Snowflake knocks it out the park with a stellar earnings and revenue beat
Snowflake Inc. crushed the market’s expectations as it delivered solid second-quarter financial results today, before raising its outlook for the fiscal year.
The results, which come in the wake of strong reports by Salesforce Inc. and Workday Inc. last week, further undermine those who claim software companies are in danger of disruption from artificial intelligence agents.
The cloud data warehouse provider reported earnings before certain costs such as stock compensation of 62 cents per share, well ahead of Wall Street’s forecast of just 45 cents. Revenue for the period jumped 35%, to $1.55 billion, surpassing the analyst target of $1.48 billion. Many had expected Snowflake’s growth to decelerate from the 33% rate it registered three months ago.
The company also issued strong guidance for the rest of the year, saying that it sees its product revenue reaching $6.1 billion in fiscal 2026, which would equate to growth of 36%. Its product revenue excludes the much smaller services business unit.
