SAN FRANCISCO - Asana Inc. (NYSE:ASAN) reported better-than-expected second quarter results on Thursday, but shares plummeted 17% in after-hours trading as the company's guidance fell short of expectations.
The work management platform provider posted a non-GAAP loss of $0.05 per share for the quarter ended July 31, beating the consensus estimate of a $0.08 loss. Revenue grew 10% YoY to $179.2 million, surpassing analysts' projections of $177.68 million.
However, Asana's outlook for the current quarter and full fiscal year failed to impress investors. For Q3, the company expects revenue between $180 million and $181 million, representing 8-9% YoY growth. This implies a deceleration from the 10% growth seen in Q2.
"We're at a pivotal moment where AI has enormous potential to revolutionize work management," said CEO Dustin Moskovitz. "We are clearly moving in the right direction and are well-positioned to capitalize on the consolidation opportunity in the enterprise market."
Asana's full-year revenue forecast of $719-$721 million suggests growth will remain around 10%.
The company highlighted some positive trends, including 17% YoY growth in customers spending over $100,000 annually. Asana also generated $15.9 million in operating cash flow and $12.8 million in free cash flow during the quarter.
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