TEAM earnings beat.

Saul and board monitors. I hope you don’t mind me posting these earnings coming in. I think it’s important to see this early and so far very promising trend coming into this earnings cycle, that cloud and subscription based services are reporting solid numbers and the street is responding in a very favorable way. The disconnect between this 50% correction we are in, on no specific company news from any of the companies in this space, I believe is a gift.

Another beat tonight, this time from Atlassian. It really feels like if Atlassian can report great numbers, then how would it be possible that a ZS or a MNDY would not.

Atlassian shares rose as much as 10% in extended trading on Thursday after the provider of collaboration software reported fiscal second-quarter earnings that topped estimates and raised its forecast for subscription revenue.

Here’s how the company did:

Earnings: 50 cents per share, adjusted, vs. 39 cents as expected by analysts, according to Refinitiv.
Revenue: $688.5 million, vs. $641.3 million as expected by analysts, according to Refinitiv.
Revenue rose 37% in the quarter, which ended on Dec. 31, Atlassian said in a letter to shareholders. The company narrowed its net loss to $77.5 million from $621.5 million in the year-ago quarter.

For the full fiscal year, Atlassian said subscription revenue will increase by about 50%, up from the previous projection of growth in the mid-40’s range. Subscriptions represent 86% of total revenue. Atlassian reported $975.5 million in deferred revenue, above the StreetAccount consensus of $971.0 million.

Atlassian is increasing prices of its data center and server products next month. The hikes will range from 10% to 25% and will not affect customers that use Atlassian’s cloud offerings, the company said.