For FY25, Box Revenue Growth Expected to Be Between 15%-17% Y/Y

Box, Inc. hosted its virtual fiscal year 2023 Financial Analyst Day during which it provided its long-term financial model for the fiscal year ending January 31, 2025, and announced a new share repurchase authorization of up to $150 million.

“The profitable growth we delivered in FY22 demonstrates the strength of our underlying business model. Going forward, we expect to continue improving both our revenue growth rate and free cash flow margin, and anticipate generating a combined outcome of 43-44% in FY25,” said Dylan Smith, co-founder and CFO. “We have built the operational engine to deliver long-term profitable growth and, with our disciplined capital allocation strategy, we are well positioned to create significant shareholder value for years to come. The future of work is here, and we have never been more excited about the opportunity ahead.”

Long-Term Financial Model
The firm provided financial targets for its fiscal year ending January 31, 2025:
• Combined revenue growth plus free cash flow margin is expected to be 43%-44%.
• Revenue growth is expected to be in the range of 15%-17% Y/Y.
• Non-GAAP gross margin is expected to be approximately 77%.
• Non-GAAP operating margin is expected to be in the range of 25%-28%.

New Share Repurchase Authorization
The company also announced that its board of directors authorized a new share repurchase program under which it may repurchase up to $150 million of its outstanding Class A common stock over the next 12 months. The timing and total amount of share repurchases, if any, will depend upon market conditions and other factors, and may be made from time to time in open market purchases.