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Jun 30, 2024

Atlassian Q4 2024 Earnings Report

Atlassian's Q4 2024 financial results were announced, demonstrating revenue growth and strategic advancements.

Key Takeaways

Atlassian reported Q4 2024 revenue of $1,132 million, a 20% increase year-over-year, with subscription revenue up 34% to $1,069 million. The company's GAAP operating margin was (6)%, while non-GAAP operating margin was 20%. They generated $426 million in cash flow from operations and $413 million in free cash flow.

Total revenue reached $1,132 million, up 20% year-over-year.

Subscription revenue increased by 34% year-over-year, totaling $1,069 million.

GAAP operating margin was (6)%, and non-GAAP operating margin was 20%.

Free cash flow was $413 million, with a free cash flow margin of 37%.

Total Revenue
$1.13B
Previous year: $939M
+20.5%
EPS
$0.66
Previous year: $0.57
+15.8%
Customers >$10k Cloud ARR
45.84K
Previous year: 38.85K
+18.0%
Gross Profit
$914M
Previous year: $769M
+18.8%
Cash and Equivalents
$2.18B
Previous year: $2.1B
+3.5%
Free Cash Flow
$413M
Previous year: $270M
+52.8%
Total Assets
$5.21B
Previous year: $4.11B
+26.9%

Atlassian

Atlassian

Atlassian Revenue by Segment

Forward Guidance

Atlassian anticipates total revenue between $1,149 million and $1,157 million for Q1 2025. They expect cloud revenue growth of approximately 27.0%, data center revenue growth of approximately 35.0%, and other revenue growth of approximately 13.0%.

Positive Outlook

  • Total revenue is expected to be in the range of $1,149 million to $1,157 million.
  • Cloud revenue growth year-over-year is expected to be approximately 27.0%.
  • Data Center revenue growth year-over-year is expected to be approximately 35.0%.
  • Other revenue growth year-over-year is expected to be approximately 13.0%.
  • Gross margin is expected to be approximately 81.0% on a GAAP basis and approximately 83.5% on a non-GAAP basis.

Challenges Ahead

  • Operating margin is expected to be approximately (7.0%) on a GAAP basis.
  • Operating margin is expected to be approximately 19.0% on a non-GAAP basis.
  • Total revenue growth year-over-year is expected to be approximately 16.0% for fiscal year 2025.
  • Cloud revenue growth year-over-year is expected to be approximately 23.0% for fiscal year 2025.
  • Data Center revenue growth year-over-year is expected to be approximately 20.0% for fiscal year 2025.

Revenue & Expenses

Visualization of income flow from segment revenue to net income