| Metric | Value ($ M) | Q1 FY25 |
|---|---|---|
| Revenue | 629.50 | 0.8% |
| Total Income | 629.50 | 0.8% |
| Expenditure | 456.70 | 3.6% |
| PBT | 141.40 | 16.6% |
| Net Profit | 114.50 | 23.8% |
| OPM | 27.45% | 1.97pp |
| NPM | 18.19% | 5.87pp |
| EPS | 0.49 | 5.8% |
Dropbox Announces Q1 2026 Results: Revenue $629.5 Million
08 May 2026 · 8 May, 1:50 am
Summary
Dropbox announced its first quarter 2026 financial results, with total revenue reaching $629.5 million, a 0.8% increase year-over-year. Excluding FormSwift, revenue grew by 2.0%. The company reported a GAAP operating margin of 27.5% and a non-GAAP operating margin of 40.1%. Management is seeing encouraging signs from improvements in retention in Individuals, alongside funnel and product improvements in Teams.
Key Highlights
- 1
Dropbox's total revenue was $629.5 million, representing an increase of 0.8% year-over-year.
- 2
Excluding FormSwift, revenue grew by 2.0% year-over-year.
- 3
The GAAP operating margin was 27.5%, while the non-GAAP operating margin reached 40.1%.
- 4
Net cash provided by operating activities amounted to $204.5 million.
- 5
Unlevered free cash flow was $236.4 million for the quarter.
- 6
Total ARR was $2.560 billion, an increase of 0.3%.
Management Comments
Drew Houston
We delivered a strong quarter, exceeding the high end of our guidance for revenue and operating margin, with revenue growing 0.8% year-over-year and 2% year-over-year excluding FormSwift. This represents another quarter of positive revenue growth excluding FormSwift and reflects progress in strengthening our core business. We’re seeing encouraging signs from the focused work we’ve done to improve retention in Individuals, alongside funnel and product improvements in Teams. We’re also continuing to expand Dash in Dropbox thoughtfully across our existing user base as we invest with discipline in the platform capabilities that will support future growth.
Informational and educational content only. Not investment advice.