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Document and Entity Information - shares	6 Months Ended
Document and Entity Information - shares	Jun. 30, 2015	Jul. 31, 2015
Document and Entity Information [Abstract]
Entity Registrant Name	QUALYS, INC.
Entity Central Index Key	0001107843
Document Type	10-Q
Document Period End Date	Jun. 30, 2015
Amendment Flag	false
Document Fiscal Year Focus	2015
Document Fiscal Period Focus	Q2
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		34,090,124

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Current assets:
Cash and cash equivalents	$ 84,058	$ 76,504
Short-term investments	74,052	50,714
Accounts receivable, net of allowance of $500 and $590 at June 30, 2015 and December 31, 2014, respectively	34,552	32,993
Deferred tax assets, current	5,540	8,520
Prepaid expenses and other current assets	7,311	6,528
Total current assets	205,513	175,259
Long-term investments	29,031	39,448
Property and equipment, net	29,238	26,618
Deferred tax assets, net	14,035	14,119
Intangible assets, net	1,805	2,001
Goodwill	317	317
Other noncurrent assets	2,106	2,262
Total assets	282,045	260,024
Current liabilities:
Accounts payable	1,042	5,661
Accrued liabilities	10,598	10,353
Deferred revenues, current	87,411	81,147
Total current liabilities	99,051	97,161
Deferred revenues, noncurrent	9,711	10,064
Other noncurrent liabilities	1,115	972
Total liabilities	109,877	108,197
Commitments and contingencies (Note 5)
Stockholders’ equity:
Preferred stock, $0.001 par value; 20,000,000 shares authorized, no shares issued and outstanding at June 30, 2015 and December 31, 2014	0	0
Common stock, $0.001 par value; 1,000,000,000 shares authorized, 34,079,161 and 33,594,285 shares issued and outstanding at June 30, 2015 and December 31, 2014, respectively	34	34
Additional paid-in capital	209,139	195,133
Accumulated other comprehensive income	27	10
Accumulated deficit	(37,032)	(43,350)
Total stockholders’ equity	172,168	151,827
Total liabilities and stockholders’ equity	$ 282,045	$ 260,024

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Statement of Financial Position [Abstract]
Allowance for doubtful accounts receivable	$ 500	$ 590
Preferred stock, par or stated value per share (USD per share)	$ 0.001	$ 0.001
Preferred stock, shares authorized	20,000,000	20,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par or stated value per share (USD per share)	$ 0.001	$ 0.001
Common stock, shares authorized	1,000,000,000	1,000,000,000
Common stock, shares issued	34,079,161	33,594,285
Common stock, shares outstanding	34,079,161	33,594,285

Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Revenues
Revenues	$ 39,877	$ 32,302	$ 77,370	$ 62,658
Cost of revenues	8,157	7,175	16,121	14,021
Gross profit	31,720	25,127	61,249	48,637
Operating expenses:
Research and development	7,205	6,411	14,355	12,815
Sales and marketing	12,776	11,845	24,219	24,337
General and administrative	6,427	5,081	12,443	9,956
Total operating expenses	26,408	23,337	51,017	47,108
Income from operations	5,312	1,790	10,232	1,529
Other income (expense), net:
Interest expense	(4)	(3)	(4)	(7)
Interest income	132	130	233	238
Other income (expense), net	0	(86)	(178)	(178)
Total other income, net	128	41	51	53
Income before income taxes	5,440	1,831	10,283	1,582
Provision for income taxes	2,124	174	3,965	356
Net income	$ 3,316	$ 1,657	$ 6,318	$ 1,226
Net income per share:
Basic (USD per share)	$ 0.10	$ 0.05	$ 0.19	$ 0.04
Diluted (USD per share)	$ 0.09	$ 0.04	$ 0.16	$ 0.03
Weighted average shares used in computing net income per share:
Basic (shares)	34,003	32,818	33,889	32,668
Diluted (shares)	38,475	36,839	38,363	36,966

Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Statement of Comprehensive Income [Abstract]
Net income	$ 3,316	$ 1,657	$ 6,318	$ 1,226
Available-for-sale investments:
Change in net unrealized gain (loss) on investments, net of tax	(8)	27	16	39
Less: reclassification adjustment for net realized gain included in net income	0	(7)	1	(7)
Net change, net of tax	(8)	20	17	32
Other comprehensive income (loss), net	(8)	20	17	32
Comprehensive income	$ 3,308	$ 1,677	$ 6,335	$ 1,258

- 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 - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Cash flows from operating activities:
Net income	$ 6,318	$ 1,226
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization expense	6,586	5,782
Bad debt expense	333	153
Loss on disposal of property and equipment	4	1
Stock-based compensation	8,257	4,606
Amortization of premiums and accretion of discounts on investments	324	325
Excess tax benefits from stock-based compensation	(191)	(54)
Deferred income taxes	3,064	(19)
Changes in operating assets and liabilities:
Accounts receivable	(1,892)	367
Prepaid expenses and other assets	(534)	(772)
Accounts payable	(4,619)	(195)
Accrued liabilities	1,846	(558)
Deferred revenues	5,911	4,240
Other noncurrent liabilities	143	92
Net cash provided by operating activities	25,550	15,194
Cash flows from investing activities:
Purchases of investments	(61,442)	(76,907)
Sales and maturities of investments	48,214	64,960
Purchases of property and equipment	(10,407)	(6,524)
Capitalized software development costs	(99)	0
Net cash used in investing activities	(23,734)	(18,471)
Cash flows from financing activities:
Proceeds from exercise of stock options	5,547	3,053
Excess tax benefits from stock-based compensation	191	54
Principal payments under capital lease obligations	0	(536)
Net cash provided by financing activities	5,738	2,571
Effect of exchange rate changes on cash and cash equivalents	0	9
Net increase (decrease) in cash and cash equivalents	7,554	(697)
Cash and cash equivalents at beginning of period	76,504	42,369
Cash and cash equivalents at end of period	84,058	41,672
Non-cash investing and financing activities:
Vesting of early exercised common stock options	$ 11	$ 35

The Company and Summary of Significant Accounting Policies

6 Months Ended

Jun. 30, 2015

Accounting Policies [Abstract]

The Company and Summary of Significant Accounting Policies

Description of Business

Qualys, Inc. (the “Company”) was incorporated in the state of Delaware on December 30, 1999. The Company is headquartered in Redwood City, California and has majority-owned subsidiaries throughout the world. The Company is a pioneer and leading provider of cloud security and compliance solutions that enable organizations to identify security risks to their IT infrastructures, help protect their IT systems and applications from ever-evolving cyber-attacks and achieve compliance with internal policies and external regulations. The Company’s cloud solutions address the growing security and compliance complexities and risks that are amplified by the dissolving boundaries between internal and external IT infrastructures and web environments, the rapid adoption of cloud computing and the proliferation of geographically dispersed IT assets. Organizations can use the Company’s integrated suite of solutions delivered on its QualysGuard Cloud Platform to cost-effectively obtain a unified view of their security and compliance posture across globally-distributed IT infrastructures.

Basis of Presentation

The accompanying unaudited condensed consolidated financial statements and condensed footnotes have been prepared by the Company in accordance with accounting principles generally accepted in the United States ("U.S. GAAP") for interim financial information as well as the instructions to Form 10-Q and the rules and regulations of the U.S. Securities and Exchange Commission ("SEC"). Certain information and note disclosures normally included in the financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to such rules and regulations. The condensed consolidated balance sheet as of December 31, 2014, included herein, was derived from the audited financial statements as of that date but does not include all disclosures, including notes required by U.S. GAAP. In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments, which include only normal recurring adjustments, necessary for the fair presentation of the financial position, results of operations and cash flows for the interim periods. The results of operations for the three and six month periods ended June 30, 2015 are not necessarily indicative of the results of operations expected for the entire year ending December 31, 2015 or for any other future annual or interim period. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014 filed with the SEC on March 6, 2015.

Certain prior year amounts related to income taxes have been reclassified to conform to the current year presentation. These reclassifications did not change previously reported total assets, liabilities, stockholders' equity, income from operations or net income.

Principles of Consolidation

The accompanying condensed consolidated financial statements include the accounts of the Company and its majority-owned subsidiaries. All significant intercompany transactions and balances have been eliminated upon consolidation.

Correction of Immaterial Error

During the fourth quarter of 2014, the Company identified an immaterial error in the financial statements of its foreign subsidiaries reporting in the applicable local foreign currencies as their functional currencies, resulting in translation adjustments included as a component of accumulated other comprehensive income (loss) in stockholders' equity. It was determined that the functional currency for the Company's local subsidiaries should be the U.S. dollar. Accordingly, remeasurement gains and losses on monetary assets and liabilities denominated in foreign currencies should be recorded to foreign exchange gains and losses in other income (expense) in the condensed consolidated statements of operations in accordance with GAAP.

The Company reviewed the accounting error utilizing SEC Staff Accounting Bulletin No. 99, “Materiality” and SEC Staff Accounting Bulletin No. 108, “Effects of Prior Year Misstatements on Current Year Financial Statements.” Management evaluated the materiality of this error from a qualitative and quantitative perspective and determined the impact of the errors did not have a material impact on any individual prior period presentation or affect the trend of financial results. However, because the adjustment to correct the cumulative error on the consolidated balance sheets and statements of stockholders' equity would have had a material effect to the Company's consolidated statements of operations for the year ended December 31, 2014, the Company revised its previously reported financial statements for the 2012 and 2013 annual periods in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014 filed with the SEC on March 6, 2015, to reflect the impact of the immaterial errors that had been corrected.

