Shares of Asana, Inc. (ASAN) tumbled 5.79% in after-hours trading following the release of its first-quarter fiscal 2026 earnings report. The work management platform provider delivered mixed results, beating earnings estimates but falling short on revenue, and lowered its full-year revenue guidance.

Asana reported adjusted earnings per share of $0.05, surpassing the analyst consensus of $0.02. However, the company's revenue of $187.3 million missed the Street estimate of $192.6 million. While this represents growth, it indicates a slowdown compared to previous quarters.

The company's outlook also disappointed investors. For the second quarter, Asana forecasts revenue between $192 million and $194 million, roughly in line with analyst expectations. However, the full-year revenue guidance was lowered to a range of $775 million to $790 million, down from the previous forecast of $782 million to $790 million and below the analyst consensus of $857.76 million.

Despite some positive indicators, such as the growth in customers spending over $100,000 annually (up 20% year-over-year) and promising early results from its AI initiatives, investors seemed more focused on signs of slowing growth. The number of core customers (those spending $5,000 or more annually) grew by only 10% year-over-year, and revenues from these core customers also increased by just 10%. Additionally, the company's overall dollar-based net retention rate was 95%, suggesting some challenges in expanding usage among existing customers.