Revenue growth has stalled at 1.5% YoY in 2026Q1, though the company maintains a resilient gross margin profile of 82.1% despite broader operational volatility.
| Sales/Revenue | 1.25B | 1.25B | 1.21B | 1.24B | 1.1B | 747.2M | 476.2M | 293.3M | 144.3M |
| Revenue Growth % | 3.64% | 2.9% | -2.03% | 12.89% | 46.95% | 56.91% | 62.36% | 103.26% | - |
| Cost of Goods Sold | 198M | 199.6M | 189.8M | 178.1M | 188.7M | 136.7M | 107.5M | 68.6M | 37.8M |
| COGS % of Revenue | - | 15.97% | 15.63% | 14.37% | 17.19% | 18.3% | 22.57% | 23.39% | 26.2% |
| Gross Profit | 1.06B | 1.05B | 1.02B | 1.06B | 909.3M | 610.5M | 368.7M | 224.7M | 106.5M |
| Gross Margin % | 84.21% | 84.03% | 84.37% | 85.63% | 82.81% | 81.71% | 77.43% | 76.61% | 73.8% |
| Gross Profit Growth % | - | 2.48% | -3.48% | 16.73% | 48.94% | 65.58% | 64.09% | 110.99% | - |
| Operating Expenses | 812.7M | 824.2M | 927.1M | 801.9M | 733.5M | 497.2M | 331.6M | 173M | 76.3M |
| OpEx % of Revenue | - | 65.96% | 76.35% | 64.7% | 66.8% | 66.54% | 69.63% | 58.98% | 52.88% |
| Selling, General & Admin | 620.4M | 621.3M | 624.3M | 579.9M | 504.4M | 333.5M | 247.7M | 125.3M | 63.2M |
| SG&A % of Revenue | - | 49.72% | 51.41% | 46.78% | 45.94% | 44.63% | 52.02% | 42.72% | 43.8% |
| Research & Development | 180.9M | 182M | 187.8M | 189.8M | 207.1M | 119.7M | 51.4M | 30.1M | 6.1M |
| R&D % of Revenue | - | 14.57% | 15.47% | 15.31% | 18.86% | 16.02% | 10.79% | 10.26% | 4.23% |
| Other Operating Expenses | 2M | 20.9M | 115M | 32.2M | 22M | 44M | 32.5M | 17.6M | 100K |
| Operating Income | 243.3M | 225.7M | 97.4M | 259.5M | 175.8M | 113.3M | 37.1M | 51.7M | 26.6M |
| Operating Margin % | 19.4% | 18.06% | 8.02% | 20.94% | 16.01% | 15.16% | 7.79% | 17.63% | 18.43% |
| Operating Income Growth % | - | 131.72% | -62.47% | 47.61% | 55.16% | 205.39% | -28.24% | 94.36% | - |
| EBITDA | 322M | 314.5M | 183.1M | 340.1M | 263.6M | 182.6M | 87.9M | 100.4M | 43.9M |
| EBITDA Margin % | 25.68% | 25.17% | 15.08% | 27.44% | 24.01% | 24.44% | 18.46% | 34.23% | 30.42% |
| EBITDA Growth % | 67.27% | 71.76% | -46.16% | 29.02% | 44.36% | 107.74% | -12.45% | 128.7% | - |
| D&A (Non-Cash Add-back) | 78.7M | 88.8M | 85.7M | 80.6M | 87.8M | 69.3M | 50.8M | 48.7M | 17.3M |
| EBIT | 255.4M | 236.9M | 70.6M | 434M | 242.2M | 144.9M | 37.6M | 17.9M | 26.7M |
| Net Interest Income | -46.3M | -42.6M | -39.3M | -45.2M | -47.6M | -43.9M | -69.3M | -102.4M | -58.2M |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 46.3M | 42.6M | 39.3M | 45.2M | 47.6M | 43.9M | 69.3M | 102.4M | 58.2M |
| Other Income/Expense | -44.3M | -31.4M | -66.1M | 129.3M | 18.8M | -12.3M | -68.8M | -136.2M | -58.1M |
| Pretax Income | 199M | 194.3M | 31.3M | 388.8M | 194.6M | 101M | -31.7M | -84.5M | -31.5M |
| Pretax Margin % | 15.87% | 15.55% | 2.58% | 31.37% | 17.72% | 13.52% | -6.66% | -28.81% | -21.83% |
| Income Tax | 72.3M | 70.1M | 2.2M | 281.5M | 131.4M | 6.1M | 4.7M | -6.5M | -2.9M |
| Effective Tax Rate % | 36.33% | 36.08% | 7.03% | 72.4% | 67.52% | 6.04% | -14.83% | 7.69% | 9.21% |
| Net Income | 126.7M | 124.2M | 29.1M | 107.3M | 63.2M | 116.8M | -9.1M | -78M | -28.6M |
| Net Margin % | 10.1% | 9.94% | 2.4% | 8.66% | 5.76% | 15.63% | -1.91% | -26.59% | -19.82% |
| Net Income Growth % | 210.54% | 326.8% | -72.88% | 69.78% | -45.89% | 1383.52% | 88.33% | -172.73% | - |
| Net Income (Continuing) | 126.7M | 124.2M | 29.1M | 107.3M | 63.2M | 94.9M | -36.4M | -78M | -28.6M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 436.8M | 0 | 0 |
| EPS (Diluted) | 0.40 | 0.39 | 0.08 | 0.27 | 0.16 | 0.30 | -0.11 | 0.00 | -0.20 |
| EPS Growth % | 226.46% | 387.5% | -70.37% | 68.75% | -46.67% | 372.73% | - | 100% | - |
| EPS (Basic) | - | 0.39 | 0.08 | 0.27 | 0.16 | 0.46 | -0.10 | 0.00 | -0.20 |
| Diluted Shares Outstanding | 316.97M | 316.97M | 362.19M | 397.48M | 395M | 403.32M | 173.82M | 143.49M | 143.49M |
| Basic Shares Outstanding | 322.5M | 322.5M | 361.95M | 396.99M | 395M | 403.32M | 173.82M | 143.49M | 143.49M |
| Dividend Payout Ratio | - | - | - | - | - | 17.04% | - | - | - |
SaaS seat contraction
