This COVID-19 pandemic has proved to be a blessing in disguise for Zoom. Zoom has become a household name worldwide overnight. Right from schools to tech giants, everybody is using Zoom to conduct online classes and meetings.
The corona virus pandemic lockdown forced companies to shut down the office and work remotely. This drove millions of new customers to the Zoom Meeting. Zoom has nearly doubled its revenue during this year.
Zoom has released the first-quarter earnings report for the fiscal year 2021. In the report, Zoom has mentioned the revenue growth of 169% from the previous year.
Following are highlights from Zoom’s first-quarter earnings report:
- Zoom’s first-quarter total revenue is $328.2 million, which is up by 169% from the previous year.
- The total number of customers contributing more than $100,000 in TTM revenue up 90% year-over-year
- Approximately 265,400 customers with more than ten employees, up 354% year-over-year
“We were humbled by the accelerated adoption of the Zoom platform around the globe in Q1. The COVID-19 crisis has driven higher demand for distributed, face-to-face interactions and collaboration using Zoom. Use cases have grown rapidly as people integrated Zoom into their work, learning, and personal lives,” said Eric S. Yuan, Founder and Chief Executive Officer of Zoom. “I am proud of our Zoom employees who dedicated themselves to support customers and the global community during this crisis. With their tremendous efforts, we were able to provide high-quality video services to new and existing customers” said Eric S. Yuan in the press release.
Zoom has ended up being the household application that people are using to keep in touch with their friends and family, but most of these users are on the free subscription plan.
Zoom has also kept a 40 mins limit on the group meetings in the free subscription plan, which made a lot of businesses to purchase the paid plans.
The firm’s primary customers are corporate clients who are paying for subscriptions and enhanced features.