Zoom Reports $1.239B Q1 Revenue, 5.5% Growth at ~$5B ARR
Zoom posted $1.239B revenue in Q1 FY2027 with enterprise revenue at 61% and AI monetization driving paid adoption, according to SaaStr.
Zoom recorded revenue of $1.239 billion in Q1 FY2027 ended April 30, 2026, representing 5.5% year-over-year growth and exceeding guidance. The company reached an approximate $5 billion annual run rate with full-year FY2027 guidance of $5.08 billion.
Growth Re-Accelerates at Scale
Zoom’s full-year FY2026 growth rate rose 130 basis points to 4.4% after previously declining to roughly 3%. Enterprise revenue reached $755.7 million, increasing 7.2% and comprising 61% of total revenue. Online revenue grew 2.8% to $483.3 million. The company added 8.2% more $100,000-plus customers, reaching 4,534 accounts.
AI Products Show Paid Adoption
Paid AI Companion users increased 184% year over year. My Notes accumulated 1.5 million licensed users within four months of launch. Paid AI features appeared in every one of Zoom’s top 10 customer experience deals during the quarter.
Enterprise NRR Remains Below 100%
Enterprise net revenue retention stood at 99%, up from 98% the prior year. Growth occurred through new logos and product attach rather than expansion within the existing base. Online average monthly churn rose to 3.0% from 2.8%.
Profitability and Capital Position
Non-GAAP operating margin reached 41.1%. Free cash flow totaled $500 million for a 40.4% margin. Cash and marketable securities stood at $7.7 billion. The Anthropic investment is carried at $1.27 billion with potential value between $2 billion and $4 billion. The board approved an additional $1 billion for share repurchases.
These results are reported according to SaaStr. Market capitalization was approximately $27 billion as of July 2026. The figures reflect a shift toward enterprise-driven revenue and monetized AI offerings at $5 billion scale.
