Asana To Go Public Despite No Profit Since Launch
Online collaboration platform, Asana, has filed for a direct listing to the New York Stock Exchange, despite having “inccurend net losses in each fiscal year since founding.”
Etched by Facebook cofounder, Dustin Moskovitz, the company was last valued at US$1.5 billion in late 2018, and according to Pitchbook has raised US$213.5 million.
The news makes Asana one of the few tech companies to pursue direct listing, joining the ranks of Spotify and Slack.
In its recent fiscal year, Asana lost around US$119 million – double the previous year.
Revenue for fiscal year 2020 climbed 82% year-on-year to US$142.6 million.
The project management system offers free and paid packages (like Dropbox and Zoom) and is said to have over 1.2 million paid users by January end.
Around 41% of Asana’s revenue derived from outside the United States in fiscal year 2020, and is continuing to target larger enterprise-level customers.
The company attributes the cost of development investment for its concurrent losses, and despite increased conversion of paid customers does not expect profitability in the near future.
As at April 30, 2020 the company had an “accumulated deficit of US$365.6 million.”