Dropbox Inc. is an American company based in San Francisco, founded in 2007.1 It was founded by Arash Ferdowsi and Drew Houston.1 Its chief executive is Drew Houston.1 It employed 1,200 people in 2016.1 Its shares trade on Nasdaq under the symbol DBX.1
Where each dollar of operating cash went, fiscal 2025
Share buybacks
Capital spending1¢$21.0M
Share buybacks99¢$1.7B
Out of $951.8M of cash from operations. Spending exceeded cash from operations; the rest came from savings or borrowing.3
Financial statements
Revenue78910113$2.5B in 2025+81% since 2018Gross profit78910113$2.0B in 2025+103% since 2018Operating income78910113$689.1M in 2025Net income78910113$508.4M in 2025
Revenue121314$631.5M in Q2 FY2026+1% since Q2 FY2025Gross profit121314$506.5M in Q2 FY2026+1% since Q2 FY2025Operating income121314$164.8M in Q2 FY2026−2% since Q2 FY2025Net income121314$95.8M in Q2 FY2026−24% since Q2 FY2025
Every line of the income statement as filed: the last 3 fiscal years, latest first.3
Period ending
2025-12-31
2024-12-31
2023-12-31
Revenue
$2.5B
$2.5B
$2.5B
Cost of revenue
$500.8M
$445.1M
$478.5M
Gross profit
$2.0B
$2.1B
$2.0B
Research and development
$732.0M
$914.9M
$936.5M
Sales and marketing
$369.9M
$460.7M
$466.0M
General and administrative
$230.5M
$241.2M
$237.1M
Net (gain) loss on real estate assets
-$1.3M
$100.0K
-$155.2M
Total operating expenses
$1.3B
$1.6B
$1.5B
Income from operations
$689.1M
$486.2M
$538.7M
Interest (expense) income, net
-$78.6M
$13.9M
$19.4M
Other income (loss), net
$7.1M
$9.7M
-$3.7M
Income before income taxes
$617.6M
$509.8M
$554.4M
Provision for income taxes
-$109.2M
-$57.5M
-$100.8M
Net income
$508.4M
$452.3M
$453.6M
Basic net income per share (in dollars per share)
$1.89
$1.42
$1.33
Diluted net income per share (in dollars per share)
$1.86
$1.40
$1.31
Weighted-average shares used in computing net income per share attributable to common stockholders, basic (in shares)
268.3M shares
318.2M shares
341.2M shares
Weighted-average shares used in computing net income per share attributable to common stockholders, diluted (in shares)
Total assets1578910113$2.8B in 2025+68% since 2018Total liabilities1578910113$4.6B in 2025+356% since 2018Shareholders’ equity8910113-$1.8B in 2025Cash15789113$891.3M in 2025+72% since 2018
Total assets16131412$2.8B in Q2 FY2026+2% since Q2 FY2025Total liabilities16131412$5.0B in Q2 FY2026+23% since Q2 FY2025Shareholders’ equity121314-$2.2B in Q2 FY2026+68% since Q2 FY2025Cash121314$1.1B in Q2 FY2026+43% since Q2 FY2025
Every line of the balance sheet as filed: the last 4 fiscal years (annual) or 4 quarters (quarterly), latest first.3
Period ending
2025-12-31
2024-12-31
2023-12-31
2022-12-31
Cash and cash equivalents
$891.3M
$1.3B
$614.9M
Short-term investments
$146.9M
$265.9M
Trade and other receivables, net
$79.1M
$70.4M
Prepaid expenses and other current assets
$73.2M
$73.8M
Total current assets
$1.2B
$1.7B
Property and equipment, net
$378.4M
$358.8M
Operating lease right-of-use asset
$270.7M
$158.9M
Intangible assets, net
$33.7M
$54.9M
Goodwill
$454.9M
$442.8M
Deferred tax assets
$415.7M
$466.7M
Other assets
$101.0M
$104.7M
Total assets
$2.8B
$3.3B
Accounts payable
$24.3M
$36.5M
Accrued and other current liabilities
$121.7M
$143.2M
Accrued compensation and benefits
$111.8M
$105.2M
