Atlassian Corporation Plc reported unaudited consolidated earnings results for the second quarter and six months ended December 31, 2017. For the quarter, total revenues were $212,626,000 against $148,909,000 a year ago. Operating loss was $15,256,000 against $2,639,000 a year ago. Loss before income tax benefit was $14,188,000 against $1,487,000 a year ago. Net loss was $65,230,000 against $1,698,000 a year ago. Net loss per basic and diluted share attributable to ordinary shareholders was $0.28 against $0.01 a year ago. Net cash provided by operating activities was $72,328,000 against $47,399,000 a year ago. Purchases of property and equipment were $4,550,000 against $2,907,000 a year ago. Non-IFRS operating income was $44,412,000 against $27,584,000 a year ago. Non-IFRS net income was $31,002,000 against $21,664,000 a year ago. Non-IFRS net income per share – diluted was $0.13 against $0.09 a year ago.

For six months, total revenues were $406,444,000 against $285,696,000 a year ago. Operating loss was $37,581,000 against $7,767,000 a year ago. Loss before income tax benefit was $35,932,000 against $5,363,000 a year ago. Net loss was $79,224,000 against $4,335,000 a year ago. Net loss per basic and diluted share attributable to ordinary shareholders was $0.35 against $0.02 a year ago. Net cash provided by operating activities was $137,577,000 against $75,861,000 a year ago. Purchases of property and equipment were $7,114,000 against $5,298,000 a year ago. Non-IFRS operating income was $80,527,000 against $55,377,000 a year ago. Non-IFRS net income was $60,946,000 against $44,384,000 a year ago. Non-IFRS net income per share – diluted was $0.25 against $0.19 a year ago.

For the third quarter of 2018. Total revenue is expected to be in the range of $217 million to $219 million. Gross margin is expected to be approximately 80% on an IFRS basis and approximately 83% on a non-IFRS basis. Operating margin is expected to be approximately (5%) on an IFRS basis and approximately 17% on a non-IFRS basis. Net loss per diluted share is expected to be approximately $0.08 on an IFRS basis, and net income per diluted share is expected to be approximately $0.08 on a non-IFRS basis.

For the full year 2018. Total revenue is expected to be in the range of $853 million to $857 million. Gross margin is expected to be approximately 80% on an IFRS basis and approximately 84% on a non-IFRS basis. Operating margin is expected to be approximately (8%) on an IFRS basis and approximately 19% on a non-IFRS basis. Net loss per diluted share is expected to be in the range of $0.48 to $0.47 on an IFRS basis, and net income per diluted share is expected to be in the range of $0.47 to $0.48 on a non-IFRS basis. Free cash flow is expected to be in the range of $260 million to $270 million, which includes capital expenditures that are expected to be in the range of $25 million to $30 million.