6-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 6-K

Report of Foreign Private Issuer

Pursuant to Rule 13a-16 or 15d-16

under the Securities Exchange Act of 1934

January 17, 2019

Commission File Number 001-37651

Atlassian Corporation Plc

(Exact name of Registrant as specified in its charter)

Not Applicable

(Translation of Registrant’s name into English)

Exchange House

Primrose Street

London EC2A 2EG

c/o Herbert Smith Freehills LLP

415.701.1110

(Address, Including Zip Code, and Telephone Number, Including

Area Code, of Registrant’s Principal Executive Offices)

Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F:

Form 20-F x Form 40-F ¨

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ¨

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): ¨

Results of Operations and Financial Condition.

On January 17, 2019, Atlassian Corporation Plc (the “Company”) issued a press release announcing its results for the fiscal quarter ended December 31, 2018. A copy of the press release is attached as Exhibit 99.1 to this report on Form 6-K and is incorporated by reference herein. The Company also issued a letter to its shareholders announcing its financial results for the quarter ended December 31, 2018 (the “Shareholder Letter”). The full text of the Shareholder Letter is attached as Exhibit 99.2 to this report on Form 6-K and is incorporated by reference herein.

The information in this report on Form 6-K under the section titled “Results of Operations and Financial Condition” and the exhibits attached hereto shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, regardless of any general incorporation language in such filing.

Signature

Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Date:	January 17, 2019	Atlassian Corporation Plc
		(Registrant)
		/s/  James Beer
		James Beer Chief Financial Officer (Principal Financial Officer)

Exhibit Index

Exhibit Number	Exhibit Title
99.1	Press Release dated January 17, 2019.
99.2	Shareholder Letter dated January 17, 2019.

EX-99.1

Atlassian Announces Second Quarter Fiscal Year 2019 Results

Quarterly revenue of $299.0 million, up 39% year-over-year

Quarterly IFRS operating margin of (1%) and non-IFRS operating margin of 25%

Quarterly cash flow from operations of $130.4 million and free cash flow of $122.6 million

SAN FRANCISCO (January 17, 2019) — Atlassian Corporation Plc (NASDAQ: TEAM), a leading provider of team collaboration and productivity software, today announced financial results for its second quarter of fiscal 2019 ended December 31, 2018 and released a shareholder letter on the Investor Relations section of its website at https://investors.atlassian.com. All financial results and targets are based on the new revenue recognition standard IFRS 15, which the company adopted on July 1, 2018.

“The second quarter of fiscal 2019 capped off a fantastic 2018, as we eclipsed $1 billion in calendar year revenue for the first time,” said Scott Farquhar, Atlassian’s co-CEO and co-founder. “The quarter also highlighted the growing demand for Atlassian products to drive digital transformation in businesses large and small. Our flagship product, Jira Software, surpassed 65,000 customers, and we ended the quarter with more than 138,000 total customers, underscoring the growth opportunity for Jira just within our installed base.”

Second Quarter Fiscal Year 2019 Financial Highlights:

On an IFRS basis, Atlassian reported: 

• Revenue: Total revenue was $299.0 million for the second quarter of fiscal 2019, up 39% from $214.6 million for the second quarter of fiscal 2018.

• Operating Loss and Operating Margin: Operating loss was $3.2 million for the second quarter of fiscal 2019, compared with $13.0 million for the second quarter of fiscal 2018. Operating margin was (1%) for the second quarter of fiscal 2019, compared with (6%) for the second quarter of fiscal 2018.

• Net Income/Loss and Net Income/Loss Per Diluted Share: Net income was $45.2 million for the second quarter of fiscal 2019, compared with a net loss of $64.2 million for the second quarter of fiscal 2018. Net income per diluted share was $0.18 for the second quarter of fiscal 2019, compared with a net loss per diluted share of $0.28 for the second quarter of fiscal 2018. 

Net income for the second quarter of fiscal 2019 included a non-cash gain recorded in “other non-operating income” of $31.3 million, as a result of marking to fair value the exchange feature of Atlassian’s exchangeable senior notes and the related capped calls.

• Balance Sheet: Cash and cash equivalents, and short-term investments at the end of the second quarter of fiscal 2019 totaled $1.6 billion.

On a non-IFRS basis, Atlassian reported: 

• Operating Income and Operating Margin: Operating income was $74.8 million for the second quarter of fiscal 2019, compared with $46.7 million for the second quarter of fiscal 2018. Operating margin was 25% for the second quarter of fiscal 2019, compared with 22% for the second quarter of fiscal 2018.

• Net Income and Net Income Per Diluted Share: Net income was $61.7 million for the second quarter of fiscal 2019, compared with $32.0 million for the second quarter of fiscal 2018. Net income per diluted share was $0.25 for the second quarter of fiscal 2019, compared with $0.13 per diluted share for the second quarter of fiscal 2018.

• Free Cash Flow: Cash flow from operations for the second quarter of fiscal 2019 was $130.4 million, while capital expenditures totaled $7.8 million, resulting in free cash flow of $122.6 million, an increase of 81% year-over-year. Free cash flow margin for the second quarter of fiscal 2019 was 41%.

A reconciliation of IFRS to non-IFRS financial measures has been provided in the financial statement tables included in this press release. An explanation of these measures is also included below, under the heading “About Non-IFRS Financial Measures.”

1

Recent Business Highlights:

• Customer growth: Atlassian ended the second quarter of fiscal 2019 with a total customer count, on an active subscription or maintenance agreement basis, of 138,235. Atlassian added 6,551 net new customers during the quarter; this number benefited from an increase of 1,396 customers as a result of our acquisition of Opsgenie during the quarter. Excluding Opsgenie, Atlassian added 5,155 net new customers during the quarter.

• Opsgenie acquisition closing: On October 1, 2018, Atlassian closed its acquisition of Opsgenie, whose technology enables companies to better plan for and respond to IT service disruptions. When outages occur, Opsgenie’s technology quickly routes alerts to the appropriate IT teams, speeding diagnosis and resolution, and reducing downtime. The acquisition was valued at approximately $295 million, of which approximately $259 million was paid in cash and the remainder in Atlassian restricted shares subject to continued vesting provisions.

• Acquisition of Butler for Trello: In December, Atlassian announced the acquisition of one of Trello’s most popular integrations, Butler for Trello, bringing the power of workplace automation to Trello boards. Trello will incorporate Butler’s automation technology to allow teams of all kinds, such as HR, marketing, and finance, to codify business processes. With Butler’s technology, Trello users can take tasks that might require multiple manual steps and automate them into one click.

• Investor session at Atlassian Summit 2019 - April 10, 2019: Atlassian will hold its Summit user conference in Las Vegas for the first time, at the Mandalay Bay South Convention Center, from April 9-11, 2019. The company will host an Investor session at Summit 2019 on April 10. General information on Atlassian Summit 2019 can be found at https://www.atlassian.com/company/events/summit.

Financial Targets:

Atlassian is providing its financial targets for the third quarter and full fiscal year 2019. The company’s financial targets are as follows:

• Third Quarter Fiscal Year 2019: 

• Total revenue is expected to be in the range of $303 million to $305 million.

• Gross margin is expected to be approximately 82% on an IFRS basis and approximately 86% on a non-IFRS basis. 

• Operating margin is expected to be approximately (10%) on an IFRS basis and approximately 17% on a non-IFRS basis. 

• Net loss per diluted share is expected to be approximately ($0.14) on an IFRS basis, and net income per diluted share is expected to be approximately $0.18 on a non-IFRS basis.

• Weighted average share count is expected to be in the range of 238 million to 239 million shares when calculating diluted IFRS net loss per share and in the range of 248 million to 250 million shares when calculating diluted non-IFRS net income per share. 

• Fiscal Year 2019: 

• Total revenue is expected to be in the range of $1,195 million to $1,199 million.

• Gross margin is expected to be approximately 83% on an IFRS basis and approximately 86% on a non-IFRS basis. 

• Operating margin is expected to be in the range of (6%) to (5.5%) on an IFRS basis and in the range of 20% to 20.5% on a non-IFRS basis. 

• Net loss per diluted share is expected to be in the range of ($1.07) to ($1.06) on an IFRS basis, and net income per diluted share is expected to be in the range of $0.81 to $0.82 on a non-IFRS basis. 

