Zoom’s first-quarter financial results nearly 1 billion, up 191% year over year

Cloud Services

Thu, 3rd Jun 2021

FYI, this story is more than a year old

By Ryan Morris-Reade, Contributor

Zoom's financial results for the first quarter of 2021 have a total revenue of $956.2 million, up 191% year over year.

The financial results announced are for the first fiscal quarter ending April 30, 2021.

“We kicked off the fiscal year with a very strong first quarter, posting 191% total year-over-year revenue growth combined with strong profitability and cash flow,” says Zoom founder and CEO, Eric S. Yuan.

“Our steadfast commitment to empowering customers to work and learn from anywhere with our expansive, innovative, and frictionless video communications platform continued to drive our results. With this solid start, we are pleased to raise our total guidance range from $3.975 billion to $3.990 billion for the full fiscal year.

“We have also opened our technology portfolio to developers and businesses through our video SDK to expand their reach through Zoom Events. Work is no longer a place, it's a space where Zoom serves to empower teams to connect and bring their best ideas to life. We are energised to help lead the evolution to hybrid work that allows greater flexibility, productivity, and happiness to both in-person and virtual connections,” he says.

Some of the first quarter fiscal year 2021 financial highlights are:

Total revenue for the first quarter was $956.2 million, up 191% year over year. GAAP income from operations for the first quarter was $226.3 million, up from $23.4 million in the first quarter of the fiscal year 2021. After adjusting for stock-based compensation expense and related payroll taxes, acquisition-related expenses, and litigation settlements, net, non-GAAP income from operations for the first quarter was $400.9 million, up from $54.6 million in the first quarter of the fiscal year 2021.
Non-GAAP net income for the quarter was $402.1 million, after adjusting for stock-based compensation expense and related payroll taxes, acquisition-related expenses, litigation settlements, net, and undistributed earnings attributable to participating securities.
Drivers of total revenue included acquiring new customers and expanding across existing customers. At the end of the first quarter of the fiscal year 2021, Zoom had approximately 497,000 customers with more than 10 employees, up approximately 87% from the same quarter last fiscal year.

In predictions for the second quarter fiscal year 2021, total revenue is expected to be between $985 million and $990 million and non-GAAP income from operations is expected to be between $355 million and $360 million.