Attlassian profitability
From Gergely Orosz over on Bluesky
One of the biggest mind-bends is this: Atlassian, the creator of JIRA, founded 23 years ago is NOT profitable. This is despite generating $4.6B in revenue (!!)
Linear, founded in 2019, building “the modern JIRA for startups/scaleups” IS profitable.
Make it make sense
This is clearly a dig at Attlassian. However, thanks to the comments, Gergely realizes that Attlassian is playing a different game:
Looking closer, when going public in 2015, Atlassian turned a small profit for 2 years.
Then it started to aggressively invest in growth (and making a loss)
The result? Revenues up 15x over 10 years. Valuation also up ~15x the same time as well.
Atlassian valued at $75B (!!) which is ~20x its current revenue. Thanks to the stable growth rate it shows to investors (I assume at least)
Just a quick reminder that things are not always what they seem (except for those times where they are lol).