Financial Data and Key Metrics - Total revenue for Q4 2023 increased 6% year-over-year to $635 million, beating the guidance range of $629 million to $632 million [69] - The company exited Q4 with 18.12 million paying users, reflecting a sequential decline of roughly 50,000 paying users due to factors such as the de-emphasis of the family plan and macro headwinds [70] - Non-GAAP operating margin for Q4 was 32.2%, up 200 basis points year-over-year, driven by efficiency in spending [128] - Free cash flow for Q4 was $190 million, compared to $182 million in Q4 2022 [72] - The company repurchased nearly 4 million shares in Q4, spending approximately $106 million [129] Business Line Data and Key Metrics - The File Sync and Share (FSS) business saw seasonally low activity in Q4, with FormSwift also experiencing a seasonal low point [70][24] - The Teams business faced challenges due to macro headwinds, with customers reducing licenses and showing higher price sensitivity [55][70] - Dropbox Dash, the AI-powered universal search product, is still in its early stages, with the company focusing on product-market fit and adoption before monetization [75][64] Market Data and Key Metrics - The company noted a challenging macroeconomic environment, particularly for SMBs, with customers becoming more price-sensitive and reducing licenses [55][70] - The tech sector, in particular, saw headcount reductions, which impacted Dropbox's Teams business [55][70] - The company expects to add paying users in 2024, but at lower levels than prior years due to continued headwinds [105] Company Strategy and Industry Competition - Dropbox is focusing on improving the user experience, particularly in the FSS business, by streamlining workflows and improving team onboarding [60][61] - The company is investing in AI-powered products like Dash, aiming to solve challenges related to cloud-based content organization and search [63][64] - Dropbox is also iterating on pricing and packaging for its Teams plans, with a focus on multi-product bundles and improving customer awareness of its capabilities beyond storage [58][59] Management Commentary on Operating Environment and Future Outlook - Management acknowledged a challenging Q4, with some expected headwinds such as seasonality and macro pressures, but also noted progress in improving profitability and investing in long-term growth initiatives [84][85] - The company is optimistic about the potential of AI-powered products like Dash, but expects it will take time before these initiatives contribute meaningfully to top-line results [67][75] - Dropbox is committed to returning a significant portion of its free cash flow to shareholders through share repurchases, with the intention of reducing share count [102] Other Important Information - The company executed a buyout of approximately 40% of its remaining sublease space in San Francisco, resulting in a $159 million gain in Q4 2023 [100][71] - Dropbox expects finance lease additions to increase in 2024, driven by a hardware refresh cycle and one-time storage quota grants for advanced plan customers [106][181] - The company announced a partnership with McLaren Formula 1 racing to drive awareness of its platform's capabilities, including secure file sharing and video collaboration [95] Summary of Q&A Session Question: How is Dropbox measuring the success of Dash? - Dropbox is measuring Dash's success through product quality, onboarding success, engagement, retention, and eventually monetization [112][113][114] Question: What are the learnings from the pricing and packaging changes? - The company learned that while some changes led to higher attachment rates for multiple products, others resulted in decreased new subscriptions for Teams SKUs [147][148] Question: How is the macro environment impacting Dropbox's business? - The macro environment has led to increased price sensitivity and reduced license counts, particularly in the tech sector, with SMBs facing down-sell pressure [150][151][163] Question: What is the outlook for M&A? - Dropbox sees M&A as an opportunity to accelerate its roadmap, particularly in AI, but remains disciplined in its approach due to the current market environment [138][139][140] Question: What is the guidance for free cash flow in 2024? - The company expects free cash flow to be in the range of $910 million to $950 million, below its long-term target due to slower billings growth, FX headwinds, and investments in Dash [175][134]

Dropbox (DBX) came out with quarterly earnings of $0.50 per share, beating the Zacks Consensus Estimate of $0.48 per share. This compares to earnings of $0.40 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 4.17%. A quarter ago, it was expected that this online file-sharing company would post earnings of $0.48 per share when it actually produced earnings of $0.56, delivering a surprise of 16.67%.Over the last four quarters, th ...

Dropbox Safe Harbor Statement Forward-looking statements are based on information available at the time those statements are made or management's good-faith beliefs and assumptions as of that time with respect to future events, and are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in, or suggested by, the forward-looking statements. In light of these risks and uncertainties, the events and circumstances contemplated by the forward ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) (Exact name of registrant as specified in its charter) Delaware 26-0138832 (State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identification Number) Dropbox, Inc. 1800 Owens Street San Francisco, California 94158 (Address of principal executive offices, including zip code) (415) 857-6800 (Registrant's telephone number, including area code) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) ...

Growth stocks are the best investments for people pursuing maximum long-term returns. These equities can outperform the stock market and reward long-term investors. However, assets within this category can also lose significant capital for their investors or stay flat while the market surges. Periodically reviewing your portfolio and assessing your options can help you avoid being stuck with an unprofitable growth stock. These are some growth stocks to sell that investors may want to consider trimming or re ...

SAN FRANCISCO--(BUSINESS WIRE)--Today, Dropbox, Inc. (NASDAQ: DBX) and McLaren Racing announced a multi-year partnership with the McLaren Formula 1 Team for the 2024 season and beyond. The partnership marks Dropbox’s first entry into the sport, helping the McLaren team collaborate, share files and content, and save time. Through the partnership, McLaren will rely on Dropbox for its fast, secure, and reliable syncing and sharing capabilities, in addition to its latest offerings in video collaboration and ma ...

Pitch Deck Interest metrics post gains in investor engagement after six quarters of consistent decline SAN FRANCISCO, Jan. 17, 2024 /PRNewswire/ -- DocSend, a secure document sharing platform and Dropbox (NASDAQ: DBX) company, released a new data analysis of startup fundraising showing positive momentum for the first time in six quarters, based on investor engagement with pitch decks. The Pitch Deck Interest (PDI) metrics prompt hope for increased dealmaking in Q1, due to encouraging year-over-year (YoY) in ...

Every day for the next three weeks, we're going to highlight one of Schaeffer's top 12 picks for 2024. First up, we have software stock Dropbox Inc (NASDAQ:DBX). To access the entirety of the 2023 report, click here.Software stock Dropbox (DBX) is knocking at the $10 billion valuation plateau around $29 for the sixth time in the last six months. The company -- which has begun collaborating with semiconductor stalwart NVIDIA (NVDA) -- reported a top-line beat for the third quarter that also included an upwar ...

Dropbox, Inc. (NASDAQ:DBX) Q3 2023 Earnings Call Transcript November 2, 2023 5:00 PM ET Tim Regan - Chief Financial Officer Sonak Kolar - JPMorgan Eylon Liani - Jefferies I will now turn the call over to Karan Kapoor, Head of Investor Relations for Dropbox. Mr. Kapoor, please go ahead. Karan Kapoor - Head of Investor Relations Matt Bullock - Bank of America Richard Poland - RBC Capital Markets Operator Karan Kapoor We'll also discuss non-GAAP financial measures, which are not prepared in accordance with Gen ...

A video collaboration tool that makes it easier to collect, manage, and respond to feedback, all in one place DocSend A video and presentation sharing platform with advanced analytics to see what your visitors are really watching & Dropbox 12 Shared team workspace Data governance and audit logs & Dropbox 13 Dropbox Business Teams Expansion Simplified team collaboration invites for shared content | --- | --- | --- | --- | --- | --- | |-------|------------------------------------------------------------------ ...