Atlassian (TEAM) investor relations material

Strategic vision and growth opportunities

• Emphasizes transformation into a unified platform company, serving 350,000+ customers and powering hundreds of millions of workflows monthly, with a focus on enterprise, AI, and system of work pillars.

• Platform enables diversified growth across industries and teams, not just developers, with significant expansion among non-technical users.

• Multiple billion-dollar ARR businesses (Jira, Confluence, Service Collection) are accelerating in the cloud, driven by collections and cross-sell opportunities.

• Updated SAM to $140 billion, highlighting substantial runway, especially in non-developer and Fortune 500 segments.

• Cloud migration is a key driver, with customers expanding ARR 1.5x–2x in three years post-migration.

AI strategy and differentiation

• AI is deeply integrated via the Teamwork Graph, enabling context-rich, efficient, and accurate agentic workflows across business functions.

• Rovo AI usage is growing 20% month-over-month; customers using Rovo grow ARR at twice the rate of non-users.

• Teamwork Collection is the primary AI monetization vehicle, with customers consuming 2x more AI credits and deploying 2x more agents.

• AI investments focus on enterprise-grade compliance, permissions, and contextual intelligence, creating a durable competitive moat.

• Demonstrated ROI: AI-enabled workflows are faster, cheaper, and higher quality, with 44% better output and 48% lower token costs.

Financial performance and guidance

• FY26 non-GAAP gross margins expected at 88%, up 3 points YoY, driven by cloud scale and R&D optimization.

• R&D spend to moderate as a percentage of revenue, with most heavy lifting in enterprise and system of work completed.

• Subscription ARR shows accelerating growth; total revenue growth to trough in FY27 due to Data Center pull-forward, then re-accelerate in FY28.

• Three-year 20%+ revenue CAGR target is no longer relevant; ARR is now the key health metric.

• GAAP operating profit expected to accelerate beginning FY27, emphasizing durable, profitable growth.