Zoom (ZM) Investor Update summary

Vision and Strategic Priorities

• Focus on becoming an AI-first work platform, expanding beyond meetings to workplace tools, communications, and customer experience, with a differentiated AI-first vision driving innovation and growth acceleration.

• Platform strategy evolves meetings into a comprehensive workplace solution, integrating productivity, communications, and employee engagement tools.

• Three core priorities: extending product use beyond meetings, expanding into adjacent markets, and deepening platform value with AI.

• Emphasis on delivering customer value, cost savings, and vendor consolidation, with democratized AI features included in paid SKUs at no extra cost.

• Priorities include leveraging AI to drive customer value, scaling growth businesses, and delivering industry-specific solutions.

Financial Performance and Growth Drivers

• Revenue growth is accelerating, with FY26 mid-point guidance at $4,830M, up from $4,665M in FY25 and $4,527M in FY24.

• Online business stabilized, with churn reduced from mid-3% to 2.9% and tenure of online customers over 16 months rising to 75%.

• Enterprise segment now 60% of business, with customers contributing over $100k in revenue increasing to 4,274 and reduced churn.

• Phone product ARR growing in mid-teens, surpassing 10 million seats; Contact Center and Workvivo showing strong double- and triple-digit ARR growth.

• Profitability remains above 39%, with robust cash flow, accelerated share buybacks reducing dilution, and stock-based compensation at 16% of revenue.

Product Diversification and AI Monetization

• Product set diversification includes growth in Workplace, Phone, Contact Center, Virtual Agent, and Workvivo, with millions of AI monthly active users (4x YoY growth).

• AI monetization is progressing through both indirect (AI Companion, integrations) and direct (Custom AI Companion at $12/user/month, Contact Center Elite, Virtual Agent, Revenue Accelerator) channels.

• AI Companion 3.0 introduces agentic AI, evolving from meeting summaries to agentic workflows and supporting millions of users.

• Custom AI Companion allows organizations to build and deploy tailored AI agents using a low-code builder and pre-built templates.

• Customer case studies show significant uplift from platform adoption and AI integration, with mid-market and large tech clients expanding usage and value.