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Cover Page - shares	3 Months Ended
Cover Page - shares	Apr. 30, 2020	May 28, 2020
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Apr. 30, 2020
Document Transition Report	false
Entity File Number	001-36568
Entity Registrant Name	HEALTHEQUITY, INC.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	52-2383166
Entity Address, Address Line One	15 West Scenic Pointe Drive
Entity Address, Address Line Two	Suite 100
Entity Address, City or Town	Draper,
Entity Address, State or Province	UT
Entity Address, Postal Zip Code	84020
City Area Code	801
Local Phone Number	727-1000
Title of 12(b) Security	Common stock, par value $0.0001 per share
Trading Symbol	HQY
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		71,399,355
Entity Central Index Key	0001428336
Current Fiscal Year End Date	--01-31
Document Fiscal Year Focus	2021
Document Fiscal Period Focus	Q1
Amendment Flag	false

Condensed consolidated balance sheets - USD ($) $ in Thousands	Apr. 30, 2020	Jan. 31, 2020
Current assets
Cash and cash equivalents	$ 171,093	$ 191,726
Accounts receivable, net of allowance for doubtful accounts of $1,681 and $1,216 as of April 30, 2020 and January 31, 2020, respectively	69,789	70,863
Other current assets	42,901	34,711
Total current assets	283,783	297,300
Property and equipment, net	35,821	33,486
Operating lease right-of-use assets	97,554	83,178
Intangible assets, net	777,483	783,279
Goodwill	1,332,631	1,332,631
Deferred tax asset	38	18
Other assets	35,169	35,089
Total assets	2,562,479	2,564,981
Current liabilities
Accounts payable	7,338	3,980
Accrued compensation	27,197	50,121
Accrued liabilities	39,985	46,372
Current portion of long-term debt	46,875	39,063
Operating lease liabilities	13,210	12,401
Total current liabilities	134,605	151,937
Long-term debt, net of issuance costs	1,167,192	1,181,615
Operating lease liabilities, non-current	81,982	68,017
Other long-term liabilities	3,783	2,625
Deferred tax liability	134,267	130,492
Total long-term liabilities	1,387,224	1,382,749
Total liabilities	1,521,829	1,534,686
Commitments and contingencies (see Note 7)
Stockholders’ equity
Preferred stock, $0.0001 par value, 100,000 shares authorized, no shares issued and outstanding as of April 30, 2020 and January 31, 2020, respectively	0	0
Common stock, $0.0001 par value, 900,000 shares authorized, 71,398 and 71,051 shares issued and outstanding as of April 30, 2020 and January 31, 2020, respectively	7	7
Additional paid-in capital	827,303	818,774
Accumulated earnings	213,340	211,514
Total stockholders’ equity	1,040,650	1,030,295
Total liabilities and stockholders’ equity	$ 2,562,479	$ 2,564,981

Condensed consolidated balance sheets (Parenthetical) - USD ($) $ in Thousands	Apr. 30, 2020	Jan. 31, 2020
Statement of Financial Position [Abstract]
Allowance for doubtful accounts	$ 1,681	$ 1,216
Preferred stock, par value (usd per share)	$ 0.0001	$ 0.0001
Preferred stock, authorized (in shares)	100,000,000	100,000,000
Preferred stock, issued (in shares)	0	0
Preferred stock, outstanding (in shares)	0	0
Common stock, par value (usd per share)	$ 0.0001	$ 0.0001
Common stock, authorized (in shares)	900,000,000	900,000,000
Common stock, issued (in shares)	71,398,000	71,051,000
Common stock, outstanding (in shares)	71,398,000	71,051,000

Condensed consolidated statements of operations and comprehensive income (unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Apr. 30, 2020	Apr. 30, 2019
Revenues [Abstract]
Revenue	$ 190,011	$ 87,052
Cost of revenue
Cost of revenue	81,937	29,299
Gross profit	108,074	57,753
Operating Expenses [Abstract]
Sales and marketing	11,455	8,970
Technology and development	31,078	10,905
General and administrative	18,998	8,709
Amortization of acquired intangible assets	18,702	1,491
Merger integration	12,770	0
Total operating expenses	93,003	30,075
Income from operations	15,071	27,678
Other income (expense)
Interest expense	(12,263)	(63)
Other income (expense), net	(764)	23,663
Total other income (expense)	(13,027)	23,600
Income before income taxes	2,044	51,278
Income tax provision	218	9,456
Net income	1,826	41,822
Comprehensive income	$ 1,826	$ 41,822
Net income per share:
Basic (in usd per share)	$ 0.03	$ 0.67
Diluted (in usd per share)	$ 0.03	$ 0.65
Weighted-average number of shares used in computing net income per share:
Basic (in shares)	70,980	62,326
Diluted (in shares)	72,292	63,901
Service revenue
Revenues [Abstract]
Revenue	$ 111,271	$ 26,808
Cost of revenue
Cost of revenue	71,013	20,649
Custodial revenue
Revenues [Abstract]
Revenue	46,899	41,952
Cost of revenue
Cost of revenue	5,045	4,123
Interchange revenue
Revenues [Abstract]
Revenue	31,841	18,292
Cost of revenue
Cost of revenue	$ 5,879	$ 4,527

Condensed consolidated statements of stockholders' equity (unaudited) - USD ($) $ in Thousands	Total	Common stock	Additional paid-in capital	Accumulated earnings
Beginning balance at Jan. 31, 2019	$ 477,079	$ 6	$ 305,223	$ 171,850
Stockholders' Equity
Issuance of common stock upon exercise of stock options, and for restricted stock			4,370
Stock-based compensation			6,028
Net income	41,822			41,822
Ending balance at Apr. 30, 2019	529,299	6	315,621	213,672
Beginning balance at Jan. 31, 2020	1,030,295	7	818,774	211,514
Stockholders' Equity
Issuance of common stock upon exercise of stock options, and for restricted stock			1,133
Stock-based compensation			7,396
Net income	1,826			1,826
Ending balance at Apr. 30, 2020	$ 1,040,650	$ 7	$ 827,303	$ 213,340

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References + Details

Condensed consolidated statements of cash flows (unaudited) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2020	Apr. 30, 2019
Cash flows from operating activities:
Net income	$ 1,826	$ 41,822
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	27,507	4,773
Stock-based compensation	7,396	6,028
Amortization of debt issuance costs	1,201	15
Gains on marketable equity securities	0	(23,511)
Other non-cash items	1,494	12
Deferred taxes	3,786	7,542
Changes in operating assets and liabilities:
Accounts receivable	552	(1,354)
Other assets	(8,360)	(1,694)
Operating lease right-of-use assets	3,104	635
Accounts payable	3,632	(1,577)
Accrued compensation	(22,924)	(8,480)
Accrued liabilities and other current liabilities	(2,270)	1,769
Operating lease liabilities, non-current	(3,045)	(627)
Other long-term liabilities	1,127	(17)
Net cash provided by operating activities	15,026	25,336
Cash flows from investing activities:
Purchases of marketable securities	0	(53,845)
Purchases of property and equipment	(7,511)	(1,126)
Purchases of software and capitalized software development costs	(11,775)	(5,497)
Acquisition of intangible member assets	(6,008)	(1,262)
Net cash used in investing activities	(25,294)	(61,730)
Cash flows from financing activities:
Principal payments on long-term debt	(7,812)	0
Settlement of client-held funds obligation	(3,776)	0
Proceeds from exercise of common stock options	1,223	4,229
Net cash provided by (used in) financing activities	(10,365)	4,229
Decrease in cash and cash equivalents	(20,633)	(32,165)
Beginning cash and cash equivalents	191,726	361,475
Ending cash and cash equivalents	171,093	329,310
Supplemental cash flow data:
Interest expense paid in cash	10,749	50
Income taxes paid in cash, net of refunds received	733	(51)
Supplemental disclosures of non-cash investing and financing activities:
Exercise of common stock options receivable	0	141
Purchases of property and equipment included in accounts payable or accrued liabilities at period end	968	21
Computer software intangible asset
Supplemental disclosures of non-cash investing and financing activities:
Purchases of intangible assets	$ 1,537	$ 158

