Box Inc

Latest Results (04.04.2026):

Box, Inc. reported preliminary results for the third quarter of fiscal 2026 (quarter ended October 31, 2025). Revenue was $301.1 million (up 9% year‑over‑year, 8% in constant currency) with strong billings and RPO growth, positive GAAP profitability, meaningful non‑GAAP margins, healthy cash generation, and an expanded $150 million stock repurchase authorization.

Revenue & Billings

Q3 revenue: $301.1M (+9% YoY, +8% CC). Billings: $296.0M (+12% YoY). Management cited seat expansion, price‑per‑seat increases and Box AI / Enterprise Advanced adoption driving the growth.

Backlog / RPO

Remaining performance obligations (RPO) were $1.5B, up 18% YoY (19% CC) — short‑term RPO $837M (+14%) and long‑term RPO $680M (+25%), indicating stronger contracted future revenue.

Profitability

GAAP operating margin was 8.3% (GAAP operating income $25.1M). Non‑GAAP operating margin was 28.6% (non‑GAAP operating income $86.1M). GAAP diluted EPS was $0.05 (flat YoY) and non‑GAAP diluted EPS was $0.31 (down from $0.45), with EPS in part impacted by non‑cash deferred tax expense and FX.

Gross Profit & Margins

GAAP gross profit reached a record $239.5M (79.6% of revenue); non‑GAAP gross profit was $246.1M (81.7%), both slightly improved in absolute dollars versus prior year.

Cash Flow & Capital Return

Net cash provided by operating activities was $73.0M (+17% YoY); non‑GAAP free cash flow was $61.4M (+7% YoY). Box repurchased 2.4M shares for ~$77M in the quarter and the Board approved a $150M expansion of the repurchase program.

Guidance

Q4 FY26 guidance: revenue ≈ $304M (+9% YoY, ~8% CC), GAAP operating margin ≈ 11%, non‑GAAP operating margin ≈ 30%, GAAP EPS ≈ $0.06, non‑GAAP EPS ≈ $0.33. Full‑year FY26 guidance: revenue ≈ $1.175B (+8% YoY), GAAP EPS ≈ $0.19, non‑GAAP EPS ≈ $1.28 (guidance assumes recognition of deferred tax expense that reduces EPS).

Business & Strategic Highlights

Management noted a 104% net retention rate. Box announced multiple AI agents and integrations (support for major LLMs, partnerships with AWS, Google, Anthropic, Mistral, OpenAI, TCS) underscoring product momentum and enterprise AI positioning.

Balance Sheet & Other Items

Box ended Q3 with cash & equivalents of ~$633M and short‑term investments; $205M of 0% convertible senior notes remain outstanding (maturing Jan 15, 2026) with expected cash settlement of principal upon conversion and limited expected dilution unless conversion premium exceeds the capped call price.