Filing Flows › Zoom Communications (ZM) › Q2 FY26
Zoom Communications (ZM) Q2 FY26 earnings results (second quarter fiscal 2026)
10-Q filed Aug 22, 2025
Zoom Communications (ZM) reported revenue of $1.2B for the second quarter fiscal 2026 (Q2 FY26), +5% from a year earlier and +4% from the quarter before. Operating margin was 26.4%, net earnings $359M (29.5% of revenue).
Zoom Communications, Q2 FY26: revenue $1.2B (+5% year over year), operating margin 26.4%, net earnings $359M, operating cash flow $516M. The chart follows the revenue to costs, profit and cash.
| Q2 FY26 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $1.2B | +4% | +5% |
| Gross profit | $944M | +5% | +8% |
| Operating profit | $322M | +33% | +59% |
| Net earnings | $359M | +41% | +64% |
| Operating cash flow | $516M | +5% | +15% |
| Free cash flow | $508M | — | +39% |
What changed
Revenue was $1.2B in Q2 FY26, up 5% year over year and up 4% from the previous quarter.
Gross margin was 77.6%, up 2.1 points from a year earlier. Operating profit was $0.32B, a 26.4% margin (up 9.0 points year over year). Of the extra revenue versus a year earlier, 218% reached operating profit, above the 17% margin then. Operating expenses fell 8% while revenue rose 5%. Net earnings were $0.36B, up 64% year over year. The effective tax rate was 20.0%. Non-operating items added $0.13B, 28% of pre-tax earnings, so the bottom line overstates operating performance.
Operating cash flow was $0.52B (up 15% year over year), 144% of net earnings. Non-cash charges added back $0.03B of depreciation and amortization and $0.19B of share-based compensation. Working capital and other items used $0.06B. After purchases of property and equipment ($0.01B), free cash flow as the company reports it was $0.51B.
Questions
What was Zoom Communications' revenue in the second quarter fiscal 2026?
Zoom Communications (ZM) reported revenue of $1.2B for the second quarter fiscal 2026 (Q2 FY26), +5% from a year earlier and +4% from the quarter before.
Was Zoom Communications profitable in the second quarter fiscal 2026?
Operating profit was $322M (26.4% of revenue) and net earnings $359M.