**Asana Announces Fourth Quarter and Fiscal Year 2024 Results**

March 11, 2024 8:05 PM EDT

_$142 million improvement in cash flows from operating activities year over year_

_Annual revenues from customers spending $100,000 or more grew 29% year over year_

SAN FRANCISCO--(BUSINESS WIRE)--Mar. 11, 2024-- Asana, Inc. (NYSE: ASAN)(LTSE: ASAN), a leading work management platform, today
reported financial results for its fourth quarter and fiscal year ended January 31, 2024.

“Asana’s Q4 and fiscal year results beat expectations on the top and bottom line. Overall revenue growth was better than our guidance, and operating

margin improved significantly during the year, as we target to be free cash flow positive by the end of this year,” said Dustin Moskovitz, co-founder and
chief executive officer of Asana. “Looking out to fiscal 2025, we have a unique opportunity to solve collaborative work problems with AI and the Asana
Work Graph because organizations can leverage the most relevant and reliable context to make teams and organizations most effective.”

**Fourth Quarter Fiscal 2024 Financial Highlights**

Revenues: Revenues were $171.1 million, an increase of 14% year over year.
Operating Loss: GAAP operating loss was $67.9 million, or 40% of revenues, an improvement
year over year compared to GAAP operating loss of $99.2 million, or 66% of revenues, in the
fourth quarter of fiscal 2023. Non-GAAP operating loss was $15.6 million, or 9% of revenues,
an improvement year over year compared to non-GAAP operating loss of $37.4 million, or
25% of revenues, in the fourth quarter of fiscal 2023.
Net Loss: GAAP net loss was $62.4 million, compared to GAAP net loss of $95.0 million in the
fourth quarter of fiscal 2023. GAAP net loss per share was $0.28, compared to GAAP net loss
per share of $0.44 in the fourth quarter of fiscal 2023. Non-GAAP net loss was $10.1 million,
compared to non-GAAP net loss of $33.2 million in the fourth quarter of fiscal 2023.
Non-GAAP net loss per share was $0.04, compared to non-GAAP net loss per share of $0.15
in the fourth quarter of fiscal 2023.
Cash Flow: Cash flows from operating activities were negative $15.3 million, compared to
negative $31.1 million in the fourth quarter of fiscal 2023. Free cash flow was negative $17.0
million, compared to negative $26.5 million in the fourth quarter of fiscal 2023.

**Fiscal 2024 Financial Highlights**

Revenues: Revenues were $652.5 million, an increase of 19% year over year.
Operating Loss: GAAP operating loss was $270.0 million, or 41% of revenues, compared to
GAAP operating loss of $407.8 million, or 75% of revenues, in fiscal 2023. Non-GAAP
operating loss was $58.1 million, or 9% of revenues, compared to non-GAAP operating loss of
$207.3 million, or 38% of revenues, in fiscal 2023.
Net Loss: GAAP net loss was $257.0 million, compared to GAAP net loss of $407.8 million in
fiscal 2023. GAAP net loss per share was $1.17, compared to GAAP net loss per share of
$2.04 in fiscal 2023. Non-GAAP net loss was $45.1 million, compared to non-GAAP net loss of
$207.2 million in fiscal 2023. Non-GAAP net loss per share was $0.20, compared to
non-GAAP net loss per share of $1.04 in fiscal 2023.
Cash Flow: Cash flows from operating activities were negative $17.9 million, compared to
negative $160.1 million in fiscal 2023. Free cash flow was negative $30.4 million, compared to
negative $159.6 million in fiscal 2023.