The following table summarizes the correction of previously reported amounts for the three and six month periods ended June 30, 2014 presented in the accompanying condensed consolidated financial statements (in thousands, except per share data):



	Three Months Ended						Six Months Ended
	June 30, 2014						June 30, 2014
	as reported			as adjusted			as reported			as adjusted
Condensed Consolidated Statements of Operations:
Other income (expense), net	$	(37	)	$	(86	)	$	(138	)	$	(178	)
Total other income, net	90			41			93			53
Net income	1,706			1,657			1,266			1,226
Net income per share:
Basic	0.05			0.05			0.04			0.04
Diluted	0.05			0.04			0.03			0.03

Condensed Consolidated Statements of Comprehensive Income:
Change in foreign currency translation loss, net of tax	(49		)	—			(40		)	—
Comprehensive income	1,677			1,677			1,258			1,258



	Six Months Ended
	June 30, 2014
	as reported			as adjusted
Condensed Consolidated Statements of Cash Flows:
Net cash provided by operating activities	$	15,175		$	15,194
Net cash used in investing activities	(18,442		)	(18,471		)
Effect of exchange rate changes on cash and cash equivalents	(30		)	9
Net decrease in cash and cash equivalents	(697		)	(697		)

Use of Estimates

The preparation of the condensed consolidated financial statements in conformity with U.S. GAAP requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported results of operations during the reporting period. The Company’s management regularly assesses these estimates, which primarily affect revenue recognition, the valuation of accounts receivable, goodwill and intangible assets, stock-based compensation and the provision for income taxes. Actual results could differ from those estimates and such differences may be material to the accompanying condensed consolidated financial statements.

Concentration of Credit Risk

The Company invests its cash and cash equivalents with major financial institutions. Cash balances with any one institution at times may be in excess of federally insured limits. Cash equivalents are invested in high-quality investment grade financial instruments and are diversified. The Company has not experienced any losses in such accounts and believes it is not exposed to any significant credit risk.

Credit risk with respect to accounts receivable is dispersed due to the large number of customers. Collateral is not required for accounts receivable. The Company maintains an allowance for potential credit losses based upon the expected collectability of accounts receivable. The Company writes off its receivables once collection efforts are unsuccessful. As of June 30, 2015 and December 31, 2014, no customer or channel partner accounted for more than 10% of the Company's accounts receivable balance.

Cash, Cash Equivalents, Short-Term and Long-Term Investments

Cash and cash equivalents include cash held in banks, highly liquid money market funds, commercial paper and fixed-income U.S. government agency securities, all with original maturities of three months or less when acquired. The Company’s investments consist of fixed-income U.S. government agency securities, corporate bonds, asset-backed securities, and commercial paper. Management determines the appropriate classification of the Company's investments at the time of purchase and reevaluates such designation at each balance sheet date. The Company classifies its investments as either short-term or long-term based on each instrument's underlying contractual maturity date.

Cash equivalents are stated at cost, which approximates fair market value. Short-term and long-term investments are classified as available-for-sale and are carried at fair value. Unrealized gains and losses in fair value are reported in other comprehensive income (loss). When the available-for-sale securities are sold, cost is based on the specific identification method, and the realized gains and losses are included in other income (expense) in the condensed consolidated statements of operations. Short-term and long-term investments are reviewed quarterly for impairment that is deemed to be other-than-temporary. An investment is considered other-than-temporarily impaired when its fair value is below its amortized cost and (1) there is an intent to sell the security, (2) it is “more likely than not” that the security will be sold before recovery of its amortized cost basis or (3) the present value of expected cash flows from the investment is not expected to recover the entire amortized cost basis. Declines in value that are considered to be other-than-temporary and adjustments to amortized cost for the amortization of premiums and the accretion of discounts are recorded in other income (expense). Interest and dividends are recorded in interest income as earned.

Software Development Costs

The Company capitalizes qualifying software costs developed or obtained for internal use. These costs generally include internal costs, such as payroll and benefits of those employees directly associated with the development of the software, and other consulting expenses. Total capitalized development costs are $0.4 million and $0.3 million at June 30, 2015 and December 31, 2014, respectively.

Recent Accounting Pronouncements

Under the Jumpstart Our Business Startups Act (the "JOBS Act"), the Company meets the definition of an “emerging growth company.” The Company has irrevocably elected to opt out of the extended transition period for complying with new or revised accounting standards pursuant to Section 107(b) of the JOBS Act. As a result, the Company will comply with new or revised accounting standards on the relevant dates on which adoption of such standards is required from non-emerging growth companies.

In May 2014, the Financial Accounting Standards Board (“FASB”) issued an Accounting Standard Update (“ASU”) amending revenue recognition guidance and requiring more detailed disclosures to enable users of financial statements to understand the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. On April 1, 2015, the FASB tentatively decided to defer the effective date of ASU 2014-09. If the proposed changes are finalized, ASU 2014-09 will be effective for fiscal years, and interim periods within those years, beginning after December 15, 2017, but entities will be permitted to early adopt the standard as of the original effective date. The new revenue standard may be applied retrospectively to each prior period presented or retrospectively with the cumulative effect recognized on date of adoption. The Company is currently evaluating the impact this ASU will have on its consolidated financial statements.

In January 2015, the FASB issued an ASU eliminating from U.S. GAAP the concept of extraordinary items, which required that an entity separately classify, present, and disclose extraordinary events and transactions. The guidance is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. A reporting entity may apply the amendments prospectively or retrospectively to all prior periods presented in the financial statements. Early adoption is permitted provided that the guidance is applied from the beginning of the fiscal year of adoption. The Company does not expect the adoption of this ASU to be material to their consolidated financial statements.

In April 2015, the FASB issued an ASU amending existing guidance which clarifies that software licenses contained in a cloud computing arrangement should be capitalized if the customer has the right to take possession of the software and the ability to run the software outside of the cloud computing arrangement. If a cloud computing arrangement does not include a software license, the customer should account for the arrangement as a service contract under existing guidelines. This guidance is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. A reporting entity may apply the amendments prospectively to all arrangements entered into or materially modified after the effective date or retrospectively. Early adoption is permitted. The Company is currently evaluating the impact this ASU will have on its consolidated financial statements.

Fair Value of Financial Instruments

6 Months Ended

Jun. 30, 2015

Fair Value Disclosures [Abstract]

Fair Value of Financial Instruments

Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. For certain of the Company’s financial instruments, including certain cash equivalents, accounts receivable, accounts payable, and other current liabilities, the carrying amounts approximate their fair values due to the relatively short maturity of these balances.

The Company measures and reports certain cash equivalents, investments and derivative foreign currency forward contracts at fair value in accordance with the provisions of the authoritative accounting guidance that addresses fair value measurements. This guidance establishes a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. The hierarchy is broken down into three levels based on the reliability of inputs as follows:

Level 1—Valuations based on quoted prices in active markets for identical assets or liabilities.

Level 2—Valuations based on other than quoted prices in active markets for identical assets and liabilities, quoted prices for identical or similar assets or liabilities in inactive markets, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.

Level 3—Valuations based on inputs that are generally unobservable and typically reflect management’s estimates of assumptions that market participants would use in pricing the asset or liability.

The Company's financial instruments consist of assets and liabilities measured using Level 1 and 2 inputs. Level 1 assets include highly liquid money market funds, which are valued using unadjusted quoted prices that are available in an active market for an identical asset. Level 2 assets include fixed-income U.S. government agency securities, commercial paper, corporate bonds, asset-backed securities and derivative financial instruments consisting of foreign currency forward contracts. The securities, bonds and commercial paper are valued using prices from independent pricing services based on quoted prices in active markets for similar instruments or on industry models using data inputs such as interest rates and prices that can be directly observed or corroborated in active markets. The foreign currency forward contracts are valued using observable inputs, such as quotations on forward foreign exchange points and foreign interest rates.

The Company's cash and cash equivalents, short-term investments, and long-term investments consist of the following:



	June 30, 2015
	Amortized Cost		Unrealized Gains		Unrealized Losses			Fair Value
	(in thousands)
Cash and cash equivalents:
Cash	$	41,300	$	—	$	—		$	41,300
Money market funds	21,061		—		—			21,061
Commercial paper	21,694		3		—			21,697
Total	84,055		3		—			84,058
Short-term investments:
Commercial paper	15,929		7		—			15,936
Corporate bonds	12,688		1		(6		)	12,683
Asset-backed securities	71		—		—			71
U.S. government agencies	45,342		20		—			45,362
Total	74,030		28		(6		)	74,052
Long-term investments:
Asset-backed securities	9,999		1		—			10,000
U.S. government agencies	11,940		9		(4		)	11,945
Corporate bonds	7,090		1		(5		)	7,086
Total	29,029		11		(9		)	29,031
Total	$	187,114	$	42	$	(15	)	$	187,141



	December 31, 2014
	Amortized Cost		Unrealized Gains		Unrealized Losses			Fair Value
	(in thousands)
Cash and cash equivalents:
Cash	$	36,024	$	—	$	—		$	36,024
Money market funds	39,180		—		—			39,180
U.S. government agencies	300		—		—			300
Commercial paper	1,000		—		—			1,000
Total	76,504		—		—			76,504
Short-term investments:
Commercial paper	4,998		1		—			4,999
Corporate bonds	12,438		6		(6		)	12,438
U.S. government agencies	33,280		3		(6		)	33,277
Total	50,716		10		(12		)	50,714
Long-term investments:
Asset-backed securities	16,092		5		(3		)	16,094
U.S. government agencies	20,243		22		(10		)	20,255
Corporate bonds	3,101		—		(2		)	3,099
Total	39,436		27		(15		)	39,448
Total	$	166,656	$	37	$	(27	)	$	166,666

The following table sets forth by level within the fair value hierarchy the fair value of the Company's available-for-sale securities measured on a recurring basis, excluding cash and money market funds:



	June 30, 2015
	Level 1		Level 2		Level 3		Fair Value
	(in thousands)
Commercial paper	$	—	$	37,633	$	—	$	37,633
U.S. government agencies	—		57,307		—		57,307
Corporate bonds	—		19,769		—		19,769
Asset-backed securities	—		10,071		—		10,071
Total	$	—	$	124,780	$	—	$	124,780



	December 31, 2014
	Level 1		Level 2		Level 3		Fair Value
	(in thousands)
Commercial paper	$	—	$	5,999	$	—	$	5,999
U.S. government agencies	—		53,832		—		53,832
Corporate bonds	—		15,537		—		15,537
Asset-backed securities	—		16,094		—		16,094
Total	$	—	$	91,462	$	—	$	91,462

There were no transfers between Level 1, Level 2 or Level 3 of the fair value hierarchy, as determined at the end of each reporting period.

