Dropbox Inc. (NASDAQ: DBX) suffered a 7.53% plunge during the 24-hour period leading up to Friday's pre-market session, as the cloud storage and collaboration platform faced significant challenges in its earnings report and outlook.
In its fourth-quarter earnings call, Dropbox disclosed several adverse factors that weighed on investor sentiment:
Despite these challenges, Dropbox reported a 23% year-over-year growth in free cash flow per share for the fourth quarter and successfully reduced its diluted share count by 12.5 million shares through share repurchases. The company is also focusing on scaling its Dash product, which has received positive customer reception and exceeded sales goals in Q4.
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