**Business Highlights**

The number of Core customers, or customers spending $5,000 or more on an annualized
basis, in Q4 grew to 21,646, an increase of 11% year over year. Revenues from Core
customers in Q4 grew 16% year over year


-----

607, an increase of 20% year over year.
Overall dollar-based net retention rate in Q4 was over 100%.
Dollar-based net retention rate for Core customers in Q4 was 105%.
Dollar-based net retention rate for customers spending $100,000 or more on an annualized
basis in Q4 was 115%.
[Announced the opening of a new office location in Warsaw, Poland, marking Asana’s 13th](https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Fasana.com%2Fpress%2Freleases%2Fpr%2Fasana-opens-office-in-warsaw-poland%2F53688766-b2df-41b5-a4d8-bc890729fc6e&esheet=53907458&newsitemid=20240308795545&lan=en-US&anchor=new+office+location+in+Warsaw%2C+Poland&index=1&md5=9e796cd1650d07a254f6239bb6b6b730)
global office and sixth office within the EMEA region.
Hosted Asana’s biggest event of the year, the [Work Innovation Summit, bringing together](https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Fasana.com%2Fwork-innovation-summit-on-demand-library%3Futm_campaign%3DPMax--NAMER--NAMER--EN--PMax%26utm_source%3Dgoogle%26utm_medium%3Dpd_cpc_pmax%26gad_source%3D1%26gclid%3DCjwKCAiArLyuBhA7EiwA-qo80C-T1fKU3ruDiD-xsmbU7_pxjh_NFWdDP2iKBfbr-I361MEyp35lbxoC0ysQAvD_BwE%26gclsrc%3Daw.ds&esheet=53907458&newsitemid=20240308795545&lan=en-US&anchor=Work+Innovation+Summit&index=2&md5=cb6bf666e8e2d0378a4b602146201e73)
Asanas, our customers, and industry visionaries to dive into the new era of work.
[Released research from The Work Innovation Lab on the state of collaboration technology with](https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Fasana.com%2Fwork-innovation-lab%2Fthe-state-of-collaboration-technology%2F&esheet=53907458&newsitemid=20240308795545&lan=en-US&anchor=research+from+The+Work+Innovation+Lab&index=3&md5=d496a505da0978f50a587c79c87b94f1)
research-backed insights on how to declutter and optimize a business’ technology toolkit.

**Financial Outlook**

For the first quarter of fiscal 2025, Asana expects:

Revenues of $168.0 million to $169.0 million, representing year over year growth of 10% to
11%.
Non-GAAP operating loss of $23.0 million to $21.0 million, with 13.7% to 12.4% operating loss
margin.
Non-GAAP net loss per share of $0.09 to $0.08, assuming basic and diluted weighted average
shares outstanding of approximately 226 million.

For fiscal 2025, Asana expects:

Revenues of $716.0 million to $722.0 million, representing year over year growth of 10% to
11%.
Non-GAAP operating loss of $61.0 million to $55.0 million, with 8.5% to 7.6% operating loss
margin.
Non-GAAP net loss per share of $0.22 to $0.19, assuming basic and diluted weighted average
shares outstanding of approximately 230 million.

These statements are forward-looking and actual results may materially differ. Refer to the “Forward-Looking Statements” section below for
information on the factors that could cause Asana’s actual results to materially differ from these forward-looking statements.

A reconciliation of non-GAAP outlook measures to corresponding GAAP measures is not available on a forward-looking basis without unreasonable
effort due to the uncertainty regarding, and the potential variability of, many of these costs and expenses that may be incurred in the future. Asana has
provided a reconciliation of GAAP to non-GAAP financial measures in the financial statement tables for its fourth quarter and fiscal year 2024
non-GAAP results included in this press release.

**Earnings Conference Call Information**

Asana will hold a conference call and live webcast today to discuss these results at 1:30 p.m. Pacific Time. A live webcast and replay will be available
[on the Asana Investor Relations webpage at: https://investors.asana.com.](https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Finvestors.asana.com&esheet=53907458&newsitemid=20240308795545&lan=en-US&anchor=https%3A%2F%2Finvestors.asana.com&index=4&md5=d5cf703662fe8037bf5aa10563f5795a)