Summary of business and significant accounting policies	3 Months Ended
Summary of business and significant accounting policies	Apr. 30, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Summary of business and significant accounting policies	Summary of business and significant accounting policies Business HealthEquity, Inc. was incorporated in the state of Delaware on September 18, 2002. HealthEquity, Inc. is a leader in administering health savings accounts (“HSAs”) and complementary consumer-directed benefits (“CDBs”), which empower consumers to access tax-advantaged healthcare savings while also providing corporate tax advantages for employers. Principles of consolidation The condensed consolidated financial statements include the accounts of HealthEquity, Inc., and its direct and indirect subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation. Basis of presentation The accompanying condensed consolidated financial statements as of April 30, 2020 and for the three months ended April 30, 2020 and 2019 are unaudited and have been prepared in conformity with accounting principles generally accepted in the United States of America ("GAAP") and the applicable rules and regulations of the Securities and Exchange Commission ("SEC") regarding interim financial reporting. In the opinion of management, the interim data includes all adjustments, consisting only of normal recurring adjustments, necessary for a fair presentation of the results for the interim periods. Certain information and note disclosures normally included in annual financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. Therefore, these condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes included in the Company's Annual Report on Form 10-K for the fiscal year ended January 31, 2020. The fiscal year-end condensed consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by GAAP. Certain reclassifications have been made to prior year amounts to conform to the current year presentation. Significant accounting policies There have been no material changes in the Company’s significant accounting policies as compared to the significant accounting policies described in the Company’s Annual Report on Form 10-K for the fiscal year ended January 31, 2020. Recently adopted accounting pronouncements In June 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2016-13, Financial Instruments - Credit Losses: Measurement of Credit Losses on Financial Instruments, which requires financial assets measured at amortized cost be presented at the net amount expected to be collected. This ASU is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. The Company adopted the new standard as of February 1, 2020 using the modified retrospective transition method. The adoption of this standard did not have a material effect on the Company’s condensed consolidated financial statements. In August 2018, the FASB issued ASU 2018-13, Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement (“ASU 2018-13”), which amends ASC 820, "Fair Value Measurement." ASU 2018-13 modifies the disclosure requirements for fair value measurements by removing, modifying and adding certain disclosures. This ASU is effective for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years. The Company adopted the new standard as of February 1, 2020. The adoption of this standard did not have a material effect on the Company’s condensed consolidated financial statements. In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes as part of its overall simplification initiative to reduce costs and complexity of applying accounting standards while maintaining or improving the usefulness of the information provided to users of financial statements. The Company adopted the new standard as of February 1, 2020. The adoption of this standard did not have a material effect on the Company’s condensed consolidated financial statements.

Net income per share

3 Months Ended

Apr. 30, 2020

Earnings Per Share [Abstract]

Net income per share

The following table sets forth the computation of basic and diluted net income per share:


	Three months ended April 30,
(in thousands, except per share data)	2020		2019
Numerator (basic and diluted):
Net income	$	1,826	$	41,822
Denominator (basic):
Weighted-average common shares outstanding	70,980		62,326
Denominator (diluted):
Weighted-average common shares outstanding	70,980		62,326
Weighted-average dilutive effect of stock options and restricted stock units	1,312		1,575
Diluted weighted-average common shares outstanding	72,292		63,901
Net income per share:
Basic	$	0.03	$	0.67
Diluted	$	0.03	$	0.65

For the three months ended April 30, 2020 and 2019, approximately 0.5 million and 0.2 million shares, respectively, attributable to stock options and restricted stock units were excluded from the calculation of diluted earnings per share as their inclusion would have been anti-dilutive.

Business combination

3 Months Ended

Apr. 30, 2020

Business Combinations [Abstract]

Business combination

Acquisition of WageWorks

On August 30, 2019, the Company closed the acquisition (the "Acquisition") of WageWorks, Inc. ("WageWorks") for $51.35 per share in cash, or approximately $2.0 billion to WageWorks stockholders. The Company financed the transaction through a combination of $816.9 million cash on hand plus net borrowings of approximately $1.22 billion, after deducting lender fees of approximately $30.5 million, under a term loan facility (see Note 8—Indebtedness).

The Acquisition was accounted for under the acquisition method of accounting for business combinations. Consideration paid was allocated to the tangible and intangible assets acquired and liabilities assumed based on their fair values as of the Acquisition date. The initial allocation of the consideration paid was based on a preliminary valuation and is subject to potential adjustment during the measurement period (up to one year from the Acquisition date). Balances subject to adjustment primarily include the valuations of acquired assets (tangible and intangible) and liabilities assumed, as well as tax-related matters. The Company expects the allocation of the consideration transferred to be finalized within the measurement period.

The following table summarizes the Company's current allocation of the consideration paid in the Acquisition:


(in millions)	Initial Allocation		Adjustments		Updated Allocation
Cash and cash equivalents	$	406.8	$	(14.5)	$	392.3
Other current assets	56.5		1.0		57.5
Property, plant, and equipment	26.6		—		26.6
Operating lease right-of-use assets	42.5		—		42.5
Intangible assets	715.3		—		715.3
Goodwill	1,330.5		(2.5)		1,328.0
Other assets	5.9		—		5.9
Client-held funds obligation	(237.5)		17.8		(219.7)
Other current liabilities	(69.1)		(2.9)		(72.0)
Other long-term liabilities	(26.7)		—		(26.7)
Deferred tax liability	(128.7)		1.1		(127.6)
Total consideration paid	$	2,122.1	$	—	$	2,122.1

Adjustments to the initial allocation are based on more detailed information obtained about the specific assets acquired, liabilities assumed, and tax-related matters.

Supplemental financial statement information

3 Months Ended

Apr. 30, 2020

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Supplemental financial statement information

Selected condensed consolidated balance sheet and condensed consolidated statement of operations and comprehensive income components consist of the following:

Property and equipment

Property and equipment consisted of the following as of April 30, 2020 and January 31, 2020:


(in thousands)	April 30, 2020		January 31, 2020
Leasehold improvements	$	22,084	$	19,240
Furniture and fixtures	9,097		7,929
Computer equipment	24,123		22,074
Property and equipment, gross	55,304		49,243
Accumulated depreciation	(19,483)		(15,757)
Property and equipment, net	$	35,821	$	33,486

Depreciation expense for the three months ended April 30, 2020 and 2019 was $3.9 million and $0.9 million, respectively.

Contract balances

The Company does not recognize revenue in advance of invoicing its customers and therefore has no related contract assets. The Company records a receivable when revenue is recognized prior to payment and the Company has unconditional right to payment. Alternatively, when payment precedes the related services, the Company records a contract liability, or deferred revenue, until its performance obligations are satisfied. The Company's deferred revenue increased from $3.7 million as of January 31, 2020 to $4.1 million as of April 30, 2020. The balances are related to cash received in advance for an interchange revenue arrangement, other up-front fees and other commuter deferred revenue, and are generally recognized within twelve months, with the exception of the interchange arrangement, which is recognized over a term of approximately ten years. Revenue recognized during the three months ended April 30, 2020 that was included in the beginning balance of deferred revenue was $0.2 million. The Company expects to satisfy its remaining obligations for these arrangements.

Other income (expense), net

Other income (expense), net, consisted of the following:


	Three months ended April 30,
(in thousands)	2020		2019
Interest income	$	600	$	1,343
Gain on equity securities	—		23,511
Acquisition costs	(94)		(1,184)
Other expense	(1,270)		(7)
Total other income (expense), net	$	(764)	$	23,663

Leases

3 Months Ended

Apr. 30, 2020

Leases [Abstract]

Leases

LeasesThe Company has entered into various non-cancelable operating lease agreements for office space, data storage facilities, and other leases with remaining lease terms of less than 1 year to approximately 11 years, often with one or more Company options to renew. These renewal terms can extend the lease term from 3 to 10 years and are included in the lease term when it is reasonably certain that the Company will exercise the option.

Amortization and interest expense related to finance leases were not material during the three months ended April 30, 2020 and 2019.

The components of operating lease costs are as follows:


	Three months ended April 30,
(in thousands, except for term and percentages)	2020		2019
Operating lease expense	$	4,308	1,074
Sublease income	(450)		—
Net operating lease cost	$	3,858	$	1,074

Weighted average lease term and discount rate are as follows:


As of April 30, 2020
Weighted average remaining lease term	9.47 years
Weighted average discount rate	4.35	%

Maturities of operating lease liabilities as of April 30, 2020 were as follows:


Fiscal year ending January 31, (in thousands)	Operating leases
Remaining 2021	$	9,177
2022	14,517
2023	12,348
2024	10,318
2025	10,279
Thereafter	60,429
Total lease payments	117,068
Less imputed interest	(21,876)
Present value of lease liabilities	$	95,192

Current	$	13,210
Non-current	81,982
Total lease liabilities	$	95,192

As of April 30, 2020, the Company had an additional operating lease for office space that had not yet commenced with aggregate undiscounted lease payments of $63.1 million. This operating lease will commence in fiscal year 2021 with a lease term of approximately 11 years.

Supplemental cash flow information related to the Company's operating leases was as follows:


	Three months ended April 30,
(in thousands, except for term and percentages)	2020		2019
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	3,297	$	977
ROU assets obtained in exchange for new operating lease obligations	$	17,480	$	199

Intangible assets and goodwill

3 Months Ended

Apr. 30, 2020

Goodwill and Intangible Assets Disclosure [Abstract]

Intangible assets and goodwill

Intangible assets

The gross carrying amount and associated accumulated amortization of intangible assets were as follows as of April 30, 2020 and January 31, 2020:


(in thousands)	April 30, 2020		January 31, 2020
Amortizable intangible assets:
Software and software development costs	$	89,949	$	76,221
Acquired HSA portfolios	98,778		92,770
Acquired customer relationships	601,381		601,381
Acquired developed technology	96,925		96,925
Acquired trade names	12,300		12,300
Amortizable intangible assets, gross	899,333		879,597
Accumulated amortization	(122,442)		(98,851)
Total amortizable intangible assets, net	776,891		780,746
Acquired in process software development costs	592		2,533
Total intangible assets, net	$	777,483	$	783,279

During the three months ended April 30, 2020 and 2019, the Company expensed a total of $10.3 million and $3.9 million, respectively, in software development costs primarily related to the post-implementation and operation stages of its proprietary software.

