Zoom Q4 sales beats estimates, helped by enterprise revenue growth

Zoom Communications

25/02/2026 21:36

Overview

Video conferencing firm's Q4 revenue rose 5.3%, beating analyst expectations

Adjusted EPS for Q4 missed analyst estimates

Company repurchased 3.8 mln shares in Q4

Outlook

Zoom expects Q1 revenue between $1.220 bln and $1.225 bln

Zoom sees FY27 revenue between $5.065 bln and $5.075 bln

Zoom projects FY27 non-GAAP EPS between $5.77 and $5.81

Result Drivers

ENTERPRISE REVENUE - Q4 enterprise revenue rose 7.1% year-over-year, contributing to overall revenue growth

HIGH-VALUE CUSTOMERS - Number of customers contributing more than $100,000 in trailing 12 months revenue up 9.3% year over year

AI CUSTOMER EXPERIENCE - High-double-digit growth in Zoom Customer Experience driven by AI features

Company press release: ID:nGNX3nKSG6

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Revenue
Beat
$1.25 bln
$1.23 bln (24 Analysts)
Q4 Adjusted EPS
Miss
$1.44
$1.49 (25 Analysts)
Q4 EPS
$2.22
Q4 Adjusted operating Margin
39.30%
Q4 Operating Margin
20.00%


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 17 "strong buy" or "buy", 12 "hold" and 2 "sell" or "strong sell"

The average consensus recommendation for the software peer group is "buy"

Wall Street's median 12-month price target for Zoom Communications Inc is $100.00, about 14.3% above its February 24 closing price of $87.51

The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 15 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)