Snowflake shares pop 19% on earnings and revenue beat

Snowflake shares on Wednesday spiked 19% in extended trading after the data analytics software maker reported fiscal third-quarter earnings that beat estimates.

Here's how the company did, compared to LSEG analyst expectations:

• Earnings per share: 20 cents, adjusted vs. 15 cents expected
• Revenue: $942 million vs. $897 million expected

Snowflake's total revenue rose 28% year over year in the quarter, which ended on Oct. 31, according to a statement. The company's net loss of $324.3 million, or 98 cents per share, widened from $214.3 million, or 65 cents per share, in the same quarter a year earlier.

Product revenue, at $900.3 million, represented around 96% of total revenue. Snowflake called for $3.43 billion in fiscal 2025 product revenue, implying 29% growth. That's up from the $3.36 billion forecast management gave three months ago, which suggested 26% growth.

The full-year view also includes an adjusted operating margin of 5%, up from the 3% guidance in August.

Snowflake had 10,618 customers at the end of October, having added 369 in the fiscal third quarter. Analysts polled by StreetAccount had expected 10,601.

Separately, Snowflake announced a multi-year partnership with Anthropic, the Amazon-backed artificial intelligence startup and OpenAI competitor. And it said it had agreed to buy startup Datavolo for undisclosed terms.

As of Wednesday's close, the stock was down 35% so far in 2024, while the S&P 500 index was up 24%.

Executives will discuss the results with analysts on a conference call starting at 5 p.m. ET.

This is breaking news. Please check back for updates.

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