Team collaboration and productivity software provider, Atlassian Corporation announced its financial results for the second quarter ended December 31. The company also announced Sri Viswanath will transition his CTO responsibilities at the end of June 2022. At the end of the quarter, the company had approximately 4,000 Atlassians under Sri’s leadership, supporting over 226,000 customers.
37% revenue increase year-over-yer
The company announced a strong quarterly report with a 37% quarterly revenue increase. The growth is driven by subscription revenues, up 64% year-over-year. Some of the second quarter financial highlights are:
- Revenue: Total revenue was $688.5 million for the second quarter of fiscal year 2022, up 37% from $501.4 million for the second quarter of fiscal year 2021.
- Operating Income (Loss) and Operating Margin: Operating loss was $66.7 million for the second quarter of fiscal year 2022, compared with an operating income of $27.7 million for the second quarter of fiscal year 2021. Operating margin was (10)% for the second quarter of fiscal year 2022, compared with 6% for the second quarter of fiscal year 2021.
- Net Loss and Net Loss Per Diluted Share: Net loss was $77.5 million for the second quarter of fiscal year 2022, compared with a net loss of $621.5 million for the second quarter of fiscal year 2021. Net loss per diluted share was $0.31 for the second quarter of fiscal year 2022, compared with a net loss per diluted share of $2.49 for the second quarter of fiscal year 2021.
- Balance Sheet: Cash and cash equivalents plus short-term investments at the end of the second quarter of fiscal year 2022 totaled $986.0 million.
During the period:
- Atlassian Marketplace Surpasses $2 Billion in Lifetime Sales: During the second quarter of fiscal 2022, the Atlassian Marketplace surpassed $2 billion in lifetime sales since its inception in 2012. Atlassian’s 1,250+ Marketplace Partners help deliver additional value to the tens of thousands of customers that utilize a Marketplace app.
- Leader in Forrester Wave for Enterprise Service Management: Atlassian was named a Leader in The Forrester Wave™: Enterprise Service Management, Q4 2021. In addition, Atlassian’s strategy for enterprise service management (ESM) received the highest score of all vendors in this report. Over 35,000 customers trust Jira Service Management to deliver exceptional service experiences for internal and external customers.
- Strategic Investments in Miro and Clockwise: Atlassian deepened its partnership with Miro, a visual collaboration company, by participating in their Series C funding round earlier this month. Miro’s virtual whiteboarding product integrates with Jira and Confluence to drive customer innovation. Atlassian also invested in Clockwise, a scheduling optimization app provider. Clockwise’s focus on team productivity aligns with Atlassian’s mission to unleash the potential of every team. These investments showcase Atlassian Ventures’ focus on driving customer value and expanding the economy around Atlassian.
- Percept.ai Acquisition: Atlassian announced today the acquisition of Percept.ai, an AI-powered virtual agent technology provider which will expand frontline support capabilities in Jira Service Management. The acquisition builds on Atlassian’s previous investments in AI and machine learning, and will help customers efficiently deliver great employee and customer support experiences at high velocity.
- Atlassian Team ’22: Atlassian will hold its flagship customer event in Las Vegas, at the Venetian Convention and Expo Center, from April 5 through April 7, 2022. Virtual attendance and global viewing parties will also be available from April 6 through April 7, 2022. Thousands of customers will discover Atlassian solutions, skills, and ideas to transform how their teams collaborate, power digital transformation, and drive cultural change.
Customer Growth: Atlassian ended its second quarter of fiscal year 2022 with a total customer count, on an active subscription or maintenance agreement basis, of 226,521 customers, adding 10,021 net new customers during the quarter.
Scott Farquhar, co-founder and co-CEO of Atlassian said,
« Q2 was another strong quarter for Atlassian with over 10,000 net new customers this quarter, 98% of which were in the Cloud. We also saw subscription revenue grow 64% year-over-year, which reflects our continued investment in our Cloud platform and the strong focus and effort we have put in to helping our customers seamlessly move to Cloud. »