Work management software maker Asana's Q3 revenue beats estimates

Reuters
1 hour ago
Work management software maker Asana's Q3 revenue beats estimates

Overview

  • Asana fiscal Q3 revenue grows 9% yr/yr, beating analysts' expectations

  • Adjusted EPS for fiscal Q3 beats consensus, indicating strong operational performance

  • Company announces AI Teammates to boost productivity and enhance work quality

Outlook

  • Asana raises high-end of FY26 revenue guidance to $791.0 mln

  • Company expects Q4 revenue of $204.0 mln to $206.0 mln

  • Asana anticipates FY26 non-GAAP operating income of $52.5 mln to $54.5 mln

Result Drivers

  • AI INNOVATION - Launch of AI Teammates aimed at enhancing productivity and work quality, per CEO Dan Rogers

  • CUSTOMER SPENDING - Increase in number of customers spending $100,000 or more annually, growing 15% yr/yr

  • NRR IMPROVEMENT - Progress in net retention rates and new business acquisition initiatives, per CFO Sonalee Parekh

Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Revenue

Beat

$201 mln

$198.83 mln (12 Analysts)

Q3 Adjusted EPS

Beat

$0.07

$0.06 (12 Analysts)

Q3 EPS

-$0.29

Q3 Adjusted Net Income

Beat

$17.9 mln

$15.08 mln (9 Analysts)

Q3 Adjusted operating income

Beat

$16.3 mln

$13.17 mln (11 Analysts)

Analyst Coverage

  • The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 4 "strong buy" or "buy", 8 "hold" and 3 "sell" or "strong sell"

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

  • Wall Street's median 12-month price target for Asana Inc is $17.00, about 24.9% above its December 1 closing price of $12.77

  • The stock recently traded at 40 times the next 12-month earnings vs. a P/E of 50 three months ago

Press Release: ID:nBw7kCk6ja

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact RefinitivNewsSupport@thomsonreuters.com.

(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.)

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