Zoom Reports Q2 Revenue Growth Driven by Enterprise Segment Amid Mixed Performance
Zoom reported fiscal second-quarter 2027 revenue of $1.28 billion, a year-over-year increase of 4.9%. The growth was primarily driven by the enterprise segment, which saw a strong 7.8% rise in revenue to $787.5 million—its fastest pace in three years. In contrast, online revenue grew only slightly at 0.6%, contributing minimally to overall gains. The company highlighted AI adoption as a potential catalyst for future growth, noting that the customer base of its Zoom Virtual Agent increased by 256% year over year and annual recurring revenue from its AI-first Customer Experience portfolio rose in high double digits. However, management did not quantify how much these initiatives contributed to enterprise growth. Despite positive signs like an increase in large accounts (those contributing more than $100K annually) and improved net-dollar expansion rates for the enterprise segment, Zoom's overall revenue acceleration remains limited. The company also reported a decline in GAAP operating income and non-GAAP free cash flow.
Tickers: $ZM
Topics: AI adoption enterprise business revenue growth ZM Zoom