Cloud storage company Box reported fourth quarter earnings after the bell on Wednesday, sending the stock up 13% in after-hours trading. Better-than-expected results brought the stock slightly above the $14 barometer from last year’s IPO price.
Fourth quarter revenue was $85 million, a 36% increase from the same period last year and above analyst expectations of $82 million. Full year revenue came in at $303 million, up 40% year-over-year.
The company reported an adjusted loss of 26 cents per share, better than the 29 cent loss that Wall Street was forecasting.
“We remain focused on expanding our customer base, increasing our scale and driving further operational efficiencies,” CEO Aaron Levie said in a statement. ““We achieved higher operating leverage driven by our strong business model and execution.”
Levie said that customer wins, including AIG, Bain Capital and Home Depot helped the company achieve fourth quarter gains.
Competitors are watching Box’s stock performance closely as an indication of investor appetite for the industry. Future IPOs and valuations will be partially contingent on Box’s success. “We always want the numbers to come out strong, despite competing with them,” said Vineet Jain, CEO of Egnyte. “Whether we like it or not, they are a proxy for our space.”
Box closed Wednesday at $12.55, with a market cap of $1.5 billion. Shares have been down 34% in the past year.
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