**Forward-Looking Statements**

This press release contains “forward-looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995 that are based on
management’s beliefs and assumptions and on information currently available to management. Forward-looking statements include, but are not
limited to, statements about our ability to execute on our current strategies, our technology and brand position, Asana’s outlook for the fiscal quarter
ending April 30, 2024 and the full fiscal year ending January 31, 2025, Asana’s outlook for free cash flow for calendar year 2024, expected benefits of
our offerings, Asana’s market position, and potential market opportunities. Forward-looking statements generally relate to future events or Asana’s
future financial or operating performance. Forward-looking statements include all statements that are not historical facts and in some cases can be
identified by terms such as “anticipate,” “expect,” “intend,” “plan,” “believe,” “continue,” “could,” “potential,” “may,” “will,” “goal,” or similar expressions
and the negatives of those terms. However, not all forward-looking statements contain these identifying words. Forward-looking statements involve
known and unknown risks, uncertainties and other factors, including factors beyond Asana’s control, that may cause Asana’s actual results,
performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forwardlooking statements. These risks include, but are not limited to, risks and uncertainties related to: Asana’s ability to achieve future growth and sustain its
growth rate, Asana’s ability to attract and retain customers and increase sales to its customers, Asana’s ability to develop and release new products
and services and to scale its platform, including the successful integration of artificial intelligence, Asana’s ability to increase adoption of its platform
through Asana’s self-service model, Asana’s ability to maintain and grow its relationships with strategic partners, the highly competitive and rapidly
evolving market in which Asana participates, Asana’s international expansion strategies, broader macroeconomic conditions and the residual impacts

f th COVID 19 d i F th i f ti i k th t ld t l lt t diff t i ll f f t d lt i l d d i


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SEC. Any forward-looking statements contained in this press release are based on assumptions that Asana believes to be reasonable as of this date.
Except as required by law, Asana assumes no obligation to update these forward-looking statements, or to update the reasons if actual results differ
materially from those anticipated in the forward-looking statements.

**Use of Non-GAAP Financial Measures**

To supplement Asana’s consolidated financial statements, which are prepared and presented in accordance with GAAP, Asana utilizes certain
non-GAAP financial measures to assist in understanding and evaluating its core operating performance. In this release, Asana’s non-GAAP gross
profit, gross margin, operating expenses, operating expenses as a percentage of revenue, operating loss, operating margin, net loss, net loss per
share, and free cash flow are not presented in accordance with GAAP and are not intended to be used in lieu of GAAP presentations of results of
operations. These non-GAAP financial measures, which may be different from similarly titled measures used by other companies, are presented to
enhance investors’ overall understanding of Asana’s financial performance and should not be considered a substitute for, or superior to, the financial
information prepared and presented in accordance with GAAP. Investors are encouraged to review the reconciliation of these non-GAAP measures to
their most directly comparable GAAP financial measures which can be found in the accompanying financial statements included with this press
release.

Asana is presenting these non-GAAP financial measures because it believes that these non-GAAP financial measures provide useful information
about its financial performance, enhance the overall understanding of Asana’s past performance and future prospects, facilitate period-to-period
comparisons of operations against other companies in Asana’s industry, and allow for greater transparency with respect to important metrics used by
Asana’s management for financial and operational decision-making.

Asana believes excluding the following items from its non-GAAP financial measures is useful to investors and others in assessing Asana’s operating
performance due to the following factors:

_Share-based compensation expenses. Although share-based compensation is an important_
aspect of the compensation of our employees and executives, management believes it is
useful to exclude share-based compensation expenses to better understand the long-term
performance of Asana’s core business and to facilitate comparison of its results to those of
peer companies.
_Employer payroll tax associated with RSUs. The amount of employer payroll tax-related items_
on employee stock transactions is dependent on Asana’s stock price and other factors that are
beyond its control and that do not correlate to the operation of the business.
_Non-cash and non-recurring expenses. Non-cash expenses include charges for impairment of_
long-lived assets. Non-recurring expenses include costs related to restructuring. Asana
believes the exclusion of certain non-cash and non-recurring items provides useful
supplemental information to investors and facilitates the analysis of its operating results and
comparison of operating results across reporting periods.

There are a number of limitations related to the use of non-GAAP financial measures as compared to GAAP financial measures, including that the
non-GAAP financial measures exclude stock-based compensation expense, which has been, and will continue to be for the foreseeable future, a
significant recurring expense in Asana’s business and an important part of its compensation strategy.

