Sharjah24 – AFP: Zoom on Tuesday reported that its earnings soared as its video-meeting service became a popular way to work or socialize while hunkered down due to the coronavirus pandemic.
Zoom said it made a profit of $27 million on revenue that leapt 169 percent to slightly more than $328 million in the fiscal quarter that ended April 30.
In the same quarter a year earlier, Zoom reported zero dollars per share in net income for stockholders.
"The COVID-19 crisis has driven higher demand for distributed, face-to-face interactions and collaboration using Zoom," founder and chief executive Eric Yuan said in a release.
The quarter ended with Zoom having approximately 265,400 paying customers with at least 10 employees each -- an increase of 354 percent from the first quarter in 2019, according to the company based in the Silicon Valley city of San Jose.
Zoom shares that ended the formal trading day up slightly gave back the gain in after-market trades, apparently due to concerns that its popularity will decline when restrictions on movements ease and people can get back to seeing one another in person.
Zoom told analysts that about half the growth in paid use was customers paying month-to-month, and those types of subscribers are more likely to leave than those who commit to annual memberships.
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