The following summarizes the fair value of securities classified as available-for-sale by contractual maturity:



	June 30, 2015
	Mature within One Year		After One Year through Two Years		Over Two Years		Fair Value
	(in thousands)
Commercial paper	$	37,633	$	—	$	—	$	37,633
U.S. government agencies	45,362		11,945		—		57,307
Corporate bonds	12,683		7,086		—		19,769
Asset-backed securities	72		7,502		2,497		10,071
Total	$	95,750	$	26,533	$	2,497	$	124,780



	December 31, 2014
	Mature within One Year		After One Year through Two Years		Over Two Years		Fair Value
	(in thousands)
Commercial paper	$	5,999	$	—	$	—	$	5,999
U.S. government agencies	33,577		20,255		—		53,832
Corporate bonds	12,438		3,099		—		15,537
Asset-backed securities	—		7,327		8,767		16,094
Total	$	52,014	$	30,681	$	8,767	$	91,462

Derivative Financial Instruments

Derivative financial instruments are utilized by the Company to reduce foreign currency exchange risks. The Company uses foreign currency forward contracts to mitigate the impact of foreign currency fluctuations of certain non-U.S. dollar denominated asset positions, primarily cash and accounts receivable. These contracts are recorded within prepaid expenses and other current assets or accrued liabilities in the condensed consolidated balance sheets. Gains and losses resulting from currency exchange rate movements on these forward contracts are recognized in other income (expense) in the accompanying condensed consolidated statements of operations in the period in which the exchange rates change and offset the foreign currency gains and losses on the underlying exposure being hedged. The Company does not enter into derivative financial instruments for trading or speculative purposes.

At June 30, 2015, the Company had two outstanding forward contracts with notional amounts of 4.5 million Euros and 2.4 million British Pounds, which expired on July 31, 2015. At December 31, 2014, the Company had two outstanding forward contracts with notional amounts of 6.0 million Euros and 2.1 million British Pounds, which expired on January 31, 2015. These forward contracts were entered into at the end of each month, and thus the fair value of these contracts was $0 at June 30, 2015 and December 31, 2014. The Company recorded a loss of $0.4 million from these forward contracts, which was offset by other foreign currency transaction gains of $0.4 million for the three months ended June 30, 2015. The Company recorded a net gain of $0.4 million, which was more than offset by other foreign currency transaction losses of $0.5 million during the six months ended June 30, 2015. For the three months ended June 30, 2014, the Company recorded an immaterial gain from these contracts, which were more than offset by other foreign currency losses of $0.1 million. For the six months ended June 30, 2014, the Company recorded a loss of $0.2 million from these forward contracts, which were partially offset by a small gain in other foreign currency transactions. These derivatives did not meet the criteria to be designated as hedges. These instruments were valued using Level 2 inputs.

- 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

Property and Equipment, Net

6 Months Ended

Jun. 30, 2015

Property, Plant and Equipment [Abstract]

Property and Equipment, Net

Property and equipment consists of the following:



	June 30,			December 31,
	2015			2014
	(in thousands)
Computer equipment	$	42,243		$	35,576
Computer software	11,812			10,899
Furniture, fixtures and equipment	2,843			2,931
Scanner appliances	20,538			19,861
Leasehold improvements	2,700			2,622
Total property and equipment	80,136			71,889
Less: accumulated depreciation and amortization	(50,898		)	(45,271		)
Property and equipment, net	$	29,238		$	26,618

Physical scanner appliances and other computer equipment that are or will be subject to subscriptions by customers have a net carrying value of $7.4 million and $6.0 million at June 30, 2015 and December 31, 2014, respectively, including assets that have not been placed in service of $0.7 million and $1.4 million, respectively. Other fixed assets not placed in service at June 30, 2015 and December 31, 2014, included in computer equipment and leasehold improvements, are approximately $2.2 million and $2.8 million, respectively. Depreciation and amortization expense relating to property and equipment was $3.3 million and $2.9 million for the three months ended June 30, 2015 and 2014, respectively and $6.4 million and $5.6 million for the six months ended June 30, 2015 and 2014, respectively.

Goodwill and Intangible Assets, Net

6 Months Ended

Jun. 30, 2015

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets, Net

Intangible assets consist primarily of existing technology, patent license and non-competition agreements acquired in business combinations. Acquired intangibles are amortized on a straight-line basis over the respective estimated useful lives of the assets.

The carrying values of intangible assets are as follows (in thousands):



				June 30, 2015					December 31, 2014
	Estimated Lives	Cost		Accumulated Amortization			Net Book Value		Accumulated Amortization			Net Book Value
Existing technology	7 years	$	1,910	$	(1,320	)	$	590	$	(1,183	)	$	727
Patent license	14 years	1,388		(472		)	916		(422		)	966
Non-competition agreements and other	3 years	171		(167		)	4		(158		)	13
Total intangibles subject to amortization		$	3,469	$	(1,959	)	1,510		$	(1,763	)	1,706
Intangible assets not subject to amortization							295					295
Total intangible assets, net							$	1,805				$	2,001

Intangibles amortization expense was $0.1 million for the three months ended June 30, 2015 and 2014 and $0.2 million for the six months ended June 30, 2015 and 2014.

As of June 30, 2015, the Company expects amortization expense in future periods to be as follows (in thousands):



Remainder of 2015	$	190
2016	373
2017	282
2018	100
2019	100
2020 and thereafter	465
Total expected future amortization expense	$	1,510

Goodwill, which is not subject to amortization, totaled $0.3 million as of June 30, 2015 and December 31, 2014.

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

+ References + Details

Commitments and Contingencies

6 Months Ended

Jun. 30, 2015

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

Leases

The Company leases certain computer equipment and its corporate office and data center facilities under noncancellable operating leases for varying periods through 2019.

The following are the minimum annual lease payments due under operating leases at June 30, 2015:



	Operating Leases
	(in thousands)
Remainder of 2015	$	2,097
2016	3,156
2017	1,864
2018	456
2019	210
Total minimum lease payments	$	7,783

Rent expense was $1.7 million and $1.5 million for the three months ended June 30, 2015 and 2014, respectively, and $3.3 million and $3.0 million for the six months ended June 30, 2015 and 2014, respectively. Although certain of the operating lease agreements provide for escalating rent payments over the terms of the leases, rent expense under these agreements is recognized on a straight-line basis. As of June 30, 2015 and December 31, 2014, the Company has accrued $0.6 million and $0.5 million of deferred rent, respectively, related to these agreements, which is reflected in accrued liabilities and other noncurrent liabilities in the accompanying condensed consolidated balance sheets.

Sales and Other Taxes

The Company’s software-as-a-service solutions are subject to sales and other taxes in certain jurisdictions where the Company does business. The Company bills sales and other taxes to customers and remits these amounts to the respective government authorities. For those jurisdictions where the Company has not yet billed sales tax to its customers and believes it is probable it may have exposure and can reasonably estimate such exposure, it has recorded a liability of $0.6 million and $0.5 million at June 30, 2015 and December 31, 2014, respectively, which is recorded within accrued liabilities in the condensed consolidated balance sheets. However, taxing jurisdictions have differing rules and regulations, which are subject to varying interpretations that may change over time. Other than the liability that the Company has accrued in its condensed consolidated balance sheets, the Company has been unable to assess the probability, or estimate the amount, of its sales tax exposure, if any. There are no pending reviews at June 30, 2015 of which the outcome is expected to result in sales and other taxes due in excess of accrued liabilities. Management does not anticipate that its sales tax exposure, if any, would have a material adverse effect on the financial position, results of operations or cash flows of the Company.

Indemnifications

The Company from time to time enters into certain types of contracts that contingently require it to indemnify various parties against claims from third parties. These contracts primarily relate to (i) the Company's by-laws, under which it must indemnify directors and executive officers, and may indemnify other officers and employees, for liabilities arising out of their relationship, (ii) contracts under which the Company must indemnify directors and certain officers for liabilities arising out of their relationship, and (iii) contracts under which the Company may be required to indemnify customers or resellers from certain liabilities arising from potential infringement of intellectual property rights, as well as potential damages caused by limited product defects. To date, the Company has not incurred and has not recorded any liability in connection with such indemnifications.

The Company maintains director and officer insurance, which may cover certain liabilities arising from its obligation to indemnify its directors.

Contingencies

From time to time, the Company may have certain contingent liabilities that arise in the ordinary course of its business activities. The Company accrues a liability for such matters when it is probable a loss has been incurred and such loss can be reasonably estimated. At June 30, 2015, the Company has not recorded any material liabilities in accordance with accounting for contingencies.

