Snowflake Inc. (SNOW) came out with quarterly earnings of $0.20 per share, beating the Zacks Consensus Estimate of $0.15 per share. This compares to earnings of $0.25 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 33.33%. A quarter ago, it was expected that this company would post earnings of $0.15 per share when it actually produced earnings of $0.18, delivering a surprise of 20%.Over the last four quarters, the company has ...

| --- | --- | |---------------------------------|-------| | | | | SNOWFLAKE INVESTOR PRESENTATION | | | Third Quarter Fiscal 2025 | | Statement Regarding Use of Non-GAAP Financial Measures 2 This presentation includes certain non-GAAP financial measures, which have not been prepared in accordance with generally accepted accounting principles in the United States (GAAP). These non-GAAP financial measures are in addition to, and not as a substitute for, or superior to, financial measures calculated in accorda ...

[Q3 FY2025 Financial and Operational Overview](index=1&type=section&id=Q3%20FY2025%20Financial%20and%20Operational%20Overview) This section summarizes Snowflake's third quarter fiscal 2025 financial and operational performance, including key highlights, detailed results, future guidance, and corporate developments [Third Quarter Fiscal 2025 Highlights](index=1&type=section&id=Third%20Quarter%20Fiscal%202025%20Highlights) Snowflake reported strong growth in its third quarter of fiscal 2025, with product revenue increasing 29% year-over-year to $900.3 million, demonstrating robust customer expansion and commitment Q3 FY2025 Key Performance Indicators | Metric | Value | YoY Growth | | :--- | :--- | :--- | | Product Revenue | $900.3 million | 29% | | Total Revenue | $942.1 million | 28% | | Remaining Performance Obligations (RPO) | $5.7 billion | 55% | | Net Revenue Retention Rate | 127% | N/A | | Customers with >$1M TTM Product Revenue | 542 | 25% | | Forbes Global 2000 Customers | 754 | 8% | - CEO Sridhar Ramaswamy attributed the strong results to the company's focus on product cohesion and ease of use, which he stated is leading to new customer acquisitions and competitive displacements[3](index=3&type=chunk) [Third Quarter Fiscal 2025 Financial Performance](index=2&type=section&id=Third%20Quarter%20Fiscal%202025%20Financial%20Performance) In Q3 FY2025, Snowflake reported a GAAP operating loss of $365.5 million, while achieving a non-GAAP operating income of $58.9 million, primarily due to adjustments for stock-based compensation and other non-cash items Q3 FY2025 Financial Results Summary (in millions) | Metric | GAAP Result (in millions) | GAAP Margin | Non-GAAP Result (in millions) | Non-GAAP Margin | | :--- | :--- | :--- | :--- | :--- | | Product Revenue | $900.3 | N/A | N/A | N/A | | Product Gross Profit | $636.7 | 71% | $686.9 | 76% | | Operating Income (Loss) | ($365.5) | (39%) | $58.9 | 6% | | Net Cash from Operating Activities | $101.7 | 11% | N/A | N/A | | Free Cash Flow | N/A | N/A | $78.2 | 8% | | Adjusted Free Cash Flow | N/A | N/A | $86.8 | 9% | [Financial Outlook](index=3&type=section&id=Financial%20Outlook) Snowflake provided financial guidance for both the upcoming fourth quarter and the full fiscal year 2025, projecting continued product revenue growth on both a GAAP and non-GAAP basis [Fourth Quarter Fiscal 2025 Guidance](index=3&type=section&id=Fourth%20Quarter%20Fiscal%202025%20Guidance) Snowflake projects fourth quarter fiscal 2025 product revenue between $906 million and $911 million, representing 23% year-over-year growth, with a non-GAAP operating margin of 4% Q4 FY2025 Guidance | Metric | Guidance (in millions) | | :--- | :--- | | Product Revenue | $906 - $911 | | Product Revenue YoY Growth | 23% | | Non-GAAP Operating Margin | 4% | | Non-GAAP Diluted Weighted-Average Shares | 372 | [Full-Year Fiscal 2025 Guidance](index=3&type=section&id=Full-Year%20Fiscal%202025%20Guidance) For the full fiscal year 2025, Snowflake anticipates product revenue of $3.43 billion, a 29% year-over-year increase, alongside a non-GAAP operating margin of 5% and an adjusted free cash flow margin of 26% Full-Year FY2025 Guidance | Metric | Guidance (in millions) | | :--- | :--- | | Product Revenue | $3,430 | | Product Revenue YoY Growth | 29% | | Non-GAAP Product Gross Margin | 76% | | Non-GAAP Operating Margin | 5% | | Non-GAAP Adjusted Free Cash Flow Margin | 26% | | Non-GAAP Diluted Weighted-Average Shares | 364 | - The full-year fiscal 2025 product revenue guidance is based on achieving the higher end of the fourth-quarter guidance range[10](index=10&type=chunk) [Corporate Developments](index=4&type=section&id=Corporate%20Developments) In September 2024, Snowflake completed a significant capital raise by issuing $2.3 billion in convertible senior notes, partially used for capped call transactions and common stock repurchases - Completed a private offering of **$1.15 billion** of 0% convertible senior notes due 2027 and **$1.15 billion** due 2029, with total net proceeds of approximately **$2.27 billion**[13](index=13&type=chunk) - A portion of the proceeds was used to pay **$195.5 million** for capped call transactions and to repurchase **$399.6 million** of common stock at **$112.50 per share**[14](index=14&type=chunk) [Detailed Financial Statements and Reconciliations](index=9&type=section&id=Detailed%20Financial%20Statements%20and%20Reconciliations) This section presents Snowflake's condensed consolidated financial statements, including statements of operations, balance sheets, and cash flows, along with detailed GAAP to non-GAAP reconciliations [Condensed Consolidated Statements of Operations](index=9&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) For the third quarter ending October 31, 2024, Snowflake's revenue increased to $942.1 million, but the GAAP operating loss widened to $365.5 million, leading to a net loss of $324.3 million Q3 Statement of Operations Summary (in millions) | Line Item | Three Months Ended Oct 31, 2024 (in millions) | Three Months Ended Oct 31, 2023 (in millions) | | :--- | :--- | :--- | | Revenue | $942.1 | $734.2 | | Gross Profit | $621.2 | $505.2 | | Total Operating Expenses | $986.7 | $765.8 | | Operating Loss | ($365.5) | ($260.6) | | Net Loss Attributable to Snowflake Inc. | ($324.3) | ($214.3) | | Net Loss Per Share | ($0.98) | ($0.65) | [Condensed Consolidated Balance Sheets](index=10&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) As of October 31, 2024, Snowflake's balance sheet showed total assets of $8.20 billion, with a significant addition of $2.27 billion in convertible senior notes and a decrease in stockholders' equity Balance Sheet Summary (in billions) | Line Item | October 31, 2024 (in billions) | January 31, 2024 (in billions) | | :--- | :--- | :--- | | Cash, cash equivalents, and investments | $4.95 | $4.76 | | Total Assets | $8.20 | $8.22 | | Convertible senior notes, net | $2.27 | $0 | | Total Liabilities | $5.27 | $3.03 | | Total Snowflake Inc. stockholders' equity | $2.93 | $5.18 | [Condensed Consolidated Statements of Cash Flows](index=11&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) For the nine months ended October 31, 2024, Snowflake generated $527.0 million in net cash from operating activities, with financing activities reflecting convertible note issuance offset by stock repurchases Cash Flow Summary - Nine Months Ended Oct 31, 2024 (in millions) | Cash Flow Activity | Amount (in millions) | | :--- | :--- | | Net cash provided by operating activities | $527.0 | | Net cash used in investing activities | ($34.2) | | Net cash used in financing activities | ($106.4) | - Key financing activities for the nine-month period included **$2.3 billion** in proceeds from issuing convertible notes and **$1.93 billion** used for stock repurchases[42](index=42&type=chunk) [GAAP to Non-GAAP Reconciliations](index=12&type=section&id=GAAP%20to%20Non-GAAP%20Reconciliations) The reconciliation tables detail adjustments, primarily $381.4 million in stock-based compensation, that converted a GAAP operating loss of $365.5 million into a non-GAAP operating income of $58.9 million for Q3 Q3 FY2025 GAAP Operating Loss to Non-GAAP Operating Income (in millions) | Description | Amount (in millions) | | :--- | :--- | | **GAAP operating loss** | **($365.5)** | | Stock-based compensation-related charges | $381.4 | | Amortization of acquired intangibles | $24.0 | | Expenses associated with acquisitions | $1.3 | | Restructuring charges | $17.5 | | **Non-GAAP operating income** | **$58.9** | - Non-GAAP net income per diluted share was **$0.20** for the quarter, compared to a GAAP net loss per share of **($0.98)**[48](index=48&type=chunk) [Supplementary Information](index=4&type=section&id=Supplementary%20Information) This section provides additional context, including definitions of key business metrics, a statement on the use of non-GAAP financial measures, conference call details, and a cautionary note on forward-looking statements [Key Business Metrics Definitions](index=5&type=section&id=Key%20Business%20Metrics%20Definitions) Snowflake defines its key business metrics, including Product Revenue based on consumption, Net Revenue Retention Rate tracking customer cohort revenue, and Remaining Performance Obligations representing contracted future revenue - **Product Revenue:** Recognized based on consumption of compute, storage, and data transfer, distinguishing it from ratable subscription models[26](index=26&type=chunk) - **Net Revenue Retention Rate:** Calculated by dividing product revenue from a customer cohort in year two by their revenue in year one of a trailing two-year period[27](index=27&type=chunk) - **Remaining Performance Obligations (RPO):** Represents contracted future revenue not yet recognized, but is not necessarily indicative of future product revenue growth due to variable consumption timing[31](index=31&type=chunk) [Statement Regarding Use of Non-GAAP Financial Measures](index=4&type=section&id=Statement%20Regarding%20Use%20of%20Non-GAAP%20Financial%20Measures) The company explains its use of non-GAAP financial measures as supplemental information, excluding non-cash or non-recurring items like stock-based compensation, for internal decision-making - Non-GAAP measures are reported in addition to, not as a substitute for, GAAP measures[18](index=18&type=chunk) - Primary adjustments to calculate non-GAAP income include excluding stock-based compensation, amortization of acquired intangibles, acquisition expenses, and restructuring charges[19](index=19&type=chunk) - The company also reports Free Cash Flow and Adjusted Free Cash Flow as indicators of the strength of core business operations[22](index=22&type=chunk)[23](index=23&type=chunk) [Conference Call and Investor Information](index=4&type=section&id=Conference%20Call%20and%20Investor%20Information) Details for the Q3 FY2025 earnings conference call were provided, including the time, dial-in numbers, and webcast link, with a replay and investor presentation available online - The conference call was held at **3 p.m. Mountain Time** on **November 20, 2024**[15](index=15&type=chunk) - A live webcast, audio replay, and an additional investor presentation are available on the Snowflake Investor Relations website[16](index=16&type=chunk)[17](index=17&type=chunk) [Use of Forward-Looking Statements](index=6&type=section&id=Use%20of%20Forward-Looking%20Statements) This release includes a standard safe harbor statement cautioning that forward-looking statements are subject to significant risks and uncertainties detailed in SEC filings, and the company does not undertake to update them - The release contains forward-looking statements regarding performance, business strategy, and product adoption, including all statements under the "Financial Outlook" section[32](index=32&type=chunk) - Statements are subject to known and unknown risks, including general market conditions, customer consumption patterns, competition, and cybersecurity threats[33](index=33&type=chunk) - Investors are advised not to rely on forward-looking statements as predictions of future events and are directed to the company's SEC filings for further information on risks[34](index=34&type=chunk)[35](index=35&type=chunk)