Operating lease liability
$51.3M
$64.9M
Finance lease obligation
$144.3M
$123.3M
Convertible senior notes, net, current
$695.4M
$0
Term loan, net, current
$15.0M
$10.0M
Deferred revenue
$729.7M
$727.7M
Total current liabilities
$1.9B
$1.2B
Operating lease liability, non-current
$355.9M
$250.4M
Finance lease obligation, non-current
$201.5M
$203.5M
Convertible senior notes, net, non-current
$689.9M
$1.4B
Term loan, net, non-current
$1.4B
$962.9M
Other non-current liabilities
$67.6M
$68.4M
Total liabilities
$4.6B
$4.1B
Preferred stock value
$0
$0
Common stock
$0
$0
Additional paid-in-capital
$2.0B
$2.4B
Accumulated deficit
-$3.8B
-$3.1B
Accumulated other comprehensive income (loss)
$5.7M
-$10.1M
Total stockholders' deficit
-$1.8B
-$752.4M
-$165.8M
-$309.4M
Total liabilities and stockholders' deficit
$2.8B
$3.3B
Preferred stock, par value (in dollars per share)
$0.00
$0.00
Preferred stock, shares authorized (in shares)
240.0M shares
240.0M shares
Preferred stock, shares issued (in shares)
0 shares
0 shares
Preferred shares outstanding, beginning of the period (in shares)
0 shares
0 shares
Common stock, par value (in dollars per share)
$0.00
$0.00
Period ending
2025-12-31
2024-12-31
2023-12-31
2022-12-31
Cash and cash equivalents
$891.3M
$1.3B
$614.9M
Short-term investments
$146.9M
$265.9M
Trade and other receivables, net
$79.1M
$70.4M
Prepaid expenses and other current assets
$73.2M
$73.8M
Total current assets
$1.2B
$1.7B
Property and equipment, net
$378.4M
$358.8M
Operating lease right-of-use asset
$270.7M
$158.9M
Intangible assets, net
$33.7M
$54.9M
Goodwill
$454.9M
$442.8M
Deferred tax assets
$415.7M
$466.7M
Other assets
$101.0M
$104.7M
Total assets
$2.8B
$3.3B
Accounts payable
$24.3M
$36.5M
Accrued and other current liabilities
$121.7M
$143.2M
Accrued compensation and benefits
$111.8M
$105.2M
Operating lease liability
$51.3M
$64.9M
Finance lease obligation
$144.3M
$123.3M
Convertible senior notes, net, current
$695.4M
$0
Term loan, net, current
$15.0M
$10.0M
Deferred revenue
$729.7M
$727.7M
Total current liabilities
$1.9B
$1.2B
Operating lease liability, non-current
$355.9M
$250.4M
Finance lease obligation, non-current
$201.5M
$203.5M
Convertible senior notes, net, non-current
$689.9M
$1.4B
Term loan, net, non-current
$1.4B
$962.9M
Other non-current liabilities
$67.6M
$68.4M
Total liabilities
$4.6B
$4.1B
Preferred stock value
$0
$0
Common stock
$0
$0
Additional paid-in-capital
$2.0B
$2.4B
Accumulated deficit
-$3.8B
-$3.1B
Accumulated other comprehensive income (loss)
$5.7M
-$10.1M
Total stockholders' deficit
-$1.8B
-$752.4M
-$165.8M
-$309.4M
Total liabilities and stockholders' deficit
$2.8B
$3.3B
Preferred stock, par value (in dollars per share)
$0.00
$0.00
Preferred stock, shares authorized (in shares)
240.0M shares
240.0M shares
Preferred stock, shares issued (in shares)
0 shares
0 shares
Preferred shares outstanding, beginning of the period (in shares)
0 shares
0 shares
Common stock, par value (in dollars per share)
$0.00
$0.00
Cash from operations78910113$951.8M in 2025+124% since 2018Capital spending78910113$21.0M in 2025−67% since 2018Free cash flow78910113$930.8M in 2025+157% since 2018Share buybacks78910113$1.7B in 2025
Cash flow is reported year to date, not quarter by quarter, so there are no separate quarterly figures.
