Zoom (NASDAQ:ZOOM) shares soared the most since November 2022 on Thursday after the video chat company reported better-than-expected results for the second quarter and raised its full-year guidance.
Shares are still down 5.4% for the year, while the NASDAQ has gained 17% over that stretch. Shares opened Friday ahead $1.19, or 1.8%, to $69.23.
Zoom said revenue in the quarter rose 2.1% from a year earlier to $1.16 billion, topping the average analyst estimate of $1.15 billion. Adjusted earnings per share came in at $1.39, ahead of the $1.21 average estimate.
For the full fiscal year, Zoom now expects revenue of $4.63 billion to $4.64 billion. The last time Zoom provided guidance, the company said the top end of the expected range was $4.62 billion.
While Zoom has struggled to reaccelerate growth following the slowdown from the pandemic surge, the company has stabilized, reducing customer churn and bolstering its contact center business. CEO Eric Yuan said on the call that Zoom landed its biggest contact center customer ever in the second quarter.
Still, the shares are down almost 90% from their record in October 2020.
Net income in the second quarter increased to $219 million, or 70 cents per share, from $182 million, or 59 cents per share, a year earlier.
