BRAZE, INC., 10-Q filed on 9/8/2023
Quarterly Report
v3.23.2
Cover - shares
 6 Months Ended
Jul. 31, 2023
Aug. 31, 2023
Document Information [Line Items]    
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Jul. 31, 2023  
Document Transition Report false  
Entity File Number 001-41065  
Entity Registrant Name Braze, Inc.  
Entity Incorporation, State or Country Code DE  
Entity Tax Identification Number 45-2505271  
Entity Address, Address Line One 330 West 34th Street  
Entity Address, Address Line Two Floor 18  
Entity Address, City or Town New York  
Entity Address, State or Province NY  
Entity Address, Postal Zip Code 10001  
City Area Code 609  
Local Phone Number 964-0585  
Title of 12(b) Security Class A Common Stock, par value $0.0001 per share  
Trading Symbol BRZE  
Security Exchange Name NASDAQ  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Central Index Key 0001676238  
Current Fiscal Year End Date --01-31  
Document Fiscal Year Focus 2024  
Document Fiscal Period Focus Q2  
Amendment Flag false  
Class A common stock    
Document Information [Line Items]    
Entity Common Stock, Shares Outstanding   67,197,707
Class B common stock    
Document Information [Line Items]    
Entity Common Stock, Shares Outstanding   31,669,159
v3.23.2
Condensed Consolidated Balance Sheets (Unaudited) - USD ($)
$ in Thousands
Jul. 31, 2023
Jan. 31, 2023
CURRENT ASSETS:    
Cash and cash equivalents $ 77,302 $ 68,587
Restricted cash, current 3,373 0
Accounts receivable, net of allowance of $2,414 and $1,613 at July 31, 2023 and January 31, 2023, respectively 70,133 78,338
Marketable securities 394,946 410,083
Prepaid expenses and other current assets 28,281 26,163
Total current assets 574,035 583,171
Restricted cash, noncurrent 530 4,036
Property and equipment, net 20,680 20,339
Operating lease right-of-use assets 45,375 46,261
Deferred contract costs 55,456 48,451
Goodwill 28,045 0
Intangible assets, net 4,122 500
Other assets 3,897 2,648
TOTAL ASSETS 732,140 705,406
CURRENT LIABILITIES:    
Accounts payable 1,882 3,101
Accrued expenses and other current liabilities 56,261 37,415
Deferred revenue 176,803 166,092
Operating lease liabilities, current 13,522 10,695
Total current liabilities 248,468 217,303
Operating lease liabilities, noncurrent 38,063 40,590
Other long-term liabilities 4,510 755
TOTAL LIABILITIES 291,041 258,648
COMMITMENTS AND CONTINGENCIES (Note 13)
Redeemable non-controlling interest (Note 4) 728 1,455
STOCKHOLDERS’ EQUITY    
Additional paid-in capital 870,313 806,044
Accumulated other comprehensive loss (5,877) (6,824)
Accumulated deficit (424,075) (353,927)
TOTAL STOCKHOLDERS’ EQUITY 440,371 445,303
TOTAL LIABILITIES, REDEEMABLE NON-CONTROLLING INTEREST, AND STOCKHOLDERS’ EQUITY 732,140 705,406
Class A common stock    
STOCKHOLDERS’ EQUITY    
Common stock 6 6
Class B common stock    
STOCKHOLDERS’ EQUITY    
Common stock $ 4 $ 4
v3.23.2
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($)
$ in Thousands
Jul. 31, 2023
Jan. 31, 2023
Allowance for doubtful accounts $ 2,414 $ 1,613
Class A common stock    
Common stock, par value (in dollars per share) $ 0.0001 $ 0.0001
Common stock, authorized (in shares) 2,000,000,000 2,000,000,000
Common stock, issued (in shares) 66,542,527 61,585,973
Common stock, outstanding (in shares) 66,542,527 61,585,973
Class B common stock    
Common stock, par value (in dollars per share) $ 0.0001 $ 0.0001
Common stock, authorized (in shares) 110,000,000 110,000,000
Common stock, issued (in shares) 31,687,453 34,389,453
Common stock, outstanding (in shares) 31,687,453 34,389,453
v3.23.2
Condensed Consolidated Statements of Operations (Unaudited) - USD ($)
shares in Thousands, $ in Thousands
 3 Months Ended 6 Months Ended
Jul. 31, 2023
Jul. 31, 2022
Jul. 31, 2023
Jul. 31, 2022
Income Statement [Abstract]        
Revenue $ 115,107 $ 86,131 $ 216,887 $ 163,626
Cost of revenue 35,474 27,352 68,161 53,258
Gross profit 79,633 58,779 148,726 110,368
Operating expenses:        
Sales and marketing 60,417 50,007 117,679 96,051
Research and development 29,132 23,336 58,877 44,956
General and administrative 25,453 20,543 49,436 44,117
Total operating expenses 115,002 93,886 225,992 185,124
Loss from operations (35,369) (35,107) (77,266) (74,756)
Other income, net 3,865 1,729 7,324 1,759
Loss before provision for income taxes (31,504) (33,378) (69,942) (72,997)
Provision for income taxes 545 35 933 49
Net loss (32,049) (33,413) (70,875) (73,046)
Net loss attributable to redeemable non-controlling interest (355) (527) (727) (891)
Net loss attributable to Braze, Inc. $ (31,694) $ (32,886) $ (70,148) $ (72,155)
Earnings Per Share        
Net loss per share attributable to Braze, Inc. common stockholders, basic (in dollars per share) $ (0.33) $ (0.35) $ (0.72) $ (0.77)
Net loss per share attributable to Braze, Inc. common stockholders, diluted (in dollars per share) $ (0.33) $ (0.35) $ (0.72) $ (0.77)
Weighted-Average Shares Outstanding        
Weighted-average shares used to compute net loss per share attributable to Braze, Inc. common stockholders, basic (in shares) 97,180 94,103 97,023 93,668
Weighted-average shares used to compute net loss per share attributable to Braze, Inc. common stockholders, diluted (in shares) 97,180 94,103 97,023 93,668
v3.23.2
Condensed Consolidated Statements of Comprehensive Loss (Unaudited) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 31, 2023
Jul. 31, 2022
Jul. 31, 2023
Jul. 31, 2022
Statement of Comprehensive Income [Abstract]        
Net loss $ (32,049) $ (33,413) $ (70,875) $ (73,046)
Other comprehensive loss:        
Change in foreign currency translation adjustments 130 (193) 196 (755)
Unrealized gains (losses) on marketable securities (696) (1,164) 751 (2,359)
Other comprehensive income (loss), net (566) (1,357) 947 (3,114)
Comprehensive loss, net (32,615) (34,770) (69,928) (76,160)
Less: comprehensive loss, net, attributable to redeemable non-controlling interest (355) (527) (727) (891)
Comprehensive loss attributable to Braze, Inc. $ (32,260) $ (34,243) $ (69,201) $ (75,269)
v3.23.2
Condensed Consolidated Statements of Convertible Preferred Stock, Redeemable Noncontrolling Interest and Stockholders' Equity (Deficit) (Unaudited) - USD ($)
$ in Thousands
Total
Class A and Class B Common Stock
Class A and Class B Common Stock
Common Class A And B
Additional Paid-in Capital
Accumulated Deficit
Accumulated Other Comprehensive Income (Loss)
Beginning balance at Jan. 31, 2022 $ 3,235          
Noncontrolling Interest [Roll Forward]            
Net loss attributable to redeemable non-controlling interest (891)          
Ending balance at Jul. 31, 2022 2,344          
Beginning balance (in shares) at Jan. 31, 2022     92,968,000      
Beginning balance at Jan. 31, 2022 501,583   $ 9 $ 717,175 $ (214,961) $ (640)
Increase (Decrease) in Stockholders' Equity [Roll Forward]            
Issuance of common stock for options exercised (in shares)     1,416,000      
Issuance of common stock for options exercised 5,411     5,411    
Vesting of early exercised options 82     82    
Vesting of restricted stock units (in shares)     238,000      
Repurchase of shares related to early exercised options (in shares)     (1,000)      
Stock-based compensation 34,484     34,484    
Other comprehensive income (3,114)         (3,114)
Charitable donation of stock (in shares)     96,000      
Charitable donation of stock 4,260     4,260    
Net Income (Loss) (72,155)       (72,155)  
Ending balance at Jul. 31, 2022 470,551 $ 9 $ 9 761,412 (287,116) (3,754)
Ending balance (in shares) at Jul. 31, 2022   94,717,000 94,717,000      
Beginning balance at Apr. 30, 2022 2,871          
Noncontrolling Interest [Roll Forward]            
Net loss attributable to redeemable non-controlling interest (527)          
Ending balance at Jul. 31, 2022 2,344          
Beginning balance (in shares) at Apr. 30, 2022     93,807,000      
Beginning balance at Apr. 30, 2022 484,673   $ 9 741,291 (254,230) (2,397)
Increase (Decrease) in Stockholders' Equity [Roll Forward]            
Issuance of common stock for options exercised (in shares)     750,000      
Issuance of common stock for options exercised 2,781     2,781    
Vesting of early exercised options 28     28    
Vesting of restricted stock units (in shares)     160,000      
Stock-based compensation 17,312     17,312    
Other comprehensive income (1,357)         (1,357)
Net Income (Loss) (32,886)       (32,886)  
Ending balance at Jul. 31, 2022 470,551 $ 9 $ 9 761,412 (287,116) (3,754)
Ending balance (in shares) at Jul. 31, 2022   94,717,000 94,717,000      
Beginning balance at Jan. 31, 2023 1,455          
Noncontrolling Interest [Roll Forward]            
Net loss attributable to redeemable non-controlling interest (727)          
Ending balance at Jul. 31, 2023 728          
Beginning balance (in shares) at Jan. 31, 2023     95,975,000      
Beginning balance at Jan. 31, 2023 445,303   $ 10 806,044 (353,927) (6,824)
Increase (Decrease) in Stockholders' Equity [Roll Forward]            
Issuance of common stock for options exercised (in shares)     1,249,000      
Issuance of common stock for options exercised 4,111     4,111    
Issuance of common stock under employee stock purchase plan (in shares)     128,000      
Issuance of common stock under employee stock purchase plan 3,222     3,222    
Vesting of restricted stock units (in shares)     656,000      
Stock-based compensation 49,972     49,972    
Other comprehensive income 947         947
Charitable donation of stock (in shares)     32,000      
Charitable donation of stock 964     964    
Issuance of common stock from acquisition (in shares)     190,000      
Issuance of common stock from acquisition 6,000     6,000    
Net Income (Loss) (70,148)       (70,148)  
Ending balance at Jul. 31, 2023 440,371   $ 10 870,313 (424,075) (5,877)
Ending balance (in shares) at Jul. 31, 2023     98,230,000      
Beginning balance at Apr. 30, 2023 1,083          
Noncontrolling Interest [Roll Forward]            
Net loss attributable to redeemable non-controlling interest (355)          
Ending balance at Jul. 31, 2023 728          
Beginning balance (in shares) at Apr. 30, 2023     96,864,000      
Beginning balance at Apr. 30, 2023 435,149   $ 10 832,831 (392,381) (5,311)
Increase (Decrease) in Stockholders' Equity [Roll Forward]            
Issuance of common stock for options exercised (in shares)     573,000      
Issuance of common stock for options exercised 1,900     1,900    
Issuance of common stock under employee stock purchase plan (in shares)     128,000      
Issuance of common stock under employee stock purchase plan 3,222     3,222    
Vesting of restricted stock units (in shares)     443,000      
Stock-based compensation 25,396     25,396    
Other comprehensive income (566)         (566)
Charitable donation of stock (in shares)     32,000      
Charitable donation of stock 964     964    
Issuance of common stock from acquisition (in shares)     190,000      
Issuance of common stock from acquisition 6,000     6,000    
Net Income (Loss) (31,694)       (31,694)  
Ending balance at Jul. 31, 2023 $ 440,371   $ 10 $ 870,313 $ (424,075) $ (5,877)
Ending balance (in shares) at Jul. 31, 2023     98,230,000      
v3.23.2
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)
$ in Thousands
 6 Months Ended
Jul. 31, 2023
Jul. 31, 2022
CASH FLOWS FROM OPERATING ACTIVITIES:    
Net loss (including amounts attributable to redeemable non-controlling interests) $ (70,875) $ (73,046)
Adjustments to reconcile net loss to net cash provided by operating activities:    
Stock-based compensation 49,002 34,253
Amortization of deferred contract costs 13,941 10,984
Depreciation and amortization 2,845 1,900
Provision for credit losses 1,294 (155)
Value of common stock donated to charity 964 4,260
Amortization of discount/premium on marketable securities 991 215
Non-cash foreign exchange loss 510 295
Other 494 (36)
Changes in operating assets and liabilities:    
Accounts receivable 8,926 16,622
Prepaid expenses and other current assets (2,029) 3,110
Deferred contract costs (21,018) (14,661)
ROU assets and liabilities 991 2,617
Other assets (959) 521
Accounts payable (1,315) 582
Accrued expenses and other current liabilities 15,297 4,419
Deferred revenue 6,471 9,703
Other long-term liabilities (498) 17
Net cash provided by operating activities 5,032 1,600
CASH FLOWS FROM INVESTING ACTIVITIES:    
Cash paid for acquisition; net of cash acquired (16,318) 0
Purchases of property and equipment (427) (9,844)
Capitalized internal-use software costs (1,640) (783)
Purchases of marketable securities (121,392) (543,880)
Maturities of marketable securities 136,289 150,708
Net cash used in investing activities (3,488) (403,799)
CASH FLOWS FROM FINANCING ACTIVITIES:    
Proceeds from exercise of common stock options 7,333 5,411
Net cash provided by financing activities 7,333 5,411
Effect of foreign currency exchange rate changes on cash, cash equivalents, and restricted cash (295) (1,268)
Net change in cash, cash equivalents, and restricted cash 8,582 (398,056)
Cash, cash equivalents, and restricted cash, beginning of period 72,623 482,973
Cash, cash equivalents, and restricted cash, end of period 81,205 84,917
SUPPLEMENTAL CASH FLOW DISCLOSURE:    
Cash paid for income taxes, net of refunds 85 317
NON-CASH INVESTING AND FINANCING ACTIVITIES:    
Stock-based compensation capitalized to internal-use software 934 379
Net change in capitalized internal-use software development costs in accrued expenses 0 21
Unrealized net gain (loss) on marketable investment securities 751 (2,359)
Net change to property and equipment (included in accounts payable / accrued liabilities) 90 232
Vesting of early exercised options 0 82
Asset retirement obligation 11 380
Common stock issuance, acquisition $ (6,000) $ 0
v3.23.2
Company Overview
 6 Months Ended
Jul. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Company Overview Company Overview
Description of Business

