Zoom Q4 2024 Earnings Report
Key Takeaways
Zoom Video Communications announced its Q4 and FY24 financial results, with Q4 revenue up 2.6% year-over-year to $1,146.5 million and GAAP net income of $298.8 million, or $0.95 per share. The company's full-year revenue reached $4,527.2 million, a 3.1% increase year-over-year. Zoom is focused on platform innovation, including AI integration, and has authorized a $1.5 billion stock repurchase program.
Q4 total revenue reached $1,146.5 million, a 2.6% increase year-over-year.
Enterprise revenue for Q4 was $667.3 million, up 4.9% year-over-year.
GAAP net income for Q4 was $298.8 million, or $0.95 per share, compared to a loss of $(104.1) million in Q4 2023.
Operating cash flow for Q4 increased by 66.0% year-over-year to $351.2 million.
Zoom
Zoom
Forward Guidance
Zoom provided guidance for Q1 and full fiscal year 2025, expecting total revenue of approximately $1.125 billion for Q1 and $4.600 billion for the full year. Non-GAAP diluted EPS is expected to be between $1.18 and $1.20 for Q1 and between $4.85 and $4.88 for the full year.
Positive Outlook
- Total revenue is expected to be approximately $1.125 billion for Q1 2025
- Revenue in constant currency is expected to be approximately $1.125 billion for Q1 2025
- Non-GAAP income from operations is expected to be between $410.0 million and $415.0 million for Q1 2025
- Non-GAAP diluted EPS is expected to be between $1.18 and $1.20 for Q1 2025
- Total revenue is expected to be approximately $4.600 billion for FY 2025
Challenges Ahead
- Factors could be material to Zoom's results computed in accordance with GAAP.
- Guidance does not include impact from share repurchase authorization.
- Uncertainty of expenses that may be incurred in the future.
- Macroeconomic conditions including inflation and market volatility.
- Global security concerns and their potential impact on regional and global economies and supply chains.