Every line of the cash flow as filed: the last 3 fiscal years, latest first.3
Period ending
2025-12-31
2024-12-31
2023-12-31
Net income
$508.4M
$452.3M
$453.6M
Depreciation and amortization
$157.4M
$137.3M
$170.0M
Stock-based compensation
$300.8M
$346.5M
$338.0M
Net (gain) loss on real estate assets
-$1.3M
$100.0K
-$155.2M
Amortization of debt issuance costs
$10.0M
$4.6M
$4.2M
Net (gain) loss on equity investments
-$700.0K
$200.0K
$0
Amortization of deferred commissions
$25.9M
$30.3M
$38.6M
Non-cash operating lease expense
$37.6M
$35.9M
$43.5M
Deferred taxes
$51.7M
-$5.4M
$38.4M
Other
-$11.2M
$3.8M
-$600.0K
Trade and other receivables, net
-$6.7M
-$2.4M
-$14.5M
Prepaid expenses and other current assets
-$26.2M
-$5.4M
-$41.1M
Other assets
$6.9M
$6.4M
$23.3M
Accounts payable
-$12.6M
-$4.5M
$1.2M
Accrued and other current liabilities
-$29.4M
-$24.7M
-$20.8M
Accrued compensation and benefits
$5.9M
-$4.1M
-$22.6M
Deferred revenue
$2.0M
$1.5M
$21.6M
Other non-current liabilities
$10.1M
-$6.4M
-$1.5M
Operating lease liabilities
-$40.8M
-$57.0M
-$65.4M
Tenant improvement allowance reimbursement
$0
$0
$1.1M
Cash paid for lease termination
-$36.0M
-$14.9M
-$28.1M
Net cash provided by operating activities
$951.8M
$894.1M
$783.7M
Capital expenditures
-$21.0M
-$22.5M
-$24.3M
Purchase of intangible assets
-$400.0K
-$200.0K
-$300.0K
Business combinations, net of cash acquired
-$13.1M
-$57.8M
$0
Purchases of short-term investments
$0
-$62.3M
-$208.7M
Proceeds from sales of short-term investments
$0
$241.7M
$352.4M
Proceeds from maturities of short-term investments
$124.8M
$313.7M
$252.2M
Proceeds from sales of equity investments
$1.7M
$0
$0
Cash receipts from equipment rebates
$17.1M
$32.3M
$24.8M
Other
$2.8M
-$1.1M
-$900.0K
Net cash provided by investing activities
$111.9M
$443.8M
$395.2M
Proceeds from term loan facility
$500.0M
$1.0B
$0
Payments of debt issuance costs and loan commitment fees
-$21.6M
-$50.1M
-$100.0K
Principal payments against term loan facility
-$11.6M
$0
$0
Payments for taxes related to net share settlement of restricted stock units and awards
-$151.0M
-$148.7M
-$135.1M
Proceeds from issuance of common stock, net of taxes withheld
$100.0K
$900.0K
$2.5M
Principal payments on finance lease obligations
-$128.6M
-$129.4M
-$126.6M
Common stock repurchases
-$1.7B
-$1.2B
-$539.9M
Payment of acquisition-related indemnification holdback
-$4.1M
-$17.7M
$0
Net cash used in financing activities
-$1.5B
-$586.6M
-$799.2M
Effect of exchange rate changes on cash, cash equivalents, and restricted cash
$12.4M
-$5.7M
$2.4M
Change in cash, cash equivalents, and restricted cash
-$454.6M
$745.6M
$382.1M
Interest
$105.9M
$15.2M
$10.5M
Income taxes
$56.9M
$61.0M
$68.2M
Property and equipment acquired under finance leases
Dropbox Inc. sits at the top of its group. 26 entities, 17 countries on record. Switch between the flow chart and the network, and select any entity to see its details.
Major holders of Dropbox Inc.
LSV ASSET MANAGEMENTFiled SCHEDULE 13G/A on Dropbox Inc., latest Aug 6, 2026 (2 filings since Nov 7, 2025)
Dropbox UK Online Ltd. Subsidiary · United Kingdom
Find Your Info, LLC Subsidiary · Delaware, United States
Hypertools, Inc. Subsidiary · Delaware, United States
King Street Labs, LLC Subsidiary · Oregon, United States
Orcinus Holdings, LLC Subsidiary · Delaware, United States
Reclaim.ai, LLC Subsidiary · Delaware, United States
Valt Inc. Subsidiary · Delaware, United States
Built from subsidiaries listed in Exhibit 21 of annual reports filed with the SEC; subsidiaries, stakes and holdings from Wikidata (CC0); major holders from Schedules 13D and 13G. Each entity in the chart links to its source.
What it owns
What Dropbox Inc. reports owning in its annual reports to the SEC: buildings, land and equipment, real estate and locations, investments, intangible assets and inventory, at the end of its latest fiscal year and a year before.
Our corporate headquarters are located in San Francisco, California, pursuant to an operating lease that expires in 2033. We lease additional offices in San Francisco and around the world, including in Seattle, Washington and Dublin, Ireland. We have datacenter co-location facilities in Oregon, Texas, Virginia, Paris, and Hamburg. We believe that these facilities are generally suitable to meet our needs.