Amortization expense for the three months ended April 30, 2020 and 2019 was $23.6 million and $3.9 million, respectively.

Goodwill

There were no changes to the goodwill carrying value during the three months ended April 30, 2020 and 2019.

Commitments and contingencies	3 Months Ended
Commitments and contingencies	Apr. 30, 2020
Commitments and Contingencies Disclosure [Abstract]
Commitments and contingencies	Commitments and contingencies Commitments In addition to the indebtedness described in Note 8 below, the Company’s principal commitments consist of operating lease obligations for office space, data storage facilities, and other leases, a processing services agreement with a vendor, and contractual commitments related to network infrastructure, equipment, and certain maintenance agreements under long-term, non-cancelable commitments. These commitments as of January 31, 2020 are disclosed in the Company’s consolidated financial statements included in its Annual Report on Form 10-K for the fiscal year ended January 31, 2020, and did not change materially during the three months ended April 30, 2020. Contingencies In the normal course of business, the Company enters into contracts and agreements that contain a variety of representations and warranties and provide for general indemnifications. The Company’s exposure under these agreements is unknown because it involves claims that may be made against the Company in the future, but have not yet been made. The Company accrues a liability for such matters when it is probable that future expenditures will be made and such expenditures can be reasonably estimated. Legal matters WageWorks is pursuing affirmative claims against the Office of Personnel Management ("OPM") to obtain payment for services provided by WageWorks between March 1, 2016 and August 31, 2016 pursuant to its contract with OPM. In connection with WageWorks' claims against OPM, OPM has also claimed that an erroneous statement in a certificate signed by a former executive officer constituted a violation of the False Claims Act and moved to dismiss part of WageWorks' claim against OPM as a result. As with all legal proceedings, no assurance can be provided as to the outcome of these matters or if WageWorks or OPM will be successful. On March 9, 2018, a putative class action was filed in the U.S. District Court for the Northern District of California (the “Securities Class Action”). On May 16, 2019, a consolidated amended complaint was filed by the lead plaintiffs asserting claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, as amended, against WageWorks, its former Chief Executive Officer and its former Chief Financial Officer on behalf of purchasers of WageWorks common stock between May 6, 2016 and March 1, 2018. The complaint also alleges claims under the Securities Act of 1933, as amended, arising from WageWorks’ June 19, 2017 common stock offering against those same defendants, as well as the members of its board of directors at the time of that offering. On June 22, 2018 and September 6, 2018, two derivative lawsuits were filed against certain of WageWorks’ former officers and directors and WageWorks (as nominal defendant) in the Superior Court of the State of California, County of San Mateo. The actions were consolidated. On July 23, 2018, a similar derivative lawsuit was filed against certain former WageWorks’ officers and directors and WageWorks (as nominal defendant) in the U.S. District Court for the Northern District of California (together, the “Derivative Suits”). The allegations in the Derivative Suits relate to substantially the same facts as those underlying the Securities Class Action described above. The plaintiffs seek unspecified damages and fees and costs. Plaintiffs in the Superior Court action filed an amended consolidated complaint on October 28, 2019, naming as defendants certain former officers and directors of WageWorks and alleging a direct claim of "inseparable fraud/breach of fiduciary duty" on behalf of a class. WageWorks was not named as a party in that complaint. WageWorks voluntarily contacted the San Francisco office of the SEC Division of Enforcement regarding the restatement of WageWorks' financial statements and related independent investigation. WageWorks is providing information and documents to the SEC and continues to cooperate with the SEC’s investigation into these matters. The U.S. Attorney’s Office for the Northern District of California also opened an investigation. WageWorks has provided documents and information to the U.S. Attorney’s Office and continues to cooperate with any inquiries by the U.S. Attorney’s Office regarding the matter. Beginning on July 30, 2019, putative class action suits were filed in the U.S. District Court Courts for the Southern District of New York, the District of Delaware, and the Northern District of California asserting claims under Sections 14(a) and 20(a) of the Securities Exchange Act of 1934, as amended, against WageWorks and the former members of its board of directors. The complaints generally allege disclosure violations in the proxy statement issued by WageWorks in connection with the stockholder vote on the proposed merger with the Company. After WageWorks issued certain supplemental disclosures, these actions were voluntarily dismissed, but WageWorks may still be required to pay attorneys fees to the plaintiffs' lawyers. WageWorks previously entered into indemnification agreements with its former directors and officers and, pursuant to these indemnification agreements, is covering the defense of its former directors and officers in the legal proceedings described above. The Company and its subsidiaries are involved in various other litigation, governmental proceedings and claims, not described above, that arise in the normal course of business. While it is not possible to determine the ultimate outcome or the duration of such litigation, governmental proceedings or claims, the Company believes, based on current knowledge, that such litigation, proceedings and claims will not have a material impact on the Company’s financial position, results of operations and cash flows for the period. The Company maintains liability insurance coverage that is intended to cover the legal matters described above; however, it is possible that claims may be denied by our insurance carriers or could exceed the amount of our applicable insurance coverage, we may be required by our insurance carriers to contribute to the payment of claims, and our insurance coverage may not continue to be available to us on acceptable terms or in sufficient amounts. As required under GAAP, the Company records a provision for contingent losses when it is both probable that a liability has been incurred and the amount of the loss can be reasonably estimated. Based on currently available information, the Company does not believe that any liabilities relating to these matters are probable or that the amount of any resulting loss is estimable. However, litigation is subject to inherent uncertainties and the Company’s view of these matters may change in the future. Were an unfavorable outcome to occur, there exists the possibility of a material adverse impact on the Company’s financial position, results of operations and cash flows for the period in which the unfavorable outcome occurs, and potentially in future periods.

Indebtedness

3 Months Ended

Apr. 30, 2020

Debt Disclosure [Abstract]

Indebtedness

As of April 30, 2020, long-term debt consisted of the following:


(in millions)	April 30, 2020
Term loan facility	$	1,234.4
Less: unamortized loan issuance costs (1)	20.3
Long-term debt, net of issuance costs	$	1,214.1

(1) In addition to the $20.3 million of unamortized issuance costs related to the term loan facility, $6.0 million of unamortized issuance costs related to our revolving credit facility are included within other assets on the April 30, 2020 condensed consolidated balance sheet.

In connection with the closing of the Acquisition, on August 30, 2019, the Company entered into a credit facility (the "Credit Agreement”) that provided for:

(i) a five-year senior secured term loan A facility (the “Term Loan Facility”), in an aggregate principal amount of $1.25 billion, the proceeds of which were used to finance the Acquisition, to refinance substantially all outstanding indebtedness of HealthEquity and WageWorks and to pay related fees and expenses; and

(ii) a five-year senior secured revolving credit facility (the “Revolving Credit Facility” and, together with the Term Loan Facility, the “Credit Facilities”), in an aggregate principal amount of up to $350 million, which may be used for working capital and general corporate purposes, including acquisitions and other investments. No amounts were drawn under the Revolving Credit Facility as of April 30, 2020.

Borrowings under the Credit Facilities bear interest at an annual rate equal to, at the option of HealthEquity, either (i) LIBOR (adjusted for reserves) plus a margin ranging from 1.25% to 2.25% or (ii) an alternate base rate plus a margin ranging from 0.25% to 1.25%, with the applicable margin determined by reference to a leverage-based pricing grid set forth in the Credit Agreement. As of April 30, 2020, the stated interest rate was 2.15% and the effective interest rate was 2.59%. The Company is also required to pay certain fees to the lenders, including, among others, a quarterly commitment fee on the average unused amount of the Revolving Credit Facility at a rate ranging from 0.20% to 0.40%, with the applicable rate also determined by reference to a leverage-based pricing grid set forth in the Credit Agreement.

The loans made under the Term Loan Facility are required to be repaid as described in the following table:


Fiscal year ending January 31, (in millions)	Principal payments
Remaining 2021	$	31.3
2022	62.5
2023	70.3
2024	101.6
2025	968.7
Total principal payments	$	1,234.4

The Credit Agreement contains customary affirmative and negative covenants, including covenants that limit, among other things, the ability of the Company to incur additional indebtedness, create liens, merge or dissolve, make investments, dispose of assets, engage in sale and leaseback transactions, make distributions and dividends and prepayments of junior indebtedness, engage in transactions with affiliates, enter into restrictive agreements, amend documentation governing junior indebtedness, modify its fiscal year and modify its organizational documents, in each case, subject to customary exceptions, thresholds, qualifications and “baskets.” In addition, the Credit Agreement contains financial performance covenants, which require the Company to maintain (i) a maximum total net leverage ratio, measured as of the last day of each fiscal quarter, of no greater than 5.25 to 1.00, which steps down to (x) 5.00 to 1.00 beginning with the fiscal quarter ending July 31, 2020 and (y) 4.50 to 1.00 beginning with the fiscal quarter ending July 31, 2021 (subject to a customary “acquisition holiday” provision that allows the maximum total net leverage ratio to increase to 5.00 to 1.00 for the four fiscal quarter period ending on or following the date of a permitted acquisition by the Company in excess of $100 million), and (ii) a minimum interest coverage ratio, measured as of the last day of each fiscal quarter, of no less than 3.00 to 1.00. The Company was in compliance with all covenants under the Credit Agreement as of April 30, 2020, and for the period then ended.