Braze, Inc., together with its subsidiaries (collectively, the “Company”, “we”, “us”, “our” or “Braze”), is a cloud-based customer engagement platform that delivers customer-centric experiences across push notifications, email, in-product messaging, SMS and MMS messages, and more. Customers use the Braze platform to facilitate real-time experiences between brands and customers in a more authentic and human way.

We began operations in 2011 and are incorporated in the state of Delaware. Our headquarters are located in New York City. As of July 31, 2023, we also lease additional office space in Austin, Berlin, Chicago, Jakarta, London, Paris, San Francisco, Singapore, Sydney, and Tokyo.
v3.23.2
Summary of Significant Accounting Policies
 6 Months Ended
Jul. 31, 2023
Accounting Policies [Abstract]  
Summary of Significant Accounting Policies Summary of Significant Accounting Policies
Basis of Presentation

The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”). The accompanying unaudited condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries, and variable interest entities (“VIE”) for which we are the primary beneficiary. Intercompany balances and transactions have been eliminated in consolidation.

Reclassifications

Certain reclassifications and immaterial changes have been made to prior-period financial statements to conform to the current-period presentation.
Use of Estimates

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of assets and liabilities at the date of the financial statements, and the reported amounts of revenue and expense during the reported period. We evaluate estimates based on historical and anticipated results, trends, and various other assumptions. Significant items subject to such estimates and assumptions include, but are not limited to, the standalone selling price for separate performance obligations in our revenue arrangements, expected period of benefit for deferred contract costs, the valuation of common stock and stock-based compensation, the allocation of overhead costs between cost of revenue and operating expenses, the estimated useful lives of intangible and depreciable assets, the fair value of acquired assets and assumed liabilities from business combinations, valuation of long-lived assets and their recoverability, including goodwill, the incremental borrowing rate, the valuation of deferred tax assets and liabilities and other tax estimates including our ability to utilize net operating losses.

Management evaluates its estimates and assumptions on an ongoing basis using historical experience and other factors, including the current economic environment, and makes adjustments as facts and circumstances dictate. As future events and their effects, including the uncertainty surrounding rapidly changing market and economic conditions from global or domestic macroeconomic and socioeconomic events such as, among others, instability in the banking and financial services sector, international and domestic supply chain risks, inflationary pressure, interest rate increases, declines in consumer confidence, international conflicts and domestic and foreign political unrest, that impact us and our customers, cannot be determined with precision, actual results could differ from those estimates and many of our estimates and assumptions have required increased judgement and carry a higher degree of variability and volatility.
Significant Accounting Policies
Our significant accounting policies are detailed in “Note 2. Summary of Significant Accounting Policies" of the audited annual consolidated financial statements for the fiscal year ended January 31, 2023 included in the Company’s Annual Report on Form 10-K, as filed with the SEC on March 31, 2023 (the “Annual Report”). There have been no material changes to our significant accounting policies with the exception of the below:
Concentration of Credit Risk
Financial instruments that potentially subject us to concentration of credit risk consist primarily of cash and cash equivalents, restricted cash, marketable securities, and accounts receivable. Restricted cash consists of letters of credit related to our leased properties. For cash, cash equivalents, restricted cash, and marketable securities, we are exposed to credit risk in the event of default by the financial institutions to the extent of the amounts recorded on the consolidated balance sheets in excess of the Federal Deposit Insurance Corporation (“FDIC”) limits. Cash, cash equivalents, restricted cash, and marketable securities balances are maintained at financial institutions that management believes are of high-credit, quality financial institutions, where deposits, at times, exceed the FDIC limits.

Significant customers are those which represent 10% or more of our total revenue for the period, or accounts receivable at the balance sheets dates. For the three and six months ended July 31, 2023 and July 31, 2022, no customer accounted for 10% or more of our total revenue.

For accounts receivable, we are exposed to credit risk in the event of nonpayment by customers to the extent of the amounts recorded on the consolidated balance sheets. As of July 31, 2023 and January 31, 2023, no customers accounted for 10% or more of our total accounts receivable balance.

Business Combinations

The Company recognizes identifiable assets acquired and liabilities assumed at their acquisition date fair values. The excess of the consideration transferred over the fair value of assets acquired and liabilities assumed on the acquisition date is recorded as goodwill. Such valuations require the Company to make significant estimates and assumptions. The Company uses its best estimates and assumptions as part of the purchase price allocation process to accurately value assets acquired and liabilities assumed, but these estimates are inherently uncertain and subject to refinement. During the measurement period, the Company may record adjustments to the fair values of assets acquired and liabilities assumed, with the corresponding offset to goodwill. Upon the conclusion of the measurement period, any subsequent adjustments are recorded in the consolidated statements of operations.

Goodwill and Indefinite-Lived Intangible Assets

Goodwill represents the excess of the aggregate purchase price over the fair value of net identifiable assets acquired in a business combination. Goodwill and indefinite-lived intangible assets are not amortized and are tested for impairment at least annually or whenever events or changes in circumstances indicate that the carrying value may be impaired. Goodwill is tested for impairment at the reporting unit level.

The Company has the option to first perform a qualitative assessment to determine if it is more likely than not that the fair value of a reporting unit and indefinite-lived intangible assets are less than its carrying amount. The Company may elect to bypass the qualitative assessment and proceed directly to the quantitative impairment tests. The quantitative impairment test for goodwill involves comparing the fair value of the reporting unit to its carrying value, including goodwill. A goodwill impairment will be the amount by which a reporting unit’s carrying value exceeds its fair value. The impairment is limited to the carrying amount of goodwill.

The quantitative impairment test for indefinite-lived intangible assets involves a comparison of the estimated fair value of the intangible asset with its carrying value. If the carrying value of the indefinite-lived intangible asset exceeds its estimated fair value, an impairment loss is recognized in an amount equal to that excess. The estimates of fair value of indefinite-lived intangible assets are determined using a discounted cash flow valuation analysis that employs different valuation methodology in estimating the fair value of the asset. Significant judgments are inherent in the discounted cash flow analysis.

The Company has determined that it operates as one reporting unit and has selected November 1 as the date to perform its annual impairment test. No goodwill impairment charges have been recorded for any period presented.

Recent Accounting Pronouncements

In October 2021, the Financial Accounting Standards Board issued Accounting Standards Update No. 2021-08 Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers, (“ASU 2021-08”), which requires that an acquirer recognize and measure contract assets and contract liabilities acquired in a business combination in accordance with Topic 606, Revenue from Contracts with Customers. The Company adopted ASU 2021-08 prospectively during the second quarter of the fiscal year ended January 31, 2024, and determined that ASU 2021-08 does not have a material impact on the Company’s consolidated financial statements nor its related disclosures.

The Company has implemented all applicable accounting pronouncements that are in effect and there are no new accounting pronouncements that have been issued that would have a material impact on the Company's condensed consolidated financial statements.
v3.23.2
Revenue from Contracts with Customers
 6 Months Ended
Jul. 31, 2023
Revenue from Contract with Customer [Abstract]  
Revenue from Contracts with Customers Revenue from Contracts with Customers
Disaggregated Revenue Streams

The following disaggregation depicts the nature, amount, timing and uncertainty of cash flows related to the primary types of revenue from contracts with customers.

The following table presents total revenue by type (in thousands):

Three Months Ended
July 31,		Six Months Ended
July 31,
2023202220232022
Subscription$109,711 $81,727 $206,857 $154,563 
Professional services and other5,396 4,404 10,030 9,063 
Total$115,107 $86,131 $216,887 $163,626 

The following table presents total revenue by geography (in thousands):

Three Months Ended
July 31,		Six Months Ended
July 31,
2023202220232022
United States$65,114 $49,875 $123,617 $95,227 
International49,993 36,256 93,270 68,399 
Total$115,107 $86,131 $216,887 $163,626 

Revenue by geography is determined based on the location of our users. Other than the United States, no other individual country accounted for 10% or more of total revenue for any of the periods presented.

Unbilled Accounts Receivable

Unbilled accounts receivable included in trade accounts receivable, net, which generally arise from our contractual right to bill our customers in advance of services on the contract effective date, were $1.4 million and $1.0 million as of July 31, 2023 and January 31, 2023, respectively.

Contract Balances

Contract Assets

Contract assets as of July 31, 2023 and January 31, 2023 were $0.9 million and $0.8 million, respectively. The change in contract assets for all periods presented primarily reflects revenue recognized in excess of billings partially offset by contract assets earned during the period.

Deferred Revenue

The change in deferred revenue for all periods presented primarily reflects cash payments received during the period for which the performance obligation was not satisfied prior to the end of the period, partially offset by revenues recognized during the period. Revenue recognized during the three and six months ended July 31, 2023 from amounts included in deferred revenue at January 31, 2023, was $51.1 million and $128.2 million, respectively. Revenue recognized during the three and six months ended July 31, 2022 from amounts included in deferred revenue at January 31, 2022, was $37.7 million and $97.2 million, respectively.
Credit Losses

The following table presents a reconciliation of the allowance for credit losses on accounts receivable (in thousands):

Allowance for Credit Losses
Balance at January 31, 2023
$1,613 
Reserve:
Credit losses1,290 
Deferred revenue1,444 
Write-offs(1,993)
Recoveries60 
Balance at July 31, 2023
$2,414 

Remaining Performance Obligations

The transaction price allocated to remaining performance obligations represents amounts under non-cancelable contracts expected to be recognized as revenue in future periods, and may be influenced by several factors, including seasonality, the timing of renewals, the timing of service delivery and contract terms. Unbilled portions of the remaining performance obligations are subject to future economic risks including bankruptcies, regulatory changes and other market factors.

The following table presents remaining performance obligations as of the dates indicated below (in millions):

TotalLess than 1 Year1-5 Years
July 31, 2022$410.5 $274.2 $136.3 
October 31, 2022408.7 283.3 125.4 
January 31, 2023455.7 312.6 143.1 
April 30, 2023477.5 325.4 152.1 
July 31, 2023523.5 353.3 170.2 
v3.23.2
Variable Interest Entity and Redeemable Non-Controlling Interest
 6 Months Ended
Jul. 31, 2023
Noncontrolling Interest [Abstract]  
Variable Interest Entity and Redeemable Non-Controlling Interest Variable Interest Entity and Redeemable Non-Controlling Interest
On September 14, 2020, we, along with Japan Cloud Computing Co., Ltd., and M30 LLC, (the “Investors”), entered into an agreement, whereby each Investor agreed to purchase shares of common stock of Braze Kabushiki Kaisha (“Braze KK” and “Braze KK Shares”) for a total purchase price of $10.0 million in two tranches of $5.0 million per tranche in September 2020 and September 2021, to engage in the investment, organization, management and operation of Braze KK focused on the distribution of our products in Japan. The purpose of this arrangement was to further expand our business in the Japanese market.