Upcoming dates from Nasdaq's calendar; past results from the company's 8-K filings (Item 2.02). The full markets calendar
Filings
730 filings to the SEC since October 2021: 5 annual reports, 15 quarterly reports, 44 major events, 379 insider forms, 33 large holders, 254 other. The latest 20:
288 open-market trades by officers, directors and large owners since October 2021: 0 buys and 288 sales. Grants, option exercises and gifts are left out.
BlackRockSCHEDULE 13G/A, 8 filings Feb 8, 2022 to Apr 23, 202574
Executive pay
What the company paid its top executives, from the summary compensation table in its proxy statement. Total pay includes salary, bonus, stock and option awards and other pay, as the company valued them.
Year
Executive
Age
Salary
Total pay
2025
Ashraf AlkarmiGeneral Manager and Senior Vice President, Core Products
The largest holders among investment managers' 13F reports for the quarter ending Jun 30, 2026, the top 25 of 100. Change is in shares since the quarter before.
Class A Common Stock, par value $0.00001 per share
DBX
The NASDAQ Stock Market LLC
From the cover page of the 10-K filed Feb 20, 2026 (Section 12(b) of the Exchange Act).6
Risk factors and legal proceedings
The risks Dropbox Inc. names in Item 1A of its 10-K filed Feb 20, 2026: 54 risks under these headings, as written.6
Risks Related to Our Business and Operations
Our rate of growth has declined and we have experienced negative growth in past periods. If we do not successfully execute our plan for future growth, our growth rate may continue to decline and we may continue to experience negative growth in future periods.
Our business depends on our ability to attract and retain users, convert users to paying users and upgrade paying users, and any decline in acquisitions, renewals or upgrades could adversely affect our future results of operations.
We have in the past and may continue to experience privacy and data security breaches or incidents.
Our business could be harmed by any significant disruption of service on our platform or loss of content.
We operate in competitive markets, and we must continue to compete effectively.
Failure to respond to rapid technological changes, extend our platform, or develop new features or products may harm our ability to compete effectively, which would adversely affect our business.
Our business depends upon the interoperability of our platform across devices, operating systems, and third-party applications that we do not control.
We generate revenue from sales of subscriptions to our platform, and declines in demand for our platform, or for content collaboration solutions in general, could negatively impact our business.
We depend on our key personnel and other highly qualified personnel, and if we fail to attract, integrate, and retain our personnel, and maintain our unique corporate culture, our business could be harmed.
We operate with a Virtual First workforce and the long-term impact of this model on our financial results and business operations remains uncertain.
Our business may be significantly impacted by general economic, political, and market conditions, including any resulting effect on consumer or business spending.
The other 43 risks
Our lack of a significant outbound sales force may limit the potential growth of our business.
We may expand sales to large organizations, which could lengthen sales cycles and result in greater deployment challenges.
Any failure to offer high-quality customer support may harm our relationships with our users and our financial results.
Our business depends on a strong brand, and if we are unable to maintain and enhance our brand, our ability to expand our base of users will be impaired and our business, results of operations, and financial condition will be harmed.
Our current operations outside the United States and our efforts to expand, subject us to increased business and economic risks that could impact our results of operations.
We depend on our infrastructure and third-party datacenters, and any disruption in the operation of these facilities or failure to renew the services could adversely affect our business.
We have relationships with third parties to provide, develop, and create applications that integrate with our platform, and our business could be harmed if we are unable to continue these relationships.
Our use of open source software could negatively affect our ability to offer and sell subscriptions to our platform and subject us to possible litigation.
Our ability to sell subscriptions to our platform and retain users could be harmed by real or perceived material defects or errors in our platform.
We have acquired or invested in, and may in the future acquire or invest in, other businesses, assets, and technologies, which could require significant management attention, disrupt our business operations, cause us to incur debt or dilute stockholder value, and may not be successful.
Our current and future indebtedness may limit our operating flexibility or otherwise affect our business.
Our operations may be interrupted and our business, results of operations, and financial condition could be adversely affected if we default on our leasing or credit obligations.
Risks Related to Our Financial Performance or Results
Our revenue growth rate has declined in recent periods and may continue to slow in the future.
We may increase expenses in the future, and we may not be able to achieve or maintain profitability in future periods.
Servicing our indebtedness under our term loan facility, 2026 Notes, and 2028 Notes may require a significant amount of cash, and we may not have sufficient cash flow or the ability to raise the funds necessary to satisfy our obligations under our term loan facility, 2026 Notes, or 2028 Notes.
Our quarterly results may fluctuate significantly and may not fully reflect the underlying performance of our business.
Our results of operations may not immediately reflect downturns or upturns in sales because we recognize revenue from our users over the term of their subscriptions with us.
