Zoom Posts Massive Earnings as Stock Price Spikes

Video call company Zoom has reported fourth-quarter income gains of $260.4 million as stock prices surge 7.81% in premarket trades.

Revenue for 2020 is up 369% to $882.5 million, with overall profit for the fiscal year adjusted to $995.7 million. This marks an adjusted earning of almost 10 times the numbers reported by Zoom for 2019. Zoom’s stock gained 9.7% yesterday, coming to rest at $409.66 a share.

Zoom’s video call software became one of the most popular method for online communication during pandemic lockdowns, and has paved the way for its recent economic success. New cases of COVID-19 in many nations during November and December have seen increased usage of the video call software.

Zoom says it expects to continue growing, but at a slower pace than its 2020 performance, estimating revenue of $3.76 billion to $3.78 billion for fiscal year 2021.

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