Summary
Asana closed fiscal 2024 with fourth-quarter revenue of $171.1 million, up 13.9% from the prior-year quarter. Gross profit was $153.7 million, also up 13.9%. Gross margin was 89.8%, flat against 89.9% a year earlier. The company reported an operating loss of $67.9 million, narrower than the $99.2 million loss in the prior-year quarter. Operating margin improved to -39.7% from -66.0%. Net loss was $62.4 million, narrower than the $95.0 million loss a year earlier. Operating cash flow was negative $15.3 million, an improvement from negative $31.1 million. Capital expenditures fell to $0.5 million from $2.2 million. Deferred revenue rose 17.2% to $265.3 million, and remaining performance obligations rose 16.6% to $349.0 million. On a non-GAAP basis, operating loss was $15.6 million, net loss was $10.1 million, and free cash flow was negative $17.0 million.
For the full fiscal year, revenue reached $652.5 million, up 19.2% from fiscal 2023. Gross profit was $588.0 million, up 19.8%. Gross margin was 90.1%, up 0.4 percentage points. The operating loss narrowed to $270.0 million from $407.8 million, and operating margin improved to -41.4% from -74.5%. Net loss narrowed to $257.0 million from $407.8 million. Diluted EPS was -$1.17, narrower than -$2.04. Operating cash flow was negative $17.9 million, a large improvement from negative $160.1 million. Capital expenditures rose 44.3% to $7.7 million. Non-GAAP operating loss was $58.1 million, non-GAAP net loss was $45.1 million, and free cash flow was negative $30.4 million.
Operational metrics showed continued expansion among larger customers. Core customers, those spending $5,000 or more on an annualized basis, grew to 21,646, up 11% year over year. Revenue from Core customers grew 16% year over year. Customers spending $100,000 or more on an annualized basis grew to 607, up 20% year over year. Overall dollar-based net retention rate was over 100%. Core dollar-based net retention rate was 105%, and the rate for customers spending $100,000 or more was 115%. Those retention rates were lower than a year earlier, when the overall rate was over 115%, the Core rate was over 120%, and the $100,000-plus rate was over 135%. Asana ended the fiscal year with 1,840 employees, up 3% since January 31, 2023. The company had over 150,000 paying customers and over 3 million paid users. It opened a new office in Warsaw, Poland, its 13th global office and sixth in the EMEA region.
Guidance points to slower growth in fiscal 2025. For the first quarter, Asana expects revenue of $168.0 million to $169.0 million, representing year-over-year growth of 10% to 11%. Non-GAAP operating loss is expected to be $23.0 million to $21.0 million, with an operating loss margin of 13.7% to 12.4%. Non-GAAP net loss per share is expected to be $0.09 to $0.08, assuming basic and diluted weighted average shares outstanding of approximately 226 million. For the full fiscal year, revenue is expected to be $716.0 million to $722.0 million, also representing year-over-year growth of 10% to 11%. Non-GAAP operating loss is expected to be $61.0 million to $55.0 million, with an operating loss margin of 8.5% to 7.6%. Non-GAAP net loss per share is expected to be $0.22 to $0.19, assuming approximately 230 million shares. Management also targets free cash flow positive by the end of calendar year 2024.
Risks remain centered on the macro environment and execution. Management said current macroeconomic headwinds have affected customers' renewal decisions and expects that trend to continue into fiscal year 2025. Elevated inflation, higher interest rates, bank failures, supply chain disruptions, currency fluctuations, and geopolitical unrest have created uncertainty that could pressure global IT spending, buying patterns, and sales cycle lengths. The company also faces a highly competitive and rapidly evolving market, and it must attract and retain customers, develop and release new products, scale its platform, integrate artificial intelligence successfully, grow its self-service model, maintain strategic partner relationships, and execute international expansion. The dollar-based net retention rate for Core customers fell to 105% from over 120%, and the rate for $100,000-plus customers fell to 115% from over 135%, which shows some contraction within the existing base. Turning those retention trends around while managing costs will be key as growth decelerates.
