Zoom Video Communications (ZM) is about to do its part to bring the antiquated U.S. Postal Service into this century, at least when it comes to internal communications.
Buried in Zoom’s earnings call transcript from Dec. 5, is a mention that the U.S. Postal Service has started to deploy the company’s Meetings tool internally. Meetings is a video conferencing and messaging platform for companies. The USPS is Zoom’s first major government contract win—a nice one at that should lead to more government business—since receiving FedRAMP approval in May.
“They [USPS] chose Zoom for our high quality video and audio. Thank you USPS. I love you,” Zoom’s founder and CEO Eric Yuan told analysts.
Yuan may be one of the few to love the USPS, but that’s a different discussion for a different day.
“We are excited about the possibilities of this for next year,” Zoom Video Communications CFO Kelly Steckelberg said on Yahoo Finance’s The First Trade. “I think they are really looking forward to building a more digital and video first communications platform and we are really excited to be their partner in that.”
Even without the USPS contract, Zoom is getting ready to close the books on a successful 2019.
Zoom priced its IPO on April 17 at $36. The stock skyrocketed to close at $62 on its first day of trading as investors viewed the company’s recurring revenue model favorably. It currently trades at $65.
Zoom has also continued to win a ton of new business and through the first nine months of the year, has delivered close to $12 million in profits.
The company is sitting on about $780 million in cash and is virtually debt-free.