The obligations of HealthEquity under the Credit Agreement are required to be unconditionally guaranteed by WageWorks and each of the Company's subsequently acquired or organized direct and indirect domestic subsidiaries and are secured by security interests in substantially all assets of HealthEquity and the guarantors, in each case, subject to certain customary exceptions.

Income taxes	3 Months Ended
Income taxes	Apr. 30, 2020
Income Tax Disclosure [Abstract]
Income taxes	Income taxes The Company follows FASB Accounting Standards Codification 740-270, Income Taxes - Interim Reporting, for the computation and presentation of its interim period tax provision. Accordingly, management estimated the effective annual tax rate and applied this rate to the year-to-date pre-tax book income to determine the interim provision for income taxes. For the three months ended April 30, 2020, the Company recorded income tax expense of $0.2 million. This resulted in an effective income tax expense rate of 10.7% for the three months ended April 30, 2020, compared with an effective income tax expense rate of 18.4% for the three months ended April 30, 2019. For the three months ended April 30, 2020 and 2019, the net impact of discrete tax items caused a 16.8 and 4.5 percentage point benefit, respectively, to the effective income tax rate primarily due to the excess tax benefit on stock-based compensation expense recognized in the provision for income taxes relative to pre-tax book income. Due to significantly lower pre-tax book income during the three months ended April 30, 2020, such excess tax benefit had a greater impact on the effective income tax rate. As of April 30, 2020 and January 31, 2020, the Company’s total gross unrecognized tax benefit was $9.6 million and $9.4 million, respectively. As of April 30, 2020 and January 31, 2020, a net unrecognized tax benefit of $0.5 million was recorded in the condensed consolidated balance sheets. If recognized, $8.8 million of the total gross unrecognized tax benefits would affect the Company's effective tax rate as of April 30, 2020. The Company files income tax returns with U.S. federal and state taxing jurisdictions and is not currently under examination with any jurisdiction. As a result of the Company's net operating loss carryforwards and tax credit carryforwards, the Company remains subject to examination by one or more jurisdictions for tax years after 2000.

Stock-based compensation

3 Months Ended

Apr. 30, 2020

Share-based Payment Arrangement [Abstract]

Stock-based compensation

The following table shows a summary of stock-based compensation in the Company's condensed consolidated statements of operations and comprehensive income during the periods presented:


	Three months ended April 30,
(in thousands)	2020		2019
Cost of revenue	$	1,463	$	860
Sales and marketing	958		1,007
Technology and development	2,917		1,499
General and administrative	2,058		2,662
Total stock-based compensation expense	$	7,396	$	6,028

The following table shows stock-based compensation by award type:


	Three months ended April 30,
(in thousands)	2020		2019
Stock options	$	1,449	$	1,783
Performance stock options	—		—
Restricted stock units	6,509		2,926
Performance restricted stock units	(1,979)		651
Restricted stock awards	872		163
Performance restricted stock awards	545		505
Total stock-based compensation expense	$	7,396	$	6,028

Stock award plans

Incentive Plan. The Company grants stock options, restricted stock units ("RSUs"), and restricted stock awards ("RSAs") under the HealthEquity, Inc. 2014 Equity Incentive Plan (as amended and restated, the "Incentive Plan"), which provided for the issuance of stock awards to the directors and team members of the Company to purchase up to an aggregate of 2.6 million shares of common stock.

In addition, under the Incentive Plan, the number of shares of common stock reserved for issuance under the Incentive Plan automatically increases on February 1 of each year, beginning as of February 1, 2015 and continuing through and including February 1, 2024, by 3% of the total number of shares of the Company’s capital stock outstanding on January 31 of the preceding fiscal year, or a lesser number of shares determined by the board of directors. As of April 30, 2020, 6.5 million shares were available for grant under the Incentive Plan.

WageWorks Incentive Plan. At the closing of the Acquisition, and in accordance with the merger agreement related to the Acquisition, certain RSUs with respect to WageWorks common stock, granted under WageWorks, Inc. 2010 Equity Incentive Plan (the "WageWorks Incentive Plan"), were replaced by the Company and converted into RSUs with respect to 523,318 shares of common stock of the Company. No additional shares were issued under the WageWorks Incentive Plan, and the period during which the remaining 5,255,027 shares were available to be utilized expired on May 26, 2020.

Stock options

Under the terms of the Incentive Plan, the Company has the ability to grant incentive and nonqualified stock options. Incentive stock options may be granted only to Company team members. Nonqualified stock options may be granted to Company executive officers, other team members, directors and consultants. Such options are to be exercisable at prices, as determined by the board of directors, which must be equal to no less than the fair value of the Company's common stock at the date of the grant. Stock options granted under the Incentive Plan generally expire 10 years from the date of issuance, or are forfeited 90 days after termination of employment. Shares of common stock underlying stock options that are forfeited or that expire are returned to the Incentive Plan.

Valuation assumptions. The Company has adopted the provisions of Topic 718, which requires the measurement and recognition of compensation for all stock-based awards made to team members and directors, based on estimated fair values.

Under Topic 718, the Company uses the Black-Scholes option pricing model as the method of valuation for stock options. The determination of the fair value of stock-based awards on the date of grant is affected by the fair value of the stock as well as assumptions regarding a number of complex and subjective variables. The variables include, but are not limited to, 1) the expected life of the option, 2) the expected volatility of the fair value of the Company's common stock over the term of the award estimated by averaging the Company's historical volatility in addition to published volatilities of a relative peer group, 3) risk-free interest rate, and 4) expected dividends.

The weighted-average fair value of options granted during the three months ended April 30, 2020 and 2019 was $23.68 and $25.97 per share, respectively. The key input assumptions that were utilized in the valuation of the stock options granted during the periods presented are as follows:


	Three months ended April 30,
	2020	2019
Expected dividend yield	—%	—%
Expected stock price volatility	37.97%	35.98% - 36.53%
Risk-free interest rate	1.39%	2.21% - 2.43%
Expected life of options	5.18 years	4.95 - 5.09 years

The Company estimates the expected life of an option using historical option exercise and termination data. Expected volatility is determined using the weighted average volatility of the Company's historical common stock price in addition to published volatilities of publicly traded peer companies. The risk-free interest rate is determined by using published zero coupon rates on treasury notes for each grant date given the expected term of the options. The dividend yield of zero is based on the fact that the Company expects to invest cash in operations.

A summary of stock option activity is as follows:


	Outstanding stock options
(in thousands, except for exercise prices and term)	Number of options	Range of exercise prices	Weighted- average exercise price		Weighted- average contractual term (in years)	Aggregate intrinsic value
Outstanding as of January 31, 2020	2,040	$0.10 - 82.39	$	30.35	5.90	$	74,009
Granted	16	$66.06	$	66.06
Exercised	(51)	$0.10 - 44.53	$	22.07
Forfeited	(4)	$25.45 - 44.53	$	32.61
Outstanding as of April 30, 2020	2,001	$0.10 - 82.39	$	30.85	5.72	$	54,009
Vested and expected to vest as of April 30, 2020	2,001		$	30.85	5.72	$	54,009
Exercisable as of April 30, 2020	1,632		$	25.71	5.29	$	50,730

The aggregate intrinsic value in the table above represents the difference between the estimated fair value of common stock and the exercise price of outstanding, in-the-money stock options. The total intrinsic value of options exercised during the three months ended April 30, 2020 and 2019 was $2.1 million and $9.2 million, respectively.

As of April 30, 2020, the weighted-average vesting period of non-vested options expected to vest was approximately 1.3 years; the amount of compensation expense the Company expects to recognize for stock options vesting in future periods is approximately $6.1 million.

Restricted stock units and restricted stock awards

The Company grants RSUs and RSAs to certain team members, officers, and directors under the Incentive Plan. RSUs and RSAs vest upon service-based criteria and performance-based criteria. Generally, service-based RSUs and RSAs vest over a four-year period in equal annual installments commencing upon the first anniversary of the grant date. RSUs and RSAs are valued based on the current value of the Company's closing stock price on the date of grant less the present value of future expected dividends discounted at the risk-free interest rate. The weighted-average fair value of RSUs granted during the three months ended April 30, 2020 and 2019 was $56.27 and $73.02 per share, respectively.

