Shares in Australian-born tech giant Atlassian rose more than 10 per cent in after-hours trading Thursday after the company announced better-than-expected earnings.
The software company posted quarterly revenue of US$299 million, slightly beating analyst’s $288.3 million estimates, and were up 39 per cent in year-on-year sales.
In a statement, Scott Farquhar, Atlassian’s co-founder said results highlighted the growing demand for their products.
“The second quarter of fiscal 2019 capped off a fantastic 2018, as we eclipsed $1 billion in calendar year revenue for the first time,” Farquhar said.
The much-hyped company develops products and platforms for software developers and global businesses on a subscription basis, pulling in $152.5 million in subscription revenue alone in this quarter.
Atlassian is one of Australia’s great tech start-up success stories, with Farquhar co-founding the global tech giant with his University of New South Wales mate Mike Cannon-Brookes in 2002, using $10,000 in credit card debt.
The pair debuted on the BRW Rich 200 List in 2013, worth $250 million each.
Farquhar and Cannon-Brookes are now the fifth-richest Australians.
Farquhar set a record for the highest price paid for an Australian house in April 2017 when he bought Point Piper estate Elaine for an estimated $71 million.
But it didn’t take long before his mate and business partner knocked him off the perch and set a new record for Australia’s most expensive house when he bought next door to Farquhar.
Cannon-Brookes paid $100 million for Fairwater, a sprawling estate in Point Piper previously owned by the Fairfax family. The elegant estate is the largest privately-held property on Sydney Harbour.
The company started to trade on the Nasdaq in December 2015 under the ticker symbol ‘TEAM’, riding off the company’s reputation for its supposedly people-driven culture in which the shoeless founders regularly walk the floor speaking to staff.