Q2 2027 Zoom Communications Inc Earnings Call Transcript

Aug 25, 2026 / 09:00 PM GMT

Release Date Price: $86

Transcript 8-K

Key Points

Positve

Enterprise revenue grew 7.8% year-over-year, its strongest rate in three years, driven by AI adoption and multi-product deals.
AI feature adoption surged, with licensed monthly active users growing 125% year-over-year and expanding from summaries to active workflows.
Zoom CX ARR grew at a high double-digit rate, with a record number of seven-figure deals and strong AI attach (9 of top 10 deals included paid AI).
RPO increased 14% year-over-year to $4.5 billion, driven by 25% growth in non-current RPO, reflecting larger, longer-term platform deals.
The company raised full-year revenue and EPS guidance, with non-GAAP EPS expected at $6.08-$6.12, and raised free cash flow outlook to $1.78-$1.82 billion.
Zoom Phone continues to grow in the 10s, with 10 of top 10 deals involving takeouts and strong UCaaS-CCaaS synergies (5 of top 10 phone deals included contact center).

Negative

Total revenue growth remained modest at 4.9% year-over-year, with Q3 guidance implying a slowdown to 3.9% growth at the midpoint.
Online business growth was tempered to flat for the full year due to top-of-funnel discovery changes, despite low churn.
Non-GAAP gross margin declined to 79.1% from 79.8% year-over-year, partly due to increased AI-related compute costs.
Enterprise net dollar expansion rate remained below 100% at 99%, indicating limited expansion within the existing customer base.
The company faces a 40-60 basis point headwind from a white-label deal churn, impacting top-line growth.
Common Room acquisition, while strategic, is expected to have a de minimis revenue impact, and its lower margins contributed to holding operating margins flat.

Refinitiv StreetEvents Event Transcript
E D I T E D V E R S I O N

ZM.OQ - Zoom Communications, Inc.
Q2 2027 Zoom Communications Inc Earnings Call
Aug 25, 2026 / 09:00PM GMT

=====================
Presentation
--------------------------------------------------------------------------------
Unidentified_1 [1]
--------------------------------------------------------------------------------
Hello, everyone, and welcome to Zoom's Q2 FY 2027 Earnings Release Webinar.

I will now hand things over to Charles Efeslage, Head of Investor Relations. Charles, over to you.

--------------------------------------------------------------------------------
Unidentified_2 [2]
--------------------------------------------------------------------------------
Thank you, Catherine.

Hello, everyone, and welcome to Zoom's earnings webinar for the second quarter of fiscal year 2027. I'm joined today by Zoom's founder and CEO, Eric Yuan, and Zoom's CFO, Michelle Chang.

Today I'm giving my prepared remarks by Zoom custom avatar and so will Eric and Michelle. After the scripted portion of

Already have an account? Log in

Get the full story

Subscribe Now

	Access to All Earning Calls and Stock Analysis
	30-Year Financial on one screen
	All-in-one Stock Screener with unlimited filters
	Customizable Stock Dashboard
	Real Time Insider Trading Transactions
	8,000+ Institutional investors’ 13F holdings
	Powerful Excel Add-in and Google sheets Add-on
	All data downloadable
	Quick customer support
	And much more...

7-Day Free Trial · Cancel Anytime

Subscription fee may be tax deductible.

Excellent

4.6 out of 5

Trustpilot

Research Tools

All-In-One Screener Stock Ideas Stock List Guru List Guru Real-Time Picks Insider List Insider Trades Economic Indicators Sector & Industry Performance DCF Calculator Calculators Discussion Board

Product

Pricing Plans Excel Add-In Google Sheets Add-on Data API Stock Comparison Table Manual of Stocks Instant Alerts Mobile App Newsletters Signup 中文

Education

Financial Glossary Tutorials FAQ Buffett Indicator Shiller P/E Yield Curve Today U.S. Inflation Rate Global Market Valuation Fed Net Liquidity Buffett Assets Allocation

Company

About GuruFocus Career Contact Us Advertise Term of Use Privacy Policy Referral Program Partner Program

Survey

We'd love to learn more about your experiences on GuruFocus.com and how we can improve!

Take Survey

Disclaimers

GuruFocus.com is not operated by a broker or a dealer. Under no circumstances does any information posted on GuruFocus.com represent a recommendation to buy or sell a security. The information on this site, and in its related newsletters, is not intended to be, nor does it constitute investment advice or recommendations. The individuals or entities selected as "gurus" may buy and sell securities before and after any particular article and report and information herein is published, with respect to the securities discussed in any article and report posted herein. Gurus may be added or dropped from the GuruFocus site at any time. In no event shall GuruFocus.com be liable to any member, guest or third party for any damages of any kind arising out of the use of any content or other material published or available on GuruFocus.com, or relating to the use of, or inability to use, GuruFocus.com or any content, including, without limitation, any investment losses, lost profits, lost opportunity, special, incidental, indirect, consequential or punitive damages. Past performance is a poor indicator of future performance. The information on this site, and in its related newsletters, is not intended to be, nor does it constitute investment advice or recommendations. The information on this site is in no way guaranteed for completeness, accuracy or in any other way. The gurus listed in this website are not affiliated with GuruFocus.com, LLC. Stock quotes are provided by QuoteMedia, Inc. (CSI). Company fundamental data is provided by Morningstar. Analyst estimates data is sourced from both Refinitiv and Morningstar, with priority given to Refinitiv data. Data is updated daily.