Company: ZM
Filing Date: 2025-11-25
Form Type: 10-Q
Source: 0001585521-25-000202
Chunk: 413

Company: Zoom Communications, Inc.
Filing Date: 2025-11-25
Form: 10-Q
Item: Part I, Item 2
Chunk 413
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 thousands) Research and development$210,097 $222,980 (5.8)%

Research and development expense for the three months ended October 31, 2025 decreased by $12.9 million, or 5.8%, compared to the three months ended October 31, 2024. The decrease was mainly driven by an $19.7 million decrease in stock-based compensation due to changes in our equity program partially offset by a $6.6 million increase in personnel-related expenses as a result of higher headcount as we invested in AI innovation.

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Sales and MarketingThree Months Ended October 31,20252024% Change(in thousands)Sales and marketing$342,814 $361,703 (5.2)%

Sales and marketing expense for the three months ended October 31, 2025 decreased by $18.9 million, or 5.2%, compared to the three months ended October 31, 2024. The decrease was primarily driven by lower stock-based compensation of $19.3 million due to changes in our equity program.

General and AdministrativeThree Months Ended October 31,20252024% Change(in thousands)General and administrative$94,740 $126,137 (24.9)%

General and administrative expense for the three months ended October 31, 2025 decreased by $31.4 million, or 24.9%, compared to the three months ended October 31, 2024. The favorable variance was primarily driven by the prior-year accrual of $18.0 million related to an SEC investigation and a $9.4 million decrease in stock-based compensation due to changes in our equity program.

Gains on Strategic Investments, Net

Three Months Ended October 31,20252024% Change(in thousands) Gains on strategic investments, net$406,060 $6,324 NM

Gains on strategic investments, net for the three months ended October 31, 2025 and October 31, 2024 were primarily driven by changes in the fair value of our privately held securities.

Other Income, NetThree Months Ended October 31,20252024% Change(in thousands) Other income, net$78,235 $91,248 (14.3)%

Other income, net for the three months ended October 31, 2025 decreased by $13.0 million, or 14.3%,