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Reading: Atlassian Q1 Earnings Surpass Expectations, Revenues Rise Y/Y
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Market

Atlassian Q1 Earnings Surpass Expectations, Revenues Rise Y/Y

Editor
Last updated: October 31, 2025 4:15 pm
Editor
Published: October 31, 2025
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Atlassian Q1 Earnings Surpass Expectations, Revenues Rise Y/Y


Contents
  • Atlassian’s Q1 FY26 Particulars
    • Atlassian Company PLC Worth, Consensus and EPS Shock
  • TEAM’s Stability Sheet
  • TEAM’s Q2 and FY26 Steering
  • TEAM’s Zacks Rank and Shares to Think about

Atlassian TEAM got here out with first-quarter fiscal 2026 earnings of $1.04 per share, which beat the Zacks Consensus Estimate of 83 cents. This compares to earnings of 77 cents per share a 12 months in the past.

During the last 4 quarters, the corporate has surpassed earnings estimates in every of the 4 quarters, with an earnings shock of 19.9%.

Atlassian posted revenues of $1.43 billion for the quarter ended September 2025, surpassing the Zacks Consensus Estimate by 2.40%. The corporate reported revenues of $1.19 billion within the year-ago quarter.

Atlassian’s Q1 FY26 Particulars

Phase-wise, Subscription revenues rose 21.8% 12 months over 12 months to $1.37 billion, reflecting continued power in Cloud migrations and multi-year enterprise offers. Our estimate for Subscription revenues was pegged at $1.33 billion.

Atlassian’s Different revenues (together with perpetual license revenues) declined 19.1% 12 months over 12 months to $58.1 million, impacted by the continuing phase-out of Knowledge Heart and Server-related gross sales. Our estimate for Different revenues was pegged at $70.4 million.

Atlassian Company PLC Worth, Consensus and EPS Shock

Atlassian Company PLC price-consensus-eps-surprise-chart | Atlassian Company PLC Quote

Throughout the fiscal first quarter, Cloud revenues had been $997.7 million, up 26% 12 months over 12 months. Knowledge Heart revenues rose 11% to $372.6 million, whereas Market and Providers revenues reached $62.2 million, up 4% 12 months over 12 months.

Our estimates for Cloud, Knowledge Heart, and Market and Providers revenues was pegged at $969 million, $362 million, and $66.6 million, respectively.

The corporate’s non-GAAP gross revenue rose 23.7% 12 months over 12 months to $1.23 billion, with a non-GAAP gross margin of 86%, up 200 foundation factors from the prior-year quarter.

TEAM’s non-GAAP working revenue elevated 20.3% 12 months over 12 months to $323 million, pushed by sturdy Cloud development, enterprise migrations, and disciplined value management. Non-GAAP working margin remained regular at 23%.

TEAM’s Stability Sheet

On the finish of the primary quarter of fiscal 2026, the corporate held $2.8 billion in money, money equivalents, and short-term investments, down from $2.94 billion on the finish of the prior quarter.

TEAM generated $129 million in working money movement and $115 million in free money movement in the course of the quarter.

TEAM’s Q2 and FY26 Steering

For the second quarter of fiscal 2026, the corporate initiatives revenues within the vary of $1.535-$1.543 billion. The Zacks Consensus Estimate is pegged at $1.51 billion, indicating year-over-year development of 17.9%.

Non-GAAP gross margin is predicted to be 87%, whereas the non-GAAP working margin is projected at 24.5%.

For fiscal 2026, Atlassian expects revenues to develop roughly 20.8% 12 months over 12 months. The Zacks Consensus Estimate is pegged at $6.15 billion, indicating year-over-year development of 17.9%.

Non-GAAP gross margin for fiscal 2026 is predicted to be 86.5%, whereas the non-GAAP working margin is projected at 25.5%.

TEAM’s Zacks Rank and Shares to Think about

At the moment, TEAM carries a Zacks Rank #3 (Maintain).

Impinj PI, Credo Expertise Group CRDO and Amphenol APH are some better-ranked shares that traders can contemplate within the Zacks Pc and Expertise sector. Impinj, Credo Expertise Group and Amphenol sport a Zacks Rank #1 (Robust Purchase) every at current. You may see the entire listing of as we speak’s Zacks #1 Rank shares right here.

The Zacks Consensus Estimate for Impinj’s full-year 2025 earnings is pegged at $1.98 per share, revised upward by 4 cents over the previous 30 days and suggests a year-over-year decline of 6.2%. Impinj shares have soared 63.7% 12 months to this point.

The consensus estimate for Credo Expertise Group’s fiscal 2026 earnings has been revised upward by a cent over the previous 30 days to $2.04 per share, suggesting a rise of 191.4% 12 months over 12 months. Credo Expertise Group shares have rallied 133.9% 12 months to this point.

The Zacks Consensus Estimate for Amphenol’s full-year 2025 earnings has been revised upward to $3.22 per share from $3.03 per share over the previous seven days, reflecting 70.4% year-over-year development. Amphenol shares have risen 95.7% 12 months to this point.

Need the most recent suggestions from Zacks Funding Analysis? Immediately, you possibly can obtain 7 Finest Shares for the Subsequent 30 Days. Click on to get this free report

Amphenol Company (APH) : Free Inventory Evaluation Report

Impinj, Inc. (PI) : Free Inventory Evaluation Report

Atlassian Company PLC (TEAM) : Free Inventory Evaluation Report

Credo Expertise Group Holding Ltd. (CRDO) : Free Inventory Evaluation Report

This text initially revealed on Zacks Funding Analysis (zacks.com).

Zacks Funding Analysis

The views and opinions expressed herein are the views and opinions of the writer and don’t essentially mirror these of Nasdaq, Inc.

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