In March 2022, we consented to the issuance of stock options to purchase Braze KK Shares by certain employees of Braze KK. These options cannot be exercised by the holders thereof prior to the exercise of the call or put options described in more detail below. The Company considers the stock options to be a substantive class of equity, classified as a liability within other long-term liabilities on the consolidated balance sheets. As of July 31, 2023, the liability balance was $0.2 million. The issuance of stock options does not impact our majority stake in Braze KK, as none of the vesting criteria of the options were met as of the balance sheet date. The issuance of stock options did not result in a reconsideration event and therefore Braze KK still met the criteria of a Variable Interest Entity as Braze KK did not have sufficient equity at risk to finance their activities. As a result, we continue to operate Braze KK as a subsidiary, exposing us to business and foreign exchange risk. We consolidate Braze KK and present the results within our consolidated balance sheets, consolidated statements of operations, and consolidated statements of cash flows.

The common stock held by the Investors is callable by us or puttable by the Investors upon certain contingent events. Should the call or put option be exercised, the redemption value would be determined based on a prescribed formula derived from the discrete revenues of Braze KK and the Company and may be settled, at our discretion, with our stock or cash. The non-controlling interest in Braze KK is classified in mezzanine equity as redeemable non-controlling interest as a result of the put right available to the Investors in the future, an event that is not solely in our control. The non-controlling interest is not accreted to redemption value because it is currently not probable that the non-controlling interest will become redeemable.
The following table summarizes the activity in the redeemable non-controlling interests for the periods indicated below (in thousands):

Balance as of January 31, 2023
$1,455
Net loss attributable to redeemable non-controlling interest(727)
Balance as of July 31, 2023
$728
v3.23.2
Fair Value Measurements
 6 Months Ended
Jul. 31, 2023
Fair Value Disclosures [Abstract]  
Fair Value Measurements Fair Value Measurements
The following table sets forth our financial instruments that were measured at fair value on a recurring basis at the periods indicated below, by level within the fair value hierarchy (in thousands):
July 31, 2023
Level 1Level 2Level 3Total
Financial Assets:
Cash equivalents
Money market funds$30,167 $— $— $30,167 
U.S. government securities8,224 — — 8,224 
38,391 — — 38,391 
Marketable securities
U.S. government securities$304,113 $— $— $304,113 
Foreign securities— 6,263 — 6,263 
Corporate debt securities— 84,570 — 84,570 
Total marketable securities304,113 90,833 — 394,946 
Liabilities
Contingent consideration$— $— $1,593 $1,593 
Total liabilities— — 1,593 1,593 
Total financial assets
$342,504 $90,833 $1,593 $434,930 
January 31, 2023
Level 1Level 2Level 3Total
Financial Assets:
Cash equivalents
Money market funds$30,873 $— $— $30,873 
30,873 — — 30,873 
Marketable securities
U.S. government securities$307,744 $— $— $307,744 
Foreign securities— 2,967 — 2,967 
Corporate debt securities— 99,372 — 99,372 
Total marketable securities307,744 102,339 — 410,083 
Total financial assets
$338,617 $102,339 $— $440,956 

Our money market funds are classified as Level 1 within the fair value hierarchy, because they are valued using quoted prices in active markets as of July 31, 2023 and January 31, 2023. Financial instruments classified as Level 2 within our fair value hierarchy are valued on the basis of prices from an orderly transaction between market participants provided by reputable dealers or pricing services. Prices of these securities are obtained through independent, third-party pricing services and include market quotations that may include both observable and unobservable inputs. In determining the value of a particular investment, pricing services may use certain information with respect to transactions in such investments, quotations from dealers, pricing matrices and market transactions in comparable investments and various relationships between investments.
The fair value of our contingent consideration is estimated using Level 3 unobservable inputs. The estimates of fair value are based upon assumptions believed to be reasonable but which are uncertain, and involve significant judgments by management. We will reassess the fair value of contingent consideration quarterly until the contingency is resolved. The short-term portion of the contingent consideration is recorded within accrued expenses and other current liabilities and the long-term portion is recorded within other-long term liabilities on the consolidated balance sheets. Changes in the fair value are recorded in operating income in the consolidated statements of operations.

There were no transfers of financial instruments among Level 1, Level 2 and Level 3 during the periods presented.
v3.23.2
Marketable Securities
 6 Months Ended
Jul. 31, 2023
Investments, Debt and Equity Securities [Abstract]  
Marketable Securities Marketable Securities
Marketable securities consist of the following for the periods presented (in thousands):
July 31, 2023
Cost or Amortized CostGross Unrealized GainsGross Unrealized LossesTotal Estimated Fair Value
U.S. government securities$308,062 $— $(3,949)$304,113 
Foreign securities6,338 1 (76)6,263 
Corporate debt securities85,372 11 (813)84,570 
Total$399,772 $12 $(4,838)$394,946 
January 31, 2023
Cost or Amortized CostGross Unrealized GainsGross Unrealized LossesTotal Estimated Fair Value
U.S. government securities$312,044 $31 $(4,331)$307,744 
Foreign securities3,028 — (61)2,967 
Corporate debt securities100,589 27 (1,244)99,372 
Total$415,661 $58 $(5,636)$410,083 

Accrued interest receivables related to our available-for-sale securities of $2.5 million as of July 31, 2023 and $2.0 million as of January 31, 2023, were included within prepaid expenses and other assets on our consolidated balance sheets.

The Company’s short-term investments consist of available-for-sale debt securities and term deposits. The term deposits are at cost, which approximates fair value. The weighted-average remaining maturity of the Company’s investment portfolio was less than one year as of the periods presented.

The following table summarizes the fair value and gross unrealized losses aggregated by category of individual securities that have been in a continuous unrealized loss position for greater than 12 months (in thousands):

July 31, 2023
Continuous Unrealized Loss for Greater than 12 months
Estimated Fair ValueGross Unrealized Losses
U.S. government securities$149,021 $(2,111)
Foreign securities3,946 (56)
Corporate debt securities59,114 (697)
Total$212,081 $(2,864)

No individual security incurred continuous unrealized losses for greater than 12 months as of January 31, 2023.

The Company purchases investment grade marketable debt securities which are rated by nationally recognized statistical credit rating organizations in accordance with its investment policy. This policy is designed to minimize the Company's exposure to credit losses. As of July 31, 2023, the credit-quality of the Company’s marketable available-for-sale debt securities had remained stable. The unrealized losses recognized on marketable available-for-sale debt securities as of July 31, 2023 was primarily related to the continued market volatility associated with market expectations of an aggressive pace of interest rate
increases by the Federal Reserve. The contractual terms of these investments do not permit the issuer to settle the securities at a price less than the amortized cost basis of the investments and it is not expected that the investments would be settled at a price less than their amortized cost basis. The Company does not intend to sell the investments and it is not more likely than not that the Company will be required to sell the investments before recovery of their amortized cost basis. The Company is not aware of any specific event or circumstance that would require the Company to change its assessment of credit losses for any marketable available-for-sale debt security as of July 31, 2023. These estimates may change, as new events occur and additional information is obtained, and will be recognized on the consolidated financial statements as soon as they become known. No credit losses were recognized as of July 31, 2023 for the Company’s marketable debt securities.

The contractual maturities of the investments classified as available-for-sale marketable securities are as follows (in thousands):
July 31, 2023
Amortized CostEstimated Fair Value
Due within 1 year$226,793 $223,924 
Due in 1 year through 5 years172,979 171,022 
Total$399,772 $394,946 
January 31, 2023
Amortized CostEstimated Fair Value
Due within 1 year$247,214 $244,280 
Due in 1 year through 5 years168,447 165,803 
Total$415,661 $410,083 
Investment Income

Investment income consists of interest income and accretion income/amortization expense on our cash, cash equivalents, restricted cash, and marketable securities. Investment income is included within other income, net on the consolidated statements of operations. The components of investment income were as follows (in thousands):
Three Months Ended
July 31,		Six Months Ended
July 31,
2023202220232022
Interest income$3,245 $1,956 $6,173 $2,399 
Amortization of discount/premium, net520 202 991 215 
Investment income$3,765 $2,158 $7,164 $2,614 
v3.23.2
Property and Equipment, Net
 6 Months Ended
Jul. 31, 2023
Property, Plant and Equipment [Abstract]  
Property and Equipment, Net Property and Equipment, Net
Property and equipment, net, consist of the following (in thousands):
July 31,
2023		January 31,
2023
Capitalized internal-use software$9,919 $7,344 
Computer equipment, office equipment, and software7,669 8,111 
Leasehold improvements10,128 9,410 
Furniture and fixtures4,259 4,085 
Total property and equipment31,975 28,950 
Less: accumulated depreciation and amortization(11,295)(8,611)
Total property and equipment, net$20,680 $20,339 

The total depreciation expense and amortization expense for property and equipment was $1.5 million and $0.9 million during the three months ended July 31, 2023 and 2022, respectively and $2.7 million and $1.9 million during the six months ended July 31, 2023 and 2022, respectively. During the three and six months ended July 31, 2023, the Company removed $0.2 million and $0.5 million, respectively, of fixed assets consisting of computer equipment, office equipment, and software, that was largely depreciated from property and equipment, gross and accumulated depreciation, which had minimal net impact on the Company’s consolidated financial results.
We capitalized internal-use software of $1.2 million and $0.7 million during the three months ended July 31, 2023 and 2022, respectively, and $2.5 million and $1.2 million during the six months ended July 31, 2023 and 2022, respectively. Amortization for capitalized internal-use software costs recognized within cost of revenue on the consolidated statements of operations was $0.6 million and $0.4 million for the three months ended July 31, 2023 and 2022, respectively, and $1.1 million and $0.9 million during the six months ended July 31, 2023 and 2022, respectively.
v3.23.2
Prepaid Expenses and Other Current Assets
 6 Months Ended
Jul. 31, 2023
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]  
Prepaid Expenses and Other Current Assets Prepaid Expenses and Other Current Assets
Prepaid expenses and other current assets consist of the following (in thousands):
July 31,
2023		January 31,
2023
Prepaid software subscriptions$13,548 $12,574 
Prepaid advertising707 833 
Prepaid insurance1,574 2,795 
Investment interest receivable2,532 2,013 
Consumption tax receivable1,302 1,045 
Prepaid events3,193 657 
Prepaid employee benefits548 811 
Other4,877 5,435 
Total prepaid expenses and other current assets$28,281 $26,163 
v3.23.2
Accrued Expenses and Other Current Liabilities
 6 Months Ended
Jul. 31, 2023
Payables and Accruals [Abstract]  
Accrued Expenses and Other Current Liabilities Accrued Expenses and Other Current LiabilitiesAccrued expenses and other current liabilities consists of the following (in thousands):
July 31,
2023		January 31,
2023
Accrued compensation costs$24,285 $12,644 
Accrued software subscriptions10,693 8,454 
Accrued commissions7,224 6,205 
Accrued professional service fees1,731 1,779 
Accrued advertising1,316 922 
Accrued tax liability6,513 4,188 
ESPP payable930 322 
Other3,569 2,901 
Total accrued expenses and other current liabilities$56,261 $37,415 
v3.23.2
Employee Benefit Plans
 6 Months Ended
Jul. 31, 2023
Retirement Benefits [Abstract]  
Employee Benefit Plans Employee Benefit PlansWe sponsor a 401(k) defined contribution plan covering all eligible U.S. employees. Contributions to the 401(k) plan are discretionary. Matching contributions under the plan were $1.2 million and $1.2 million for the three months ended July 31, 2023 and 2022, respectively, and $3.6 million and $3.0 million during the six months ended July 31, 2023 and 2022, respectively.
v3.23.2
Stockholder’s Equity (Deficit)
 6 Months Ended
Jul. 31, 2023
Equity [Abstract]  
Stockholder’s Equity (Deficit) Stockholder’s Equity
Class A and Class B Common Stock

We have two classes of common stock, Class A and Class B. The rights of the holders of Class A common stock and Class B common stock are identical, except with respect to voting, conversion and transfer rights. Each share of Class A common stock is entitled to one vote. Each share of Class B common stock is entitled to ten votes and may be converted at the option of the holder into one share of Class A common stock. In addition, all shares of Class B common stock will automatically convert into shares of Class A common stock in certain circumstances, including on the earlier of (i) the last trading day of the fiscal quarter during which the number of shares of Class B common stock then outstanding represents less than 10% of the aggregate number of shares of Class A common stock and Class B common stock then outstanding, or (ii) the last trading day of the fiscal quarter immediately following the fifth anniversary of our initial public offering. All shares of the Company’s capital stock outstanding immediately prior to our initial public offering, including all shares held by our executive officers, directors and their respective affiliates, and all shares issuable upon the conversion of our then outstanding convertible
preferred stock, were reclassified into shares of Class B common stock immediately prior to the completion of the initial public offering.

