Atlassian Corp (TEAM) Business

ITEM 1. BUSINESS

Company Overview

Our mission is to unleash the potential of every team.

Atlassian’s team collaboration software enables organizations to connect all teams through a system of work that unlocks productivity at scale.

Our deeply interconnected portfolio of apps, AI agents, and Collections, each with discrete value propositions, delivers solutions for software teams, IT operations and support teams, leadership and business teams. We’ve put AI at the center of our portfolio to enhance teamwork for users across our apps and Collections for all teams. These apps, agents, and Collections are all built on the Atlassian Cloud Platform and data model: a common technology foundation that seamlessly connects teams, information, and workflows throughout an organization.

Since Atlassian was founded in Sydney, Australia in 2002, we’ve advanced our progress towards our mission with a deep investment in product development to build innovative, high-value, and versatile apps that users love. Our software has been recognized as a leader in multiple markets and powers more than 300,000 customers worldwide. We serve organizations of all sizes, from small emerging companies to over 80% of the Fortune 500, across almost every industry, and over 200 countries and territories.

Our product-led philosophy prioritizes delivering high-value, competitively priced software at high volume, enabling us to go to market in a unique and efficient way. We aim to grow our customer base, targeting small, medium, and large enterprises, and strategically expand our relationships with customers over time. To land new customers, we’ve engineered a frictionless flywheel with an emphasis on self-service, making it easy to try and get value first and foremost and then virally expand within an organization. This allows our sales force to focus primarily on expanding and deepening strategic relationships with our existing large enterprise customers, and also allows us to operate at an exceptional scale for an enterprise software company.

Our Strategy

System of Work

Our system of work is a philosophy of how technology-driven organizations should work, connecting technology and business teams to accelerate progress and maximize team impact.

We deliver this system of work through a connected portfolio of apps, agents, and Collections with discrete value propositions, all built on the Atlassian platform. By connecting teams on these apps and Collections, the

4

Atlassian system of work gives all teams the right foundations so they can align work to goals, plan and track work, unleash knowledge across the organization, and, for our cloud customers, make AI part of the team.

Atlassian Cloud Platform

The Atlassian Cloud Platform underpins our cloud app portfolio, allowing us to provide unified experiences, standardized data, and common enterprise infrastructure across all apps and teams. It is designed to break down information silos with cross-product experiences and flexible integrations, and ensures that data remains secure, compliant, private, and available with enterprise-grade centralized admin visibility and controls. It enables modern and connected experiences across teams, tools, workflows, and data, including capabilities like AI, search, and automation. The comprehensive data model, or Teamwork Graph, unifies and standardizes data across Atlassian apps, third-party tools, and teams.

Infrastructure

The infrastructure layer of the Atlassian Cloud Platform is purpose-built to meet the evolving needs of enterprise customers, delivering performance, scale, reliability, security, compliance, and privacy. It provides a secure, enterprise-grade foundation that supports large-scale environments, ensures data protection, and enables centralized administration and controls. This robust infrastructure allows Atlassian to continuously deliver new features and maintain high standards for uptime and compliance across all cloud apps.

Teamwork Graph

The Teamwork Graph layer of the Atlassian Cloud Platform is an intelligent, unified data layer that connects contextualized teamwork data across Atlassian and non-Atlassian tools. It maps relationships between goals, knowledge, teams, and work, providing fine-grain context to powerfully enrich cross-product experiences that accelerate, align, and optimize work across organizations. The Teamwork Graph continuously expands its knowledge with every integration and action, enabling tailored, secure, and compliant experiences.

Platform Apps and Rovo

The platform app layer of the Atlassian Cloud Platform consists of a core set of apps designed to connect, align, and supercharge every team across the organization.

Rovo is Atlassian’s advanced AI offering, aimed at enhancing teamwork by assisting teams in quickly locating the right information, understanding it deeply, and taking action using specialized out-of-the-box or custom-tailored agents. Rovo consists of three platform apps:

•Rovo Enterprise Search: Delivers personalized results from Atlassian and connected third-party data sources with enhanced relevancy and speed.

•Rovo Chat: Helps teams to leverage knowledge with first-party and third-party actions that integrate seamlessly into workflows, such as creating Jira issues, adding comments, sending Slack messages, or scheduling Google Calendar meetings.

