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Zoom's Quarter Was 'Simply Remarkable'

Here are the takeaways from Zoom's quarter.

Zoom reported a stellar quarter. 

For the quarter ending in July, Zoom reported total sales of $663.5 million, up 355% year-over-year and well ahead of an analyst consensus of $500 million. Its non-GAAP net income came in at 92 cents per share, above a consensus of 45 cents.

At the close of the second quarter, Zoom had 370,200 customers with more than 10 employees, up approximately 458% from the same quarter last fiscal year, and 988 customers contributing more than $100,000, up 112% year-over-year. 

 For the current quarter, Zoom expects total revenue of between $685 and $690 million and non-GAAP income of 73 or 74 cents. For the full fiscal year, Zoom raised its sales guidance to between $2.37 billion and $2.39 billion, representing a year-over-year increase of 281% to 284%, alongside earnings of between $2.40 and $2.47. Its prior full-year sales guidance, issued in its first-quarter earnings release, was between $1.775 and $1.8 billion. 

During the second quarter, Zoom rolled out a number of new product offerings, including a $599 videoconferencing system called Zoom for Home, and is building out its API (application programming interface) and SDK (software development kit) to entice more developers to build on the platform. 

More: Zoom to the Moon After Earnings? 

“Organizations are shifting from addressing their immediate business continuity needs to supporting a future of working anywhere, learning anywhere, and connecting anywhere on Zoom's video-first platform,” said Zoom CEO Eric Yuan in a statement. 

Jeff Marks, senior portfolio analyst with Jim Cramer's Action Alerts PLUS, weighed in on when investors can get into Zoom if they haven't already.

You can follow Katherine Ross on Twitter at @byKatherineRoss.

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