Charitable Contributions

In connection with our Pledge 1% commitment, we donated 32,155 shares of our Class A common stock to a charitable donor-advised fund that resulted in the recognition of $1.0 million of expense within general and administrative in our consolidated statements of operations during the three months ended July 31, 2023. There were no donations in the three months ended July 31, 2022.

We donated 32,155 and 96,465 shares of our Class A common stock that resulted in the recognition of $1.0 million and $4.3 million of expense within general and administrative in our consolidated statements of operations during the six months ended July 31, 2023 and 2022, respectively.
v3.23.2
Employee Stock Plans
 6 Months Ended
Jul. 31, 2023
Share-Based Payment Arrangement [Abstract]  
Employee Stock Plans Employee Stock Plans
We have historically issued equity awards under our Amended and Restated 2011 Equity Incentive Plan (the “2011 Plan”) and our 2021 Equity Incentive Plan (the “2021 Plan”).

Amended and Restated 2011 Equity Incentive Plan

Our 2011 Plan provides for the award of stock options and restricted stock units (“RSUs”) to employees, officers, directors, advisors and other service providers of Braze. The terms of each award and the exercise price of awards under the 2011 Plan are determined by our board of directors. Following effectiveness of the 2021 Plan in connection with our initial public offering, no further awards were made under the 2011 Plan.

2021 Equity Incentive Plan

In November 2021, our board of directors and our stockholders approved the 2021 Plan, which became effective on November 16, 2021. No grants were made under the 2021 Plan prior to its effectiveness. No further grants will be made under the 2011 Plan. At effectiveness, we reserved 25,660,249 shares of our Class A common stock to be issued under the 2021 Plan. In addition, the number of shares of our Class A common stock reserved for issuance under the 2021 Plan will automatically increase on February 1 of each year for a period of ten years, beginning on February 1, 2022 and continuing through February 1, 2031, in an amount equal to (1) 5% of the total number of shares of our common stock (both Class A and Class B) outstanding on the preceding January 31, or (2) a lesser number of shares determined by the Board no later than the February 1 increase. On February 1, 2023, the number of shares of our Class A common stock reserved for issuance under our 2021 Plan increased by an additional 4,798,771 shares.

Restricted Stock Units

The following table summarizes unvested RSU award activity and related information:
SharesWeighted-Average Grant Date Fair Value
Balance as of January 31, 2023
4,625,518
Granted3,486,205$33.80 
Vested(655,621)$41.49 
Forfeited(435,827)$37.06 
Balance as of July 31, 2023
7,020,275

RSUs granted during the six months ended July 31, 2023 contained a service-based vesting condition of up to approximately a four year period. RSUs typically vest on a quarterly basis or have a one year cliff vesting period with quarterly vesting thereafter.

Stock-based Compensation Expense

The following table summarizes stock-based compensation expense, which was included in the consolidated statements of operations as follows (in thousands):
Three Months Ended
July 31,		Six Months Ended
July 31,
2023202220232022
Cost of revenue$901 $911 $1,790 $1,831 
Sales and marketing7,807 5,439 15,655 11,106 
Research and development9,929 6,921 19,772 13,094 
General and administrative6,139 3,842 11,705 8,053 
Stock-based compensation, net of amounts capitalized$24,776 $17,113 $48,922 $34,084 
Capitalized stock-based compensation expense454 299 934 531 
Total stock-based compensation expense$25,230 $17,412 $49,856 $34,615 

As of July 31, 2023, total compensation cost not yet recognized related to unvested equity awards and the weighted-average remaining period over which these costs are expected to be realized were as follows:

Stock OptionsRSUs
Unrecognized compensation costs (in thousands)$36,581$178,464
Weighted-average remaining recognition period (years)2.082.92

Employee Stock Purchase Plan

In November 2021, our board of directors and our stockholders approved the 2021 Employee Stock Purchase Plan (the “ESPP”), which became effective on November 16, 2021. Following completion of our initial public offering, the ESPP authorized the issuance of 1,825,000 shares of our Class A common stock under purchase rights granted to our employees or to employees of any of our designated affiliates. The number of shares of our Class A common stock reserved for issuance will automatically increase on February 1 of each year for a period of ten years, beginning on February 1, 2022 and continuing through February 1, 2031, by the lesser of (i) 1% of the total number of shares of our common stock (both Class A and Class B) outstanding on the preceding January 31; and (ii) 2,737,000 shares, except before the date of any such increase, our board of directors may determine that such increase will be less than the amount set forth in clauses (i) and (ii) above. On February 1, 2023, the number of shares of our Class A common stock reserved for issuance under our ESPP increased by an additional 959,754 shares.

The ESPP is implemented through a series of offerings under which eligible employees are granted purchase rights to purchase shares of the Company’s Class A common stock on specified dates during such offerings. Under the ESPP, our board of directors will be permitted to specify offerings with durations of not more than 27 months, and may specify shorter purchase periods within each offering. Each offering will have one or more purchase dates on which shares of our Class A common stock will be purchased for employees participating in the offering. On each purchase date, eligible employees will purchase the shares at a price per share equal to 85% of the lesser of (1) the fair market value of the Company’s Class A common stock on the first trading day of the offering period or (2) the fair market value of the Company’s Class A common stock on the last day of the offering period, as defined by the ESPP.

The Company recognized $0.6 million and $0.3 million of stock-based compensation expense related to the ESPP in the three months ended July 31, 2023 and 2022, respectively, and $1.4 million and $0.3 million during the six months ended July 31, 2023 and 2022, respectively.

As of July 31, 2023, $0.9 million has been withheld on behalf of our employees for a future purchase and is classified as accrued expenses and other current liabilities on the consolidated balance sheets.
During the three months ended July 31, 2023, the Company issued 128,104 shares of Class A common stock under the ESPP. As of July 31, 2023, 3,461,054 shares of Class A common stock remain available for issuance under the ESPP.
v3.23.2
Commitments and Contingencies
 6 Months Ended
Jul. 31, 2023
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and Contingencies
Indirect Taxes

We are subject to indirect taxation in some, but not all, of the various U.S. states and foreign jurisdictions in which we conduct business. Therefore, we have an obligation to charge, collect and remit Value Added Tax (“VAT”) or Goods and Services Tax (“GST”) in connection with certain of our foreign sales transactions and sales and use tax in connection with
eligible sales to subscribers in certain U.S. states. On June 21, 2018, the U.S. Supreme Court issued an opinion in South Dakota v. Wayfair. The State of South Dakota alleged that U.S. constitutional law should be revised to permit South Dakota to require remote sellers to collect and remit sales tax in South Dakota in accordance with South Dakota’s sales tax statute. Under the U.S. Supreme Court’s ruling, the longstanding Quill Corp v. North Dakota sales tax case was overruled, and states may now require remote sellers to collect sales tax under certain circumstances. We began collecting sales tax in relevant jurisdictions for the fiscal year ended January 31, 2019. As a result of this ruling and given the scope of our operations, taxing authorities continue to provide regulations that increase the complexity and risks to comply with such laws and could result in substantial liabilities, prospectively as well as retrospectively. Based on the information available, we continue to evaluate and assess the jurisdictions in which indirect tax nexus exists and believe that the indirect tax liabilities are adequate and reasonable. Due to the complexity and uncertainty around the application of these rules by taxing authorities, results may vary materially from expectations, and we have recognized liabilities for contingencies related to state sales and use tax, VAT, and GST deemed probable and estimable totaling $0.5 million and $0.5 million as of July 31, 2023 and January 31, 2023, respectively, which is included in accrued expenses and other current liabilities on the consolidated balance sheets. As of January 31, 2023, we have filed prior period returns in several jurisdictions in order to remediate this potential exposure, and the Company continues to evaluate the potential exposure on an ongoing basis.

Legal Contingencies

From time to time, in the ordinary course of business, we are or may be involved in various legal or regulatory proceedings, claims or purported class actions related to, among other things, alleged infringement of third-party patents and other intellectual property rights, commercial, labor and employment, wage and hour and other claims. We have been, and may in the future be, put on notice or sued by third-parties for alleged infringement of their proprietary rights, including patent infringement. We accrue a liability when we believe that it is both probable that a liability has been incurred and the amount of loss can be reasonably estimated. We believe we have recorded adequate provisions for any such matters and, as of July 31, 2023, we believe that no material loss will be incurred in excess of the amounts recognized in our financial statements.
v3.23.2
Leases
 6 Months Ended
Jul. 31, 2023
Leases [Abstract]  
Leases Leases
Leases

The Company’s lease portfolio consists solely of office space with lease terms ranging from two to ten years. Certain lease agreements include options to renew or terminate the lease, which are not reasonably certain to be exercised and therefore are not factored into the determination of lease payments.

The following table presents information on our operating leases for the three and six months ended July 31, 2023 and 2022 (in thousands):

Three Months Ended
July 31,		Six Months Ended
July 31,
2023202220232022
Operating lease cost$3,862 $3,397 $7,513 $6,893 
Variable lease cost778 675 1,450 1,260 
Short-term lease cost97 568 385 1,120 
Total net lease cost$4,737 $4,640 $9,348 $9,273 


The future maturities of the Company’s operating lease liabilities by fiscal year were as follows (in thousands):
Remainder of 2024$6,008 
202513,317 
20268,609 
20277,550 
20286,101 
Thereafter19,569 
Total future undiscounted lease payments$61,154 
Less: imputed interest(9,567)
Less: tenant improvement allowance not yet received— 
Total reported lease liability$51,587 

The Company's lease terms and discount rates are as follows:
July 31,
2023
Weighted-average remaining lease term (years)6.2
Weighted-average discount rate5.6 %

Other information for the Company's leases is as follows (in thousands):
Six Months Ended
July 31,
20232022
Cash paid for amounts included in the measurement of lease liabilities$5,788$4,691
Operating lease right-of-use assets obtained in exchange for new operating lease liabilities$1,524$—

New York City Headquarters Agreement
In November 2022, the Company entered into a Sublease Agreement (the “Sublease”) pursuant to which the Company agreed to lease approximately 92,300 square feet of general office space in New York, New York. The term of the Sublease commences on October 1, 2023 and will terminate on January 30, 2034. Under the Sublease, the Company's fixed rent obligation is $0.6 million per month, provided, that the Company shall be entitled to a rent abatement in the aggregate amount of $6.6 million to be applied in equal monthly installments until the abatement amount is fully exhausted. The Sublease contains customary provisions for real property subleases of this type, including specified termination rights.
v3.23.2
Income Taxes
 6 Months Ended
Jul. 31, 2023
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
The Company computes its provision for interim periods by applying an estimated annual effective tax rate to anticipated annual pretax income or loss as directed by ASC 740. The estimated annual effective tax rate is applied to the Company’s year to date income or loss, and is adjusted for discrete items recorded in the period. The Company recorded an income tax expense of $0.5 million and $0.0 million for the three months ended July 31, 2023 and 2022, respectively. The effective tax rate for the three months ended July 31, 2023 and 2022 was (1.7)% and (0.1)%, respectively. The Company recorded an income tax provision of $0.9 million and $0.0 million for the six months ended July 31, 2023 and 2022, respectively. The effective tax rate for the six months ended July 31, 2023 and 2022 was (1.3)% and (0.1)%, respectively.

The provision for income taxes recorded for the three and six months ended July 31, 2023 consists of income taxes in state jurisdictions and foreign jurisdictions in which the Company conducts business. The primary difference between the effective tax rate and the statutory rate is the change in the valuation allowance recorded. The Company continues to maintain a full valuation allowance against its net deferred tax assets as we have concluded that it is not more likely than not that the deferred tax assets will be realized. When the Company determines that it will be able to realize some portion or all of its deferred tax assets, an adjustment to its valuation allowance on its deferred tax assets would have the effect of increasing net income in the period such determination is made.
v3.23.2
Net Loss Per Share
 6 Months Ended
Jul. 31, 2023
Earnings Per Share [Abstract]  
Net Loss per Share Net Loss per ShareWe compute net loss per share of Class A common stock and Class B common stock under the two-class method required for multiple classes of common stock and participating securities. The rights, including the liquidation and dividend
rights, of the Class A common stock and Class B common stock are substantially identical, other than voting rights. Accordingly, the Class A common stock and Class B common stock share in the Company’s net loss.

