Zoom Reports Bold Q3 Earnings, Unveils New Name To Reflect AI Transformation

Zoom Video Communications released strong fiscal third-quarter earnings and projected better-than-expected fourth-quarter earnings. To better represent upcoming plans and AI product offerings, executives also dropped “Video” from the company’s full name, becoming just Zoom Communications.

In the quarter that ended Oct. 31, Zoom’s revenue of $1.18 billion was a 3.6% increase compared to the same period last year. Up from $141.2 million, net income reached $207.1 million, or about 66 cents a share.

Current estimates for the fourth quarter, which ends in January, put revenue around $1.18 billion. Profit is expected to hit $1.29-$1.30 per share. According to Bloomberg, analysts are projecting sales of around $1.17 billion, roughly $1.28 a share.

By the end of fiscal year 2025, revenue is expected to reach $4.656 billion-$4.661 billion, or $5.41 to $5.43 per share. CNBC noted that analysts surveyed by LSEG predict $4.64 billion, or $5.35 per share.

In Q3 2025, Zoom also added 800 new enterprise customers for a total of 192,400. Revenue from this segment jumped almost 6% to $699 million. Nearly 4,000 customers paid Zoom over $100,000 over the last 12 months.

Zoom Does More Than Video Conferencing

According to a post on X, the company has evolved beyond just video meetings. To reflect its greater focus on AI, the company made a small but important change. “Video” is no longer a part of its legal name.

“We are an AI-first company delivering modern, hybrid work solutions that enable you to collaborate seamlessly. This small update to our legal name allows us to reflect that,” the post states.

The rebranding and AI direction may have a lot to do with the company’s competitors. When workers were forced to stay at home during the COVID pandemic, Zoom became the go-to video meeting standard. Alongside it, conferencing software from competitors Slack, Microsoft, and Google began to take some of the video meetings market share, with some even offering free features customers had to pay for.

Ever since, Zoom has been adding new tools to win customers back. The company launched an app that mimics many of the same functions as Slack called Zoom Team Chat. Zoom Docs came out in August, which allows users to collaborate on and edit documents in real time during a conference call. Using AI, it can also create a document summarizing the meeting discussion.  

Released in October, the company’s AI Companion 2.0 introduces enhanced summarization and improved assistance tools. The AI can remember earlier interactions as well as better comprehend what is happening in meetings. AI Avatars are also in development.

At the beginning of this year, Zoom premiered its app for Apple’s Vision Pro mixed-reality headset. The software enhances the video conferencing experience with 3D object sharing and a virtual window that floats within a user’s physical environment.