfeited (in shares)	(110)	(90)
Ending balance (in shares)	2,873	998
Weighted-Average Grant-Date Fair Value
Beginning balance (in dollars per share) \| $ / shares	$ 35.97	$ 52.96
Granted (in dollars per share) \| $ / shares	48.51	49.47
Released (in dollars per share) \| $ / shares	35.52	47.78
Forfeited (in dollars per share) \| $ / shares	39.00	52.59
Ending balance (in dollars per share) \| $ / shares	$ 41.81	$ 57.26
Additional disclosures
Unvested awards conversion factor	1.45
Restricted Stock Units (RSUs)
Summary of award activity
Granted (in shares)	1,104
Additional disclosures
Unrecognized compensation expense \| $	$ 87.3
Remaining weighted-average vesting period over which expense is expected to be recognized (in years)	1 year 9 months 18 days

STOCK-BASED COMPENSATION - Schedule of PSU Activity (Details) - shares shares in Thousands	6 Months Ended
	Jul. 31, 2021	Jul. 31, 2020
Summary of award activity
Beginning balance (in shares)	2,950	1,879
Granted (in shares)	1,316	98
Released (in shares)	(1,283)	(889)
Forfeited (in shares)	(110)	(90)
Ending balance (in shares)	2,873	998
Performance- based RSUs
Summary of award activity
Beginning balance (in shares)	635	423
Granted (in shares)	212	90
Released (in shares)	(270)	(180)
Forfeited (in shares)	(9)	(20)
Ending balance (in shares)	568	313

STOCK-BASED COMPENSATION - Stock Bonus Program (Details) - Stock Bonus Program - shares	1 Months Ended	6 Months Ended	12 Months Ended
	Mar. 31, 2021	Jul. 31, 2021	Jan. 31, 2021
Stock-Based Compensation Plans
Share-based compensation arrangement by share-based payment award, award vesting period		1 year
Share-based compensation arrangement by share-based payment award, determination of shares issuable trailing period of average price of common stock		5 days
Share-based compensation arrangement by share-based payment award, number of shares authorized	300,000		200,000
Discount from market price (as a percent)	15.00%		15.00%

STOCK-BASED COMPENSATION - Bonus Share Program (Details) - USD ($) $ in Millions	12 Months Ended
	Jan. 31, 2021	Jul. 31, 2021
Combined Stock Bonus Program and Bonus Share Program
Stock-Based Compensation Plans
Accrued bonuses		$ 4.2
Bonuses in respect of the year ended January 31, 2021 \| Bonus Share Program
Stock-Based Compensation Plans
Share-based compensation arrangement by share-based payment award, number of shares authorized	300,000
Number of shares issued under Bonus Share Program (in shares)	0
Bonuses in respect of the year ended January 31, 2022 \| Bonus Share Program
Stock-Based Compensation Plans
Share-based compensation arrangement by share-based payment award, number of shares authorized		300,000

COMMITMENTS AND CONTINGENCIES (Details)		6 Months Ended
COMMITMENTS AND CONTINGENCIES (Details)	Jun. 07, 2012 defendant	Jul. 31, 2021 USD ($)
Commitments and Contingencies Disclosure [Abstract]
Number of defendants \| defendant	3
Loss contingency, damages sought, value \| $		$ 150,000,000.0

SUBSEQUENT EVENT (Details) - Subsequent Event - Conversocial $ in Millions	Aug. 23, 2021 USD ($)
Subsequent Event [Line Items]
Payments to acquire business	$ 48.4
Business acquisition related costs	$ 1.1

Label	Element	Value
Accounting Standards Update [Extensible Enumeration]	us-gaap_AccountingStandardsUpdateExtensibleList	Accounting Standards Update 2016-13 [Member]

- Definition

Indicates amendment to accounting standards.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 65
-Paragraph 6
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=123597120&loc=SL121967933-165497

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 65
-Paragraph 6
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=123597120&loc=SL121967933-165497

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 718
-SubTopic 10
-Section 65
-Paragraph 15
-Subparagraph (f)(2)
-URI http://asc.fasb.org/extlink&oid=121322162&loc=SL121327923-165333

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 40
-Section 65
-Paragraph 1
-Subparagraph (e)(2)
-URI http://asc.fasb.org/extlink&oid=123482062&loc=SL123482106-238011

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 718
-SubTopic 10
-Section 65
-Paragraph 15
-Subparagraph (f)(1)
-URI http://asc.fasb.org/extlink&oid=121322162&loc=SL121327923-165333

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 40
-Section 65
-Paragraph 2
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=124501264&loc=SL117420844-207641

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 718
-SubTopic 10
-Section 65
-Paragraph 15
-Subparagraph (e)
-URI http://asc.fasb.org/extlink&oid=121322162&loc=SL121327923-165333

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 40
-Section 65
-Paragraph 1
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=123482062&loc=SL123482106-238011

