Box beats earnings estimates
Cloud storage company Box (BOX) reported its fiscal 4Q18 (quarter ended January 2018) earnings on February 28. The company’s revenue was in line with Wall Street estimates, while its earnings beat estimates. However, the company’s stock fell nearly 20% in after-hours trading due to a weak outlook.
Box generated revenue of $136.7 million, a 24.3% rise from the same quarter last year, and was in line with analysts’ estimates. The cloud provider’s net loss narrowed to $32.7 million ($0.24 per share) from $36.9 million in fiscal 4Q17. On an adjusted basis, the company recorded a net loss of $0.06 per share in fiscal 4Q18, beating analysts’ expectation of a net loss of $0.08 per share.
Box’s guidance disappoints investors
However, investors were disappointed with the company’s guidance for the next quarter and fiscal year 2019. Box expects revenue of $139 million–$140 million in fiscal 1Q19, while analysts were expecting $144.3 million. The company expects fiscal 2019 revenue of $602 million–$608 million, while Wall Street had forecast $625.6 million.
Box’s revenue grew by 27% in fiscal 2018. It expects revenue growth to slow to 19.5% in fiscal 2019. The company’s customer base grew to 82,000 enterprises in fiscal 4Q18 from 80,000 in fiscal 3Q18.