Quarterly ResultMay 21, 2026, 04:13 PM
Zoom Communications Q1 Revenue $1.24B, +5.5%; $1B Share Buyback Added
AI Summary
Zoom Communications reported strong financial results for the first quarter of fiscal year 2027, with total revenue of $1,239.0 million, a 5.5% increase year over year, surpassing its guidance. The company also saw improved profitability, with non-GAAP operating margin rising to 41.1%, and robust free cash flow of $500.5 million. Additionally, Zoom's Board of Directors authorized an incremental $1.0 billion for common stock repurchases, bringing the total authorization to $1.625 billion, and updated its full fiscal year 2027 guidance upwards.
Key Highlights
- Board authorized an additional $1.0 billion for share repurchases, totaling $1.625 billion.
- Q1 total revenue was $1,239.0 million, up 5.5% year over year, exceeding guidance.
- Enterprise revenue grew 7.2% year over year to $755.7 million.
- Non-GAAP operating margin increased to 41.1%, up 130 bps year over year.
- Non-GAAP diluted EPS was $1.55, compared to $1.43 in Q1 FY26.
- Free cash flow for the quarter reached $500.5 million.
- Full fiscal year 2027 revenue guidance updated to $5.080 billion to $5.090 billion.
- Trailing 12-month net dollar expansion rate for Enterprise customers increased to 99%.
Price Impact
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