Zoom Reports Another Blowout Quarter with Sales Surging 369% in Q4

There’s no doubt that one of the biggest winners to emerge from the COVID-19 pandemic has been communications conferencing company Zoom Video Communications.

The company reported its earnings results after the market close on Monday and revealed that for the fourth quarter, sales had surged 369%.

Zoom’s Q4 results easily surpassed consensus estimates and guidance for the current quarter and full fiscal year also easily topped expectations.

Shares surged more than 10% in after-hours trading, adding to a gain of more than 9.6% during the regular trading day.

For the fourth quarter, the company reported $882.5 million in revenue compared to $811.04 million expected by Bloomberg. In the year ago quarter the company had reported only $188.25 million.

Adjusted earnings for the quarter were $1.22 a share compared to 79 cents expected per Bloomberg. This is also compared to 15 cents YOY.

Customers with more than 10 employees surged 470% to 467,100, also exceeding estimates for a jump to nearly 442,600.

“The fourth quarter marked a strong finish to an unprecedented year for Zoom. In FY2021, we significantly scaled our business to provide critical communications and collaboration services to our customers and the global community in response to the pandemic,” Zoom CEO Eric Yuan said in a statement.

“As we enter FY2022, we believe we are well positioned for strong growth with our innovative video communications platform, on which our customers can build, run, and grow their businesses; our globally recognized brand; and a team ever focused on delivering happiness to our customers.”

Looking ahead, Zoom said it expected first-quarter revenue to come in between $900 million and $905 million, soaring well above consensus estimates for current-quarter sales of $829.5 million.

Adjusted earnings for the quarter are expected to be between 95 cents and 97 cents a share, versus the 72-cent consensus estimate. For the full year, revenue will likely be $3.76 billion to $3.78 billion, the company added, also easily topping estimates for $3.53 billion.

Disclaimer: We have no position in any of the companies mentioned and have not been compensated for this article.