Asana Reports Strong Q2 Earnings with Improved Retention and AI Adoption
Asana reported second-quarter fiscal year 2027 revenue of $216.4 million, a 10% increase from the previous year and exceeding its guidance range. The company attributed this growth to improved customer retention rates—overall dollar-based net retention rose to 97%, with core customers showing even stronger performance at 98%. Enterprise demand is also on an upward trend, supported by growing adoption of Asana's AI products such as AI Studio and AI Teammates. These AI offerings contributed approximately 25% of the company’s new annual recurring revenue in Q2. CEO Dan Rogers highlighted strong engagement from customers using these tools, noting deeper usage patterns and faster expansion rates among users. Additionally, a significant three-year contract with a Fortune 500 media company included substantial value tied to Asana's AI solutions. Looking ahead, the company plans to launch Agentic Work Management (AWM) in mid-September across new customer accounts and renewals. However, it warned of slower near-term growth due to product-led growth pressures and increased infrastructure costs related to its AI initiatives.
Tickers: $ASAN
Topics: ai_adoption retention_metrics revenue