Atlassian Corp (NASDAQ:TEAM) stock plunges 31.45% (As on November 4, 1:49:51 AM UTC-4, Source: Google Finance) after the company reported lower earnings than analysts expected and issued a disappointing outlook. Net loss narrowed to $13.7 million from $411.2 million one year ago, thanks to a mark-to-market accounting adjustment on strategic investments. Atlassian added 6,550 customers, resulting in a total of 249,173. Analysts polled by StreetAccount had expected 250,700. Operating income was $147.9 million for the first quarter of fiscal year 2023, compared with operating income of $165.4 million for the first quarter of fiscal year 2022. Operating margin was 18% for the first quarter of fiscal year 2023, compared with 27% for the first quarter of fiscal year 2022. Cash flow from operations was $92.4 million and free cash flow was $75.9 million for the first quarter of fiscal year 2023. Free cash flow margin for the first quarter of fiscal year 2023 was 9%. Cash and cash equivalents plus short-term investments at the end of the first quarter of fiscal year 2023 totaled $1.5 billion.

TEAM in the first quarter of FY 23 has reported the adjusted earnings per share of 36 cents, missing the analysts’ estimates for the adjusted earnings per share of 38 cents, according to Refinitiv. The company had reported the adjusted revenue growth of 31 percent to $807.4 million in the first quarter of FY 23, beating the analysts’ estimates for revenue of $806.4 million.

For the fiscal second quarter, Atlassian expects $835 million to $855 million in revenue, below the Refinitiv consensus of $879.2 million.

On the other hand, Atlassian announced a new, single subscription to its work management products – Trello, Confluence, Atlas, and Jira Work Management. The subscription also includes Access, an enterprise-grade identity and access management solution that connects Atlassian products to third-party identity providers. Atlassian announced Atlas, a new teamwork directory customized to help organizations provide alignment across teams, apps, and work regardless of what tools their teams use, is generally available. In addition, Atlassian and Accenture are expanding their partnership to help enterprises embrace agile ways of working. With this partnership, Accenture’s global team of experts will help provide enterprise-wide agile consulting and implementation services to help customers realize faster time to value from their investments in Atlassian products, including Jira Align, Jira Software, and Jira Service Management