Forecast
Reported figures
GAAP, from SEC filings| Metric | Q4 FY2024 | Q3 FY2024 | QoQ | Q4 FY2023 | YoY |
|---|---|---|---|---|---|
| Revenue | $171.1M | $166.5M | +2.8% | $150.2M | +13.9% |
| Gross profit | $153.7M | $150.4M | +2.2% | $135.0M | +13.9% |
| Gross margin | 89.8% | 90.4% | -0.5 pp | 89.9% | -0.0 pp |
| Research & development | $83.0M | $81.0M | +2.4% | $81.3M | +2.1% |
| Sales & marketing | $103.9M | $98.3M | +5.7% | $114.7M | -9.4% |
| General & administrative | $34.8M | $34.5M | +0.9% | $38.2M | -9.0% |
| Total operating expenses | $221.7M | $213.9M | +3.7% | $234.2M | -5.4% |
| Operating income (loss) | -$67.9M | -$63.4M | -7.1% | -$99.2M | +31.5% |
| Operating margin | -39.7% | -38.1% | -1.6 pp | -66.0% | +26.3 pp |
| Net income (loss) | -$62.4M | -$61.8M | -1.0% | -$95.0M | +34.3% |
| Net margin | -36.5% | -37.1% | +0.6 pp | -63.3% | +26.8 pp |
| Diluted EPS | -$0.28 | -$0.28 | ±$0.00 | -$0.48 | +$0.20 |
| Net retention rate | 100.0% | 100.0% | ±0.0 pp | 115.0% | -15.0 pp |
Risks
MD&A says elevated inflation, Federal Reserve rate hikes, bank failures, supply chain disruptions, currency fluctuations, and geopolitical unrest have created economic uncertainty that has and is likely to continue to adversely affect global IT spending, customer buying patterns, and sales-cycle length. It also states current macroeconomic headwinds have impacted renewal decisions and expects this trend to continue into fiscal 2025.
MD&A reports dollar-based net retention rate was over 100% as of January 31, 2024, compared with over 115% as of January 31, 2023; for Core customers it was 105% versus over 120%, and for customers spending over $100,000 it was 115% versus over 135%. The company expects current macroeconomic headwinds that impacted renewal decisions to continue into fiscal 2025.
Risk Factors emphasize that competition in work management requires rapid technology development including successful deployment of AI, and that competitors may incorporate AI or machine learning more significantly. Failure to offer or deploy new AI features as quickly or effectively as competitors could adversely affect the business.
The company derives and expects to continue deriving substantially all revenues from a single solution, making it vulnerable to changes in demand, preferences, or adoption in the work management market. Larger customers may also develop or acquire their own tools or rely on traditional alternatives.
Dustin Moskovitz, co-founder, President, CEO, and Chair, beneficially owns a majority of the voting power of capital stock as of January 31, 2024, and the dual-class structure concentrates voting control with founders, directors, executive officers, and affiliates. This limits other stockholders' ability to influence corporate matters and may prevent or discourage unsolicited acquisition proposals.
Risk Factors state that sales to larger organizations require sophisticated and costly sales efforts, which may result in longer sales cycles, greater competition, and less predictability. MD&A reports the current macroenvironment has already contributed to longer sales cycles and reduced renewal rates.
The company's use of generative AI and machine learning gives rise to legal, regulatory, social, and ethical risks, including potential leakage of sensitive information into third-party AI platforms and emerging AI regulations. These risks may require additional investment in proprietary datasets and testing, which could increase costs and impact profit margin.
The business depends on key personnel including co-founder, President, CEO, and Chair Dustin Moskovitz, and the company has no key person insurance. Competition for executive, engineering, and sales talent in the San Francisco Bay Area is intense, and past and future restructuring efforts may adversely affect retention and recruiting.
The filing expands cybersecurity risk to include ransomware, supply chain attacks, and attacks enhanced or facilitated by AI, as well as potential leakage of sensitive information through employee or vendor use of generative AI. A significant incident could cause regulatory investigations, litigation, fines, loss of customers, and reputational harm.
For the fiscal year ended January 31, 2024, 39% of revenues were generated outside the United States, exposing the company to foreign currency declines, conflicting privacy and data localization rules, and geopolitical conflicts including Russia's invasion of Ukraine and the armed conflict in Israel and Gaza.
The company had an accumulated deficit of $1,494.6 million as of January 31, 2024; net loss narrowed to $257.0 million for fiscal 2024 from $407.8 million for fiscal 2023, and operating cash flow was up $142.1 million to negative $17.9 million from negative $160.1 million. MD&A states it may seek additional funds and if unable to raise capital at reasonable rates, business, results of operations, and financial condition would be adversely affected.
SaaS KPIs
All quarters →Free cash flow
Non-GAAP operating margin
Net Revenue Retention
Paying Customers
Dollar-Based Net Retention Rate (Customers Spending $100,000+, Q4)
Summary, forecast, risks and KPIs are extracted from Asana, Inc.'s SEC filings for Q4 FY2024 (10-Q / 10-K and the 8-K earnings release); GAAP figures in the summary are checked against the reported XBRL data. They can contain errors; the filings are authoritative. Processed Oct 2, 2026.