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ZM (Zoom Communications) ROCE % : 10.65% (As of Apr. 2025)


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What is Zoom Communications ROCE %?

ROCE % measures how well a company generates profits from its capital. It is calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as Total Assets minus Total Current Liabilities. Zoom Communications's annualized ROCE % for the quarter that ended in Apr. 2025 was 10.65%.


Zoom Communications ROCE % Historical Data

The historical data trend for Zoom Communications's ROCE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Zoom Communications ROCE % Chart

Zoom Communications Annual Data
Trend Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24 Jan25
ROCE %
Get a 7-Day Free Trial Premium Member Only 26.43 21.25 3.97 7.22 9.43

Zoom Communications Quarterly Data
Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25 Apr25
ROCE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 9.78 9.46 8.36 10.05 10.65

Zoom Communications ROCE % Calculation

Zoom Communications's annualized ROCE % for the fiscal year that ended in Jan. 2025 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Jan. 2025 )  (A: Jan. 2024 )(A: Jan. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Jan. 2025 )  (A: Jan. 2024 )(A: Jan. 2025 )
=813.295/( ( (9929.793 - 1762.187) + (10988.421 - 1903.294) )/ 2 )
=813.295/( (8167.606+9085.127)/ 2 )
=813.295/8626.3665
=9.43 %

Zoom Communications's ROCE % of for the quarter that ended in Apr. 2025 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Apr. 2025 )  (Q: Jan. 2025 )(Q: Apr. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Apr. 2025 )  (Q: Jan. 2025 )(Q: Apr. 2025 )
=966.368/( ( (10988.421 - 1903.294) + (10951.896 - 1897.373) )/ 2 )
=966.368/( ( 9085.127 + 9054.523 )/ 2 )
=966.368/9069.825
=10.65 %

(1) Note: The EBIT data used here is four times the quarterly (Apr. 2025) EBIT data.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Zoom Communications  (NAS:ZM) ROCE % Explanation

ROCE % can be especially useful when comparing the performance of capital-intensive companies. Unlike ROE %, which indicates the profitability of Shareholders Equity, ROCE % also considers long-term debt in Capital Employed. This can be helpful when analyzing companies with significant debt, as the result is neutralized by taking debt into consideration.

Generally speaking, a higher ROCE % indicates a stonger profitability for a company. Moreover, it is important to look at the ratio from a long term perspective. Investors tend to favor companies with stable and rising ROCE % trend over those with volatile ones.


Zoom Communications ROCE % Related Terms

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Zoom Communications Business Description

Address
55 Almaden Boulevard, 6th Floor, San Jose, CA, USA, 95113
Zoom Video Communications provides a communications platform that connects people through video, voice, chat, and content sharing. The company's cloud-native platform enables face-to-face video and connects users across various devices and locations in a single meeting. Zoom, which was founded in 2011 and is headquartered in San Jose, California, serves companies of all sizes from all industries around the world.
Executives
Santiago Subotovsky director C/O EMERGENCE CAPITAL PARTNERS, 160 BOVENT ROAD SUITE 300, SAN MATEO CA 94402
Jonathan Chadwick director 3401 HILLVIEW AVENUE, PALO ALTO CA 94304
Velchamy Sankarlingam officer: Pres. of Engineering & Product C/O ZOOM VIDEO COMMUNICATIONS, INC., 55 ALMADEN BOULEVARD, 6TH FLOOR, SAN JOSE CA 95113
Aparna Bawa officer: General Counsel C/O ZOOM VIDEO COMMUNICATIONS, INC., 55 ALMADEN BOULEVARD, 6TH FLOOR, SAN JOSE CA 95113
Eric S. Yuan director, 10 percent owner, officer: Chief Executive Officer C/O ZOOM VIDEO COMMUNICATIONS, INC., 55 ALMADEN BOULEVARD, 6TH FLOOR, SAN JOSE CA 95113
Shane Crehan officer: Chief Accounting Officer C/O EVENTBRITE, INC., 155 5TH STREET, 7TH FLOOR, SAN FRANCISCO CA 94103
Janet Napolitano director C/O VIR BIOTECHNOLOGY, INC., 499 ILLINOIS STREET, SUITE 500, SAN FRANCISCO CA 94158
Kelly Steckelberg officer: Chief Financial Officer C/O ZOOM VIDEO COMMUNICATIONS, INC., 55 ALMADEN BOULEVARD, 6TH FLOOR, SAN JOSE CA 95113
Gregory Tomb officer: President 650 CASTRO ST, SUITE 400, MOUNTAIN VIEW CA 94041
Cindy L Hoots director C/O ZOOM VIDEO COMMUNICATIONS, INC, 55 ALMADEN BOULEVARD, 6TH FLOOR, SAN JOSE CA 95113
William R Mcdermott director 2225 LAWSON LANE, SANTA CLARA CA 95054
Ryan Azus officer: Chief Revenue Officer C/O ZOOM VIDEO COMMUNICATIONS, INC., 55 ALMADEN BOULEVARD, 6TH FLOOR, SAN JOSE CA 95113
Carl M. Eschenbach director, 10 percent owner C/O SEQUOIA CAPITAL, 2800 SAND HILL ROAD, SUITE 101, PALO ALTO CA 94025
Janine Pelosi officer: Chief Marketing Officer C/O ZOOM VIDEO COMMUNICATIONS, INC., 55 ALMADEN BOULEVARD, 6TH FLOOR, SAN JOSE CA 95113
Kimberly Hammonds director 100 EAST DAVIE STREET, RALEIGH NC 27601