Company: TEAM
Filing Date: 2025-05-02
Form Type: 10-Q
Source: 0001650372-25-000022
Chunk: 22

Company: Atlassian Corp
Filing Date: 2025-05-02
Form: 10-Q
Item: Part I, Item 1
Chunk 22
---
 services that are bundled with the license for the term of the license period. Marketplace and other offerings mainly include fees received for sales of third-party apps in the Atlassian Marketplace and services like premier support, advisory services and training services. Premier support consists of subscription-based arrangements for a higher level of support across different deployment options, and revenues from this offering are included in Subscription revenues within the Company’s condensed consolidated statements of operations.The revenues from Server offerings for the three and nine months ended March 31, 2024 consisted of only revenue from maintenance services for the Company’s Server offerings as the Company was no longer selling perpetual licenses for its Server offerings. The Company generally ended maintenance for Server offerings in February 2024. Revenue related to Server offerings is included in Other revenues within the Company’s condensed consolidated statements of operations.Deferred Revenue The Company records deferred revenues when cash payments are received or due in advance of the Company satisfying its performance obligations, including amounts which are refundable. The changes in the balances of deferred revenue are as follows (in thousands): Three Months Ended March 31,Nine Months Ended March 31,2025202420252024Balance, beginning of period$2,196,245 $1,653,883 $2,114,736 $1,545,479 Additions1,528,674 1,490,810 4,084,427 3,637,099 Revenue(1,356,716)(1,189,128)(3,830,960)(3,227,013)Balance, end of period$2,368,203 $1,955,565 $2,368,203 $1,955,565 

19

For the three months ended March 31, 2025 and 2024, approximately 25% and 21% of revenue recognized was from the deferred revenue balances at the beginning of each fiscal year, respectively. For the nine months ended March 31, 2025 and 2024, approximately 42% and 38% of revenue recognized was from the deferred revenue balances at the beginning of each fiscal year, respectively.Deferred Contract Acquisition CostsThe changes in the balances of deferred contract acquisition costs are as follows (in thousands):Three Months Ended March 31,Nine Months Ended March 31,2025202420252024Balance, beginning of period$97,251 $69,103 $79,711 $53,604 Additions17,462 9,