NTSK — what changed in the latest 10-Q

Text added vs the prior filing · source: 10-Q · 2026-06-03

• The following discussion and analysis of our financial condition and results of operations should be read in conjunction with our unaudited condensed consolidated financial statements and related notes appearing elsewhere in this Quarterly Report on Form 10-Q and our audited consolidated financial s…

• We issued Convertible Notes in December 2022 and September 2024. We have elected to account for the Convertible Notes using the fair value option under Accounting Standards Codification ("ASC") 825, Financial Instruments. As a result, we are required to determine the fair value of the Convertible No…

• Gross profit increased by $38.7 million, or 35%, for the three months ended April 30, 2026 compared to the three months ended April 30, 2025, and gross margin increased to 74% from 69%. The gross margin expansion was primarily due to the revenue growth driven by new customer acquisition and expansio…

• Loss on changes in fair value of Convertible Notes decreased by $21.2 million, or 63%, for the three months ended April 30, 2026 compared to the three months ended April 30, 2025. We continued to recognize fair value losses driven by accrued interest associated with the payment-in-kind ("PIK") natur…

• We believe the following non-GAAP measures are useful in evaluating our operating performance. We use the following non-GAAP financial information to evaluate our business, measure our performance, identify trends affecting our business, formulate business plans, and make strategic decisions. We bel…

Text removed vs the prior filing · source: 10-Q · 2025-12-11

• The following discussion and analysis of our financial condition and results of operations should be read in conjunction with the our unaudited condensed consolidated financial statements and related notes appearing elsewhere in this Quarterly Report on Form 10-Q and our audited consolidated financi…

• In September 2025, we completed our initial public offering ("IPO"), in which we issued and sold an aggregate 54,970,000 shares of our Class A common stock at a public offering price of $19.00 per share, including 7,170,000 shares pursuant to the exercise

• of the option granted to the underwriters to purchase additional shares. We received aggregate proceeds of $992.2 million after deducting the underwriting discounts and commission payable by us.

• In addition, in connection with the IPO, all outstanding shares of convertible preferred stock were automatically converted into 218,897,608 shares of Class B common stock.

• During the third quarter of fiscal 2026, we recognized a total of $415.8 million in stock-based compensation expense and related payroll taxes, of which $402.1 million was stock-based compensation expense associated with Restricted Stock Units (RSUs), including $56.7 million associated with Performa…

Text added vs the prior filing · source: 10-Q · 2026-06-03

• From time to time, we are involved in various legal proceedings arising from activities in the normal course of business. We are not presently a party to any litigation the outcome of which, we believe, if determined adversely to us, would individually or taken together have a material adverse effec…

Text removed vs the prior filing · source: 10-Q · 2025-12-11

• In the ordinary course of business, the Company may be subject to various legal proceedings, including, from time to time, actions which are asserted to be maintainable as class action suits, and is at times subjected to government and regulatory proceedings, investigations and inquiries. We are not…

• As of October 31, 2025, the Company recorded an accrual of approximately $0.3 million related to certain legal matters that are not expected to have a material impact of its condensed consolidated financial statements.

• The Company reviews these matters on an ongoing basis to determine whether it is probable and estimable that a loss has occurred and uses that information when making accrual and disclosure decisions. If the potential loss is considered probable and the amount can be reasonably estimated, the Compan…

Text added vs the prior filing · source: 10-Q · 2026-06-03

• In addition, in the several quarters following the completion of our initial public offering ("IPO"), we expect to recognize significant stock-based compensation expense related to certain outstanding restricted stock units ("RSUs"). While the performance-based condition was satisfied in connection …

• conditions and, in certain cases, market-based vesting conditions, which has resulted and will contribute to increases in our operating expenses and will negatively impact our ability to achieve profitability in future periods.

• Additionally, if the incidence of security breaches and incidents were to decline, or enterprises or governments were to perceive that the incidence of security breaches and incidents had declined, our ability to attract and retain customers could be adversely affected. We may face additional diffic…

• discussed above or for other reasons not contemplated, our sales will not grow as quickly as anticipated, or at all, and our business, operating results and financial condition will be adversely affected.

• the transition of our billing arrangement from multi-year to annual billing, which may impact the timing of billings and collections and result in fluctuations in operating cash flows and free cash flows from period to period;

Text removed vs the prior filing · source: 10-Q · 2025-12-11

• In addition, in the several quarters following the completion of our IPO, we expect to recognize significant stock-based compensation expense related to certain outstanding RSUs that are subject to a performance-based condition that had already been satisfied in connection with the IPO, which has re…

• markets we pursue; develop or expand relationships with channel partners; expand into new geographies and vertical markets; develop and deploy new products, features, and functionalities; and provide quality customer support once deployed.

• business. For example, some large enterprises have publicly signaled an intent to reduce hybrid and remote work, and a widespread reduction in hybrid and remote work could adversely impact demand for our platform and products. If our platform and products do not achieve widespread adoption or there …

• Additionally, if the incidence of security breaches and incidents were to decline, or enterprises or governments were to perceive that the incidence of security breaches and incidents had declined, our ability to attract and retain customers could be adversely affected. We may face additional diffic…

• If we do not provide high quality support to our customers, our ability to renew subscriptions, increase the number of users and sell additional products to customers may be adversely affected. We believe that successfully delivering our platform and products requires a highly skilled level of custo…