Stock-based Compensation

6 Months Ended

Jun. 30, 2015

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Stock-based Compensation

Stock Options

2012 Equity Incentive Plan

Under the 2012 Equity Incentive Plan (the "2012 Plan"), the Company is authorized to grant to eligible participants incentive stock options (“ISOs”), non-statutory stock options (“NSOs”), stock appreciation rights ("SARs"), restricted stock awards ("RSAs"), restricted stock units ("RSUs"), performance units and performance shares equivalent to up to 6,348,478 shares of common stock. Options may be granted with an exercise price that is at least equal to the fair market value of the Company's stock at the date of grant and are exercisable when vested. As of June 30, 2015, 2,232,459 shares were available for grant under the 2012 Plan.

2000 Equity Incentive Plan

Under the 2000 Equity Incentive Plan (the "2000 Plan"), the Company was authorized to grant to eligible participants either ISOs or NSOs. The 2000 Plan was terminated in connection with the closing of the initial public offering ("IPO"), and accordingly, no shares are currently available for issuance under the 2000 Plan. The 2000 Plan continues to govern outstanding awards granted thereunder.

Employee Stock-based Compensation

Employee stock-based compensation is included in the condensed consolidated statements of operations as follows:



	Three months ended				Six months ended
	June 30,				June 30,
	2015		2014		2015		2014
	(in thousands)
Cost of revenues	$	344	$	158	$	672	$	307
Research and development	1,138		510		2,290		945
Sales and marketing	980		705		1,791		1,278
General and administrative	1,467		992		2,938		1,765
Total employee stock-based compensation	$	3,929	$	2,365	$	7,691	$	4,295

Compensation cost is recognized on a straight-line basis over the service period. Forfeitures are estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures differ from those estimates.

As of June 30, 2015, the Company had $25.3 million of total unrecognized employee compensation cost related to unvested awards that it expects to recognize over a weighted-average period of 2.1 years.

The fair value of each option granted to employees is estimated on the date of grant using the Black-Scholes option-pricing model based on the following assumptions:



	Three months ended		Six months ended
	June 30,		June 30,
	2015	2014	2015	2014
Expected term (in years)	4.9 to 5.9	5.3 to 5.9	4.9 to 5.9	5.3 to 5.9
Volatility	46%	49% to 50%	46% to 48%	49% to 52%
Risk-free interest rate	1.5% to 1.65%	1.65% to 1.67%	1.3% to 1.65%	1.52% to 1.67%
Dividend yield	—%	—%	—%	—%

The expected term of the options is based on evaluations of historical and expected future employee exercise behavior. The risk-free interest rate is based on the U.S. Treasury rates at the date of grant with maturity dates approximately equal to the expected term at the grant date. Volatility is based on historical volatility of several public entities that are similar to the Company, as the Company does not have sufficient historical transactions in its own shares on which to base expected volatility. The Company has not historically declared any dividends and does not expect to in the future.

Non-Employee Stock-based Compensation

The Company records compensation representing the fair value of stock options granted to non-employees. Stock-based non-employee compensation expense was $0.5 million and $0.1 million for the three months ended June 30, 2015 and 2014, respectively and $0.6 million and $0.3 million, for the six months ended June 30, 2015 and 2014, respectively. Non-employee stock-based compensation is recognized over the vesting periods of the options. The value of options granted to non-employees is remeasured as they vest over a performance period.

Stock Option Plan Activity

A summary of the Company’s stock option activity is as follows:



	Outstanding Shares		Weighted Average Exercise Price		Weighted Average Remaining Contractual Life (Years)	Aggregate Intrinsic Value
						(in thousands)
December 31, 2014	7,605,407		$	12.93	6.5	$	188,743
Granted	584,700		44.70
Exercised	(484,876	)	11.44
Canceled	(348,274	)	27.31
June 30, 2015	7,356,957		14.88		6.2	189,858
Vested and expected to vest - June 30, 2015	6,916,031		13.85		6.0	184,876
Exercisable - June 30, 2015	4,813,369		7.68		4.9	157,244

Restricted Stock

The terms and conditions of RSAs, including vesting criteria and timing are set by the board of directors. The cost of RSAs is determined using the fair value of the Company’s common stock on the date of the grant. Compensation cost is recognized on a straight-line basis over the requisite service period of each grant adjusted for estimated forfeitures. Recipients of RSAs generally have voting and dividend rights without regard to vesting. The Company has the right to repurchase shares that do not vest.

During the three and six months ended June 30, 2014, the Company granted 1,401 shares of restricted stock, which vested immediately and had no further restrictions or service period, and resulted in compensation expense of $27,000. The Company did not issue restricted stock during the three and six months ended June 30, 2015.

Other Income (Expense), Net

6 Months Ended

Jun. 30, 2015

Other Income and Expenses [Abstract]

Other Income (Expense), Net

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



	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2015			2014			2015			2014
	(in thousands)
Foreign exchange gain (loss)	$	27		$	(58	)	$	(124	)	$	(125	)
Other income (expense)	(27		)	(28		)	(54		)	(53		)
Other income (expense), net	$	—		$	(86	)	$	(178	)	$	(178	)

Income Taxes	6 Months Ended
Income Taxes	Jun. 30, 2015
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes The Company recorded a tax provision of $4.0 million and $0.4 million for the six months ended June 30, 2015 and 2014, respectively. The increase in the tax provision recorded for the six month period ended June 30, 2015 is primarily due to the taxes on its U.S. federal income, as well as certain states and foreign jurisdictions, and changes to unrecognized tax benefits related to uncertain tax positions. Prior to the fourth quarter of 2014, the Company maintained a valuation allowance on its U.S. federal and state deferred tax assets, and its taxes were primarily related to taxes in its foreign jurisdictions and certain states in the U.S, as well as changes to unrecognized tax benefits related to uncertain tax positions. The Company's effective income tax rate was approximately 38.6% in the six months ended June 30, 2015. As of June 30, 2015, the Company had unrecognized tax benefits of $3.5 million, of which $2.2 million, if recognized, would favorably impact the Company's effective tax rate. As of December 31, 2014, the Company had unrecognized tax benefits of $3.3 million, of which $2.1 million, if recognized, would favorably impact the Company's effective tax rate.

Segment Information and Information about Geographic Area

6 Months Ended

Jun. 30, 2015

Segment Reporting [Abstract]

Segment Information and Information about Geographic Area

The Company operates in one segment. The Company’s chief operating decision maker is the Chairman, President and Chief Executive Officer, who makes operating decisions, assesses performance and allocates resources on a consolidated basis. All of the Company’s principal operations and decision-making functions are located in the United States. Revenues by geographic area, based on the location of the customer, are as follows:



	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2015		2014		2015		2014
	(in thousands)
United States	$	28,130	$	22,620	$	54,470	$	43,910
Other	11,747		9,682		22,900		18,748
Total revenues	$	39,877	$	32,302	$	77,370	$	62,658

Property and equipment, net, by geographic area, are as follows:



	June 30,		December 31,
	2015		2014
	(in thousands)
United States	$	24,992	$	23,650
Other	4,246		2,968
Total property and equipment, net	$	29,238	$	26,618

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
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Reference 2: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
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Reference 3: http://www.xbrl.org/2003/role/presentationRef
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+ Details

Net Income Per Share

6 Months Ended

Jun. 30, 2015

Earnings Per Share [Abstract]

Net Income Per Share

The computations for basic and diluted net income per share are as follows:



	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2015		2014		2015		2014
	(in thousands, except per share data)
Numerator:
Net income	$	3,316	$	1,657	$	6,318	$	1,226
Denominator:
Weighted-average shares used in computing net income per share:
Basic	34,003		32,818		33,889		32,668
Effect of potentially dilutive securities:
Common stock options	4,472		4,021		4,474		4,298
Diluted	38,475		36,839		38,363		36,966
Net income per share:
Basic	$	0.10	$	0.05	$	0.19	$	0.04
Diluted	$	0.09	$	0.04	$	0.16	$	0.03

Potentially dilutive securities not included in the calculation of diluted net income per share because doing so would be antidilutive are as follows:



	Three Months Ended		Six Months Ended
	June 30,		June 30,
	2015	2014	2015	2014
	(in thousands)
Common stock options	424	1,780	305	1,315

