Asana, Inc.

Good evening, and thank you for attending today's Asana Fourth Quarter and Fiscal Year 2022 Earnings Call. My name is Celina, and I will be your moderator. All lines will be muted during the presentation portion of the call, with an opportunity for questions and answers at the end. If you would like to ask a question, please press star 1 on your telephone keypad. I would now like to pass the conference over to our host, Catherine Blonde, Head of Investor Relations at Asana. Please go ahead.

Good afternoon, and thank you for joining us on today's conference call to discuss the financial results for Asana's fourth quarter and fiscal year 2022. With me on today's call are Dustin Moskovitz, Asana's co-founder and CEO, Tim Wan, our chief financial officer, and Anne Ramondi, our chief operating officer and head of business. Today's call will include forward-looking statements, including statements regarding our financial outlook, market position, and growth opportunities. Forward-looking statements involve risks, uncertainties, and assumptions that they may cause our actual results to be materially different from those expressed or implied by the forward-looking statements. Please refer to our filings with the SEC, including our most recent quarterly report on Form 10-Q, for additional information on risks, uncertainties, and assumptions that may cause actual results to differ materially from those set forth in such statements. In addition, during today's call, we will discuss non-GAAP financial measures. These non-GAAP financial measures are in addition to and not a substitute for or superior to measures of financial performance prepared in accordance with GAAP. Reconciliation between GAAP and non-GAAP financial measures and a discussion of the limitations of using non-GAAP measures versus their closest GAAP equivalents are available in our earnings release, which is posted on our investor relations webpage at investors.asana.com. And with that, I'd like to turn the call over to Dustin.

Thank you, Catherine. I'm excited to talk about our business results, but wish I didn't have to do it against the backdrop of the humanitarian crisis in Ukraine. Our thoughts are with all those who are personally impacted by the situation in the region. We had a strong Q4, which capped off a great fiscal year. I continue to be really proud of our team, our mission-driven culture, and what we've achieved together. As you can see from our results, our product-led strategy and execution drove accelerated revenue growth to 67% year over year. versus 59% last fiscal year. We saw continued strength in the enterprise, with 340 customers spending $100,000 or more on an annualized basis. Those with the biggest investments also significantly increased their footprint, with the dollar-based net retention of this cohort much higher than the $50,000 or more cohort in Q4. For example, our largest customer is now spending well into eight figures, with more than 50,000 paying seats and growing. Their continued investment speaks to the power of the Asana work graph. our proprietary technology that enables cross-functional teams to work together at a global scale. Customer adoption is at record levels with well over 2 million paid users. We partner closely with our customers to help them succeed at their missions and to co-create our product roadmap through channels like Asana's Voice of the Customer program. Speaking of products, we launched more than 200 features last year, a rate of more than four features every week. We also have a large and rapidly growing Asana Together community, now representing more than 3,800 Asana ambassadors around the world. Our talent and culture is what makes these results possible. I'm proud to share that Asana has grown to over 1,600 employees and earned a record of 16 total workplace awards in 2021, with three awards ranking us at number one. These included Fortune's Best Workplaces in the Bay Area, InTech, and for Millennials. We're entering the new year with incredible momentum. And as companies look to drive their most critical initiatives, they are increasingly turning to us. While others are building suites of collaboration products for small teams, our strategy is different. We're a pure play work management company committed to leading the category and building the most comprehensive platform capable of serving organizations of all sizes around the world. Teams are organized functionally, but most work gets done cross-functional. That's also where the greatest opportunity is for reducing friction and increasing impact. Asana is a great platform for cross-team work thanks to our ability to serve as a system of record across different projects. This is one of our big differentiators and the key to supporting large, complex organizations. The larger the team and more cross-functional the use cases, the faster Asana can expand. These trends give us the confidence to invest aggressively, particularly in the enterprise. We're initiating top-line guidance for Q1, representing 50% growth year-over-year. We're also initiating fiscal 2023 revenue guidance at 40% growth year over year at the midpoint of the guidance range. As we enter fiscal year 2023, we have a strong product cycle ahead. We'll continue to focus heavily on our enterprise work graph, improving on and expanding the functionality required by the largest and most complex organizations. We're already off to a fast start to the year, launching products out of the gate. On February 15th, we introduced Asana Flow, a suite of new features purpose-built to enable workflow automation across an entire organization. It used to be that only IT or system administrators could build workflows. We've democratized that power with Workflow Builder, a point-and-click tool that makes it easy for every knowledge worker to create automated workflows. Importantly, you can also add everyday apps like Slack, Adobe Creative Cloud, Salesforce, and Zoom right into your workflows, plus two new additions to the Asana Partners Network, Miro and JotForm. This means Asana can serve as the connective tissue across existing best-of-breed collaboration tools. Our customer base is already fanatical about this launch. We had a combined 12,000 people register for a recent learn-a-thon and live Asana flow demo. And in only three weeks, 200,000 users have tried Workflow Builder with 42,000 rules created. Our redesigned template library is where you can save, share, and reuse your most successful workflows. It also features industry approved templates made in collaboration with leading organizations around the globe. This year we'll build on this launch with part of our roadmap dedicated to adding more partners and more capabilities. Our next big product moment is Asana's Employee Impact Suite in Q2, which will give leaders a blueprint for how to better leverage the power of their people. We'll be announcing several product enhancements to help employees operate with clarity of purpose, do their most impactful work, and feel valued for their contributions. These enhancements will help them find flow and limit distractions and keep them in sync with their team members. Our investments in creating high-level clarity also means building on the adoption and capabilities of features like reporting and goals, and the ability to better track the time spent on the work done in support of these goals. We're seeing incredible early adoption of our Goals product by existing customers like Benevity and Xero. These companies care deeply about employee engagement, and as a result, have chosen to go wall-to-wall with Asana as their work platform of choice. You'll see even more enhancements to goals and functionality to better support larger enterprise companies over time. What ties this all together is an emphasis on helping large organizations get clarity around their work graph and simplify workflows, something Asana is uniquely capable of doing. In addition to the functionality that helps those teams organize, we're investing in all the other things important to large enterprises too, like making Asana accessible to all employees, improving our compliance capabilities, adding integrations for data loss prevention and discovery, and scalability. We'll also be increasing the depth and breadth of the Corasana platform by expanding our IT partner ecosystem. I want to wrap up by saying that this virtually untapped market opportunity for work management and our differentiated ability to deliver value gives us increased confidence in investing further in the enterprise. We're still in early innings, and we're investing to win. And now I'll turn it over to Anne.