After-Hours Action: Why Box Stock Is Tumbling

Box Inc BOX shares are plunging in extended trading Wednesday. Despite turning in better-than-expected results, the cloud-based content services platform company provided a disappointing outlook.

What Happened: Box said fourth-quarter revenue climbed 10% year-over-year to $256.48 million, which beat consensus estimates of $256.07 million, according to Benzinga Pro. The company reported quarterly earnings of 37 cents per share, which beat estimates of 34 cents per share.

"It is clear our multi-year effort to lower our cost structure while investing to drive durable, long-term growth is enabling us to deliver a continued healthy balance of growth and profitability in FY24 and beyond," said Dylan Smith, co-founder and CFO of Box.

Box expects first-quarter revenue to be between $248 million and $250 million versus estimates of $260.24 million. The company expects first-quarter earnings of 26 cents to 27 cents per share versus estimates of 30 cents per share.

Box sees fiscal 2024 revenue of $1.05 billion to $1.06 billion versus estimates of $1.1 billion. The company expects fiscal 2024 earnings to be in a range of $1.42 to $1.48 per share versus estimates of $1.47 per share.

See Also: Here's Why Okta Shares Are Off And Running After Hours

BOX Price Action: Box shares are down 10.5% after hours at $30 at the time of writing, according to Benzinga Pro.

Photo: Bethany Drouin from Pixabay.