Zoom Communications (ZM) reported its Q2 earnings for 2022 on Monday after the market closed. The company beats earnings expectations however the stock declined heavily (~10%) after the announcement, trading at $314.03 per share as the growth has slowed due to the reopening of the businesses and schools.
- Second quarter total revenue of $1,021.5 million, up 54% year over year
- Number of customers contributing more than $100,000 in TTM revenue up 131% year over year
- Second quarter GAAP operating margin of 28.8% and non-GAAP operating margin of 41.6%
Financial Outlook for Q3 2022:
- Third Quarter Fiscal Year 2022: Total revenue is expected to be between $1.015 billion and $1.020 billion and non-GAAP
- income from operations is expected to be between $340.0 million and $345.0 million. Non-GAAP diluted EPS is expected
- to be between $1.07 and $1.08 with approximately 309 million non-GAAP weighted average shares outstanding.
Financial Outlook for full fiscal year 2022:
Total revenue is expected to be between $4.005 billion and $4.015 billion. Non-GAAP income from
operations is expected to be between $1.500 billion and $1.510 billion. Non-GAAP diluted EPS is expected to be between $4.75 and $4.79 with approximately 308 million non-GAAP weighted average shares outstanding
There has been a lot of focus on the video conferencing company’s growth projections as more employees re-enter the physical workplace.
Here’s what Wall Street expects from Zoom in the quarter, as compiled by Bloomberg,
- Revenue: $990 million expected versus $663 million in Q2 2021
- Earnings per share: $1.16 expected versus $0.92 in Q2 2021