Atlassian better earnings surprises Wallstreet

Atlassian announced better-than-expected fourth-quarter earnings, with revenues up 30% and over 23,000 new customers.

The business, which is best known for its Jira workflow tools, reported $559.5 million in fourth-quarter revenue and a net loss of $213.1 million, or 85 cents per share. A charge linked to exchangeable senior notes and subsequent cap calls contributed to the net loss. In the first quarter, adjusted profits per share were 24 cents. Atlassian was expected to announce $524 million in sales and non-IFRS profits of 18 cents per share, according to Wall Street.


Following a 0.9 percent drop in the regular session, Atlassian stock soared 9 percent after hours to end at $266.79. The business recorded a loss of $213.1 million, or 85 cents per share, in the fiscal fourth quarter, compared to a loss of $385.2 million, or $1.56 per share, in the year-ago period. Adjusted earnings per share, which remove stock-based compensation expenditures and other factors, were 24 cents a share, down from 25 cents a share a year earlier.


Revenue increased to $559.5 million, up from $430.5 million the year before. FactSet polled analysts, who predicted 18 cents per share on $471.6 million in revenue.


Atlassian’s sales for fiscal 2021 was $2.1 billion, up 29 percent from the previous year, with a net loss of $696.3 million. $357.6 million in adjusted net income, or $1.40 per share, was reported.

Atlassian (TEAM) announced adjusted earnings of 24 cents per share after the market closed, down a penny from a year ago but beating forecasts of 18 cents profit. Atlassian reported a 30 percent increase in June quarter sales to $560 million, above analyst expectations of $525 million.

Current quarter expectations

Atlassian’s forecast for subscription revenue growth in fiscal year 2022 also exceeded expectations.

In the September quarter, Atlassian expects adjusted profits of 38 cents to 39 cents per share on revenue of $575 million to $590 million, compared to forecasts of $537.4 million. Analysts expected 30 cents per share on $539.1 million in sales. Wall Street was anticipating adjusted earnings of 31 cents per share on $541 million in revenue in the first quarter.

About Atlassian

Atlassian offers project management and collaboration software for software developers and information technology engineering teams. It was founded in Sydney, Australia, in 2002. Atlassian has been transferring its services to the cloud.

Atlassian wants to increase subscription income and depend less on licencing costs with cloud services. Software developers may use the company’s project management and bug-tracking tools to build, test, and deploy software quicker.