Palo Alto Networks Inc 10-Q

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS Unregistered Sales of Equity Securities During the three months ended October 31, 2021, we issued a total of 12,383 shares of our unregistered common stock pursuant to post-closing obligations in connection with our previous acquisition of Bridgecrew, Inc. (the “Bridgecrew Transaction”). The Bridgecrew Transaction did not involve any underwriters, any underwriting discounts or commissions, or any public offering. The issuances of the securities pursuant to the Bridgecrew Transaction were exempt from registration under the Securities Act of 1933, as amended (the “Act”) by virtue of Section 4(a)(2) of the Act and Rule 506 of Regulation D promulgated thereunder. Purchases of Equity Securities by the Issuer and Affiliated Purchasers On February 26, 2019, we announced that our board of directors authorized a $1.0 billion share repurchase program, which is funded from available working capital. On December 8, 2020, we announced that our board of directors authorized a $700.0 million increase to our share repurchase program, bringing the total authorization to $1.7 billion. On August 23, 2021, we announced that our board of directors authorized another $676.1 million increase to this share repurchase program, bringing the total authorization to $2.4 billion. The expiration date of this repurchase authorization was extended to December 31, 2022, and our repurchase program may be suspended or discontinued at any time. Repurchases under our program are to be made at management’s discretion on the open market, through privately negotiated transactions, transactions structured through investment banking institutions, block purchase techniques, 10b5-1 trading plans, or a combination of the foregoing. During the three months ended October 31, 2021, we did not repurchase any shares pursuant to our share repurchase program. As of October 31, 2021, $1.0 billion remained available for future share repurchases under the program. Between August 1, 2021 and August 31, 2021, September 1, 2021 and September 30, 2021 and October 1, 2021 and October 31, 2021, shares of restricted common stock were delivered by certain employees upon vesting of equity awards to satisfy tax withholding requirements. The average value of shares delivered to satisfy tax withholding requirements during these periods were $399.64 per share, $467.43 per share and $511.92 per share, respectively. The number of shares delivered to satisfy tax withholding requirements during these periods was not significant. - 60 - Table of Content ITEM 6. EXHIBITS Exhibit Number Exhibit Description Incorporated by Reference Form File No. Exhibit Filing Date 10.1 * Offer Letter by and between the Registrant and Josh Paul, dated August 5, 2021 8-K 001-35594 10.1 September 8, 2021 10.2 * Addendum to Employment Offer Letter by and between the Registrant and Amit Singh, dated October 13, 2021 10.3 * Gamma Networks, Inc. 2018 Stock Option and Grant Plan S-8 333-259327 99.1 September 3, 2021 10.4 * Form of Performance-Based Restricted Stock Unit Award Agreement between the Registrant and its employees 31.1 Certification of the Chief Executive Officer pursuant to Section 302(a) of the Sarbanes-Oxley Act of 2002. 31.2 Certification of the Chief Financial Officer pursuant to Section 302(a) of the Sarbanes-Oxley Act of 2002. 32.1 † Certification of Chief Executive Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. 32.2 † Certification of Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. 101 The following financial information from Palo Alto Networks, Inc.’s Quarterly Report on Form 10-Q for the three months ended October 31, 2021 formatted in Inline XBRL includes: (i) Condensed Consolidated Balance Sheets, (ii) Condensed Consolidated Statements of Operations, (iii) Condensed Consolidated Statements of Comprehensive Loss, (iv) Condensed Consolidated Statements of Stockholders’ Equity, (v) Condensed Consolidated Statements of Cash Flows, and (vi) Notes to the Condensed Consolidated Financial Statements. 104 Cover Page Interactive Data File—(formatted as Inline XBRL and contained in Exhibit 101). * Indicates a management contract or compensatory plan or arrangement. † The certifications attached as Exhibit 32.1 and 32.2 that accompany this Quarterly Report on Form 10-Q are not deemed filed with the Securities and Exchange Commission and are not to be incorporated by reference into any filing of Palo Alto Networks, Inc. under the Securities Act of 1933, as amended, or the Securities Exchange Act of 1934, as amended, whether made before or after the date of this Quarterly Report on Form 10-Q, irrespective of any general incorporation language contained in such filing. - 61 - Table of Content SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. Date: November 18, 2021 PALO ALTO NETWORKS, INC. By: /s/ D IPAK G OLECHHA Dipak Golechha Chief Financial Officer (Duly Authorized Officer and Principal Financial Officer) Date: November 18, 2021 PALO ALTO NETWORKS, INC. By: /s/ JOSH PAUL Josh Paul Chief Accounting Officer (Duly Authorized Officer and Principal Accounting Officer) - 62 -