Box delivered a solid QQ2 2026 performance underscored by AI-enabled product momentum and disciplined execution. Revenue reached $294.0 million, up 9% year over year (8% to 7% in constant currency), while remaining performance obligations (RPO) rose to $1.5 billion, a 16% YoY increase. The company reported a robust gross margin around the low- to mid-80s on a quarterly basis and an operating margin in the high-20s, delivering non-GAAP EPS of $0.33. Net retention remained healthy at 103%, with churn steady at 3%, and 2,000 customers paying at least $100,000 annually, up 8% YoY. These metrics reflect Box’s AI-forward strategy, led by Enterprise Advanced and Box AI capabilities, which are expanding addressable use cases beyond traditional content collaboration.
Management emphasized a clear AI-first operating model, highlighting the integration of AI agents with automated workflows to modernize unstructured-data processes across legal, finance, HR, operations, and more. They outlined a roadmap that includes enhanced workflow/no-code capabilities, deeper Box AI features inside core collaboration tools, and broader access to AI agents via APIs, with support for leading models (OpenAI GPT-5, Claude 4.1, Grok 4) and external ecosystems (Snowflake, AWS Bedrock, Salesforce MCP). The near-term guidance implies continued growth momentum, tempered by FX headwinds and a BoxWorks-driven cost shift in Q3. The balance sheet remains highly liquid, with net cash, meaningful share repurchases, and a capital-allocation framework that prioritizes shareholder value while investing in AI-enabled scale.