In addition to the non-GAAP financial measures outlined above, Asana also uses the non-GAAP financial measure of free cash flow, which is defined
as net cash from operating activities less cash used for purchases of property and equipment and capitalized internal-use software costs, plus
non-recurring expenditures such as capital expenditures from the purchases of property and equipment associated with the build-out of Asana’s
corporate headquarters and costs related to restructuring. Asana believes free cash flow is an important liquidity measure of the cash that is available,
after capital expenditures and operational expenses, for investment in its business and to make acquisitions. Asana believes that free cash flow is
useful to investors as a liquidity measure because it measures Asana’s ability to generate or use cash. There are a number of limitations related to the
use of free cash flow as compared to net cash from operating activities, including that free cash flow includes capital expenditures, the benefits of
which are realized in periods subsequent to those when expenditures are made.

**Definitions of Business Metrics**

_Customers spending $5,000 or more on an annualized basis, or Core customers_

We define customers spending $5,000 or more, which we also refer to as Core customers, as those organizations on a paid subscription plan that had
$5,000 or more in annualized GAAP revenues in a given quarter, inclusive of discounts.

_Customers spending $100,000 or more on an annualized basis_

We define customers spending $100,000 or more as those organizations on a paid subscription plan that had $100,000 or more in annualized GAAP
revenues in a given quarter, inclusive of discounts.

_Dollar-based net retention rate_

Asana’s reported dollar-based net retention rate equals the simple arithmetic average of its quarterly dollar-based net retention rate for the four
quarters ending with the most recent fiscal quarter. Asana calculates its dollar-based net retention rate by comparing its revenues from the same set of
customers in a given quarter, relative to the comparable prior-year period. To calculate Asana’s dollar-based net retention rate for a given quarter,
Asana starts with the revenues in that quarter from customers that generated revenues in the same quarter of the prior year. Asana then divides that
amount by the revenues attributable to that same group of customers in the prior-year quarter. Current period revenues include any upsells and are
net of contraction or attrition over the trailing 12 months, but exclude revenues from new customers in the current period. Asana expects its


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**About Asana**

Asana empowers organizations to work smarter. Asana has over 150,000 customers and millions of users in 200+ countries and territories. Customers
like Amazon, Roche, and T-Mobile rely on Asana to manage everything from goal setting and tracking to capacity planning, to product launches. For
[more information, visit www.asana.com.](https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fwww.asana.com&esheet=53907458&newsitemid=20240308795545&lan=en-US&anchor=www.asana.com&index=5&md5=7bd4c2fe45e7b53d7531cfb97daefd00)

**Disclosure of Material Information**

Asana announces material information to its investors using SEC filings, press releases, public conference calls, and on its investor relations page of
Asana’s website at [https://investors.asana.com. Asana uses these channels, as well as social media, including its X (formerly Twitter) account](https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Finvestors.asana.com&esheet=53907458&newsitemid=20240308795545&lan=en-US&anchor=https%3A%2F%2Finvestors.asana.com&index=6&md5=09853a8d987c09664deb3971ca714544)
[(@asana), its blog (blog.asana.com), its LinkedIn page (www.linkedin.com/company/asana), its Instagram account (@asana), its Facebook page](https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fblog.asana.com&esheet=53907458&newsitemid=20240308795545&lan=en-US&anchor=blog.asana.com&index=7&md5=59a6bc9d202214071395944d86162c61)
[(www.facebook.com/asana/), and Threads profiles (@asana and @moskov), to communicate with investors and the public about Asana, its products](https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Fwww.facebook.com%2Fasana%2F&esheet=53907458&newsitemid=20240308795545&lan=en-US&anchor=www.facebook.com%2Fasana%2F&index=9&md5=a6d5abccd3b7e5d44f84a88e088354bb)
and services and other matters. Therefore, Asana encourages investors, the media and others interested in Asana to review the information it makes
public in these locations, as such information could be deemed to be material information.

