Atlassian shares surge after quarterly results beat expectations

Atlassian shares rose more than 29% on Friday after the software maker reported fiscal thirdquarter results that beat Wall Street expectations. The company said cloud revenue and data center sales were both strong, helping push revenue above forecasts. For the quarter ended March 31, Atlassian posted adjusted earnings of $1.75 per share on revenue of $1.79 billion, compared with analyst estimates of $1.32 per share and $1.69 billion in revenue. Cloud revenue climbed 29% year over year to $1.13 billion, while data center revenue reached $561 million. CEO Mike CannonBrookes said the company saw strong business momentum and argued that fears about broader softwaresector disruption from AI may be overstated. Atlassian also raised its fullyear growth outlook for cloud and data center revenue, even as it reported a wider net loss than a year earlier.