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Zoom Communications, Inc. (ZM) Operating Margin: 23.08%

Is Zoom Communications, Inc.’s operating margin high or low?

Zoom Communications, Inc.'s operating margin of 23.08% is 28% above its 5-year average of 18.09%, near the high end of its 5-year range (5.59%–25.94%).

The operating margin for Zoom Communications, Inc. (ZM) is 23.08% as of Wednesday, June 10, 2026. It is above its 12-month average by 13.95% (20.25%).

ZM Operating Margin Chart

ZM Operating Margin
23.08%+32.42% 1Y
Zoom

ZM Average Operating Margin Chart

ZM Current vs Average Operating Margin Chart

ZM Operating Margin Metrics

OPERATING MARGIN

23.08%

OPERATING MARGIN AVG TTM

20.25%

OPERATING MARGIN AVG 3Y

14.42%

OPERATING MARGIN AVG 5Y

18.09%

OPERATING MARGIN AVG 10Y

10.92%

OPERATING MARGIN AVG 15Y

10.92%

OPERATING MARGIN AVG 20Y

10.92%

CURRENT VS TTM AVG

+13.95%

CURRENT VS 3Y AVG

+60.00%

CURRENT VS 5Y AVG

+27.60%

CURRENT VS 10Y AVG

+111.26%

CURRENT VS 15Y AVG

+111.26%

CURRENT VS 20Y AVG

+111.26%

ZM Competitors' Operating Margin

NAMEMARKET CAPOPERATING MARGINTTM3Y5Y
Zoom Communications, Inc. (ZM)23.08%20.25%14.42%18.09%
Fiserv, Inc. (FISV)$28.81B26.89%27.81%25.75%21.59%
MongoDB, Inc. (MDB)$27.37B-5.56%-8.16%-14.30%-20.96%
Splunk Inc. (SPLK)$26.44B8.46%1.01%-18.97%-17.00%
Roblox Corporation (RBLX)$30.79B-25.20%-27.36%-35.30%-32.64%
VeriSign, Inc. (VRSN)$25.83B67.67%67.81%67.20%66.54%
Twilio Inc. (TWLO)$31.07B3.45%1.27%-8.45%-15.67%
Atlassian Corporation (TEAM)$25.11B-2.50%-2.59%-3.11%-1.39%
Cognizant Technology Solutions Corporation (CTSH)$25.09B16.72%15.68%15.13%14.75%
NetApp, Inc. (NTAP)$32.68B24.48%22.41%20.05%19.41%

Operating Efficiency

Gross Margin

77.0%

Operating Margin

23.1%

Zoom Communications, Inc. Operating Margin Formula & Definition

Operating Margin = Operating Income / Revenue

Operating margin is the percentage of revenue remaining after operating expenses, reflecting operating efficiency.

Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute

Zoom Communications, Inc. Operating Margin FAQ

What is the operating margin for Zoom Communications, Inc. (ZM)?
The operating margin for ZM stock is 23.08%.
Is Zoom Communications, Inc.'s operating margin high or low?
Zoom Communications, Inc.'s operating margin of 23.08% is 28% above its 5-year average of 18.09%, near the high end of its 5-year range (5.59%–25.94%).
What is the TTM average operating margin for Zoom Communications, Inc. (ZM)?
The TTM average operating margin for ZM stock is 20.25%.
What is the 3Y average operating margin for Zoom Communications, Inc. (ZM)?
The 3Y average operating margin for ZM stock is 14.42%.
What is the 5Y average operating margin for Zoom Communications, Inc. (ZM)?
The 5Y average operating margin for ZM stock is 18.09%.
What is the 10Y average operating margin for Zoom Communications, Inc. (ZM)?
The 10Y average operating margin for ZM stock is 10.92%.
What is the 15Y average operating margin for Zoom Communications, Inc. (ZM)?
The 15Y average operating margin for ZM stock is 10.92%.
What is the 20Y average operating margin for Zoom Communications, Inc. (ZM)?
The 20Y average operating margin for ZM stock is 10.92%.

Zoom Communications, Inc. Operating Margin History

DATEOPERATING MARGIN
2026-01-3123.08%
2025-01-3117.43%
2024-01-3111.60%
2023-01-315.59%
2022-01-3125.94%
2021-01-3124.89%
2020-01-312.04%
2019-01-311.87%
2018-01-31-3.19%
2017-01-310.00%

About Zoom Communications, Inc.

Zoom Communications, Inc. provides a robust platform for enhancing communication and fostering collaboration. The company's global reach is organized into three primary operational regions: the Americas, the Asia Pacific, and Europe, the Middle East, and Africa (EMEA). Eric S. Yuan founded the enterprise in 2011, and its corporate headquarters are situated in San Jose, California.

San Jose, CA
7,412 employees
Technology / Software - Application
Sector
Technology
Industry
Software - Application
CEO
Eric S. Yuan