Company: ZM
Filing Date: 2025-11-25
Form Type: 10-Q
Source: 0001585521-25-000202
Chunk: 290

Company: Zoom Communications, Inc.
Filing Date: 2025-11-25
Form: 10-Q
Item: Part I, Item 8
Chunk 290
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0 %Contract BalancesWe receive payments from customers based on a billing schedule as established in our customer contracts. Accounts receivable are recorded when we contractually have the right to consideration. In some arrangements, a right to consideration for our performance under the customer contract may occur before invoicing to the customer, resulting in an unbilled accounts receivable. The amount of unbilled accounts receivable included within accounts receivable, net was $90.8 million and $118.5 million as of October 31, 2025 and January 31, 2025, respectively, and the amount of unbilled accounts receivable included within other assets, noncurrent was de minimis as of both October 31, 2025 and January 31, 2025.Contract liabilities consist of deferred revenue. Revenue is deferred when we have the right to invoice in advance of performance under a customer contract. The current portion of deferred revenue balances is recognized over the next 12 months. Revenue recognized from amounts included in deferred revenue at the beginning of each period totaled $660.2 million and $626.5 million for the three months ended October 31, 2025 and 2024, respectively, and $1,244.8 million and $1,165.9 million for the nine months ended October 31, 2025 and 2024, respectively.

13

Remaining Performance ObligationsThe terms of our subscription agreements are monthly, annual, and multiyear, and we may bill for the full term in advance or on an annual, quarterly, or monthly basis, depending on the billing terms with customers. As of October 31, 2025, the aggregate amount of the transaction price allocated to our remaining performance obligations was $4,022.3 million, which consists of both billed consideration in the amount of $1,444.5 million and unbilled consideration in the amount of $2,577.8 million that we expect to recognize as revenue. We expect to recognize 60% of our remaining performance obligations as revenue over the next 12 months and the remainder thereafter.

3.    Investments

Marketable SecuritiesAs of October 31, 2025 and January 31, 2025, our marketable securities consisted of the following:As of October 31, 2025AmortizedCostGrossUnrealizedGainsGrossUnrealizedLossesEstimatedFairValue(in thousands)U.S. government agency securities$4,940,717 $11