Atlassian stock tumbles 13% after Q2 loss

Atlassian Corp.’s
TEAM,
+7.10%
stock fell more than 13% after market close Thursday after the software maker reported a widening second-quarter loss. The company reported a net loss of $205 million, or 80 cents a share, compared with a net loss of $22.3 million, or 9 cents a share in the same period last year. The second-quarter net loss includes a non-recurring income tax charge of $83.1 million, which increased net loss per share by 32 cents. On an adjusted basis, Atlassian earned 45 cents a share, up from 43 cents a share in the same period last year. Analysts surveyed by FactSet were looking for earnings of 30 cents a share. The company reported revenue of $872.7 million, up from $688.5 million in the prior year’s quarter. Analysts surveyed by FactSet were looking for revenue of $850 million. Atlassian CEO Scott Farquhar said the company’s sales growth was driven by subscription revenue that grew 40% year-over-year. “2023 will be all about helping our customers navigate these challenging times, absorbing the macro-driven impacts on our business, and setting Atlassian up for long-term success,” he said, in a statement.