Performance restricted stock units and awards. In March 2017, the Company awarded 146,964 performance-based RSUs ("PRSUs"). The Company records stock-based compensation related to PRSUs when it is considered probable that the performance conditions will be met. Issuance of the underlying shares occurred during the three months ended April 30, 2020 following approval by the Compensation Committee of the board of directors, based on the level of achievement of the performance goal as measured on January 31, 2020. The performance conditions allowed for a range of vesting from 0% to 150%. The PRSUs vested at 118.1%.

In March 2018, the Company awarded 227,760 performance-based RSAs ("PRSAs"). The Company records stock-based compensation related to PRSAs when it is considered probable that the performance conditions will be met. The underlying shares were issued at 200% of the target level of achievement at the grant date. During the three months ended April 30, 2020, the Compensation Committee modified the awards by deeming the performance condition related to two-thirds of the awards to be achieved at 100% and creating a new performance condition related to the remaining one-third of the awards to reflect the state of the Company after the Acquisition of WageWorks. The new performance condition is based on the achievement of certain financial criteria measured on January 31, 2021. The modification affected 10 team members and did not result in an adjustment to stock-based compensation expense. The PRSAs cliff vest upon approval by the Compensation Committee. The modified performance condition for the one-third tranche allows for a range of vesting from 0% to 200% based on the level of achievement of the performance condition, and the Company believes it is probable that the PRSAs will vest at least in part. As the underlying shares were issued at grant date, they are subject to clawback based on actual Company performance.

In March 2019, the Company awarded 129,963 PRSUs. The Company records stock-based compensation related to PRSUs when it is considered probable that the performance conditions will be met. During the three months ended April 30, 2020, the Compensation Committee modified the awards by deeming the performance condition related to one-third of the awards to be achieved at 100% and creating new performance conditions related to the remaining two-thirds of the awards to reflect the state of the Company after the Acquisition of WageWorks. The new performance conditions are based on the achievement of certain financial criteria measured on January 31, 2021 and 2022. The modification affected 12 team members and will result in incremental stock-based compensation expense of $6.6 million, which will be recognized over the remaining service period, adjusted for the level of achievement of the performance conditions and any forfeitures. Prior to the modification, the Company did not believe the PRSUs were likely to vest, and as a result, $2.9 million of previously recorded stock-based compensation expense was reversed during the three months ended April 30, 2020. The PRSUs cliff vest upon approval by the Compensation Committee. The modified performance conditions for the two-thirds tranche allow for a range of vesting from 0% to 200% based on the level of achievement of the new performance conditions, and the Company believes it is probable that the PRSUs will vest at least in part.

During the three months ended April 30, 2020, the Company awarded 257,680 PRSUs subject to a market condition based on the Company’s total shareholder return ("TSR") relative to the Russell 2000 index as measured on January 31, 2023. The Company used a Monte Carlo simulation to determine that the grant date fair value of the awards was approximately $19.0 million. Compensation expense is recorded if the service condition is met regardless of whether the market condition is satisfied. The market condition allows for a range of vesting from 0% to 200% based on the level of performance achieved. The PRSUs cliff vest upon approval by the Compensation Committee.

A summary of the RSU and RSA activity is as follows:


	RSUs and PRSUs				RSAs and PRSAs
(in thousands, except weighted-average grant date fair value)	Shares	Weighted-average grant date fair value		Shares	Weighted-average grant date fair value
Outstanding as of January 31, 2020	1,380	$	63.33	235	$	61.91
Granted	1,085	56.27		14	74.81
Vested	(296)	51.38		(10)	62.80
Forfeited	(167)	71.72		(14)	63.31
Outstanding as of April 30, 2020	2,002	$	60.57	225	$	62.58

For the three months ended April 30, 2020 and 2019, the aggregate intrinsic value of RSUs and RSAs vested was $16.4 million and $7.7 million, respectively.

Total unrecorded stock-based compensation expense as of April 30, 2020 associated with RSUs and PRSUs was $109.1 million, which is expected to be recognized over a weighted-average period of 3.1 years. Total unrecorded stock-based compensation expense as of April 30, 2020 associated with RSAs and PRSAs was $2.4 million, which is expected to be recognized over a weighted-average period of 0.9 years.

Fair value	3 Months Ended
Fair value	Apr. 30, 2020
Fair Value Disclosures [Abstract]
Fair value	Fair value Fair value measurements are made at a specific point in time, based on relevant market information. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants at the measurement date. Accounting standards specify a hierarchy of valuation techniques based on whether the inputs to those valuation techniques are observable or unobservable. Observable inputs reflect data obtained from independent sources, while unobservable inputs reflect the Company’s market assumptions. These two types of inputs have created the following fair value hierarchy: •Level 1—quoted prices in active markets for identical assets or liabilities; •Level 2—inputs, other than the quoted prices in active markets, that are observable either directly or indirectly; and •Level 3—unobservable inputs based on the Company’s own assumptions. Level 1 instruments are valued based on publicly available daily net asset values. Level 1 instruments consist primarily of cash and cash equivalents. The carrying value of cash and cash equivalents approximate fair values as of April 30, 2020 due to the short-term nature of these instruments. Our long-term debt is considered a Level 2 instrument and is recorded at book value in our condensed consolidated financial statements. Our long-term debt reprices frequently due to variable interest rate terms and entails no significant changes in credit risk. As a result, we believe the fair value of our long-term debt approximates carrying value.

- Definition

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

+ References + Details

Summary of business and significant accounting policies (Policies)	3 Months Ended
	Apr. 30, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Principles of consolidation	Principles of consolidation The condensed consolidated financial statements include the accounts of HealthEquity, Inc., and its direct and indirect subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation.
Basis of presentation	Basis of presentation The accompanying condensed consolidated financial statements as of April 30, 2020 and for the three months ended April 30, 2020 and 2019 are unaudited and have been prepared in conformity with accounting principles generally accepted in the United States of America ("GAAP") and the applicable rules and regulations of the Securities and Exchange Commission ("SEC") regarding interim financial reporting. In the opinion of management, the interim data includes all adjustments, consisting only of normal recurring adjustments, necessary for a fair presentation of the results for the interim periods. Certain information and note disclosures normally included in annual financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. Therefore, these condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes included in the Company's Annual Report on Form 10-K for the fiscal year ended January 31, 2020. The fiscal year-end condensed consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by GAAP.
Reclassifications	Certain reclassifications have been made to prior year amounts to conform to the current year presentation.
Recent adopted accounting pronouncements	Recently adopted accounting pronouncements In June 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2016-13, Financial Instruments - Credit Losses: Measurement of Credit Losses on Financial Instruments, which requires financial assets measured at amortized cost be presented at the net amount expected to be collected. This ASU is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. The Company adopted the new standard as of February 1, 2020 using the modified retrospective transition method. The adoption of this standard did not have a material effect on the Company’s condensed consolidated financial statements. In August 2018, the FASB issued ASU 2018-13, Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement (“ASU 2018-13”), which amends ASC 820, "Fair Value Measurement." ASU 2018-13 modifies the disclosure requirements for fair value measurements by removing, modifying and adding certain disclosures. This ASU is effective for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years. The Company adopted the new standard as of February 1, 2020. The adoption of this standard did not have a material effect on the Company’s condensed consolidated financial statements. In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes as part of its overall simplification initiative to reduce costs and complexity of applying accounting standards while maintaining or improving the usefulness of the information provided to users of financial statements. The Company adopted the new standard as of February 1, 2020. The adoption of this standard did not have a material effect on the Company’s condensed consolidated financial statements.
Fair value measurement	Fair value measurements are made at a specific point in time, based on relevant market information. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants at the measurement date. Accounting standards specify a hierarchy of valuation techniques based on whether the inputs to those valuation techniques are observable or unobservable. Observable inputs reflect data obtained from independent sources, while unobservable inputs reflect the Company’s market assumptions. These two types of inputs have created the following fair value hierarchy: •Level 1—quoted prices in active markets for identical assets or liabilities; •Level 2—inputs, other than the quoted prices in active markets, that are observable either directly or indirectly; and •Level 3—unobservable inputs based on the Company’s own assumptions. Level 1 instruments are valued based on publicly available daily net asset values. Level 1 instruments consist primarily of cash and cash equivalents. The carrying value of cash and cash equivalents approximate fair values as of April 30, 2020 due to the short-term nature of these instruments. Our long-term debt is considered a Level 2 instrument and is recorded at book value in our condensed consolidated financial statements. Our long-term debt reprices frequently due to variable interest rate terms and entails no significant changes in credit risk. As a result, we believe the fair value of our long-term debt approximates carrying value.

