Snowflake (SNOW) delivered stronger-than-expected fiscal second-quarter 2027 results, powered by accelerating product growth and increasing demand for artificial intelligence workloads across its cloud data platform.<\/p>\n\n\n\n
Revenue reached $1.55 billion, topping Wall Street\u2019s $1.48 billion estimate and increasing 35% year over year. Adjusted earnings per share came in at $0.62, well ahead of the $0.45 consensus estimate.<\/p>\n\n\n\n
Product revenue, Snowflake\u2019s closely watched growth metric, increased 37% to $1.49 billion. Non-GAAP operating income reached $237 million, also comfortably exceeding analysts\u2019 $187 million forecast.<\/p>\n\n\n\n
The strong performance prompted management to raise its fiscal 2027 outlook. Snowflake now expects $6.07 billion in product revenue, up from its previous forecast of $5.84 billion, representing 36% year-over-year growth. The company also increased its expected non-GAAP operating margin to 14.5% from 13.5%.<\/p>\n\n\n\n
Customer metrics remained healthy. Snowflake reported a 126% net revenue retention rate, while remaining performance obligations increased 30% year over year to $9 billion. The number of customers generating more than $1 million in trailing 12-month product revenue increased 27% to 828.<\/p>\n\n\n\n
One weaker area was free cash flow, which came in at $83.8 million versus the $104 million analysts expected. However, Snowflake maintained its full-year adjusted free cash flow margin outlook of 23%.<\/p>\n\n\n\n
For the third quarter, Snowflake expects product revenue between $1.588 billion and $1.593 billion and a non-GAAP operating margin of 15.5%.<\/p>\n\n\n\n
Management highlighted AI as an increasingly important contributor to growth, saying the quarter marked Snowflake\u2019s third consecutive period of accelerating product revenue growth.<\/p>\n\n\n\n
The company attributed the momentum to strength across its core data platform alongside a \u201cmeaningful step-up in AI revenue.\u201d<\/p>\n\n\n\n
With product growth accelerating and profitability expectations rising, Snowflake\u2019s results suggest enterprise AI adoption is increasingly translating into meaningful revenue for the cloud data company.<\/p>\n","protected":false},"excerpt":{"rendered":"
Revenue climbed 35% while product revenue grew 37%, prompting Snowflake to raise its full-year growth and operating margin forecasts. Snowflake (SNOW) delivered stronger-than-expected fiscal second-quarter 2027 results, powered by accelerating product growth and increasing demand for artificial intelligence workloads across its cloud data platform. Revenue reached $1.55 billion, topping Wall Street\u2019s $1.48 billion estimate and […]<\/p>\n","protected":false},"author":1,"featured_media":11145,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","jnews-multi-image_gallery":[],"jnews_single_post":[],"jnews_primary_category":[],"jnews_social_meta":[],"jnews_override_counter":[],"jnews_post_split":[]},"categories":[361,311],"tags":[465,419,420,421,416,418,417],"coauthors":[453],"_links":{"self":[{"href":"https:\/\/stoxpo.com\/index.php\/wp-json\/wp\/v2\/posts\/11144"}],"collection":[{"href":"https:\/\/stoxpo.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/stoxpo.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/stoxpo.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/stoxpo.com\/index.php\/wp-json\/wp\/v2\/comments?post=11144"}],"version-history":[{"count":1,"href":"https:\/\/stoxpo.com\/index.php\/wp-json\/wp\/v2\/posts\/11144\/revisions"}],"predecessor-version":[{"id":11146,"href":"https:\/\/stoxpo.com\/index.php\/wp-json\/wp\/v2\/posts\/11144\/revisions\/11146"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/stoxpo.com\/index.php\/wp-json\/wp\/v2\/media\/11145"}],"wp:attachment":[{"href":"https:\/\/stoxpo.com\/index.php\/wp-json\/wp\/v2\/media?parent=11144"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/stoxpo.com\/index.php\/wp-json\/wp\/v2\/categories?post=11144"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/stoxpo.com\/index.php\/wp-json\/wp\/v2\/tags?post=11144"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/stoxpo.com\/index.php\/wp-json\/wp\/v2\/coauthors?post=11144"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}