• Weighted average share count is expected to be in the range of 238 million to 240 million shares when calculating diluted IFRS net loss per share and in the range of 248 million to 250 million shares when calculating diluted non-IFRS net income per share. 

• Cash flow from operations is expected to be in the range of $410 million to $420 million and free cash flow is expected to be in the range of $370 million to $380 million, which includes capital expenditures that are expected to be approximately $40 million. 

2

With respect to Atlassian’s expectations under “Financial Targets” above, a reconciliation of IFRS to non-IFRS gross margin, operating margin, net income per diluted share, and free cash flow has been provided in the financial statement tables included in this press release.

Shareholder Letter and Webcast/Conference Call Details

A detailed shareholder letter is available on the Investor Relations section of Atlassian’s website at: https://investors.atlassian.com. Atlassian will host a webcast and conference call to answer questions today:

• When: Thursday, January 17, 2019 at 2:00 p.m. Pacific Time (5:00 p.m. Eastern Time).

• Webcast: A live webcast of the call can be accessed from the Investor Relations section of Atlassian’s website at: https://investors.atlassian.com. Following the call, a replay will be available on the same website.

• Dial in: To access the call via telephone in North America, please dial 1-888-346-0688. For international callers, please dial 1-412-902-4250. Participants should request the “Atlassian call” after dialing in. 

• Audio replay: An audio replay of the call will be available via telephone for seven days, beginning two hours after the call. To listen to the replay in North America, please dial 1-877-344-7529 (access code 10127151). International callers, please dial 1-412-317-0088 (access code 10127151).

Atlassian has used, and will continue to use, its Investor Relations website at https://investors.atlassian.com as a means of making material information public and for complying with its disclosure obligations.

About Atlassian

Atlassian unleashes the potential of every team. Our team collaboration and productivity software helps teams organize, discuss and complete shared work. Teams at more than 138,000 customers, across large and small organizations - including General Motors, Walmart Labs, Bank of America Merrill Lynch, Lyft, Verizon, Spotify and NASA - use Atlassian’s project tracking, content creation and sharing, and service management products to work better together and deliver quality results on time. Learn more about our products, including Jira Software, Confluence, Trello, Bitbucket and Jira Service Desk, at https://atlassian.com/.

Investor Relations Contact

Ian Lee

IR@atlassian.com

Media Contact

Gabe Madway

press@atlassian.com

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which statements involve substantial risks and uncertainties. All statements other than statements of historical fact could be deemed forward looking, including risks and uncertainties related to statements about our products, customers, anticipated growth, anticipated benefits of the Opsgenie and Butler for Trello acquisitions, market expansion, technology and other key strategic areas, and our financial targets such as revenue, share count and IFRS and non-IFRS financial measures including gross margin, operating margin, net income (loss) per diluted share, and free cash flow.

We undertake no obligation to update any forward-looking statements made in this press release to reflect events or circumstances after the date of this press release or to reflect new information or the occurrence of unanticipated events, except as required by law.

The achievement or success of the matters covered by such forward-looking statements involves known and unknown risks, uncertainties and assumptions. If any such risks or uncertainties materialize or if any of the assumptions prove incorrect, our results could differ materially from the results expressed or implied by the forward-looking statements we make. You should not rely upon forward-looking statements as predictions of future events. Forward-looking statements represent our management’s beliefs and assumptions only as of the date such statements are made.

3

Further information on these and other factors that could affect our financial results is included in filings we make with the Securities and Exchange Commission from time to time, including the section titled “Risk Factors” in our most recent Forms 20-F and 6-K (reporting our quarterly results). These documents are available on the SEC Filings section of the Investor Relations section of our website at: https://investors.atlassian.com/.

About Non-IFRS Financial Measures

Our reported results and financial targets include certain non-IFRS financial measures, including non-IFRS gross profit, non-IFRS operating income, non-IFRS net income, non-IFRS net income per diluted share, and free cash flow. Management believes that the use of these non-IFRS financial measures provides consistency and comparability with our past financial performance, facilitates period-to-period comparisons of our results of operations, and also facilitates comparisons with peer companies, many of which use similar non-IFRS or non-GAAP financial measures to supplement their IFRS or GAAP results. Non-IFRS results are presented for supplemental informational purposes only to aid in understanding our operating results. The non-IFRS results should not be considered a substitute for financial information presented in accordance with IFRS, and may be different from non-IFRS or non-GAAP measures used by other companies.

Our non-IFRS financial measures include:

• Non-IFRS gross profit. Excludes expenses related to share-based compensation and amortization of acquired intangible assets.

• Non-IFRS operating income. Excludes expenses related to share-based compensation and amortization of acquired intangible assets.

• Non-IFRS net income and non-IFRS net income per diluted share. Excludes expenses related to share- based compensation, amortization of acquired intangible assets, non-coupon impact related to exchangeable senior notes and capped calls, the related income tax effects on these items, and changes in our assessment regarding the realizability of our deferred tax assets.

• Free cash flow. Free cash flow is defined as net cash provided by operating activities less capital expenditures, which consists of purchases of property and equipment.

Our non-IFRS financial measures reflect adjustments based on the items below:

• Share-based compensation

• Amortization of acquired intangible assets

• Non-coupon impact related to exchangeable senior notes and capped calls:

◦ Amortization of notes discount and issuance costs

◦ Mark to fair value of the exchangeable senior notes exchange feature

◦ Mark to fair value of the related capped call transactions

• The related income tax effects on these items, and changes in our assessment regarding the realizability of our deferred tax assets

We exclude expenses related to share-based compensation, amortization of acquired intangible assets, non-coupon impact related to exchangeable senior notes and capped calls, the related income tax effects on these items, and changes in our assessment regarding the realizability of our deferred tax assets from certain of our non-IFRS financial measures as we believe this helps investors understand our operational performance. In addition, share-based compensation expense can be difficult to predict and varies from period to period and company to company due to differing valuation methodologies, subjective assumptions, and the variety of equity instruments, as well as changes in stock price. Management believes that providing non-IFRS financial measures that exclude share-based compensation expense, amortization of acquired intangible assets, non-coupon impact related to exchangeable senior notes and capped calls, the related income tax effects on these items, and changes in our assessment regarding the realizability of our deferred tax assets allow for more meaningful comparisons between our operating results from period to period.

Management considers free cash flow to be a liquidity measure that provides useful information to management and investors about the amount of cash generated by our business that can be used for strategic opportunities, including investing in our business, making strategic acquisitions, and strengthening our statement of financial position.

Management uses non-IFRS gross profit, non-IFRS operating income, non-IFRS net income, non-IFRS net income per diluted share, and free cash flow:

4

• As measures of operating performance, because these financial measures do not include the impact of items not directly resulting from our core operations; 

• For planning purposes, including the preparation of our annual operating budget; 

• To allocate resources to enhance the financial performance of our business; 

• To evaluate the effectiveness of our business strategies; and 

• In communications with our Board of Directors concerning our financial performance.

The tables in this press release titled “Reconciliation of IFRS to Non-IFRS Results” and “Reconciliation of IFRS to Non-IFRS Financial Targets” provide reconciliations of non-IFRS financial measures to the most recent directly comparable financial measures calculated and presented in accordance with IFRS.

We understand that although non-IFRS gross profit, non-IFRS operating income, non-IFRS net income, non-IFRS net income per diluted share, and free cash flow are frequently used by investors and securities analysts in their evaluation of companies, these measures have limitations as analytical tools, and you should not consider them in isolation or as substitutes for analysis of our results of operations as reported under IFRS.