According to recent financial disclosures, ZoomInfo's revenue growth has decelerated to a modest 1.5% YoY as of 2026Q1, signaling a transition from high-growth expansion to a more challenging environment where the company struggles to offset churn within its core technology and software customer base.
The shift from double-digit growth to low single digits suggests that the company's land-and-expand model is facing significant headwinds from corporate headcount rationalization. Investors should monitor whether the current revenue plateau represents a cyclical trough or a structural limitation of the company's addressable market in a post-pandemic software spending environment.
As reported in quarterly filings, the company maintains a robust gross margin profile, consistently hovering around 82-84%, which underscores the inherent scalability of its proprietary data-ingestion engine and the relatively low marginal cost associated with delivering its B2B intelligence platform to existing enterprise subscribers.
This high gross margin suggests that the company retains significant pricing power and a structural advantage over competitors relying on self-reported social data. However, the stability of these margins may be tested if the company is forced to increase investment in data validation and AI-driven features to maintain its competitive moat.
Based on the provided income statement data, operating income has shown significant volatility, with margins fluctuating between -6.9% and 22.4% over the last ten quarters, indicating that the company has yet to achieve consistent operating leverage despite its high-margin revenue base and aggressive sales force investment.
The inability to consistently scale operating income faster than gross profit suggests that SG&A expenses remain a heavy burden on the bottom line. This may indicate that the company is currently in a high-cost phase of platform evolution, where the expense of customer acquisition and R&D is outpacing the incremental gains from existing subscriptions.
Analysis of recent SEC filings reveals that stock-based compensation remains a material non-cash expense, frequently exceeding $30 million per quarter, which complicates the assessment of true economic profitability and suggests that reported net income may be significantly bolstered by non-operating items or tax-related adjustments.
The discrepancy between GAAP net income and the underlying cash-generating capability of the business warrants caution, as heavy reliance on equity-based incentives can mask the true cost of talent retention. Investors should scrutinize the sustainability of these earnings, particularly when SBC represents a substantial portion of the company's quarterly operating income.
While the company's platform is deeply integrated into CRM workflows, the recent trend of negative growth in several quarters suggests that the core 'cold outbound' sales model may be facing a permanent decline due to evolving privacy regulations and increased sophistication in enterprise email filtering.
Short-sellers may focus on the potential for further seat contraction if the company's primary value proposition—facilitating outbound sales—becomes less effective in the current market. The reliance on a single, potentially vulnerable workflow suggests that the company's pivot to AI-driven orchestration is not merely an enhancement, but a necessary defensive maneuver to prevent further churn.
Quick answers to the most common questions about buying GTM stock.
For fiscal year 2025, ZoomInfo Technologies Inc. (GTM) reported total revenue of $1.25B. This represents a 765.9% increase compared to $144.3M in 2018.
ZoomInfo Technologies Inc. (GTM) is profitable, generating $124.2M in net income for the fiscal year ending 2025 with a net profit margin of 9.9%.
ZoomInfo Technologies Inc. (GTM) reported an operating income of $225.7M, resulting in an operating profit margin of 18.1%. This margin reflects the operational efficiency of the business before interest and taxes.
ZoomInfo Technologies Inc. (GTM) generated $1.05B in gross profit for the year, representing a gross profit margin of 84.0%. This demonstrates the company's core pricing power and production efficiency.