Atlassian Corp (TEAM) Q1 2025 Earnings Call Highlights: Strong Start to FY25 with AI ...

GuruFocus.com11-01

Release Date: October 31, 2024 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Positive Points Atlassian Corp (NASDAQ:TEAM) reported a strong ...

Source Link

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap

Leave a comment

{"i18n":{"language":"en_US"},"isChannel":false,"data":{"share":"https://ttm.financial/m/news/2480102773?lang=en_US&edition=fundamental","thumbnail":"https://s.yimg.com/uu/api/res/1.2/e30pVSu7DdmMAa_NEUmvsA--~B/aD0zMTt3PTI1MDthcHBpZD15dGFjaHlvbg--/https://media.zenfs.com/en/us.finance.gurufocus/8727c32ee3cfd642a4c49f1a44c29abb","is_english":true,"pubTime":"2024-11-01 15:19","share_image_url":"https://static.laohu8.com/5f26f4a48f9cb3e29be4d71d3ba8c038","id":"2480102773","market":"us","top_or_hot":-1,"title":"Atlassian Corp (TEAM) Q1 2025 Earnings Call Highlights: Strong Start to FY25 with AI ...","media":"GuruFocus.com","content":"<div>\n<p>Release Date: October 31, 2024\nFor the complete transcript of the earnings call, please refer to the full earnings call transcript.\n Positive Points \n\nAtlassian Corp (NASDAQ:TEAM) reported a strong ...</p>\n\n<a href=\"https://finance.yahoo.com/news/atlassian-corp-team-q1-2025-071940173.html\">Source Link</a>\n\n</div>\n","source":"yahoofinance","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Atlassian Corp (TEAM) Q1 2025 Earnings Call Highlights: Strong Start to FY25 with AI ...</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nAtlassian Corp (TEAM) Q1 2025 Earnings Call Highlights: Strong Start to FY25 with AI ...\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-11-01 15:19 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://finance.yahoo.com/news/atlassian-corp-team-q1-2025-071940173.html><strong>GuruFocus.com</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Release Date: October 31, 2024\nFor the complete transcript of the earnings call, please refer to the full earnings call transcript.\n Positive Points \n\nAtlassian Corp (NASDAQ:TEAM) reported a strong ...</p>\n\n<a href=\"https://finance.yahoo.com/news/atlassian-corp-team-q1-2025-071940173.html\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"TISI","symbol_name":"Team Inc","start_time":0,"source_url":"https://finance.yahoo.com/news/atlassian-corp-team-q1-2025-071940173.html","article_id":"2480102773","we_media_id":null,"thumbnails":["https://s.yimg.com/uu/api/res/1.2/e30pVSu7DdmMAa_NEUmvsA--~B/aD0zMTt3PTI1MDthcHBpZD15dGFjaHlvbg--/https://media.zenfs.com/en/us.finance.gurufocus/8727c32ee3cfd642a4c49f1a44c29abb"],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2480102773","pubTimestamp":1730445580,"sourceInfo":{"source_id":"yahoofinance","name":"雅虎金融"},"weMediaInfo":null,"summary":"For the complete transcript of the earnings call, please refer to the full earnings call transcript.Atlassian Corp  reported a strong start to FY25, with significant customer engagement and adoption of new AI-powered products.The company has successfully launched Rovo, an AI-powered product, just five months after its announcement, showcasing rapid innovation and delivery.Atlassian's cloud platform continues to drive increased customer adoption, with notable migrations from data center to cloud, including a major financial services company.The introduction of new premium offerings like Jira Product Discovery Premium and Compass Premium is enhancing the value proposition for enterprise customers.The company is seeing strong growth in its Jira Service Management  product, with over 55,000 customers, driven by its competitive pricing and value delivery.Despite strong performance, Atlassian Corp  remains cautious about macroeconomic uncertainties, including potential impacts from upcoming ","collect":0,"end_time":0,"defaultTopTitle":"yahoo.com","property":["earning"],"viewcount":null,"language":"en","relate_stocks":{"TISI":"Team Inc","TEAM":"Atlassian Corporation PLC"},"translate_title":"Atlassian Corp(TEAM)2025年第一季度收益看涨期权亮点：人工智能为2025财年开局强劲……","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"TEAM":1,"TISI":1},"content_text":"Release Date: October 31, 2024\nFor the complete transcript of the earnings call, please refer to the full earnings call transcript.