Atlassian trims Q1 loss as revenue jumps 21%
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The news: Atlassian shares rallied 6% in extended trading in New York after the software giant trimmed its net loss for the first quarter as revenue soared 21% year on year.
The numbers: The Nasdaq-listed group reported a net loss of USD51.9 million ($79.2 million) for the first quarter, reduced from USD$123.8 million in the prior corresponding period.
Total revenue climbed 21% year on year to USD1.4 billion. Cloud revenue grew 26% to USD998 million, with monthly active users of AI products up 50% quarter on quarter.
The company's operating loss swelled from USD32 million to USD96.3 million, including restructuring charges of USD55.7 million.
Atlassian said it expects FY26 revenue growth of 20.8%, including cloud revenue growth of 22.5%. That's higher than the previously guided figures of 18% revenue growth and 21% cloud revenue growth.
The group also lifted its full-year forecast for data centre growth from 12.5% to 20%.
The context: Atlassian also announced a new share repurchase program for up to USD2.5 billion of Class A Common Stock, to begin following the completion of the current USD1.5 billion program.
Elsewhere, the company has appointed Tamar Yehoshua as chief product and AI officer, and confirmed that Joe Binz will retire as chief financial officer next June.
What they said: "Our customers are choosing us as their strategic AI platform - not only for the innovation we're shipping - but for the enterprise security, governance, and permissioning, underpinned by our Teamwork Graph and powering the business processes and workflows of over 300,000 customers," said Atlassian's CEO and co-founder Mike Cannon-Brookes.
"With Rovo's AI capabilities at the center, we're enabling all teams to unleash enterprise knowledge at scale."
The source: Atlassian earnings release
