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Zoom plummets more than 15 percent as video conferencing boom ends

The shares of the video conferencing application Zoom Video Communications suffered a correction of more than 15 percent at the opening of this Tuesday’s session on the Nasdaq, after the company presented the accounts for the third quarter of its fiscal year, where it confirmed slowing revenue growth as companies and workers return to offices.

The popular ‘online’ video conferencing application recorded an attributed net profit of 340.27 million dollars (300 million euros) between August and October, the company’s third fiscal quarter, which represents a year-on-year growth of 71.5 percent. .

For its part, Zoom’s revenues in the quarter increased by 35.2 percent year-on-year, to 1,050.7 million dollars (926 million euros), an increase that represents, however, a substantial slowdown compared to previous quarters and that suggests the impact that the return to the offices could have on Zoom’s business.

Thus, in the first nine months of its fiscal year, the company obtained an attributable net profit of 884.5 million dollars (780 million euros), 115 percent more than a year earlier. Likewise, Zoom’s turnover increased by 71.2 percent, to 3,028.5 million dollars (2,669 million euros).

At the end of the third quarter, Zoom had around 512,100 corporate clients with more than a dozen employees, which represents a growth of 18 percent compared to the same period of the previous fiscal year, but only 1.4 percent compared to the previous three months.

For the fourth quarter, the multinational expects to achieve a turnover of between 1,051 and 1,053 million dollars (926 and 928 million euros), which would represent an increase of 19 percent compared to the third quarter of the previous year.

Looking to the end of the current year, Zoom hopes to raise its annual income to a range of between 4,079 and 4,081 million dollars (3,595 and 3,597 million euros), 54 percent more.

“We are on our way to becoming an indispensable platform for companies, individuals and developers to connect, collaborate and build in a flexible hybrid world of work,” said Zoom Founder and CEO Eric S. Yuan.

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