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 40
-Section 65
-Paragraph 2
-Subparagraph (h)(2)
-URI http://asc.fasb.org/extlink&oid=124501264&loc=SL117420844-207641

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 40
-Section 65
-Paragraph 2
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=124501264&loc=SL117420844-207641

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 40
-Section 65
-Paragraph 1
-Subparagraph (d)
-URI http://asc.fasb.org/extlink&oid=123482062&loc=SL123482106-238011

Reference 12: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 65
-Paragraph 7
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=123597120&loc=SL122642865-165497

Reference 13: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section 50
-Paragraph 1
-Subparagraph (b)(2)
-URI http://asc.fasb.org/extlink&oid=124431687&loc=d3e22499-107794

Reference 14: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 65
-Paragraph 8
-Subparagraph (d)(3)
-URI http://asc.fasb.org/extlink&oid=123459177&loc=SL121830611-158277

Reference 15: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 65
-Paragraph 6
-Subparagraph (c)(2)
-URI http://asc.fasb.org/extlink&oid=123597120&loc=SL121967933-165497

Reference 16: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section 50
-Paragraph 1
-Subparagraph (b)(4)
-URI http://asc.fasb.org/extlink&oid=124431687&loc=d3e22499-107794

Reference 17: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 65
-Paragraph 6
-Subparagraph (c)(1)
-URI http://asc.fasb.org/extlink&oid=123597120&loc=SL121967933-165497

Reference 18: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section 50
-Paragraph 1
-Subparagraph (b)(3)
-URI http://asc.fasb.org/extlink&oid=124431687&loc=d3e22499-107794

Reference 19: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 65
-Paragraph 5
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=123597120&loc=SL120254526-165497

Reference 20: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 40
-Section 65
-Paragraph 1
-Subparagraph (b)(1)
-URI http://asc.fasb.org/extlink&oid=123482062&loc=SL123482106-238011

Reference 21: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 40
-Section 65
-Paragraph 2
-Subparagraph (g)(2)(iv)
-URI http://asc.fasb.org/extlink&oid=124501264&loc=SL117420844-207641

Reference 22: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 105
-SubTopic 10
-Section 65
-Paragraph 6
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=124434974&loc=SL124442142-165695

Reference 23: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 40
-Section 65
-Paragraph 2
-Subparagraph (g)(2)(iii)
-URI http://asc.fasb.org/extlink&oid=124501264&loc=SL117420844-207641

Reference 24: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 105
-SubTopic 10
-Section 65
-Paragraph 6
-Subparagraph (d)
-URI http://asc.fasb.org/extlink&oid=124434974&loc=SL124442142-165695

Reference 25: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 40
-Section 65
-Paragraph 1
-Subparagraph (b)(2)
-URI http://asc.fasb.org/extlink&oid=123482062&loc=SL123482106-238011

Reference 26: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 40
-Section 65
-Paragraph 2
-Subparagraph (h)(1)
-URI http://asc.fasb.org/extlink&oid=124501264&loc=SL117420844-207641

Reference 27: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section 50
-Paragraph 1
-Subparagraph (c)(2)
-URI http://asc.fasb.org/extlink&oid=124431687&loc=d3e22499-107794

Reference 28: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 326
-SubTopic 10
-Section 65
-Paragraph 4
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=122640432&loc=SL121648383-210437

Reference 29: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 40
-Section 65
-Paragraph 1
-Subparagraph (a)(2)
-URI http://asc.fasb.org/extlink&oid=123482062&loc=SL123482106-238011

Reference 30: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 65
-Paragraph 8
-Subparagraph (d)(2)
-URI http://asc.fasb.org/extlink&oid=123459177&loc=SL121830611-158277

Reference 31: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 326
-SubTopic 10
-Section 65
-Paragraph 4
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=122640432&loc=SL121648383-210437

Reference 32: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 40
-Section 65
-Paragraph 1
-Subparagraph (a)(3)
-URI http://asc.fasb.org/extlink&oid=123482062&loc=SL123482106-238011

Reference 33: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 40
-Section 65
-Paragraph 2
-Subparagraph (g)(2)(ii)
-URI http://asc.fasb.org/extlink&oid=124501264&loc=SL117420844-207641

Reference 34: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 105
-SubTopic 10
-Section 65
-Paragraph 6
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=124434974&loc=SL124442142-165695

Reference 35: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 40
-Section 65
-Paragraph 2
-Subparagraph (f)(2)
-URI http://asc.fasb.org/extlink&oid=124501264&loc=SL117420844-207641

Reference 36: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 848
-SubTopic 10
-Section 65
-Paragraph 1
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=122150657&loc=SL122150809-237846

Reference 37: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 40
-Section 65
-Paragraph 2
-Subparagraph (g)(1)
-URI http://asc.fasb.org/extlink&oid=124501264&loc=SL117420844-207641

Reference 38: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 65
-Paragraph 7
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=123597120&loc=SL122642865-165497