5

Atlassian Corporation Plc

Consolidated Statements of Operations

(U.S. $ and shares in thousands, except per share data)

(unaudited)

	Three Months Ended December 31,						Six Months Ended December 31,
	2018			2017			2018			2017
				*As Adjusted						*As Adjusted
Revenues:
Subscription	$	152,500		$	97,704		$	286,565		$	184,095
Maintenance	97,161			80,489			189,897			156,708
Perpetual license	25,778			21,444			47,617			40,892
Other	23,540			14,941			42,192			28,363
Total revenues	298,979			214,578			566,271			410,058
Cost of revenues (1) (2)	49,782			43,164			94,967			83,254
Gross profit	249,197			171,414			471,304			326,804
Operating expenses:
Research and development (1) (2)	131,364			101,324			255,744			196,186
Marketing and sales (1) (2)	68,950			44,519			121,212			89,611
General and administrative (1)	52,052			38,584			97,709			74,309
Total operating expenses	252,366			184,427			474,665			360,106
Operating loss	(3,169		)	(13,013		)	(3,361		)	(33,302		)
Other non-operating income (expense), net	32,592			(493		)	(204,656		)	(1,158		)
Finance income	7,659			1,568			14,925			2,823
Finance costs	(10,019		)	(7		)	(19,921		)	(16		)
Income (loss) before income tax benefit (expense)	27,063			(11,945		)	(213,013		)	(31,653		)
Income tax benefit (expense)	18,122			(52,264		)	15,753			(44,026		)
Net income (loss)	$	45,185		$	(64,209	)	$	(197,260	)	$	(75,679	)
Net income (loss) per share attributable to ordinary shareholders:
Basic	$	0.19		$	(0.28	)	$	(0.83	)	$	(0.33	)
Diluted	$	0.18		$	(0.28	)	$	(0.83	)	$	(0.33	)
Weighted-average shares outstanding used to compute net income (loss) per share attributable to ordinary shareholders:
Basic	237,740			230,208			236,979			229,182
Diluted	247,255			230,208			236,979			229,182

(1)Amounts include share-based payment expense, as follows:

	Three Months Ended December 31,				Six Months Ended December 31,
	2018		2017		2018		2017
Cost of revenues	$	3,766	$	3,180	$	7,285	$	6,172
Research and development	32,976		27,020		59,822		52,991
Marketing and sales	9,850		6,136		17,611		12,345
General and administrative	13,912		9,015		24,166		17,968

(2)Amounts include amortization of acquired intangible assets, as follows:

	Three Months Ended December 31,				Six Months Ended December 31,
	2018		2017		2018		2017
Cost of revenues	$	7,060	$	5,294	$	12,411	$	10,587
Research and development	21		—		21		—
Marketing and sales	10,368		9,023		19,356		18,045

* As adjusted to reflect the impact of the full retrospective adoption of IFRS 15.

6

Atlassian Corporation Plc

Consolidated Statements of Financial Position

(U.S. $ in thousands)

(unaudited)

	December 31, 2018			June 30, 2018
				*As Adjusted
Assets
Current assets:
Cash and cash equivalents	$	1,340,589		$	1,410,339
Short-term investments	303,772			323,134
Trade receivables	71,207			46,141
Current tax receivables	1,423			12,622
Prepaid expenses and other current assets	47,741			29,795
Total current assets	1,764,732			1,822,031
Non-current assets:
Property and equipment, net	63,716			51,656
Deferred tax assets	81,055			59,220
Goodwill	506,121			311,943
Intangible assets, net	120,942			63,577
Other non-current assets	188,378			113,401
Total non-current assets	960,212			599,797
Total assets	$	2,724,944		$	2,421,828
Liabilities
Current liabilities:
Trade and other payables	$	119,831		$	113,105
Current tax liabilities	1,664			172
Provisions	7,504			7,215
Deferred revenue	383,776			324,394
Total current liabilities	512,775			444,886
Non-current liabilities:
Deferred tax liabilities	32,976			12,160
Provisions	4,326			4,363
Deferred revenue	33,056			18,477
Exchangeable senior notes, net	836,403			819,637
Other non-current liabilities	485,660			214,985
Total non-current liabilities	1,392,421			1,069,622
Total liabilities	1,905,196			1,514,508
Equity
Share capital	23,844			23,531
Share premium	456,404			454,766
Other capital reserves	665,934			557,100
Other components of equity	(1,158		)	(61		)
Accumulated deficit	(325,276		)	(128,016		)
Total equity	819,748			907,320
Total liabilities and equity	$	2,724,944		$	2,421,828

* As adjusted to reflect the impact of the full retrospective adoption of IFRS 15.

7

Atlassian Corporation Plc

Consolidated Statements of Cash Flows

(U.S. $ in thousands)

(unaudited)

	Three Months Ended December 31,						Six Months Ended December 31,
	2018			2017			2018			2017
				*As Adjusted						*As Adjusted
Operating activities
Income (loss) before income tax benefit (expense)	$	27,063		$	(11,945	)	$	(213,013	)	$	(31,653	)
Adjustments to reconcile income (loss) before income tax benefit (expense) to net cash provided by operating activities:
Depreciation and amortization	20,685			20,990			38,100			41,570
Gain on sale of investments and other assets	(2,357		)	(16		)	(2,347		)	(32		)
Net unrealized gain on investments	(47		)	—			(47		)	—
Net unrealized foreign currency loss (gain)	530			(142		)	108			(162		)
Share-based payment expense	60,504			45,351			108,884			89,476
Net unrealized (gain) loss on exchange derivative and capped call transactions	(31,348		)	—			205,005			—
Amortization of debt discount and issuance cost	8,433			—			16,766			—
Interest income	(7,545		)	(1,568		)	(14,811		)	(2,823		)
Interest expense	1,585			—			3,155			—
Changes in assets and liabilities:
Trade receivables	(17,769		)	(4,668		)	(23,140		)	(8,387		)
Prepaid expenses and other assets	(18,885		)	(3,023		)	(17,207		)	(328		)
Trade and other payables, provisions and other non-current liabilities	32,252			5,105			17,974			6,258
Deferred revenue	51,097			21,653			72,745			42,894
Interest received	6,981			1,361			13,721			2,791
(Income tax paid) tax refunds received, net	(743		)	(770		)	9,472			(2,027		)
Net cash provided by operating activities	130,436			72,328			215,365			137,577
Investing activities
Business combinations, net of cash acquired	(263,554		)	—			(263,554		)	—
Purchases of intangible assets	—			—			(850		)	—
Purchases of property and equipment	(7,807		)	(4,550		)	(18,523		)	(7,114		)
Proceeds from sales of property, equipment and intangible assets	3,000			—			3,721			—
Purchases of investments	(129,948		)	(124,787		)	(194,389		)	(227,128		)
Proceeds from maturities of investments	93,581			31,119			185,914			81,887
Proceeds from sales of investments	151			32,674			5,672			82,058
Increase in restricted cash	(552		)	(3,009		)	(552		)	(3,141		)
Net cash used in investing activities	(305,129		)	(68,553		)	(282,561		)	(73,438		)
Financing activities
Proceeds from exercise of share options	707			1,278			1,704			2,155
Payment of exchangeable senior notes issuance costs	—			—			(410		)	—
Interest paid	(3,194		)	—			(3,194		)	—
Net cash (used in) provided by financing activities	(2,487		)	1,278			(1,900		)	2,155
Effect of exchange rate changes on cash and cash equivalents	(11		)	(19		)	(654		)	191
Net (decrease) increase in cash and cash equivalents	(177,191		)	5,034			(69,750		)	66,485
Cash and cash equivalents at beginning of period	1,517,780			305,871			1,410,339			244,420
Cash and cash equivalents at end of period	$	1,340,589		$	310,905		$	1,340,589		$	310,905

* As adjusted to reflect the impact of the full retrospective adoption of IFRS 15.

8

Atlassian Corporation Plc

Reconciliation of IFRS to Non-IFRS Results

(U.S. $ and shares in thousands, except per share data)

(unaudited)

