Categories AlphaGraphs, Earnings, Technology

Box Inc (NYSE: BOX) beats Q3 estimates, lifts FY19 outlook

Box Inc’s (NYSE: BOX) third quarter 2019 results beat analysts’ views. The company posted a loss of 6 cents per share on revenues of $155.9 million. Analysts expected the cloud technology company to post a loss of 7 cents per share and revenue in the range of $154-155 million. The stock was up about 3% during the extended trading hours.

Box third quarter 2019 Earnings Infographic

The 21% revenue growth in the quarter was driven by customer retention and customer expansion. GAAP net loss for the quarter narrowed to 28 cents per share from 32 cents loss per share reported in the prior-year quarter. Paying customers grew to more than 90,000 from 87,000 at the end of second quarter.

For Q4, the cloud content management company expects GAAP loss per share to be in the range of $0.21 to $0.20 and non-GAAP loss per share to be in the range of $0.02 to $0.03. Revenue is expected to be in the range of $163.5 million to $164.5 million.

Box lifted its FY19 revenue outlook to a range of $608.2 million to $609.2 million compared to the prior estimate of $606 million to $608 million. Non-GAAP loss per share is expected to be $0.16 to $0.15 versus the prior forecast of $0.18 to $0.16.

Free cash flow in Q3 was negative $4.1 million, compared to positive $6.3 million in the year-ago quarter. This result was driven by the timing of cash outflows paid in Q3 2019 that were originally anticipated to be paid in Q4 2019. Box expects to achieve positive free cash flow for the fourth quarter and FY19.

“Our solution selling strategy continues to gain momentum with strong attach rates for add-on products and large deal growth in the third quarter. With more than 90,000 customers, including BBVA Compass, National Bank of Canada, and Shiseido Company, Box continues to expand its role as a strategic technology partner to power digital transformation for enterprises,” said CEO Aaron Levie.

Box shares fall despite upbeat Q2 results

Box’s rival Dropbox (DBX) reported its third quarter 2018 results earlier this month and the company beat both bottom and topline estimates. Dropbox’s paying users and ARPU increased to 12.3 million and $118.60 respectively from 10.4 million and $112.05 in the prior year quarter.

Shares of Box ended the today’s trading session at $18.19, up 4.48%. The stock, which plummeted to a yearly low ($15.71) last week, had lost 14% so far in this year and 20% in the past one year.


Follow our Google News edition to get the latest stock market, earnings and financial news at your fingertips


Most Popular

Does Unity Software (U) stock has more room to run?

Last month, the IPO market was in a full swing. IPOs of Snowflake (NYSE: SNOW) and JFROG (NASDAQ: FROG) had an impressive opening day in September, the former creating a

PepsiCo (PEP): Steady snacking habits amid pandemic drive strong quarter for beverage giant

PepsiCo Inc. (NASDAQ: PEP) beat market expectations on both revenue and earnings for the third quarter of 2020. The company saw the momentum continue in its snacks business while the

Does the virus-driven boom make Electronic Arts (EA) a good investment?

With more and more people turning to virtual entertainment sources, amid the virus-related movement restrictions, video game publishers like Electronic Arts (NASDAQ: EA) are witnessing unusually high demand. Not surprisingly,

One thought on “Box Inc (NYSE: BOX) beats Q3 estimates, lifts FY19 outlook

Leave a Reply

Your email address will not be published. Required fields are marked *

Add Comment

Viewing Highlight