•Rovo Studio: Provides a unified app that enables users to create agents, automation, and apps for the new AI era, with or without code.

The platform app layer also includes apps like Home, Teams, Goals, Projects, Administration, and Analytics. These platform apps provide a unified, consistent experience and are deeply integrated to leverage shared data and context across all Atlassian and third-party applications.

5

Our strategy is to build more common services and functionality shared across our platform. This approach allows us to develop and introduce new features and apps faster, as we can leverage common foundational services that already exist. It also allows our apps to integrate more seamlessly with one another, and provides customers with better experiences when using multiple apps.

The Atlassian platform is extensible, meaning teams have the freedom to add, integrate, customize, or build new functionality on the Atlassian platform as needed. New apps can also be found on the Atlassian Marketplace or can be developed using Forge, our cloud app development platform.

Our Product Strategy

We have developed and acquired a broad portfolio of interconnected apps that help all teams, large and small, to plan, track, and complete their work in a modern way that is coordinated, efficient, and innovative - the Atlassian system of work. While each of our apps provides distinct functionality to the teams they serve, they share certain core attributes:

•AI at the Center - We have embedded AI capabilities at the center of our platform experience and across every app so our customers can unlock consistent, AI-powered productivity enhancements across their Atlassian and connected third-party applications. Centralizing AI in our platform enables seamless collaboration, actionable insights, and smarter automation for customers across their entire organization, delivering higher value. With AI at the center, we can also rapidly deploy new features, leverage advancements in foundational models, and enhance performance so customers receive the most optimal experience and value.

•Built for All Teams - Our apps are singularly designed to help all teams work better together and achieve more. We design our apps to help our customers collaborate more effectively, work with greater transparency, and operate in a coordinated manner.

•Easy to Adopt and Use - We developed our apps to be both powerful, easy to use, and accessible from the internet so they can immediately be put to work. By reducing the friction that usually accompanies the software purchasing process and eliminating the need for complicated and costly implementation and training, we believe we attract more people to try, use, derive value from, and buy our software.

•Versatile and Adaptable - We design simple apps that are useful in a broad range of workflows and projects. We believe that our apps can improve any process involving teams, multiple work streams, and deadlines. For example, Jira, which enables software teams to plan, build, and ship code, is also used by thousands of business teams to manage non-technical workflows such as product design, supply chain management, expense management, and legal document review.

6

•Integrated - Our apps are integrated, which means they are interconnected and designed to accelerate work between teams. For example, a developer using Bitbucket can initiate a change request that automatically appears in Jira Service Management for IT Operations to review, with context about that change linked on a Confluence page, enabling teams to deploy fast while still managing risk. Or, a marketing leader can use Loom to turn their team’s campaign brainstorm meeting into notes and action items assigned on a Confluence page, which each owner can use to seamlessly create tasks requesting assets from a Product Design team in Jira, allowing teams to go from ideas to action quickly.

•Open and Extensible with a Vast Ecosystem - We are dedicated to making our apps open and interoperable with a range of other platforms and applications that customers use, such as Microsoft, Zoom, Salesforce, Workday, and Dropbox, as well as extensible with apps purchased from the Atlassian Marketplace. We developed the Atlassian Marketplace to provide customers a wide range of apps they can use to enhance our products, further increasing the value of the Atlassian platform. The Atlassian Marketplace features thousands of apps created by a growing global network of independent developers and vendors, and a platform that allows them to promote useful products for our users.

We also offer multiple deployment options to meet a range of customer needs. Cloud is our primary commercial offering with a range of editions providing flexible plans, advanced administration, and robust security for most organizations. Atlassian Government Cloud, currently available in an early access program, is a dedicated environment designed for U.S. government agencies and contractors, meeting FedRAMP® Moderate compliance standards. Atlassian Isolated Cloud, which was announced in fiscal year 2025, will provide a single-tenant environment with dedicated compute, storage, and networking for enterprises with the strictest data protection and regulatory requirements, ensuring maximum data isolation and control. We also offer Data Center, a self-managed, enterprise-grade deployment option that allows customers to deploy and host Atlassian products on their own infrastructure.

