How does Atlassian (TEAM) make money?

Atlassian (TEAM) generates revenue primarily from License and Service, which accounted for 95.2% of total revenue in TTM through Q1 2026. The company reported $6.19B in revenue and converted -3.5% of it into net profit, equivalent to roughly -$217M in net income — what's left after the cost of revenue, operating expenses, interest, and income taxes.

What is the gross profit margin of Atlassian (TEAM)?

Atlassian (TEAM) reported a gross profit margin of 83.9% in TTM through Q1 2026, equivalent to $5.19B in gross profit on $6.19B in revenue. Gross margin measures how much of each dollar of revenue remains after the direct cost of producing or delivering the product — a higher figure typically signals pricing power, scale, or a less capital-intensive business model.

What is the operating profit margin of Atlassian (TEAM)?

Atlassian (TEAM) reported an operating profit margin of -3.7% in TTM through Q1 2026, equivalent to -$230M in operating income. Operating margin captures profitability after research & development, sales & marketing, and general & administrative expenses — but before interest, taxes, and one-off items — and is the cleanest single read on the underlying business's efficiency.

What is the net profit margin of Atlassian (TEAM)?

Atlassian (TEAM) reported a net profit margin of -3.5% in TTM through Q1 2026, equivalent to -$217M in net income. Net margin is the bottom-line share of revenue that survives every expense — operating costs, interest, and income taxes — and is the figure that flows directly into earnings per share.

Is Atlassian (TEAM) profitable?

Atlassian (TEAM) reported a net loss of $217M for TTM through Q1 2026, a net profit margin of -3.5%. Combined operating expenses, interest, and income taxes exceeded revenue, so the period closed in the red on a reported basis.

How much does Atlassian (TEAM) invest in research and development?

Atlassian (TEAM) invested $3.21B in research and development during TTM through Q1 2026, roughly 51.9% of total revenue. R&D spending funds the company's future product pipeline and is expensed in full on the income statement rather than capitalised, which makes the operating margin sensitive to how aggressively management chooses to reinvest in innovation.

How much does Atlassian (TEAM) spend on capital expenditures?

Atlassian (TEAM) spent $44.6M on capital expenditures (CapEx) during TTM through Q1 2026, roughly 0.7% of total revenue. CapEx represents long-lived investment in property, equipment, data centres, and other physical infrastructure, and is subtracted from operating cash flow to arrive at free cash flow.

How much free cash flow does Atlassian (TEAM) generate?

Atlassian (TEAM) generated $1.2B in free cash flow during TTM through Q1 2026, a free-cash-flow margin of 19.5%. Free cash flow is the cash left after capital expenditures and represents the discretionary pool the company can use to pay dividends, repurchase shares, repay debt, or fund acquisitions without raising external capital.

What are the main business segments of Atlassian (TEAM)?

Atlassian (TEAM) reports revenue across 2 reportable product segments, led by License and Service at 95.2% of total revenue in TTM through Q1 2026. See the revenue-by-segment table on this page for the full breakdown and how each segment feeds into the income-statement waterfall above.

Where does Atlassian (TEAM) generate most of its revenue?

Americas is the largest geographic market for Atlassian (TEAM), accounting for 28.3% of revenue in the most recent annual filing. The complete regional split — including international markets and any Rest-of-World rollup — is shown in the revenue-by-geography table on this page.

How Atlassian Makes Money: 2026 Visual Revenue Map

Atlassian (TEAM) Income Statement Flow — TTM through Q1 2026

Calculated from the four most recent reported quarters, ending March 31, 2026 (reported May 1, 2026).

Atlassian (TEAM) Revenue by Product Segment — TTM through Q1 2026

Aggregated from the four quarterly disclosures behind this TTM. Minor differences vs the company's annual filing can occur if reported segments changed mid-year.

Revenue contribution by product segment for Atlassian (TEAM), TTM through Q1 2026.
Segment	Revenue (USD)	% of total
License and Service	$5.89B	95.2%
Product and Service, Other	$297M	4.8%
Total	$6.19B	100%

License and Service$5.89B
Product and Service, Other$297M
Total$6.19B

Atlassian (TEAM) Revenue by Geography — TTM through Q1 2026

Aggregated from the four quarterly disclosures behind this TTM. Minor differences vs the company's annual filing can occur if reported regions changed mid-year.

Revenue contribution by geographic region for Atlassian (TEAM), TTM through Q1 2026
Region	Revenue (USD)	% of total
Americas	$2.97B	28.3%
EMEA	$2.55B	24.4%
UNITED STATES	$1.99B	19%
Other EMEA	$1.47B	14.1%
Asia Pacific	$673M	6.4%
GERMANY	$521M	5%
Other Americas	$298M	2.8%
Total	$10.5B	100%

Americas
EMEA
UNITED STATES
Other EMEA
Asia Pacific
GERMANY
Other Americas
Total

Revenue Breakdown — TTM through Q1 2026

In TTM through Q1 2026, Atlassian (TEAM) reports revenue across 2 reportable product segments; the largest segment was License and Service at 95.2%, followed by Product and Service, Other (4.8%). Geographically, Americas accounted for 28.3% of revenue, followed by EMEA (24.4%) and UNITED STATES (19%).

Frequently asked questions

Data & methodology

Atlassian (TEAM) Key Financials

Charts, filings, and peer comparison for every metric

Trains Company Knowledge

Explore more

Deep-dives across the income statement, cash flow, capital return, and valuation

Overview

TEAM Overview

Counters

Income Statement

Cash Flow

Capital Return

Buybacks10.50% TTM

How this company returns cash to shareholders — buybacks, dividends, and stock splits.

Forecast & Valuation