The Company and Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2015
Accounting Policies [Abstract]
Basis of presentation	Basis of Presentation The accompanying unaudited condensed consolidated financial statements and condensed footnotes have been prepared by the Company in accordance with accounting principles generally accepted in the United States ("U.S. GAAP") for interim financial information as well as the instructions to Form 10-Q and the rules and regulations of the U.S. Securities and Exchange Commission ("SEC"). Certain information and note disclosures normally included in the financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to such rules and regulations. The condensed consolidated balance sheet as of December 31, 2014, included herein, was derived from the audited financial statements as of that date but does not include all disclosures, including notes required by U.S. GAAP. In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments, which include only normal recurring adjustments, necessary for the fair presentation of the financial position, results of operations and cash flows for the interim periods. The results of operations for the three and six month periods ended June 30, 2015 are not necessarily indicative of the results of operations expected for the entire year ending December 31, 2015 or for any other future annual or interim period. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014 filed with the SEC on March 6, 2015.
Reclassification	Certain prior year amounts related to income taxes have been reclassified to conform to the current year presentation. These reclassifications did not change previously reported total assets, liabilities, stockholders' equity, income from operations or net income.
Principles of consolidation	Principles of Consolidation The accompanying condensed consolidated financial statements include the accounts of the Company and its majority-owned subsidiaries. All significant intercompany transactions and balances have been eliminated upon consolidation.
Correction of immaterial error	Correction of Immaterial Error During the fourth quarter of 2014, the Company identified an immaterial error in the financial statements of its foreign subsidiaries reporting in the applicable local foreign currencies as their functional currencies, resulting in translation adjustments included as a component of accumulated other comprehensive income (loss) in stockholders' equity. It was determined that the functional currency for the Company's local subsidiaries should be the U.S. dollar. Accordingly, remeasurement gains and losses on monetary assets and liabilities denominated in foreign currencies should be recorded to foreign exchange gains and losses in other income (expense) in the condensed consolidated statements of operations in accordance with GAAP. The Company reviewed the accounting error utilizing SEC Staff Accounting Bulletin No. 99, “Materiality” and SEC Staff Accounting Bulletin No. 108, “Effects of Prior Year Misstatements on Current Year Financial Statements.” Management evaluated the materiality of this error from a qualitative and quantitative perspective and determined the impact of the errors did not have a material impact on any individual prior period presentation or affect the trend of financial results. However, because the adjustment to correct the cumulative error on the consolidated balance sheets and statements of stockholders' equity would have had a material effect to the Company's consolidated statements of operations for the year ended December 31, 2014, the Company revised its previously reported financial statements for the 2012 and 2013 annual periods in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014 filed with the SEC on March 6, 2015, to reflect the impact of the immaterial errors that had been corrected.
Use of estimates	Use of Estimates The preparation of the condensed consolidated financial statements in conformity with U.S. GAAP requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported results of operations during the reporting period. The Company’s management regularly assesses these estimates, which primarily affect revenue recognition, the valuation of accounts receivable, goodwill and intangible assets, stock-based compensation and the provision for income taxes. Actual results could differ from those estimates and such differences may be material to the accompanying condensed consolidated financial statements.
Concentration of credit risk	Concentration of Credit Risk The Company invests its cash and cash equivalents with major financial institutions. Cash balances with any one institution at times may be in excess of federally insured limits. Cash equivalents are invested in high-quality investment grade financial instruments and are diversified. The Company has not experienced any losses in such accounts and believes it is not exposed to any significant credit risk. Credit risk with respect to accounts receivable is dispersed due to the large number of customers. Collateral is not required for accounts receivable. The Company maintains an allowance for potential credit losses based upon the expected collectability of accounts receivable. The Company writes off its receivables once collection efforts are unsuccessful. As of June 30, 2015 and December 31, 2014, no customer or channel partner accounted for more than 10% of the Company's accounts receivable balance.
Cash, cash equivalents, short-term and long-term investments	Cash, Cash Equivalents, Short-Term and Long-Term Investments Cash and cash equivalents include cash held in banks, highly liquid money market funds, commercial paper and fixed-income U.S. government agency securities, all with original maturities of three months or less when acquired. The Company’s investments consist of fixed-income U.S. government agency securities, corporate bonds, asset-backed securities, and commercial paper. Management determines the appropriate classification of the Company's investments at the time of purchase and reevaluates such designation at each balance sheet date. The Company classifies its investments as either short-term or long-term based on each instrument's underlying contractual maturity date. Cash equivalents are stated at cost, which approximates fair market value. Short-term and long-term investments are classified as available-for-sale and are carried at fair value. Unrealized gains and losses in fair value are reported in other comprehensive income (loss). When the available-for-sale securities are sold, cost is based on the specific identification method, and the realized gains and losses are included in other income (expense) in the condensed consolidated statements of operations. Short-term and long-term investments are reviewed quarterly for impairment that is deemed to be other-than-temporary. An investment is considered other-than-temporarily impaired when its fair value is below its amortized cost and (1) there is an intent to sell the security, (2) it is “more likely than not” that the security will be sold before recovery of its amortized cost basis or (3) the present value of expected cash flows from the investment is not expected to recover the entire amortized cost basis. Declines in value that are considered to be other-than-temporary and adjustments to amortized cost for the amortization of premiums and the accretion of discounts are recorded in other income (expense). Interest and dividends are recorded in interest income as earned.
Software development costs	Software Development Costs The Company capitalizes qualifying software costs developed or obtained for internal use. These costs generally include internal costs, such as payroll and benefits of those employees directly associated with the development of the software, and other consulting expenses.
Recent accounting pronouncements	Recent Accounting Pronouncements Under the Jumpstart Our Business Startups Act (the "JOBS Act"), the Company meets the definition of an “emerging growth company.” The Company has irrevocably elected to opt out of the extended transition period for complying with new or revised accounting standards pursuant to Section 107(b) of the JOBS Act. As a result, the Company will comply with new or revised accounting standards on the relevant dates on which adoption of such standards is required from non-emerging growth companies. In May 2014, the Financial Accounting Standards Board (“FASB”) issued an Accounting Standard Update (“ASU”) amending revenue recognition guidance and requiring more detailed disclosures to enable users of financial statements to understand the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. On April 1, 2015, the FASB tentatively decided to defer the effective date of ASU 2014-09. If the proposed changes are finalized, ASU 2014-09 will be effective for fiscal years, and interim periods within those years, beginning after December 15, 2017, but entities will be permitted to early adopt the standard as of the original effective date. The new revenue standard may be applied retrospectively to each prior period presented or retrospectively with the cumulative effect recognized on date of adoption. The Company is currently evaluating the impact this ASU will have on its consolidated financial statements. In January 2015, the FASB issued an ASU eliminating from U.S. GAAP the concept of extraordinary items, which required that an entity separately classify, present, and disclose extraordinary events and transactions. The guidance is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. A reporting entity may apply the amendments prospectively or retrospectively to all prior periods presented in the financial statements. Early adoption is permitted provided that the guidance is applied from the beginning of the fiscal year of adoption. The Company does not expect the adoption of this ASU to be material to their consolidated financial statements. In April 2015, the FASB issued an ASU amending existing guidance which clarifies that software licenses contained in a cloud computing arrangement should be capitalized if the customer has the right to take possession of the software and the ability to run the software outside of the cloud computing arrangement. If a cloud computing arrangement does not include a software license, the customer should account for the arrangement as a service contract under existing guidelines. This guidance is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. A reporting entity may apply the amendments prospectively to all arrangements entered into or materially modified after the effective date or retrospectively. Early adoption is permitted. The Company is currently evaluating the impact this ASU will have on its consolidated financial statements.

The Company and Summary of Significant Accounting Policies (Tables)

6 Months Ended

Jun. 30, 2015

Accounting Policies [Abstract]

Correction of Immaterial Error



	Three Months Ended						Six Months Ended
	June 30, 2014						June 30, 2014
	as reported			as adjusted			as reported			as adjusted
Condensed Consolidated Statements of Operations:
Other income (expense), net	$	(37	)	$	(86	)	$	(138	)	$	(178	)
Total other income, net	90			41			93			53
Net income	1,706			1,657			1,266			1,226
Net income per share:
Basic	0.05			0.05			0.04			0.04
Diluted	0.05			0.04			0.03			0.03

Condensed Consolidated Statements of Comprehensive Income:
Change in foreign currency translation loss, net of tax	(49		)	—			(40		)	—
Comprehensive income	1,677			1,677			1,258			1,258



	Six Months Ended
	June 30, 2014
	as reported			as adjusted
Condensed Consolidated Statements of Cash Flows:
Net cash provided by operating activities	$	15,175		$	15,194
Net cash used in investing activities	(18,442		)	(18,471		)
Effect of exchange rate changes on cash and cash equivalents	(30		)	9
Net decrease in cash and cash equivalents	(697		)	(697		)

Fair Value of Financial Instruments (Tables)

6 Months Ended

Jun. 30, 2015

Fair Value Disclosures [Abstract]

Schedule of Cash and Cash Equivalents, Available-for-sale Securities Reconciliation

The Company's cash and cash equivalents, short-term investments, and long-term investments consist of the following:



	June 30, 2015
	Amortized Cost		Unrealized Gains		Unrealized Losses			Fair Value
	(in thousands)
Cash and cash equivalents:
Cash	$	41,300	$	—	$	—		$	41,300
Money market funds	21,061		—		—			21,061
Commercial paper	21,694		3		—			21,697
Total	84,055		3		—			84,058
Short-term investments:
Commercial paper	15,929		7		—			15,936
Corporate bonds	12,688		1		(6		)	12,683
Asset-backed securities	71		—		—			71
U.S. government agencies	45,342		20		—			45,362
Total	74,030		28		(6		)	74,052
Long-term investments:
Asset-backed securities	9,999		1		—			10,000
U.S. government agencies	11,940		9		(4		)	11,945
Corporate bonds	7,090		1		(5		)	7,086
Total	29,029		11		(9		)	29,031
Total	$	187,114	$	42	$	(15	)	$	187,141



	December 31, 2014
	Amortized Cost		Unrealized Gains		Unrealized Losses			Fair Value
	(in thousands)
Cash and cash equivalents:
Cash	$	36,024	$	—	$	—		$	36,024
Money market funds	39,180		—		—			39,180
U.S. government agencies	300		—		—			300
Commercial paper	1,000		—		—			1,000
Total	76,504		—		—			76,504
Short-term investments:
Commercial paper	4,998		1		—			4,999
Corporate bonds	12,438		6		(6		)	12,438
U.S. government agencies	33,280		3		(6		)	33,277
Total	50,716		10		(12		)	50,714
Long-term investments:
Asset-backed securities	16,092		5		(3		)	16,094
U.S. government agencies	20,243		22		(10		)	20,255
Corporate bonds	3,101		—		(2		)	3,099
Total	39,436		27		(15		)	39,448
Total	$	166,656	$	37	$	(27	)	$	166,666