The following table sets forth the computation of basic and diluted net loss per share attributable to Braze, Inc. common shareholders during the periods presented (in thousands, except per share amounts):
Three Months Ended
July 31,		Six Months Ended
July 31,
2023202220232022
Numerator:
Net loss attributable to Braze, Inc.$(31,694)$(32,886)$(70,148)$(72,155)
Denominator:
Weighted-average shares of Braze, Inc. common stock outstanding97,187 94,134 97,037 93,706 
Less: weighted-average unvested shares of Braze, Inc. subject to repurchase(7)(31)(14)(38)
Weighted-average shares used to calculate net loss per share attributable to Braze, Inc. common stockholders, basic and diluted97,180 94,103 97,023 93,668 
Net loss per share attributable to Braze, Inc. common stockholders, basic and diluted$(0.33)$(0.35)$(0.72)$(0.77)
The following outstanding shares of potentially dilutive securities have been excluded from diluted net loss per share attributable to Braze, Inc. common shareholders for the periods presented, because their inclusion would be anti-dilutive (in thousands):
Three Months Ended
July 31,		Six Months Ended
July 31,
2023202220232022
Options to purchase common stock6,846 9,160 14,286 9,160 
Restricted stock units7,020 3,397 14,354 3,397 
ESPP shares estimated to be purchased96 96 96 96 
Total13,962 12,653 28,736 12,653 
v3.23.2
Related Party Transactions
 6 Months Ended
Jul. 31, 2023
Related Party Transactions [Abstract]  
Related Party Transactions Related Party TransactionsIn May 2021, the Chief Financial Officer of Datadog, Inc., one of our vendors, joined our board of directors. We have purchased services from Datadog, Inc. in the aggregate amount of approximately $0.4 million and $0.4 million during the three months ended July 31, 2023 and 2022, respectively, and $1.2 million and $1.0 million during the six months ended July 31, 2023 and 2022, respectively.
v3.23.2
Restructuring
 6 Months Ended
Jul. 31, 2023
Restructuring and Related Activities [Abstract]  
Restructuring Restructuring
In May 2023, the Company implemented a workforce reduction designed to rebalance talent to better meet customer needs and achieve business priorities. As a result, the Company recorded associated severance and other termination costs of approximately $0.6 million in the three months ended July 31, 2023 related to these measures.

No restructuring costs were recognized during the three months ended July 31, 2022.
v3.23.2
Business Combination
 6 Months Ended
Jul. 31, 2023
Business Combination and Asset Acquisition [Abstract]  
Business Combination Business Combination
Acquisition of North Star Y, Pty Ltd

On June 1, 2023, the Company acquired all the outstanding stock of North Star Y, Pty Ltd (“North Star”), Braze’s exclusive reseller in Australia and New Zealand. The transaction provides Braze with a direct market presence in Australia and New Zealand, along with local market expertise from the North Star team.

The total purchase price consideration of $28.5 million consisted of cash payments of $17.6 million, $6.0 million in issuances of Braze Class A common stock, and contingent consideration payments, the fair value of which is $1.6 million as of
the acquisition date. The sellers are eligible to receive cash earn out payments calculated based on qualified revenue performance metrics for the two individual twelve month periods immediately subsequent to the closing of the acquisition. The earn out payments are capped at $10.0 million for the first earn out period and $16.0 million for second earn out period.

Due to the proximity of the closing date of the acquisition to the balance sheet date, the preliminary purchase price allocation to the assets acquired and liabilities assumed was based on the Company’s best estimate of the fair value at the acquisition date. The preliminary purchase price was allocated to intangible assets in the amount of $3.8 million and goodwill in the amount of $28.0 million based on the respective estimated fair values. The resulting goodwill is not deductible for income tax purposes.

An indemnification holdback of $2.8 million was recorded within other long-term liabilities on the consolidated balance sheets. The indemnification holdback represents security for potential indemnification claims against the seller. The indemnification holdback will be released subject to amounts withheld for actual, pending or potential claims.

A working capital holdback amount of $0.5 million has been recorded within accrued expenses and other current liabilities on the consolidated balance sheets. The working capital holdback will be released subject to the completion of post-close adjustment procedures.

The results of operations of North Star from the date of acquisition, which were not material, have been included in the Company’s consolidated statements of operations for the six months ended July 31, 2023.
v3.23.2
Intangible Assets, Net
 6 Months Ended
Jul. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]  
Intangible Assets, Net Intangible Assets, Net
Intangible assets, net, consisted of the following (in thousands):

July 31, 2023
Gross Carrying AmountAccumulated AmortizationNet Carrying AmountAmortization Period
Amortizable intangible assets
Customer relationships$3,119 $(54)$3,065 10 years
Restrictive covenant relationships186 (16)170 2 years
Trademark465 (78)387 1 year
Total amortizable intangible assets3,770 (148)3,622 
Non-amortizable intangible assets
Technology licenses500 — 500 n/a
Total intangible assets, net$4,270 $(148)$4,122 

January 31, 2023
Gross Carrying AmountAccumulated AmortizationNet Carrying AmountAmortization Period
Non-amortizable intangible assets
Technology licenses$500 $— $500 n/a
Total$500 $— $500 

Intangible amortization expense was approximately $0.1 million for the three months ended July 31, 2023. There was no intangible amortization expense for the three months ended July 31, 2022.

As of July 31, 2023, future amortization expense by fiscal year is expected to be as follows (in thousands):
Amount
Remainder of 2024$432 
2025560 
2026343 
2027312 
2028312 
Thereafter1,663 
Total$3,622 
v3.23.2
Goodwill
 6 Months Ended
Jul. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill Goodwill
The changes in the carrying amounts of goodwill were as follows (in thousands):

Amount
Balance at January 31, 2023
$— 
North Star Acquisition28,045 
Balance at July 31, 2023
$28,045 
v3.23.2
Subsequent Events
 6 Months Ended
Jul. 31, 2023
Subsequent Events [Abstract]  
Subsequent Events Subsequent Events
In August 2023, the Company entered into a re-negotiated renewal of a non-cancelable purchase agreement with a strategic vendor for a spend commitment of $25.0 million. The term of the agreement commenced on August 1, 2023 and will terminate on December 31, 2024.

In September 2023, the Company granted RSUs for a total of 170,269 shares of Class A common stock to employees pursuant to the 2021 Plan. The RSUs vest over a service period of approximately four years. The grant date fair value of these awards was $7.5 million.
v3.23.2
Summary of Significant Accounting Policies (Policies)
 6 Months Ended
Jul. 31, 2023
Accounting Policies [Abstract]  
Basis of Presentation
Basis of Presentation

The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”). The accompanying unaudited condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries, and variable interest entities (“VIE”) for which we are the primary beneficiary. Intercompany balances and transactions have been eliminated in consolidation.
Reclassifications
Reclassifications

Certain reclassifications and immaterial changes have been made to prior-period financial statements to conform to the current-period presentation.
Use of Estimates
Use of Estimates

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of assets and liabilities at the date of the financial statements, and the reported amounts of revenue and expense during the reported period. We evaluate estimates based on historical and anticipated results, trends, and various other assumptions. Significant items subject to such estimates and assumptions include, but are not limited to, the standalone selling price for separate performance obligations in our revenue arrangements, expected period of benefit for deferred contract costs, the valuation of common stock and stock-based compensation, the allocation of overhead costs between cost of revenue and operating expenses, the estimated useful lives of intangible and depreciable assets, the fair value of acquired assets and assumed liabilities from business combinations, valuation of long-lived assets and their recoverability, including goodwill, the incremental borrowing rate, the valuation of deferred tax assets and liabilities and other tax estimates including our ability to utilize net operating losses.
Management evaluates its estimates and assumptions on an ongoing basis using historical experience and other factors, including the current economic environment, and makes adjustments as facts and circumstances dictate. As future events and their effects, including the uncertainty surrounding rapidly changing market and economic conditions from global or domestic macroeconomic and socioeconomic events such as, among others, instability in the banking and financial services sector, international and domestic supply chain risks, inflationary pressure, interest rate increases, declines in consumer confidence, international conflicts and domestic and foreign political unrest, that impact us and our customers, cannot be determined with precision, actual results could differ from those estimates and many of our estimates and assumptions have required increased judgement and carry a higher degree of variability and volatility.
Concentration of Credit Risk Concentration of Credit Risk
Financial instruments that potentially subject us to concentration of credit risk consist primarily of cash and cash equivalents, restricted cash, marketable securities, and accounts receivable. Restricted cash consists of letters of credit related to our leased properties. For cash, cash equivalents, restricted cash, and marketable securities, we are exposed to credit risk in the event of default by the financial institutions to the extent of the amounts recorded on the consolidated balance sheets in excess of the Federal Deposit Insurance Corporation (“FDIC”) limits. Cash, cash equivalents, restricted cash, and marketable securities balances are maintained at financial institutions that management believes are of high-credit, quality financial institutions, where deposits, at times, exceed the FDIC limits.

Significant customers are those which represent 10% or more of our total revenue for the period, or accounts receivable at the balance sheets dates. For the three and six months ended July 31, 2023 and July 31, 2022, no customer accounted for 10% or more of our total revenue.
For accounts receivable, we are exposed to credit risk in the event of nonpayment by customers to the extent of the amounts recorded on the consolidated balance sheets.
Business Combinations Business CombinationsThe Company recognizes identifiable assets acquired and liabilities assumed at their acquisition date fair values. The excess of the consideration transferred over the fair value of assets acquired and liabilities assumed on the acquisition date is recorded as goodwill. Such valuations require the Company to make significant estimates and assumptions. The Company uses its best estimates and assumptions as part of the purchase price allocation process to accurately value assets acquired and liabilities assumed, but these estimates are inherently uncertain and subject to refinement. During the measurement period, the Company may record adjustments to the fair values of assets acquired and liabilities assumed, with the corresponding offset to goodwill. Upon the conclusion of the measurement period, any subsequent adjustments are recorded in the consolidated statements of operations.
Goodwill and Indefinite-Lived Intangible Assets
Goodwill and Indefinite-Lived Intangible Assets

Goodwill represents the excess of the aggregate purchase price over the fair value of net identifiable assets acquired in a business combination. Goodwill and indefinite-lived intangible assets are not amortized and are tested for impairment at least annually or whenever events or changes in circumstances indicate that the carrying value may be impaired. Goodwill is tested for impairment at the reporting unit level.

The Company has the option to first perform a qualitative assessment to determine if it is more likely than not that the fair value of a reporting unit and indefinite-lived intangible assets are less than its carrying amount. The Company may elect to bypass the qualitative assessment and proceed directly to the quantitative impairment tests. The quantitative impairment test for goodwill involves comparing the fair value of the reporting unit to its carrying value, including goodwill. A goodwill impairment will be the amount by which a reporting unit’s carrying value exceeds its fair value. The impairment is limited to the carrying amount of goodwill.

The quantitative impairment test for indefinite-lived intangible assets involves a comparison of the estimated fair value of the intangible asset with its carrying value. If the carrying value of the indefinite-lived intangible asset exceeds its estimated fair value, an impairment loss is recognized in an amount equal to that excess. The estimates of fair value of indefinite-lived intangible assets are determined using a discounted cash flow valuation analysis that employs different valuation methodology in estimating the fair value of the asset. Significant judgments are inherent in the discounted cash flow analysis.

The Company has determined that it operates as one reporting unit and has selected November 1 as the date to perform its annual impairment test. No goodwill impairment charges have been recorded for any period presented.
Recently Adopted Accounting Pronouncements
Recent Accounting Pronouncements

In October 2021, the Financial Accounting Standards Board issued Accounting Standards Update No. 2021-08 Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers, (“ASU 2021-08”), which requires that an acquirer recognize and measure contract assets and contract liabilities acquired in a business combination in accordance with Topic 606, Revenue from Contracts with Customers. The Company adopted ASU 2021-08 prospectively during the second quarter of the fiscal year ended January 31, 2024, and determined that ASU 2021-08 does not have a material impact on the Company’s consolidated financial statements nor its related disclosures.