Snowflake Inc SNOW will report third-quarter earnings on Wednesday. Wall Street expects 15 cents in earnings per share and $896.99 million in revenues as the company reports after market hours. The stock is down 22.48% over the past year, 31.66% year to date. Let's look at what the charts indicate for Snowflake stock and how the stock currently maps against Wall Street estimates. Read Also: AT&T Data Breach Exposes 50 Billion Records: Hackers Identified, Ransom Paid Snowflake Technical Setup Ahead Of Q3 Ear ...

Snowflake (SNOW 2.21%) went public in late 2020, and its shares peaked during the tech sector's pandemic-era surge in late 2021. The stock has since declined by about 68% from that record high, but Wall Street sees a turnaround on the horizon. Among the 45 analysts who follow the company, the median price target is $169 per share -- 33% higher than its current share price of $127.Leaning into demand for AI productsSnowflake's cloud-based platform lets customers integrate, store, transform, and make sense of ...

As the software industry nears a crossroads, one industry analyst expressed confidence in a few big names ahead of third-quarter earnings season. The Software Analyst: D.A. Davidson analyst Gil Luria reiterated Buy ratings for Palo Alto Networks Inc PANW, Couchbase Inc BASE and Snowflake Inc SNOW in a note published Monday. Cybersecurity and Infrastructure Takeaways: For Palo Alto Networks, Luria anticipates strong sales performance aided by improving firewall demand and the aftermath of the Crowdstrike Hol ...