Schedule of Assets Measured on Recurring Basis



	June 30, 2015
	Level 1		Level 2		Level 3		Fair Value
	(in thousands)
Commercial paper	$	—	$	37,633	$	—	$	37,633
U.S. government agencies	—		57,307		—		57,307
Corporate bonds	—		19,769		—		19,769
Asset-backed securities	—		10,071		—		10,071
Total	$	—	$	124,780	$	—	$	124,780



	December 31, 2014
	Level 1		Level 2		Level 3		Fair Value
	(in thousands)
Commercial paper	$	—	$	5,999	$	—	$	5,999
U.S. government agencies	—		53,832		—		53,832
Corporate bonds	—		15,537		—		15,537
Asset-backed securities	—		16,094		—		16,094
Total	$	—	$	91,462	$	—	$	91,462

Schedule of Available-for-Sale Securities by Contractual Maturity

The following summarizes the fair value of securities classified as available-for-sale by contractual maturity:



	June 30, 2015
	Mature within One Year		After One Year through Two Years		Over Two Years		Fair Value
	(in thousands)
Commercial paper	$	37,633	$	—	$	—	$	37,633
U.S. government agencies	45,362		11,945		—		57,307
Corporate bonds	12,683		7,086		—		19,769
Asset-backed securities	72		7,502		2,497		10,071
Total	$	95,750	$	26,533	$	2,497	$	124,780



	December 31, 2014
	Mature within One Year		After One Year through Two Years		Over Two Years		Fair Value
	(in thousands)
Commercial paper	$	5,999	$	—	$	—	$	5,999
U.S. government agencies	33,577		20,255		—		53,832
Corporate bonds	12,438		3,099		—		15,537
Asset-backed securities	—		7,327		8,767		16,094
Total	$	52,014	$	30,681	$	8,767	$	91,462

- Definition

Tabular disclosure of available-for-sale securities which includes, but is not limited to, changes in the cost basis and fair value, fair value and gross unrealized gain (loss), fair values by type of security, contractual maturity and classification, amortized cost basis, contracts to acquire securities to be accounted for as available-for-sale, debt maturities, transfers to trading, change in net unrealized holding gain (loss) net of tax, continuous unrealized loss position fair value, aggregate losses qualitative disclosures, other than temporary impairment (OTTI) losses or other disclosures related to available for sale securities.

+ References + Details

Property and Equipment, Net (Tables)

6 Months Ended

Jun. 30, 2015

Property, Plant and Equipment [Abstract]

Property and equipment, net

Property and equipment consists of the following:



	June 30,			December 31,
	2015			2014
	(in thousands)
Computer equipment	$	42,243		$	35,576
Computer software	11,812			10,899
Furniture, fixtures and equipment	2,843			2,931
Scanner appliances	20,538			19,861
Leasehold improvements	2,700			2,622
Total property and equipment	80,136			71,889
Less: accumulated depreciation and amortization	(50,898		)	(45,271		)
Property and equipment, net	$	29,238		$	26,618

Goodwill and Intangible Assets, Net (Tables)

6 Months Ended

Jun. 30, 2015

Goodwill and Intangible Assets Disclosure [Abstract]

Carrying value of intangible assets

The carrying values of intangible assets are as follows (in thousands):



				June 30, 2015					December 31, 2014
	Estimated Lives	Cost		Accumulated Amortization			Net Book Value		Accumulated Amortization			Net Book Value
Existing technology	7 years	$	1,910	$	(1,320	)	$	590	$	(1,183	)	$	727
Patent license	14 years	1,388		(472		)	916		(422		)	966
Non-competition agreements and other	3 years	171		(167		)	4		(158		)	13
Total intangibles subject to amortization		$	3,469	$	(1,959	)	1,510		$	(1,763	)	1,706
Intangible assets not subject to amortization							295					295
Total intangible assets, net							$	1,805				$	2,001

Intangible assets future periods amortization expense

As of June 30, 2015, the Company expects amortization expense in future periods to be as follows (in thousands):



Remainder of 2015	$	190
2016	373
2017	282
2018	100
2019	100
2020 and thereafter	465
Total expected future amortization expense	$	1,510

Commitments and Contingencies (Tables)

6 Months Ended

Jun. 30, 2015

Commitments and Contingencies Disclosure [Abstract]

Schedule of Future Minimum Lease Payments for Operating Leases

The following are the minimum annual lease payments due under operating leases at June 30, 2015:



	Operating Leases
	(in thousands)
Remainder of 2015	$	2,097
2016	3,156
2017	1,864
2018	456
2019	210
Total minimum lease payments	$	7,783

Stock-based Compensation (Tables)

6 Months Ended

Jun. 30, 2015

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Employee stock-based compensation

Employee stock-based compensation is included in the condensed consolidated statements of operations as follows:



	Three months ended				Six months ended
	June 30,				June 30,
	2015		2014		2015		2014
	(in thousands)
Cost of revenues	$	344	$	158	$	672	$	307
Research and development	1,138		510		2,290		945
Sales and marketing	980		705		1,791		1,278
General and administrative	1,467		992		2,938		1,765
Total employee stock-based compensation	$	3,929	$	2,365	$	7,691	$	4,295

Fair value assumptions of options granted to employees

The fair value of each option granted to employees is estimated on the date of grant using the Black-Scholes option-pricing model based on the following assumptions:



	Three months ended		Six months ended
	June 30,		June 30,
	2015	2014	2015	2014
Expected term (in years)	4.9 to 5.9	5.3 to 5.9	4.9 to 5.9	5.3 to 5.9
Volatility	46%	49% to 50%	46% to 48%	49% to 52%
Risk-free interest rate	1.5% to 1.65%	1.65% to 1.67%	1.3% to 1.65%	1.52% to 1.67%
Dividend yield	—%	—%	—%	—%

Stock option activity

A summary of the Company’s stock option activity is as follows:



	Outstanding Shares		Weighted Average Exercise Price		Weighted Average Remaining Contractual Life (Years)	Aggregate Intrinsic Value
						(in thousands)
December 31, 2014	7,605,407		$	12.93	6.5	$	188,743
Granted	584,700		44.70
Exercised	(484,876	)	11.44
Canceled	(348,274	)	27.31
June 30, 2015	7,356,957		14.88		6.2	189,858
Vested and expected to vest - June 30, 2015	6,916,031		13.85		6.0	184,876
Exercisable - June 30, 2015	4,813,369		7.68		4.9	157,244

Other Income (Expense), Net (Tables)

6 Months Ended

Jun. 30, 2015

Other Income and Expenses [Abstract]

Schedule of Other Nonoperating Income (Expense)

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



	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2015			2014			2015			2014
	(in thousands)
Foreign exchange gain (loss)	$	27		$	(58	)	$	(124	)	$	(125	)
Other income (expense)	(27		)	(28		)	(54		)	(53		)
Other income (expense), net	$	—		$	(86	)	$	(178	)	$	(178	)

Segment Information and Information about Geographic Area (Tables)

6 Months Ended

Jun. 30, 2015

Segment Reporting [Abstract]

Revenues and property and equipment, net, by geographic area

Revenues by geographic area, based on the location of the customer, are as follows:



	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2015		2014		2015		2014
	(in thousands)
United States	$	28,130	$	22,620	$	54,470	$	43,910
Other	11,747		9,682		22,900		18,748
Total revenues	$	39,877	$	32,302	$	77,370	$	62,658

Property and equipment, net, by geographic area, are as follows:



	June 30,		December 31,
	2015		2014
	(in thousands)
United States	$	24,992	$	23,650
Other	4,246		2,968
Total property and equipment, net	$	29,238	$	26,618

Net Income Per Share (Tables)

6 Months Ended

Jun. 30, 2015

Earnings Per Share [Abstract]

Schedule of Earnings Per Share, Basic and Diluted

The computations for basic and diluted net income per share are as follows:



	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2015		2014		2015		2014
	(in thousands, except per share data)
Numerator:
Net income	$	3,316	$	1,657	$	6,318	$	1,226
Denominator:
Weighted-average shares used in computing net income per share:
Basic	34,003		32,818		33,889		32,668
Effect of potentially dilutive securities:
Common stock options	4,472		4,021		4,474		4,298
Diluted	38,475		36,839		38,363		36,966
Net income per share:
Basic	$	0.10	$	0.05	$	0.19	$	0.04
Diluted	$	0.09	$	0.04	$	0.16	$	0.03

Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share

Potentially dilutive securities not included in the calculation of diluted net income per share because doing so would be antidilutive are as follows:



	Three Months Ended		Six Months Ended
	June 30,		June 30,
	2015	2014	2015	2014
	(in thousands)
Common stock options	424	1,780	305	1,315

The Company and Summary of Significant Accounting Policies (Details) $ in Millions	Jun. 30, 2015 USD ($) customer	Dec. 31, 2014 USD ($) customer
Software Development Costs
Software development cost capitalized \| $	$ 0.4	$ 0.3
Accounts Receivable \| Customer Concentration Risk
Concentration Risk [Line Items]
Concentration risk, number of customers \| customer	0	0

