Article Hero

Zoom earnings report tops estimates

1637675988.jpg
Miguel A. Rodriguez
Miguel A. Rodriguez
24 November 2021
Zoom beat analysts’ fiscal Q3 2022 expectations and revealed plans for early 2022

For the quarter ended October 31, Zoom revenue increased 35% from the year ago period to $1.05 billion. The figures came in slightly higher than the $1.02 billion expected. At the same time, the adjusted EPS came in at $1.11 versus $1.09 per share estimated. Also, it reported the slowest growth since at least 2018, before its 2019 IPO.

However, the company is expanding its usage within big organizations. Currently, Zoom has more than 2,500 customers who are spending over $100,000 per year, up 94% from the same time last year.

Zoom stock moved swiftly higher last year, becoming a fabric of culture as millions of people adopted the software to remotely attend classes and meet after the COVID-19 pandemic made in-person gathering difficult. Moreover, during the quarter Zoom called off its plans to buy cloud contact center software provider Five9 for $14.7 billion. The company revealed that in early 2022 it will launch its own cloud contact center.

For the fiscal Q4, Zoom forecasted adjusted earnings per share as high as $1.07, on revenues of $1.05 billion, pointing to a 19% growth.

Disregarding the after-hours move following the report, Zoom shares are down 28% since the beginning of the year, while USA500 gained 25%.

Source: cnbc.com

disclaimers_articles

article_share_title

article_rating_title

awful
ok
great
awesome

read_more

Miguel A. Rodriguez
Miguel A. Rodriguez
financial_writer

Miguel worked for major financial institutions such as Banco Santander, and Banco Central-Hispano. He is a published author of currency trading books.