**ASANA, INC.**

**CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS**

**(in thousands, except per share data)**

**(unaudited)**

**Three Months Ended January 31,** **Twelve Months Ended January 31,**

**2024** **2023** **2024** **2023**

Revenues $ 171,135 $ 150,231 $ 652,504 $ 547,212

56,559
Cost of revenues[(1)] 17,392 15,205 64,524

490,653
Gross profit 153,743 135,026 587,980

Operating expenses:

Research and development[(1)] 82,973 81,262 324,688 297,209

Sales and marketing[(1)] 103,921 114,733 391,955 434,961

166,309
General and administrative[(1)] 34,797 38,245 141,334

898,479
Total operating expenses 221,691 234,240 857,977

Loss from operations (67,948) (99,214) (269,997) (407,826)

Interest income and other income (expense), net 7,314 7,152 20,624 6,933

(2,000)
Interest expense (1,005) (875) (3,952)

Loss before provision for income taxes (61,639) (92,937) (253,325) (402,893)

4,875
Provision for income taxes 759 2,089 3,705

Net loss $ (62,398) $ (95,026) $ (257,030) $ (407,768)

Net loss per share:

Basic and diluted $ (0.28) $ (0.44) $ (1.17) $ (2.04)

Weighted-average shares used in calculating net loss
per share:

Basic and diluted 224,300 214,195 220,406 200,034

_______________
(1) Amounts include stock-based compensation expense as follows:

**Three Months Ended January 31,** **Twelve Months Ended January 31,**

**2024** **2023** **2024** **2023**

Cost of revenues $ 372  $ 458  $ 1,549  $ 1,658

Research and development 28,691 29,477 112,619 100,083

Sales and marketing 15,779 15,476 59,217 58,504

General and administrative 7,007 7,717 29,033 28,717

Total stock-based compensation expense [(1)] $ 51,849 $ 53,128 $ 202,418 $ 188,962

__________________
(1) The table above includes $0.9 million of stock-based compensation expense for the three and twelve months ended January 31, 2023 that was
incurred as a result of the restructuring.

**ASANA, INC.**

**CONDENSED CONSOLIDATED BALANCE SHEETS**

**(in thousands)**

**(unaudited)**

**January 31, 2024** **January 31, 2023**

**Assets**

Current assets

Cash and cash equivalents $ 236,663 $ 526,563

Marketable securities 282,801 2,739

Accounts receivable, net 88,327 82,363


-----

Total current assets 659,716 660,391

Property and equipment, net 96,543 94,984

Operating lease right-of-use assets 181,731 176,189

Other assets 23,970 23,399

Total assets $ 961,960 $ 954,963

**Liabilities and Stockholders’ Equity**
Current liabilities

Accounts payable $ 6,907 $ 7,554

Accrued expenses and other current liabilities 75,821 83,488

Deferred revenue, current 265,306 226,443

Operating lease liabilities, current 19,179 14,831

Total current liabilities 367,213 332,316

Term loan, net 43,618 46,696

Deferred revenue, noncurrent 5,916 7,156

Operating lease liabilities, noncurrent 215,084 210,012

Other liabilities 3,733 2,209

Total liabilities 635,564 598,389

Stockholders’ equity

Common stock 2 2

Additional paid-in capital 1,821,216 1,595,001

Accumulated other comprehensive loss (236) (873)

Accumulated deficit (1,494,586) (1,237,556)

Total stockholders’ equity 326,396 356,574

Total liabilities and stockholders’ equity $ 961,960 $ 954,963

**ASANA, INC.**

**SUMMARY OF CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS**

**(in thousands)**

**(unaudited)**

**Three Months Ended January 31,** **Twelve Months Ended January 31,**

**2024** **2023** **2024** **2023**

**Cash flows from operating activities**

Net loss $ (62,398) $ (95,026) $ (257,030) $ (407,768)

Adjustments to reconcile net loss to net cash used in
operating activities:

Allowance for expected credit losses 1,068 873 3,140 1,918

Depreciation and amortization 3,937 3,162 14,344 12,669

Amortization of deferred contract acquisition
costs 6,001 4,589 21,972 15,098

Stock-based compensation expense 51,849 53,128 202,418 188,962

Net amortization (accretion) of premium
(discount) on marketable securities (1,823) 12 (3,391) 62