The Company and Summary of Significant Accounting Policies Correction of Immaterial Error (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Other income (expense), net	$ 0	$ (86)	$ (178)	$ (178)
Total other income, net	128	41	51	53
Net income	$ 3,316	$ 1,657	$ 6,318	$ 1,226
Basic (USD per share)	$ 0.10	$ 0.05	$ 0.19	$ 0.04
Diluted (USD per share)	$ 0.09	$ 0.04	$ 0.16	$ 0.03
Comprehensive income	$ 3,308	$ 1,677	$ 6,335	$ 1,258
Net cash provided by operating activities			25,550	15,194
Net cash used in investing activities			(23,734)	(18,471)
Effect of exchange rate changes on cash and cash equivalents			0	9
Net decrease in cash and cash equivalents			$ 7,554	(697)
As Reported
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Other income (expense), net		(37)		(138)
Total other income, net		90		93
Net income		$ 1,706		$ 1,266
Basic (USD per share)		$ 0.05		$ 0.04
Diluted (USD per share)		$ 0.05		$ 0.03
Change in foreign currency translation loss, net of tax		$ (49)		$ (40)
Comprehensive income		1,677		1,258
Net cash provided by operating activities				15,175
Net cash used in investing activities				(18,442)
Effect of exchange rate changes on cash and cash equivalents				(30)
Net decrease in cash and cash equivalents				(697)
As Adjusted
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Other income (expense), net		(86)		(178)
Total other income, net		41		53
Net income		$ 1,657		$ 1,226
Basic (USD per share)		$ 0.05		$ 0.04
Diluted (USD per share)		$ 0.04		$ 0.03
Change in foreign currency translation loss, net of tax		$ 0		$ 0
Comprehensive income		$ 1,677		1,258
Net cash provided by operating activities				15,194
Net cash used in investing activities				(18,471)
Effect of exchange rate changes on cash and cash equivalents				9
Net decrease in cash and cash equivalents				$ (697)

Fair Value of Financial Instruments - Cash and Cash Equivalents, Available-for-sale Securities Reconciliation (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract]
Amortized Cost	$ 187,114	$ 166,656
Unrealized Gains	42	37
Unrealized Losses	(15)	(27)
Fair Value	187,141	166,666
Cash and cash equivalents
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract]
Amortized Cost	84,055	76,504
Unrealized Gains	3	0
Unrealized Losses	0	0
Fair Value	84,058	76,504
Short-term investments
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract]
Amortized Cost	74,030	50,716
Unrealized Gains	28	10
Unrealized Losses	(6)	(12)
Fair Value	74,052	50,714
Long-term investments
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract]
Amortized Cost	29,029	39,436
Unrealized Gains	11	27
Unrealized Losses	(9)	(15)
Fair Value	29,031	39,448
Cash \| Cash and cash equivalents
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract]
Amortized Cost	41,300	36,024
Unrealized Gains	0	0
Unrealized Losses	0	0
Fair Value	41,300	36,024
Money market funds \| Cash and cash equivalents
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract]
Amortized Cost	21,061	39,180
Unrealized Gains	0	0
Unrealized Losses	0	0
Fair Value	21,061	39,180
Commercial paper \| Cash and cash equivalents
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract]
Amortized Cost	21,694	1,000
Unrealized Gains	3	0
Unrealized Losses	0	0
Fair Value	21,697	1,000
Commercial paper \| Short-term investments
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract]
Amortized Cost	15,929	4,998
Unrealized Gains	7	1
Unrealized Losses	0	0
Fair Value	15,936	4,999
Corporate bonds \| Short-term investments
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract]
Amortized Cost	12,688	12,438
Unrealized Gains	1	6
Unrealized Losses	(6)	(6)
Fair Value	12,683	12,438
Corporate bonds \| Long-term investments
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract]
Amortized Cost	7,090	3,101
Unrealized Gains	1	0
Unrealized Losses	(5)	(2)
Fair Value	7,086	3,099
Asset backed securities \| Short-term investments
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract]
Amortized Cost	71
Unrealized Gains	0
Unrealized Losses	0
Fair Value	71
Asset backed securities \| Long-term investments
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract]
Amortized Cost	9,999	16,092
Unrealized Gains	1	5
Unrealized Losses	0	(3)
Fair Value	10,000	16,094
US government agencies \| Cash and cash equivalents
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract]
Amortized Cost		300
Unrealized Gains		0
Unrealized Losses		0
Fair Value		300
US government agencies \| Short-term investments
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract]
Amortized Cost	45,342	33,280
Unrealized Gains	20	3
Unrealized Losses	0	(6)
Fair Value	45,362	33,277
US government agencies \| Long-term investments
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract]
Amortized Cost	11,940	20,243
Unrealized Gains	9	22
Unrealized Losses	(4)	(10)
Fair Value	$ 11,945	$ 20,255

Fair Value of Financial Instruments - Fair Value Hierarchy (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Assets, Fair Value Disclosure [Abstract]
Available-for-sale securities, fair value	$ 124,780	$ 91,462
Level 1 \| Recurring Basis
Assets, Fair Value Disclosure [Abstract]
Available-for-sale securities, fair value	0	0
Level 2 \| Recurring Basis
Assets, Fair Value Disclosure [Abstract]
Available-for-sale securities, fair value	124,780	91,462
Level 3 \| Recurring Basis
Assets, Fair Value Disclosure [Abstract]
Available-for-sale securities, fair value	0	0
Commercial paper
Assets, Fair Value Disclosure [Abstract]
Available-for-sale securities, fair value	37,633	5,999
Commercial paper \| Level 1 \| Recurring Basis
Assets, Fair Value Disclosure [Abstract]
Available-for-sale securities, fair value	0	0
Commercial paper \| Level 2 \| Recurring Basis
Assets, Fair Value Disclosure [Abstract]
Available-for-sale securities, fair value	37,633	5,999
Commercial paper \| Level 3 \| Recurring Basis
Assets, Fair Value Disclosure [Abstract]
Available-for-sale securities, fair value	0	0
US government agencies
Assets, Fair Value Disclosure [Abstract]
Available-for-sale securities, fair value	57,307	53,832
US government agencies \| Level 1 \| Recurring Basis
Assets, Fair Value Disclosure [Abstract]
Available-for-sale securities, fair value	0	0
US government agencies \| Level 2 \| Recurring Basis
Assets, Fair Value Disclosure [Abstract]
Available-for-sale securities, fair value	57,307	53,832
US government agencies \| Level 3 \| Recurring Basis
Assets, Fair Value Disclosure [Abstract]
Available-for-sale securities, fair value	0	0
Corporate bonds
Assets, Fair Value Disclosure [Abstract]
Available-for-sale securities, fair value	19,769	15,537
Corporate bonds \| Level 1 \| Recurring Basis
Assets, Fair Value Disclosure [Abstract]
Available-for-sale securities, fair value	0	0
Corporate bonds \| Level 2 \| Recurring Basis
Assets, Fair Value Disclosure [Abstract]
Available-for-sale securities, fair value	19,769	15,537
Corporate bonds \| Level 3 \| Recurring Basis
Assets, Fair Value Disclosure [Abstract]
Available-for-sale securities, fair value	0	0
Asset backed securities
Assets, Fair Value Disclosure [Abstract]
Available-for-sale securities, fair value	10,071	16,094
Asset backed securities \| Level 1 \| Recurring Basis
Assets, Fair Value Disclosure [Abstract]
Available-for-sale securities, fair value	0	0
Asset backed securities \| Level 2 \| Recurring Basis
Assets, Fair Value Disclosure [Abstract]
Available-for-sale securities, fair value	10,071	16,094
Asset backed securities \| Level 3 \| Recurring Basis
Assets, Fair Value Disclosure [Abstract]
Available-for-sale securities, fair value	0	0
Fair Value \| Recurring Basis
Assets, Fair Value Disclosure [Abstract]
Available-for-sale securities, fair value	124,780	91,462
Fair Value \| Commercial paper \| Recurring Basis
Assets, Fair Value Disclosure [Abstract]
Available-for-sale securities, fair value	37,633	5,999
Fair Value \| US government agencies \| Recurring Basis
Assets, Fair Value Disclosure [Abstract]
Available-for-sale securities, fair value	57,307	53,832
Fair Value \| Corporate bonds \| Recurring Basis
Assets, Fair Value Disclosure [Abstract]
Available-for-sale securities, fair value	19,769	15,537
Fair Value \| Asset backed securities \| Recurring Basis
Assets, Fair Value Disclosure [Abstract]
Available-for-sale securities, fair value	$ 10,071	$ 16,094

Fair Value of Financial Instruments - Contractual Maturity (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Schedule of Available-for-sale Securities [Line Items]
Mature within One Year	$ 95,750	$ 52,014
After One Year through Two Years	26,533	30,681
Over Two Years	2,497	8,767
Fair Value	124,780	91,462
Commercial paper
Schedule of Available-for-sale Securities [Line Items]
Mature within One Year	37,633	5,999
After One Year through Two Years	0	0
Over Two Years	0	0
Fair Value	37,633	5,999
US government agencies
Schedule of Available-for-sale Securities [Line Items]
Mature within One Year	45,362	33,577
After One Year through Two Years	11,945	20,255
Over Two Years	0	0
Fair Value	57,307	53,832
Corporate bonds
Schedule of Available-for-sale Securities [Line Items]
Mature within One Year	12,683	12,438
After One Year through Two Years	7,086	3,099
Over Two Years	0	0
Fair Value	19,769	15,537
Asset backed securities
Schedule of Available-for-sale Securities [Line Items]
Mature within One Year	72	0
After One Year through Two Years	7,502	7,327
Over Two Years	2,497	8,767
Fair Value	$ 10,071	$ 16,094

