Net margin is calculated as Net Income divided by its Revenue. Zoom Video Communications's Net Income for the
three
months ended in Jan. 2024 was $299 Mil. Zoom Video Communications's Revenue for the
three
months ended in Jan. 2024 was $1,146 Mil. Therefore, Zoom Video Communications's net margin for the quarter that ended in Jan. 2024 was 26.07%.
The historical rank and industry rank for Zoom Video Communications's Net Margin % or its related term are showing as below:
ZM'
s Net Margin % Range Over the Past 10 Years
Min: -2.52 Med: 3.21 Max: 33.55
Current: 14.08
ZM's Net Margin % is ranked better than 84.21% of 2761
companies
in the Software industry
Industry Median: 1.72
vs ZM: 14.08
Zoom Video Communications Net Margin % Historical Data
The historical data trend for Zoom Video Communications's Net Margin % 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.
Competitive Comparison of Zoom Video Communications's Net Margin %
For the Software - Application subindustry, Zoom Video Communications's Net Margin %, along with its competitors' market caps and Net Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Zoom Video Communications's Net Margin % Distribution in the Software Industry
For the Software industry and Technology sector, Zoom Video Communications's Net Margin % distribution charts can be found below:
* The bar in red indicates where Zoom Video Communications's Net Margin % falls into.
Zoom Video Communications Net Margin % Calculation
Net margin - also known as net profit margin is the ratio of Net Income divided by net sales or Revenue, usually presented in percent.
Zoom Video Communications's Net Margin for the fiscal year that ended in Jan. 2024 is calculated as
* 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 Video Communications (NAS:ZM) Net Margin % Explanation
Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company's profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.
But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.
Zoom Video Communications Net Margin % Related Terms
Thank you for viewing the detailed overview of Zoom Video Communications's Net Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.
Zoom Video Communications (Zoom Video Communications) Business Description
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.
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