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Atlassian (Atlassian) Operating Margin % : -4.63% (As of Dec. 2023)


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What is Atlassian Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Atlassian's Operating Income for the three months ended in Dec. 2023 was $-49 Mil. Atlassian's Revenue for the three months ended in Dec. 2023 was $1,060 Mil. Therefore, Atlassian's Operating Margin % for the quarter that ended in Dec. 2023 was -4.63%.

The historical rank and industry rank for Atlassian's Operating Margin % or its related term are showing as below:

TEAM' s Operating Margin % Range Over the Past 10 Years
Min: -9.77   Med: -0.38   Max: 10.55
Current: -7.19


TEAM's Operating Margin % is ranked worse than
67.59% of 2758 companies
in the Software industry
Industry Median: 3.07 vs TEAM: -7.19

Atlassian's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.

Atlassian's Operating Income for the three months ended in Dec. 2023 was $-49 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was $-280 Mil.


Atlassian Operating Margin % Historical Data

The historical data trend for Atlassian's Operating Margin % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Atlassian Operating Margin % Chart

Atlassian Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -5.24 0.87 6.77 2.50 -9.77

Atlassian Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Operating Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -11.37 -17.65 -5.37 -1.93 -4.63

Competitive Comparison of Atlassian's Operating Margin %

For the Software - Application subindustry, Atlassian's Operating Margin %, along with its competitors' market caps and Operating Margin % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Atlassian's Operating Margin % Distribution in the Software Industry

For the Software industry and Technology sector, Atlassian's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Atlassian's Operating Margin % falls into.



Atlassian Operating Margin % Calculation

Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.

Atlassian's Operating Margin % for the fiscal year that ended in Jun. 2023 is calculated as

Operating Margin %=Operating Income (A: Jun. 2023 ) / Revenue (A: Jun. 2023 )
=-345.222 / 3534.647
=-9.77 %

Atlassian's Operating Margin % for the quarter that ended in Dec. 2023 is calculated as

Operating Margin %=Operating Income (Q: Dec. 2023 ) / Revenue (Q: Dec. 2023 )
=-49.062 / 1060.11
=-4.63 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Atlassian  (NAS:TEAM) Operating Margin % Explanation

Just like Gross Margin %, it is important to see a company maintains its operating margin over time. Among the same industry, a company with higher operating margin is more efficient in its operation. It is also more stable during industry slowdown or recessions. Peter Lynch prefers those with higher margins than those with lower margins.


Be Aware

Operating Margin % can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).

If a company is facing competition, its Operating Margin % may decline. Often the Operating Margin % declines well before the company's Revenue or even profit decline. Therefore, Operating Margin % is a very important indicator of whether the company is facing problems.

For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokia’s Operating Margin % had already been in decline since 2002, although its Earnings per Share (Diluted) were still rising. Investors who paid attention to Operating Margin % would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).

Therefore, Operating Margin % is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.


Atlassian Operating Margin % Related Terms

Thank you for viewing the detailed overview of Atlassian's Operating Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Atlassian (Atlassian) Business Description

Traded in Other Exchanges
Address
341 George Street, Level 6, Sydney, NSW, AUS, 2000
Atlassian produces software that helps teams work together more efficiently and effectively. The company provides project planning and management software, collaboration tools, and IT help desk solutions. The company operates in four segments: subscriptions (term licenses and cloud agreements), maintenance (annual maintenance contracts that provide support and periodic updates and are generally attached to perpetual license sales), perpetual license (upfront sale for indefinite usage of the software), and other (training, strategic consulting, and revenue from the Atlassian Marketplace app store). Atlassian was founded in 2002 and is headquartered in Sydney.
Executives
Michael Cannon-brookes director, 10 percent owner, officer: Co-CEO, Co-Founder ATLASSIAN, 350 BUSH STREET, SAN FRANCISCO CA 94104
Scott Farquhar director, 10 percent owner, officer: Co-CEO, Co-Founder ATLASSIAN, 350 BUSH STREET, SAN FRANCISCO CA 94104
Anutthara Bharadwaj officer: Chief Operating Officer C/O ATLASSIAN, 350 BUSH STREET FLOOR 13, SAN FRANCISCO CA 94104
Gene Liu officer: Principal Accounting Officer C/O ATLASSIAN, 350 BUSH STREET FLOOR 13, SAN FRANCISCO CA 94104
Heather Mirjahangir Fernandez director C/O ATLASSIAN, 350 BUSH STREET FLOOR 13, SAN FRANCISCO CA 94104
Rajeev Bashyam Rajan officer: Chief Technology Officer C/O ATLASSIAN, 350 BUSH STREET FLOOR 13, SAN FRANCISCO CA 94104
Cameron Deatsch officer: Chief Revenue Officer C/O ATLASSIAN, 350 BUSH STREET FLOOR 13, SAN FRANCISCO CA 94101
Joseph Leo Binz officer: Chief Financial Officer C/O ATLASSIAN, 350 BUSH STREET FLOOR 13, SAN FRANCISCO CA 94104
Enrique T Salem director SYMANTEC CORPORATION, 20330 STEVENS CREEK BLVD., CUPERTINO CA 95014
Sasan K Goodarzi director C/O INTUIT INC., 2700 COAST AVENUE, MOUNTAIN VIEW CA 94043
Shona L Brown director 1600 AMIPHITHEATRE PARKWAY, BUILDING 41, MOUNTAIN VIEW CA 94043
Rich Wong director 428 UNIVERSITY AVE, PALO ALTO CA 94555
Michelle Zatlyn director C/O CLOUDFLARE, INC., 101 TOWNSEND STREET, SAN FRANCISCO CA 94107
Steven J Sordello director C/O LINKEDIN CORPORATION, 2029 STIERLIN COURT, MOUNTAIN VIEW CA 94043
Jay Parikh director 317 UNIVERSITY AVE, SUITE 200, PALO ALTO CA 94301