Box CEO Levie: We're competitive despite losses
Though his company has yet to attain profitability, Box CEO Aaron Levie believes it has taken crucial steps to boost efficiency.
Improving performance in the highly crowded cloud computing space depends largely on developing ongoing client relationships, Levie said Thursday.
"Our competitiveness really stems from the ability to work with really large, security-conscious, regulated organizations that need to be able to manage and share their information," he said in a CNBC "Closing Bell" interview. "That's our focus, and it's actually playing out in a pretty significant way right now."
Levie's comments came a day after Box posted a smaller-than-expected quarterly loss of 28 cents per share on $65.6 million in revenue. The data storage company's shares closed nearly 3 percent higher Thursday.
Read MoreBox results: Loss of 28 cents per share, vs expected loss of 31 cents
Box went public in January as giants including Microsoft continued to expand their cloud offerings. Investors have watched for the money-losing company to boost revenue and cut expenses in the crowded sector.
Levie believes Wednesday's results show progress. Box revenue increased 45 percent from the prior-year period, while its loss shrank from $2.32 per share. He also noted that sales and marketing spending dropped to 80 percent of revenue in the quarter from 100 percent a year ago.
Levie contended that Box has made progress with new client relationships. The company has entered partnerships with the U.S. Department of Justice, Chevron and Chipotle Mexican Grill, among others.
He added that spending to reach clients brings a long-term return, as many partners will stick with Box for years or increase their deployment over time.