Cloud service provider Dropbox, Inc. (NASDAQ: DBX) has reported stronger-than-expected earnings and revenues for the third quarter of 2022 when the cloud service firm’s user base grew by 6%.
Third-quarter earnings, excluding special items, increased to $0.43 per share from $0.37 per share in the corresponding period of last year. Analysts had predicted slower growth. On a reported basis, net profit was $83.2 million or $0.23 per share, compared to $75.6 million or $0.19 per share in the third quarter of 2021.
Revenues increased 7% annually to $591.0 million, which also exceeded the consensus forecast. The top line benefited from a 6% increase in the number of paying users.
Check this space to read management/analysts’ comments on Dropbox’s Q3 results
“We delivered another strong quarter amidst an increasingly challenging macroeconomic backdrop. In particular, we’re pleased with the results of the changes to our Teams plans and excited about our progress innovating around new products and driving multi-product adoption, including the release of Capture to all Dropbox users and the introduction of the rebranded Dropbox Sign,” said Dropbox’s CEO Drew Houston.