Net income per share (Tables)

3 Months Ended

Apr. 30, 2020

Earnings Per Share [Abstract]

Schedule of earnings (loss) per share, basic and diluted

The following table sets forth the computation of basic and diluted net income per share:


	Three months ended April 30,
(in thousands, except per share data)	2020		2019
Numerator (basic and diluted):
Net income	$	1,826	$	41,822
Denominator (basic):
Weighted-average common shares outstanding	70,980		62,326
Denominator (diluted):
Weighted-average common shares outstanding	70,980		62,326
Weighted-average dilutive effect of stock options and restricted stock units	1,312		1,575
Diluted weighted-average common shares outstanding	72,292		63,901
Net income per share:
Basic	$	0.03	$	0.67
Diluted	$	0.03	$	0.65

Business combination (Tables)

3 Months Ended

Apr. 30, 2020

Business Combinations [Abstract]

Preliminary Allocation of Consideration

The following table summarizes the Company's current allocation of the consideration paid in the Acquisition:


(in millions)	Initial Allocation		Adjustments		Updated Allocation
Cash and cash equivalents	$	406.8	$	(14.5)	$	392.3
Other current assets	56.5		1.0		57.5
Property, plant, and equipment	26.6		—		26.6
Operating lease right-of-use assets	42.5		—		42.5
Intangible assets	715.3		—		715.3
Goodwill	1,330.5		(2.5)		1,328.0
Other assets	5.9		—		5.9
Client-held funds obligation	(237.5)		17.8		(219.7)
Other current liabilities	(69.1)		(2.9)		(72.0)
Other long-term liabilities	(26.7)		—		(26.7)
Deferred tax liability	(128.7)		1.1		(127.6)
Total consideration paid	$	2,122.1	$	—	$	2,122.1

Supplemental financial statement information (Tables)

3 Months Ended

Apr. 30, 2020

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Property and equipment

Property and equipment consisted of the following as of April 30, 2020 and January 31, 2020:


(in thousands)	April 30, 2020		January 31, 2020
Leasehold improvements	$	22,084	$	19,240
Furniture and fixtures	9,097		7,929
Computer equipment	24,123		22,074
Property and equipment, gross	55,304		49,243
Accumulated depreciation	(19,483)		(15,757)
Property and equipment, net	$	35,821	$	33,486

Other income (expense), net

Other income (expense), net, consisted of the following:


	Three months ended April 30,
(in thousands)	2020		2019
Interest income	$	600	$	1,343
Gain on equity securities	—		23,511
Acquisition costs	(94)		(1,184)
Other expense	(1,270)		(7)
Total other income (expense), net	$	(764)	$	23,663

Leases (Tables)

3 Months Ended

Apr. 30, 2020

Leases [Abstract]

Lease cost

The components of operating lease costs are as follows:


	Three months ended April 30,
(in thousands, except for term and percentages)	2020		2019
Operating lease expense	$	4,308	1,074
Sublease income	(450)		—
Net operating lease cost	$	3,858	$	1,074

Weighted average lease term and discount rate are as follows:


As of April 30, 2020
Weighted average remaining lease term	9.47 years
Weighted average discount rate	4.35	%

Supplemental cash flow information related to the Company's operating leases was as follows:


	Three months ended April 30,
(in thousands, except for term and percentages)	2020		2019
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	3,297	$	977
ROU assets obtained in exchange for new operating lease obligations	$	17,480	$	199

Operating lease liability maturity schedule

Maturities of operating lease liabilities as of April 30, 2020 were as follows:


Fiscal year ending January 31, (in thousands)	Operating leases
Remaining 2021	$	9,177
2022	14,517
2023	12,348
2024	10,318
2025	10,279
Thereafter	60,429
Total lease payments	117,068
Less imputed interest	(21,876)
Present value of lease liabilities	$	95,192

Current	$	13,210
Non-current	81,982
Total lease liabilities	$	95,192

Intangible assets and goodwill (Tables)

3 Months Ended

Apr. 30, 2020

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of finite-lived intangible assets

The gross carrying amount and associated accumulated amortization of intangible assets were as follows as of April 30, 2020 and January 31, 2020:


(in thousands)	April 30, 2020		January 31, 2020
Amortizable intangible assets:
Software and software development costs	$	89,949	$	76,221
Acquired HSA portfolios	98,778		92,770
Acquired customer relationships	601,381		601,381
Acquired developed technology	96,925		96,925
Acquired trade names	12,300		12,300
Amortizable intangible assets, gross	899,333		879,597
Accumulated amortization	(122,442)		(98,851)
Total amortizable intangible assets, net	776,891		780,746
Acquired in process software development costs	592		2,533
Total intangible assets, net	$	777,483	$	783,279

Schedule of indefinite-lived intangible assets

The gross carrying amount and associated accumulated amortization of intangible assets were as follows as of April 30, 2020 and January 31, 2020:


(in thousands)	April 30, 2020		January 31, 2020
Amortizable intangible assets:
Software and software development costs	$	89,949	$	76,221
Acquired HSA portfolios	98,778		92,770
Acquired customer relationships	601,381		601,381
Acquired developed technology	96,925		96,925
Acquired trade names	12,300		12,300
Amortizable intangible assets, gross	899,333		879,597
Accumulated amortization	(122,442)		(98,851)
Total amortizable intangible assets, net	776,891		780,746
Acquired in process software development costs	592		2,533
Total intangible assets, net	$	777,483	$	783,279

Indebtedness (Tables)

3 Months Ended

Apr. 30, 2020

Debt Disclosure [Abstract]

Schedule of Long-term Debt

As of April 30, 2020, long-term debt consisted of the following:


(in millions)	April 30, 2020
Term loan facility	$	1,234.4
Less: unamortized loan issuance costs (1)	20.3
Long-term debt, net of issuance costs	$	1,214.1

Schedule of Maturities of Long-term Debt

The loans made under the Term Loan Facility are required to be repaid as described in the following table:


Fiscal year ending January 31, (in millions)	Principal payments
Remaining 2021	$	31.3
2022	62.5
2023	70.3
2024	101.6
2025	968.7
Total principal payments	$	1,234.4

- Definition

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

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02.22)
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 45
-Paragraph 1A
-URI http://asc.fasb.org/extlink&oid=114775744&loc=d3e28541-108399

Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=109259400&loc=d3e21506-112644

Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(e),(f))
-URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690

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+ Details

Stock-based compensation (Tables)

3 Months Ended

Apr. 30, 2020

Share-based Payment Arrangement [Abstract]

Summary of share based compensation recognized

The following table shows a summary of stock-based compensation in the Company's condensed consolidated statements of operations and comprehensive income during the periods presented:


	Three months ended April 30,
(in thousands)	2020		2019
Cost of revenue	$	1,463	$	860
Sales and marketing	958		1,007
Technology and development	2,917		1,499
General and administrative	2,058		2,662
Total stock-based compensation expense	$	7,396	$	6,028

Summary of stock-based compensation expense by award type

The following table shows stock-based compensation by award type:


	Three months ended April 30,
(in thousands)	2020		2019
Stock options	$	1,449	$	1,783
Performance stock options	—		—
Restricted stock units	6,509		2,926
Performance restricted stock units	(1,979)		651
Restricted stock awards	872		163
Performance restricted stock awards	545		505
Total stock-based compensation expense	$	7,396	$	6,028

Summary of assumptions

The key input assumptions that were utilized in the valuation of the stock options granted during the periods presented are as follows:


	Three months ended April 30,
	2020	2019
Expected dividend yield	—%	—%
Expected stock price volatility	37.97%	35.98% - 36.53%
Risk-free interest rate	1.39%	2.21% - 2.43%
Expected life of options	5.18 years	4.95 - 5.09 years

Summary of stock option activity

A summary of stock option activity is as follows:


	Outstanding stock options
(in thousands, except for exercise prices and term)	Number of options	Range of exercise prices	Weighted- average exercise price		Weighted- average contractual term (in years)	Aggregate intrinsic value
Outstanding as of January 31, 2020	2,040	$0.10 - 82.39	$	30.35	5.90	$	74,009
Granted	16	$66.06	$	66.06
Exercised	(51)	$0.10 - 44.53	$	22.07
Forfeited	(4)	$25.45 - 44.53	$	32.61
Outstanding as of April 30, 2020	2,001	$0.10 - 82.39	$	30.85	5.72	$	54,009
Vested and expected to vest as of April 30, 2020	2,001		$	30.85	5.72	$	54,009
Exercisable as of April 30, 2020	1,632		$	25.71	5.29	$	50,730

Summary of restricted stock unit activity

A summary of the RSU and RSA activity is as follows:


	RSUs and PRSUs				RSAs and PRSAs
(in thousands, except weighted-average grant date fair value)	Shares	Weighted-average grant date fair value		Shares	Weighted-average grant date fair value
Outstanding as of January 31, 2020	1,380	$	63.33	235	$	61.91
Granted	1,085	56.27		14	74.81
Vested	(296)	51.38		(10)	62.80
Forfeited	(167)	71.72		(14)	63.31
Outstanding as of April 30, 2020	2,002	$	60.57	225	$	62.58

