The news that design software startup Canva had finally filled its vacant CFO position by poaching Zoom Video finance boss Kelly Steckelberg is as good an indication as any that it is locking in for an IPO — even if the company is staying mum on just when that might happen.
Zoom’s IPO, under Steckelberg’s stewardship, was unique in the tech world in that the company was actually already profitable. Firms like Uber, Lyft and Slack all went public that year while bleeding cash, reflecting the growth at all costs mantra that powered the industry in the era of free money.
There’s a cautionary tale buried in here too. Zoom’s stock exploded shortly after its IPO as pandemic lockdowns supercharged remote work, soaring to a peak market cap of USD159 billion ($244 billion) in October 2020. The company’s robust tech and seamless onboarding caught competitors like Skype and Google flat-footed, while its brand became synonymous with video calling.
It wasn’t to last. Steckelberg built the financial infrastructure for Zoom’s boom but also stuck around to watch its decline. The stock has tumbled nearly 90% from its pandemic-era highs, hindered by a struggle to diversify its offering and mounting competition from megascale platform plays like Microsoft Teams.
