Jun 2, 2020 - Technology

Zoom revenues and profit soar as pandemic propels videoconferencing

Zoom founder Eric Yuan in New York on the day of the firm's 2019 IPO.
Zoom founder Eric Yuan in New York on the day of the firm's 2019 IPO. Photo: Kena Betancur/Getty Images

Zoom saw revenue more than double and bulked up what had been a razor-thin profit margin in the three months ending April 30, the company reported Tuesday.

The big picture: The report marks Zoom's first of the pandemic era, as the company went from insurgent enterprise video-conferencing startup to global powerhouse.

Details:

  • Revenue came to $328.2 million, up 169% year over year and well above the $203 million Wall Street reportedly expected.
  • Net income came to $27.0 million, or $0.09 per share, up from $198,000, or roughly break-even per share, in the year-ago quarter. Analysts had been projecting $0.01 per share.
  • The company counted roughly 265,400 enterprise customers with more than 10 employees, up 354% year over year.

Zoom shares were up modestly in after-hours trading following the report.

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