ZoomInfo Technologies (GTM) Company Report

ZoomInfo's up-market business now constitutes 73% of its total mix, growing 6%, and is projected to reach 75% in the near term and 80% in the next couple of years. This segment also boasts margins several thousand basis points higher than the down-market business.
The company's net retention rate accelerated for the fifth consecutive quarter to approximately 90% in Q3, with a target to reach 95% and eventually 100%, driven by up-market performance.
The operations business, including products like GTM Studio, is ZoomInfo's fastest-growing segment, representing over 15% of total ACV and accelerating at 20% plus year over year.
ZoomInfo's guiding principle is free cash flow per share growth, with 2025 guidance at high single-digit growth, which the company aims to accelerate in 2026 through top-line growth, margin expansion, and share buybacks.
Internal efficiencies include an 8% reduction in headcount from the start of the year, leading to a lower cost base and increased productivity.

Dec 9, 2025, 3:30 PM

Transcript

ZoomInfo Discusses Strategic Shift to Up-Market, Product Innovation, and Financial Outlook

GTM

Revenue Acceleration/Inflection

Product Launch

Share Buyback

ZoomInfo is ahead of schedule on its strategic shift to the up-market segment, which now represents 73% of its total mix and is growing 6%, with a goal to reach 80% in the next couple of years.
The company's net retention rate accelerated for the fifth consecutive quarter to approximately 90% in Q3, with a target to reach 95% and eventually 100%, driven by up-market improvements and new product adoption like Copilot.
The operations business, including DAS and GTM Studio, is a significant growth driver, accounting for over 15% of total ACV and accelerating at 20% plus year over year. This segment is not seat-based and is a beneficiary of AI.
ZoomInfo's guiding principle is free cash flow per share growth, with high single-digit growth guided for 2025 and expected acceleration into 2026 through top-line growth, margin expansion, and share buybacks.

Dec 9, 2025, 3:30 PM

Transcript

ZoomInfo Highlights Strategic Shift to Up-Market, Strong NRR, and AI-Driven Growth

GTM

Revenue Acceleration/Inflection

Share Buyback

Guidance Update

ZoomInfo's up-market business now accounts for 73% of its total mix, growing 6%, and the company anticipates reaching 75% near-term and 80% in the next couple of years, ahead of its original schedule. The long-term objective is for the up-market segment to achieve low double-digit growth and the down-market segment to stabilize near 0%, contributing to overall high single-digit growth.
The company's net retention rate (NRR) accelerated for the fifth consecutive quarter in Q3 2024, reaching approximately 90%. Management aims for 95% as the next milestone, with a long-term goal of 100%, driven by new product offerings like Copilot and GTM Studio, and improved up-market retention.
The operations business, which is not seat-based, is ZoomInfo's fastest-growing segment, now exceeding 15% of total ACV and accelerating at 20%+ year over year. This segment is a significant AI beneficiary, with new offerings such as GTM Studio and AI action credits, though the latter may be gross margin dilutive by 1-2 points while being gross profit accretive.
ZoomInfo has reduced its headcount by 8% from the beginning of the year and is aggressively adopting AI internally to enhance productivity and lower costs, expecting operating leverage in 2026. The company's guiding principle is free cash flow per share growth, with 2025 guidance at high single-digits, and optimism for acceleration in 2026 through top-line growth, margin improvement, and share buybacks.

Dec 9, 2025, 3:30 PM

Transcript

ZoomInfo Reports Growth Resurgence and Strategic Shift to Upmarket and AI

GTM

Revenue Acceleration/Inflection

Product Launch

New Projects/Investments

ZoomInfo has seen a resurgence in growth, rebounding to 5% year-over-year and improving Net Revenue Retention (NRR) to 90%.
The company is strategically moving its business upmarket, which now accounts for 10 points of revenue and grew 6% last quarter, with a goal to achieve 105% or higher upmarket retention.
The new AI-powered Copilot product, released in May 2024, is driving mid to high single-digit better renewal and retention rates compared to legacy products, with approximately $250 million in Copilot ACV.
ZoomInfo is developing new AI-native products like GTM Studio and GTM Workspace, aiming to build a comprehensive go-to-market AI platform.
The Operations business is a key growth driver, growing 20% year-over-year and representing 15% of total ACV, with expectations for continued tailwinds through 2026 and beyond.

Dec 3, 2025, 6:35 PM

Transcript

ZoomInfo Reports Growth Rebound and Strategic Shift to Upmarket and AI

GTM

Revenue Acceleration/Inflection

New Projects/Investments

Guidance Update

ZoomInfo has experienced a resurgence in its growth trajectory, with year-over-year growth rebounding to 5% for the last two quarters and Net Revenue Retention (NRR) improving to 90% from the mid-80s%.
The company is strategically moving its business upmarket, having shifted 10 points of revenue to this segment over the past two years, with the upmarket business growing 6% last quarter, accelerating from 4% the quarter prior. Upmarket retention has been at or above 100% for the past two quarters, with a goal to reach 105% and beyond.
ZoomInfo is aggressively pursuing AI opportunities, having released its Copilot product in May 2024. Customers using Copilot are renewing and retaining at mid to high single digits better than those using legacy sales products. The Operations business, which is 15% of total ACV, is growing 20% year over year and is expected to have continued tailwinds through 2026 and beyond due to AI.
While the downmarket business is experiencing declines in the low teens range, it is being made a smaller, healthier portion of the total mix, aiming to reduce its share from 27% to 20% over the next few years.
The company anticipates potential gross margin pressure of one or two points in 2026 due to AI consumption costs but expects operating expenses to decrease as a percentage of revenue, leading to accelerated free cash flow per share growth in 2026 and beyond.