The Company has implemented all applicable accounting pronouncements that are in effect and there are no new accounting pronouncements that have been issued that would have a material impact on the Company's condensed consolidated financial statements.
v3.23.2
Revenue from Contracts with Customers (Tables)
 6 Months Ended
Jul. 31, 2023
Revenue from Contract with Customer [Abstract]  
Schedule of Disaggregation of Revenue
The following table presents total revenue by type (in thousands):

Three Months Ended
July 31,		Six Months Ended
July 31,
2023202220232022
Subscription$109,711 $81,727 $206,857 $154,563 
Professional services and other5,396 4,404 10,030 9,063 
Total$115,107 $86,131 $216,887 $163,626 
Schedule of Total Revenue by Geography
The following table presents total revenue by geography (in thousands):

Three Months Ended
July 31,		Six Months Ended
July 31,
2023202220232022
United States$65,114 $49,875 $123,617 $95,227 
International49,993 36,256 93,270 68,399 
Total$115,107 $86,131 $216,887 $163,626 
Schedule of Allowance for Credit Loss Rollforward
The following table presents a reconciliation of the allowance for credit losses on accounts receivable (in thousands):

Allowance for Credit Losses
Balance at January 31, 2023
$1,613 
Reserve:
Credit losses1,290 
Deferred revenue1,444 
Write-offs(1,993)
Recoveries60 
Balance at July 31, 2023
$2,414 
Schedule of Remaining Performance Obligations
The following table presents remaining performance obligations as of the dates indicated below (in millions):

TotalLess than 1 Year1-5 Years
July 31, 2022$410.5 $274.2 $136.3 
October 31, 2022408.7 283.3 125.4 
January 31, 2023455.7 312.6 143.1 
April 30, 2023477.5 325.4 152.1 
July 31, 2023523.5 353.3 170.2 
v3.23.2
Variable Interest Entity and Redeemable Non-Controlling Interest (Tables)
 6 Months Ended
Jul. 31, 2023
Noncontrolling Interest [Abstract]  
Schedule of Redeemable Noncontrolling Interest
The following table summarizes the activity in the redeemable non-controlling interests for the periods indicated below (in thousands):

Balance as of January 31, 2023
$1,455
Net loss attributable to redeemable non-controlling interest(727)
Balance as of July 31, 2023
$728
v3.23.2
Fair Value Measurements (Tables)
 6 Months Ended
Jul. 31, 2023
Fair Value Disclosures [Abstract]  
Schedule of Fair Value of Financial Instruments Measured at Fair Value on a Recurring Basis
The following table sets forth our financial instruments that were measured at fair value on a recurring basis at the periods indicated below, by level within the fair value hierarchy (in thousands):
July 31, 2023
Level 1Level 2Level 3Total
Financial Assets:
Cash equivalents
Money market funds$30,167 $— $— $30,167 
U.S. government securities8,224 — — 8,224 
38,391 — — 38,391 
Marketable securities
U.S. government securities$304,113 $— $— $304,113 
Foreign securities— 6,263 — 6,263 
Corporate debt securities— 84,570 — 84,570 
Total marketable securities304,113 90,833 — 394,946 
Liabilities
Contingent consideration$— $— $1,593 $1,593 
Total liabilities— — 1,593 1,593 
Total financial assets
$342,504 $90,833 $1,593 $434,930 
January 31, 2023
Level 1Level 2Level 3Total
Financial Assets:
Cash equivalents
Money market funds$30,873 $— $— $30,873 
30,873 — — 30,873 
Marketable securities
U.S. government securities$307,744 $— $— $307,744 
Foreign securities— 2,967 — 2,967 
Corporate debt securities— 99,372 — 99,372 
Total marketable securities307,744 102,339 — 410,083 
Total financial assets
$338,617 $102,339 $— $440,956 
v3.23.2
Marketable Securities (Tables)
 6 Months Ended
Jul. 31, 2023
Investments, Debt and Equity Securities [Abstract]  
Schedule of Components of Marketable Securities
Marketable securities consist of the following for the periods presented (in thousands):
July 31, 2023
Cost or Amortized CostGross Unrealized GainsGross Unrealized LossesTotal Estimated Fair Value
U.S. government securities$308,062 $— $(3,949)$304,113 
Foreign securities6,338 1 (76)6,263 
Corporate debt securities85,372 11 (813)84,570 
Total$399,772 $12 $(4,838)$394,946 
January 31, 2023
Cost or Amortized CostGross Unrealized GainsGross Unrealized LossesTotal Estimated Fair Value
U.S. government securities$312,044 $31 $(4,331)$307,744 
Foreign securities3,028 — (61)2,967 
Corporate debt securities100,589 27 (1,244)99,372 
Total$415,661 $58 $(5,636)$410,083 
Debt Securities, Available-for-Sale, Unrealized Loss Position, Fair Value
The following table summarizes the fair value and gross unrealized losses aggregated by category of individual securities that have been in a continuous unrealized loss position for greater than 12 months (in thousands):

July 31, 2023
Continuous Unrealized Loss for Greater than 12 months
Estimated Fair ValueGross Unrealized Losses
U.S. government securities$149,021 $(2,111)
Foreign securities3,946 (56)
Corporate debt securities59,114 (697)
Total$212,081 $(2,864)
Schedule of Marketable Securities by Contractual Maturity
The contractual maturities of the investments classified as available-for-sale marketable securities are as follows (in thousands):
July 31, 2023
Amortized CostEstimated Fair Value
Due within 1 year$226,793 $223,924 
Due in 1 year through 5 years172,979 171,022 
Total$399,772 $394,946 
January 31, 2023
Amortized CostEstimated Fair Value
Due within 1 year$247,214 $244,280 
Due in 1 year through 5 years168,447 165,803 
Total$415,661 $410,083 
Schedule of Investment Income
Investment income consists of interest income and accretion income/amortization expense on our cash, cash equivalents, restricted cash, and marketable securities. Investment income is included within other income, net on the consolidated statements of operations. The components of investment income were as follows (in thousands):
Three Months Ended
July 31,		Six Months Ended
July 31,
2023202220232022
Interest income$3,245 $1,956 $6,173 $2,399 
Amortization of discount/premium, net520 202 991 215 
Investment income$3,765 $2,158 $7,164 $2,614 
v3.23.2
Property and Equipment, Net (Tables)
 6 Months Ended
Jul. 31, 2023
Property, Plant and Equipment [Abstract]  
Schedule of Property and equipment, net
Property and equipment, net, consist of the following (in thousands):
July 31,
2023		January 31,
2023
Capitalized internal-use software$9,919 $7,344 
Computer equipment, office equipment, and software7,669 8,111 
Leasehold improvements10,128 9,410 
Furniture and fixtures4,259 4,085 
Total property and equipment31,975 28,950 
Less: accumulated depreciation and amortization(11,295)(8,611)
Total property and equipment, net$20,680 $20,339 
v3.23.2
Prepaid Expenses and Other Current Assets (Tables)
 6 Months Ended
Jul. 31, 2023
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]  
Schedule of Prepaid Expenses and Other Current Assets
Prepaid expenses and other current assets consist of the following (in thousands):
July 31,
2023		January 31,
2023
Prepaid software subscriptions$13,548 $12,574 
Prepaid advertising707 833 
Prepaid insurance1,574 2,795 
Investment interest receivable2,532 2,013 
Consumption tax receivable1,302 1,045 
Prepaid events3,193 657 
Prepaid employee benefits548 811 
Other4,877 5,435 
Total prepaid expenses and other current assets$28,281 $26,163 
v3.23.2
Accrued Expenses and Other Current Liabilities (Tables)
 6 Months Ended
Jul. 31, 2023
Payables and Accruals [Abstract]  
Schedule of Accrued Expenses and Other Current Liabilities Accrued expenses and other current liabilities consists of the following (in thousands):
July 31,
2023		January 31,
2023
Accrued compensation costs$24,285 $12,644 
Accrued software subscriptions10,693 8,454 
Accrued commissions7,224 6,205 
Accrued professional service fees1,731 1,779 
Accrued advertising1,316 922 
Accrued tax liability6,513 4,188 
ESPP payable930 322 
Other3,569 2,901 
Total accrued expenses and other current liabilities$56,261 $37,415 
v3.23.2
Employee Stock Plans (Tables)
 6 Months Ended
Jul. 31, 2023
Share-Based Payment Arrangement [Abstract]  
Schedule of Summarized Unvested RSU Award Activity
The following table summarizes unvested RSU award activity and related information:
SharesWeighted-Average Grant Date Fair Value
Balance as of January 31, 2023
4,625,518
Granted3,486,205$33.80 
Vested(655,621)$41.49 
Forfeited(435,827)$37.06 
Balance as of July 31, 2023
7,020,275
Schedule of Stock-Based Compensation Expense The following table summarizes stock-based compensation expense, which was included in the consolidated statements of operations as follows (in thousands):
Three Months Ended
July 31,		Six Months Ended
July 31,
2023202220232022
Cost of revenue$901 $911 $1,790 $1,831 
Sales and marketing7,807 5,439 15,655 11,106 
Research and development9,929 6,921 19,772 13,094 
General and administrative6,139 3,842 11,705 8,053 
Stock-based compensation, net of amounts capitalized$24,776 $17,113 $48,922 $34,084 
Capitalized stock-based compensation expense454 299 934 531 
Total stock-based compensation expense$25,230 $17,412 $49,856 $34,615 
Schedule of Compensation Cost Not Yet Recognized
As of July 31, 2023, total compensation cost not yet recognized related to unvested equity awards and the weighted-average remaining period over which these costs are expected to be realized were as follows:

Stock OptionsRSUs
Unrecognized compensation costs (in thousands)$36,581$178,464
Weighted-average remaining recognition period (years)2.082.92
v3.23.2
Leases (Tables)
 6 Months Ended
Jul. 31, 2023
Leases [Abstract]  
Schedule of Lease Cost, Terms, Discount Rates and Other Information
The following table presents information on our operating leases for the three and six months ended July 31, 2023 and 2022 (in thousands):

Three Months Ended
July 31,		Six Months Ended
July 31,
2023202220232022
Operating lease cost$3,862 $3,397 $7,513 $6,893 
Variable lease cost778 675 1,450 1,260 
Short-term lease cost97 568 385 1,120 
Total net lease cost$4,737 $4,640 $9,348 $9,273 
The Company's lease terms and discount rates are as follows:
July 31,
2023
Weighted-average remaining lease term (years)6.2
Weighted-average discount rate5.6 %

Other information for the Company's leases is as follows (in thousands):
Six Months Ended
July 31,
20232022
Cash paid for amounts included in the measurement of lease liabilities$5,788$4,691
Operating lease right-of-use assets obtained in exchange for new operating lease liabilities$1,524$—
Schedule of Maturities of Operating Lease Liabilities The future maturities of the Company’s operating lease liabilities by fiscal year were as follows (in thousands):
Remainder of 2024$6,008 
202513,317 
20268,609 
20277,550 
20286,101 
Thereafter19,569 
Total future undiscounted lease payments$61,154 
Less: imputed interest(9,567)
Less: tenant improvement allowance not yet received— 
Total reported lease liability$51,587 
v3.23.2
Net Loss Per Share (Tables)
 6 Months Ended
Jul. 31, 2023
Earnings Per Share [Abstract]  
Schedule of Net Loss Per Share
The following table sets forth the computation of basic and diluted net loss per share attributable to Braze, Inc. common shareholders during the periods presented (in thousands, except per share amounts):
Three Months Ended
July 31,		Six Months Ended
July 31,
2023202220232022
Numerator:
Net loss attributable to Braze, Inc.$(31,694)$(32,886)$(70,148)$(72,155)
Denominator:
Weighted-average shares of Braze, Inc. common stock outstanding97,187 94,134 97,037 93,706 
Less: weighted-average unvested shares of Braze, Inc. subject to repurchase(7)(31)(14)(38)
Weighted-average shares used to calculate net loss per share attributable to Braze, Inc. common stockholders, basic and diluted97,180 94,103 97,023 93,668 
Net loss per share attributable to Braze, Inc. common stockholders, basic and diluted$(0.33)$(0.35)$(0.72)$(0.77)
Schedule of Potentially Diluted Securities
The following outstanding shares of potentially dilutive securities have been excluded from diluted net loss per share attributable to Braze, Inc. common shareholders for the periods presented, because their inclusion would be anti-dilutive (in thousands):
Three Months Ended
July 31,		Six Months Ended
July 31,
2023202220232022
Options to purchase common stock6,846 9,160 14,286 9,160 
Restricted stock units7,020 3,397 14,354 3,397 
ESPP shares estimated to be purchased96 96 96 96 
Total13,962 12,653 28,736 12,653 
v3.23.2
Intangible Assets, Net (Tables)
 6 Months Ended
Jul. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Intangible Assets and Goodwill
Intangible assets, net, consisted of the following (in thousands):

July 31, 2023
Gross Carrying AmountAccumulated AmortizationNet Carrying AmountAmortization Period
Amortizable intangible assets
Customer relationships$3,119 $(54)$3,065 10 years
Restrictive covenant relationships186 (16)170 2 years
Trademark465 (78)387 1 year
Total amortizable intangible assets3,770 (148)3,622 
Non-amortizable intangible assets
Technology licenses500 — 500 n/a
Total intangible assets, net$4,270 $(148)$4,122 

January 31, 2023
Gross Carrying AmountAccumulated AmortizationNet Carrying AmountAmortization Period
Non-amortizable intangible assets
Technology licenses$500 $— $500 n/a
Total$500 $— $500 
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense As of July 31, 2023, future amortization expense by fiscal year is expected to be as follows (in thousands):
Amount
Remainder of 2024$432 
2025560 
2026343 
2027312 
2028312 
Thereafter1,663 
Total$3,622 
v3.23.2
Goodwill (Tables)
 6 Months Ended
Jul. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Goodwill
The changes in the carrying amounts of goodwill were as follows (in thousands):