	Three Months Ended December 31,						Six Months Ended December 31,
	2018			2017			2018			2017
				*As Adjusted						*As Adjusted
Gross profit
IFRS gross profit	$	249,197		$	171,414		$	471,304		$	326,804
Plus: Share-based payment expense	3,766			3,180			7,285			6,172
Plus: Amortization of acquired intangible assets	7,060			5,294			12,411			10,587
Non-IFRS gross profit	$	260,023		$	179,888		$	491,000		$	343,563
Operating income
IFRS operating loss	$	(3,169	)	$	(13,013	)	$	(3,361	)	$	(33,302	)
Plus: Share-based payment expense	60,504			45,351			108,884			89,476
Plus: Amortization of acquired intangible assets	17,449			14,317			31,788			28,632
Non-IFRS operating income	$	74,784		$	46,655		$	137,311		$	84,806
Net income
IFRS net income (loss)	$	45,185		$	(64,209	)	$	(197,260	)	$	(75,679	)
Plus: Share-based payment expense	60,504			45,351			108,884			89,476
Plus: Amortization of acquired intangible assets	17,449			14,317			31,788			28,632
Plus: Non-coupon impact related to exchangeable senior notes and capped calls	(22,915		)	—			221,771			—
Less: Income tax effects and adjustments	(38,528		)	36,564			(54,262		)	22,062
Non-IFRS net income	$	61,695		$	32,023		$	110,921		$	64,491
Net income per share
IFRS net income (loss) per share - diluted	$	0.18		$	(0.28	)	$	(0.83	)	$	(0.33	)
Plus: Share-based payment expense	0.24			0.20			0.47			0.39
Plus: Amortization of acquired intangible assets	0.07			0.06			0.13			0.12
Plus: Non-coupon impact related to exchangeable senior notes and capped calls	(0.08		)	—			0.90			—
Less: Income tax effects and adjustments	(0.16		)	0.15			(0.22		)	0.09
Non-IFRS net income per share - diluted	$	0.25		$	0.13		$	0.45		$	0.27
Weighted-average diluted shares outstanding
Weighted-average shares used in computing diluted IFRS net income (loss) per share	247,255			230,208			236,979			229,182
Plus: Dilution from share options and RSUs (1)	—			13,170			10,066			13,124
Weighted-average shares used in computing diluted non-IFRS net income per share	247,255			243,378			247,045			242,306
Free cash flow
IFRS net cash provided by operating activities	$	130,436		$	72,328		$	215,365		$	137,577
Less: Capital expenditures	(7,807		)	(4,550		)	(18,523		)	(7,114		)
Free cash flow	$	122,629		$	67,778		$	196,842		$	130,463

* As adjusted to reflect the impact of the full retrospective adoption of IFRS 15.

(1) The effects of these dilutive securities were not included in the IFRS calculation of diluted net loss per share for the three months ended December 31, 2017 and the six months ended December 31, 2018 and 2017 because the effect would have been anti-dilutive.

9

Atlassian Corporation Plc

Reconciliation of IFRS to Non-IFRS Financial Targets

(U.S. $)

	Three Months Ending March 31, 2019		Fiscal Year Ending June 30, 2019
Revenue	$303 million to $305 million		$1,195 million to $1,199 million
IFRS gross margin	82%		83%
Plus: Share-based payment expense	2		1
Plus: Amortization of acquired intangible assets	2		2
Non-IFRS gross margin	86%		86%
IFRS operating margin	(10%)		(6%) to (5.5%)
Plus: Share-based payment expense	23		21
Plus: Amortization of acquired intangible assets	4		5
Non-IFRS operating margin	17%		20% to 20.5%
IFRS net loss per share - diluted	($0.14)		($1.07) to ($1.06)
Plus: Share-based payment expense	0.29		1.01
Plus: Amortization of acquired intangible assets	0.05		0.22
Plus: Non-coupon impact related to exchangeable senior notes and capped calls	0.03		0.97
Less: Income tax effects and adjustments	(0.05	)	(0.32	)
Non-IFRS net income per share - diluted	$0.18		$0.81 to $0.82
Weighted-average shares used in computing diluted IFRS net loss per share	238 million to 239 million		238 million to 240 million
Dilution from share options and RSUs (1)	10 million to 11 million		10 million
Weighted-average shares used in computing diluted non-IFRS net income per share	248 million to 250 million		248 million to 250 million
IFRS net cash provided by operating activities			$410 million to $420 million
Less: Capital expenditures			(40 million)
Free cash flow			$370 million to $380 million

(1) The effects of these dilutive securities are not included in our IFRS calculation of diluted net loss per share for the three months ending March 31, 2019 and fiscal year ending June 30, 2019 because the effect would be anti-dilutive.

10

EX-99.2

| January 17, 2019 Shareholder Letter Q2 FY19
 January 17, 2019

From the CEOs Fellow shareholders, Australians often to refer to ‘something excellent’ as being a ‘ripper.’ And we had a ‘ripper’ of a quarter. We finished calendar year 2018 on a high note, surpassing $1 billion in calendar year revenue for the first time. Our Q2’19 was another strong quarter, delivering $299.0 million of revenue, up 39% year-over-year. We also closed our acquisition of Opsgenie and ended the quarter with a total customer count of 138,235. Not to be content with that, we continued to grow our business within IT teams, acquired Butler for Trello, hit a significant customer milestone for Jira Software, and made new infrastructure investments to support our growing Cloud customer base. Getting deeper with IT teams Supporting IT teams across companies of all sizes is an immense and early opportunity for us. CIOs and IT leaders of companies large and small must drive significant change in their organizations as they become more service-driven and agile-oriented. As software eats the world, more and more companies become software companies. We thus hear increasing demand from the market for new and better ways to manage complicated workflows and improve cross-functional collaboration as part of this digital transformation. In fiscal 2019, we are focusing intently on serving the expanding needs of IT teams across a range of complex collaborative workflows, from agile planning at scale to incident lifecycle management. In October, we took a significant step forward towards this goal by closing our acquisition of Opsgenie, a leader in incident alerting and on-call schedule management. Opsgenie targets a critical piece of the incident management lifecycle - an area of increasing focus for IT organizations, given that preventing and responding to service disruptions has become one of their biggest challenges today. During the quarter, we wasted no time marrying the new capabilities of Opsgenie with Atlassian’s unique and powerful go-to-market model. Core to our growth since Atlassian’s inception is the fundamental belief that software should be bought and not sold, and that we can reach all customer segments of the markets we serve through incredible product, affordable pricing and amazing customer service. We have executed on this belief by investing in R&D to build great products that compel customers to use and share them, while reducing the cost and friction typically associated with getting those products to end-users. Note: All financial results and targets in this letter are based on the new revenue recognition standard IFRS 15. Q2 FY19 2

Opsgenie has developed an incredible product and we are helping it reach the broadest audience possible. Because Opsgenie is a compelling offering in a nascent segment of IT, we’re approaching the market aggressively. In October, we introduced a new free plan for up to five users, reduced the overall price of Opsgenie’s annual subscription plans by approximately 35%, and introduced volume discounts that help us reach more of the the Fortune 500,000. We are amplifying Opsgenie’s marketing, getting the word out with a broad digital and out-of- home advertising campaign across the U.S. and Europe, featuring a new logo in Atlassian’s trademark color and style. In addition, we introduced Opsgenie to our global network of Solution Partners. It’s all systems go and we are extremely excited to take Opsgenie to the next level of its growth. During the quarter, we also rolled out support for asset management in Jira Service Desk, providing integrations with best-of-breed providers like Oomnitza, Riada (in early access), and Device42. With the proliferation of technology in a software-powered world, it has become increasingly complex for IT professionals - especially in larger enterprises - to manage and track their employees’ hardware and software. The new integrations allow IT teams to map assets, like laptops and software licenses, to their internal customers. When the time comes for troubleshooting, time isn’t wasted looking up which assets are associated with the issue. Employees can even request support from within Slack, thanks to the Oomnitza Bot for asset management. These updates are all part of helping IT teams use Jira Service Desk to offer even more efficient service to the teams they support. Q2 FY19 3

A new milestone for Jira Software The first version of our flagship product, Jira Software, launched in 2002. Jira’s ease of use, feature breadth and extensibility have made it a vital part of how technology teams across software and IT organizations get work done. We now have more than 65,000 customers worldwide using Jira Software, with ample room to continue growing. Central to the success of Jira Software is the constant rate of improvement and introduction of new capabilities. Jira Software is already one of the most powerful project management tools on the market, and we’ve been focusing on making it simpler and more accessible for a wider range of users and use cases. Q2 FY19 4

We recently introduced roadmaps in Jira Software, which ensure everyone has a clear view of what big initiatives are underway and how they map to the actual work items in each project. Roadmaps help product managers bring order to chaos so that everyone on the team – from senior executives, to product leaders, to design, to development – understands the status of work and are aligned on upcoming priorities. While still a new feature, we’re pleased that many users are already taking advantage of roadmaps in the latest version of Jira Software. Additionally, we redesigned the Jira issue – the core unit of work connecting tools, processes, and teams of all kinds – making it easier for users to understand what’s most important. We are helping users feel at home by integrating with tools they already use (like New Relic, Gmail, and Invision) so all their work stays in sync. Finally, end-users now have the power to create and customize boards to track their work, without needing an administrator’s help or putting another project’s customizations at risk. Q2 FY19 5