Non-cash lease expense 4,092 4,169 18,090 15,595

Impairment of long-lived assets — — 5,009 —

Amortization of credit facility issuance costs 31 28 122 41

Changes in operating assets and liabilities:

Accounts receivable (21,778) (23,802) (9,527) (25,179)

Prepaid expenses and other current assets (11,830) (1,887) (25,594) (24,042)

Other assets (1,210) (907) (468) (4,108)

Accounts payable (4,181) (1,058) (569) (4,391)

Accrued expenses and other liabilities 11,679 10,314 (5,206) 25,539

Deferred revenue 15,780 18,761 37,623 59,375

(13,829)
Operating lease liabilities (6,554) (3,455) (18,864)

(160,058)
Net cash used in operating activities (15,337) (31,099) (17,931)

**Cash flows from investing activities**

Purchases of marketable securities (34,821) — (319,133) (72,216)

Sales of marketable securities 6 — 18 —

Maturities of marketable securities 17,500 33,661 43,141 143,865

Purchases of property and equipment (500) (2,211) (7,721) (5,351)

(1,806)
Capitalized internal-use software costs (1,115) (854) (5,440)

64,492
Net cash provided by (used in) investing activities (18,930) 30,596 (289,135)

**Cash flows from financing activities**

P d f t l t f i t 49 555 49 555


-----

Proceeds from private placement—related party,
net of offering costs — (95) — 347,289

Repurchases of common stock — (7) — (9)

Proceeds from exercise of stock options 987 1,146 4,843 5,773

Proceeds from employee stock purchase plan — 1 15,069 17,116

Taxes paid related to net share settlement of
— —
equity awards (3) (10)

381,391
Net cash provided by financing activities 359 14,934 16,777

Effect of foreign exchange rates on cash and cash
equivalents 2,257 1,542 389 335

Net increase (decrease) in cash and cash equivalents (31,651) 15,973 (289,900) 286,160

**Cash, cash equivalents, and restricted cash**

240,403
Beginning of period 268,314 510,590 526,563

End of period $ 236,663 $ 526,563 $ 236,663 $ 526,563

**ASANA, INC.**

**Reconciliation of GAAP to Non-GAAP Data**

**(in thousands, except percentages)**

**(unaudited)**

**Three Months Ended January 31,** **Twelve Months Ended January 31,**

**2024** **2023** **2024** **2023**

**Reconciliation of gross profit and gross margin**

GAAP gross profit $ 153,743 $ 135,026 $ 587,980 $ 490,653

Plus: stock-based compensation and related
employer payroll tax associated with RSUs 376 425 1,585 1,651

— 550 — 550
Plus: restructuring costs

Non-GAAP gross profit $ 154,119 [$] 136,001 [$] 589,565 [$] 492,854

GAAP gross margin 89.8% 89.9% 90.1% 89.7%

0.4%
Non-GAAP adjustments 0.3% 0.6% 0.3%

Non-GAAP gross margin 90.1% 90.5% 90.4% 90.1%

**Reconciliation of operating expenses**

GAAP research and development $ 82,973 $ 81,262 $ 324,688 $ 297,209

Less: stock-based compensation and related
employer payroll tax associated with RSUs (28,981) (29,676) (115,397) (101,892)

— (35) — (35)
Adjustment for: restructuring (costs) benefit

Non-GAAP research and development $ 53,992 [$] 51,551 [$] 209,291 [$] 195,282

GAAP research and development as percentage of
revenue 48.5% 54.1% 49.8% 54.3%

Non-GAAP research and development as
percentage of revenue 31.5% 34.3% 32.1% 35.7%

GAAP sales and marketing $ 103,921 $ 114,733 $ 391,955 $ 434,961

Less: stock-based compensation and related
employer payroll tax associated with RSUs (15,891) (14,904) (60,329) (58,648)

— (6,582) 173 (6,582)
Adjustment for: restructuring (costs) benefit

Non-GAAP sales and marketing $ 88,030 [$] 93,247 [$] 331,799 [$] 369,731

GAAP sales and marketing as percentage of
revenue 60.7% 76.4% 60.1% 79.5%

Non-GAAP sales and marketing as percentage of
revenue 51.4% 62.1% 50.9% 67.6%

GAAP general and administrative $ 34,797 $ 38,245 $ 141,334 $ 166,309

Less: stock-based compensation and related
employer payroll tax associated with RSUs (7,089) (7,585) (29,725) (29,095)

