Zoom Posts 2Q Revenue of More Than $1 Billion; Beats Wall Street Targets
August 30 2021 - 5:03PM
Dow Jones News
By Maria Armental
Zoom Video Communications Inc. reported more than $1 billion in
July-quarter revenue, fueled by strong demand for its
videoconferencing services that became ubiquitous during the
pandemic.
Zoom's second-quarter profit rose to about $317 million from
about $186 million a year earlier, while revenue reached $1.02
billion, up from $663.5 million a year ago.
The results beat Zoom's and Wall Street projections, according
to FactSet.
The San Jose, California-based company said it now expects
annual revenue to reach $4.01 billion to $4.02 billion, compared
with its earlier view of $3.98 billion to $3.99 billion, and $4.75
to $4.79 a share in adjusted profit, compared with its previous
range of $4.56 to $4.61 a share.
As offices start to reopen, analysts are raising questions about
Zoom's ability to retain paying customers and sustain the kind of
growth it experienced during the pandemic.
On Monday, Zoom said it now had 504,900 customers, up from about
497,000 in the April quarter, and said 2,278 customers generated
more than $100,000 in revenue over the past 12 months, up from
about 1,999 in the previous quarter.
Zoom has been adding features and services and, in July, it
agreed to buy cloud-based customer-service software provider Five9
Inc., a deal that Zoom said would allow it to tap into a $24
billion contact-center market.
Write to Maria Armental at maria.armental@wsj.com
(END) Dow Jones Newswires
August 30, 2021 16:48 ET (20:48 GMT)
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