Trello gets a Butler In December, we announced the acquisition of Butler for Trello, a workflow automation tool that is one of Trello’s most popular integrations. Working more efficiently has become a necessary skill with the constant demands on time in the modern workplace. As we incorporate Butler’s technology into Trello, we will empower teams of all kinds, such as HR, marketing, and finance, to automate manual and repetitive tasks without the need for complicated code or formulas. Instead of creating complex macros in spreadsheets, for example, teams can codify business rules and processes. Tasks that might take ten steps to accomplish manually can be automated into a single click. Butler allows anyone to do this by turning simple words and sentences into customizable commands in their Trello boards - no code required. For instance, a marketing team could automatically move Trello cards representing steps in a digital advertising campaign from “To Do” to “In Progress” based on upcoming due dates, or be assigned to teammates when they move from list to list. We’ll be integrating Butler into Trello more deeply in the coming months, and are excited to offer this powerful feature to all Trello users as native functionality. Q2 FY19 6

Supporting our global Cloud customer base With more than 100,000 Cloud customers, and with over 85% of net new customers choosing Cloud products during the quarter, supporting the growth of our global Cloud customer base is a top priority for Atlassian. At the end of calendar year 2017, we completed the transition of our Cloud infrastructure to AWS as part of one of our largest engineering efforts. We continue to invest in our Cloud platform and will soon bring online new AWS data centers in Frankfurt, Sydney, and Singapore, complementing our existing data centers in the U.S. and Ireland. With customers in more than 180 countries around the globe, we will further improve their experience no matter where they are in the world. Data Center-approved apps - off to a great start Last quarter we shared the news about Data Center-approved apps in the Atlassian Marketplace. Since then, the number of apps meeting this more rigorous, Data Center-specific standard has grown from approximately 100 to over 200. We’ve seen a positive early reception to the new Data Center apps. In fact, since the apps became available in September, more than 20% of Jira Software Data Center customers have purchased at least one approved app. And based on the initial response from our ecosystem vendors and customers, we expect these numbers to keep growing. Atlassian Summit 2019 / Investor session This year, we'll be holding our Atlassian Summit user conference in Las Vegas for the first time, at the Mandalay Bay South Convention Center, from April 9-11, 2019. We will also be hosting an Investor session at Summit 2019 on April 10 - look for more information in the coming months. General information on Summit can be found at https://www.atlassian.com/company/events/ summit. We look forward to seeing many of you there! MIKE & SCOTT Mike Cannon-Brookes
 Scott Farquhar Co-founder and CEO Co-founder and CEO Q2 FY19 7

Jay Simons, President Customer highlights Our customers represent diverse industries and geographies, from start-ups to blue chip companies, thanks to our highly automated sales model that allows us to target the Fortune 500,000. We finished Q2’19 with a total customer count of 138,235. We added 6,551 net new customers during the quarter; this number benefited from an increase of 1,396 customers as a result of our acquisition of Opsgenie during the quarter. Excluding the impact from Opsgenie, we added 5,155 net new customers during the quarter. Over 85% of our net-new customers in Q2’19 chose one or more of our Cloud products. Customers Period ended 138,235 *** 131,684 125,796 119,158 112,571 107,746** 89,237 85,031* 68,837 65,673 Q1'17 Q2'17 Q3'17 Q4'17 Q1'18 Q2'18 Q3'18 Q4'18 Q1'19 Q2'19 *Includes an increase of 12,789 customers as a result of our acquisition of Trello during Q3’17. **Includes an increase of 14,263 customers primarily as a result of Bitbucket Cloud pricing changes. ***Includes an increase of 1,396 customers as a result of our acquisition of Opsgenie during Q2’19. Customers: We define the number of customers at the end of any particular period as the number of organizations with unique domains that have at least one active and paid product license or subscription for which they paid approximately $10 or more per month. While a single customer may have distinct departments, operating segments or subsidiaries with multiple active product licenses or subscriptions, if the product deployments share a unique domain name, we only include the customer once for purposes of calculating this metric. We define active licenses as those licenses that are under an active maintenance or subscription contract as of period end. Some of the new customers we added during the quarter include Chinese ride-hailing and technology conglomerate Didi Chuxing, chemical company LG Chem, international food retailer DIA group, French university Paris-Dauphine, fintech startup Flywire, building materials supplier Amerhart, and luxury fashion holding company Tapestry. Q2 FY19 8

Customers use our products in a variety of ways, across all types of teams. While it would be difficult to list the thousands of use cases for our products, each quarter we like to share a handful of the stories our customers share with us. These examples illustrate the breadth of application and versatility of our products, and demonstrate how we expand across teams, departments and customer organizations. ANZ Company-wide agile transformation process When CEO Shayne Elliot arrived at the helm of ANZ, one of the oldest and biggest banks in Australia, he recognized that the state of banking around the world was going through change. Banks, which traditionally have been risk averse and slow moving organizations, are ripe for disruption in today’s world where speed and flexibility are paramount for success. Elliot saw signs of competition everywhere, mostly from smaller companies with new technology and new ways of operating. To stay competitive, he knew ANZ would have to embrace iterative processes and constant feedback – that is, move faster – or be left behind. Elliott has launched a sweeping initiative to reorganize the company into small, multidisciplinary agile teams, with a high degree of autonomy, which will allow ANZ to react faster to market changes and better serve customers. “I think you’re going to see banks look less and less alike than what we’ve been used to in the past 20 to 30 years,” says Elliot. “The people that survive in that disruptive world are those that can adapt, and those that can adapt and scale at speed.” To unleash this agile transformation process, ANZ turned to Atlassian. Development teams within ANZ had been using Jira Software and Confluence for several years, but in order to make a cultural shift that would change how its employees worked and create an open, transparent company, ANZ recognized it would need to use Atlassian tools more broadly across its operations. ANZ found that tools such as Jira and Confluence, which are open by default and provide visibility to work being done, would better allow teams to accomplish things together. Teams at ANZ have had to adapt to the change, as it requires a whole new way of working. No longer can individuals work in silos - there now has to be active collaboration between team members, sharing information, work, and ideas. With teams equipped with Atlassian tools and empowered to make decisions, they are finding this is a better way to work. ANZ employees now say they have more trust in their teammates, more investment in the outcome of projects and the success of the company, and, indeed, are happier in their work. By embracing agile ways of working and integrating them with Atlassian tools, ANZ has put itself in a position to deliver products quicker and is more attuned to the world’s constantly changing business demands. Q2 FY19 9

EBSCO Delivering always-on services through agile incident management and Opsgenie EBSCO, one of the largest privately held and family-owned companies in the United States, is a leading provider of research databases, e-journals, magazine subscriptions, e-books, and discovery services to libraries. As EBSCO’s business grew, so did the demands of their international customer base who expected to have access to their content and services 24/7 and 365 days a year. To meet the increasing demands of their customers, EBSCO had been moving to an agile development model. This transition was critical in their ability to innovate and ship new products and services quickly. At the same time, the dev and operations teams were lost in a sea of alerts. Each team had their own monitoring tools in place, and silos of data were developing. It became impossible to route these alerts or collaborate effectively. EBSCO uses Opsgenie as their incident management platform to consolidate alerts from various monitoring tools and help an expanding set of teams better plan for service disruptions by routing alerts to the right person at the right time. Today the EBSCO team is in control. Engineers have detailed incident management plans in place so when an incident does occur, they respond quickly and efficiently. This proactive approach allows them to resolve issues faster and focus on providing a better experience for their customers globally. Q2 FY19 10

James Beer, Chief Financial Officer Financial highlights Second quarter of fiscal 2019 financial summary Second quarter fiscal 2019 financial(in thousands summary, except per share data and percentage) (in thousands, except per share data) Three Months Ended December 31, 2018 2017 *As Adjusted IFRS Results Revenue $298,979 $214,578 Gross profit $249,197 $171,414 Gross margin 83.3% 79.9% Operating loss ($3,169) ($13,013) Operating margin (1.1%) (6.1%) Net income (loss) $45,185 ($64,209) Net income (loss) per share - diluted $0.18 ($0.28) Cash flow from operations $130,436 $72,328 Non-IFRS Results Gross profit $260,023 $179,888 Gross margin 87.0% 83.8% Operating income $74,784 $46,655 Operating margin 25.0% 21.7% Net income $61,695 $32,023 Net income per share - diluted $0.25 $0.13 Free cash flow $122,629 $67,778 *Adjusted to reflect the adoption of IFRS 15. * As adjusted to reflect the impact of the full retrospective adoption of IFRS 15. A reconciliation of IFRS to non-IFRS measures is provided within tables at the end of this letter, in our earnings press release or posted on our Investor Relations website. Second quarter fiscal 2019 results Revenue Total revenue for Q2'19 was $299.0 million, up 39% year-over-year. Our revenue by line item for the quarter is as follows: • Subscription revenue primarily relates to fees earned from sales of our Cloud products. The remainder of this revenue relates to sales of our Data Center products, which are Server products sold to our largest enterprise customers on a subscription basis. We typically recognize subscription revenue ratably over the term of the contract. For Q2'19, subscription revenue was $152.5 million, up 56% year-over-year. • Maintenance revenue represents fees earned from providing customers updates, upgrades and technical product support for our perpetual license products. Maintenance revenue is recognized ratably over the support period, which is typically 12 months. For Q2'19, maintenance revenue was $97.2 million, up 21% year-over-year. Q2 FY19 11

