Zoom Video targets revenue of $1.12 bn in current quarter

Zoom Video Communications said it is expecting revenue of $1.115-$1.120 billion and income from operations of $360-$365 million during the second quarter of fiscal 2022-223.
Zoom video conferencing appZoom Video said it is expecting revenue of $4.530-$4.550 billion and income from operations of $1.480-$1.500 billion during the fiscal 2022-223, betting on robust demand from large businesses in a hybrid work environment.

Revenue from Zoom’s high-paying enterprise customers surged 31 percent in the first quarter of fiscal, representing 52 percent of its total revenue.

“We expect revenue from enterprise customers to become an increasingly higher percentage of total revenue over time,” Zoom Video Chief Financial Officer Kelly Steckelberg said in a post-earnings call with analysts.

The company said adjusted operating margin rose 37.2 percent in the quarter ended April 30 as efforts to expand its enterprise offerings to customer service contact centers, cloud calling and analytics companies paid off.

Zoom recently announced the acquisition of Solvvy, an AI startup, and launched Zoom IQ, a call analytics tool for sales departments.

San-Francisco-based Zoom Video said revenue rose 12 percent to $1.07 billion in the first quarter, its slowest growth on record.

Over the past few quarters, demand for Zoom Video’s platform had slowed as COVID-19 lockdowns eased and competition intensified from Microsoft’s Teams and Cisco’s WebEx and Google’s Meet, says Reuters news report.