Atlassian cheers Q4 strong revenue, guidance provided above analyst estimates
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Atlassian (NASDAQ:TEAM) trades 9.8% higher premarket after its Q4 EPS and revenue beat estimates with cloud revenue rising 55% Y/Y.
Total revenue rose 36% to $759.8M while net income increased to $68.1M compared to $62.2M in year ago quarter.
Operating loss stood at $63.3M compared with operating loss of $7.5M in year ago quarter; operating margin was -8% compared with -1% in year ago quarter.
Cash flow from operations was $230.4M and free cash flow was $194.7M with margin at 26%; cash and equivalents plus short-term investments stood at $1.5B.
The company ended the quarter with a total customer count, on an active subscription or maintenance agreement basis, of 242,623 customers, adding 8,048 net new customers during the quarter.
The company appointed former Microsoft executive as CFO.

Q1 FY23 Outlook: Revenue is expected to be in the range of $795 to $810M; gross margin is expected to be in the range of 80% to 81% on an IFRS basis and in the range of 84% to 85% on a non-IFRS basis.
Analysts consensus estimates for Q1 FY23 revenue stands at $773.22M while EPS is seen at $0.26.
Operating margin is expected to be ~(37%) on an IFRS basis and ~18% on a non-IFRS basis.
Net loss per diluted share is expected to be ~$1.17 to $1.16 on an IFRS basis and net income per diluted share is expected to be ~$0.37 to $0.38 on a non-IFRS basis.
SA Contributor Bert Hochfeld recently wrote, "Is It Time For Investors To Team Up With Atlassian?"

Of the 24 Wall Street Analysts covering the stock, 16 have rated it Strong Buy while 5 rated it a Hold.
Piper Sandler analyst James Fish raised TEAM's price target to $283 from $249 while maintaining its Overweight rating on the shares; he added that FQ4 results "were strong with high-quality cloud leading the way. Atlassian reported a "relatively clean" quarter with 5% top-line and subscription upside, and hiring of Joe Binz as the new CFO."