| Financial Instruments |
Financial Instruments The following tables show the Company’s financial instruments and balance sheet classification as of July 31, 2023 and April 30, 2023:
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July 31, 2023 |
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Fair Value Measurement |
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Balance Sheet Classification |
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Cost |
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Unrealized
Gains |
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Unrealized
Losses |
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Fair
Value |
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Cash and
Cash
Equivalents |
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Marketable
Securities,
Current |
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Marketable
Securities,
Non-
current |
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Income Taxes &
Other Receivables |
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(in thousands) |
| Changes in Fair Value Recorded in |
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| Other Comprehensive Gain |
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| Level 2: |
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| Corporate notes/bonds |
$ |
19,327 |
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$ |
— |
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$ |
(203) |
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$ |
19,124 |
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$ |
— |
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$ |
19,124 |
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$ |
— |
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$ |
— |
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| Total debt investments |
$ |
19,327 |
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$ |
— |
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$ |
(203) |
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$ |
19,124 |
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$ |
— |
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$ |
19,124 |
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$ |
— |
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$ |
— |
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| Changes in Fair Value Recorded in |
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| Net Income |
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| Level 1: |
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Mutual funds (1)
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$ |
199,721 |
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$ |
— |
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$ |
10,362 |
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$ |
189,359 |
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$ |
— |
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| Total equity investments |
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$ |
199,721 |
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$ |
— |
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$ |
10,362 |
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$ |
189,359 |
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$ |
— |
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| Cash |
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$ |
520,898 |
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$ |
520,898 |
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$ |
— |
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$ |
— |
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$ |
— |
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| Money market funds |
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41,311 |
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41,311 |
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— |
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— |
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— |
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| Level 2: |
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| Foreign currency forward contracts |
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859 |
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— |
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— |
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— |
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859 |
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| Total |
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$ |
781,913 |
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$ |
562,209 |
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$ |
29,486 |
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$ |
189,359 |
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$ |
859 |
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April 30, 2023 |
|
Fair Value Measurement |
|
Balance Sheet Classification |
|
Cost |
|
Unrealized
Gains |
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Unrealized
Losses |
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Fair
Value |
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Cash and
Cash
Equivalents |
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Marketable
Securities,
Current |
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Marketable
Securities,
Non-current |
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Income Taxes &
Other Receivables |
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(in thousands) |
| Changes in Fair Value Recorded in |
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| Other Comprehensive Loss |
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| Level 2: |
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| Commercial paper |
$ |
11,751 |
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$ |
— |
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$ |
(30) |
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$ |
11,721 |
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$ |
— |
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$ |
11,721 |
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$ |
— |
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$ |
— |
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| Corporate notes/bonds |
24,754 |
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— |
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(355) |
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24,399 |
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— |
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21,492 |
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2,907 |
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— |
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| Total debt investments |
$ |
36,505 |
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$ |
— |
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$ |
(385) |
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$ |
36,120 |
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$ |
— |
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$ |
33,213 |
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$ |
2,907 |
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$ |
— |
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| Changes in Fair Value Recorded in |
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| Net Income |
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| Level 1: |
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Mutual funds (1)
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$ |
187,757 |
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$ |
— |
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$ |
11,624 |
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$ |
176,133 |
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$ |
— |
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| Total equity investments |
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$ |
187,757 |
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$ |
— |
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$ |
11,624 |
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$ |
176,133 |
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$ |
— |
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| Cash |
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$ |
696,180 |
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$ |
696,180 |
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$ |
— |
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$ |
— |
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$ |
— |
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| Money market funds |
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147,844 |
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147,844 |
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— |
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— |
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— |
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| Level 2: |
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| Foreign currency forward contracts |
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2,133 |
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— |
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— |
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— |
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2,133 |
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| Total |
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$ |
1,070,034 |
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$ |
844,024 |
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$ |
44,837 |
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$ |
179,040 |
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$ |
2,133 |
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___________________
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| (1) |
These investments are held in trust for settlement of the Company’s vested obligations of $192.5 million and $172.2 million as of July 31, 2023 and April 30, 2023, respectively, under the ECAP (see Note 6 — Deferred Compensation and Retirement Plans). Unvested obligations under the deferred compensation plans totaled $16.8 million and $21.9 million as of July 31, 2023 and April 30, 2023, respectively. During the three months ended July 31, 2023 and 2022, the fair value of the investments increased; therefore, the Company recognized a gain of $12.8 million and $0.1 million, respectively, which was recorded in other income, net. |
As of July 31, 2023, available-for-sale marketable securities had remaining maturities ranging from 1 month to 10 months. During the three months ended July 31, 2023 and 2022, there were $17.2 million and $14.4 million in sales/maturities of available-for-sale marketable securities, respectively. Investments in marketable securities that are held in trust for settlement of the Company’s vested obligations under the ECAP are equity securities and are based upon the investment selections the employee elects from a pre-determined set of securities in the ECAP and the Company invests in equity securities to mirror these elections. As of July 31, 2023 and April 30, 2023, the Company’s investments in equity securities consisted of mutual funds for which market prices are readily available. Unrealized gains that relate to equity securities still held as of July 31, 2023 were $11.9 million, while unrealized losses that relate to equity securities held as of July 31, 2022 were $0.5 million.
Foreign Currency Forward Contracts Not Designated as Hedges
The fair value of derivatives not designated as hedge instruments are as follows:
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July 31,
2023 |
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April 30,
2023 |
|
|
|
|
|
(in thousands) |
| Derivative assets: |
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| Foreign currency forward contracts |
$ |
1,573 |
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$ |
2,813 |
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| Derivative liabilities: |
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| Foreign currency forward contracts |
$ |
714 |
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$ |
680 |
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