Asana 2026 Q3 Earnings Revenue Grows 9.3% but Net Loss Widens 19.4%

Asana (ASAN) reported fiscal 2026 Q3 earnings on Dec 2, 2025, with revenue rising 9.3% to $201.03M and full-year guidance raised to $789–791M. The stock gained 3.56% in the latest session but faces a challenging earnings strategy, as post-earnings trades underperformed benchmarks.

Revenue

Asana’s total revenue increased by 9.3% year-over-year to $201.03 million in Q3 2026, surpassing the $183.88 million recorded in the same period of 2025. This growth outperformed the $198.83 million Wall Street estimate and marked a continuation of the company’s disciplined cost management efforts.

Earnings/Net Income

The company’s financial performance deteriorated further, with net losses widening to $68.43 million in Q3 2026, a 19.4% increase from the $57.33 million loss in Q3 2025. Earnings per share (EPS) fell to -$0.29, a 16.0% deterioration compared to the previous year. The sustained losses—now in their seventh consecutive year—highlight ongoing operational challenges despite revenue growth. The widening net loss underscores ongoing financial challenges despite revenue growth, with losses per share deepening by 16% year-over-year.

Price Action

The stock price of Asana climbed 3.56% during the latest trading day, surged 9.75% over the past week, but edged down 2.12% month-to-date.

Post-Earnings Price Action Review

The strategy of buying ASAN when earnings beat expectations and selling after 30 days resulted in a significant loss. The strategy had a return of -38.66%, compared to a benchmark return of 86.80%, resulting in an excess return of -125.46%. The strategy also had a maximum drawdown of 0.00% and a Sharpe ratio of -0.20, indicating a high level of risk and a negative return.

This underperformance highlights the risks of relying solely on earnings beats for short-term trading, as the stock’s volatility and poor risk-adjusted returns suggest a lack of investor confidence.

CEO Commentary

Dan Rogers, CEO, emphasized Asana’s Q3 2026 performance, noting revenue of $201 million (9% YoY growth), exceeding guidance. He highlighted a 96% NRR and AI Studio’s role in expanding with key clients, including Fortune 500 companies. Strategic priorities centered on the “three C’s” (context, checkpoints, controls) for enterprise AI, with AI Teammates set for general availability in early 2027.

Guidance

Asana raised full-year 2026 revenue guidance to $789–791 million (9% YoY growth), up from $780–790 million. Q4 revenue is expected at $204–206 million (8–9% YoY growth). Non-GAAP operating income for FY2026 is projected at $52.5–54.5 million (7% margin), with Q4 guidance at $14–16 million (7–8% margin).

Additional News

Asana announced leadership changes, with COO Anne Raimondi and General Counsel Eleanor Lacey resigning effective Dec 31, 2025, while transitioning to advisory roles until March 31, 2026. Katie Colendich was appointed General Counsel, receiving a $500,000 base salary and equity tied to performance metrics. The company also detailed AI Teammates’ general availability in early 2027, with positive feedback from 30 beta customers. Share repurchases totaled $30.8 million for 2.2 million shares at an average price of $14.10 per share, with $97.5 million remaining authorized.

The company’s strategic focus on AI-driven productivity and operational rigor positions it to navigate sector headwinds, though sustained profitability remains a challenge. Investors are advised to monitor AI product adoption and margin expansion initiatives as key indicators of long-term success.