Zoom Video Communications (ZM) is set to release its second-quarter fiscal 2026 results on August 21, 2023. The company anticipates revenues between $1,195 million and $1,200 million, reflecting a projected year-over-year growth of approximately 3% at the midpoint. The Zacks Consensus Estimate currently stands at $1.2 billion, also indicating 3% growth from the same quarter last year.
For non-GAAP earnings per share, estimates range from $1.36 to $1.37, with a consensus mark of $1.37 per share, representing a 1.44% year-over-year decline. Notably, ZM has exceeded the Zacks Consensus Estimate in each of the last four quarters, averaged at a surprise rate of 9.46%.
Factors affecting results include stability in its core business and growth in the Enterprise segment, which experienced 6% growth in the previous quarter. Additionally, a recent $1 price increase for Pro SKUs is expected to contribute an additional $10-$15 million to annual revenues. Despite these positive indicators, Zoom’s shares have declined 11.8% in the past six months amid intense competition from companies like Microsoft, RingCentral, and Cisco.