Amount
Balance at January 31, 2023
$— 
North Star Acquisition28,045 
Balance at July 31, 2023
$28,045 
v3.23.2
Revenue from Contracts with Customers - Disaggregation of Revenue by Type (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 31, 2023
Jul. 31, 2022
Jul. 31, 2023
Jul. 31, 2022
Disaggregation of Revenue [Line Items]        
Revenue $ 115,107 $ 86,131 $ 216,887 $ 163,626
Subscription        
Disaggregation of Revenue [Line Items]        
Revenue 109,711 81,727 206,857 154,563
Professional services and other        
Disaggregation of Revenue [Line Items]        
Revenue $ 5,396 $ 4,404 $ 10,030 $ 9,063
v3.23.2
Revenue from Contracts with Customers - Disaggregation of Revenue by Geography (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 31, 2023
Jul. 31, 2022
Jul. 31, 2023
Jul. 31, 2022
Disaggregation of Revenue [Line Items]        
Revenue $ 115,107 $ 86,131 $ 216,887 $ 163,626
United States        
Disaggregation of Revenue [Line Items]        
Revenue 65,114 49,875 123,617 95,227
International        
Disaggregation of Revenue [Line Items]        
Revenue $ 49,993 $ 36,256 $ 93,270 $ 68,399
v3.23.2
Revenue from Contracts with Customers - Narrative (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jul. 31, 2023
Jul. 31, 2022
Jul. 31, 2023
Jul. 31, 2022
Jan. 31, 2023
Revenue from Contract with Customer [Abstract]          
Unbilled receivables $ 1.4   $ 1.4   $ 1.0
Contract asset 0.9   0.9   $ 0.8
Revenue recognized from previously recorded contract liabilities $ 51.1 $ 37.7 $ 128.2 $ 97.2  
v3.23.2
Revenue from Contracts with Customers - Allowance for Credit Loss Rollforward (Details)
$ in Thousands
 6 Months Ended
Jul. 31, 2023
USD ($)
Accounts Receivable, Allowance for Credit Loss [Roll Forward]  
Beginning balance $ 1,613
Credit losses 1,290
Deferred revenue 1,444
Write-offs (1,993)
Recoveries 60
Ending balance $ 2,414
v3.23.2
Revenue from Contracts with Customers - Remaining Performance Obligations (Details) - USD ($)
$ in Millions
Jul. 31, 2023
Apr. 30, 2023
Jan. 31, 2023
Oct. 31, 2022
Jul. 31, 2022
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]          
Revenue, remaining performance obligation, amount $ 523.5 $ 477.5 $ 455.7 $ 408.7 $ 410.5
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, remaining performance obligation, amount         274.2
Revenue, remaining performance obligation, period       1 year  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-11-01          
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]          
Revenue, remaining performance obligation, amount       $ 283.3  
Revenue, remaining performance obligation, period     1 year    
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, remaining performance obligation, amount     $ 312.6    
Revenue, remaining performance obligation, period     1 year    
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-05-01          
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]          
Revenue, remaining performance obligation, amount   325.4      
Revenue, remaining performance obligation, period 1 year        
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, remaining performance obligation, amount $ 353.3       $ 136.3
Revenue, remaining performance obligation, period       4 years 1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-11-01          
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]          
Revenue, remaining performance obligation, amount       $ 125.4  
Revenue, remaining performance obligation, period     4 years    
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-02-01          
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]          
Revenue, remaining performance obligation, amount     $ 143.1    
Revenue, remaining performance obligation, period     4 years    
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-05-01          
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]          
Revenue, remaining performance obligation, amount   $ 152.1      
Revenue, remaining performance obligation, period 4 years        
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-08-01          
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]          
Revenue, remaining performance obligation, amount $ 170.2        
Revenue, remaining performance obligation, period         4 years
v3.23.2
Variable Interest Entity and Redeemable Non-Controlling Interest - Narrative (Details) - USD ($)
$ in Millions
 1 Months Ended 13 Months Ended
Sep. 30, 2021
Sep. 30, 2020
Sep. 30, 2021
Jul. 31, 2023
Noncontrolling Interest [Line Items]        
Other long-term liability, deferred compensation       $ 0.2
Braze KK        
Noncontrolling Interest [Line Items]        
Consideration received $ 5.0 $ 5.0 $ 10.0  
v3.23.2
Variable Interest Entity and Redeemable Non-Controlling Interest - Redeemable Noncontrolling Interest (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 31, 2023
Jul. 31, 2022
Jul. 31, 2023
Jul. 31, 2022
Noncontrolling Interest [Roll Forward]        
Beginning balance $ 1,083 $ 2,871 $ 1,455 $ 3,235
Net loss attributable to redeemable non-controlling interest (355) (527) (727) (891)
Ending balance $ 728 $ 2,344 $ 728 $ 2,344
v3.23.2
Fair Value Measurements - Fair Value of Financial Instruments Measured at Fair Value on a Recurring Basis (Details) - USD ($)
$ in Thousands
Jul. 31, 2023
Jan. 31, 2023
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash equivalents $ 38,391 $ 30,873
Marketable securities 394,946 410,083
Contingent consideration 1,593  
Total liabilities 1,593  
Total financial assets 434,930 440,956
U.S. government securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 304,113 307,744
Foreign securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 6,263 2,967
Corporate debt securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 84,570 99,372
Money market funds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash equivalents 30,167 30,873
U.S. government securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash equivalents 8,224  
Level 1    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash equivalents 38,391 30,873
Marketable securities 304,113 307,744
Contingent consideration 0  
Total liabilities 0  
Total financial assets 342,504 338,617
Level 1 | U.S. government securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 304,113 307,744
Level 1 | Foreign securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 0 0
Level 1 | Corporate debt securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 0 0
Level 1 | Money market funds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash equivalents 30,167 30,873
Level 1 | U.S. government securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash equivalents 8,224  
Level 2    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash equivalents 0 0
Marketable securities 90,833 102,339
Contingent consideration 0  
Total liabilities 0  
Total financial assets 90,833 102,339
Level 2 | U.S. government securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 0 0
Level 2 | Foreign securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 6,263 2,967
Level 2 | Corporate debt securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 84,570 99,372
Level 2 | Money market funds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash equivalents 0 0
Level 2 | U.S. government securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash equivalents 0  
Level 3    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash equivalents 0 0
Marketable securities 0 0
Contingent consideration 1,593  
Total liabilities 1,593  
Total financial assets 1,593 0
Level 3 | U.S. government securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 0 0
Level 3 | Foreign securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 0 0
Level 3 | Corporate debt securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 0 0
Level 3 | Money market funds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash equivalents 0 $ 0
Level 3 | U.S. government securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash equivalents $ 0  
v3.23.2
Marketable Securities - Components of Marketable Securities (Details) - USD ($)
$ in Thousands
Jul. 31, 2023
Jan. 31, 2023
Debt Securities, Available-for-sale [Line Items]    
Cost or Amortized Cost $ 399,772 $ 415,661
Gross Unrealized Gains 12 58
Gross Unrealized Losses (4,838) (5,636)
Total Estimated Fair Value 394,946 410,083
U.S. government securities    
Debt Securities, Available-for-sale [Line Items]    
Cost or Amortized Cost 308,062 312,044
Gross Unrealized Gains 0 31
Gross Unrealized Losses (3,949) (4,331)
Total Estimated Fair Value 304,113 307,744
Foreign securities    
Debt Securities, Available-for-sale [Line Items]    
Cost or Amortized Cost 6,338 3,028
Gross Unrealized Gains 1 0
Gross Unrealized Losses (76) (61)
Total Estimated Fair Value 6,263 2,967
Corporate debt securities    
Debt Securities, Available-for-sale [Line Items]    
Cost or Amortized Cost 85,372 100,589
Gross Unrealized Gains 11 27
Gross Unrealized Losses (813) (1,244)
Total Estimated Fair Value $ 84,570 $ 99,372
v3.23.2
Marketable Securities - Narrative (Details) - USD ($)
Jul. 31, 2023
Jan. 31, 2023
Investments, Debt and Equity Securities [Abstract]    
Accrued interest receivable $ 2,500,000 $ 2,000,000
Allowance for credit loss $ 0  
v3.23.2
Marketable Securities - Continuous Loss Position (Details)
$ in Thousands
Jul. 31, 2023
USD ($)
Debt Securities, Available-for-sale [Line Items]  
Estimated Fair Value $ 212,081
Gross Unrealized Losses (2,864)
U.S. government securities  
Debt Securities, Available-for-sale [Line Items]  
Estimated Fair Value 149,021
Gross Unrealized Losses (2,111)
Foreign securities  
Debt Securities, Available-for-sale [Line Items]  
Estimated Fair Value 3,946
Gross Unrealized Losses (56)
Corporate debt securities  
Debt Securities, Available-for-sale [Line Items]  
Estimated Fair Value 59,114
Gross Unrealized Losses $ (697)
v3.23.2
Marketable Securities - Contractual Maturity (Details) - USD ($)
$ in Thousands
Jul. 31, 2023
Jan. 31, 2023
Amortized Cost    
Due within 1 year $ 226,793 $ 247,214
Due in 1 year through 5 years 172,979 168,447
Cost or Amortized Cost 399,772 415,661
Estimated Fair Value    
Due within 1 year 223,924 244,280
Due in 1 year through 5 years 171,022 165,803
Total Estimated Fair Value $ 394,946 $ 410,083
v3.23.2
Marketable Securities - Investment Income (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 31, 2023
Jul. 31, 2022
Jul. 31, 2023
Jul. 31, 2022
Investments, Debt and Equity Securities [Abstract]        
Interest income $ 3,245 $ 1,956 $ 6,173 $ 2,399
Amortization of discount/premium, net 520 202 991 215
Investment income $ 3,765 $ 2,158 $ 7,164 $ 2,614
v3.23.2
Property and Equipment, Net (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 31, 2023
Jul. 31, 2022
Jul. 31, 2023
Jul. 31, 2022
Jan. 31, 2023
Property, Plant and Equipment [Line Items]          
Property, plant and equipment, gross $ 31,975   $ 31,975   $ 28,950
Less: accumulated depreciation and amortization (11,295)   (11,295)   (8,611)
Total property and equipment, net 20,680   20,680   20,339
Depreciation and amortization 1,500 $ 900 2,700 $ 1,900  
Capitalized internal-use software 1,200 700 2,500 1,200  
Removal of fixed assets 200   500    
Cost of revenue          
Property, Plant and Equipment [Line Items]          
Amortization for capital internal-use software (600) $ (400) (1,100) $ (900)  
Capitalized internal-use software          
Property, Plant and Equipment [Line Items]          
Property, plant and equipment, gross 9,919   9,919   7,344
Computer equipment, office equipment, and software          
Property, Plant and Equipment [Line Items]          
Property, plant and equipment, gross 7,669   7,669   8,111
Leasehold improvements          
Property, Plant and Equipment [Line Items]          
Property, plant and equipment, gross 10,128   10,128   9,410
Furniture and fixtures          
Property, Plant and Equipment [Line Items]          
Property, plant and equipment, gross $ 4,259   $ 4,259   $ 4,085
v3.23.2
Prepaid Expenses and Other Current Assets - Summary (Details) - USD ($)
$ in Thousands
Jul. 31, 2023
Jan. 31, 2023
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]    
Prepaid software subscriptions $ 13,548 $ 12,574
Prepaid advertising 707 833
Prepaid insurance 1,574 2,795
Investment interest receivable 2,532 2,013
Consumption tax receivable 1,302 1,045
Prepaid events 3,193 657
Prepaid employee benefits 548 811
Other 4,877 5,435
Total prepaid expenses and other current assets $ 28,281 $ 26,163
v3.23.2
Accrued Expenses and Other Current Liabilities (Details) - USD ($)
$ in Thousands
Jul. 31, 2023
Jan. 31, 2023
Payables and Accruals [Abstract]    
Accrued compensation costs $ 24,285 $ 12,644
Accrued software subscriptions 10,693 8,454
Accrued commissions 7,224 6,205
Accrued professional service fees 1,731 1,779
Accrued advertising 1,316 922
Accrued tax liability 6,513 4,188
ESPP payable 930 322
Other 3,569 2,901
