Company: TEAM
Filing Date: 2025-01-31
Form Type: 10-Q
Source: 0001650372-25-000009
Chunk: 38

Company: Atlassian Corp
Filing Date: 2025-01-31
Form: 10-Q
Item: Part I, Item 1
Chunk 38
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,999)$(4,639)$(3,360)72 %

Other expense, net increased $3.4 million, or 72%, in the three months ended December 31, 2024, compared to the three months ended December 31, 2023. The increase in other expense was primarily attributable to an increase of $2.0 million in contributions to the Atlassian Foundation, and an increase of $1.2 million in net loss related to strategic investments.

Interest Income

 Three Months Ended December 31,(in thousands, except percentage data)20242023$ Change% ChangeInterest income25,586 22,593 $2,993 13 %

Interest income increased $3.0 million, or 13% in the three months ended December 31, 2024 compared to the three months ended December 31, 2023. The increase was primarily attributable to an increase in investment income as a result of increased investment balances.

31

Interest Expense Three Months Ended December 31,(in thousands, except percentage data)20242023$ Change% ChangeInterest expense$(7,291)$(9,001)$1,710 (19)%

Interest expense decreased $1.7 million, or 19% in the three months ended December 31, 2024 compared to the three months ended December 31, 2023. The decrease was primarily attributable to a decrease in interest expense on our outstanding debt as a result of the issuance of the Notes (as defined below) and repayment of the Term Loan (as defined below) in the fourth quarter of fiscal year 2024.

Provision for (Benefit from) Income Taxes Three Months Ended December 31,  (in thousands, except percentage data)20242023$ Change% ChangeProvision for (benefit from) income taxes$(8,975)$44,360 $(53,335)(120)%Effective tax rate**  

*    Not meaningful

Provision for income taxes decreased $53.3 million for the three months ended December 31, 2024, as compared to the three months ended December 31, 2023. The decrease was primarily attributable to the change in the mix of earnings and losses in foreign jurisdictions. See Note 14, “Income Taxes,” of the notes to our condensed consolidated financial statements for additional information.

Our future effective annual tax rate may be materially impacted by the expense or benefit from tax amounts associated with our foreign earnings