Net income per share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Apr. 30, 2020	Apr. 30, 2019
Numerator (basic and diluted):
Net income	$ 1,826	$ 41,822
Denominator (basic):
Weighted-average common shares outstanding (in shares)	70,980	62,326
Denominator (diluted):
Weighted-average common shares outstanding (in shares)	70,980	62,326
Weighted-average dilutive effect of stock options and restricted stock units (in shares)	1,312	1,575
Diluted weighted-average common shares outstanding (in shares)	72,292	63,901
Net income per share:
Basic (in usd per share)	$ 0.03	$ 0.67
Diluted (in usd per share)	$ 0.03	$ 0.65
Antidilutive securities excluded from computation of earnings per share (in shares)	500	200

Business combination (Narrative) (Details) - Wage Works Inc. $ / shares in Units, $ in Millions	Aug. 30, 2019 USD ($) $ / shares
Business Acquisition [Line Items]
Merger related costs, price per share \| $ / shares	$ 51.35
Aggregate fair value of WageWorks stock acquired	$ 2,000.0
Cash paid	816.9
Borrowing pursuant to term loan facility	1,220.0
Line of Credit \| Term Loan Facility
Business Acquisition [Line Items]
Cash paid	$ 30.5

Business combination (Preliminary Allocation of Consideration) (Details) - USD ($) $ in Thousands	8 Months Ended
	Apr. 30, 2020	Jan. 31, 2020	Aug. 30, 2019
Business Acquisition [Line Items]
Goodwill	$ 1,332,631	$ 1,332,631
Wage Works Inc.
Business Acquisition [Line Items]
Cash and cash equivalents	392,300		$ 406,800
Cash and cash equivalents, adjustments	(14,500)
Other current assets	57,500		56,500
Other current assets, adjustments	1,000
Property, plant, and equipment	26,600		26,600
Operating lease right-of-use assets	42,500		42,500
Intangible assets	715,300		715,300
Goodwill	1,328,000		1,330,500
Goodwill, adjustments	(2,500)
Other assets	5,900		5,900
Client-held funds obligation	(219,700)		(237,500)
Client-held funds obligation, adjustments	17,800
Other current liabilities	(72,000)		(69,100)
Other current liabilities, adjustments	(2,900)
Other long-term liabilities	(26,700)		(26,700)
Deferred tax liability	(127,600)		(128,700)
Deferred tax liability, adjustments	1,100
Total consideration paid	2,122,100		$ 2,122,100
Total consideration paid, adjustments	$ 0

Supplemental financial statement information (Property and equipment) (Details) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2020	Apr. 30, 2019	Jan. 31, 2020
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 55,304		$ 49,243
Accumulated depreciation	(19,483)		(15,757)
Property and equipment, net	35,821		33,486
Depreciation expense	3,900	$ 900
Leasehold improvements
Property, Plant and Equipment [Line Items]
Property and equipment, gross	22,084		19,240
Furniture and fixtures
Property, Plant and Equipment [Line Items]
Property and equipment, gross	9,097		7,929
Computer equipment
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 24,123		$ 22,074

Supplemental financial statement information (Contract balances) (Details) - USD ($) $ in Millions	3 Months Ended
	Apr. 30, 2020	Jan. 31, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Remaining performance obligation	$ 4.1	$ 3.7
Deferred revenue recognition term	12 months
Deferred revenue interchange arrangement recognition term	10 years
Revenue recognition	$ 0.2

Supplemental financial statement information (Other income (expense), net) (Details) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2020	Apr. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Interest income	$ 600	$ 1,343
Gain on equity securities	0	23,511
Acquisition costs	(94)	(1,184)
Other expense	(1,270)	(7)
Total other income (expense), net	$ (764)	$ 23,663

Leases (Narrative) (Details) $ in Millions	3 Months Ended
Leases (Narrative) (Details) $ in Millions	Apr. 30, 2020 USD ($)
Lessee, Lease, Description [Line Items]
Operating lease not yet commenced undiscounted amount	$ 63.1
Operating lease not yet commenced term of contract	11 years
Minimum
Lessee, Lease, Description [Line Items]
Remaining operating lease terms	1 year
Lease renewal terms extension	3 years
Maximum
Lessee, Lease, Description [Line Items]
Remaining operating lease terms	11 years
Lease renewal terms extension	10 years

Leases (Lease Cost) (Details) - USD ($) $ in Thousands	3 Months Ended
Leases (Lease Cost) (Details) - USD ($) $ in Thousands	Apr. 30, 2020	Apr. 30, 2019
Leases [Abstract]
Operating lease expense	$ 4,308	$ 1,074
Sublease income	(450)	0
Lease, cost, total	$ 3,858	$ 1,074
Weighted average remaining lease term (in years)	9 years 5 months 19 days
Weighted average discount rate (percent)	4.35%

Leases (Maturities of Operating Lease Liabilities) (Details) - USD ($) $ in Thousands	Apr. 30, 2020	Jan. 31, 2020
Leases [Abstract]
Remaining 2021	$ 9,177
2022	14,517
2023	12,348
2024	10,318
2025	10,279
Thereafter	60,429
Total lease payments	117,068
Less imputed interest	(21,876)
Current	13,210	$ 12,401
Non-current	81,982	$ 68,017
Total lease liabilities	$ 95,192

Leases (Supplemental Cash Flow Information) (Details) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2020	Apr. 30, 2019
Cash Flow, Operating Activities, Lessee [Abstract]
Operating cash flows from operating leases	$ 3,297	$ 977
ROU assets obtained in exchange for new operating lease obligations	$ 17,480	$ 199

Intangible assets and goodwill (Narrative) (Details) - USD ($)	3 Months Ended
	Apr. 30, 2020	Apr. 30, 2019
Finite-Lived Intangible Assets [Line Items]
Software development costs incurred and expensed	$ 10,300,000	$ 3,900,000
Amortization expense	23,600,000	3,900,000
Change in goodwill	$ 0	$ 0

Intangible assets and goodwill (Schedule of intangible assets) (Details) - USD ($) $ in Thousands	Apr. 30, 2020	Jan. 31, 2020
Finite-Lived Intangible Assets [Line Items]
Amortizable intangible assets, gross	$ 899,333	$ 879,597
Accumulated amortization	(122,442)	(98,851)
Total amortizable intangible assets, net	776,891	780,746
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Total intangible assets, net	777,483	783,279
In Process Research and Development
Indefinite-lived Intangible Assets [Line Items]
Acquired in process software development costs	592	2,533
Software and software development costs
Finite-Lived Intangible Assets [Line Items]
Amortizable intangible assets, gross	89,949	76,221
Acquired HSA portfolios
Finite-Lived Intangible Assets [Line Items]
Amortizable intangible assets, gross	98,778	92,770
Acquired customer relationships
Finite-Lived Intangible Assets [Line Items]
Amortizable intangible assets, gross	601,381	601,381
Acquired developed technology
Finite-Lived Intangible Assets [Line Items]
Amortizable intangible assets, gross	96,925	96,925
Acquired trade names
Finite-Lived Intangible Assets [Line Items]
Amortizable intangible assets, gross	$ 12,300	$ 12,300

Commitments and contingencies (Details) - lawsuit	Sep. 06, 2018	Jun. 22, 2018
Commitments and Contingencies Disclosure [Abstract]
Number of derivative lawsuits	2	2

Indebtedness Schedule of Long-term Debt (Details) - USD ($) $ in Millions	Apr. 30, 2020	Jan. 31, 2020
Debt Disclosure [Abstract]
Term loan facility	$ 1,234.4	$ 1,234.4
Less: unamortized loan issuance costs	20.3
Total	$ 1,214.1

Indebtedness (Narrative) (Details) - USD ($)		3 Months Ended
Indebtedness (Narrative) (Details) - USD ($)	Aug. 30, 2019	Apr. 30, 2020
Debt Instrument [Line Items]
Unamortized loan issuance costs		$ 20,300,000
Stated interest rate percentage		2.15%
Effective interest rate percentage		2.59%
Acquisition threshold for maximum total net leverage ratio		$ 100,000,000
Minimum interest coverage ratio		300.00%
Debt covenant, beginning April 30, 2020
Debt Instrument [Line Items]
Maximum leverage ratio		525.00%
Debt covenant, beginning July 31, 2020
Debt Instrument [Line Items]
Maximum leverage ratio		500.00%
Debt covenant, beginning July 31, 2021
Debt Instrument [Line Items]
Maximum leverage ratio		450.00%
Debt covenant, acquisition holiday provision
Debt Instrument [Line Items]
Maximum leverage ratio		500.00%
London Interbank Offered Rate (LIBOR) \| Minimum
Debt Instrument [Line Items]
Variable rate borrowing spread		1.25%
London Interbank Offered Rate (LIBOR) \| Maximum
Debt Instrument [Line Items]
Variable rate borrowing spread		2.25%
Customary Base Rate \| Minimum
Debt Instrument [Line Items]
Variable rate borrowing spread		0.25%
Customary Base Rate \| Maximum
Debt Instrument [Line Items]
Variable rate borrowing spread		1.25%
Secured Revolving Credit Facility \| Minimum
Debt Instrument [Line Items]
Commitment fee percentage		0.20%
Secured Revolving Credit Facility \| Maximum
Debt Instrument [Line Items]
Commitment fee percentage		0.40%
Credit Agreement \| Secured Debt \| Term Loan Facility
Debt Instrument [Line Items]
Credit facility, amount	$ 1,250,000,000
Credit Agreement \| Secured Debt \| Line of Credit
Debt Instrument [Line Items]
Facility term	5 years
Credit Agreement \| Line of Credit \| Secured Revolving Credit Facility
Debt Instrument [Line Items]
Facility term	5 years
Credit facility, amount	$ 350,000,000
Long-term line of credit	$ 0
Other assets
Debt Instrument [Line Items]
Unamortized loan issuance costs		$ 6,000,000.0

