Snowflake(US:SNOW)2025-12-03 21:06Financial Performance - Revenue for Q3 FY2026 was $1.21 billion, representing 29% year-over-year growth[3] - Product revenue for the quarter was $1.16 billion, also reflecting a 29% year-over-year increase[5] - Net revenue retention rate stood at 125% as of October 31, 2025[3] - The company has 688 customers with trailing 12-month product revenue greater than $1 million, a 29% increase year-over-year[3] - Remaining performance obligations reached $7.88 billion, indicating a 37% year-over-year growth[3] - Product gross profit was $837.6 million with a margin of 72%[6] - Operating income (loss) was ($329.5) million, reflecting a 27% year-over-year decline[6] - Guidance for Q4 FY2026 projects product revenue between $1,195 million and $1,200 million, representing a 27% year-over-year growth[7] - Full-year FY2026 product revenue guidance is set at $4,446 million, indicating a 28% year-over-year growth[8] - Product revenue for the three months ended October 31, 2025, was $1,212,909,000, representing a 28.8% increase from $942,094,000 in the same period of 2024[23] - The company reported a net loss attributable to Snowflake Inc. for the three months ended October 31, 2025, was $293,957,000, compared to a net loss of $324,279,000 for the same period in 2024, indicating a reduction in losses[23] - Total revenue for the nine months ended October 31, 2025, was $3,399,952, a 29% increase from $2,639,626 in the same period of 2024[29] - Year-over-year growth for total revenue in Q3 2025 was 29%, consistent with the growth rate for the nine-month period[29] Customer Metrics - The company has over 12,600 customers globally, including hundreds of the world's largest companies, utilizing its AI Data Cloud[21] - The number of customers with trailing 12-month product revenue greater than $1 million is a key metric, indicating strong customer engagement and revenue generation[16] Operating Expenses and Profitability - Operating expenses for the three months ended October 31, 2025, totaled $1,151,509,000, up from $986,657,000 in the same period of 2024, reflecting increased investment in growth[23] - Total operating expenses reached $1,151.50 million, a 5% increase from $986.66 million in the previous year[1] - GAAP gross profit for Q3 2025 was $822,036, which is 68% of total revenue, compared to 66% in Q3 2024[29] - Non-GAAP gross margin was 68%[30] - The company achieved a non-GAAP product gross profit of $879,165 in Q3 2025, reflecting strong operational performance[29] - Stock-based compensation related charges were $394.94 million, compared to $335.13 million in the prior period, indicating a significant increase[1] Cash Flow and Investments - Cash provided by operating activities for the nine months ended October 31, 2025, was $440,788,000, down 16% from $527,039,000 in the same period of 2024[27] - The company reported a net cash used in investing activities of $106,996,000 for the nine months ended October 31, 2025, compared to a net cash used of $34,242,000 in the same period of 2024[27] - Snowflake's purchases of investments amounted to $1,990,216,000 for the nine months ended October 31, 2025, compared to $2,288,985,000 in the same period of 2024, indicating a decrease of 13%[27] Strategic Focus and Future Guidance - The company continues to focus on developing new products and enhancing existing services, particularly in the AI and data management sectors[18] - Future guidance indicates a focus on strategic investments and market expansion initiatives[1] - The company plans to enhance its product offerings through new technology developments and acquisitions[1] Net Income and Loss - The company reported a net income of $1.97 billion, a decrease from $1.79 billion year-over-year[1] - Non-GAAP net income for the three months ended October 31, 2025, was $131.2 million, representing an increase of 79% compared to $73.2 million for the same period in 2024[32] - GAAP net loss attributable to the company was $293,957,000, reflecting a 24% decrease from $324,279,000 in the previous period[31] - The company reported a GAAP net loss per share attributable to Snowflake Inc. common stockholders—basic of $(0.87) for the three months ended October 31, 2025, compared to $(0.98) for the same period in 2024[32]