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Zoom Video Communications lifts full-year guidance after Q3 results top estimates

Published 11/25/2024, 04:43 PM
ZM
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Investing.com -- Zoom Video Communications lifted its full-year guidance Monday after reporting third-quarter results that beat Wall Street estimates, underpinned by efforts to reduce churn and boost enterprise revenue. 

Zoom Video Communications Inc (NASDAQ:ZM) stock was down 1% in after-hours trading.

The company reported adjusted Q3 EPS of $1.38 on revenue of $1.18 billion, beating estimates for EPS $1.31 on revenue of $1.16B.

Customers contributing more than $100,000 in trailing 12-month revenue were up 7.1% to 3,995 from the same quarter last fiscal year.

“In Q3, we were pleased to see revenue and enterprise revenue growth improve to approximately 4% and 6% year over year, respectively, and Online monthly average churn reach an all-time low of 2.7%," the company said.

For Q4, the company guided adjusted EPS in a range of $1.29 to $1.30 on revenue of $1.175B and $1.180B.

For the full-year, the company sees adjusted EPS to be between $5.41 and $5.43 on revenue in a range of $4.656B and $4.661B. That compared with a prior forecast for adjusted EPS in a range of $5.29 and $5.32 on revenue between $4.630B and $4.640B. 

The company also said it had changed its corporate name from to Zoom Communications.

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