ZoomInfo Technologies (ZI) investor relations material

Executive summary

• Q3 revenue was $308.8M, down 3% YoY; adjusted operating income was $119.1M, up 1%, with a 39% margin.

• GAAP net income was $2.2M; nine-month GAAP net loss of $612.2M included a $650.5M goodwill impairment.

• Management cited persistent software headwinds, but said growth headwinds may be nearing a trough and highlighted data consumption and GTM1 as growth initiatives.

Financial highlights

• GAAP operating income was $23.6M, down 65% YoY; GAAP operating margin was 8% versus 21%.

• Adjusted operating income was $119.1M, up 1% YoY, with a 39% margin versus 37%.

• GAAP diluted EPS was $0.01; adjusted net income was $91.1M and adjusted diluted EPS was $0.29.

• Operating cash flow was $47.4M; unlevered free cash flow was $87.2M, down 8% YoY, with a 28% margin and 73% conversion.

• Q3 gross profit was $256.9M, down 4% YoY, with an 83% gross margin versus 84%.

Outlook and guidance

• FY2026 guidance: revenue of $1.2235B–$1.2265B, adjusted operating income of $452M–$455M, adjusted diluted EPS of $1.125–$1.135, and unlevered free cash flow of $405M–$425M.

• Q4 guidance: revenue of $294M–$297M, adjusted operating income of $113M–$116M, and adjusted diluted EPS of $0.285–$0.295.

• FY2026 weighted-average diluted shares are expected to be 318M; Q4 guidance uses 321M shares.

• Q4 assumes a consistent environment, no shorter sales cycles, and no net benefit from hybrid pricing or GTM1; pricing adoption may bring near-term revenue headwinds and variability.