How does Zoom Communications (ZM) make money?

Zoom Communications (ZM) primarily makes money through Reportable Segment, which accounts for 100% of total revenue. For TTM through Q2 2026, Zoom Communications generated $4.93B in total revenue with a net profit margin of 42%.

What is Zoom Communications (ZM) gross profit margin?

Zoom Communications (ZM) reported a gross profit margin of 77.4% for TTM through Q2 2026, equivalent to $3.82B in gross profit. This means Zoom Communications retains 77.4% of each revenue unit after direct costs of production.

What is Zoom Communications (ZM) operating profit margin?

Zoom Communications (ZM) reported an operating profit margin of 24.2% for TTM through Q2 2026, equivalent to $1.19B in operating profit. This reflects profitability after operating expenses such as R&D, sales, and administration, but before taxes and non-operating items.

What is Zoom Communications (ZM) net profit margin?

Zoom Communications (ZM) reported a net profit margin of 42% for TTM through Q2 2026, equivalent to $2.07B in net profit. This is the share of revenue that remains as profit after all expenses, taxes, and non-operating items.

How much does Zoom Communications (ZM) invest in R&D?

Zoom Communications (ZM) invested $867.38M in research and development in TTM through Q2 2026 (17.6% of total revenue). R&D spending reflects investment in future products, services, and technologies.

How much does Zoom Communications (ZM) spend on capital expenditures?

Zoom Communications (ZM) spent $60.66M on capital expenditures in TTM through Q2 2026 (1.2% of total revenue). Capital expenditures represent investments in physical assets such as property, equipment, and infrastructure.

What is Zoom Communications (ZM) free cash flow?

Zoom Communications (ZM) generated $1.96B in free cash flow for TTM through Q2 2026 (39.7% of total revenue). Free cash flow is the cash remaining after capital expenditures and represents the company's ability to fund growth, pay dividends, or reduce debt.

What is Zoom Communications (ZM) effective tax rate?

Zoom Communications (ZM) had an effective tax rate of 21.5% for TTM through Q2 2026. This is the actual percentage of pre-tax income paid as income taxes.

Where does Zoom Communications (ZM) generate most of its revenue?

Geographically, 72.1% of Zoom Communications (ZM) revenue came from Americas in the most recent annual filing. The full regional split is shown in the revenue-by-geography table on this page.

How Zoom Communications (ZM) Makes Money: A Visual Guide

Zoom Communications (ZM) generated $4.93B in revenue, earning $2.07B in net profit (42% margin). Its largest revenue source is Reportable Segment (100% of revenue). Below is an interactive breakdown of how revenue flows through the income statement.

In TTM through Q2 2026, Zoom Communications (ZM) generated 72.1% of revenue from Americas, followed by EMEA (15.8%) and Asia Pacific (12.1%).

Zoom Communications (ZM) Income Statement Flow — TTM through Q2 2026

Calculated from the four most recent reported quarters, ending April 30, 2026 (reported February 27, 2026).

Zoom Communications (ZM) Revenue by Geography — FY 2026 (period end January 31, 2026)

Quarterly geographic data is unavailable for this period, so the table reflects the company's last annual disclosure (FY 2026 (period end January 31, 2026)). The income statement above uses TTM through Q2 2026, so regional dollars and percentages will not match line-for-line.

Americas
Revenue
$3.51B
% of total
72.1%
EMEA
Revenue
$769.91M
% of total
15.8%
Asia Pacific
Revenue
$590.71M
% of total
12.1%
Total
Revenue
$4.87B
% of total
100%

Region	Revenue	% of total
Americas	$3.51B	72.1%
EMEA	$769.91M	15.8%
Asia Pacific	$590.71M	12.1%
Total	$4.87B	100%

View Zoom Communications (ZM) revenue history

Frequently asked questions

How does Zoom Communications (ZM) make money?: Zoom Communications (ZM) primarily makes money through Reportable Segment, which accounts for 100% of total revenue. For TTM through Q2 2026, Zoom Communications generated $4.93B in total revenue with a net profit margin of 42%.
What is Zoom Communications (ZM) gross profit margin?: Zoom Communications (ZM) reported a gross profit margin of 77.4% for TTM through Q2 2026, equivalent to $3.82B in gross profit. This means Zoom Communications retains 77.4% of each revenue unit after direct costs of production.
What is Zoom Communications (ZM) operating profit margin?: Zoom Communications (ZM) reported an operating profit margin of 24.2% for TTM through Q2 2026, equivalent to $1.19B in operating profit. This reflects profitability after operating expenses such as R&D, sales, and administration, but before taxes and non-operating items.
What is Zoom Communications (ZM) net profit margin?: Zoom Communications (ZM) reported a net profit margin of 42% for TTM through Q2 2026, equivalent to $2.07B in net profit. This is the share of revenue that remains as profit after all expenses, taxes, and non-operating items.
How much does Zoom Communications (ZM) invest in R&D?: Zoom Communications (ZM) invested $867.38M in research and development in TTM through Q2 2026 (17.6% of total revenue). R&D spending reflects investment in future products, services, and technologies.
How much does Zoom Communications (ZM) spend on capital expenditures?: Zoom Communications (ZM) spent $60.66M on capital expenditures in TTM through Q2 2026 (1.2% of total revenue). Capital expenditures represent investments in physical assets such as property, equipment, and infrastructure.
What is Zoom Communications (ZM) free cash flow?: Zoom Communications (ZM) generated $1.96B in free cash flow for TTM through Q2 2026 (39.7% of total revenue). Free cash flow is the cash remaining after capital expenditures and represents the company's ability to fund growth, pay dividends, or reduce debt.
What is Zoom Communications (ZM) effective tax rate?: Zoom Communications (ZM) had an effective tax rate of 21.5% for TTM through Q2 2026. This is the actual percentage of pre-tax income paid as income taxes.
Where does Zoom Communications (ZM) generate most of its revenue?: Geographically, 72.1% of Zoom Communications (ZM) revenue came from Americas in the most recent annual filing. The full regional split is shown in the revenue-by-geography table on this page.

Data & methodology

What is a Sankey diagram?: A Sankey diagram shows how money flows through a company from revenue to net profit. The width of each flow represents its proportion.
How is the data calculated?: We use the income statement from company filings. For TTM (Trailing Twelve Months), we use a pre-aggregated twelve-month view aligned with our latest four quarterly periods. Revenue flows to cost of revenue and gross profit, then to operating expenses (R&D, S&M, G&A) and operating profit.
Where do segment and geographic numbers come from?: Product-segment shares come from the same TTM income statement that powers the Sankey chart. Geographic splits are first rebuilt from the four most recent quarterly geographic-segmentation filings so they align with the same TTM window; if quarterly geo data is missing, we fall back to the latest annual disclosure (the table heading shows which one is in use).
When was this data last updated?: Based on company filings through TTM through Q2 2026.