Zoom Communications reported second-quarter results that exceeded analyst expectations, driving shares down 2.4% in after-hours trading despite the positive outlook.
The San Jose-based company posted adjusted earnings of $1.55 per share on revenue of $1.28 billion for the fiscal quarter ended July 31, 2026. Analysts had projected adjusted EPS of $1.48 and revenue of $1.27 billion, according to market data.
For the current quarter, Zoom guided adjusted earnings to a range of $1.46 to $1.48 per share and revenue between $1.275 billion and $1.28 billion. The midpoint of these ranges aligns closely with the average analyst estimates.
The company also raised its full-year guidance, now targeting adjusted EPS of $6.08 to $6.12, up from the prior range of $5.96 to $6.00. Revenue guidance was increased to $5.085 billion to $5.095 billion from $5.08 billion to $5.09 billion previously.
Zoom’s stock slipped 2.42% in extended trading to $104.59, following a 2.4% decline from the $107.19 closing price on Tuesday. The company’s shares have traded between $95 and $115 over the past 52 weeks.
The results reflect continued demand for remote collaboration tools amid evolving workplace dynamics, though the stock reaction suggests investors may be balancing growth optimism with near-term valuation concerns.
