Asana (ASAN) Q4 2026 earnings summary

Executive summary

• Q4 revenue reached $205.6 million, up 9% year-over-year, with FY revenue at $790.8–$791 million, also up 9% year-over-year.

• Transitioned to a multi-product platform with strong AI momentum, including AI Studio and AI Teammates, driving incremental ARR and customer engagement.

• Net revenue retention (NRR) stabilized, with core customer NRR at 97% and overall NRR at 96%.

• Significant margin expansion, with Q4 GAAP operating margin improving by over 17 percentage points year-over-year.

• Announced CFO transition from Sonalee Parekh to Aziz Megji, and appointed new Chief Marketing Officer and Chief Revenue Officer.

Financial highlights

• Q4 non-GAAP operating income was $18.2 million (9% margin); adjusted free cash flow was $25.7 million (13% margin).

• Gross margin was 88% in Q4 and FY26; non-GAAP operating margin improved to 7% for FY26 and is guided to at least 9.5% for FY27.

• Net income for Q4 was $19.9 million or $0.08 per diluted share (non-GAAP); Q4 GAAP net loss was $32.2 million ($0.14/share).

• Cash, cash equivalents, and marketable securities at Q4 end totaled $434 million.

• Repurchased $58 million of Class A shares in Q4; share repurchase authorization increased by $160 million, with $200 million now available.

Outlook and guidance

• FY27 revenue guidance: $850–$858 million, 7.5%–8.5% growth year-over-year.

• Q1 FY27 revenue guidance: $202.5–$204.5 million, 8.1%–9.2% growth year-over-year.

• FY27 non-GAAP operating margin expected at least 9.5%; non-GAAP net income per share $0.36–$0.37.

• AI offerings expected to represent nearly 15% of new ARR in FY27.

• PLG headwinds expected to create a 2-point drag on ARR growth; no recovery assumed in guidance.