Asana (ASAN) Q3 2025 earnings summary

Executive summary

• Q3 revenue grew 10% year-over-year to $183.9M, driven by new customers, higher-priced plans, and strong enterprise momentum, with total trailing twelve months revenue reaching $707M, up 12% year-over-year.

• Core customers grew 11% to 23,609, contributing 75% of Q3 revenue, and customers spending $100K+ annually grew 18% to 683.

• Net loss for Q3 was $57.3M, improved from $61.8M last year; non-GAAP net loss was $4.8M ($0.02/share).

• Launched AI Studio, marking transition to a multi-product company with strong early adoption and a new consumption-based pricing model.

• Multi-year deals and backlog (RPO) reached record highs, up 21% year-over-year, reflecting deeper enterprise relationships.

Financial highlights

• Q3 revenue: $183.9M, up 10% year-over-year; TTM revenue: $707M, up 12% year-over-year.

• Non-GAAP gross margin: 89%; non-GAAP operating margin: -4%; GAAP net loss per share: $0.25; non-GAAP net loss per share: $0.02.

• Free cash flow for Q3: -$18.2M; cash and marketable securities: $455.3M at quarter end.

• Share repurchases: $54.8M in Q3, $74.7M YTD, with $75.3M remaining authorization.

• Deferred revenue: $282.1M, up 10% year-over-year; RPO: $405.7M, up 21% year-over-year.

Outlook and guidance

• Q4 FY25 revenue expected at $187.5M–$188.5M (10% growth year-over-year); full FY25 revenue guidance: $723M–$724M (11% growth year-over-year).

• Q4 non-GAAP operating loss: $6.5M–$5.5M; full FY25 non-GAAP operating loss: $46M–$45M.

• Positive free cash flow expected in Q4; liquidity sufficient for at least 12 months.

• FY26 focus on revenue growth and material operating margin expansion.

• Management highlights a $10B opportunity within the Core customer base and plans to expand AI product adoption and vertical focus.