Atlassian Q2 revenue up 23%, beats estimates

Atlassian

05/02/2026 21:10

Overview

Team collaboration software firm's Q2 revenue grew 23%, beating analyst expectations

Adjusted EPS for Q2 beat analyst expectations

Company achieved first-ever $1 bln Cloud revenue quarter, up 26% yr/yr

Outlook

Atlassian expects Q3 revenue between $1,689 mln and $1,697 mln

Company anticipates Q3 Cloud revenue growth of approximately 23% year-over-year

Atlassian forecasts fiscal year 2026 revenue growth of approximately 22% year-over-year

Result Drivers

CLOUD REVENUE - Atlassian achieved its first-ever $1 bln Cloud revenue quarter, growing 26% yr/yr, driven by enterprise sales and partner execution

ENTERPRISE SALES - Strong enterprise sales and partner execution drove total revenue up 23% yr/yr

CUSTOMER COMMITMENTS - Remaining performance obligations rose 44% yr/yr, reflecting deeper customer commitments to Atlassian's platform

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Beat
$1.59 bln
$1.54 bln (26 Analysts)
Q2 Adjusted EPS
Beat
$1.22
$1.14 (25 Analysts)
Q2 Net Income
-$42.65 mln
Q2 Subscription Revenue
$1.07 bln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 25 "strong buy" or "buy", 7 "hold" and no "sell" or "strong sell"

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

Wall Street's median 12-month price target for Atlassian Corp is $220.00, about 109.4% above its February 4 closing price of $105.04

The stock recently traded at 20 times the next 12-month earnings vs. a P/E of 34 three months ago

Press Release: ID:nBw6n4Ks7a

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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.)