Zoom beats estimates even as revenue growth is poised to slow after pandemic


Zoom CEO Eric Yuan makes a toast after the Nasdaq opening bell ceremony in New York on April 18, 2019.

Kena Betancur | Getty Photos

Zoom reported better-than-expected quarterly earnings on Monday, whereas warning traders of a revenue slowdown on the video-chat firm as the pandemic comes to an finish.

This is how the corporate did:

  • Earnings: $1.11 per share, adjusted, vs. $1.09 per share as anticipated by analysts, in accordance to Refinitiv.
  • Revenue: $1.05 billion, vs. $1.02 billion as anticipated by analysts, in accordance to Refinitiv.

Revenue elevated 35% from a 12 months earlier within the quarter, which ended Oct. 31, slowing from 54% growth within the prior interval. Internet revenue jumped 71% to $340.3 million, in accordance to a statement.

For the fiscal fourth quarter, Zoom forecast adjusted earnings of $1.06 to $1.07 per share on $1.051 billion to $1.053 billion in revenue, which suggests 19% growth. Analysts polled by Refinitiv had anticipated $1.05 in adjusted earnings per share and $1.02 billion in revenue.

Zoom inventory moved swiftly larger final 12 months as the corporate expanded from a contender in a slim class of enterprise software program to a material of tradition. Thousands and thousands of individuals adopted its software program to remotely attend courses and meet after the coronavirus pandemic made these sorts of gatherings tough if not unattainable.

Revenue growth was above 300% as lately as the quarter that ended in January. Now Zoom has reported its slowest growth since no less than 2018, earlier than its 2019 preliminary public providing.

In the course of the quarter, Zoom stated it had called off its plan to purchase cloud contact heart software program supplier Five9 for $14.7 billion. In asserting the information, Zoom said its personal cloud contact heart software program would launch in early 2022.

Prior to the after-hours transfer, Zoom shares are down 28% in 2021, whereas the S&P 500 index is up 25% over the identical interval. Executives will focus on the outcomes on a Zoom name beginning at 5 p.m. ET.

This is breaking information. Please verify again for updates.

WATCH: Five9 CEO explains why Zoom deal failed



Zoom beats estimates even as revenue growth is poised to slow after pandemic Source link Zoom beats estimates even as revenue growth is poised to slow after pandemic

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