Our Offerings

During fiscal year 2025, we shifted from stand-alone products to a vision of apps, AI agents, and Collections. This shift represents a move from isolated, single-purpose software to integrated, modular solutions that can be easily added, updated, or removed within a larger platform. This transition enables greater flexibility, scalability, and customization for users, allowing them to tailor their digital environments to specific needs without the complexity of managing separate products from multiple vendors.

Apps

We offer a range of team collaboration apps in the cloud, increasingly organized for buyers by the teams they serve and the value they provide in team-focused Collections. They include:

•Jira, a flexible project management platform for planning, tracking, and managing work across technical and business teams.

•Confluence, a connected workspace for creating, organizing, and sharing team knowledge, documents, and collaboration content.

•Loom, an asynchronous video communication tool for quickly recording and sharing videos to enhance team collaboration.

•Jira Service Management, an intuitive service management solution for IT, HR, and other teams to deliver high-velocity support and manage service requests.

•Rovo, an advanced AI offering that enhances teamwork by assisting teams with its Search, Chat and Agent capabilities.

•Bitbucket, a git-based source code management platform for professional development teams to collaborate on and deploy code.

•Compass, a developer portal that provides a unified view of engineering components, helping teams track, manage, and improve their software architecture.

•Jira Product Discovery, a tool for capturing, prioritizing, and roadmapping product ideas to align stakeholders and drive impactful product decisions.

7

•Jira Align, an enterprise agility solution that connects business and technology teams to align strategy with execution at scale.

•Focus, a strategy hub for leadership teams to define, manage, and visualize goals, work, and investments aligned to strategic priorities

•Talent, a strategic workforce planning app to ensure the right people are working on the right priorities for organizational success.

We also offer additional apps including Trello, an AI-powered personal productivity tool, and Guard, an app for detecting and responding to security threats across the organization. Subscriptions for each of our apps can be purchased individually or as part of a Collection. Rovo is included in the subscriptions of Jira, Confluence, and Jira Service Management apps as well as in each of our Collections.

Agents

The AI era will usher in more opportunities to create agents to help automate the rote work to be done. Agents are AI-powered virtual teammates that automate tasks, solve complex problems, and assist in decision-making by leveraging an enterprise’s data. Agents can be accessed out-of-the-box, custom-built with our no-code interface, or purchased from the Atlassian Marketplace to streamline workflows, generate content, and provide expert insights across a variety of business functions. By seamlessly integrating with teams, agents allow AI and people to work side by side—amplifying human expertise, accelerating decision-making, and enabling teams to focus on higher-value, creative, and strategic work. This synergy between AI and human interaction not only boosts productivity but also empowers teams to achieve outcomes that would be difficult to reach independently. Collaboration across teams will become more imperative, and we offer apps and collections to enhance human and AI collaboration.

Collections

Collections represent a carefully curated set of apps and agents built on the Atlassian Cloud Platform and are designed to solve a set of complex tasks. The Collections available include:

•Teamwork Collection, which includes Jira, Confluence and Loom apps. These, along with Rovo teamwork agents, provide a common language of collaboration for all teams. It is the foundation of our system of work and helps every team in an organization plan and track work, align work to goals, and unleash knowledge.

•Strategy Collection, which includes Jira Align, Focus, and Talent apps, is our first specialized Collection. It is purpose-built for enterprise leaders and decision-makers in technology-driven organizations to provide a clear view of the most important priorities and ensure their teams are driving towards the highest value outcomes.

Data Center Products

We offer team collaboration products on our Data Center deployment option, such as Jira, Confluence, Jira Service Management, Bitbucket, Crowd, and Bamboo. Many of these products perform similar functions as their cloud app equivalents, but do not have the enhanced capabilities of AI, Rovo, advanced analytics, and automation, or the benefits of continuous innovation and seamless integration that the Atlassian Cloud Platform provides.

Our Business Model

Research and Development

Our research and development organization is primarily responsible for the design, development, testing and delivery of our apps and platform. It is also responsible for our customer services platforms, including billing and support, the Atlassian Marketplace, Forge platform, and certain marketing and sales systems that power our high-velocity, low-friction distribution model.