Our results of operations, which are reported in U.S. dollars, could be adversely affected if currency exchange rates fluctuate substantially in the future.
We are subject to counterparty risk with respect to the convertible note hedge transactions.
Our ability to use our net operating loss carryforwards and certain other tax attributes may be limited.
Our operating results may be harmed if we are required to collect or pay incremental sales, value-added, or other related indirect taxes for our services or in jurisdictions where we have not historically done so.
Our results of operations and financial condition could be materially affected by the enactment of legislation implementing changes in the U.S. or non-U.S. taxation of international business activities or the adoption of other tax reform policies.
We have publicly disclosed market opportunity estimates, growth forecasts, and key metrics, including the key metrics included in this Annual Report on Form 10-K, as well as in our other public statements, which could prove to be inaccurate, and any real or perceived inaccuracies may harm our reputation and negatively affect our business.
Risks Related to Legal and Regulatory Compliance
We are subject to a variety of U.S. and international laws that could subject us to claims, increase the cost of operations, or otherwise harm our business due to changes in the laws, changes in the interpretations of the laws, greater enforcement of the laws, or investigations into compliance with the laws.
We are subject to export and import control laws and regulations that could impair our ability to compete in international markets or subject us to liability if we violate such laws and regulations.
Our actual or perceived failure to comply with privacy, data protection, and information security laws, regulations, and obligations could harm our business.
Our business could be adversely impacted by changes in internet access for our users or laws specifically governing the internet.
We are currently, and may be in the future, party to intellectual property rights claims and other litigation matters and, if resolved adversely, they could have a significant impact on our business, results of operations, or financial condition.
Our failure to protect our intellectual property rights and proprietary information could diminish our brand and other intangible assets.
Risks Related to Ownership of Our Class A Common Stock
The trading price of our Class A common stock may be volatile, and you could lose all or part of your investment.
The multi-class structure of our common stock has the effect of concentrating voting control with those stockholders who held our capital stock prior to the completion of our IPO, and it may depress the trading price of our Class A common stock.
Substantial future sales could depress the market price of our Class A common stock.
Transactions relating to our 2026 Notes and 2028 Notes may dilute the ownership interest of stockholders, or may otherwise depress the price of our common stock.
Nevada law and provisions in our articles of incorporation and bylaws, could make a merger, tender offer, or proxy contest difficult, thereby depressing the market price of our Class A common stock.
Our bylaws designate the Eighth Judicial District Court of the State of Nevada, Clark County, Nevada as the exclusive forum for substantially all disputes between us and our stockholders, and also provide that the federal district courts will be the exclusive forum for resolving any complaint asserting a cause of action arising under the Securities Act, each of which could limit our stockholders’ ability to choose the judicial forum for disputes with us or our directors, officers, or employees.
We cannot guarantee that our stock repurchase program will be fully implemented or that it will enhance long-term stockholder value.
We do not intend to pay dividends or other distributions for the foreseeable future.
General Risk Factors
Our business could be disrupted by catastrophic events.
We may have exposure to greater than anticipated tax liabilities, which could adversely impact our results of operations.
If we fail to maintain an effective system of disclosure controls and internal control over financial reporting, our ability to produce timely and accurate financial statements or comply with applicable regulations could be impaired.
Our reported results of operations may be adversely affected by changes in accounting principles generally accepted in the United States.
We may need additional capital, and we cannot be certain that additional financing will be available on favorable terms, or at all.
Our Class A common stock market price and trading volume could decline if securities or industry analysts do not publish research or publish inaccurate or unfavorable research about our business.
Legal proceedings
Legal Proceedings
We are currently involved in, and may in the future be involved in, legal proceedings, claims, inquiries, and government investigations in the ordinary course of business, including legal proceedings with third parties asserting infringement of their intellectual property rights, regulatory matters and commercial disputes.
On July 19, 2019 and July 23, 2021, Motion Offense, LLC (“Motion Offense”) filed patent infringement suits in the Western District of Texas (Waco Division) asserting infringement of a total of six U.S. patents. These lawsuits were consolidated in September 2021 (“the Consolidated Action”). In April 2023, Motion Offense filed a third patent infringement lawsuit involving one U.S. patent, which was not consolidated into the Consolidated Action.
The Consolidated Action had a jury trial in May 2023, and the jury found in favor of Dropbox on all counts including non-infringement and invalidity of the patents and awarded no damages to Motion Offense. In August 2024, the court entered judgment in line with the May 2023 verdict. A decision on post-trial briefing is currently pending. The final judgment in the district court may be appealed to the Federal Circuit.