Powering teams everywhere
Brian Withers (TEAM): Atlassian’s mission is to “unleash the power of teams.” Combined with its efforts to be a cloud-first company, it’s becoming unstoppable. The latest revenue and customer growth numbers are evidence this team-based software specialist is providing incredible value for its customers large and small. Even as it quickly attracts a large active customer base, its top line is growing even faster. This means that once customers get on board, they realize the value of Atlassian’s toolset and expand their spending over time.
|
Metrics |
Q3 2020 |
Q2 2021 |
Q3 2021 |
QoQ change |
YoY change |
|---|---|---|---|---|---|
|
Revenue |
$412 million |
$501 million |
$569 million |
14% |
38% |
|
Active customers |
171,051 |
194,334 |
212,807 |
10% |
24% |
Note: Q3 2021 ended March 31, 2021. Data source: Company earnings reports and earnings calls.
The company is in the middle of a massive transition and migrating customers off its on-premise server platform to a cloud-first model. This transition is allowing the research and development team to invest even more in its cloud platform. It’s released what it calls its Point A tools, a collection of five cloud-based applications, but with a twist. The design and features of these tools are being influenced by its customers who are using them. With early feedback from its cloud users, these tools are getting the best and most requested features fast-tracked to enable customers to get these enhancements in record time. Customers and the company are seeing positive results from these efforts and it is a great differentiator for its products.
But not only is this team collaboration software specialist innovating for customers, its employees love working there too. The company again landed on Fortune’s 100 Best Companies to work for list and ranked 8th in the large tech company group. Happy employees make for happy customers. Happy customers make for happy investors. The next year or two might be a little rocky for the company as customers migrate to its cloud-based products, but it will emerge from this transition stronger than ever. Investors would do well to get on board with a few shares today of this unstoppable cloud stock.