Reference 39: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S65
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=124359872&loc=SL124427846-239511

Reference 40: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 310
-SubTopic 20
-Section 65
-Paragraph 2
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=124402435&loc=SL124402458-218513

Reference 41: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 310
-SubTopic 20
-Section 65
-Paragraph 2
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=124402435&loc=SL124402458-218513

Reference 42: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 65
-Paragraph 5
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=123597120&loc=SL120254526-165497

Reference 43: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 40
-Section 65
-Paragraph 1
-Subparagraph (a)(1)
-URI http://asc.fasb.org/extlink&oid=123482062&loc=SL123482106-238011

Reference 44: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 326
-SubTopic 10
-Section 65
-Paragraph 4
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=122640432&loc=SL121648383-210437

Reference 45: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 40
-Section 65
-Paragraph 2
-Subparagraph (g)(2)(i)
-URI http://asc.fasb.org/extlink&oid=124501264&loc=SL117420844-207641

Reference 46: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 105
-SubTopic 10
-Section 65
-Paragraph 6
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=124434974&loc=SL124442142-165695

Reference 47: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 326
-SubTopic 10
-Section 65
-Paragraph 4
-Subparagraph (d)
-URI http://asc.fasb.org/extlink&oid=122640432&loc=SL121648383-210437

Reference 48: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 718
-SubTopic 10
-Section 65
-Paragraph 15
-Subparagraph (d)
-URI http://asc.fasb.org/extlink&oid=121322162&loc=SL121327923-165333

Reference 49: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 105
-SubTopic 10
-Section 65
-Paragraph 6
-Subparagraph (e)
-URI http://asc.fasb.org/extlink&oid=124434974&loc=SL124442142-165695

Reference 50: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 326
-SubTopic 10
-Section 65
-Paragraph 4
-Subparagraph (e)(3)
-URI http://asc.fasb.org/extlink&oid=122640432&loc=SL121648383-210437

Reference 51: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 718
-SubTopic 10
-Section 65
-Paragraph 15
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=121322162&loc=SL121327923-165333

Reference 52: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 40
-Section 65
-Paragraph 2
-Subparagraph (e)
-URI http://asc.fasb.org/extlink&oid=124501264&loc=SL117420844-207641

Reference 53: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 718
-SubTopic 10
-Section 65
-Paragraph 15
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=121322162&loc=SL121327923-165333

Reference 54: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 718
-SubTopic 10
-Section 65
-Paragraph 15
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=121322162&loc=SL121327923-165333

Reference 55: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 326
-SubTopic 10
-Section 65
-Paragraph 4
-Subparagraph (e)(4)
-URI http://asc.fasb.org/extlink&oid=122640432&loc=SL121648383-210437

Reference 56: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 718
-SubTopic 10
-Section 65
-Paragraph 15
-Subparagraph (g)(2)
-URI http://asc.fasb.org/extlink&oid=121322162&loc=SL121327923-165333

Reference 57: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 40
-Section 65
-Paragraph 1
-Subparagraph (e)(3)
-URI http://asc.fasb.org/extlink&oid=123482062&loc=SL123482106-238011

Reference 58: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 40
-Section 65
-Paragraph 2
-Subparagraph (f)(1)
-URI http://asc.fasb.org/extlink&oid=124501264&loc=SL117420844-207641

Reference 59: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 40
-Section 65
-Paragraph 1
-Subparagraph (e)(4)
-URI http://asc.fasb.org/extlink&oid=123482062&loc=SL123482106-238011

Reference 60: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 40
-Section 65
-Paragraph 1
-Subparagraph (f)
-URI http://asc.fasb.org/extlink&oid=123482062&loc=SL123482106-238011

Reference 61: http://www.xbrl.org/2003/role/disclosureRef
-Topic 848
-SubTopic 10
-Name Accounting Standards Codification
-Section 65
-Paragraph 2
-Publisher FASB
-Subparagraph (a)

Reference 62: http://www.xbrl.org/2003/role/disclosureRef
-Topic 848
-SubTopic 10
-Name Accounting Standards Codification
-Section 65
-Paragraph 2
-Publisher FASB
-Subparagraph (a)(1)

Reference 63: http://www.xbrl.org/2003/role/disclosureRef
-Topic 848
-SubTopic 10
-Name Accounting Standards Codification
-Section 65
-Paragraph 2
-Publisher FASB
-Subparagraph (a)(2)

Reference 64: http://www.xbrl.org/2003/role/disclosureRef
-Topic 848
-SubTopic 10
-Name Accounting Standards Codification
-Section 65
-Paragraph 2
-Publisher FASB
-Subparagraph (a)(3)(iii)(01)

Reference 65: http://www.xbrl.org/2003/role/disclosureRef
-Topic 848
-SubTopic 10
-Name Accounting Standards Codification
-Section 65
-Paragraph 2
-Publisher FASB
-Subparagraph (a)(3)(iii)(03)

+ Details