Zoom Communications Sees 5.5% Decline After Third-Quarter Revenue Outlook Falls Short

Stock News08-26 21:57

On Wednesday, Zoom (NASDAQ: ZM) opened lower, with shares trading down approximately 5.5% at the time of writing.

In terms of market news, Zoom reported better-than-expected fiscal 2027 second-quarter results. The company posted second-quarter revenue of $1.277 billion, a 4.9% year-over-year increase, slightly above the analyst consensus estimate of $1.27 billion. Within this, enterprise revenue rose 7.8% year-over-year to $787.5 million, while online revenue grew 0.6% year-over-year to $489.7 million.

However, the company issued a somewhat underwhelming third-quarter revenue guidance, which disappointed investors who had hoped that the company's expanding product portfolio would deliver a stronger growth boost.

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