The Chicago Entrepreneur

Dropbox shares pop 8% on sales, earnings beat

Shares of Dropbox Inc. initially popped 8% in extended trading Thursday after the software company reported fiscal fourth-quarter results that exceeded Wall Street analysts’ forecasts, and it topped $2 billion in annual sales. The company’s board also authorized a repurchase of an additional $1.2 billion of its Class A common stock. Dropbox posted net income of $124.6 million, or 32 cents a share, compared with a loss of $345.8 million, or 84 cents a share, in the year-ago quarter. The company recorded an adjusted earnings of 41 cents a share. Revenue soared 12% to $565.5 million from $504.1 million a year ago. Analysts surveyed by FactSet had expected net income of 37 cents a share on revenue of $558 million. Dropbox’s stock has dropped 4% so far this year; the broader S&P 500 index has slid 8%.

Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.

Previous post Shake Shack stock heads lower after wider Q4 loss, ongoing uncertainty
Next post Dow books biggest drop since November as stocks end sharply lower on renewed Ukraine fears