As of June 30, 2025, over 50% of our employees were involved in research and development activities. Our research and development organization consists of talented, agile, and dynamic teams that enable the delivery of rapid innovation to our customers. Research and development activities primarily include the development and release of new apps, enhanced functionality of existing apps, and expanded cloud platform capabilities to continually deliver value to customers, drive expansion with existing customers, and attract new customers. Given our focus on customer value, we work closely with our customers to understand their needs, measure user satisfaction, and incorporate the feedback that matters most from our users into our development process.

8

We will continue to make significant investments in research and development to support these efforts.

Sales and Marketing

Our Distribution Model

Our go-to-market approach is driven by the strength and innovation of our platform, apps, and the market opportunity. Our model focuses on a land-and-expand strategy, with automated and low-touch customer service, superior product quality, and transparent pricing to land new customers and the initial expansion to new users and teams. This means lower customer acquisition costs and go-to-market expenses for new customers and initial expansions. In addition to our powerful flywheel motion, we have strategically grown our sales team to focus on expanding the relationships with our existing customers, particularly large enterprises.

For our flywheel motion, we primarily rely on word-of-mouth and low-touch demand generation to drive trial, adoption, and initial expansion of our apps. For our sales-led motion, we rely on a combination of field sales, solution sales, and a global network of channel partners to expand our presence within our enterprise customer base.

The following are key attributes of our unique model:

•Innovation-driven - Relative to other enterprise software companies, we invest significantly more in research and development relative to marketing and sales. Our goal is to focus our spending on new app, features, and platform developments that improve quality, ease of adoption, and expansion, which creates organic customer demand. We also invest in ways to automate and streamline distribution and customer support functions to enhance our customer experience and improve our efficiency.

•Simple and Affordable - We offer our apps at affordable prices in a simple and transparent format. For example, a customer can use a free version of our apps for a certain number of users. In addition, a customer coming to our website can evaluate and purchase a subscription for one of our apps, up to a certain number of users, based on a transparent list price without any interaction with a salesperson. This approach is designed to complement the easy-to-use, easy-to-adopt nature of our apps and drive adoption by large volumes of new customers.

•Organic and Expansive - Our model benefits significantly from customer word-of-mouth, driving traffic to our website. The vast majority of our transactions are conducted on our website, which drastically reduces our customer acquisition costs. We also benefit from distribution leverage via our network of solution partners, who resell and customize our apps. Once we have landed within a customer team, the networked nature and flexibility of our apps tend to lead to adoption by other teams and departments, resulting in user growth, new use cases, and the adoption of our other apps.

•Scale-oriented - Our model is designed to serve and support significant customer scale. With more than 300,000 customers using our software today, we are able to reach millions of users, gather insights to continually improve our offerings, and generate revenue growth by expanding within our customer accounts. Many of our customers began their journey with us at a significantly smaller scale, realized the value of our apps, and expanded their footprint meaningfully over time, demonstrating our ability to expand within our existing customer base. Our apps drive mission-critical workflows within customers of all sizes, including enterprise customers. We offer enhanced capabilities in premium and enterprise editions of our apps, and we have strategically evolved our expansion sales motion to serve our largest customers. Ultimately, our model is designed to serve customers large and small and to benefit from the data, network effects, and customer insights that emerge from such scale.

•Data-driven - Our scale and the design of our model allows us to gather insights into and improve the customer experience. We track, test and refine every step of the customer journey and our users' experience. This allows us to intelligently manage our funnel of potential users, drive conversion and expansion, and promote additional apps or Collections to existing users. Our scale enables us to experiment with various approaches to these motions and constantly tune our strategies for user satisfaction and growth.

Sales

We land and initially expand with new customers primarily through our flywheel sales motion, leveraging our website as the primary forum for new customer engagement and support for thousands of commercial transactions daily. By focusing on an automated, easy-to-use web-based purchasing process that allows payment via credit card

9

or bank/wire transfer, we enable customer self-service and data-driven targeting. This approach means we do not have to solely rely on a traditional, commissioned direct sales force until a customer reaches a specific size, thanks to the automation and efficiency built into our sales model.

We expand the relationships with our largest existing customers primarily through our direct sales force. Our sales team primarily focuses on customer-centric selling by understanding the unique needs, challenges, and goals of our existing enterprise customers. We expand these relationships by selling to more teams within an organization, selling additional apps to existing users, and upgrading customers to the higher-value editions or Collections of our cloud software.