Fair Value of Financial Instruments - Derivatives (Details) € in Millions, £ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2015 USD ($)	Jun. 30, 2014 USD ($)	Jun. 30, 2015 USD ($)	Jun. 30, 2014 USD ($)	Jun. 30, 2015 GBP (£) contract	Jun. 30, 2015 EUR (€) contract	Jun. 30, 2015 USD ($) contract	Dec. 31, 2014 GBP (£)	Dec. 31, 2014 EUR (€)	Dec. 31, 2014 USD ($)
Derivatives, Fair Value [Line Items]
Foreign currency contract, asset, fair value disclosure										$ 0
Forward Contracts
Derivatives, Fair Value [Line Items]
Derivative, number of instruments held \| contract					2	2	2
Derivative, notional amount					£ 2.4	€ 4.5		£ 2.1	€ 6.0
Foreign currency contract, asset, fair value disclosure							$ 0
Derivative instruments not designated as hedging instruments, loss	$ 400,000			$ 200,000
Foreign currency transaction gain	$ 400,000
Derivative instruments not designated as hedging instruments, gain			$ 400,000
Foreign currency transaction loss		$ 100,000	$ 500,000

Property and Equipment, Net (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Property, Plant and Equipment [Line Items]
Property and equipment	$ 80,136		$ 80,136		$ 71,889
Less: accumulated depreciation and amortization	(50,898)		(50,898)		(45,271)
Property and equipment, net	29,238		29,238		26,618
Depreciation and amortization expense	3,300	$ 2,900	6,400	$ 5,600
Computer equipment
Property, Plant and Equipment [Line Items]
Property and equipment	42,243		42,243		35,576
Computer software
Property, Plant and Equipment [Line Items]
Property and equipment	11,812		11,812		10,899
Furniture, fixtures and equipment
Property, Plant and Equipment [Line Items]
Property and equipment	2,843		2,843		2,931
Scanner appliances
Property, Plant and Equipment [Line Items]
Property and equipment	20,538		20,538		19,861
Scanner appliances and other computer equipment subject to subscription
Property, Plant and Equipment [Line Items]
Property and equipment, net	7,400		7,400		6,000
Scanner appliances and other computer equipment not placed in service
Property, Plant and Equipment [Line Items]
Property and equipment	700		700		1,400
Leasehold improvements
Property, Plant and Equipment [Line Items]
Property and equipment	2,700		2,700		2,622
Other fixed assets not placed in service
Property, Plant and Equipment [Line Items]
Property and equipment	$ 2,200		$ 2,200		$ 2,800

Goodwill and Intangible Assets, Net (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Schedule of Goodwill and Intangible Assets [Line Items]
Cost	$ 3,469		$ 3,469		$ 3,469
Accumulated Amortization	(1,959)		(1,959)		(1,763)
Net Book Value	1,510		1,510		1,706
Intangible assets not subject to amortization	295		295		295
Total intangible assets, net	1,805		1,805		2,001
Amortization of intangible assets	100	$ 100	200	$ 200
Goodwill	317		$ 317		317
Existing technology
Schedule of Goodwill and Intangible Assets [Line Items]
Estimated Lives			7 years
Cost	1,910		$ 1,910		1,910
Accumulated Amortization	(1,320)		(1,320)		(1,183)
Net Book Value	590		$ 590		727
Patent license
Schedule of Goodwill and Intangible Assets [Line Items]
Estimated Lives			14 years
Cost	1,388		$ 1,388		1,388
Accumulated Amortization	(472)		(472)		(422)
Net Book Value	916		$ 916		966
Non-competition agreements and other
Schedule of Goodwill and Intangible Assets [Line Items]
Estimated Lives			3 years
Cost	171		$ 171		171
Accumulated Amortization	(167)		(167)		(158)
Net Book Value	$ 4		$ 4		$ 13

Goodwill and Intangible Assets, Net Future Amortization (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Goodwill and Intangible Assets Disclosure [Abstract]
Remainder of 2015	$ 190
2016	373
2017	282
2018	100
2019	100
2020 and thereafter	465
Net Book Value	$ 1,510	$ 1,706

Commitments and Contingencies - Lease Narrative (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Commitments and Contingencies Disclosure [Abstract]
Rent expense	$ 1.7	$ 1.5	$ 3.3	$ 3.0
Deferred rent credit	$ 0.6		$ 0.6		$ 0.5

Commitments and Contingencies - Schedule of Leases (Details) $ in Thousands	Jun. 30, 2015 USD ($)
Operating Leases
Remainder of 2015	$ 2,097
2016	3,156
2017	1,864
2018	456
2019	210
Total minimum lease payments	$ 7,783

Commitments and Contingencies - Sales and Other Taxes (Details) - USD ($) $ in Millions	Jun. 30, 2015	Dec. 31, 2014
Commitments and Contingencies Disclosure [Abstract]
Sales and other taxes accrual, current	$ 0.6	$ 0.5

Stock-based Compensation - Stock Options (Details) - 2012 Equity Incentive Plan	Jun. 30, 2015 shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares authorized	6,348,478
Number of shares available for grant	2,232,459

Stock-based Compensation - Expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total employee stock-based compensation	$ 3,929	$ 2,365	$ 7,691	$ 4,295
Unrecognized employee compensation cost	25,300		$ 25,300
Unrecognized employee compensation cost, period for recognition			2 years 1 month 24 days
Non-employee share-based compensation expense	500	100	$ 600	300
Cost of revenues
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total employee stock-based compensation	344	158	672	307
Research and development
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total employee stock-based compensation	1,138	510	2,290	945
Sales and marketing
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total employee stock-based compensation	980	705	1,791	1,278
General and administrative
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total employee stock-based compensation	$ 1,467	$ 992	$ 2,938	$ 1,765

Stock-based Compensation - Fair Value Assumptions, Stock Options (Details) - Stock Options	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Volatility	46.00%
Dividend yield	0.00%	0.00%	0.00%	0.00%
Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected term (in years)	4 years 10 months 24 days	5 years 3 months 24 days	4 years 10 months 24 days	5 years 3 months 24 days
Volatility		49.00%	46.00%	49.00%
Risk-free interest rate	1.50%	1.65%	1.30%	1.52%
Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected term (in years)	5 years 10 months 24 days	5 years 10 months 24 days	5 years 10 months 24 days	5 years 10 months 24 days
Volatility		50.00%	48.00%	52.00%
Risk-free interest rate	1.65%	1.67%	1.65%	1.67%

Stock-based Compensation - Stock Option Plan Activity (Details) - USD ($) $ / shares in Units, $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Outstanding Shares
Beginning balance (in shares)	7,605,407
Granted (in shares)	584,700
Exercised (in shares)	(484,876)
Canceled (in shares)	(348,274)
Ending balance (in shares)	7,356,957	7,605,407
Vested and expected to vest (in shares)	6,916,031
Exercisable (in shares)	4,813,369
Weighted Average Exercise Price
Weighted average exercise price, Beginning balance (in dollars per share)	$ 12.93
Weighted average exercise price, granted (in dollars per share)	44.70
Weighted average exercise price, exercised (in dollars per share)	11.44
Weighted average exercise price, canceled (in dollars per share)	27.31
Weighted average exercise price, Ending balance (in dollars per share)	14.88	$ 12.93
Weighted average exercise price, Vested and expected to vest (in dollars per share)	13.85
Weighted average exercise price, Exercisable (in dollars per share)	$ 7.68
Weighted Average Remaining Contractual Life
Weighted average remaining contractual life (in years)	6 years 2 months 24 days	6 years 6 months 7 days
Vested and expected to vest (in years)	6 years
Exercisable (in years)	4 years 10 months 24 days
Aggregate Intrinsic Value
Aggregate intrinsic value	$ 189,858	$ 188,743
Aggregate intrinsic value, Vested and expected to vest	184,876
Aggregate intrinsic value, Exercisable	$ 157,244

Stock-based Compensation - Restricted Stock (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total employee stock-based compensation	$ 3,929	$ 2,365	$ 7,691	$ 4,295
Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted	0	1,401	0	1,401
Total employee stock-based compensation		$ 27		$ 27

Other Income (Expense), Net (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Other Income and Expenses [Abstract]
Foreign exchange gain (loss)	$ 27	$ (58)	$ (124)	$ (125)
Other income (expense)	(27)	(28)	(54)	(53)
Other income (expense), net	$ 0	$ (86)	$ (178)	$ (178)

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
Income Taxes (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Income Tax Disclosure [Abstract]
Provision for income taxes	$ 2,124	$ 174	$ 3,965	$ 356
Effective income tax rate			38.60%
Unrecognized tax benefits	3,500		$ 3,500		$ 3,300
Unrecognized tax benefits that would impact effective tax rate	$ 2,200		$ 2,200		$ 2,100

Segment Information and Information about Geographic Area (Details) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015 USD ($)	Jun. 30, 2014 USD ($)	Jun. 30, 2015 USD ($) segment	Jun. 30, 2014 USD ($)	Dec. 31, 2014 USD ($)
Segment Reporting Information [Line Items]
Number of operating segments \| segment			1
Revenues	$ 39,877	$ 32,302	$ 77,370	$ 62,658
Property and equipment, net	29,238		29,238		$ 26,618
United States
Segment Reporting Information [Line Items]
Revenues	28,130	22,620	54,470	43,910
Property and equipment, net	24,992		24,992		23,650
Other
Segment Reporting Information [Line Items]
Revenues	11,747	$ 9,682	22,900	$ 18,748
Property and equipment, net	$ 4,246		$ 4,246		$ 2,968

Net Income Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Numerator:
Net income	$ 3,316	$ 1,657	$ 6,318	$ 1,226
Denominator:
Basic (shares)	34,003	32,818	33,889	32,668
Common stock options (shares)	4,472	4,021	4,474	4,298
Diluted (shares)	38,475	36,839	38,363	36,966
Basic (USD per share)	$ 0.10	$ 0.05	$ 0.19	$ 0.04
Diluted (USD per share)	$ 0.09	$ 0.04	$ 0.16	$ 0.03
Stock Options
Antidilutive Securities
Antidilutive securities (shares)	424	1,780	305	1,315