Zoom Video Communications Inc. (NASDAQ: ZM) CEO Eric Yuan added $6.6 billion to his net worth Tuesday, according to the Bloomberg Billionaires Index.
What Happened: The sharp increase in Yuan’s wealth came as the company’s shares skyrocketed 41% after it reported a rise in quarterly revenue and sales forecast a day earlier.” data-reactid=”20″ type=”text”>What Happened: The sharp increase in Yuan’s wealth came as the company’s shares skyrocketed 41% after it reported a rise in quarterly revenue and sales forecast a day earlier.
On Monday, Zoom reported a 355% year-over-year increase in second quarter revenue to $663.5 million and 700% rise in active users as it benefited from the work-from-home trend in vogue due to the ongoing COVID-19 pandemic.
The video conferencing company founder’s wealth has increased $23 billion this year, as of Tuesday, according to the Bloomberg index.
Another notable beneficiary of Zoom stock’s appreciation is Hong Kong billionaire Li Ka-shing, who holds a 8.5% stake in the company.
The 92-year old’s holdings are now worth $11 billion or one-third of his total wealth, Bloomberg reported.
Why It Matters:The COVID-19 pandemic has added to the wealth of several billionaires. This week, Tesla Inc (NASDAQ: TSLA) CEO Elon Musk beat Facebook Inc (NASDAQ: FB) chief executive Mark Zuckerberg to become the third-richest person in the world.
Amazon.com, Inc (NASDAQ: AMZN) CEO Jeff Bezos became the first person to be worth over $200 billion in August.
On a single day in July, Bezos added billion to his wealth — all thanks to the demand for the e-commerce company’s services during the pandemic.
He has added $90.2 billion to his net wealth so far this year at $205 billion, according to the Bloomberg Billionaires index.
Price Action: Zoom shares closed nearly 41% higher at $457.69 on Tuesday but fell 0.8% in the after-hours session.
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