Atlassian acquires Code Barrel to bolster automation in Jira
Atlassian said on Thursday that it has acquired Code Barrel, makers of an automation tool for Jira. The aptly named Automation for Jira tool aims to let users automate routine operations in Jira without writing code. Financial terms of the deal were not disclosed, but Atlassian said the tool is used by more than 6,000 organizations including Visa, Cisco, Airbnb and TripAdvisor.
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Going forward, Atlassian said the acquisition will significantly improve Jira's utility for customers and teams spanning DevOps and ITSM to marketing and HR.
"Automation for Jira is a powerful no-code rules builder that makes automating routine operations a breeze," said Noah Wasmer, head of tech teams for Atlassian. "By having computers do more of the time-consuming and error-prone work, teams can win back more of their most precious resource: time."
The acquisition was announced alongside Atlassian's first quarter financial results. The collaboration and productivity software company reported a net income of $69.3 million, or 28 cents per share. Non-GAAP earnings were 28 cents per share on revenue of $363.4 million, up 36% from a year ago.
Wall Street was expecting the company to report earnings of 24 cents per share on revenue of $351.8 million.
Atlassian's subscription revenue remained strong, rising to $201 million. The company reported a free cash flow of $62.4 million. Elsewhere, Atlassian said it grew its customer count on a net basis by 7,060 for the quarter. It ended Q1 with a total customer count on an active subscription or maintenance agreement basis of 159,787.
"We're out of the blocks in good form in fiscal 2020," said Mike Cannon-Brookes, Atlassian's co-founder and co-CEO.
In terms of guidance, Atlassian is expecting revenue in the range of $386 million to $390 million, with EPS of 27 cents. Analysts expect the company to report second quarter earnings of 26 cents per share on revenue of $381.5 million.
For the full fiscal year 2020, the company is expecting revenue in the range of $1.56 billion to $1.57 billion with earnings of $1 per share. For the year analysts expect earnings of $1.01 a share on revenue of $1.55 billion. Shares of Atlassian were down around 2% after hours.