We also have a global network of solution partners with unique expertise, services, and products that complement the Atlassian portfolio, such as deployment and customization services, localized purchasing assistance around currency, language, and specific in-country compliance requirements. We have sales programs and teams that focus on supporting our solution partners, tracking channel sales activity, supporting and servicing our largest customers by helping optimize their experience across our product portfolio, helping customers expand their use of our apps across their organizations, and helping evaluators learn how they can use our tools most effectively.

Marketing

Our marketing efforts focus on growing our Company brand, building broader awareness, and increasing demand for our apps and Collections, particularly with enterprise customers. We invest in brand and product promotion, demand generation through direct marketing and advertising, in-person customer events, strategic partnerships, industry analyst relations, and content development to help educate the market about the benefits of our apps. We also leverage insights gathered from our users and customers to improve our targeting and, ultimately, the return on investment from our marketing activities.

Seasonality

Our business experiences seasonal fluctuations due to customer buying patterns. We expect these patterns to become more pronounced as we continue to target large enterprise customers. Our revenue fluctuates quarterly and within our quarterly financial results. In general, a higher percentage of customer sales are executed in the second and fourth quarters of our fiscal year.

Our Competition

Our apps serve teams of all sizes and across nearly every industry.

Our competitors range from large technology vendors to new and emerging businesses in each of the markets we serve:

•Software Teams - Our competitors include large technology vendors and smaller companies that offer project management, collaboration, and developer tools.

•Service Teams - Our competitors range from cloud vendors targeting enterprise service management teams to legacy vendors that offer service desk solutions.

•Business Teams - Our competitors range from large technology vendors offering a suite of products, to smaller companies offering point solutions for team collaboration.

In most cases, due to the flexibility and breadth of our apps, we co-exist within our own customer base alongside many of our competitors’ products.

The principal competitive factors in our markets include product capabilities, flexibility, total cost of ownership, ease of access and use, performance and scalability, integration, customer satisfaction, and global reach. We believe our product strategy, distribution model, and company culture allow us to compete favorably on all these factors.

Intellectual Property

We protect our intellectual property through a combination of trademarks, domain names, copyrights, trade secrets and patents, as well as contractual provisions and restrictions governing access to our proprietary technology.

10

We registered ‘‘Atlassian’’ as a trademark in the United States, Australia, the EU, Russia, China, Japan, Switzerland, Norway, Singapore, Israel, Korea, and Canada, as well as other jurisdictions. We have also registered or filed for trademark registration of product-related trademarks and logos in the United States, Australia, the EU, Brazil, Russia, India, and China, and certain other jurisdictions, and will pursue additional trademark registrations to the extent we believe it would be beneficial and cost effective.

As of June 30, 2025, we had 569 issued patents and have approximately 415 applications pending in the United States. We also have a number of patent applications pending before the European Patent Office. These patents and patent applications seek to protect proprietary inventions relevant to our business. We intend to pursue additional patent protection to the extent we believe it would be beneficial and cost effective.

We are the registered holder of a variety of domain names that include ‘‘Atlassian’’ and similar variations.

In addition to the protection provided by our registered intellectual property rights, we protect our intellectual property rights by imposing contractual obligations on third parties who develop or access our technology. We enter into confidentiality agreements with our employees, consultants, contractors, and business partners. Our employees, consultants and contractors are also subject to invention assignment agreements, pursuant to which we obtain rights to technology that they develop for us. We further protect our rights in our proprietary technology and intellectual property through restrictive license and service use provisions in both the general and product-specific terms of use on our website and in other business contracts.

Governmental Regulations

As a public company with global operations, we are subject to various federal, state, local, and foreign laws and regulations. These laws and regulations, which may differ among jurisdictions, include, among others, those related to financial and other disclosures, accounting standards, privacy and data protection, cybersecurity, intellectual property, AI technology, corporate governance, tax, environmental, government contracting, trade, antitrust, employment, import/export, and anti-corruption. Compliance with these laws and regulations may be onerous and could, individually or in the aggregate, increase our cost of doing business, or otherwise have an adverse effect on our business, reputation, financial condition, and operating results. For a further discussion of the risks associated with government regulations that may materially impact us, see “Risk Factors” included in Part I, Item 1A of this Annual Report on Form 10-K.