Total accrued expenses and other current liabilities $ 56,261 $ 37,415
v3.23.2
Employee Benefit Plans (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jul. 31, 2023
Jul. 31, 2022
Jul. 31, 2023
Jul. 31, 2022
Retirement Benefits [Abstract]        
Contributions $ 1.2 $ 1.2 $ 3.6 $ 3.0
v3.23.2
Stockholder’s Equity (Deficit) (Details)
$ in Millions
 3 Months Ended 6 Months Ended
Jul. 31, 2023
USD ($)
vote
class
shares
Jul. 31, 2023
USD ($)
vote
class
shares
Jul. 31, 2022
USD ($)
shares
Class of Stock [Line Items]      
Classes of common stock (in classes) | class 2 2  
Threshold for conversion 10.00% 10.00%  
Charitable donation | $ $ 1.0 $ 1.0 $ 4.3
Class A common stock      
Class of Stock [Line Items]      
Votes per share (in votes) 1 1  
Common stock converted (in votes) 1 1  
Charitable donation (in shares) | shares 32,155 32,155 96,465
Class B common stock      
Class of Stock [Line Items]      
Votes per share (in votes) 10 10  
v3.23.2
Employee Stock Plans - Narrative (Details) - USD ($)
$ in Thousands
 1 Months Ended 3 Months Ended 6 Months Ended
Feb. 01, 2023
Nov. 30, 2021
Jul. 31, 2023
Jul. 31, 2022
Jul. 31, 2023
Jul. 31, 2022
Nov. 16, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]              
Stock-based compensation     $ 24,776 $ 17,113 $ 48,922 $ 34,084  
RSUs              
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]              
Award cliff vesting period         4 years    
RSUs | Minimum              
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]              
Award cliff vesting period         1 year    
Employee Stock | Common Stock              
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]              
Issuance of common stock under employee stock purchase plan (in shares)     128,104        
2021 Equity Incentive Plan              
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]              
Number of shares reserved for future issuance (in shares)   25,660,249          
Shares reserved for future issuance, period of automatic increase   10 years          
Shares reserved for future issuance, increase as percentage of total shares outstanding   5.00%          
Shares reserved for future issuance, additional shares reserved (in shares) 4,798,771            
Employee Stock Purchase Plan              
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]              
Shares reserved for future issuance, period of automatic increase   10 years          
Shares reserved for future issuance, increase as percentage of total shares outstanding   1.00%          
Shares reserved for future issuance, additional shares reserved (in shares) 959,754            
Automatic increase in ESPP (in shares)             2,737,000
Employee Stock Purchase Plan | Employee Stock              
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]              
Number of shares reserved for issuance (in shares)             1,825,000
Stock-based compensation     $ 600 $ 300 $ 1,400 $ 300  
Share-based compensation amount withheld from employees for future purchase     $ 900   $ 900    
Number available for grant (in share)     3,461,054   3,461,054    
v3.23.2
Employee Stock Plans - Schedule of Summarized Unvested RSU Award Activity (Details) - RSUs
 6 Months Ended
Jul. 31, 2023
$ / shares
shares
Stock units  
Beginning balance, outstanding (in shares) | shares 4,625,518
Granted (in shares) | shares 3,486,205
Vested (in shares) | shares (655,621)
Forfeited (in shares) | shares (435,827)
Ending balance, outstanding (in shares) | shares 7,020,275
Weighted-Average Grant Date Fair Value  
Beginning balance (in dollars per share) | $ / shares
Granted (in dollars per share) | $ / shares 33.80
Vested (in dollars per share) | $ / shares 41.49
Forfeited (in dollars per share) | $ / shares 37.06
Ending balance (in dollars per share) | $ / shares
v3.23.2
Employee Stock Plans - Stock-Based Compensation Expense (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 31, 2023
Jul. 31, 2022
Jul. 31, 2023
Jul. 31, 2022
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]        
Stock-based compensation $ 24,776 $ 17,113 $ 48,922 $ 34,084
Capitalized stock-based compensation expense 454 299 934 531
Total stock-based compensation expense 25,230 17,412 49,856 34,615
Cost of revenue        
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]        
Stock-based compensation 901 911 1,790 1,831
Sales and marketing        
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]        
Stock-based compensation 7,807 5,439 15,655 11,106
Research and development        
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]        
Stock-based compensation 9,929 6,921 19,772 13,094
General and administrative        
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]        
Stock-based compensation $ 6,139 $ 3,842 $ 11,705 $ 8,053
v3.23.2
Employee Stock Plans - Compensation Cost Not Yet Recognized (Details)
 6 Months Ended
Jul. 31, 2023
USD ($)
Stock Options  
Share-Based Payment Arrangement [Abstract]  
Weighted-average remaining recognition period (years) 2 years 29 days
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Unrecognized compensation costs (in thousands) $ 36,581
Weighted-average remaining recognition period (years) 2 years 29 days
RSUs  
Share-Based Payment Arrangement [Abstract]  
Unrecognized compensation costs (in thousands) $ 178,464
Weighted-average remaining recognition period (years) 2 years 11 months 1 day
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Unrecognized compensation costs (in thousands) $ 178,464
Weighted-average remaining recognition period (years) 2 years 11 months 1 day
v3.23.2
Commitments and Contingencies - Narrative (Details) - USD ($)
$ in Millions
Jul. 31, 2023
Jan. 31, 2023
Commitments and Contingencies Disclosure [Abstract]    
Taxes payable $ 0.5 $ 0.5
v3.23.2
Leases - Narrative (Details)
$ in Millions
 1 Months Ended
Nov. 30, 2022
USD ($)
ft²
Jul. 31, 2023
Lessee, Lease, Description [Line Items]    
Are of office space (in square feet) | ft² 92,300  
Fixed rent obligation $ 0.6  
Rent abatement amount $ 6.6  
Minimum    
Lessee, Lease, Description [Line Items]    
Term of contract   2 years
Maximum    
Lessee, Lease, Description [Line Items]    
Term of contract   10 years
v3.23.2
Leases - Schedule of Lease, Cost (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 31, 2023
Jul. 31, 2022
Jul. 31, 2023
Jul. 31, 2022
Leases [Abstract]        
Operating lease cost $ 3,862 $ 3,397 $ 7,513 $ 6,893
Variable lease cost 778 675 1,450 1,260
Short-term lease cost 97 568 385 1,120
Total net lease cost $ 4,737 $ 4,640 $ 9,348 $ 9,273
v3.23.2
Leases - Maturities of Operating Lease Liabilities (Details)
$ in Thousands
Jul. 31, 2023
USD ($)
Lessee, Operating Lease, Liability, Payment, Due [Abstract]  
Remainder of 2024 $ 6,008
2025 13,317
2026 8,609
2027 7,550
2028 6,101
Thereafter 19,569
Total future undiscounted lease payments 61,154
Less: imputed interest (9,567)
Less: tenant improvement allowance not yet received 0
Total reported lease liability $ 51,587
v3.23.2
Leases - Lease Terms and Discount Rates (Details)
Jul. 31, 2023
Leases [Abstract]  
Weighted-average remaining lease term (years) 6 years 2 months 12 days
Weighted-average discount rate 5.60%
v3.23.2
Leases - Other Information for the Company's Leases (Details) - USD ($)
$ in Thousands
 6 Months Ended
Jul. 31, 2023
Jul. 31, 2022
Leases [Abstract]    
Cash paid for amounts included in the measurement of lease liabilities $ 5,788 $ 4,691
Operating lease right-of-use assets obtained in exchange for new operating lease liabilities $ 1,524 $ 0
v3.23.2
Income Taxes (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 31, 2023
Jul. 31, 2022
Jul. 31, 2023
Jul. 31, 2022
Income Tax Disclosure [Abstract]        
Provision for income taxes $ 545 $ 35 $ 933 $ 49
Effective tax rate (1.70%) (0.10%) (1.30%) (0.10%)
v3.23.2
Net Loss Per Share - Schedule of Net Loss Per Share (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
 3 Months Ended 6 Months Ended
Jul. 31, 2023
Jul. 31, 2022
Jul. 31, 2023
Jul. 31, 2022
Numerator:        
Net loss attributable to Braze, Inc. $ (31,694) $ (32,886) $ (70,148) $ (72,155)
Denominator:        
Weighted-average shares of Braze, Inc. common stock outstanding, basic (in shares) 97,187 94,134 97,037 93,706
Less: weighted-average unvested shares of Braze, Inc. subject to repurchase (in shares) (7) (31) (14) (38)
Weighted-average shares used to compute net loss per share attributable to Braze, Inc. common stockholders, basic (in shares) 97,180 94,103 97,023 93,668
Weighted-average shares used to compute net loss per share attributable to Braze, Inc. common stockholders, diluted (in shares) 97,180 94,103 97,023 93,668
Net loss per share:        
Net loss per share attributable to Braze, Inc. common stockholders, basic (in dollars per share) $ (0.33) $ (0.35) $ (0.72) $ (0.77)
Net loss per share attributable to Braze, Inc. common stockholders, diluted (in dollars per share) $ (0.33) $ (0.35) $ (0.72) $ (0.77)
v3.23.2
Net Loss Per Share - Schedule of Potentially Dilutive Securities (Details) - shares
shares in Thousands
 3 Months Ended 6 Months Ended
Jul. 31, 2023
Jul. 31, 2022
Jul. 31, 2023
Jul. 31, 2022
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]        
Antidilutive securities excluded from computation of loss per share (in shares) 13,962 12,653 28,736 12,653
Options to purchase common stock        
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]        
Antidilutive securities excluded from computation of loss per share (in shares) 6,846 9,160 14,286 9,160
Restricted stock units        
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]        
Antidilutive securities excluded from computation of loss per share (in shares) 7,020 3,397 14,354 3,397
ESPP shares estimated to be purchased        
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]        
Antidilutive securities excluded from computation of loss per share (in shares) 96 96 96 96
v3.23.2
Related Party Transactions - Narrative (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jul. 31, 2023
Jul. 31, 2022
Jul. 31, 2023
Jul. 31, 2022
Related Party Transactions [Abstract]        
Purchases from related party $ 0.4 $ 0.4 $ 1.2 $ 1.0
v3.23.2
Restructuring (Details)
$ in Millions
 3 Months Ended
Jul. 31, 2023
USD ($)
Restructuring and Related Activities [Abstract]  
Restructuring costs $ 0.6
v3.23.2
Business Combination (Details) - USD ($)
$ in Thousands
Jun. 01, 2023
Jul. 31, 2023
Jan. 31, 2023
Business Acquisition [Line Items]      
Contingent consideration   $ 1,593  
Goodwill   28,045 $ 0
North Star Y, Pty Ltd      
Business Acquisition [Line Items]      
Consideration transferred $ 28,500    
Purchase price consideration, cash payments 17,600    
Purchase price consideration, equity issued 6,000    
Contingent consideration 1,600    
Earn out payment, period one 10,000    
Earn out payment, period two 16,000    
Intangible assets 3,800    
Goodwill $ 28,000    
Indemnification holdback   2,800  
Working capital holdback   $ 500  
v3.23.2
Intangible Assets, Net - Schedule of Intangible Assets, Net (Details) - USD ($)
$ in Thousands
 3 Months Ended
Jul. 31, 2023
Jul. 31, 2022
Jan. 31, 2023
Finite-Lived Intangible Assets [Line Items]      
Gross Carrying Amount $ 3,770    
Accumulated Amortization (148)   $ 0
Total 3,622    
Non-amortizable intangible assets 500   500
Total intangible assets, gross 4,270   500
Intangible assets, net 4,122   $ 500
Intangible amortization expense 100 $ 0  
Customer relationships      
Finite-Lived Intangible Assets [Line Items]      
Gross Carrying Amount 3,119    
Accumulated Amortization (54)    
Total $ 3,065    
Amortization Period 10 years    
Restrictive covenant relationships      
Finite-Lived Intangible Assets [Line Items]      
Gross Carrying Amount $ 186    
Accumulated Amortization (16)    
Total $ 170    
Amortization Period 2 years    
Trademark      
Finite-Lived Intangible Assets [Line Items]      
Gross Carrying Amount $ 465    
Accumulated Amortization (78)    
Total $ 387    
Amortization Period 1 year    
v3.23.2
Intangible Assets, Net - Schedule of Future Amortization Expense (Details)
$ in Thousands
Jul. 31, 2023
USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]  
Remainder of 2024 $ 432
2025 560
2026 343
2027 312
2028 312
Thereafter 1,663
Total $ 3,622
v3.23.2
Goodwill (Details)
$ in Thousands
 6 Months Ended
Jul. 31, 2023
USD ($)
Goodwill [Roll Forward]  
Balance at January 31, 2023 $ 0
North Star Acquisition 28,045
Balance at July 31, 2023 $ 28,045
v3.23.2
Subsequent Events (Details) - USD ($)
$ in Millions
 6 Months Ended
Sep. 07, 2023
Jul. 31, 2023
Aug. 31, 2023
RSUs      
Subsequent Event [Line Items]      
Restricted stock granted during the period (in shares)   3,486,205  
Subsequent Event      
Subsequent Event [Line Items]      
Purchase Obligation     $ 25.0
Subsequent Event | RSUs      
Subsequent Event [Line Items]      
Restricted stock granted during the period (in shares) 170,269    
Award vesting period 4 years    
Aggregate value, outstanding $ 7.5