Core Viewpoint - Snowflake (SNOW) is expected to report its third-quarter fiscal 2025 results on November 20, with revenue estimates indicating a 22.42% increase year-over-year, while earnings per share are projected to decrease by 40% compared to the previous year [1][5]. Financial Performance - The Zacks Consensus Estimate for revenues is $898.77 million, reflecting a significant year-over-year growth [1]. - SNOW's earnings have beaten the Zacks Consensus Estimate in three of the last four quarters, with an average surprise of 43.73% [2]. Market Conditions - SNOW faces challenging macroeconomic conditions, including persistent inflation affecting customer spending, increased GPU-related costs due to investments in AI, and competitive pricing pressure from rivals like Databricks [5]. Growth Drivers - Despite challenges, SNOW's top-line growth is supported by a strong portfolio of new capabilities, including Marketplace Listing Auto-Fulfillment & Monetization, account replication & failover, and Snowpipe Streaming [6][12]. - The company has introduced several innovations, such as Iceberg and Cortex LLM-powered functions, which are expected to enhance long-term prospects through increased demand and competitive differentiation [13]. Strategic Partnerships - SNOW benefits from an expanding partner base, including major companies like Amazon, Microsoft, and NVIDIA, which enhances its ability to build customized AI data applications [17][18]. - Recent collaborations with Microsoft aim to improve interoperability between Snowflake and Microsoft Fabric OneLake, leveraging open standards for analytical storage formats [19][20]. Client Base and Adoption - SNOW's growing client base includes industry leaders such as Disney, Capital One, and Pfizer, showcasing its increasing adoption across various sectors [21]. Stock Performance - SNOW shares have underperformed, declining 36.6% compared to the Zacks Computer & Technology sector's return of 25.7% and the S&P 500's 23.5% [7]. - The stock is currently trading at a premium, with a forward 12-month price-to-sales ratio of 10.16X, compared to the sector's 6.13X, indicating a stretched valuation [10].

In its upcoming report, Snowflake Inc. (SNOW) is predicted by Wall Street analysts to post quarterly earnings of $0.15 per share, reflecting a decline of 40% compared to the same period last year. Revenues are forecasted to be $898.77 million, representing a year-over-year increase of 22.4%.The consensus EPS estimate for the quarter has been revised 0.1% lower over the last 30 days to the current level. This reflects how the analysts covering the stock have collectively reevaluated their initial estimates d ...

Core Viewpoint - Snowflake Inc. (SNOW) is anticipated to report a year-over-year decline in earnings despite an increase in revenues for the quarter ending October 2024, with the actual results being crucial for its near-term stock price movement [1][2]. Financial Expectations - The consensus estimate for Snowflake's quarterly earnings is $0.15 per share, reflecting a year-over-year decrease of 40% [3]. - Expected revenues for the quarter are $898.77 million, which represents a 22.4% increase compared to the same quarter last year [3]. Estimate Revisions - Over the past 30 days, the consensus EPS estimate has been revised down by 0.13%, indicating a reassessment by analysts [4]. - The Most Accurate Estimate for Snowflake is higher than the Zacks Consensus Estimate, resulting in a positive Earnings ESP of +13.92% [10]. Earnings Surprise Prediction - The Zacks Earnings ESP model suggests that a positive reading indicates a potential earnings beat, particularly when combined with a strong Zacks Rank [8]. - Snowflake currently holds a Zacks Rank of 4, which complicates the prediction of an earnings beat despite the positive Earnings ESP [10]. Historical Performance - In the last reported quarter, Snowflake exceeded the consensus EPS estimate of $0.15 by delivering earnings of $0.18, resulting in a surprise of +20% [11]. - Over the last four quarters, Snowflake has beaten consensus EPS estimates three times [12]. Conclusion - While Snowflake does not appear to be a strong candidate for an earnings beat, investors should consider other factors before making investment decisions related to the stock [15].

Snowflake Inc. (SNOW) ended the recent trading session at $125.46, demonstrating a +1.59% swing from the preceding day's closing price. The stock exceeded the S&P 500, which registered a loss of 0.29% for the day. At the same time, the Dow lost 0.86%, and the tech-heavy Nasdaq lost 0.09%.The company's stock has climbed by 0.28% in the past month, falling short of the Computer and Technology sector's gain of 3.2% and the S&P 500's gain of 3.3%.The investment community will be closely monitoring the performan ...