Company: ASAN
Filing Date: 2025-09-03
Form Type: 10-Q
Source: 0001477720-25-000200
Chunk: 9

Company: Asana, Inc.
Filing Date: 2025-09-03
Form: 10-Q
Item: Part I, Item 2
Chunk 9
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 subscription and software related expenses.

Our gross margin increased during the six months ended July 31, 2025 compared to the six months ended July 31, 2024 primarily due to increased revenue from new paying customers and the shift toward higher priced subscription plans, offset by the costs of revenue detailed above.

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Operating Expenses

Six Months Ended July 31,20252024$ Change% Change(dollars in thousands)Research and development$154,503 $173,942 $(19,439)(11)%Sales and marketing206,518 212,981 (6,463)(3)%General and administrative77,094 69,912 7,182 10 %Total operating expenses$438,115 $456,835 $(18,720)(4)%

Research and Development

Research and development expenses decreased $19.4 million, or 11%, during the six months ended July 31, 2025 compared to the six months ended July 31, 2024. The decrease was primarily due to a decrease of $13.9 million in personnel-related costs, an increase of $4.3 million in capitalized internal-use software, and a decrease of $1.2 million in allocated overhead costs.

Sales and Marketing

Sales and marketing expenses decreased $6.5 million, or 3%, during the six months ended July 31, 2025 compared to the six months ended July 31, 2024. The decrease was primarily due to a decrease of $3.3 million in fees to marketing vendors, a decrease of $1.4 million in personnel-related costs, a decrease of $1.2 million in professional fees, and a decrease of $0.6 million in travel and entertainment costs.

General and Administrative

General and administrative expenses increased $7.2 million, or 10%, during the six months ended July 31, 2025 compared to the six months ended July 31, 2024. The increase was primarily due to an increase of $5.4 million in personnel-related costs driven by an increase in stock-based compensation expense, an increase of $0.9 million in tax contingencies, and an increase of $0.8 million in provision for credit losses.

Interest Income, Interest Expense, and Other Income (Expense), Net

Six Months Ended July 31,20252024$ Change% Change(dollars in thousands)Interest income and other income (expense