Zoom had another outstanding quarter, with its revenue increasing by 355%

Telecom provider Zoom released its quarterly financial results earlier this week, which exceeded market expectations in terms of health and the shift to telecommuting. The outstanding growth in the second quarter-revenue increased by 355% from the same period last year-was attributable to the company’s long-term plan to move to remote work.

Net income for the quarter was US$274.8 million and revenue was US$663.5 million, an increase of 355% over the same period last year. “Now, organizations have solved their urgent needs, and now they need to develop strategies for the future to organize remote work and training through Zoom’s video platform,” said Eric S. Yuan, Zoom’s CEO in a statement.

The CEO attributed the good quarterly results to the company’s “ability to keep people connected globally and our strong ability to act.” As of the end of the quarter, the company had approximately 370,200 customer organizations with more than ten employees, an increase of 458% over the same period last year.

Zoom highlighted some important new customers acquired during the quarter, namely ExxonMobil and Activision Blizzard, as well as customers who have expanded their business through Zoom, such as ServiceNow.

In the quarter, year-on-year revenue growth was mainly driven by subscriptions offered to new customers, accounting for approximately 81% of the increase. Subscriptions provided to existing customers accounted for approximately 19% of the increase. Chief Financial Officer Kelly Steckelberg said on Monday that this demand has been widely distributed in various industries and regions.

In the past 12 months, the number of customers who contributed more than $100,000 to revenue was 998, an increase of 112% over the previous year. For the third quarter, Zoom expects revenue to be between US$685 million and US$690 million. Analysts expect revenue of 492.9 million US dollars.

Throughout the 2021 fiscal year, Zoom has increased its revenue outlook by approximately $2.37 billion to $2.39 billion.

Source: ZDNet.com