Zoom(US:ZM)2025-11-24 21:06Financial Performance - Total revenue for Q3 FY 2026 was $1,229.8 million, representing a 4.4% year-over-year increase[5] - Enterprise revenue reached $741.4 million, up 6.1% year-over-year[5] - GAAP net income for Q3 was $612.9 million, or $2.01 per share, compared to $207.1 million, or $0.66 per share, in the same quarter last year[6] - Non-GAAP diluted EPS for Q3 was $1.52, up 10.1% year-over-year[5] - GAAP revenue for Q3 2025 was $1,229,835, representing a year-over-year growth of 4.4%[34] - GAAP net income for the nine months ended October 31, 2025, was $1,226,068, up from $642,373 in the same period last year, marking a significant increase of 90.7%[34] - The company reported a basic net income per share of $2.05 for the three months ended October 31, 2025, compared to $0.67 for the same period in 2024, an increase of 205.2%[30] Cash Flow and Expenses - Operating cash flow for Q3 was $629.3 million, a 30.2% increase year-over-year[5] - Free cash flow for Q3 was $614.3 million, compared to $457.7 million in Q3 FY 2025[6] - Cash flows from operating activities for the three months ended October 31, 2025, were $629,326, up from $483,217 in the same period of 2024, an increase of 30.3%[32] - Operating expenses decreased to $647,651 for the three months ended October 31, 2025, from $710,820 in the same period of 2024, a reduction of 8.9%[30] - Free cash flow (non-GAAP) for Q3 2025 was $614,317, compared to $457,733 in Q3 2024, indicating a growth of 34.2%[34] Guidance and Projections - Fourth quarter revenue guidance is projected between $1.230 billion and $1.235 billion[14] - Full fiscal year 2026 revenue is expected to be between $4.852 billion and $4.857 billion[14] Customer Metrics - The number of customers contributing over $100,000 in trailing 12 months revenue increased by 9.2% year-over-year, totaling 4,363 customers[14] Assets and Equity - Total assets as of October 31, 2025, were $11,390,811, compared to $10,988,421 as of January 31, 2025, an increase of 3.7%[28] - Total stockholders' equity increased to $9,286,840 as of October 31, 2025, from $8,935,084 as of January 31, 2025, reflecting a growth of 3.9%[28] Strategic Investments - Strategic investments increased to $1,052,604 as of October 31, 2025, from $591,481 as of January 31, 2025, a rise of 77.8%[28] Revenue and Profitability Metrics - Gross profit for the three months ended October 31, 2025, was $958,065, representing a gross margin of approximately 77.9%[30] - Non-GAAP income from operations for Q3 2025 reached $506,950, compared to $457,794 in Q3 2024, reflecting an increase of 10.7%[34] - GAAP operating margin improved to 25.2% in Q3 2025 from 15.5% in Q3 2024[34] - Operating cash flow margin (GAAP) increased to 51.2% in Q3 2025 from 41.0% in Q3 2024[34] - Revenue in constant currency (non-GAAP) for Q3 2025 was $1,227,416, with a year-over-year growth of 4.2%[34] Stock Repurchase - Zoom's Board of Directors authorized an additional $1.0 billion for stock repurchase, increasing the total authorization to $1.310 billion[10]