Stock Track | ZoomInfo Technologies (ZI) Surges 16.37% in Pre-Market on Strong Q4 Results and Upbeat Outlook

Stock Track
26 Feb

ZoomInfo Technologies Inc. (NASDAQ:ZI) shares soared 16.37% in pre-market trading on Wednesday, February 26th, fueled by the company's better-than-expected fourth-quarter results and strong guidance for fiscal 2025.

The Go-To-Market Intelligence platform reported record revenue of $309.1 million for Q4 2024, beating analyst estimates of $297.63 million and representing a 2% year-over-year decline. Adjusted earnings per share of $0.26 also surpassed expectations of $0.22.

The strong performance was driven by robust demand for ZoomInfo's AI-powered solutions and data insights, which help customers drive faster revenue growth. Highlights from the quarter include:

  • The company's Operations business, focused on providing data and AI for enterprise systems, grew 27% year-over-year and is the fastest-growing segment.
  • Copilot, ZoomInfo's AI-powered sales assistant, exceeded $150 million in Annual Contract Value (ACV) and showed strong product-market fit across various use cases.
  • Net revenue retention improved to 87%, indicating better customer retention and expansion.

For fiscal 2025, ZoomInfo forecasts revenue between $1.185 billion and $1.205 billion, above analyst estimates. The company also issued an optimistic outlook for adjusted operating income and free cash flow, reflecting its confidence in continued growth momentum.

The robust results and upbeat guidance underscore ZoomInfo's positioning as a leading provider of AI-driven data solutions for sales and marketing teams. With ongoing product innovation and strategic acquisitions, the company aims to solidify its position as the go-to partner for enterprise data and AI in the upmarket segment.

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