Stock Falls Amid Fewer Zoom Calls
Zoom fiscal Q2 revenue grew 54% year over year to $1.02 billion, in its first “billion-dollar-plus” quarter, said Chief Financial Officer Kelly Steckelberg on a Monday call. “As we’ve just lapped our first full quarter year-over-year compare since the start…
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of the pandemic, we have seen customers return to more thoughtful, measured buying patterns.” Revenue and profitability were strong in the quarter ended July 31, but “other metrics have begun to normalize, especially when compared to the unprecedented year-over-year comps,” she said. Zoom expects its online business “will be a headwind in the coming quarters,” she said. The online sector consists “primarily” of small-business people and individual consumers, many of whom are “socializing in person now,” doing fewer Zoom calls, “and that's where we are starting to see some of the challenges,” she said. Zoom had expected the “slowdown” toward the end of the year, but it “just happened a little bit more quickly than we expected,” she said. The stock closed down 17% Tuesday at $289.50.