Zoom Video Communications Inc’s third-quarter revenue growth slowed to 35% as demand for its video conferencing tools dropped from a pandemic-fueled peak last year, sending shares of Zoom Inc. The company fell about 6% on Monday.
Revenue at $1.05 billion (approximately Rs 7,830) During the quarter ended 31 October, Launch said, after growing 54% in the previous quarter and growing 360% a year earlier.
The stock, a pandemic winner, fell to $227.50 (about Rs 17,000) in extended trading, after losing about 28% this year.
Moreover, the fierce competition due to Cisco’s conference tool Webex and Microsoft’s Teams have made it difficult for Zoom to attract business customers.
To retain its users, the company has launched many new services such as Event Platform, where businesses can host large-scale conferences, the Zoom Phone cloud calling service, and in-office meetings featuring Zoom Rooms.
“Their Room and Phone businesses have penetrated 5% or less and that seems to imply that there is a lot of runway left to grow,” said Joe McCormack, senior analyst at Third Bridge. growth even within their existing capacity,” said Joe McCormack, senior analyst at Third Bridge.
Analysts and investment bankers have warned that Zoom faces a number of obstacles in sustaining growth after $14.7 billion (about Rs 1,09,560). auction to buy call center software company Year9 falling.
However, Zoom reported adjusted profit of $1.11 (about Rs 82) per share, beating Wall Street estimates of $1.09 (about Rs 81) per share. , according to Refinitiv data.
The company also forecast better-than-expected current-quarter revenue and earnings, and raised its full-year revenue estimate to around $4.08 billion (approximately Rs 30,420) from around $4.01 billion (approximately Rs 29,900). ) before.
