Zoom (ZM) topped Wall Street’s expectations during its first quarterly results as a public company.
The video conferencing software company on Thursday reported first-quarter sales that more than doubled over last year to $122 million, ahead of expectations for $111.4 million, according to Bloomberg estimates. Adjusted earnings per share were 3 cents, ahead of expectations for just under a penny per share.
The San Jose, California-based company guided toward second-quarter adjusted EPS of between 1 cent and 2 cents, with the midpoint above consensus expectations for a penny per share. Zoom sees full-year adjusted EPS of between 2 and 3 cents, also ahead of estimates, and full-year revenue in a range of between $535 million and $540 million. Wall Street had anticipated $522.2 million in sales for the year.
“Strong execution and expanding adoption of Zoom’s video-first unified communications platform drove total revenue growth of 103% year-over-year,” Zoom CEO Eric Yuan said in a statement. “While we remain focused on strong growth, we are also pleased that our highly efficient business model and disciplined investment approach contributed to positive non-GAAP profitability and free cash flow.”
Shares of Zoom rose 20.18% to $95.65 each as of 9:30 a.m. ET Friday. […]