Company: ZM
Filing Date: 2025-08-22
Form Type: 10-Q
Source: 0001585521-25-000141
Chunk: 416

Company: Zoom Communications, Inc.
Filing Date: 2025-08-22
Form: 10-Q
Item: Part I, Item 2
Chunk 416
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 additional capital when desired, our business, results of operations, and financial condition would be materially and adversely affected.

There have been no material changes to our material cash requirements from known contractual and other obligations from those disclosed in our Management’s Discussion and Analysis of Financial Condition and Results of Operations, included in our Annual Report on Form 10-K for the year ended January 31, 2025, filed with the SEC on February 28, 2025.

Cash Flows

The following table summarizes our cash flows for the periods presented:

Six Months Ended July 31, 20252024(in thousands)Net cash provided by operating activities$1,005,201 $1,037,525 Net cash used in investing activities$(185,803)$(648,734)Net cash used in financing activities$(985,392)$(398,716)

Operating Activities

Our largest source of operating cash is cash collections from our customers for subscriptions to our platform. Our primary uses of cash from operating activities are for employee-related expenditures, costs related to hosting our platform, and marketing expenses. Net cash provided by operating activities is impacted by our net income adjusted for certain non-cash items, such as stock-based compensation expense, depreciation and amortization expenses, as well as the effect of changes in operating assets and liabilities.

Net cash provided by operating activities was $1,005.2 million for the six months ended July 31, 2025, compared to $1,037.5 million for the six months ended July 31, 2024. Despite higher net income year over year, net cash provided by operating activities remained relatively flat mainly due to payment timing differences in various working capital accounts.

Investing Activities

Net cash used in investing activities of $185.8 million for the six months ended July 31, 2025 was driven by net purchases of marketable securities of $126.4 million, purchases of property and equipment of $33.9 million, and purchases of strategic investments of $27.5 million.

Net cash used in investing activities of $648.7 million for the six months ended July 31, 2024 was primarily due to net purchases of marketable securities of $537.1 million, purchases of property and equipment of $102.7 million, and purchases of strategic investments of $13.5 million.

Financing Activities

Net cash used in financing activities of $985.4 million for the six months ended July 31, 2025 was primarily due to cash paid