Work management software maker Asana's Q3 revenue beats estimates

Asana

02/12/2025 21:17

Overview

Asana fiscal Q3 revenue grows 9% yr/yr, beating analysts' expectations

Adjusted EPS for fiscal Q3 beats consensus, indicating strong operational performance

Company announces AI Teammates to boost productivity and enhance work quality

Outlook

Asana raises high-end of FY26 revenue guidance to $791.0 mln

Company expects Q4 revenue of $204.0 mln to $206.0 mln

Asana anticipates FY26 non-GAAP operating income of $52.5 mln to $54.5 mln

Result Drivers

AI INNOVATION - Launch of AI Teammates aimed at enhancing productivity and work quality, per CEO Dan Rogers

CUSTOMER SPENDING - Increase in number of customers spending $100,000 or more annually, growing 15% yr/yr

NRR IMPROVEMENT - Progress in net retention rates and new business acquisition initiatives, per CFO Sonalee Parekh

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Beat
$201 mln
$198.83 mln (12 Analysts)
Q3 Adjusted EPS
Beat
$0.07
$0.06 (12 Analysts)
Q3 EPS
-$0.29
Q3 Adjusted Net Income
Beat
$17.9 mln
$15.08 mln (9 Analysts)
Q3 Adjusted operating income
Beat
$16.3 mln
$13.17 mln (11 Analysts)

Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 4 "strong buy" or "buy", 8 "hold" and 3 "sell" or "strong sell"

The average consensus recommendation for the software peer group is "buy."

Wall Street's median 12-month price target for Asana Inc is $17.00, about 24.9% above its December 1 closing price of $12.77

The stock recently traded at 40 times the next 12-month earnings vs. a P/E of 50 three months ago

Press Release: ID:nBw7kCk6ja

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)