\n Positive Points \n\nAtlassian Corp (NASDAQ:TEAM) reported a strong start to FY25, with significant customer engagement and adoption of new AI-powered products.\nThe company has successfully launched Rovo, an AI-powered product, just five months after its announcement, showcasing rapid innovation and delivery.\nAtlassian's cloud platform continues to drive increased customer adoption, with notable migrations from data center to cloud, including a major financial services company.\nThe introduction of new premium offerings like Jira Product Discovery Premium and Compass Premium is enhancing the value proposition for enterprise customers.\nThe company is seeing strong growth in its Jira Service Management (JSM) product, with over 55,000 customers, driven by its competitive pricing and value delivery.\n\n Negative Points \n\nDespite strong performance, Atlassian Corp (NASDAQ:TEAM) remains cautious about macroeconomic uncertainties, including potential impacts from upcoming U.S. elections and regional conflicts.\nThe company acknowledges that its enterprise go-to-market transformation is still in early stages, posing execution risks.\nThere is a potential challenge in managing the timing and complexity of large-scale customer migrations from data center to cloud.\nAtlassian's consumption-based pricing strategy is still in its infancy, which could introduce variability and uncertainty in revenue projections.\nThe company faces competitive pressures, particularly in the AI and service management space, where other vendors are also aggressively innovating.\n\n Q & A Highlights \n\nWarning! GuruFocus has detected 5 Warning Signs with UFI.\n\nQ: Can you provide proof points that AI is beneficial rather than a threat to jobs, as some fear? A: Michael Cannon-Brookes, Co-Founder and Co-CEO, explained that Atlassian's AI strategy involves integrating AI across their platform and launching Rovo, an AI-powered product. Customers using Atlassian Intelligence and Rovo have reported significant time savings and increased business velocity, leading to high ROI. AI is seen as a tool to enhance human creativity and business efficiency, not as a job threat. Atlassian has not observed any seat cannibalization due to AI.\nQ: How much of Atlassian's cloud outperformance is due to market conditions versus proactive company efforts? A: Joe Binz, CFO, noted that a stable macro environment and consistent trends from Q4 contributed to the quarter's performance. Atlassian saw stable SMB segment trends and healthy enterprise results, driven by migrations and upsell to premium and enterprise editions. The company's proactive sales execution also played a significant role.\nQ: What prompted the shift to monetize AI with Rovo, and how was pricing determined? A: Michael Cannon-Brookes explained that Rovo was developed as a product for the AI era, leveraging Atlassian's cloud platform and Teamwork Graph. The pricing strategy for Rovo and other AI capabilities is based on delivering clear value and ROI to customers. Atlassian is focused on driving deployment and engagement with Rovo, with modest revenue expectations for FY25.\nQ: What drove the significant cloud revenue beat this quarter? A: Joe Binz attributed the cloud revenue beat to better-than-expected paid seat expansion and migrations, along with solid sales execution. The performance was a mix of macroeconomic stability and fundamental business health, with all growth drivers either in line or slightly better than expectations.\nQ: How is Atlassian's AI strategy differentiated from competitors, and what is its potential impact on the user base? A: Michael Cannon-Brookes highlighted Atlassian's differentiation through its cloud platform, Teamwork Graph, and extensibility. The integration of AI across business, IT, and software teams provides significant value. Atlassian's long-term R&D investments have positioned it ahead in delivering practical AI solutions that enhance customer business operations.\nFor the complete transcript of the earnings call, please refer to the full earnings call transcript.This article first appeared on \nGuruFocus.","kind":null,"is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.29.1","shortVersion":"4.29.1","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2480102773"}