Dec 3, 2025, 6:35 PM

Transcript

ZoomInfo Technologies Inc. Grants Performance-Based Stock Option to CEO

GTM

Executive Compensation

ZoomInfo Technologies Inc. granted its CEO and Chairman, Henry Schuck, a one-time, premium-priced performance-based option award on November 26, 2025.
This award provides Mr. Schuck the opportunity to purchase up to 9,678,000 shares of common stock at an exercise price of $13.54 per share, representing 140% of the fair market value on the grant date.
The option is 100% unvested at grant and requires the satisfaction of rigorous performance goals related to the Company's stock price and adjusted free cash flow per share, along with Mr. Schuck's continued service.
Performance goals are divided into six tranches, with stock price targets ranging from $40.00 to $100.00 and adjusted free cash flow per share targets from $2.50 to $5.00. Additionally, the stock price goal requires the Company's Total Shareholder Return (TSR) to be at or above the 25th percentile of the Russell 3000 Index.
This award serves as a long-term retention vehicle and replaces Mr. Schuck's annual participation in the Company's long-term incentive program for its 10-year term.

Nov 27, 2025, 2:35 AM

8-K

ZoomInfo Reports Strong Q3 Performance and Strategic Upmarket Momentum

GTM

Revenue Acceleration/Inflection

Product Launch

Share Buyback

ZoomInfo achieved its highest-ever quarterly revenue of $318 million, reflecting 5% year-over-year growth, and an AOI margin of 37% in Q3.
Net revenue retention improved to 90% in Q3, with the upmarket business, now 73% of total ACV, accelerating ACV growth to 6% and achieving 100% net retention for the second consecutive quarter.
The Operations suite, a key growth driver, is growing 20% year-over-year and accounts for over 15% of the total business.
Early renewal outcomes for the Copilot product showed mid to high single-digit better performance compared to legacy Sales OS, and the company is introducing GTM Workspace (Copilot 2.0) with a new consumption-based pricing model.
ZoomInfo has retired 80 million shares through aggressive buybacks and plans to accelerate free cash flow per share growth in 2026 by focusing on top-line growth, margin expansion, and continued share repurchases.

Nov 18, 2025, 5:30 PM

Transcript

ZoomInfo Reports Strong Q3 Performance and Advances AI Product Strategy

GTM

Revenue Acceleration/Inflection

Product Launch

Share Buyback

ZoomInfo achieved its highest revenue quarter ever at $318 million, reflecting 5% year-over-year growth, and an AOI margin of 37% in Q3.
The company's upmarket business saw a two-point acceleration in ACV growth to 6% and maintained 100% upmarket net retention for the second consecutive quarter, contributing to an overall net revenue retention of 90%. The upmarket segment now represents 73% of total ACV.
Renewal outcomes for ZoomInfo Copilot customers were mid to high single-digit % better than legacy Sales OS in Q3. The company is also introducing AI Action Credits for its new GTM Workspace and GTM Studio products, indicating a shift towards a consumption-based model.
ZoomInfo has been actively buying back shares, having retired 80 million shares since the program's inception, and plans to accelerate free cash flow per share growth in 2026.

Nov 18, 2025, 5:30 PM

Transcript

ZoomInfo Reports Q3 Business Improvement, Upmarket Momentum, and Positive Copilot Renewal Trends

GTM

Revenue Acceleration/Inflection

Product Launch

Share Buyback

ZoomInfo reported a stabilization and improvement in its business in Q3, achieving a record revenue of $318 million (5% year-over-year growth) and a 37% AOI margin. Overall net revenue retention improved to 90%.
The company's strategic shift towards the upmarket segment continues to show strong momentum, with upmarket ACV growth accelerating from 4% to 6% in Q3 and comprising 73% of total ACV. The Operations Suite grew 20% year-over-year and now represents over 15% of the total business.
Early results from the Copilot product indicate mid to high single-digit percentage better renewal outcomes compared to legacy products. ZoomInfo plans to introduce GTM Workspace (Copilot 2.0) and AI Action Credits to further drive consumption-based growth.
ZoomInfo has been aggressively buying back shares, retiring 80 million shares to date, and expects to accelerate free cash flow per share growth in 2026 through top-line growth, margin expansion, and continued buybacks. In Q3, 50% of ACV was on contracts greater than one year.

Nov 18, 2025, 5:30 PM

Transcript

GTM Reports Strong Q3 2025 Results and Raises Full-Year Guidance

GTM

Earnings

Guidance Update

Share Buyback

GTM reported Q3 2025 GAAP revenue of $318 million and adjusted operating income of $118 million, achieving a 37% margin and returning to the Rule of 40.
The company's up-market strategy is progressing, with up-market ACV growing 6% and now comprising 73% of total ACV, while net revenue retention improved to 90%. The Operations Suite grew over 20% year-over-year.
For full-year 2025, GTM expects GAAP revenue between $1.237-$1.240 billion (midpoint representing 2% annual growth) and adjusted operating income of $440-$443 million. The company also repurchased $87 million of common stock in Q3 2025 and plans aggressive share repurchases in 2026.