• License revenue is related to fees earned from the sale of perpetual licenses for our Server products, and is recognized at the time of sale. For Q2'19, license revenue was $25.8 million, up 20% year-over-year. • Other revenue includes our portion of the fees received from sales of third-party apps in the Atlassian Marketplace, and for training services. For Q2'19, other revenue was $23.5 million, up 58% year-over-year. Total Revenue $299 U.S. $ in millions (Y/Y growth rate in %) $267 $247 $224 $215 $195 37% 39% Q1'18 Q2'18 Q3'18 Q4'18 Q1'19 Q2'19 Revenue by type $299 U.S. $ in millions (Y/Y growth rate in %) $267 $247 20% $224 12% $215 $195 21% 22% 56% 55% Q1'18 Q2'18 Q3'18 Q4'18 Q1'19 Q2'19 Subscription Maintenance Perpetual License Other Note: Prior period information has been adjusted to reflect the adoption of IFRS 15. Q2 FY19 12

Margins and operating expenses IFRS gross margin for Q2'19 was 83.3%, compared with 79.9% for Q2'18. Non-IFRS gross margin for Q2'19 was 87.0%, compared with 83.8% for Q2'18. On an IFRS basis, operating expenses were $252.4 million in Q2'19, up 37% from $184.4 million in Q2'18. On a non-IFRS basis, operating expenses were $185.2 million in Q2'19, up 39% from $133.2 million in Q2'18: • Research & development expense on an IFRS basis was $131.4 million in Q2'19, compared with $101.3 million in Q2'18. Research & development expense on a non-IFRS basis was $98.4 million, or 32.9% of revenue, in Q2'19, compared with $74.3 million, or 34.6% of revenue, in Q2'18. • Marketing & sales expense on an IFRS basis was $69.0 million in Q2'19, compared with $44.5 million in Q2'18. Marketing & sales expense on a non-IFRS basis was $48.7 million, or 16.3% of revenue, in Q2'19, compared with $29.4 million, or 13.7% of revenue, in Q2'18. • General & administrative expense on an IFRS basis was $52.1 million in Q2'19, compared with $38.6 million in Q2'18. General & administrative expense on a non-IFRS basis was $38.1 million, or 12.8% of revenue, in Q2'19, compared with $29.6 million, or 13.8% of revenue, in Q2'18. Total employee headcount was 3,061 at the end of Q2'19, an increase of 323 employees since the end of Q1'19. Our headcount growth during the quarter included the addition of 159 employees from Opsgenie. We added an additional 164 employees across all major organizations, with the largest portion being in R&D. IFRS operating loss was $3.2 million for Q2'19, compared with an IFRS operating loss of $13.0 million for Q2'18. Non-IFRS operating income was $74.8 million, or 25.0% of revenue for Q2'19, compared with $46.7 million or 21.7% of revenue for Q2'18. Net income IFRS net income was $45.2 million, or $0.18 per diluted share, for Q2'19 compared with an IFRS net loss of $64.2 million, or ($0.28) per diluted share, for Q2'18. Non-IFRS net income was $61.7 million, or $0.25 per diluted share, for Q2'19 compared with $32.0 million, or $0.13 per diluted share, for Q2'18. Under IFRS, we are required to mark-to-market the exchange feature of our exchangeable senior notes and the related capped calls at the end of each reporting period. Net income for Q2'19 included a non-cash gain recorded in “other non-operating income” of $31.3 million, as a result of marking to fair value the exchange feature and the capped calls. We exclude this non- cash impact of marking these to market from our non-IFRS net income and non-IFRS net income per share results. Q2 FY19 13

Balance sheet Atlassian finished Q2’19 with $1.6 billion in cash and cash equivalents and short-term investments. During the quarter, we used approximately $259.5 million in cash to acquire Opsgenie. Free cash flow Cash flow from operations for Q2’19 was $130.4 million, while capital expenditures totaled $7.8 million, resulting in free cash flow of $122.6 million. Free cash flow margin for Q2’19, defined as free cash flow as a percentage of revenue, was 41.0%. Q2 FY19 14

Financial targets for Q3’19 andF fiscalinancial 2019 Targets IFRS Three Months Ending Fiscal Year Ending March 31, 2019 June 30, 2019 Revenue $303 million to $305 million $1,195 million to $1,199 million Gross margin 82% 83% Operating margin (10%) (6%) to (5.5%) Net loss per share - diluted ($0.14) ($1.07) to ($1.06) Weighted-avg. shares used in computing diluted IFRS net loss per share 238 million to 239 million 238 million to 240 million Cash flow from operations not provided $410 million to $420 million Non-IFRS Three Months Ending Fiscal Year Ending March 31, 2019 June 30, 2019 Gross margin 86% 86% Operating margin 17% 20% to 20.5% Net income per share - diluted $0.18 $0.81 to $0.82 Weighted-avg. shares used in computing diluted non-IFRS net income per share 248 million to 250 million 248 million to 250 million Free cash flow not provided $370 million to $380 million Revenue Our targets for Q3’19 and fiscal 2019 are based on the new revenue recognition standard IFRS 15. Margins For our non-IFRS operating margin, as disclosed previously, we anticipate the margin will be lower in 2H’19 relative to 1H’19. Our Q3’19 non-IFRS operating margin target incorporates our regular annual salary increases for employees, in addition to the annual reset of employer payroll taxes with the commencement of a new calendar year. Additionally, in both Q3’19 and Q4’19, we anticipate the pace of hiring to increase, especially in R&D, to support areas such as the growth of our Cloud products, our Cloud platform, our expansion in the IT teams space (including continued investment in Opsgenie), and our Data Center offerings. Net income and net income per share Our fiscal 2019 targets for IFRS and non-IFRS net income and net income per diluted share assume other income will be approximately $25 million in fiscal 2019. This is based on assumptions of: • our current holdings of cash and cash equivalents, and short-term investments, which include the proceeds from our exchangeable senior notes; • the estimated interest income we expect to receive in fiscal 2019 from investing the cash and cash equivalents, and short-term investments; and • the cash interest expense related to the notes. These assumptions exclude the non-coupon impact of the notes and capped calls. Free cash flow Our free cash flow target for fiscal 2019 continues to assume estimated capital expenditures to be approximately $40 million during the fiscal year, due to investments in new leased facilities, including our new office in Bengaluru, India. Q2 FY19 15