Human Capital Management

We believe our employees to be our greatest asset, and we strive to foster a collaborative, productive, and fun work environment. As of June 30, 2025, we had 13,813 full-time employees. We also engage temporary employees and consultants as needed to support our operations.

In order to support a talented, global, and distributed workforce that reflects our core values and enables us to drive positive value for our customers, we emphasize building and maintaining a strong culture. We also invest in people development and sustainability programs, in addition to our total rewards program, which includes competitive compensation and benefits and a distributed work approach. Our efforts have led to external recognition for our workplace and company.

Our Culture

Our company culture is exemplified by our core values. These values guide what we do, why we create, and who we hire.

11

We believe that our culture plays a key role in our ability to attract, retain, and develop a talented, global, and distributed workforce and our ability to drive customer value and achieve competitive differentiation.

Sustainability

Atlassian’s sustainability strategy is focused on our impact on the planet, people, and customers. Atlassian has set science-based targets to achieve net zero emissions by 2040, invested in People programs, committed to respecting human rights, and laid out guiding principles, commitments, and practices for responsible technology.

We publish an annual Sustainability Report that details our sustainability progress, including information about our strategy, workforce, emissions data, human rights, sustainability governance practices, public policy efforts, and responsible technology approaches. Our Sustainability Report aligns to leading reporting frameworks including the Greenhouse Gas Protocol, the Taskforce on Climate-related Financial Disclosures and the Sustainability Accounting Standards Board. The latest Sustainability Report can be found in the Investor Relations section of our website, under the Sustainability tab. The contents of these materials, or the contents of those materials accessible through our website, are not incorporated into this Annual Report on Form 10-K.

Team Everyone

12

Our “Team Everyone” approach is designed to unleash the potential of every Atlassian by seeking to build a workplace where everyone belongs, is valued and can do their best work—together.

We believe in implementing a structural approach to mitigating bias and driving inclusion across how we hire, promote, and retain our people. Launched in 2022, Atlassian Employee Resource Groups (“ERGs”) play a vital role in our culture of inclusion, and over 10% of our employees now participate in one or more of our nine ERG communities. We also aim to embed bias mitigation across our hiring process, empower leaders with the training and support to build teams where members can thrive, and provide all employees with tools to support employee wellness.

Team Anywhere

We call our approach to distributed work “Team Anywhere.” The vast majority of our employees are offered the choice to work from their homes, our physical office locations, or any combination of the two, within 15 countries. We strive to use an evidence-based approach to create an effective and collaborative workforce, and as such, promote programs like intentionally planned in-person team gatherings in order to foster employee engagement and connectivity. We believe our Team Anywhere approach allows for a variety of benefits, including greater flexibility for our employees and broadening our talent pool beyond the urban hubs in which we have physical office locations.

Total Rewards

Atlassian aims to offer its employees competitive compensation and benefits packages, which are reviewed annually. Our employees are compensated through a combination of fixed and variable or incentive-based cash compensation. The majority of our employees are also awarded equity compensation in the form of restricted stock units.

We also offer a variety of benefits intended to support employees and their families and help employees engage with their local communities. These benefits vary by country and are designed to meet or exceed local laws and to be competitive in the regions in which we operate. Beyond standard benefits like paid time off and healthcare coverage, our employee benefits include paid parental leave, family formation assistance, flexible working arrangements, wellness reimbursements, mental well-being support, and learning and development resources.

Available Information

You can obtain copies of our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K, and other filings with the SEC, and all amendments to these filings, free of charge from our website at https://investors.atlassian.com/financials/sec-filings as soon as reasonably practicable after we file or furnish any of these reports with the SEC. The SEC maintains an internet site that contains reports, proxy and information statements, and other information regarding issuers that file electronically with the SEC at www.sec.gov.

Atlassian has used, and will continue to use, its Investor Relations website at https://investors.atlassian.com as a means of making material information public and for complying with its disclosure obligations. Therefore, we encourage investors, the media, and others interested in Atlassian to review the information we make public in our Investor Relations website, as such information could be deemed to be material information.

Information on or that can be accessed through these websites is not part of this Annual Report on Form 10-K, and the website addresses included in this report are intended to be inactive textual references only.