Dropbox Inc. (DBX) recently announced its first financial report as a publicly traded company. Its first quarter adjusted earnings and revenue beat consensus forecast amid better-than-expected subscribers growth.
The file sharing and storage company reported that its number of paying subscribers jumped to 11.5 million in the three-months period ended March, representing a surge of 23 percent from the same period last year, and above analysts’ average estimate of 11.3 million.
Dropbox said its average revenue per user rose to $114.3 in the quarter, surpassing consensus forecast of $110.
The San Francisco-based company posted a loss of $465.5 million for the first quarter, as IPO-related expenses weighed on its earnings. On an adjusted basis, the company reported a profit of 8 cents a share.
Revenue for the quarter jumped 28 percent to $316.3 million. Analysts on average were looking for a profit of 5 cents a share on $309.2 million in revenue.
Looking forward, Dropbox expects revenue in a range of $328 million to $331 million for the second quarter, above consensus forecast of $324.9 million.
For the full year, the cloud-storage company projected revenue in between $1.34 billion and $1.36 billion.
Speaking on the conference call with analysts, the company’s CEO Drew Houston said Dropbox’s results continue to show the strength of its platform, its efficient market strategy and financial discipline.
Dropbox started as a free service to store and share pictures, videos and other big files. With the passage of the company built its enterprise software offering. It competes in the market with search engine giant Google, software maker giant Microsoft, e-commerce giant Amazon, as well as Box Inc.
Shares of Dropbox slipped 2.25 percent to $31.28 on Friday, despite reporting better-than-expected first quarter results.
