Company: ASAN
Filing Date: 2025-12-02
Form Type: 10-Q
Source: 0001477720-25-000237
Chunk: 236

Company: Asana, Inc.
Filing Date: 2025-12-02
Form: 10-Q
Item: Part I, Item 1
Chunk 236
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 activities(62,086)(58,200)

38

Operating Activities

Our largest source of operating cash is cash collection from sales of subscriptions to our paying customers. Our primary uses of cash from operating activities are for personnel-related expenses, marketing expenses, and third-party hosting-related and software expenses. In prior years, we generated negative cash flows from operating activities and supplemented working capital requirements through net proceeds from the sale of equity and equity-linked securities. 

Net cash provided by operating activities of $62.8 million for the nine months ended October 31, 2025 reflects our net loss of $156.8 million, adjusted by non-cash items such as stock-based compensation expense of $165.1 million, impairment of long-lived assets of $30.7 million, amortization of deferred contract acquisition costs of $20.8 million, depreciation and amortization of $15.9 million, non-cash lease expense of $13.7 million, and provision for expected credit losses of $1.6 million, partially offset by net accretion of discount on marketable securities of $1.7 million, and net cash outflows of $26.6 million from changes in our operating assets and liabilities. The net cash outflows from changes in operating assets and liabilities primarily consisted of a $24.7 million increase in prepaid expenses and other current assets related to an increase in deferred contract acquisition costs, a $16.9 million decrease in operating lease liabilities, and a $4.8 million decrease in accrued expenses and other liabilities primarily from accrued payroll liability. These amounts were partially offset by a $14.4 million decrease in accounts receivable, a $2.6 million increase in accounts payable, a $2.3 million increase in deferred revenue resulting from increased revenue recognized offset by billings for subscriptions, and a $0.6 million decrease in other assets.

Net cash used in operating activities of $0.9 million for the nine months ended October 31, 2024 reflects our net loss of $193.2 million, adjusted by non-cash items such as stock-based compensation expense of $160.7 million, amortization of deferred contract acquisition costs of $19.2 million, non-cash lease expense of $13.5 million, depreciation and amortization of $12.7 million, and provision for expected credit losses of $1.0 million, partially offset by net accretion of discount on marketable securities of $4.6 million, and net cash outflows of $10