ATLASSIAN CORPORATION PLC Consolidated statements of operations (U.S. $ and shares in thousands, except per share data)
 (unaudited) Three Months Ended Six Months Ended December 31, December 31, 2018 2017 2018 2017 *As Adjusted *As Adjusted Revenues: Subscription $ 152,500 $ 97,704 $ 286,565 $ 184,095 Maintenance 97,161 80,489 189,897 156,708 Perpetual license 25,778 21,444 47,617 40,892 Other 23,540 14,941 42,192 28,363 Total revenues 298,979 214,578 566,271 410,058 Cost of revenues (1) (2) 49,782 43,164 94,967 83,254 Gross profit 249,197 171,414 471,304 326,804 Operating expenses: Research and development (1) (2) 131,364 101,324 255,744 196,186 Marketing and sales (1) (2) 68,950 44,519 121,212 89,611 General and administrative (1) 52,052 38,584 97,709 74,309 Total operating expenses 252,366 184,427 474,665 360,106 Operating loss (3,169) (13,013) (3,361) (33,302) Other non-operating income (expense), net 32,592 (493) (204,656) (1,158) Finance income 7,659 1,568 14,925 2,823 Finance costs (10,019) (7) (19,921) (16) Income (loss) before income tax benefit (expense) 27,063 (11,945) (213,013) (31,653) Income tax benefit (expense) 18,122 (52,264) 15,753 (44,026) Net income (loss) $ 45,185 $ (64,209) $ (197,260) $ (75,679) Net income (loss) per share attributable to ordinary shareholders: Basic $ 0.19 $ (0.28) $ (0.83) $ (0.33) Diluted $ 0.18 $ (0.28) $ (0.83) $ (0.33) Weighted-average shares outstanding used to compute net income (loss) per share attributable to ordinary shareholders: Basic 237,740 230,208 236,979 229,182 Diluted 247,255 230,208 236,979 229,182 (1) Amounts include share-based payment expense, as follows: Three Months Ended Six Months Ended December 31, December 31, 2018 2017 2018 2017 Cost of revenues $ 3,766 $ 3,180 $ 7,285 $ 6,172 Research and development 32,976 27,020 59,822 52,991 Marketing and sales 9,850 6,136 17,611 12,345 General and administrative 13,912 9,015 24,166 17,968 (2) Amounts include amortization of acquired intangible assets, as follows: Three Months Ended Six Months Ended December 31, December 31, 2018 2017 2018 2017 Cost of revenues $ 7,060 $ 5,294 $ 12,411 $ 10,587 Research and development 21 — 21 — Marketing and sales 10,368 9,023 19,356 18,045 * As adjusted to reflect the impact of the full retrospective adoption of IFRS 15. Q2 FY19 16

ATLASSIAN CORPORATION PLC Consolidated statements of financial position (U.S. $ in thousands)
 (unaudited) December 31, 2018 June 30, 2018 *As Adjusted Assets Current assets: Cash and cash equivalents $ 1,340,589 $ 1,410,339 Short-term investments 303,772 323,134 Trade receivables 71,207 46,141 Current tax receivables 1,423 12,622 Prepaid expenses and other current assets 47,741 29,795 Total current assets 1,764,732 1,822,031 Non-current assets: Property and equipment, net 63,716 51,656 Deferred tax assets 81,055 59,220 Goodwill 506,121 311,943 Intangible assets, net 120,942 63,577 Other non-current assets 188,378 113,401 Total non-current assets 960,212 599,797 Total assets $ 2,724,944 $ 2,421,828 Liabilities Current liabilities: Trade and other payables $ 119,831 $ 113,105 Current tax liabilities 1,664 172 Provisions 7,504 7,215 Deferred revenue 383,776 324,394 Total current liabilities 512,775 444,886 Non-current liabilities: Deferred tax liabilities 32,976 12,160 Provisions 4,326 4,363 Deferred revenue 33,056 18,477 Exchangeable senior notes, net 836,403 819,637 Other non-current liabilities 485,660 214,985 Total non-current liabilities 1,392,421 1,069,622 Total liabilities 1,905,196 1,514,508 Equity Share capital 23,844 23,531 Share premium 456,404 454,766 Other capital reserves 665,934 557,100 Other components of equity (1,158) (61) Accumulated deficit (325,276) (128,016) Total equity 819,748 907,320 Total liabilities and equity $ 2,724,944 $ 2,421,828 * As adjusted to reflect the impact of the full retrospective adoption of IFRS 15. Q2 FY19 17

ATLASSIAN CORPORATION PLC Consolidated statements of cash flows (U.S. $ in thousands) (unaudited) Three Months Ended Six Months Ended December 31, December 31, 2018 2017 2018 2017 *As Adjusted *As Adjusted Operating activities Income (loss) before income tax benefit (expense) $ 27,063 $ (11,945) $ (213,013) $ (31,653) Adjustments to reconcile income (loss) before income tax benefit (expense) to net cash provided by operating activities: Depreciation and amortization 20,685 20,990 38,100 41,570 Gain on sale of investments and other assets (2,357) (16) (2,347) (32) Net unrealized gain on investments (47) — (47) — Net unrealized foreign currency loss (gain) 530 (142) 108 (162) Share-based payment expense 60,504 45,351 108,884 89,476 Net unrealized (gain) loss on exchange derivative and capped call transactions (31,348) — 205,005 — Amortization of debt discount and issuance cost 8,433 — 16,766 — Interest income (7,545) (1,568) (14,811) (2,823) Interest expense 1,585 — 3,155 — Changes in assets and liabilities: Trade receivables (17,769) (4,668) (23,140) (8,387) Prepaid expenses and other assets (18,885) (3,023) (17,207) (328) Trade and other payables, provisions and other non-current liabilities 32,252 5,105 17,974 6,258 Deferred revenue 51,097 21,653 72,745 42,894 Interest received 6,981 1,361 13,721 2,791 (Income tax paid) tax refunds received, net (743) (770) 9,472 (2,027) Net cash provided by operating activities 130,436 72,328 215,365 137,577 Investing activities Business combinations, net of cash acquired (263,554) — (263,554) — Purchases of intangible assets — — (850) — Purchases of property and equipment (7,807) (4,550) (18,523) (7,114) Proceeds from sales of property, equipment and intangible assets 3,000 — 3,721 — Purchases of investments (129,948) (124,787) (194,389) (227,128) Proceeds from maturities of investments 93,581 31,119 185,914 81,887 Proceeds from sales of investments 151 32,674 5,672 82,058 Increase in restricted cash (552) (3,009) (552) (3,141) Net cash used in investing activities (305,129) (68,553) (282,561) (73,438) Financing activities Proceeds from exercise of share options 707 1,278 1,704 2,155 Payment of exchangeable senior notes issuance costs — — (410) — Interest paid (3,194) — (3,194) — Net cash (used in) provided by financing activities (2,487) 1,278 (1,900) 2,155 Effect of exchange rate changes on cash and cash equivalents (11) (19) (654) 191 Net (decrease) increase in cash and cash equivalents (177,191) 5,034 (69,750) 66,485 Cash and cash equivalents at beginning of period 1,517,780 305,871 1,410,339 244,420 Cash and cash equivalents at end of period $ 1,340,589 $ 310,905 $ 1,340,589 $ 310,905 * As adjusted to reflect the impact of the full retrospective adoption of IFRS 15. Q2 FY19 18

ATLASSIAN CORPORATION PLC Reconciliation of IFRS to non-IFRS results (U.S. $ and shares in thousands, except per share data)
 (unaudited) Three Months Ended Six Months Ended December 31, December 31, 2018 2017 2018 2017 *As Adjusted *As Adjusted Gross profit IFRS gross profit $ 249,197 $ 171,414 $ 471,304 $ 326,804 Plus: Share-based payment expense 3,766 3,180 7,285 6,172 Plus: Amortization of acquired intangible assets 7,060 5,294 12,411 10,587 Non-IFRS gross profit $ 260,023 $ 179,888 $ 491,000 $ 343,563 Operating income IFRS operating loss $ (3,169) $ (13,013) $ (3,361) $ (33,302) Plus: Share-based payment expense 60,504 45,351 108,884 89,476 Plus: Amortization of acquired intangible assets 17,449 14,317 31,788 28,632 Non-IFRS operating income $ 74,784 $ 46,655 $ 137,311 $ 84,806 Net income IFRS net income (loss) $ 45,185 $ (64,209) $ (197,260) $ (75,679) Plus: Share-based payment expense 60,504 45,351 108,884 89,476 Plus: Amortization of acquired intangible assets 17,449 14,317 31,788 28,632 Plus: Non-coupon impact related to exchangeable senior notes and capped calls (22,915) — 221,771 — Less: Income tax effects and adjustments (38,528) 36,564 (54,262) 22,062 Non-IFRS net income $ 61,695 $ 32,023 $ 110,921 $ 64,491 Net income per share IFRS net income (loss) per share - diluted $ 0.18 $ (0.28) $ (0.83) $ (0.33) Plus: Share-based payment expense 0.24 0.20 0.47 0.39 Plus: Amortization of acquired intangible assets 0.07 0.06 0.13 0.12 Plus: Non-coupon impact related to exchangeable senior notes and capped calls (0.08) — 0.90 — Less: Income tax effects and adjustments (0.16) 0.15 (0.22) 0.09 Non-IFRS net income per share - diluted $ 0.25 $ 0.13 $ 0.45 $ 0.27 Weighted-average diluted shares outstanding Weighted-average shares used in computing diluted IFRS net income (loss) per share 247,255 230,208 236,979 229,182 Plus: Dilution from share options and RSUs (1) — 13,170 10,066 13,124 Weighted-average shares used in computing diluted non-IFRS net income per share 247,255 243,378 247,045 242,306 Free cash flow IFRS net cash provided by operating activities $ 130,436 $ 72,328 $ 215,365 $ 137,577 Less: Capital expenditures (7,807) (4,550) (18,523) (7,114) Free cash flow $ 122,629 $ 67,778 $ 196,842 $ 130,463 * As adjusted to reflect the impact of the full retrospective adoption of IFRS 15. (1) The effects of these dilutive securities were not included in the IFRS calculation of diluted net loss per share for the three months ended December 31, 2017 and the six months ended December 31, 2018 and 2017 because the effect would have been anti-dilutive. Q2 FY19 19