Indebtedness Schedule of Maturities of Long-term Debt (Details) - USD ($) $ in Millions	Apr. 30, 2020	Jan. 31, 2020
Debt Disclosure [Abstract]
Remaining 2021		$ 31.3
2022		62.5
2023		70.3
2024		101.6
2025		968.7
Total principal payments	$ 1,234.4	$ 1,234.4

Income taxes (Details) - USD ($) $ in Thousands	3 Months Ended
Income taxes (Details) - USD ($) $ in Thousands	Apr. 30, 2020	Apr. 30, 2019	Jan. 31, 2020
Income Tax Disclosure [Abstract]
Income tax provision	$ 218	$ 9,456
Effective tax rate	10.70%	18.40%
Decrease in effective tax rate, primarily due to excess tax benefit on stock-based compensation expense	16.80%	4.50%
Gross unrecognized tax benefits	$ 9,600		$ 9,400
Unrecognized tax benefit	500		$ 500
Unrecognized tax benefits that would impact the effective tax rate	$ 8,800

Stock-based compensation (Summary of share based compensation recognized) (Details) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2020	Apr. 30, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense	$ 7,396	$ 6,028
Cost of revenue
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense	1,463	860
Sales and marketing
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense	958	1,007
Technology and development
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense	2,917	1,499
General and administrative
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense	$ 2,058	$ 2,662

Stock-based compensation (Stock-based compensation expense by award type) (Details) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2020	Apr. 30, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense	$ 7,396	$ 6,028
Stock options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense	1,449	1,783
Performance stock options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense	0	0
Restricted stock units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense	6,509	2,926
Performance restricted stock units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense	(1,979)	651
Restricted stock awards
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense	872	163
Performance restricted stock awards
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense	$ 545	$ 505

Stock-based compensation (Narrative) (Details) $ / shares in Units, $ in Millions	1 Months Ended			3 Months Ended
	Mar. 31, 2019 shares	Mar. 31, 2018 shares	Mar. 31, 2017 shares	Apr. 30, 2020 USD ($) numberOfMember $ / shares shares	Apr. 30, 2019 USD ($) $ / shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted average fair value at date of grant (usd per share) \| $ / shares				$ 23.68	$ 25.97
Expected dividend yield				0.00%	0.00%
Restricted stock units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Aggregate intrinsic value \| $				$ 2.1	$ 9.2
Weighted-average vesting period of non-vested awards expected to vest				3 years 1 month 6 days
Award vesting period				4 years
Weighted-average grant date fair value (usd per share) \| $ / shares				$ 56.27	$ 73.02
Performance units awards (in shares) \| shares				1,085,000
Aggregate intrinsic value \| $				$ 16.4	$ 7.7
Unrecognized stock-based compensation expense related to restricted stock units to be recognized in future \| $				$ 109.1
Stock options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expiration period				10 years
Forfeited period				90 days
Weighted-average vesting period of non-vested awards expected to vest				1 year 3 months 18 days
Unrecognized stock compensation expense to be recognized in future \| $				$ 6.1
Performance restricted stock units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Performance units awards (in shares) \| shares	129,963		146,964	257,680
Award vesting rights percentage			118.10%	100.00%
Fraction of awards fully achieved				33.33%
Fraction of awards modified				66.67%
Number of team members modification affected \| numberOfMember				12
Incremental compensation cost \| $				$ 6.6
Share-based payment arrangement, decrease in expense due to modification of terms \| $				2.9
Grant date fair value \| $				$ 19.0
Performance restricted stock units \| Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting rights percentage			0.00%
Performance restricted stock units \| Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting rights percentage			150.00%
Performance restricted stock awards
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Performance units awards (in shares) \| shares		227,760
Award vesting rights percentage				100.00%
Fraction of awards fully achieved				66.67%
Fraction of awards modified				33.33%
Number of team members modification affected \| numberOfMember				10
Performance restricted stock awards \| Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting rights percentage	0.00%	0.00%		0.00%
Performance restricted stock awards \| Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting rights percentage	200.00%	200.00%		200.00%
Restricted stock awards
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted-average vesting period of non-vested awards expected to vest				10 months 24 days
Award vesting period				4 years
Weighted-average grant date fair value (usd per share) \| $ / shares				$ 74.81
Performance units awards (in shares) \| shares				14,000
Unrecognized stock-based compensation expense related to restricted stock units to be recognized in future \| $				$ 2.4
Restricted stock units \| Wage Works Inc.
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of service-based common stock (in shares) \| shares				523,318
Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares authorized (in shares) \| shares				2,600,000
Percentage of capital stock				3.00%
Shares available for grant under incentive plan \| shares				6,500,000
WageWorks Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of common stock issuable (in shares) \| shares				5,255,027

Stock-based compensation (Assumptions) (Details)	3 Months Ended
Stock-based compensation (Assumptions) (Details)	Apr. 30, 2020	Apr. 30, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected dividend yield	0.00%	0.00%
Expected stock price volatility	37.97%
Expected stock price volatility, minimum		35.98%
Expected stock price volatility, maximum		36.53%
Risk-free interest rate	1.39%
Risk-free interest rate, minimum		2.21%
Risk-free interest rate, maximum		2.43%
Expected life of options	5 years 2 months 4 days
Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected life of options		4 years 11 months 12 days
Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected life of options		5 years 1 month 2 days

Stock-based compensation (Stock option activity) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended	12 Months Ended
	Apr. 30, 2020	Jan. 31, 2020
Number of options (shares)
Opening balance (shares)	2,040
Granted (shares)	16
Exercised (shares)	(51)
Forfeited (shares)	(4)
Ending balance (shares)	2,001	2,040
Vested and expected to vest as of year end (in shares)	2,001
Exercisable as of year end (in shares)	1,632
Range of exercise prices (usd per share)
Beginning balance, minimum (usd per share)	$ 0.10
Beginning balance, maximum (usd per share)	82.39
Granted (usd per share)	66.06
Exercised, minimum (usd per share)	0.10
Exercised, maximum (usd per share)	44.53
Forfeited, minimum (usd per share)	25.45
Forfeited, maximum (usd per share)	44.53
Ending balance, minimum (usd per share)	0.10	$ 0.10
Ending balance, maximum (usd per share)	82.39	82.39
Weighted- average exercise price (usd per share)
Opening balance (usd per share)	30.35
Granted (usd per share)	66.06
Exercised (usd per share)	22.07
Forfeited (usd per share)	32.61
Ending balance (usd per share)	30.85	$ 30.35
Vested and expected to vest as of year end, weighted average exercise price (usd per share)	30.85
Exercisable as of year end, weighted-average exercise price (usd per share)	$ 25.71
Outstanding stock options, weighted average contractual term (in years)	5 years 8 months 19 days	5 years 10 months 24 days
Vested and expected to vest as of year end, weighted average contractual term (in years)	5 years 8 months 19 days
Exercisable as of year end, weighted-average contractual term (in years)	5 years 3 months 14 days
Beginning balance, outstanding stock options, aggregate intrinsic value	$ 74,009
Ending balance, outstanding stock options, aggregate intrinsic value	54,009	$ 74,009
Vested and expected to vest as of year end, aggregate intrinsic value (usd per share)	54,009
Exercisable as of year end, aggregate intrinsic value	$ 50,730

Stock-based compensation (Restricted stock unity activity) (Details) - $ / shares shares in Thousands	3 Months Ended
	Apr. 30, 2020	Apr. 30, 2019
Restricted stock units
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward]
Unvested, beginning balance (in shares)	1,380
Granted (in shares)	1,085
Vested (in shares)	(296)
Forfeited (in shares)	(167)
Unvested, ending balance (in shares)	2,002
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract]
Unvested, beginning balance (usd per share)	$ 63.33
Granted (usd per share)	56.27	$ 73.02
Vested (usd per share)	51.38
Forfeited (usd per share)	71.72
Unvested, ending balance (usd per share)	$ 60.57
Restricted stock awards
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward]
Unvested, beginning balance (in shares)	235
Granted (in shares)	14
Vested (in shares)	(10)
Forfeited (in shares)	(14)
Unvested, ending balance (in shares)	225
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract]
Unvested, beginning balance (usd per share)	$ 61.91
Granted (usd per share)	74.81
Vested (usd per share)	62.80
Forfeited (usd per share)	63.31
Unvested, ending balance (usd per share)	$ 62.58