Pорulаr vidео соnfеrеnсing platform, Zoom rероrtеd thаt it generated $328.2 milliоn in rеvеnuе in its rесеntlу rеlеаѕеd finаnсiаl results fоr the ԛuаrtеr ended Aрril 30, 2020.
The revenue generated by the company exceeded Yahoo Finance expected return of $202.48 million. The amount generated was also up by a whopping 169% when compared to the revenue generated by this time a year ago.
Zoom reported $0.20/per share in adjusted profit during the three-month period. Ahead of its earnings, shares were up by more than 3 times during the year, as investors were expecting big gains.
This is mainly because of the accelerated adoption of the Zoom platform around the globe as COVID-19 drove workers to stay home and work remotely.
$27 million in Net Income
Zoom’s financial results for its Q1 2021* showed high growth and generated significant profits for the company. The video company attributed a generally accepted accounting principle (GAAP) net income of about $27 million to common stockholders for the quarter. This is a 26.8 million increase from the GAAP net income of $0.2 million attributed in the first quarter of the 2020 fiscal year.
Income from incoming operations stood at $23.4 million for the quarter compared to the $1.6 million generated during the same quarter the previous year.
The non-GAAP net income was higher at $58.3 million after adjusting for stock-based compensation expense and related payroll taxes, expenses related to charitable donations.
$259 million in Net Cash generation
Zoom’s cash generation was impressive during the quarter as the total cash, cash equivalents, and marketable securities as of April 30, 2020, was about $1.1 billion.
The net cash provided by operating activities was about $259 million. This is a 1,066% increase compared to $22.2 million recorded in the first quarter of the 2020 fiscal year. Free cash flow racked up during the quarter was $251.7 million, compared to $15.3 million in the first quarter of the fiscal year 2020.
Over 265,400 customers
Following the increased adoption of remote work, Zoom customer base rose to approximately 265,400 customers. This was a significant 354% from the same quarter the previous year.
According to the report, the new customers and expanding across existing customers was the main driver of the increased revenue generated. 769 customers contributed more than $100,000 in revenue in the last 12 months.
Looking forward, Zoom expects higher revenue of between $495.0 million and $500.0 million in Q2. For non-GAAP income from operations, the company expects between $130.0 million and $135.0 million.
In the full fiscal year of 2021, Zoom is looking at revenues between $1.775 billion and $1.800 billion. Earnings per share (EPS) is expected to be between $1.21 and $1.29 with approximately 300 million non-GAAP weighted average shares outstanding.
However, the video company acknowledged the possibility of a decline in the second half of the fiscal year due to businesses no longer needing Zoom because workers are returning back to offices.
- Zoom is currently in its 2021 financial year