NASDAQ$ZM

Zoom Video Communications Inc · Q1 2026 earnings

Q1 2026 earnings · · After market close · Investor relations

Briefing

Zoom reported solid financial results for Q1 FY2026, surpassing revenue and EPS guidance.

Zoom delivered stronger-than-expected performance in Q1 FY2026 with revenue growth, robust net income, and increased share repurchases, driven by enterprise adoption and AI-powered product innovation.

  • Total revenue reached $1.1747 billion, up 2.9% year over year.
  • GAAP EPS came in at $0.81 and Non-GAAP EPS at $1.43.
  • Net income rose to $254.6 million, compared to $216.3 million a year ago.
  • Zoom repurchased approximately 5.6 million shares, up from 4.3 million in Q4.

Headline financials

Total Revenue

$1.17B

Previous: $1.14B+2.9%
EPS (adj)

$1.43

Previous: $0.69+107.2%
Customers >$100k TTM

4.2K

Previous: 3.9K+8.0%
Net Dollar Expansion Rate

98.0%

No prior period
Online Monthly Churn

2.8%

Previous: 3.2%-12.5%
Online 16mo+ MRR %

74.2%

Previous: 73.8%+0.5%
Capital Expenditures

-$25.9M

Previous: -$18.5M-40.0%
Net Income

$255M

Previous: $216M+17.7%
Operating Income

$242M

Previous: $203M+19.0%
Gross Profit

$896M

Previous: $868M+3.3%

Revenue & EPS history

Zoom · Revenue · Quarterly

$1.17B

Q1 2026+2.9%vs Q1 2025
Beat estimate in 14 of 15 quarters(93%)
ActualEstimate

Revenue by segment

Zoom · $1.24B total across 2 segments · Q1 2027

  • Enterprise
    $756M
  • Online
    $483M

Forward guidance

Zoom expects moderate growth in Q2 and FY2026, with steady enterprise momentum and strong free cash flow outlook, while macro uncertainties and lower online revenue may present headwinds.

Tailwinds

  • Q2 revenue expected between $1.195B and $1.200B.
  • Non-GAAP EPS guidance for Q2 is $1.36–$1.37.
  • Full-year revenue forecast between $4.800B and $4.810B.
  • Strong full-year free cash flow guidance between $1.680B and $1.720B.
  • Continued focus on shareholder returns with $1.2B in remaining authorized buybacks.

Headwinds

  • Online revenue showed a year-over-year decline.
  • Macroeconomic uncertainty may affect customer spending.
  • Operating cash flow declined compared to Q1 FY2025.
  • Churn remains a challenge in the online segment despite improvements.
  • Limited upside in enterprise net dollar expansion rate, currently at 98%.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q1 2026

Historical avgQ1 2026

+2.5%

Avg return

Earnings day

+0.6%

Avg return

5 days after

+1.6%

Avg return

30 days after

42%

13 / 31 earnings

Positive

+52.9%

Q2 2021

Best reaction

-18.3%

Q2 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2027
Q4 2026-11.6%-14.0%-9.0%
Q3 2026+9.8%+8.1%+11.7%
Q2 2026+12.7%+10.6%+15.0%
Q1 2026-0.1%-4.1%-5.2%
Q4 2025-8.5%-9.1%-5.3%
Q3 2025-2.9%-3.7%-0.2%
Q2 2025+15.1%+20.6%+14.2%
Q1 2025-0.5%-1.8%-12.4%
Q4 2024+7.5%+11.8%+5.1%
Q3 2024+2.8%+0.6%+9.0%
Q2 2024-0.7%+2.1%+3.8%
Q1 2024-5.4%-4.5%-3.5%
Q4 2023+0.9%-4.2%-4.5%
Q3 2023-5.5%-7.6%-14.3%
Q2 2023-18.3%-18.2%-23.7%
Q1 2023+5.1%+23.0%+28.3%
Q4 2022-2.0%-13.1%-2.3%
Q3 2022-17.8%-12.4%-23.1%
Q2 2022-15.1%-12.5%-24.5%
Q1 2022-1.3%+1.3%+16.6%
Q4 2021-0.2%-9.7%-14.0%
Q3 2021-13.8%-13.1%-25.1%
Q2 2021+52.9%+23.6%+57.1%
Q1 2021+9.7%+1.7%+28.2%
Q4 2018+28.9%+11.6%+21.2%
Q4 2020+6.4%-3.2%+9.1%
Q3 2020-10.3%-7.7%-3.8%
Q2 2018-1.1%+3.7%-12.5%
Q2 2020-8.7%-14.1%-18.2%
Q1 2018+28.4%+29.4%+15.7%
Q1 2020+20.5%+21.6%+17.7%
Q4 2019
Q3 2018

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