Snowflake Reports Strong Q2 Results and Raises Full-Year Guidance
Snowflake Inc (NYSE:SNOW) reported better-than-expected second-quarter results, with revenue reaching $1.55 billion—35% higher than the previous year—and adjusted earnings per share of $0.62, surpassing estimates. The company raised its full-year product revenue guidance to $6.07 billion from $5.84 billion and improved operating margin projections. CEO Sridhar Ramaswamy highlighted AI-driven growth through products like CoWork and CoCo as key contributors. Snowflake's non-GAAP operating income reached $237 million, exceeding forecasts of $187 million, while product revenue grew 37% year-over-year to $1.49 billion. Free cash flow was reported at $83.8 million, slightly below expectations but still strong overall. The company also noted a net revenue retention rate of 126%, remaining performance obligations up 30% YoY to $9.0 billion, and an increase in high-value customers by 27%. These results led to a significant after-hours stock surge of over 23%.
Tickers: $SNOW
Topics: AI integration cloud computing free cash flow revenue growth