ZM Form 4: CEO Yuan receives 68,454 RSU shares, sells 34,762 at $79.49
Rhea-AI Filing Summary
Eric S. Yuan, Zoom Communications CEO and director, reported transactions on 10/08/2025 showing both acquisitions and a sale of Class A common stock. He received 68,454 shares via a 0-price issuance (transaction code M) and had 34,762 shares withheld
to satisfy tax obligations related to vested restricted stock units, resulting in a net disposal of 34,762 shares sold at $79.49. After the reported transactions, the filing shows 68,454 Class A shares beneficially owned directly or indirectly and 21,619,485 Class A-equivalent shares held indirectly via Class B stock convertible into Class A shares.
Positive
- Received 68,454 RSU-related shares at no cash cost indicating continued compensation alignment
- Maintains large Class B position of 21,619,485 shares convertible to Class A, preserving control
Negative
- Sold 34,762 Class A shares at $79.49, reducing publicly reported Class A holdings
- Issuer withheld 34,762 shares to satisfy tax withholding on vesting RSUs, indicating taxable vesting events
Insights
Insider sold shares to cover RSU taxes while retaining controlling Class B stake.
The filing records a sale of 34,762 Class A shares at $79.49 on 10/08/2025, and the vesting/issuance of restricted stock units totaling 68,454 shares (recorded as acquisitions at $0). The sale is explicitly tied to shares withheld to satisfy tax withholding on vested RSUs.
Mr. Yuan continues to hold substantial voting power through 21,619,485 Class B shares that are convertible into Class A shares, preserving near-term control. Monitor forthcoming periodic filings for additional vesting events or systematic sales tied to tax withholding.
Insider Trade Summary
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Exercise | Restricted Stock Units | 38,281 | $0.00 | -- |
| Exercise | Restricted Stock Units | 30,173 | $0.00 | -- |
| Exercise | Class A Common Stock | 68,454 | $0.00 | -- |
| Tax Withholding | Class A Common Stock | 34,762 | $79.49 | $2.76M |
| holding | Class B Common Stock | -- | -- | -- |
Footnotes (1)
- The shares are held of record by Zheng Yuan and Hongyu Zhang, cotrustees of the the 2018 Yuan and Zhang Revocable Trust, for which the Reporting Person and the Reporting Person's spouse serve as cotrustees. Shares withheld by Issuer to satisfy the tax withholding obligation in connection with the vesting of Restricted Stock Units. Each Restricted Stock Unit represents a contingent right to receive one share of Issuer's Class A Common Stock. The reporting person received an award of restricted stock units on July 8, 2022, which will vest in equal quarterly installments over four years. The Reporting Person received an award of restricted stock units on July 11, 2023 which will vest in equal quarterly installments over three years. Each share of Class B Common Stock is convertible at the option of the Reporting Person into one share of Class A Common Stock and has no expiration date. Each share of Class B Common Stock held by the Reporting Person will automatically convert into one share of Class A Common Stock upon (a) other than Eric S. Yuan, the death of the Reporting Person, or (b) any transfer by the Reporting Person except certain "Permitted Transfers" described in the Issuer's certificate of incorporation. All outstanding shares of Class B Common Stock will convert into shares of Class A Common Stock upon the earliest of (i) six months following the death or incapacity of Mr. Yuan, (ii) six months following the date that Mr. Yuan ceases providing services to the Issuer, (iii) the date specified by the holders of a majority of the shares of Class B Common Stock, and (iv) the 15-year anniversary of the closing of the Issuer's initial public offering.
