Earnings Results: Asana stock jumps as sales, outlook blow away earnings expectations

Asana Inc. shares jumped in extended trading Thursday, after the collaboration-software company blew away expectations for revenue growth, and predicted more to come.


reported a first-quarter loss of $60.7 million, or 37 cents a share, on sales of $76.7 million, up from $47.7 million a year ago, a growth rate that topped 60%. After adjusting for stock-based compensation and other effects, the company reported a loss of 21 cents a share, an improvement from a loss of 31 cents a share last year, when there were less than half the shares available.

Analysts on average expected adjusted losses of 27 cents a share on sales of $70.1 million, according to FactSet. Asana stock gained more than 9% in after-hours trading after the results were released, following a 0.2% daily decline to $36.79.

Asana executives expect the strong revenue growth to continue. The company’s forecast calls for second-quarter sales of $81 million to $83 million, blowing away the consensus estimate of $74.1 million. For the year, executives increased the company’s sales forecast to a range of $336 million to $340 million, after previously stating a range of $309 million to $314 million.

“We are very pleased with the momentum in our first quarter,” Chief Executive and co-founder Dustin Moskovitz, also a Facebook Inc.

co-founder, said in a statement. “We reported accelerated revenue growth of 61% year over year, we closed large expansions within our existing base and continued to see momentum with some of our largest enterprise customers.”

For more: Five things to know about Facebook co-founder’s software company Asana

Asana publicly listed its shares last September, on the same day that Palantir Technologies Inc.

debuted, and ended its first day of trading at $28.80. Shares have gained 27.7% from that first day’s closing price, while the S&P 500 index

has increased 26.4% in that time.

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