Technology company ZoomInfo announced double- and triple-digit percentage increases in revenue and operating income compared with the previous year in its latest earnings report.
The Vancouver-based company brought in $300.7 million in revenue in the first quarter of 2023, a 24 percent increase compared with the first quarter the previous year.
It reported $66.3 million in operating income, a 105 percent increase over the first quarter in 2022.
In a call with investors Monday, ZoomInfo’s founder and Chief Executive Officer Henry Schuck said his business was being run efficiently, but that most of the company’s clients have been impacted by the macroeconomic climate.
ZoomInfo is signing fewer long-term contracts, said the company’s chief financial officer, Cameron Hyzer, during the call.
ZoomInfo sells software targeted at various business needs, including software used for marketing, sales, recruiting and operations, incorporating the data it has collected on businesses and people.
The company has still managed to acquire more business, despite the global economy. It ended the first quarter with 1,905 customers, compared with 1,623 in the first quarter of 2022.
“Even in the industries that are impacted, we are seeing opportunities and demand,” said Schuck.
He went on to say the company’s April financial results are looking better than January’s.
In his statement to the investors, Schuck said that the company continued to grow faster internationally than it has domestically, something he said was in part due to the company’s data privacy and notice practices.
“In the quarter, we saw this come to fruition as we expanded our global dataset with two of the world largest cloud software companies who switched to ZoomInfo away from legacy providers because they couldn’t trust their privacy and data compliance practices,” said Schuck.
The company named data privacy expert Simon McDougall as its first chief compliance officer early last year. At that time, ZoomInfo announced it was expanding its operations into Europe. Europe’s General Data Protection Regulation is one of the strictest privacy and security laws in the world.
Schuck told investors he’s confident that as the global economy stabilizes, ZoomInfo’s growth will accelerate.
ZoomInfo, which trades on the Nasdaq as ZI, closed Friday at $20.55 per share, near its 52-week low of $20.50.
ZoomInfo plans to move its headquarters in 2025 to a new waterfront building, expected to hold up to 3,000 employees, under construction at the Port of Vancouver’s Terminal 1 development.
