Zoom Raises Revenue Outlook as AI-Powered Products Fuel Strong Growth

Zoom Communications has boosted its annual revenue and profit forecasts as demand for hybrid work solutions and artificial intelligence–driven tools continues to accelerate. The company’s stock climbed 3.5% in extended trading after Zoom highlighted stronger-than-expected performance across several of its expanding product lines.

Zoom has been aggressively integrating AI features throughout its platform to strengthen its competitive edge. The company’s newer offerings—Zoom Phone, Contact Center, and Virtual Agent—now account for a significant share of its growth. According to CEO Eric Yuan, Zoom is experiencing “strong momentum” with its Custom AI Companion and its AI-first Customer Experience suite, marking one of the company’s strongest quarters in customer experience solutions. He emphasized that organizations are increasingly adopting AI to streamline operations and improve user engagement.

The broader market shift toward automated workflows has also fueled demand for AI agents, which can operate independently to complete tasks and reduce manual workloads. Industry analyst Rebecca Wettemann of Valoir noted that companies are moving beyond experimental AI projects and are instead prioritizing clear business outcomes. She added that Zoom’s decision to include its AI Companion in eligible paid plans positions the company well for future AI monetization while accelerating adoption rates.

For fiscal 2026, Zoom now expects revenue between $4.85 billion and $4.86 billion, slightly above its previous projection. It also raised its adjusted earnings forecast to between $5.95 and $5.97 per share. Additionally, Zoom expanded its share repurchase program by $1 billion, signaling confidence in its long-term strategy.

Zoom has also deepened its partnership with Nvidia, adopting the chipmaker’s Nemotron open technologies to enhance AI Companion 3.0 for industries including finance, healthcare, and government. In the latest quarter, Zoom reported revenue of $1.23 billion—surpassing analyst expectations—and delivered adjusted earnings of $1.52 per share, above forecasts.