Atlassian published its second quarter financial results on Thursday, beating market estimates. The company also hit a new milestone with Q2, which ended on Dec. 31, 2018, surpassing $1 billion in calendar-year revenue. Shares were up in after-hours trading.
The collaboration and productivity software firm reported a non-IFRS net income of $61.7 million or 25 cents per diluted share for the second quarter of fiscal 2019. A year prior, net income came to $32 million or 13 cents per diluted share. Total revenue in Q2 2019 was $299 million, up 39 percent year-over-year.
Analysts were looking for earnings of 21 cents per share on revenue of $288.32 million.
The quarter "highlighted the growing demand for Atlassian products to drive digital transformation in businesses large and small," CEO Scott Farquhar said in a statement.
Jira Software, Atlassian's flagship product, surpassed 65,000 customers, Farquhar noted. "We ended the quarter with more than 138,000 total customers, underscoring the growth opportunity for Jira just within our installed base," he said.
Atlassian added 6,551 net new customers during the quarter, including an increase of 1,396 customers as a result of its acquisition of Opsgenie. On October 1, Atlassian closed its acquisition of Opsgenie, whose technology enables companies to better plan for and respond to IT service disruptions.
For Q3 2019, Atlassian expects total revenue to be in the range of $303 million to $305 million. It expects net income per diluted share to be approximately 18 cents on a non-IFRS basis. For the full FY 2019, total revenue is expected to be in the range of $1.195 million to $1.199 million. Net income per diluted share is expected to be in the range of 81 cents to 82 cents on a non-IFRS basis.