ATLASSIAN CORPORATION PLC Reconciliation of IFRS to non-IFRS financial targets (U.S. $) Three Months Ending Fiscal Year Ending March 31, 2019 June 30, 2019 Revenue $303 million to $305 million $1,195 million to $1,199 million IFRS gross margin 82% 83% Plus: Share-based payment expense 2 1 Plus: Amortization of acquired intangible assets 2 2 Non-IFRS gross margin 86% 86% IFRS operating margin (10%) (6%) to (5.5%) Plus: Share-based payment expense 23 21 Plus: Amortization of acquired intangible assets 4 5 Non-IFRS operating margin 17% 20% to 20.5% IFRS net loss per share - diluted ($0.14) ($1.07) to ($1.06) Plus: Share-based payment expense 0.29 1.01 Plus: Amortization of acquired intangible assets 0.05 0.22 Plus: Non-coupon impact related to exchangeable senior notes and capped calls 0.03 0.97 Less: Income tax effects and adjustments (0.05) (0.32) Non-IFRS net income per share - diluted $0.18 $0.81 to $0.82 Weighted-average shares used in computing diluted IFRS net loss per share 238 million to 239 million 238 million to 240 million Dilution from share options and RSUs (1) 10 million to 11 million 10 million Weighted-average shares used in computing diluted non-IFRS net income per share 248 million to 250 million 248 million to 250 million IFRS net cash provided by operating activities $410 million to $420 million Less: Capital expenditures (40 million) Free cash flow $370 million to $380 million (1) The effect of these dilutive securities are not included in our IFRS calculation of diluted net loss per share for the three months ending March 31, 2019 and fiscal year ending June 30, 2019 because the effect would be anti-dilutive. Q2 FY19 20

FORWARD-LOOKING STATEMENTS This shareholder letter contains forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995, which statements involve substantial risks and uncertainties. All statements other than statements of historical fact could be deemed forward looking, including risks and uncertainties related to statements about our anticipated growth, anticipated benefits of the Opsgenie and Butler for Trello acquisitions, products, customers, market expansion, technology and other key strategic areas, and our financial targets such as revenue, share count and IFRS and non-IFRS financial measures including gross margin, operating margin, net income per diluted share and free cash flow. We undertake no obligation to update any forward-looking statements made in this shareholder letter to reflect events or circumstances after the date of this shareholder letter or to reflect new information or the occurrence of unanticipated events, except as required by law. The achievement or success of the matters covered by such forward-looking statements involves known and unknown risks, uncertainties and assumptions. If any such risks or uncertainties materialize or if any of the assumptions prove incorrect, our results could differ materially from the results expressed or implied by the forward-looking statements we make. You should not rely upon forward-looking statements as predictions of future events. Forward-looking statements represent our management’s beliefs and assumptions only as of the date such statements are made. Further information on these and other factors that could affect our financial results is included in filings we make with the Securities and Exchange Commission from time to time, including the section titled “Risk Factors” in our most recent Forms 20-F and 6-K (reporting our quarterly results). These documents are available on the SEC Filings section of the Investor Relations section of our website at: https://investors.atlassian.com. ABOUT NON-IFRS FINANCIAL MEASURES Our reported results and financial targets include certain non-IFRS financial measures, including non-IFRS gross profit, non-IFRS operating income, non-IFRS net income, non-IFRS net income per diluted share, and free cash flow. Management believes that the use of these non-IFRS financial measures provides consistency and comparability with our past financial performance, facilitates period-to-period comparisons of our results of operations, and also facilitates comparisons with peer companies, many of which use similar non-IFRS or non-GAAP financial measures to supplement their IFRS or GAAP results. Non-IFRS results are presented for supplemental informational purposes only to aid in understanding our operating results. The non-IFRS results should not be considered a substitute for financial information presented in accordance with IFRS, and may be different from non-IFRS or non- GAAP measures used by other companies. Our non-IFRS financial measures include: • Non-IFRS gross profit. Excludes expenses related to share-based compensation and amortization of acquired intangible assets. • Non-IFRS operating income. Excludes expenses related to share-based compensation and amortization of acquired intangible assets. • Non-IFRS net income and non-IFRS net income per diluted share. Excludes expenses related to share- based compensation, amortization of acquired intangible assets, non-coupon impact related to exchangeable senior notes and capped calls, the related income tax effects on these items, and changes in our assessment regarding the realizability of our deferred tax assets. • Free cash flow. Free cash flow is defined as net cash provided by operating activities less capital expenditures, which consists of purchases of property and equipment. Our non-IFRS financial measures reflect adjustments based on the items below: Share-based compensation • Amortization of acquired intangible assets • Non-coupon impact related to exchangeable senior notes and capped calls • Amortization of notes discount and issuance costs • Mark to fair value of the exchangeable senior notes exchange feature • Mark to fair value of the related capped call transactions • The related income tax effects on these items, and changes in our assessment regarding the realizability of our deferred tax assets We exclude expenses related to share-based compensation, amortization of acquired intangible assets, non-coupon impact related to exchangeable senior notes and capped calls, the related income tax effects on these items, and changes in our assessment regarding the realizability of our deferred tax assets from certain of our non-IFRS financial measures as we believe this helps investors understand our operational performance. In addition, share-based compensation expense can be difficult to predict and varies from period to period and company to company due to differing valuation methodologies, subjective assumptions, and the variety of equity instruments, as well as changes in stock price. Management believes that providing non-IFRS financial measures that exclude share-based compensation expense, amortization of acquired intangible assets, non-coupon impact related to exchangeable senior notes and capped calls, the related income tax effects on these items, and changes in our assessment regarding the realizability of our deferred tax assets allow for more meaningful comparisons between our operating results from period to period. Q2 FY19 21

Management considers free cash flow to be a liquidity measure that provides useful information to management and investors about the amount of cash generated by our business that can be used for strategic opportunities, including investing in our business, making strategic acquisitions, and strengthening our statement of financial position. Management uses non-IFRS gross profit, non-IFRS operating income, non-IFRS net income, non-IFRS net income per diluted share, and free cash flow: • As measures of operating performance, because these financial measures do not include the impact of items not directly resulting from our core operations; • For planning purposes, including the preparation of our annual operating budget; • To allocate resources to enhance the financial performance of our business; • To evaluate the effectiveness of our business strategies; and • In communications with our Board of Directors concerning our financial performance.
 The tables in this shareholder letter titled “Reconciliation of IFRS to Non-IFRS Results” and “Reconciliation of IFRS to Non-IFRS Financial Targets” provide reconciliations of non-IFRS financial measures to the most recent directly comparable financial measures calculated and presented in accordance with IFRS. We understand that although non-IFRS gross profit, non-IFRS operating income, non-IFRS net income, non-IFRS net income per diluted share, and free cash flow are frequently used by investors and securities analysts in their evaluation of companies, these measures have limitations as analytical tools, and you should not consider them in isolation or as substitutes for analysis of our results of operations as reported under IFRS. ABOUT ATLASSIAN Atlassian unleashes the potential of every team. Our team collaboration and productivity software helps teams organize, discuss and complete shared work. Teams at more than 138,000 customers, across large and small organizations - including General Motors, Walmart Labs, Bank of America Merrill Lynch, Lyft, Verizon, Spotify, and NASA - use Atlassian's project tracking, content creation and sharing, and service management products to work better together and deliver quality results on time. Learn more about our products including Jira Software, Confluence, Trello, Bitbucket, and Jira Service Desk at https://atlassian.com. Investor relations contact: Ian Lee, IR@atlassian.com
 Media contact: Gabe Madway, press@atlassian.com Q2 FY19 22