Customer Base Expands 67 Percent, Spiking Zoom’s Revenues

Zoom Video Communications (NASDAQ:ZM), online mobile communications company reported a 85 percent year-over-year boost in revenues for the third quarter, rising to US$166.6 million. Over the quarter, new customers rose by 67 percent over the period to 74,100 leading to the company to project 2020 fiscal earnings per share to reach US$0.27.

As quoted in the press release:

“Our third quarter was another strong performance for Zoom. Our execution helped drive revenue growth of 85% with increased non-GAAP profitability year-over-year and free cash flow of $54.7 million. This execution also drove 67% growth in the number of customers with more than 10 employees and 97% growth of in the number of customers contributing more than $100K of TTM revenue,” said Eric S. Yuan, founder and chief executive officer of Zoom.

Yuan added, “In Q3, we hosted our premier customer event, Zoomtopia, with more than 2,600 registered guests, up 80% year-over-year. During the event, our customers shared their stories of how frictionless Zoom experiences are driving productivity and delivering happiness with both internal and external stakeholders. Also, at Zoomtopia, we were proud to announce expansions to our platform including our new Zoom Rooms Appliance Program, expanded Zoom Phone service and capabilities, and the growth of our App Marketplace. Our customers tell us that Zoom ‘just works,’ and with these new innovations we empower teams to do even more with video communications.”

Click here to read the full press release.