Shares of Dropbox Inc. DBX, -5.30% initially popped 8% in extended trading Thursday after the software company reported fiscal fourth-quarter results that exceeded Wall Street analysts’ forecasts, and it topped $2 billion in annual sales.
The company’s board also authorized a repurchase of an additional $1.2 billion of its Class A common stock. Dropbox posted net income of $124.6 million, or 32 cents a share, compared with a loss of $345.8 million, or 84 cents a share, in the year-ago quarter. The company recorded an adjusted earnings of 41 cents a share. Revenue soared 12% to $565.5 million from $504.1 million a year ago. Analysts surveyed by FactSet had expected net income of 37 cents a share on revenue of $558 million. Dropbox’s stock has dropped 4% so far this year; the broader S&P 500 index SPX, -2.12% has slid 8%.