SAN FRANCISCO - Asana, Inc. (NYSE: ASAN) saw its shares jump 15% in after-hours trading on Thursday after the work management platform provider reported better-than-expected third quarter results and raised its full-year guidance.
The company posted a narrower-than-anticipated loss of $0.02 per share for Q3, beating analyst estimates of a $0.07 per share loss. Revenue rose 10% YoY to $183.9 million, surpassing the consensus forecast of $180.61 million.
Asana's Q3 performance was driven by solid customer growth, with the number of customers spending $100,000 or more annually increasing 18% YoY to 683. The company also reported stabilizing revenue growth and improving in-quarter net retention rates.
"We delivered a solid quarter with stabilizing revenue growth, improving in-quarter net retention, and expansion with large customers," said Sonalee Parekh, Asana's Chief Financial Officer.
Looking ahead, Asana raised its full-year fiscal 2025 outlook, now expecting revenue of $723-724 million, up from its previous guidance of $720.2 million. The company also narrowed its projected full-year loss to $0.15-$0.14 per share, compared to earlier estimates of a $0.19 per share loss.
The strong results and upbeat forecast signal Asana's progress in balancing growth and profitability improvements. The company's recent launch of AI Studio, an artificial intelligence-powered workflow builder, is also expected to expand its market opportunity.
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