Item 6. SELECTED CONSOLIDATED FINANCIAL DATA

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Item 6. SELECTED CONSOLIDATED FINANCIAL DATA

The following selected consolidated financial data should be read in conjunction with our audited consolidated financial statements and related notes thereto and with Management’s Discussion and Analysis of Financial Condition and Results of Operations, which are included elsewhere in this Form 10‑K. The consolidated statement of income data for our fiscal years ended January 31, 2020, 2019 and 2018, and the selected consolidated balance sheet data as of January 31, 2020 and 2019 are derived from, and are qualified by reference to, the audited consolidated financial statements included in this Form 10-K. The consolidated statement of income data for fiscal years ended January 31, 2017 and 2016 and the consolidated balance sheet data as of January 31, 2018, 2017 and 2016 are derived from audited consolidated financial statements which are not included in this Form 10‑K. The consolidated balance sheet data as of January 31, 2018, 2017, and 2016 and consolidated statement of income data for the fiscal years ended January 31, 2018 and 2017 have been derived from our audited consolidated financial statements adjusted for the adoption of Topic 606. The consolidated statement of income data for the fiscal year ended January 31, 2016 is derived from our audited financial statements and has not been adjusted for Topic 606. Our historical results are not necessarily indicative of our future results. The selected consolidated financial data in this section are not intended to replace our consolidated financial statements and the related notes, and are qualified in their entirety by the consolidated financial statements and related notes included elsewhere in this Form 10-K.

Fiscal Year Ended January 31,
20202019201820172016
Consolidated Statements of Income Data:(in thousands, except share data)
Revenues:
Subscription services$896,294$694,467$559,434$440,815$316,314
Professional services and other207,787167,743131,125109,72792,907
Total revenues1,104,081862,210690,559550,542409,221
Cost of revenues(1):
Cost of subscription services136,328117,009110,46594,38671,180
Cost of professional services and other167,041128,272100,95779,29571,034
Total cost of revenues303,369245,281211,422173,681142,214
Gross profit800,712616,929479,137376,861267,007
Operating expenses(1):
Research and development209,895158,783132,01796,74365,976
Sales and marketing190,331148,867128,781110,63480,984
General and administrative114,26786,41360,41048,79641,458
Total operating expenses514,493394,063321,208256,173188,418
Operating income286,219222,866157,929120,68878,589
Other income (expense), net27,47815,7777,8421,66728
Income before income taxes313,697238,643165,771122,35578,617
Provision for income taxes12,5798,81114,59444,78324,157
Net income$301,118$229,832$151,177$77,572$54,460
Net income, basic and diluted$301,118$229,832$151,177$77,569$54,413
Net income per share:
Basic$2.04$1.59$1.08$0.57$0.41
Diluted$1.90$1.47$0.98$0.53$0.38
Weighted-average shares used to compute earnings per share:
Basic147,796144,244140,311135,698132,020
Diluted158,296156,117153,681147,578144,977
(1)Includes stock-based compensation as follows:

Veeva Systems Inc. | Form 10-K 37

Table of Contents

Cost of revenues:
Cost of subscription services$2,638$1,553$1,448$1,109$563
Cost of professional services and other17,51810,5758,4766,0023,858
Research and development37,00122,13817,78211,9377,249
Sales and marketing27,53718,38116,28813,2716,861
General and administrative31,21223,77810,0558,4795,727
Total stock-based compensation$115,906$76,425$54,049$40,798$24,258
As of January 31,
20202019201820172016
Consolidated Balance Sheet Data:(in thousands)
Cash and cash equivalents$476,733$550,971$320,183$217,606$132,179
Short-term investments610,015539,190441,779301,266214,024
Working capital979,9521,032,392706,252472,885315,990
Total assets2,271,7771,653,7661,230,333938,946723,324
Deferred revenue468,887356,357266,939208,588157,419
Additional paid-in capital745,475617,623515,272439,658361,691
Total stockholders' equity1,665,5941,237,749906,238678,154521,981
*The summary consolidated financial data for the years ended January 31, 2020, 2019, 2018, and 2017 and as of January 31, 2020, 2019, 2018, 2017, and 2016 reflects the adoption of Topic 606 and ASU 2018-02, “Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income.” The summary consolidated financial data for the year ended January 31, 2016 does not reflect the adoption of Topic 606 or ASU 2018-02.

38 Veeva Systems Inc. | Form 10-K

Table of Contents

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