Zoom has had quite an interesting year from issues of security to now announcing its blowout earnings for 2020's 2nd quarter. Despite previous reports of security threats that users could potentially experience when using Zoom, the company turned out to be one of the most profitable companies during the pandemic.
The popular video conferencing platform has experienced tremendous growth this current year fueled by the whole shift in the working environment due to the ongoing COVID-19 pandemic.
Growth in the time of the COVID-19 pandemic.
The company reportedly made almost the same amount of money during the previous three months in comparison to the whole year of 2019. The company has proudly beaten the already-optimistic predictions set out by its analysts.
The company has reportedly adjusted its previous earnings of $0.92 for every single share, above the whole $0.45/share predictions. Revenue has risen about 355% from the exact same time during 2019 to $663,5 million. This is way above their analysts' average estimate of a high $500.5 million.
Zoom's very own founder and chief executive officer Eric Yuan has been able to take on a huge number of different large businesses as different customers, even including the oil and gas firm known as ExxonMobil and the powerful software firm known as ServiceNow in the 2nd quarter of this year.
The feasible growth of the company
Zoom has been seeing a jump in the amount of paying customers this quarter alone with a calculation of about 370,200 customers of different businesses all with at least over 10 employees. This increase has been calculated to reach 458% in comparison to the same quarter of the last fiscal year.
The shares of the company have already grown almost times four this year even rising another 9% just before the bell rang hitting a record high in general regular trading.
Zoom also saw a huge increase in users as different countries all around the world started to go on lockdowns in order to slow and possibly prevent the spread of COVID-19. Zoom has almost had as much power as the Xerox company which substituted the word Photocopy in some places for a period of time due to its popularity.
The company has almost become synonymous to the concept of video conferencing itself.
The previous heat on the video conferencing company
Despite its current success, the company has still been suffering when it came to intense criticism that circulated its privacy and security practices. This issue has previously caused a number of institutes and companies to pull out from using this app.
Ever since then, the company has been investing gravely in updating and enhancing the security of their software. However, the app still faces problems with "zoom bombing" which is used by pranksters in order to terrorize people during certain Zoom events with the use of hate speech and racist language.
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