NASDAQ$ZM

Zoom Video Communications Inc · Q4 2025 earnings

Q4 2025 earnings · · After market close · Investor relations

Briefing

Zoom reported steady revenue growth and improved profitability in Q4 FY25.

Zoom's fourth-quarter revenue grew 3.3% year over year to $1.184 billion, with enterprise revenue rising by 5.9%. GAAP net income increased to $367.9 million, while non-GAAP net income reached $446.9 million. Operating cash flow rose 20.9% to $424.6 million. The company continues to expand its AI capabilities and customer base.

  • Total revenue increased by 3.3% year over year, driven by enterprise growth.
  • GAAP net income rose to $367.9 million, reflecting stronger profitability.
  • Free cash flow increased 25.1% to $416.2 million.
  • Number of customers contributing over $100,000 in trailing 12-month revenue grew by 7.3%.

Headline financials

Total Revenue

$1.18B

Previous: $1.15B+3.3%
EPS (adj)

$1.41

Previous: $1.42-0.7%
Free Cash Flow

$416M

No prior period
Net Income

$368M

Previous: $299M+23.1%
Operating Income

$225M

Previous: $169M+33.5%
Gross Profit

$897M

Previous: $870M+3.1%

Revenue & EPS history

Zoom · Revenue · Quarterly

$1.18B

Q4 2025+3.3%vs Q4 2024
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 revenue for Q1 FY26 to range between $1.162 billion and $1.167 billion, with non-GAAP diluted EPS projected between $1.29 and $1.31. Full-year FY26 revenue is expected between $4.785 billion and $4.795 billion.

Tailwinds

  • Revenue growth expected to continue with strong enterprise demand.
  • AI-driven innovations positioned for further adoption.
  • Continued focus on operational efficiency and margin expansion.
  • Healthy cash flow projections for fiscal year 2026.
  • Stock repurchase program to enhance shareholder value.

Headwinds

  • Online revenue segment saw slight decline in Q4 FY25.
  • Macroeconomic conditions could impact enterprise spending.
  • Increasing competition in the collaboration and AI markets.
  • Transition in customer classification may affect reported metrics.
  • Stock-based compensation remains a significant expense.

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 Q4 2025

Historical avgQ4 2025

+2.7%

Avg return

Earnings day

+0.6%

Avg return

5 days after

+1.3%

Avg return

30 days after

44%

14 / 32 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+9.3%+3.4%-10.6%
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

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro