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Jun 30, 2023

Dropbox Q2 2023 Earnings Report

Dropbox's Q2 2023 earnings surpassed expectations across all metrics, driven by the introduction of AI-powered product experiences and a focus on improving the core Dropbox product.

Key Takeaways

Dropbox reported a solid Q2 2023, exceeding guidance across all metrics. Total revenue reached $622.5 million, up 8.7% year-over-year, and ARR ended at $2.500 billion, an increase of 7.2% from the same period last year. The company introduced new AI-powered product experiences and remains focused on improving the product experience within core Dropbox.

Total revenue was $622.5 million, up 8.7% year-over-year.

Total ARR ended at $2.500 billion, an increase of 7.2% from the same period last year.

Paying users ended at 18.04 million, compared to 17.37 million for the same period last year.

GAAP operating margin was 9.1%, while non-GAAP operating margin was 34.2%.

Total Revenue
$623M
Previous year: $573M
+8.7%
EPS
$0.51
Previous year: $0.38
+34.2%
Paying Users
18.04M
Previous year: 17.37M
+3.9%
ARPU
$139
Previous year: $133
+4.2%
Annual Recurring Revenue
$2.5B
Previous year: $2.33B
+7.2%
Gross Profit
$502M
Previous year: $467M
+7.6%
Cash and Equivalents
$510M
Previous year: $352M
+44.9%
Free Cash Flow
$185M
Previous year: $206M
-10.3%
Total Assets
$2.94B
Previous year: $2.76B
+6.5%

Dropbox

Dropbox

Forward Guidance

Dropbox will provide forward-looking guidance in connection with this quarterly earnings announcement on its conference call, webcast, and on its investor relations website.