Atlassian (TEAM) reported $1.59 billion in revenue for the quarter ended December 2025, representing a year-over-year increase of 23.3%. EPS of $1.22 for the same period compares to $0.96 a year ago.
The reported revenue compares to the Zacks Consensus Estimate of $1.54 billion, representing a surprise of +3%. The company delivered an EPS surprise of +9.19%, with the consensus EPS estimate being $1.12.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how Atlassian performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
- Remaining Performance Obligations (RPO): $3.8 billion compared to the $3.49 billion average estimate based on two analysts.
- Customers: 350,000 compared to the 317,678 average estimate based on two analysts.
- Revenues- Subscription: $1.51 billion versus the eight-analyst average estimate of $1.46 billion. The reported number represents a year-over-year change of +24.3%.
- Revenues- Other: $78.66 million versus $75.26 million estimated by eight analysts on average. Compared to the year-ago quarter, this number represents a +7.4% change.
- Revenues- Cloud: $1.07 billion versus $1.04 billion estimated by seven analysts on average. Compared to the year-ago quarter, this number represents a +26% change.
- Revenues- Data Center: $435.62 million compared to the $423.84 million average estimate based on seven analysts. The reported number represents a change of +20.2% year over year.
- Revenues- Marketplace and other: $83.67 million versus the six-analyst average estimate of $79.18 million. The reported number represents a year-over-year change of +8.4%.
View all Key Company Metrics for Atlassian here>>>
Shares of Atlassian have returned -34.7% over the past month versus the Zacks S&P 500 composite's +0.5% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
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Atlassian Corporation PLC (TEAM): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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