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Zoom names Michelle Chang as new CFO

Published 10/01/2024, 09:17 AM
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SAN JOSE, Calif. - Zoom Video Communications (NASDAQ: NASDAQ:ZM) has announced the appointment of Michelle Chang as its new Chief Financial Officer (CFO), effective October 7, 2024. Chang, with over 25 years of experience in financial leadership, most recently served as Corporate Vice President and CFO of Microsoft (NASDAQ:MSFT)'s Commercial Sales & Partner Organization. In her new role, she will report directly to Zoom's CEO, Eric S. Yuan, and oversee the company's financial strategy and global finance organization.

Chang will take over from Kelly Steckelberg, who will transition to an advisory role until the financial results for Zoom's third fiscal quarter are announced. Eric S. Yuan expressed enthusiasm for Chang's arrival, highlighting her track record in growth initiatives and talent development across functions. Chang herself shared her excitement about joining Zoom and contributing to the company's mission and long-term growth.

Michelle Chang's career began as an Audit & Consulting Senior at Arthur Andersen, followed by a series of leadership roles at Microsoft, including CFO of Modern Workplace & Cyber Security. Her experience in creating collaborative partnerships and strong teams is expected to add strategic value to Zoom.

Zoom, known for its video-first unified communications platform, has been expanding its offerings with Zoom Workplace and other business services aimed at improving customer relationships throughout the customer lifecycle. The company's forward-looking statements indicate a focus on continued growth and the benefits of its Zoom 2.0 and AI-first work platform strategy.

This announcement is based on a press release statement from Zoom Video Communications. The company cautions that forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those anticipated. Zoom is publicly traded and headquartered in San Jose, California.

In other recent news, Zoom Video Communications has experienced significant shifts in its management and operations. The company appointed Michelle Chang as its new Chief Financial Officer, succeeding Kelly Steckelberg who now assumes an advisory role. Chang's extensive financial leadership experience, notably from her tenure at Microsoft, is expected to be instrumental in her new role.

Zoom's Q2 2025 earnings and revenue surpassed expectations, with non-GAAP income from operations reaching $456 million and total revenue amounting to $1.16 billion. Consequently, the company revised its full-year revenue outlook to between $4.63 billion and $4.64 billion, and non-GAAP earnings per share are projected to be $5.29 to $5.32.

In a bid to enhance its enterprise offerings, Zoom introduced new features and products, focusing on compliance and security. These include Zoom Compliance Manager Plus, Meeting Survivability, and Zoom Mesh for Meetings. Furthermore, Zoom plans to offer Customer Managed Key (CMK) Hybrid for Zoom Workplace to improve data protection for customers.

Strategically, Zoom formed a partnership with Mitel to provide a hybrid cloud solution, integrating Zoom's advanced features with Mitel's platform. This collaboration is anticipated to be available in the first half of 2025. Analyst firms Citi, Deutsche Bank, and Goldman Sachs maintained a neutral rating on Zoom, adjusting their price targets following these developments.

Zoom also expanded its board, appointing Mike Fenger, Apple (NASDAQ:AAPL)'s Vice President, to contribute to the company's strategic direction. Lastly, Zoom's AI Companion, part of the Zoom for Government platform, received authorization from The Federal Risk and Authorization Management Program (FedRAMP) Joint Authorization Board (JAB) as a moderate system.

InvestingPro Insights

As Zoom Video Communications welcomes Michelle Chang as its new CFO, the company's financial position offers some interesting insights. According to InvestingPro data, Zoom boasts a market capitalization of $21.47 billion, reflecting its significant presence in the video communications sector. The company's P/E ratio of 24.29 suggests that investors are willing to pay a premium for Zoom's earnings, possibly due to its growth potential and market position.

InvestingPro Tips reveal that Zoom holds more cash than debt on its balance sheet, which could provide the new CFO with financial flexibility to pursue growth initiatives or weather potential economic headwinds. This solid financial footing aligns with the company's focus on long-term growth, as mentioned in the article.

Another InvestingPro Tip highlights Zoom's impressive gross profit margins, which stood at 75.89% for the last twelve months as of Q2 2025. This high margin could give Chang substantial room to maneuver as she takes on her new role, potentially allowing for investments in innovation and expansion of Zoom's unified communications platform.

It's worth noting that InvestingPro offers 8 additional tips for Zoom, providing investors with a more comprehensive analysis of the company's financial health and market position. These insights could be particularly valuable as the company transitions to new financial leadership and continues to execute its Zoom 2.0 and AI-first work platform strategy.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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