Less: impairment of long-lived assets — — (5,009) —

— (2,093) (26) (2,093)
Adjustment for: restructuring (costs) benefit

Non-GAAP general and administrative $ 27,708 [$] 28,567 [$] 106,574 [$] 135,121

GAAP general and administrative as percentage of
revenue 20.3% 25.5% 21.7% 30.4%

Non-GAAP general and administrative as
percentage of
revenue 16.2% 19.0% 16.3% 24.7%

**Reconciliation of operating loss and operating**
**margin**

GAAP l f ti $ (67 948) $ (99 214) $ (269 997) $ (407 826)


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employer payroll tax associated with RSUs 52,337 52,590 207,036 191,286

Plus: impairment of long-lived assets — — 5,009 —

— 9,260 (147) 9,260
Adjustment for: restructuring costs (benefit) [(1)]

Non-GAAP loss from operations $ (15,611) [$] (37,364) [$] (58,099) [$] (207,280)

GAAP operating margin (39.7)% (66.0)% (41.4)% (74.5)%

36.6%
Non-GAAP adjustments 30.6% 41.1% 32.5%

Non-GAAP operating margin (9.1)% (24.9)% (8.9)% (37.9)%

**ASANA, INC.**

**Reconciliation of GAAP to Non-GAAP Data**

**(in thousands, except percentages and per share data)**

**(unaudited)**

**Three Months Ended January 31,** **Twelve Months Ended January 31,**

**2024** **2023** **2024** **2023**

**Reconciliation of net loss**

GAAP net loss $ (62,398) $ (95,026) $ (257,030) $ (407,768)

Plus: stock-based compensation and related
employer payroll tax associated with RSUs 52,337 52,590 207,036 191,286

Plus: impairment of long-lived assets — — 5,009 —

— 9,260
Adjustment for: restructuring costs (benefit) [(1)] 9,260 (147)

Non-GAAP net loss $ (10,061) $ (33,176) $ (45,132) $ (207,222)

**Reconciliation of net loss per share**

GAAP net loss per share, basic $ (0.28) $ (0.44) $ (1.17) $ (2.04)

1.00
Non-GAAP adjustments to net loss 0.24 0.29 0.97

Non-GAAP net loss per share, basic $ (0.04) $ (0.15) $ (0.20) $ (1.04)

Weighted-average shares used in GAAP and
non-GAAP per share calculation, basic and diluted 224,300 214,195 220,406 200,034

_______________
(1) Restructuring costs for the three and twelve months ended January 31, 2023 were composed of severance and related charges of $8.4 million and
stock-based compensation expense of $0.9 million. These charges are non-recurring and not reflective of underlying trends in our business.

**Three Months Ended January 31,** **Twelve Months Ended January 31,**

**2024** **2023** **2024** **2023**

**Computation of free cash flow**

Net cash provided by (used in) investing activities $ (18,930) $ 30,596 $ (289,135) $ 64,492

Net cash provided by financing activities $ 359 $ 14,934 $ 16,777 $ 381,391

Net cash used in operating activities $ (15,337) $ (31,099) $ (17,931) $ (160,058)

Less: purchases of property and equipment (500) (2,211) (7,721) (5,351)

Less: capitalized internal-use software costs (1,115) (854) (5,440) (1,806)

Plus: restructuring costs paid — 7,663 707 7,663

Plus: purchases of property and equipment from
— — — 2
build-out of corporate headquarters

Free cash flow $ (16,952) $ (26,501) $ (30,385) $ (159,550)

[View source version on businesswire.com: https://www.businesswire.com/news/home/20240308795545/en/](http://businesswire.com/)

Catherine Buan
Asana Investor Relations
[ir@asana.com](mailto:ir@asana.com)

Alexandra Tadeu
Asana Corporate Communications
[press@asana.com](mailto:press@asana.com)

Source: Asana, Inc.


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