Zoom Communications Reports Fourth Quarter and Fiscal Year 2025 Financial Results

Core Insights - Zoom Communications, Inc. reported financial results for the fourth quarter and fiscal year ended January 31, 2025, highlighting a transformation into an AI-first company driven by the Zoom AI Companion [1][2]. Financial Performance - Fourth quarter total revenue reached $1,184.1 million, reflecting a year-over-year increase of 3.3%, while full fiscal year total revenue was $4,665.4 million, up 3.1% year over year [5][10]. - Non-GAAP net income for the fourth quarter was $446.9 million, or $1.41 per share, compared to $444.0 million, or $1.42 per share in the same quarter of the previous year [4][6]. - The company achieved a GAAP operating margin of 19.0% in Q4, an increase of 430 basis points year over year, and a non-GAAP operating margin of 39.5%, up 80 basis points year over year [5][10]. Cash Flow and Share Repurchase - Operating cash flow for the fourth quarter was $424.6 million, a 20.9% increase year over year, with full fiscal year operating cash flow of $1,945.3 million, up 21.7% year over year [5][10]. - The company repurchased approximately 4.3 million shares of common stock in the fourth quarter and about 15.9 million shares during the full fiscal year [5][10]. Customer Metrics - The number of customers contributing more than $100,000 in trailing 12 months revenue increased by 7.3% year over year, totaling 4,088 customers [11]. - Zoom had approximately 192,600 Enterprise customers with a trailing 12-month net dollar expansion rate of 98% [11]. Financial Outlook - For the first quarter of fiscal year 2026, Zoom expects total revenue between $1.162 billion and $1.167 billion, with non-GAAP diluted EPS anticipated between $1.29 and $1.31 [18]. - For the full fiscal year 2026, total revenue is projected to be between $4.785 billion and $4.795 billion, with non-GAAP diluted EPS expected between $5.34 and $5.37 [18].