Zoom reported better-than-expected fourth quarter financial results on Wednesday amid surging demand for its video conferencing software due to the COVID-19 coronavirus outbreak.
The San Jose-based company reported fourth-quarter non-GAAP earnings of 15 cents per share on revenue of $188.3 million, up 78%. Wall Street was looking for non-GAAP Q4 earnings of 7 cents per share on revenue of $176.5 million.
For the year, Zoom's revenue came to $622.7 million, up 88%, with non-GAAP earnings of 35 cents. Both numbers came in above analyst estimates.
At the end of Q4, Zoom said it had 81,900 customers with more than 10 employees and had 641 customers spending more than $100,000 for the trailing 12 months.
For the current quarter, Zoom expects revenue to be between $199 million and $201 million with non-GAAP earnings of 10 cents a share. Analysts are expecting Q1 revenue of $185.68 million with a non-GAAP earnings of a 6 cents.
The company projected fiscal 2021 revenue to be between $905 million to $915 million with non-GAAP earnings between 42 cents and 45 cents a share. Shares of Zoom were down as much as 10% in after market trading.
Zoom CEO Eric Yuan told CNBC last month that the company was seeing a huge increase in demand for its video conferencing software as more businesses turned to remote work because of the coronavirus outbreak. Zoom's shares were more than 70% for the year prior to the release of its financial results. Zoom's current quarter will reflect the sales and customer gains that it's seen since the start of the outbreak.