Box Inc - Class A
Q3 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: −3.13%.
Did BOX Beat Earnings? Q3 2025 Results
Box delivered a clean beat to close out its fiscal third quarter, with the cloud content management company posting non-GAAP EPS of $0.45 against a consensus estimate of $0.4227 — a 6.46% beat that marked a record for the metric and a significant step up from $0.36 in the year-ago period. Revenue of $275.91 million edged past the $275.10 million Wall Street expected, rising 5.5% year-over-year, with the company crediting seat expansion and particularly strong momentum in Japan as key contributors. The more compelling story, however, was margin execution: Box hit a record non-GAAP operating margin of 29.1%, reflecting the operational discipline that management has been signaling for several quarters. Remaining performance obligations grew 13% year-over-year to $1.28 billion, offering a constructive forward revenue signal. Looking ahead, Box guided Q4 revenue to approximately $279 million and full-year FY25 revenue to approximately $1.09 billion, while <a href="https://247wallst.com/investing/2025/08/26/live-will-box-inc-box-beat-q2-earnings-estimates/">prior quarters' estimates</a> had already set a high bar for the company's consistency heading into year-end.
- Record GAAP gross margin of 79.9% and non-GAAP gross margin of 81.9%
- Record non-GAAP operating margin of 29.1%, up from 24.7% in the year-ago quarter
- Remaining performance obligations grew 13% year-over-year to $1.282 billion
- Operational discipline and efficient cost structure driving margin expansion
“We delivered strong Q3 financial results and unveiled the most transformational product line-up in Box history.”
Box CEO, on the earnings call
Forward Guidance & Outlook
For Q4 FY25, Box expects revenue of approximately $279 million (up 6% YoY, 7% constant currency), GAAP operating margin of approximately 7.5%, non-GAAP operating margin of approximately 27.5%, GAAP EPS of approximately $0.07, and non-GAAP EPS of approximately $0.41 on approximately 151 million diluted shares. For full year FY25, Box expects revenue of approximately $1.090 billion (up 5% YoY, 7% constant currency), representing a $3 million increase from prior guidance on a constant currency basis. Full year GAAP operating margin is expected to be approximately 7.5%, non-GAAP operating margin approximately 28%, GAAP EPS approximately $0.30, and non-GAAP EPS approximately $1.70. FX is now expected to be a 190 basis point headwind to full fiscal year revenue growth. Both Q4 and FY25 EPS guidance includes approximately $0.02 negative impact from unfavorable exchange rates and $0.01 from recognition of deferred tax expenses in international countries.
BOX YoY Financials
Figures from SEC filings and company reports. Not investment advice.