Atlassian posts US$91m profit, cloud revenue up 31%
Atlassian reported US$91 million net profit for the September quarter, reversing a US$52 million loss from the same period last year. Revenue climbed 24% to US$1.77 billion.
Cloud revenue drove growth, up 31% to US$1.3 billion. Subscription annual recurring revenue reached US$6.81 billion, up 23%. Remaining performance obligations, a measure of contracted future revenue, jumped 44% to US$4.75 billion.
The numbers follow a restructure announced in March that cut 1,600 roles, roughly 11% of headcount at the time. That move came as Atlassian shifted resources toward enterprise sales and AI-enabled products. The company posted a US$98.4 million loss in the March quarter before turning profitable in June.
Operating profit hit US$189 million, compared to a US$96 million operating loss a year earlier. Statutory operating margin improved from negative 7% to 11%. On an adjusted basis, operating profit was US$576 million with a 32% margin.
What this means for sales teams
Atlassian's enterprise push is real. Service Collection, which includes Jira Service Management, now has 70,000 customers and over US$1 billion in ARR, growing above 30%. Teamwork Collection customer numbers increased sevenfold year over year.
The company appointed Ken Exner as Chief Product Officer for Enterprise and Emerging in August, a signal that larger accounts and expansion revenue are getting more attention. CEO Mike Cannon-Brookes focused his commentary on enterprise AI adoption, arguing that competitive advantage is shifting toward platforms connecting people and AI agents.
For sales professionals watching Atlassian: the cloud migration story is working, enterprise traction is building, and the product-led growth model is expanding upmarket. No confirmed sales team headcount or CRO appointment has been disclosed, but the enterprise focus suggests investment in higher-touch selling motions.
Atlassian competes with Microsoft Teams and Azure DevOps in collaboration and developer tooling, ServiceNow in enterprise service management, and a crowded field including Asana, monday.com, Slack, ClickUp and Coda in work management. The strategy tension remains balancing self-service velocity with enterprise deal complexity.