Box Inc - Class A
Q2 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: +2.77%.
Did BOX Beat Earnings? Q2 2025 Results
Box delivered a clean beat across the board in fiscal Q2 2025, posting adjusted EPS of $0.44 against a consensus estimate of $0.40, a 10% beat that marked the fourth consecutive quarter the company has topped Wall Street's EPS expectations. Revenue came in at $270.04 million, edging past the $269.18 million estimate and rising 3.3% year-over-year, though the underlying demand picture looked stronger at 6% growth on a constant currency basis, as a weakening yen created a meaningful $0.05 per-share headwind. The real story was margin expansion, with non-GAAP operating margin climbing to 28.4% from 24.8% a year ago, fueled by infrastructure efficiencies and cost discipline. Billings jumped 10% to $256.44 million, signaling strengthening demand, while remaining performance obligations grew 12% to $1.27 billion. Looking ahead, Box guided Q3 revenue to $274 to $276 million and full-year FY25 revenue to approximately $1.09 to $1.09 billion, with some observers noting that Box's AI-driven product expansion into intelligent content management will be a key test of whether that growth trajectory can accelerate further.
- Accelerated billings growth of 10% year-over-year
- RPO growth of 12% year-over-year to $1.272 billion
- Record non-GAAP gross margin of 81.6% and non-GAAP operating margin of 28.4%
- Constant currency revenue growth of 6%
“As we enter the era of Intelligent Content Management, Box is delivering a singular platform that can power the lifecycle of content with intelligence built right in.”
Box CEO, on the earnings call
Forward Guidance & Outlook
For Q3 FY25, Box expects revenue of $274–$276 million (up 5% YoY, 6% constant currency), GAAP operating margin of approximately 7.5%, non-GAAP operating margin of approximately 28%, GAAP EPS of $0.07–$0.08, and non-GAAP EPS of $0.41–$0.42 on approximately 148 million diluted shares. For full-year FY25, Box expects revenue of $1.086–$1.09 billion (up 5% YoY, 7% constant currency), GAAP operating margin of approximately 7.0%, non-GAAP operating margin of approximately 27.5%, GAAP EPS of $0.31–$0.33, and non-GAAP EPS of $1.64–$1.66. FX is expected to be a 170 basis point headwind to full-year revenue growth. Constant currency guidance was raised by $2 million from prior expectations. Non-cash deferred tax expense in the U.K. is expected to negatively impact both GAAP and non-GAAP EPS by $0.05 for the full year.
BOX YoY Financials
Figures from SEC filings and company reports. Not investment advice.