Company: ZM
Filing Date: 2025-02-28
Form Type: 10-K
Source: 0001585521-25-000042
Chunk: 150

Company: Zoom Communications, Inc.
Filing Date: 2025-02-28
Form: 10-K
Item: Item 8
Chunk 150
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 the customer contracts. Generally, we do not pay sales commissions upon contract renewal. Amortization is recognized on a straight-line basis commensurate with the pattern of revenue recognition. We determine the period of benefit for commissions paid for the acquisition of the initial customer contract by taking into consideration the initial estimated customer life and the technological life of our unified communications and collaboration platform and related significant features. Amortization of deferred contract acquisition costs is included in sales and marketing expense in the consolidated statements of operations.We periodically review these deferred contract acquisition costs to determine whether events or changes in circumstances have occurred that could impact the period of benefit. There were no impairment losses recorded during the periods presented.

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The following table represents a rollforward of deferred contract acquisition costs: Year Ended January 31, 20252024 (in thousands)Beginning balance$347,198 $403,241 Additions to deferred contract acquisition costs246,727 214,657 Amortization of deferred contract acquisition costs(282,103)(270,700)Ending balance$311,822 $347,198 Deferred contract acquisition costs, current (to be amortized in next 12 months)$188,358 $208,474 Deferred contract acquisition costs, noncurrent123,464 138,724 Total deferred contract acquisition costs$311,822 $347,198 

3.    Investments

Marketable SecuritiesAs of January 31, 2025 and 2024, our marketable securities consisted of the following: As of January 31, 2025AmortizedCostGrossUnrealizedGainsGrossUnrealizedLossesEstimatedFairValue(in thousands)Commercial paper$20,841 $— $— $20,841 Agency bonds1,173,518 1,609 (643)1,174,484 Corporate and other debt securities719,145 2,069 (419)720,795 U.S. government agency securities4,412,730 8,449 (5,249)4,415,930 Treasury bills110,237 43 (1)110,279 Marketable securities$6,436,471 $12,170 $(6,312)$6,442,329 As of January 31, 2024AmortizedCostGrossUnrealizedGainsGrossUnrealizedLossesEstimatedFairValue(in thousands)Commercial