Financial Data and Key Metrics Changes - Total revenues for Q2 2026 were $196.9 million, up 10% year over year, exceeding the high end of guidance by 1% [38] - Non-GAAP operating margin expanded almost 1,600 basis points year over year to 7%, above guidance range [12][44] - Net income was $15.1 million, or $0.06 per share, driven by operating leverage and cost optimization [45] Business Line Data and Key Metrics Changes - Customer growth remained healthy, with the number of customers spending $100,000 or more growing 19% year over year [11] - Revenues from core customers (spending $5,000 or more annually) grew 12% year over year, representing 76% of total revenues [39] - AI Studio ARR more than doubled quarter over quarter, indicating strong adoption and momentum [12] Market Data and Key Metrics Changes - International revenue grew 13% year over year, while U.S. market revenue grew 8% year over year [27] - Non-tech customers continued to grow in the mid-teens, while tech customer growth was stable [11] - Japan emerged as one of the fastest-growing markets, with significant customer expansion [27] Company Strategy and Development Direction - The company is focused on enhancing its AI capabilities, particularly through AI Studio, to drive productivity and efficiency [5][20] - There is a strategic emphasis on deepening engagement in non-tech industries and expanding into regulated sectors [7] - The company aims to sharpen go-to-market execution and focus on high-propensity accounts to accelerate growth [24] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's positioning to capitalize on AI-driven productivity gains [9][25] - The operating environment remains challenging, with buyer scrutiny and elongated decision-making processes impacting growth [33][49] - Management anticipates continued improvements in customer health and retention, driven by foundational service plans and AI Studio adoption [30][31] Other Important Information - The company repurchased $27.8 million of its Class A common stock during the quarter [47] - The remaining performance obligation (RPO) was $507.3 million, up 29% from the year-ago quarter [46] - The company is raising its full-year revenue guidance to $780 million to $790 million, reflecting strong Q2 results [48] Q&A Session Summary Question: Why Asana? Why now? - The CEO highlighted the transformative potential of AI in modern enterprises and Asana's unique position to deliver on that opportunity [53][54] Question: How repeatable are AI Studio use cases? - Management noted that deploying AI Studio across cross-functional use cases reveals further opportunities for workflow creation, indicating a strong expansion potential [62] Question: How are you addressing top-of-funnel pressures? - The company is focusing on driving higher quality traffic and improving conversion rates despite a decline in top-of-funnel traffic [64][70] Question: What is the outlook for tech renewals? - Management indicated improvements in renewal hygiene and utilization, with a focus on foundational service plans to enhance account health [75][76]